Saudi Aramco has raised the March contract prices for its liquefied petroleum gas (LPG) sold to Asia, Reuters has reported.
LPG, also known as propane, will be sold to Asian buyers at a rate of $500 a tonne – $50 increase from the month before.Â
Meanwhile, this month’s contract price for butane has been lowered to $460 a tonne, $20 down from February levels.
Saudi Arabia’s LPG exports are expected to decline this year to 6.6mn mil mt from 6.8 mil mt the year before, news website Platts reported in February.
Exports will be steady but down from the year before as rising demand from domestic petrochemical plants is countered by increasing production from oilfield upgrades, the report said.
Overall Middle East LPG term supplies for 2015 have been lowered, with a number of trading firms canceling their contracts or reducing volumes, Platts said.
LPG sales were down from a peak of 12mn mt in 2005 to 7.7mn mt/year in 2011 and 2012 and 7mn mt in 2013, it added.
