* LNG markets are closely linked to crude prices
* OPEC agrees with Russia to cut production in 2017
* Tighter Asian LNG market also lifts prices
* Gorgon temporarily shuts down one production train
* Cold weather in Japan, South Korea to support demand
By Henning Gloystein
SINGAPORE, Dec 2 (Reuters) - Asian spot prices for liquefied natural gas (LNG) rose to 2016 highs this week, lifted by OPEC's announcement that it would cut crude oil production in cooperation with Russia as well as by a tightening regional gas market.
Spot prices for Asian LNG LNG-AS rose 30 cents from last week to around $7.40 per million British thermal units (mmBtu), trading sources said.
The main price driver was an agreement reached by the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC oil production giant Russia to cut crude output in order to rein in global oversupply that has dogged markets for over two years.
The announcement led to a more than 10 percent rise in oil prices LCOc1 to above $53 per barrel. O/R
With most Asian LNG supply contracts linked to the price of crude, and oil playing a key role shipping costs, the spot LNG market was also affected, traders said, pushing prices to their highest level since late November 2015.
"Whether it's by sentiment, the contractual link between LNG and Brent, or by fuel cost for tankers, the higher oil price because of OPEC's cut has also pushed up LNG prices," one LNG trader in Singapore said.
On the demand side, cold weather in the biggest LNG importing countries is also lifting prices as many traders expect utilities in Japan, South Korea and also China to turn to the spot market to buy cargoes to meet strong heating demand.
Weather data in Thomson Reuters Eikon shows that average temperatures in Tokyo and Seoul are expected to be below the seasonal norm in the next 45 days of peak winter demand.
On the supply side, Chevron (NYSE:CVX) CVX.N said on Wednesday it had halted production from one of its two production units at the huge Gorgon export plant off Western Australia.
"Production from Gorgon LNG Train 1 has been temporarily halted as we assess some recent performance variations. Train 2 production is unaffected, and we continue to produce LNG and load cargoes," a spokeswoman for Chevron, operator of Gorgon, said in an emailed statement.
The energy major is now seeking three prompt LNG cargoes, in order to meet its supply requirements with clients, said trading sources. other LNG news, Egypt will import around LNG 60 cargoes next year, with Glencore GLEN.L contracted to supply around 25 cargoes and Trafigura TRAFG.UL winning the right to supply 18 cargoes.
State-run EGAS, which issued the import tender in late October, sought a total of 96 cargoes for delivery in 2017 and 2018, with an option to buy 12 additional cargoes in 2017. CHART-Japan & South Korea weather outlook:
http://tmsnrt.rs/2fMKwAj
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Editing by Richard Pullin)