Tanker Insight. Optimism prevails. Our view. contents

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1 Tanker Insight Monthly Analysis of the Tanker Market issue 56 april 8 Radarwatch High crude prices are a drag on oil demand growth Geopolitical tensions continue to rise Fears of a US led economic recession remain and are becoming more evident US product inventories are considerably low and need to be replenished High crack spreads in Europe and US likely to support crude runs across the Atlantic basin Optimism prevails A retrospective look at the 27 financial results of some of the tanker companies highlights the challenges faced by the industry during 27 which included increased operating expenses (high bunker and crew costs) amidst a weakening dollar. Teekay Corporation posted a net income of $181.2m in 27, down about 3% y-o-y largely due to the sharp hike (of around 26% y-o-y) in operating expenses. Overseas Shipholding Group also reported a decline of $181.4m in net income to $211.3m in 27, with operating expenses up by 38% against 26. TCE Rates ($pd) Feb Mar AG-Japan (TD3) 41,85 65,6 57,6 57, W. Africa-Car/USES (TD5) 37,858 44, 37,3 52,5 NWE-NWE (TD7) 36,875 41,867 31,1 44,8 NWE-Car/USES (TD12) 25,183 23,833 21,3 22,8 AG-Japan (TC1) 21,58 22,967 18,8 2,2 Sing-Japan (TC4) 15,783 1,9 1,4 9,7 Drewry Tanker Earnings Index Mar 6 Mar 7 Index (Jan = 1) Average (of months shown) Mar 8 While high operating expenses and rising bunker costs continue to be a constant worry, owners seem upbeat about future demand and earnings, with shipping companies keenly moving ahead with expansion plans. Recently, Frontline Ltd. and its chairman John Fredriksen took a 5.2% stake in the rival tanker company - Overseas Shipholding Group (OSG), sparking takeover speculations. While the top management of Frontline hasn t been forthcoming in accepting or denying a probable takeover bid this might as well start a consolidation movement within the tanker industry. Meanwhile, other tanker owners have been embarking on fleet expansion plans either through new ordering (though this is now reported to be growing at a decelerated rate) or through en-bloc secondhand tanker purchases. S&P activity during 1Q8 has already tallied above 25% of the total tonnage traded during 27. Our view Trading so far in 28 has remained satisfactory with above average earnings expected in the first quarter of 28, despite the recent jitters in the financial world. Demand growth in the oil markets has been supported by non-oecd growth. And while the surplus oil cushion is reducing, there still exists room for healthy tanker demand, which is likely to underpin expansion plans at least for another 1-2 years. Market Barometer MARKET POSITION contents Summary 1 Oil Focus 2 Fleet Focus 3 Panamax 7 Product Tankers 8 Financials 1 Vlcc 4 Market Summaries 11 WEAK MARKET Previous DIRECTION Current STRONG Suezmax 5 Aframax 6 Contacts 13 Methodology Notes 13 Based on Drewry Hire Index 1

