MOSCOW - Saudi Arabia's state oil producer Aramco and Algeria's Sonatrach have raised February official selling prices (OSPs) for liquefied petroleum gas (LPG) by 1.6-2.0% versus January due to rising oil prices and increased demand, traders said.

Aramco's February OSP for propane was increased by $10 to $630 per metric ton , while its OSP for butane was raised also by $10 to $640 per ton .

Propane and butane are types of LPG with different boiling points.

LPG is mainly used as a fuel for cars, heating and as a feedstock for other petrochemicals.

Sonatrach raised its February OSP for propane by $10 per ton to $520 , while its OSP for butane was stable at $540 per ton. .

Aramco's OSPs for LPG are used as a reference for contracts to supply the product from the Middle East to the Asia-Pacific region.

Sonatrach's OSPs for LPG are used as benchmarks for the Mediterranean, Black Sea region and Turkey.

(Editing by Jason Neely)