Gas Prices Drop, Help Drive NGL Margins Up
Although the natural gas market remains oversupplied, it has been gaining strength this year as electric generation demand is expected to continue to grow in the years ahead.
Ethane Margins Crash Despite Price Improvements
There was a notable increase in commodity prices this week on the back of an improved economic outlook as markets adjusted to the news that the government shutdown was coming to a close.
NGL Prices Improve Despite Shutdown
The U.S. government shutdown hasn’t had much of an impact on commodity prices thus far, although the industry will soon be forced to base some of its market movements on analyst forecasts and outlooks other than hard data from the government.
Future Propane Prices Look Bright
NGL prices were a mixed bag once again as demand drivers for multiple products have yet to kick in. Once they do propane prices should experience solid increases.
Shoulder Season Causing Price Lulls
Commodity prices took a downturn this past week, which had the added effect of improving the majority of frac spread margins for natural gas liquids (NGL). For the most part, light NGLs were outperformed by their heavy counterparts.
Static NGL Prices Expected To Change As New Infrastructure Brought Online
Natural gas prices improved as the EIA announced an inventory report that was lower than expected. This ran counter to crude prices, which trended down, and NGL prices, which were static.
NGL Markets Begin To Heat Up As Winter Approaches
There was an upswing in commodity prices as the summer drew to a close due to a combination of cooling demand and refining demand.
NGL Prices Follow Crude Down As Geopolitical Fears Lessen
NGL prices took a sharp downturn this week at both Mont Belvieu and Conway, following the drop in WTI crude prices as fears over a U.S. attack against Syria lessened. This followed last week’s strong growth.
Propane Prices Hit Yearly Highs
Following the unofficial end of summer with the Labor Day holiday, the NGLmarkets seemed to return to their usual order as Mont Belvieu prices were greater than their Conway counterparts across the board for the first time in nearly three months.
NGL Prices Benefitting From Increased Demand
The unexpected outages of six ethane crackers didn’t seem to have much of an impact on prices. It appears that the market decided that the outages would not have a tangible, long-term impact on demand.