LNG shipping stocks posted modest gains last week, buoyed by a cautious but notable shift in European energy policy and steady performance among key UPI constituents. The UP World LNG Shipping Index (UPI) rose 2.08% to close at 159.01 points, even as the broader S&P 500 slipped. In the broader market context, European gas prices increased amid ongoing efforts to phase out Russian imports, while Asian spot LNG prices followed suit. Leading the UPI gains were Excelerate Energy and Dynagas LNG Partners, both posting double-digit weekly increases driven by strategic moves and market corrections. Other notable performers included BP and Cool Company, signalling a potential market uptrend, while Golar LNG saw the sharpest decline. Despite geopolitical tensions and muted Asian demand, the UPI showed resilience in a volatile energy landscape.

UPI & SPX
The UP World LNG Shipping Index, which tracks listed LNG shipping companies, gained 3.25 points (2.08%), closing at 159.01 points, while the S&P 500 index lost 0.47%. The chart below illustrates the performance of both indices with weekly data.

Week 19-2025: Chart of the UP World LNG Shipping Index with S&P 500 (Source: UP-Indices)

Broader view
The European Union is beginning to respond cautiously to developments in the gas market to reduce administrative conditions, confirming the importance of natural gas in the energy mix. The discussion of a ban on the import of Russian gas in any form will follow this.

„Prices of Asian spot LNG rose slightly this week, tracking European gas prices which gained ground following the EU’s plan to phase out Russian gas, but prices are expected to ease as Chinese demand remains muted. The average LNG price for June delivery into north-east Asia LNG-AS was at $11.50 per million British thermal units (mmBtu), up from $11.00/mmBtu last week, industry sources estimated,“ wrote Marwa Rashad for the Reuters Global LNG report.

While the UPI saw a relatively quiet week overall, market attention briefly shifted to weekend talks between the US and China, which injected some late-week interest.

Constituents
Excelerate Energy (NYQ: EE) posted the most significant gain, posting quarterly results and a weekly gain of 11.5%. Dynagas LNG Partners (NYQ: DLNG) was a close second with an increase of nearly 10 per cent. EE improved its financing by underwriting new shares and bonds, the proceeds of which will be used for the disclosure day’s negatively received acquisition of the Jamaican business from New Fortress Energy (NYQ: NFE). Of the four reasons CEO Steven Kobos gave, we consider the last two to be the most important: “It will enhance our operational and financial profile. And finally, the acquisition will provide us with a new pipeline of growth opportunities in Jamaica and the Atlantic Basin.” This is EE’s move to additional infrastructure and supply opportunities.

Though both companies experienced similar gains, their chart patterns diverged in a key way. Both companies have returned to levels of broken support, but while DLNG has corrected the decline started at the beginning of the year for the first time and is at the starting levels of the range it spent most of last year, EE has returned to the levels of its previous growth.
Other gains have again been relatively modest, except for BP (NYQ: BP), up nearly six per cent. Cool Company (NYQ/OSE: CLCO) was up 4.7%; more importantly, it was the fifth straight week of growth. It may still be just another downtrend correction. Still, it’s also possible that the calming geopolitical situation (aside from the explosive Kashmir) and the relative calm in the gas market have kick-started the uptrend, even if volumes do not match it yet.

Capital Clean Energy Carriers (NYQ: CCEC) was up 3.9%, but has shown a solid break of resistance initiated by a reversal of a support break in three weeks. New Fortress Energy rose by the same percentage.
Qatar’s Nakilat (QSE: QGTS) also moved to new highs with a 2.6% rise.

Of the decliners, we’ll only mention Golar LNG (NYQ: GLNG), which lost 4.5% and is considering its next direction of movement.

Crystal Ball
Despite the growing global uncertainty caused by the US administration, our outlook remains cautiously optimistic. However, we expect increased volatility in the coming weeks. LNG spot rates stayed low, but the impact remains marginal for most UPI constituents. The market is watching for potential breakouts at key resistance levels, which could determine the next price direction.
Our outlook remains steadfastly positive in the long term. The burgeoning demand for LNG, bolstered by situational or management-driven actions and the potential for new long-term contracts, paints a promising picture. Investors should watch policy developments, market competition, and upcoming corporate earnings for further direction.
Source: By Tomas Novotny, UP-Indices.com