Market insight By John N. Cotzias SnP Broker

Since Early October 2014 the tanker market has been experiencing a very positive momentum and has continued its strong performance so far in 2015. Freight rates in the wet tanker market remained solidly firm and somewhat increasing over the past weeks.

The VLCC TD3 daily is today in excess of $80,000/day, reaching 5 year highs and has improved phenomenally on a y-on-y comparison as around this time last year it was averaging at -$3,000/day. Cargo volumes are at elevated levels with oil production in Saudi Arabia holding at record highs and more crude cargo exports coming out of Iraq’s Basrah. Market expectation is that there is will be an upward trend in VLCC rates in June and it is worth noting that nearly 1 out of 3 VLCC’s taken on T/C during 2015 is being used for stor-age mostly in the AG, some in Spore, W. Africa & the Med. Suezmaxes were partly assisted by the bullish sentiment of the rising VLCC market and saw the Black Sea-Med TD6 route averaging around $55,000/day during Q12015, which is 70% up from the average during Q12014. Rates for Aframax Tankers are slightly softening over the past month, but the average spot rate is still holding above $25,000/day, with stable activity expected in the short to medium term as well.

Spot earnings for MR tankers are close to $23,500/day while the LR1’s aver-age spot rates are ranging slightly higher at around$25,000/day. LR2’s prod-uct tanker rates in the Q12015 averaged the highest for the same period since 2006. These rates have been supported mainly by new refineries in the Middle East, which in turn utilized long haul product exports. Low oil prices have also kept naphtha prices down, making it a competitive alternative to LPG for petrochemical plants feedstock, which ultimately led to strong Asian naphtha imports.

Newbuilding and secondhand prices are also on the rise and in general we are seeing a great volume of transactions on quality modern wet tonnage, as keen buyers appear ready to act on tonnage that could benefit from the strong freight market. More than 105 Secondhand and Resale Tankers of 25.000dwt and above have changed hands since Jan. For the same period we have seen newbuilding orders for more than 130 tankers. The existing tanker orderbook is in excess of 680 vessels, 78% of which is scheduled to be delivered before 2017. At the same time, the healthy returns of the past six months gave tanker owners practically no incentive to send their vessels for scrap. In fact, only 8 large sized tankers went for demo so far in the year, while these where all well above 20 years of age.

According to International Energy Agency (IEA), European oil demand in the first quarter of this year grew at its fastest pace in almost 20 years, in-creased by 185,000 b/d compared to the Agency’s previous estimates, while low prices and colder weather, were as expected the main reasons behind this strong uptrend. At the same time, China, the world’s second-largest oil consumer behind the United States according to the IEA, is forecasted to consume a little below 12million barrels of oil per day in 2017, with oil con-sumption doubling since 2004 and oil import dependency up from 30% in 2000 to about 57% in 2014.

So given that oil prices will keep fairing at their lower new normal in the short to medium term, sustaining this way the strong demand for longer, the weight that scheduled deliveries will place on the market is expected to be partly offset, allowing the sector to keep enjoying firm rates with poten-tial of further upside very possible .

Chartering (Wet: Firm + / Dry: Stable + )

The BDI improved last week, exclusively supported by Capesize perfor-mance, while the rest of the market displayed no significant improve-ment in sentiment. The BDI closed today (19/05/2015) at 620 points, down by 10 points compared to Monday’s levels (18/05/2015) and an increase of 31 points when compared to previous Tuesday’s closing (12/05/2015). Strong demand and robust activity in the Middle East gave a strong push to the crude carriers market last week. The BDTI Monday (18/05/2015) was at 846 points, an increase of 100 points and the BCTI at 646, an increase of 25 points compared to previous Mon-day’s (11/05/2015) levels.

Sale & Purchase (Wet: Stable - / Dry: Stable - )

SnP activity with regards to both dry bulkers and tankers slowed down this week, while the number of post 2000 built container vessels sales was remarkable. On the tanker side, we had the sale of the “IVER EX-PERT” (45,809dwt-blt 97, S.Korea), which was sold to Sinochem for $8.5m. On the dry bulker side we had the sale of the “JIANG JUN SHAN” (176,924dwt-blt 06, Japan), which was reported being sold to Winning Shipping for a price of $18.1m .

