Singapore to allow LNG buyers to import 10 pct supply from spot market

Singapore to allow LNG buyers to import 10 pct supply from spot market

Singapore’s gas customers will be allowed to import up to 10 percent of their annual long-term quantity from the spot market, according to the country’s trade and industry minister, S. Iswaran. 

The minister revealed in his speech at an LNG event on Tuesday in Singapore that the Energy Market Authority “will allow interested parties to import spot LNG cargoes for domestic use after the conclusion of BG’s exclusive franchise.”

Under the spot LNG import policy, gas buyers would be given annual credits to import up to 10 percent of the total long-term contracted quantities in the form of spot cargoes, Iswaran said.

He added that Singapore is is the second stage of the post-3 mtpa request for proposal process.

Currently, BG Group that was recently acquired by Shell is the exclusive gas aggregator for the first 3 mtpa of LNG.

Three companies have been shortlisted for the second tranche of LNG supplies. Two companies out of Pavilion Gas, Sembcorp Industries and Shell will become Singapore’s next LNG importers.

Singapore’s Secondary Gas Trading Market (SGTM) will additionally allow gas users to on-sell excess gas which would lead to price discovery and move the country to its goal of becoming a regional hub, Iswaran added.

Furthermore, he noted that Singapore’s LNG trading sector has been going through a period of growth with more than 30 LNG companies present in the country.

The government is also engaged in developing the gas trading hub through the enhancement of the LNG infrastructure for energy security and to support a wide spectrum of ancillary LNG activities.

 

LNG World News Staff

Share this article

Follow LNG World News

Events>

<< Nov 2019 >>
MTWTFSS
28 29 30 31 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 1

CWC World LNG Summit & Awards Evening

The CWC World LNG Summit & Awards Evening will be returning to Rome in 2019 to celebrate it’s 20th year.

read more >

6th Mozambique Gas Summit & Exhibit

This year’s edition will have a revamped programme for attendees.

read more >

LNG Pricing, Trading & Hedging: 3-Day Training Course – London / Nov 2019

This three-day training program provides a unique opportunity to learn and apply the practical skills, knowledge and tools needed to:…

read more >

FLNG World Congress 2019

2019 FLNG World Congress will bring together stakeholders across the floating liquefaction value…

read more >