Latest news with #SatelliteChemical
Reuters
26-06-2025
- Business
- Reuters
Exclusive: Satellite Chemical, Vinmar get US govt letters preventing ethane unloading in China
HOUSTON, June 26 (Reuters) - Ethane traders Satellite Chemical USA and Vinmar International have received U.S. government letters allowing them to load ethane on vessels destined for China but prohibiting unloading ethane in China without authorization, sources familiar with the matter said. The letters received Wednesday from the U.S. Department of Commerce follow a licensing requirement imposed several weeks ago on ethane exports to China, stalling shipments and leading vessels to drift or anchor around the U.S. Gulf Coast. The letter could be perceived as the administration preparing to lift the restriction, industry sources and analysts said. Even so, there would likely still be some reluctance to load ethane - which is extracted from U.S. shale gas and primarily used as a petrochemical feedstock - as China-bound vessels could be stuck in limbo depending on how long the full-path restriction plays out, said AJ O'Donnell, an analyst at Tudor Pickering Holt & Co. The U.S. also sent similar letters to Enterprise Products Partners (EPD.N), opens new tab and Energy Transfer (ET.N), opens new tab on Wednesday, Reuters reported exclusively. China's Satellite Chemical Co Ltd ( opens new tab, the parent of Satellite Chemical USA, and Vinmar declined to comment. Around half of all U.S. ethane exports head to China, and the halt in flows has pushed ethane prices lower on worries of domestic oversupply. The restrictions are likely to cut into profits of top ethane producers. Supertanker Gas Bluebonnet loaded for China's Satellite Chemicals at Energy Transfer's Nederland facility in Texas on June 12 and was near the Panama Canal on Thursday, ship tracking data on LSEG and Kpler showed. At least nine other tankers were drifting or anchored along the U.S. Gulf, while two were moored at loading docks. In the near term, export terminal operators such as Energy Transfer and Enterprise could benefit as they can push their buyers to load at the docks, industry sources said. Still, Enterprises Morgan Point dock near Houston could see lower volumes as a result of the ethane restrictions, Tudor Pickering Holt & Co's O'Donnell said. Chinese petrochemical firms use ethane, extracted from natural gas, as a feedstock because it is a cheaper alternative than naphtha, while U.S. oil and gas producers need China to buy their natural gas liquids as domestic supply exceeds demand.
Yahoo
26-06-2025
- Business
- Yahoo
Exclusive-Satellite Chemical, Vinmar get US govt letters preventing ethane unloading in China
By Arathy Somasekhar HOUSTON (Reuters) -Ethane traders Satellite Chemical USA and Vinmar International have received U.S. government letters allowing them to load ethane on vessels destined for China but prohibiting unloading ethane in China without authorization, sources familiar with the matter said. The letters received Wednesday from the U.S. Department of Commerce follow a licensing requirement imposed several weeks ago on ethane exports to China, stalling shipments and leading vessels to drift or anchor around the U.S. Gulf Coast. The letter could be perceived as the administration preparing to lift the restriction, industry sources and analysts said. Even so, there would likely still be some reluctance to load ethane - which is extracted from U.S. shale gas and primarily used as a petrochemical feedstock - as China-bound vessels could be stuck in limbo depending on how long the full-path restriction plays out, said AJ O'Donnell, an analyst at Tudor Pickering Holt & Co. The U.S. also sent similar letters to Enterprise Products Partners and Energy Transfer on Wednesday, Reuters reported exclusively. China's Satellite Chemical Co Ltd, the parent of Satellite Chemical USA, and Vinmar declined to comment. Around half of all U.S. ethane exports head to China, and the halt in flows has pushed ethane prices lower on worries of domestic oversupply. The restrictions are likely to cut into profits of top ethane producers. Supertanker Gas Bluebonnet loaded for China's Satellite Chemicals at Energy Transfer's Nederland facility in Texas on June 12 and was near the Panama Canal on Thursday, ship tracking data on LSEG and Kpler showed. At least nine other tankers were drifting or anchored along the U.S. Gulf, while two were moored at loading docks. In the near term, export terminal operators such as Energy Transfer and Enterprise could benefit as they can push their buyers to load at the docks, industry sources said. Still, Enterprises Morgan Point dock near Houston could see lower volumes as a result of the ethane restrictions, Tudor Pickering Holt & Co's O'Donnell said. Chinese petrochemical firms use ethane, extracted from natural gas, as a feedstock because it is a cheaper alternative than naphtha, while U.S. oil and gas producers need China to buy their natural gas liquids as domestic supply exceeds demand.
