Middle East & Africa: Price trends
Rising LNG exports from West Africa will cap gains in spot LNG prices over the coming months.
An oversupplied LNG market is prompting the three West African LNG exporters – Nigeria, Equatorial Guinea and Angola – to trade more of their shipments on the spot market. The three countries together exported 21.91 mt of LNG in 2016, of which 63.5% was traded on the spot market or under short-term contracts. The share of spot transactions is set to increase in 2017 as countries such as Australia and the US boost their LNG exports, while North African LNG suppliers – Egypt and Algeria – are also ramping up exports. GGA forecasts LNG exports from West Africa will rise by 20% year on year in 2017, to 26.3 mt.