- Sasol’s spot earnings continue to rise this week as the oil prices moved higher. Crack spreads continue to fall however. Spot earnings for FY21 are at R9.00/share and at spot prices the LCCP earns a loss of R4.63/share.
- Polymer prices continue to advance in Asia, but ethylene prices were lower. In the USA, prices for LLDPE and LDPE were marginally higher with HDPE prices flat. Ethane prices were lower.
Global chemical news
- Dow Chemical reported 2Q20 results and its packaging and specialty plastics saw declines by 23% in revenue and 59% in operating profit as gains in packaging were offset by declines in durable goods end markets. Dow is set to reduce its 36 500 strong workforce by 6% (link).
- Stepan reported a record quarter in its surfactant segment in 2Q as demand increased for cleaning and disinfection products Global surfactant volumes were 10% higher (link). This is a direct read through for Sasol’s Performance Chemicals segment.