Greece's Okeanis Eco Tankers (OET) has revealed new suezmax financing as its second quarter profit beat its own guidance.
The Oslo-listed outfit said it had fixed a loan worth $103.21m from the Export-Import Bank of Korea, BNK Busan Bank and BNK Kyongnam Bank to fund its 158,000-dwt newbuildings Nissos Sifnos and Nissos Sikinos at Hyundai Samho.
Their cash breakeven rate is anticipated to be sub-$21,000 per day, it added.
The pair has been fixed on three-year time charters on delivery in September. The charterer was not named. The vessels are its last on order.
OET has also refinanced its 159,000-dwt suezmaxes Kimolos and Folegandros (both built 2018), cutting debt by $1.9m and the vessels’ breakeven rate by $1,200 per day.
It announced another big net profit for the second quarter - $37.1m - against a loss of $3.61m in the same period of 2019.
Revenue from the 17 ships was up at $81m from $19.5m, and first-half profit was $78.2m.
OET said it beat its previous forecasts due to higher than expected profit share.
Clarksons Platou Securities said: "The dividend for 2Q was notably higher than expected at $0.75 per share, which is slightly more than 10% of the current share price of NOK 64 per share.
"Based on the firm 3Q20 guidance and a reasonable 4Q assumption, we believe another $0.40 (NOK 3.50) per share could be possible."
Rates holding up into third quarter
The company managed a fleetwide daily time charter equivalent rates of $51,900 per operating day, with VLCCs coming in at $59,700, suezmaxes at $52,900 and aframaxes/LR2s at $28,000.
So far in the third quarter, 67% of the available VLCC spot days have been booked at an average rate of $54,200 per day.
OET has also fixed 66% of the available suezmax spot days at $39,600 per day, and 89% of aframax/LR2 spot days at $19,700 per day.
"The tanker market has held up very well despite reduced cargoes and weaker refining margins," it said.
Fearnley Securities said it expected OET to take a conservative approach and "focus on building a sufficient liquidity buffer to weather a potentially challenging market."
