LNG

Security costs rather than freight fundamentals are increasingly determining LNG shipping economics. Owners face "between 6 and 10 million dollars for every single shipment" before vessels enter the Strait of Hormuz, simply to secure additional insurance cover, said Tom Beney, Senior Vice President of Ocean Freight at StoneX.

LNG remains central to Britain’s energy security though the nation’s gas system faces an “emerging risk” to supply, the National Energy System Operator (NESO) warns. Imported LNG helps cushion the network during winter peaks, but NESO’s latest Gas Security of Supply Assessment urges the government to prepare for potential disruptions.

Donald Trump’s declaration of a ‘new golden age’ in US–Japan relations is shaping a new phase in LNG trade and resource security. Tokyo Gas is in advanced discussions with American LNG suppliers, while JERA locked in several 20-year offtake deals in a bid to ensure prices stability.