Canadian LPG Stocks – Propane Stocks Remain Seasonally Low; Butane Takes Another Dive

Western Canada’s propane inventories at the end of November (red line and text in left hand chart below) were posted at 6.0 MMbbl, with a less than average decline of 0.4 MMbbl versus October and stand 1.2 MMbbl (-16%) below the five-year average (blue line) according to data from the Canada Energy Regulator (CER). The smaller than average decline in the month likely reflects a combination of stronger production on the back of natural gas output in Western Canada that recovered to a record, while the weather was very mild with the region scoring heating degree days (a measure of how cold were temperatures) that were 12% less than last year and 11% less than the 10- and 30-year averages.