Scorpio Tankers Inc. Announces Purchase of Call Options by the President of the Company

Nov 30, 2022

MONACO, Nov. 30, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced that the President of the Company, Robert Bugbee, has purchased call options on 400,000 common shares (or 4,000 call option contracts) of the Company with a strike price of $55.00 for total consideration of $1,187,000. All of the call option contracts have an expiration of January 2023.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.9 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements
Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the impact of the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com

Scorpio Tankers Inc. Announces Purchase of Call Options by the President of the Company

Nov 17, 2022

MONACO, Nov. 17, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced that the President of the Company, Robert Bugbee, has purchased call options on 150,000 common shares (or 1,500 call option contracts) of the Company with a strike price of $60.00 and on 310,000 common shares (or 3,100 option contracts) of the Company with a strike price of $55.00 for total consideration of $1,053,000. All of the call option contracts have an expiration of January 2023.

About Scorpio Tankers Inc.
Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.8 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements
Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the impact of the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com

 

Scorpio Tankers Inc. Announces Notice of Redemption of 3.00% Convertible Senior Notes Due 2025

Nov 11, 2022

MONACO, Nov. 11, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE: STNG) (“Scorpio Tankers” or the “Company”) today announced that it has elected to redeem all of its outstanding 3.00% Convertible Senior Notes Due 2025 (the “Notes”) pursuant to Section 16.01 of the Note Indenture dated March 25, 2021 (the “Indenture”) effective December 1, 2022 (the “Redemption Date”).

Under Section 16.01 of the indenture dated as of March 25, 2021 (the “Indenture”), if at any time the daily per share volume-weighted average price of the Company’s common stock has equaled or exceeded 125.4% of the conversion price defined in the Indenture then in effect on each of at least 20 trading days (whether or not consecutive) during 30 consecutive trading days, the company may redeem for cash all or any portion of the Notes, at the redemption price defined in the Indenture.

Following the Company’s exercise of its optional redemption right pursuant to Section 16.01 of the Indenture, holders may convert their Notes into shares of common stock of the Company at any time prior to the Redemption Date, at a conversion rate equal to 30.6184. The conversion rate is expected to be adjusted as a result of the previously announced $0.10 cash dividend per share of common stock with a record date of November 17, 2022. Assuming that all holders of the Company’s outstanding Notes elect to convert, the Company will issue approximately 5.8 million shares of common stock.

Further information regarding the Company’s optional redemption and holders right to convert their notes into shares of Common Stock is contained in the Notice of Redemption to be sent to all holders.

About Scorpio Tankers Inc. 

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.8 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the impact of the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com

 

Scorpio Tankers Inc. Announces Financial Results for the Third Quarter of 2022 and Declaration of a Quarterly Dividend

Nov 1, 2022

MONACO, Nov. 01, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE: STNG) (“Scorpio Tankers” or the “Company”) today reported its results for the three and nine months ended September 30, 2022. The Company also announced that its Board of Directors has declared a quarterly cash dividend of $0.10 per share on the Company’s common stock.

Results for the three months ended September 30, 2022 and 2021        

For the three months ended September 30, 2022, the Company had net income of $266.2 million, or $4.84 basic and $4.31 diluted earnings per share.

For the three months ended September 30, 2022, the Company had adjusted net income (see Non-IFRS Measures section below) of $264.8 million, or $4.81 basic and $4.29 diluted earnings per share, which excludes from net income (i) a $2.7 million, or $0.05 per basic and $0.04 per diluted share, gain on the sale of a vessel, (ii) $1.4 million, or $0.03 per basic and $0.02 per diluted share, write-off or acceleration of the amortization of deferred financing fees on certain debt or lease financing obligations and related debt extinguishment costs, and (iii) $0.1 million, or $0.00 per basic and $0.00 per diluted share, gain recorded on the repurchase of the Company’s Convertible Notes due 2025.

For the three months ended September 30, 2021, the Company had a net loss of $73.3 million, or $1.34 basic and diluted loss per share.

For the three months ended September 30, 2021, the Company had an adjusted net loss (see Non-IFRS Measures section below) of $76.1 million, or $1.39 basic and diluted loss per share, which excludes from the net loss a $2.9 million, or $0.05 per basic and diluted share, gain recorded as part of the refinancing of the lease financing for five vessels.

Results for the nine months ended September 30, 2022 and 2021

For the nine months ended September 30, 2022, the Company had net income of $372.8 million, or $6.74 basic and $6.07 diluted earnings per share.

For the nine months ended September 30, 2022, the Company had adjusted net income (see Non-IFRS Measures section below) of $446.0 million, or $8.06 basic and $7.21 diluted earnings per share, which excludes from net income (i) a $66.5 million, or $1.20 per basic and $1.04 per diluted share, aggregate net loss on the sale of vessels, (ii) $7.1 million, or $0.13 per basic and $0.11 per diluted share, write-off or acceleration of the amortization of deferred financing fees on debt or lease financing obligations and related debt extinguishment costs and (iii) $0.5 million, or $0.01 per basic and $0.01 per diluted share, gain recorded on the repurchases of the Company’s Convertible Notes due 2025.

