Free Trial

Prolonged Weakness in LNG Market will Test Buyer-Seller Dynamic: Platts

LNG

A prolonged period of low spot LNG prices will likely shift the market in favour of buyers, according to Platts.

  • Asian spot LNG prices have been sub $10/MMBtu since mid-January and fell below $8/MMBtu since end-February.
  • Buyers are expected to become more confident during price reviews and will have less fear of pushing matters into dispute resolution where a revised price cannot be mutually agreed, but this is more a function of pressure on term prices, rather than due to spot prices.
  • If JKM remains low, some Chinese buyers may prefer to source cargoes from the spot market.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.