BPCL doubles December naphtha offer of 60,000 tons from November

17-Nov-09

Bharat Petroleum Corp Ltd (BPCL) has increased twofold, its naphtha offer for December vs November. BPCL has offered 60,000 tons of naphtha for December, doubling the spot volume it sold last month. 30,000 tons of low-aromatic naphtha was offered for Dec. 10-15 lifting from Mumbai, and an equal quantity has been offered from the same port for Dec. 25-30 loading. Last month, the company has sold a 30,000 ton parcel for Nov. 25-29 lifting from Mumbai last week to Itochu at a premium of US$15/ton to Middle East spot quotes on a FOB basis. Another 27,000 tons was sold for lifting from Kochi on Nov. 17-21 to Mabanaft at a premium of US$11/ton FOB. However, this is not expected to affect India's overall exports for December. This month exports are estimated to hold steady from November's volumes at 730,000-750,000 tons, as the estimates have already factored in some additional cargoes from various Indian refiners. Northeast Asian buyers who had initially planned cracker run rate cuts, have been on a buying spree for H2 December. Robust demand from China has led to healthy run rates in a conventionally low demand period. Additionally, exports from Europe have stopped after the shipments of 500,000 tons in August.