For the nine months ended September 30, 2021, the Company had a net loss of $188.4 million, or $3.46 basic and diluted loss per share.

For the nine months ended September 30, 2021, the Company had an adjusted net loss (see Non-IFRS Measures section below) of $184.5 million, or $3.38 basic and diluted loss per share, which excludes from the net loss (i) a $2.9 million, or $0.05 per basic and diluted share, gain recorded as part of the refinancing of the lease financing for five vessels, (ii) $5.5 million, or $0.10 per basic and diluted share, of aggregate losses recorded on the March 2021 and June 2021 transactions to exchange the Company’s existing Convertible Notes Due 2022 for new Convertible Notes Due 2025, and (iii) a $1.3 million, or $0.02 per basic and diluted share, write-off of deferred financing fees related to the refinancing of certain credit facilities.

Declaration of Dividend

On October 31, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.10 per common share, payable on or about December 15, 2022 to all shareholders of record as of November 17, 2022 (the record date). As of November 1, 2022, there were 56,294,672 common shares of the Company outstanding.

Summary of Third Quarter 2022 and Other Recent Significant Events

  • Below is a summary of the average daily Time Charter Equivalent (“TCE”) revenue (see Non-IFRS Measures section below) and duration of contracted voyages and time charters for the Company’s vessels (both in the pools and outside of the pools) thus far in the fourth quarter of 2022 as of the date hereof (See footnotes to “Other operating data” table below for the definition of daily TCE revenue):
  Pool and Spot Market   Time Charters Out of the Pool
  Avg. Daily Expected % of   Avg. Daily  Expected % of
  TCE Revenue Revenue Days(1) Days   TCE Revenue Revenue Days(1) Days
LR2 $58,000 2,900 55%   $28,800 625 100%
MR $43,000 4,650 42%   $21,700 435 100%
Handymax $44,000 1,250 36%   N/A N/A N/A

(1) Expected Revenue Days are the total number of calendar days in the quarter for each vessel, less the total number of expected off-hire days during the period associated with major repairs or drydockings. Consequently, Expected Revenue Days represent the total number of days the vessel is expected to be available to earn revenue. Idle days, which are days when a vessel is available to earn revenue, yet is not employed, are included in revenue days. We use revenue days to show changes in net vessel revenues between periods.

  • Below is a summary of the average daily TCE revenue earned by the Company’s vessels during the third quarter of 2022:
  Average Daily TCE Revenue
Vessel class Pool / Spot Time Charters
LR2 $ 50,765 $ 26,710
MR $ 42,463 $ 20,548
Handymax $ 46,231 N/A
  • During the third and fourth quarters of 2022, the Company entered into time charter-out agreements on five vessels (four LR2s and one MR). The terms of the agreements are for three years averaging between $30,000 and $35,000 per day for the LR2s, and for three years for $25,000 per day for the MR. During 2022 and through the date of this press release, the Company has entered into a total of 13 time-charter out agreements (eight LR2s and five MRs), the terms of which are described in the fleet list below.
  • The Company has given notice to exercise its purchase options on an aggregate of 17 vessels that are currently financed under sale and leaseback arrangements, consisting of two Handymax product tankers (STI Battersea and STI Wembley), nine MR product tankers (STI Ville, STI Texas City, STI Meraux, STI Brooklyn, STI Duchessa, STI Mayfair, STI San Antonio, STI St. Charles and STI Yorkville), and six LR2 product tankers (STI Alexis, STI Rose, STI Rambla, STI Sanctity, STI Steadfast and STI Supreme). The leases bear interest at LIBOR plus a margin of 3.00% – 5.40% per annum. The purchases, which are expected to occur in the fourth quarter of 2022 and in 2023, are expected to result in an aggregate debt reduction of $302.2 million.
  • In October 2022, the Company repaid the outstanding debt of $17.5 million, which had financed one LR2 product tanker (STI Madison).
  • In August 2022, the Company exercised its purchase options on six 2014 built MR product tankers (STI Opera, STI Virtus, STI Venere, STI Aqua, STI Dama, and STI Regina), which resulted in an aggregate debt reduction of $95.0 million.
  • Since July 2022 and through the date of this press release, the Company has repurchased an aggregate of 3,120,341 of its common shares at an average price of $38.66 per share.
  • In July 2022, the Company repurchased $1.5 million in aggregate principal amount of its Convertible Notes Due 2025 in the open market.
  • On October 31, 2022, the Company’s Board of Directors authorized a new Securities Repurchase Program to purchase up to an aggregate of $250 million of the Company’s securities.
  • During the first and second quarters of 2022, the Company entered into agreements to sell 18 vessels, consisting of three LR2s, 12 LR1s, and three MRs. Seven of these sales closed within the first quarter of 2022 (six LR1s and one MR), raising $91.7 million in aggregate new liquidity after the repayment of debt and selling costs, nine of these sales closed within the second quarter of 2022 (two LR2s, six LR1s, and one MR), raising $139.9 million in aggregate new liquidity after the repayment of debt and selling costs, and the remaining two of these sales closed in the third quarter of 2022, raising $33.7 million in aggregate new liquidity.

