Where Are We in the Chemical Cycle? The US shale boom, macro factors and outlook

Size: px
Start display at page:

Download "Where Are We in the Chemical Cycle? The US shale boom, macro factors and outlook"

Transcription

1 Where Are We in the Chemical Cycle? The US shale boom, macro factors and outlook Joseph Chang, Global Editor March 16, 2012 EBDQUIM 6 th Annual Meeting Salvador de Bahia, Brasil

2 Agenda Near-term profit outlook Chemical cycle Shale gas boom US ethylene expansions The coming bust Global dynamics

3 Near-term outlook Q4 not pretty marred by inventory destocking. Volumes flat to down Companies cautious on Q1 outlook Earnings will be back-end loaded (H2 2012), managements hope! Wall Street expects modest EPS gains for major chemical companies Big theme: INVENTORY RESTOCKING

4 US polyethylene margins expanding

5 Chemical cycle: boom and bust Peak: Markets tighten, companies ramp up spending Mid-cycle: Spending picks up, capacity added Trough: Capital investment slows and stops Capacity buildup takes its toll

6 Shale gas boom

7 Crude oil vs. US natural gas

8 US IPEX tracks WTI crude not natural gas 40 Henry Hub (daily) WTI (daily) US IPEX (monthly) US IPEX v WTI v Henry Hub IPEX and oil R2 =.881 IPEX and gas R2 = Day-ahead price ($/MMBTU) IPEX Index (1993 = 100) 0 0 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Source: ICIS, EIA Crude oil price divided by EIA s factor 5.8 to give equivalent energy value

9 US ethane advantage vs. naphtha 30 US Ethylene Variable Margins Ethane Advantage US Ethane Contract variable margin US Naphtha Contract variable margin 20.0 Ethylene Variable Margin cents/lb Ethane margin advantage, cents/lb Source: ICIS; 2012 average margins as of end January

10 US ethylene expansion plans US ETHYLENE EXPANSIONS BASED ON SHALE GAS Company Project Capacity Location Cost Start-up Chevron Phillips Chemical New cracker 1.5m tonnes Cedar Bayou, Texas NA Q Dow Chemical New cracker World-scale US Gulf Coast NA Shell New cracker World-scale US Northeast NA Formosa Plastics New cracker 800,000 tonnes Point Comfort, Texas $1.7bn 2016 Dow Chemical Restart 390,000 tonnes St. Charles, Louisiana NA end 2012 Westlake Chemical Expansion 108,863 tonnes Lake Charles, Louisiana NA H Williams Expansion 272,158 tonnes Geismar, Louisiana $350m- Q $400m INEOS Debottleneck 115,000 tonnes Chocolate Bayou, Texas NA end 2013 Westlake Chemical Expansion 113,399 tonnes Lake Charles, Louisiana NA 2014 LyondellBasell Expansion 386,000 tonnes Laporte, Texas NA 2014 Considered expansions Project Capacity Location Cost Start-up Indorama Ventures New cracker** 1.3m tonnes NA NA 2018 Sasol New cracker* 1.0m-1.4m tonnes Lake Charles, Louisiana $3.5bn- NA $4.5bn LyondellBasell Expansion NA Channelview, Texas NA NA SABIC New cracker World-scale US NA NA Braskem New cracker NA US NA NA Occidental Chemical New cracker*** NA Ingleside, Texas NA NA Aither Chemicals, Renewable Manufacturing Gateway New cracker NA US Northeast $750m 2016 *Feasibility study to be complete by H **Feasibility study to be complete by H ***Company to "explore various options for future supply of ethylene" Source: Companies, ICIS

11 New US ethylene capacity to 2017 New crackers: 6.0m tonnes* (5) Restarts: 390,000 tonnes (1) Expansions/debottlenecks: 995,000 tonnes (5) 7.4m tonnes = 28% of US capacity *Assumption of world-scale cracker at 1.25m tonnes/year

12 Mulling crackers, expansions Considered expansions Project Capacity Location Cost Start-up Indorama Ventures New cracker** 1.3m tonnes NA NA 2018 Sasol New cracker* 1.0m-1.4m tonnes Lake Charles, Louisiana $3.5bn- $4.5bn LyondellBasell Expansion NA Channelview, Texas NA NA SABIC New cracker World-scale US NA NA Braskem New cracker NA US NA NA Occidental Chemical New cracker*** NA Ingleside, Texas NA NA Aither Chemicals, Renewable Manufacturing Gateway New cracker NA US Northeast $750m 2016 NA *Feasibility study to be complete by H **Feasibility study to be complete by H ***Company to "explore various options for future supply of ethylene" Source: Companies, ICIS

13 Oxy wanna cracker? OxyChem s Ingleside plant is a large consumer of ethylene and the fractionator development will also allow Oxy to explore various options for future supply of ethylene for the Ingleside plant. - Occidental Petroleum press release, June 9, 2011 NGL fractionator + X = ethylene supply What is X? Cracker tie-up with Mexichem?

