In 2020 US LNG cargoes were cancelled due to low gas prices resulting in oversupply of ships.
Start of 2021 cargoes are being cancelled due to very limited vessel availability despite very high gas prices and wide arbitrage spreads.
Will be interesting to see if the cargoes will be produced anyway by the operators and end up in the spot market.
Thanks to the LNG buffs in Bloomberg LP for the graph.
Source: Oeystein Moksheim Kalleklev, Chief Executive Officer at Flex LNG
Leave a Reply