New $250 Million Securities Repurchase Program

On October 31, 2022, the Company’s Board of Directors authorized a new Securities Repurchase Program to purchase up to an aggregate of $250 million of the Company’s securities which, in addition to its common shares, currently consist of its Convertible Notes due 2025 and Senior Unsecured Notes due 2025 (NYSE: SBBA). As of today, there is $250 Million available under the new $250 Million Securities Repurchase Program.

In September 2020, the Company’s Board of Directors authorized a Securities Repurchase Program to purchase up to an aggregate of $250 million of the Company’s securities. This program was terminated on October 31, 2022, and any future purchases of the Company’s securities will be made under the new $250 million Securities Repurchase Program. Below are purchases of the Company’s securities made in 2022 under the September 2020 authorization.

  • During the third quarter of 2022, the Company repurchased an aggregate of 2,241,881 of its common shares at an average price of $37.87 per share. These repurchases include the repurchase of 1,293,661 common shares from Eneti Inc., a related party, for $38.65 per share and 948,220 common shares in the open market for an average price of $36.80 per share.
  • During the fourth quarter of 2022, the Company repurchased an aggregate of 878,460 of its common shares in the open market at an average price of $40.67 per share.
  • In May and July 2022, the Company repurchased $10.8 million and $1.5 million, respectively, in aggregate principal amount of its Convertible Notes Due 2025 in the open market for $12.5 million and $1.7 million, respectively. The consideration paid includes the accreted principal balance, which has accrued since the issuance date and equaled approximately 106% and 107% of par at the May and July repurchase dates, respectively.

Debt and Lease Repayments

In August 2022, the Company exercised its purchase options on six MR product tankers (STI Opera, STI Virtus, STI Venere, STI Aqua, STI Dama and STI Regina) that were previously financed under the China Huarong Lease Financing. These transactions resulted in an aggregate debt reduction of $95.0 million.

In September 2022, the Company gave notice to exercise its purchase options on two Handymax product tankers (STI Battersea and STI Wembley) and two MR product tankers (STI Texas City and STI Meraux). These vessels are currently financed under the COSCO Lease Financing. The purchases, which are expected to occur in the fourth quarter of 2022, are expected to result in a debt reduction of $55.3 million.

In September 2022, the Company gave notice to exercise its purchase options on two MR product tankers (STI Brooklyn and STI Ville) and two LR2 product tankers (STI Rose and STI Rambla). These vessels are currently financed under the AVIC Lease Financing. The purchases, which are expected to occur in the fourth quarter of 2022, are expected to result in a debt reduction of $77.8 million.

In September 2022, the Company gave notice to exercise its purchase option on an LR2 product tanker (STI Sanctity). This vessel is currently financed under the Ocean Yield Lease Financing. The purchase, which is expected to occur in the first quarter of 2023, are expected to result in a debt reduction of $27.8 million.

In October 2022, the Company gave notice to exercise its purchase option on an LR2 product tanker (STI Alexis) and five MR product tankers (STI Duchessa, STI San Antonio, STI Mayfair, STI St. Charles, and STI Yorkville), which are currently financed under the $157.5 Million Lease Financing. The purchases, which are expected to occur in the fourth quarter of 2022, are expected to result in a debt reduction of $85.8 million.

In October 2022, the Company gave notice to exercise its purchase options on two LR2 product tankers (STI Steadfast and STI Supreme). These vessels are currently financed under the Ocean Yield Lease Financing. The purchases, which are expected to occur in the second and third quarters of 2023, are expected to result in a debt reduction of $55.6 million.

In October 2022, the Company repaid the outstanding debt on an LR2 product tanker (STI Madison), which was previously financed under the 2021 $21.0 Million Credit Facility. This transaction resulted in a debt reduction of $17.5 million.

Diluted Weighted Number of Shares

The computation of earnings or loss per share is determined by taking into consideration the potentially dilutive shares arising from (i) the Company’s equity incentive plan, and (ii) the Company’s Convertible Notes due 2025. These potentially dilutive shares are excluded from the computation of earnings or loss per share to the extent they are anti-dilutive.

