South Korea's Honam Petrochemical has bought at least 50,000 tons of naphtha for August-September delivery, reflecting brisk demand amid tighter supplies, as per Reuters. However, Samsung Total, who was heard to be seeking parcels, failed to secure volumes for H2-August delivery. Some traders expect Taiwan's Formosa, absent for two months, to return to the spot market for September cargoes.
Honam bought one 25,000 ton cargo for H2-August arrival at Yeosu at premiums of US$8/ton to Japan quotes on a cost-and-freight (C&F) basis. The formula is on a 30-day price basis. Another cargo for H-September for arrival at Daesan was procured at premiums of US$5/ton based on a 45-day pricing formula.