Applications
NGL and Related Auctions
Offer storage rights, sell products and compare supply offers with delivery timing, terminal access, product specifications and price references defined before bidding. This group also includes examples of Y-grade procurement and fractionation services, and a related butadiene sale example.
Commercial value
Compare demand or supply for the complete commercial obligation. Customers can value storage access, delivery choices and product-transfer rights; suppliers can use the terminals and delivery periods they can serve.
NGL storage
Propane storage rights for an annual term, with bids in barrels and a lease rate quoted in cents/gallon and converted to dollars/barrel. The charge applies to awarded rights whether or not all space is used. Receipt and equal-quantity withdrawal are subject to facility availability and lease conditions.
Product Transfer Orders (PTOs) can move inventory between accounts with sufficient storage rights, subject to a transfer fee. Product specifications, overstorage charges, removal at expiry and holdover charges remain part of the lease. The operator states its minimum quantity and any discretion to award more.
Propane sales with flexible delivery
Propane sold in barrels per month, with buyers able to request part or all of their volume during business hours on a business day. Each month’s volume must be taken in that month. Buyers compete on a premium in cents/gallon above the specified monthly propane reference, subject to credit and payment conditions.
Propane procurement across terminals
Suppliers divide their offered barrels between eligible terminals and delivery months, within the buyer’s limits on monthly concentration and delivery timing. They compete on a declining premium or discount in cents/gallon. Settlement uses the published reference for the applicable terminal and month.
Butane sales
Refinery-grade butane with a deadline for taking possession. Buyers choose physical loading or an in-well transfer, with the stated price adjustment and loading fees. Bids are in barrels at a flat price in cents/gallon. The sale supplies product, not storage capacity.
Y-grade procurement
A fractionator can buy mixed NGLs for ratable delivery. The formula values ethane, propane, isobutane, normal butane and natural gasoline by composition and monthly component references. Suppliers would compete on a fixed fractionation deduction in cents/gallon, with a separate variable deduction linked to a gas-price reference.
Fractionation services
A fractionator can offer processing capacity for mixed NGL streams. Capacity, feed specifications, processing dates, component delivery and pricing would need to be defined before bidding. This service offering is distinct from buying Y-grade for processing.
Butadiene sales
A related chemical feedstock offering with a specified product, parcel size and availability period. Buyers choose barge or railcar transport on an ex-works basis. Bids use tonnes with prices in EUR/tonne; credit, payment and collection terms constrain the quantity each buyer can take.