Fujairah Oil product stockpiles drop for first time in 4 weeks

FUJAIRAH, 4th April, 2019 (WAM/S&P Platts) — Inventories of oil products at the Fujairah hub dropped for the first time in four weeks as traders noted strong demand for marine fuels on Monday, according to data released by the Fujairah Oil Industry Zone yesterday.

Total stockpiles stood at 23.277 million barrels as of Monday, down 3.5 percent on week, the biggest percentage decline since the week-ended 11th February.

Heavy distillates and residues, including marine bunker fuels, fell four percent to 9.987 million barrels, after climbing to a 15-month high a week earlier. Stockpiles have soared 61 percent this year.

The pickup in demand on Monday, however, did not last, with traders saying Tuesday that the market had turned sluggish. Fujairah-delivered bunker fuel with 380 CST, a measure of viscosity, was assessed at US$427.75/mt Tuesday, down US $2.25/mt from Monday. By comparison, Singapore-delivered 380 CST bunker was assessed at $426.50/mt, down $2/mt from Monday.

Light distillate stockpiles dropped three percent for the week to 11.243 million barrels and middle distillates slipped five percent to 2.047 million barrels, for a third-consecutive weekly decline.

For the year, total Fujairah stockpiles have climbed 34 percent, with middle distillates up 40 percent and light distillates 16 percent higher.

S&P Global Platts has deployed a blockchain network for collation of the Fujairah data.


WAM/Nour Salman


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