SINGAPORE—Asian spot prices for LNG jumped to their highest in more than 20 months this week on robust buying appetite ahead of a colder-than-expected winter, trade sources said.
Prices were boosted by several requirements from buyers in Japan, China and South Korea.
China’s Unipec sought 10 cargoes for delivery in winter, while Shenzhen Energy sought a cargo for December delivery, traders said.
South Korea’s KOGAS may have awarded a tender to buy at least six cargoes for delivery over November to January at just below $7/, while Japan’s Tohoku Electric sought a cargo for delivery in late November to early December, they added.
Taiwan’s CPC Corp may also have bought several cargoes for delivery in December at close to $7/, one of them said.
Cheniere Energy may also have bought a cargo for delivery in December at about $7.10/, a second source said.
Still, with no cancellations expected from U.S. LNG projects in December, a potential increase in cargo flows to Asia may cap price gains, traders added.
Australia Pacific LNG (APLNG) offered a cargo for November-loading, while BHP offered a Northwest Shelf cargo for late November to early December loading, traders said.
Darwin LNG likely offered a cargo for loading over late November to early December, while Ichthys LNG likely sold a November cargo at $6.10 to $6.30 on a free-on-board (FOB) basis, they said.
Russia’s Sakhalin Energy also offered a cargo for loading on Dec. 25, while Nigeria LNG offered a cargo for mid-November loading.
Gail (India) likely awarded a swap tender, selling a cargo for loading in January from the United States and buying a cargo for delivery into India, one source said.
The project is bolstered by Shell’s global LNG prominence and Energy Transfer’s extensive pipeline network.
Encana retained Eagle River Energy Advisors for the sale of certain operated and nonoperated working interest assets in the Williston Basin of Montana and North Dakota.
Forge Oil & Gas retained Energy Advisors Group for the sale of the Greater Bonnie Glen Rex/Spirit River oil and shallow gas assets located in East-Central Alberta, Canada.