Fuel Switch Snapshot: Gas fuels slip under LSMGO for diesel SS engines

LNG burnt in diesel slow speed (diesel SS) engines has flipped from a $94/mt premium over LSMGO in Rotterdam to a $78/mt discount, as Rotterdam’s LNG prices have fallen by $200-201/mt depending on engine type, while LSMGO has dipped by $28/mt.

Liquefied biomethane (LBM) has swung the same way for diesel SS engines, from a $137/mt premium over LSMGO, to a $26/mt discount, as LBM prices have fallen by $190-192/mt depending on engine type.

For vessels with Otto medium speed (Otto MS) engines, both gas fuels still cost more than LSMGO, but by far less. LNG (Otto MS)’s premium has narrowed by $174/mt to $28/mt, and LBM (Otto MS)’s by $164/mt to $85/mt.

LNG (diesel SS) had been cheaper than LSMGO in Rotterdam all year, apart from a few days around the turn of the month, as the chart above shows.

This story was originally published by Hellenic Shipping News. Read the full story at Hellenic Shipping News →