Newbuilding (Wet: Stable- / Dry: Soft - )

“One of the same” could very well be the title for last week’s newbuild-ing market, with tanker orders still having the lion’s share among those limited orders being reported across the market and dry bulk prices continuing to move south and closer to the 2012 lows. As long as dry bulk second-hand prices keep failing to note a significant upward correc-tion, we expect more downside on the newbuilding side as well, while the trend of converting previous Capesize orders to tanker ones seems that is still holding well, with more similar conversions coming to light recently. Such deals underline the extent of the lack of faith in the seg-ment by owners who just a little while ago saw potential in Capes but currently seem unable to find anything positive in concluding such or-ders, despite the fact that a significant amount of deadweight has been already removed by the market and more is expected to do so in the coming months. In terms of recently reported deals, German owner, Blumenthal, converted a Capesize order to one firm plus one optional Suezmax (160,000dwt) at Hyundai Samho, in S. Korea, for a price of $67.0 each and delivery set in 2017.

Demolition (Wet: Soft - / Dry: Soft - )

The fact that demo prices extended their fall last week hardly took any-one by surprise as market sentiment has been persistently dictating for further downside since the beginning of the month. The downward trend seems to have ultimately taken its toll on activity as well, which came in overwhelmingly lower than what we have been used to lately, while the lack of demo sales involving Capesize tonnage certainly didn’t go unnoticed as the big bulkers have been regularly popping up in re-ported demo sales since the beginning of the year. We see the market stabilizing around current levels for a couple of weeks, while if no im-portant upside is noted on prices, we expect the upcoming monsoon season to almost certainly weigh down further on activity. Saying that, we still believe that this summer will be busier compared to the 2014 one, while despite the momentary stall in demo sales of big bulkers, we expect the trend to resume for as long as earning remain close to or just above OPEX levels. Prices this week for wet tonnage were at around 225-400 $/ldt and dry units received about 210-380 $/ldt.

Weekly Market Report

Issue: Week 20 | Tuesday 19th May 2015

© Intermodal Research 19/05/2015 2

2014 2013

WS

points$/day

WS

points$/day $/day $/day

265k MEG-JAPAN 78 80,210 63 58,593 36.9% 30,469 21,133

280k MEG-USG 49 71,105 35 41,109 73.0% 17,173 7,132

260k WAF-USG 80 78,198 70 69,026 13.3% 40,541 26,890

130k MED-MED 96 52,125 75 36,597 42.4% 30,950 17,714

130k WAF-USAC 117.5 57,410 73 31,480 82.4% 24,835 13,756

130k BSEA-MED 100 60,997 75 39,916 52.8% 30,950 17,714

80k MEG-EAST 120 36,348 102.5 28,028 29.7% 19,956 11,945

80k MED-MED 92.5 25,910 105 32,032 -19.1% 28,344 13,622

80k UKC-UKC 102.5 27,114 120 40,401 -32.9% 33,573 18,604

70k CARIBS-USG 110 27,311 102.5 23,460 16.4% 25,747 16,381

75k MEG-JAPAN 103 29,043 103 28,468 2.0% 16,797 12,011

55k MEG-JAPAN 120 24,225 110 21,392 13.2% 14,461 12,117

37K UKC-USAC 160 24,014 152.5 21,897 9.7% 10,689 11,048

30K MED-MED 135 16,644 137.5 17,360 -4.1% 18,707 17,645

55K UKC-USG 120 24,040 125 25,573 -6.0% 23,723 14,941

55K MED-USG 120 22,359 125 23,826 -6.2% 21,089 12,642

50k CARIBS-USAC 130 21,902 132.5 22,665 -3.4% 25,521 15,083

Dir

tyA

fram

axC

lean

VLC

CSu

ezm

ax

Spot Rates

Vessel Routes

Week 20 Week 19$/day

±%

May-15 Apr-15 ±% 2014 2013 2012

300KT DH 80.7 81.0 -0.4% 73.6 56.2 62.9

150KT DH 58.8 58.1 1.2% 50.2 40.1 44.9

110KT DH 45.0 45.0 0.0% 38.6 29.2 31.2

75KT DH 34.2 35.6 -4.1% 32.8 28.0 26.7

52KT DH 26.7 27.0 -1.2% 27.2 24.7 24.6

VLCC

Suezmax

Indicative Market Values ($ Million) - Tankers

Vessel 5yrs old

MR

Aframax

LR1

Chartering

What a great week that was for the crude carriers market that saw rates for most routes noting significant upside amidst strong activity in both the Mid-dle East and W. Africa regions. Significant amount of fresh business com-bined with balanced supply of tonnage all around, allowed owners to quick-ly get the upper hand and push for more, as charterers appeared more than keen to move into June dates amidst a strengthening market that continues to enjoy strong momentum that could soon be translating into even higher returns.

