Shell Chemicals put its US butadiene customers on 90% allocation in February, said a person familiar with the company's operations Monday.
The move was due to a number of issues that affected the company's CC4 availability and logistics, the source explained.
A second producer was heard to have put its buyers on 60% allocation for February, although that news was not confirmed.
Meanwhile, Exxon Pipeline Co confirmed Monday that its butadiene pipeline in Orange County, Texas, was back in service Friday evening was back at normal operations by Monday afternoon. The problem was initially discovered December 30 and put logistical pressures on deliveries until it came back online, participants said.
Butadiene spot prices closed January 25 at 65-67 cents/lb CIF USG, a seven cents/lb hike from the previous week.
In February contracts, nominations were heard at plus 4, 3 and 2 cents from January levels. If the market settled at plus 2 cents, the February CP would be 61 cents/lb.
The move was due to a number of issues that affected the company's CC4 availability and logistics, the source explained.
A second producer was heard to have put its buyers on 60% allocation for February, although that news was not confirmed.
Meanwhile, Exxon Pipeline Co confirmed Monday that its butadiene pipeline in Orange County, Texas, was back in service Friday evening was back at normal operations by Monday afternoon. The problem was initially discovered December 30 and put logistical pressures on deliveries until it came back online, participants said.
Butadiene spot prices closed January 25 at 65-67 cents/lb CIF USG, a seven cents/lb hike from the previous week.
In February contracts, nominations were heard at plus 4, 3 and 2 cents from January levels. If the market settled at plus 2 cents, the February CP would be 61 cents/lb.
