Category: ARA stocks

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) oil trading hub gained in the week to 22 February, according to consultancy Insights Global, reaching their highest since July 2021.

The increase was driven by a jump in fuel oil stocks.

Gasoil imports climbed for a fourth consecutive week.

Fuel oil deliveries into the ARA region gained almost a tenth on the week. Cargoes unloaded at the hub from northwest Europe, Poland, Greece and Spain, while shipments departed for Brazil, west Africa and the UK.

Greece was among Europe’s biggest importers of Russian fuel oil before sanctions, taking cargoes in the final days before the EU’s embargo came into force on February.

Greek-origin fuel oil into ARA is an unusual flow, which could suggest the country is consuming Russian fuel oil and exporting its own domestically produced volumes.

Gasoil inventories also rose, gaining during the week, their highest since February 2021, according to Insights Global.

Although gasoil stocks continue to grow, with companies looking to cushion themselves against any shortfall in supply following the sanctions, the rate of stockpiling has start to ebb.

Demand for gasoil up the Rhine was reportedly firm, according to Insights Global, but low water levels as well as higher freight rates are restricting volumes shipped on this route.

At the lighter end of the barrel, gasoline inventories at the hub edged up.

Cargoes departed the hub for northwest Europe, the US and west Africa. But volumes bound for the US were limited, with less workable economics for the route pressuring shipments, according to Insights Global.

Gasoline blending activity at the hub is reportedly picking up as companies prepare for an increase in demand starting from next month, in advance of the US summer driving season, according to Insights Global.

This in turn has reduced naphtha stocks, which shed on the week.

Low water levels on the river Rhine have restricted volumes of the feedstock into Germany to supply the petrochemical sector.

Reporter: Georgina McCartney

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) oil trading hub fell in the week to 15 February, according to consultancy Insights Global. The downturn was driven by a drop in jet fuel stocks.

Firm jet fuel demand from northwest Europe weighed on inventories at the hub, with flows to the UK and Ireland reducing supplies and no imported volumes to replenish stock levels.

Gasoil inventories at the hub made gains on the week, their highest since April 2021.

Although stocks have been growing consistently since October, the rate of increase has slowed. Companies had been stockpiling diesel in advance of the EU’s embargo, also pulling in Russian-origin gasoil, allowing a build-up of product on the continent.

Europe subsequently found itself oversupplied, which could explain a slowdown in imported volumes, while also losing Russian volumes with sanctions now in full force.

And demand up the river Rhine was stable on the week but still weak, according to Insights Global, owing to lower water levels restricting volumes that can be shipped by barge.

Gasoline stocks also grew on the week, their highest since late August.

Inventories of the road fuel probably rose on dampened US export demand and high freight rates. Clean tanker rates from northwest Europe to the US east coast rose significantly this week, more than double on the week.

Higher freight rates have probably made transatlantic arbitrage economics less workable, pushing up stocks in Europe.

Cargoes carrying gasoline departed ARA for Brazil, Canada, Spain the US and west Africa. Volumes bound for the US and west Africa were smaller compared with last week, according to Insights Global.

At the heavier end of the barrel, fuel oil stocks declined on the week, their lowest since mid-December. Vessels loaded fuel oil at ARA for northwest Europe, the Mediterranean and west Africa, while volumes arrived from Estonia, Poland, Greece and the UK.

Reporter: Georgina McCartney

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) trading hub edged higher on the week, as gasoil stocks build ahead of the 5 February Russian products ban, according to data from consultancy Insights Global. 

The increase was driven by a hike in gasoil inventories, the highest since July 2021.

Gasoil cargoes arrived at ARA from China, Kuwait, Russia and Saudi Arabia and departed to Poland and the UK. ARA gasoil stocks are higher than a year ago, with trading firms braced for the EU’s embargo on Russian product imports.

The ban, which comes into effect on 5 February, will be most acutely felt in Europe’s diesel market. 

Naphtha stocks fell during the week, an eight-week low, mainly a result of higher gasoline blending activity in the region.

Gasoline blenders are utilising more naphtha at the moment while petrochemical producers are slowly building their stocks after December.

Naphtha arrived at the hub from Algeria, Portugal, Russia, Spain and the US, and no cargoes left. 

Fuel oil remained virtually unchanged on the week as low demand was observed in the market, according to Insights Global.

Inventories declined. Traders reported a continuing fall in availability of low-sulphur blendstocks used in the production of VLSFO, lending support to the widest premiums to Ice Brent crude futures since September. 

Gasoline stocks have also decreased as high export demand to the US and west Africa keeps gasoline blenders busy.

The rise comes as the market is bracing for a tighter supply of octane boosters needed to get gasoline up to required standards, according to Insights Global. 

Reporter: Mykyta Hryshchuk

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) trading hub edged down on the week on 25 January, ending three consecutive weeks of stockbuilds, according to data from consultancy Insights Global.

