Europe & Africa Fuel Availability Outlook 3 June

Prompt availability tight at Gibraltar Strait ports

Rough seas complicate bunkering in Las Palmas

Prompt supplies tight in Durban

IMAGE: View from the Rock of Gibraltar, UK to Algeciras, Spain. Getty Images

Northwest Europe

VLSFO and HSFO availability remains tight in the ARA bunkering hub, with buyers recommended longer lead times of around 10 days to get competitive offers from a wide selection of suppliers, a trader told ENGINE.

LSMGO is available more readily and needs a shorter notice of around 5-6 days, the trader added.

The disruption in Hormuz has tightened availability of blending components in the ARA, which has affected the ability to produce on-spec fuels consistently, Peninsula said last week. This has complicated prompt availability of bunker fuel in the area.

Separately, the ARA’s independently held fuel oil stocks averaged 17% lower in May than in April, according to Insights Global data.

Fuel oil stocks have fallen to levels not seen in more than a decade. The fuel oil stock average in May was 44% less than in February, which was the month before the war started in the Middle East.

The ARA hub has imported 279,000 b/d of fuel oil in May, rising from April’s 207,000 b/d, according to data from cargo tracker Vortexa. 

Most of May’s supplies has arrived from Caribbean Netherlands (16%), Benin (12%) and Nigeria (11%).

The region’s independent gasoil inventories - which include diesel and heating oil – have averaged 6% lower this month than in April. Gasoil inventories have fallen to their lowest in nearly two and a half years.

The ARA hub imported 204,000 b/d of gasoil in May, up significantly from 143,000 b/d in April, Vortexa data showed.

Around 48% of May’s shipments has come from the U.S., while Saudi Arabia (13%) and the U.K. (8%) were some of the other major contributors.

In Germany’s Hamburg, buyers are requested to book stems with around five days of notice, a trader told ENGINE.

Fuel availability is stable off Denmark’s Skaw and in Sweden’s Gothenburg, but buyers are recommended to book around 10 days in advance to arrange deliveries of any fuel grade, according to a trader.

Mediterranean

Prompt availability of all fuel grades remains tight at the Gibraltar Strait ports, with buyers recommended lead times between 7-10 days, a trader told ENGINE.

Most suppliers in Gibraltar are delayed by around 12-24 hours on deliveries, port agent MH Bland said.

In the Canary Islands' bunkering hub of Las Palmas, bunker fuel availability is tight for prompt delivery dates, and buyers are recommended lead times of around 7-10 days to get deliveries of any fuel grade, a trader told ENGINE.

High swells of around 2 metres are forecast in the area at least until 10 June. In such rough sea conditions, bunker operations are closed in the southern and northern outer anchorage areas, port agent MH Bland said.

Deliveries are being carried out in the inner anchorage and at the berth, with wait times of around 2-3 days, the port agent added.

In Portugal’s Lisbon, fuel availability remains normal, a source told ENGINE.

In Greece’s Piraeus, VLSFO availability is limited, a supplier told ENGINE. LSMGO and ULSFO have more demand in the port.

Fuel availability is stable in Türkiye's Istanbul, and buyers are able to secure deliveries easily within 1-3 days, a local supplier told ENGINE.

Africa

VLSFO and LSMGO deliveries in Togo’s Lome and off Namibia’s Walvis Bay require around 10 days of lead time, a trader said.

High swells of around 2 metres may complicate deliveries off Walvis Bay.

In Nigeria’s Lagos, availability is stable and a supplier said delivery of VLSFO within 5-7 days is possible.

A supplier in Angola’s Luanda said they are awaiting VLSFO replenishments, but LSMGO deliveries can be done in around 3-4 days.  

In South Africa’s Durban and off Algoa Bay, prompt fuel availability is tight, with buyers requested to book around 5-7 days ahead, a trader said

In the Mozambican ports of Nacala and Maputo, buyers are recommended around 7-10 days of lead time for VLSFO supplies, a trader said.

In Senegal's Dakar, VLSFO and LSMGO deliveries require around 5 days of lead times, a source told ENGINE.

In Mauritius’ Port Louis, fuel demand is strong and availability is tight. Buyers are recommended longer lead times of around two weeks for all fuel grades, according to a trader.

By Nachiket Tekawade

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