One of World’s Dirtiest Fuels Is Staging a Price Rally
- High-sulfur fuel oil prices in Asia soar relative to crude
- Red Sea reroutes, scrubber installations support HSFO demand
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One of the dirtiest corners of the global oil market is staging a spectacular rally, boosted by surging demand from ships sailing longer voyages to avoid unrest in the Middle East.
The relative price of shipping fuel with a high sulfur content, an undesirable and pollutive contaminant, strengthened sharply in recent weeks, according to data compiled by Bloomberg. At one of the world’s biggest bunker refueling hubs of Singapore, so-called high-sulfur fuel oil prices soared more than a widely referenced crude benchmark in the region, signaling bullishness.