In the second quarter Navigator Gas entered two new time charters with one vessel transporting LPG in the Southern African market, a new area for the company, and another LPG in the Mexican market.
“Such commitments, along with our other time charters, have provided support to our business in a period when the LPG segment continues to experience headwinds,” the company said in its Q2 results release.
Navigator Gas reported a Q2 net profit of $2.3m on revenues of $74.4m.
Looking at the market it said: “Earnings across all LPG shipping segments continue to be weak, with the Very Large Gas Carrier Baltic index reaching a floor at $6,000 earnings per day. Uncertainties with the geographical location, timings and quantities of usual petrochemical supplies from the Middle East and Europe have limited spot activity for our voyage charter vessels during the three months ended 30 June 2017.”
In the second half of year the company is looking to the ethylene market with two vessels committed to transport incremental ethylene volumes from Europe to Asia and two ethylene vessels delivered to Braskem for three year contracts.
“We believe that these two contracts, combined with existing charter commitments, will help support fleet employment and utilisation for the second half of 2017,” Navigator Gas said.
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