Fujairah fuel oil stocks slip in October as VLSFO availability improves

Heavy distillate and residual stocks in Fujairah have averaged about 4.10 million barrels in October so far, roughly 9% below the September average, according to port zone data reported by ENGINE. That level is still higher than the August average. Middle distillate stocks dipped slightly from September to about 2.40 million barrels, but they remain well above August levels.

The drop came as fuel oil flows both into and out of the port slowed. Imports fell compared with September, and exports fell by a larger amount, so Fujairah stayed a net exporter of fuel oil. Singapore took more than half of the outbound volume.

For buyers the more useful signal is on the ground. A regional source told ENGINE that VLSFO availability has improved at Fujairah, even with vessel traffic through the Strait of Hormuz still disrupted by US-Iran tensions. The same source said LSMGO and HSFO supply remains limited.

What this means for a stem:

• VLSFO enquiries for Fujairah should be easier to place than earlier in the month.
• If you need LSMGO or HSFO there, ask well ahead of arrival and keep a backup grade or port in mind.
• Watch Hormuz headlines, since fresh disruption could quickly change the picture for all grades.