Japanese June LNG Spot Price Drops
The average price of spot LNG imports into Japan contracted in June was $3.8/mn Btu, sharply down from $5.5/mn Btu in the same month a year earlier, the country's trade ministry (Meti) said on July 9. The price was, however, up 73% compared with May.
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 July 9 the arrival-based spot LNG price which was also at $3.8/mn Btu, down from $7.5/mn Btu in May 2019. Arrival-based LNG is higher as the contracts were signed earlier in the 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.