Global bunker prices decline slightly as spreads fluctuate and gas storage tightens

Global bunker prices recorded a moderate decline in Week 08. The 380 HSFO index edged down to around $433/MT, while VLSFO slipped to about $520/MT. MGO LS posted the largest drop, falling to roughly $778/MT, with the market continuing to show mixed directional signals overall.

The global scrubber spread narrowed slightly to around $87, remaining well below the $100 breakeven threshold. Port dynamics diverged, with widening spreads in Rotterdam but notable narrowing in Singapore. Conventional VLSFO continues to retain a cost advantage over HSFO combined with scrubber use.

ECA spreads showed mixed movements across ports, rising in Istanbul but easing in Venice, with values remaining close to the $100 threshold. MABUX expects continued volatility without a clear trend next week.

European gas storage levels continued to fall sharply to near 33% of capacity, significantly below levels at the start of the year

Despite tightening inventories, the TTF benchmark declined to just under €30/MWh. LNG bunker prices in Sines dropped steeply to around $753/MT, narrowing the price gap with conventional fuels.

Across major hubs, the MABUX Market Differential Index indicated ongoing undervaluation in most bunker segments, although signs of gradual movement toward overvaluation emerged in selected ports.

Rotterdam’s competitive position weakened further amid regulatory asymmetries within the ARA region, contributing to softer demand and potential oversupply risks.

MABUX expects bunker market movements to remain mixed next week without a sustained directional trend.

Source: MABUX