Borealis, Owners and Joint Ventures
UAE’s ADNOC sells July spot splitter naphtha at $13/tonne premium
ICIS News : 13-Jun-12 09:05
SINGAPORE (ICIS)--Abu Dhabi National Oil Co (ADNOC) has sold via spot tender 75,000 tonnes of splitter naphtha for early July loading at half the premium achieved for its latest term contract, traders said on Wednesday.
The cargo of splitter naphtha, which will be loaded on 7-9 July, was settled at a premium of $13/tonne (€10/tonne) to ADNOC’s FOB (free on board) pricing formula, traders said.
This lot was a leftover from the one-year contract term supply for July 2012 to June 2013, which was closed at a $26/tonne premium to its own FOB pricing formula, they added.
“This is within expectation,” a trader in Singapore said in reference to the $13/tonne premium.
“The [one-year] contract’s premium was closed [at a] high [price] in the first place. This spot premium better reflects the current spot market,” a source at a South Korean cracker operator said.
Open-spec naphtha prices were at $737-739/tonne CFR (cost & freight) Japan at midday on 12 June, according to ICIS data.
($1 = €0.80)
By Ong Sheau Ling
+65 6780 4359