Market and product
Mideast ammonia prices up $10/tonne on Iranian sale
LONDON (ICIS)--Middle East ammonia prices have risen $10/tonne (€7/tonne) following a spot sale out of Iran amid tight supply and strong demand, market sources said on Monday.
A source at Iran’s Petrochemical Commercial Co (PCC) said it had sold a 15,000 tonne cargo to a trader at $470/tonne FOB (free on board) for end of March shipment.
This sale is $10/tonne higher than last business out of the Middle East and $15/tonne higher than last Iranian business.
The higher price comes as supply is restricted by a maintenance shutdown in Quatar and production problems in Indonesia.
Asian traders are looking to source Middle East tonnes to make up for a lack of availability from Indonesia, sources said.
Other Middle East producers are reportedly looking for prices in the $475-480/tonne FOB range in next business.
Saudi Basic Industries Corp (SABIC) is understood to have a late March/early April spot cargo available and is starting negotiations this week.
