Hafnia Limited

Welcome to Hafnir's second quarter and half-year 2023 financial results presentation. We will begin shortly. You will be brought through the presentation by Hafnir's CEO, Michael Scove, CFO, Perry van Echtelt, EVP Commercial, Jens Christoffersen, an EVP, Head of Commercial, and Head of Investor Relations, Thomas Anderson. They will be pleased to address any questions after the presentation. Should you have any questions, you can submit them via the chat function or use the raise hand function to be unmuted to ask your question verbally. Questions will be answered at the end of the presentation. You will receive further instructions as required. Certain statements in this conference call may constitute forward looking statements based upon management's current expectations and include known and unknown risks, uncertainties and other factors, many of which Hafnir is unable to predict or control that may cause Hafnir's actual results, performance or plans to differ materially from any future results, performance or plans expressed or implied by such forward-looking statements. In addition, nothing in this conference call constitutes an offer to purchase or sell or a solicitation of an offer to purchase or sell any securities. With that, I'm pleased to turn the call over to Hafnir CEO Michael Skov.

Thank you.

My name is Michael Skolf, and I'm the CEO of Hafnir. Let me welcome and thank all of you for attending Hafnir's second quarter 2023 conference call. With me here today are our CFO, Paris Van Echtelt, EVP for commercial, Jens Christoffersen, and EVP head of investor relations, Thomas Anderson. The four of us will present Hafnir's second quarter and first half of 2023 financials. Today's presentation, we will be touching on four key areas. We will start off with an overview of the key highlights of the quarter, followed by the financials of the second quarter and first half of 2023. Next up, we will share on commercial updates and provide an outlook on the product tanker market before concluding the presentation with our ESG overview. Let's move to slide number two. We should all be aware and take note of the mandatory disclaimer. Let me begin by giving an overview of Hafnir and the main highlights in the second quarter. Moving into slide number four. Hafnir is one of the world's leading tanker owners and operators within the product and chemical tanker market. AFNI operates as a fully integrated shipping platform with our own in-house technical management and chartering teams in Asia, Europe, the Middle East, and the USA. With a robust business model, AFNI has secured its position as one of the foremost players in the industry. Our shipping platform consists of diversified revenue streams, such as pool management and bunker procurement services. Bunkering team has been actively procuring fuel for over a thousand vessels within our pool platform and for external ship owners, whereas Hafni operates a fleet of over 200 vessels commercially. At the end of the quarter, we owned and chartered a diversified portfolio of 128 vessels. Our own vessels have an average broker valuation of $4.3 billion giving Hafnia an estimated net asset value of $3.5 billion this quarter. This represents an NAV per share of around $7 or 75.6 NOC, representing significant upside in Hafnia's share. In Hafnia, we seek to consistently review the markets for any right opportunities as part of our active management strategy, And through our fleet renewal strategy, we can maintain Hafnia's fleet at a low average age of 7.9 years to enhance its utilization and improve its earnings. Moving to slide number five. Moving on, I would like to provide some key updates on Hafnia for this quarter. As part of Hafnia's continuous drive in transition towards a greener maritime sector, I'm proud to announce that Hafnir has successfully concluded a joint venture agreement with Sokota. As part of the joint venture, we have placed an order for four dual-fuel methanol chemical IMO2 MR new builds to be constructed at Guangzhou Shipyard International in China. Three of the vessels will be scheduled for delivery in 2025, with the fourth in 2026. Upon delivery, these vessels will be charted out on long-term time charter arrangements to our longstanding partners, TotalEnergie. This represents another step in Hafnir's decarbonization journey and our first venture into a future green methanol landscape as an alternative marine fuel with a net zero trajectory. The use of green methanol will substantially reduce nitrogen oxides and CO2 emissions on a tank to wake when compared to traditional marine fuels. While this is Hafnir's first investment into methanol as a fuel, this is not our first step in the dual fuel sector. As part of our Vista joint venture, we have in the second quarter already taken delivery of our second four LR2 LNG dual-fueled new builds. Additionally, aligning well with our fleet renewal strategy, we have in the second quarter welcomed the delivery of two MR IMO2 chemical vessels into our fleet, as well as another LR1 IMO2 chemical vessel in July. These acquisitions will strengthen our presence in the deep-sea chemical market enabling us to offer additional sailings and increase flexibility to our valued partners and clients. Perry, why don't you take us to our financials?