Top LNG importer China re-selling more cargoes, eyes trading gains

Trading gains they say. Asian LNG importers opening trading outfits usually do so less for the trading gains but rather to manage over-contracting on long-term contracts as there are so few ways to store the LNG in the country of destination. The usual scheme is to sell off surplus volumes to Europe as Europe has very deep gas storage facilities in place. This is a risk management tool for Asians and their objective is usually less to make money but not to lose too much money. Lights going out is still more expensive so trading becomes a necessary evil. But it would not be China if there was no spin to be put on it.

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