--DES Northeast Asia

Spot inquiries from end-users are limited. In China, although the domestic LNG prices by truck have risen to 6,100 yuan per mt, this equates to around $15 per mmBtu on a dollar converted basis. As a result, spot purchases on the international market seem unattractive amid high price concerns. Furthermore, a Chinese end-user has stated that they are "able to meet demand with pipeline gas from Russia and Central Asia under long-term contracts." In fact, despite gas inventories in China falling below 40% of storage capacity, they continue to resell cargoes, suggesting that LNG demand may be limited to only certain areas. There is also a view that spot demand for China will remain sluggish as long as spot prices on the international market exceed domestic Chinese prices. Meanwhile, spot demand in Japan is also subdued. While current temperatures have been on the high side, Typhoon No.6 is forecast to arrive at the Pacific coast of western Japan and eastern Japan in early June. As a result, Tokyo's high temperatures are expected to be capped at 26-27 degrees, leading to a decline in air conditioning usage and a decrease in gas demand.

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

Bangladesh's state-run Rupantarita Prakritik Gas Co Ltd (RPGCL) procured a total of three cargoes via a DES-based buy tender it closed on May 22. It purchased cargoes for June 15-16 delivery at $18.09, June 21-22 delivery at $18.60, and June 24-25 delivery at $18.49, respectively. The successful bidders included South Korean steel major POSCO and French TotalEnergies. The company also sought June 27-28 delivery in this tender, but this cargo was not awarded.

--FOB Atlantic, DES Europe and South America

State-run Angola LNG issued a DES-based sell tender. The tender was for one cargo for mid-June to early July delivery from the Angola project (5.2 mil mt/yr), with Northeast Asia specified as the easternmost destination. The company has recently been conducting sell tenders at a monthly pace. The previous tender was for one cargo for June 30-Aug 5 delivery.