Aromatics prices continued to strengthen overnight on higher energy and increasing demand. Aromatic blendstocks were being supported by higher energy prices and stronger blend values.
Upstream, front-month ICE Brent futures continued its uptrend to rise $1.59/barrel day-on-day to $114.34/b at 4:30 pm Singapore time (0830 GMT) while naphtha jumped $13.62/mt from a day earlier to $960/mt CFR Japan.
The Asian toluene price climbed $12 to $1,089.50/mt FOB Korea. During the past week, the Asian toluene price has climbed more than $50/mt. The US toluene price climbed $15 to $1,140/mt FOB USG on Wednesday, pushed higher by strong blend values in the US. The European toluene price was assessed at a $20 discount to the US price.(See related charts: Daily standard prices: benzene, styrene, toluene, paraxylene: Jan 4 - Jul 7, 2011).
The US toluene price was 8.5 cents below the gasoline blend value. The blend value was estimated near 383 cents/gal on Wednesday, up about 2 cents from Tuesday. The gasoline blend value for toluene has climbed more than 60 cents since June 24.
Blenders were likely to find better value from mixed xylene in the US, with blend values for MX in the US climbing to 384 cents/gal on Wednesday.
The US mixed xylene price was assessed Wednesday at 370 cents/gal FOB USG, nearly 15 cents below blend value.
The gasoline blend value in the US has been pushed higher in recent days by stronger unleaded waterborne gasoline prices. The US waterborne gasoline price climbed to 298.55 cents/gal on Wednesday. The price is now above both the five-day moving average and the 20-day moving average. The increases during the past week have also pushed the five-day moving average to a premium over the 20-day moving average.
Asian styrene prices continued to climb overnight, with the FOB Korea price assessed at $1,415/mt, up $15 from Wednesday. The assessment was $38 above the US styrene assessment.
In Guangdong, CNOOC and Shell Petrochemicals Co.'s joint venture shut its integrated steam cracker and petrochemical complex at Nanhai Wednesday due to an unspecified technical problem with the cracker. The company's 560,000 mt/year styrene monomer plant was among the units to close, a company source said. The plants are likely to be shut for about five days, the source said.
In addition, Taiwan Styrene Monomer Corporation was forced to shut its 180,000 mt/year No. 1 plant at Lin Yuan Monday as feedstock supply was cut when CPC shut its No. 4 naphtha-fed steam cracker, industry sources said Thursday.
The European styrene price was assessed Wednesday at $1,370/mt FOB Rdam. This morning in Europe, July was heard done at $1,400/mt FOB Rdam.
