Rents for LNG Carriers Reach Record, Says Pareto Securities

Investment bank Pareto Securities reports that rents for ships hauling liquefied natural gas (LNG) reached a record as winter fuel demand runs up against few available vessels.

The hiring of an LNG carrier for a year now amounts to $150,000 (Dh550,920) a day, what is 11% higher than the previous week.

One-time cargoes cost $145,000 a day, up 16% from the week before.

According to Per Kristian Reppe, a Pareto analyst, charter rates will extend gains as few vessels are available for immediate shipments and only six new vessels will join the fleet next year. He added that average daily rates for spot cargoes reached the amount of $91,000 from $40,858 in 2010, and demand for the ships will grow 8% in 2012.

In pursuing efforts to replace nuclear power capacity lost since the March earthquake and tsunami, Japanese demand for LNG has increased.

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World Maritime News Staff, December 20, 2011; Image: K Line