A source close to the Manhattan-based tanker owner tells TradeWinds that chatter on digital message boards suggesting CEO Morten Arntzen is taking a trip to meet with Norwegian shipping tycoon John Fredriksen to discuss the possibility of a bailout are “way off base”.

“Seems like there are more interesting places for Fredriksen to put his money these days,” a different observer unrelated to OSG noted. “On the other hand if OSG’s banks want to reduce expenses by bringing in a lower cost operator to manage its fleet then Frontline may be the way to go.”

It’s unclear where the gossip first began but some analysts fear rumours will continue until the company provides an update about how it intends to handle a potential liquidity gap linked to the replacement of a fully drawn $1.5bn revolver that is due to expire in four months.

Many, like Michael Webber of Wells Fargo Securities, are confident that OSG will find a solution but remain concerned that volatility will continue to plague its New York-listed shares, which hit an all time low of $3.13 yesterday afternoon but ended the day at $3.40.

The sell-off came amid unconfirmed reports that the Manhattan-based company had hired Proskauer Rose as a restructuring advisor and talk that two European lenders are courting buyers for a $150m chunk of debt after a previous deal failed to take shape.

As we have reported, Chilmark was called in to assist OSG in negotiations with lenders that hired Lazard and White & Case to aid in the negotiations, which are believed to include DnB NOR, Swedbank, HSBC, Citibank and Credit Agricole, among others.

Of all the lingering questions posted by bloggers in investor chat rooms boards most are related to queries about incremental debt and whether a restructuring would hinge on asset sales and a follow-on equity offering- a potential component that has prompted concerns about dilution.