ARGUS Bionaphtha fob ARA

What is bionaphtha?

Bionaphtha is a by-product of HVO (hydrotreated vegetable oil) and SAF (sustainable aviation fuel) production. It can be used in the petrochemicals sector to produce renewable polymers or can be blended with gasoline. When producing HVO, the yield of bionaphtha can be up to 10pc (though often it’s lower) while this share can grow when producing SAF. While availability is currently limited, production is set to grow in line with rising capacity for HVO and SAF.

The Argus Bionaphtha fob ARA price assessment

The Argus Bionaphtha fob ARA price assessment is the key price reference for naphtha produced from renewable feedstocks.

The bionaphtha market is in its infancy, but with growing interest for both petrochemicals and the road transportation sectors, the Argus bionaphtha price assessment provides the market with the ability to make the most optimal and economic decision on how to decarbonise production. In addition to the daily pricing, Argus also publishes news and market developments of this market in Argus Biofuels.

In line with European legislations, Argus expects producers to focus on waste and advanced feedstocks to produce hydrotreated products such as HVO, SAF and bionaphtha. With the advanced feedstocks market still developing, most of the liquidity is likely to converge around UCO (used cooking oil) as feedstock for the bionaphtha, especially in the European market.

Advantages of the Argus Bionaphtha fob ARA price assessments

Argus provides the industry’s first bionaphtha price assessment. The Argus bionaphtha fob ARA price is based on actual market activity – real physical trades, bids and offers of bionaphtha and not calculated values based on production cost.

The price assessment was launched in 2022, enabling Argus to offer key insight into price history and price drivers.

As a by-product of HVO and SAF production, bionaphtha prices are intertwined with those for these products. Argus HVO price assessments are regarded as the trusted benchmarks for this market. Argus is the leading source of market intelligence for hydro-treated products, with a range of key prices for HVO, SAF, bionaphtha and biopropane, as well as capacity data and market outlooks.

Users of the Argus Bionaphtha fob ARA price assessments

The Argus bionaphtha fob ARA price assessments are used by those operating in the petrochemicals and road transport sectors. There is a growing demand from the market for recycled and renewables plastics, pushing petrochemicals producers to purchase renewable feedstocks for their crackers. The road transportation sector interest stems from replacing conventional naphtha in gasoline blending with this emissions-reducing bionaphtha.

How to access Argus Bionaphtha price assessments

Argus publish daily price assessments for fob ARA and cfr northeast Asia bionaphtha in Argus Biofuels. This service delivers trusted price assessments alongside insightful commentary, news and analysis for the global biofuels markets.