According to the data of SunSirs, the domestic LNG rose 9.28% in September, and then rose again after the holiday. In the traditional peak season, the price continued to rise under the boost of demand. On October 30, the average price of domestic LNG was 3,766.67 RMB/ ton, up 43.22% compared with the beginning of the month and 14.12% lower than the same period last year.

Analysis of Influencing Factors

In the peak season of traditional market in October, the domestic LNG market continued to rise, the trading center shifted upward, and the LNG price continued to rise throughout the month, with prices in many places rising by more than 1,000 RMB. On October 30, PetroChina Western Branch's raw material natural gas auction, the transaction price was about 1.68-1.7 RMB/ m3, which was still in the expectation. The operators took a wait-and-see attitude. The LNG plant adjusted the price according to the delivery situation, but the overall market situation was still upward.

In October, the temperature dropped sharply, the domestic LNG market warmed up, Xinjiang, Inner Mongolia, Northeast China and other regions advanced heating, coal demand increased, vehicle demand continued to improve, gas station sales significantly improved, and the overall market demand increased significantly.

According to the data of SunSirs, as of October 30, the average price of Inner Mongolia area was around 3,790 RMB/ ton; that of Shaanxi was around 3,850 RMB/ ton; that of Shanxi was 3,900 RMB/ ton; that of Xinjiang was 4,250 RMB/ ton; that of Ningxia was 3,920 RMB/ ton; and the average price in Sichuan was 3,820 RMB/ ton; the prices of various regions rose sharply in October.

Market Forecast

SunSirs analysts believe that: the market atmosphere in October is good, and the price continues to push up strongly. However, with the rising price rising, and the start of maintenance enterprises in the early stage, the supply volume increases, the downstream mentality is slightly tired, the local transaction atmosphere starts to weaken, the rising trend has slowed down, and some of them have a callback phenomenon. It is expected that China domestic LNG market will continue to rise in the short term, but the range is limited.

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