August 9, 2021 – BPN (Butane Propane News)
Navigating Supply Challenges in a Potentially Difficult Winter Season
By: Pat Thornton
For the past year, Rusty Braziel, founder and executive chairman of RBN Energy (located in Houston, Texas), has correctly warned BPN readers about the challenges presented by the ever-increasing exporting of United States propane. In a blog dated July 7, 2021, “Skyrockets in Flight — Propane Headed Toward Uncharted Territory,” Braziel presented the backstory on how U.S. propane surpluses have eroded in recent years amid modest production growth but near record-high export volumes. Here are some excerpts:
“Fourth of July skyrockets were not the only fireworks earlier this week. The price of propane skyrocketed up to 112 c/gal before the holiday weekend and held at that level through Tuesday, an increase of about 21 c/gal or 23% over the past month alone. To put that in perspective, that’s the highest price for propane since April 2014, back when crude oil was over $100/bbl. Although propane came off a few cents on Wednesday in sympathy with falling crude prices, both Mont Belvieu and Conway propane prices are still almost 135% higher than this time last year.”
Read the full article here: https://bpnews.com/2021-supply2
