The 380-cst fuel oil Feb/March time spread was trading at parity around the end of Asian trading hours, up from a discount of 25 cents per tonne in the previous session, while the February 180-cst fuel oil crack was at its narrowest discount to Brent crude in almost two weeks.
WINDOW TRADES
- One 20,000-tonne 180-cst fuel oil cargo trade was reported in the Platts window on Monday, sources said.
- Vitol bought the cargo from Reliance at a discount of $1 a tonne to Singapore quotes.
- The last time a 180-cst cargo changed hands in the window was on Monday in the previous week when Vitol bought a similar cargo from PetroChina at the same discount to Singapore quotes.
- Please click on for more details.
TENDERS
- Taiwan's CPC is offering up to 24,000 tonnes of catalyst fractionator bottom (CFB) with a maximum 1.6 percent sulphur content for loading on Jan. 23-31 in an offer closed in Jan. 18 with next day validity, trade sources said.
- Sri Lanka's Ceypetco has received offers for its requirements to import up to 35,000 tonnes of 180-cst fuel oil with a maximum 1.8 percent sulphur content into Colombo over Feb. 19-20.
- BB Energy submitted the lowest offer to Ceypetco at a premium of $29.87 a tonne to Singapore 180-cst quotes on a DES basis, sources said.
- South Korea's GS Caltex has sold up to 550,000 barrels of fuel oil with a maximum 4.5 percent sulphur content loading from Yeosu over Feb. 15-19 to Mercuria at an unknown price level, trade sources said.
- For more information, please see.
CHINA OUTPUT
- China's fuel oil output in December fell 20.6 percent year-on-year to 2.04 million tonnes, according to data released by the National Statistical Bureau on Monday.
- China's fuel oil output in 2017 totalled 26.934 million tonnes, down 0.7 percent from the previous year, the data showed.
MIDEAST CRUDES
Some Middle East crude oil grades have fallen into discounts against their benchmarks for sales to Asia in March, a sign of a weakening market, as fuel oil margins have declined, curbing refiners' appetites for the oil, multiple trade sources said on Monday.