CHAIRMAN’S
MESSAGE
Dear Shareholders,
The year has seen calamitous declines in
shipping rates. The Baltic Dry Index (“BDI”),
which is an aggregate of freight rates for
dry commodities namely iron ore, coals and
grains, at one stage appeared to be in free
fall. In the first 4 months of 2015 alone the
BDI fell 65%, after already having fallen by
over 85% from its 2008 peak. As these rates
are the prices that our clients receive, the fall
has impacted the global shipbuilding and
to a lesser extent the ship repair industry
significantly.
Four years ago, anticipating such a decline,
we shifted our focus from vessels linked
to the BDI to vessels used by the oil & gas
industry particularly the production part of
this industry (E&P companies). Whilst the
move was strategically correct, the recent
sharp declines in oil prices has resulted in
equally sharp declines in the charter rates of
both oil and gas carriers. According to the
RS Platou LNG Spot and 12-month charter
rates, which were both above US$140,000,
are now below US$60,000 per day.
“ I would like to express my sincere gratitude to
our business partners, customers and bankers
for their trust and support. I must also thank
ASL Marine’s Board of Directors for their help in
shaping our strategy, for their commitment and
strong stance on governance.”
ASL Marine Holdings Ltd. /Annual Report 2015
15
