• 2019 May 15 15:54

    Net profit of Sovcomflot in 1Q’2019 totaled $70.1 million versus loss of $16.1 million in 1Q’2018

    PAO Sovcomflot (SCF Group), a world leader in energy shipping and offshore services to the oil and gas industry, today reported its results for the first quarter (Q1) ended 31 March 2019.

    Financial highlights for Q1 2019

    USD million

    Q1 2019

    Q1 2018

    %

    Gross revenue

    410.7

    345.4

    +18.9

    Time charter equivalent (TCE) revenue

    313.9

    248.9

    +26.1

    EBITDA*

    206.8

    127.3

    +62.5

    Net profit (loss)

    70.1

    (16.1)

    -

    Korolev Prospect and Vernadsky Prospect delivered - the fourth and fifth vessels in a pioneering ‘Green Funnel’ series of six LNG-fuelled 114,000 DWT Aframax tankers ordered by Sovcomflot. Compliant with new international conventions on emission controls, applicable from 2020, the tankers also conform fully with environmental and safety standards for ships operating in ECA-controlled areas (including the Baltic and North Sea basins).

    In March, the Group celebrated the 10th anniversary of the start of LNG shipments from the Sakhalin-2 project. Over the past decade, Grand Aniva and her sister ship Grand Elena have successfully completed over 300 voyages, delivering some 43.5 million cubic metres of LNG to Asian customers.

    Yevgeny Primakov, an icebreaking standby vessel employed under long-term time-charter with Sakhalin Energy, was awarded ‘2019 Support Vessel of the Year’ by Offshore Support Journal.

    Gagarin Prospect and Lomonosov Prospect, the world's first LNG-fuelled Aframax tankers, received Green Award certificates, a quality mark for vessels that significantly surpass Convention requirements related to environmental protection.

    Sovcomflot received the annual Marine Money 'Deal of the Year' award, in the category Green Ship Finance - West. The publication recognised Sovcomflot's USD 252M seven-year credit agreement, with a consortium of foreign banks, to finance the construction of a series of the world's first large-capacity LNG-fuelled tankers.

    Sergey Frank, President and CEO of PAO Sovcomflot said: “Sovcomflot started 2019 with a strong Q1 performance, boosted by a return to profitability in our conventional crude and product tanker markets following an upswing in the first months of 2019. Profits from our crude fleet in particular increased 53 per cent year-on-year compared to Q1 2018.

    “Although spot market rates for conventional tankers have yet to reach their historic averages, they have come off the low levels witnessed in the  2017-Q3 2018 period and, whilst we remain cautious for Q2 2019, we believe that a sustainable market recovery in the conventional tanker markets appears likely towards the end of 2019 and through 2020.

    “Despite cautious optimism about conventional tankers, it is our industrial fleet working in the Offshore and Gas sectors where Sovcomflot specialises in delivering safety-focused operations, with high quality assets, under long-term contracts that remains central to Group strategy going forward. We have a number of such projects delivering in the next two years, and a pipeline of opportunities that we are looking to develop over the next five year window that will further increase Sovcomflot’s participation in these core strategic sectors.”

    Evgeniy Ambrosov, Senior Executive Vice-President of PAO Sovcomflot said: “During the quarter, we witnessed several landmark events in the history of the development of remarkable Russian Oil & Gas projects, in which Sovcomflot participated directly, including the 10th anniversary of LNG shipments from the Sakhalin-2 project, using SCF’s two LNGC’s Grand Aniva and Grand Elena to export natural gas to Asian markets. We also saw the 10th million tonne of crude oil loaded on SCF’s ice-breaking shuttle tankers serving the Prirazlomnoye project, operated by Gazprom Neft. The willingness of key customers to employ SCF vessels for extended periods of time is the best proof of SCF’s highest level of reliability as a business partner and an ocean carrier of hydrocarbons.”

    Igor Tonkovidov, Executive Vice-President, Chief Operating & Chief Technical Officer of PAO Sovcomflot said: “During the period, the Group took further steps to reduce its environmental footprint by increasing the use of LNG as primary fuel on two more Aframax tankers. The move represents a significant commitment by the Group to improve the environmental profile of oil transportation and is part of our ‘Green Funnel’ project developed in collaboration with Shell. Our track record of innovation was duly recognised by an award to our IBSV Yevgeny Primakov with her unique specifications as ‘Offshore Support Vessel of the Year’.

    Nikolay Kolesnikov, Executive Vice President and CFO of PAO Sovcomflot said: “With a stable balance sheet and positive cash-flow during the first quarter, supported by good earnings visibility, Sovcomflot is well positioned to continue with the implementation of its strategy and fulfilling the evolving needs of our clients. Sovcomflot’s contracted capex is fully funded, and the company maintains access to international and domestic sources of long-term capital.”

    Sovcomflot (SCF Group) is one of the world's leading energy shipping companies, specialising in the transportation of crude oil, petroleum products, and liquefied gas, as well as the servicing of offshore oil and gas exploration and production. The company’s fleet includes 146 vessels with a total deadweight of over 12.7 million tonnes. Over 80 vessels have an ice class.

    Sovcomflot is involved in servicing large oil and gas projects in Russia and around the world: Sakhalin-1; Sakhalin-2; Varandey; Prirazlomnoye; Novy Port; Yamal LNG, and Tangguh (Indonesia). The company is headquartered in Saint Petersburg, with offices in Moscow, Novorossiysk, Murmansk, Vladivostok, Yuzhno-Sakhalinsk, London, Limassol, and Dubai. 