2 oilfocus Market Indicators Low High Oil demand Oil supply Oil prices Oil stocks World Oil Market (Mbpd) (*) 3Q7 4Q7 1Q8 (P) Oil Demand Oil Supply Opec Saudi Arabia Non-Opec FSU Stock Change (*) IEA, Drewry Estimate for the Year (P) Provisional Data A lot more volatility The oil markets witnessed wide daily fluctuations in crude prices during March. The month began on a strong note with oil prices on the Nymex racing from around $1/bbl at the start to an all time nominal high of $11.2/bbl by mid-march, shrugging the growing fears of a recession in the US. Much of this increase was founded on tightening fundamentals, with cold weather conditions in the US and Europe boosting demand for distillates while the supply of stocks remained limited on account of maintenances and economic run cuts at refineries in the previous month. Apart from the market fundamentals, a steady depreciation in the value of the US dollar (which fell to fresh lows against the Euro) and a steep fall in the global equity markets, had fund managers pushing money in the commodity markets (particularly oil), leading to a surge in oil prices. However, in late March fears of an economic recession in the US engulfed the market, stimulated by the uncertainties surrounding the financial performance of some major investment firms in the US and the stunning collapse of Bear Stearns. Confronted with such economic fears and bearish oil consumption data from the US Energy Department (which showed a 2.2% y-o-y decline in the US petroleum product consumption during March), a number of investors vacated their positions in the market, with oil prices freely falling to around $11/bbl level by 24th March. Prices however climbed back into the $15-17/bbl range in the final few trading days of the month, on the back of supply concerns brought up by further reduction in US middle distillates stocks and rising geopolitical tensions. april 8 Crude Price Arbitrage ($/bbl) Crude Price Differential ($/bbl) Mar 7 Average 26 WTI vs Brent Jun 7 Sep 7 Average 27 Dec 7 Mar Mar 7 Average 26 Brent 1st vs 2nd Month Jun 7 Sep 7 Average 27 Dec 7 Mar 8 Crude Oil Prices $/bbl Mar 7 Jun 7 Dubai WTI 5 YEAR RANGE MIN Sep 7 Products Oil Prices $/bbl Brent Opec Basket Price 14 Gasoil Gasoline 12 MAX Dec 7 Mar 8 1 MAX YEAR RANGE 4 2 MIN Mar 7 Jun 7 Sep 7 Dec 7 Mar 8 2

3 fleetfocus Total Tanker Fleet: March 28 Size Total (' dwt) No. Dwt Fleet Size , , , , , ,5 Total 2, ,366 Slower newordering The tanker newbuilding market in 28 has witnessed lower growth when compared with the same period of 27 presumably reflecting owners concerns regarding the burgeoning size of the orderbook (~4% of the fleet). Increasing newbuilding costs are also adding to the equation, especially since banks are taking a more cautious approach to credit. A total of 85 tankers (totaling 9.3m dwt) were ordered in 1Q8, compared to a total of 16 vessels (aggregating 12.9m dwt) contracted in 1Q7. In sharp contrast, activity in the secondhand market has remained buoyant, in tandem with (better) conditions in the freight markets. Owners have traded a total of 115 vessels (of 9.5m dwt) so far this year, against 74 tankers (of 6.1m dwt) sold during Jan-Mar 27. april 8 Tanker Demand Index New Orders & % Fleet (Dwt) 116 Index Jan2 = 1 1 New Orders (Right axis) Feb 7 May 7 Aug 7 Nov 7 Feb 8 Mar 7 May 7 Jul 7 Sep 7 Nov 7 Jan 8 32 Mar 8 Fleet Age Profile and Delivery Schedule (M dwt) 1-5, 5-8, 8-12, , 2-32, 32,+ : M dwt 5 Fleet: No. of Vessels (Right axis) : No. of Vessels (Right axis) <= Total Tanker Fleet & : March 28 Size Existing Fleet* Total % of Fleet (' dwt) No. Dwt No. Dwt No. Dwt No. Dwt No. Dwt No. Dwt Dwt , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,6 4 1, , Total 2, , , , , ,559 1,5 135, * Actual fleet less 1-5, dwt crude tankers built before 1st July

