NATURAL GAS NEWS – January 25, 2022
NATURAL GAS NEWS – January 25, 2022
A Tale Of Two Shipping Markets
It’s a tale of two shipping markets. Spot rates remain near historic highs for container shipping; the boom shows no sign of ending. But over in commodity shipping — dry bulk, crude and product tankers, liquefied natural gas (LNG) carriers — spot rates have now sunk below five-year averages. “A bleak outcome,” said brokerage BRS of the recent rates for very large crude carriers (VLCCs; tankers that carry 2 million barrels). “A terrible start of the year,” it said of rates for Suezmaxes (tankers that carry 1 million barrels). According to Clarksons Platou Securities, average global spot rates for 10-year-old VLCCs fell to just $800 per day on Wednesday. That’s down 90% month on month and down 70% on average year to date versus the same period in 2021, to just a sliver of the breakeven rate of $26,000 per day. For more info go to https://bit.ly/3Iy8sjG
U.S. natgas futures edge up on soaring European prices
Jan 24 (Reuters) – U.S. natural gas futures edged up on Monday as output remains slow to recover from well freeze-offs earlier in January, along with forecasts for more cold and heating demand this week than previously expected and a 16% jump in European gas futures. European gas futures TRNLTTFMc1 soared on concerns that Russia will invade the Ukraine and cut off supplies of gas to the rest of Europe. NG/GB. Traders said demand for U.S. liquefied natural gas (LNG) will remain strong so long as global prices keep trading well above U.S. futures. Global prices were currently about seven times over U.S. futures as utilities around the world scramble
for LNG cargoes to replenish low stockpiles in Europe and meet surging demand in Asia. Front-month gas futures NGc1 for February delivery rose 2… For more info go to https://bit.ly/33QrT8L
This article is part of Daily Natural Gas Newsletter
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