Optimism at Odfjell

Odfjell has reported first-quarter EBITDA of $41m, up from $31m in the fourth quarter 2011. The company says the improvement reflects better earnings in the chemical tanker sector, with timecharter earnings 8% ahead of fourth-quarter levels. However, rising bunker costs impacted the result. It also says that earnings in the second quarter have slipped back, with income offset to some extent by a fall in bunker prices.

So far this year Odfjell has added two sub-20,000 dwt chemical tankers to its fleet but has also sold four older handysize tankers for scrap and one 30-year-old stainless steel vessel was sold for further trading.

Results from Odfjell's tank terminal operations have remained stable and the company is confident this will continue through the rest of the year. A 27,300 m3 expansion of the OOTO terminal in Oman is due onstream in the third quarter and Odfjell says its new Charleston facility is on schedule to open next year. The acquisition of a 25% share in Noord Natie is "close to conclusion", Odfjell reports.