Industry: Natural gas & LNG

Chemical industry summary Mergers and acquisitions and cost savings activities dominate the chemical industry as companies continue to grapple with shrinking demand and softening chemical margins. The proposed merger of US chemical giants DuPont and Dow Chemical appears to be proceeding well with minimal significant anti-trust issues. There are reports that BASF will make a […]

Chemical industry summary Chemical companies are currently releasing quarterly and full-year 2015 earnings results. Thus far, earnings reports have been a mixed bag as viewed with last year’s results. All companies are reporting year-on-year decreases in revenue as a consequence of the global energy price deflation. However, different sectors of the industry are reporting earnings […]

Chemical industry summary Lack of confidence in global chemical demand and weakness in the energy sector have spurred a generally gloomy outlook for global chemicals in 2016. The continuing weakness in the Chinese demand, especially for commodities, has resulted in weakness in global stock markets and especially on the Shanghai Exchange. Very high global inventories […]

Chemical industry summary  As witnessed by record inventory, the global oversupply of crude oil continues to weigh on expectations for a price recovery in the near term. This is both a supply and a demand-driven problem with consensus expectations indicating that 2016 is highly unlikely to show significant improvement in energy pricing. Companies in the […]

Chemical industry summary Publicly traded US commodity chemical producers reported surprisingly good financial results for the recently completed third quarter. Margins in Q3 for the US polyolefin chain decreased sequentially with polymer prices falling more than feedstock costs. However, for Europe, the story was reversed with declining oil and naphtha prices falling faster than olefins […]

ADI Analytics launched a multi-client study on Benchmarking Shale Gas Monetization Options, assessing how new demand drivers—such as gas-fired power, LNG exports, gas-to-liquids, chemicals, and transportation—can offset growing shale gas supply and impact investor returns. Specific objectives include the following: We welcome you to join this study. As a subscriber, you’ll have multiple options to […]

Uday Turaga, Founder & CEO of ADI Analytics, shared results from ADI’s work on monetizing shale gas via small-scale methanol technologies at the U.S. Energy Association on October 22, 2015. Turaga explored the potential of small-scale methanol plants in North America, citing an in-depth study done by ADI’s diligent team of analysts. The study in […]

Chemical industry summary The deflation of global chemical prices continues following declining feedstock and oil/gas prices. Key olefins in the US are now hitting levels not seen since 2009 in some cases, not seen since 2003. Ethylene margins are starting to ease for US shale gas-based chemical producers as lower international prices have resulted from […]

Chemical industry summary Reflecting a lower cost basis, global commodity chemical prices continue to wilt as the global chemical industry adjusts to lower crude oil prices. Spot ethylene in Asia has recently traded near US$800 per MT, down from US$1,400 in July. Margins have eased for producers in all regions. The Asian ethylene/naphtha spread has […]

ADI Analytics was quoted in Bloomberg’s story on Jim Chanos’s bearish view of Cheniere Energy Inc. ADI Analytics has been closely monitoring LNG export projects worldwide and was able to add insight into Cheniere’s position in the future of LNG. “The LNG market is probably headed for some level of oversupply in the future but […]

Chemical industry summary US and global commodity chemical companies generally reported favorable financial results in the Q2 earnings season, with several companies reporting record results. Commodity chemical prices proved to be relatively stable despite ongoing feedstock price erosion. Demand for polyolefins in all regions was relatively firm and producers’ inventories at the end of Q2 […]

Chemical industry summary  Heading into Q2 earnings season, chemical margins generally look positive for most chemical sectors with olefins/polyolefins leading and the chlor-alkali chain less profitable.  Macroeconomics and geopolitics The International Monetary Fund (IMF) reports Q1 global GDP growth at 2.2%, 0.8% below the April forecast. The year 2015 now looks to be at 3.3% […]