GLOBAL LNG-Prices sink on Argentina tender result and new supply
* Egypt expected to launch big new tender, weeks away
* Argentina tender result sets tone
* Pricing varied due to differing cargo grades
By Oleg Vukmanovic and Sarah McFarlane
MILAN/LONDON, Jan 15 (Reuters) - Asian liquefied natural gas (LNG) prices sank this week after Argentina's tender result soured hopes of a recovery amid poor demand, while fresh supply began pumping from Australia.
The announcement that Cheniere's landmark U.S. export plant would delay production until March left the market unfazed, March prices tumbled to around $5.60 per million British thermal units (mmBtu), even as some sellers were heard offering at lower levels.
"Regarding March prices, we are receiving offers in the mid-$5's, (it's) hard to track bids as they are moving fast," one trade source said.
"There is very little liquidity, not seeing a lot of transactions but the market seems on the way down," another trader said, adding that Argentina's cargo purchase for March into the Bahia Blanca terminal seemed the best guide.
Argentina's YPF paid a price in the mid-$5 per mmBtu range for its March delivery into Bahia Blanca in a recent tender. Continuación...