Indian Oil Corp (IOC) has sold a total of 100,000 tons of January naphtha from Dahej and Kandla. IOC sold 30,000 tons of naphtha for Jan. 24-26 loading from Kandla to Total at premiums of about US$15/ton to its own price formula on a free-on-board (FOB) basis, as per Reuters. This was more than double the US$5.50-6.50 premium from Itochu for a cargo lifting end-December from the same port. Another 35,000 ton cargo was sold for Jan. 10-12 loading and a cargo of the same volume for Jan. 21-23, were sold to Marubeni at premiums over US$20.
Firmness has been seen in naphtha sentiment from Nov. 25, due to reduced naphtha exports from the Middle East as more gas feedstock is channeled into heating to cater to colder weather. Cracks have almost doubled from US$56.45 a month ago.