Dubai — Refined product stocks at the Middle Eastern hub of Fujairah fell 1.6% in the week to Monday, led by a decline in heavy distillates and residues, according to data released Wednesday by the Fujairah Oil Industry Zone.
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Total stocks dropped to 20.4 million barrels, a two-week low.
Heavy distillates, including fuel for marine bunkers and power generation, slipped 8% to 10.265 million barrels, also the lowest since the end of 2019.
The Fujairah port has experienced delays due to excessive rainfall, S&P Global Platts reported previously.
"General delays are around 24 to 36 hours with some up to 48 to 72 hours," one bunker supplier told Platts. Market sources said the delays are unlikely to push prices higher. "There is not much change in demand for bunker fuel in Fujairah," another supplier said.
Some traders said they received requests to divert their spot cargoes to Singapore and East Asia instead of Fujairah, after the US killing of a top Iranian general in Iraq and Iran's retaliation, Platts reported last week. "I think the diversion is mostly a knee-jerk reaction from what happened in Iran," a trader said. "I think everything will be back to normal by the end of the month."
Inventories of middle distillates, such as gasoil, diesel, marine gasoil, jet fuel and kerosene, jumped 18% to a three-week high of 4.295 million barrels.
Meanwhile, light distillates, including gasoline, fell 1% to 5.846 million barrels.
Fujairah has the largest commercial storage capacity for refined products in the Middle East.
Platts is the official publisher of the oil product data.