Petchem Standard's Aromatics Trade Flow report - Oct 19

1. LONDON SINGAPORE HOUSTON
PAGE 1. BENZENE AND PYGAS FIXTURES
PAGE 2. STYRENE MONOMER
PAGE 3. XYLENES AND TOLUENE
PAGE 4. PRICING AND MARKET DYNAMICS
PAGE 5: FREIGHT RATES AND HALF MONTH SPOT PRICE AVERAGES
OCTOBER 19, 2014 VOLUME 1, ISSUE 21
THE AROMATICS TRADE FLOW REPORT

2. BENZENE/PYGAS:
SUMMARY: Benzene prices plummeted this week, alongside other aromatics and the energy complex as a whole. M2 DDP USG
spot prices fell by near $80/mt this week as buyers stepped back. October fixtures were few and while there was talk of working FOB
Korea-USGC parcels, sources reported no new volumes fixed this week. Thus far import volumes for the first half of the month were
estimated at just over 35,500 metric tons however at least one vessel heard to be carrying at least 20,000 was seen near the
Enterprise Terminal late in the week. A second vessel thought to be carrying 18,000 metric tons of benzene was seen in the Houston
Ship Channel on Friday morning while a third vessel carrying some 20,000 metric tons was seen near Balboa, Panama this week,
destined for US shores before the end of the month
Demand from the styrene segment was slightly improved with recent buy interest from Europe but remained lackluster overall with
at least two US producers heard to be offline during the month of October. Meanwhile, spot DDP values in the US cratered this
week, finishing the week at near $1,163/mt, down roughly $63/mt week on week. Prices in Europe held firm as October and
November finished the week on either side of $1,250 and $1,220/mt respectively. The TPS FOB Korea marker was at a $52/mt
discount to M2 US DDP prices.
ARRIVED: The Siteam Adventurer, carrying an estimated 18,000 metric tons of benzene, was last seen moored near the LBC
terminal at Bayport on Friday. Additionally the vessel FPMC 24, thought to be carrying at least 25,000 metric tons of benzene, was
last seen in the Gulf of Mexico between the ports of Corpus Christi and Houston.
EN ROUTE:
The vessel FPMC 30, heard loaded with at least 25,000 metric tons of benzene, was last seen in the Caribbean Sean just outside of
the Panama Canal. The vessel, which cast off from Korea in early September, was expected to arrive at the Port of Houston on
October 27. (Last update seen 3:22 p.m. on October 17.)
AROMATICS TRADE FLOW REPORT
October 19, 2014 - Vol 1, Issue 21
Qty Load Discharge Laycan Ship
20-25,000 Korea USGC H1 Sep FPMC 30
- Korea USGC H1 Sep Maritime Suzanne
32,000 Ulsan/Yokohama USGC Mid-Sep Atlantic Canyon
12,000 Ulsan USGC H1 Sep NA
18,000 Ulsan USGC H1 Sep Siteam Adventurer
6,000 Ulsan LMR Sep 1-10 NA
10,000 Houston Gebze End Sep Stolt Helluland
5,000 USGC ARA Oct 1-10 Bow Spring
25-30,000 Ulsan USGC Arrival mid-Oct FPMC 24
PYGAS
Qty Load Discharge Laycan Ship
5,000 Brindisi USGC Sep 20-30 MT Basiktas Zealand
5,000 Priolo Houston Sep 17-20 MT CB Savannah
9,500 ARA USGC Sep 10-15 CB Bulldog
11,000 ARA USGC End Sep Odfjell - NA
10,000 Antwerp Houston End Sep Bow Sagami
10,000 Rotterdam Houston Early Oct Shamrock Jupiter
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CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM,
ACCESSING AND USING TPS DATA.

3. STYRENE MONOMER:
SUMMARY: Styrene continued to see healthy buy interest from both Europe and Brazil this week with trades heard above
$1,521/mt FOB USG. There was little change in supply side conditions as two US styrene producers remained offline. Styrolution and
Westlake Chemical were heard offline through the month of October though confirmation was not immediately available. Given the
combined capacity of the two plants, the outages took roughly 80,000 metric tons of material out of the market during October.
