Fujairah, UAE – Stockpiles of oil products at the Port of Fujairah in the UAE have rebounded by 4.5% during the week ending on September 11, marking the first increase in four weeks following a slump to a 17-month low just a week prior, as per the latest data released by the Fujairah Oil Industry Zone (FOIZ).
According to the data exclusively provided to S&P Global Commodity Insights on September 13, the total inventories of oil products have surged to 16.717 million barrels as of September 11. This recovery comes after the stockpile hit its lowest point since April 2022 on September 4. Over the previous four weeks, the total stockpile had witnessed a sharp decline of 15% and was down by 19% compared to the levels recorded at the end of 2022.
Breaking down the inventory data, it was revealed that middle distillates registered a notable increase of 25%, reaching 1.801 million barrels during this period. In contrast, light distillates dipped by 2.2% to 5.826 million barrels, while heavy distillates, primarily utilized as fuel oil for power generation and shipping, surged by 5.6% to 9.09 million barrels.
Oil product exports, excluding fuel oil, from Fujairah witnessed a decline, averaging an estimated 303,000 barrels per day (b/d) during the week commencing on September 4. This represents the lowest export figures recorded since early July, according to data from S&P Global Commodities at Sea. Singapore emerged as the leading destination, receiving 163,000 b/d. In contrast, fuel oil exports maintained their strength, averaging 307,000 b/d in the latest week and sustaining levels above 300,000 b/d for the third consecutive week.
Looking at the broader picture for the year 2023, heavy distillates’ stockpiles have experienced a decline of 10%, while light distillates have fallen by 22%, and middle distillates have decreased by a substantial 42% over the same period.