LNG Carriers Turn to Ship-to-Ship Transfers Amid Hormuz Disruptions

LNG carriers are resorting to ship-to-ship transfers in response to disruptions in the Strait of Hormuz, where attacks on commercial shipping have forced operators to adapt.

The crisis has resulted in exports from Qatar and the UAE being significantly below pre-war levels. LNG carriers have been directly affected by these attacks, leading to a shift towards complex ship-to-ship transfers as security risks escalate.

LNG requires specialized equipment to maintain its liquid form at around minus 162 degrees Celsius, making STS operations time-consuming and costly. The process can take up to 30-35 hours and involves substantial expenses, with estimates suggesting an additional $1 million per transfer.

Bogdan Ratiu, Commercial and Shipping Director at LNG Synergy, noted that most recent LNG STS operations were emergency measures rather than routine commercial transfers, highlighting the constraints imposed by this process.