NAT Chairman Reassures Shareholders, Mulls Expansion

MarineLink.com
Thursday, August 29, 2013

In an open letter to shareholders, Herbjorn Hansson
, Chairman & CEO
 of Nordic American Tankers Limited sets out that his company is in a strong position. Selected extracts from the letter follow:

"The company is in a solid financial condition. This is demonstrated by the fact that as of June 30, 2013 our net debt is about $4.4 million per ship. In comparison, at the end of June 2004, at the time when the company turned into and (sic) operating unit, the net debt was about $8 million per ship. Cash on hand, net working capital and undrawn portion of our credit facility is $330 million, representing our financial liquidity reserves June 30, 2013. This allows us to plan for further growth.

In July and August the situation has improved, signaling that results for the third quarter should be better than those for the second quarter. Since July 1st, the IMAREX rates have been above the second quarter level. Towards the end of August weakness is again seen. The actual results for a fleet may differ from the quotations of IMAREX.  In an improving market there is a time-lag of two to three weeks before we can benefit from the higher rates.

NAT is now assessing various investments that would allow us to expand profitably. As always, our primary objective is to maximize total return to our shareholders. Over time we have produced a competitive total return for our shareholders and we believe that we are in an excellent position to achieve such results in the future.

My family and I have continued to increase our ownership of shares in NAT this year, evidencing our bedrock confidence in the future of Nordic American. In the offering of April we bought $1.5 million worth of shares for cash and have made additional cash purchases since then. We now have about 5.5% of the shares in NAT and are proud to be the company's largest shareholder."

 

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

People & Company News

Canadian Icebreaker Refit Contracts Awarded

The Canadian Government informs it has awarded a $6.5 million contract to Babcock Canada Inc. for critical refit work for Canadian Coast Guard ship 'CCGS Louis S.

Atkins Gain Maersk Oil Engineering Contract

Design, engineering and project management consultancy Atkins, says it has been awarded an engineering support contract covering three of Maersk Oil’s UK assets in the North Sea.

Brokers Marcon Conclude Ocean Deck Barge Sale

Marcon International, Inc. of Coupeville, Washington says that Pacific Coast Maritime, Inc., Seattle, Washington, a subsidiary of Harley Marine Services, Seattle,

Tanker Trends

Global Shipping Exposed to Cyber Threats

The next hacker playground: the open seas - and the oil tankers and container vessels that ship 90 percent of the goods moved around the planet. In this internet age,

Euronav Posts 62% Core Profit Increase

Belgian crude oil shipping group Euronav on Wednesday unveiled a 62 percent rise in first-quarter core profit as daily rates for its fleet rebounded from last year.

Navios Time Charters Two Product Tankers

Navios Maritime Acquisition Corporation, an owner and operator of tanker vessels, has announced  that the Nave Equinox and the Nave Pulsar have been chartered out

Finance

Hong Kong Receive BMT Maritime Strategic Study

BMT Asia Pacific (BMT), a subsidiary of BMT Group Ltd, says it has completed a major strategic study - “Enhancing Hong Kong’s Position as an International Maritime Centre (IMC)”,

Mitsui O.S.K. Ship Ready To Leave Chinese Port

Japanese shipping firm Mitsui O.S.K. Lines Ltd said on Thursday that its ship, the "Baosteel Emotion" 226,434 deadweight-tonne ore carrier, is ready to leave

Peel Ports Signs £100M Contract For Cranes For New Liverpool Terminal

Peel Ports Group has signed a multi-million pound deal with Shanghai-based Zhenhua Heavy Industries Co. (ZPMC) for 17 ‘mega cranes’ for its new £300m Liverpool2 container port.

 
 
Maritime Contracts Maritime Security Maritime Standards Navigation Offshore Oil Port Authority Salvage Ship Electronics Ship Repair Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | 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: 0.1286 sec (8 req/sec)