Solvent Overview Transcript
White spirit, solvent naphtha and hexane are hydrocarbon solvents and are generally used in painting, coating, oil extraction and degreasing applications.
The main drivers for these products are feedstock prices and the economic climate.
Although supply and demand do ultimately play a role in these markets, feedstock prices are the biggest influence on values.
Hexane prices are affected by naphtha and crude oil values. Hexane tends to experience strong demand at the beginning of the fourth quarter of each year as this is when the olive harvest in the Mediterranean occurs. It is used to help extract oil from the olives.
White spirit prices are determined largely by jet kerosene values, those of solvent naphtha are influenced by gasoline numbers.
The economy and weather conditions also play a crucial role in market demand for these products. White spirit for example, is widely used in home improvement products which tend to see greater sales in the summer time