World prices

The market value of natural gas Hquids is highly volatile and historically has been weakly related to the world price of cmde oil. During the 1980s, the market value of natural gas Hquids ranged from approximately 60% of the price of cmde to 73% (12). In this 10-year interval, several fluctuations occurred in the natural gas Hquid market. Because of the variabiHty of the natural gas Hquid market, the NGL recovery plants need to have flexibiHty. Natural gas Hquid products compete in the following markets ethane propane a Hquefted petroleum gas (LPG) a C-3/C-4 mix and / -butane all compete as petrochemical feedstocks. Propane and LPG are also used as industrial and domestic fuels, whereas 2-butane and natural gasoline, consisting of C-5 and heavier hydrocarbons, are used as refinery feedstocks. 

Europe, and the rest of the world defended Kuwait and Saudi Arabia in the GtilfWar in 1991. TTowever, as long as the United States or any other eountry is willing to pay the world price for oil, then it can purchase as much oil as it wants. 

The companies experiences with Chemical Leasing are definitely positive. However the implementation of a new basis of payment and agreements on price adjustments due to a fluctuating world price are still considered as problems. 

Export potential, determined by the ability of the national economy to produce goods competitively on the world market and to export them in sufficient volumes at world prices. 

The metallurgy industry requires about 12 reactors for direct iron recovery on the basis of MHR-T with steam methane reforming. Therefore, not less than 150 MHR-T shall be deployed in Russian energy-consuming industries in a medium-term perspective, till 2040-2050 whereby saving over 80 bln.m3 of natural gas. MHR-T-based complexes will increase competitiveness of energy-consuming industries on the world market despite the decision on transition to world prices of natural gas supply to the Russian consumers since 2011. 

Asia dominates the world import market for urea and ammonium phosphates. China and India are particularly large importers and variations in their import requirements have a major impact on world prices. The agricultural and fertilizer sectors of these two countries could be affected by the World Trade Organization (WTO) agreements with China. The agreements will probably have a beneficial effect globally. However, some individual countries and companies may experience adverse effects36. 

Cardamom shared about 60% of the total import value of US 204 million in 2004. World prices fell by 10% on average from US 6.64/kg in 2000 to US 4.30/kg in 2004. Oversupply of cardamom resulting from bumper crops and declining demand in the Arab countries resulted in lower unit... 

Should these projects come to fruition, the Middle East producers will be the lowest cost producers for a wide range of petrochemicals and derivatives. The major portion of the products would be exported to the world markets and so will impact on the world price. This will be a particular concern to most producers in Europe and the Far East with feedstock (naphtha) linked to the prevailing crude oil price. The cracking operations in the Middle East in 2008 are listed in Table 1.5. 

A tightening of China s soybean and rapeseed supplies by mid-2002 created opportunities for vegetable oil imports. Palm oil was the most favorably priced and imports were unfettered by the country s requirements for safety certificates, inspections, and labeling of biotech oilseeds. Therefore, China s importers tried to fill their increased 2002 palm oil TRQ (2.4 million tons) first. Palm oil imports by China rose to 2.0 million tons from 1.6 million in 2000/01. For soybean oil, rising world prices narrowed the differential to China s domestic prices, which limited its import needs. China s soybean oil imports were 375,000 tons in 2001/02, still well below the TRQ but substantially above the 80,000 tons imported the previous year (2). 

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