- 49 Asia-bound US cargoes transited Cape.
- Only one Panama Canal crossing.
- 25 cargoes transited Panama Canal this year.
Despite the recent easing of restrictions at the Panama Canal, US LNG cargoes destined for Asia continue to choose the longest route through the Cape of Good Hope in July, S&P Global Commodity Insights data showed Aug. 9.
A total of 49 US LNG cargoes travelled to Asia via the Cape of Good Hope in July, up from 37 in June. This marked the highest number of monthly cargoes making the journey since Commodity Insights began recording the data in 2010. In contrast, only one Asia-bound US LNG cargo crossed the Panama Canal in July, the BP-chartered Attalos, which transited the waterway en route to the Boryeong LNG terminal in South Korea for a mid-July delivery.
In a record-setting year for US LNG exports traversing the southern tip of Africa to reach Asia, flows have continued to break monthly records since March, leading to the route reaching an annual record in 2024 before reaching the end of the first half of the year.
Transits of Asia-bound US LNG cargoes through the Panama Canal have stagnated since March, with only one crossing per month since then, except for June, when two cargoes took the route. No Asia-bound US LNG cargoes opted to transit the Suez Canal, with the last recorded crossing occurring in January, the data shows.
Panama Canal transits
The Panama Canal Authority, or ACP, recently lifted some transit restrictions due to improving water levels at Gatun Lake, both current and projected. Starting Aug. 5, the ACP added an additional booking slot in the Neopanamax Locks during booking Period 2, one of the two periods available to LNG vessels. With this change, the number of slots offered during Period 1A and Period 2, the two booking periods allocated to LNG vessels, has increased to three per category.
LNG vessel transits through the canal totaled three in July, down from four in June. In addition to the Attalos, the BP-chartered British Sponsor also transited the canal to deliver a cargo from Trinidad and Tobago’s Atlantic LNG facility to Sempra’s ECA LNG terminal in Ensenada, Mexico. The other transit, a northbound crossing, was completed by the Energy Endurance in mid-July on its way back to the Atlantic after delivering to New Fortress Energy’s Pichilingue terminal in La Paz, Mexico.
So far this year, 25 LNG cargoes have transited the Panama Canal, 14 of which occurred in January and February. Only one transit per month was recorded between March and May.
In comparison, 500 LNG vessels have opted to take the Cape of Good Hope route this year, while another 45 completed voyages through the Suez Canal. As of Aug. 9, only one already delivered LNG vessel, the British Listener, also chartered by BP, chose to transit through the Panama Canal to deliver a Trinidadian LNG cargo to Sempra’s ECA LNG facility on Aug. 5.
The Platts Gulf Coast Marker for US FOB cargoes loading 30-60 days forward was assessed at $11.89/MMBtu Aug. 9, unchanged on the day.
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Source: Platts