The VL market closed off the week noting exceptional gains on the back of impressive activity in the Middle East, while this notable increase of enquiry is shaping high expectations for next month as well, with market talk in-sisting on a very promising begging of the summer period in terms of de-mand.

The W. Africa Suezmax market witnessed improved activity for a second time in a row, but this time round tonnage supply was clearly in favour of owners ballasting in the region, who saw rates surging to TCE levels last witnessed back in the beginning of March.

Rates for Aframaxes displayed a mixed picture last week, with the cross-Med Afra remaining under pressure, while the Caribs Afra remained on an upward trend amidst strengthening enquiry in the region.

Sale & Purchase

In the LR1 sector we had the en-bloc resale of the “STX JINHAE 1657” (73,800dwt-blt 16, S. Korea), the “STX JINHAE 1652” (73,800dwt-blt 15, S. Korea), “STX JINHAE 1658” (73,800dwt-blt 16, S. Korea) and “STX JINHAE 1651” (73,800dwt-blt 15, S. Korea), which were sold to Greek owner Prime Marine for a price in the region of $53.5m each.

In the MR sector we had the sale of the “IVER EXPERT” (45,809dwt-blt 97, S. Korea), which was sold to Sinochem for $8.5m .

Wet Market

Indicative Period Charters

-12 mos - 'STAVANGER PRINCE' 2002 109,400 dwt

- - $21,000/day - Trafigura

-12 mos - 'MERKUR O' 2004 75,000 dwt

- - $20,2500/day -Koch

20

70

120

170

220

WS

po

ints

DIRTY - WS RATESTD3 TD4 TD6 TD9

Week 20 Week 19 ±% Diff 2014 2013

300k 1yr TC 42,000 40,000 5.0% 2000 28,346 20,087

300k 3yr TC 40,500 40,500 0.0% 0 30,383 23,594

150k 1yr TC 33,500 33,000 1.5% 500 22,942 16,264

150k 3yr TC 32,500 32,500 0.0% 0 24,613 18,296

110k 1yr TC 24,000 23,500 2.1% 500 17,769 13,534

110k 3yr TC 23,000 23,000 0.0% 0 19,229 15,248

75k 1yr TC 21,500 21,500 0.0% 0 16,135 15,221

75k 3yr TC 19,250 19,250 0.0% 0 16,666 15,729

52k 1yr TC 16,750 16,250 3.1% 500 14,889 14,591

52k 3yr TC 16,000 16,000 0.0% 0 15,604 15,263

36k 1yr TC 15,000 15,000 0.0% 0 14,024 13,298

36k 3yr TC 14,250 14,250 0.0% 0 14,878 13,907

Panamax

MR

Handy

size

TC Rates

$/day

VLCC

Suezmax

Aframax

60

90

120

150

180

210

240

270

WS

po

ints

CLEAN - WS RATESTC1 TC2 TC5 TC6

© Intermodal Research 19/05/2015 3

0500

1,0001,5002,0002,5003,0003,5004,0004,500

Ind

ex

Baltic Indices

BCI BPI BSI BHSI BDI

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000$

/da

y

Average T/C Rates

AVR 4TC BCI AVR 4TC BPI AVR 5TC BSI AVR 6TC BHSI

Chartering

The Dry Bulk market closed off the week on the green last week, purely on

the back of improved Capesize performance, while the rest of the segments

moved sideways, denying the sector even the slightest change in senti-

ment. Despite the jump in Cape rates, the market remains under pressure

with average T/C rates for all sizes segments faring below $7,000/day and

barely covering OPEX in the best of cases. At the same time it is very worry-

ing to note that even amidst what are considered “hot” seasons for regions

in the likes of ECSA, the market has been unable to advance, with further

fears emerging if one tries to assess what is due to happen once things slow

down further.

