USGC spot polymer-grade propylene pricing hits record high

The US Gulf Coast spot polymer-grade propylene prices in the US hit a record high Feb. 19 on tight supply and offline units from extreme winter weather throughout the region.

S&P Global Platts assessed spot polymer-grade propylene for front-month February at 105.25 cents/lb FD USG on Feb. 19, up 7.5 cents from Feb. 18. A February PGP bid was heard done at 105 cents/lb MtB-Pipe.

PGP pricing is at an all-time high since Platts began assessing the market June 1998, passing the previous high of 95 cents/lb reached May 6, 2011.

All three US Gulf Coast propane dehydrogenation units are offline as the US faced a deep freeze causing power outages throughout the region.

Notably, two of the three PDH units — Flint Hills Resources' Houston unit and Dow Chemical's unit at Freeport, Texas — are down because of weather-related issues. Meanwhile, Enterprise Product Partners' PDH unit was already down for scheduled maintenance.

Since the start of 2021, the assessment has risen about 88%, or 49.25 cents, from Jan. 4 when it was assessed at 56 cents/lb midpoint FD USG.

A year ago, the grade was assessed at 29.375 cents/lb midpoint FD USG. It has jumped about 258.3%, or 75.875 cents, since.