IHS Chemical Week

Olefins Prices on the Rise

9:22 AM MST | January 27, 2012 | Lindsey Bewley

A U.S. propylene producer has nominated a 22-cts/lb increase for February contracts, market players say. The nomination is a 40% premium to current propylene contracts of 56 cts/lb for polymer-grade propylene (PGP) and 54.5 cts/lb for chemical-grade propylene (CGP). Market players say that ExxonMobil has made the nomination.   Market sources say an increase of about 10 cts- 15 cts/lb would be reasonable for February contracts given rising alkylation alternative values and the structural change to ethane as the favored feedstock. Cost pressures from steam...

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