Global LNG Price Slide Resumes on Weak Demand

Asian spot liquefied natural gas (LNG) prices for July fell this week on continued weak demand and ample supply.

 

The price of Asian spot cargoes slid to $7.40 per million British thermal units (mmBtu), compared with around $7.70 per mmBtu last week.

 

There was supply availability from Russia's Sakhalin export plant, which launched a tender to sell four cargoes spread across July, August and September last week.

 

Sakhalin was also expected to shut down for a month long maintenance outage, although production will only be reduced by half during the period, a spokeswoman for Sakhalin Energy said.

 

Jordan launched a tender earlier this week to buy a single cargo in mid-August. The bid submission deadline is June 15 and the award will take place by June 18.

 

Egypt took receipt of its first LNG delivery from Australia on Wednesday, live ship-tracking data on Reuters Eikon showed.

 

ConocoPhilips' tender to sell a single cargo in early June from its Darwin project in Australia was also likely awarded.

 

In north-west Europe, the Gaslog Saratoga vessel was en route to deliver cargo at the Gate terminal in the Netherlands, after which it will proceed to load up at Belgium's Zeebrugge port.