--DES Northeast Asia

Tensions in Iran are heightening concerns over Middle East supply disruptions, but activities in Northeast Asia is unlikely to pick up remarkably until at least after the end of the Chinese New Year holiday. An analyst said, "The peak demand season is passing, and buyers are shifting their focus toward stockpiling for the summer. However, appetite to procure spot cargoes at current prices remains low, with buyers waiting for a price dip." Additionally, a source at a Japanese gas company said, "Many Japanese end-users have their supply and demand balanced, with no significant inventory drawdown. Spot demand for inventory replenishment itself is limited." Furthermore, with the US-to-Asia arbitrage window closed, if it remains shut, cargoes from Africa and South America are likely to be redirected to Asia. Meanwhile, JERA appears to have secured February-March arrivals as an alternative, as the pace of taking delivery from the resumed 3.7 mil mt/year Darwin Project in Australia remains slow. "It will be necessary to monitor whether JERA continues its substitute procurement going forward," the analyst said. It was pointed out that JERA may have purchased around 500,000mt for February-March delivery, including cargoes secured through swap transactions.

--FOB Middle East, DES South Asia and the Middle East

State-run Bharat Petroleum Co Ltd (BPCL) bought one cargo for Mar 25-Apr 7 delivery to India on a DES basis at around $10.20-10.30 through a tender closed on Feb 13. Indian Oil Corp (IOC) closed a buy tender for a cargo to be delivered to the 5.00 mil mt/year Ennore terminal on Mar 13-21 on Thursday.

--FOB Atlantic, DES Europe and South America

State-run Angola LNG issued a DES sell tender closing Wednesday with bids valid until Thursday. Offered in the tender was a cargo from the 5.20 mil mt/year Angola project to be delivered in March. The easternmost destination would be Southeast Asia.