Higher intake of propane by South Korean petrochemical companies drove an increase in the country’s LPG demand in the first quarter of 2020. Data from state-owned oil company KNOC showed South Korea’s LPG consumption reached nearly 2.70 million tons in the quarter, rising by 9.1% from 2.47 million tons a year earlier.
Total propane consumption surged by 20% to 1.76 million tons during the period. In contrast, butane demand dropped by 7.4% to 935,000 tons due to decreasing demand from the transportation, residential, and commercial sectors. This offset a 28% increase in butane use by the petrochemical industry, which reached 225,000 tons.
South Korean LPG consumption exceeded 10 million tons for the first time in 2019. The country ramped up LPG use as a petrochemical feedstock last year as it could no longer import Iranian condensate amid US sanctions.
The transportation sector was expected to boost LPG demand in 2020 after the government removed restrictions on LPG-fuelled vehicles last year. However, the coronavirus pandemic has significantly lowered the demand for transportation fuels. The sector consumed 631,000 tons of LPG in the first quarter, declining by 16% from a year earlier.
Tags: All Feedstocks,AlwaysFreeRegister,Asia Pacific,English,Gas,Korea,NEA
Published on May 5, 2020 3:26 PM (GMT+8)Last Updated on May 5, 2020 3:26 PM (GMT+8)