Rates for Capes were for a second week in a row the only substantial posi-

tive exception in an otherwise uninspiring market, with activity in both

basins reviving significantly and reports signalling the return of majors in

the Pacific. Sentiment nonetheless has not improved much from the week

prior and given the lows rates have been hovering around, current levels

can hardly allow for big hopes to built up. The following days are set to

offer a better idea as to how meaningful this recent upside could be.

The Atlantic Panamax market started to improve slowly following holidays

in a number of European countries, while the Pacific Panamax was still

moving sideways as the market slid into the weekend.

Rates for the geared sizes slightly improved in the Pacific following a fairly

quiet first half of the month in the region, while improved rates were also

being achieved out of Continent with Atlantic business remaining overall

stable.

Sale & Purchase

In the Capesize sector, we had the sale of the “JIANG JUN SHAN” (176,924dwt-blt 06, Japan), which was reported being sold to Winning Ship-ping for a price of $18.1m.

In the Handymax sector we had the sale of the “AGIA” (45,296dwt-blt 94, Japan), which was sold to Chinese buyers for a price in the region of $3.5m .

May-15 Apr-15 ±% 2014 2013 2012

180k 33.5 34.8 -3.6% 47.3 35.8 34.6

76K 16.8 16.6 1.3% 24.5 21.3 22.7

56k 15.8 16.1 -1.8% 24.7 21.5 23.0

30K 13.5 13.9 -2.7% 19.5 18.2 18.2

Capesize

Panamax

Supramax

Indicative Market Values ($ Million) - Bulk Carriers

Vessel 5 yrs old

Handysize

Indicative Period Charters

- 4 to 7 mos - 'DA SHUN ' 2013 81,068dwt

- Indonesia prompt - $ 6,000/day -Noble

- 4 to 8 mos - 'NORD SATURN' 2012 77,288 dwt

- Paradip prompt - $ 6,900/day -GMI

Dry Market

Index $/day Index $/day Index Index

BDI 634 574 60 1,097 1,205

BCI 954 $6,946 616 $4,737 338 46.6% 1,943 2,106

BPI 579 $4,630 594 $4,734 -15 -2.2% 960 1,186

BSI 628 $6,566 618 $6,460 10 1.6% 937 983

BHSI 327 $4,832 329 $4,876 -2 -0.9% 522 562

08/05/2015

Baltic IndicesWeek 20

15/05/2015Week 19

Point

Diff

2014 2013$/day

±%

170K 6mnt TC 7,750 7,250 6.9% 500 22,020 17,625

170K 1yr TC 8,500 8,500 0.0% 0 21,921 15,959

170K 3yr TC 10,000 10,000 0.0% 0 21,097 16,599

76K 6mnt TC 6,750 7,250 -6.9% -500 12,300 12,224

76K 1yr TC 6,750 7,250 -6.9% -500 12,259 10,300

76K 3yr TC 7,750 8,250 -6.1% -500 13,244 10,317

55K 6mnt TC 7,500 7,500 0.0% 0 12,008 11,565

55K 1yr TC 7,250 7,250 0.0% 0 11,589 10,234

55K 3yr TC 7,750 7,750 0.0% 0 11,585 10,482

30K 6mnt TC 6,000 6,000 0.0% 0 9,113 8,244

30K 1yr TC 6,250 6,250 0.0% 0 9,226 8,309

30K 3yr TC 6,750 6,750 0.0% 0 9,541 8,926Han

dys

ize

Period

2013

Pan

amax

Sup

ram

ax

Week

20

Week

19

Cap

esi

ze

2014$/day ±% Diff

© Intermodal Research 19/05/2015 4

Secondhand Sales

Size Name Dwt Built Yard M/E SS due Hull Price Buyers Comments

AFRAFLAGSHIP

JASMINE114,900 2015

DAEHAN

SHIPBUILDING -, S.

