Sinopec gas unit caps Tianjin, Qingdao terminal LNG prices

BEIJING,  (Reuters) - Sinopec will put a ceiling on its factory gate liquefied natural gas (LNG) prices to keep charges stable during China’s winter heating season, the company said in a statement on Wednesday.

Sinopec’s gas unit said factory gate LNG prices from its Tianjin and Qingdao terminals will not exceed the maximum factory gate prices in December 2018.

The highest price from Sinopec’s Tianjin terminal was 5,330 yuan per tonne ($15 mmBtu) in December, while the factory gate price from the Dongjiakou terminal in Qingdao was 5,400 yuan per tonne ($15.3 mmbtu), according to data from consultancy Zibo Longzhong Information Group.

The winter heating season, when demand for LNG and coal in northern China often surges, runs from mid-November until mid-March. (Reporting by Meng Meng and Dominique Patton; editing by Richard Pullin)

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