Oil ends down on US inventory surge, doubts on OPEC resolve

Published: Nov 8, 2016 10:31

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Demand for 50 ppm gas oil in Northwest Europe is yet to emerge despite sliding flat prices and colder temperature of late.

By Polymers

ScrapMonster Contributor

SEATTLE (polymers.in): Demand for 50 ppm gas oil in Northwest Europe is yet to emerge despite sliding flat prices and colder temperature of late.
- FOB ARA 50 ppm barges were assessed at USD 417.75/MT Wednesday, down USD 13.25/MT from Tuesday and down USD 42/MT from a peak at USD 459.75/MT on 27 Oct.

Saudi Aramco Increases Oil Pricing to Asia on Rise in Demand
- Saudi Aramco increased its pricing for Arab Light crude to Asia by 90 cents per bbl, to a premium of 45 cents over the regional benchmark.

Oil ends down on US inventory surge, doubts on OPEC resolve
- US crude fell 68 cents or 1.5% to settle at USD 44.66/bbl.
- Brent crude was down 51 cents or 1.1% at USD 46.35/bbl.

Feedstock (Ethane, Ethylene, Propane, Propylene, PX, PTA, MEG, EDC, VCM)
Ethylene prices decline in Asia on Tuesday
- CFR South East Asia prices of ethylene were assessed down at USD 1005/MT levels, a drop of USD 10/MT from Monday’s assessed levels.
- CFR North East Asia prices of ethylene were assessed lower at USD 1030/MT levels, a day on day fall of USD 15/MT.

US ethane cracker updates in petrochemical Q3 earnings calls
- Chevron Phillips Chemical’s ethane cracker will cost another USD 250 million to USD 500 million because of a months-long delay has pushed its target startup to the second half of 2017.
- ExxonMobil Corp and SABIC are continuing their evaluation of Texas and Louisiana coastal sites for a new 1.8 million MT/year ethylene plant.
- Dow Chemical is 85% mechanically complete and remains on track to begin start up in mid-2017.
- Williams Companies expects to decide by the end of the Q1 2017 whether to sell its 88.5% share of its 1.95 billion pounds per year.
- LyondellBasell Industries is being commissioned after a turnaround and a 363,000 MT/year ethylene expansion that will boost capacity to 1.15 MT/year.

Trinidad methanol production falls in September as gas output improves: data
- Production of methanol in Trinidad and Tobago totaled 330,000 MT from the month, down 6% from 351,000 MT in August and the lowest figure through 2015 and 2016.
- The year-to-date-methanol production total of 3,558,000 MT stands 12.5% below 4,069,000 MT in Jan-Sept 2015.
- Methanol exports from Trinidad and Tobago totaled 334,000 MT, down 9% from 367,000 MT in August.

Polymers Price
Polypropylene (PP) prices rise USD 5 - 30 in Asia
- CFR Far East Asia prices of PP raffia and PP injection were assessed up at USD 1040/MT levels, a sharp week on week gain of USD 30/MT. PP film prices were assessed at USD 1060/MT levels while BOPP prices were also assessed at USD 1060/MT levels, both up USD 25/MT on the week. PP block copolymer prices were assessed higher at USD 1100/MT levels, a week on week rise of USD 20/MT.
- In South East Asia, PP raffia and PP injection prices were assessed up at USD 1050/MT CFR levels, a rise of USD 20/MT from last week. PP film prices were assessed higher at USD 1070/MT levels, a week on week gain of USD 10/MT. PP block copolymer prices were assessed at USD 1115/MT CFR levels, a rise of USD 15/MT from the previous week. BOPP prices were up at USD 1070/MT levels, a week on week increase of USD 10/MT.
- In India, PP raffia and PP injection prices were assessed up at USD 1050/MT CFR levels, a week on week gain of USD 20/MT. PP film prices were also assessed at USD 1070/MT CFR levels, while BOPP prices were also at the USD 1070/MT CFR levels, both up USD 10/MT from the previous week. PP block copolymer prices were higher at USD 1115/MT CFR levels.

Polymers Demand

China: 2017-2020 Scenarios For Polypropylene Growth
- The government kicks the can down the road, the real estate bubble continues and the economy continues to boom.
- Official GDP growth, which this year once again might understate the real expansion of the economy will remain in the region of 6.7%.
- China’s PP consumption is estimated to increase by 6.6% in 2016 over last year to 23 million MT.
- China’s consumption totaled just 4 million MT, 17% of total global demand.

Courtesy: www.polymers.io

Oil prices

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