LNG: Falling Price and Increasing Flexibility of Supply of LNG in Japan
Article from: OGEL 4 (2003), in National and International Issues in Natural Gas Development
Summary
In the past few years, a growing number of electric and gas utilities in Japan have argued that their LNG sales contracts, which are comparatively costly and lacking in flexibility, should be reviewed, stating that otherwise, Japan's LNG demand is unlikely to increase. Under these circumstances, the media reported that cheap-priced LNG would be supplied to China. Meanwhile, the Japanese LNG importers for their part, taking every opportunity and particularly through contract renewal talks, have won concessions from the suppliers for price cuts and greater flexibility of contract volume as a ...