Frac Spread Margins Fall as NGL Prices Lose Value

摘要

A week after frac spread margins showed positive gains due to weaker natural gas feedstock prices, margins fell across the board as natural gas prices improved while natural gas liquid (NGL) prices fell at both hubs. The largest drops in margin were again recorded by ethane at both Con-way and Mont Belvieu. The Kansas margin continues to sink into negative status, where it has remained for over nearly a month now. The Texas margin is beginning to approach a point where it will be relatively negative one all factors are considered following this week's 20% decrease in margin.