Saweeeet! When I invested in this there was no dividend, got in before 8-21 and was happy to do so....A pleasant surprise to get another so soon.....I'll show my loyalty by reinvesting those dividends.....the energy sector is on fire!
K
Disappointing that LPG's operate in such an obscure area of a sector (shipping) that is perpetually in disfavor. Two things I would like to see. First, LPG should adopt a sensible, more predictable dividend policy. The uncertain outlook that accompanies the shipping industry as a whole should not be made worse by adding an uncertain dividend outlook. At least with something like FRO you know where you stand compared to LPG. Second, BWLLF should seek listing on the NYSE. This would be an immense benefit to shareholders by increasing liquidity and the share price along with it. Their yield is well over 9% and the dividend policy is stated. Still, the share price goes down while the outlook for the VLGCs has been improving.
w
Strong upward move in MEG/Japan VLGC Baltic today.
E
it makes sense to focus on more recent growth rates, instead. Like a falcon taking flight, DorianG's EPS soared from US$1.50 to US$2.49, over the last year. That's a impressive gain of 66% …. Plus a 32% profit margin …. Looking Good going Forward
D
Why is FLNG doing so much better than LPG ?
M
Checked in with my broker about this dividend , and it not there for a listed payout . I called the company phone number and it was to another business . Is there another U.S. number listed?
D
Why is the day rate so low ?
D
Do you still like LPG ? Your opinion please
L
does this really pay a 30% dividend?
E
Are we going to hit $13 after earnings report and are we still going to receive $1 per share dividend ?
B
DOES LNG REALLY PAY A $1 DIV QUARTERLY?
M
The Q1 pre-announcement declaring revenue at 87MM would imply net earnings of 65-70 cents assuming costs equal to prior quarter, a significant beat. Q1 will be even better probably a dollar or so. It seems shares are being driven by declining forward rates and concern that rates will be driven down during the year by reduced U.S. lpg production and trading technicals with arbitrage and naphtha spreads. A Tradewinds article suggest Dorian is deferring the payment of dividends because of future rate concerns, though this assumes the headline (no subscription) is an accurate reflection of what Dorian said. We’ll know more on the call next week.
Shipping sector again managed to escape corporate tax “ 130 countries back global minimum corporate tax of 15% . The new minimum tax rate of at least 15% would apply to companies with turnover above a 750-million-euro ($889-million)threshold, with only the shipping industry exempted” $FLNG, $DLNG, $TGP $LPG $CMRE $NMM $DAC $DHT
A
Rates are going bananas. But they will not implemented in the financial reports until Q1 is reported, because rates are being fixed months ahead. I have already max in LPG trade (1/4 of my portfolio) so I will not put more money in. If you want to understand LPG trade go to BWLPG.OL ... check Q3 report and get an insight to what drives the LPG market. It is a volatile stock.. so dont get into it if you are selling when the boat is going down. Dont go on board if you can not afford to loose money.... Rates are going through the roof. Not just now, but also futures. Your choise
r
Rates are spiralling upwards! From Den norske Bank shipping analyst report on LPG: On 21 March we said VLGC rates could hit USD45k/day in the 2019 high season. We now believe they could approach six figures this summer, as US export terminal capacity could be fully utilised in parts of Q2–Q3 on our forecasts, potentially widening the US–Asia propane arbitrage (US LPG would be land-locked). We note US–Asia propane arbitrage is already at a 3-year high. The last time US LPG exports fully utilised terminal capacity was in 2014–2015, and subsequently the arbitrage increased and VLGC rates went to six figures. In 2018, Asia took only 24% of new volume (~100% in 2016/17); hence the arbitrage could also benefit tonne-miles.
US LPG export terminal capacity could reach 100% utilisation in Q2–Q3 pending the ramp-up of the 0.175mbpd Enterprise LPG export terminal (guided for H2 2019, starting in Q3e). We calculate current US LPG exports of 1.15mbpd versus our forecast of current US LPG export terminal capacity of 1.2mbpd, rising to 1.3mbpd in Q2 (pending Marcus Hook ramp-up) and 1.45mbpd by Q4 post Enterprise ramp-up. On our forecast of US LPG exports of 1.3mbpd during the 2019 high season, we see the export terminal being fully utilised, leading to land-locked US LPG prices and potentially wider arbitrage, which could again leave room for freight rates to improve.
US-Asia propane price arbitrage already at a 3-year high. US-Asia LPG price arbitrage (excluding freight) is at a 3-year high of USD103/tonne. For every USD1/tonne wider arbitrage, there is room for USD700/day higher freight rates (if all is captured by ship-owners). The last time US LPG exports fully utilised terminal capacity was in 2014–2015, when the arbitrage increased and VLGC rates went to six figures.