14 PLUS one more cracker New crackers: 6.0m tonnes* (4) Restarts: 390,000 tonnes (1) Expansions/debottlenecks: 995,000 tonnes (5) Total: 7.4m tonnes = 28% of US capacity PLUS one more world-scale cracker of 1.25m tonnes 8.6m tonnes = 32% of US capacity *Assumption of world-scale cracker at 1.25m tonnes/year

15 Projected US ethylene capacity additions through 2017 US ethylene additions Additional ethylene capacity, million tonne/year 2012 Source: ICIS Analysis

16 Where will the ethylene go? Polymers and intermediates PE, PVC, MEG, EO A slowly growing US market can absorb some capacity But mostly for EXPORT Asia, Latin America

17 Many things need to go right Low level of US natural gas prices versus crude oil US infrastructure build NGL fractionators, pipelines to carry ethane Moderate growth in global economy Lack of huge new capacity additions in the Middle East, Asia, Latin America Lack of other countries building out shale gas production and infrastructure

18 North America ethane conversions Company Conversion Capacity Location Start-up BASF FINA Petrochemicals Increase flexibility 934,000 tonnes Port Arthur, Texas Jun 2012 LyondellBasell Increase flexibility 873,000 tonnes (increase ethane by 227,000 tonnes) Channelview, Texas 2012 NOVA Chemicals 100% NGLs 839,000 tonnes Corunna, Ontario, Canada Westlake Chemicals Propane to ethane 195,000 tonnes Calvert City, Kentucky Dow Chemical Increase flexibility NA Plaquemine, Louisiana End 2013 NA 2014 Dow Chemical Increase flexibility NA Texas 2016 Source: Companies, ICIS

19 Structural shortages of C3, C4 Ethane Propane Butane Naphtha/Gas oil Ethylene 1,000 1,000 1,000 1,000 Propylene C4s (BD feed) Source: ICIS

20 Sep 2011 Mar 2011 Sep 2010 Mar US olefins prices Ethylene Propylene (P-grade) Sep 2007 Mar 2008 Sep 2008 Mar 2009 Sep 2009 C en ts/lb Mar 2007 Source: ICIS

21 Global petrochemical dynamics POLITICS The West operates here China, the Middle East etc. SHARED VALUE OPERATES HERE ECONOMICS SOCIAL

22 Expansionary pushes through history Japan (1960s and 1970s) Security of raw materials for auto industry and other downstream industries South Korea and Thailand (late 1970s-early 1990s) Similar model China (2000s and 2010s) Security of supply to manufacturing industry Middle East (2010s) Building naphtha-based petrochemical capacity for more diversified product slate to spur downstream and employment Malaysia (2010s) $20bn refinery and petchem complex (RAPID) end of 2016 Latin America (2010s) Mexico s Ethylene XXI project Brazil s Comperj project

23 China s explosive growth

24 Europe has held its own Annual Regional HDPE Variable Margins ( ) 40 US contract HDPE variable margin (ethane) European contract HDPE variable margin (naphtha) Asian spot HDPE variable margin (naphtha) 30 HDPE variable margin, cents/lb Source: ICIS Weekly Margin Reports, 2012 average margin as of end January 2012

25 Conclusions Near-term profit outlook is positive, but hinges on inventory restocking Widening US ethylene and PE margins will also drive profit growth in 2012 Mid-term outlook: Good window of extended ethylene and derivatives profitability from , especially for US Long-term outlook: Flood of US ethylene capacity to lead to a downturn in 2017 US shale gas changes the dynamics in global petrochemicals, but it does not change the cycle

26 Thank You! Joseph Chang Global Editor Office:

Polyethylene Price Drivers: What To Expect And Why.. PE: Market snapshot

Polyethylene Price Drivers: What To Expect And Why.. PE: Market snapshot Polyethylene Price Drivers: What To Expect And Why.. Nick Vafiadis, Director Polyethylene Flexible Packaging Association February 212 PE: Market snapshot Demand has been relatively weak domestic and export

More information

Chlor-Alkali & Derivatives Markets

Chlor-Alkali & Derivatives Markets Chlor-Alkali & Derivatives Markets PVC Committee Meeting at APIC 213 Taipei, 1 May 213 Charles Fryer US GULF CAUSTIC SODA & CHLORINE PRICES $/Metric Ton 1,4 1,3 1,2 1,1 1, 9 8 7 6 5 4 3 2 1 Caustic Caustic

More information

Institute for Regional Forecasting. www.bauer.uh.edu/irf

Institute for Regional Forecasting. www.bauer.uh.edu/irf Institute for Regional Forecasting www.bauer.uh.edu/irf Houston s Economy Powered by Oil Robert W. Gilmer Bauer College of Business University of Houston August 2015 Houston s Economy Rests on Four Major

More information

IVL Firmly On Track: BP Amoco Chemical s Decatur 8 th Highly Complementary Acquisition Since Jan 2015

IVL Firmly On Track: BP Amoco Chemical s Decatur 8 th Highly Complementary Acquisition Since Jan 2015 Project AlphaPet II: Acquisition of BP Amoco Chemical s Decatur, Alabama, Assets IVL Firmly On Track: BP Amoco Chemical s Decatur 8 th Highly Complementary Acquisition Since Jan 2015 January 7, 2016 Disclaimer

More information

Oil and Gas U.S. Industry Outlook

Oil and Gas U.S. Industry Outlook Oil and Gas U.S. Industry Outlook VERSION 01 YEAR 13 OUTLOOK: Positive fundamentals & outlook www.eulerhermes.us Key points WTI Crude is expected to continue to converge to Brent crude prices, narrowing

More information

Credit Suisse 28 th Annual Basic Materials Conference. Sergey Vasnetsov SVP, Strategic Planning and Transactions September 16, 2015

Credit Suisse 28 th Annual Basic Materials Conference. Sergey Vasnetsov SVP, Strategic Planning and Transactions September 16, 2015 Credit Suisse 28 th Annual Basic Materials Conference Sergey Vasnetsov SVP, Strategic Planning and Transactions September 16, 2015 Cautionary Statement The statements in this presentation relating to matters

More information

Join Together With Demand:

Join Together With Demand: A RBN Energy Drill Down Report Copyright 2015 RBN Energy Join Together With Demand: The Who and How of Marcellus/Utica Midstream MarkWest Processing and Fractionation Plants 1. Introduction RBN Pipeline

More information

Analyzing the Global Petrochemical Industry 2016

Analyzing the Global Petrochemical Industry 2016 Brochure More information from http://www.researchandmarkets.com/reports/1053386/ Analyzing the Global Petrochemical Industry 2016 Description: The petrochemical industry of today is an indispensable part

More information

Thank you for the kind introduction, and congratulations to the organizers of ANIQ for completing another very successful annual forum.

