05th July 2019
It has been a busy week with a number of smaller LPG cargoes fixed from North West Europe. There are few prompt open vessels prior weekend and we will see more availability in ARA from mid-next week. Some vessels have been cancelled due to delays and ports which have experienced congestions are now beginning to run more smoothly. Overall for now the market seems well balanced and we do not expect any major change in rates over the next week. Larger coasters are tightening up (both pressurized and semi-refs) with LPG cargoes in the North and inter-MED keeping them busy.
We have seen active LPG spot activities in Southeast Asia in the East pressurized market this week, which improved July spot employment especially on 5,000 CBM vessels. In East China and North China, LPG demand is still muted in summer time and buyers’ appetite for imported LPG remains low. In propylene, Tianjin Bohua’s PDH plant disruptions has led to tight domestic supplies which leads to buyers turning to imported cargoes. Butadiene supply is expected to tighten in August with upcoming turnaround at Formosa No. 2 Naphtha cracker and Chandra Asri’s naphtha cracker.
Time Charter Fixtures
Vessel Built CBM Charterer Period Delivery Laycan Hire
Permian Lady 2016 38000 Trafigura 30-60 days USG/Caribs 13-15 JUL K PDPR RPTD Eupen 1999 38961 Petredec 12 months AG/AG 10-15 SEP USD mid 500's PCM
Sale and Purchase/New Buildings
We understand that Geogas have exercised their purchase option on the 9,500 cbm LUBERSAC (Built 2012 at Miura), who has just turned 7 years old, from domestic Japanese Owner Yaegawa Kaiun.
The 22,900 cbm semi-ref MATHRAKI (Built 2003 at Namura) has been sold to Soechi Lines Indonesia for a reported US mill. Eletson managed to secure an early redelivery in South Africa from her current Charterers. She is likely to be destined for term employment with Pertamina. This has caused some surprise as the requirement was seemingly not tendered.
The 35,000 cbm SABARIMALA GAS (Built 1994 at Kawasaki H.I.), ex-TEMSE, has been sold by Global United to an unknown Buyer. The vessel was previously being marketed with Sellers’ price ideas of USm. She is expected to deliver mid-August after a final LPG cargo into India. Given her age, there is some speculation that she has been bought against floating storage business or for a dedicated trade.
No Scrapping news to report
Disclaimer:This market report is prepared in good faith, however a significant part of it is based on estimates and market rumors and therefore nothing stated in the report should be taken as a confirmed fact.
StealthGas Inc. denies the responsibility for any errors and/or omissions of whatsoever nature found in the market reports posted on this website.
Any retransmission, reproduction or quoting of this market report is prohibited unless written permission has been received from StealthGas Inc.