Singapore LNG cargo indices were at a high of $6.53 per million British thermal units for North Asia as seasonality set and April spot cargoes were quoted around $5.95 per MMBtu, while the oil price remained steady above $62 per barrel.
The Singapore average index for March was at US$6.136 per MMBtu, falling from last week’s average of US$6.558 per MMBtu.
Singapore’s latest LNG indices released on February 14 included a price of US$6.162 per MMBtu for the first half of March and was lower at US$6.111 per MMBtu for the second half of March.
Cargo prices for the first half of April were at US$6.015 and down again for the second half of April at US$5.957 per MMBtu.
The Sling is an index series for LNG developed by the Singapore Exchange (SGX) and its subsidiary Energy Market Company (EMC).
It is a spot index for cargoes “on the waters in the vicinity of Singapore which could go into any port” and based on cargo sizes of 135,000 cubic metres capacity to 175,000 cubic metres capacity.
The North Asia price dropped to a March average of US$6.506 per MMBtu versus US$6.888 last week.
North Asia cargoes for the first half of March were the highest on the board at US$6.529 per MMBtu, before declining for the second half of March to US$6.483 per MMBtu, then down further to US$6.313 for the first half of April.
The North Asia prices are for delivery ex-ship (DES) to all ports in Japan, Korea, Taiwan and China.
The Dubai-Kuwait-India Sling index is assessed in collaboration with London-based, inter-dealer global brokerage Tullett Prebon for regional cargoes shipped to India and the Middle East and averaged US$6.205 per MMBtu for March, down from last week’s US$6.613 per MMBtu.
The DKI index, based on a cargo of between 138,000 cubic metres capacity and 170,000 cubic metres, is seen at a high in the first half of March of US$6.225 per MMBtu before dropping to US$6.185 per MMBtu for the second half of March and lower still to US$6.090 for the first half of April.
The SGX LNG Index Group (Sling) is an initiative by SGX and EMC for spot LNG price discovery. It is a benchmark based on assessments of LNG cargo value by market participants.
They provide assessments based on the value of an LNG cargo at a specific location for delivery.
The Sling is based on participants submitting assessments to determine an index value.
“The participant pool consists of a broad group of market players to ensure that any Sling Assessment is as representative of actual market conditions as possible,” says the SGX, while pointing out that the participant is kept confidential at all times.
The SGX-EMC LNG prices include both lean and rich cargoes.
