Friday, February 14, 2020
Energy, Petrochemicals and Plastics 51
1 The Coronavirus May Mark The End Of Russia-OPEC Cooperation
https://oilprice.com/Energy/Crude-Oil/The-Coronavirus-May-Mark-The-End-Of-Russia-OPEC-Cooperation.html
A week ago, at an emergency meeting of the OPEC’s Joint Technical Committee, Russia refused to agree to the cartel’s proposal to reduce production by an additional 600 000 barrels per day (bpd). Explaining Russia’s position, Energy Minister Alexander Novak said that in order to make such a decision, it takes time to evaluate the effect of coronavirus on the oil market.
2 Oil Price Fundamental Daily Forecast
https://www.fxempire.com/forecasts/article/oil-price-fundamental-daily-forecast-firm-on-increasing-optimism-over-opec-production-cuts-633215
U.S. West Texas Intermediate and international-benchmark Brent crude oil futures are edging higher on Friday as investors continue to increase bets that OPEC and its allies will come through with the production cuts a technical committee recommended last week. The price action also suggests that traders are a little more optimistic that the coronavirus outbreak has reached a peak and that the demand crisis may be ending.
3 Oil demand set for first fall in a decade as virus takes toll: IEA
https://www.reuters.com/article/us-iea-oil-idUSKBN20710B
Oil demand is set to fall this quarter for the first time since the financial crisis in 2009 due to the coronavirus outbreak in China, the International Energy Agency (IEA) said on Thursday.
4 EIA Cuts 2020 Oil Price Forecast
https://www.rigzone.com/news/eia_cuts_2020_oil_price_forecast-13-feb-2020-161084-article/
The U.S. Energy Information Administration (EIA) has cut its Brent oil price forecast for 2020, its February short-term energy outlook (STEO) report has revealed.
5 Bearish Sentiment Will Dominate Oil Markets Through 2020
https://oilprice.com/Energy/Oil-Prices/Bearish-Sentiment-Will-Dominate-Oil-Markets-Through-2020.html
We are less than two months into the new decade and we’ve already seen multiple major oil market events. The first was the killing of Qasim Soleimani, the commander of IRGC’s elite group the Quds. The assassination caused oil prices to spike as talk of a regional and global retaliation from Iran ignited fears of a major supply disruption.
6 U.S. natural gas consumption has both winter and summer peaks
https://www.eia.gov/todayinenergy/detail.php?id=42815
Natural gas consumption in the United States has two seasonal peaks, largely reflecting weather-related fluctuations in energy demand. In the winter months, cold weather leads to more demand for heating in the residential and commercial sectors. In the summer months, warm weather leads to more demand for air conditioning and, in turn, more demand for electricity.
7 Natural Gas Price Prediction
https://www.fxempire.com/forecasts/article/natural-gas-price-prediction-prices-consolidate-following-inventory-report-2-633122
Natural gas prices moved higher but remain in a relatively tight range following a slightly larger than expected draw in natural gas inventories. The EIA released its inventory estimate on Thursday, and the trajectory of the draws have kept prices above the average of the 5-year range.
8 Is there a bottom for Europe’s plunging natural gas market?
https://www.worldoil.com/news/2020/2/14/is-there-a-bottom-for-europe-s-plunging-natural-gas-market
The global glut of the fuel has seen prices plunge in the U.S., Europe and Asia as a wave of liquefied natural gas hits the market. Associated gas from oil fields in North America also boosted supplies at a time when demand growth is under threat from a slowing global economy and the coronavirus.
9 Global Oversupply Equals a Tough Year for LNG Exporters
https://www.rigzone.com/news/global_oversupply_equals_a_tough_year_for_lng_exporters-14-feb-2020-161094-article/
2020 is going to be tough for LNG exporters. A warm winter in the northern hemisphere has depressed demand in North America, Europe and Asia.[i] This together with the outbreak of the coronavirus means liquid natural gas prices are poised to test record lows. In essence, demand is insufficient to absorb rising global supplies of this super-cold fossil fuel.
10 Natural gas prices fall to lowest level since 2016, the lowest February prices in 20 years
https://www.eia.gov/todayinenergy/detail.php?id=42835
This winter, natural gas prices have been at their lowest levels in decades. On Monday, February 10, the near-month natural gas futures price at the New York Mercantile Exchange (NYMEX) closed at $1.77 per million British thermal units (MMBtu). This price was the lowest February closing price for the near-month contract since at least 2001, in real terms, and the lowest near-month futures price in any month since March 8, 2016, according to Bloomberg, L.P. and FRED data.
