Saudi SABIC lowers Feb MEG ACP nomination to $1,170/tonne

Saudi Arabia’s SABIC has decreased its nomination for February monoethylene glycol (MEG) Asian Contract Price (ACP) to $1,170/tonne, $30/tonne lower than January’s level, a company source said on Monday.

The ACP nomination price is on a CFR (cost & freight) Asia basis.

MEGlobal and Shell, two other major MEG producers, have yet to nominate their February ACP.

On 10 January, spot MEG discussions were at $986-990/tonne CFR CMP (China Main Port), down by $30-37/tonne week on week, according to Chemease, an ICIS service in China.

Some market players are bearish on the outlook as the downstream polyester factories would cut their operation ratios during the Lunar New Year holiday, market sources said.