Fresh naphtha selling interest was robust in the N+A naphtha markets, but bids and offers were wide apart Tuesday.
The gasoline complex continued to strengthen, with cash prices for the Gulf coast waterborne conventional 13.5 RVP (GC WB M4) up by 1.43¢/USG on the day while the February Nymex RBOB rose by 1.56¢/USG.
A refiner was reportedly offering several heavy virgin naphtha (HVN) barges of varying specifications in Texas as well as on the Mississippi River.
A 50,000 bl barge of 57 API HVN was heard offered at around February Nymex RBOB -26.5¢/USG. Buying interest for the said barge was noted at February Nymex RBOB -32¢/USG for delivery to Houston. No trade was confirmed to this end.
The same refinery had at least two other HVN barges available for sale.
A major sought bids for a barge of 46 N+A naphtha with 62.1 API, +24 color, 64ppm sulphur, 5.8 AVP and 57 octane. There were no firm bids or offer reported as of late afternoon.
No active full-range N+A naphtha discussions were heard Tuesday, leaving prices assessed at a 3¢/USG discount to the heavy grade.
A Calcasieu-quality full-range N+A naphtha barge traded Monday at around February Nymex RBOB -29.5¢/USG, delivered Gulf coast. This specification is typically taken as pricing between the generic HVN and full-range grades.
Light naphtha trading was thin as the backwardation in the natural gasoline (C5) market swung out to around 7¢/USG earlier on Tuesday. Argus C5 assessments showed a 9.125¢/USG backwardation between the December and January C5.
A refiner offered 50,000 bl of typical sour light straight run (LSR) naphtha out of Texas City at a January C5 +3¢/USG for a pumpover to Pasadena around 4-5 January. Buying interest was initially noted as low as January C5 -3¢/USG. This barge was eventually heard traded at flat to January C5.
A major offered a 50,000 bl barge of 77 API, 8.74 PSI, 92.7 IBP, 144.7 t50, 67 octane, 65ppm sulphur, 80 paraffins light naphtha at January C5 +4¢/USG. The discussion range was subsequently narrowed to January C5 +0.5¢/USG by +2¢/USG. No deal was confirmed done here as of late afternoon.
Other more generic light virgin naphtha (LVN) was similarly pegged as flat to January C5, which would be about the equivalent of December C5 -7¢/USG.
