off-the-wire

Asia Fuel Oil-VLSFO cash premium posts weekly gain as inventories decline at key hubs

Kitco Media
By Reuters
Published:
Updated:
Reuters
NEW DELHI, March 17 (Reuters) - Spot premiums for Asia's very low sulphur fuel oil (VLSFO) rose by about 16% this week, as inventories at key trading hubs declined, and a volatility in crude benchmarks supported prices. The cash differential for 0.5% VLSFO rose by 25 cents to $5.23 a tonne on Friday. The 180-cst HSFO cash differential was steady at $6.31 a tonne, while the 380-cst HSFO cash differential dipped by 17 cents to $6.47 a tonne. According to FGE estimates, Fujairah fuel oil stocks dropped towards the historical range for the second week in a row, by 1.4 million barrels due to lower demand for bunker fuel and are just 0.3 million barrels above the range. Stocks also declined at ARA, Japan and the U.S., while only Singapore inventories registered a rise.


NEWS - Malaysia's state oil and gas firm Petroliam Nasional Berhad , known as Petronas, wants to extend its long-term contracts with Japanese customers to supply liquefied natural gas (LNG), a company executive said on Friday. - Russia's piped supply of Urals crude to the European Union via the southern spur of the Druzhba pipeline in the current January-March quarter is set to rise 6% on a daily basis from October-December 2022, data provided by industry sources and Reuters calculations showed. - Oil prices firmed on Friday as a meeting between Saudi Arabia and Russia calmed markets and after support measures stabilised a banking crisis that set oil prices on course for their biggest weekly fall since December. SINGAPORE CASH DEALS - 180-cst HSFO: Two trades - 380-cst HSFO: No trade - 0.5% VLSFO: No trade


PRICES
CASH ($/T) ASIA CLOSE CHANGE PREV RIC CLOSE
Cargo - 0.5% VLSFO 535.75 9.12 526.63 Diff - 0.5% VLSFO 5.23 0.25 4.98 <MFO05-SIN- DIF> Cargo - 180cst 398.13 -5.54 403.67 Diff - 180cst 6.31 0.06 6.25 <FO180-SIN- DIF> Cargo - 380cst 385.20 -2.48 387.68 Diff - 380cst 6.47 -0.17 6.64 <FO380-SIN- DIF> Bunker (Ex-wharf) 7.25 -7.75 15.00
Premium - 380cst
Bunker (Ex-wharf) 11.50 0.25 11.25
Premium - 0.5% VLSFO



For a list of derivatives prices, including margins, please
double click the RICs below.
Brent M1 <BRENTSGMc1


>
180cst M1 <FO180SGSWM


c1>
180cst M1/M2 <FO180SGSDM


c1>
180cst M2 <FO180SGSWM


c2>
Visco M1 <FOVISSGDFM


c1>
Visco M2 <FOVISSGDFM


c2>
380cst M1 <FO380SGSWM


c1>
380cst M1/M2 <FO380SGSDM


c1>
380cst M2 <FO380SGSWM


c2>
Cracks 180-Dubai M1 <FO180SGCKM


c1>
Cracks 180-Dubai M2 <FO180SGCKM


c2>
East-West M1 East-West M2 Barges M1 <HFOFARAAMc


1>
Barges M1/M2 <HFOFARAASM


c1>
Barges M2 <HFOFARAAMc


2>
Crack Barges-Brent M1 <HFOFARAACM


c1>
Crack Barges-Brent M2 <HFOFARAACM


c2>

(Reporting by Mohi Narayan; Editing by Varun H K)

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