MONTHLY MARKET OVERVIEW

MONTHLY MARKET OVERVIEW 1 st 30 th November 2018 SUMMARY OF CONTENT Value analysis Total second hand S&P activity Newbuilding activity Demolition activity Charter rate analysis +44 (0) 203 026 5555 vesselsvalue.com info@vesselsvalue.com

BULKER VALUES THROUGH NOVEMBER 2018 BULKERS Older Panamax and Supramax tonnage has softened in value. Handy Bulker values have softened across all tonnages. This table shows the monthly % change in value from 1 st to the 30 th November 2018 for Bulker vessels, by year of build. YEAR OF BUILD CAPE PMAX SUPRA HANDY DWT DWT DWT DWT 2018-0.8% -2.3% 2017-0.9% -2.5% 2016-1.0% +0.1% +0.3% -2.8% 2015-1.0% -0.2% +0.0% -2.9% 2014-0.9% -0.6% -0.2% -3.1% 2013-0.9% -1.0% -0.5% -3.4% 2012-0.8% -1.4% -0.7% -3.7% 2011-0.8% -1.8% -1.0% -3.8% 2010-0.8% -2.2% -1.1% 55k -4.1% 2009-0.7% -2.5% -1.4% 55k -4.4% 2008-0.7% -2.8% -1.6% 55k -4.7% 2007-0.8% -2.4% -1.9% 55k -4.8% 2006-0.9% -2.6% -2.2% 55k -5.2% 2005-1.0% -2.7% -2.5% 55k -5.4% 2004-1.1% -2.6% -2.7% 55k -5.6% 2003-1.4% 1-2.6% -2.4% -5.9% All data valid as of 3 rd December 2018 Page 2

BULKER VALUES THROUGH NOVEMBER 2018 Capesize Values have remained stable. 7 sales have taken place this month. New Taizhou, New Huzhou, New Quzhou (176,000 DWT, May - Sep 2010, Jinhai) and New Shanghai (180,100 DWT, Jan 2011, Dalian) sold to Berge Bulk en bloc for USD 98.0 mil. VV en bloc value USD 96.94 mil. Frontier Ambition (180,300 DWT, Mar 2010, Koyo Dock) sold to Zodiac Maritime for USD 29.0 mil, VV value USD 28.46 mil. Southern Explorer (177,500 DWT, May 2002, Mitsui Ichihara) sold to Navitas Compania Maritima for USD 13.0 mil, VV value USD 13.19 mil. Panamax Values have softened in older tonnages.. 16 sales have taken place this month. Taurus Ocean (78,800 DWT, Feb 2008, Sanoyas) sold for USD 14.5 mil, VV value USD 14.85 mil. Alcyon (75,200 DWT, Feb 2001, Hyundai Samho) sold for USD 7.45 mil, VV value USD 7.92 mil. Navios Magellan (74,300 DWT, Jan 2000, Namura) sold to Chinese buyers for USD 7.0 mil, VV value USD 7.09 mil. Genco Knight (73,900 DWT, Apr 1999, Oshima) sold for USD 6.70 mil, VV value USD 6.57 mil. SS Due. Supramax Values have softened in older tonnages.. 17 sales have taken place this month. Anjelique D (58,700 DWT, Jan 2012, Nantong COSCO KHI) sold for USD 16.0 mil, VV value USD 15.75 mil. U Noble (57,000 DWT, Jan 2012, Xiamen Shipbuilding) sold to EGPN Bulk Carrier LTD for USD 12.8 mil, VV value USD 13.08 mil. TC Gold (58,100 DWT, Jan 2011, Tsuneishi Cebu) sold to Diligent Holdings for USD 16.0 mil, VV value USD 15.61 mil. Gemini Pioneer (55,600 DWT, May 2008, Mitsui Tamano) sold for USD 13.6 mil, VV value USD 13.50 mil. New Kosmos (56,000 DWT, Aug 2005, Mitsui Tamano) sold for USD 11.15 mil, VV value USD 11.56 mil. Handy Values have softened across all tonnages. 12 sales have taken place this month. Greek buyers have purchased 4 Handy Bulkers, Xing Jing Hai, Xing Ning Hai, Xing Yuan Hai and Xing Zhi Hai (34,400 DWT, Jul - Dec 2015, Namura) in an en bloc deal for USD 74.0 mil. VV en bloc value USD 74.59 mil. Canadian Forest Navigation purchased Mistral (29,900 DWT, Apr 2010, Wuhu Xinlian Shipbuilding) and Bora (29,700 DWT, Jan 2010, Wuhu Xinlian Shipbuilding) in an en bloc deal for USD 17.0 mil. VV en bloc value USD 16.31 mil. Mount Travers (28,500 DWT, Mar 2002, Imabari) sold for USD 6.0 mil, VV value USD 6.06 mil. All data valid as of 3 rd December 2018 Page 3