Styrene remained among the more resilient of aromatics as demand did not subside this week. Midweek activity saw four trading
houses quoting lots of between 3,000-6,000 metric tons for November loading dates from the USGC to Santos. Unigel was said to be
the buyer though confirmation was not immediately available and it was not immediately clear what parcels, if any, were fixed.
Sources also cited steady demand in Europe following Shell’s production issues at Moerdijk. Some participants said that the
company had announced an allocation but confirmation was not immediately available. US sellers have moved more than 60,000
metric tons of styrene out of the US since H2 September with all but 10,000 metric tons destined for Europe.
US spot values closed the week talked near $1,520/mt on an FOB USG basis this week while production costs were estimated at just
under $1,433/mt. In Europe, prompt styrene values were last heard at near $1,620/mt while November spot values were heard
closer to $1,575/mt. Asian styrene monomer prices were steeply discounted to the FOB USG price with the TPS FOB Korea and CFR
China markers closing Friday’s session at $1,407 and $1,460/mt respectively.
ARRIVED: The vessel Bo Cedar, heard to be carrying roughly 15,000 metric tons of styrene was last seen moored at the Port of
Antwerp. The vessel was said to have cast off from the Port of Houston in late September.
The Chem Venus, heard to be loaded with 4,000 metric tons of styrene was last seen near the Port of Antwerp Friday. The vessel
cast of from Texas City on September 20, according to data from VesselTracker.
EN ROUTE: The vessel Stolt Basuto, loaded with over 7,000 metric tons of styrene, was last seen moored at the Port of Tarragona.
The vessel cast off from the Port of Houston on September 30 and was ultimately destined for the Port of Gebze. (Last update seen
at 12:04 a.m. on October 17.)
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CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM,
ACCESSING AND USING TPS DATA.
Qty Load Discharge Laycan Ship
15,000 Houston ARA End Sep/Early Oct AS Olivia
10,000 Houston ARA End Sep/Early Oct Chem Hydra
15,700 Houston ARA End Sep/Early Oct Bo Cedar
10,000 Houston Far East H1 Oct FPMC 28
5,000 USGC ARA Oct 1-10 Bow Spring

4. TOLUENE AND XYLENES
SUMMARY: Xylenes fixtures were mostly absent on the week as prices tumbled globally. The TPS CFR Taiwan paraxylene marker fell $62/mt on the week to finish Friday at $1,048/mt. Meanwhile US paraxylene prices saw declines which outpaced falling Asian values, down $90 to finish the week at $990/mt FOB USG. Following the outage at BP’s Cooper River PTA facility last month, US xylenes prices have seen thin demand and have largely been at the whim of Asian pricing, an ominous sign given that the TPS FOB Korea marker has fallen nearly $180/mt in October. Downstream PTA prices on a CFR China basis have put additional pressure on Asian xylenes, declining near $120/mt since the beginning of October.
There were no new mixed xylenes loadings reported this week. Sources talked of potential fixtures however confirmation was unavailable at time of publication. Earlier in the month, a 5,000 metric ton parcel was heard imported from Brazil while at least two parcels were still on the water moving east but new deals were few amid a xylenes pricing freefall.
US MX prices were just above $980/mt on an FOB USG basis, nearly $100 above the TPS FOB Korea marker and over $75 above the TPS CFR China marker. European prices were talked at a slight premium to US values this week.
Toluene values in the US were slightly higher on the week, finishing Friday’s session at $988/mt, down over $120 on the week. FOB Korea toluene was discounted to the US by approximately $30/mt while European toluene was talked notionally Friday on par with US spot prices.
EN ROUTE: The vessel Fairchem Mustang, loaded with 10,000 metric tons of paraxylene, was expected to load in H2 October from Houston to Suape.
The vessel Nave Universe, heard loaded with 10,000 mt of MX, was last seen in the North Pacific Ocean headed east at 14.8 knots. The ship loaded in Houston and was heard destined for Taiwan, sources said. (Nave Universe: Last update seen at 7:38 a.m. on October 19.)
