\"Due to heavy rains, hydropower is maximised, so there are some temporary exports of naphtha,\" one of the sources said. It is unclear how long the company will continue to offer naphtha for export as this will depend on the weather, the source added.
Naphtha produced from the domestic refinery is used for power generation in Sri Lanka. The Asian naphtha market recovered slightly from late last week due to strong demand from North Asia, especially China. Although cargoes on a cost-and-freight (C&F) basis were still sold at discounts to Japan quotes, price levels were seen narrowing to about $4 from early this week in South Korea compared to $12 in the week of Nov. 10.