Ethane prices continued their downward spiral the week of Feb. 1, falling  13% in value at Mont Belvieu and 23% at Conway. The largest reason for these price depressions remains scheduled cracker turnarounds, but it expected that these adverse effects are on a short-term basis.

“We believe seasonal cracker turnarounds and softening propane prices in the face of extreme winter demand softness have combined to increase markets, reducing the ethane premium briefly,” Brad Olsen of Tudor, Pickering, Holt said.

Olsen added that the soft winter demand is oversupplying the propane ...