Asian spot prices for liquefied natural gas (LNG) were flat this week, at two-month lows, as bloated storage levels in the region left cargoes stranded and deterred trade.
December spot LNG was heard at $10.20 per million British thermal units (mmBtu), the lowest since Aug. 10.
Expectations of a mild winter and higher nuclear generation in Japan, the world’s largest LNG buyer, are weighing on prices after a frenzied September of buying by Asian utilities to replenish storage tanks left low after a hot summer.
But inventory levels in Japan and South Korea, the world’s third largest purchaser, have now exceeded volumes seen in the previous three years for this time of the year. Read more