FUJAIRAH DATA: Middle distillate growth drives total stocks to highest since June

Stockpiles of oil products at the UAE's Port of Fujairah edged up 1% on the week to the highest point since June, amid strong growth of middle distillate inventories, according to data from the Fujairah Oil Industry Zone.

Total inventories increased to 20.550 million barrels as of April 8, FOIZ data showed April 9.

Stocks of middle distillates jumped 20% on the week to 4.019 million barrels, following imports from Kuwait.

Stockpiles of light distillates, such as gasoil and naphtha, also rose on the week, increasing 3% to 7.814 million barrels.

Exports of clean products from Fujairah in the week started April 1 were 622,000 b/d, down from 700,000 b/d the previous week, but otherwise representing a steady increase from 378,200 b/d in the week started March 4, according to data from S&P Global Commodities at Sea.

Exports of fuel oil from Fujairah in the week started April 1 were 43,000 b/d, up slightly from 26,000 b/d the previous week, which was the lowest since Oct. 30, CAS data showed.

An uptick in downstream 0.5% sulfur fuel oil demand over the past couple of weeks has supported values, Fujairah bunker traders said.

Platts, part of S&P Global Commodity Insights, assessed delivered 0.5% sulfur fuel oil at Fujairah at $650/mt April 9, up $2/mt on the day and against a 2024 average to date of $621/mt.

The upcoming summer season in the Middle East is expected to boost fuel oil stocking activity for power generation purposes, though a significant tightening in inventories for the downstream market is yet to be seen, traders said.