FUJAIRAH DATA: Oil product stocks climb to two-week high on fuel oil gains

Oil product inventories at the UAE's Port of Fujairah rose 13% in the week to Jan. 6, led by gains in heavy distillates used for power generation and ship fuel, according to Fujairah Oil Industry Zone data published Jan. 8.

Total stockpiles increased to a two-week high of 17.61 million barrels, FOIZ data compiled by S&P Global Commodity Insights since 2017 showed. Heavy distillates jumped 19% to 8.925 million barrels, a three-week high.

Middle distillates such as jet fuel and diesel increased 9.3% to 2.151 million barrels, a two-week high. Light distillates such as gasoline and naphtha gained 7.7% to 6.534 million barrels, also a two-week high.

Refined product exports from Fujairah averaged 231,000 b/d in the week started Dec. 30, down from 562,000 b/d the previous week and sending the four-week moving average to 420,000 b/d, the lowest since the week started Jan. 24, 2022, according to Kpler data.

In shipping, strong winds and high sea waves between Jan. 1-4 delayed some fuel deliveries to bunker barges used to bring supplies by boat to buyers, but it was matched by slow to steady demand, bunker suppliers said.

A Suezmax cargo of 977,191 barrels of very low sulfur fuel oil was delivered from Kuwait's Al-Zour refinery to Fujairah on Jan. 4, adding to supplies, according to Kpler data and industry sources.

The Platts-assessed Fujairah-delivered marine fuel 0.5% sulfur bunker premium over benchmark FOB Singapore marine fuel 0.5%S cargo averaged $7.96/mt over Jan. 2-7, down from $9.07/mt in December, Commodity Insights data showed.

High sulfur fuel oil demand was stable, with some suppliers able to provide fuel within five days while others were offering supplies later this month, traders said.

The Platts-assessed Fujairah-delivered 380 CST HSFO bunker premium over the FO 380 CST 3.5% FOB Arab Gulf averaged $19.77/mt over Jan. 2-7, down from $22.07/mt in December, Commodity Insights data showed.