Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.

  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list

Key LPG Persian Gulf to Japan tanker freight plummets to 8-month low

Natural Gas | Oil | Crude Oil | Gasoline | Jet Fuel | Steel | Raw Materials | Petrochemicals | Shipping

Market Movers Europe, July 22-26: Middle East tensions keep oil markets on edge

Jet Fuel

Platts Jet Fuel

Commodities | LNG | Natural Gas | Marine Fuels | Tankers | Banking

18th Annual LNG Conference

Oil | Crude Oil | Shipping | Tankers

US readies plan for escorting oil tankers through Strait of Hormuz

Key LPG Persian Gulf to Japan tanker freight plummets to 8-month low

Singapore — Ample vessel supply and tepid spot chartering for Middle East loading LPG cargoes has caused the key Persian Gulf to Japan freight rate to slump 30% since the start of January to an eight-month low, market participants said Friday.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

"Lots of ships around, prompt vessels as well as traders re-let ships at low levels are pushing the market down," an LPG shipbroker said.

Many traders who were using vessels from their own fleets to move cargoes, and re-letting some of those vessels in the spot market, ramping up the price competition among LPG tankers in the region, sources said.

The Persian Gulf to Japan freight has fallen to $25/mt Friday from $35.50/mt on January 2. The rate was last assessed at this level on May 15, 2018, S&P Global Platts data showed.

In fixtures heard, Oriental Energy chartered the Gas Libra for a Ras Tanura-East voyage, loading February 2, at $24.50/mt. Market sources said the vessel was prompt in the Middle East and marked a repeatable level as $25/mt, as also heard was Total fixing the Nadeshiko Gas for a Darwin-East voyage, loading February 7-8, at $25.50/mt basis a Ras Tanura-Chiba route.

Sources said they thought bearish sentiment was here to stay because of long vessel supply as well thin spot trading of Middle Eastern cargoes to Asia, with movements largely restricted to term shipments.

Trade sources said such low freight rates and limited spot cargo trading also helped support high premiums for FOB Middle East LPG cargoes in double digits over the past week.

VLGC rates in Asia have been volatile in recent months. In late October/early November freight whipsawed within two weeks to $40/mt the lowest in a month and a half at the time from a 32-month peak of $48/mt around mid-October, as busy Middle Eastern cargo activity was met by traders using owned vessels to lift term cargoes and chartered vessels being put on relets, shipping sources said.

London Oil & Energy Forum | London Hilton | February 25, 2019

Join our respected editors and analysts as they share insights on the latest oil and energy industry developments, market outlooks and in-depth analysis of major trends.

Register now

Industry sources said the supply of VLGCs was balanced in 2018 with seven vessels scrapped and around nine new deliveries, while for 2019, the number of vessels due to be delivered is about 19.

--Wanda Wang,

--Ramthan Hussain,

--Edited by Jonathan Dart,