Fujairah bunker volumes edge up in July after hitting lowest this year
17th August 2020 19:12 GMT

Bunker volume at the Port of Fujairah in July rose 1% on the month after hitting a seven-month low in June, according to a report seen by S&P Global Platts.

The total of 381,055 mt in July was up from 377,202 mt in June, which was the lowest since November 2019. The total was still 1.8% lower than a year earlier.

The port didn't immediately respond to a request for comment on the data.

“Demand was much better in July compared to in June," a UAE-based bunker trader said. "There were more inquiries because crude oil prices were up and buyers wanted to secure volumes. They were afraid that crude oil prices would continue going up so there was some panic buying. That said, demand was still not very consistent. I think demand will continue picking up in August. Hopefully by September, demand will be back to normal.”

Other key ports also showed improving demand. Singapore's bunker fuel sales in July increased 8.6% on the month to 4.16 million mt, preliminary estimates from Singapore's Maritime and Port Authority released Aug. 13 showed. On the year, July sales increased 7.2% or 279,500 mt, the data showed.

In Fujairah, low sulfur fuel oil accounted for 256,235 mt of all registered bunker barges, load and discharge, in July while high sulfur fuel oil accounted for 54,764 mt and marine gasoil 29,665 mt, according to the report.

“We received slightly more inquiries in July than in June," a UAE-based bunker supplier said. "For August, it is still too early to tell if there will be a recovery in demand. Some days, there are many inquiries because of crude oil price movements but it could go quiet with no inquiries the next day. Overall, I expect August bunker demand levels to be about the same as in July."

On Aug. 14, Fujairah-delivered marine fuel 0.5% grade was assessed by Platts at $330/mt, down $6/mt on the day.

Bunkerworld ,
17th August 2020 19:12 GMT