Reuters: Global LNG Prices Climb as Egypt Award Helps Spur Spot Activity

Asian liquefied natural gas (LNG) prices for December delivery rose this week as traders and energy companies moved to fill slots awarded in the recent Egypt tender.

The price of Asian spot cargoes for December delivery rose to $7.10 per million British thermal units (mmBtu) from $6.80 the previous week.

Egypt awarded a 55 cargo tender last week to companies including Trafigura, Vitol, Noble Group, Gas Natural, PetroChina and Shell for deliveries starting before the end of the year.

"There's some short covering demand from traders and portfolio players," said a broker.

Three sources said allocations from Egypt's tender award included 16 cargoes for Trafigura, 13 for Gas Natural, between 5 and 7 for Petrochina, and one or two for Vitol.

Traders were awaiting the results of the Dubai Supply Authority (DUSUP) tender to buy between 4-6 LNG cargoes in both 2016 and 2017. MORE