Port of Santos fast-tracks gasoline vessel amid Iran war’s impact on Brazil fuel supply

The Port of Santos gave berthing priority to a vessel carrying nearly 18,000 tonnes of gasoline, citing the impact of the war between the United States and Iran on fuel availability in Brazil.

Santos Port Authority (APS) said it granted priority to the MH Ibuki, which arrived from the maritime terminal of Madre de Deus in the northeastern state of Bahia. The state-owned authority said it allowed the ship to move ahead in the queue due to the risk of fuel shortages in Sao Paulo state.

The coastal shipping operation was completed on March 30, with the discharge of 17,974 tonnes of Type A gasoline, equivalent to about 600 fuel tanker trucks.

APS President Anderson Pomini told CNN Brasil that queue priority is an exception granted when a specific cargo needs to be unloaded quickly due to an extreme event, such as a potential fuel shortage in a given region.

“As a rule, there is a queue that must be respected, but APS reviewed a request from a distributor and assessed that it was necessary to contribute to federal guidelines to help maintain fuel supply and avoid shortages in Sao Paulo state, as warned by ANP,” Pomini said, referring to Brazil’s oil regulator, the National Agency of Petroleum, Natural Gas and Biofuels.

Amid the conflict involving Iran, the closure of the Strait of Hormuz has prompted a reassessment of global oil routes. In that context, direct imports from Russia, for example, have gained traction and become more sought after by other countries. The shift has pushed fuel prices higher and driven a reorganization of sourcing, according to the report.

The fuel unloaded in Santos on March 30 came from the Mataripe refinery, one of Brazil’s main refining units and the largest in the Northeast, the report said. The aim of the faster flow is to rebalance supply in Sao Paulo.

APS’ operations directorate said it has received multiple requests to prioritize fuel ships, which are being reviewed.

Despite clearing the vessel from Bahia, the directorate denied another request for priority from a fuel company, citing other ships already ahead in line.

“In other words, if we are giving berthing priority for fuel supply, one fuel cargo cannot jump ahead of another,” Operations Director Beto Mendes said.

Original text by Fabricio Julião for CNN Brasil

Sharing is caring!