Market overview
This week, the market price of petroleum coke has been mixed. With the gradual relaxation of the national epidemic prevention policy, logistics and transportation in various places have begun to return to normal. Some downstream companies have entered the market to stock up and replenish their warehouses. The return of corporate funds is slow, and the pressure still exists, and the overall supply of petroleum coke market is relatively abundant, which limits the sharp rise of coke prices, and the price of high-priced petroleum coke continues to fall. This week, the coke prices of some refineries of Sinopec continued to fall. The coke prices of some refineries under PetroChina dropped by 100-750 yuan/ton, and only a few coke prices of refineries under CNOOC decreased by 100 yuan/ton. The coke prices of local refineries were mixed. The range is 20-350 yuan/ton.
Factors Affecting the Petroleum Coke Market This Week
Medium and high sulfur petroleum coke:
1. In terms of Sinopec, the current coal price is running at a low level. Some refineries of Sinopec mined coal for their own use. This month, the sales volume of petroleum coke increased. The coking unit was shut down for maintenance. Changling Refinery shipped according to 3#B, Jiujiang Petrochemical and Wuhan Petrochemical shipped petroleum coke according to 3#B and 3#C; Part of the export began in July; Maoming Petrochemical in South China began to export part of its petroleum coke this month, according to 5# shipments, and Beihai Refinery shipped according to 4#A.
2. In the northwest region of PetroChina, the price of petroleum coke in Yumen Refining and Chemical Co., Ltd. was lowered by 100 yuan/ton this week, and the coke price of other refineries was temporarily stable. With the adjustment of the epidemic policy in Xinjiang this week, logistics and transportation began to gradually resume; the southwest of Yunnan Petrochemical Co., Ltd. The bidding price dropped slightly month-on-month, and the shipment was acceptable.
3. In terms of local refineries, Rizhao Lanqiao coking unit started to produce coke this week, and some refineries adjusted their daily output. The coke is mostly ordinary petroleum coke with a sulfur content above 3.0%, and the market resources for petroleum coke with better trace elements are relatively scarce.
4. In terms of imported coke, the inventory of petroleum coke at the port continued to rise this week. Rizhao Port imported more petroleum coke to the port in the early stage, and it was put into storage this week. The petroleum coke inventory further increased. Due to the current low enthusiasm of downstream carbon companies to pick up goods at the port, the shipment volume has declined to varying degrees. Low-sulfur petroleum coke: The trading performance of the low-sulfur petroleum coke market was average this week. With the adjustment of the epidemic control policy, the transportation situation in various places has improved. However, the overall supply in the market is relatively abundant at present, and the international oil price fluctuates downward. The market has a wait-and-see attitude Aggravating, the demand in the downstream market continues to be weak, and the demand for carbon for steel is weak near the end of the year, and most of them are just-needed purchases; the continuous decline in graphitization processing costs has weakened the demand for negative electrode material companies, which is negative for low-sulfur petroleum coke market transactions. Looking at the market in detail this week, Daqing, Fushun, Jinxi, and Jinzhou petrochemical petroleum cokes in Northeast China continued to sell at a guaranteed price this week; Jilin Petrochemical petroleum coke prices were lowered to 5,210 yuan/ton this week; Liaohe Petrochemical’s latest bidding price this week was 5,400 yuan/ton; Dagang Petrochemical’s latest bidding price for petroleum coke this week is 5,540 yuan/ton, a month-on-month decline. The coke price of Taizhou Petrochemical under CNOOC has been lowered to 5550 yuan/ton this week. It is expected that the coking unit will be shut down for maintenance from December 10; the coke price of other refineries will temporarily stabilize this week.
