Bunker traders in Singapore had a good week. File Image / Pixabay
Delivered bunker margins over cargo prices in Singapore have almost doubled in the past week, according to price reporting agency S&P Global Platts.
The premium for delivered very low sulfur fuel oil (VLSFO) in Singapore over local cargo prices jumped to $25.72/mt on Friday from $13.98/mt a week earlier, Platts reported Monday.
The margin is approaching the 12-week high of $36.08/mt reached on April 30 while Hin Leong's financial troubles were raising concerns about spot availability at the world's largest bunkering hub.
A total of about 9 million mt of fuel oil is currently estimated to be in land-based and floating storage in and around Singapore, Platts said, and the majority of this is thought to be low-sulfur product.
Outright VLSFO prices in Singapore were little changed in the week to Friday, according to Ship & Bunker pricing, losing 50¢/mt to $306/mt.