Asian spot prices for liquefied natural gas (LNG) held steady this week, with traders looking for signs of potential demand ahead of winter amid ample supplies. Spot prices for August delivery to Northeast Asia <LNG-AS> are estimated to be about $4.40 per million British thermal units (mmBtu), up 10 cents from last week, trade sources said.
Prices for cargoes delivered in September are estimated to be about $4.70 per mmBtu, they added. The weekly price in Asia rose mainly because of higher European gas hub prices, which jumped this week after an unplanned gas outage in Norway, Europe’s second biggest gas supplier, and on higher oil prices, they said.
Gas traders in Europe said fundamentals were nevertheless bearish, with many closely eyeing rising inventories which are far higher than the 5-year average for this time of the year. Buying interest from Asia remained subdued with stockpiling for winter not expected to start until late September, trade sources said. Read More