NWE PTA CP to use Mean of Platts PX spot values

Please note that the Northwest European purified terephthalic acid monthly contract price for February will be based on the Mean of Platts spot paraxylene prices, pending the settlement for the region's PX contract price.

On February 3, the PX contract for February was initially settled at Eur 1,232/mt ($1,615/mt) FD Northwest Europe, between producer Shell and consumer Invista but there has yet to be a second settlement agreed at the same level. Typically, the PX contract is not considered to be fully settled until two independent producers and two independent consumers agree on the same level.

In the absence of a full settlement, Platts will use the average of prevailing spot values of PX for the current month.

PTA has a typical PX conversion rate of 0.67 factor. Assuming PX contract price for a particular month increased by $20/mt over the previous month, a typical flat PTA-PX passthrough would be $20/mt X 0.67 = $13.4/mt increase in PTA contract price.

For queries, please contact Michelle Ho at Michelle_Ho@platts.com, Ilana Djelal at Ilana_Djelal@platts.com, or Ismaiyatim Shahrin at Shahrin@platts.com with a Cc to petchems@platts.com.