Korea

DH $ 61.5m

Monaco based

(Scorpio

Tankers )

LR1 STX JINHAE 1657 73,800 2016STX OFFSHORE &

SHBLDG, S. KoreaMAN-B&W DH $ 53.5m

LR1 STX JINHAE 1652 73,800 2015STX OFFSHORE &

SHBLDG, S. KoreaMAN-B&W DH $ 53.5m

LR1 STX JINHAE 1658 73,800 2016STX OFFSHORE &

SHBLDG, S. KoreaMAN-B&W DH $ 53.5m

LR1 STX JINHAE 1651 73,800 2015STX OFFSHORE &

SHBLDG, S. KoreaMAN-B&W DH $ 53.5m

MR FLAGSHIP IRIS 51,600 2012HYUNDAI MIPO

DOCKYARD, S. KoreaMAN-B&W DH $ 30.5m

Danish (AP

Mol ler Group)

incl . 6 mos. T/C to

Trafigura at

$15,600/day

MR IVER EXPERT 45,809 1997HALLA ENG & HI -

SAMHO, S. KoreaB&W Sep-17 DH $ 8.5m

Chinese

(Sinochem)

PROD/

CHEMEVERRICH 7 22,780 2001 KITANIHON, Japan Mitsubishi Sep-16 DH undisclosed

Greek (Mare

Mari time)

Tankers

Greek (Prime

Marine)

Size Name Dwt Built Yard M/E SS due Gear Price Buyers Comments

CAPE BLUE CHO OYU 180,161 2011

DAEHAN

SHIPBUILDING -,

S. Korea

MAN-B&W Apr-16 $ 29.0m undisclosed

CAPE JIANG JUN SHAN 176,924 2006NAMURA IMARI,

JapanMAN-B&W Sep-15 $ 18.1m

Singapore

based (Winning

Shipping)

at auction, vessel

la id up

CAPE CECILIA 170,565 1999NAMURA IMARI,

JapanMAN-B&W Jun-19 $ 8.75m

Ukrainian (Vis ta

Shipping)

PMAX TIARA GLOBE 72,928 1998

HUDONG

SHIPBUILDING GR,

China

B&W Apr-184 X 30t

CRANES$ 5.5m Chinese

HMAX AGIA 45,296 1994SHIN KURUSHIMA

ONISHI, JapanMitsubishi Mar-19

4 X 25,4t

CRANES$ 3.5m Chinese

SMALL SEA RACER 18,320 2000SHIKOKU

DOCKYARD, JapanB&W Jun-15

3 X 30t

CRANES$ 3.5m Turkish

Bulk Carriers

© Intermodal Research 19/05/2015 5

Secondhand Sales

Size Name Teu Built Yard M/E SS due Gear Price Buyers Comments

SUB

PMAXCLYDE 2,824 2007

HYUNDAI MIPO

DOCKYARD, S.

Korea

MAN-B&W Nov-16 $ 16.3m

SUB

PMAX

PHOENIX

HUNTER2,824 2006

HYUNDAI MIPO

DOCKYARD, S.

Korea

MAN-B&W Apr-20 $ 14.8m

SUB

PMAXPASSAT SPRING 2,732 2006

GDANSKA

STOCZNIA GRUPA,

Poland

MAN-B&W Aug-16 $ 14.2m

UK based

(Borealis

Maritime)

SUB

PMAX

CALEDONIAN

EXPRESS2,702 2006

NORDSEEWERKE,

GermanyMAN-B&W Sep-16 $ 14.3m Turkish

FEEDER TAURUS J 1,201 2002PEENE-WERFT,

GermanyB&W Nov-17

2 X 45t

CRANES$ 5.5m

Norwegian

(Nordic

Shipping)

FEEDER ANTARES J 1,201 2002PEENE-WERFT,

GermanyB&W Feb-17

2 X 40t

CRANES$ 5.3m

FEEDER AURIGA J 1,150 2001PEENE-WERFT,

GermanyB&W Oct-16

2 X 45t

CRANES$ 5.3m

FEEDERHANSE

CONFIDENCE830 2004 QINGSHAN, China MAN-B&W Feb-15 undisclosed

FEEDER HANSE COURAGE 830 2005 QINGSHAN, China MAN-B&W Jul-15 undisclosed

FEEDERWMS

ROTTERDAM698 2005 MAWEI, China MaK Jun-15 undisclosed

FEEDERWMS

AMSTERDAM698 2005 MAWEI, China MaK - undisclosed

FEEDERWMS

VLISSINGEN698 2005 MAWEI, China MaK Aug-15 undisclosed

Containers

German

(Navalis)

Fil ipino

German (ER

Capital Holding)

