East of Suez Fuel Availability Outlook 27 Jan

Bunker demand slow in several South Korean ports

VLSFO and LSMGO availability good in Taiwanese ports

Bunker supply good in several Sri Lankan ports

IMAGE: Logistics and transportation of container and cargo ships with a crane in Singapore. Getty Images

Singapore and Malaysia

In Singapore, VLSFO supply has tightened further as terminal loading delays affect several suppliers, lifting recommended lead times to 12–14 days from 10–14 days last week. HSFO availability remains constrained, typically requiring 9–12 days of advance notice, broadly unchanged from last week’s 8–12 days.

LSMGO supply has also tightened sharply, with lead times now at 7–9 days, up from 2–5 days last week.

Singapore’s residual fuel oil stocks have averaged 1% lower so far in January compared with December, according to the latest data from Enterprise Singapore. The port’s fuel oil inventories have remained above 25 million bbls, amid a 35% increase in net fuel oil imports into the port so far this month. Fuel oil imports have risen by 373,000 bbls, while exports have fallen by 660,000 bbls. Middle distillate inventories have also averaged 1% lower over the same period.

At Port Klang, VLSFO and LSMGO are generally well supplied, particularly for smaller prompt stems, while HSFO availability remains tight and more challenging to secure.

East Asia

VLSFO supply in Zhoushan remains under pressure due to ongoing constraints, with several suppliers now advising lead times extending into early February. HSFO availability has also tightened, with lead times lengthening from about 5–6 days last week, to early February at present. In contrast, LSMGO supply has improved, with lead times narrowing from 5–7 days last week to around 3–5 days currently.

Across northern China, bunker availability continues to be mixed. Dalian and Qingdao have adequate supplies of both VLSFO and LSMGO, though HSFO remains tight in Qingdao. Tianjin continues to face shortages across all fuel grades. In Shanghai, both VLSFO and HSFO remain in limited supply, while LSMGO availability is stable.

Further south, supply remains tight for both VLSFO and LSMGO in Fuzhou. Xiamen has sufficient VLSFO, but LSMGO availability is restricted. In Yangpu and Guangzhou, delivery options for both grades remain limited.

In Hong Kong, bunker lead times are steady at around seven days for all grades, broadly unchanged from recent weeks.

Across Taiwan, lead times for VLSFO and LSMGO remain largely stable. Deliveries at Keelung, Taichung and Hualien continue to require about two days of advance notice, in line with last week, while slightly longer lead times of around three days are still recommended at Kaohsiung.

In South Korea, most suppliers are quoting lead times of approximately 4–6 days for all grades amid low demand, similar to last week. However, persistent winter conditions continue to raise the risk of operational disruptions. Weather-related interruptions may affect Busan and Ulsan between 27, 29–30 January and 2–3 February; Yeosu between 27–30 January and 1–2 February; and Daesan between 27–30 January and 1–2 February.

In Japan, prompt VLSFO availability remains tight at major ports such as Tokyo, Chiba, Yokohama and Kawasaki, with recommended lead times of 9–10 days. Tight supply conditions are also being reported at Osaka, Kobe, Sakai, Mizushima, Nagoya and Yokkaichi, and are expected to persist into early February. By contrast, LSMGO availability remains generally stable nationwide. B24-VLSFO is being supplied only on request at Tokyo, Chiba, Kawasaki and Yokohama.

HSFO supply has also tightened at Tokyo, Chiba, Yokohama and Kawasaki, where lead times are around 8–9 days, while availability remains stable at most other Japanese ports. At Tokuyama, suppliers are currently short of VLSFO, though both LSMGO and HSFO remain readily available. At Oita, all fuel grades are available, subject to enquiry.

Oceania

Bunker availability across Australia remains generally stable. VLSFO and LSMGO are readily available nationwide, with seven-day lead times continuing to be standard.

In Western Australia, suppliers are advising lead times of about seven days at both Kwinana and Fremantle. Most deliveries are made by barge from a single supplier, although LSMGO can also be supplied by truck. Strong afternoon winds are still causing occasional scheduling disruptions.

In New South Wales, VLSFO deliveries at Port Kembla are possible by both truck and pipeline, with pipeline parcels starting at around 70 mt, and smaller volumes supplied by truck. Sydney currently operates with one barge and also offers truck deliveries and pipeline supply at selected berths. Delivery schedules in Sydney are frequently adjusted to accommodate naval and cruise vessels. While VLSFO and LSMGO stocks remain healthy, HSFO availability is tight, with suppliers generally requiring around seven days’ notice. Seasonal cruise traffic in Sydney, Cairns and Darwin between December and February is expected to place additional strain on delivery schedules.

In Brisbane and Gladstone, VLSFO and LSMGO continue to be supplied with similar seven-day lead times. HSFO is available on request in Brisbane, while Gladstone may still face intermittent weather-related delays. Access constraints persist at Brisbane’s AAT terminal. Two barges, operated by different suppliers, are currently active in Brisbane, supplying VLSFO and LSMGO, with HSFO offered only on enquiry.

In Victoria, suppliers in Melbourne and Geelong maintain strong inventories of VLSFO and LSMGO. HSFO remains tight for prompt delivery, although Melbourne currently has adequate supply. Both ports rely on a single barge, and lead times remain steady at around seven days. LSMGO can also be delivered by truck to smaller ports such as Portland and Port Welshpool within 2–3 days.

Overall, Australia’s bunker market remains steady, with deliveries often achievable within 3–4 days due to healthy inventory levels. Even at ports with pipeline infrastructure, including Darwin and Dampier, suppliers continue to rely heavily on truck deliveries to support distribution.

In New Zealand, bunker supply is also stable. VLSFO is widely available at Tauranga and Auckland, with pipeline access at certain berths in Tauranga. At Marsden Point, both VLSFO and LSMGO can be delivered by pipeline to cargo vessels, while truck availability across South Island ports remains limited.

Meanwhile, the northern Australian cyclone season, which runs from November to April, is expected to cause intermittent disruptions, with 9–11 cyclones forecast this year, a source says.

South Asia

In Sri Lanka, a supplier in both Colombo and Hambantota is now recommending lead times of about two days for all fuel grades, a marked improvement from roughly six days last week. However, rough weather is forecast in Colombo on 27 January, which may temporarily disrupt bunkering operations.

Middle East

Prompt bunker supply in Fujairah remains tight across all fuel grades, with several suppliers running on constrained delivery schedules. Most are still quoting lead times of 5–7 days, although a limited number can arrange urgent stems at a premium, according to a source. Similar supply pressures are also being reported at Khor Fakkan.

In Basrah, VLSFO and LSMGO continue to be readily available, while HSFO supply remains limited. At Jeddah, availability of both VLSFO and LSMGO has improved, but persistent port congestion is continuing to slow bunker delivery operations. Port Suez presents a contrasting picture, with stocks of VLSFO, LSMGO and HSFO close to being exhausted.

In Ras Laffan, supplies of VLSFO and LSMGO remain tight. Djibouti currently has VLSFO available, though LSMGO inventories are nearly depleted.

Across Oman’s ports—Sohar, Salalah, Muscat and Duqm—bunker availability remains stable, with suppliers consistently able to offer LSMGO for prompt delivery windows.

By Tuhin Roy

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