Sinopec Trades Maiden Volumes on Chongqing Exchange
Sinopec’s Qingdao LNG terminal traded its maiden volumes of LNG on the Chongqing Oil and Gas Trading Exchange late-September, the state-owned firm said October 9.
The terminal sold 3,340 mt of LNG September 28, Sinopec said, adding that this is a “big step towards market-based pricing”. In May this year China’s highest planning body, the National Development and Reform Commission, said that both buyers and sellers should conduct transactions through platforms such as the Shanghai and Chongqing exchanges in order to arrive at market determined prices.
Sinopec said it is now looking to trade LNG volumes from the Tianjin LNG terminal on the Shanghai Oil and Gas Exchange; the company is looking to gain experience by trading small volumes on these platforms.
Sinopec operates three LNG receiving terminals in China: Qingdao, Tianjin and Beihai, each with a capacity of 3mn mt/yr.