4 vlcc2,+dwt Market Indicators Low High Rates Demand Supply New orders Scrapping SH sales NB prices Rates soften but confidence remains The Vlcc market in the Arabian Gulf noted a marginal softening in freight rates, with increases in crude demand from the West, negated by a slowdown in Eastern demand. While gasoline crack spreads turned low (or even negative briefly during the month), extremely strong margins on middle distillates supported crude demand from refineries in Europe and the US. In contrast, crude demand from Asia Pacific slowed down over the month with unplanned shutdowns reducing imports to South Korea. Crude imports by China also declined with PetroChina announcing maintenances at its Dalian refinery. As per the fixture database, the volume of spot cargoes from the Arabian Gulf to China halved from last month to.8m tonnes in March. As a result, tonnage supply in the region remained ample effectuating weaker freight rates. april 8 SH values Whilst sentiments remain firm in this segment (reflected by buoyant activity in newbuilding and secondhand arena), single hulls appear to be losing their appeal, even for Asian shipowners. The Vlcc demolition market, for the first time since July 25, noted some activity with TMT disposing off two of its single hull vessels this month Vlcc Demand 124 Index Jan2 = Vlcc Rates ($pd) AG-Japan (TCE) 41,85 65,6 82,2 57,6 57, AG-S. Korea (TCE) 38,18 62,2 83,2 57,6 45,8 AG-N. Europe (TCE) 37,383 71,333 15,9 57, 51, k, 5yr old (TC 1yr) 53,333 67,667 62, 7, 71, 28k, 1yr old (TC 1yr) 48,633 52,333 5, 53, 54, 114 Feb 7 May 7 Aug 7 Nov 7 Feb 8 28k, 5yr old (TC 3yr) 47,358 52, 5, 53, 53, Vlcc Fleet Development - m dwt Newbuild, Secondhand Scrap Values Jul 7 Deliveries Sep 7 Deletions Nov 7 Fleet (Right axis) Jan 8 Mar NB Price - $M SH Price (5yr) - $M SH 5yr % of NB 91.2% 92.6% 91.8% 92.5% 93.6% Scrap Value - $M Vlcc Earnings ($pd) 75, 6, 45, 3, 15, 1Q7 TC rate 2Q7 3Q7 4Q7 NB* SH-5yr* 1Q8 Jan 28 Feb * Required rate for 1% IRR (For IRR assumptions : refer to page 13) Mar Investment Returns Mar 28 Newbuild Secondhand (5yr) Cost - $M Operating Costs $pd 1,31 1,31 Required TC Rate - for 1% IRR $pd 64,7 54,5 Current Rate - T/C $pd 71, 71, Current Rate of Return (IRR) % 11.15% 14.89% Sensitivity (+/- $1, T/C rate).18%.29% 4

5 suezmax12-2,dwt Market Indicators Rates Demand Supply New orders Scrapping SH sales NB prices SH values Low High Markets strengthen on activity Firm chartering activity and a steady decline in tonnage availability provided the foundation for solid growth in freight rates across the benchmark Suezmax trade routes during March. Crude demand from European refiners stayed firm amid lighter planned maintenance schedules. According to Petroleum Argus, planned turnarounds in Europe over the first four months of 28 have been lower by half from last year. In Med, a flurry of cargoes from Kazakhstan (post field maintenances in February) resulted in a steady tightening in tonnage supply in the region, with rates for Cross-Med trips almost doubling over the month to WS225 in March. Moreover, with US refiners shifting focus on the production of summer grade gasoline, exports of lighter (low sulphur) crudes from Africa and Black Sea to the US increased, boosting long haul trade activity and freight rates. Despite a net decline in spot cargo volumes, the Suezmax market in West Africa noted firm increases in freight rates, led by a contraction in tonnage supply (with a number of owners moving their vessels to relatively stronger Mediterranean markets). Rates for transatlantic voyages