SINGAPORE: Asia’s cash premium for very-low sulphur fuel oil (VLSFO) fell for a second straight day as selling interest persisted, while a steady stream of tenders from Kuwait’s Al Zour refinery is also expected to weigh on the market.

The 0.5% VLSFO cash premium eased to $6.13 a tonne over Singapore quotes as spot offers softened from the previous day, though front-month refining margin rose to a premium of $10.89 a barrel as crude prices eased in Asia trading hours.

Kuwait’s Al Zour had sold its latest cargo for mid-June at a discount of about $8 a tonne to Singapore quotes, market sources said. The price is considered to be expensive after taking into account freight costs, several sources said.