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IHS Market Warns Of “Armageddon” For US Propane Market
Zubu Brothers ^ | 10-19-2021

Posted on 10/19/2021 5:54:13 PM PDT by blam

The expanding energy crisis is causing propane to rocket higher (read: here) as supplies dwindle to below seasonal levels as research firm IHS Markit Ltd. warns of “armageddon” during the Northern Hemisphere winter.

IHS analyst Edgar Ang told attendees during a virtual presentation on Tuesday that US propane inventories are at a record low and will be extremely tight as cold weather is ahead. Mean temperatures in the Lower US 48 are expected to dip into the 60-55F range through the end of this month.

Heating degree days are set to soar by month end, suggesting the heating season has already begun.

Ang said 1Q22 prices are already above later-dated supplies that “it may indicate players are preparing for propane-market armageddon.” He warned some areas of the country might be prone to shortages this winter.

Propane prices, which are used for heating resident and commercial building structures and also used for industrial production of plastics, have jumped to the highest in a decade due to increasing overseas demand and tight production. The surge comes as a global energy crunch threatens to derail the global economy.

In a separate report, the Energy Information Administration (EIA) expects households that use propane and heating oil this year will spend much more than last. This could strip out some of their spendings in other areas of the economy, such as eating out.

Soaring energy prices, plus food, shelter, and other costs, will continue to pressure the Biden administration to solve persistent inflation that eats away at real wages.

Making matters worse IHS expects a cooler winter that could boost energy demand and continue to place a bid under propane prices, analyst Veeral Mehta said.

It’s only now that the Biden administration wishes there was global warming.


TOPICS: Society
KEYWORDS: naturalgas; propane; shortage; winter
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1 posted on 10/19/2021 5:54:13 PM PDT by blam
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To: blam

“It’s only now that the Biden administration wishes there was global warming.”

Have you been living in a cave? Everyone knows global warming leads to colder winters. Warmer winters, too.


2 posted on 10/19/2021 5:57:24 PM PDT by rightwingcrazy (;-,)
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To: rightwingcrazy

...and the heartbreak of psoriasis!


3 posted on 10/19/2021 5:58:58 PM PDT by null and void (LGBTQ = Let's Get Biden To Quit, FORK/N'A = First Uttery Cancel Kamala/Nancy Axed)
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To: blam

This must be the regime’s new cold black deal.


4 posted on 10/19/2021 5:58:58 PM PDT by hardspunned (former GOP globalist stooge)
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To: blam

Regarding the photo at the top of this article, anyone that buys propane from Amerigas, Ferrellgas, or Suburban are complete idiots!!!

Amerigas has over $1.50/gallon added to their home delivery cost to pay shareholders. Suburban and Ferrellgas are similar, but instead they have to offset their below wholesale pricing for commercial accounts.

Basically, they cheat the other guy and pass the savings on to you…


5 posted on 10/19/2021 6:04:50 PM PDT by datura (The voice that brought you peace has nothing left to say.)
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To: All

Remember the ancient days of yore (You youngsters check yer school histry books), when the USA had so much natural gas and propane they were shipping it overseas in giant pressurized tanker ships? My memory is kinda hazy, but I think it was way back in ‘aught twenty and some feller named Crump or Bump or Stump or something like that were President. Them were the good ol’ Days.


6 posted on 10/19/2021 6:05:45 PM PDT by LegendHasIt
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To: rightwingcrazy

Climate change has been know to force ducks to migrate!

Climate Change on Eath has been happening from time immemorial. What a scam.


7 posted on 10/19/2021 6:10:25 PM PDT by WMarshal ("Those who would give up essential liberty, to purchase a little temporary safety, deserve neither.")
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To: blam

8 posted on 10/19/2021 6:21:29 PM PDT by Bobalu (Figure out what you like, learn enough to be dangerous, and then start fiddling around)
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To: blam
You know who this is going to hit? Hot air balloons. I happen to know a couple of guys into that. A large commercial "ride" balloon can easily go through 60 gallons of propane in a single flight. Some commercial ride companies put up half a dozen or more balloons a day. For reference, that 20 lb bottle you have hooked to your grill holds about 3-4 gallons. I don't grill that much. When my buddies told me this, I figured that a single balloon probably uses as much propane in one flight as I have used in my entire life. Private/sport balloons tend to be smaller and use less (maybe half?) but still...

I know I know, first world problems. People need to heat their houses, cook, have hot water not fool around in the air... I am just pointing out another segment of the economy Biden's handlers are tanking.

9 posted on 10/19/2021 6:31:10 PM PDT by ThunderSleeps (Biden/Harris - illegitimate and everyone knows it.)
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To: blam

I remember propane being very high back in the 1970s.