to the US Gulf thus firmed up by about WS3 points over the month to average at WS157. april 8 Suezmax Demand Index Suezmax Rates ($pd) 114 Index Jan2= Med-Med (TCE) 44,833 71,767 7,9 36,6 17,8 W. Afr-Car/USES (TCE) 37,858 44, 42,2 37,3 52,5 15k, 5yr old (TC 1yr) 43,42 41,5 42, 41, 41,5 15k, 1yr old (TC 1yr) 4,467 4,333 41,5 39,5 4, 16 Feb 7 May 7 Aug 7 Nov 7 Feb 8 15k, 5yr old (TC 3yr) 37,867 37,833 38,5 37,5 37,5 Suezmax Fleet Development - m dwt Newbuild, Secondhand Scrap Values.6 Deliveries Deletions Fleet (Right axis) New Building Price $M SH Price (5yr) $M SH 5yr % of NB 11.9% 12.2% 11.1% 11.7% 13.8% -.2 Jul 7 Sep 7 Nov 7 Jan 8 52 Mar 8 Scrap Value $M Suezmax Earnings ($pd) Investment Returns 5, TC rate NB* SH-5yr* 28 Mar 28 Newbuild Secondhand (5yr) 4, Cost - $M Operating Costs $pd 8,31 8,31 3, Required TC Rate - for 1% IRR $pd 41,8 38,5 2, Current Rate - T/C $pd 41,5 41,5 1, 1Q7 2Q7 3Q7 4Q7 1Q8 Jan Feb Mar * Required rate for 1% IRR (For IRR assumptions : refer to page 13) Current Rate of Return (IRR) % 9.92% 11.34% Sensitivity (+/- $1, T/C rate).3%.44% 5

6 aframax8-12,dwt Market Indicators Rates Demand Supply New orders Scrapping SH sales NB prices SH values Low High Markets take a forward leap The Aframax markets witnessed firm increases in freight rates across-the-board, with buoyant activity endowing owners with the power to tend the market s direction. In southern Europe, a pre-easter build-up in chartering activity and delays due to bad weather conditions translated into higher spot rates for intra-regional trades. Rates for Cross-Med trips escalated from an average WS12 in the first week of the month to a high WS31 by the last week, with an almost six-fold increase in time charter equivalents. Stable intra-regional trade activity underpinned a steady growth in the freight rates for regional Aframaxes. Rates for North Sea Aframaxes rose by about WS85 points at the start of the month to WS2 by the last week of March. Compared to last month, rates for intra-regional voyages in northern Europe pegged higher by about 25% at WS16. With the refinery maintenance season in the US coming to an end, demand from refineries in the US improved over the month, boosting chartering activity in the US Gulf. Freight rates for Aframaxes on upcoast voyages improved by 43% m-o-m to an average WS24 in March. april 8 Aframax Demand Index Aframax Rates ($pd) 14 Index Jan2= Med-Med (TCE) 27,95 35,833 4, 26, 41,5 NWE-NWE (TCE) 36,875 4,833 48, 29,7 44,8 Caribs-USES (TCE) 32,7 39,133 39,4 28,4 49,6 95k, 5yr old (TC 1yr) 33,413 31,75 33, 31,5 3,75 98 Feb 7 May 7 Aug 7 Nov 7 Feb 8 95k, 1yr old (TC 1yr) 27,796 25,833 27, 25,5 25, Aframax Fleet Development - m dwt 95k, 5yr old (TC 3yr) 29,28 28,367 29, 28,2 27,9 Deliveries Jul 7 Sep 7 Deletions Nov 7 Fleet (Right axis) Jan 8 Mar 8 Newbuild, Secondhand Scrap Values New Building Price $M SH Price (5yr) $M SH 5yr % of NB 96.4% 89.6% 88.5% 89.7% 9.4% Scrap Value $M Aframax Earnings ($pd) TC rate 4, 3, NB* SH-5yr* 28 Investment Returns Mar 28 Newbuild Secondhand (5yr) (1yr) Cost $M Operating Costs $pd 7,775 7,775 7,775 2, Required TC Rate - for 1% IRR $pd 36,3 3,1 28, 1, Current Rate - T/C $pd 3,75 3,75 25, 1Q7 2Q7 3Q7 4Q7 1Q8 Jan Feb Mar * Required rate for 1% IRR (For IRR assumptions : refer to page 13) Current Rate of Return (IRR) % 7.92% 1.38% 7.69% Sensitivity (+/- $1, T/C rate).4%.6%.78% 6

