Australian jet fuel demand rebounds in July

Australia's jet fuel demand rose slightly in July from June and to a four-month high on higher fuel consumption by international flights embarking from Australian airports. But July's demand remained at around a quarter of year-earlier levels as Covid-19 air travel restrictions kept overall demand subdued.

Australian total jet fuel sales averaged almost 43,000 b/d in July, up from 38,600 b/d in June and was the highest monthly average since the 114,000 b/d consumed in March, which is when travel restrictions were imposed. Total jet fuel demand was 166,000 b/d in July 2019, according to according to Australian Petroleum Statistics (APS) data published by the department of energy.

Jet fuel sales from international flights departing Australia averaged 25,600 b/d in July up from 22,400 b/d in June and down from the 102,000 b/d averaged in July 2019 and the highest monthly average since the 67,000 b/d consumed in March, the APS data showed.

Domestic refinery output of jet fuel in July also rebounded slightly, but remained about one-seventh of the volumes produced in July 2019. Jet fuel imports in July increased from June and were the highest volumes of imports since March, according to the APS data.

Australia has one of the most restrictive rules on outbound travellers, with no Australian allowed to leave the country unless they receive an exemption from the department of home affairs.

By Kevin Morrison