In the past two weeks, four liquefied natural gas (LNG) cargoes originally headed for Europe have been redirected to Asia. The cargoes, carried by the Energy Innovator, New Nature, Orion Spirit, and Pacific Success tankers, changed course as European gas prices dropped below the Asian benchmark. On April 25, Asian spot LNG prices reached $11.80 per million British thermal units, while the Dutch TTF hub in Europe closed at $10.62/mmBtu on April 27. This price difference created an arbitrage opportunity, prompting the diversion.
The shift is driven by better financial returns in Asia and weakening price support in Europe, rather than a surge in Asian demand. Additionally, the first LNG loading from the Greater Tortue Ahmeyim project is also heading to Asia. These diversions highlight how global LNG markets respond quickly to price signals, with suppliers prioritizing regions offering higher profits.