7 panamax5-8,dwt Market Indicators Rates Demand Supply New orders Scrapping SH sales NB prices SH values Low High Steady activity supports freight rates A sharp upturn in activity in the Panamax market in the US Gulf engaged much of the tonnage available in the region, with freight rates rising in tandem. As per the fixture database, the total volume of Panamax sized crude cargoes on upcoast voyages in the US Gulf increased from.5m tonnes in February to.8m tonnes in March. Rates for Panamaxes on the route rose by WS6 points over the month to an average WS22, with earnings rising up by a firm 63% month-on-month to $38,4pd despite surging bunker costs. Stable chartering activity on the transatlantic trade route from UK/Cont to the US Gulf also supported freight rates for Panamax tankers on the route, which pegged at an average WS19 in March, up by about WS1 points against the last month. Going forward, with the Atlantic basin refinery maintenance season nearing an end, crude throughputs at US refineries are expected to increase as refiners begin refilling product stocks (which declined by about 15.5m barrels over the month) before the start of the US summer driving season. Rates are thus expected to remain stable (if not rising) in the near term. april 8 Panamax Demand Index Panamax Rates ($pd) 14 Index Jan2= Car-USES (TCE) 34,95 31,4 32,3 23,5 38,4 NWE-Car/USES (TCE) 25,183 23,833 27,4 21,3 22,8 1 75k, 5yr old (TC 1yr) 3,48 28,367 29,5 28,2 27,4 75k, 1yr old (TC 1yr) 24,68 23,1 24, 23, 22,3 98 Feb 7 May 7 Aug 7 Nov 7 Feb 8 75k, 5yr old (TC 3yr) 26,42 25,583 26, 25,5 25,25 Panamax Fleet Development - m dwt Deliveries Deletions Fleet (Right axis) Newbuild, Secondhand Scrap Values New Building Price $M SH Price (5yr) $M SH 5yr % of NB 98.2% 93.5% 92.2% 93.8% 94.5% Scrap Value $M Jul 7 Sep 7 Nov 7 Jan 8 26 Mar 8 Investment Returns Panamax Earnings ($pd) TC rate 4, NB* SH-5yr* 28 Mar 28 Newbuild Secondhand (5yr) (1yr) Cost $M , Operating Costs $pd 6,98 6,98 6,98 2, Required TC Rate - for 1% IRR $pd 3,5 26,3 23,8 1, Current Rate - T/C $pd 27,4 27,4 22,3 1Q7 2Q7 3Q7 4Q7 1Q8 Jan Feb Mar * Required rate for 1% IRR (For IRR assumptions : refer to page 13) Current Rate of Return (IRR) % 8.63% 1.81% 8.64% Sensitivity (+/- $1, T/C rate).47%.7%.94% 7

8 productfocus Drewry Product Earnings Index 3 Index Mar 7 Jun 7 Product Imports OECD (Mt) Sep 7 Dec 7 Mar 8 5 North America Europe Pacific A sound recovery in rates Stable-to-moderate activity and tight tonnage supply across the majority of clean tanker trade routes led to steady rates during March. Firm distillate demand in the US (amid cold weather conditions) and high diesel demand in Europe kept chartering activity buoyant with stable rates for regional MRs. Rising product (diesel) prices in Europe narrowed down arbitrage opportunities for trade from UK/Cont to the US, with rates for MRs on transatlantic voyages declining by about WS18 points over the month to an average WS24. A tight tonnage supply situation in southern Europe amid stable product demand (in view of Easter celebrations) kept freight levels for Mediterranean MRs stable over the better half of the month. Rates for MRs doing Cross-Med trips averaged WS23 in March, higher by WS2 points against last month. Freight rates for 3, tonne parcels from the Black Sea to UK/Cont/Med firmed up by WS5 points m-o-m to WS24. april Dec 6 Mar 7 Jun 7 Sep 7 Dec 7 Trade activity in the MR market in Asia Pacific improved considerably over the month, stemmed by rising product exports from Singapore, India