LNG Prices At 3-Year Lows, But Not Yet For Qatar

*Asian LNG prices are at levels last seen in 2016 amid bumper volumes from Australia and the US and the demand off-season. Key importers Japan, China and South Korea bought record volumes pre-winter ( MEES, 1 February ). They then saw unseasonably mild weather, so stocks exited winter at bumper levels.

*Japan paid $6.40/mn BTU for spot cargoes contracted in March – roughly equivalent to April arrivals – an 18-month low. Latest Reuters market reports suggest May-arrival trade was at an average of just $4.70/mn BTU, a three-year low and the first time since early-2016 that Asian prices were below those in Europe (see chart). The US shipped more to Europe than Asia for the first time in January ( MEES, 5 April ). (CONTINUED - 276 WORDS)


chart Asian LNG Prices ($/Mn Btu By Delivery Month): Spot Prices Fall To Three-Year Low But Qatar Prices So Far Resist Gravity
table South Korea 1Q19 LNG Imports: Qatar Share Up Despite Weak March