China’s LNG buyers seize on reforms opening access to import infrastructure

China’s smaller liquefied natural gas buyers are seizing on reforms that’ve opened access to import infrastructure to boost competition, issuing a spate of tenders for the fuel over the past month.

The second-tier gas firms, including Guangdong Energy Group Co. and Shenzhen Energy Group Co., are forecast to continue to seek more cargoes with spot LNG prices low, adding a new source of demand for global exporters, according to energy consultant FGE.

“We can expect more emerging Chinese players to be in the market for spot procurement in the coming months as China continues to open up its LNG receiving facilities,” said Alicia Wee, a senior analyst at FGE in Singapore.