Winter preview: Disruptive conditions persist
November 16, 2021 By James Guyette
This winter, propane companies are planning ahead to ease fears of price spikes and supply shortages, among other factors.
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This winter, propane companies are planning ahead to ease fears of price spikes and supply shortages, among other factors.
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Despite high inventory levels at the propane trading hubs currently, we remain concerned about the potential for local market supply shortages during high winter demand periods.
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Mark Rachal looks at the relationship between propane and crude, and what to expect going forward based on that relationship.
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In addition to crude’s collapse, Rachal discusses the propane pricing and supply environment. COVID-19 will have a greater impact on propane supply than it will on propane demand, he says.
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The price of crude has rebounded a little since, but the potential for it to go lower is still present due to demand destruction from COVID-19 and producers not cooperating to limit production.
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In this week’s Trader’s Corner, we are going to take a closer look at U.S. propane production. Quite simply, too much production has been the reason that propane prices are under 40 cents at the hubs and near modern-day lows in relative value to WTI crude.
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In this issue of Trader’s Corner, Cost Management Solutions takes a look at how and why propane prices rebounded from January 2016 through October 2018.
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In our monthly print and digital editions of LP Gas magazine, we feature a section that highlights the…
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Marty Lerum of Propane Resources provides his thoughts on how propane retailers should respond to customers’ questions about supply and pricing.
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The pricing pattern for March and May turned out to be very similar, but April was a little different.
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