The new manager of Heidmar's tanker pools does not expect to lose vessels despite changes that surprised some members and caused them to investigate other options.

Signal Maritime Services chief executive Panos Dimitracopoulos dismissed market talk of potential defections from Heidmar's three pools.

Signal and Heidmar owner George Economou jointly announced "a milestone agreement" on 6 January that would use Signal's artificial intelligence approach applied first to the 18 aframaxes in the Sigma pool.

The agreement also extends to suezmaxes in the Bluefin pool and VLCCs in the Seawolf pool.

Heidmar management quickly began laying off staff, telling them the operation would close by 30 June.

A number of partners were blindsided by the changes and are investigating switching to competing pools or other alternatives, several sources told TradeWinds in the past week.

Surprised

"Some pool partners were caught by surprise by the deal and were considering their options," Dimitracopoulos said in an email to TradeWinds this week.

"Nevertheless, we have no reason to believe any partners will be exiting. We have been in touch with most of them who feel comfortable joining Signal and see the new structure as an opportunity for improved performance.”

The Sigma pool has 11 partners, including chartered-in tonnage from Heidmar, according to the company’s website.

Members include Aktif Shipping, China Merchants Group, FSL Trust Management, Great Eastern Shipping, International Seaways, Kondinave, Liquimar Tankers Management, Nan Fung Group, Phoenix Energy Navigation and Qatar Shipping Petroleum.

Economou assumed 100% ownership of Heidmar last year through the then public company DryShips, which bought the remaining 49% stake held by financial giant Morgan Stanley. Economou has since taken DryShips private.

In decline

The Connecticut-based pooling operation, sold by founder Per Heidenreich for a reported $210m in 2006, has been in long decline in both value and numbers of tankers in its pools of VLCCs, suezmaxes, aframaxes and panamaxes.

It was valued at just $34m in public filings by DryShips last year. Pool vessels have dwindled from more than 100 in 2017 to fewer than 50.

Athens-based chief executive Pankaj Khanna travelled to Heidmar’s headquarters in Norwalk, Connecticut, this week to discuss which staff would be let go this month, sources said.

Khanna has not responded to requests for comment.

Anxiety by current pool members does not necessarily imply a negative view of Signal and its vessel-management strategies.

Sources indicated that Heidmar’s best hopes of staunching actual withdrawals rest with members who are willing to see how well Signal performs in the short term.

“We’re in a good tanker market right now,” one owner told TradeWinds.

“So as concerning as this situation is, you have to weigh how much disruption you want to take on — is it worth it at a time when rates are very strong?”

Ambiguity abounds

Tankers leaving the Sigma pool would likely be redelivered in Asia, leaving owners with the probability of a ballast leg to reposition, one tanker man noted. There is also the question of contributed working capital being returned in a manner that might not be prompt.

A further ambiguity attaches to the notice requirement. Written terms specify three months, but there is some question whether altered management through Signal invalidates that provision.

Owners may take the position that redelivery can come at the conclusion of current voyages, but there is no certainty Heidmar will agree to that, one source noted.

Several tanker market sources said some Heidmar partners are, therefore, likely to submit withdrawal notices sooner rather than later to protect their positions. That still leaves them with the option to keep their ships with Signal-Heidmar if they like near-term results.