LNG bunker costs are now competitive

This year, for the first time, there are economic reasons for owners of dual-fuel LNG vessels to pay for some gas in their tanks.

LNG has been the number one alternative fuel for ship orders for several years. The latest estimates from class society DNV show that there are 904 confirmed LNG-powered ships, including ships on order.

However, for most of the 2020s, the price of LNG was prohibitively high, meaning the vast majority of dual-fuel vessels ran on traditional bunker fuel.

Norwegian broker Lorentzen & Co noted this week that LNG used as a bunker is now “substantially cheaper” than compliant fuel oil and on par with heavy fuel oil.

Accordingly ship&bunkerLNG prices in Rotterdam are US$440 per tonne, which is the same energy equivalence as IFO380 bunker fuel. VLSFO is $531 per tonne and HSFO is $431.50 per tonne in the same area.

Related Articles

Back to top button

Subscribe To Our Newsletter

Don't miss new updates on your email