Friday, July 14, 2023

Secondhand LNG carrier prices hit a record high; prospects rosy. | Rig Jobs

Due to stricter environmental restrictions and rising demand from European nations looking to replace their reliance on Russian gas imports, the price of used liquefied natural gas (LNG) carriers is rising rapidly and is now almost on close to the price of new LNG ships.

According to global market researcher Clarkson Research Service, a five-year-old LNG carrier with a 174,000-cubic-meter capacity was traded at a record $250 million in June.

The price compared with $185 million a year ago and $170 million in June 2021.

Last month’s used LNG carrier price is more than 96% that of a newly built LNG ship, which cost $260 million.

Prices of smaller LNG vessels with capacities between 138,000 cubic meters and 140,000 cubic meters have also doubled from two years ago, data showed.

“Ship owners, which run a fleet of LNG carriers over a relatively short period for investment purposes, are busy handling incoming requests for sales these days,” said an industry official.

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