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Bangladesh closed a spot buy tender for end March delivery window

The state-owned Rupantarita Prakritik Gas Company Ltd (RPGCL) of Bangladesh has issued a spot buy tender for a cargo to be delivered during March 30-31. The buy tender was closed on Feb 27.

A subsidiary of Petrobangla, RPGCL had awarded its previous buy tender to the Japanese major JERA for $16.50 for the Mar 10-11 delivery window. Its earlier buy tender was awarded to TotalEnergies when prices had just started sliding down. The buy tender was awarded to TotalEnergies at $19.74. TotalEnergies recently supplied the cargo from US based Calcasieu Pass liquefaction terminal. The cargo was supplied via the tanker 155,000cbm tanker Seapeak Magellan on Feb 21 to Chittagong of Bangladesh.

At below $15 spot prices, spot LNG has become an attractive option for the Asian buyers. Most South Asian buyers stayed away from the spot market since early part of 2022 as Europe attracted most of the spot volume offering huge premium to S&P JKM benchmark prices. Following Russia Ukraine war, Russian piped gas to Europe reduced to less than one third of its 2021 level which prompted Europe to replace Russian gas with the LNG to meet its immediate energy requirement.