Thank you for the kind introduction, and congratulations to the organizers of ANIQ for completing another very successful annual forum. Thank you for the kind introduction, and congratulations to the organizers of ANIQ for completing another very successful annual forum. Today, I am going to discuss Wood Mackenzie s view about the opportunities

More information

The effect of shale gas revolution on oil industry

The effect of shale gas revolution on oil industry The effect of shale gas revolution on oil industry Choi DooHo Oil & Gas Unit Introduction The Shale Gas Revolution is one of the most significant issues in the energy industry today. This revolution has

More information

Natural Gas. Shale Gas Impacts. Natural Gas Liquids (NGLs) Dan Brockett Penn State Extension

Natural Gas. Shale Gas Impacts. Natural Gas Liquids (NGLs) Dan Brockett Penn State Extension Natural Gas Shale Gas Impacts Natural Gas Liquids (NGLs) Dan Brockett Penn State Extension Natural Gas Liquids Natural Gas Liquids (NGLs) are found in wet gas or rich gas areas of shale gas producing regions.

More information

The shale gas phenomenon Its potential to turn the global energy market on its head Plus revitalizing the US economy By reanimating the manufacturing

The shale gas phenomenon Its potential to turn the global energy market on its head Plus revitalizing the US economy By reanimating the manufacturing ROLAND BERGER STRATEGY CONSULTANTS CONTENT Fresh thinking for decision makers The shale gas phenomenon Its potential to turn the global energy market on its head Plus revitalizing the US economy By reanimating

More information

Adding fuel to the fire North America s hydrocarbon boom is changing everything. Steven Meersman. Roland Rechtsteiner

Adding fuel to the fire North America s hydrocarbon boom is changing everything. Steven Meersman. Roland Rechtsteiner Adding fuel to the fire North America s hydrocarbon boom is changing everything Steven Meersman Mark Pellerin Roland Rechtsteiner What if the gasoline that you put in your car came from natural gas instead

More information

US Ethane and Ethylene Exports & Markets Report

US Ethane and Ethylene Exports & Markets Report US Ethane and Ethylene Exports & Markets Report Introduction With the development of shale gas and oil the U.S. production landscape has experienced a dramatic shift over the last 5 years. There has been

More information

CHEMSYSTEMS. Report Abstract. Quarterly Business Analysis Quarter 1, 2012

CHEMSYSTEMS. Report Abstract. Quarterly Business Analysis Quarter 1, 2012 CHEMSYSTEMS PPE PROGRAM Report Abstract Quarterly Business Analysis Petrochemical Cost Price and Margin for Olefins, Polyolefins, Vinyls, Aromatics, Styrenics, Polyester Intermediates and Propylene Derivatives.

More information

Aromatics Update. FORO PEMEX Petroquimica 2011. Foro PEMEX Bangkok Petroquimica Junio 2011

Aromatics Update. FORO PEMEX Petroquimica 2011. Foro PEMEX Bangkok Petroquimica Junio 2011 Aromatics Update FORO PEMEX Petroquimica 2011 Alex Lidback Global Business Director Aromatics & Fibers Alidback@cmaiglobal.com 1 281 752 3288 has acquired Foro PEMEX Bangkok Petroquimica Junio 2011 Singapore

More information

Petrochemicals Preparing for a Supercycle

Petrochemicals Preparing for a Supercycle MORGAN STANLEY BLUE PAPER MORGAN STANLEY RESEARCH GLOBAL Chemicals Paul Mann, CFA 1 +1 (212) -761-3865 Paul R. Walsh 2 +44 2 7425-4182 Peter J. Mackey 2 +44 2 7425-4657 Vinay Jaising 3 +91 22 229-778 Harrison

More information

Forecasts Update Report June 2016 Petrochemical sector - Q2 2016 forecasts

Forecasts Update Report June 2016 Petrochemical sector - Q2 2016 forecasts Petrochemical sector forecasts Report 2Q2016 Worst for crude oil prices may be over; Better performance likely in 2Q2016 earnings: Crude prices (Brent) return back above the USD 50/bbl mark in 2Q2016,

More information

McKinsey on Chemicals

McKinsey on Chemicals McKinsey on Chemicals Number 4, Spring 2012 4 Squaring the circle: Growth and value creation 12 The path to improved returns in materials commercialization 21 The growing demand for green 30 40 47 Winning

More information

A Case for Midstream Energy

A Case for Midstream Energy Case Studies March 2014 Listed Infrastructure: A Case for Midstream Energy Case Studies is a Cohen & Steers series that evaluates compelling investment themes in our various sectors of expertise. This

More information

Global growth rates Macroeconomic indicators CEDIGAZ Reference Scenario

Global growth rates Macroeconomic indicators CEDIGAZ Reference Scenario Medium and Long Term Natural Gas Outlook CEDIGAZ February 215 Global growth rates Macroeconomic indicators CEDIGAZ Reference Scenario 4 3 %/year 199-213 213-235 6 Main consuming markets - %/year (213-235)

More information

Australia s Natural Gas Opportunity: Fuelling A Manufacturing Renaissance

Australia s Natural Gas Opportunity: Fuelling A Manufacturing Renaissance Australia s Natural Gas Opportunity: Fuelling A Manufacturing Renaissance Fact Sheet 1: September 2012 Supply Constraints Ahead for Gas Natural gas is essential for Australian industry. It is used as an

More information

Westlake Group Of Companies Presentation to UBS Grass Roots Chemical Conference February 11, 2004. James Y. Chao, Vice Chairman

Westlake Group Of Companies Presentation to UBS Grass Roots Chemical Conference February 11, 2004. James Y. Chao, Vice Chairman Westlake Group Of Companies Presentation to UBS Grass Roots Chemical Conference February 11, 2004 James Y. Chao, Vice Chairman Westlake Group and Affiliates WESTLAKE CHEMICAL OLEFINS POLYETHYLENE STYRENE

