--DES Northeast Asia

Amid speculation that the US may launch a large-scale attack on Iran as early as this weekend, uncertainty surrounding the supply of Middle Eastern energy persists, and prices are facing upward pressure. However, the DES Northeast Asia market does not appear to be facing tight supply. In addition to European traders Vitol and Glencore with room to sell cargoes for delivery in early May, Russia's Sakhalin Energy was said to have recently sold one cargo from the 10.8 mil mt/year Sakhalin 2 project on a DES basis for delivery to Northeast Asia in late May to early June. According to a Japanese company, the firm sold this cargo at $16.50 through a tender, and it is possible that a Chinese company purchased it. Elsewhere, the 16.3 mil mt/year North West Shelf project in Australia was said to have completed repair works after the cyclone attack, and the project seemed to have actually resumed LNG production as well.

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

State-run Bharat Petroleum Co Ltd (BPCL) bought a cargo for Apr 1-7 delivery at $17.90 through its DES buy tender closed on Mar 31. In addition, state-run Indian Oil Corp (IOC) was said to have picked up one cargo for delivery on either Apr 10-12, Apr 15-16 or Apr 20-24 through a DES-based buy tender closed on Apr 1.

--FOB Atlantic, DES Europe and South America

State-owned Oman LNG was said to have issued a sell tender on a DES basis. In the tender closing on Apr 2, Oman LNG offered one cargo from the 11.4 mil mt/year Oman Project for delivery to Northeast Asia, Southeast Asia or South Asia during May 12-24. Although Oman has been frequently attacked by Iran, no significant damage has been confirmed recently, and LNG production is expected to see no disruption. On the other hand, due to the onset of the global off-demand season and the view that some shipowners are avoiding approaching Oman, there is a possibility that spot availability from the Oman project is increasing.