Tag Archives | petrochemicals

Asian Ethylene Markets: What We Definitely Know

By John Richardson

FORECASTING the absolute future price of any petrochemical has always been difficult and if you are ever exactly right this will be down more to good luck than good judgement.

And the problem is that when you …

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Shallow Discussions Versus Complex Oil Price, Economic Realities

By John Richardson

IT has been a very good year so far for European and Asian naphtha cracker operators, as the chart above illustrates. As you can see, in the case of high-density polyethylene (HDPE), naphtha-based integrated margins in 2015 …

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Be Very Careful Of the $60-70 Oil “New Normal”

By John Richardson

THERE is an argument being made that the recent stability in oil prices will continue as crude enters a “New Normal” of $60-70 a barrel.

This type of thinking seems to have had an effect on petrochemicals …

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How To Get Through 2015 In One Piece (More Or Less)

By John Richardson

EVERY time the oil price stabilises for just a few days there is pretty widespread talk of the market having found a bottom  and that a rebound is about to begin.

A case in point was last …

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China Restructures The Global Petchems Business

By John Richardson

This chart should truly take your breath away as it shows that:…

China’s purified terephthalic acid (PTA) exports fell from 2.5m tonnes in January-November 2013 to just over a million tonnes for the same period this year.

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US Petrochemicals Will Suffer From “The Blame Game”

 

By John Richardson

THE chat below provides some very instructive reading as it shows that:…

Since 2000, overall real consumption in US polyethylene (PE) has fallen from around 12.5m tonnes to 12.3m tonnes (real consumption is domestic production plus

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Too Late For Iron Ore, But Not For Petrochemicals

By John Richardson

YOU might be familiar with the phrase “putting all your eggs in one basket”. It is the kind of phrase that you learn at your mother’s knee, and yet CEOS seem to have forgotten what they were …

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What A “Low Growth World” Really Looks Like

By John Richardson

ONLY six new  US crackers would be built over the next five years because of rising construction and labour costs, said Dow Chemical’s CEO, Andrew Liveris, in an earnings conference call last week. This would be out …

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The Cost Versus Growth Conundrums

By John Richardson

SOME petrochemicals companies believe that their big cracker and derivatives projects will produce positive returns in a few years, when, in fact, it could take much longer,  say several industry sources.

The sources feel that the  growth …

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The “Logic” Of US Ethane Exports

By John Richardson

THE search for feedstock advantage is constant, given that some 80-90% of variable costs for any petrochemicals producer consists of the cost of acquiring raw materials.

Hence, my colleague Nigel Davis, in this excellent Insight article, writes:…

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