31 August 2012 12:47 [Source: ICIS news]
LONDON (ICIS)--The European ethylene contract price for September has been fully confirmed at €1,300/tonne ($1,625/tonne), up by €125/tonne from August, following further buyer support on Friday.
The initial agreement, which was done on a free delivered (FD) northwest European (NWE) basis, was reached between one main producer and one pure consumer. The same buyer also agreed the same number with a second seller.
Following this, a net consumer also settled with one of the producers involved in the first settlement.
The same consumer has also followed this with a few other sellers.
A significant increase was widely expected based on the uptrend in naphtha costs and margin erosion at cracker level.
However, discussions had proved particularly tough this month as intensified feed pressure was being weighed against downstream demand, which remains fragile for economic reasons, and the need for European derivatives to be compettive with other regions.
($1 = €0.80)
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections