LNG ASIA: Traders Forecast Spot-Price Gains as Buying Increases

Jan. 17 (Bloomberg) — North Asia’s March spot prices for liquefied natural gas will probably gain next week on more buying from Asia and Latin America, according to three of six traders in a Bloomberg survey.

One trader forecast prices to be unchanged, two said they will fall

Spot cargoes to be delivered over next 4-8 weeks rose to $19.30/mmBtu, up from $18.40, Energy Intelligence Group says on website of World Gas Intelligence publication on Jan. 15

NOTE: Previous Bloomberg survey indicated prices would be little changed this week

SPOT DELIVERIES

• Argentina set to get cargo from Trinidad & Tobago at Recalada Jan. 18
• Brazil takes reloaded gas from Portugal at Guanabara Bay Jan. 14
• China unloads gas from Russia at Tangshan today
• Japan gets shipments from Nigeria at Senboku on Jan. 15, an undisclosed terminal on Jan. 14, and Chita on Jan. 11
• S. Korea unloads gas from Nigeria at Incheon today and at an undisclosed terminal yesterday
• Spain poised to receive cargo from Peru at Bilbao Jan. 23
• Turkey gets shipment at Aliaga from Nigeria today

TENDERS

• PTT cancels tender for Feb. cargo
• Co. delays requirement to March without issuing new tender
• Enel to close tender Jan. 24 selling six Nigerian shipments
• YPF closes tender Jan. 15 for five Feb., March cargoes delivered to Bahia Blanca, Escobar
• Kogas buys gas for northern winter from Atlantic and Asian suppliers at $18.50/mmBtu
• Co. concludes winter spot buying
• GAIL seeks four shipments for delivery by April
• Tepco seeks four cargoes for Feb., March delivery
• Petronet seeks two shipments for Feb. delivery to Dahej, Kochi

OUTAGES

• Statoil says Jan. 8 that production from LNG plant in Hammerfest has resumed after gas leak. Facility was shut Jan. 5.

SHIPPING

• Wilgas sails empty to Portugal’s Sines terminal
• Qatargas LNG tanker Al Gharrafa currently moored off Singapore
• Co. says vessel involved in collision near Singapore Dec. 28 with container ship Hanjin Italy

DATA

• S. Korea imports 4.02 mln mt of LNG in Dec., down from 4.25 mln mt a yr earlier, according to Korea Customs Service data
• China’s 2014 LNG imports will increase 20% to 30 bcm, according to annual CNPC data

MARKET NEWS

• Woodside Petroleum may develop LNG project in western Canada after receiving British Columbia’s approval for potential plant
• Expected increase in Woodside’s dividend may provide opportunity for Royal Dutch Shell to sell its shares in co. as yield makes Australian gas producer more attractive to investors, UBS AG says in report
• Japan’s 10 regional power companies used record amounts of LNG in Dec., burning about 5.27 mln mt
• 4 cargoes to unload at France’s Fos Cavaou LNG terminal in Jan. vs 5 expected previously, Fosmax LNG, owner of terminal, says
• Australia’s Cooper Basin has the most attractive shale gas prospects outside North America, according to Magnum Hunter Resources
• Tepco won the support of gov., banks for a plan to rebuild its business, the latest step in the recovery from the nuclear disaster three years ago
• Alaska plans to jump-start a $45b LNG project by pitching in more than 10% of the cost and joining Exxon Mobil, BP, ConocoPhillips and TransCanada as an equity partner
• GasLog to buy 3 LNG carriers from BG’s Methane Services for $468m
• Co. will charter ships back to Methane Services for 6-yr initial terms
• Gazprom to discuss 30-yr gas-supply accord with China Jan. 22
• CEO Alexey Miller has provisionally scheduled meeting w/ CNPC Chairman Zhou Jiping in Beijing, Gazprom spokesman Sergei Kupriyanov says

GAS PRICES

• U.S. natural gas futures up 7.6% so far this week to $4.362/mmBtu on Nymex

– Chou Hui Hong, Copyright 2014 Bloomberg.