Outright European naphtha prices were touching their highest recorded level since the first week of September 2008 in the European morning Tuesday, due to soaring crude oil prices, buoyed by supply uncertainties in Libya, sources said.
Platts assessed naphtha basis CIF Northwest Europe at $888.25/mt on the close Monday while ICE Brent futures were at $104.96/b.
At 0930 GMT Tuesday, front-month April ICE Brent crude futures were $107.64/b, while the March naphtha crack swap was heard around minus $5.45/b.
This translated into a March naphtha value of approximately $910/mt, a high last hit during the first week of September 2008.
Indeed, flat price surges have been reflected across most refined products markets, spurred on by political unrest driving continued supply uncertainties in Libya.
"I'm sure this Libyan situation will have a psychological effect on the naphtha market and could push the crack up," a source said.
That said, Libya's 220,000 b/d refinery at Ras Lanuf, run by Lerco, is said to be operating as usual, according to sources connected to the refinery on Tuesday morning, despite the current troubles affecting the country.
It is understood according to sources that Libya exports up to 150,000 mt of naphtha and condensate each month, from refinery sources including Ras Lanuf.