This week, the price of refined petroleum coke stopped falling and stabilized. The price of low-priced petroleum coke in some refineries rebounded by 20-240 yuan/ton, and the price of high-priced petroleum coke continued to drop by 50-350 yuan/ton. The reason: With the gradual release of the national epidemic control policy, logistics and transportation in many places began to resume, and some long-distance enterprises began to actively stock up and replenish their warehouses; and because the raw material petroleum coke inventory of downstream carbon enterprises has been low for a long time, the market demand for petroleum coke is still Deposit, good coke price rebound. At present, the operating rate of coking units in local refineries remains at a high level, the supply of petroleum coke in local refineries is relatively abundant, and there are more high-sulfur petroleum coke resources in ports, which is a good supplement to the market, which restricts the continuous rise of local coking prices; Funding pressures remain. On the whole, the price of local refined petroleum coke has basically stopped falling, and the coke price is mainly stable. As of December 8th, there were 5 regular inspections of the local coking unit. This week, the Rizhao Lanqiao coking unit started to produce coke, and the daily output of individual refineries fluctuated. As of this Thursday, the daily output of local refining petroleum coke was 38,470 tons, and the operating rate of local refining and coking was 74.68%, an increase of 3.84% from last week. As of this Thursday, the mainstream transaction of low-sulfur coke (within S1.5%) ex-factory is about 4700 yuan/ton, the mainstream transaction of medium-sulfur coke (about S3.5%) is 2640-4250 yuan/ton; high-sulfur and high-vanadium coke ( The sulfur content is about 5.0%) the mainstream transaction is 2100-2600 yuan / ton.
Supply side
As of December 8th, there were 8 regular shutdowns of coking units across the country. This week, the Rizhao Landqiao coking unit started to produce coke, and the daily output of petroleum coke in some refineries increased. The national daily output of petroleum coke was 83,512 tons, and the operating rate of coking was 69.76%, an increase of 1.07% from the previous month.
Demand side
Ths week, as the national epidemic prevention policy was relaxed again, logistics and transportation in various places resumed one after another, and downstream companies have a high mood to stock up and replenish warehouses; Enterprises stock up and replenish warehouses, mainly purchasing on demand.
Inventory
This week, the price of petroleum coke has continued to decline in the early stage, and the downstream has entered the market one after another and just needs to purchase. The overall inventory of domestic refineries has dropped to a low-to-medium level; imported petroleum coke is still coming to Hong Kong recently. Superimposed this week, the port shipments slowed down, and the port petroleum coke Inventory is rising at a high level.
Port market
This week, the average daily shipment of major ports was 28,880 tons, and the total port inventory was 2.2899 million tons, an increase of 6.65% from the previous month.
This week, the petroleum coke inventory at the port continued to increase. Rizhao Port imported more petroleum coke to the port in the early stage, and this week it was put into storage one after another. The enthusiasm for picking up goods is not high, and the shipments have declined to varying degrees. This week, the domestic epidemic prevention policy was gradually relaxed, and logistics and transportation in various places began to resume. Domestic coke prices stopped falling and stabilized. The financial pressure of downstream carbon enterprises has not been effectively alleviated, and most of them are mainly purchased on demand. The price of sponge coke at the port has remained stable this week; in the fuel coke market, coal prices are still under the macro-control of the state, and the market price is still low. The market for high-sulfur shot coke Generally, the market demand for medium and low-sulfur shot coke is stable; Formosa Plastics coke is affected by the maintenance of Formosa Plastics Petrochemical, and spot resources are tight, so traders are selling at high prices.
Formosa Plastics Petrochemical Co., Ltd. will award the bid for 1 shipment of petroleum coke in December 2022. The bidding will start on November 3 (Thursday), and the closing time will be at 10:00 on November 4 (Friday).
The average price (FOB) of this bid is about US$297/ton; the shipment date is from December 27, 2022 to December 29, 2022, and the shipment is from Mailiao Port, Taiwan. The quantity of petroleum coke per ship is about 6500-7000 tons, and the sulfur content is around 9%. The bidding price is FOB Mailiao Port.
The CIF price of American sulfur 2% shot coke in November is around USD 300-310/ton. The CIF price of US sulfur 3% shot coke in November is around US$280-285/ton. The CIF price of US S5%-6% high-sulfur shot coke in November is around US$190-195/ton, and the price of Saudi shot coke in November is around US$180-185/ton. The average FOB price of Taiwan coke in December 2022 is around US$297/ton.
Outlook
Low-sulfur petroleum coke: The demand in the downstream market is flat, and the downstream market purchases are cautious towards the end of the year. Baichuan Yingfu expects that some coke prices in the low-sulfur petroleum coke market still have room to drop. Medium and high-sulfur petroleum coke: With the gradual recovery of logistics and transportation in various regions, downstream companies are more active in stocking up. However, the supply of petroleum coke in the market is abundant, and downstream companies have significantly lowered prices. The price of model coke fluctuates by 100-200 yuan/ton.
Post time: Dec-19-2022