Official data from the Russian energy ministry shows that domestic diesel output started to rise in December, and consumption started to increase from February, which coincides with the order to invade Ukraine.

On the demand side, the American Automobile Association forecast an 8% year-on-year increase in travel over the upcoming Memorial Day weekend.

European fuel oil traders have consistently reported the very low sulfur fuel oil market to be very tight globally.

The sales of very low sulfur fuel oil were of 289,123 mt in April, up 35,802 mt, or 14.1%, from March but down 4.7% from April 2021.

Bangladesh is likely to import 375,000 mt of HSFO in June, down from 400,000 mt in May, Imran Karim, the president of Bangladesh Independent Power Producers' Association told S&P Global Commodity Insights.

Sales of fuel oil, also known as furnace oil, declined due to lower demand for electricity during the period, which adversely affected the performance of the fuel segment.

Russia's Rosneft said that throughput at its Russian refineries in 2021 rose 2.3% on the year to 95.1 million mt. In Q4, they processed 23.4 million mt, up 1.6% on the year

US crude inventories dropped more than 3 million barrels in the week ended Dec. 24, in line with industry expectations, after falling by just shy of 4 million barrels the week before, American Petroleum Institute data released late Dec. 28 showed.

Beijing controls China's domestically produced oil product exports by quotas.

"Not all physical suppliers here [in Singapore] supply HSFO. Shipping bottlenecks and delayed vessel sailing schedules [in the Asian region] are also weighing on overall demand," an industry source said.

S&P Global understands that the stricter sulfur requirements imposed by the IMO 2020 regulations for 0.5%S marine fuel has resulted in trades that are often close to the maximum specifications compared to HSFO, and feedback suggests that hand blends may have a higher likelihood of specification and quality issues.

Any offer of oil from vessels accredited for the FOB Singapore cargo and ex-wharf bunkers MOC process for Marine Fuel 0.5% and 380 CST HSFO would be on FOB FSU basis. Sellers cannot unilaterally nominate an approved vessel as a loading point in FOB Straits trades.

S&P Global has reviewed Goode Capital Ltd and will consider information from Goode Capital Ltd in the Asia assessment process for Asia fuel oil paper, subject at all times to adherence with S&P Global editorial standards.

ULSD 10 ppm Cargoes CIF NWE restricted origin spread

S&P Global Commodity Insights has discontinued publishing its Bunkerworld 180 Index (BW180), effective March 25, 2022.

MPA's recommendations follow its investigation into bunker fuel quality in Singapore after reports that several ships were affected by tainted fuel containing high concentration of chlorinated organic compounds.

Increased gasoil prices have led low sulfur straight run barrels coming out of Skikda, Algeria, to flow into feedstock markets, rather than into very low sulfur fuel oil pools.

Not included in this latest round is a ban on oil imports, despite calls from some member states for that.

The EU has to date imposed sanctions on Russian energy, focusing on areas such as investment and technology sales, but there has been no outright ban on imports, although Germany is moving to try to limit its use of Russian gas.