Sinopec stocks up on winter LNG cargoes

China Petroleum & Chemical Corporation (Sinopec) has reportedly purchased 10 LNG cargoes for delivery from November to March next year.

Citing industry sources, Reuters reports the purchase through a tender could well be in preparation for an anticipated jump in demand during the winter period.

The cargoes have been purchased on S&P Global Platts’ Japan-Korea Marker-linker pricing.

The November cargo has reportedly been purchased at a slight premium to JKM. However, a 10 cents per million British thermal units (mmBtu) discount was secured for the remaining cargoes.

China’s LNG imports in August have risen to 9.36 million tonnes. This compares to 7.35 million tonnes in July 2020 and 8.34 million tonnes in August 2019.