Bitumen Tankers Push NewLeads Operating Revenue Up

NewLead Greece-based dry bulk carrier and tanker operator NewLead Holdings Ltd. has generated over USD 15.7 million in operating revenues from its bitumen tankers and shipped over 3.1 million barrels of bitumen in 2015. The companys bitumen fleet utilization was 92.7 percent during the year as NewLeads number of available days and operating for the bitumen tanker vessels was 1,810 and 1,678, respectively. The difference between the available and the operating days is principally attributable to the scheduled repairs and maintenance of NewLeads bitumen tanker vessels in 2015. NewLeads chartering policy will continue to be adaptive to market conditions and allow a combination of long-term time charter contracts, Contracts of Affreightment (CoAs) and spot charter. NewLead will continue to target for 65% to 70% long term time charter contracts and CoAs and 30% to 35% spot charters that allow the company to have an understanding of the market and provide flexibility to its long term investors, Michael Zolotas, Chairman and Chief Executive Officer of NewLead, said. NewLead controls a fleet of five highly specialized bitumen tanker vessels, totaling 18,918 dwt with a current average age of 7.2 years. The company said that, according to market sources, world asphalt supply and demand is expected to grow to reach 121 million tons by 2020. In North America, where the Newlead Granadino is currently trading, consumption is expected to reach 24.7 million tons by 2020, while in Sweden, where the MT Ioli is currently trading, consumption is expected to increase 2.35% to 2.85% by the end of 2020. NewLead plans to continue its focus on creating a platform to support fleet expansion, as well as the expansion of its global presence in the bitumen tanker market, through the development of joint ventures with oil traders and refineries.