Crude drilling slowdown could support propane prices
July 30, 2018 By Mark Rachal and Dale Delay
Last week, U.S. crude production hit 11 million barrels per day for the first time ever.
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Last week, U.S. crude production hit 11 million barrels per day for the first time ever.
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Dale Delay, president of Cost Management Solutions, will be the featured speaker at this year’s LP Gas Growth Summit. Delay has more than 25 years of experience in the oil and propane industry.
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In 2017, Mont Belvieu averaged a higher price than Conway by 4.52 cents. That 4.5-cent spread is maintained because of the oversupply in the Midwest, Cost Management Solutions says.
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An increase in natural gas production has caused a significant increase in propane supply from natural gas processing operations.
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For the foreseeable future, it appears Conway is going to be overwhelmed by supply.
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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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Christopher Caywood, co-owner of Caywood Propane Gas, gives retailers tips for choosing the right customer management system software.
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U.S. propane production is much higher than domestic propane demand, leaving propane exports to play the role of balancing U.S. supply with demand.
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Propane prices saw a significant change in April. Get more details on this shift.
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This year, domestic demand has remained high due to a long winter heating season, when compared to recent winters.
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