【Petroleum Coke】Recent Market Prices

Ⅰ. Market Overview

This week, the prices in China domestic refinery petroleum coke market fluctuated with changes ranging from 10 to 200 yuan/ton. Specifically, on the one hand, some local refineries experienced frequent variations in petroleum coke sulfur content. Calcined coke with complete specifications for your reference. It is understood that with the import of diluted asphalt passing customs, some refineries have used it as a refining raw material, leading to frequent changes in petroleum coke indicators. In the overall refinery market, the supply of petroleum coke with good trace element content decreased, while the supply of medium to high sulfur ordinary petroleum coke increased. Additionally, since imported petroleum coke is mostly high-sulfur ordinary petroleum coke, downstream enterprises have become more cautious, primarily procuring as needed. On the other hand, due to the significant price increase of petroleum coke from refineries under China National Offshore Oil Corporation (CNOOC) this week, as well as the tight supply of medium and low-sulfur petroleum coke, downstream purchases have become more active, leading to a rebound in the prices of some refinery petroleum coke. It is understood that low-sulfur petroleum coke in the northeast China is still available, causing some coke prices to rise; medium-sulfur petroleum coke in the Yangtze River region is being stably delivered; and in the northwest region, deliveries are relatively stable with moderate price fluctuations. 

Ⅱ. Supply Aspect

As of August 3, there are 13 instances of regular maintenance for refinery coking units. This week, Xin Yue Petrochemical and Panjin Baolai coking units were added to the list for shutdown and maintenance. As of Thursday this week, the daily production of local refinery petroleum coke was 33,710 tons, and the operating rate of refinery coking units was 63.63%, a decrease of 3.56% from the previous week.

Ⅲ. Refinery Coking Unit Profit Aspect

This week, international crude oil prices rose and fell, with limited overall supply of residual oil in the market, leading to good cost support and a slight overall increase in prices. The shipment of gasoline and diesel continues to be weak, with a small number of downstream players purchasing only necessary quantities. In some regions, gasoline consumption was suppressed by extreme weather conditions caused by typhoons. At present, fishing fuel has not started, and the low working load of infrastructure construction under the influence of the rainy season has resulted in weak demand. The market sentiment has been influenced by the interplay of long and short positions, resulting in a slight decrease in overall refinery coking unit profits compared to the previous week.

Ⅳ. Inventory Aspect

Currently, downstream enterprises are becoming more cautious, resulting in reduced receptivity and slower shipment in the refinery market, leading to petroleum coke inventory being kept at low levels.

Ⅴ. Price Aspect

As of Thursday this week, low-sulfur coke (around 0.5% Sulfur) had a mainstream ex-factory transaction price of around 2850 yuan/ton, medium-sulfur coke (around 2.5% Sulfur) had a mainstream ex-factory transaction price of 1773-2300 yuan/ton, and high-sulfur & high-vanadium coke (with about 5.0% sulfur content) had a mainstream ex-factory transaction price of 1350 yuan/ton. In the northwest region, the mainstream ex-factory transaction price for pitch coke was 2400-3900 yuan/ton.

Ⅵ. Indicator Fluctuations

The latest sulfur content for Huaxiang is 2.4%, Fuhai Union has increased its sulfur content to around 2.0%, and delivery is based on Grade 3A. Xin Hai Petrochemical's sulfur content has decreased to around 2.6%.

Ⅶ. Market Forecast

With the previous upward adjustment of refinery coke prices and reduced enthusiasm from downstream enterprises for receiving shipments, coupled with faster delivery from ports, the domestic market for coke prices is constrained. It predicts that next week, the prices of refinery petroleum coke will fluctuate, with changes ranging from 50 to 200 yuan/ton. Contact us to learn more about the petroleum coke market.