Europe & Africa Fuel Availability Outlook 25 March

ARA lead times of 4-5 days recommended

Rough weather forecast in the Gibraltar Strait

Demand picking up in Africa as fuel availability tightens

IMAGE: Stormy clouds above the Bay of Gibraltar. Getty Images

Northwest Europe

Fuel availability is stable in the ARA bunkering hub, a trader told ENGINE.

Around 4-5 days of lead time is recommended to get good coverage from a large selection of suppliers and to avoid high price premiums for prompter deliveries, a trader said.

One supplier said it can deliver all fuel grades 1-3 days, but it recommended buyers enquire about stems as early as possible.

The ARA’s independently held fuel oil stocks have dropped 19% lower so far in March compared to February, according to Insights Global data.

The region has imported around 148,000 b/d of fuel oil this month, down from 192,000 b/d in February, according to cargo tracker Vortexa. Around half of supplies has arrived from Denmark (20%), Sweden (16%) and Libya (15%).

The region’s independent gasoil inventories - which include diesel and heating oil – have dipped by 1% this month, compared to February.

The ARA imported 284,000 b/d of gasoil in March, down from the 304,000 b/d imported in February, according to Vortexa data. The US has sent around 31% of the cargo volumes, while Kuwait (24%) and Saudi Arabia (12%) have been other major sources.

Bunker availability is normal in Hamburg, and longer lead times are recommended, a trader said.

In Scandinavian, bunker fuel availability is tight in Sweden’s Gothenburg and off Denmark’s Skaw, and buyers are advised to enquire about stems with lead times of around 10 days for both locations, a trader told ENGINE.

Mediterranean

Fuel availability is tight for prompt delivery dates in the Gibraltar Strait ports, with some suppliers indicating their earliest delivery dates around 7-8 days out, a trader said.

Rough winds and high swells are forecast across the Gibraltar Strait intermittently until 2 April.

Gibraltar has had some weather delays. Inbound traffic has resumed following a brief disruption early in the week, but congestion is ticking up in the port from the disruption.

Around 24 vessels were awaiting bunkers in Gibraltar on Wednesday morning and most suppliers were running around 1-2 days late on deliveries, according to port agent MH Bland.

Around 61 vessels are expected to call in Gibraltar for bunkers between 25 March-4 April, shipping agent A Mateos & Sons said.

Algeciras is also facing congestion at the Alpha, Bravo and Charlie anchorages, while rough weather is making supplies unworkable at the Delta Anchorage, the port agent said. Meanwhile, the Port of Ceuta is fully operational.

In Las Palmas, bunker availability remains tight for prompt deliveries, with one supplier offering to deliver any fuel grade with five days of notice, a trader said.

Fuel availability is stable off Malta, a trader said. Rough weather is forecast around the island between 26-27 March, which could suspend all bunker operations.

Fuel availability is okay in Greece’s Piraeus, but buyers are always recommended to enquire about stems with a lead time of 5-7 days for getting competitive offers from a wide selection of suppliers, a trader said.

Fuel availability is normal and available promptly in Türkiye's Istanbul, a local supplier told ENGINE.

Africa

VLSFO availability is tight for prompt dates in In Nigeria’s Lagos, with buyers recommended to book with a 10-day lead time, a local supplier said.

More ships are enquiring about bunkers in West African locations compared to before the war broke out in the Middle East, the trader said. Fuel availability is tight in Angola's Luanda and there has been a huge spike in prices, a local supplier said.  

VLSFO remains unavailable in Luanda and replenishments are expected by 10 April. LSMGO deliveries require a 5–7-day notice, the supplier said.

Fuel availability remains tight off Namibia’s Walvis Bay and in Togo’s Lome, but it is improving slowly from last week, a trader said.

In South Africa’s Durban and off Algoa Bay, deliveries are possible by the end of the month, a supplier said.

Fuel availability is very tight in Mauritius’ Port Louis, a trader said.

By Nachiket Tekawade

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