Dubai bunker demand rebounds as Oman market remains steady

Bunker demand at Jebel Ali in Dubai has rebounded from the summer slowdown, while Omani ports continue to see steady demand growth, according to market sources.

"In August, Jebel Ali showed signs of recovery from the summer slowdown," a Dubai-based trader said Sept. 12. "With traders returning from vacation, we've seen a steady pickup in demand, and voyages are expected to rise further after Sept. 20, particularly for bulk carriers. Operational conditions are also improving, with better OPL supplies and easing monsoon disruptions supporting activity at the port."

Additionally, there was a notable increase in demand for high sulfur fuel oil at Jebel Ali port during August, particularly driven by scrubber-fitted vessels. "We are currently seeing a price difference of approximately $100," the trader said. "Despite various tensions in the market, prices are stabilizing now."

Platts, part of S&P Global Energy, assessed 0.1%S low sulfur marine gasoil delivered to Dubai on Sept. 12 at $753/mt, down $4/mt week over week. Platts assessed 0.5%S marine fuel delivered to Dubai at $512/mt, down $9/mt over the same period.

Iraq

Bunker demand at Iraq's southern ports remained steady in August, driven by strong Basra crude exports and increased container calls, even as supply pressures and operational constraints weighed on the market.

"Iraq's southern ports at Umm Qasr saw steady bunker activity in August, supported by robust Basra crude exports and increased container calls from majors such as MSC and Evergreen, which lifted overall volumes," trader Vinayak Kharmale from Trading and Operations from Sea Crown Marine Services DMCC told Platts Sept 16. "Average monthly bunker demand hovered in the 25,000-30,000 mt range, with additional pressure on supply from the commissioning of power ships at Umm Qasr and Khor Al-Zubair that draw on local fuel pools."

While the upcoming floating storage and regasification unit at Khor Al-Zubair points to medium-term relief as gas displaces oil in power generation, near-term constraints persisted due to extreme heat, sandstorms, tighter port oversight and continued compliance caution around blending risks.

"As a result, many shipowners treated Basra bunkers as opportunistic top-ups, relying on Fujairah for their primary stems," Kharmale said.

Oman bunker market stable

Oman's bunker market remained steady in August, even as a new government directive shifted road tanker supply exclusively to local Riyada-certified firms in line with the country's Vision 2040 strategy.

"August did not see changes compared to previous months. Demand remained steady with a balanced level of supply available to meet requirements.", an Omani-based trader said.

Oman issues a directive favoring local firms for road tanker bunker supply. The Ministry of Transport, Communications and Information Technology (MTCIT) has granted exclusive authorization to specialized Omani companies holding a valid Riyada card to supply fuel to ships via road tankers, market sources told Platts.

While offshore bunker supply via barges remains unaffected, the move is aimed at empowering local firms, aligning with Oman's Vision 2040 strategy to strengthen domestic economic participation and enhance service sustainability.

"This decision directly supports national strategies by reinforcing the role of Omani companies in the maritime supply chain and improving the reliability of services offered to strategic partners," one trader said.

Platts assessed low sulfur marine gasoil 0.1%S delivered Salalah at $835/mt, down $2/mt in the week ended Sept. 12, while marine gasoil delivered Muscat was assessed at a $19/mt premium to marine gasoil delivered Sohar at $793/mt.