Heng Yi Petrochemical Received Intensive Research Institutions Optimistic About Polyester Industry

Recently, agencies began to investigate Hengyi petrochemical industry frequently, and in December 2014, 8 batches of agencies studied it. This year, the agency has not relaxed its concern about Hengyi petrochemical. In January, 5 batches of agencies went into Hengyi petrochemical company. In February, 13 batches of companies had conducted research on 5 companies.

For the 2014 performance loss, Heng Yi Petrochemical said that due to the low level of industry boom, the sharp fall in PTA prices, the passive increase of PTA factory start-up load, and the impact of international crude oil price slump on the loss of raw materials and finished products inventory, the company suffered a larger loss in the 4 quarter, resulting in a year-round performance loss.

Hengyi Petrochemical has analyzed the current development of PTA industry. It is believed that there are some favorable factors for the development of PTA industry in 2015, mainly as follows: the contradiction between supply and demand is effectively alleviated; PX The new production capacity will continue to be released significantly, which will further alleviate the bottleneck of PTA raw material supply and help increase the gross profit margin of PTA. If crude oil price stabilizes or the trend rises, it will be beneficial to PTA production and inventory management, and it may further stimulate the growth of downstream demand, thereby enhancing the operating efficiency of PTA. PTA The industry concentration degree is higher, and the industry self-discipline management will be further strengthened.

At the same time, market The company is also interested in the petrochemical project of Pulau Muara Besar (Brunei Darussalam) in Brunei (hereinafter referred to as "PMB petrochemical project").

In the 12 day's research, Heng Yi Petrochemical introduced that at present, the PMB petrochemical project of the company has been approved by the national development and Reform Commission, the Ministry of Commerce and the environmental protection approval of Brunei government, and signed the "crude oil supply agreement", "land lease agreement" and "joint venture agreement". Other works are also being actively promoted in a systematic manner, including specific technical design, engineering planning, business negotiation and project loan financing negotiations.

Judging from the performance of the two tier market, Heng Yi Petrochemical shares began to slow upward trend in June 2014, as of February 16, 2015 closing, the cumulative increase of 61%. For the post market, securities companies have a positive attitude. Guotai Junan believes that the polyester industry will usher in a boom cycle, and the company's performance will improve in 2015-2016 years, giving Heng Yi Petrochemical a rating.

Guotai Junan explained that cotton prices will rebound in 2015-2016 years, thereby opening up the space of polyester filament, and the polyester filament industry chain will usher in a prosperous market. Heng Yi Petrochemical has 1 million 800 thousand tons of polyester filament production capacity first benefited, polyester filament price difference per expansion of 100 yuan, thickening EPS0.12 yuan; in addition, the whole industry chain prosperity market, PTA overcapacity pressure reduced.