Canadian Propane Inventories Slumped 13.0% in February, Butane Dips

Canada’s primary underground propane inventories fell 13.0% in February to 395.4 Mcm, the equivalent of 2.5 MMbbl, according to the Canada Energy Regulator (CER). The draw represented a month-to-month loss of 59.3 Mcm. Compared to a year earlier, stocks stood 166.1 Mcm lower, off 29.6%.

Propane storages in the West began March at 243.5 Mcm, which corresponds to 1.5 MMbbl, the agency reported. Volumes declined 23.4 Mcm, or 8.8%, over February and ended 223.9 Mcm, or 47.9%, under last year. Supplies in the East began March at 151.9 Mcm, commensurate with 1.0 MMbbl. That level marked a drop of 26.3 Mcm, or 14.8%, for the month, but a gain of 57.8 Mcm, or 61.4%, for the year.

Canadian butane inventories stood at 282.5 Mcm at February’s close, reflecting a 5.1% draw on stocks that settled 15.1 Mcm lower. A year-over-year comparison showed volumes down 69.1%, or by 632.5 Mcm. Western butane supplies, at 218.3 Mcm, were 10.5%, 20.8 Mcm ahead of the previous year. Eastern butane, at 64.2 Mcm, decreased by 36.0 Mcm, or 35.9%, month over month to stand 165.8 Mcm, or 72.1%, below the prior year.

Recapping the CER report:

SOURCE: The Weekly Propane Newsletter, March 26, 2020. Subscribe to receive the latest posted and spot prices from all major terminals and refineries around the U.S., featuring a center spread of posted prices that includes hundreds of postings completely updated each week, market analysis, insightful commentary and more.)