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Business Standard
11-06-2025
- Business
- Business Standard
US-loaded ethane vessel heads to India after China export curbs
An ethane tanker that loaded in the United States headed to India on Wednesday, ship tracking data showed, after Washington required US exporters to seek licenses to ship the shale gas to top buyer China. Around half of all US ethane exports head to China, where it is used by the petrochemical industry. The vessel's change in destination underscores how the fallout from trade tensions between the United States and China is shifting ethane flows. Liberia-flagged STL Qianjiang, which loaded at Energy Transfer's Nederland terminal for China's Satellite Chemical , signaled Dahej, a port on the West Coast of India, as its destination, according to LSEG and Kpler ship tracking data. The final buyer of the cargo is India's Reliance Industries, Kpler data showed, citing the vessel's bill of lading. The ship has traversed only between the United States and Satellite Chemical's Lianyungang petrochemical facility since July 2022, according to historic data on Kpler. Energy Transfer, Satellite Chemical and Reliance did not immediately reply to a request for a comment. Energy Transfer and Enterprise Products Partners, two of the top US ethane producers and exporters, said they have received letters from the US Commerce Department requiring the companies to apply for a license to ship ethane to China. Enterprise said it also received a notice from the US government of its intent to deny emergency requests for three proposed export cargoes of ethane totaling around 2.2 million barrels to China. Chinese petrochemical firms use ethane as a feedstock because it is a cheaper alternative than naphtha, while US oil and gas producers need China to buy their natural gas liquids as domestic supply exceeds demand.
Yahoo
11-06-2025
- Business
- Yahoo
US-loaded ethane vessel heads to India after China export curbs
By Arathy Somasekhar HOUSTON (Reuters) -An ethane tanker that loaded in the United States headed to India on Wednesday, ship tracking data showed, after Washington required U.S. exporters to seek licenses to ship the shale gas to top buyer China. Around half of all U.S. ethane exports head to China, where it is used by the petrochemical industry. The vessel's change in destination underscores how the fallout from trade tensions between the United States and China is shifting ethane flows. Liberia-flagged STL Qianjiang, which loaded at Energy Transfer's Nederland terminal for China's Satellite Chemical , signaled Dahej, a port on the West Coast of India, as its destination, according to LSEG and Kpler ship tracking data. The final buyer of the cargo is India's Reliance Industries, Kpler data showed, citing the vessel's bill of lading. The ship has traversed only between the United States and Satellite Chemical's Lianyungang petrochemical facility since July 2022, according to historic data on Kpler. Energy Transfer, Satellite Chemical and Reliance did not immediately reply to a request for a comment. Energy Transfer and Enterprise Products Partners, two of the top U.S. ethane producers and exporters, said they have received letters from the U.S. Commerce Department requiring the companies to apply for a license to ship ethane to China. Enterprise said it also received a notice from the U.S. government of its intent to deny emergency requests for three proposed export cargoes of ethane totaling around 2.2 million barrels to China. Chinese petrochemical firms use ethane as a feedstock because it is a cheaper alternative than naphtha, while U.S. oil and gas producers need China to buy their natural gas liquids as domestic supply exceeds demand. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
11-06-2025
- Business
- Reuters
US-loaded ethane vessel heads to India after China export curbs
HOUSTON, June 11 (Reuters) - An ethane tanker that loaded in the United States headed to India on Wednesday, ship tracking data showed, after Washington required U.S. exporters to seek licenses to ship the shale gas to top buyer China. Around half of all U.S. ethane exports head to China, where it is used by the petrochemical industry. The vessel's change in destination underscores how the fallout from trade tensions between the United States and China is shifting ethane flows. Liberia-flagged STL Qianjiang, which loaded at Energy Transfer's (ET.N), opens new tab Nederland terminal for China's Satellite Chemical ( opens new tab, signaled Dahej, a port on the West Coast of India, as its destination, according to LSEG and Kpler ship tracking data. The final buyer of the cargo is India's Reliance Industries ( opens new tab, Kpler data showed, citing the vessel's bill of lading. The ship has traversed only between the United States and Satellite Chemical's Lianyungang petrochemical facility since July 2022, according to historic data on Kpler. Energy Transfer, Satellite Chemical and Reliance did not immediately reply to a request for a comment. Energy Transfer and Enterprise Products Partners (EPD.N), opens new tab, two of the top U.S. ethane producers and exporters, said they have received letters from the U.S. Commerce Department requiring the companies to apply for a license to ship ethane to China. Enterprise said it also received a notice from the U.S. government of its intent to deny emergency requests for three proposed export cargoes of ethane totaling around 2.2 million barrels to China. Chinese petrochemical firms use ethane as a feedstock because it is a cheaper alternative than naphtha, while U.S. oil and gas producers need China to buy their natural gas liquids as domestic supply exceeds demand.
