LNG Ships Are Turning Away From Europe’s Gloomy Gas Market
- British Diamond with Russian cargo now sailing to Israel
- Asian LNG price premium over Europe widens amid full storage
Tug boats tow an LNG ship.
Photographer: SeongJoon Cho/BloombergThis article is for subscribers only.
A tanker traveling from the Arctic region to Belgium with a cargo of Russian liquefied natural gas was instead sent to Israel at the last moment.
The British Diamond changed destination just before arriving, indicating how quickly natural gas traders need to act in a market where healthy inventories and supply have sapped prices to near their lowest in almost a decade. It may well be a sign of things to come for the rest of the summer, as the Asian benchmark Japan-Korea marker widens its premium to its European Title Transfer Facility counterpart and Middle East demand for cooling increases.