Flex LNG, Bermuda-based LNG carrier owner, suffered a net loss in the first half of this year due to the weak LNG shipping market.

In the first half of 2019, the company's net loss rose to $7.4 million from $4.6 million in the same period last year.

In the first half of 2019, ship operating income was $38.2 million, compared with $22.1 million in the same period last year.

"The first half of 2019 will undoubtedly throw cold water on most participants in the LNG industry, with the exception of the final consumers," said Systeein M. Kalleklev, CEO of Flex LNG Management AS.

"The lower gas prices in the first half of this year have had a negative impact on Flex LNG's performance," he explained. The excess supply of natural gas is mainly absorbed by European consumers, which shortens the voyage distance, thus affecting shipping demand and tariffs.

In June, Daewoo Shipbuilding and Ocean Engineering Co., Ltd. delivered its fifth new LNG carrier, Flex Constellation, to Flex LNG. The ship was delivered to Ex-yard, a chartering company, for maiden voyage.

At present, Flex LNG has five operational ships and eight under construction. These new ships are scheduled to be delivered between the third quarter of 2019 and the second quarter of 2021.

In addition, in July this year, the company and Hyundai Glovis completed two sales and re-lease transactions for ships built in 2018 for $300 million, the Flex Endeavour and the Flex Enterprise. The two vessels will be chartered to Flex LNG's subsidiary under a long-term lease for 10 years, and the company has the right to acquire the two vessels during the regular charter period.

Flex LNG said that the liquefied natural gas transportation demand prospects are good under the stimulation of the rapid growth of liquefied natural gas demand. The market has absorbed new growth tonnage. Despite the weakness of Asian-American trade, limited arbitrage opportunities and lower-than-expected growth in tonnage, the company considers the market to be "fairly balanced".