Odfjell SE Reports Progress in Chemical Tanker Market

MarineLink.com
Friday, August 23, 2013

Odfjell released its second quarter 2013 results and reported a EBITDA of $6 million in the second quarter is reflecting a better utilization of our chemical tanker fleet and a somewhat better market. The company said time charter results are up 8% compared with last quarter.

Odfjell said the second quarter of 2013 turned out better than expected due to better fleet utilization and a somewhat better chemical tanker market. We experienced steady nomination of contract cargos and improved spot rates. Earnings on a time-charter basis ended up 8% compared to the previous quarter, and the average freight rate per metric ton shipped increased by 2%.

In second quarter our 51% shareholding in tank terminals business contributed an EBITDA of $7 million, compared to $9 million in the previous quarter.

In June Odfjell concluded the transaction with Lindsay Goldberg to expand our existing partnership to include substantially all tank terminal assets. Several new tank terminal projects are being developed in China, U.S. and Europe. In June we signed an agreement to enter into a joint venture with the Founder Group to become 50/50 partners for the development of a petrochemical tank terminal in Quanzhou, Fujian Province, China. In August we signed a Letter of Intent to purchase Chem-Marine Corporation in South Carolina, U.S. Chem-Marine controls a 10.2 hectare site and is located adjacent to our tank terminal currently under construction in Charleston, South Carolina.

Chinese growth is at a somewhat lower level than expected, and is poised for the weakest expansion since 1990. Key Euro zone statistics have favorably surprised the markets in the past quarter. The development of the U.S. shale gas industry is providing cheaper energy and feedstock for the U.S. chemical industry.

Based on the above macro-economic picture, and the fact that there are no material changes to the supply/demand situation, we believe that the next 12-24 months will see an improvement in our segments. However, given the continued underperforming overall global economic growth, combined with the "supply overhang" of ships we only expect the second half results of 2013 to be moderately better than the previous two quarters

odfjell.com
 

Maritime Reporter September 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

PDVSA Charters Another Algerian Crude Cargo

Venezuela's state-run oil company PDVSA has hired a supertanker to load a second 2 million-barrel cargo of Algerian crude, according to preliminary tanker fixture data.

KOTC Takes Delivery of Product Tanker Mutriba

Classification society ClassNK said it has completed work on the 31,445 GT product tanker Mutriba, built by Hyundai Mipo Dockyard Co., Ltd. (HMD) as part of a series

New Dual Use Piracy Barrier Launched

Guardian Maritime launched Guardian Greenwater, a new product that was developed to deal with the issue of greenwater on-board deck following turbulent weather conditions,

News

PDVSA Charters Another Algerian Crude Cargo

Venezuela's state-run oil company PDVSA has hired a supertanker to load a second 2 million-barrel cargo of Algerian crude, according to preliminary tanker fixture data.

Video: USCG Medevacs Navy Sailor off Virginia

The U.S. Coast Guard (USCG) medevaced a man Wednesday from a Navy vessel off the Virginia coast after watchstanders at Coast Guard Sector Hampton Roads in Portsmouth

VT Halter Begins Building LNG-powered ConRo Ships for Crowley

VT Halter Marine, Inc., a subsidiary of Vision Technologies Systems, Inc. (VT Systems), has commenced construction on the first of two liquefied natural gas (LNG)-powered,

People in the News

PDVSA Charters Another Algerian Crude Cargo

Venezuela's state-run oil company PDVSA has hired a supertanker to load a second 2 million-barrel cargo of Algerian crude, according to preliminary tanker fixture data.

Russian Minister to Intervene with Gazprom on Slovakia Gas Flow

Russia's Energy Minister Alexander Novak will intervene with Gazprom to raise reduced gas shipments to Slovakia to contracted levels, Slovakia's economy ministry

Total Names Refining Boss to Replace de Margerie

French oil company Total has appointed refining boss Patrick Pouyanne as chief executive to succeed Christophe de Margerie who was killed in a plane crash in Moscow this week.

 
 
Maritime Careers / Shipboard Positions Maritime Standards Navigation Offshore Oil Pipelines Pod Propulsion Port Authority Ship Repair Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.3427 sec (3 req/sec)