Singapore fuel oil stocks drop to 6-month low as net import weakness persists
Singapore’s residual fuel stocks fell 4% in the week ended Aug. 25 to a six-month low amid still low net import volumes, official data showed on Thursday.
Onshore fuel stocks fell from 889,000 barrels, or about 140,000 tonnes, to 21.18 million barrels, or 3.34 million tonnes, their lowest since the week of February 24, according to data from Enterprise Singapore. O / SING1
While Singapore’s weekly net fuel oil imports increased 26% from the previous week to 593,000 tonnes, they were below the 2021 weekly average of 687,000 tonnes for a fifth consecutive week. Weekly figures are volatile, however.
On a year-over-year basis, residual fuel inventories were 8% lower and below the 2021 weekly average of 23.13 million barrels.
The largest net imports came from the United Arab Emirates (UAE) with 210,000 tonnes, followed by Malaysia with 207,000 tonnes, Brazil with 96,000 tonnes and Algeria with 74,000 tonnes.
Singapore’s main net fuel export destinations were the Philippines with 44,000 tonnes, followed by South Korea with 38,000 tonnes and New Caledonia with 37,000 tonnes.
According to Refinitiv Oil Research, fuel oil is flowing to East Asia, most of which arrives in Singapore, for the month of August, between 5 and 5.5 million tonnes, of which 5.2 million tonnes are estimated at this day.
“We expect August arrivals to decline over the month from 5.73 million tonnes in July, due to a slowdown in purchases of fuel oil raw materials in China and, to a lesser extent, in India and South Korea, âsaid Refinitiv Oil Research.
Source: Reuters (Report by Roslan Khasawneh; Editing by Shailesh Kuber)