LNG shipping set for more challenges
The sector may have seen a more rational 2020 so far. But that is no guarantee it has learnt its lessons
Some capital discipline appears to have materialised—or perhaps been forced on to ship owners—in the LNG shipping sector in 2020, after several years of subpar returns, deeply depressed share prices and general angst. But there remain significant risks to calling any definitive return to better times. LNG shipping has over the past 10-15 years transitioned from a floating pipeline market to a more commoditised, increasingly spot-orientated business more similar to the crude tanker market. The combination of an increased number of LNG buyers and sellers and a knife fight to win long-term contracts led to ship owners increasingly being willing to accept: 1) building on a speculative basis i

Also in this section
15 May 2025
Financial problems, lack of exploration success and political dogma cause uncertainty across much of the region
14 May 2025
The invisible hand of the market has seen increasing transparency but much more needs to be done to build a better understanding
13 May 2025
A fall in Venezuelan output drives overall production lower, as Saudi Arabia starts to slowly bring more crude to the market
12 May 2025
With the gas industry’s staunchest advocates and opponents taking brutal blows, the sector looks like treading a path of insipid indifference