Fujairah Bunkers: Return of Iranian Fuel Oil Behind Big Drop in Cat Fines

by Ship & Bunker News Team
Tuesday April 19, 2016

Data provided to Ship & Bunker by Veritas Petroleum Services (VPS) shows there has been a significant drop in cat fines in Fujairah's bunkers, along with an overall improvement in bunker quality at the port, that coincides with the post sanctions return of Iranian fuel oil to the local market.

For the February to March period, VPS' data shows 2016 saw cat fines (Al+Si) fall 42.5 percent from 40 ppm to 23 ppm compared to the period in 2015.

While always remaining well within ISO8217 levels of 60 ppm, some engine manufacturers recommend using fuels with levels as low as 15 ppm.

Density also improved year-on-year, edging down from 984 kg per cbm to 977.9 kg per cbm, while energy content rose to 40.25 mj/kg compared to 40.18 mj/kg for the period in 2015.

The changes show an improvement in quality and thus more value for money, said VPS, while lower density and lower Al+Si may suggest the use of less refined streams, and will make efficient fuel treatment easier to achieve.

While Iranian fuel oil was never absent from Fujairah during sanctions, it made supplies from Iran more difficult to acquire and transport, which were likely blended before reaching the market.

A recent report by Platts noted that Fujairah saw about 600,000 mt of Iranian fuel oil added to its pool for the 2016 period, a volume that is predicted to be maintained at around 300,000 mt per month over the coming months.

In March, Ship & Bunker reported that the bunkering market in Fujairah was said to be "facing headwinds due to low prices and Iranian oil which has flooded the market with supply."