Welcome to BW LPG's Second Quarter 2021 Financial Results Presentation. Bringing you through the presentation today are CEO, Anders Onarheim; CFO, Elaine Ong; EVP Commercial, Niels Rigault; and EVP, Technical and Operations, Pontus Berg. We are pleased to answer questions at the end of the presentation. [Operator Instructions] Before we begin, we wish to highlight the legal disclaimers shown in the current slide. This presentation held on Zoom is also recorded. I'll now turn the call over to BW LPG's CEO, Anders Onarheim.

Thank you, Lisa, and welcome to our second quarter results presentation for the period ended June 30, this year. Ms. Lisa said as usual, I'm joined my CFO, Elaine Ong; EVP of Commercial, Niels Rigault; and EVP Technical and Operations, Pontus Berg. It now has been over one and a half years since COVID-19 was declared a global pandemic. Our way of life has certainly been impacted and how we do business must adapt to this new reality. Our operations in crew changes continue to be challenged by travel restrictions as countries manage subsequent COVID outbreaks and new strains with varying degrees of success. We would like to thank port authorities and health facilities around the world who have set aside resources to vaccinate our crew. Without our crew our ships cannot sail. And if our ships cannot sail, we cannot deliver cleaner energy to the world. The second quarter this year was challenging. VLGC freight rates fell below OpEx for several months before staging a modest recovery. We tried to navigate the market with the returns focused mindset selling two of our older vessels that generated attractive returns, secured our first ESG related loan facility, and made good continued progress on our LPG retrofitting program. It's been nearly a year since we've begun this program with BW Gemini, the world's first very large gas carrier to be powered by pioneering LPG dual-fuel propulsion technology. We are now more than half way through this program and which is our keystone project for decarbonization. We now have eight vessels, soon nine on water servicing customers with the sectors' lowest emission profile and with seven more vessels to go, six more that is. My thanks to our site team, officers and crew who are working tirelessly to ensure the project progresses on…

Thank you, Anders, and good morning and afternoon to all of you. So let's turn to Slide 8. We have fixed 83% of our Q3 available fleet base at an average rate of $32,000 per day basis discharge to discharge. We expect rates to be firm for the remaining of 2021, but with high volatility due to voyage inefficiencies. In the medium term, we'll continue to be optimistic for '22. However, the high number of recent [indiscernible] orders have increased the uncertainty for 2023. But the tightening of IMO regulations will lead to increased recycling of the ageing sea fleets and the recovery and production from the Middle East will partly offset the newbuilding deliveries. Let’s turn to Slide 9, during the second quarter, U.S. LPG exports increased by 22% and as high domestic demand from extremely cold winter earlier this year has led to low inventories, which again leads U.S. LPG prices to continue at record high levels. Despite the high U.S. LPG prices, the strong U.S. exports illustrates the strength of the LPG import demand, as more and more countries are building out their infrastructure to use LPG as the primary source. For the main import regions, South Korea was the only one to show a notable decline due to less retail demand and higher local refinery production. Let’s turn to Slide 10. On Slide 10 you see EIA short term energy outlook released in August. EIA forecast by the U.S. LPG export will remain high in 2021 and 2022. All by production growth slowed to 3.5% from over 10% in 2019. On the positive side, the oil price has been higher than forecasted incentivizing the U.S. oil producer to increase production. Also, OPEC has gradually started to increase oil production; therefore, if the entire 5.8 million barrels…

Turning to Slide 15, in Q2 it was business as usual on the Technical and Operational front, in spite of increasing challenges from COVID-19 as earlier mentioned. We continue to be a reliable partner for our customers and commercial colleagues as we managed our LGIP retrofitting program, as well as, baseline priorities with market leading OpEx and safety performance. We remain focused on the safe and disciplined conversion of our vessels with LPG propulsion technology. As earlier mentioned by Anders, we are now more than halfway through our program with 8 vessels in the water and one at the yard and one at gas trial. BW Brage is scheduled to be completed in the next few days and thus we will have 9 VLGCs serving our customers. As with all pioneering technology, we expected this ambitious retrofitting project to have its share of tipping issues. It turns out nearly a year in the main challenges we face are from the logistics of moving people and materials. Our sincere thanks to committed colleagues and partners for taking these challenges in their stride and keeping to timelines and budgets. We continue to demonstrate the industry is ready for LPG to be our mainstream marine fuel. Ship-to-ship, bunkering in international waters continue flawlessly, with 14 STS conducted to date. We have confirmed LPG fuel contracts with suppliers in the U.S, to ensure uninterrupted supply for our retrofitted vessels. In Q2, we lifted 5 LPG fuel stems in Houston [ph] and Nederland. Our crew continued to handle our cargo operations flawlessly. In the first half of the year; we had nearly 600 port calls, which means that our team manages an average of three port calls per day. In Q2 we managed about 30 mandatory inspections with zero screening rejections from our customers and…

Thanks Pontus, and good day, everybody. Here on Page 16 is an overview of our income statement. Our TCE income was $94 million for the quarter. As Niels mentioned earlier, we had a higher than usual planned off hire this quarter with 4 of our vessels at the yard undergoing LPG propulsion retrofits. In addition, our TCE income also includes a negative $5 million impact related to the effects of IFRS15. Vessel operating expenses came in at $8,100 per day, this includes incremental manning costs incurred due to the pandemic. EBITDA came in at $55 million for the quarter, representing a continued high EBITDA margin of 58%. We sold the BW Empress during the quarter, realizing a net gain of $9.9 million. The vessel was delivered to its new owner for further trading in April. We increased our equity share in our Indian joint venture from 50% to 88% during the quarter. Our equity investment is now accounted for as a subsidiary, and the re-measurement of our existing equity interest was a gain of $9.8 million. This gain was derived from an uplift in asset values relating to the vessels in the joint venture prior to the transaction. Further details can be found in notes 15 and 16 in our financial report. Our net profit after tax for this quarter was 23 million or $0.16 per share, yielding a return on equity of 7%. Page 17 provides a snapshot of our balance sheet and cash flow statement. Our vessels book values supported by broker valuation stood at 1.8 billion at the end of the quarter. This is after the reclassification of BW Confidence, BW Boss, and BW Energy as assets held for sale. We concluded the sale and delivery of these three vessels after the quarter end. These transactions will…

[Operator Instructions] All right, we have come to the end of today's presentation. Thank you for attending BW LPG's second quarter 2021 financial results presentation. More information on BW LPG will be available online at www.bwlpg.com. Have a good day and good night. : :