TANKER VALUES THROUGH NOVEMBER 2018 TANKERS Values have firmed in all mid age and older tonnages, except for MR which have slightly softened. This table shows the monthly % change in value from 1 st to the 30 th November 2018 for Tanker vessels, by year of build. YEAR OF BUILD VLCC SUEZ AFRA LR1 MR DWT DWT DWT DWT DWT 2018 +0.0% 3 1 +0.1% +0.1% -0.4% 2017 +0.1% 3 1 +0.2% +0.2% -0.5% 2016 +0.2% 3 +0.2% 1-0.6% 2015 +0.3% 3 +0.1% 1-0.7% 2014 3 +0.2% 1 +1.4% +1.4% -0.8% 2013 +1.0% 3 1 +2.1% +2.1% -1.0% 2012 +1.5% 310k +0.9% 1 +3.0% +3.1% -1.2% 2011 +2.0% 310k +1.4% 1 +4.1% +4.1% -1.4% 2010 +2.6% 310k +2.1% 1 +5.3% +5.2% -1.6% 2009 +3.2% 310k +2.9% 1 +6.6% +6.5% -1.8% 2008 +3.9% 310k +3.8% 1 +8.0% +8.0% -2.0% 2007 +4.6% 310k +4.9% 1 +9.4% +9.5% -2.3% 2006 +5.4% 310k +6.0% 1 +10.0% +10.0% 70k -2.5% 45k 2005 +6.2% 310k +7.1% 1 +10.7% +10.6% 70k -2.7% 45k 2004 +6.9% 305k +8.4% 155k +11.3% 105k +11.3% 70k -2.9% 45k 2003 +7.8% 305k +8.6% 155k +12.0% 105k +11.8% 70k -3.2% 45k All data valid as of 3 rd December 2018 Page 4

TANKER VALUES THROUGH NOVEMBER 2018 VLCC Values have firmed in older tonnages. 3 sales have been confirmed this month. Tianjin (320,000 DWT, Jul 2015, Jinhai Intelligent Manufacturing) and GC Fuzhou (319,700 DWT, Nov 2014, Jinhai Intelligent Manufacturing) sold in an en bloc deal to Delta Tankers for USD 58.2 mil and USD 55.8 mil respectively. Suezmax Values have firmed in older tonnages. 5 sales have been confirmed this month. Toledo Spirit (159,300 DWT, Jul 2005, Daewoo) sold to Eurotankers for USD 19.2 mil, VV value USD 19.09 mil. Hull 5043 and Hull 5044 (158,000 DWT, Jul & Aug 2020, Daehan) sold in an en bloc deal to Maran Tankers for USD 61.5 mil each. Aframax Values have firmed in older tonnages. 7 sales have been confirmed this month. DHT Sophie and DHT Cathy (115,000 DWT, Oct 2003 & Jan 2004, Hyundai Samho Heavy Ind) sold in an en bloc deal to Horizon Tankers for USD 11.9 mil and USD 12.4 mil respectively, VV values USD 10.92 mil and USD 11.32 mil respectively. HS Tosca (115,000 DWT, Oct 2004, Samsung) sold to Greek buyers for USD 13.5 mil, VV value USD 13.11 mil. Petrovsk (106,400 DWT, Jan 2004, Tsuneishi Zosen) sold to NGM Energy for USD 12.8 mil, VV value USD 12.11 mil. LR1 Values have firmed in older tonnages. 4 sales have been confirmed this month. King Douglas and King Daniel (73,700 DWT, Jun & Sep 2008, New Times Shipbuilding) sold in an en bloc deal for USD 13.5 mil each. Gener8 Companion (72,700 DWT, Jan 2004, Dalian Shipyard) sold for USD 6.8 mil, VV value USD 8.75 mil. SS Due. MR Values have softened in older tonnages. 20 sales have been confirmed this month. MR2 Nord Innovation (48,000, DWT, Dec 2010, Iwagi Zosen) sold for USD 17.0 mil, VV value USD 17.02 mil. MR2 High Pearl (48,000 DWT, Aug 2009, Iwagi Zosen) sold to Transocean Maritime Agencies for USD 16.0 mil, VV value USD 15.73 mil. MR2 Seaways Alcesmar (46,200 DWT, Jan 2004, STX Offshore) sold to Greek buyers for USD 8.25 mil, VV value USD 9.30 mil. All data valid as of 3 rd December 2018 Page 5

