Asian spot prices for liquefied natural gas (LNG) fell this week on lower Chinese demand and expectations of more cargoes from the United States. However, loading delays from a Malaysian export plant supported prices.
Report informs referring to Reuters, the average LNG price for December delivery into Northeast Asia LNG-AS was estimated at $6.70 per million British thermal units (mmBtu), down 80 cents from the previous week.
Loadings of LNG cargoes have been delayed from Malaysia’s Bintulu plant, several sources said, although it was not immediately clear what issue the plant was facing. Plant operator Petronas did not immediately reply to a Reuters query on the matter.
There are currently seven vessels waiting to load from the plant, compared with the usual 3 to 5, data intelligence firm Kpler said, adding that only one cargo has been exported so far this week, suggesting production issues.
A train in Chevron Corp’s Gorgon LNG plant in Australia, which had been facing production issues, is now expected to resume production in the second half of November.
Kuwait Petroleum Corp seeks a cargo for Dec. 16 to 17 delivery in a tender that closes on Nov. 9. Mexico’s CFE is seeking two cargoes for delivery in November, traders said.
Taiwan’s CPC Corp was earlier this week seeking 3 to 4 cargoes for delivery over December to January, though it was not clear if the tender has been awarded.
Gail (India) issued a tender offering two cargoes for loading from the Cove Point plant in the United States. It is seeking two shipments for delivery into India from January to February, sources said.
Vitol placed the best offers for four of six cargoes sought by Pakistan LNG for delivery in December, a source at Pakistan’s procurement body said.