2020 Bulkers Ltd. · OSL:2020
2020 Bulkers — Pareto Energy Conference 2021
11 slides from 2020 Bulkers's conference presentation, Sep 16, 2021
Slide 1: 2020 Bulkers Ltd. Pareto Energy Conference 2021
2020 Bulkers Ltd. Pareto Energy Conference 2021 16 September 2021 |
Slide 2: Disclaimer
Disclaimer This presentation (the "Presentation") has been prepared by 2020 Bulkers Ltd. (the "Company") with data as of September 15, 2021 solely for information purposes. The Presentation does not constitute any recommendation to buy, sell or otherwise transact with any securities issued by the Co
Slide 3: 2020 Bulkers Investment Case
2020 Bulkers Investment Case Fleet of 8 Newcastlemax average age 1.5 years - most modern fleet among listed peers Ships fixed on index-linked TCs We remain committed to return ~35% premium to a standard cash to shareholders, will not capesize + scrubber benefit order newbuilds Option to convert to f
Slide 4: Capesize rates year to date are the strongest in a decade
Capesize rates year to date are the strongest in a decade 60 000 50 000 40 000 30 000 20 000 10 000 0 02.01.2015 02.02.2015 02.03.2015 02.04.2015 02.05.2015 02.06.2015 02.07.2015 02.08.2015 02.09.2015 02.10.2015 02.11.2015 02.12.2015 2015-20 max-min range 2020 2021 2015-20 average Key market drivers
Slide 5: Our dividend potential is significant (balance of 2021)
Our dividend potential is significant Balance of 2021 Indicative dividend capacity (annual run-rate)1) 60 52 50 49 45 41 40 37 NOK per share 34 30 30 26 23 19 20 15 10 0 10 000 15 000 20 000 25 000 30 000 35 000 40 000 45 000 50 000 55 000 60 000 Standard Capesize rate 4 vessels fixed at an average
Slide 6: Our dividend potential is significant (2022)
Our dividend potential is significant 2022 Indicative dividend capacity (annual run-rate)1) 80 74 70 66 59 60 52 50 NOK per share 44 40 37 30 30 22 20 15 10 7 0 0 10 000 15 000 20 000 25 000 30 000 35 000 40 000 45 000 50 000 55 000 60 000 Standard Capesize Rate 8 vessels on index linked time charte
Slide 7: Attractive Supply & Demand outlook
Attractive Supply & Demand outlook We are entering a period with historically low supply growth In a market that has grown 4% p.a. last 30 years 140% 5 500 5 000 120% World Seaborne drybulk trade (million tonnes) 4 500 Capesize orderbook as % of existing fleet 100% 4 000 80% 3 500 60% 3 000 40% 2 50
Slide 8: Global steel demand is rebounding, driving iron ore exports
Global steel demand is rebounding, driving iron ore exports 2021 Expected growth in steel demand Global Iron ore exports 10% 1105 10% 9% 1100 8% 7% 1095 6% 5.80% 1090 Million tons 5% 4% 1085 3% 3% 1080 2% 1% 1075 0% Total China Rest of the world 1070 2020 YTD 2021 YTD Source: World Steel Association
Slide 9: Increased Vale production positively impacting ton-miles
Increased Vale production positively impacting ton-miles Increased Vale production in 2H is driving capesize demand Vale iron ore production 95 The correlation between quarterly Vale iron ore production and 90.8 Brazilian iron ore exports has been 96% over the last 12 90 months, suggesting that ea
Slide 10: New IMO regulations to reduce CO2 emissions
New IMO regulations to reduce CO2 emissions Summary Emission reduction through goal-based measure The IMO targets reduction in CO2 intensity from international shipping by 40% from 2008 levels by 2030 and will implement EEXI (Energy Efficiency Existing Ship Index) and CII (Carbon Intensity Indicat
Slide 11: 2020 Bulkers Summary
2020 Bulkers Summary Fleet of 8 Newcastlemax vessels, average age 1.5 years - most modern fleet among listed peers 4 ships fixed at avg US$40,600/day for the balance of the year, while our index vessels earn ~ US$ 70,000 per day at today’s spot rates FFA curve implies TCE for a scrubber fitted Newca