ARA fuel oil stocks climb 15% in September so far
The ARA's independently held fuel oil stocks have averaged 15% higher in September so far compared to August's monthly average, according to Insights Global data.
Changes in monthly average ARA stocks from August to September (so far):
- Fuel oil stocks up around 680,000 bbls to 5.30 million bbls
- Gasoil stocks mostly unchanged at 12.08 million bbls
Fuel oil stocks have increased by around 46% from May, when they hit their lowest level in more than a decade. However, inventories remain 18% below February levels, before the conflict broke out in the Middle East.
The ARA hub has imported around 276,000 b/d of fuel oil in September so far, down from August's monthly average of around 342,000 b/d, according to Vortexa cargo flows data.
Most shipments came from Mexico (51%), Poland (23%) and Finland (13%).
Meanwhile, the region has exported around 184,000 b/d of fuel oil in September so far, up from around 144,000 b/d in August, mainly for unloading in Canada (84%) and the UK (13%).
The region's independent gasoil inventories - which include diesel and heating oil - have held broadly steady in September so far, remaining mostly unchanged from August, according to the Insights Global data. Gasoil inventories remain near their lowest level in four years.
The region has imported around 271,000 b/d of gasoil in September so far, up from an average of around 155,000 b/d imported in August, according to Vortexa data. Netherlands (74%) and Belgium (26%) supplied the cargos.
Fuel availability is tight for prompt deliveries in the ARA, a trader said. Buyers are recommended a lead time of around 5-7 days to get competitive offers from a wide selection of suppliers, the trader added.
By Nachiket Tekawade
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