Completes suite of European hydrotreated biofuels prices
London, 3 October 2023
Global energy and commodity price reporting agency Argus has launched European biopropane prices, completing its suite of prices covering the fast-expanding European market for hydrotreated biofuels.
Hydrotreating animal and vegetable fats is a relatively recent refining technology that enables sustainable biofuel feedstocks such as vegetable and waste oils and animal fats to be converted into fuels that can substitute for conventional hydrocarbon-derived oil products.
The new daily price for biopropane joins Argus’ existing European assessments for HVO (hydrotreated vegetable oil, also known as renewable diesel), SAF (sustainable aviation fuel) and bionaphtha.
These prices are all underpinned by Argus’ transparent and independent assessment methodology.
Over the past three years, Argus UCO (used cooking -oil) based HVO Class II prices have become regarded as a trusted benchmark for the road transport sector, and Argus UCO-based SAF and bionaphtha prices are now considered key references for stakeholders in the aviation and petrochemicals industries.
The new Argus biopropane assessment is a daily delivered price to the Amsterdam-Rotterdam-Antwerp region offering a market-led price reference for the growing renewable LPG market. The assessment focuses on biopropane produced from UCO. Biopropane is derived from bioLPG, a by-product of HVO and SAF production. It can be used as a direct replacement for conventional propane in all its traditional applications in the road transport and petrochemicals sectors and for off-grid heating.
Argus Media chairman and chief executive Adrian Binks said: “European production of biopropane is set to grow dramatically in line with rising demand for HVO and SAF. Stakeholders in both mandated and non-mandated markets are exploring options to decarbonise in the most efficient way. Our suite of European hydrotreated biofuels prices offers market participants across multiple industries greater transparency upon which to base investment and risk management decisions to reduce their carbon footprint.”