Oil slides as US production shows no signs of slowdown

SEATTLE (polymers.in):  Oil slides as US production shows no signs of slowing down
- Crude oil is weaker on Monday as US oil production is showing no signs of slowing down.
- The total rig count is still 978 from its peak before the impact of the oil crash hit drillers.
- WTI crude oil futures fell 1.6% to USD 48.54/bbl.

Oil Drops as US Drilling Growth Threatens to Counter OPEC Cuts
- Futures dropped 1.2%.
- US oil prices dipped below USD 50/bbl for the first time in 2017 this month.
- WTI for April delivery fell 56 cents to settle at USD 48.22/bbl.
- Brent for May settlement slipped 14 cents to USD 51.62/bbl.

South Korea's oil demand forecast to grow 2.2% in 2017: KEEI
- South Korea’s oil production demand is forecast to grow 2.2% this year.
- South Korea consumed 921.5 million bbl or an average of 2.52 million bbl/day.
- South Korea’s jet fuel demand is expected to increase 2.2% to 37.8 million bbl in 2017.

Feedstock (Ethane, Ethylene, Propane, Propylene, PX, PTA, MEG, EDC, VCM)
US January propylene exports to Latin America dip 2.47% on month: AFPM data
- Propylene exports from the US Gulf Coast to key destinations in Latin America totaled 35,500 MT in January, down 900 MT from December.
- Colombia imported 18,100 MT 2,700 MT less month on month, while Mexico imports rose 1,800 MT or near 12% to 17,400 MT.
- US spot PGP 0.50 cent higher Monday at 51.25 - 51.75 cents/lb.

Polymers Price
Europe PP prices still too low to attract imports in spite of recent hikes
- European PP spot prices have risen sharply and very little homo PP was available below ERU 1200/MT FD NWE.

US PE margins decline on higher feedstock costs
- US PE margins declined across the board during the week ended 17 March because of higher costs for ethane and naphtha feedstock.
- US integrated contract margins based on ethane fell by 0.3% for LDPE and for HDPE despite a 1.8% increase in contract co-product values.
- US integrated LDPE and HDPE spot margins based on ethane were both down by 0.4% despite a 2.7%.

Courtesy: www.polymers.io