Fearnley: LNG Rates to Drop

LNG

Chartering prices of LNG carriers will be lower than anticipated due to plunging of fuel prices in Japan, Oslo-based investment bank Fearnley Securities AS said in a report, Bloomberg informs.

The average daily charter rates for modern carriers are expected to equal to $125,000 in the last quarter of this year, while in the first quarter of 2013 they will remain under $150,000. Based on Fearnley’s analysis, the older LNG vessels will earn $80,000 a day.

Fuel prices in Japan are about to hit their lowest ranks in the last three years, resulting in too high rates to profit from transporting LNG to Asia.

LNG World News Staff, September 21, 2012