CONTAINER VALUES THROUGH NOVEMBER 2018 CONTAINERS Container values have softened across the board. This table shows the monthly % change in value from 1 st to the 30 th November 2018 for Container vessels, by year of build. YEAR OF BUILD POST PMAX PMAX HANDY FMAX TEU TEU TEU TEU 2018-2.9% -2.9% -6.4% -3.3% 2017-2.9% -2.9% -6.4% -3.3% 2016-3.0% -3.0% -6.5% -3.4% 2015-3.1% -3.1% -6.5% -3.5% 2014-3.1% -3.1% -6.5% -3.6% 2013-3.2% -3.2% -6.6% -3.8% 2012-3.3% -3.3% -6.6% -3.9% 2011-3.4% -3.4% -6.7% -4.0% 2010-3.5% -3.4% -6.7% -4.1% 2009-3.6% -3.5% -6.8% -4.3% 2008-3.7% -3.6% -6.8% -4.6% 2007-3.7% -3.7% -6.8% -4.7% 2006-3.8% -1.6% -6.9% -4.9% 2005-3.9% -1.6% -6.8% -5.0% 2004-1.7% -1.5% -6.9% -5.2% 2003-1.5% 6500-1.6% 4000-6.9% -5.4% All data valid as of 3 rd December 2018 Page 6

CONTAINER VALUES THROUGH NOVEMBER 2018 Post PMax Values have softened. No sales have been reported this month. Panamax Values have softened. No sales have been reported this month. Handy Values have softened. 3 sales have been confirmed this month. AS Savonia (1,679 TEU, July 2000, Hanjin Heavy Ind) sold for USD 3.5 mil, VV value USD 3.91 mil. Feedermax Values have softened. 3 sales have been confirmed this month. ER Hobart (1,118 TEU, Sept 2005, Jinling Shipyard) and ER Sydney (1,102 TEU, Aug 2005, Vard Tulcea) sold in an en bloc deal to Vega Reederei for USD 4.0 mil each. VV values USD 4.37 mil and USD 3.96 mil respectively. All data valid as of 3 rd December 2018 Page 7

LPG VALUES THROUGH NOVEMBER 2018 LPG Larger tonnage has firmed whilst smaller tonnage has remained stable. This table shows the monthly % change in value from 1 st to the 30 th November 2018 for LPG vessels, by year of build. YEAR OF BUILD VLGC LGC MGC SP FR LARGE SP FR SMALL FULL PRESS LEG CBM CBM CBM CBM CBM CBM CBM 2018 +2.1% 84k +2.0% 3 12k 2017 +2.0% 84k +1.9% 3 12k 2016 +1.9% 84k +1.6% 3 12k 2015 84k +1.6% 3 12k 2014 84k +1.5% 12k 2013 82k +1.5% 9k 2012 82k +1.5% 9k 2011 82k +1.4% 9k 2010 82k +1.5% 9k 2009 +1.9% 82k +1.6% 9k 2008 +1.9% 82k 2007 +2.0% 82k +1.9% 2006 +2.1% 82k +2.0% 2005 +2.1% 7 +2.0% 2004 +2.2% 7 +2.1% +1.9% 2003 +2.3% 7 +2.2% +1.9% All data valid as of 3 rd December 2018 Page 8

LPG VALUES THROUGH NOVEMBER 2018 VLGC Values have firmed across all tonnages. 3 sales have been confirmed this month. Energy Orpheus (78,498 CBM, Jan 1993, Mitsubishi HI) sold for USD 10.0 mil, VV value USD 9.81 mil. LGC Values have firmed across all tonnages. No sales have been reported this month. MGC Values firmed across all tonnages. No sales have been reported this month. Fully Pressurised Values remained stable. No sales have been reported this month. All data valid as of 3 rd December 2018 Page 9

