IHS Chemical Week

People & Business :: Energy and Feedstocks

Favorable outlook for PDH margins: Lumpkins

4:43 PM MDT | April 25, 2013 | Clay Boswell

Despite recent swings in the price of propylene and the prospect of increased propane exports, the near-term outlook for the profitability of propane dehydrogenation is good, says David Lumpkins, executive chairman of PetroLogistics (Houston). During the company’s earnings call on Thursday, Lumpkins noted that polymer-grade propylene (PGP) in the US had gone “from essentially the cheapest in the world to the most expensive,” during the first two months of 2013. Depressed for the last half of 2012, the US PGP price increased by 21 cents/lb. in...

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