Naphtha crack in Asia slips to four-session low

25-Jul-14

Naphtha crack slipped by 3.8% to a four-session low of US$163.5/ton, as per Reuters. At least one petrochemical maker in South Korea was heard to have bought September naphtha cargoes through private negotiations at premium of US$13-13.50/ton to Japan quotes on a cost-and-freight (C&F) basis. One of the last deals seen done through an open tender in South Korea was around middle of July when YNCC paid premium of about US$16/ton to Japan quotes on a C&F basis for up to 90,000 tons of naphtha for H2-August arrival. Traders added that South Korean buyers could also be trying to maximize the amount of liquefied petroleum gas (LPG) they can use in September.