ExxonMobil was heard nominating its October US butadiene contract price up 2 cents/lb ($44/mt), to 49 cents/lb ($1,080/mt), sources said Tuesday. ExxonMobil was unavailable to confirm the nomination immediately.
Market expectations have been for a slightly higher October US butadiene contract due to a rise in US spot butadiene prices in September.
US spot butadiene was last assessed Friday at 50 cents/lb CIF USG, with spot prices heard in the low 50s cents/lb CIF USG Tuesday. US spot butadiene prices have risen 3 cents since the end of August and 11 cents since hitting a four-year low July 19 at 39 cents/lb CIF USG, according to Platts data.
Sources said the rise in US spot prices has been due to the US tracking higher pricing in Europe and Asia. Demand in the US has remained weak, while supply has been tightening, they said.
The other three US butadiene producers -- TPC Group, LyondellBasell and Shell Chemical -- had yet to nominate for October, sources said.
The September US butadiene contract price settled at a rollover from August at a 40-47 cents/lb split, sources said. TPC Group settled at a rollover from August at 40 cents/lb and ExxonMobil settled at a rollover as well at 47 cents/lb, while Shell Chemical settled 4 cents higher than August at 44 cents/lb and LyondellBasell settled 2 cents lower than August at 44 cents/lb, sources said.
Producer confirmation on the September settlement was unavailable.
