Complexities of LNG - spot vs long-term pricing
Pakistan’s spot LNG purchase has not been profitable as prices remain high at 15-16% of Brent crudeISLAMABAD: Pakistan imported 6.7 million tons of LNG in 2018. However, interesting developments took place recently in the LNG spot market in Asia. There are three long-term LNG contracts in place in Pakistan – one with RasGas of Qatar, second with Guvnor of Switzerland and third with Eni of Italy. In the Japanese market, LNG spot prices have been lower than the long-term contract prices over the past three years. It is even more significant to study the recent LNG spot prices, which have been quoted at half of Brent crude as against a generally accepted ratio of 0.8.
Source: The Express Tribune April 08, 2019 04:41 UTC
