Fuel oil supply into Asia from the West is set to rebound to a two-month high in April as refiners to ramp up production of oil products to capture profits from weak crude prices, pushing more heavy distillates eastwards, traders said.

An estimated 4.66 million tonnes of the heavy distillate are expected to reach Asia in April, up 6 per cent from the revised count for March at 4.41 million tonnes, according to a Reuters analysis of shipping data.

Singapore, which is the top marine fuel hub in the world, could receive up to 4.12 million tonnes of heavy oil in April, nearly 25 percent higher than this month.

The remaining 540,000 tonnes will head towards China, which imports it to sell as marine fuel and for processing in smaller, independent refineries known as “teapot refineries”.

Volumes from Europe continue to climb as refineries there maximise their utilisation rates to capture multi-month high profits.

The five-day refining margins in Rotterdam, Netherlands, averaged over $8 a barrel.

This compared with monthly averages that ranged between 98 cents a barrel and $7.58 over June to February, Reuters data showed.

Comparatively, inflows of heavy oil from Rotterdam and the North Sea grew to 2.82 million tonnes in April, up 92 percent from 1.47 million tonnes the month before.

“Refineries in Europe are running at full capacity so that means there’s more fuel oil, possibly also more straight-run fuel oil,” said a Singapore-based fuel oil trader.

Straight-run fuel oil is the first cut of heavy distillates after crude is processed.