Feedstock, Olefins and Aromatics
US propylene producer changes May proposal to -1 cent/lb from -3
ICIS News : 3-May-13 22:19
HOUSTON (ICIS)--A US propylene producer that made an initial nomination for May contracts has revised its offer, sources said on Friday.
The producer, which initially nominated a decline of 3 cents/b ($66/tonne, €51/tonne) on Wednesday, has revised its offer to a decline of 1 cent/lb.
This new nomination matches the nomination from another producer in the market, which was heard on Thursday.
Sources said the revised nomination was driven by a spot trade for polymer-grade propylene (PGP) at 59.25 cents/lb late in the week.
The trade offered support for a May propylene contract at 61-62 cents/lb.
April PGP contracts settled at 63.0 cents/lb, while chemical-grade propylene (CGP) contracts settled at 61.5 cents/lb.
Major US producers of CGP and PGP include Chevron Phillips Chemical, ExxonMobil, LyondellBasell, PetroLogistics and Shell Chemical.
Major buyers include Ascend Performance Materials, Dow Chemical, INEOS and Total.
($1 = €0.77)
By John Dietrich