PipeChina recently disclosed the Q1 2021 data on LNG terminal access services. A total of 3.94 Mt LNG was imported at its six operating terminals. CNOOC and Sinopec were still the main users of the capacity. Non-NOC users are mainly incumbents in the city gas sector in southern China’s Guangdong province, reflecting the region’s robust gas demand and diversified player landscape. Third-party access (TPA) users reportedly need to share the burden of the NOCs’ legacy long-term contracts which is holding back some terminal users from making a deal. Nevertheless, we expect China’s LNG demand to grow by over 10 Mt in 2021. The cost-sharing proposal, if implemented, will not be sustainable as China’s total regas capacity will ramp up quickly and potentially compete for TPA users.