Sellers Raise Price Ideas for Post-2020 Supply

摘要

As LNG sellers increasingly argue that stronger demand and lack of project sanctions will lead to shortages early next decade, buyers are starting to come under pressure to pay more a?er 2020 --— underscored by a tender issued in May by Japan Petroleum Exploration (Japex). The company is seeking up to 360,000 tons annually over live or l0 years starting in 2020 a?er deciding to source LNG on a portfolio basis when Malaysia’s Petronas canceled the Paeilie Northwest project in Canada, in which it had equity. Oil equivalent slopes in the Japex tender o?ers are understood to be slightly higher than the II%- I 2% seen over the past few years when the market was lirmly in buyers’ favor (WGI Sep.6’ I 7; WGI Aug.2’ 17).