Increased utilisation of six VLGCs in 2019e and nine in 2020e… In our 8 February note ‘Two layers of discount unjustified’, we introduced our monthly VLGC model with an R-squared of 0.71. For 2019, we forecast a utilisation increase of six VLGCs (increased US exports absorbing 24 VLGCs, the Middle East reduced by three VLGCs due to OPEC cuts, 18 VLGCs delivered, four VLGCs scrapped). For 2020, we see a utilisation increase of nine VLGCs (increased US exports absorbing 16 VLGCs, no change in the Middle East, 21 VLGCs delivered, 13 VLGCs scrapped). We calculate that utilisation rose by 13 VLGC units in 2018.
…implies average VLGC rates of USD24k/day for 2019 and USD28k/day for 2020. Based on our aforementioned monthly model, we forecast rates increasing from USD19k/day in 2018 to USD24k/day for 2019 and USD28k/day for 2020.
The LPG sector is our favourite, along with tankers, as we see a strong market in the next 24 months
Y
Dorian LPG is up 5.29% to 13.05
K
Wow! Company implemented a $100M tender offer to repurchase shares! Incredibly good move by the company! This helps current shareholders, future shareholders, AND the company. This will significantly improve the company’s future per share metrics and increase future dividend paying capacity as well. Standing ovation for management and the BOD.
M
Since the tender offer LPG has lost 20 percent of market cap. In 6 weeks.
First, LPG should adopt a sensible, more predictable dividend policy. The uncertain outlook that accompanies the shipping industry as a whole should not be made worse by adding an uncertain dividend outlook. At least with something like FRO you know where you stand compared to LPG.
Second, BWLLF should seek listing on the NYSE. This would be an immense benefit to shareholders by increasing liquidity and the share price along with it. Their yield is well over 9% and the dividend policy is stated. Still, the share price goes down while the outlook for the VLGCs has been improving.
Your opinion please
“ 130 countries back global minimum corporate tax of 15% . The new minimum tax rate of at least 15% would apply to companies with turnover above a 750-million-euro ($889-million)threshold, with only the shipping industry exempted”
$FLNG, $DLNG, $TGP $LPG $CMRE $NMM $DAC $DHT
On 21 March we said VLGC rates could hit USD45k/day in the 2019 high season. We now believe they could approach six figures this summer, as US export terminal capacity could be fully utilised in parts of Q2–Q3 on our forecasts, potentially widening the US–Asia propane arbitrage (US LPG would be land-locked). We note US–Asia propane arbitrage is already at a 3-year high. The last time US LPG exports fully utilised terminal capacity was in 2014–2015, and subsequently the arbitrage increased and VLGC rates went to six figures. In 2018, Asia took only 24% of new volume (~100% in 2016/17); hence the arbitrage could also benefit tonne-miles.
US LPG export terminal capacity could reach 100% utilisation in Q2–Q3 pending the ramp-up of the 0.175mbpd Enterprise LPG export terminal (guided for H2 2019, starting in Q3e). We calculate current US LPG exports of 1.15mbpd versus our forecast of current US LPG export terminal capacity of 1.2mbpd, rising to 1.3mbpd in Q2 (pending Marcus Hook ramp-up) and 1.45mbpd by Q4 post Enterprise ramp-up. On our forecast of US LPG exports of 1.3mbpd during the 2019 high season, we see the export terminal being fully utilised, leading to land-locked US LPG prices and potentially wider arbitrage, which could again leave room for freight rates to improve.
US-Asia propane price arbitrage already at a 3-year high. US-Asia LPG price arbitrage (excluding freight) is at a 3-year high of USD103/tonne. For every USD1/tonne wider arbitrage, there is room for USD700/day higher freight rates (if all is captured by ship-owners). The last time US LPG exports fully utilised terminal capacity was in 2014–2015, when the arbitrage increased and VLGC rates went to six figures.
Increased utilisation of six VLGCs in 2019e and nine in 2020e… In our 8 February note ‘Two layers of discount unjustified’, we introduced our monthly VLGC model with an R-squared of 0.71. For 2019, we forecast a utilisation increase of six VLGCs (increased US exports absorbing 24 VLGCs, the Middle East reduced by three VLGCs due to OPEC cuts, 18 VLGCs delivered, four VLGCs scrapped). For 2020, we see a utilisation increase of nine VLGCs (increased US exports absorbing 16 VLGCs, no change in the Middle East, 21 VLGCs delivered, 13 VLGCs scrapped). We calculate that utilisation rose by 13 VLGC units in 2018.
…implies average VLGC rates of USD24k/day for 2019 and USD28k/day for 2020. Based on our aforementioned monthly model, we forecast rates increasing from USD19k/day in 2018 to USD24k/day for 2019 and USD28k/day for 2020.
The LPG sector is our favourite, along with tankers, as we see a strong market in the next 24 months