Saudi Arabia has imported fuel oil from Kuwait for the first time in two years amid high demand for power generation, according to Ship & Bunker.
Saudi Arabia has imported 180,000 mt of HSFO from Kuwait in July, its first purchase from Kuwait since May 2022, news agency Reuters reported on Thursday, citing data from Kpler and Vortexa.
The move is likely to support HSFO prices in Singapore.
HSFO demand is being boosted worldwide by the increasing number of ships using scrubber systems that allow them to burn cheaper HSFO rather than VLSFO.
The discount for HSFO versus VLSFO at Fujairah stood at $110.50/mt on Wednesday, according to Ship & Bunker data, compared with an average of $146.50/mt over the past six months and of $155.50/mt over the past year.