Saudi gas prices rise as supply declines and the Yemeni blockade is expected to continue for another month

Saudi Arabia approved raising the prices of liquefied petroleum gas amid a decline in its supply in the global market.

This coincides with the Yemeni blockade entering its third week.

Exclusive – Al-Khabar Al-Yemeni:

Aramco, the Saudi oil giant, approved price increases ranging between 6-7%, with the price per ton of propane reaching about $620 and about $640 for butane.

Saudi prices are currently the highest internationally, as Algerian gas, its biggest competitor, is still priced at $540 per ton.

Aramco’s decision to raise gas prices for August came amid a decline in supply in the international market, in addition to its inability to meet its customers’ needs in light of the Yemeni blockade, not to mention the operations that targeted oil facilities, including refineries in Jizan, Yanbu, and Buqayq.

Yemen had announced the start of the Saudi navigation ban about two weeks ago.

Yemeni forces have succeeded in limiting the flow of Saudi oil and gas, whether by preventing ships from crossing Bab Al-Mandeb or by targeting energy facilities.