LNG

Long-term LNG charters – not spot cargoes – are buyers’ favourite, once again, as they provide greater protection against freight rate spikes and shipping disruptions. This trend could tighten global LNG carrier availability for years to come.

The French shipping firm CMA CGM is preparing to deploy its new LNG-fuelled containership Notre Dame on its Asia-to-Europe service. The vessel made its maiden call at Yangshan Port in Shanghai on May 22 and is now en route to Le Havre, France, where it will be named in early June. The 24,211 TEU vessel is the first of 10 ships due for delivery through to 2028.

An LNG tanker loaded at ADNOC’s Das Island terminal has exited the Strait of Hormuz and is now on route to India. The most likely buyer is Indian Oil Corp, the counterparty to ADNOC’s latest long-term supply agreement.

Kinetics LNG has secured a $125 million investment from Turkish private equity firm Actera Group to help fund the expansion of its floating LNG business, targeting emerging markets.

A third Qatari LNG tanker has transited the Strait of Hormuz bound for China after Qatari mediators arrived in Tehran to help broker a deal to end the US-Iran conflict. The vessel, Al Sahla, is scheduled to arrive at China’s Tianjin LNG terminal on June 14, according to LSEG shipping data.

Singapore has secured enough LNG from outside the Middle East to last through the end of this year, as state-owned buyer GasCo accelerated spot purchases to replace cargoes affected by disruptions around the Strait of Hormuz. Negotiations are underway for long-term offtake from the US, Australia and Canada.

Equinor has warned Europe could face a critical gas stock shortfall if disruption to shipping through the Strait of Hormuz lasts one to three months, as low inventories and distorted prices slow replacement flows. CEO Anders Opedal said Norway has “no spare oil and gas capacity,” as tighter market increase buying interest in Equinor’s own exports, notably LNG.

QatarEnergy, ExxonMobil and Egypt have agreed to assess commercializing Cyprus gas discoveries via Egypt’s existing LNG infrastructure. Supply from the Aphrodite discovery, estimated at 4.5 trillion tcf, will be routed to Egypt’s underutilized liquefaction plants at Idku and Damietta, with 12.2 mtpa capacity combined.

Volumes of natural gas feeding the nine major US LNG export terminals are sliding towards a 16-week low, even as ExxonMobil/QatarEnergies’ Golden Pass terminal returns from maintenance, according to LSEG data.

Japanese utility Inpex has signed preliminary deals with BP and Shell Eastern Trading, as well as the Indonesian companies PLN Energi and Perusahaan Gas Negara, to offtake LNG from the 9.5 mtpa Abadi liquefaction project. The accords take the project closer to a final investment decision (FID) in 2027.