PTT Aromatics and Refining expects higher earnings in 2011

23-Dec-10

Thailand's largest integrated aromatics refinery - PTT Aromatics and Refining Pcl expects higher oil prices and rising paraxylene spreads to push up earnings in 2011, as per Reuters. Paraxylene spreads should be more than US$400/ton in 2011 on increased demand. Q4-10 net profits are expected to be good on likely gains from the company’s oil inventory as oil prices continue to rise. Thanks to higher margins and foreign exchange gains, PTTAR returned to a net profit of 695 million baht in Q3 after a net loss in the quarter ended June- its first loss in five quarters on account of lower petrochemical product margins and crude inventory losses. The company, 48.6% owned by top Thai energy firm PTT Pcl has refining capacity of 280,000 bpd and annual capacity to produce 2.26 mln tons of aromatics products.