Indian Oil Corp sells naphtha for Oct 29-Nov 3 loading from Kandla after cancellation of previous tender

23-Oct-15

Indian Oil Corp has sold 18,000-20,000 tons of naphtha for Oct. 29 to Nov. 3 loading from Kandla after cancelling a previous tender for the same cargo due to low bids, traders said in Reuters. The state-owned refiner sold the cargo to Thai firm PTT at a premium of about US$1/ton to IOC’s own price formula on a free-on-board (FOB) basis. This was the first time this year that IOC has sold a cargo out of Kandla, Reuters data showed. Traders said domestic demand had curbed exports from Kandla but IOC continues to export naphtha regularly out of Chennai, Dahej and Haldia. IOC had earlier offered the Kandla cargo for Oct. 20-25 loading but bids were mostly at discount levels to IOC’s formula on a FOB basis.