(Reuters) - Asia’s cash premium for 380-centistoke (cst) high-sulphur fuel oil (HSFO) cargoes soared to a new record high on Monday, Reuters data showed.
The cash premium for the mainstay 380-cst HSFO in Singapore surged to $59.19 per tonne above Singapore quotes, up from a previous high of $46.22 per tonne hit on Friday.
HSFO cash premiums have climbed in recent weeks, riding on strong demand and limited regional supplies ahead of a switch to cleaner marine fuels from next year.
Starting Jan. 1, 2020, shippers need to comply with new International Maritime Organization (IMO) rules that require them to use bunker fuel with a sulphur limit of 0.5%, down from 3.5% currently.
Reporting by Koustav Samanta; editing by Jason Neely