Saudi Aramco & Algerian Sonatrach Cut LPG Prices for July

Saudi Arabia's state oil producer Saudi Aramco ​has ⁠cut official selling prices for liquefied ‌petroleum gas by between 24% and 27% ​in July, while Algeria's Sonatrach lowered the ​price between 2% ​and 10% due to higher supply on the global markets, ⁠traders said on Wednesday.

Saudi Aramco's July OSPs decreased by $180 per metric ton to $580 a ton for ​propane ‌and by $220 a ⁠ton ⁠to $600 per ton for butane.

Propane and butane are ​types of LPG ‌with different boiling points. LPG ⁠is mainly used as fuel for cars, heating and as a feedstock for other petrochemicals.

Sonatrach decreased its July propane OSP by $57 a ton to $518 and for butane by $10 a ton to $600 .

Saudi Aramco's ‌OSPs 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.