FUJAIRAH / WAM/S&P Platts
Refined oil product stockpiles at the Middle Eastern hub of Fujairah jumped 10 percent in the week to August 12 to 21.253 million barrels — an eight-week high — according to data released on Wednesday by the Fujairah Oil Industry Zone (Foiz).
The biggest increase was in middle distillates, which ballooned 35 percent to 2.86 million barrels. Lackluster demand in the region amid the Eid holiday was noted in a report by S&P Global Platts. “Cargoes are still flowing to Singapore and demand is still weak,” a source said, according to the Platts report.
The middle distillates category includes gasoil, diesel, marine gasoil, jet fuel and kerosene. Jet fuel demand is expected to dwindle further with the conclusion of the peak summer travel season, another Platts report noted.
Heavy distillate and residue stocks, including fuel oils used for marine bunkers and power generation, saw a less pronounced gain, rising 13 percent to 10.739 million barrels, the highest since 24th June.
Light distillates was the only category to see a drop in inventories, falling 0.5 percent during the period to 7.654 million barrels. Light distillates covered in the report are gasoline, naphtha and condensates that are stored in white product tanks and have an API of 45
degrees and above.