26 April 2017
DETAILS
Revenue from Sales in Q1/17 increased +27% q-o-q
due to the ramp up in operating rate of ROC,
following the turnaround in Q4/16,
and +14% y-o-y to 54,271 MB.
EBITDA amounted to 17,010 MB,
an increase of +5% q-o-q
as a result of higher sales volumes of PE & PP,
and better margins for PP and naphtha cracker
by-products, while
gaining +43% y-o-y as a result of
better Chemicals products prices.
Similarly, Profit for the period stood at 13,367 MB,
an increase of +34% q-o-q and +49% y-o-y,
due to the above mentioned operational items,
in addition to the non-recurring after tax gain
of the approximate 1,400 MB
from the sales of investment assets.
In Q1/17, Brent crude oil prices increased $4/bbl
or 7% q-o-q at $55/bbl because OPEC reached
the deal to cut production and soften dollar index.
Naphtha prices increased
by $49/ton or +11% q-o-q to $499/ton following
higher oil price trend and tight supply
from refineries turnaround.
Overall product prices increased, as
HDPE gained $42/ton or 4% q-o-q to $1,176/ton and
PP climbed up $73/ton or +7% q-o-q to $1,160/ton
from restocking activity after the Chinese New Year.
As a result, the spread of HDPE-naphtha
slightly decreased by $7/ton or -1% q-o-q to $677/ton.
While PP-naphtha spread widened by $25/ton
or +4% q-o-q to $661/ton following
restocking demand after the Chinese New Year.
In Q1/17 SCG Chemicals sold
a total of 457,000 tons of polyolefin products (PE and PP),
an increase of 32,000 tons or +8% q-o-q,
following the cracker (ROC) major turnaround in Q4/16.
Export sales of PE and PP amounted to 252,000 tons
or 55% of the total sales volume.
PVC spread (PVC-EDC/C2) narrowed to $421/ton
or -15% q-o-q, as
EDC price increased by $48/ton or +18% q-o-q
to $305/ton from tight supply
as a result of Middle East producers’ turnaround.
SCG Chemicals sold a total of 187,000 tons of PVC in Q1/17,
a slight decreased of 1,000 tons or -1% q-o-q
was attributed to lower export volume to SEA
due to low APVC price from competitors
offset by strong Indian demand
from demonetization after Jan’17.
BD-Naphtha spread drastically increased by 80% q-o-q
to $2,080/ton due to high demand
from restocking after the Chinese New Year in China,
plant shutdown in EU and low natural rubber supply
from flooding in southern Thailand.
MMA-Naphtha spread increased +5% q-o-q to $1,465/ton
due to tight supply from plant turnaround.
PTA-PX spread increased by 3% q-o-q to $68/ton
from higher PTA price in China
while PX price followed the oil price uptrend
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