Asia Fuel Oil-HSFO discount steepens, VLSFO holds rangebound

Reuters
Dec 02, 2025
Asia Fuel Oil-HSFO discount steepens, VLSFO holds rangebound

SINGAPORE, Dec 2 (Reuters) - Spot differential for Asia's 380-cst high sulphur fuel oil (HSFO) market sank into a steeper discount on Tuesday, while very low sulphur fuel oil (VLSFO) was rangebound from the previous session.

Singapore 380-cst HSFO extended declines, with the product trading into a steeper discount day-on-day. Trafigura was the main seller on the window in recent sessions.

Meanwhile, several window trades for VLSFO also emerged on Tuesday, at parity differential to cargo quotes.

Separately, in the broader market, Indonesia's Pertamina offered 200,000 barrels of decant oil for loading from Balongan between December 24 and December 25, based on industry sources.

Cracks were broadly stable from the previous day. VLSFO crack LFO05SGBRTCMc1 held near a premium of $4 a barrel, while 380-cst HSFO crack FO380BRTCKMc1 rose slightly to a discount of $7.75 a barrel, data compiled by LSEG showed.

REFINERY UPDATES

- Elliott Investment Management's affiliate Amber Energy plans to keep Citgo Petroleum's refineries, terminals and other connected assets once it takes over the Venezuela-owned U.S. refiner, following the completion of a court-ordered auction, sources close to the preparations said.

OTHER NEWS

- Oil prices were steady on Tuesday as traders weighed up risks from Ukrainian drone strikes on Russian energy sites, mounting U.S.-Venezuela tension and mixed expectations for U.S. fuel inventories. O/R

- Exxon Mobil has approached the Iraqi oil ministry to express its interest in buying Russian firm Lukoil's majority stake in the giant West Qurna 2 oilfield, five Iraqi official sources with direct knowledge of the matter told Reuters.

- Russia's seaborne diesel and gasoil exports rose 3% in November from October to about 2.37 million metric tons despite recent U.S. sanctions and infrastructure damage caused by drone attacks, data from market sources and LSEG showed.

- The cost of shipping commodities through the Black Sea climbed on Monday after Ukrainian naval drones hit two tankers heading to a Russian port, with fears of further attacks driving up war risk insurance costs, industry sources said.

WINDOW TRADES O/AS

- 180-cst HSFO: No trade

- 380-cst HSFO: One trade

- 0.5% VLSFO: Three trades

ASSESSMENTS

FUEL OIL

CASH ($/T)

ASIA CLOSE

CHANGE

PREV CLOSE

RIC

Cargo - 0.5% VLSFO

423.98

-1.20

425.18

MFO05-SIN

Diff - 0.5% VLSFO

0.00

0.50

-0.50

MFO05-SIN-DIF

Cargo - 180cst

344.58

1.06

343.52

FO180-SIN

Diff - 180cst

-6.75

1.00

-7.75

FO180-SIN-DIF

Cargo - 380cst

337.62

-1.00

338.62

FO380-SIN

Diff - 380cst

-8.10

-1.10

-7.00

FO380-SIN-DIF

Bunker (Ex-wharf) Premium - 380cst

1.50

-0.50

2.00

Bunker (Ex-wharf) Premium - 0.5% VLSFO

3.50

0.50

3.00

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 Shailesh Kuber)

((jeslyn.lerh@thomsonreuters.com))

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