Samsung Total buys 25,000 tons of naphtha for H2-March arrival

17-Feb-11

Samsung Total has bought 25,000 tons of naphtha for H2-March arrival, as per Reuters. However, premium on the deal is unclear, but is estimated at about US$4/ton or lower, given the weaker fundamentals. Honam Petrochemical and LG Chem bought 50,000-75,000 tons of naphtha for the same arrival period at premiums of around US$4/ton on a C&F basis. Demand is expected to fall sharply for April cargoes due to the cracker maintenance season in Japan and South Korea.