Saudi Aramco Cuts LPG OSPs for Oct, Algeria's Sonatrach Raises Prices

Saudi Arabia's state oil producer Aramco has cut its official selling prices (OSPs) for liquefied petroleum gas in October by 3.1% to 4.8%, while Algeria's Sonatrach raised its LPG price by 4.4% to 9.4% due to stronger demand, traders said.

Saudi Aramco's October OSP decreased by US$25 per metric ton to US$495 per ton for propane and by US$15 per ton to US$475 per ton for butane.

Propane and butane are types of LPG with different boiling points.

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

Sonatrach increased its October OSP for propane by US$20 per ton to US$470 and for butane by US$40 per ton to US$465 .

Aramco's OSPs for LPG are used as a reference for contracts to supply LPG from the Middle East to the Asia-Pacific region.

Sonatrach's OSPs are used as benchmarks for the Mediterranean and Black Sea region, including Turkey.