LONDON/SINGAPORE- Buyers of liquefied natural gas (LNG) from the United States are expected to cancel no more than five cargoes for November loading as winter demand in Asia has lifted prices, after dozens of cancellations earlier this year, several trade sources said on Monday.
Buyers usually have to notify some US producers by the 20th of each month about cargo rejections for the month after the next one. It was not immediately clear if any cargoes have been cancelled for November.
Four sources said they expect a maximum of five cargoes to be cancelled, while three sources said they expect no cancellations at all.
This is in contrast to large-scale cancellations in previous months due to low demand and prices amid the coronavirus pandemic.
Up to 10 cargoes were likely cancelled for October loading, around 25 for September, 40 to 45 for July and August and around 20 for June.
Spot LNG prices in Asia have risen to multi-month highs in recent weeks supported by firmer demand and supply issues in Australia and the United States. LNG.