More information

Room XXVI Palais des Nations Geneva, Switzerland. Oil Market Outlook. Eissa B. Alzerma Oil Price Analyst Petroleum Studies Department, OPEC

Room XXVI Palais des Nations Geneva, Switzerland. Oil Market Outlook. Eissa B. Alzerma Oil Price Analyst Petroleum Studies Department, OPEC UNCTAD Multi-Year Expert Meeting on Commodities and Development 2013 Recent developments and new challenges in commodity markets, and policy options for commodity-based inclusive growth and sustainable

More information

Short-Term Energy Outlook Market Prices and Uncertainty Report

Short-Term Energy Outlook Market Prices and Uncertainty Report July 2014 Short-Term Energy Outlook Market Prices and Uncertainty Report Crude Oil Prices: After an upward move in mid-june, crude oil prices retreated close to previous levels. The North Sea Brent front

More information

March 2013. 2013 Global chemical industry mergers and acquisitions outlook

March 2013. 2013 Global chemical industry mergers and acquisitions outlook March 2013 2013 Global chemical industry mergers and acquisitions outlook Contents Overview 3 Sector valuations 3 North America 4 Europe 7 China 8 Outlook for 2013 8 Contacts 9 2 Overview The global chemical

More information

EIA s U.S. Crude Oil Import Tracking Tool: Selected Sample Applications

EIA s U.S. Crude Oil Import Tracking Tool: Selected Sample Applications EIA s U.S. Crude Oil Import Tracking Tool: Selected Sample Applications November 2014 Independent Statistics & Analysis www.eia.gov U.S. Department of Energy Washington, DC 20585 This report was prepared

More information

The US Shale Revolution and the changes in LPG Trade Dynamics:

The US Shale Revolution and the changes in LPG Trade Dynamics: July 2014 The US Shale Revolution and the changes in LPG Trade Dynamics: A Threat to the GCC? OXFORD ENERGY COMMENT Bassam Fattouh 1. Introduction One of the major developments associated with the US shale

More information

Polypropylene Random Copolymer Market

Polypropylene Random Copolymer Market Polypropylene Random Copolymer Market For Packaging, Building & Construction, Healthcare And Other End-User Industries - Global Industry Analysis, Size, Share, Growth, Trends And Forecast 2015-2023 "Polypropylene

More information

How To Build A Gas Plant

How To Build A Gas Plant 1 NGL Fractionation & Storage Phoenix Energy Marketing Consultants Inc. 2 Fractionation & Storage 1. Storage 3 Fractionation & Storage Important part of the liquids transportation infrastructure NGLs must

More information

Third-Quarter 2012 Earnings

Third-Quarter 2012 Earnings Third-Quarter 212 Earnings Jim Gallogly, Chief Executive Officer Karyn Ovelmen, Chief Financial Officer Sergey Vasnetsov, SVP - Strategic Planning and Transactions Doug Pike, VP - Investor Relations October

More information

Oil & Gas Market Outlook. 6 th Norwegian Finance Day Marianne Kah, Chief Economist March 2, 2016

Oil & Gas Market Outlook. 6 th Norwegian Finance Day Marianne Kah, Chief Economist March 2, 2016 Oil & Gas Market Outlook 6 th Norwegian Finance Day Marianne Kah, Chief Economist March 2, 2016 Challenging Market Environment Concerns that global economic growth will slow and reduce global oil and natural

More information

Etileno/Propileno Update

Etileno/Propileno Update Etileno/Propileno Update FORO PEMEX Petroquimica 2011 John Stekla Director Ethylene JStekla@cmaiglobal.com 1 281 752 3244 has acquired ForoBangkok PEMEX Petroquímica - Junio 2011 Singapore Shanghai Houston

More information

PETROLEUM WATCH September 16, 2011 Fossil Fuels Office Fuels and Transportation Division California Energy Commission

PETROLEUM WATCH September 16, 2011 Fossil Fuels Office Fuels and Transportation Division California Energy Commission PETROLEUM WATCH September 16, 2011 Fossil Fuels Office Fuels and Transportation Division California Energy Commission Summary As of September 14, retail regular-grade gasoline prices in California increased

More information

WORLD PLASTICS MARKET REVIEW. By Bill Kuhlke and Dr. Tom Walsh

WORLD PLASTICS MARKET REVIEW. By Bill Kuhlke and Dr. Tom Walsh WORLD PLASTICS MARKET REVIEW By Bill Kuhlke and Dr. Tom Walsh OUTLINE OVERVIEW OF THE PLASTICS INDUSTRY MAJOR THERMOPLASTICS TO BE REVIEWED POLYETHYLENE POLYPROPYLENE POLYSTYRENE CONCLUSIONS THE PLASTICS

More information

Greenhouse Gases from a Growing Petrochemical Industry

Greenhouse Gases from a Growing Petrochemical Industry Greenhouse Gases from a Growing Petrochemical Industry FRACKING AND LOW GAS PRICES SPARK PROJECTS IN 2015 WITH EMISSIONS EQUIVALENT TO 19 COAL POWER PLANTS FEBRUARY 29, 2016 ACKNOWLEDGEMENTS This report

More information

TonenGeneral Sekiyu K.K. Business Strategy and 2007 Financial Results

TonenGeneral Sekiyu K.K. Business Strategy and 2007 Financial Results TonenGeneral Sekiyu K.K. Business Strategy and 2007 Financial Results February 15, 2008 at TSE Arrows This material contains forward-looking statements based on projections and estimates that involve many

More information

Investment Options for Crude & Condensate Stabilization and Splitting

Investment Options for Crude & Condensate Stabilization and Splitting Investment Options for Crude & Condensate Stabilization and Splitting Ryan M. Couture Senior Consultant 2015 AFPM Annual Meeting March 23, 2015 San Antonio, TX Presentation Outline U.S. Production and

