Saudi Arabia’s state oil producer Aramco and Algeria’s Sonatrach have cut official selling prices for liquefied petroleum gas in November by 3.2 per cent to 4.0 per cent due to rising global supply and weaker oil prices, traders said.
Saudi Aramco’s November OSP decreased by $20 per metric ton to $475 per ton for propane and by $15 per ton to $460 per ton for butane.
Propane and butane are types of LPG with different boiling points. LPG is mainly used as fuel for cars, heating and as a feedstock for other petrochemicals.
Sonatrach decreased its November OSP for propane by $15 per ton to $455 and left butane at $465 a ton .
Aramco’s OSPs are used as a reference for contracts to supply LPG from the Middle East to the Asia-Pacific region.
Sonatrach’s OSPs are used as benchmarks for the Mediterranean and Black Sea region, including Turkey.