11 China likely to shun US LNG despite multibillion trade deal
https://www.rystadenergy.com/newsevents/news/press-releases/china-likely-to-shun-us-lng-despite-multibillion-trade-deal/
An ongoing two-year long trade war between the US and China that has impacted the exports of both countries seemed to be closer to a resolution in January, when the two rivals sealed a deal that left the Asian nation committed to buy a total of $26.2 billion in energy products this year.
12 Fuel consumption sinks on record warmth across northern hemisphere
https://www.reuters.com/article/us-energy-weather-kemp-column-idUSKBN2081LD
Last month was the warmest January on record across the northern hemisphere, sending demand for heating oil, natural gas and coal plunging in all the major consumption centres of the world.
13 Chart increases 2020 guidance as profit slumps
https://www.lngworldnews.com/chart-increases-2020-guidance-as-profit-slumps/
The company reported a net profit of $46.4 million, a 47.27 percent drop from the $88 million profit reported in 2018.
Chart reported net orders for the year of $1.41 billion, a 23.7 percent increase over 2018 driven by record orders in trailers, LNG fueling stations, cryogenic equipment in India, lasers, hydrogen, cannabis and water treatment.
14 Falling air freight points to renewed global economic slowdown
https://www.reuters.com/article/uk-global-economy-kemp-idUSKBN2071M3
Global air freight started to weaken again last month, after improving in the final quarter of 2019, a worrying sign the nascent upturn in the global economy was running into trouble even before the coronavirus crisis worsened.
15 The $2 Trillion Threat To Middle East Oil
https://oilprice.com/Energy/Crude-Oil/The-2-Trillion-Threat-To-Middle-East-Oil.html
In less than a decade and a half, the six members of the Gulf Cooperation Council (GCC)—Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates (UAE)—could see their combined US$2 trillion wealth wiped out, if they do not significantly accelerate fiscal reforms and raise their non-oil revenues and non-oil share of their respective economies to be ready for a world of peak oil demand.
16 Weekly resin report: Tightening supply sends prices higher
https://www.plasticstoday.com/resin-pricing/weekly-resin-report-tightening-supply-sends-prices-higher/8605971962393
Tighter supply sent polyethylene (PE) and polypropylene (PP) prices up $0.01 to 0.02/lb last week, reports the PlasticsExchange (Chicago) in its Market Update. While the flow of fresh railcars remained slow for the second straight week and the variety of materials offered were not necessarily the most desirable, demand was robust and buyers snagged the best low-hanging fruit. The week ended with buyers seeking more well-priced resins.
17 Materials: Innovative PC Copolymers for Medical Equipment Housings and More
https://www.ptonline.com/products/materials-innovative-pc-copolymers-for-medical-equipment-housings-and-more
An innovative new family of PC copolymers touted for their excellent chemical resistance to highly aggressive chemical disinfectants used to prevent hospital-acquired infections (HAIs) in hospital and clinics are newly available from SABIC (U.S. office in Houston, Texas). The new LNP Elcres CRX copolymers are said to be an easier drop-in alternative to incumbent resins used in healthcare equipment housings ranging from portable ultrasound and X-Ray machines to hand-held diagnostics and infusion pumps.
18 Scientists develop biodegradable packaging for organic beauty market
https://www.packagingnews.co.uk/news/environment/biodegradable-compostable/scientists-develop-biodegradable-packaging-organic-beauty-market-11-02-2020
The new packaging solves a conundrum for cosmetics firms that currently sell organic, ‘clean’ products in plastic containers made from fossil fuel products that cannot degrade and will forever remain in landfill.
19 INEOS and UPM Biofuels announce supply agreement for renewable raw materials to make plastic
https://www.britishplastics.co.uk/News/ineos-and-upm-biofuels-announce-supply-agreement-for-renewab/
INEOS and UPM Biofuels have announced a long-term agreement to supply a renewable raw material for new and innovative bio-attributed polymers to be produced at INEOS Köln.
20 DOMO Completes Acquisition of Solvay’s Nylon Business in Europe
https://kemicalinfo.com/domo-completes-acquisition-of-solvays-nylon-business-in-europe/
DOMO Chemicals, a leading producer of engineering materials announced that the company has completed its acquisition of Solvay’s Performance Polyamides Business in Europe.
21 Linde Wins Contract for Sibur’s Amur Gas Chemical Complex
https://kemicalinfo.com/linde-wins-contract-for-siburs-amur-gas-chemical-complex/
Linde PLC has recieved a contract to provide technology for PJSC Sibur Holding’s cracker at Amur gas chemical complex (GCC).
GCC is an integrated 1.5 million tons per year polyethylene and polypropylene production complex to be built near Svobodny in Russia’s far-east Amur region.
