Abu Dhabi National Oil Co (ADNOC) may begin long-term naphtha sales negotiations with buyers in Asia as early as next week, as per Bloomberg.
Marketing executives from Adnoc and buyers of the fuel will start discussions in Singapore on February 7 that may culminate in an initial offer by the end of the week, for naphtha to be delivered from April through March.
Arabian Gulf oil producers sell most of their crude and refined products under long-term contracts. Last year the company offered naphtha for supply starting from October for the first time. Adnoc sells three grades of naphtha known as Pentane Plus, Low Sulfur and Splitter. The company secured premiums of US$16.50-18.50/ton above Middle East benchmarks for supply of those fuels from January through December during its last round of term talks in November.