Shell has issued a rare sell tender for a 5,000t bitumen cargo, offering various grades for loading in the Rotterdam area during August, according to two European trading firms invited to bid.
The tender includes grade options such as pen 35/50 and 50/70, both commonly used in road paving. Bidding closes on 10 July.
Market participants expect at least one of the invited firms not to bid, citing a lack of cargo requirements during August — a period when bitumen demand typically falls across northwest Europe as road construction slows during the summer holiday season.
Participants also noted rising cargo availability in the region ahead of the seasonal slowdown, which affects countries including France, Germany, the Benelux states and the UK from mid-July through to late August.
Shell is among Europe's leading bitumen suppliers, with much of its output coming from the 420,000 b/d Pernis refinery in Rotterdam. The company also has exclusive access to bitumen tank storage at the HES terminal in Botlek, where tankers of up to 35,000t can be loaded for export. Smaller volumes are regularly shipped from Shell's Delfzijl facility in northeast Netherlands.
Shell supplies bitumen under term contracts — including recent deals with Nordic buyers — and also sells on a spot basis. Tender offerings by the company, especially from the Rotterdam area, are relatively uncommon, traders said.
Shell officials were unavailable for comment.
