Honam Petrochemical Corp has bought 75,000 tons of naphtha at about US$13-14/ton above Japan quotes on a cost-and-freight (C&F) basis, the highest premiums paid in South Korea in about 3-1/2 weeks, as per Reuters. The three 25,000 ton cargoes will be delivered in November to Daesan, where Honam operates a 1 mln tpa cracker. It operates another 1 mln tpa cracker in Yeosu, making it the largest ethylene operator in South Korea. Traders added that Honam's tender was to purchase second-half November cargoes, although it was also in need of H1-November imports.
Honam is the second naphtha buyer in South Korea this week to buy November cargoes through a tender after last week's muted demand.