Reflecting the improving outlook, spot Asian LNG prices averaged US$8/mmBtu in 2017, up from the 2016 lows of US$4/mmBtu. Prices have continued to rise early in the new year, reaching more than US$11mmBtu. The renewed price strength for LNG reflects the supportive rise in oil prices, as well as structural changes in demand, particularly in China where largescale switching from coal to gas is underway as part of its air quality environmental crackdown.
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