Market Chatter: Formosa Petrochemical to See Supply Relief as Saudi Crude Tanker Arrives
Formosa Petrochemical (TPE:6505) said a Liberian-flagged supertanker carrying 2 million barrels of Saudi crude is set to arrive at Mailiao Port, offering relief to its strained refinery operations, Taipei Times reported, citing company executive.The cargo is being delivered by the FPMC C Lord, operated by Formosa Plastics Marine.Refinery output had slumped to about 43% last month after Middle East conflict disruptions and Strait of Hormuz delays blocked scheduled shipments. Naphtha cracking utilization also dropped sharply to around 33%, reflecting tight feedstock conditions.With the new inflow and diversified sourcing from regions including the Red Sea and West Africa, the company expects utilization to recover above 60% this month and near 80% next month, though petrochemical margins remain under pressure from weak demand, the news outlet reported.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)