A Propane Profile: Wood Mackenzie’s Anne Keller
December 26, 2017 By LP Gas
Energy consultant and researcher Anne Keller wields her “crystal ball” for NGL forecasting.
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Energy consultant and researcher Anne Keller wields her “crystal ball” for NGL forecasting.
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Propane prices often go through a bit of a slump between the middle of October and the Thanksgiving holiday.
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Relative to West Texas Intermediate’s crude price, Mont Belvieu is valued at 76 percent, while Conway is valued at 73 percent.
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The expanded pipeline will have an initial capacity of 110,000 barrels per day. Two new pump stations and pipeline looping will increase the capacity to handle the volume.
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As 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.
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WTI 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.
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Propane prices increased after the Energy Information Administration reported U.S. propane inventory fell 1.377 million barrels for the week ending Sept. 15.
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For the week ending Sept. 1, the U.S. Energy Information Administration (EIA) reported a 6.346-million-barrel build in U.S. propane inventory.
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Propane’s relative value to West Texas Intermediate (WTI) crude, the U.S. benchmark crude, continues to rise.
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Enterprise Products Partners makes progress on restoring service at its major assets impacted by Hurricane Harvey, and reports no major damages in the wake of the storm.
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