More information

Natural Gas Hub Development and the Asian LNG Market

Natural Gas Hub Development and the Asian LNG Market Natural Gas Hub Development and the Asian LNG Market Plenary Session 3, Structure of Asian Markets for Energy Commodities Bradford G. Leach Principal, Energy Advisory Services 5th IAEE Asian Conference

More information

State Heating Oil & Propane Program Final Report Winter 2004/2005

State Heating Oil & Propane Program Final Report Winter 2004/2005 Commonwealth of Massachusetts Division of Energy Resources State Heating Oil & Propane Program Final Report Winter 2004/2005 May 2005 Mitt Romney Governor Kerry Healey Lt. Governor Beth Lindstrom Director,

More information

Oil Markets Miss the Brass Ring: Another Slow Year for Houston in 2016. Robert W. Gilmer, Ph.D. C.T. Bauer College of Business November 12, 2015

Oil Markets Miss the Brass Ring: Another Slow Year for Houston in 2016. Robert W. Gilmer, Ph.D. C.T. Bauer College of Business November 12, 2015 Oil Markets Miss the Brass Ring: Another Slow Year for Houston in 2016 Robert W. Gilmer, Ph.D. C.T. Bauer College of Business November 12, 2015 $120 $100 $104 It Is All About Oil! Price Is Now Down By

More information

Synfuels GASRICH Transport Light Gas Technology

Synfuels GASRICH Transport Light Gas Technology Synfuels GASRICH Transport Light Gas Technology Storage and Transport of Light Gas and LNG Blends Abstract The Liquefied Natural Gas (LNG) industry is well established and growing. Recently depressed Natural

More information

Natural Gas: Winter 2012-13 Abundance! and Some Confusion

Natural Gas: Winter 2012-13 Abundance! and Some Confusion Natural Gas: Winter 2012-13 Abundance! and Some Confusion NASEO Winter Fuels Outlook Washington, D.C. October 10, 2012 Bruce B. Henning Vice President, Energy Regulatory and Market Analysis BHenning@icfi.com

More information

IEA-IEF-OPEC Outlook Comparison

IEA-IEF-OPEC Outlook Comparison IEA-IEF-OPEC Outlook Comparison Richard Newell, Director, Duke University Energy Initiative Gendell Professor of Energy and Environmental Economics, Nicholas School of the Environment Sixth IEA-IEF-OPEC

More information

Oil and Gas Prices. Oil and Gas Investor Summit London 17th-18th June 2014

Oil and Gas Prices. Oil and Gas Investor Summit London 17th-18th June 2014 Oil and Gas Prices Oil and Gas Investor Summit London 17th-18th June 2014 Oil Price Drowning in oil Economist, March 1999 $10 oil might actually be too optimistic. We may be heading for $5. Crude touches

More information

Gulf Natural Gas Region

Gulf Natural Gas Region Gulf Gas Market: Overview and Focal Points Page 1 of 15 Gulf Natural Gas Region Colonial Gas Mainline TX NGPL TXOK Carthage LA Waha Tennessee Zone 0 Katy Freeport Cameron Sabine Pass Henry Texas Eastern

More information

Douglas K. Eyberg. Chair, Energy, Partner, Corporate. Experience

Douglas K. Eyberg. Chair, Energy, Partner, Corporate. Experience Douglas K. Eyberg Chair, Energy, Partner, Corporate Doug Eyberg, head of Gardere's energy team and a member of Gardere's board of directors, combines a broad corporate/securities and M&A background with

More information

Outlook for the North American and Ontario Gas Markets

Outlook for the North American and Ontario Gas Markets Outlook for the North American and Ontario Gas Markets Union Gas Customer Meeting London, Ontario June 5, 2014 Presented by: Frank Brock Senior Energy Market Specialist ICF International Frank.Brock@ICFI.COM

More information

Natural Gas / Electricity and the Industrial Sector. The Dismantling of US Manufacturing

Natural Gas / Electricity and the Industrial Sector. The Dismantling of US Manufacturing Natural Gas / Electricity and the Industrial Sector The Dismantling of US Manufacturing Paul Cicio President Industrial Energy Consumers of America August, 2007 Who Are Energy Price Sensitive Industries?

More information

Is India s petrochemicals industry poised for a boom?

Is India s petrochemicals industry poised for a boom? Is India s petrochemicals industry poised for a boom? During the early years of this decade, the chemical industry in India was in a state of near stagnation. Capacity additions had virtually stopped (Fig

More information

Alaska Natural Gas Needs and Market Assessment: 2008 Update of the Industrial Sector

Alaska Natural Gas Needs and Market Assessment: 2008 Update of the Industrial Sector Alaska Natural Gas Needs and Market Assessment: 2008 Update of the Industrial Sector Prepared by Science Applications International Corporation For Alaska Natural Gas Development Authority (ANGDA) June

More information

Investing in China. Speech given by Dai Yu General Manager Base Chemicals Shell Eastern Petroleum Pte Ltd

Investing in China. Speech given by Dai Yu General Manager Base Chemicals Shell Eastern Petroleum Pte Ltd Investing in China Speech given by Dai Yu General Manager Base Chemicals Shell Eastern Petroleum Pte Ltd The 3rd Asian Aromatics & Derivatives Conference Singapore June 28-29, 2007 1 Within a few years,

More information

Energy Efficiency s Role in Getting America Out of Its Energy Straightjacket

Energy Efficiency s Role in Getting America Out of Its Energy Straightjacket Energy Efficiency s Role in Getting America Out of Its Energy Straightjacket R. Neal Elliott, Ph.D., P.E. Industrial Program Director ACEEE Jan-06 Industrial Energy Prices 17.00 15.00 13.00 11.00 9.00

