Saudi Aramco cuts official price of liquefied petroleum gas in ‎July from 1-17%‎

Dealers said that Saudi Aramco and the Algerian energy company Sonatrach reduced the official selling prices for the month of July for liquefied petroleum gas by 1-17% compared to June, due to weak demand and abundant global supply.

According to Reuters, Aramco reduced the official selling price for propane in June by $50 to $400 per ton, while butane was reduced by $65 to $735 per ton.

Propane and butane are two types of liquefied petroleum gas with different boiling points.

Liquefied petroleum gas is mainly used as fuel for cars and heating, and as a raw material for the production of other types of petrochemicals.

Sonatrach lowered official selling prices for propane for the month of July by $5 to $400 per ton, and lowered official selling prices for butane by $70 to $335 per ton.

The Aramco official selling price for LPG is used as a reference for supply contracts from the Middle East to the Asia-Pacific region. As for the official selling price of Sonatrach, it is a standard for the Mediterranean, Black Sea and Turkey regions.