Iran projected to export 9.42m tons of LPG in 2023: Platts
The monthly average of LPG loading over January-June stood at 784,833 tons, according to shipping sources, Platts cFlow ship and commodity tracking software and S&P Global Market Intelligence Network (MINT), as total exports for 2023 are projected at 9.42 million tons if the loading programs hold around current levels or more, according to S&P Global’s calculations.
The annual exports of Iranian LPG exceeds earlier projections by analysts of about 8.3 million tons, according to spglobal.com.
As in previous months, China was the dominant buyer of Iranian LPG for loading in June. Iranian LPG cargoes loading in June arrived in China throughout July at ports in southern and northeastern China, according to MINT.
Iran’s June-loading shipments ranged between 15,000 tons and 44,000 tons, with 15 vessels departing Assaluyeh port, shipped by companies including South Pars Gas Co., or SPGC; PARS and Palayesh Parsian Sepehr Co. or PPS – a unit of Tadbir Energy and Parsian Sepehr, according to shipping sources.
Ship trackers showed cargoes were transferred ship to ship mostly off the Khor Fakkan area.
Seven vessels departed from Siraf port in June, with cargoes shipped by PPK-Tombak and Kangan Petro Refining Co., shipping sources said.
The ships departing Assaluyeh included Tower Rise, Sea Hermes, Danuta I, Double In, Akoya Gas, Godavari Gas, Yu I, Nereus 1, Gas Leader, Ourea, Eagle Pride, Artemis Gas, Sun 10, Cape Gas and Falcon, while vessels that left Siraf port included Oceanus Gas, Tris Gas, Kanha and Lady Sarah, according to shipping sources.
The vessels were mainly bound for Chinese ports, such as Lianyungang, Dongshan, Guangzhou, Raoping, Chaozhou, Dongguan, Humen, Fujian, Gulen, Zhoushan, Zhapu, Shanghai, Jiaxing, Zhuhai and Gaolan, according to MINT.
Moving forward, ship broking reports showed several VLGCs fixed for Iranian trade via STS operation in July. Danuta I loaded via STS operations off Siri Island’s off port limits July 11 and discharged a full cargo to VLGC Gas Concept OPL Dubai.
Tris Gas loaded a full cargo from an unknown LPG Carrier in Iraq’s Umm Qasr anchorage July 15. Gas Gemini loaded via STS operations in Al Basrah anchorage July 11 and discharged a full cargo to VLGC Arrow OPL Dubai.
Rising LPG exports come with higher output in Iran, which analysts said has ramped up oil production since the start of 2023 as it has been exempted from OPEC+ cuts due to US sanctions and driven by the South Pars Gas Field expansions. The producer also has several new refinery developments which will further boost LPG production in the coming years.