Gradual Recovery in Coal-based MEG Production

Though slower than conventional units, coal-based MEG facilities are gradually ramping up. Tanye restarted production last week, reaching over 90% capacity, and expects full operational status soon. Several other facilities (Shanxi Meijin, Yuneng Chemical, Xinjiang Zhongkun, Guangxi Huayi) are also expected to resume by late November or December. This

will improve syngas-based MEG supply. Offtake of MEG cargoes at East China ports should ease by late November with rising syngas-based MEG supply, although Xinjiang's rail shipments are now moving more smoothly, with volumes in November markedly improved over October.