Singapore Bunker Sales Eased in February
Marine fuel sales in Singapore softened in February after two months of strong seasonal volumes, according to the latest data from the Maritime and Port Authority of Singapore (MPA), while trade sources said demand has strengthened in the first half of March.
Volumes in Singapore, the world's largest refuelling hub, totalled 4.67 million metric tons in February, down 10.6% from prior month, but climbed 12.8% from the year-ago period.
Container throughput at Singapore declined 12.1% from January to 3.42 million twenty-foot equivalent units (TEUs) in February, while vessel calls for bunkering fell 9.4% to 3,423.
Sales of 0.5% low-sulphur fuel oil (VLSFO) reached 2.31 million tons, down 9.8% from the previous month. High-sulphur marine fuel volumes dropped 15.2% to 1.83 million tons, while marine gasoil sales fell 7.4% to 374,100 tons over the same period.
Sales of alternative marine fuels rebounded after a weak start to the year. Marine biofuel volumes jumped 54% from January to 92,700 tons in February, while liquefied natural gas (LNG) bunker sales rose 38.5% to 59,000 tons.
Some bunker market sources said that refuelling demand at Singapore port has been robust so far in March as geopolitical tensions in the Middle East spurred ships away to refuel at other ports in Asia and elsewhere.
Demand at Middle Eastern bunker hub Fujairah in the UAE has slowed sharply since early March with recent drone attacks impacting oil-loading operations.
Market sources, however, said that some shippers are struggling to secure fuel after prices soared in the wake of the conflict. Premiums for residual marine fuel, typically measured over fuel oil cargo quotes, hit record highs early last week amid expectations of a tightening market.
In response to Reuters' queries on the market's situation, an MPA spokesperson said that current supply is sufficient to meet demand.
The MPA also noted that it has not seen any significant changes to vessel arrival schedules in the port and is closely monitoring developments in coordination with the industry and relevant government agencies.
(Reuters)