Turkish

Type Name Dwt Built Yard M/E SS due Cbm Price Buyers Comments

LNG TENAGA DUA 72,087 1981

DUNKERQUE-

NORMANDIE,

France

Stal -Laval - 127,400 $ 19.2m

LNG TENAGA LIMA 72083 1981 CNIM, France Stal -Laval Dec-19 127,409 $ 19.2m

LPG GAS SCORPIO 49,679 1995MITSUBISHI

NAGASAKI, JapanMitsubishi Dec-15 78,462 $ 39.0m

Vietnamese

(Truong Phat

Loc)

Gas/LPG/LNG

Chinese

© Intermodal Research 19/05/2015 6

“One of the same” could very well be the title for last week’s newbuilding market, with tanker orders still having the lion’s share among those limited orders being reported across the market and dry bulk prices continuing to move south and closer to the 2012 lows. As long as dry bulk second-hand prices keep failing to note a significant upward correction, we expect more downside on the newbuilding side as well, while the trend of converting previous Capesize orders to tanker ones seems that is still holding well, with more similar conversions coming to light recently. Such deals underline the extent of the lack of faith in the segment by owners who just a little while ago saw potential in Capes but currently seem unable to find anything posi-tive in concluding such orders, despite the fact that a significant amount of deadweight has been already removed by the market and more is expected to do so in the coming months.

In terms of recently reported deals, German owner, Blumenthal, converted a Capesize order to one firm plus one optional Suezmax (160,000dwt) at Hyun-dai Samho, in S. Korea, for a price of $67.0 each and delivery set in 2017.

Newbuilding Market

20

60

100

140

180

mil

lion

$

Tankers Newbuilding Prices (m$)

VLCC Suezmax Aframax LR1 MR

Week

20

Week

19±% 2014 2013 2012

Capesize 180k 50.5 51.0 -1.0% 55.8 49 47

Kamsarmax 82k 27.5 28.0 -1.8% 30.4 27 28

Panamax 77k 26.5 27.5 -3.6% 29.2 26 27

Ultramax 63k 25.5 25.5 0.0% 27 25 25

Handysize 38k 21.5 21.5 0.0% 23 21 22

VLCC 300k 96.5 96.5 0.0% 98.6 91 96

Suezmax 160k 65.0 65.0 0.0% 65 56 58

Aframax 115k 53.5 53.5 0.0% 54 48 50

LR1 75k 46.0 46.0 0.0% 45.9 41 42

MR 50k 36.5 36.5 0.0% 36.9 34 34

190.0 190.0 0.0% 186.0 185 186

77.0 77.0 0.0% 78.4 71 71

68.0 68.0 0.0% 66.9 63 62

46.0 46.0 0.0% 44.3 41 44

Vessel

Indicative Newbuilding Prices (million$)

Bu

lke

rsTa

nke

rs

LNG 160k cbm

LGC LPG 80k cbm

MGC LPG 55k cbm

SGC LPG 25k cbm

Gas

10

30

50

70

90

110

mil

lion

$

Bulk Carriers Newbuilding Prices (m$)

Capesize Panamax Supramax Handysize

Units Type Yard Delivery Buyer Price Comments

1+1 Tanker 160,000 dwtHyundai Samho, S.

Korea2017 German ( Blumenthal) $ 67.0m

Capes ize order

convers ion

2 Tanker 156,000 dwt DSME, S. Korea 2017 Greek (Maran Tankers) undisclosed 4 Suezmaxes + 6 VLs

a l ready on order

1 Bulker 60,000 dwt Onomichi, Japan 2018 Dutch (Triton Navigation) undisclosed Sumitomo subsdiary,

tota l 4 on order

1 Gas 178,000 cbm Imabari, Japan 2020Japanese (Trinity LNG

Transport)undisclosed

25-yr T/C to Mitsui &

Co.

