Naphtha cracks in Asia fall on weak demand

04-Nov-11

Naphtha cracks in Asia fell, while gasoline cracks slipped to the lowest in five months on adequate supply and lackluster petrochemical demand in China, as per Reuters. Recent naphtha tenders in India showed a further weakening in the market with premiums decreasing for November and December. Oil and Natural Gas Corp sold 35,000 tons for Nov. 23-24 lifting from Mumbai to Mercuria at a premium of US$9/ton, and similar volume for Nov. 23-24 lifting from Hazira to Total at a premium of US$19/ton. Indian Oil Corp sold 35,000 tons for Nov. 21-23 lifting from Dahej to Mercuria at a premium of US$9/ton, Mangalore Refinery & Petrochemicals sold a similar volume for Dec. 13-15 lifting from New Mangalore to Total at a premium of US$14.15/ton. The price for front-month H2-December open spec naphtha stood at US$862.50/ton. Naphtha cracks for H2 December decreased by US$50.10.