Tampa:
Recent price softening reported from international markets such as Brazil and China suggested lower pricing in the second-quarter Tampa molten contract, sources said. Speculation centered on a possible $10-$20/lt drop from the contract’s first-quarter $130/lt CFR value, edging down from week-ago expectations of a $10-$15/lt drop. Meaningful negotiations had not yet begun on March 30, players said.
US refinery utilization moved up for the week ending March 24, according to data released by the Energy Information Administration (EIA). Operable nationwide capacity was pegged at 90.3% for the period, up 1.7 percentage points from 88.6% in the prior report. The rate lagged behind the year-ago 92.1% while beating the 87.0% five-year average.
Daily crude inputs firmed to an average 15.813 million barrels/d, the EIA reported, rising 437,000 barrels/d from 15.376 million barrels/d posted previously.
US Gulf:
Last-done pricing out of the US Gulf was unmoved from the week-ago $125-$130/mt FOB, sources said. Recent softening at Brazil could drag the low end of the market to $115/mt FOB in the next round of business, players said, although no new trades were reported at that level on March 30.
Brazil:
Last-done business into Brazil was reported in a wide $135-$160/mt CFR range. A recent sale to CMOC was said to set the range’s low side, while players noted trading of smaller cargoes at the $150-$160/mt CFR level.
First-quarter contracts were understood to land in the $172-$186/mt CFR range.
Vancouver:
Last-done sulfur exports from Vancouver were heard at $105-$115/mt FOB, steady from the prior report.
Alberta:
Alberta netbacks continued to be indicated in a $15-$60/mt FOB range for the week. Lower Tampa contract values expected in the second quarter were likely to pressure netbacks lower in the short-term.
West Coast:
West Coast indications were on par with Vancouver in a $105-$115/mt FOB range, unchanged from the previous report.
Molten sulfur contracts for the first quarter were reported in a $125-$135/lt FOB range.
China:
Recent import pricing at China continued to be heard in the $130s/mt CFR, steady from one week earlier.
ADNOC:
Posted prices were reported at $134/mt Ruwais for loading in March. Softer international pricing was expected to pull April sulfur postings to at least the low-$120s/mt FOB, sources said, while some anticipated April values falling to $100/mt FOB or lower.
Qatar:
March pricing from Muntajat was noted at $133/mt FOB Ras Laffan. Lower values were anticipated in April.