Thu 26-07-2018 09:04 AM
FUJAIRAH, 26th July, 2018 (WAM/S&P Platts) — Oil product stocks at the Middle East’s key oil hub of Fujairah fell 4 percent in the week to Monday, slipping from last week’s seven-month high as light distillate inventories lost ground.
Total oil stocks sank to 19.298 million barrels, down 813,000 barrels from a week earlier, according to the Fujairah Energy Data Committee.
The biggest fall was in light distillate stocks, which declined 12.6 percent to 6.403 million barrels.
“Fundamentals remained largely unchanged — weak in Asia amidst ample supply, but stronger in the Middle East,” S&P Global Platts Analytics said in a report Wednesday.
The report highlighted a buy tender by KPC at Mina al-Ahmadi boosting gasoline demand in the region.
Spot premiums for Arab Gulf RON 95 gasoline were at US$4.05/b as of Tuesday.
Middle distillate stocks dropped 10 percent on the week to 2.708 million barrels.
“Traders said barrels were currently more likely to go east from the Arab Gulf rather than west into Europe,” Platts Analytics said. “This is despite seasonally lower demand in parts of South Asia and Southeast Asia due to monsoon rains.”
Heavy distillate and residue stocks advanced 4.2 percent to 10.187 million barrels, the highest this year and topping 10 million barrels for the first time since December 2017, the report said.
S&P Global Platts holds exclusive rights to publish Fujairah oil inventory data and has deployed a blockchain network for its collation.