Energy & Petroleum Products
Naphtha
Naphtha is a refinery product used principally as a petrochemical feedstock and gasoline blending component.
MARKET REFERENCES
How the market commonly references price
There is rarely one universal price for a physical commodity. Commercial value depends on the benchmark, specification, origin, destination, timing and logistics agreed between buyer and seller.
- MOPJ / Platts CFR Japan naphtha
- FOB Singapore naphtha
- FOB Arab Gulf / Fujairah references
TYPICAL COMMERCIAL STRUCTURE
How physical pricing is often built
A common Asia structure is MOPJ (Mean of Platts Japan) over an agreed pricing window ± physical premium/discount. FOB Middle East or Singapore cargoes may be priced against regional naphtha assessments or a freight-adjusted netback.
PRICE DRIVERS
What moves the physical differential?
- Paraffinic quality
- Petrochemical cracker demand
- Gasoline blending demand
- LPG substitution economics
- Freight and arbitrage
PHYSICAL TRADE
Commercial considerations
CFR Japan is a major Asia pricing basis; FOB Middle East and Singapore are also widely used depending on origin.
The examples on this page describe common market conventions at a high level. Actual contracts can use different pricing periods, assessments, quality adjustments, Incoterms and negotiated differentials.
Market methodology reference: view source / methodology
PHYSICAL COMMODITY BROKERAGE
Discuss a Naphtha requirement.
Share the specification, quantity, origin or destination, delivery basis and timing.