Asia spot fuel oil differentials were largely flat on Wednesday in thin pre-holiday trade, while markets held in rangebound contango from the previous session.

Singapore 380-cst high sulphur fuel oil (HSFO) differential was pegged at a discount of nearly $1.60 a metric ton, while very low low-sulphur fuel oil (VLSFO) held at a discount of about 45 cents.

Prompt markets held in contango due to amply available supply, while demand for spot bunkers largely slowed this week.

Cracks for VLSFO (LFO05SGBRTCMc1) hovered steadily at premiums of above $4 a barrel, while 380-cst HSFO cracks (FO380BRTCKMc1) were at discounts of nearly $7 a barrel, LSEG data showed.

OTHER NEWS

– Oil prices steadied on Wednesday, after gaining in the previous five sessions, supported by robust U.S. economic growth and the risk of supply disruptions from Venezuela and Russia.
– Venezuela’s state-run oil company PDVSA has started filling tankers with crude and fuel oil and keeping them in Venezuelan waters, as inventories have mounted due to the U.S. seizing Venezuela-linked ships at sea, according to company documents and shipping data.
– Bahrain’s sole oil refiner BAPCO Energies has shipped out its first diesel cargo to Australia in nearly 2-1/2 years, data from shiptrackers and three trade sources showed, as it ramps up production and exports amid a capacity expansion.
– Iraq’s supply of gas from Iran has been halted, the electricity ministry said, adding that the stoppage was due to the shutdown of some generating units and load shedding at others.

WINDOW TRADES

– 180-cst HSFO: No trade
– 380-cst HSFO: No trade
– 0.5% VLSFO: No trade
Source: Reuters