and Indonesia. As per the fixture database, the total volume of MR sized spot product cargoes loading from Singapore and Indonesia almost tripled from.3m tonnes in February to.8m tonnes in March. Rates for 3, tonne parcels on Singapore-East voyages pegged at an average WS26, higher by about 16% m-o-m. Arbitrage Differential ($/bbl) US Gasoline Production & Imports (mbpd) 2 15 NWE - NYH Gasoline NWE - NYH Jet/Kero Production Imports (Right axis) Feb 7 May 7 Aug 7 Nov 7 Feb 8 8. Mar 7 May 7 Jul 7 Sep 7 Nov 7 Jan 8.6 Mar 8 The Product Tanker Fleet & : March 28 Size Existing Fleet Total % of Fleet (' dwt) No. Dwt No. Dwt No. Dwt No. Dwt No. Dwt No. Dwt Dwt , , , , , , , , , , , , , , , , , , Total 1,54 56, , , , , ,

9 producttankers Market Indicators Low High Rates Demand Supply New orders Scrapping SH sales NB prices SH values Product Tanker Rates ($pd) TCE Med-Med (25-35, dwct) 2,4 12,967 13,7 11,5 13,7 Sing-Japan (25-35, dwct) 15,783 1,9 12,6 1,4 9,7 Car-USES (25-35, dwct) 18,175 12,833 16,6 12, 9,9 Med-NWE (25-35, dwct) 2,58 14,1 14,2 11,2 16,9 NWE-USES (35-4, dwct) 24,683 2,133 22,1 18,8 19,5 AG-Japan (5-6, dwct) 23,98 22,967 29,9 18,8 2,2 AG-Japan (7-8, dwct) 21,58 21,333 33, 18,5 12,5 Time Charter (1yr) Handy (3, dwt 5 yrs) 22,2 21,917 22,5 22, 21,25 MR (45, dwt 5 yrs) 25,367 23,667 25, 23, 23, LR (75, dwt 5 yrs) 3,48 28,367 29,5 28,2 27,4 Time Charter (3yr) Handy (3, dwt 5 yrs) 2,363 2,833 21,25 21, 2,25 MR (45, dwt 5 yrs) 22,146 22, 22,5 22, 21,5 april 8 Clean Demand Index 13 Index Jan= Mar 7 Jun 7 Sep 7 Dec 7 Mar 8 Newbuild, Secondhand Scrap Values New Building Price $M Handy MR LR SH Price (5yr) $M Handy MR Handy Fleet Development - m dwt Deliveries Deletions Fleet (Right axis) LR SH 5yr % of NB Handy 95.8% 93.1% 9.2% 92.4% 96.7% MR 11.2% 98.4% 97.2% 99.1% 99.1% LR1 98.2% 93.5% 92.2% 93.8% 94.5% Scrap Value $M Handy MR Jul 7 Sep 7 Nov 7 Jan 8 27 Mar 8 LR MR Earnings ($pd) MR Investment Returns 4, 3, TC rate NB* SH-5yr* 28 Mar 28 Newbuild Secondhand (5yr) (1yr) Cost $M Operating Costs $pd 6,84 6,84 6,84 2, Required TC Rate - for 1% IRR $pd 26,3 23,6 22, 1, Current Rate - T/C $pd 23, 23, 21,6 1Q7 2Q7 3Q7 4Q7 1Q8 Jan Feb Mar * Required rate for 1% IRR (For IRR assumptions : refer to page 13) Current Rate of Return (IRR) % 8.19% 9.49% 9.56% Sensitivity (+/- $1, T/C rate).58%.83% 1.4% 9

10 financials Tanker Stocks - Snapshot april 8 Company Country Price* % Monthly 52 Week 52 Week P/E Last week Market Cap Change High Low Ratio Avg Vol (M USD) AP Moeller - Maersk A/S Denmark 51, % 74,1. 43, ,248 48,251 B&H Ocean Carriers USA % , Berlian Laju Tankers, PT Indonesia 2, % 2,7. 1, ,367,9 1,37 Bonheur ASA Norway % ,377 1,883 Brostrom Sweden % , Concordia Maritime AB Sweden % , Euronav Navigation** Belgium % ,87 2,4 Fisher, James & Sons PLC UK % , Frontline Ltd Norway % ,769 3,458 Frontline Ltd USA % ,7,198 3,513 GangerRolf, AS Norway % ,55 1,485 General Maritime USA % , Humpuss Intermoda Transportasi Tbk Indonesia 5..% ,9 n/a IM Skaugen Norway % Knightsbridge Tankers USA % , Kyoei Tanker Japan % ,4 14,555 Mitsui OSK Lines Japan 1, % 2,4. 1, ,211,2 11,397 Navigazione Montanari SpA Italy % n/a 312, Nepline Bhd Malaysia %.4.16 n/a 13,58 6 Nordic AmericanTanker Shipping USA % , NYK Lines Japan % 1, ,428, 11,193 Overseas Shipholding Group Inc USA % ,466,836 2,21 Taiheiyo Kaiun Japan 242..