Singapore delivered marine fuel 0.5%S outpaces Fujairah; widest gap since July 2019

New York — Singapore delivered marine fuel 0.5%S climbed at a faster pace as compared with the same grade in Fujairah on Wednesday, S&P Global Platts data showed, expanding the gap between the two to the widest since Platts first started assessing the grade on July 1, 2019.

On Wednesday, Platts assessed Singapore delivered marine fuel 0.5%S at $590/mt, $25/mt higher than the same delivered grade in Fujairah, Platts data showed.

Bunker fuel values in Fujairah are typically higher than Singapore, with the delivered marine fuel 0.5%S in Fujairah averaging $17.25/mt higher than Singapore over the four weeks to Wednesday, Platts data showed.

Market sources attributed the flip in the delivered values at the two ports to weaker demand in Fujairah.

"[Looking ahead] February is traditionally a slow month. This is due to stockpiling ahead of the Christmas holidays, so shippers have enough inventory," a UAE-based bunker trader said.

Consequently, the premium for delivered Fujairah Marine Fuel 0.5%S over benchmark Singapore Marine Fuel 0.5%S cargo has lost some 80.7% from a record high of $126.32/mt on January 6 to $24.41/mt on Wednesday, S&P Global Platts data showed.

"Demand has been weak in recent weeks with ongoing geopolitical tensions and now the virus," a bunker supplier said.

The Port Authority of Fujairah has requested that ships calling directly or transiting from China provide a statement declaring if any crew on board has a high temperature, sore throat, cough or breathing difficulties.

Ships calling directly or transiting from China with crew exhibiting these symptoms are not permitted to enter Fujairah Offshore Anchorage or the Port of Fujairah until it obtains approval from the harbour master.