India’s efforts to build a gas based economy is set to get a boost from the falling spot LNG prices that had skyrocketed to over $30/mmbtu (from $2 a few months ago on the back of the winter demand and supply constriants.
According to an estimate made by Emkay Global Financial Services, Asian spot LNG prices have started cooling off now with the latest deals happening at sub-$ 10 level for March delivery.
This should consolidate at $ 5-6/mmbtu due to seasonality and resolution of supply issues, offering higher volumes for the Indian LNG players, the brokerage said in its report.
