CNBC
​Developed nations' total oil stockpiles fell in August for the first time since March, according to the International Energy Agency, but analysts say a continued buildup of refined fuels remains a barrier to reversing a two-year crude glut.
The IEA reported Tuesday that overall oil and product inventories in OECD countries fell by 10 million barrels, driven by a 22 million barrel decline in crude stocks in the United States, Japan and South Korea. But an 18.7-million barrel increase in petroleum products offset the decline.
​Those products included middle distillates like jet fuel and heating kerosene, fuel oil and particularly U.S. propane. At 3.092 billion barrels, total oil stockpiles in August were just below a record of 3.111 billion barrels in July.
The rise in petroleum product stockpiles reinforced fears that demand for the "feedstock" crude that's refined into petroleum products will eventually fall as the world works through the fuels backlog, potentially dragging down oil prices anew.
"I think that really is the big worry here. Even though crude stocks drew, we saw products increase, and we have such a strong overhang of products," said Matt Smith, director of commodity research at cargo-tracking firm ClipperData.

It will sit at US$54.20/bbl by the end of 2016.
While there is a rebalancing in the crude market combined with strong global aviation demand, jet fuel prices are expected to elevate over the next five years. However, an Asian fuel supply glut will keep the Singapore Benchmark trading at a discount.
According to BMI Research, Singapore will have its prices reduced with a discount to its North American and European counterparts as a massive fuel supply glut will drag on the Asian benchmark, causing a divergence in prices.

"Our view that Singapore prices will trade at a discount to its regional peers played out over Q316. We expect this trend to continue with Singapore forecast to deepen its discount to New York as supply outstrips demand in the Asia region," the research firm noted.
Based on fuel price forecasts, for the whole of 2016, jet fuel price in the city-state will tread at US$54.20/bbl. It will be up to US$4.30/bbl in 2017.
​BMI Research noted that Chinese exports of Jet Fuel are the primary driver of this glut, with the increased government fuel-export quotas compounding the oversupply.

​BP India, the Indian arm of British oil monster BP Plc (BP), has gotten a permit from the administration to offer plane fuel in India, its nation head said on Thursday. 
"India is a tremendous business sector … Clearly we are an extensive player comprehensively in the flying business, so it bodes well for us to be here," said Sashi Mukundan, provincial president and India nation head for BP. 
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Mukundan said BP will soon begin neighborhood offers of flight turbine fuel (ATF). 
He declined to expand on whether BP will offer fuel all alone or tie up with an Indian partner.BP had, in May, sold 11.5 for each penny value in its auxiliary, Castrol Limited, diminishing its stake in the oil organization from 71 for each penny to 59.5 for every penny. The stake was sold to a scope of residential and universal financial specialists. 
Castrol India is recorded on the Mumbai Stock Exchange and the National Stock Exchange an assortment of financial specialists hold the other 29 for each penny of the organization. 
Sway Dudley, BP Group Chief Executive said: "BP stays focused on India and we wish to keep on growing our organizations here, advancing our upstream characteristic gas advancements and our downstream open doors, including oils."

Aviation Turbine Fuel (ATF) or jet fuel prices have increased 3 percent to Rs 46,826 per kilolitre, which came into effect from October 1. This is the first month the jet fuel prices rose after two consecutive months of decreasing costs.
Last month, the prices fell by 3.8 percent. In a statement, Indian Oil Corporation (IOC) said the price for international carriers has been fixed at $494 for October. It was $480.31 in September after the prices fell.

ATF prices account for nearly 30-35 per cent of operating costs for airlines and directly impacts profit margins. The prices differ in different cities.
The jet fuel price rise also seems to have impacted the share price of domestic carriers. Following the news, the SpiceJet stock was trading at Rs 60.25 at around 10:25 am on Monday, up 2.99 percent from its previous close. Similarly, the InterGlobe Aviation shares were trading at Rs 934.75 apiece, up 2.04 percent from its previous close around the same time. Jet Airways shares rose 3.95 percent and were trading at Rs 495 apiece on the Bombay Stock Exchange.
The Indian Oil stock was trading at Rs 601.45 at around 10:30 am on Monday, up 3.21 percent from its previous close on the Bombay Stock Exchange.
The revised ATF prices, new and Old (per kilolitre) are:
CitiesNew Price (Oct 1)Old price (Sept 1)
DelhiRs 46, 826Rs 45, 411
KolkataRs 51, 562Rs 50, 265
MumbaiRs 45, 743Rs 44, 418
ChennaiRs 49, 474Rs 48, 108