Japanese Spot LNG Price Drops in August

The average price of spot LNG imports into Japan contracted in August was $3.4/mn Btu, sharply down from $5.3/mn Btu in the same month a year earlier, the country's trade ministry (Meti) said on September 9. The price was down 19% month on month.

Meti prices are delivered ex ship (DES) in Japan or else are converted into a DES equivalent and are simple averages, excluding LNG sold on Henry Hub or the Japan Korea Marker, a spot assessment published daily by SP Global. 

Meti also reported September 9 the arrival-based spot LNG price which was at $2.6/mn Btu, down from $5.5/mn Btu in August last year.

The ministry gathers prices from end-consumers of spot LNG and in order to avoid double-counting, it excludes companies that mediate transactions such as trading companies.