FUJAIRAH DATA: Oil product stocks little changed as Russia sends more fuel oil

Stockpiles of oil products at the UAE's Port of Fujairah were little changed in the week ended Aug. 26, as Pakistan returned to the port for gasoline after a two-week absence and fuel oil imports from Russia jumped to their highest since March, according to Fujairah Oil Industry Zone and cargo-tracking ship data.

Total product inventories at the port edged 0.4% lower on the week to 17.803 million barrels, FOIZ data published Aug. 28 showed. Stockpiles have increased 2.7% since the end of 2023.

Stocks of light distillates such as gasoline and naphtha dropped 14% to 6.282 million barrels, while those of middle distillates, including diesel and jet fuel, declined 7.4% to 2.586 million barrels. Both categories fell to two-week lows.

Heavy distillates and residues, used for power generation and as ship fuel, climbed 15% to 8.935 million barrels, marking the first increase in four weeks from a two-and-a-half-year low the previous week.

Some 492,000 barrels of gasoline headed to Pakistan from Fujairah in the week started Aug. 19, the highest since mid-June, according to Kpler data. Pakistan has been trying to reduce gasoline imports by upgrading its own refineries, but shipments from Fujairah to Pakistan so far this year have averaged 20,700 b/d, compared with 17,800 b/d in 2023.

Russia back

Fuel oil shipments from Russia to Fujairah totaled 1.26 million barrels in the Aug. 19 week, up from nil a week earlier and the highest since March 11, Kpler data showed.

Ship demand for fuel oils at the port -- the world's third-largest bunkering hub -- has been steady, traders said, with the low sulfur fuel oil premium higher for August and the high sulfur fuel oil premium lower, according to S&P Global Commodity Insights data. One bunker supplier said it stopped offering HSFO because a new barge due to replace an old one has not yet arrived.

For LSFO, the Platts-assessed Fujairah-delivered marine fuel 0.5% sulfur bunker premium over benchmark FOB Singapore marine fuel 0.5%S cargo averaged $14.15 per metric ton this month through Aug. 27, up from $12.13/t in July.

For HSFO, the Platts-assessed Fujairah-delivered 380 CST bunker premium over the FO 380 CST 3.5% FOB Arab Gulf cargo fell to $22.66/t from $23.92/t over the same period.

So far since the end of 2023, stocks of light distillates have jumped 34%, heavy distillates have dropped 12% and middle distillates have climbed 3.2%.