More information

Exploiting Big Bang Disruption in the Chemicals Industry

Exploiting Big Bang Disruption in the Chemicals Industry Exploiting Big Bang Disruption in the Chemicals Industry THE BIG CR U NC H Introduction In North America, the shale gas revolution is driving a boom in the chemicals industry, as companies invest in new

More information

An Introduction to PETROCHEMICALS

An Introduction to PETROCHEMICALS An Introduction to PETROCHEMICALS A comprehensive 2-day course covering the entire Petrochemical value chain. Relevant for those new to Petrochemical Industry or for those from other industries seeking

More information

ECONOMICS PROCESS ECONOMICS PROGRAM. Report No. 107. by JOHN L. CHADWICK. February 19 77. A private report by the STANFORD RESEARCH INSTITUTE

ECONOMICS PROCESS ECONOMICS PROGRAM. Report No. 107. by JOHN L. CHADWICK. February 19 77. A private report by the STANFORD RESEARCH INSTITUTE Report No. 107 OF CHEMICAL ECONOMICS REFINERIES by JOHN L. CHADWICK February 19 77 A private report by the PROCESS ECONOMICS PROGRAM STANFORD RESEARCH INSTITUTE I I MENLO PARK, CALIFORNIA For detailed

More information

The Shale Gas Boom and activist Stock Investments

The Shale Gas Boom and activist Stock Investments REACTION Chemicals Magazine / Seventeenth Edition / July 2015 KPMG GLOBAL CHEMICALS INSTITUTE The US chemicals industry in 2015 kpmg.com/reaction p2 Gas-powered growth continues for US chemical companies

More information

Q2-14 Financial Results. July 30, 2014

Q2-14 Financial Results. July 30, 2014 Q2-14 Financial Results July 30, 2014 Forward-looking Statements & Non-GAAP Measures Information contained in these materials or presented orally on the earnings conference call, either in prepared remarks

More information

Effective Process Planning and Scheduling

Effective Process Planning and Scheduling Effective Process Planning and Scheduling The benefits of integrated planning and scheduling developed in the olefins industry extend into many areas of process manufacturing. Elinor Price, Aspen Technology

More information

Petrochemicals Industry in Philippines

Petrochemicals Industry in Philippines Brochure More information from http://www.researchandmarkets.com/reports/1878314/ Petrochemicals Industry in Philippines Description: Petrochemicals industry in Philippines at the moment is at a start-up

More information

Latin America Polyethylene Market: Supply Shortfalls, the Growing Opportunity

Latin America Polyethylene Market: Supply Shortfalls, the Growing Opportunity Latin America Polyethylene Market: Supply Shortfalls, the Growing Opportunity Special Report Prospectus IH In Partnership with Contents Contents 2 Introduction 3 Study Objective 4 Key Questions Addressed

More information

Natural Gas Markets in 2006

Natural Gas Markets in 2006 Order Code RL33714 Natural Gas Markets in 2006 Updated December 12, 2006 Robert Pirog Specialist in Energy Economics and Policy Resources, Science, and Industry Division Natural Gas Markets in 2006 Summary

More information

Oil Markets into 2006. Peter Davies Chief Economist, BP plc British Institute of Energy Economics London. 24 January, 2006

Oil Markets into 2006. Peter Davies Chief Economist, BP plc British Institute of Energy Economics London. 24 January, 2006 Oil Markets into 26 Peter Davies Chief Economist, BP plc British Institute of Energy Economics London. 24 January, 26 Outline Oil and energy today How did we get to here? Prospects for 26 Into the medium

More information

The GCC Chemical Industry 2013. Facts and Figures

The GCC Chemical Industry 2013. Facts and Figures The GCC Chemical Industry 2013 Facts and Figures 2 CONTENTS 1. About the chemical industry 01 2. GCC chemical industry in 2013: key numbers 06 3. Economic contribution of the GCC chemical industry 08 4.

More information

Direct Energy Business Monthly Webinar. Expressly for Channel Partners February 25, 2016

Direct Energy Business Monthly Webinar. Expressly for Channel Partners February 25, 2016 Direct Energy Business Monthly Webinar Expressly for Channel Partners February 25, 2016 Webinar Agenda Tim Bigler, Sr. Market Strategist Commodity Market Update Beau Gjerdingen, Meteorologist Spring weather

More information

Global Shale Energy Development: Expanding Economics, Trends, and Implications

Global Shale Energy Development: Expanding Economics, Trends, and Implications Global Shale Energy Development: Expanding Economics, Trends, and Implications New and Historic Energy Direction with Shale Increasing share of U.S. natural gas production. 50%? 70%? (2040) Energy security

More information

COMPANY UPDATE FIRST QUARTER 2016 RESULTS

COMPANY UPDATE FIRST QUARTER 2016 RESULTS COMPANY UPDATE FIRST QUARTER 2016 RESULTS ROYAL DUTCH SHELL 4 MAY 2016 Copyright of Royal Dutch Shell plc May 4, 2016 1 SIMON HENRY CHIEF FINANCIAL OFFICER ROYAL DUTCH SHELL PLC 2 DEFINITIONS & CAUTIONARY

More information

Global petrochemicals Who is really benefitting from the growth in the new world?