The impact of the Convertible Notes Due 2025 on earnings or loss per share is computed using the if-converted method. Under this method, the Company first includes the potentially dilutive impact of restricted shares issued under the Company’s equity incentive plan, and then assumes that its Convertible Notes Due 2025, which were issued in March and June 2021 were converted into common shares at the beginning of each period. The impact of the Company’s Convertible Notes Due 2022, which were repaid in cash upon their maturity in May 2022, are included as part of the weighted average number of shares under the if-converted method for the portion of the period that they were outstanding. The if-converted method also assumes that the interest and non-cash amortization expense associated with these notes of $4.7 million and $16.8 million during the three and nine months ended September 30, 2022, respectively, were not incurred. Conversion is not assumed if the results of this calculation are anti-dilutive.

For the three and nine months ended September 30, 2022, the Company’s basic weighted average number of shares outstanding were 55,003,149 and 55,334,147, respectively. For the three and nine months ended September 30, 2022, there were 57,666,495 and 57,917,873 weighted average shares outstanding, respectively, including the potentially dilutive impact of restricted shares issued under the Company’s equity incentive plan.

For the three and nine months ended September 30, 2022, there were 62,820,207 and 64,172,301 weighted average shares outstanding, respectively, under the if-converted method.

Diluted earnings per share for both the three and nine months ended September 30, 2022 was calculated under the if-converted method.

Conference Call

The Company has scheduled a conference call on November 1, 2022 at 8:30 AM Eastern Daylight Time and 1:30 PM Central European Time. The dial-in information is as follows:

US Dial-In Number: 1 (833) 636-1321
International Dial-In Number: +1 (412) 902-4260
Conference ID: 10172092

Participants should dial into the call 10 minutes before the scheduled time. The information provided on the teleconference is only accurate at the time of the conference call, and the Company will take no responsibility for providing updated information.

There will also be a simultaneous live webcast over the internet, through the Scorpio Tankers Inc. website www.scorpiotankers.com. Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

Webcast URL: https://edge.media-server.com/mmc/p/84fjfw9f

Current Liquidity

As of October 28, 2022, the Company had $490.9 million in unrestricted cash and cash equivalents. Within the next two weeks, the Company is expected to receive approximately $105 million from the Scorpio pools with respect to the monthly cash distribution for October.

Drydock, Scrubber and Ballast Water Treatment Update

Set forth below is a table summarizing the drydock, scrubber, and ballast water treatment system activity that occurred during the third quarter of 2022 and the estimated expected payments to be made, and offhire days that are expected to be incurred, for the Company’s drydocks, ballast water treatment system installations, and scrubber installations through 2023: 

      Number of(3)
  Aggregate costs
in millions of
USD(1)
Aggregate
offhire days(2)
LR2s MRs Handymax
Q3 2022 – actual (a) 3.6 71 4
Q4 2022 – estimated (b) 12.5 139 5
Q1 2023 – estimated (c) 12.8 150 4
Q2 2023 – estimated (d) 9.3 190 5
Q3 2023 – estimated 3.2
Q4 2023 – estimated (e) 2.0 40 1

(1)   These costs include estimated cash payments for drydocks, ballast water treatment system installations and scrubber installations.  These amounts include installment payments that are due in advance of the scheduled service and may be scheduled to occur in quarters prior to the actual installation. In addition to these installment payments, these amounts also include estimates of the installation costs of such systems.  The timing of the payments set forth are estimates only and may vary as the timing of the related drydocks and installations finalize. 

(2)   Represents the total estimated off-hire days during the period, including vessels that commenced work in a previous period.

(3)   Represents the number of vessels scheduled to commence drydock, ballast water treatment system, and/or scrubber installations during the period. It does not include vessels that commenced work in prior periods but will be completed in the subsequent period. The number of vessels in these tables may reflect a certain amount of overlap where certain vessels are expected to be drydocked and have ballast water treatment systems and/or scrubbers installed simultaneously.  Additionally, the timing set forth in these tables may vary as drydock, ballast water treatment system installation and scrubber installation times are finalized.

(a)   Includes two BWTS installations

(b)   Includes three BWTS installations

(c)   Includes four scrubber installations

(d)   Includes five scrubber installations

(e)   Includes one scrubber installation

Debt

Set forth below is a summary of the principal balances of the Company’s outstanding indebtedness as of the dates presented.

