CP in November, 2023 : 615 USD/t (+ 7.5 USD from October)
C3 : USD 610 (+ 10) / C4 : 620 (+ 5)
CP prices in November rose slightly compared to September and October. The main factors behind the increase are OPEC+’s voluntary crude oil production cuts, rising LPG demand due to falling temperatures in the Far East, strong demand of LPG in India. Meanwhile, WTI saw tensions in the Middle East due to Hamas’ attacks on Israel, and crude oil market fluctuations. As a result, WTI in October was approximately 3.8 USD lower than the September average.
In the end, the CP price increased by 7.5 USD/t, propane at 610 USD/t, butane at 620 USD/t, and the price difference between propane and butane became 10 USD/t.
Our view on future CP trends is expected to rise in December as well because there are concerns about tighter crude oil supplies and naval blockades due to the expansion of conflicts in the Middle East, considering crude oil production cuts continue in Saudi Arabia and Russia in October, and increasing demand for heating in East Asia.