Global petrochemicals Who is really benefitting from the growth in the new world? Competence Center Global Chemicals 1 Dr. Jaap Kalkman, Dr. Alexander Keller Global petrochemicals Who is really benefitting from the growth in the new world? Competence Center Global Chemicals 2 Global

More information

Rush hour in Kolkata (formerly Calcutta), India. Between 1990 and 2000, the number of motor vehicles per capita more than doubled in four

Rush hour in Kolkata (formerly Calcutta), India. Between 1990 and 2000, the number of motor vehicles per capita more than doubled in four Rush hour in Kolkata (formerly Calcutta), India. Between 1990 and 2000, the number of motor vehicles per capita more than doubled in four Asia-Pacific nations: South Korea, the Philippines, India, and

More information

Process Management Investor Update

Process Management Investor Update Process Management Investor Update John Berra Executive Vice President February 8, 2008 Safe Harbor Statement Our commentary and responses to your questions may contain forward-looking statements, including

More information

STRATEGIC CONSULTING AND INDUSTRY ADVISORY SERVICES Due Diligence and Advisor to Lenders and Investors

STRATEGIC CONSULTING AND INDUSTRY ADVISORY SERVICES Due Diligence and Advisor to Lenders and Investors For over 20 years, Baker & O'Brien consultants have acted as "Technical Advisor" on major energy projects. In this role, we often perform a technical and economic due diligence analysis of the project.

More information

FOCUS ON. Refinery Operators, and Gaugers

FOCUS ON. Refinery Operators, and Gaugers FOCUS ON Houston Gulf Coast Region* 1 of 5 Region s Petroleum Industry is Thriving and Steadily Hiring Needed: Petroleum pump system operators, refinery operators, and gaugers control the operation of

More information

Countdown to Natural Gas: Beginning this Year, the Dynamics of the U.S. Natural Gas Market Will Change Forever

Countdown to Natural Gas: Beginning this Year, the Dynamics of the U.S. Natural Gas Market Will Change Forever Countdown to Natural Gas: Beginning this Year, the Dynamics of the U.S. Natural Gas Market Will Change Forever Alan Lammey, Sr. Energy Markets Analyst Who Is PointLogic Energy? PointLogic Energy provides

More information

US NGLs Production and Steam Cracker Substitution:

US NGLs Production and Steam Cracker Substitution: September 2014 US NGLs Production and Steam Cracker Substitution: What will the Spillover Effects be in Global Petrochemical Markets? Bassam Fattouh and Craig Brown* OXFORD ENERGY COMMENT * Keystone Engineering

More information

Natural Gas and LNG Business Today and Tomorrow

Natural Gas and LNG Business Today and Tomorrow Natural Gas and LNG Business Today and Tomorrow September 7, 2011 Mitsubishi Corporation Energy Business Group Junichi Iseda Senior Vice President, Division COO Natural Gas Business Division B Part 1:

More information

The Future of Energy in Louisiana! March 2014

The Future of Energy in Louisiana! March 2014 The Future of Energy in Louisiana! March 2014 1! GNO, Inc. Overview! GNO, Inc. is the economic development organization serving the ten parishes of Southeast Louisiana.! Logo! Business Development! Business

More information

World Steel Outlook 2015-2016 Adam Szewczyk / Manager, Economics and Statistics. Х Metal Expert s Conference, April 20-21, 2015, Kiev, Ukraine

World Steel Outlook 2015-2016 Adam Szewczyk / Manager, Economics and Statistics. Х Metal Expert s Conference, April 20-21, 2015, Kiev, Ukraine World Steel Outlook 2015-2016 Adam Szewczyk / Manager, Economics and Statistics Х Metal Expert s Conference, April 20-21, 2015, Kiev, Ukraine Disclaimer text This document is protected by copyright. Distribution

More information

We add value as one company

We add value as one company Dr. Kurt Bock Chairman of the Board of Executive Directors Nomura Global Chemical Industry Leaders Conference Rome March 23, 2012 We add value as one company Forward-looking statements This presentation

More information

Suzanne Minter. Manager, Oil and Gas Consulting BENTEK Energy. Natural Gas Outlook

Suzanne Minter. Manager, Oil and Gas Consulting BENTEK Energy. Natural Gas Outlook Suzanne Minter Manager, Oil and Gas Consulting BENTEK Energy Natural Gas Outlook North American Natural Gas The Fertilizer Institute November, 2014 2013 Platts, McGraw Hill Financial. All rights reserved.

More information

OCCIDENTAL PETROLEUM CORPORATION. Second Quarter 2015 Earnings Conference Call July 30, 2015

OCCIDENTAL PETROLEUM CORPORATION. Second Quarter 2015 Earnings Conference Call July 30, 2015 OCCIDENTAL PETROLEUM CORPORATION Second Quarter 2015 Earnings Conference Call July 30, 2015 Cautionary Statements Forward-Looking Statements Portions of this presentation contain forward-looking statements

More information

Sunoco Logistics Partners L.P. Second Quarter 2015 Earnings Conference Call August 6, 2015

Sunoco Logistics Partners L.P. Second Quarter 2015 Earnings Conference Call August 6, 2015 Sunoco Logistics Partners L.P. Second Quarter 2015 Earnings Conference Call August 6, 2015 Forward-Looking Statements You should review this slide presentation in conjunction with the second quarter 2015

More information

Shale gas Reshaping the US chemicals industry

Shale gas Reshaping the US chemicals industry Shale gas Reshaping the US chemicals industry October 2012 A current look at the chemicals industry value chain At a glance The impact of shale gas on domestic chemical companies has been to decrease the

More information

2014 BP Madrid forum on energy & sustainability BP 2014

2014 BP Madrid forum on energy & sustainability BP 2014 14 BP Madrid forum on energy & sustainability BP 14 Contents Global energy trends Liquid fuels Refining implications European focus Energy Outlook 35 BP 14 Primary energy consumption growth slows and the

More information

THE GLOBAL SOURCE FOR COMMODITIES KOCH SUPPLY & TRADING

THE GLOBAL SOURCE FOR COMMODITIES KOCH SUPPLY & TRADING THE GLOBAL SOURCE FOR COMMODITIES KOCH SUPPLY & TRADING KOCH SUPPLY & TRADING: CAPABILITIES Refined Products Crude Oil Global crude oil markers (WTI, Brent, Dubai) and grades of oil priced off these markers