  In thousands of U.S. Dollars Outstanding
Principal as of
June 30, 2022
Outstanding
Principal as of
September 30,
2022
Outstanding
Principal as of
October 28, 2022
1 Hamburg Commercial Credit Facility   35,378   34,555   34,555
2 Prudential Credit Facility   42,059   40,672   40,210
3 2019 DNB / GIEK Credit Facility   41,894   40,116   40,116
4 BNPP Sinosure Credit Facility   86,030   86,030   80,576
5 2020 $225 Million Credit Facility(1)   60,306   39,049   39,049
6 2021 $21.0 Million Credit Facility(2)   18,075   17,490  
7 Ocean Yield Lease Financing   121,604   118,687   117,689
8 BCFL Lease Financing (LR2s)   73,783   71,030   70,122
9 CSSC Lease Financing   128,562   124,920   123,706
10 BCFL Lease Financing (MRs)   61,183   57,195   55,888
11 2018 CMBFL Lease Financing   105,482   102,230   102,230
12 AVIC Lease Financing   83,467   80,618   80,618
13 China Huarong Lease Financing(3)   95,000    
14 $157.5 Million Lease Financing   88,822   85,772   85,772
15 COSCO Lease Financing   57,200   55,275   55,275
16 2020 CMBFL Lease Financing   39,711   38,900   38,900
17 2020 TSFL Lease Financing   42,267   41,437   41,437
18 2020 SPDBFL Lease Financing   86,758   85,135   85,135
19 2021 AVIC Lease Financing   88,260   86,448   86,448
20 2021 CMBFL Lease Financing   71,305   69,675   69,270
21 2021 TSFL Lease Financing   52,187   51,092   51,092
22 2021 CSSC Lease Financing   51,262   49,946   49,508
23 2021 $146.3 Million Lease Financing   140,288   136,994   133,699
24 2021 Ocean Yield Lease Financing   66,882   65,407   64,910
25 2022 AVIC Lease Financing   118,388   116,096   116,096
26 IFRS 16 – Leases – 3 MR   25,277   23,209   22,531
27 $670.0 Million Lease Financing   498,312   487,127   483,375
28 Unsecured Senior Notes Due 2025   70,571   70,571   70,571
29 Convertible Notes Due 2025(4)   202,111   203,209   204,057
  Gross debt outstanding   2,652,424   2,478,885   2,442,835
  Cash and cash equivalents   359,528   467,635   490,903
  Net debt $ 2,292,896 $ 2,011,250 $ 1,951,932

(1) In August 2022, the Company repaid $20.0 million on the 2020 $225.0 Million Credit Facility as a result of the sale of STI Nautilus.

(2) In October 2022, the Company prepaid $17.5 million on the 2021 $21.0 Million Credit Facility that was originally scheduled to mature in December 2022.

(3) In August 2022, the Company exercised the repurchase options on STI Opera, STI Virtus, STI Venere, STI Aqua, STI Dama and STI Regina on the China Huarong Lease Financing and repaid the aggregate outstanding lease obligation of $95.0 million as part of these transactions.

(4) The outstanding principal balance reflects the par value of the Convertible Notes Due 2025 of $187.7 million plus the accreted principal balance as of each date presented. The balances presented also reflect the May and July 2022 open market repurchases of $10.8 million and $1.5 million in aggregate principal amount, respectively. The Convertible Notes Due 2025 are scheduled to accrete at an annualized rate of approximately 5.52% per annum, with the total balance due at maturity equal to 125.3% of par. The Convertible Notes Due 2025 also bear interest at a cash coupon rate of 3.0% per annum, which is calculated based upon the par value of the instrument.

Set forth below are the estimated expected future principal repayments on the Company’s outstanding indebtedness as of September 30, 2022, which includes principal amounts due under the Company’s secured credit facilities, Convertible Notes Due 2025, lease financing arrangements, Senior Notes Due 2025, and lease liabilities under IFRS 16 (which also include actual scheduled payments made during the third quarter of 2022 through October 28, 2022):

    As of September 30, 2022(1)
In millions of U.S. dollars   Total Repayments/maturities
of unsecured
debt
Vessel financings –
2022 and 2023
maturities,
including
announced vessel
repurchases
Vessel financings –
scheduled
repayments, in
addition to
maturities in 2024
and thereafter
Q4 2022 – principal payments made through October 28, 2022(2)   $ 36.9 $ $ 17.5 $ 19.4
           
Q4 2022(3)     259.2     218.8   40.4
Q1 2023(3)     78.9     27.8   51.1
Q2 2023(3)     84.1     27.8   56.3
Q3 2023(3)     77.4     27.8   49.6
Q4 2023     54.8       54.8
2024 and thereafter     1,887.6   273.8     1,613.8
    $ 2,478.9 $ 273.8 $ 319.7 $ 1,885.4

(1)   Amounts represent the principal payments due on the Company’s outstanding indebtedness as of September 30, 2022.

(2)   Repayments include the prepayment of the outstanding debt related to one vessel under the 2021 $21.0 Million Credit Facility for $17.5 million that was originally scheduled to mature in December 2022.

(3)   Repayments include the Company’s exercise of its purchase options on two Handymax product tankers (STI Battersea and STI Wembley), nine MR product tankers (STI Ville, STI Texas City, STI Meraux, STI Brooklyn, STI San Antonio, STI St. Charles, STI Yorkville, STI Mayfair and STI Duchessa), and six LR2 product tankers (STI Rose, STI Rambla, STI Sanctity, STI Steadfast, STI Supreme and STI Alexis). These vessels are currently financed under the AVIC Lease Financing, the COSCO Lease Financing, the Ocean Yield Lease Financing and the $157.5 Million Lease Financing. The purchases are expected to occur in the fourth quarter of 2022 and the first, second and third quarters of 2023.

