Al Zour's exports are closely watched by traders as it is poised to be a major exporter of VLSFO once it ramps up fully, with most of its product expected to land in key ship refuelling hubs including Singapore and Fujairah in the United Arab Emirates. The refinery last closed a VLSFO tender on March 21, when it offered about 120,000 tonnes for loading between April 7 and 8.
The company has typically issued such tenders every one to two weeks since it started ramping up exports earlier this year.
The refinery, which began exports in November, has been partially shut down
due to technical issues, a spokesperson for Kuwait Integrated Petroleum
Industries Company said on Wednesday.
Kuwait Petroleum Corp, which owns the refinery operator, did not respond
to requests for further comment.
The company had added in a tweet that efforts were under way to gradually
restore operations there within two weeks.
Speculation about the refinery's production issues had spurred a short-lived
recovery in Asia's VLSFO market causing spot differentials and prompt intermonth
spreads to rise for three trading sessions.
However, the price gains fizzled out over this week as broader supplies
remain ample in Asia.
Tender Grade Volume Loading Winner
1 0.5% S max 100KT Nov 29-30 BP
2 0.5% S max 100KT Dec 23-24 Trafigura
3 0.6% S max 100KT Jan 1-2 Glencore
4 0.5% S max 100KT Jan 8-9 Marubeni
5 0.5% S max 100KT (x3) Jan-Mar Glencore
6 0.5% S max 100KT (x3) Feb-Apr Glencore
7 0.5% S max 120KT Feb 17-18 Marubeni
8 0.5% S max 120KT Feb 24-25 Marubeni
9 0.5% S max 120KT Mar 7-8 Maersk
10 0.5% S max 120KT-150KT (x3) Mar-May Glencore
11 0.5% S max 100KT Mar 24-25 Trafigura
12 0.5% S max 120KT Apr 3-4 BP
13 0.5% S max 120KT Apr 7-8 Aramco
(Source: Trade sources)
(Reporting by Jeslyn Lerh; Editing by Simon Cameron-Moore)