Copyright © The Petrochemical Standard 2014 | useds@petchemstandard.com |
CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM, ACCESSING AND USING TPS DATA.
Copyright © The Petrochemical Standard 2014 | useds@petchemstandard.com |
CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM, ACCESSING AND USING TPS DATA.
Copyright © The Petrochemical Standard 2014 | useds@petchemstandard.com |
CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM, ACCESSING AND USING TPS DATA.
Copyright © The Petrochemical Standard 2014 | useds@petchemstandard.com |
CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM, ACCESSING AND USING TPS DATA. PX10,000US GulfTaiwan/ChinaH2 AugBeatrice10,000Texas CityNE AsiaH2 AugUACC Masafi20,000HoustonNingbo/ZhuhaiH2 AugSichem Hawk7,000US GulfBrazilMid-SepStolt Ocelot10,000GonfrevilleCharlestonSep 20-30Harbour Legend10,000HoustonChinaEnd-SepClarice10,000HoustonSuapeOct 20-30Fairchem MustangQtyLoadDischargeLaycanShip5,000HoustonUlsanH1 AugSiteam Explorer10,000HoustonChinaMid-AugBow Sirius10,000Corpus ChristiKorea End AugStolt10,000HoustonTaiwan Sep 1-10Nave Universe

5. PRICING AND MARKET DYNAMICS
 US M2 DDP spot benzene prices finished Friday at $1,163/mt, down over $60 on the week. M2 prices fell sharply early in the week however showed some life towards week’s end. European prices were talked north of $,1200/mt this week while FOB Korea values were weaker as the TPS FOB Korea marker fell near $75 on the week to close Friday at $1,108/mt.
 The FOB Korea-US M2 DDP spread flipped into negative territory amid falling prices and closed Friday at -$7.00/mt, assuming a freight rate of $62/mt. The spread fell $23 on the week.
 US M1 DDP spot benzene prices were virtually on level with the 5-day moving average of $1,164.50 and near $66 below the 20 day moving average The M1 spot price was at near parity with the 60-day moving average.
 Spot styrene closed the week higher on increased buy interest from Brazil and Europe. Oct US spot FOB values were near $1,524.50/mt Friday, while November near $1,640/mt. Asian SM prices finished the week lower with the TPS FOB Korea and CFR China markers at $1,407 and $1,460/mt respectively.
 The gains in styrene, coupled with sharp declines in benzene put the as high as $358.50/mt, up almost $60/mt week on week.
 US toluene spot prices fell nearly $120/mt this week, closing Friday at $988/mt. The M1 FOB USG price was above the TPS marker which closed at $954/mt FOB Korea Friday while European prices were talked mostly even to US values.
 The US benzene-toluene spread widened by over $70 on the week to finish Friday at $178/mt.
 US xylenes were weaker with the PX M1 FOB USG price closing the week below the $1,000 mt/mark as demand domestically was week and Asia prices fell. The TPS CFR Taiwan marker finished the week at $904/mt. European PX prices were talked notionally in a wide range with a midpoint of near $1,030/mt.
 The US PX-MX spread closed at $11.50/mt.
Copyright © The Petrochemical Standard 2014 | useds@petchemstandard.com |
CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM, ACCESSING AND USING TPS DATA.
