Naphtha tenders record lower premiums in Asia on weak regional demand

01-Jun-11

A slate of naphtha tenders recorded lower premiums in Asia because of weak regional demand for the petrochemical feedstock, as per ICIS. Indian refiner Oil and Natural Gas Corp (ONGC), sold by tender 35,000 tons of naphtha for loading from Mumbai on 10-11 June to Total, at a premium of US$19/ton to Middle East quotes FOB. Via another tender, ONGC sold 35,000 tons of naphtha to Itochu at a premium of US$20/ton to Middle East quotes FOB for loading from Hazira on 3-4 June. In its previous tender, ONGC sold 35,000 tons of naphtha to Itochu at a premium of US$39.50/ton to Middle East quotes FOB for loading from the same port on 19-20 May. Sellers are finding it very difficult to find buyers these days, with this trend expected to last for the next two to three months.