Ads Maritime Holding Plc · OSL:ADS

Ads Maritime — ADS Crude Carriers — Investor Presentation (August 2018)

11 slides from Ads Maritime's investor presentation, Aug 28, 2018

  1. Slide 1: ADS Crude Carriers Plc: Adapting for new environmental regulations

    ADS Crude Carriers Plc Adapting for new environmental regulations - Completed equity offering USD 58 million - Has acquired 3x 2002 Japanese VLCCs at a low-point in the market cycle - Loan of USD 30m secured (incl. debt for ‘scrubber-financing’) - Downside protection through acquisitions close to sc

  2. Slide 2: Introduction to ADS Crude Carriers Plc.

    Introduction to ADS Crude Carriers Plc. A new shipping company trading on the Oslo Merkur Market  ADS Crude Carriers Plc (“ADS” or the “Company”) are pleased to announce the acceptance of the Company to Oslo Merkur Market.  ADS and its ongoing operations will be lead by a board of directors headed

  3. Slide 3: Investment highlights

    Investment highlights  Has acquired 3x Japanese built VLCCs with an average age of 16-years  Purchase price of USD 67.5 million en-bloc, ~24% above current residual scrap value Asymmetric risk/reward  Favorable docking schedules ahead of new regulations and additional funding secured for scrubber

  4. Slide 4: Sources & uses and Company structure

    Sources & uses and Company structure Sources and uses for purchase of three VLCCs Company structure  Co-invest with Seller and Disponent Owner - Commercial management to continue with existing owner, one of the largest and most experienced operators in the tanker market  Acquire quality fleet with

  5. Slide 5: Tanker market summary

    Tanker market summary Crude tanker supply/demand balance Arctic market views - Demand to outpace supply growth in 2018-‘20  Factors depressing rates: 10% 92% 91% - Fleet growth 8% 90% 5.0% - Opec cuts 6% 89% 88% 3.0% 3.0% - Inventory drawdowns 4% 87% 2.0% 2.0% 1.6% 86% 2% 85%  Market will turn in

  6. Slide 6: Why scrubbers? The spread between MGO and HFO is widening

    Why scrubbers? The spread between MGO and HFO is widening, this will lead to huge savings for vessels with scrubbers Spread MGO-HFO Savings from scrubbers (MHG – HFO = USD 400/ton) 1,200 450 Scrubber economics Newbuild Target fleet (avg) Cost of scrubber USDm 3.0 3.0 Depreciation period Years 20 3 4

  7. Slide 7: Top investors

    ADS Crude Carriers Plc Top 20 investors Investor name Shares Shares % Ship Finance Limited 4 031 800 17.24% Meteva AS 2 114 956 9.04% ADS Shipping Ltd 2 021754 8.62% DNB Asset Management 1 000 000 4.28% Hortulan AS 1 000 000 4.28% Norda ASA 806 360 3.45% First Fondene 806 360 3.45% Somap / Dinesh 80

  8. Slide 8: Board of Directors

    ADS Crude Carriers Plc Board of Directors Bjørn Tore Larsen – Chairman Bjørn Tore Larsen is controlling shareholder of ADS, OSM Maritime Group and OSM Aviation Group He founded the OSM Group, a leading global ship manager, in 1989. Trym Sjølie – Director Trym Otto Sjølie is the Chief Operating Offic

  9. Slide 9: Arendals Dampskibsselskab AS

    Arendals Dampskibsselskab AS Arendals Dampskibsselskab will act as managers of ADS currently holds investments in the following ADS Crude Carriers Plc vessels DisponentOwner/  Arendals Dampskibsselskab AS - ADS - is a private Norwegian shipping Vessel Built DWT/BHP Ship Manager Commercial Manager c

  10. Slide 10: Technical and Commercial Managers

    Technical and Commercial Managers Technical management by OSM Ship Management Commercial manager – Frontline Ltd  OSM Maritime Group founded in 1989  World leading owner and operator of crude tankers - Approximately 11,000 employees  More than 30 year history of operation - 30 office locations 

  11. Slide 11: Thank you!

    Thank you! www.adscrude.com 11

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