Fujairah’s fuel oil inventories plunge 24% amid higher exports

Fujairah’s residual fuel oil inventories have averaged 24% lower so far in April compared to March, according to the latest data from Fujairah Oil Industry Zone (FOIZ) and S&P Global.

Changes in monthly average Fujairah stocks from March to April (so far):

• Heavy distillate and residual stocks down 1.40 million bbls to 4.41 million bbls
• Middle distillate stocks down 777,000 bbls to 1.24 million bbls

Heavy distillate and residual fuel oil inventories in Fujairah have dropped below 5 million bbls, reaching multi-year lows.

Fuel oil inflows into the Middle Eastern bunker hub have remained subdued this month, likely reflecting the ongoing Middle East crisis. Imports have averaged 27,000 b/d so far, up slightly from 14,000 b/d in March, according to cargo tracking data from Vortexa. All incoming volumes, for both months, have originated from Iran.

The composition of these imports has remained unchanged, with the HSFO/LSFO ratio steady at 100/0 across both months.

At the same time, fuel oil exports from Fujairah have increased by 89,000 b/d to 163,000 b/d, shifting the port into a net export position. Singapore (35%) accounted for the largest share of exports, followed by India (25%) and Oman (23%).

Middle distillate inventories in Fujairah have also declined, averaging 39% lower than last month’s levels.

Bunkering operations at the Port of Fujairah are continuing without disruption despite regional tensions, although supply remains tight. Most terminals and anchorages are still operational.

“Avails [are] ok as off now, all offers are subject to firm inquiry,” a trader said.

Bunkering activity is ongoing, but some suppliers are loading barges in line with actual demand rather than at full capacity. Demand in Fujairah remains subdued, the trader added.

By Tuhin Roy

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