Open-spec naphtha rises in the week, but markets continue to soften

20-Jul-09

Open-spec naphtha prices have risen for the fourth-straight session, hitting their highest level in one week, while cracks recovered marginally. However, increased supplies have made it challenging for prices to attain levels reached at the start of the month. Supplies have increased from Saudi Aramco due to higher output of crude, as well as Kuwait Petroleum Corp. as its delayed aromatics plant comes onstream. Saudi Aramco’s 40,000 ton parcel of light naphtha from Yanbu, and 15,000 tons of A310 grade from Jeddah for July 23-27 lifting have been sold to a European trader at a premium around US$15/ton on free-on-board (FOB) basis.