Hunter Group ASA

Earnings Release • Aug 22, 2018

Hunter Group ASA: Second-quarter results 2018

Hunter Group ASA: Second-quarter results 2018

Financial highlights

· Profit before taxes from continuing operations came in at NOK 78k in Q2 2018

· Cash position as of 30.6.2018 was NOK 666.6m, up from NOK 267.3m last

quarter, consisting of NOK 420m and USD 30m.

· First installment for vessel 5455/5456/5457/5460 of USD 34.11m was made at

an exchange rate of USDNOK of 8.0.

Key events in Q2 2018

· On 4 April, Henrik Christensen (Chairman), Kristin Hellebust (Board member)

and Arne Fredly (Board member) were elected to the board of directors at the

EGM.

· On 26 April Hunter Group entered into a definitive VLCC contract transfer

agreement with Apollo Asset Ltd. Subsequently, Hunter Tankers AS was

established.

· On 30 April the first installment on vessel 5455/5456/5457 of USD 25,56m was

made at an exchange rate of USDNOK of 8.0.

· On 3 May Erik Frydendal was appointed CEO/CFO and Sujoy Seal was appointed

COO.

· On 9 May at the AGM the shareholders of Hunter Group ASA approved the

following:

· The private placement of NOK 172,5m at NOK 2.3/sh.

· Taking over the four VLCC construction contracts and three options from

Apollo Asset Ltd on a "back-to-back" basis as contracted with Daewoo

Shipbuilding Marine Engineering Co., LTD whereby the Company will assume the

obligations versus the Shipyard. Total commitments for the four newbuilding

contracts are USD 341.1m.

· As a consequence of the exit of Dwellop AS, the segment Dwellop was

discontinued. It was also decided in 2Q 2018 to organize the development of the

VLCC construction contracts and options in a new segment; Hunter Tankers.

· Distribution of Dwellop to the Company's shareholders.

· On 11 May the board decided to exercise the options for construction of

three additional vessels. Each of the option vessels has a price of USD 82.8m,

plus USD 2.7m for each scrubber. First instalment, totaling USD 25.65m is

expected to be paid by 15 September 2018. Estimated delivery times are 31 May

2020, 30 June 2020 and 31 July 2020. Total commitments for the three vessels are

USD 256.5m.

· On 14 May the first installment on vessel 5460 of USD 8.55m was made at an

exchange rate of USDNOK 8.0.

· On 18 May the Company successfully raised NOK 520m in a private placement

which was approved at the EGM held on 13 June.

· On 22 May Dwellop was spun out from Hunter Group ASA.

· On 13 June the shares from the NOK 172.5m private placement started trading

under the ordinary ISIN of the Company at Oslo Axess.

· On 21 June the shares from the NOK 520m private placement started trading on

Oslo Axess.

Subsequent events

· On 6 July the NOK 52m subsequent offering was successfully completed.

· On 7 July another USD 20m was purchased at a USDNOK rate of 8.0.

· On 15 August the Company received an Extension on the declaration date for

the Option Vessels until 17 September. Option price is still USD 92m/vessel and

all three vessels are to be delivered in 1H 2021.

For further information please contact:

Erik A.S. Frydendal, CEO, Hunter Group ASA: +47 957 72 947, ef@huntergroup.no