Fuel Switch Snapshot: Conventional fuel rally stretches B100 discount spread in Rotterdam

Middle East tensions prompt Hormuz suspensions

Brent's gain lifts conventional fuel prices

B100 discounts to conventional fuels widen in Rotterdam

Several shipping companies have suspended vessel transits through the Strait of Hormuz, a critical chokepoint for global crude oil and gas trade, as tensions escalate in the Middle East.

Reports that operations at Saudi Aramco’s Ras Tanura refinery, and QatarEnergy’s LNG facilities at Ras Laffan Industrial City and Mesaieed Industrial City may have been halted, following possible attacks, have further heightened concerns over supply disruptions.

These developments have pushed Brent crude and gasoil prices sharply higher over the week, with knock-on effects for conventional fuel and gas prices across major bunkering ports.

B100’s discounts to VLSFO and LSMGO in Rotterdam have widened by $90–109/mt over the past week against this backdrop. B100’s discounts to LNG have increased even more sharply, widening by $150–152/mt depending on vessel engine type.

Liquid fuels

HSFO and VLSFO benchmarks have surged by $42–44/mt in Rotterdam and $43–55/mt in Singapore over the past week. Prices have tracked a sharp $6.76/bbl ($49.55/mt) rise in front-month ICE Brent futures amid escalating Middle East tensions and growing concerns over supply disruption.

LSMGO prices in Rotterdam (+$62/mt) and Singapore (+$55/mt) have largely followed a $133/mt weekly increase in ICE low sulphur gasoil futures.

B30-VLSFO benchmarks in both Rotterdam and Singapore have also jumped sharply by $78–91/mt, driven mainly by stronger gains in underlying VLSFO prices.

In contrast, Rotterdam’s B100 has fallen by $46/mt, with a $2.02/mt decline in December 2026 EUA contracts adding some downward pressure.

Singapore’s B100, however, has increased by $19/mt over the past week.

Liquid gases

Rotterdam’s LNG prices have climbed by $105–106/mt over the past week amid disruptions in the Strait of Hormuz, while LBM bunker prices have risen by a smaller $56–58/mt.

LNG has become even more expensive than LBM in Rotterdam, with the price spread widening by $48/mt over the week.

At the same time, LNG discounts to pure LSMGO in Rotterdam have narrowed by $42–43/mt to $79–296/mt.

By Konica Bhatt

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