-$100.00
-$50.00
$0.00
$50.00
$100.00
$150.00
$200.00
$0.00
$200.00
$400.00
$600.00
$800.00
$1,000.00
$1,200.00
$1,400.00
$1,600.00
$1,800.00
3-Mar-14
13-Mar-14
25-Mar-14
4-Apr-14
16-Apr-14
29-Apr-14
12-May-14
23-May-14
5-Jun-14
17-Jun-14
27-Jun-14
10-Jul-14
22-Jul-14
1-Aug-14
13-Aug-14
25-Aug-14
5-Sep-14
17-Sep-14
29-Sep-14
9-Oct-14
US BZ DDP M2
BZ FOB KOREA
SPREAD
300.00
350.00
400.00
450.00
500.00
550.00
3-Mar-14
12-Mar-14
21-Mar-14
1-Apr-14
10-Apr-14
22-Apr-14
2-May-14
13-May-14
22-May-14
3-Jun-14
12-Jun-14
23-Jun-14
2-Jul-14
11-Jul-14
22-Jul-14
31-Jul-14
11-Aug-14
20-Aug-14
29-Aug-14
10-Sep-14
19-Sep-14
30-Sep-14
9-Oct-14
SPOT BZ M1 DDP USG
5-DAY Ma
20-DAY MA
$0.00
$50.00
$100.00
$150.00
$200.00
$250.00
$300.00
$350.00
$400.00
$450.00
14-Mar-14
25-Mar-14
3-Apr-14
14-Apr-14
24-Apr-14
6-May-14
15-May-14
27-May-14
5-Jun-14
16-Jun-14
25-Jun-14
7-Jul-14
16-Jul-14
25-Jul-14
5-Aug-14
14-Aug-14
25-Aug-14
4-Sep-14
15-Sep-14
24-Sep-14
3-Oct-14
14-Oct-14
BZ-Tol spread
-50.00
0.00
50.00
100.00
150.00
200.00
250.00
18-Mar-14
26-Mar-14
3-Apr-14
11-Apr-14
22-Apr-14
30-Apr-14
9-May-14
19-May-14
28-May-14
5-Jun-14
13-Jun-14
23-Jun-14
1-Jul-14
9-Jul-14
17-Jul-14
25-Jul-14
4-Aug-14
12-Aug-14
20-Aug-14
28-Aug-14
8-Sep-14
16-Sep-14
24-Sep-14
2-Oct-14
10-Oct-14
US Spot PX-MX Spread

6. FREIGHT RATES – 10,000 MT FREIGHT RATES – 5,000 MT
ULSAN – HOUSTON: $60-64/MT ULSAN – HOUSTON: $63-68/MT
HOUSTON – MAIN PORT FE: $58-62/MT HOUSTON – MAIN PORT FE: $62-66/MT
HOUSTON – CHINA: $62-66/MT HOUSTON – CHINA: $66-70/MT
HOUSTON – NORTHWEST EUROPE $42-46/MT HOUSTON – NORTHWEST EUROPE $45-49/MT
HA LF MONTH AVERAGES
US SPOT BZ DDP USG US SPOT SM FOB USG US SPOT TOLUENE FOB USG
H1 Aug – $1,475.56 H1 Aug – $1,591.94 H1 Aug – $1,133.92
H2 Aug – $1,436.00 H2 Aug – $1,567.00 H2 Aug – $1,136.50
H1 Sep - $1,303.54 H1 Sep - $1,512.57 H1 Sep - $1,158. 24
H2 Sep - $1,268.30 H2 Sep - $1,489.21 H2 Sep – $1,084.46
H1 Oct - $1,243.50 H1 Oct - $1,500.25 H1 Oct - $1,113.00
H2 Oct MTD - $1,152.65 H2 Oct MTD - $1,506.40 H2 Oct MTD - $988.00
US SPOT MX FOB USG US SPOT PX FOB USG
H1 Aug – $1,129.10 H1 Aug – $1,306.00
H2 Aug – $1,086.50 H2 Aug – $1,253.00
H1 Sep - $1,060.16 H1 Sep - $1,225.50
H2 Sep - $1,090.80 H2 Sep – $1,185.90
H1 Oct - $1,072.50 H1 Oct - $1,133.75
H2 Oct MTD - $980.20 H2 Oct MTD - $1,005.00
EDITORS CONTACT DETAILS
 Kevin Allen
 Email: kevin.allen@petchemstandard.com
 Phone: 713.344.3690
 Yahoo: tpsusaros
* Vessel photos and information courtesy of Vesseltracker
Copyright © The Petrochemical Standard 2014 | useds@petchemstandard.com |
CONTENT IS PROVIDED “AS IS”. TPS MAKES NO GUARANTEES OR WARRANTIES AS TO THE ACCURACY, COMPLETENESS, TIMELINESS, OR RESULTS TO BE OBTAINED FROM, ACCESSING AND USING TPS DATA.