Dorian LPG Ltd.

Greetings, and welcome to the Dorian LPG fourth quarter and full year 2022 earnings conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. Additionally, a live audio webcast of today's conference call is available on the Dorian LPG's website, which is www.dorianlpg.com. I would now like to turn this conference over to Ted Young, Chief Financial Officer. Thank you, Mr. Young. Please go ahead.

Thank you, Laura. Good morning, everyone, and thank you all for joining us for our fourth quarter and full year 2022 results conference call. With me today are John Hajipateris, Chairman, President, and CEO of Dorian LPG Limited, John LaCouras, Chief Executive Officer of Dorian LPG USA, and Tim Hanson, Chief Commercial Officer. As a reminder, this conference call webcast and a replay of this call will be available through June 2, 2022. Many of our remarks today contain forward-looking statements based on current expectations. These statements may often be identified with words such as expect, anticipate, believe, or similar indications of future expectations. Although we believe that such forward-looking statements are reasonable, we cannot assure you that any forward-looking statements will prove to be correct. These forward-looking statements are subject to known and unknown risks and uncertainties and other factors, as well as general economic conditions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove to be incorrect, actual results may vary materially from those we expressed today. Additionally, let me refer you to our unaudited results for the period ended March 31, 2022 that were filed this morning on Form 8-K. In addition, please refer to our previous filings on Forms 10-K and 10-Q, where you'll find risk factors that could cause actual results to differ materially from these forward-looking statements. Please note that we expect to file our full 10-K for the 2022 fiscal year in the near future. Finally, for your reference during our formal remarks, please refer to the earnings supplement that we posted this morning on our website. With that, I'll turn the call over to John Haji-Pateras.

Thanks, Ted. Good morning, and thank you for joining John, Ted, Tim, and me to discuss our fourth quarter financial year 2022 results. The Baltic VLGC index averaged about $57 per ton for the period January through March. As of yesterday, rates had improved to $94.8 per ton. Global exports increased 1.7 million tons in the first four months of this year compared to the same period last year, or about 5% with the Middle East, the main contributor to global export growth, up 13% year on year. Tim will give you more details. The price spread between heavy fuel oil and low sulfur fuel oil is currently around $230 per ton, providing a good return on our investment in scrubbers. as John will illustrate shortly. Our new bunkering manager with the chartering operations departments are making considerable impact on sourcing best quality and best price bunkers for our fleet and our pool fleet. In its May short-term energy outlook report, the EIA estimated the US LPG exports will grow 6% in 2022. It expects the trend to continue with exports increasing 15% in 2023, driven by continued production growth and lower domestic demand. Our outlook for the next quarter and the remainder of the year remains sanguine. In recent weeks, Panama Canal congestion has increased waiting days, which is good for overall fleet utilization. There are only two new building VLGCs scheduled for delivery between now and the end of June, three in the third quarter and seven in the fourth. We are faced with new challenges resulting from the invasion of Ukraine, in addition to the continuing and significant disruptions due to COVID. Accruing operations, HSEQ and other departments have worked comprehensively to facilitate crew changes and to ensure that our seafarers are working well together and that their families are safe. 87% of our seafarers are fully vaccinated. 298 out of a total of 870 were vaccinated at U.S. ports. Our tech and performance teams are assessing solutions ranging from traditional Mewis ducts combined with bus cap fins to more innovative technologies like air lubrication under the hull and advanced battery systems. We believe a combination of retrofitting the most promising hardware and engine power limitation will safeguard the competitive earnings advantage of our eco-ships and comply with new emission regulations. John will say more about this. We began evaluating LPG as fuel seven years ago, and 10 of our vessels were built retrofit ready. The additional cost to opt for dual fuel for a new building is not great, but to retrofit existing ships is still, in our opinion, uncertain. Remaining on the subject of ESG, I am pleased to note the launch this week of the All Aboard Alliance. This is an initiative under the aegis of the Global Maritime Forum that with other industry leaders we participated in developing. Its purpose is to collaboratively confront the challenges of making a sustainable maritime industry by implementing policies, procedures, and leadership practices which promote diversity, equity, and inclusion in our businesses. With a strong balance sheet, the age profile of our fleet, our new building, and the time chart of three dual-fuel new ships delivering in 2023, Doran LPG is well-positioned with fleet renewal flexibility, allowing us to continue pursuing an optimal capital allocation strategy. Including the recent recently announced $2.50 per share dividend, and our two $1 dividends paid in the last 12 months, as well as our stock repurchases and self-tender, we will have returned over $400 million to our investors since the IPO. Our capital allocation strategy is a balanced mix of return of capital and sensible investment in our business. Ted will tell you more. Ted, over to you.