JIANGYIN SUNPING NEW MATERIAL CO., LTD

Weekly oil data from the US Energy Information Administration and the American Petroleum

Institute should show a build of about 1.8 million barrels in US commercial crude stocks for the

reporting week ended Friday, analysts polled by Platts said Monday.

API is scheduled to release its weekly data at 4:30 pm EDT (2030 GMT) Tuesday. EIA's weekly

oil statistics will be released at 10:30 am EDT (1430 GMT) Wednesday. The ongoing movement

of crude stocks out of the Strategic Petroleum Reserve into commercial inventories will keep the

stock-building trend intact. Contributing to the stock build will be a decline in refinery utilization

rates. Analysts expect refinery utilization to decrease 0.8 percentage points to 88.5%, based on

EIA numbers for the previous week. Gasoline stocks are expected to decline 1.2 million barrels.

With refiners switching to a higher yield for distillates over the past several reports and a

continued low level of imports, inventories are expected to drop. Inventories of middle distillates

are expected by analysts to build 1.2 million barrels.

High output at a time of year when demand is low should cause distillate inventories to build.

Stock-building has been modest, but there is still another two months before demand should

start to ramp up.

The European Commission has published in the Official Journal amendments to the EU

Regulation concerning the export and import of dangerous chemicals to take into account recent

changes in plant protection, biocidal and REACH legislation.

The update adds the pesticide substances ethalfluralin, indolylacetic acid, thio­bencarb,

guazatine and 1,3-dichloropropene to the list of chemicals included in the Rotterdam

Convention's Prior Informed Consent (PIC) procedure and removes the substance haloxyfop-P

from the list.

These changes will apply from 1 October 2011.

Turkey's domestic producer Petkim is currently offering LDPE and homo-PP at prices close to par

after the company’s PP prices had traded with a large premium above LDPE from late June to

mid-August.

The company’s LDPE prices had traded with a premium above its PP prices for the entirety of

2010 as well as the first few months of 2011, until PP prices surpassed the LDPE level. Petkim's

LDPE film traded at a premium against the company’s homo-PP for the entirety of 2010, with

size of the premium fluctuating between $50-215/ton. This trend continued in January and

February of 2011, with Petkim’s LDPE prices maintaining a premium of around $100-160/ton

over the company’s PP prices. The premium between LDPE and homo-PP fell below $100/ton

at the start of March and homo-PP prices had gained a small premium over LDPE by the end of

the month. Homo-PP prices maintained a thin premium of $10-35/ton for the next three months

before the premium on Petkim’s homo-PP prices expanded to around $40-65/ton from the

start of July until the middle of August before LDPE prices regained some of their lost ground

against homo-PP.

The two products have been trading close to par for the past month. The producer lowered its

prices for both LDPE and homo-PP by $40/ton this week, keeping the two products roughly at

par for another week.

LONDON-Copolymer polypropylene (PP) prices in eastern and western regions of Africa have

fallen by an average of 6-7% in October, mainly because of an influx of low-priced South Korean

offers, industry sources said on Wednesday.

South Korea has been the biggest source of relatively cheap copolymer PP grade in October,

according to regular distributors of Middle East and Asian imports into Africa. The increase in

imports has mostly been in eastern and western Africa as the Asian producers have strong

distribution channels in both regions. This is supported by fresh data published by the Korea

International Trade Association (KITA), which show that South Korean exports of PP increased

by 33.14% year on year to 74,726 tonnes in September. Although precise volumes into Africa

remain hard to gauge, supply levels from South Korea have traditionally moved in line with price

movements in the Asian producers’ key buyer market of China.

The producers are said to have increased their supply into Africa following the persistently

pessimistic buying sentiment in China. Offers from the country stand at $1,500/tonne

(€1,080/tonne) CFR (cost and freight) eastern and western Africa, according to industry

sources. In contrast, copolymer PP import prices from Middle East producers into northern Africa

– a region where South Korean imports are relatively low and are at higher levels of

$1,560/tonne - have fallen only by around 4%.

Despite the reductions in price offers, there is slow uptake of the product. African buyers said

they are waiting to see whether prices in China would continue to fall, in which case offers from

Asian producers are likely to decrease again. Many industry sources said they were bemused at

the lower South Korean offers into the African spot market over the last few weeks, with some

saying the gap between import offers into Chinese and African markets are closing

“abnormally”. "If I were Samsung, I would try to sell into China, and not sell it to Africa by

cutting down on netback," said a PP distributor into western Africa. “Why sell to Nigeria when

the freight is $110-120. It is only $40 to China,” the source added. A PP producer based in the

Middle East said: "[It is a case of] supply exceeding demand. Koreans are offering even in Egypt

at very competitive prices, putting pressure. I can't explain that, the market is under pressure,

and suppliers are under pressure just to release the inventory."

The lower South Korean offers have also contributed to a narrowing gap between the normally

less expensive homopolymer raffia PP grade and copolymer PP grade. The lower import offers

are also supported by a sharp reduction in feedstock propylene prices in Asia. Spot propylene

prices declined by $60-90/tonne to stand at $1,270-1,320/tonne FOB (free on board) Korea the

week ending 21 October, according to ICIS. ($1 = €0.72)

The EPS Building energy efficiency and Safety Fireproofing Seminar will be held on December 2,

2011 in Beijing. It is aimed at improving the exchange and communication among the

government, industry administration and enterprises. Also the seminar will talk about the

development and technology application of the energy saving material EPS at home and

abroad.

The main content of the seminar:

1. Current situation of the building energy saving and fireproof safety
2. Current standard specification, policy and statute on the fields of building external insulation energy conversation
3. Word building envelope energy saving technology of green building development
4. Building external insulation technology and mature EPS mterial application analysis
5. Technological innovation, upgrade industries and industry autonomy of EPS insulation and energy saving.
6. Solve the contradiction between the EPS external insulation energy saving and fireproof on the view of technology.
7. Oversea building external wall insulation energy saving technology development and applocation condition
8. Top building fireproof design specifications
9. Introduction of insulation material firproof safety experience of Jilin province
10. What new rule the upcoming New standard will do to the use of EPS