China’s LNG prices slide as industrial users cut use

China's LNG prices slide as industrial users cut use

Chinese liquefied natural gas (LNG) prices have slipped from record highs as the industrial users were cut off the supply and turned to cheaper LPG and coal. 

Reuters cites Li Ruipeng, manager at Tangshan Huapu Gas Co a company delivering liquefied natural gas via trucks, as saying that some industrial users were unable to afford the LNG as it reached 9,750 Yuan ($1,500) in Inner Mongolia region.

Since December 24, the prices have dropped over 40 percent according to the data from the industry publication yeslng.com, Reuters reports.

The prices dropped as China’s National Development and Reform Commission (NDRC) ordered state-owned companies to cut gas supplies to industrial users by 15 million cubic meters per day. In addition, the prices of domestically produced fuel also had a major impact on the price drop.

Not only were the industrial users turning away from natural gas but even residential users opted for cheaper liquefied petroleum gas or coal.

The NDRC has also informed that the supply of natural to North China was boosted by diverting some 14 million cubic meters of gas per day from the south.

1 CNY = 0.153929 USD

 

LNG World News Staff

Share this article

Follow LNG World News

Events>

<< Oct 2018 >>
MTWTFSS
1 2 3 4 5 6 7
8 9 10 11 12 13 14
15 16 17 18 19 20 21
22 23 24 25 26 27 28
29 30 31 1 2 3 4

LNG Supply, Transport & Storage South Asia Forum 2018

LNG Supply, Transport & Storage South Asia Forum 2018 will address and propagate LNG imports…

read more >

Offshore Energy Exhibition & Conference 2018

Offshore Energy Exhibition & Conference (OEEC) is Europe’s leading offshore energy event.

read more >

LNG Philippines Forum 2018

LNG’s role in the Philippines’ energy mix will only get bigger…

read more >

5th Mozambique Gas Summit & Exhibition

Following the Summit’s success in 2017, the CWC Group in partnership with ENH and with the support and participation from MIREME and INP, are delighted to invite you to the 5th edition of the Mozambique Gas Summit & Exhibition taking place at a larger venue this year, the NEW Joaquim Chissano Conference Centre in Maputo on 31 October – 2 November 2018.

Recognised as the leading strategic meeting for Mozambique’s gas industry, the event addresses the entire gas and LNG value chain bringing together Government officials with industry stakeholders for 3 highly interactive days of networking and frank discussions aiming to establish Mozambique as the next international gas hub.

More info

read more >