Honam Petrochem buys 50,000 tons naphtha for H2-August at a lower price

19-Jul-11

Honam Petrochemical bought 50,000 tons of naphtha for H2-August at a lower price, of minus US$3.50/ton Japan spot quotes on a cost-and-freight (C&F) basis for two cargoes to be delivered to Yeosu. With the recent purchase, its total spot purchases by tender for next month have totaled to around 125,000 tons, as per Reuters. The recent discount is steeper than the US$3/ton discount paid on July 4 for 75,000 tons for H1-August arrival. On average, Honam buys 200,000 tons of spot naphtha a month. Apart from steady demand from South Korea, spot buying interest from Japan and Taiwan was muted.