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Gas Market Report

NORTH WEST EUROPE: Large cargoes: Dormant is one word to describe the present large propane market. However, there are undertones as players try to sort out their December programmes against a background of mild weather and expectations of what looks like a balanced market. Exports out of the area should not have much of an impact on the first half of December as there are still enough cargoes to meet the present demand but if the cold weather appears then we could see people having to pay up to secure tons from the available cargoes presently controlled by a couple of players. This would see present prices of around the high $310s/low $320s take off but without this cold weather then any movement in prices will be consistent with crudes daily fluctuations.

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