OFFSHORE VALUES THROUGH NOVEMBER 2018 OSV Values have softened across all PSV and AHTS/AHT sectors. This table shows the monthly % change in value from 1 st to the 30 th November 2018 for OSV vessels, by year of build. YEAR OF BUILD LARGE PSV MEDIUM PSV SMALL PSV SUPER AHTS MEDIUM AHTS SMALL AHTS DWT DWT DWT BHP BHP BHP 2018-15.3% -11.5% 3.6k -14.3% 1.7k -7.4% -8.3% 8.2k -8.3% 5.5k 2017-14.4% -10.6% 3.6k -13.5% 1.7k -7.4% -8.7% 8.2k -8.7% 5.5k 2016-13.2% -9.4% 3.6k -12.3% 1.7k -7.4% -9.1% -9.1% 2015-12.1% -8.2% 3.6k -11.2% 1.7k -7.5% -9.5% -9.5% 2014-11.0% -6.8% 3.4k -9.9% 1.7k -7.5% -9.9% -9.9% 2013-9.8% 5.1k -5.7% -9.1% 1.7k -7.5% -10.3% -10.2% 2012-8.1% 4. -5.0% -8.3% 1.7k -7.5% -10.1% -10.3% 2011-7.5% 4. -4.3% -8.5% -7.5% -10.5% -10.5% 2010-7.2% 4. -4.0% -8.2% -7.7% -10.3% -10.2% 5.1k 2009-7.2% 4. -3.9% -8.0% -7.6% -10.8% -10.0% 5.1k 2008-7.2% 4. -4.2% -8.0% -7.6% -10.1% -9.4% 5.1k 2007-7.5% 4. -4.1% -8.4% -7.7% -10.5% -10.6% 5.1k 2006-7.7% 4. -4.7% -8.5% -7.8% -9.5% -8.8% 5.1k 2005-8.1% 4. -5.2% -9.4% -7.8% -9.4% -11.5% 5k 2004-8.6% 4. -5.0% -10.1% -7.8% -8.0% -10.0% 5k 2003-9.4% 4. -6.2% -10.7% -7.6% -10.0% -6.3% 5k All data valid as of 3 rd December 2018 Page 10

OFFSHORE VALUES THROUGH NOVEMBER 2018 PSV Values have softened across all sectors. 10 sales have been confirmed this month. Liquidated D'Amato Fratelli has sold to Caspian Marine Services in a bank sale. The vessels FD Indomitable, FD Honorable, FD Incomparable, FD Unbeatable and FD Untouchable (3,000 DWT, Jan 2011 May 2013, Rosetti Marino) were sold for USD 25.0 mil en bloc, Laid Up and SS/DD Due. VV en bloc value USD 36.27 mil. Viking Supply has sold the Laid Up Frigg Viking and Idun Viking (3,300 DWT, May & Nov 2003, Karmsund Maritime) for an undisclosed price. Toisa Invincible (4,700 DWT, Jul 1998, BAE Systems) sold to DP Acquisitions for USD 0.5 mil, reduced from USD 0.95m due to storm damage. AHTS & AHT Values have softened for all AHTS/AHT s. 1 AHTS sale has been confirmed this month. Triton 501 (5,218 BHP, Dec 2013, Tuong Aik) was sold for an undisclosed price. SS Due. All data valid as of 3 rd December 2018 Page 11

2 ND HAND S&P ACTIVITY NOVEMBER 2018 S&P $ Value of 2 nd hand sales in November 2018 vs November 2017. 800 700 $704 $662 $720 Nov 2018 Nov 2017 Value (M USD) 600 500 400 300 200 100 0 $519 $338 $138 $80 $32 $26 $10 Bulker Tanker Container Gas OSV Total spending is up just c.1% compared to November 2017. Bulker spending shows an increase of c.6% from November 2017. Tanker spending has increased by c.39% from November 2017. Container spending dropped by c.59% compared to November 2017. Gas spending decreased by c.60% from November 2017. OSV spending has more than doubled in November 2018 compared to 2017. S&P No. Number of 2 nd hand sales in November 2018 vs November 2017. 60 52 56 Nov 2018 Nov 2017 50 46 40 No. Vessels 30 20 10 29 7 28 5 5 11 23 0 Bulker Tanker Container Gas OSV Total number of sales is down by c.14% compared to November 2017. Number of Bulker sales shows a decrease of c.7% from November 2017. Number of Tanker sales have increased by c.59% from November 2017. Number of Container sales have dropped by c.75% from November 2017. Number of Gas sales are equal in November 2018 compared to 2017. Number of OSV sales are down c.52% from November 2017. All data valid as of 3 rd December 2018 Page 12

