- Geopolitical risks have lifted LNG bunker prices in Rotterdam, while Singapore’s increase reflects tight supplies and weather-driven demand.
- Rotterdam’s price rose by $59/mt to $849/mt, driven by concerns over Russian gas supply disruptions and slightly lower European gas storage levels.
- Singapore’s price increased by $27/mt to $852/mt due to Asian weather patterns, tighter supplies, and production issues in Australia.
Weekly LNG bunker prices have experienced notable changes in key markets, with Rotterdam seeing a sharp increase due to geopolitical concerns and Singapore reflecting tighter supply dynamics, reports Engine.
Rotterdam: Price Gains Amid Geopolitical Tensions
- Price Increase: LNG bunker price in Rotterdam rose by $59/mt to $849/mt.
- Driving Factors: Renewed concerns about Russian pipeline gas flows into Europe after Austrian energy firm OMV halted payments to Gazprom. Market caution surrounding OMV’s recovery of €230 million in damages and potential gas supply disruptions. European gas storage levels at 94.5%, slightly lower than last year’s 99.7%.
- Outlook: Uncertainty looms until Gazprom’s payment issue is resolved by 20 November, potentially affecting 5 TWh of monthly supply.
Singapore: Modest Increase Due to Tight Supply and Demand Shifts
- Price Increase: LNG bunker price in Singapore climbed by $27/mt to $852/mt.
- Driving Factors: Weather-related demand as colder conditions are forecast for China, alongside existing heating needs in Japan and South Korea. Japan’s LNG inventories ended below 5 million mt in October, signaling tight supplies. Production challenges in Australia, including delays at the Ichthys LNG facility.
- Market Dynamics: Singapore’s price premium over Rotterdam narrowed to $3/mt, down from $35/mt last week.
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Source: Engine
