Aramco, Sonatrach cut official selling price of liquefied petroleum gas in April

Traders said that Saudi Aramco and Algeria’s Sonatrach reduced official selling prices for liquefied petroleum gas for April by between 0.9% and 3.1% compared to March due to declining demand.

According to Reuters, Aramco reduced the official selling price of propane for April by $15 to $615 per ton, while the official selling price of butane decreased by $20 to reach $620 per ton. Propane and butane are two types of liquefied petroleum gas and have different boiling points.

LPG is mainly used as a fuel for cars, heating, and as a feedstock for other petrochemicals.

Sonatrach reduced the official selling price for April for propane by five dollars per ton to reach $535, and for butane by ten dollars per ton to reach $570.

Aramco’s official selling prices for liquefied petroleum gas are used as a reference for contracts to supply the product from the Middle East to the Asia-Pacific region, while Sonatrach’s official selling prices for liquefied petroleum gas are used as a standard for the Mediterranean, the Black Sea, and Turkey.