Europe & Africa Market Update 24 Aug

Bunker fuel prices in European and African ports have moved in mixed directions, and fuel availability is tight in Las Palmas.

IMAGE: The commercial harbour in Las Palmas. Getty Images

Changes on the day from Friday to 09.00 GMT today:

• VLSFO prices up in Rotterdam ($2/mt), and down in Durban ($4/mt) and Gibraltar ($1/mt)
• LSMGO prices down in Rotterdam ($15/mt), Gibraltar ($12/mt) and Durban ($9/mt)
• HSFO prices up in Durban ($5/mt), and down in Rotterdam ($12/mt) and Gibraltar ($8/mt)
• B30-VLSFO up in Gibraltar ($56/mt) and down in Rotterdam ($6/mt)

LSMGO prices have dropped in Rotterdam and Gibraltar over the past session.

Las Palmas’ LSMGO price has dropped $18/mt over the weekend, thus widening its discount to Gibraltar to $26/mt.

The VLSFO price in Las Palmas is almost on par with Gibraltar's, while its HSFO price holds a marginal $8/mt premium over Gibraltar.

Fuel availability is tight in Las Palmas for prompt availability, with buyers advised 10-14 days of lead times for most supplies, a trader said.  

Fuel deliveries in Las Palmas are currently being performed in the outer anchorages as usual, port agent MH Bland said.

Brent

The front-month ICE Brent contract has inched $0.13/bbl lower on the day from Friday, to trade at $92.78/bbl at 09.00 GMT.

Upward pressure:

Brent crude’s price has opened this week trading above $90/bbl, as market participants anticipate US' economic sanctions against Iran.

The US treasury secretary Scott Bessent will hold a press conference at 18.00 GMT today, to announce economic measures against Iran.

His comments follow shortly after US President Donald Trump vowed sweeping sanctions on Iran and its allies.

Bessent has called the move an “economic D-Day” for Tehran, putting upward pressure on Brent crude’s price.

Brent crude’s price has found support “as expectations of a near-term resolution to the Middle East conflict faded,” ANZ Bank’s senior commodity strategist Daniel Hynes said.

Downward pressure:

While there is no new downward pressure acting on Brent, market participants will keep an eye out for US crude stocks data, scheduled to come out later this week.

Commercial US crude oil inventories increased by 4.4 million bbls to 429 million bbls in the week ending 14 August, according to data from the US Energy Information Administration (EIA).

A build in US crude stocks typically indicates lower demand for oil and can put some downward pressure on Brent's price.

By Nachiket Tekawade and Aparupa Mazumder

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