Methanol Weekly Report 15 November 2019
Weekly Price Trend: 11-11-2019 to 15-11--2019
- The above graph focuses on the Methanol price trend for the current week. Prices remained vulnerable throughout this week. Domestic prices were assessed at the level of Rs.17/Kg for bulk quantity by end of the week.
- By the end of the week prices were assessed around Rs 17/Kg for Kandla and Mumbai ports, slightly reduced by Rs.0.25/kg for this week.
Booking Scenario
INDIA&INTERNATIONAL
- This week domestic market prices of Methanol have reduced very slightly with changes in the domestic market demand. There has been weakening in the demand sentiments in Indian market. Prices in the domestic market reduced slightly for this week and were assessed at the level of Rs.17/Kg for bulk quantity.
- CFR India prices were assessed around USD 213/MTS, with no change in prices for this week.
- CFR China prices were assessed around USD 217-237/MT remained stable with no change in values for this week.
- Global oil supply could continue to rise at a rapid pace in 2020, surpassing the increase in demand. According to new figures from the International Energy Agency (IEA), non-OPEC supply could expand by a staggering 2.3 million barrels per day (mb/d), nearly double the expected increase in demand at 1.2 mb/d.
- That forecast doesn’t just depend on substantial growth from U.S. shale (although it does), but also on expected increases from Brazil, Norway and Guyana.
- The surge in output complicates OPEC+’s task as Vienna approaches. The production cuts are currently set to expire at the end of March 2020, but the group is widely expected to extend that agreement through the end of the year.
- “The hefty supply cushion that is likely to build up during the first half of next year will offer cold comfort to OPEC+ ministers gathering in Vienna at the start of next month,” the IEA said. “However, a continuously well-supplied market will lend support to a fragile global economy.”
Unplanned outage reported at MTO unit of Jiutai Energy
- Jiutai Energy Group has shutdown its MTO unit on emergency basis. The company has put an halt to the operations of the unit owing to mechanical issues. The plant is likely to remain off-line for about 4-5 days.
- Unit is based at Inner Mongolia, the MTO plant has an ethylene capacity of 150,000 mt/year and propylene capacity of 200,000 mt/year.
Saudi's SABIC ups stake in methanol JV after $150m deal
- Saudi Basic Industries Corporation (SABIC) has acquired an additional 25 percent stake in its joint venture in Saudi Methanol Company (Ar-Razi) with the Japan Saudi Arabia Methanol Company (JSMC) in a $150 million deal. SABIC also simultaneously extended its partnership with JSMC in Ar-Razi for 20 years, for which JSMC agreed to pay SABIC $1.35 billion.
$1 = Rs. 71.83
Import Custom Ex. Rate USD/ INR: 72.00
Export Custom Ex. Rate USD/ INR: 70.30
