ExxonMobil Chemical has nominated an initial April polymer-grade propylene contract price down 7 cents from March to 66 cents/lb, market sources said Monday.
Officials with the company could not be reached for immediate comment.
The April nomination marks the second cut in propylene contract nominations after PGP contracts climbed to 79 cents/lb delivered in mid-February, following unexpected production outages in December at BASF-Total's steam cracker in Port Arthur, Texas, and PetroLogistics' propane dehydration unit in Houston, Texas in early January.
Spot RGP was assessed Thursday at 53.25-53.75 cents/lb delivered USG basis.
Spot PGP for April was heard offered at 62.50 cents/lb Mont Belvieu-pipeline basis, with the last PGP deals heard on Wednesday at 61.75 cents/lb MtB pipe and 61.50 cents/lb MtB pipe for April and June deliveries respectively.
US propylene contracts are settled on a monthly basis between major producers and buyers. The process includes price nominations by producers and subsequent negotiations with customers.
