LONDON (Bloomberg) — Bermuda-based Golar LNG, the liquefied natural gas- tanker business whose chairman is Norwegian billionaire John Fredriksen, said fourth-quarter profit slumped and the market in 2008 will "present some challenges."

Net income dropped to $2.7 million, or four cents a share, from $32 million, or 50 cents, a year earlier, Golar said in a statement distributed by Hugin yesterday.

Tanker rental rates will likely fall in the coming months as the northern hemisphere summer crimps demand from Asian power companies for LNG produced in the Atlantic basin, Golar said.

LNG producers in Norway, Nigeria and Qatar are also "experiencing operational difficulties" cutting consignments, it said.

"Earnings in the first quarter of 2008 from the company's spot vessels will show some deterioration," the statement said. That may be offset by gains in projects to build vessels that store LNG and turn the liquid back into gas for buyers of the fuel.