Platts proposes to launch several LNG freight assessments July 1

Platts, part of S&P Global Commodity Insights, is proposing to launch several implied LNG freight assessments to reflect the trade flow in emerging demand centers, effective July 1.

With global seaborne LNG trade crossing over 400 million mt two years ago, and with expectations of it touching 500 million mt in five years, according to the International Energy Forum, market participants will require freight costs for shipments from new and existing LNG terminals to emerging demand regions.

Platts has identified many new emerging LNG trade routes that necessitate dollar-per-MMBtu freight cost assessments basis tri-fuel diesel electric propulsion, or TFDE, type LNG carriers.

• West Coast Canada-North China
• Mozambique (Coral South FLNG)-Mediterranean
• Mozambique (Coral South FLNG)-West India
• Mozambique (Coral South FLNG)-North China
• Mozambique (Coral South FLNG)-Thailand
• Australia-North China
• Australia-Philippines
• Australia-Thailand
• Malaysia-Philippines
• Qatar-Thailand

The sailing days identified for the above routes are based on an average speed of 17 knots. The following variables are considered in the assessments:

• LNG Canada-Tianjin: 12 days
• Mozambique (Coral South FLNG)-Barcelona (via Suez Canal): 15 days
• Mozambique (Coral South FLNG)-Dahej: 7 days
• Mozambique (Coral South FLNG)-Tianjin: 17 days
• Mozambique (Coral South FLNG)-Map Ta Phut: 12 days
• Gladstone-Tianjin: 11 days
• Gladstone-Batangas: 8 days
• Gladstone-Map Ta Phut: 10 days
• Bintulu-Batangas: 2 days
• Ras Laffan-Map Ta Phut: 11 days

The port charges for newly added ports are as follows:

• LNG Canada: $190,000
• Barcelona: $150,000
• Mozambique (Coral South FLNG): Free of port charges
• Tianjin: $250,000
• LNG Map Ta Phut Terminal 1 (LMPT1): $100,000
• Batangas (FSRU BW Batangas): Free of port charges

The other ports considered will apply existing port charges for TFDE vessels, as detailed here: /content/dam/spglobal/ci/en/documents/platts/en/our-methodology/methodology-specifications/global_lng.pdf.

These calculations will be in line with the existing freight cost assumptions. For further details, please refer to: /content/dam/spglobal/ci/en/documents/platts/en/our-methodology/methodology-specifications/global_lng.pdf.

The assessments would be published in the Platts LNG daily and daily fixed pages LNG0600, LNG1600 and NG1058, and in the monthly fixed pages LNG1601, LNG0601 and NG1057.

Please send all feedback, comments and questions to LNGeditorialteam@spglobal.com and pricegroup@spglobal.com by May 31.

For written comments, please provide a clear indication if they are not intended for publication by Platts for public viewing. Platts will consider all comments received and make those not marked as confidential available upon request.