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Gas Market Report: 9 July 2009

LPG MARKETS: NORTH WEST EUROPE: Large cargoes: With imports into the area fulfilling the buying requirements of some of the petchem demand and any other petchems being amply supplied already well into August it is not surprising that the propane large cargo value has fallen over the last week in the region of $50, down to today’s levels in the high $440s/low $450s. How much of this is down to the falling crude market and how much to over supply is difficult to determine but it is believed that there are cargoes that need to find homes in July which may struggle, even at these levels. A buoyant TOT market is doing nothing to support the market as bids and offers just follow the trend.

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