US ethane demand poised to grow: Oneok

OREANDA-NEWS. May 26, 2016. US ethane exports and consumption are poised to grow next year, said Oneok chief executive Terry Spencer.

"The low market price of ethane is leading to increased exports, as well as the construction of additional world-class petrochemical facilities on the Gulf coast that will utilize ethane as a feedstock during the manufacturing process," Spencer said. "Our large NGL asset base is ideally positioned to serve this growing ethane demand, which is expected to accelerate in 2017."

The Tulsa-based midstream partnership estimated fee-based earnings this year to account for 85pc of profits in a note at its annual shareholder meeting. Oneok, like other midstream companies, is seeking to bolster its share of fee-based contracts as NGL and gas prices remain weak.