2 Gas 165,000 cbm Mitsubishi, Japan 2018 Japanese (NYK) undisclosed

3 MPP 17,500 dwt Honda Zosen, Japan 2016-2017 Japanese (Mitsui OSK) undisclosed

2 PCTC 7,000 ceu Uljanik, Croatia 2017-2018 Norwegian (Siem Shipping) $ 55.0m total 5 on order

Newbuilding Orders Size

© Intermodal Research 19/05/2015 7

The fact that demo prices extended their fall last week hardly took anyone by surprise as market sentiment has been persistently dictating for further downside since the beginning of the month. The downward trend seems to have ultimately taken its toll on activity as well, which came in overwhelm-ingly lower than what we have been used to lately, while the lack of demo sales involving Capesize tonnage certainly didn’t go unnoticed as the big bulkers have been regularly popping up in reported demo sales since the beginning of the year. We see the market stabilizing around current levels for a couple of weeks, while if no important upside is noted on prices, we expect the upcoming monsoon season to almost certainly weigh down further on activity. Saying that, we still believe that this summer will be busier com-pared to the 2014 one, while despite the momentary stall in demo sales of big bulkers, we expect the trend to resume for as long as earning remain close to or just above OPEX levels. Prices this week for wet tonnage were at around 225-400 $/ldt and dry units received about 210-380 $/ldt.

The highest price amongst recently reported deals, was that paid by Indian breakers for the General Cargo vessel “OMOLON” (7,075dwt-4,174ldt-blt 87), which received $364/ldt .

Demolition Market

Week

20

Week

19±% 2014 2013 2012

Bangladesh 390 395 -1.3% 469 422 441

India 390 395 -1.3% 478 426 445

Pakistan 400 405 -1.2% 471 423 444

China 225 225 0.0% 313 365 384

Bangladesh 380 385 -1.3% 451 402 415

India 380 385 -1.3% 459 405 419

Pakistan 380 385 -1.3% 449 401 416

China 210 210 0.0% 297 350 365

Dry

Indicative Demolition Prices ($/ldt)

Markets

We

t

200

250

300

350

400

450

500

550

$/l

dt

Wet Demolition Prices

Bangladesh India Pakistan China

200

250

300

350

400

450

500

550

$/ld

t

Dry Demolition Prices

Bangladesh India Pakistan China

Name Size Ldt Built Yard Type $/ldt Breakers Comments

AMADEO 39,350 11,509 1996 GALATI, Romania TANKER $ 281/Ldt undisclosed as-is Argentina, incl. 290T ROB

OMOLON 7,075 4,174 1987LENINA STOCZNIA

GDANSK, PolandGC $ 364/Ldt Indian

Demolition Sales

The information contained in this report has been obtained from various sources, as reported in the market. Intermodal Shipbrokers Co. believes such information to be factual and reliable without mak-ing guarantees regarding its accuracy or completeness. Whilst every care has been taken in the production of the above review, no liability can be accepted for any loss or damage incurred in any way whatsoever by any person who may seek to rely on the information and views contained in this material. This report is being produced for the internal use of the intended recipients only and no re-producing is allowed, without the prior written authorization of Intermodal Shipbrokers Co.

Compiled by Intermodal Research & Valuations Department | research@intermodal.gr Ms. Eva Tzima | e.tzima@intermodal.gr

Mr. Vassilis Logothetis | v.logothetis@intermodal.gr

Finance News

“Frangou’s Navios stake grows

Angeliki Frangou has seen her stake in US-listed Navios Maritime Holdings rise to 26.3%, according to a securities filing today.

The chief executive of the Piraeus-headquartered shipowner reported a holding of 29 million shares and vested or soon-to-vest options. The stake is worth $106m at today’s price on the New York Stock Exchange.

A year ago, she told the US Securities & Exchange commission that she controlled 27.7 million shares and vested options, or 25.9% of the company.

The upsized figure reported today includes 3.08 mil-lion vested options to purchase shares and another 208,000 that vest within the next 60 days.

Not included are 1.29 million unvested options, which would lift Frangou’s stake to 27.2%.

As of its last quarterly report, Navios controlled a fleet of 40 owned and 24 chartered-in bulkers and newbuildings.

The company also has a controlling stake in Navios South American Logistics, bulker and containership owner Navios Maritime Partners and tanker owner Navios Maritime Acquisition.” (Eric Martin, Trade Winds)

