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Low Asian LNG Spot Prices to Boost Demand

LNG

Asian LNG prices have fallen below long-term contract rates, which is likely to boost some spot buying activity of price sensitive buyers according to Bloomberg.

  • Spot LNG shipments are now cheaper than supply from long-term contracts with a 10% Brent oil link for the first time since 2021, before Russia’s invasion of Ukraine upended energy markets.
  • Prices are also down more than 20% on the year amid a mild winter and high inventory levels.
  • China’s gas imports are expected to climb by 8.2% to 179.1bcm this year as buyers take advantage of cheap LNG, CNPC said in a report.
    • JKM Mar 24 up 6.3% at 9.57$/mmbtu
    • JKM-TTF Mar 24 down 0$/mmbtu at 1.74$/mmbtu

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