CFR Far East

The CFR Far East market strengthened last week owing to firm buying interest. Rim Asia Index for propane and butane was at $789.00/mt and $759.00/mt respectively as of Jan 13, up $20.00/mt from Jan 7. For February delivery, traders and one US Major were looking for pure propane cargoes in the spot market and some deals were done. One European Major was reported to have procured a 23,000mt propane cargo for first-half February delivery on Jan 13. One Major Japanese importer had reportedly bought a 23,000mt propane cargo for second-half February delivery at a premium of $23/mt to February CFR Far East quotations. In addition, one European trader was said to have purchased a 46,000mt propane cargo for second-half February delivery.

FOB Middle East

The February CP forecast was around $745/mt for propane and around $715/mt for butane. Several sellers were considering spot sales for even-split cargoes for February loading. Two Japanese importers, one Japanese trader and one British Major were reported to have room to sell 44,000mt 50:50 cargoes for February loading. Middle East gas producers could sell spot cargoes as well and Qatar Petroleum for the Sale of Petroleum Products Company Limited (QPSPP) issued a sell tender for second-half February loading cargoes. On the other hand, potential buyers were expected for both pure propane cargoes and even-split cargoes for February loading. Active buyers, however, were hardly observed as of now.

Asia Pressurized Market

For FOB South China market, some importers from South China seemed to offer first-half February loading at a premium in the mid-high $30's/mt to the February CP. Regarding FOB Southeast Asia cargoes, one refinery in Singapore apparently offered late January loading while spot cargoes for end-January loading from Brunei seemed available.