Europe & Africa Fuel Availability Outlook 14 Oct

Tight prompt supply in ARA

Rough weather looms over Gibraltar

Tight fuel availability in Lagos

IMAGE: Stormy clouds above the bay of Gibraltar. Getty Images

Northwest Europe

Fuel availability is tight for prompt supplies in ARA ports, and buyers are advised lead times of 5-7 days to get good coverage from suppliers, a trader said.

B100 has remained at significant price discounts to LSMGO in Rotterdam, which has increased its demand in the port lately.

The ARA’s independently held fuel oil stocks have averaged 6% higher in October so far, compared to September’s monthly average, according to Insights Global data.

The ARA hub has imported 250,000 b/d of fuel oil in October so far, down from September’s 266,000 b/d, according to Vortexa cargo flows data. Most cargo volumes have come from Lithuania (25%), Mexico (18%) and France (16%).

The region’s independent gasoil inventories - which include diesel and heating oil - have gained 6% in October so far, compared to September, according to the Insights Global data.

The region has imported 233,000 b/d of gasoil in October so far, up from 197,000 b/d in September, according to Vortexa data. Most of the volumes have arrived from Germany (41%), India (27%) and the UK (21%).

Bunker availability in Hamburg is normal, with suppliers asking for five days of lead time, a trader told ENGINE.

Off Denmark’s Skaw and in Sweden’s Gothenburg, buyers are recommended a notice of around 10 days for bunker supplies, a trader said.

Mediterranean

Prompt availability remains tight in the Gibraltar Strait ports, with buyers recommended lead times of 7-10 days to get good coverage from suppliers, a trader told ENGINE.

Rough weather is expected in Gibraltar between 14-15 October, with wind gusts of more than 25 knots and waves higher than 1.5 metres forecast in the port.

The port is seeing some congestion, with around 13 vessels queued up for bunkering as of Wednesday morning due to barges being not ready, port agent MH Bland said. Some suppliers are delayed on deliveries by 24 hours, while some others are running between 16-18 hours late on supplies, the port agent added.

Suppliers in neighbouring Algeciras are delayed by anywhere between 2-12 hours on supplies, MH Bland said.

In Spain’s Barcelona, suppliers require around a week for deliveries of any fuel grade, a trader said.

In Spain's Huelva, some delays are expected in bunker supplies due to tight barge schedule, port agent MH Bland said.

Prompt fuel availability is tight in Las Palmas, with buyers advised lead times of 7-8 days to secure fuel, a trader said.

Rough weather off Malta has restricted bunkering operations to Anchorage Area 4, MH Bland said. This is a small anchorage and can accommodate only 4-5 vessels for bunkering at the same time.

Prompt deliveries are challenging and buyers need at least a week to supply of any fuel grade, a trader told ENGINE.

In Istanbul, fuel availability is stable and deliveries are available with a notice of 1-3 days, a local supplier told ENGINE.

Africa

Prompt availability remains tight in Togo’s Lome and buyers are recommended lead times of 5-7 days for VLSFO and LSMGO supplies, a trader told ENGINE.

VLSFO availability is scarce in Nigeria’s Lagos Anchorage, and buyers are advised a notice of 10-12 days, a local supplier told ENGINE.

Deliveries off Namibia’s Walvis Bay are tight for prompt dates. Buyers are advised to allow 5-7 days’ lead time for VLSFO and LSMGO deliveries, a trader told ENGINE.

Fuel availability remains tight in South Africa’s Durban as demand picks up. Buyers should book 10-15 days in advance for bunker supplies, a trader told ENGINE.

Bunker availability is very tight in Port Louis. Buyers are recommended to place orders 10-14 days ahead to secure supplies, a trader said.

Fuel availability is tight for prompt supplies in the Mozambican ports of Nacala and Maputo, with buyers recommended lead times of 5-7 days for most supplies, a trader told ENGINE.

By Nachiket Tekawade

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