Asia Fuel Oil-Spot 180-cst HSFO trades at steeper discount
SINGAPORE, Jan 6 (Reuters) - The spot market for 180-cst high sulphur fuel oil (HSFO) traded at a steeper discount on Friday compared to last week.
Vitol bought a 20,000-tonne cargo 180-cst HSFO from PetroChina at a discount of $3 to Singapore quotes on Friday, for loading between Jan. 26 to 30. O/AS
Reflecting -term bearishness, the 180-cst HSFO forward curve was in contango for the first half of 2023, Refinitiv data showed Firday. 0#FO180SGSD:
Ample supplies from Russia to Asia have weighed on the spot HSFO market, with the 380-cst HSFO market steadying at thin premiums to Singapore quotes by the end of this week. FO380-SIN-DIF
The 0.5% very low sulphur fuel oil (VLSFO) market also trended steady to lower in recent sessions, with its cash differential easing to a premium of $8 a tonne on Friday.
ARA INVENTORIES STK-FO-ARA
Fuel oil inventories in the Amsterdam-Rotterdam-Antwerp (ARA) refining and storage hub rose 1% week-on-week to 1.11 million tonnes in the week ended Jan. 5, latest data from Dutch consultancy Insights Global showed.
- Oil priceson Friday, supported by hopes of a China demand boost and after data showed lower U.S. fuel inventories following a winter storm that hit at the end of the year.
- Output from Vietnam's largest oil refinery is expected toduring the first 10 days of January as its residual fluid catalytic cracking (RFCC) unit has been shut down due to a technical problem, the government said on Thursday.
- Venezuela's oil exports last yeardue to infrastructure outages, U.S. sanctions and rising competition in its key Asia market despite assistance from ally Iran, according to shipping data and documents.
- Earnings from Shell's liquefied gas trading operations are likely to have beenin the fourth quarter of last year despite a sharp output drop owing to plant outages, it said on Friday.
WINDOW TRADES O/AS
- 180-cst HSFO: One trade
- 380-cst HSFO: No trade
- 0.5% VLSFO: No trade
Cargo - 0.5% VLSFO
Diff - 0.5% VLSFO
Cargo - 180cst
Diff - 180cst
Cargo - 380cst
Diff - 380cst
Bunker (Ex-wharf) Premium - 380cst
Bunker (Ex-wharf) Premium - 0.5% VLSFO
For a list of derivatives prices, including margins, please double click the RICs below.
Cracks 180-Dubai M1
Cracks 180-Dubai M2
Crack Barges-Brent M1
Crack Barges-Brent M2
(Reporting by Jeslyn Lerh; Editing by Shinjini Ganguli)