10 posted on 10/19/2021 6:33:50 PM PDT by Ruy Dias de Bivar (OUT OF FB JAIL! and back on the attack. For how long? Back in jail again! 4th time this year!)
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To: datura

Dumped Ferrell a few years ago for a little guy company, they were just bought by Delta Liquid Energy, will find out soon how much it has gone up


11 posted on 10/19/2021 6:36:26 PM PDT by eyeamok (founded in cynicism, wrapped in sarcasm)
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To: blam
We may be happy that a La Nina is forming.

That often leads to somewhat milder winters in the midwest and east.

12 posted on 10/19/2021 6:43:09 PM PDT by BfloGuy ( Even the opponents of Socialism are dominated by socialist ideas.)
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To: datura
"Regarding the photo at the top of this article, anyone that buys propane from Amerigas, Ferrellgas, or Suburban are complete idiots!!!"

Costco sells (fills) propane tanks for half as much as Amerigas.

13 posted on 10/19/2021 6:45:28 PM PDT by blam
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To: ThunderSleeps
"When my buddies told me this, I figured that a single balloon probably uses as much propane in one flight as I have used in my entire life."

I read at a survialist site a few years ago that one 20 pound cylinder will support all the cooking necessary for a family of four for a month.(My brother says no)

I bought empty cylinders at yard sales and had them filled at Costco for $8.00. Happily, I have many of those now and they've got their own shed.

I have a 7550 watt propane generator for hurricanes.

14 posted on 10/19/2021 6:53:05 PM PDT by blam
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To: blam

Is it too late to buy stock in propane companies? If not which ones are public it what are they trading at


15 posted on 10/19/2021 6:58:20 PM PDT by ncfool (Joe Biden USSA.. United Socialist state of aMeriKa...... 11.3.2020 - President in waiting Kama-la-la)
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To: blam

Propane is 21547 but per lb. Normal retail tanks for exchange are filled with 15 lbs not 20. This is easy to verify look on the side of the tank there will be a TW stamp and a number that number is the tare weight in lbs. Place the tank on a bathroom scale and subtract that number for net lbs. Why 15# This is 80% filled and for liability reasons retail exchange such as Amerigas full to 80%. If you refill tanks at tractor supply or Uhaul they will fill to 20#. I have three Amerigas tanks in the garage every one of them came from the exchange at Wal-Mart with 15.0 to 15.5 lbs TSC fills them full now.

Anyways 20#x21548= 430960btu a typical single burner puts out 7500 but unless it’s a power boil burner at 30000+ btu 430960/7500 = 57.46 hours of burn time on high. 57/4/7= 2 hours per day over a 4 week period so conceivably yes a single tank could cook food for a month on a medium power burner.


16 posted on 10/19/2021 7:06:42 PM PDT by JD_UTDallas ("Veni Vidi Vici" )
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To: blam

I spent a couple of winters heating only with a fireplace insert. The thing with a fan can really heat up a whole house. And if you get the modern re-burner models they can be lots more efficient with the wood.

The first year I got deliveries of pre-seasoned and then for the next, cut down a couple of big ash trees that died from the emerald ash borer. Dropped the trees, cut em into rounds (chain saws are fun), and then split by hand with a maul. And then all winter you get to carry in firewood from the cold. Serious good workout.

For m next house I really want to get something with massive stone center chimney with an outside air feed. Probably have to get it built myself.


17 posted on 10/19/2021 7:30:30 PM PDT by glorgau
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To: glorgau

Love the smell of wood burning. Always wanted a huge fireplace like at Cracker Barrel. The large stone mass would keep warm for a long time.


18 posted on 10/19/2021 7:42:33 PM PDT by griswold3 (When chaos serves the State, the State will encourage chaos)
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To: blam

I will be on propane this winter. approx. $2.55/gallon (?)

Natural gas in across the street and can switch if needed (would need furnace and ductwork.)


19 posted on 10/19/2021 7:42:40 PM PDT by dynachrome ("I will not be reconstructed, and I do not give a damn.")
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To: glorgau
And if you get the modern re-burner models they can be lots more efficient with the wood.

Some of those old coal stoves used that recirculation method and the efficiency exceeded 90%. Some of them would burn a couple of days before you had to add more coal. You had to use anthracite coal though because anthracite doesn't make any soot to plug up the passages. I used to burn soft coal and it sure was a hell of lot less work than wood and would never wake up to a cold stove!

Here is one in operation.

https://youtu.be/7uHs4iv1j70

20 posted on 10/19/2021 7:56:11 PM PDT by Karl Spooner
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