The fall was driven by a drop in jet fuel inventories, which settled on 25 January.

Jet fuel arrived at the hub from Saudi Arabia and departed for Norway and the UK.

Fuel oil stocks fell on the week, possibly due to reduced availability of blending components for very low-sulphur product.

Low-sulphur vacuum gasoil (VGO) is being directed into the gasoline blending pool due to strengthening gasoline margins.

Fuel oil departed the ARA hub for the UK, west Africa, Norway and the Mediterranean over the past week. According to one supplier in ARA, some companies are opting to ship more fuel oil into the Mediterranean because bunkering demand in northern Europe is comparatively weaker.

Fuel oil arrived at ARA from France, Poland, Russia and Colombia. Colombian flows into the hub are becoming more common, according to Insights Global, as it is a similar quality to Russian fuel oil.

Gasoil inventories inched down, losing on the week to settle.

Demand for heating oil up the river Rhine firmed, with companies seeking larger volumes during the current cold snap.

ARA gasoil stocks are still higher than they were a year ago, with trading firms braced for the EU’s embargo on Russian product imports.

The ban, which comes into effect on 5 February, will be most acutely felt in Europe’s diesel market.

Cargoes carrying gasoil arrived at ARA from Kuwait, Oman and Russia and departed for other places in northwest Europe and the US.

Gasoline stocks bucked the trend, rising on 25 January.

The rise comes as the market prepares for an increase in US export demand, according to Insights Global.

Naphtha stocks at ARA fell on the week, with increased gasoline blending activity at the hub eroding naphtha supplies, according to Insights Global.

Reporter:Georgina McCartney

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) trading hub rose in the week to 18 January, according to consultancy Insights Global, their highest since July 2021, with the increase driven by a build in gasoil stocks.

Gasoil stocks increased on the week, their highest since October 2021. The European market is poised to experience further supply issues as the Russian oil ban is approaching, due to take effect on 5 February.

Expected French strikes could take roughly gasoil off the market, according to Argus calculations.

Gasoil stocks have grown for seven consecutive weeks despite steep backwardation in the market. According to consultancy Insights Global, less product was going up the river Rhine as inland depots are full.

Gasoline inventories remained virtually unchanged on the week. Stocks of the lighter road fuel probably accumulated on weakened export demand, with smaller US-bound volumes departing ARA

European blending increased, which is lending support to gasoline margins. Components have been trading at higher levels in the ARA trading hub, according to market participants.

At the lighter end of the barrel, naphtha stocks declined.

Cargoes arrived from Algeria, France, Spain and Russia. Inventories retreated on higher demand from the petrochemical sector up the river Rhine, and gasoline blending further pressured supplies, according to Insights Global.

Fuel oil stocks have also decreased, on the week. Demand is probably being fuelled by workable arbitrage economics. Fuel oil buyers were mainly from Denmark and Finland. Cargoes carrying fuel oil arrived at ARA from Germany, Poland and the UK.

Reporter:Mykyta Hryshchuk

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) trading hub rose in the week to 4 January, as gasoil stocks hit a 15-month high, according to consultancy Insights Global.

Gasoil stocks at ARA hit an increase on the week and hitting their highest since October 2021, although backwardation, prompt prices at a premium to forward values, in low sulphur gasoil futures steepened.

A backwardated market structure would typically disincentivise stockpiling, but pending sanctions on Russian products have likely driven the uptick, as market participants prepare for the 5 February EU ban.

Gasoil inventories grew even though diesel demand up the Rhine River into Germany rose. Higher water levels on the river have allowed for fuller barge loadings, according to Insights Global.

Gasoline stocks dropped on the week, ending three consecutive weeks of growth. Cargoes carrying gasoline departed ARA for west Africa, France, the UK and the US.

But although the transatlantic arbitrage route appears to be opening on paper, higher freight rates continue to hamper exports to the US.

Gasoline blending at ARA remains slow, according to market participants, which likely pushed naphtha stocks up.

No cargoes carrying naphtha departed ARA on the week, further allowing stocks to build.

Reporter: Georgina McCartney

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) hub inched lower in the week to 28 December, according to consultancy Insights Global.

A drop in naphtha, jet fuel and fuel oil inventories was partially offset by a rise in gasoil and gasoline inventories.

Jet fuel stocks declined, marking their lowest point since mid-October, driven by increased travel demand during the Christmas holidays.

A large Caribbean-bound cargo departed ARA carrying jet fuel, while only small volumes discharged in the area from Qatar.

Fuel oil stocks at the hub declined on the week.

This was more likely down to lower imports than higher demand. Ships unloaded fuel oil at ARA from France, Germany and the US, while cargoes departed ARA for Sweden and the US.

At the lighter end of the barrel, gasoline stocks increased, the highest level since 1 December.

