Our assessment for last week daily Mont Belvieu propane and butane in USD/MT (2% and 2.1% down respectively on weekly average):
8th November: 721.1; 720.8
9th November: 741.1; 735.4
10th November: 729.1; 728.2
11th November: 698.5; 699.9
12th November: 660.0; 679.2
LPG Butane (Mont Belvieu) prices closed below 700 USD closing at 679.2 USD/MT , from 717.3 USD/MT in the previous week. This is the first time since the 1st of October Butane prices is going below 700USD – the market has retraced by about 10% since reaching a peak of 758 USD /MT on the 18th of October . We may indeed be looking at an unprecedented retracement to sub – 600 USD range which is saves the industry from further pressures as we drift into Winter.
This price drop may be an indication of more gas in the market as suggested last week.
Interestingly, Propane also closed at 660USD , lower than the previous week close of 712.8 USD/MT.
On the local side, depots prices sold lower at 11 Million Naira briefly when NLNG cargo hit 11 PLC depot but went back to 11.5 Million Naira when the vessel left. Prices remained in the 11.6 Million range with skeletal LPG sales in the South- South region. Prices are expected to remain high despite the reduction in international prices due to the unfavorable Naira / USD exchange rate. We expect reduction in prices when prices goes lower than the 600 USD mark. As long as the Naira remains at the present levels , we don’t see further increase in local prices.
Retail prices for cooking gas remains high and reports from our followers on Facebook suggests Retail prices in the range of N8400 to N9,000 range per 12.5kg in locations nationwide.
