Total refined product stocks at the UAE port of Fujairah stood at 15.895 million barrels in the week to October 30, down 1.1% from the previous week, according to data from the Fujairah Energy Data Committee (FEDCom).
While in absolute terms the week on week change was relatively small, stocks of light and middle distillates fell to their lowest levels since the start of Fujairah stocks reporting, S&P Global Platts Analytics said in a report.
Stocks of light distillates fell by 2.5% week on week to 4.266 million barrels, the data showed. The petrol market is resisting the usual seasonal demand slump in the fourth quarter due to healthy regional demand, according to Platts Analytics. European barrels, which usually flow to the Middle East, have instead been going to West Africa due to very healthy demand there. In Asia, recent tenders from Indonesia, Vietnam and Sri Lanka have added to regional demand.
Stocks of middle distillates fell by 9.5% week on week to 2.245 million barrels, the data showed.
Stock levels remained below 3 million barrels for the seventh week in a row, although supply fundamentals could lean towards more supply and higher stocks levels over the next few months, Platts Analytics said.
Additional spot supplies of gasoil have emerged as the bulk of current refinery maintenance in both the Middle East and Asia will soon be completed, it added. Stocks of heavy distillates and residues rose by 1.8% to 9.384 million barrels, but remained below 10 million barrels for a fifth consecutive week.
The fourth quarter typically sees a pickup in regional bunker demand, but demand in Fujairah is likely down year on year due to regional politics and reduced regional crude exports due to OPEC production cuts, Platts Analytics said.
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