LNG

The LNG market softened this week, with shrinking cargo enquiry and a growing tonnage list putting pressure on freight rates.

On the BLNG1 Australia–Japan route, rates eased by $800 week-on-week to settle at $73,500/day. The Pacific market remained relatively stable, as 2-stroke availability is currently tight.

The BLNG2 US Gulf–Continent route declined by $20,600 to close at $49,500/day. Rates came under sustained pressure through the week as a lack of cargo activity and an expanding vessel list weighed heavily on sentiment.

Similarly, the BLNG3 US Gulf–Japan route fell $17,500 week-on-week to settle at $62,900/day. The route followed a similar downward trend, with weaker long-haul demand due to the narrowing arb.

In the time charter market, sentiment also softened. The six-month rate fell by $3,000 to $80,500/day, while the one-year term declined by $2,500 to $66,167/day. Further out the curve, the three-year period decreased by $1,800 to $75,000/day.

LPG

The LPG market was relatively slow this week, with muted activity in the West as a weakening arbitrage limited cargo demand and reduced fixing opportunities. As a result, freight rates softened across the Atlantic routes.

On the BLPG1 Ras Tanura–Chiba route, rates settled at $206.25, with TCE earnings closing at $195,516/day.

The BLPG2 Houston–Flushing route declined by $5.75 week-on-week to settle at $162.00, with TCE earnings falling by $5,566 to $190,171/day, this was fuelled off the back of limited enquiry.

Similarly, the BLPG3 Houston–Chiba route fell $13.50 to close at $259.17, while TCE returns decreased by $9,727 to $149,355/day. The route saw a correction as reduced cargo activity weighed on sentiment from the weakening arb.