Kogas Talks to Offload up to 10 Autumn LNG Cargoes

Posted by Michelle Howard
Tuesday, August 26, 2014

Korea Gas Corp. has approached long-term suppliers of liquefied natural gas (LNG) to defer up to 10 autumn cargos to winter, showing it is lumbered with excess supply and pulling out of spot markets, industry sources said.

High stocks and weak demand prompted state-run Kogas, the world's biggest corporate buyer of LNG, to offload a number of cargos this summer through a combination of time-swap deals and by deferring deliveries from suppliers.

Deferrals were first meant to include only summer cargos, but the program has been extended to include an additional five to 10 cargos in later delivery periods, traders said.

In total, Kogas is due to defer or swap out a total of 40 LNG cargos between May and November this year, a source with direct knowledge of the matter told Reuters.

Kogas has asked to defer cargos due to be delivered in early November as well as other periods, the source said.

As a result of the deferment, suppliers such as Malaysia's Bintulu export plant, Indonesia's Bontang, Russia's Sakhalin and Qatar's Rasgas have pumped more supply into the open market, the source said.

The latest deferments mean they may continue to add to global spot supply for a while longer.

Traders do not expect Kogas to resume buying spot cargos this winter, barring abnormally cold weather, which is not currently forecast for Korea and Japan, the world's biggest LNG importing nation.

(By Oleg Vukmanovic, Reporting by Oleg Vukmanovic; editing by Jane Baird)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

ABS’ Wiernicki Addresses SUNY Maritime Grads

ABS Chairman, President and CEO Christopher J. Wiernicki addresses SUNY Maritime College graduates, awarded honorary Doctor of Science   Christopher J. Wiernicki,

Moody's Dings Hurtigruten's Outlook Due to Newbuilds

Moody's Investors Service, (Moody's) issued a press release affirming the B2 corporate family rating (CFR), B2-PD probability of default rating, and the B2 senior

ShipDC Launches with New Leader at the Helm

Ship Data Center Co., Ltd., a wholly owned subsidiary set up by ClassNK, has officially commenced operations of its big data center, ShipDC, from April 2016. Taking

Finance

Moody's Dings Hurtigruten's Outlook Due to Newbuilds

Moody's Investors Service, (Moody's) issued a press release affirming the B2 corporate family rating (CFR), B2-PD probability of default rating, and the B2 senior

NOL Posts Q1 Net Loss of $105 Mln

NOL Group reported a first quarter 2016 net loss after tax of $105 million. Core EBIT (Earnings before Interest, Taxes and Non-Recurring Items) for the period was a loss of $84 million,

US Aims to Recover El Faro VDR in Next Few Months

The U.S. National Transportation Safety Board hopes to recover the voyage data recorder from the cargo ship El Faro, which sank during a hurricane killing all 33 crew on board,

LNG

Crowley Christens Third LNG-ready Product Tanker

Crowley Maritime Corporation christened the third of four new LNG-ready Jones Act product tankers at a May 5 ceremony at the Julia Street Cruise Terminal in New Orleans.

MOL Launches Coastal LNG Transport in Indonesia

Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Junichiro Ikeda) today teamed up with a local partner in Indonesia, PT Pelindo Energi Logistik (PEL; President

Egypt to receive first LNG shipment from Rosneft in May

Egypt will receive the first of five agreed shipments of liquefied natural gas (LNG) from Russia's Rosneft this month, an official at the state gas board EGAS told Reuters on Thursday.

News

Rolls-Royce Implements Shipdex for Tunnel Thrusters

Rolls-Royce Marine has implemented Shipdex as the data standard for its range produced in Ulsteinvik, Norway, representing the third Rolls-Royce Marine products to adopt the Shipdex standard.

IBIA Develops Bunkering Procedure Guidelines

A set of Standard Operating Procedures (SOP) for surveyors has been developed by the International Bunker Industry Association (IBIA) to help the industry manage new regulations,

Strikes Cause Stoppage in Greek Ports

A 48-hour strike by the Seamen’s Union in Greece is expected to affect all domestic and local ferry routes as well as commercial vessels calling at Piraeus, Aspropyrgos,

Logistics

Strikes Cause Stoppage in Greek Ports

A 48-hour strike by the Seamen’s Union in Greece is expected to affect all domestic and local ferry routes as well as commercial vessels calling at Piraeus, Aspropyrgos,

New CMA CGM Agency in Puerto Rico

Shipping company CMA CGM announced the inauguration of its new agency in San Juan, Puerto Rico as from May 1, 2016.   The agency is opened in partnership with shipping agency Norton Lilly.

US Aims to Recover El Faro VDR in Next Few Months

The U.S. National Transportation Safety Board hopes to recover the voyage data recorder from the cargo ship El Faro, which sank during a hurricane killing all 33 crew on board,

 
 
Maritime Contracts Maritime Security Naval Architecture Navigation Pod Propulsion Port Authority Ship Electronics Ship Simulators Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1440 sec (7 req/sec)