LNG Freight Rates Fall to Lowest Since June Despite Tanker Diversions

Spot charter rates for the global LNG carrier fleet decreased this week despite the rise in European and Asian prices on the week.

• LNG freight rates continue to decrease despite the Suez Canal / Red Sea tanker diversions and Panama Canal LNG transits limited due to drought.
• Atlantic spot LNG freight rates dropped below $50,000 per day and the lowest reported since June 2023 towards the seasonally softer Q2 period.
• “Spark freight rates fell further this week, with the Spark30S Atlantic spot rate falling by $2,000 to $47,750 per day, and the Spark25S Pacific rate falling by $4,750 per day to $53,500 per day,” said Qasim Afghan at Spark Commodities.
• No LNG tanker have transited the Suez Canal since January 17 according to Kpler with LNG carriers, including Qatari vessels to Europe, favouring the longer route around the Cape of Good Hope.
• The NWE DES LNG delivery for March is showing the first weekly increase in 4 weeks. “The SparkNWE DES LNG price is reported at $7.401/MMBtu, corresponding to a $0.543/MMBtu week-on-week increase,” Afghan said.