Saudi Arabia raises LPG prices for September - report

Deutsche Presse Agentur
Published: Monday September 4, 2006

Nicosia- Saudi Aramco and Kuwait Petroleum Corporation raised their September prices for liquid petroleum gas (LPG), lifting propane by 16 dollars a ton to 563 dollars a ton and raising butane by 13 dollars a ton to 560 dollars a ton, the Middle East Economic Survey reported Monday. The Cyprus-based weekly report said the price increase was largely attributable to an increase in crude oil prices that reached new peaks in August, boosting the oil-price-linked factor in the LPG pricing formula.

Spot market activity was quiet in August and while freight prices have declined slightly, Saudi Aramco is expected to have relatively little LPG available for spot sales during September, which will help to keep the market tight.

© 2006 DPA - Deutsche Presse-Agenteur