South Korea’s Korea Southern Power Co (KOSPO) has issued a longer-term, buy tender for liquefied natural gas (LNG) cargoes, two industry sources said on Wednesday.

The supplies are sought on a delivered ex-ship (DES) basis starting 2024-2025, and the tender will close on Nov. 7, the sources said.

KOSPO is seeking 0.3-0.4 million tonnes per year (mtpa) supply over 15 years on a JKM-linked basis, said one of the sources, referring to the benchmark Japan-Korea-Marker price for LNG.

Buyers of LNG usually price off benchmarks such as the JKM in Asia or the Henry Hub for natural gas prices in the United States, though long-term LNG contracts are typically linked to Brent crude prices.
Source: Reuters (Reporting by Emily Chow; Editing by Subhranshu Sahu)