Bunker fuel prices in Singapore and Fujairah are currently at highs not seen seen late 2014 and mid-2015 respectively amid rising upstream crude oil prices and steady bunker demand.
The price of 380 CST delivered bunker fuel in Singapore was assessed at $399.50/mt last Thursday and again Friday before edging down to $395.50/mt Monday. In Fujairah, it hit $394.50/mt last Thursday before edging down to be assessed at $392.50/mt Friday and again on Monday, S&P Global Platts data showed. In Singapore, prices were last higher December 8, 2014, at $409.50/mt, and in Fujairah last higher on May 6, 2015, at $400.50/mt.
Bunker prices in both markets have been supported by stronger crude prices in recent months on top of largely stable bunker fuel demand.
Sellers in Singapore were hoping for a further uptick in demand before the Chinese New Year holiday, while sellers in Fujairah said buying inquiries had picked up slightly this week.
The premium Singapore delivered 380 CST bunker fuel commands over Fujairah delivered 380 CST bunkers has averaged $5.65/mt to date in January, up from $4.50/mt in December, Platts data showed.
Over 2017, Singapore bunkers averaged at a $1.21/mt premium to Fujairah delivered bunkers. Going into February, bunker fuel prices at both ports could receive support around current levels should crude prices remain buoyed, market sources said.