Zhoushan bunker premiums ease from 2-week high as deliveries resume on improved weather

Bunker deliveries at China's Zhoushan port partially resumed May 28 after strong winds halted barging operations at major anchorages May 27, according to bunker suppliers and buyers, with Zhoushan-delivered marine fuel premiums retreating from two-week highs May 27 on improving weather conditions.

The Platts-assessed premium for Zhoushan-delivered marine fuel 0.5%S bunker fuel over benchmark FOB Singapore Marine Fuel 0.5%S cargo assessments weakened 69 cents/mt on the day to $4.75/mt May 27, retreating from a two-week high of $5.44/mt May 24, S&P Global Commodity Insights data showed.

Deliveries at the anchorage of Xiushandong resumed early May 28, while the inner anchorage of Mazhi was the sole location to remain open since May 27, sources said.

But bunker deliveries at the major anchorages of Xiazhimen and Tiaozhoumen remained suspended, with little clarity on when barging operations would fully resume.

"It depends on the Marine Port Authority," said a local bunker supplier, adding that there was no official announcement on it so far.

Northeasterly winds blew at the speed of 39-74 km/h in midafternoon, peaked at 88 km/h in the evening and maintained through the rest of the night, according to weather data by Zhoushan Marine Meteorological Research Center.

The wind speed was expected to come off slightly May 28, at about 39-61 km/h and peak at about 62-74 km/h from noon, and further on May 29, with speeds in the range of 29-49 km/h and up to 61 km/h.