Singapore (Platts)--14Dec2012/523 am EST/1023 GMT

Platts January LNG Japan Korea Marker ended the week marginally lower at $16.225/MMBtu as more supply led to lower offers, with sellers chasing limited demand for the period.

The January JKM started at $16.25/MMBtu Monday.

Most of North Asia has secured sufficient spot winter supply for January, leaving PetroChina and India's GAIL looking for one cargo each, sources said.

Supply for the period increased as Indonesia's Tangguh, Nigeria LNG, Yemen LNG and Norway's Snohvit ramped up production after experiencing problems last month.

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A limited trading period before Japan shuts for a two-week break at the end of December, further increased competition among sellers to find homes for their LNG.

Any further price loss was, however, curbed by temperatures dropping across North Asia, which boosted heating needs in the region and increased demand for LNG in South Korea, China and Japan.

Ten of 12 regions in Japan, Asia's largest LNG buying country by volume, have a 50% probability of colder-than-normal weather from December 15 through January 14, according to a forecast released by the Japan Meteorological Agency Friday.

Japan's three-month weather forecast for December to February indicates colder-than-normal weather for 10 of the country's 12 regions, according to data from the JMA November 23.

South Korea's state power distributor issued an energy alert Friday as electricity reserves dropped on heavy consumption, fueling concerns of winter shortages due to a nuclear power shortfall.

Temperatures in South Korea have dropped to as low as minus 18.1 degrees Celsius in recent days, driving up electricity demand.

In addition, Thailand's PTT was seeking a total of two cargoes for delivery in February and March via a buy tender which closed earlier this week, sources said. PTT officials were not available for comment.

Platts January DES West India settled at $14.40/MMBtu, down from Monday's $14.45/MMBtu.

Sellers have started offering unsold January cargoes to buyers in India. "We are currently assessing our January demand because of the high prices being quoted around the mid-$14s/MMBtu by sellers for a January cargo," a source with an Indian importer said, adding that he had been receiving multiple offers for January, but would keep his bid below $14/MMBtu for a January cargo.

--Hong Chou Hui, chou_hui_hong@platts.com
--Max Gostelow, max_gostelow@platts.com
--Edited by Geetha Narayanasamy, geetha_narayanasamy@platts.com

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