Home > Chemical News

Chemical News

LPG deep processing margins ascend in Shandong on rises in product prices

https://www.chemnet.com   Jul 21,2011
LPG deep processing plants in Shandong Province could get more margins as prices of their products increased.

Based on ex-refinery price of 93-Ron gasoline, LPG deep processing plants equipped with aromatic units in Shandong Province could reap Yuan 445/mt of margin on average in theory Wednesday, up by Yuan 128/mt from one week ago, C1 estimated.

Prices of ultraclean LPG swelled by Yuan 375/mt and aromatic type gasoline inched up by Yuan 25/mt in the past week; meantime, feedstock prices climbed by Yuan 125/mt, C1’s assessment showed.

Demand for ultraclean LPG was robust as major refineries in East China hiked LPG prices on fewer inflows of arbitrage cargoes.

Aromatic type gasoline market continued to see better sentiment.

Rises of feedstock prices slowed down on weaker demand as aromatics margins for LPG deep processing plants fell close to zero.

Calculated by ex-refinery price of aromatic type gasoline, margins for the plants average Yuan 236/mt Wednesday, slumping Yuan 169/mt on week.

C1 calculated LPG deep processing margins mainly on the basis of C1's intraday price assessments of spot feedstock and products, as well as average output ratio of deep processing plants. C1 also took into consideration the average processing cost of the domestic oil refining industry, transportation cost, consumption tax, value-added tax and losses, etc., while excluding the other costs like financial cost and sales tax, etc.
 Print  |    add to Favorites  |    Close