LNG market won't suffer from cargo ship grounding in Suez Canal if resolved quickly, analyst says

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The ship, called Ever Given, ran aground on Tuesday morning after losing the ability to steer amid high winds and a dust storm, the Suez Canal Authority (SCA) said in a statement.

A large container ship ran aground in Egypt's Suez Canal­ halting marine traffic through one of the busiest and most important waterways in the world.

"The impact of this disruption on the LNG market will be limited if the disruption is solved within a day or two. Only a handful of LNG cargoes were in the close vicinity of the Suez Canal when the incident started. At this stage, we don't expect major bottlenecks, unless the situation drags on," said Lucas Schmitt, principal analyst at Wood Mackenzie."So far in March 2021 a handful of cargoes have been transiting each day in both directions ," added Schmitt.

Nearly 19,000 ships passed through the canal during 2020, for an average of 51.5 per day, according to the Suez Canal Authority. The Ever Given ship, was sailing from China to Rotterdam when it ran aground.

 

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Doesn't need a analyst to come to that conclusion do you?

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