Slide 1: Fourth Quarter Presentation Feb 2021
Fourth Quarter Presentation Feb 2021
Slide 2: Forward Looking Statements
Forward Looking Statements MATTERS DISCUSSED IN THIS DOCUMENT MAY CONSTITUTE FORWARD-LOOKING STATEMENTS. THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 PROVIDES SAFE HARBOR PROTECTIONS FOR FORWARD-LOOKING STATEMENTS IN ORDER TO ENCOURAGE COMPANIES TO PROVIDE PROSPECTIVE INFORMATION ABOUT THEIR
Slide 3: Highlights
Highlights Reported earnings basis load to discharge Q4 2020 Q1 2021 est. % done VLCC $17,200 $22,600 78% Suezmax $9,800 $17,800 68% LR2/Aframax $12,500 $12,200 65% • Net loss of $9.2 million, or $0.05 per diluted share • Adjusted net loss of $20.2 million, or $0.10 per diluted share • Net income of
Slide 4: Income Statement – Highlights
Income Statement – Highlights Adjustment items for Q4 2020: 2020 2020 2020 2019 (in thousands of $ except per share data) Oct - Dec Jul - Sep Jan - Dec Jan - Dec Total operating revenues (net of voyage expenses) 100 633 177 815 868 089 561 841 • $6.9 million gain on the sale of SeaTeam Other operati
Slide 5: Balance Sheet - Highlights
Balance Sheet - Highlights 2020 2020 2019 Notes (in millions $) Dec 31 Sep 30 Dec 31 Assets • $413 million in cash and cash equivalents, Cash 190 211 177 including undrawn amount of unsecured Other current assets 189 194 271 facility which was extended by 12 months to May 2022, marketable securities
Slide 6: Cash Breakeven and Cash Generation Potential
Cash Breakeven and Cash Generation Potential Low cash breakeven levels provide significant operating leverage & protect our cash flows during periods of market weakness Daily cash breakeven and OPEX Cash sensitivity above breakeven levels 1 000 5,00 25 000 $4,58 4,50 $21 600 $905 800 4,00 20 000 $17
Slide 7: Q420 Tanker Market
Q420 Tanker Market • Oil inventories drew at a record pace in Q4-20, both in floating and land-based capacity • Global Oil Demand recovered to 95.4mbd in Dec-20, nearly 10 mbd above lows in Q2-20 • Crude oil prices rallied to $50 USD/bbl, all major commodity prices firmed significantly • Vessel supp
Slide 8: Global fleet capacity continue to slow
Global fleet capacity continue to slow Tanker recycling activity muted as the fleet continues to age VLCC fleet Commentary 80 • The argument that ships older than 20 60 years struggle to trade in the 40 conventional oil market is undisputed. 58 65 68 53 49 47 49 35 • With freight rates at zero to ne
Slide 9: Clean Product Market, a ton-mile story
Clean Product Market, a ton-mile story COVID-19 refinery margin squeeze, closure of old inefficient capacity 1 500 000 Commentary Refining capacity permanently • The reduction in Jet-fuel demand as travel 1 000 000 closed and capacity additions got restricted in 2020 hit refinery margins 1 400 000 i
Slide 10: Tanker Market Outlook
Tanker Market Outlook • Saudi Arabia signaled a reversal of their voluntary 1 mbd cut in April-21 • Unusual cold weather in the northern hemisphere distorts usual demand patterns for oil. • Oil demand continue to recover, despite extended lock downs. Oil prices indicate tightening markets. • Floatin
Slide 11: Summary
Summary • Global tanker markets have corrected sharply during 2H-20, after a significant retraction in world growth. • Leading commodity markets are ‘pricing in’ a strong recovery in 2021, global GDP expected to grow by 5.5%. • Oil demand is recovering, global production is expected to increase by ~
Slide 12: Questions & Answers
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Slide 14: Appendix I Reconciliation
Appendix Appendix I Reconciliation (Million $ except per share) Q4 2020 Q3 2020 Q2 2020 Q1 2020 FY 2020 FY 2019 This presentation describes: total operating revenues net of Total operating revenues net of voyage expenses voyage expenses, net income attributable to the Company Total operating revenue