Prices of high-sulphur marine fuel at Singapore have been depressed by plentiful supplies that met with lukewarm demand, trade sources said on Wednesday.

This has crimped bunker margins for marine fuel sellers and traders at the world’s largest refuelling hub for ships, as marine fuel typically has to trade above fuel oil cargo prices for profits to be made, since it covers other logistical costs.

However, Singapore bunker prices for 380-cst high sulphur fuel oil (HSFO) have been weak, holding in discounts to cargo quotes amid bearish fundamentals, trade sources told Reuters.

“The (HSFO) market is oversupplied with oil from various origins including Mexico, Iraq and India,” a Singapore-based fuel oil trader said.
Some trades that were done recently for HSFO cargoes were higher than where prices of cargoes were offered on an ex-wharf bunkering basis, according to trade sources.

Spot differentials for fuel oil were holding at premiums above $6 a metric ton over cargo quotes this week.

In contrast, ex-wharf marine fuel was offered at small single-digit discounts to the quotes, the sources said. Bunker fuel sold on an ex-wharf basis means the seller has to transport the fuel to the wharf, which is the dock or terminal for loading and unloading the cargo.

Meanwhile, prices of 380-cst high-sulphur bunker fuel on a delivered basis, which includes the cost of barging delivery, were trapped in very thin premiums above fuel oil cargo quotes.

“There is an abundance of supply, but demand seems normal and rather slow,” said a bunker supplier who offers HSFO.

Sales of high-sulphur marine fuel at Singapore averaged at about 1.6 million metric tons per month in 2025 so far, based on port authority data.
Source: Reuters