Tuesday, October 11, 2011

Guangdong want to become the largest supplier of liquefied gas

PetroChina Kunlun Guangdong LNG Limited ("Guangdong Kunlun") from September to complete was the source of Shantou City Gas Chemical Development Co., Ltd. ("Shantou was the source"), after integration, a strong attack in October, relying on the oil the resource advantages, actively seize the eastern area batch of LPG tank market share, want to become the eastern region's largest supplier of resources.

According to C1 price shown, since October 1, eastern regional domestic gas prices had traded lower, at 10, the local mainstream transaction price at 6,000 yuan / ton, compared with September 30, fell 250 yuan / ton, lower than the Pearl River Delta region 400-450 yuan / ton, but the eastern to the PRD freight only 200-300 dollars. The eastern region of the price is so low, local people have that the main cloud due to:
Guangdong Province in the eastern Kunlun committed to expanding its regional gas daily sales, the desire to get the original source Shantou daily sales of around 500-800 tons, increased to more than 2,000 tons of daily sales (It is reported that at present it has reached 1,000 tons sales), and the other based on C1 data, the eastern region (including Chaozhou, Shantou, Shanwei, Jieyang and Meizhou) the current daily demand of less than 3,000 tons, while according to data projections, occupy the eastern part of Guangdong Kunlun interested in market share of around 70% .
There is no doubt that the move of the local terminal and the other five will enter the market Siam Gas (formerly Caltex terminal) to form the weight. The Kunlun such strong support in Guangdong is its own natural gas resources. It is learned that the oil refinery's water (especially in Dalian and Jinzhou) resources distributed only in the eastern region of Guangdong Kunlun, in addition, with the other terminals in Guangdong Kunlun buy from Qingdao, Zhenhai and the sea air Qinzhou resources.
"We are more than the cost of arrival is 6300-6400 yuan / ton, now upside down to 300-400 yuan / ton, it goes on, we can only reduce the sales of gas tank, wait and see approach Guangdong Kunlun will continue this operation how long. " Frustration that other local terminals.
Pearl River Delta, many traders said the price is too low eastern region, has been the impact on the formation of the Pearl River Delta region, apparently, Guangdong, Kunlun, by definition, less likely to sacrifice the long and the eastern corner, to seize the eastern market in the Pearl River Delta region in the Guangdong market may be the next target, "Of course, when is the" in "prefix companies contended."

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