Condensate & Naphtha Products Coverage

The seaborne condensate market is a niche space and is largely dependent on the petrochemical markets in the East. The increase in condensate availability out of Qatar, Iran and Australia, alongside growing demand for aromatic petrochemicals in the Asia Pacific region, saw a build out of condensate splitter capacity in the Asia Pacific region in the late 2000's and the 2010's. The naphtha-rich content of condensate is ideal for petrochemical feedstock use, the availability of a niche product in growing quantities as a by-product of natural gas/LNG production and a lower CAPEX relative to even a simple refinery were key drivers of this phenomenon.

FGE has been at the forefront of many of these developments, publishing detailed analysis on condensate from when the market was in its early stages of development, to developing short- and long-term detailed reporting on the global supply, demand and trade aspects of the condensate market.

The naphtha market is another one to watch, and far more complex than it may seem. Lumping the various types of naphtha into one product does little justice to the versatility of the product. Naphtha's end-uses vary widely, with the product being used as a feedstock for steam crackers, condensate/naphtha splitters and oil refineries. Naphtha, too, plays a role in commercial blending as well as a diluent for extra-heavy crudes.

A distinctive characteristic of FGE's naphtha coverage is the deep-dive on sectoral and grade-by-grade breakdowns for naphtha which are critical for getting a holistic view of the market. Such coverage is available in both our short- and long-term reports.

In our monthly service, we provide detailed information on East of Suez focused condensate export supply and import demand and West-East arb, alongside grade-by-grade trade balances of naphtha in the Asia Pacific region. This comes with and outlook for key prices, spreads and margins (e.g. key condensate differentials, key petrochemical-naphtha spreads, LPG-naphtha spreads and key naphtha grade differentials. Included within the data pack, is outage data for condensate splitters, steam crackers and PX unit. This data pack includes forecasts that span the next 6-months.

In our long-term condensate annual report you will also receive access to global condensate supply and demand projections to 2040, petrochemical trends in Asia, condensate trade flows into Asia, US and West of Suez condensate outlook, naphtha long-term outlook, regional condensate market dynamics, Middle East condensate outlook, dynamics between crude, condensate, naphtha and petrochemicals.

For Naphtha, the annual report would include a trade focused global balance projections to 2040 which takes into account grade-by-grade supply and sectoral demand breakdowns. The report taps on FGE’s internal capabilities to highlight trends in refinery capacity, configurations and integrations and the impacts on the naphtha fraction, alongside trends in aromatics, olefins, petrochemical feedstocks. This culminates in a long run view of the global dynamic surrounding naphtha trade and pricing.

As part of our condensate and naphtha market coverage, clients will receive regular reports and/or alerts in email or PDF format, regularly updated Excel data sets, direct access to our online client portal, contact with our expert consultants/analysts via email/conference-call/telephone/in-person meetings, invites to complementary market update webinars and ongoing consultations with key members of our NGLs team.