2019 October 17

18:12 World's first emission-free push boat “Elektra” to have SCHOTTEL propulsion units
17:47 Five vessels call at the port of Brussels to show technological solutions to cut CO2 and air emissions
17:45 Nexans celebrates the next step in the construction of its Aurora cable installation vessel
17:43 Lotos shipyard delivers non-self-propelled cargo pontoon of Project GRPN
17:41 DFDS takes delivery of third Chinese-built RoRo
17:19 RroZero rolls out new 12m Site-Management boat for fish farming markets
16:14 North Sea Port offers online liner services
15:50 Ships detachment of RF Navy’s Pacific Fleet arrive on business call to Kingdom of Thailand
15:26 Maldives received maritime security training from IMO on the ISPS Code
15:02 Maritime policy for sustainable development was in focus of IMO national workshop in Chile
14:37 IMO workshop helps put maritime development in Africa’s mainstream
14:11 VT Halter Marine launches first US-flagged offshore LNG bunker ATB barge for Q-LNG
13:25 Bunker prices are flat at the Far East ports of Russia (graph)
13:01 Port of Oakland container volume up 3.1 percent in September 2019
12:41 Thordon to supply propeller shaft bearings for MSC Cruises' third Seaside class cruise ship
12:08 Oboronlogistics launched new shipping line linking ports of Novorossiysk, Tartus, Alexandria and Samsun
11:39 NIBULON MAX made her first cargo trip
11:00 Port of Long Beach posts cargo volume of 707,000 TEUs in September 2019
10:44 Air quality measures make impact at Port of Southampton
10:23 ABP held its annual oil spill exercise on the Humber
10:02 LUKOIL BoD recommends interim dividend amount
09:40 Brent Crude futures price is down 0.67% to $59.02, Light Sweet Crude – down 0.84% to $52.91
09:21 MABUX: Bunker market this morning, Oct 17
09:18 Baltic Dry Index is down to 1,897 points
09:04 BOA awarded contracts to charter two vessels for the state’s emergency response preparedness
08:39 LLOG Exploration orders subsea trees for the Shenandoah Project in the deepwater Gulf of Mexico

2019 October 16

18:37 Damen partners with TCS for increased vessel connectivity
18:07 AET christens two of the world's first LNG dual-fuel DPSTs to be chartered out to Norway's Equinor
17:35 PSA Marine signs frame agreement with Hydroniq Coolers
17:22 MODEC awarded Letter of Intent by Petrobras related to Marlim 1 FPSO
16:57 Throughput of port Kaliningrad in Jan-Sep’2019 fell by 21% Y-o-Y to 8.45 million tonnes
16:22 IBM boards the Mayflower Autonomous Ship project
16:22 Throughput of port Vysotsk in Jan-Sep'2019 climbed by 4% Y-o-Y to 14.27 million tonnes
15:58 Patrol ship of RF Navy’s Black Sea Fleet to take part in events dedicated to anniversary of Navarino battle
15:35 Navios Maritime Partners announces repayment of its Term Loan B
15:19 Throughput of port Primorsk in Jan-Sep’2019 grew by 18% Y-o-Y to 46.93 million tonnes
14:53 Port of Ust-Luga handled 77.49 million tonnes in 9M’19, up 7% Y-o-Y
14:34 NEPTUN WERFT holds keel laying ceremony for AIDAcosma
14:06 Throughput of Port St. Petersburg in Jan-Sep'2019 grew by 2% Y-o-Y to 44.97 million tonnes
13:45 Zvezda shipyard lays down fourth Aframax tanker for Rosnefteflot
13:20 Carnival Cruise Line to add fourth ship in Galveston
12:12 Hapag-Lloyd to apply a Peak Season Surcharge from North Europe to East Asia
11:51 WMU and AHHIC cooperate on marine insurance
11:33 Gazprom Neft establishes a Singapore subsidiary company to develop its international marine lubricants business
11:20 Intensive training on port management and efficiency held in France
10:57 IMO visited United Kingdom to assess country's implementation of special maritime security measures
10:14 LUKOIL enters Ghasha project for extraction of hydrocarbons in UAE
10:01 MPA of Singapore to strengthen collaboration on cyber resilience and response at the 5th Port Authorities Roundtable
09:59 APM Terminals Gothenburg to double rail volumes by 2022
09:52 Brent Crude futures price is up 0.19% to $58.85, Light Sweet Crude – up 0.13% to $52.88
09:36 Baltic Dry Index is down to 1,898 points
09:18 Bunker prices are flat at the port of Saint-Petersburg, Russia (graph)
08:43 Award-winning yachts honored at Cannes - Azimut, Benetti, and Galeon
08:35 MABUX: Bunker Market this morning, Oct 16

2019 October 15

18:37 MOL conducts tabletop drill based on an incident simulation involving containership
18:07 Fincantieri announces delivery of the fourth Royal Princess class ship at the Monfalcone shipyard
17:55 Tatarstan and Gazprom sign action plan for implementation of pilot project on using LNG powered ships
17:36 Keppel delivers fourth jackup rig to Borr Drilling
17:06 Maritime and Port Authority of Singapore revokes Inter-Pacific Petroleum Pte Ltd’s bunker craft operator licence
16:49 Hudson Shipping Lines joins the Trident Alliance as a member