Bunker prices in South Korea surged Tuesday on the back of extremely tight supplies where only one refiner can supply for November. The average price for 380 centistoke (cst) in the ports of Busan/Ulsan gained $22 to $310 per metric tonne (pmt), Bunkerworld data showed yesterday. Sources in the South Korean market told Bunkerworld only S-Oil can offer for November liftings, while other refiners such as SK Corp can only start offering in December. ''There's a lack of stocks and deliveries in Ulsan will be especially difficult,'' a local bunker player told Bunkerworld. Utilities in South Korea have required unexpectedly high volumes of fuel oil for domestic power generation due to a shortage of natural gas, local traders said. Traders also said all the fuel oil had been exported as cargoes, creating a rarely seen situation whereby none of them had availability left for the marine fuels market. Elsewhere, bunker prices in the port of Singapore also saw the average price of 380 cst up $5.50 to $258 pmt. Singapore, the world's largest bunkering market, is currently experiencing dull demand and strong bunker fuel supplies. Local sources were unsure when the demand will pick up and attributed the current situation to low shipping activity.
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