Singapore’s fuel oil stocks fall amid lower net imports

Singapore’s residual fuel oil stocks have averaged 27% lower so far in June than across May, Enterprise Singapore’s latest data shows.

Changes in monthly average Singapore stocks from May to June (so far):

• Residual fuel oil stocks down 5.39 million bbls to 14.92 million bbls
• Middle distillate stocks down 1.58 million bbls to 7.57 million bbls

Singapore’s fuel oil inventories have fallen below 15 million bbls so far this month, reaching multi-year lows. This comes amid a sharp 55% drop in the port’s net fuel oil imports. Imports have decreased by 1.36 million bbls, while exports have increased by 83,000 bbls.

Russia has been the largest source of Singapore’s fuel oil imports this month, accounting for (23%) of total import volumes, according to cargo tracker Vortexa. Brazil (11%) and Indonesia (10%) were the next-largest suppliers. On the export side, China has received the largest share of shipments, accounting for 44% of the total volume, followed by South Korea (29%) and Taiwan (9%).

Singapore’s middle distillate inventories have also tightened considerably, averaging 7.57 million bbls so far this month. Stocks are down by 17% from previous levels, pushing inventories to multi-year lows as well.

Changes in Singapore fuel oil trade from May to June (so far):

• Fuel oil imports down 1.36 million bbls to 3.35 million bbls
• Fuel oil exports up 83,000 bbls to 2.16 million bbls
• Fuel oil net imports down 1.45 million bbls to 1.19 million bbls

Bunker fuel availability in Singapore remains tight. Suppliers continue to recommend lead times of 10–14 days for VLSFO deliveries, largely unchanged from the previous week.

HSFO availability has tightened modestly, with recommended lead times narrowing to 7–10 days, from 5–12 days last week. LSMGO supply has also become more constrained, with deliveries now requiring 7–10 days of advance planning, compared with around seven days previously.

By Tuhin Roy

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