Oil crash is causing Saudi Arabia to cut pay by 20%

SEATTLE (polymers.in):  Saudi Arabia will cut ministers’ salaries by 20% and scale back financial perks for public sector employees.
- Saudi Arabia racked up a record budget deficit of nearly USD 100 billion last year. 

Oil's rallying as OPEC talks begin
- Prices for Brent crude oil are up 3.2% at USD 47.98/bbl.
- Analysts aren’t getting their hopes up for any sort of agreement among the producers on a production freeze this time around.  

Canadian light oil output to decrease to 1.471 million b/d by 2018: CERI
- Conventional oil production in Canada will decrease to 1.47 million bbl/day by 2018 from 1.5 million bbl/day in 2015.
- With an output of about 700,000 bbl/day, Alberta was the highest producer of conventional oil last year in Canada.
- Western Canadian supply costs of just under USD 15.14/bbl. 

Oil price could get 'surprise' lift in 2017 despite high stocks: Gunvor's Fyfe
- Oil prices could surprise to the upside next year as the ability of US shale to become the new swing producer.
- The IEA estimates US shale production would need oil at more than USD 60/bbl to trigger an increase in production and sustain it in the medium term. 

U.K. Oil Producers Say New Investment Vital Even as Costs Fall
- According to Deirdre Michie, the UK Continental Shelf is in urgent need of fresh investment to boost exploration and drive activity.
- Oil’s collapse in the past two years has left many producers operating at a loss at agin North Sea fields.  

Oil Crash Boosting Nigeria’s Local Services Industry, Ladol Says
- Nigeria’s government is trying to boost investment in its oil industry.
- Ladol is in talks with several operators in Nigeria and Tullow Oil Plc. 

U.K. Stocks Set for Worst Drop in Two Weeks as Oil Shares Slide
- Declines in energy producers dragged the FTSE 100 Index lower as investors speculated on prospects of output curbs as major oil producers meet for talks this week.
- FTSE 100 lost 1.2%. 

Oil Holds Near $45 as Saudi Offer Opens Door to Future OPEC Deal
- Futures added 0.1% in New York after slumping 4% on Friday.
- Saudi Arabia and Iran didn’t reach an agreement after two days of preparatory talks in Vienna.
- WTI for November delivery rose as much as 47 cents to USD 44.95/bbl.
- Brent for November settlement climbed as much as 53 cents or 1.2% to USD 46..42/bbl. 

Asia ethylene margins plunge on weaker spot
- Naphtha-based ethylene margins fell by 15% in both NEA and SEA.
- NEA naphtha based margins is at USD 719/MT.
- NEA, spot ethylene prices fell USD 67/MT.
- SEA spot ethylene prices fell USD 42/MT.
- SEA naphtha-based margins is at USD 632/MT.  

Naphtha crack in Asia at near 4-month high
- Asia’s naphtha crack extended gains to reach a near four-month high of USD 60.9/ton.
- Qatargas has delayed the start-up of its new 146,000 bbl/day.
- In South Korea, LG Chem bought a naphtha cargo for H1-November delivery at a discount of USD 3/ton.

Polymers Price
Braskem to raise polymer prices in Argentina: source
- Braskem plans to increase prices for all PE and PP grades sold in Argentina by USD 110/MT and USD 80/MT.
- S&P Global Platts assessed LDPE at USD 1520/MT FOT Brazil on Wednesday.
- Homopolymer was also stable at USD 1140/MT, based on Brazil-origin offers at USD 1260/MT.  

PP production in Russia up 5% in first eight months of 2016
- Russian overall production of PP rose in the first eight months of 2016 by 5% year on year, totaling slightly over 895,000 MT.
- PP output in Russia exceeded 123,000 MT, compare to 82,600 MT a month earlier. 

Contract PE prices in Europe in September were stable, decreased spot
- Spot prices of PE decreased by about EUR 20/MT in September on the back of weak consumer activity.
- The lowest proposal for LDPE from one of the major manufacturers was EUR 1230/MT in September. 

Polymers Demand
What Exclusion From China’s One Belt, One Road Looks Like
- Incomes have yet to regain their 1999 peak, and if it were not for weak inflation, 2015 middle class incomes would have only been 3% higher.
- Income inequality, as measured by the Gini coefficient, was unchanged from 2014 to 2015.
- Jobs and wages go to the very heart of just about everything that Chinese policymakers do because they understand the importance of demographics in shaping opportunities for people. Polymers Supply
Toyobo Agrees to Partner with Avantium To Produce Bio-Based PET-Like Resin
- Toyobo and Avantium have entered into an agreement in which Toyota will manufacture PEF.
- The partners are jointly optimizing polymerization processes in Toyobo’s existing polymerization lines at Iwakuni, Japan. 

Courtesy: www.polymers.io