08 April 2013 14:43 [Source: ICIS news]
LONDON (ICIS)--European contract cracker margins in the week ending 5 April are up about 3% compared with the previous week as a fall in naphtha costs outweighed the €60/tonne ($78/tonne) drop in the ethylene April contract price, according to ICIS analysis on Monday.
In the week ending 5 April, naphtha costs were down by 6.1%, with the benefit of a $41/tonne drop in US-based prices accentuated by a 1.6% weakening of the dollar.
Co-products credits declined by 4% because of lower propylene and aromatics values.
The year-to-date margin average is currently about 15% higher than the margin average for 2012.
Spot margins based on naphtha feedstock were up by €16/tonne again as the lower feedstock costs outweighed falls in spot ethylene and co-product prices.
Naphtha-based production regained a slight margin advantage over liquefied petroleum gas (LPG)-based production as the drop in the ethylene contract and a 3.9% drop in co-product credits outweighed a 5.6% fall in LPG costs.
($1 = €0.77)
Follow Nel Weddle on Twitter
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections