August 2010 Frac Spread: Conway Ethane Margins Return to Profitability

摘要

(Note: This is not this week's frac spread.) Overall, August was a stronger month for natural gas processors than was July. The biggest plus for the natural gas liquids (NGL) market in the month was the return to profitability of Conway eth-ane coupled with the strong increase in margin for Mont Belvieu ethane. Kansas ethane grew from a technically profitable 2￠ per gallon (/gal) margin at the start of the month and finished at true profitable status of 12￠/gal, a 416% improvement in margin. Texas ethane also gained strength in its margin this past month as it rose 46%, to 22￠/gal.