Explanation of Variances on the Third Quarter of 2022 Financial Results Compared to the Third Quarter of 2021

For the three months ended September 30, 2022, the Company recorded net income of $266.2 million compared to a net loss of $73.3 million for the three months ended September 30, 2021. The following were the significant changes between the two periods:

  • TCE revenue, a Non-IFRS measure, is vessel revenues less voyage expenses (including bunkers and port charges). TCE revenue is included herein because it is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company’s performance irrespective of changes in the mix of charter types (i.e., spot voyages, time charters, and pool charters), and it provides useful information to investors and management. The following table sets forth TCE revenue for the three months ended September 30, 2022 and 2021:
      For the three months ended September 30,
In thousands of U.S. dollars     2022       2021  
  Vessel revenue   $ 489,996     $ 119,271  
  Voyage expenses     (33,721 )     (661 )
  TCE revenue   $ 456,275     $ 118,610  
  • TCE revenue for the three months ended September 30, 2022 increased by $337.7 million to $456.3 million, from $118.6 million for the three months ended September 30, 2021. Overall average TCE revenue per day increased to $44,222 per day during the three months ended September 30, 2022, from $10,139 per day during the three months ended September 30, 2021. The average number of vessels was 113.5 during the three months ended September 30, 2022 as compared to 131.0 during the three months ended September 30, 2021. The decrease in the average number of vessels was due to the sales of vessels during 2022 as described above.
    • TCE revenue for the three months ended September 30, 2022 reflected the continued momentum in the product tanker market that began in the first quarter of 2022 and has continued through the date of this press release. Initially, the easing of COVID-19 restrictions around the globe resulted in increased personal mobility which served as a catalyst for underlying demand for refined petroleum products. This buoyant demand, combined with low global refined petroleum product inventories and strong refining margins, have incentivized refiners to increase and maintain high utilization levels thus driving substantial increases in refined petroleum product export volumes throughout the world. Lastly, the volatility brought on by the ongoing conflict in Ukraine has continued to disrupt supply chains for crude oil and refined petroleum products, changing volumes and trade routes, and thus increasing ton-mile demand for the seaborne transportation of refined petroleum products.
    • TCE revenue for the three months ended September 30, 2021 reflected the continued adverse market conditions brought on by the COVID-19 pandemic. While underlying demand for crude and refined petroleum products improved throughout 2021, it still remained below pre-pandemic levels thus keeping pressure on daily spot TCE rates. These conditions were exacerbated by longer than expected refinery maintenance along with drawdowns of existing inventories during the third quarter of 2021, which negatively affected the demand for the seaborne transportation of refined petroleum products.

The Company also had an increased number of vessels operating outside of the Scorpio pools during the three months ended September 30, 2022 which led to an increase in voyage revenue and voyage expenses for this period.

  • Vessel operating costs for the three months ended September 30, 2022 decreased by $10.1 million to $75.8 million, from $85.9 million for the three months ended September 30, 2021. Vessel operating costs per vessel per day increased to $7,256 for the three months ended September 30, 2022 from $7,126 for the three months ended September 30, 2021. Vessel operating costs per day increased across all vessel classes, driven by generalized inflationary pressures, with the largest increases affecting repairs and maintenance, and spares and stores expenses. The overall decrease relates to the sale of 18 vessels during 2022, which resulted in a decrease in the average number of vessels in the Company’s fleet to 113.5 during the three months ended September 30, 2022 from 131.0 during the three months ended September 30, 2021.
  • Depreciation expense – owned or sale leaseback vessels for the three months ended September 30, 2022 decreased by $8.3 million to $41.4 million, from $49.7 million for the three months ended September 30, 2021. This decrease was attributable to 18 of the Company’s owned or sale leaseback vessels being designated as held for sale or sold during the nine months ended September 30, 2022. These vessels were written down to their net realizable value upon being designated as held for sale, and depreciation expense ceased being recorded upon that designation.
  • Depreciation expense – right of use assets for the three months ended September 30, 2022 decreased by $0.8 million to $9.6 million from $10.4 million for the three months ended September 30, 2021. Depreciation expense – right of use assets reflects the straight-line depreciation expense recorded under IFRS 16Leases. This decrease is attributable to the sale of one of the Company’s right of use asset vessels. This vessel was written down to its net realizable value upon being designated as held for sale during the first quarter of 2022, and depreciation expense ceased being recorded upon that designation. The Company had four LR2s and 17 MRs that were accounted for under IFRS 16 – Leases during the three months ended September 30, 2022.
  • General and administrative expenses for the three months ended September 30, 2022, increased by $13.4 million to $26.5 million, from $13.1 million for the three months ended September 30, 2021. This increase was primarily due to an increase in compensation related costs.
  • Financial expenses for the three months ended September 30, 2022 increased by $6.5 million to $42.3 million, from $35.8 million for the three months ended September 30, 2021. This increase was primarily attributable to significant increases in LIBOR rates during the three months ended September 30, 2022 as compared to the three months ended September 30, 2021. The increases attributable to the increases in LIBOR rates were partially offset by the overall reductions in the Company’s indebtedness arising from the aforementioned sales of 18 vessels (and repayments of the related debt or lease financing obligations) along with the exercise of purchase options on six 2014 built MR product tankers in August 2022 and the maturity of the Convertible Notes Due 2022 in May 2022.

