Tokyo — Japanese LNG buyers paid an average $10.20/MMBtu for spot cargoes contracted in December, up 13.33% from November and also the highest level since January 2015, Ministry of Economy, Trade and Industry data showed Monday.
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The delivery months for these contracts are not disclosed.
The spot market has been well supported by strong demand from end-users due to colder winter weather in Northeast Asia, while steady demand from China also provided support on the back of the country's policy to switch from coal to gas for heating.
S&P Global Platts JKM averaged $10.568/MMBtu in December, reflecting deals for January and February deliveries.
METI also said the average price of cargoes delivered into Japan in December was $8.10/MMBtu, rising 14.08% from $7.10/MMBtu in November.
Platts JKM for cargoes delivered in December averaged $9.183/MMBtu.
The December JKM was assessed from October 16 to November 15.