Petrogas

Big increases in LPG (propane and butane) exports are planned for the west coast.  In March (2014) Petrogas purchased the Ferndale, WA terminal from Chevron – the only existing west coast LPG terminal.  Then in April, Sage Midstream announced that the company is developing another LPG terminal about 200 miles south at the Port of Longview, WA.    Both terminals are primarily targeting propane exports, not the export of butane that has been the mainstay of Ferndale for decades.  What is the logic behind these deals?  What needs to happen to make them work?  Today in this second part of our series on the new west coast LPG game, we take a closer look at these two facilities, including their potential supply and market destinations.