LPG Prices Cut by Saudi Aramco and Sonatrach for March

LPG Prices Cut by Saudi Aramco and Sonatrach for March

Price Reductions Due to Weak Demand and Lower Oil Prices

Saudi Aramco and Algeria’s Sonatrach have reduced their official selling prices (OSPs) for liquefied petroleum gas (LPG) in March, citing lower global demand and declining oil prices.

Saudi Aramco’s Price Adjustments

• Propane: Reduced by $20 to $615 per metric ton
• Butane: Reduced by $20 to $605 per metric ton

Sonatrach’s Price Adjustments

• Propane: Reduced by $5 to $560 per metric ton
• Butane: Reduced by $15 to $585 per metric ton

Differences Between Propane and Butane

Propane and butane are both types of LPG with different boiling points. They are commonly used as fuel for vehicles and heating, as well as feedstock for petrochemical production.

Market Impact and Regional Influence

• Aramco’s OSPs serve as a reference for LPG supply contracts from the Middle East to the Asia-Pacific region.
• Sonatrach’s OSPs are used as benchmarks for the Mediterranean and Black Sea regions, including Turkey.

Conclusion

The price cuts reflect shifting market conditions and are expected to influence LPG trade dynamics in key regions.

“LPG Prices Cut by Saudi Aramco and Sonatrach for March”