FUJAIRAH DATA: Oil product stocks rise 3.3% despite middle distillate plunge

Oil product stockpiles at the Port of Fujairah on the UAE's east coast rose 3.3% on the week, after plunging by a third in 2021, when inventories recorded the biggest decline since data compiling began in 2017.

Total inventories stood at 16.523 million barrels in the week ended Jan. 3, according to data from the Fujairah Oil Industry Zone provided exclusively to S&P Global Platts.

Stocks stood at 15.99 million barrels in the week ended Dec. 27, down from a record high of 30.71 million barrels on June 1, 2020, when lockdowns during the initial coronavirus wave tanked global oil demand. In 2020, stockpiles rose 27% to 23.595 million barrels, the most on record, as the pandemic crimped demand for refined products.

Light distillates rose 9.4% to 4.751 million barrels in the week ended Jan. 3, while heavy residues increased by 6.4% to 10.123 million barrels.

Continuing trend

However, middle distillates plunged 22.8% to 1.649 million barrels, continuing last year's trend.

In 2021, stocks at Fujairah plummeted across the board as oil product demand recovered, led by a 58% plunge in jet fuel, gasoil and other middle distillates to 2.136 million barrels after rising 35% in 2020.

Light distillates were 41% lower in 2021 at 4.341 million barrels after surging 54% in 2020. Heavy distillates, including fuel oil for power generation and marine bunkers, fell 15% to 9.517 million barrels, compared with an 11% uptick in 2020.