Platts October LNG Japan Korea Marker averaged $12.97/MMBtu, dropping 19% year-on-year for the assessment period August 16-September 15, as demand across the key buying region of north Asia continued to remain lackluster despite temperatures staying warmer after a cooler start to the summer.
Platts October average JKM in 2011 was $16.038/MMBtu.
Platts October average was a drop of 4% from September's average JKM of $13.518/MMBtu.
Despite various utility sources saying that they were watching the weather forecast closely, demand from the key buying region of North Asia continued to be weak. North Asian end users were largely sidelined for October cargoes after term deals and high inventory levels left little capacity for additional spot purchases.
During August 16-September 15, temperatures across the key metropolitan areas of Tokyo and Osaka were mostly above 32 degrees Celsius, according to data from the Japan Meteorological Agency.
Three European terminals -- Portugal's Sines LNG terminal, Spain's Sagunto terminal and Turkey's Aliaga LNG terminal -- received their first Atlantic re-exports of LNG in almost three months at the end of August, as a narrowing spread between the JKM and NBP kept cargoes within the Atlantic basin, according to port and satellite data compiled by Bentek Energy, a unit of Platts.
These are the first re-exported cargoes delivered to southern Europe since the beginning of the summer with the last such cargo delivered on June 6, according to Bentek. The buyers and sellers of the cargoes could not be ascertained.
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