Nigeria Liquefied Natural Gas (NLNG) and Angola’s LNG project are offering three cargoes of LNG in the international market in the midst of Price Fall.

While NLNG is offering two cargoes next month, Angola is offering one in June. The average LNG price for June delivery into northeast Asia LNG-AS is estimated at around $1.95 per million British thermal units (mmBtu) about $0.35 per mmBtu lower than the estimate last week.

The LNG price drop has been attributed to sellers around the world flooded the market with cargo offers, while demand remained subdued amid coronavirus-related lockdowns.

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A wave of supply tenders has hit the market as a number of buyers are rescheduling long-term deliveries, leaving suppliers with excess cargoes, an LNG trader said.

“There’s some flexibility in long-term contracts. If the long-term buyer nominates (volumes) down, then the surplus cargoes are offered on the spot market,” another industry source said.

There were also tenders from usual sellers of spot cargoes, traders said.