Saudi gas shortage and Iran gas price hikes

By Malini Hariharan

The gas shortage in the Middle East, especially Saudi Arabia, has been well documented with the situation expected to ease in the longer term once investments in new processing plants have been completed.

But in a recent …

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The Fear Factor Dominates

By John Richardson

EVERYWHERE you turn it is bad as fear over the future dominates the mood of polyolefin producers and buyers.

Aversion to risk seems to have increased because of the concern that this could be September 2008 all …

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Middle East Still Confident For Now

By John Richardson

Confidence among Middle Eastern petrochemical producers remains high because they obviously now that as long as oil prices do not collapse they will continue to make excellent money, said a chemicals analyst.

The blog believes that there …

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Why China PE Demand Will Not Grow In 2011

By John Richardson

THE blog hears that some industry observers are persisting with the Supercycle theory for petrochemicals based on “decoupling” – i.e. emerging markets will compensate for any new recessions in the West.

We find this baffling as evidence …

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Limited Help For China’s SMEs

By John Richardson

THE credit crisis that is limiting chemicals and polymer trade in China is continuing, even though local initiatives have been launched to help small and medium-sized enterprise (SMEs) with the central government indicating that more help could be …

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Oil demand set to slip, will prices follow?

By Malini Hariharan

The International Energy Agency (IEA) has once again trimmed its oil demand forecast for 2011. And rising fears of a sustained global economic slowdown have also prompted the agency to cut the forecast for 2012.

The IEA …

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PDH spreads in China

By Malini Hariharan

After methanol-to-propylene (MTP), Chinese companies are racing to build propane dehydrogenation (PDH) plants with eight new projects announced over the last three months.

The blog estimates that PDH projects with a total propylene capacity of 4.6m tonnes/year …

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China’s Long-term Shift In Inflation

By John Richardson

THE odd chemicals trader who has gone long might well seek to talk-up his or her markets by claiming that the slowdown in China’s inflation rate is great news.

But nobody interested in anything beyond the sale of …

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This Is Not Merely A Rough Patch

By John Richardson

IT was interesting to read late last week about how certain chemicals analysts still believe that the big slump in the sector’s share prices might merely be a rough patch, possibly just a correction.

In this same excellent …

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MEG bucks the trend

By Malini Hariharan

There are some exceptions to the generally weak petrochemical markets seen in Asia these days and monoethylene glycol (MEG) is one such product.

Spot prices have hit a 44-month high of $1,275-1,280/tonne CFR China and are expected …

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