New freight derivative set to change the LNG transportation game
After the boom in JKM futures volumes, LNG traders now have another addition to their risk management toolkit
One of the unintended consequences of the ongoing commoditisation of the LNG industry has been the growth of the spot shipping market. As contract duration decreases and the number of market participants increases, mid-market traders need more flexibility from their freight portfolios to service demand. This inevitably leads to more spot market shipping requirements, shorter duration charters and increasing sub-chartering activity, as these portfolios are rebalanced and optimised to suit different market conditions. Although seen as somewhat distasteful by established players with long-term contracts and portfolio shipping locked against it, this development has resulted purely from the grow
Also in this section
24 December 2025
As activity in the US Gulf has stagnated at a lower level, the government is taking steps to encourage fresh exploration and bolster field development work
23 December 2025
The new government has brought stability and security to the country, with the door now open to international investment
23 December 2025
A third wave of LNG supply is coming, and with it a likely oversupply of the fuel by 2028
22 December 2025
Weakening climate resolve in the developed world and rapidly growing demand in developing countries means peak oil is still a long way away
