Uptick in Asian LNG Competition Adds to Europe’s Restocking Pressure Before Winter

As Europe tries to meet winter storage goals with further restricted flows of Russian natural gas volumes, Asian LNG prices are on the rise again as buyers from the region add pressure to an already tight global market.

Since before Russia’s February invasion of Ukraine, European buyers have been swaying cargoes of liquefied natural gas to the continent with a healthy price premium over most of Asia. European energy markets have been anticipating increased competition for LNG supply when Asian firms move to restock for winter, but Asian buyers have largely held off during late spring and early summer in the face of record prices.

Kpler Inc.’s Laura Page, senior LNG analyst, told NGI there are signs cargo arrivals to Asia now could be on the rise – especially in the...