Jet fuel will move from Saudi Arabia to Australia in an extraordinary move, according to data from S&P Global Platts trade flow software cFlow.
The Lady Henrietta is set to load 75,000 mt of jet fuel in Jubail, Saudi Arabia, departing on February 25 for discharge in Australia, chartered by AMPOL, according to cFlow.
The move is unique, as Australia typically buys spot cargoes from Singapore or South Korea. With Asian jet sources musing this could be the first time AMPOL has bought from a Middle Eastern refiner.
“No other choice: no jet in Korea, no jet in Singapore,” one source said of the move.
Jet fuel prices in Singapore hit three-year highs at the start of the month amid high demand and a heavy maintenance program globally. The move was mirrored in the Northwest European jet fuel market, where jet fuel prices on Wednesday hit their highest levels since December 2014.
With temperatures expected to rise in North Asia, demand for dual purpose kerosene is due to slow in coming weeks, leaving Asian jet traders unsure as to the reasoning behind moving jet from the Middle East to Australia.
Source: PlattsPrevious Next