Asia Fuel Oil-Buying interest lifts 380-cst premiums to 1-mth high
Cash premiums of the mainstay 380-cst fuel oil rose to a one-month high on Monday amid elevated deal activity in the Platts price assessment window. WINDOW TRADES – Five cargo trades were reported in the Platts window, totalling 100,000 tonnes of 380-cst fuel oil. – Mercuria bought all five cargoes from various suppliers including Brightoil, Hin Leong, Vitol, Coastal and Glencore. – Mercuria has bought a total of 320,000 tonnes of fuel oil in the window this month, up from a 40,000 tonne total it bought in July, data compiled by Reuters showed. – The last time 100,000 tonnes or more of fuel oil were traded in the window was on Tuesday. – Please click on for more details. TENDERS – The UAE’s Adnoc has offered up to three 45,000 tonne cargoes of medium-sulphur fuel oil from Ruwais loading over Oct. 25-27, Nov. 7-9 and Nov. 20-22. – India’s IOC has offered two 15,000 tonne cargoes of 180-cst fuel oil for delivery on Sept. 7-9 and Sept. 18-20 from Haldia in a tender that closed on Aug. 14. – India’s Reliance sold 45,000 tonnes of carbon black feedstock to PetroChina for loading at port of Sikka on Sept. 5-6 at an unknown price level. VESSEL COLLISION
Ten sailors are missing and five were injured after a U.S. warship collided with an oil tanker, the Alnic MC, east of Singapore on Monday, the U.S. Navy said, the second accident involving U.S. Navy destroyers in Asian waters in little more than two months. – A crew member on the Alnic MC told Reuters by telephone there was no oil spill from the Liberian-flagged, 183 metre-long (600 ft) tanker, which was carrying almost 12,000 tonnes of pyrolysis fuel oil from Taiwan to discharge in Singapore.
The vessel collision is not expected to have any impact on the Singapore fuel oil market, three sources said. OTHER NEWS – India’s Essar Group on Monday announced closure of $12.9 billion deal to sell its refining arm Essar Oil to a consortium led by Russian oil major Rosneft, boosting ties between the world’s top oil producer and the fastest growing fuel consumer. – The deal will give Rosneft and its partners control of 400,000 barrels per day Vadinar refinery in western Gujarat and its 3,500 retail fuel stations in India, where fuel demand is expected to rise by 5-7 percent in the next few years. – Essar Oil plans to double the throughput of its refinery and create a petrochemical facility in the long-term, a Rosneft’s spokesman told Reuters in emailed comments on Monday.
The catalytic cracker at PetroChina’s Dalian refinery is expected to resume operations in about three weeks following last week’s fire, an industry source with direct knowledge of the matter said on Monday.
Source: Reuters (Reporting by Roslan Khasawneh; Editing by Biju Dwarakanath)