Weekly Mont Belvieu Propane-Butane price review January 10th, 2023
Our assessment for last week's daily Mont Belvieu propane and butane in USD/mt (2.4% down and 9.2% up respectively on the weekly average):
6th February: 420.7; 531.1
7th February: 423.6; 544.4
8th February: 440.9; 584.9
9th February: 449.4; 609.1
10th February: 451.0; 596.5
LPG Butane prices returned to an upward trend this week, closing 12.6% higher than the previous week. The last time Butane was 600 USD/MT was in July 2022.
Butane prices closed at 596.5 USD/MT against a previous week's close of 529.7 USD.
Propane also followed the upward price trend; closing 5.7% higher than the previous week's price. Propane prices closed at 451 USD/MT against a previous week's close of 426.6 USD/MT.
The announcement of supply cuts by Russia to the tune of 500,000 barrels per day in March may be the reason for the upward trend of LPG prices. Russia is retaliating against the EU price cap on Russian oil commodities, which was announced last December.
Local LPG prices in Nigeria
Local prices dropped to as low as 11.5 Million per 20MT at some depots nationwide forcing prices down temporarily. However, by Friday, prices went as high as 12 Million per 20 MT in Apapa.
We expect prices to rise this week, due mainly to increased international prices of LPG and as demand picks up. We may also experience a drop in prices in the week of the election, as the Election approaches and people stay indoors.
LPG retail prices at the LPG plants should remain within the same prevailing levels; between N9,000.00 to 10,000.00 nationwide.