Three of Greece’s most prominent ship owners spoke at an event held by ABS this week at the Niarchos Foundation on “The Future of LNG Shipping”.
GasLog chairman Peter Livanos told the event: “We’re definitely in a short term tightening cycle although I do believe in the medium to long term rates will be capped in terms of the economic value of the ability to buy and sell gas in different locations around the world.”
John Angelicoussis, chairman Angelicoussis Shipping Group said: “I personally feel the bottom of the market in a cyclical sense was in early 2016 when we hit the bottom for energy prices, at that time it was the lowest rates for LNG. I think from there on for every year we see higher rates depending on the season.”
On his part, George Procopiou, chairman of Dynacom Tanker Management, stated: “The rates of today are low so if you add the running cost of an organisation they don’t add up. Nobody can subside somebody else’s business so they have to rise to levels that are sustainable. I don’t believe in extremes, it’s a steady business with high capital, but low returns.”
On LNG bunkering, Livanos expressed the view that “it is inevitable that LNG becomes the primary source of fuel for marine transportation.” Angelicoussis, agreed with Livanos that the lack of infrastructure is putting the brakes on early adoption of LNG as marine fuel at the moment.