Asia Fuel Oil-HSFO premium extends slide, Middle East supply improves

Mangalore Refinery and Petrochemicals

30/09/2026 11:20

SINGAPORE, Sept 30 (Reuters) - Spot premiums for high sulphur fuel oil (HSFO) eased further in Asia on Wednesday, while the market eyed more recovery in Middle Eastern supplies.  
Singapore 380-cst HSFO traded at a softer cash premium of $37 a metric ton over cargo quotes into late October, according to data from market sources on Wednesday. 
About 1.3 to 1.5 million tons of Middle Eastern supply arrived in East Asia this month, recovering to a seven-month high, calculations based on LSEG ship-tracking data showed.  
Some steady volumes are also expected to arrive next month as exports from the Middle East have picked up in recent weeks, some sources said.  
Separately, India's HPCL HPCL.NS offered more HSFO for loading in October via a tender that closes on Thursday. Two more cargoes are scheduled to load from Vizag between October 16-18 and October 22-24, according to market sources. 
As for very low sulphur fuel oil (VLSFO), the cargo market was little changed on Wednesday in relatively thin activity.

REFINERY UPDATES 
- A fire broke out at a refinery of India's Mangalore Refinery and Petrochemicals Ltd MRPL.NS on Wednesday and one person was injured in the incident, a spokesperson said.

OTHER NEWS 
- Oil prices steadied on Wednesday but remained on track for a big monthly gain as US-Iran talks aimed at ending their war stalled, while tight fuel markets continued to underpin prices despite recovering Middle East crude supplies. O/R
- OPEC+ oil-producing countries are likely to keep their oil production targets steady for November when they meet on Sunday, two sources with knowledge of the matter told Reuters. 
- Goldman Sachs estimates Gulf oil exports, including "dark exports" involving ships operating with their location transponders turned off, have recovered to 23.3 million barrels per day over the last week, in line with their 2025 average, as exports doubled in September, it said in a note on Tuesday.
- US crude oil and product inventories are expected to have fallen last week, an extended Reuters poll showed on Tuesday.

WINDOW TRADES O/AS 
- 180-cst HSFO: No trade.
- 380-cst HSFO: One trade.
- 0.5% VLSFO: No trade.
     
ASSESSMENTS
FUEL OIL




CASH ($/T)
ASIA CLOSE
CHANGE
PREV CLOSE
RIC
Cargo - 180cst
674.07
-8.52
682.60
FO180-SIN
Diff - 180cst
41.50
-5.20
46.70
FO180-SIN-DIF
Cargo - 380cst
662.09
-11.32
673.41
FO380-SIN
Diff - 380cst
37.00
-8.38
45.38
FO380-SIN-DIF
Cargo - 0.5% VLSFO 
782.92
-8.64
791.57
MFO05-SIN
Diff - 0.5% VLSFO
30.15
-0.85
31.00
MFO05-SIN-DIF
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 Jochelle Mendonca)
 ((jeslyn.lerh@thomsonreuters.com))