Reuters is reporting that LNG spot prices in Asia have dropped to a 17 month low, following a decline in recent trading activity in the region due to the Chinese New Year holiday and increased supply contributions.
Spot prices for delivery in March currently stand at approximately US$6.80 per million Btu. This marks a decline of US$0.20 per million Btu from the previous week.
According to experts global LNG prices remain tight. Furthermore, there are expectations of increased deliveries to Europe.
Despite this low period, demand from Asia remains high with Gujarat State Petroleum Corp (GSPC) looking to purchase 12 cargoes with delivery dates between April this year and March 2020.
It has been reported that Pakistan LNG has also launched a tender for six cargoes for delivery in May and June.