The rise comes as high freight rates make the transatlantic arbitrage route less workable, weighing on export demand. Gasoline cargoes arrived at ARA from other parts of northwest Europe and the Mediterranean, while volumes departed for the US, west Africa and South Africa.

Stocks of gasoil at the hub also increased on the week, marking the highest point since early November last year.

Logistical issues at ARA caused some delays, hindering exports by slowing barge loading. Furthermore, traders are probably looking to buy up Russian diesel while they can and store it at the hub before selling it in advance of the EU’s ban on Russian oil product imports in February.

As well as Russia, gasoil cargoes arrived from China, India, the UAE and the US. Gasoil departed the region for the UK, west Africa and the Mediterranean.

Reporter: Georgina McCartney

Independently-held oil product inventories at the Amsterdam-Rotterdam-Antwerp (ARA) hub rose in the week to 21 December, marking their highest point since mid-July 2021, according to consultancy Insights Global.

High freight rates are working to restrict the outflow of products from the region.

Handysize clean product tankers moving product to northwest Europe frop the Baltic were assessed on 21 December.

Gasoil stocks drove the weekly increase, the largest build-up in supply since November 2021.

This was probably down to a ramp up in imports. Open-origin diesel cargoes were assessed on 21 December, three-times their value of a year earlier.

Still, some diesel demand is pulling the product up the Rhine River into strategic reserves, as German buyers look to replenish stocks at the end of the year.

Cargoes carrying gasoil unloaded at ARA from the US, Saudi Arabia, Russia and India in the week.

Gasoline inventories also grew.

High freight rates are making the transatlantic arbitrage route less workable, and ARA exports to west Africa have dropped notably on the year again pressured by high freight costs.

Cargoes carrying gasoline arrived at ARA from Russia, the UK, Italy and Sweden in the week.

At the heavier end of the barrel can be attributed to a hike in imports.

Cargoes unloaded fuel oil at ARA from Denmark, Finland, France and Sweden. High freight rates are again making the arbitrage route to Singapore less economic, allowing stocks to build in Europe.

Reporter: Georgina McCartney

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) hub gained in the week to 14 December. The rise was driven by an increase in gasoil inventories.

Gasoil stocks gained on the week, as companies look to build up stocks for the colder weather, with an expectation of heating oil demand increasing. Cargoes carrying the product arrived at ARA from Germany, India, Spain and Russia.

Companies are probably seeking to make last minute profits from discounted Russian diesel before the EU’s ban on all Russian oil products in early February.

Diesel cargoes of restricted origin — excluding Russian sources — were last assessed on 14 December to the unrestricted origin equivalent.

Jet stocks also rose on the week, marking its highest point since mid-April.

Inventories probably rose with higher imports from China, with ARA-receipts of Chinese jet fuel. Cargoes also arrived from Russia and departed the hub for Norway.

Independently-held gasoline stocks shed on the week. Imports into ARA have slowed owing to higher freight rates, a factor also contributing to a less economically workable transatlantic arbitrage route.

Benchmark Eurobob oxy gasoline barge cracks are currently pricing at a discount to North Sea Dated, pressuring any interest in moving product around.

Also at the lighter end of the barrel, naphtha stocks gained on the week, probably bolstered by reduced demand for the gasoline blending pool, with cracks so weak.

Demand from the petrochemical sector remains lacklustre, allowing for stocks of the product to build.

No cargoes carrying naphtha departed ARA on the week, but volumes arrived from Algeria, France, Norway, Russia and the UK.

Reporter: Georgina McCartney

Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) hub shed in the week to 7 December, pressured by a drop in gasoline inventories.

Gasoline stocks were down on the week, but levels remain higher on the year. Cargoes carrying the road fuel departed ARA for Brazil, Spain and west Africa, and volumes also rose to the US, where stock building has restarted, cutting away at European supply.

The US usually accumulates volumes in March and April, but has started importing volumes earlier this year. But it is unlikely that the transatlantic arbitrage route is open owing to high freight rates.

Gasoil stocks gained on the week. Cargoes carrying gasoil arrived at ARA from China, India, Russia and Singapore. The spike in China-origin cargoes probably drove the increase. ARA-bound Chinese gasoil deliveries are scheduled to grow in November, by the end of the year, according to Vortexa.

At the heavier end of the barrel, an increase in fuel oil, driving stocks of the product up, was not enough to offset the drop in gasoline inventories.

Cargoes unloaded fuel originating from northwest Europe, the UK and Poland, while volumes departed the region to Ireland, the Mediterranean and west Africa.

Weakened bunkering demand probably pushed stocks up.

Jet stocks shed on the week. Growing demand up the Rhine is working to cut away at stocks, as well as an increase in UK demand for stock building.

But inventories may drop in the coming weeks with a small peak in demand during the holidays.

Reporter: Georgina McCartney