Asia Fuel Oil-HSFO differential treks up in brisk trading

Reuters
Feb 16
Asia Fuel Oil-HSFO differential treks up in brisk trading

SINGAPORE, Feb 16 (Reuters) - Spot differentials for high sulphur fuel oil (HSFO) maintained at steady to higher levels on Monday, with some more spot trading emerging before the Lunar New Year holidays.

Singapore's 380-cst HSFO cash differential edged up for a sixth consecutive session, buoyed by higher bids and stronger traded values, despite the market structure paring strength.

Meanwhile, very low sulphur fuel oil (VLSFO) market held broadly stable, with cash differential hovering in rangebound discounts this month.

Downstream marine fuel premiums for VLSFO have also tapered off after a temporary period of strength arising from tightness in barges.

Cracks were little changed on Monday as trading has quietened. The 380-cst HSFO FO380BRTCKMc1 closed at a discount of about $2.35 a barrel, while VLSFO LFO05SGBRTCMc1 held at a premium near $5.25 a barrel.

SINGAPORE BUNKER DATA

- Marine fuel sales at Singapore posted a strong start to 2026, holding above 5 million tons for a second consecutive month, port authority data showed.

OTHER NEWS

- Oil traded little changed on Monday, with investors weighing the market implications of upcoming U.S.-Iran talks aimed at de-escalating tensions against a backdrop of expected OPEC+ supply increases. O/R

- Venezuela's state-run oil company PDVSA has refused to sell oil to companies without individual U.S. licenses in the past two weeks, four sources from companies seeking to buy cargoes told Reuters, limiting exports and preventing the country from draining brimming storage tanks faster.

- Valero Energy is set to buy up to 6.5 million barrels of Venezuelan crude in March bound for its Gulf Coast refineries, making it the top foreign refiner of the OPEC country's oil since the United States captured President Nicolas Maduro in January, sources said.

- Spanish energy major Repsol has appointed Juan Romero as its global head of trading, a spokesperson told Reuters.

WINDOW TRADES O/AS

- 180-cst HSFO: One trade

- 380-cst HSFO: Four trades

- 0.5% VLSFO: No trade

ASSESSMENTS

FUEL OIL

CASH ($/T)

ASIA CLOSE

CHANGE

PREV CLOSE

RIC

Cargo - 0.5% VLSFO

462.68

6.30

456.39

MFO05-SIN

Diff - 0.5% VLSFO

-0.59

0.36

-0.95

MFO05-SIN-DIF

Cargo - 180cst

428.95

-1.83

430.78

FO180-SIN

Diff - 180cst

13.80

0.80

13.00

FO180-SIN-DIF

Cargo - 380cst

427.94

-2.72

430.67

FO380-SIN

Diff - 380cst

16.56

0.51

16.05

FO380-SIN-DIF

Bunker (Ex-wharf) Premium - 380cst

2.50

0.00

2.50

Bunker (Ex-wharf) Premium - 0.5% VLSFO

3.50

0.00

3.50

For a list of derivatives prices, please refer to ENSWAP/INFO or the RICs below:

180cst M1

FO180SGSWMc1

180cst M1/M2

FO180SGSDMc1

380cst M1

FO380SGSWMc1

380cst M1/M2

FO380SGSDMc1

0.5% VLSFO M1

LFO05FSGMc1

0.5% VLSFO M1/M2

LFO05FSGSMc1

Cracks 180cst-Brent M1

FO180BRTCKMc1

Cracks 180cst-Dubai M1

FO180SGCKMc1

Cracks 380cst-Brent M1

FO380BRTCKMc1

Cracks 380cst-Dubai M1

FO380DUBCKMc1

Cracks 0.5% VLSFO-Brent M1

LFO05SGBRTCMc1

Cracks 0.5% VLSFO-Dubai M1

LFO05SGDUBCMc1

Visco 180cst/380cst M1

FOVISSGDFMc1

Hi-5 0.5% VLSFO/380cst M1

FO05-380SGMc1

GoFo 10PPM/0.5% VLSFO M1

GO10FO05FSGMc1

East-West M1

FOSGEWMc1

Barges M1

HFOFARAAMc1

Barges M1/M2

HFOFARAASMc1

Crack Barges-Brent M1

HFOFARAACMc1

(Reporting by Jeslyn Lerh; Editing by Sumana Nandy)

((jeslyn.lerh@thomsonreuters.com))

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