Belships

Belships ASA: Fleet Expansion

Belships has expanded its newbuilding program with two new 64 000 dwt Ultramax

bulk carriers which will be delivered in 2028. The vessels are leased on similar

terms as previously announced transactions, and Belships is not required to make

any down payments for these vessels. The agreements are conditional upon certain

steps to be completed by the parties involved.

Belships now has a total of 10x newbuildings under construction at Japanese

shipyards with delivery between 2024 and 2028. All vessels are leased on time

charter for a period of 7 to 10 years from delivery, with purchase options

around current market levels. There is no obligation to purchase any of the

vessels. Cash breakeven for the vessels upon delivery is about USD 14 250 per

day on average. Belships is not using any equity, therefore this newbuilding

program will not have any impact on cash and dividend capacity during the

construction period.

Belships will be taking over new vessels whilst the orderbook and supply side in

the dry bulk market approaches the lowest levels in decades. New Japanese-design

Ultramax bulk carriers represent the highest quality and lowest fuel consumption

available in the market today.

"These newbuildings represent growth prospects for the company packaged with

financing which solves the predicament of very long lead times for new ships

without jeopardising return on capital in the meantime. The acquisitions will

also contribute to retaining a low and competitive cash break-even in the future

as the fixed-cost structure for the newbuildings will blend with existing

vessels with lower leverage or free of debt," said Lars Christian Skarsgård, CEO

of Belships ASA.

For further information, please contact: Lars Christian Skarsgård, CEO, phone

+47 977 68 061 or e-mail [email protected] (mailto:[email protected])

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act

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