Singapore LNG fuel prices maintained a premium to Rotterdam prices on March 31, confirming the sharp reversal from the discount structure seen earlier this year, as geopolitical tensions and regional shifts between supply and demand reshaped market dynamics.
Platts, part of S&P Global Energy, assessed Rotterdam’s LNG fuel price at $19.20 per mmBtu on March 31, while Singapore was valued higher at $20.749 per mmBtu, putting the Asian hub at a premium of $1.55 per mmBtu to the Dutch port.
The current premium represents a significant shift from the trend observed at the start of 2026. Between January 1 and February 27, Singapore LNG fuel prices averaged a discount of $1.86 per mmBtu over Rotterdam, reflecting relatively weak demand in Asia and ample regional supply.
The spread began to narrow at the beginning of March as global gas markets reacted to US and Israeli strikes on Iran. On March 2, the discount was compressed to just 17 cents per mmBtu, after a sharp rise in both positions. Prices in Singapore rose by more than 21% during the day, while prices in Rotterdam rose by more than 28%.
A decisive shift occurred on March 3, when the differential flipped into premium territory, with Singapore taking a steep premium of $6.42 per mmBtu over Rotterdam – the widest differential recorded during the period under review.
Although the premium eased in subsequent sessions, falling to 73 cents per mmBtu on March 11, it remained largely positive through most of the month. The spread briefly returned to the discount on March 25, at 50 cents per million British thermal units, before returning again in the following sessions, reaching a premium of 32 cents per million British thermal units.
Overall, from March 2 to March 27, Singapore’s average LNG fuel price reached a premium of $2.27 per mmBtu to Rotterdam, highlighting the ongoing shift in regional pricing dynamics.
Market participants attributed the volatility to a combination of supply concerns, changing arbitrage flows, and increased demand for bunker fuel in Asia compared to Europe. Evolving deployment continues to influence ship routing decisions and the economics of LNG bunkering across major global shipping lanes.
For Singapore in particular, a rise in the JKM – the benchmark for LNG cargoes delivered to Northeast Asia – was a key driver behind the spread reversal.
On March 4, Qatar Energy Company announced a state of force majeure on LNG supplies to affected buyers, after it stopped LNG production on March 2. JKM shares rose as Asia sought to compete with the European market to secure US and West African shipments in the absence of Qatari volumes.
JKM rose to $25,412 per mmBtu on March 19, the highest level since December 30, 2022, according to Platts data.
LNG fuel prices in Singapore fell below VLSFO on a gigajoule basis on March 9, boosting demand at the bunkering hub, Platts data showed.
One LNG fuel buyer said Singapore was seeing immediate demand from tankers and motor carriers. “LNG fuel buyers have increased their purchase volume to maximum fixed-term contracts for March delivery as prices were lower than VLSFO,” said an LNG fuel trader in Singapore.
LNG fuel prices in Rotterdam have also shown improved price competitiveness since the beginning of the war. The spread to VLSFO based on Gj remains narrower than pre-conflict levels. From January 1 to February 27, the LNG price averaged a premium of $2.25/GJ to VLSFO. Since March 2, it has averaged 70 cents/GJ.
source: Platts
