The highly seasonal north China market is at risk of shortages
The highly seasonal gas market in BTH sees demand grow at a fast pace and at massive scale. In 2017, we've already seen fairly high LNG imports in the summer months because of strong momentum in industrial switching. This means that the winter LNG demand will be even stronger as R&C heating demand will be added on top of the strong demand we've seen throughout the summer.
Will BTH be able to build up a large enough gas supply? If all goes according to plan, there should be just enough gas supply, but if the critical Shaan-Jing IV pipeline is late, other supplies fail or temperatures drop to lower-than-anticipated levels, consumers are likely to face interruption. In fact, Beijing has had a cold start to winter, and there have already been gas supply interruptions in Hebei.