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LNG: North Asia Spot LNG Supported by Hot Weather in Japan

LNG

North Asia spot LNG prices are around $12/mmbtu supported by hot temperatures across Japan, according to Bloomberg.

  • Japan could see additional LNG demand this week with gas-fired power generation in the Tokyo region up 45% week-on-week on July 24 due to the hotter-than-normal temperatures.
  • TotalEnergies expects Asian prices of over $12/mmbtu in Q3 due to higher consumption in China and India. European prices are expected between $8-$10/mmbtu amid weak demand.
  • Asia continues to be the premium market for US LNG with the profitability of exports for September to Asia at $9.23/mmbtu and to Europe at $7.82/mmbtu, according to BNEF.
    • TTF AUG 24 down 1.8% at 32.02€/MWh
    • JKM Aug 24 down 1.2% at 12.08$/mmbtu
    • JKM-TTF Aug 24 down 0.4$/mmbtu at 1.82$/mmbtu
    • US Natgas AUG 24 up 0.9% at 2.14$/mmbtu

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