The European fuel oil market hit fresh lows Monday, as the coronavirus pandemic continued to affect global demand.

FOB Rotterdam 0.5% sulfur fuel oil barges were assessed at $135.25/mt Monday, the lowest since S&P Global Platts started assessing the product in January 2019.

The assessment has lost 76.5% of its value since the start of the year, when availability was tighter and demand was rife on the back of the newly implemented IMO 2020 sulfur cap.

The profitability of producing the product, known as the crack, has also dropped sharply. On February 6, the VLSFO crack -- the difference between the price of crude oil and the product derived from it -- was assessed at $15.556/b for 0.5%S marine fuel FOB Rotterdam. The assessment Monday valued it at 31.2 cents/b, the lowest since Platts began assessing it.

Demand however was heard to be healthier for 0.5%S marine fuel compared with 3.5%S fuel oil, with its wider use in the bunker pool.

However HSFO has not been immune, with 3.5%S FOB Rotterdam barges reaching a two-decade low Monday at $79.75/mt, the lowest since $77.50/mt on June 11, 1999.

Demand for fuel oil remained better though than other transport fuels such as gasoline and jet fuel, which have seen demand being hit far worse.