S Korea’s Samsung Total may seek less naphtha, mulls LPG

30 June 2010 09:10  [Source: ICIS news]

SINGAPORE (ICIS news)--South Korea’s Samsung Total Petrochemicals Co may limit its spot naphtha purchases as it mulls a feedstock switch to liquefied petroleum gas (LPG), a company source said on Wednesday.

The company may seek just 25,000 tonnes of open-spec naphtha for delivery in the first half of August, added the source.

“LPG will be preferred, if prices are 10% lower than naphtha,” he said.

“We are considering LPG [feedstock] for a fifth of our output at this juncture,” the source added.

Prompt LPG prices in Asia are currently at $620/tonne (€508.40/tonne), compared with $644–647/tonne for naphtha, said traders.

($1 = €0.82)

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By: Felicia Loo

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