Oil rig count did not rise for the first time in 9 weeks

By Polymers (ScrapMonster Contributor)

August 30, 2016 01:27:21 AM

SEATTLE (polymers.in):  Crude oil prices drop on Wednesday
- Crude stockpiles rose 2.5 million bbl to 523.6 million for the week ended 19 Aug.
- WTI for October fell 2.77% to settle at USD 46.77/bbl.
- Date Brent for October, declined by 1.82% to end at USD 49.05/bbl.  

The oil rig count did not rise for the first time in 9 weeks
- Producers put 10 rigs back online last week, taking the total to 406 where it remained this week.
- This week, gas rig count fell by 2 to 81, dropping the total by the same number to 489.  

Oil Resumes Drop Near $47 Amid Market Stabilization Deal Doubts
- Futures decreased as much as 1.8% in New York after rising the previous two sessions.
- WTI for October delivery dropped as much as 86 cents to USD 46.78/bbl.
- Brent for October settlement lost as much as 87 cents or 1.7% to USD 49.05/bbl.  

Oil Refining Empire Helps Sinopec Beat Chinese Energy Rivals
- China Petroleum reported 19.9 billion Yuan in profit for the first half of the year.
- PetroChina saw net income drop to 531 million Yuan in the first of the year.
- Sinopec processed 115.9 million tons of crude into fuels during the first half of the year.  

Iran’s oil minister will join OPEC talks on market in Algeria
- Producers from the OPEC will meet on the sidelines of an energy policy group in the Algerian capital next month to consider oil market conditions.
- Crude oil has gained about 10% since OPEC said it would meet informally to discuss prices and supply. 

Feedstock (Ethane, Ethylene, Propane, Propylene, PX, PTA, MEG, EDC, VCM)
EDC and VCM prices march higher in Asia
- CFR Far East Asia prices of EDC were assessed up at USD 255/MT levels, a week on week increase of USD 5/MT.
- Feedstock ethylene prices on Thursday were at USD 1190/MT CFR North East Asia, a spike of USD 50/MT from the previous week.
- CFR Far East Asia prices were assessed up at USD 675/MT levels, a sharp increase of USD 25/MT from last week.
- CFR South East Asia prices were assessed higher at USD 265/MT levels, a sharp gain of USD 20/MT from the previous week.
- CFR South East Asia prices of ethylene were at USD 1075/MT levels, a week on week rise of USD 5/MT.
- CFR South East Asia prices of VCM were assessed higher at USD 690/MT levels, a week on week increase of USD 10/MT.  

Europe still seeking propylene imports in tight market: sources
- A tight European propylene market is forcing buyers to seek material elsewhere.
- In Europe PGP spot prices were assessed at EUR 795/MT FD NWE.  

Reliance set to start new 2.2 Million mtpa PX plant in Jamnagar in October 2016
- RIL plans to start its new 2.2 million mtpa PX plant at Jamnagar in October.
- RIL has been buying PX for its new PTA plants at Dahej, which have a combined capacity of 2.24 million MT/year.  

Ethylene-naphtha spread rises by over US$20 on day to peak to three month high
- The Asia price spread between ethylene and feedstock naphtha rose USD 22.05/MT day on day to USD 802.38/MT Thursday.
- Taiwan’s Formosa PET shut its 1.03 million MT/year No. 2 naphtha-fed steam cracker at the end of July for annual maintenance.  

PTA price climbs in Asia, down in Europe
- Asian PTA markers inched up USD 2/ton CFR China and CFR Southeast Asia in the second week of August.
- European PTA net contract price were down EUR 6/ton on the week.  

Borealis reports lower profit, US ethane shipments delayed by nine months
- Borealis Ag announced 12% lower Q2 net profit and 10% lower consolidated sales of EUR 309. 

PTA prices in Europe are down in August
- PTA prices decreased by EUR 7 to EUR 657/ton and the lower limit of the price of EUR 17 to EUR 620/ton.  

Expected to drop, US PE prices may rise in September
- Monthly contracts for US PE are expected to roll over for August.
- Five producers have announced plans to raise contract prices by 5 cents/lb. on 1 Sept.  

Signs of Europe PET prices bottoming out amid August falls
- European PET remained in the high EUR 800/MT FD in southern areas where the weather stayed hot.  

Polymers Demand
WTI and Brent Crude oil fall. Asian polymers rise, European and US static
- WTI and Brent Crude oil fell over the week to 26th Aug to USD 47.36 and USD 49.75/bbl.
- European polymer prices remained relatively unchanged over the week though there were reductions of EUR 5 and EUR 10/MT.
- Asia polymer prices rose with increases of between USD 5 and 30/MT.
- US polymer prices were unchanged apart from a 4 cent per pound reduction.  

Polymers Supply
PP unit taken off-stream by IRPC
- IRPC has shut its PP unit for a maintenance turnaround and will remain shut for around 15 days.  

Showa Denko & JX Nippon to Buy LyondellBasell’s Stake in Polypropylene JV
- SDK will purchase LYB’s 50% stake in SunAllomer effective 31 Aug.
- SunAllomer has total PP capacity of 408,000 tap producing 281,000 tap in Oita and 127,000 tap in Kawasaki.  

 Courtesy: www.polymers.io