Frac spread margins continued to show improvements this week as natural gas liquids (NGL) prices rose while natural gas feedstock prices continued to fall. Once again the largest gains were posted by lighter NGLs due to stronger heating demand and tighter ethane balances.
The biggest margin improvements were for Conway ethane, which rose 6% from last week, and Conway propane, which rose 3% from the previous week. The largest improvements in margin at Mont Belvieu were for propane and C5+, which both rose 3% from last week.