% ,6 126 Teekay USA % ,819 3,25 Tsakos Energy Navigation Limited USA % ,67 1,192 * All prices as on 28 th March 28 in local currencies except for "**" companies, which are traded in EUR Three most active companies - by the number of shares traded in the last week irrespective of the price and market cap OECD North America Oil Stocks (mbbl) Crude Motor Gasoline Middle Distillate Residual Fuel Oil Total* (Right axis) 1,31 1,29 1,27 1,25 1,23 1,21 Aug 7 Sep 7 Oct 7 Nov 7 Dec 7 Jan 8 * Total includes NGLs, refinery feedstocks, addtives/oxygenates and other hydrocarbons OECD Europe Oil Stocks (mbbl) Crude Motor Gasoline Middle Distillate Residual Fuel Oil Total* (Right axis) Aug 7 Sep 7 Oct 7 Nov 7 Dec 7 Jan 8 * Total includes NGLs, refinery feedstocks, addtives/oxygenates and other hydrocarbons OECD Pacific Oil Stocks (mbbl) Crude Motor Gasoline Middle Distillate Residual Fuel Oil Total* (Right axis) Aug 7 Sep 7 Oct 7 Nov 7 Dec 7 Jan 8 * Total includes NGLs, refinery feedstocks, addtives/oxygenates and other hydrocarbons Global Refinery Crude Throughput (mbpd) Total OECD Total Non-OECD Total Crude Runs (Right axis) Nov 7 Dec 7 Jan 8 Feb 8 Mar 8 Apr

11 marketsummaries april 8 Fleet Supply Feb No ' Dwt No ' Dwt No ' Dwt No ' Dwt No ' Dwt Fleet Size - End period 1-5, , , , , ,32 5-8, , , , , , , 74 71, , , , , , 35 52, , , , ,84 2, , , , , ,85 Total 2, ,762 2, ,898 2, ,366 2, ,948 2, ,366 Average Age % Double Hull - End period 1-5, % 24 1, % 237 1, % 212 9, % 214 9, % 212 9, , , , , , ,6 8-12, , , , , , , 17 16, , , , ,86 2, , , , , ,8 Total ,27 1,62 132,148 1,5 135,12 1,44 133,855 1,5 135,12 % Fleet 37.4% 39.3% 4.3% 4.% 4.3% New orders 1-5, 287 9, , , , 171 1, , , , , , 87 13, ,912 2, , , , ,86 6 1,92 Total , , , , ,513 Deliveries * 1-5, 57 2, , , 67 4, , , 47 5, , , 31 3, , ,+ 19 5, , , Total , , , , Deletions 1-5, 42 1, , , , , , Total 59 2, , , Secondhand Sales 1-5, 166 4, , , , 44 2, , , 48 4, , , , , 37 5, , , , , ,63 9 2, ,91 Total 338 3, , , , ,838 * Provisional deliveries for March 28 Mar Drewry Prices Scrap Price $/ldt Feb Mar Feb Mar Mar Type of Vessel MR Panamax Aframax Suezmax Vlcc Feb Mar Feb Mar Average* Type of Vessel MR Panamax n/a Aframax Suezmax n/a n/a Vlcc n/a * for the month Newbuilding Price (US$m) Secondhand Value (US$m, 1 year old) Scrap Value (US$m) Secondhand Value (US$m, 5 year old) BSPA 11

12 marketsummaries Freight Rates april 8 Vlcc Feb Mar Panamax Feb Mar TCE Rate ($/day) TCE Rate ($/day) AG-Japan 47,317 41,85 65,6 57,6 57, Caribs-Uses 32,98 34,95 31,4 23,5 38,4 AG-South Korea 43,7 38,18 62,2 57,6 45,8 N.Europe-Car/Uses 26,142 25,183 23,833 21,3 22,8 AG-N.Europe 47,864 37,383 71,333 57, 51,1 Average 45,846 39,114 66,378 57,4 51,3 Average 29,525 3,67 27,617 22,4 3,6 TC Rate - 1 yr ($/day) TC Rate - 1 yr ($/day) 28k dwt 5 Yr Old 55,992 53,333 67,667 7, 71, 75k dwt 5 Yr Old n/a 3,48 28,367 28,2 27,4 28k dwt 1 Yr Old n/a 48,633 52,333 53, 54, 75k dwt 1 Yr Old n/a 24,68 23,1 23, 22,3 TC Rate - 3 yr ($/day) TC Rate - 3 yr ($/day) 28k dwt 5 Yr Old 48,617 47,358 52, 53, 53, 75k dwt 5 Yr Old 25,7 26,42 25,583 25,5 25,25 Suezmax Feb Mar Product Feb Mar TCE Rate ($/day) TCE Rate ($/day) Med-Med 52,833 44,833 71,767 36,6 17,8 Med-Med (Handy) 17,375 2,4 12,967 11,5 13,7 W.Africa-Car/Uses 42,3 37,858 44, 37,3 52,5 Sing-Japan (MR) 13,117 15,783 1,9 1,4 9,7 Average 47,567 41,346 57,883 36,95 8,15 Caribs-Uses (MR) 19,917 18,175 12,833 12, 9,9 TC Rate - 1 yr ($/day) Med-N.Europe (MR) 8,45 2,58 14,1 11,2 16,9 15k dwt 5 Yr Old 42,667 43,42 41,5 41, 41,5 N.Europe-Uses (MR) 13,392 24,683 2,133 18,8 19,5 15k dwt 1 Yr Old