International price of oil well seamless steel tube is firm under increasing demand for energy worldwide. The market could keep the trend but a trading firm source sees without major cost change for the tube production, the export price could keep the level.
Japanese export price is around FOB US$ 5,000 per tonne for high grade products including 13% chrome seamless pipe. The price is around US$ 2,000 for middle grade products including heat treated seamless tube with special screw. The price level is slightly higher than a year earlier level. US crude oil price is around US$ 90 per barrel while natural gas price is around US$ 2 per a million British thermal units. The natural gas price has decreased energy month for a year due to oversupply under rush for shale gas development. A trading firm source said shale gas development is slow under the low price level while shale oil development is positive. US rig counts were 1,986 units in mid-May, which were 8.5% higher than a year earlier level. The high level drilling activity supports strong seamless pipe price.Japan Steel Scrap Composite Prices (Sangyo Press)
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