01 February 2013 22:30 [Source: ICIS news]
HOUSTON (ICIS)--US January phenol contracts were assessed slightly higher on Friday, as premiums fell while feedstock costs increased.
Sources said freely negotiated phenol contracts took the full amount of the January benzene change, 3.12 cents/lb ($69/tonne, €51/tonne).
However, most sources agreed that premiums on phenol contracts that contain year-long margins over benzene fell by an average of 3 cents/lb in 2013 from 2012.
As a result, freely negotiated benzene-based contracts showed month on month increases of around 0.12 cent/lb, several sources said.
This put US phenol contracts at 94.91-99.36 cents/lb ($2,092-2,190/tonne) on an FRT EQ (freight equalised) basis.
Several producers cautioned that some of the decrease in premiums in 2013 would be spread throughout the year.
Also, one producer said that contracts based on phenol feedstock cumene showed a different month-on-month change in January.
Major US phenol producers include Dow Chemical, Georgia Gulf, Haverhill Chemical, Honeywell, INEOS Phenol, SABIC Innovative Plastics and Shell Chemical.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections