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Petroleum Devolopments
Volume 41 Issue 12
26
Oct.
2014 Nov.
Dec.
Jan.
2015 Feb.
Mar.
Apr.
May June July Aug.
Sept.
Oct.
Natural Gas
(2)
3.8 4.1 3.5 3.0 2.9 2.8 2.6 2.9 2.8 2.8 2.8 2.7 2.3
WTI Crude
(3)
14.6 13.1 10.3 8.2 8.8 8.2 9.4 10.2 10.3 8.8 7.4 7.8 8.0
1. British Thermal Unit.
2. Henry Hub spot price.
3. WTI – West Texas Intermediate Crude oil price, in dollars per barrel, is converted to dollar per million BTU using a conversion factor
of 5.80 million BTU/bbl.
Source:
http://www.eia.gov/dnav/ng/hist/rngwhhdM.htmTable 5
Henry Hub Natural Gas, WTI Crude Average, and Low Sulfur Fuel Oil Spot Prices, 2014-2015
( Million BTU
1
)
II. The Natural Gas Market
1- Spot and Future Prices of Natural Gas in US market
The monthly average of spot natural gas price at the Henry Hub in
October 2015 decreased by $0.32/million BTU comparing with the
previous month to reach $2.34/ million BTU.
The comparison, shown in
table (5
), between natural gas prices and the
WTI crude reveal differential of $5.7/ million BTU in favor of WTI crude.
2- LNG Markets in North East Asia
The following paragraphs review the developments in LNG Markets in
North East Asia, concerning prices and Japanese, Chinese and South Korean
imports of LNG and their sources, and LNG Exporters Netbacks.
2.1. LNG Prices
In September 2015, the price of Japanese LNG imports increased by $0.5/
million BTU comparing with the previous month to reach $9.6/ million
BTU, the price of Korean LNG imports increased by $0.4/million BTU
comparing with the previous month to reach $9.6/ million BTU, and the
price of Chinese LNG imports increased by $0.2/million BTU comparing
with the previous month to reach $7.4/ million BTU.
2.2. LNG Imports
Total Japanese, Korean and Chinese LNG imports from various sources,
increased by 1.8% or 190 thousand tons from the previous month level to
reach 10.598 million tons.
Table (6)
shows the prices and quantities of LNG imported by Japan,
South Korea, and China for the period 2013-2015.