n/a 4,467 4,333 39,5 4, AG-Japan (LR1) 26,117 23,98 22,967 18,8 2,2 TC Rate - 3 yr ($/day) AG-Japan (LR2) 23,975 21,58 21,333 18,5 12,5 15k dwt 5 Yr Old 37,158 37,867 37,833 37,5 37,5 Average 17,477 2,581 16,462 14,457 14,629 TC Rate - 1 yr ($/day) 3k dwt 5 Yr Old 21,417 22,2 21,917 22, 21,25 Aframax Feb Mar 3k dwt 1 Yr Old 15,83 15,15 14,65 14,7 14,25 TCE Rate ($/day) 45k dwt 5 Yr Old 26,792 25,367 23,667 23, 23, Med-Med 29,383 27,95 35,833 26, 41,5 45k dwt 1 Yr Old 19,775 22,121 22,533 22, 21,6 N.Europe-N.Europe 4,475 36,875 4,833 29,7 44,8 TC Rate - 3 yr ($/day) Caribs-Uses 33,283 32,7 39,133 28,4 49,6 3k dwt 5 Yr Old 19,1 2,363 2,833 21, 2,25 Average 34,381 32,58 38,6 28,33 45,3 45k dwt 5 Yr Old 21,675 22,146 22, 22, 21,5 TC Rate - 1 yr ($/day) 95k dwt 5 Yr Old 35,15 33,413 31,75 31,5 3,75 95k dwt 1 Yr Old n/a 27,796 25,833 25,5 25, TC Rate - 3 yr ($/day) 95k dwt 5 Yr Old 28,183 29,28 28,367 28,2 27,9 Forward Freight Agreements* (FFA) Baltic Tanker Earnings Index Apr May Jun Jul Aug Sep Cal Cal AG-Japan (26, mt) W.Africa-USAC (13, mt) North Sea-Cont (8, mt) AG-Japan (55, mt) Cont-USAC (37, mt) Sing-Japan (3, mt) BDTI 2,5 BCTI * Worldscale prevailing at reported time of fixing Source: Baltic Exchange 1 st April 28 2, 1,5 1, 5 Mar 6 Mar 7 Mar 8 The Crude Tanker Fleet & : March 28 Size Existing Fleet* Total % of Fleet (' dwt) No. Dwt No. Dwt No. Dwt No. Dwt No. Dwt No. Dwt Dwt , , , , , , , , , , , , , , , , , , , , , , ,6 4 1, , Total 1,88 278, , , , , , * Fleet less 1-5, dwt tankers built before 1st July

13 methodologynotes The Drewry Demand Index The Drewry demand Index is an attempt to measure demand for oil tankers - both crude and Clean. The Index is not designed to be an absolute measure of demand, rather provides an indication as to changes in demand and thus provides an accurate trend of tanker demand. The methodology employed utilises tracking of the tanker fleet and fixtures over an extended period of time (in this case two years) and thus grouping oil movements by vessel types. By relating vessel employment to oil production by country and region an assessment of tanker demand can be made, which is then converted to an Index using January 1998 as the 1 mark. Assumptions for Investment Return calculations Newbuilding - Delivery in 18 months, 25 year trading life. Secondhand - Prompt delivery five year-old, 2 year trading life. Residual value based on prevailing scrap rates. 28 operating costs. 36 trading days. Sensitivity implies for a $1,pd change in TCE, the given change in IRR is produced. Time charter rates are for 5 year old vessels. april 8 contactdetails Drewry Shipping Consultants Ltd Telephone: +44 () Fax: +44 () Web Drewry Shipping Consultants Ltd Drewry House, Meridian Gate - South Quay 213 Marsh Wall, London E14 9FJ United Kingdom Tanker Insight Contact: Parul Bhambri bhambri@drewry.co.uk COPYRIGHT NOTICE This report is copyright and is for the sole use of the purchaser and is not to be copied or distributed outside to any third party organisation. Reproduction, scanning into an electronic retrieval system, or copying to a database is strictly prohibited without written permission of the publisher. Contravention will result in a requirement to pay damages to the publisher and owner of the copyright, Drewry Shipping Consultants Ltd. While the information is presented in good faith, the publisher cannot accept liability for any errors of fact or opinion contained in the report. 13