Weekly Mont Belvieu Propane-Butane Price Review: June 7th, 2024

By Godwin Okoduwa ــ Last Update 09 June 2024

Weekly Mont Belvieu Propane-Butane Price Review: June 7th, 2024

Here's a recap of the LPG price trends for the week, highlighting the average prices for Propane and Butane each day:

31/05/2024: Propane $367.3/ Butane $382.2

03/06/2024: Propane $354.9/ Butane $372

04/06/2024: Propane $350.9/ Butane $367.4

05/06/2024: Propane $353.3/ Butane $368.1

06/06/2024: Propane $363.7/ Butane $377.1

07/06/2024: Propane $367.8/ Butane $381.5

LPG prices retrace

LPG prices retraced by approximately 4%, for both Butane and Propane. Butane prices closed with an average price of 373.2 USD/MT; 4.4% lower than 390.5 of the previous week. Propane closed at an average price of 358.1 USD/MT; 4.6% lower than the previous week's price of 375.4. It is too early to confirm if a bearish trend has come to stay.

Challenges with Crude oil prices persist:

Crude oil prices fought back to manageable levels after dropping to low levels following the announcements of the gradual return of supplies to the market, by Saudi Arabia and Russia. WTI closed at 76.11 USD/barrel, while Brent closed at 80.36; both prices were lower than the previous week's.

Nigeria LPG depot prices struggle persist:

LPG depot prices dipped further to a new low; selling at 15.4 Million naira per 20MT at NIPCO and even lower by marketers; this is despite the relatively high landing cost. Prices seem to be itching towards the 14 Million mark and this can only be possible when Gas processing plants decide to continue to push prices down - the landing cost of LPG from NLNG and import is easily at 16 Million per 20mt.

The USD/Naira exchange rate continues to be unfavorable for the Naira and now sells at 1485 at the official CBN website.

LPG retail prices:

In Lagos, plants are selling at approximately 14,000 per 12.5kg cylinder.

For further inquiries or a detailed analysis of these market developments, please feel free to contact us. Our dedicated team is committed to providing the insights and guidance necessary for navigating the dynamic landscape of the LPG market.