Kogas to cut spot LNG cargo purchases
Kogas of South Korea decided to buy fewer spot LNG cargoes in the near future due to the lower domestic demand.
The company has deferred numerous deliveries in the past months due to high stocks, but a senior executive said that the situation has been resolved. Still, the world’s largest LNG buyer will be reducing spot purchases to brace for weak domestic demand, reports Platts.
Decline of the LNG sales has been attributed to the restart of some nuclear power plants and mild temperatures.
The executive also said that Kogas is looking to alter its LNG contracts and eliminate destination restrictions, in order to be able to resell the imported cargoes in case of the change in supply/demand situation.
LNG World News Staff; Image: Kogas