Encouraging outlook for LNG/LPG shipping
According to a recent report by shipping consultants Drewry, LNG/LPG shipping companies are banking on better demand fundamentals developing, with the US export of LNG/LPG expected to be a major impetus for seaborne transportation.
Increasing gas consumption has also been fuelled through seaborne transportation of liquefied gas, especially to regions that do not have developed pipeline infrastructure or do not have easy access to gas reserves.
Despite headwinds in the short term, due to factors such as increasing orderbook and limited addition in liquefaction capacity, Drewry remain positive on LNG shipping over the medium term, as under-construction liquefaction projects will start coming on line at the beginning 2016. This will lead to higher demand for LNG transport services coupled with improving freight rates.
