Hong Kong bunker fuel suppliers said Friday they have settled ex-wharf premiums for October-loading 380 CST bunker fuel with importers at around $16/mt above Mean of Platts Singapore 380 CST high sulfur fuel oil assessments, compared with $15.50-17.50/mt in September.
Suppliers said October premiums were almost the same as in September or slightly lower.
The differential for Singapore 380 CST HSFO -- the benchmark used to negotiate ex-wharf premiums in the Hong Kong market -- was weaker, averaging minus $2.73/mt over September 1-26, compared with minus $2.53/mt in August, according to Platts data.
Meanwhile, premiums for Hong Kong ex-wharf 180 CST bunker fuel for September were settled at $16-18/mt to MOPS 180 CST HSFO assessments, compared with $17-18/mt for September, suppliers said.
The differential for Singapore 180 CST HSFO averaged minus $3.21/mt over September 1-26, compared with minus $4.21/mt in August, Platts data shows.
Premiums for marine gasoil in Hong Kong for September were settled at $17-18/mt over MOPS gasoil assessments, up from $16-17/mt in September, according to suppliers.
Fuel oil is imported into Hong Kong by ExxonMobil, Chevron, Sinopec and Chimbusco Pan Nation, mainly from Singapore, and sold on an ex-wharf basis as bunker fuel to local traders and major suppliers like Chimbusco Pan Nation, Vermont, Feoso, Sinopec and Soaring Dragon.
Importers sell bunker fuel to suppliers at the monthly average of MOPS HSFO cargo prices. These suppliers then deliver the fuel to ships using their own barges on a delivered-price basis.
Hong Kong suppliers sell about 500,000 mt/month of bunker fuel, and the port has the capacity to store 450,000-500,000 mt of fuel oil.
Of the total storage capacity, ExxonMobil owns 310,000 mt, of which 250,000-260,000 mt has been leased out to Chimbusco Pan Nation since February 2012. The rest of the storage capacity is owned by Sinopec (100,000 mt) and Chevron (60,000 mt), bunker suppliers said.