More information

UBS Australasian Conference Initiating Change Today November 2015

UBS Australasian Conference Initiating Change Today November 2015 UBS Australasian Conference Initiating Change Today November 2015 Oil Search Limited ARBN 055 079 868 ASX: OSH POMSoX: OSH US ADR: OISHY www.oilsearch.com What has changed?» Oil and gas pricing radically

More information

The 10 largest downstream and petrochemical projects planned for Asia in 2014/2015 June 2014

The 10 largest downstream and petrochemical projects planned for Asia in 2014/2015 June 2014 The 10 largest downstream and petrochemical projects planned for Asia in 2014/2015 June 2014 1 Asia is still the home of many of the major downstream and petrochemical projects planned for 2014, 2015 and

More information

High. times for. hydrogen. Nitin M. Patel and William F. Baade, Air Products and Chemicals, Inc., USA,

High. times for. hydrogen. Nitin M. Patel and William F. Baade, Air Products and Chemicals, Inc., USA, High times for hydrogen Nitin M. Patel and William F. Baade, Air Products and Chemicals, Inc., USA, look at the continuing growth in hydrogen capacity for the production of clean fuels. REPRINTED FROM

More information

Shell Technology Webcast Friday 18 th August 2006. Technologies driving new fuels

Shell Technology Webcast Friday 18 th August 2006. Technologies driving new fuels Shell Technology Webcast Friday 18 th August 2006 Technologies driving new fuels Disclaimer This document contains forward-looking statements concerning the financial condition, results of operations and

More information

A New Perspective on Crude Prices

A New Perspective on Crude Prices September 2015 A New Perspective on Crude Prices West Texas Intermediate flirted with $60 a barrel in June, but the commodity is unlikely to return to that neighborhood anytime soon. The world has just

More information

LNG Poised to Significantly Increase its Share of Global Gas Market David Wood February 2004 Petroleum Review p.38-39

LNG Poised to Significantly Increase its Share of Global Gas Market David Wood February 2004 Petroleum Review p.38-39 LNG Poised to Significantly Increase its Share of Global Gas Market David Wood February 2004 Petroleum Review p.38-39 For the past few years LNG has experienced high levels of activity and investment in

More information

Northeast Propane Infrastructure, Supply Shortages & High Cost to Consumers

Northeast Propane Infrastructure, Supply Shortages & High Cost to Consumers Northeast Propane Infrastructure, Supply Shortages & High Cost to Consumers Crestwood s Finger Lakes NGL Storage Facility "The Solution" Crestwood Midstream Facilities Overview Gathering & Processing Gas

More information

Nylon 66 Market Update. Mark Kallman Director of Client Support, Engineering Resin /PVC/PS

Nylon 66 Market Update. Mark Kallman Director of Client Support, Engineering Resin /PVC/PS Nylon 66 Market Update Mark Kallman Director of Client Support, Engineering Resin /PVC/PS ResinSmart Market Drivers What is Driving Pricing Moves Up or Down Real Time Costs Feedstock Cost Intermediates

More information

Impact of the 2008 Hurricanes on the Natural Gas Industry

Impact of the 2008 Hurricanes on the Natural Gas Industry Impact of the 2008 Hurricanes on the Natural Gas Industry This report provides an overview of the 2008 Atlantic hurricane season and its impacts on the natural gas industry. Data in this report were collected

More information

Expanding Natural Gas Service: Opportunities for American Homes and Business

Expanding Natural Gas Service: Opportunities for American Homes and Business Expanding Natural Gas Service: Opportunities for American Homes and Business NARUC Staff Subcommittee on Gas Washington, D.C. February 3, 2013 Bruce B. Henning Vice President, Energy Regulatory and Market

More information

www.pwc.co.uk/economics Global wage projections to 2030 September 2013

www.pwc.co.uk/economics Global wage projections to 2030 September 2013 www.pwc.co.uk/economics Global wage projections to 2030 Summary: Wage gap between emerging and advanced economies will shrink significantly by 2030 By 2030, our projections in this report suggest that

More information

Natural Gas Diversification Strategy for PREPA GOVERNMENT DEVELOPMENT BANK FOR PUERTO RICO

Natural Gas Diversification Strategy for PREPA GOVERNMENT DEVELOPMENT BANK FOR PUERTO RICO Natural Gas Diversification Strategy for PREPA GOVERNMENT DEVELOPMENT BANK FOR PUERTO RICO Agenda 1 Importance of Diversifying to Natural Gas 2 Natural Gas Diversification Strategy 2 Currently, Puerto

More information

II. Merchandise trade

II. Merchandise trade II. Merchandise trade Merchandise trade increased by 5 per cent in volume in 211. The strongest momentum was achieved by trade in manufactured goods, which grew by.5 per cent. Key developments in 211:

More information

Heidmar Tanker Pools Trading insights from the front line: Strategies for maximizing returns in shifting markets

Heidmar Tanker Pools Trading insights from the front line: Strategies for maximizing returns in shifting markets Heidmar Tanker Pools Trading insights from the front line: Strategies for maximizing returns in shifting markets June 2013 2 About Heidmar Heidmar is the world s leading independent tanker pool manager

More information

Commodity Price Outlook & Risks

Commodity Price Outlook & Risks Commodity Outlook & Risks Research Department, Commodities Team January, 2 www.imf.org/commodities commodities@imf.org This monthly report presents a price outlook and risk assessment for selected commodities

More information

OCCIDENTAL PETROLEUM CORPORATION. Third Quarter 2015 Earnings Conference Call October 28, 2015

OCCIDENTAL PETROLEUM CORPORATION. Third Quarter 2015 Earnings Conference Call October 28, 2015 OCCIDENTAL PETROLEUM CORPORATION Third Quarter 2015 Earnings Conference Call October 28, 2015 Cautionary Statements Forward-Looking Statements Portions of this presentation contain forward-looking statements

More information