LONDON (ICIS)--European ethyl tertiary butyl ether (ETBE) prices reached record highs for the year on the back of increased methyl tertiary butyl ether (MTBE) trades, ICIS data showed on Thursday.?xml:namespace>
Outright ETBE prices were assessed at $1,313-1,343/tonne FOB (free on board) ARA (Amsterdam-Rotterdam-Antwerp).
The last time ETBE outright prices were over $1,300/tonne was on 11 July last year, when they hit a high of $1,316/tonne.
Increased gasoline consumption, particularly from the Mediterranean, continues to drive higher demand for blending components, sources noted.
Producers see very strong offtake from consumers on term contracts, and production economics remain attractive owing to low feedstock fuel ethanol prices.
MTBE prices continue to firm on higher upstream energy costs, owing to the ongoing dispute in Iraq.