The increase represents a Very Large Gas Carrier (VLGC) freight rate increase of 28% since 10 May, marking the largest weekly rise since 2005, driven by stretched shipping capacity. The result follows record US output of 71.9m barrels of LPG in 2012, and a further 15% increase between the beginning of 2013 and end February.
Speaking to Bloomberg, John Lording, LPG specialist at Clarkson, said “The VLGC market is quite finely balanced, so you only need to have an extra handful of cargoes and the market reacts very positively. Owners are very happy.”
Copyright © 2024. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited.
Add Seatrade Maritime News to your Google News feed.
