Supply & Demand

Peruvian LNG exports evolve amid oversupply

LNG from Peru is increasingly being traded on the spot market, encouraging the exporter to explore regions beyond Latin America LNG from Peru is increasingly being traded on the spot market, encouraging the exporter to explore regions beyond Latin America.
By Abhishek Kumar 24 July 2017 0 26901
LNG from Peru is increasingly being traded on the spot market, encouraging the exporter to explore regions beyond Latin America. (Repsol)

Directional impact on forecast:
Bearish on spot LNG prices

Peru is being forced to find new markets for its LNG. Demand for the fuel in Latin America is declining, competition from regional suppliers such as the United States is ratcheting up, and the companies involved in marketing Peruvian LNG are seeking regions offering higher prices. All of this means more of Peru’s volumes will be traded on the spot market, which will be a challenge for incremental revenue generation as the global LNG market...