The EIA reported a 2.3M/bbl draw in propane stocks for the week ending 3/9/2018. This put national propane inventories at 38.8M/bbls, which surpasses the 39.7M/bbl low point we hit coming out of last season.
Exports were higher this week, at 809,000/bpd vs the 668,000/bpd level from one week ago, which accounts for the increase in the draw. Propane production was up slightly.
The Mt Belvieu trading market has seen a strong run up in the past 36 hours or so, with the Far East arb widening, which could support stronger export numbers in the coming weeks. There are more buyers than sellers right now, but the trading volume is not significant and is having an amplified effect on the markets.
More later this week, as I am on the road traveling at this time. If you are in Indianapolis for the MPACT event, drop me a line and we can try to connect. email: jon.miller@nglep dot com