ARA fuel oil stocks gain 9% in August so far

In August, the ARA's fuel oil stocks have risen by 9% compared to July, according to Insights Global data. The fuel oil stock has increased to 4.41 million barrels, up from 4.01 million barrels in July, while gasoil stocks have decreased to 11.90 million barrels, down from 12.25 million barrels in July. The ARA hub has imported 363,000 barrels per day of fuel oil in August, more than double the July average of 159,000 barrels per day.

The shipments mainly came from Benin, Venezuela, and France. On the other hand, the region has exported 160,000 barrels per day of fuel oil in August, down from 175,000 barrels per day in July. The independent gasoil inventories have dropped by 3% in August compared to July, reaching their lowest level in four years. The region has imported 148,000 barrels per day of gasoil in August, up from an average of 119,000 barrels per day in July, with the majority of shipments arriving from the US, Sweden, and Nigeria.

Fuel availability is currently tight in the ARA, with buyers advised to expect lead times of 5-7 days for competitive offers from various suppliers. In Rotterdam, HSFO and LSMGO bunker prices have increased by around 9% and 8%, respectively, over the past month, while VLSFO's price has declined by around 2% during the same period.