LNG

The LNG market softened further this week, with rates in the West coming under pressure as a growing number of open vessels compete for a limited number of cargoes. East of Suez remained relatively more balanced, with cargo availability broadly matching vessel supply and helping to support rates.

On the BLNG1 Australia–Japan route, rates declined by $5,400 week-on-week to settle at $66,500/day. While the Pacific market remained more balanced than the Atlantic, sentiment softened following the West.

The BLNG2 US Gulf–Continent route fell by $20,267 to close at $28,600/day. An increasing tonnage list and a lack of fresh enquiries weighed heavily on sentiment, leading to a sharp correction in freight rates throughout the week.

Similarly, the BLNG3 US Gulf–Japan route dropped off for the same reasons and declined $17,567 week-on-week to settle at $45,000/day.

In the time charter market, sentiment also weakened across all periods. The six-month rate fell by $11,100 to $69,400/day, while the one-year term declined by $2,600 to $63,567/day. Further out the curve, the three-year period eased by $500 to $74,500/day.

 

LPG

The LPG market recovered this week, with activity picking up in the West as the arbitrage improved and additional cargoes entered the market. A tight front-end tonnage list also provided support, helping freight rates move higher.

On the BLPG1 Ras Tanura–Chiba route, rates settled at $218.75, with TCE earnings closing at $208,259/day.

The BLPG2 Houston–Flushing route increased by $5.75 week-on-week to settle at $165.25, with TCE earnings rising by $6,232 to $193,151/day following improved sentiment in the Atlantic Basin.

Similarly, the BLPG3 Houston–Chiba route gained $27.50 to close at $281.67, while TCE returns increased by $19,770 to $165,761/day. The route saw stronger support as Eastbound cargo demand improved from an improved arb, while a tight tonnage list provided additional support to freight rates.