Commodities & Ship Finance

15-May-15 14-May-15 13-May-15 12-May-15 11-May-15W-O-W

Change %

10year US Bond 2.140 2.230 2.270 2.280 2.280 -0.9%

S&P 500 2,122.73 2,121.10 2,098.48 2,099.12 2,105.33 0.3%

Nasdaq 5,048.29 5,050.80 4,981.69 4,976.19 4,993.57 0.9%

Dow Jones 18,272.56 18,252.24 18,060.49 18,068.23 18,105.17 0.4%

FTSE 100 6,960.49 6,973.04 6,949.63 6,933.80 7,029.85 -1.2%

FTSE All-Share UK 3,779.96 3,782.49 3,769.69 3,756.45 3,805.48 -0.9%

CAC40 4,993.82 5,029.31 4,961.86 4,974.65 5,027.87 -1.9%

Xetra Dax 11,447.03 11,559.82 11,351.46 11,472.41 11,673.35 -1.9%

Nikkei 19,732.92 19,570.24 19,764.72 19,624.84 19,620.91 0.6%

Hang Seng 27,822.28 27,286.55 27,249.28 27,407.18 27,718.20 0.9%

DJ US Maritime 265.95 264.74 267.99 269.23 269.86 -2.9%

$ / € 1.14 1.14 1.13 1.12 1.11 1.5%

$ / ₤ 1.57 1.58 1.57 1.57 1.56 1.8%

¥ / $ 119.28 119.21 119.18 119.84 120.13 -0.4%

$ / NoK 0.14 0.14 0.14 0.13 0.13 2.3%

Yuan / $ 6.20 6.20 6.20 6.21 6.21 0.0%

Won / $ 1,083.90 1,090.35 1,093.55 1,094.05 1,098.25 -0.4%

$ INDEX 84.11 84.14 84.30 85.14 85.53 -1.3%

Market Data

Cu

rre

nci

es

Sto

ck E

xch

ange

Dat

a

1,100

1,150

1,200

1,250

1,300

1,350

40

45

50

55

60

65

70

goldoil

Basic Commodities Weekly Summary

Oil WTI $ Oil Brent $ Gold $

15-May-15 8-May-15W-O-W

Change %

Rotterdam 593.0 579.5 2.3%

Houston 657.0 660.0 -0.5%

Singapore 588.5 578.5 1.7%

Rotterdam 358.5 359.5 -0.3%

Houston 352.5 351.0 0.4%

Singapore 377.5 389.0 -3.0%

Bunker Prices

MD

O3

80

cst

CompanyStock

ExchangeCurr. 15-May-15 08-May-15

W-O-W

Change %

AEGEAN MARINE PETROL NTWK NYSE USD 14.84 14.28 3.9%

BALTIC TRADING NYSE USD 1.50 1.42 5.6%

BOX SHIPS INC NYSE USD 0.95 0.93 2.2%

CAPITAL PRODUCT PARTNERS LP NASDAQ USD 9.00 8.59 4.8%

COSTAMARE INC NYSE USD 20.03 20.29 -1.3%

DANAOS CORPORATION NYSE USD 6.18 6.49 -4.8%

DIANA SHIPPING NYSE USD 7.23 6.88 5.1%

DRYSHIPS INC NASDAQ USD 0.78 0.71 9.9%

EAGLE BULK SHIPPING NASDAQ USD 10.00 9.50 5.3%

EUROSEAS LTD. NASDAQ USD 0.77 0.80 -3.8%

FREESEAS INC NASDAQ USD 0.11 0.03 266.7%

GLOBUS MARITIME LIMITED NASDAQ USD 1.38 1.36 1.5%

GOLDENPORT HOLDINGS INC LONDON GBX 118.00 120.95 -2.4%

HELLENIC CARRIERS LIMITED LONDON GBX 20.70 23.50 -11.9%

NAVIOS MARITIME ACQUISITIONS NYSE USD 3.75 3.69 1.6%

NAVIOS MARITIME HOLDINGS NYSE USD 3.66 3.73 -1.9%

NAVIOS MARITIME PARTNERS LP NYSE USD 10.98 11.66 -5.8%

PARAGON SHIPPING INC. NYSE USD 0.70 0.70 0.0%

SAFE BULKERS INC NYSE USD 3.71 3.67 1.1%

SEANERGY MARITIME HOLDINGS CORP NASDAQ USD 0.71 0.71 0.0%

STAR BULK CARRIERS CORP NASDAQ USD 3.48 3.75 -7.2%

STEALTHGAS INC NASDAQ USD 6.70 6.51 2.9%

TSAKOS ENERGY NAVIGATION NYSE USD 9.50 9.06 4.9%

TOP SHIPS INC NASDAQ USD 1.03 1.06 -2.8%

Maritime Stock Data

© Intermodal Shipbrokers Co

9

19/05/2015

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