LNG freight rates up, spot prices surge

Charter rates for the global liquefied natural gas carrier fleet rose last week, while spot LNG prices surged to a new record due to the Russia-Ukraine crisis.

LNG freight rate for a 160,000-cbm TFDE carrier reached $28,250 a day in the Atlantic on Friday, according to Spark Commodities.

Compared to the previous week, the rate rose by $29,25O.

On the other side, the Pacific rate rose slightly, or $750, and it reached $16,000 a day.

LNG freight rates strengthened “significantly” in the Atlantic basin as charterers look to secure vessels amid the market volatility, Spark said.

To remind, the Singapore-based firm reported its first-ever negative spot LNG freight rate at the beginning of February, some three months after charter rates for the global LNG carrier fleet hit their record highs.

LNG freight rate for a 160,000-cbm TFDE carrier reached -$750 a day in the Atlantic on February 7.

Spot LNG prices spike

The rise in charter rates comes at a time when Asian spot LNG prices reached record highs.

The JKM spot LNG price surged to $59.672/MMBtu last Thursday on concern over tight supply due to the Russia-Ukraine conflict and Russian cargo diversions, according to S&P Global Platts.

Previously, the price hit the highest level of $56.326/MMBtu in October last year due to the gas price crisis in Europe.

Platts also said that the delivered price of LNG into Northwest Europe and the value of US FOB Gulf Coast cargoes loading 30 to 60 days forward hit new record highs on March 4.

Platts DES Northwest Europe was assessed at $60.117/MMBtu, up $15.921/MMBtu on the day and above the previous record of $58.638/MMBtu on December 21, 2021.

Moreover, Platts Gulf Coast Marker was assessed at $58.250/MMBtu, up $16.350/MMBtu on the day and above the previous record of $54.95/MMBtu that was also registered on December 21, the agency said.

Most Popular

Atlantic LNG shipping rates, European prices down

Atlantic LNG freight shipping rates and European prices decreased this week compared to the week before.

Glenfarne becomes majority owner of Alaska LNG

US energy firm Glenfarne has signed definitive agreements with state-owned Alaska Gasline Development Corporation to become the majority owner of the giant Alaska LNG export project.

Petronas to supply LNG to PetroVietnam Gas

Malaysian energy giant Petronas will supply liquefied natural gas (LNG) to PetroVietnam Gas, a unit of state-owned PetroVietnam, next month. The two firms will also look into the possibility of signing long-term LNG contracts.

More News Like This

Atlantic LNG shipping rates, European prices down

Atlantic LNG freight shipping rates and European prices decreased this week compared to the week before.

Atlantic LNG shipping rates rise to $31,000 per day

Atlantic LNG freight rates rose to $31,000 per day this week, while European prices also increased compared to the prior week.

Atlantic LNG shipping rates rise to four-month high

Atlantic LNG freight rates rose to $25,750 per day this week, while European prices also increased compared to the prior week.

Atlantic LNG shipping rates remain steady this week

Atlantic LNG freight rates remained steady this week, while European prices continued to decrease.