• Ethane Margins Remain High in Texas

  
  
  Ethane frac spreads remained strong in Mont Belvieu for the second consecutive week, with prices on the NGL increasing at the Texas hub due to capacity constraints on ethane in Kansas.
  - Jun. 4 2008
  

• Ethane Price Differences Highlighted by Frac Margins

  
  
  The large difference in prices for ethane in Mont Belvieu and Conway was reflected in the huge gap in the frac spread margin at each hub. In Texas, ethane recorded an 8% increase from last week while Conway’s margin for ethane was down 15% from last week.
  - May. 28 2008
  

• Butanes Show Best Frac Spread Gains Last Week

  
  
  Ethane values have failed to sustain themselves this year, and the margin on the ethane frac spread was down another 22% at Conway last week, and 16% at Mont Belvieu. It’s not so bad for the other NGLs. The propane frac was off 1% at most. The frac spread margin at Conway for the two butanes was up 4%. At Mont Belvieu, they both were up 7%.
  - May. 21 2008
  

• Frac Spread Margins Rebound from Last Week

  
  
  Feedstock prices held firm in Mont Belvieu and dropped in Conway, which saw frac spread margins improve greatly from last week’s large drop offs. Feedstock prices 5% in Kansas and rose about 1% in Texas.The frac spreads that improved the most were ethane, which rose 22% in Kansas and 16% in Texas, and butane, which rose 19% in Kansas and 8% in Texas.
  - May. 14 2008
  

• Gas in Storage Gets Largest Injection Since July

  
  
  Frac spread margins were largely down this week, with the margin for ethane at Conway being one notable exception as it was up 28% from last week. However, the frac spread was down 9% in Mont Belvieu on the NGL.Iso-butane was the only other NGL to have an increase in its frac spread margin from last week, as it was up 5% in Conway. It was the polar opposite in Texas, as it was down 5%.
  - May. 7 2008
  

• Ethane Frac Spread Margins Crash

  
  
  Frac spreads on most NGLs fell this week despite prices remaining strong. The drop in frac spread margins was due to the continued rise of feedstock prices, which rose 5% in Kansas and 4% in Texas.
  - Apr. 30 2008
  

• Natural Gas Prices May Remain High Through Summer

  
  
  After a relatively quiet week as far as increases in frac spread margins last week, frac spreads rose an average of 8% with all but ethane recording increases.Once again ethane’s margin was down in Mont Belvieu, dropping 10%. Ethane did record a 9% increase in Conway.
  - Apr. 23 2008
  

• Ethane Fracs Fall Hard

  
  
  Ethane frac spread margins experienced a large drop from last week’s levels – 16% in Mont Belvieu and 28% in Conway. The drop coincided with the NGL’s price drop this week (see box score).Iso-butane and butane’s margins had a healthy 4% and 3% jump, respectively, in Texas this week. The increase also coincided with the price increase each experienced at Mont Belvieu.
  - Apr. 16 2008
  

• Ethane and Propane Margins Increase

  
  
  A sizeable decline in feedstock prices resulted in large gains for the frac spread margins on ethane and propane. Ethane’s margin jumped 13% in Conway and 5% in Mont Belvieu, while the margin for propane rose 10% in Kansas and 8% in Texas.
  - Apr. 9 2008
  

• Frac Spread Margins Drop with Heavy Feedstock Price Increases

  
  
  Significant increases in feedstock prices saw frac spread margins drop across the board. The NGL affected the most was ethane, which saw its margin fall 15% in Conway and 13% in Mont Belvieu.Iso-butane also experienced heavy drops in the frac spread margin – as prices fell 15% in Texas and 10% in Kansas from last week. Butane told a similar tale, as its margins fell 12% in Mont Belvieu and 7% in Conway.
  - Apr. 2 2008
  

• Mont Belvieu Margins Outperform Conway Margins

  
  
  Frac spreads in Mont Belvieu benefited from a drop in feedstock prices. Ethane and iso-butane both saw margins rise 3% at the hub. In Conway, the margin for iso-butane rose 5%, but ethane’s frac spread margin dropped 1%.
  - Mar. 26 2008
  

• Ethane’s Frac Spread Margin Rises 22% in Two Weeks in Conway

  
  
  After many frac spreads dropped the previous week, most jumped back up in price this week as feedstock prices held firm.Ethane continued to perform well in Conway, where the frac spread margin rose 14%. The margin has risen 22% in the past two weeks in Kansas. However, it was down very slightly in Mont Belvieu.
  - Mar. 19 2008
  

• A Tale of Two Margins for Ethane

  
  
  Frac spread margins dropped in most cases due to a sizeable increase in feedstock prices, which rose 5% in Conway and 6% in Mont Belvieu.
  - Mar. 12 2008
  

• Propane Highlights Frac Spread Increases

  
  
  An apparent shortage of wet barrels of propane in Canada drove the margin sky high this week on propane. The frac spread was up 11% in Mont Belvieu and an outstanding 34% in Conway.
  - Feb. 27 2008
  

• Frac Spreads Up Again

  
  
  A 6% gain in natural gas prices over the last week failed to put a dent in the frac spreads at Conway and Mont Belvieu. Frac spreads on a per barrel basis were up about 3.5%. Fractionating still produces margins of $7/mmBtu for the barrel.Butane and iso-butane had slightly lower frac spreads, but this was offset by gains in ethane and natural gasoline.
  - Feb. 20 2008
  

Frac Spread Sample Data: Login Or Subscribe To See Current Prices

Aug 14, 2011
Ethane	55.52		82.33
Shrink	27.85		28.18
Margin	27.67	1.78%	54.15	5.59%
Propane	143.92		155.66
Shrink	38.47		38.93
Margin	105.45	1.45%	116.73	3.56%
Normal Butane	168.84		193.08
Shrink	43.55		44.07
Margin	125.29	0.07%	149.01	3.51%
Isobutane	196.00		210.25
Shrink	41.83		42.33
Margin	154.17	-1.69%	167.92	0.61%
Pentane+	222.23		245.92
Shrink	46.58		47.13
Margin	175.65	-1.78%	198.79	-0.63%
NGL ($/Bbl)	55.41	-0.71%	63.64	1.03%
Shrink	15.34		15.53
Margin	40.07	-0.08%	48.11	2.39%
Gas ($/mmBtu)	4.20	-2.33%	4.25	-2.97%
Gross Bbl Margin (in cents/gal)	92.34	0.05%	112.41	2.53%
NGL Value in $/mmBtu
Ethane	3.06	-0.32%	4.53	2.50%
Propane	5.00	0.41%	5.40	1.85%
Normal Butane	1.82	-0.56%	2.09	1.93%
Iso-Butane	1.22	-1.82%	1.31	-0.13%
Pentane+	2.87	-1.89%	3.17	-1.09%
Total Bbl Val.	13.96	-0.55%	16.50	1.30%
Margin	9.76	0.23%	12.25	2.87%