OGJ FOCUS — FOURTH QUARTER 2009, FIRST QUARTER 2010: US, Canadian propane supply, demand reverse YOY declines

Winter 2009-10 in the US was in stark contrast to the previous winter in terms of both propane supply and consumption.Propane supply, heavily curtailed by disruptions from Hurricane Ike in September 2008, was at full rates. Gas plant production, in particular, was the highest since 2001.On the propane demand side, US ethylene feedstock demand, driven by the strong rebound in ethylene industry production after first-quarter 2009, was much stronger than during the previous winter. In additional, colder weather prompted stronger propane sales into space-heating markets.Finally, waterborne exports from Houston Ship Channel terminals set record highs throughout the winter heating season.Feedst...

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