The London-based Baltic Exchange said that it has selected a benchmark liquefied natural gas (LNG) carrier to carry out a public trial of its index starting July 10.
According to the Baltic Exchange, it will utilize an LNG carrier capable of transporting 160,000 cubic meters of the chilled fuel.
The route on which the benchmark test will be conducted, named BLNG1, will see the vessel, cold and ready to load, starting from Gladstone in Australia and heading to Tokyo in Japan.
According to the notice, the outbound leg from Gladstone to Tokyo has been set at 25 to 40 days from Index date while the return date was set at 20-25 days, with a 1.24 percent commission.
The assessment of the route will be calculated in US dollars per day on a weekly basis, every Tuesday, the Baltic Exchange said.
The benchmark route comes following the Baltic Exchange’s set up of an LNG panelists group in January, as it looks to develop a new LNG index comprising several routes for the evolving LNG shipping market.