
Propane’s relative value to crude facing upward winter pressure
November 27, 2017 By Mark Rachal and Dale Delay
Propane prices often go through a bit of a slump between the middle of October and the Thanksgiving holiday.
Read MorePropane prices often go through a bit of a slump between the middle of October and the Thanksgiving holiday.
Read MoreRelative to West Texas Intermediate’s crude price, Mont Belvieu is valued at 76 percent, while Conway is valued at 73 percent.
Read MoreRecently, propane prices have not gone beyond 78 to 80 percent of West Texas Intermediate (WTI) crude’s price.
Read MoreWith winter approaching, the most recent data shows petrochemical companies shying away from propane as a feedstock.
Read MoreAs winter approaches, the Midwest, like the rest of the nation, has propane inventory levels that are below the five-year average and well below last year’s.
Read MoreWTI crude is an important metric because it gives propane retailers a way to evaluate the value of the product they sell. The comparison provides needed guidance when managing the price risks associated with propane supply.
Read MorePropane prices have been falling since mid-April as weakening export economics worry traders.
Read MoreThe growth in propane supply has been extraordinary, especially from 2012 to 2015. However, the growth in supply has slowed dramatically.
Read MoreIt’s difficult to pinpoint the cause of the two-day runup in prices that eventually turned into a sharp sell-off. Cost Management Solutions examines the change.
Read MorePropane prices have recently been on a surge. However, those increases in price have been contained to the front month.
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