Ethane’s price dropped to a 10-month low at Mont Belvieu, Texas, last week but pentanes-plus reached its highest point since October, the month in which it peaked and began a 41% free-fall to less than $1 per gallon (gal).
Ethane inventories on the Gulf Coast were down in December, according to U.S. Energy Information Administration (EIA) data. This was despite, as EnVantage Inc. noted in a report, no increase in ethane cracking demand. The analysts attributed the decrease in stocks to a hike in exports.
Prices will rise for ethane, EnVantage promises, in the second half of the year when a slew of new crackers come online.
