Bitumen / Asphalt
Overview
Global bitumen and asphalt spot prices are influenced by changing supply and demand fundamentals, VGO and crude prices. Argus is the only provider of global bitumen and asphalt spot prices assessed by a global team of reporters, based on market trade. Spot price coverage includes regional truck, rail and seaborne prices.
Latest bitumen / asphalt news
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Norfolk Southern replaces CEO with CFO
Norfolk Southern replaces CEO with CFO
Washington, 12 September (Argus) — Eastern Class I railroad Norfolk Southern (NS) has appointed a new chief executive, replacing former executive Alan Shaw after determining he violated company policies by having a consensual relationship with the company's chief legal officer. NS' board announced late Wednesday that it had promoted chief financial officer Mark George to replace Shaw. The board said Monday it was investigating Shaw for potential misconduct in actions not consistent with NS' code of ethics and policies, but did not provide details. The railroad yesterday clarified that Shaw's departure was not related to the railroad's "performance, financial reporting and results of operations". Instead, the board voted unanimously to terminate Shaw with cause, effective immediately, for violating policies by engaging in a consensual relationship chief legal officer Nabanita Nag. She was also dismissed by NS. Shaw worked at NS for 30 years and was appointed chief executive in May 2021, following six years as chief marketing officer. Earlier this year he led NS through a proxy fight with a group of activist investors that sought his replacement. The overall effort failed but the challengers secured three seats on the board . The investors had been displeased with the railroad's financial performance and "tone deaf response" to the February 2023 derailment in East Palestine, Ohio . New chief executive George had served as NS' chief financial officer since 2019. Prior to that, he held roles at several companies including United Technologies Corporation and its subsidiaries. "The board has full confidence in Mark and his ability to continue delivering on our commitments to shareholders and other stakeholders," NS chairman and former Canadian National chief executive Claude Mongeau said. By Abby Caplan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Works to stop Leuna refinery bitumen output in October
Works to stop Leuna refinery bitumen output in October
London, 12 September (Argus) — Bitumen production at TotalEnergies' 240,000 b/d Leuna refinery in northeast Germany will be halted for the duration of a major planned month-long maintenance shutdown at the refinery starting in early October, market participants said today. With the halt having been planned well in advance, the market sources indicated stocks of the heavy oil product used for road paving and other construction work were currently being built up to manage supply during the shutdown period. That will help meet peak season requirements for road and other project work during the autumn and mitigate the impact of the bitumen stoppage at one of Germany's key bitumen-producing refineries. German market participants have indicated over the past few days that some maintenance work began at the refinery on 6 September ahead of the planned shutdown of oil products units there at the start of October , with diesel stocks being raised ahead of the turnaround. By Keyvan Hedvat and Fenella Rhodes Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Czech Litvinov refinery bitumen loadings resume
Czech Litvinov refinery bitumen loadings resume
London, 12 September (Argus) — Bitumen truck loadings have resumed at the 108,000 b/d Litvinov refinery in the Czech Republic after the discovery of an unexploded World War 2 bomb caused an unplanned shutdown last month, market sources said. The refinery was forced to shut on 21 August to enable the bomb to be removed. It restarted over the 31 August-1 September weekend , but bitumen truck supply only resumed this week, market participants said. The refinery's operator, Orlen Unipetrol, has been offering spot truck volumes at around €450/t ex-works, with discounts of around €20/t for sales to key buyers in domestic and inland export markets. Argus assessed Czech truck bitumen prices at €495-505/t ex-works for the week ending 6 September, with those values largely notional in the absence of bitumen supplies from Litvinov. By Fenella Rhodes Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Production cuts lift Asian seaborne bitumen values
Production cuts lift Asian seaborne bitumen values
Singapore, 12 September (Argus) — Tighter export supplies from production cuts and firmer import demand from southeast Asia has lifted seaborne Asian bitumen prices to their highest level since last year's final quarter. Argus assessed the weekly fob Singapore ABX 1 at $452.50/t on 6 September, the highest since early December 2023 and up by $7/t from the previous week. Argus assessed the weekly fob South Korea ABX 2 at $446/t on 6 September, the highest since the end of October 2023 and up by $3.50/t from a week earlier. Argus assessed weekly fob Thailand and fob Taiwan prices at $450/t on 6 September, up by $7.50/t from the previous week. This was their highest since mid-November and early December respectively. Export supplies have been curbed from Singapore, South Korea, Thailand and Taiwan since this year's second quarter because of strong high-sulphur fuel oil (HSFO) prices and weaker export margins . The daily fob Singapore ABX 1 was trading at a discount of about $75-80/t to 3.5pc 380cst HSFO fob Singapore values in March. The discount widened to $107.75/t to HSFO on 5 July, the widest this year. Enquiries were weak especially from monsoon-hit Vietnam , with higher availability of relatively cheaper Middle East-origin cargoes also depressing domestic values and reducing buying capacity. Import demand from south China continues to be weak from higher inventories and limited consumption. This is despite its existing production cuts. Only Indonesia was seeking some volumes to restock. Some Indonesian importers have been seeking October-December laycan cargoes in advance before Singapore's export supplies dry up, ahead of the year-end peak demand season. At least two importers have issued import tenders to secure October cargoes. But drier weather and the return of some national highway and maintenance projects in central and north Vietnam, along with unusually higher domestic demand in Thailand , increased enquiries for Singapore and Taiwan cargoes this quarter that supported prices. Importers from southeast Asia are also seeking other Asia-origin cargoes. This strengthened enquiries for South Korea-origin cargoes , for which southeast Asia is not a major market. Prolonged weak demand from traditional importer east China because of competitive domestic offers made South Korean cargoes available for southeast Asian buyers but demand continued to outpace supplies. Limited output At least two of three refineries in Singapore were under partial turnaround this quarter. The Singapore Refining Company's 290,000 b/d refinery is expected to return towards the end of September, while Shell's 237,000 b/d Pulau Bukom refinery is estimated to resume around mid-October. A Yeosu-based refiner in South Korea issued a tender to sell about 5-6 cargoes each month for loading across the fourth quarter from its 800,000 b/d refinery. But an Onsan-based 669,000 b/d refiner did not issue an export tender for September-laycan cargoes for unspecified reasons. Market participants are unsure if an export tender for October cargoes will be issued. Export supplies from Taiwan were also limited with refiners mostly catering to their term commitments. Thailand's 275,000 b/d Sriracha refinery and 215,000 b/d Rayong refinery limited production, while the 175,000 b/d Map Ta Phut refinery has opted to produce more fuel oil. A refinery in Malaysia had halted bitumen sales since mid-June because of limited production and is likely to return next month. This increased demand for Singapore-origin tank truck cargoes and some Singapore refiners allocated more volumes for tank truck sales, further limiting export supplies. Export supplies in Asia are expected to be tight in the short term despite seaborne prices currently trading at a premium to HSFO values, market participants close to refiners told Argus , indicating that bitumen production might not increase soon. Bitumen has been at a premium to HSFO values since the end of August. Argus assessed the daily fob Singapore ABX 1 at $460/t on 11 September, at a $48.25/t premium to 3.5pc 380cst HSFO fob Singapore that was assessed at $411.75/t. By Sathya Narayanan, Claire Ng and Chloe Choo Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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