Presentation

Not presenting, only 1-1s

Avance Gas is an LPG shipping company and traces its roots back to 2007 when Stolt-Nielsen Gas Ltd. was established. Avance has been listed on the Oslo Stock Exchange since April 2014. During 2018, Hemen Holding Limited, a company controlled by Mr. John Fredriksen, increased its position in Avance and became the largest shareholder, which it has remained since.

Today, the company’s fleet consists of 13 VLGCs on the water (average age of nine years) and it has six dual-fuel newbuildings under construction in Daewoo, South Korea. The newbuildings are due for delivery in the period Q4’21-Q4’23. Including the newbuildings, the total capacity of the fleet is 1.6m cbm. In July, the company signed a USD 104m million sustainability-linked financing agreement for the first two dual fuel deliveries Avance Polaris and Avance Capella. Recent orders have been placed at prices that are some USD 5-6m higher than where Avance ordered, and this consequently implies a comfortable LTV of ~62%.

Avance Gas balances spot trading and TC contracts, positioning the company for improvements in the spot market. In H1’21, the company had ~30% TC coverage. Avance has no scheduled drydockings before 2023, and no debt maturities before 2024. This supports the number of operating days and financial flexibility. The company continues to demonstrate its commitment to dividends, while also expanding the fleet.