NEWBUILDING ACTIVITY NOVEMBER 2018 Newbuilding No. 60 50 Number of newbuilding orders placed in November 2018 vs November 2017. 49 Nov 2018 Nov 2017 No. New Buildings 40 30 20 10 0 32 30 16 14 12 2 2 0 1 Bulker Tanker Container Gas OSV Number of newbuild orders are down from 98 in November 2017 to 60 in November 2018. Wah Kwong Shipping has ordered 2 Panamax Bulkers (82,000 DWT, 2020, Chengxi Shipyard) en bloc for USD 49.6 mil. COSCO Shipping Specialised Carriers has ordered 5 Ultramax Bulkers (62,000, 2021, China Shipping Industry) en bloc for USD 167.5 mil. Hunter Group has ordered 3 VLCCs (300,000 DWT, 2020, Daewoo) for USD 92.0 mil each. Wan Hai Lines has ordered 8 Post Panamax Containers (3,036 TEU, 2020, Japan Marine United) en bloc for USD 334.0 mil. Wan Hai Lines has also ordered 12 Sub Panamax Containers (2,038 TEU, 2021, Guangzhou Wenchong) en bloc for USD 315.6 mil. All data valid as of 3 rd December 2018 Page 13

DEMOLITION ACTIVITY NOVEMBER 2018 Demolition No. Number of demolition sales per ship type in November 2018 vs November 2017. 12 11 10 11 10 Nov 2018 Nov 2017 No. Demo Sales 8 6 4 8 5 5 5 2 0 1 0 0 Bulker Tanker Container Gas OSV Total demolition sales in November 2018 are down from November 2017. Tankers are still the most popular choice for scrapping candidates this month, but Containers are on the rise. More Containers have been scrapped since October this year, than for the first 9 months of 2018. No Gas vessels have been confirmed for scrap this month. Demolition Trend 500 Demolition price trend for Tanker Price India from 1 st November 2017 30 th November 2018. Tanker scrap price 450 USD/LDT 400 350 300 250 Jan 2018 Apr 2018 Jul 2018 Oct 2018 The sentiment and buying interest have reduced from mid-november onwards. Notably different from 2017 where the USD/LDT picked up strongly towards the end of November. Various uncertainties across the Indian sub-continent including depreciating currencies and upcoming elections have reduced the demand for new tonnage this month. All data valid as of 3 rd December 2018 Page 14

CHARTER RATES Dry 35,000 30,000 Baltic Exchange daily market spot rates for Capesize, Panamax, Supramax and Handy Bulkers from 1 st November 2017-30 th November 2018. Source: Baltic Exchange Capesize Panamax Supramax Handy USD per day 25,000 20,000 15,000 10,000 5,000 0 Jan 2018 Apr 2018 Jul 2018 Oct 2018 Capesize rates saw a softening during early November but have recovered greatly towards the end of the month. Panamax rates firmed slightly towards late November. Supramax rates softened slightly throughout November. Handy rates softened slightly throughout November. Wet 60,000 Baltic Exchange daily market spot rates for VLCC, Suezmax and Aframax Tankers from 1 st November 2017-30 th November 2018. Source: Baltic Exchange VLCC Suezmax Aframax 50,000 USD per day 40,000 30,000 20,000 10,000 0-10,000 Jan 2018 Apr 2018 Jul 2018 Oct 2018 VLCC rates have firmed during November. Suezmax rates have firmed considerably throughout November, with rates exceeding $50,000 per day. Aframax rates have been volatile during November. All data valid as of 3 rd December 2018 Page 15

CHARTER RATES Container 16,000 14,000 Contex daily time charter rates for Panamax, Handysize and Feedermax Containers from 1 st November 2017-30 th November 2018. Source: Contex, VHSS Panamax Handy Feedermax 12,000 USD per day 10,000 8,000 6,000 4,000 2,000 0 Jan 2018 Apr 2018 Jul 2018 Oct 2018 Rates continued to soften for Panamax and Handy Container vessels throughout November. Feedermax rates have remained stable during November. LPG Fearnleys weekly market spot rates for VLGC, MGC and LEG Gas ships from 1 st November 2017-30 th November 2018. Source: Fearnley's 1,000,000 900,000 VLGC MGC LEG 800,000 USD per month 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 Jan 2018 Apr 2018 Jul 2018 Oct 2018 VLGC rates have shown volatility and softening throughout November. Rates remained stable for MGC vessels throughout November 2018. LEG rates saw slight firming towards the end of November. All data valid as of 3 rd December 2018 Page 16

Disclaimer Information and opinions contained in this report have been compiled or arrived from sources believed by VV to be reliable. However, no warranty or representation is made as to the correctness, completeness and accuracy of the information or the assessments made on its basis. For more information contact us +44 203 026 5555 info@vesselsvalue.com vesselsvalue.com