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Hoarding in uncertain times

In times of  uncertainty, some like to stock up on essentials and in a way become hoarders.

Oil is not immune to this phenomenon,  and some players in this business like to build a high reserve capacity in order to meet demand as it rises.

It is in nature of what NAT does that this caution may be helpful in upping the demand for our suezmaxes.

The fear of the unexpected, a “Black Swan” as some economists call it , may lead to hoarding and thus can be a positive for the tanker business.

Reflections at the turn of the year

At the turn of the year – we would like to comment on some of the features of NAT:

Low debt level:

The debt level of NAT per vessel as per 3Q 2021 stood at $11.9 million per ship. This is a conservative leverage and one of the lowest debt levels among publicly listed tanker companies in the US. The low debt level gives us flexibility to maneuver.

High quality ships:

The scorecard of major oil companies and oil traders, the Vetting Inspections, continue to prove the high quality standards of the NAT vessels and personnel onboard and ashore. The quality of our fleet is an attraction to our customers.

High Yielding Stock:

Our shareholders can rely on NAT distributing cash dividends going forward. We have distributed dividends for 97 consecutive quarters, with an aggregate of more than $49 per share paid over the years. When earnings increase, our dividends will as well.

All the board members of NAT own meaningful volumes of NAT stock.

Between them, members of the Hansson family is the largest private shareholder group of NAT.

January 3. 2022