Scorpio Tankers Inc. and Subsidiaries
Condensed Consolidated Statements of Income or Loss
(unaudited)

    For the three months
ended September 30,
  For the nine months
ended September 30,
In thousands of U.S. dollars except per share and share data   2022       2021       2022       2021  
Revenue              
  Vessel revenue $ 489,996     $ 119,271     $ 1,069,116     $ 392,878  
                 
Operating expenses              
  Vessel operating costs   (75,801 )     (85,881 )     (237,556 )     (249,781 )
  Voyage expenses   (33,721 )     (661 )     (59,229 )     (3,442 )
  Depreciation – owned or sale leaseback vessels   (41,422 )     (49,707 )     (126,581 )     (147,713 )
  Depreciation – right of use assets   (9,567 )     (10,408 )     (29,055 )     (32,449 )
  General and administrative expenses   (26,490 )     (13,054 )     (61,747 )     (39,938 )
  Net gain / (loss) on sale of vessel sales   2,732             (66,486 )      
  Total operating expenses   (184,269 )     (159,711 )     (580,654 )     (473,323 )
Operating income / (loss)   305,727       (40,440 )     488,462       (80,445 )
Other (expense) and income, net              
  Financial expenses   (42,302 )     (35,810 )     (121,012 )     (105,783 )
  Loss on Convertible Notes exchange                     (5,504 )
  Financial income   2,183       3,041       3,207       3,453  
  Other income and (expense), net   557       (58 )     2,191       (164 )
  Total other expense, net   (39,562 )     (32,827 )     (115,614 )     (107,998 )
Net income / (loss) $ 266,165     $ (73,267 )   $ 372,848     $ (188,443 )
                 
Earnings / (Loss) per share              
                 
  Basic $ 4.84     $ (1.34 )   $ 6.74     $ (3.46 )
  Diluted $ 4.31     $ (1.34 )   $ 6.07     $ (3.46 )
  Basic weighted average shares outstanding   55,003,149       54,757,241       55,334,147       54,512,767  
  Diluted weighted average shares outstanding(1)   62,820,207       54,757,241       64,172,301       54,512,767  

(1) The computation of diluted earnings per share for the three and nine months ended September 30, 2022 includes the effect of potentially dilutive unvested shares of restricted stock and the effect of the Convertible Notes Due 2022 and Convertible Notes Due 2025 under the if-converted method. The computation of diluted loss per share for the three and nine months ended September 30, 2021 excludes the effect of potentially dilutive unvested shares of restricted stock and the Convertible Notes Due 2022 and Convertible Notes Due 2025 because their effect would have been anti-dilutive.

Scorpio Tankers Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(unaudited)

  As of
In thousands of U.S. dollars September 30, 2022   December 31, 2021
Assets      
Current assets      
Cash and cash equivalents $ 467,635     $ 230,415  
Accounts receivable   247,010       38,069  
Prepaid expenses and other current assets   21,187       7,954  
Inventories   15,280       8,781  
Restricted cash         4,008  
Total current assets   751,112       289,227  
Non-current assets      
Vessels and drydock   3,107,291       3,842,071  
Right of use assets for vessels   699,598       764,025  
Other assets   84,808       108,963  
Goodwill   8,197       8,900  
Restricted cash   783       783  
Total non-current assets   3,900,677       4,724,742  
Total assets $ 4,651,789     $ 5,013,969  
Current liabilities      
Current portion of long-term debt $ 48,935     $ 235,278  
Lease liability – sale and leaseback vessels   297,998       178,062  
Lease liability – IFRS 16   52,429       54,515  
Accounts payable   18,813       35,080  
Accrued expenses   70,408       24,906  
Total current liabilities   488,583       527,841  
Non-current liabilities      
Long-term debt   471,063       666,409  
Lease liability – sale and leaseback vessels   1,113,844       1,461,929  
Lease liability – IFRS 16   456,918       520,862  
Total non-current liabilities   2,041,825       2,649,200  
Total liabilities   2,530,408       3,177,041  
Shareholders’ equity      
Issued, authorized and fully paid-in share capital:      
Share capital   669       659  
Additional paid-in capital   2,852,286       2,855,798  
Treasury shares   (565,065 )     (480,172 )
Accumulated deficit   (166,509 )     (539,357 )
Total shareholders’ equity   2,121,381       1,836,928  
Total liabilities and shareholders’ equity $ 4,651,789     $ 5,013,969  

Scorpio Tankers Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(unaudited)

