Ministry of Economy, Trade and Industry (METI) released survey results for September 2014 that the average price of spot LNG arrivals during September was US$11.3/mmbtu, down by US$1.2/mmbtu from the preceding month.|
Despite the high-demand month in summer, there was no sentiment of tightness due to the unexpected volume of cargoes thrown into the market by Papua New Guinea, Australia, Malaysia and so on. The spot price has been in a continuous downward trend since METI started the survey. in April 2014.
The average of the prices for spot LNG deals contracted in September were US$13.2/mmbtu, up by US$1.8/mmbtu compared to the average contracted prices in August. The turnaround is apparently reflecting market expectations for demand increase in the coming months and the high prices in some of the contracts. As a matter of fact, buyers and sellers are discussing contracts for arrivals in nearby months, i.e. November/December arrivals at US$14 - 15/mmbtu.