Ample pipelined gas supply chokes LNG sales
Domestic LNG sales have slowed down recently due to sufficient supply of pipelined natural gas, a few LNG plants told C1. It's said that end-users who can assess to pipelined gas slashed their consumption of LNG.
Meanwhile, LNG supply remains stable because quite many producers have postponed their maintenance. For example, Ordos Xingxing Energy put of its turnaround on the 1-million-cubic-metre production unit to the second half month from May 10; Henan Zhongyuan Green Energy Hi-Tech, which originally planned to start overhaul its 250,000-cubic-metre unit in the middle of May, re-scheduled the maintenance to end May or early June.
The shrunk demand, stable output and rising stocks would pressure market prices, expected one market player. Once the prices move down, domestic grades would drop before imported grades, predicted the market player.