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Platts: Asia LNG Spot Prices for February-Delivered Cargoes Gain 11% in January on High Winter Demand

   Platts: Asia LNG Spot Prices for February-Delivered Cargoes Gain 11% in
                        January on High Winter Demand

Year-over-Year LNG Prices Up 9% on January 2012 Levels due to Cold Wave

PR Newswire

SINGAPORE, Jan. 17, 2013

SINGAPORE, Jan. 17, 2013 /PRNewswire/ --Asia liquefied natural gas (LNG) spot
prices for month-ahead delivery gained 11% from December to January, rising to
$17.348 per million British thermal units (/MMBtu) on the back of high winter
demand, according to the latest monthly Platts Japan/Korea Marker (JKM) data.

On a year-on-year basis, the Platts February JKM marker was up 9% from January
2012, when the Platts JKM price assessment for February delivery was at
$15.937/MMBtu. This was the first year-on-year increase in five months.

"Lower-than-expected winter temperatures triggered the need for additional
spot market supplies amid competing demand from South America. The latter
generated more bullish sentiment, as spot availability to the Far East was
further reduced, aggravating the tightness in the market," said Sarah Cottle,
Asia and Europe power editorial director at Platts, a leading global energy,
petrochemicals and metals information provider and a premier source of
benchmark price references.

The latest monthly Platts JKM average for month-ahead delivery, i.e. delivery
in February 2013, was assessed over the period of December 17, 2012 to January
15, 2013.

The Platts JKM is an assessment of LNG prices for spot cargoes delivered to
Japan and South Korea, based on the most recent trades and/or bids and offers
from buyers and sellers in the open market prevailing at the close of the
trading day. The monthly JKM assessments are month-ahead delivered prices and
are an average of the daily JKM price assessments reported by Platts.

Meanwhile, during the assessment period, the prices of two substitute fuels --
thermal coal and fuel oil -- which are burnt by Asian utilities, dropped 1%
and gained 1%, respectively month-on-month.

Platts JKM and Substitute Fuel Prices (Monthly Averages)*
                                                Year-On-Year Month-On-Month
                           Feb-13 Feb-12 Jan-13
                                                Change %     Change %
JKM ($/MMBtu)              17.35  15.94  15.63  8.85         10.99
Qinhuangdao coal ($/MMBtu) 4.18   5.17   4.23   -19.04       -1.03
180 CST fuel oil ($/MMBtu) 16.06  17.85  15.94  -10.02       0.76
Source: Platts



For more information on natural gas or the methodology used by Platts in its
power assessments, visit the Platts website www.platts.com.

Platts' monthly reports on Asia LNG prices and market developments are
typically published shortly after the 15^th of each month.

*Figures in the table are monthly averages of daily values assessed by Platts
from December 17^th to January 15^th. Platts JKM rolls on the 16^th of each
calendar month

About Platts: Founded in 1909, Platts is a leading global provider of energy,
petrochemicals and metals information and a premier source of benchmark prices
for the physical and futures markets.Platts' news, pricing, analytics,
commentary and conferences help customers make better-informed trading and
business decisions and help the markets operate with greater transparency and
efficiency.Customers in more than 150 countries benefit from Platts' coverage
of the carbon emissions, coal, electricity, oil, natural gas, metals, nuclear
power, petrochemical, and shipping markets. A division of The McGraw-Hill
Companies (NYSE: MHP), Platts is headquartered in New York with approximately
900 employees in more than 15 offices worldwide. Additional information is
available at http://www.platts.com.

About The McGraw-Hill Companies:The McGraw-Hill Companies (NYSE: MHP), a
financial intelligence and education company, signed an agreement to sell its
McGraw-Hill Education business to investment funds affiliated with Apollo
Global Management, LLC in November 2012. Following the sale closing, expected
in early 2013, the Company will be renamed McGraw Hill Financial (subject to
shareholder approval) and will be a powerhouse in benchmarks, content and
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Aviation Week. The Company will have approximately 17,000 employees in more
than 30 countries.Additional information is available
atwww.mcgraw-hill.com.

SOURCE Platts

Website: http://www.platts.com
Contact: Elizabeth Catalano, +44-207-176-6024; or Kathleen Tanzy,
+1-212-904-2860, Kathleen_tanzy@platts.com
 
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