US Oil rig count rises for ninth straight week

SEATTLE (polymers.in):  US oil rig count rises for 9th straight week
- US oil rig count rose this week by 14 to a total of 631.
- The gas rig count rose by six to 157.
- WTI futures for April delivery were on pace for a 0.5% weekly gain. 

US shale producers are killing any hopes of a recovery in the offshore oil drilling business
- The rise in oil prices from their lows in early 2016 to near USD 50 now should have caused a boom in drilling activity.
- US oil inventories rose up by 8.21 million bbl to 528.4 million bbl. 

Interview -- OPEC cut deal based on crude oil exports, not output
- OPEC’s crude output cut agreement, Iraq has been the member furthest from compliance with production some 91,000 bbl/day above its allocation.
- Iraq is required to cut 210,000 bbl/day from its October output levels. 

North Sea oil outlook less promising as Scotland eyes new referendum: consultancy
- North Sea oil industry faces a having of investment in the next three years and tens of billion of pounds worth of decommissioning obligations.
- Wood Mackenzie estimated the value of Scottish oil and gas fields, including a 10% discount at USD 64 billion. 

Saudi a Mission Impossible Makes Longer OPEC Oil Cuts Inevitable
- Saudi Arabia has set a near impossible target to end the current round of OPEC oil-production cuts.
- WTI last week fell below USD 50/bbl.
- Brent crude is trading at about USD 52/bbl.

Weak Physical Oil Market Hits $50 Billion Hedge Funds' Bet
- Saudi Arabia, Russia and other big producers are trying to clear a global crude glut, but three months into the effort the physical oil market is still signaling plentiful supplies.
- Brent crude futures traded at USD 51.67/bbl.
- WTI price difference between Midland and Cushing, which has swung from plus USD 1.40/bbl in December to minus USD 0.85/bbl now. 

Oil Little Changed as Saudi, Russia Send Mixed Signals on Cuts
- Oil traded below USD 50/bbl all week.
- WTI for April delivery rose 3 cents to settle at USD 48.78/bbl.
- Brent for May settlement advanced by 2 cents to end the session at USD 51.76/bbl. 

Oil's Price Isn't Quite High Enough to Keep Louisiana's Credit Rating Afloat
- The Gulf Coast state’s credit rating was lowered by one notch to AA.
- Louisiana has been among the states hardest since the price of oil slid from over USD 100/bbl nearly three years ago.

Feedstock (Ethane, Ethylene, Propane, Propylene, PX, PTA, MEG, EDC, VCM)
Ethylene prices tumble in Asia on Thursday
- CFR North East Asia prices of ethylene were assessed lower at USD 1160/MT levels, a plunge of USD 55/MT from Wednesday’s assessed levels.
- CFR South East Asia prices of ethylene were assessed down at USD 1075/MT levels, a day on day fall of USD 20/MT. 

MEG unit likely to be shut by RIL 
- RIL is in plans to take its MEG unit off-stream for a maintenance turnaround.
- RIL at Hazira in the west Indian state of Gujarat. 

Propylene prices slide in Asia
- FOB Korea prices of propylene were assessed at USD 860/MT levels, a sharp drop of USD 30/MT from Wednesday’s assessed levels.
- CFR China prices were down at USD 900/MT levels'  day on day fall os USD 15/MT. 

US ethanol exports rise 26% in 2016 to second-highest level on record
- US exported more than 68,000 bbl/day of fuel ethanol in 2016, an increase of 26% from export levels in 2015.
- US ethanol production reached a record level of 1 MMbpd in 2016.

Polymers Price
China Commodity Speculation Threatens Price Correction
- China’s coastal iron one inventories in early March were their highest since 2004, despite plans to rationalize steel capacity in 2017.
- PE and PP imports rose very strongly in January, even though we were heading into the Lunar New Year holidays.
- Oil imports were the second highest on record February, which was reportedly mainly the result of buying by the teapot. 

PVC prices quote flat in Asia
- CFR China prices of PVC were assessed at USD 950/MT levels.
- CFR South East Asia prices of PVC were also assessed at USD 950/MT levels.
- In India, prices of PVC were assessed stable at USD 1020/MT levels.

Polymers Supply
LDPE unit brought on-stream by Yanshan
- Yanshan Petrochemical has restarted its LDPE unit following a maintenance turnaround.
- Yanshan is located at Beijing in China, the unit has a production capacity of 600,000 MT/year.

Courtesy: www.polymers.io