LNG Natural Gas Market Update – April 2017
- Stable market in Asia as summer buying has initiated. Deals were closed in Korea and Japan around $5.70/MMBtu level.
- Tenders from Japan, Korea and Thailand kept the demand side strong.
- Hot weather outlook in Asia is fuelling the demand whereas Europe weather outlook is dampening the heating demand.
- Spanish demand grew by 8.4% inQ1, primarily due to colder weather in Q1.
- Poland bought a cargo from Cheniere Energy for June delivery from Sabine Pass.
- Australian government has introduced LNG export restrictions through a procedure base dupon advice from market operator and regular.
- Lower LNG prices has enhanced Indian appetite for imported LNG, LNG import rose by 16.4% during first 11 months of 2016-2017 Indian fiscal year.
- US Department of Energy has approve Golden Pass project for the export of 2.21 BCF/day to non FTA countries.
- Higher inventory stockpiles reported by EIA has dampened the sentiments for WTI and impacted Brent prices through out the week.
- Russia reported production cut of 300,000 b/d.
- Baker Hughes oil rig data exhibited 15th consecutive increase in oil rig with number reaching 697, while total rig count increased to 870 from 857 last week.
- Market sentiments on Brent and other non WTI grades are positive on OPEC and Non OPEC countries may extend production cut.
- Negative factors on crude oil prices are weaker than expected US GDP numbers of 0.7% increase.
- US dollar rose after ECB left interest rates at zero, pushing WTI prices down.
- Henry Hub prices depicted strength and closed at $3.27/mmbtu primarily by speculators on warmer weather expectations.
- Warmer weather expected in Asia, Europe and North America, which may decrease the natural gas demand in Europe and USA, however, demand in Asia to increase due to increase in air conditioner usage.
LNG Merchant Activity
- Five vessels carrying 17.59 BCF departed from Nigerian port for European and Taiwanese ports.
- Eleven vessels with 34 BCF load departed from Australian terminals at Dampier and Gladstone for Asian destinations.
- Middle Eastern terminals at Das Island (UAE) and Ras Lafan (Qatar) loaded 12 vessels carrying 37.75 BCF for Asian and European destinations.
- Two cargoes totalling 6.48 BCF loaded this week from Sabina Pass.
Disclaimer: This is a personal analysis based upon public information and should not be used for buying and selling of commodities. This report can not be copied or redistributed without prior permission of Kaleem Asghar.
|Departure Date||Vessel Name||Capacity(CBM)||Loading Port||Discharge Port|
|23-Apr-17||Yensei River||205,958||Bonny, Nigeria||Yung An, Taiwan|
|25-Apr-17||LNG ADAMAWA||142,656||Bonny, Nigeria||Yung An, Taiwan|
|29-Apr-17||MARAN GAS ACHILLES||174,000||Bonny, Nigeria||Not Known|
|28-Apr-17||MARAN GAS EFESSOS||159,800||Bonny, Nigeria||Not Known|
|26-Apr-17||LNG PORT HARCOURT II||170,000||Bonny, Nigeria||Europe|
|26-Apr-17||LNG EBISU||147,546||Dampier, Australia||Himeji, Japan|
|26-Apr-17||NORTHWEST SEAEAGLE||125,541||Dampier, Australia||Pacific Ocean|
|26-Apr-17||NORTHWEST SHEARWATER||125,660||Dampier, Australia||Not Known|
|24-Apr-17||NORTHWEST SANDERLING||125,452||Dampier, Australia||Not Known|
|29-Apr-17||MARAN GAS ULYSSES||174,000||Dampier, Australia||Tokyo, Japan|
|27-Apr-17||DAPENG MOON||147,200||Dampier, Australia||Shenzen, China|
|23-Apr-17||MRAWEH||135,000||DAS, UAE||Not Known|
|27-Apr-17||UMM AL ASHTAN||137,000||DAS, UAE||Tokushima, Japan|
|27-Apr-17||UMM AL ASHTAN||137000||DAS, UAE||Tokushima, Japan|
|24-Apr-17||LNG Kolt||210,000||Gladstone AU||Pyeongtaek, Korea|
|24-Apr-17||ARWA Spirit||175,180||Gladstone AU||Zhuhai, China|
|24-Apr-17||CESI QINGDAO||136,026||Gladstone AU||Qingdao, China|
|29-Apr-17||K.MUGUNGWHA||148,776||Gladstone AU||Pohang, Korea|
|28-Apr-17||METHANE SHIRLEY ELISABETH||142,800||Gladstone AU||Sodegaura, Japan|
|28-Apr-17||ARCTIC VOYAGER||140,071||MELKOYA, Norway||SKAGEN, Denmark|
|27-Apr-17||CYGNUS PASSAGE||145,400||Prigorodnoye, Russia||Anegasaki, Japan|
|24-Apr-17||AL REKAYYAT||145,000||Ras Lafan, Qatar||Freest Germany|
|25-Apr-17||SK Summit||135,933||Ras Lafan, Qatar||Pyeongtaek, Korea|
|25-Apr-17||TAITAR NO.2||144,627||Ras Lafan, Qatar||Taichung, Taiwan|
|25-Apr-17||Al Dabeel||142,795||Ras Lafan, Qatar||Taichung, Taiwan|
|26-Apr-17||AL RUWAIS||205,941||Ras Lafan, Qatar||Mataphut, Thailand|
|29-Apr-17||DISHA||136,026||Ras Lafan, Qatar||Dahej, India|
|29-Apr-17||AL KARAANA||205988||Ras Lafan, Qatar||Europe|
|27-Apr-17||AL MARROUNA||149,539||Ras Lafan, Qatar||Crossing Bay Eden|
|27-Apr-17||ASEEM||154,948||Ras Lafan, Qatar||Dahej, India|
|24-Apr-17||OAK SPIRIT||143,708||Sabine Pass, US||Atlantic for Orders|
|26-Apr-17||SCF MELAMPUS||170,200||Sabine Pass, US||CRISTOBAL, Panama|
|25-Apr-17||Global Energy||74,130||Skikda, Algeria||FOS SUR MER, France|
Reproduced by permission of author.