【Petroleum Coke】Downstream Enterprises Procure on Demand, Market Shipments Diverge

Currently, main refinery shipments remain acceptable, while shipments from local refineries exhibit divergence in the market. Refinery coke prices also show a divergent trend. 

Downstream demand continues to rise, with shipments of petroleum coke from their own refineries still feasible. In the North China region, there is active uptake of medium to high sulfur petroleum coke by downstream players. Cangzhou Refinery in Hebei province ships petroleum coke in line with the 3#C/4#A specifications, while Tianjin Petrochemical follows suit with 5# coke shipments. In the Northwest region, shipments of high sulfur petroleum coke are stable, with refineries focusing on fulfilling order-based shipments. Overall, the petroleum coke market in the Northwest region maintains a stable shipment pattern, with downstream buyers tending to make on-demand purchases. All refineries under China National Offshore Oil Corporation (CNOOC) are presently engaging in stable pricing and trading, with petroleum coke inventory at a generally low level. Further Understanding of Calcined Petroleum Coke Trading. 

Currently, the market for locally refined petroleum coke displays divergence in shipment trends, with prices experiencing both increases and decreases, ranging from 10 to 300 yuan/ton. On one hand, positive factors continue to support downstream demand, leading to a situation where some refinery coke prices are trending steadily upwards. On the other hand, as recently overhauled refineries gradually resume coke production, the overall market supply is relatively ample, resulting in a prevalent trend of downstream buyers making purchases based on immediate needs. Notable recent market developments include the restart of Rizhao Lanqiao Petrochemical's coking unit in Shandong, with coke production expected within this week, and Xinhai Chemical in Hebei resuming coke production on August 15th, yielding sulfur content around 5.0-5.3%.

Formosa Petrochemical Corp. recently unveiled the bidding results for their September shipment of Formosa coke, revealing an increase in price compared to August. This, combined with growing demand from silicon enterprises, has reinforced an upward pressure on spot prices for Formosa coke.

As of August 16th, there have been 9 instances of scheduled maintenance for conventional coking units nationwide. The daily production of petroleum coke in the country reached 86,920 tons, with a coking operating rate of 70.00%, marking a 0.95% increase from the previous working day.

Production is gradually being restored in Yunnan province, leading to increased procurement. Enterprises in the aluminum carbon sector exhibit decent demand, primarily centered around need-based purchases. The graphite electrode market remains relatively stable, with purchases largely driven by essential needs. The production rate of negative electrode materials enterprises has slightly increased, resulting in a stable yet moderately improved shipment volume. Conversely, the demand for silicon carbide remains somewhat weak, and the purchasing enthusiasm in the market is not particularly high.

The petroleum coke market is characterized by divergent shipment trends, a generally ample supply, and a focus on essential demand-based purchases. It is anticipated that in the short term, petroleum coke prices will maintain a stable yet oscillating pattern, with some adjustments ranging between 10 and 200 yuan/ton. September Direction in the Petroleum Coke Market, Contact Us for More Information.