Comprehensive Guide to Aviation Jet Fuel and Other Fuels Pricing in Fujairah Jurong Ningbo-Zhoushan and Qingdao
- Jose Pagan
- 3 days ago
- 4 min read
Fuel pricing and availability play a crucial role in global trade and transportation. For industries relying on aviation and marine fuels, understanding the market dynamics in key ports like Fujairah, Jurong, Ningbo-Zhoushan, and Qingdao is essential. This guide breaks down the current pricing, quantities, and purchasing procedures for various fuels, helping buyers and traders make informed decisions.
Overview of Fuel Types and Pricing
The fuels covered in this guide include Aviation Jet Fuel A1, EN590 diesel, Virgin Fuel D6, JP54 Colonial, Mazut M100, Eastern Siberia Pacific Ocean (ESPO) crude, and Light Cycle Oil. These products are available in different quantities and prices depending on the port and fuel type.
Aviation Jet Fuel A-1
Barrels
Price: $68/$66
Minimum Monthly: 1,000,000
Maximum Monthly: 3,000,000
Commission: $1 / $1
EN590 (USLD 10PPM)
Metric Ton
Price: $470/$460
Minimum Monthly: 50,000
Maximum Monthly: 300,000
Commission: $5 / $5
Virgin Fuel D6
Gallons
Price: $0.89/$0.94
Minimum Monthly: 50,000,000
Maximum Monthly: 400,000,000
Commission: $0.025 / each|
JP54 Colonial
Barrels
Price: $70/$68
Minimum Monthly: 1,000,000
Maximum Monthly: 3,000,000
Commission: $1 / $1
Mazut M100 (GOST: 10585-99)
Metric Ton
Price: $280/$270
Minimum Monthly: 10,000
Maximum Monthly: 200,000
Commission: $5 / $5
ESPO (Eastern Siberia)
Barrels
Price: $62/$60
Minimum Monthly: 50,000
Maximum Monthly: 3,000,000
Commission: $1 / $1
Light Cycle Oil
Metric Ton
Price: $370/$360
Minimum Monthly: 10,000
Maximum Monthly: 200,000
Commission: $5 / $5
Prices vary slightly between ports, with Fujairah, Jurong, Ningbo-Zhoushan, and Qingdao offering competitive rates. These fuels are stored in tanks at Houston, Rotterdam, and the mentioned ports, ensuring availability for buyers.
Key Ports and Their Importance
Fujairah
Fujairah is a strategic bunkering hub located outside the Strait of Hormuz, making it a vital supply point for Middle East and Asian markets. Its storage facilities support large volumes of jet fuel and marine fuels, making it a preferred location for buyers seeking reliable supply and competitive pricing.
Jurong
Jurong, part of Singapore’s industrial zone, serves as a major refining and storage center. Its proximity to Southeast Asian markets and advanced infrastructure supports efficient fuel delivery and storage, especially for diesel and jet fuel products.
Ningbo-Zhoushan
This port complex in China is one of the busiest in the world, handling significant volumes of crude oil and refined products. Its access to the East Asian market makes it a key location for fuel distribution, particularly for products like Mazut and Light Cycle Oil.
Qingdao
Qingdao port supports northern China’s energy needs with extensive storage and refining capabilities. It plays a critical role in supplying fuels like EN590 diesel and JP54 to the region.
Understanding Fuel Specifications and Quality
All fuels offered meet standard quality and grade specifications, ensuring compliance with international regulations. For example:
Aviation Jet Fuel A1 meets stringent aviation standards for safe aircraft operation.
EN590 diesel is ultra-low sulfur (10 ppm), suitable for modern diesel engines with environmental compliance.
Mazut M100 complies with GOST 10585-99, a Russian standard for heavy fuel oil.
Virgin Fuel D6 is a high-quality marine fuel used widely in shipping.
Buyers can expect consistent quality, backed by SGS/CCIC chemical testing and inspection procedures.
Purchase Quantities and Pricing Details
Fuel quantities range from 50,000 metric tons or barrels to multi-million gallon volumes, accommodating both trial purchases and large contracts. Pricing is competitive and subject to change without notice, reflecting market conditions.
Trial purchases allow up to 2 million barrels, 200,000 metric tons, or 2 million gallons.
Price differences between ports are minimal, typically $1 per barrel or $5 per metric ton.
Payment terms include T/T and MT 103, ensuring secure and traceable transactions.
Transaction Procedures for Buyers
The transaction process follows a clear sequence to ensure transparency and security:
Buyer submits ICPO, company registration, and TSA.
Statement of product availability
Unconditional commitment to supply
SGS/CCIC chemical testing application form
Inspection approval letter for buyer’s tank farm
Injection schedule
Act of transfer/change of ownership
Authority documents
Seller issues commercial invoice; buyer signs and returns it with a commitment letter.
Seller provides partial Proof of Product (POP) documents:
Upon confirmation, seller issues full POP documents:
All transactions are tank-to-tank (TTT), ensuring product integrity from seller to buyer.
Additional Details and Buyer Considerations
Origin: Most fuels originate from Kazakhstan, known for reliable crude and refined products.
Contract terms: Spot or trial contracts are available, with options for longer-term agreements after successful initial lifts.
Commission structure: 50% on the buy side (open) and 50% on the sell side (closed).
Fuel availability: Fuels listed are always available, with buyer’s CI (Corporate Identity) guaranteeing allocation.
FOB locations: Houston, Rotterdam, Fujairah, Jurong, and Qingdao.
Buyers should be aware that seller procedures are non-negotiable and prices may change without notice. Larger monthly contracts can be discussed upon inquiry.
Practical Tips for Buyers
Verify documentation carefully to avoid fraud and ensure product availability.
Plan for payment terms and ensure funds are ready for swift transaction completion.
Consider port logistics and storage capabilities to minimize delivery delays.
Monitor price fluctuations regularly to time purchases effectively.
Engage with reputable brokers or agents familiar with the ports and fuel types.
Final Thoughts
Understanding the pricing, quantities, and procedures for aviation jet fuel and other fuels in Fujairah, Jurong, Ningbo-Zhoushan, and Qingdao empowers buyers to navigate this complex market confidently. With clear transaction steps and reliable fuel availability, businesses can secure the energy resources they need to operate smoothly. Stay informed, verify all documents, and maintain good communication with suppliers to ensure successful fuel procurement.
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