Saudi Aramco sets Nov propane CP at $870/mt, butane at $830/mt

Saudi Aramco set its November propane Contract Price at $870/mt, up $70/mt from the October CP, and the butane CP at $830/mt, $35/mt above October, the company said Oct. 31.

This is the sixth-straight monthly rise in the CPs and the highest since the February 2014 propane CP at $970/mt, and since the April 2014 butane CP which was at $845/mt, S&P Global Platts data showed.

The November propane and butane CPs were set above lifters' recommendations.

Term lifters had recommended that the November propane CP be set between $835/mt and $860/mt, and butane about $20/mt below that.

Front-month November Saudi CP propane swaps was valued Oct. 29 at $838/mt, while butane was valued $16/mt below that.

Saudi Aramco had set the November 2020 propane CP at $430/mt and butane CP at $440/mt, Platts data showed.

Aramco's CPs -- which set the price for propane and butane lifted from the Saudi Arabian ports of Yanbu, Ras Tanura and Ju'aymah under term supply contracts -- are closely watched by the market as they tend to set a base for pricing in most markets East of Suez.

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