Sales of marine fuel in Singapore rose for a third consecutive month in July as demand at the major bunker hub remained robust, official data showed on Friday.
Bunker sales totalled 4.73 million tonnes in July, up 1.3 per cent from June, according to data from the Maritime and Port Authority of Singapore. Healthy demand and tighter prompt supply had driven spot premiums higher towards the end of July, market sources said.
Demand in Singapore was also supported as the typhoon season in Northeast Asia hampered bunkering at some of the ports there, sources said.
Flagship low-sulphur fuel oil volumes rebounded month-on-month to 2.33 million tonnes, while high-sulphur marine fuel sales dipped slightly to 1.95 million tonnes, MPA data showed. Meanwhile, total marine gasoil sales rose to a five-month high of 359,600 tonnes.
Conventional fuel sales continued to dominate the market, with demand for alternative fuels remaining tepid despite a slight monthly recovery.
Total bio-blended bunker volumes rose 5.3 per cent month-on-month to 39,500 tonnes, but were down 67.1 per cent from July last year.
Market sources said this was mostly of B30 grade.
Separately, liquefied natural gas bunker sales gained 6.8 per cent from June to 58,700 tonnes in July, while firming 41.3 per cent year-on-year. Market sources expect LNG bunker activity to gather pace as eight new licences have been issued.
(Reporting by Jeslyn Lerh; Editing by Subhranshu Sahu)