The latest update on LNG bunker prices highlights the contrasting dynamics between the Rotterdam and Singapore markets. While Rotterdam faces challenges of oversupply, Singapore’s market continues to thrive amidst growing demand, leading to notable price differentials between the two hubs.
- Rotterdam down by $1/mt to $542/mt
- Singapore up by $3/mt to $599/mt
Rotterdam: Facing Oversupply Challenges
Rotterdam’s LNG bunker prices have experienced a minor decrease, reflecting the stable nature of the European gas market. Factors such as mild weather conditions, subdued demand, and ample gas storage levels contribute to the downward pressure on prices. High wind generation in Germany and stable Dutch gas storage withdrawals further suppress demand, indicating ongoing challenges of oversupply in the Rotterdam market.
Singapore: Sustained Premium and Growing Demand
In contrast, Singapore’s LNG prices see a slight increase, maintaining a premium of nearly $50/mt over Rotterdam. The Asian market remains buoyant, driven by high spot demand and price-sensitive buying behaviour. Despite modest price increases, Singapore continues to attract buyers due to stable benchmark prices and rising spot buying activity. Increased imports from countries like India and Bangladesh signify sustained demand in the region, indicating a robust market outlook for Singapore’s LNG bunkering sector.
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Source: ENGINE
