Fri, Jan. 9, 12:25 PM
- Frontline (FRO +10.1%) has now jumped 63% this week amid speculation that a plunge in crude prices is spurring demand for the vessels to store cargoes.
- “The re-emergence of floating storage is what could move the crude tanker market this year from being rather good to possibly very very good," says a shipping analyst at Pareto Securities in Oslo.
- Traders may park as much as 60M barrels of oil on tankers in the coming months, according to consulting firm JBC Energy.
- Among other tanker companies: TK +1.2%, TNK +3.4%, TOO -0.3%, TGP -0.1%, TNP -0.7%, GLNG -1.9%, NAT -0.6%, DHT +3.1%.
- Earlier: Reuters: Oil glut sparks top traders to book supertankers for storage at sea
Thu, Jan. 8, 12:36 PM
- Some of the world's largest oil traders are hiring supertankers to store crude at sea, Reuters reports: Trading firms including Vitol and Trafigura, and energy major Shell (RDS.A, RDS.B) are said to have booked crude tankers for up to 12 months in the past week.
- Freight brokers and shipping sources consider the flurry of long-term bookings unusual and suggests that traders could use the vessels to store excess crude at sea until prices rebound, repeating a popular 2009 trading gambit when prices last crashed.
- Analysts at JBC Energy say floating storage, while a sign of an oversupplied market, may provide some temporary support for oil prices in the coming weeks.
- Related tanker companies: TK, TNK, TOO, TGP, TNP, FRO, GLNG, NAT, DHT.
Fri, Jan. 2, 9:29 AM
Dec. 18, 2014, 4:36 PM
- Teekay Tankers (NYSE:TNK) -6.7% AH on plans to offer 20M common shares in a public offering, plus an underwriters option to purchase up to an additional 3M shares.
- Its Teekay Corp. (NYSE:TK) parent also is purchasing $20M in common stock at the same price per share to the public.
- TNK expects to use the proceeds to partially finance the acquisition of four modern coated Aframax tankers and one modern uncoated Aframax tanker and for general corporate purposes.
Dec. 18, 2014, 9:19 AM
- Teekay Offshore Partners (NYSE:TOO) says it has won a contract to supply its Petrojarl I FPSO for work in waters off Brazil by the partners at Brazil's Atlanta heavy-oil field.
- In connection with the contract, TOO agrees to purchase the Petrojarl I FPSO from parent Teekay Corp. (NYSE:TK) for $57M; the unit then will be upgraded at a shipyard for a fully built-up cost of ~$240M.
- The FPSO is scheduled to commence operations in H1 2016 under a five-year charter contract with the Atlanta group; TOO expects the charter contract to generate annual cash flow from vessel operations of $55M-$60M.
Nov. 6, 2014, 5:57 AM
Oct. 6, 2014, 10:33 AM
- Teekay (TK +0.2%) is not enjoying the typical Barron's bounce, after a weekend profile of the oil and gas marine transporter and servicer is touted as offering a potential 30% upside.
- With TK, "you’re getting global exposure to emerging economies, and you’re not getting the currency exposure you would with a company like Petrobras or any emerging-markets equity,” says Clearbridge Investments' Chris Eades.
- The stock jumped 16% last week, to above $67, after TK announced plans to triple its $1.265 annual dividend by 2018.
- TGP +0.2%, TOO +0.9%, TNK +0.2%.
Oct. 3, 2014, 4:29 PM
Sep. 30, 2014, 12:45 PM
Sep. 30, 2014, 12:32 PM
- Teekay (TK +13.8%) says it will change its dividend policy to link its quarterly payouts to growing cash flows from its two MLPs, Teekay LNG Partners (TGP -0.2%)and Teekay Offshore Partners (TOO -1.7%), and includes an 80% increase in its annual dividend effective Q1 2015.
- The moves prompt Deutsche Bank to upgrade shares to Buy from Hold with a $90 price target, raised from $68; the firm says TK’s "bold" new strategy should result in a 20%/year growth in TK’s dividend for the foreseeable future.
Sep. 30, 2014, 9:11 AM
Sep. 16, 2014, 3:57 PM
- Ocean shipping of dry bulk commodities and oil will nearly double earnings capacity during the next several years while the smaller container ship industry will tread water, Deutsche Bank says.
- The firm believes the industry is "on the cusp of entering a new era of prosperity," driven by improved supply/demand dynamics, increased fleet utilization and abundant capital to fund profitable growth.
- On average, DB forecasts a near doubling of earnings power across its coverage universe by 2016 vs. 2013, led by shippers in the Dry Bulk and Oil trades.
- Initiated with Buy ratings: TNK +9.8%, CPLP +2.5%, DSX +2.8%, DRYS +5.5%, DLNG +2.4%, NNA +2.1%, SALT +0.8%, SSW +1.3%, GASS +3.3%.
- Started at Hold: TK +1.2%, NMM +0.3%, FRO +3.3%, TGH -0.6%.
Aug. 7, 2014, 5:30 AM
Jul. 3, 2014, 9:03 AM
May. 15, 2014, 6:16 AM
May. 14, 2014, 5:30 PM
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