Advertisement
Singapore markets open in 3 hours 8 minutes
  • Straits Times Index

    3,404.47
    -6.34 (-0.19%)
     
  • S&P 500

    5,572.85
    +5.66 (+0.10%)
     
  • Dow

    39,344.79
    -31.08 (-0.08%)
     
  • Nasdaq

    18,403.74
    +50.98 (+0.28%)
     
  • Bitcoin USD

    56,572.88
    +190.79 (+0.34%)
     
  • CMC Crypto 200

    1,207.05
    +40.93 (+3.51%)
     
  • FTSE 100

    8,193.49
    -10.44 (-0.13%)
     
  • Gold

    2,366.40
    -31.30 (-1.31%)
     
  • Crude Oil

    82.22
    -0.94 (-1.13%)
     
  • 10-Yr Bond

    4.2690
    -0.0030 (-0.07%)
     
  • Nikkei

    40,780.70
    -131.67 (-0.32%)
     
  • Hang Seng

    17,524.06
    -275.55 (-1.55%)
     
  • FTSE Bursa Malaysia

    1,611.02
    -5.73 (-0.35%)
     
  • Jakarta Composite Index

    7,250.98
    -7,253.37 (-50.01%)
     
  • PSE Index

    6,529.43
    +36.68 (+0.56%)
     

UPDATE 3-Tankers carrying Qatari LNG change course amid Red Sea tension -data

(Rewrites throughout to show three of the tankers taking the longer route, updates European gas prices, adds Russian tankers)

By Emily Chow and Marwa Rashad

SINGAPORE/LONDON, Jan 16 (Reuters) -

Three of the four tankers used for shipments of Qatari liquefied natural gas (LNG) have changed course away from the Red Sea, taking the longer Cape of Good Hope route amid growing tensions in the region, shipping data showed on Tuesday.

Following last week's strikes, the U.S. military carried out a new strike in Yemen on Tuesday against anti-ship ballistic missiles in a Houthi-controlled part of the country as a missile struck a Greek-owned vessel in the Red Sea.

ADVERTISEMENT

The Houthi attacks, in what they call a bid to support

Palestinians in the war with Israel

, have disrupted trade on the main East-West route that makes up about 12% of global shipping traffic. The movement vowed on Monday to widen its targets in the Red Sea region to U.S. ships.

Ships, including LNG vessels, have been pausing or diverting away from the Red Sea that leads to the Suez Canal, the fastest route for freight from Asia to Europe, and been forced instead to take the longer route around Africa via the Cape of Good Hope.

Three Qatari LNG tankers - Al Ghariya, Al Huwaila and Al Nuaman - are now heading south/southeast away form the Red Sea, shipping data form ICIS and Kpler showed.

The three tankers are still showing Europe as a destination, and should arrive at destinations in Feb. 7. They had stopped off the coast of Oman since Jan. 14.

The alternative route to Europe round the Cape of Good Hope could add around nine days to the 18-day voyage from Qatar, said ICIS LNG analyst Alex Froley.

Meanwhile, LNG tanker Al Rekayyat has resumed sailing through the Red Sea and is heading to Qatar, the data showed, after having been stopped since Jan. 13 along its Red Sea route, LSEG data showed.

QatarEnergy did not respond to requests for comment.

Qatar, the world's second largest LNG exporter, has

stopped

sending tankers via the Red Sea although production continues, a senior source with direct knowledge of the matter told Reuters on Monday.

Shipowners and managers of the four vessels, including Teekay Shipping Glasgow, Pronav Ship Management and Nakilat Shipping Qatar Ltd did not immediately respond to requests for comment.

British oil major Shell, which owns shipping and chartering arm STASCO, manager of the Al Nuaman, declined to comment.

Shell has suspended all shipments through the Red Sea indefinitely after the U.S. and UK strikes last week triggered fears of further escalation, the Wall Street Journal reported on Tuesday. Shell declined to comment.

In addition to the Qatari tankers, Kpler data showed the Russian vessel Lena River also diverted away from the Red Sea on Jan. 16, now en route to Tianjin, China, and the vessel Yenisei River diverted to the Cape of Good Hope destined for South-Central Asia. The vessels are owned by Yamal LNG.

A longer route would result in delivery delays, but gas storage levels in Europe are healthy.

S&P estimates Qatari LNG cargoes through the Suez Canal at 14.8 million metric tons per annum (MTPA), U.S. cargoes at 8.8 MTPA and Russian ones at 3.7 MTPA.

Front-month European benchmark gas prices on the Dutch TTF hub closed lower on Tuesday, as milder weather forecasts and well-filled storage helped offset shipping concerns.

In 2023, Qatar exported more than 75 MTPA of LNG, according to LSEG data, including 14 MTPA to buyers in Europe and 56.4 MTPA to Asia. (Reporting by Emily Chow and Cassandra Yap in Singapore and Marwa Rashad in London; Editing by Florence Tan, Clarence Fernandez and Marguerita Choy)