There was regional divergence in the diesel market in January. While the EU saw stronger diesel prices and refining margins due to new sanctions on product refined from Russian crude that changed expectations of supply, the diesel futures curve became tighter, and cargo premiums increased. There were also concerns about diesel that is being redirected away from northwestern Europe, putting pressure on diesel supply availability in the short term. Cold weather forecasted for the US and subsequent seasonal demand helped also raise European sentiment. In the US, however, supply was strong with high inventories and decreasing export demand due to increased domestic refining by Mexico. Short-term heating demand provided some bullish support but could not outweigh bearish fundamentals, leading to lower US diesel prices for the month.
Selenis has effectively manufactured recycled PET chips using terephthalic acid sourced from Circ®, a textile-to-textile recycler based in Virginia. The chip production took place through a series of batches at Selenis' pilot plant in San-Giorgio, Italy. By utilizing inputs recovered from polycotton textile waste, Selenis has created high-quality PET chip, which has been further processed into DTY yarn. This yarn will play a crucial role in product development as Circ prepares for additional capsule launches. Selenis is leveraging the success of this initial collaboration phase and is committed to advancing towards an offtake partnership to support Circ's inaugural industrial facility.
Eduardo Santos, Head of Corporate Strategy at Selenis, remarked that the monomer synthesis showed a performance comparable to virgin terephthalic acid. He expressed optimism about the consistent quality of Circ's monomer output and anticipated future commercial success. Santos pointed out that the Circ partnership complements Selenis's existing mission and goals for a more sustainable textile industry. He further stated their anticipation of expanding upon this collaboration and providing support for Circ's forthcoming commercial production trials.
