Product tanker owners are set to overhaul their balance sheets and return cash to investors as profit rolls in, analysts say.
In the third quarter, LR2, LR1 and MR product tankers all exceeded $40,000 per day in spot markets, according to Clarksons Securities.
And with much better earnings ahead, the investment bank said: “Cash flows are truly transformative for the companies we cover,”
“We expect it to result in increased cash distributions, share buybacks and deleveraging,” analysts Frode Morkedal and Even Kolsgaard added.
