Fearnleys Weekly - Gas

Chartering

After a quiet start of the week, the market for end November fixing in the MEG turned quickly. In all likelihood, the short term negative trend is over as the remaining vessel positions are controlled by merely a couple of pure owners. A couple of cargoes, including one from an Indian PSU has yet to be covered. In the West, there is a Bonny cargo tender in the market which may attract some interest towards the end of this week. In the US, the market was rather still-standing this week, largely due to a negative arb. But an industry conference in Panama also have to take some of the blame, taking several market participants away from their desks. For the pressurised Coaster segment, it is interesting to note Statoil sent out a timecharter enquiry basis 2x5000 cbm (PR) LPG/c’s for delivery between July 19 and June 20. They are open for offers basis existing tonnage and/or NB’s for TC period between 3 up to 5 years firm plus up to 5 optional years. The market for the 5000 cbm PR tonnage has been firming steadily and with little new tonnage added to the fleet it will be interesting to see how the industry will assess this timecharter request.

Activity level

COASTER 15-23,000 cbm 82,000 cbm
Stable Stable Increasing

Rates

* Excl. waiting time, if any
SPOT MARKET (usd/month)* This week Last week Low 2017 High 2017
VLGC / 84,000 410,000.00 540,000.00 180,000.00 765,000.00
LGC / 60,000 500,000.00 500,000.00 350,000.00 500,000.00
MGC / 38,000 420,000.00 420,000.00 420,000.00 550,000.00
HDY / 22,000 350,000.00 350,000.00 350,000.00 550,000.00
ETH / 10,000 410,000.00 410,000.00 410,000.00 540,000.00
SR / 6,500 360,000.00 360,000.00 360,000.00 450,000.00
COASTER Asia 245,000.00 240,000.00 190,000.00 245,000.00
COASTER Europe 230,000.00 230,000.00 110,000.00 230,000.00

LPG/FOB prices (usd/tonne)

Propane Butane ISO
FOB North Sea / ANSI 524.50 502.50
Saudi Arabia / CP 575.00 580.00
MT Belvieu (US Gulf) 491.70 457.53 473.53
Sonatrach : Bethioua 525.00 528.00

LNG

SPOT MARKET (usd/day) This week Last week Low 2017 High 2017
East of Suez 155-165'cbm 53,000.00 53,000.00 25,000.00 53,000.00
West of Suez 155-165'cbm 60,000.00 60,000.00 29,000.00 60,000.00
1 yr TC 155-165'cbm 46,000.00 42,000.00 31,000.00 46,000.00

Sales and purchases

Vessel Cbm Type Built Buyers Price Misc
No reportable sales this week