Petrochemical Prices in August Rose 3% from July, but 30% from 2010

LONDON, Sept. 12, 2011 /PRNewswire/ -- Platts – Prices of petrochemicals, a $3 trillion global business, averaged $1,397 per metric ton (/mt) in August, according to just-released data from Platts, a leading global energy and metals information provider. The Platts Global Petrochemical Index (PGPI), a basket of seven widely used petrochemicals, is up 3% from July, reflecting stabilization despite rapidly worsening economic sentiment and big declines in global stock markets. But the August monthly index average is up 30% from this same time a year ago.

Petrochemicals are used to make plastic, rubber, nylon and other materials for consumer products, packaging, manufacturing, construction, pharmaceuticals, aviation, electronics and nearly every commercial industry.

The PGPI reflects a compilation of daily physical spot market price assessments of ethylene, propylene, benzene, toluene, paraxylene, low-density polyethylene (LDPE) and polypropylene as published by Platts and is weighted by the three regions of Asia, Europe and the United States. It is utilized as a price reference, a gauge of sector activity, and a measure of comparison for determining the profitability of selling crude oil intact or refining it into products.

To access a summary for each of the seven key petrochemicals included in the PGPI, http://www.platts.com/newsfeature/2011/pgpi/index.

First published by Platts in August 2007, the PGPI peaked at $1,679/mt on July 14, 2008 before plummeting to a low of $491/mt on December 5, 2008, on the heels of the global financial meltdown. Published daily in Platts Petrochemical Alert, a real-time news service, and other Platts publications, the PGPI is anchored by Platts' robust and long-established price assessment methodology and the firm's 100-year history of energy price reporting. 

Platts petrochemicals experts are available for media interviews, consult Platts Media Center. For more information on petrochemicals, visit the Platts website at www.platts.com.

About Platts: Founded in 1909, Platts is a leading global provider of energy, petrochemicals and metals information and a premier source of benchmark prices for the physical and futures markets.  Platts' news, pricing, analytics, commentary and conferences help customers make better-informed trading and business decisions and help the markets operate with greater transparency and efficiency.  Customers in more than 150 countries benefit from Platts' coverage of the carbon emissions, coal, electricity, oil, natural gas, metals, nuclear power, petrochemical, and shipping markets.  A division of The McGraw-Hill Companies (NYSE: MHP), Platts is headquartered in New York with more than 900 employees in more than 15 offices worldwide. Additional information is available at http://www.platts.com.

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SOURCE Platts