November 11, 2022 11:40 GMT
Asian LNG Importers Request Cargo Deferral
Asian LNG importers see high inventory levels and tank tops, as mild weather has slowed down natural gas consumption, sourced told S&P.
- High tank-top levels are resulting in LNG importers taking measures to delay shipments by extending waiting time for LNG carriers or asking suppliers to push delivery dates further out.
- India has also been facing a surplus of LNG as industries look for alternative sources instead of high prices gas imports, which led to import terminals reaching levels near max capacity.
- Asian LNG spot prices have been declining in recent sessions, as milder weather and high storage inventory levels have been weighing on demand. JKM LNG Month 1 last traded at $27.67/MMBtu, compared with this year’s high at $70.57/MMBtu on 30 August.