Asia/Pacific News
Sharp Fall for Pakistan Bunker Prices on Lack of Refinery Storage
IFO180 bunker prices in Pakistan have fallen sharply this month following a lack of storage for new product at local refineries.
IFO prices Friday in Port Muhammad Bin Qasim started the month at an indicated $425/mt, before falling to $408 on Monday and a further $16 to $392/mt as of Tuesday, Ship & Bunker data showed.
Bunker price indications in the country typically only adjust around twice a month.
"Local refineries have no storage left. Local power plants are using gas and coal too, therefore, prices keep going down as refineries want to create space in their storage tanks," Zeeshan Arshad, Director Bunkers at local physical supplier Orion Bunkers Limited told Ship & Bunker.
The recent dip in prices puts bunkers at a significant discount to IFO380 product in the nearby port of Mumbai, which Ship & Bunker data Monday indicated at $412.50/mt, while IFO180 in Fujairah was indicated at $410.50/mt.
IFO180 prices in Pakistan are expected to fall further over the next one-to-two months, Arshad added.