  For the nine months ended September 30,
In thousands of U.S. dollars   2022       2021  
Operating activities      
Net income / (loss) $ 372,848     $ (188,443 )
Depreciation – owned or sale leaseback vessels   126,581       147,713  
Depreciation – right of use assets   29,055       32,449  
Amortization of restricted stock   16,148       18,231  
Amortization of deferred financing fees   5,039       5,663  
Write-off of deferred financing fees and unamortized discounts on debt   5,506       1,326  
Gain on sale and leaseback amendment         (2,851 )
Accretion of convertible notes   10,858       9,179  
Net loss on sales of vessels   66,486        
Accretion of fair value measurement on debt assumed in business combinations   1,756       2,582  
(Gain) / loss on Convertible Notes transactions   (481 )     5,504  
Share of income from dual fuel tanker joint venture   (695 )      
    633,101       31,353  
Changes in assets and liabilities:      
(Increase) / decrease in inventories   (7,183     723  
Increase in accounts receivable   (208,941 )     (7,736 )
(Increase) / decrease in prepaid expenses and other current assets   (13,232 )     2,528  
Decrease / (increase) in other assets   16,705       (448 )
(Decrease) / increase in accounts payable   (12,975 )     2,697  
Increase / (decrease) in accrued expenses   45,513       (6,037 )
    (180,113 )     (8,273 )
Net cash inflow from operating activities   452,988       23,080  
Investing activities      
Net proceeds from sales of vessels   607,894        
Distributions from dual fuel tanker joint venture   493        
Investment in dual fuel tanker joint venture         (6,701 )
Drydock, scrubber, ballast water treatment system and other vessel related payments (owned, leased financed and bareboat-in vessels)   (26,418 )     (41,008 )
Net cash inflow / (outflow) from investing activities   581,969       (47,709 )
Financing activities      
Debt repayments   (670,108 )     (404,123 )
Issuance of debt   122,638       388,885  
Debt issuance costs   (1,701 )     (14,080 )
Principal repayments on lease liability – IFRS 16   (66,030 )     (43,080 )
Repurchase / repayment of convertible notes   (83,968 )      
Issuance of convertible notes         119,419  
Decrease in restricted cash   4,008        
Dividends paid   (17,683 )     (17,483 )
Repurchase of common stock   (84,893 )      
Net cash (outflow) / inflow from financing activities   (797,737 )     29,538  
Increase in cash and cash equivalents   237,220       4,909  
Cash and cash equivalents at January 1,   230,415       187,511  
Cash and cash equivalents at September 30, $ 467,635     $ 192,420  

Scorpio Tankers Inc. and Subsidiaries
Other operating data for the three and nine months ended September 30, 2022 and 2021
(unaudited)

    For the three months ended September 30,   For the nine months ended September 30,  
      2022     2021     2022     2021  
Adjusted EBITDA(1)(in thousands of U.S. dollars except Fleet Data)   $ 360,013   $ 25,365   $ 728,923   $ 117,784  
                   
Average Daily Results                  
Fleet                  
TCE per revenue day(2)   $ 44,222   $ 10,139   $ 31,485   $ 11,083  
Vessel operating costs per day(3)   $ 7,256   $ 7,126   $ 7,199   $ 6,926  
Average number of vessels     113.5     131.0     120.9     132.1  
                   
LR2                  
TCE per revenue day(2)   $ 48,152   $ 10,871   $ 32,812   $ 11,586  
Vessel operating costs per day(3)   $ 7,349   $ 7,168   $ 7,288     6,849  
Average number of vessels     39.4     42.0     41.1     42.0  
                   
LR1                  
TCE per revenue day(2)   N/A   $ 10,015   $ 13,724   $ 10,953  
Vessel operating costs per day(3)   N/A   $ 7,322   $ 7,429   $ 6,761  
Average number of vessels   N/A     12.0     4.4     12.0  
                   
MR                  
TCE per revenue day(2)   $ 41,143   $ 10,262   $ 30,694   $ 11,330  
Vessel operating costs per day(3)   $ 7,258   $ 7,150   $ 7,197   $ 7,013  
Average number of vessels     60.1     63.0     61.3     63.0  
                   
Handymax                  
TCE per revenue day(2)   $ 46,231   $ 7,458   $ 34,934   $ 8,716  
Vessel operating costs per day(3)   $ 6,835   $ 6,726   $ 6,873   $ 6,912  
Average number of vessels     14.0     14.0     14.0     15.1  
                   
Capital Expenditures                  
Drydock, scrubber, ballast water treatment system and other vessel related payments (in thousands of U.S. dollars)   $ 3,639   $ 13,700   $ 26,418   $ 41,008  

(1) See Non-IFRS Measures section below.
(2) Freight rates are commonly measured in the shipping industry in terms of time charter equivalent per day (or TCE per day), which is calculated by subtracting voyage expenses, including bunkers and port charges, from vessel revenue and dividing the net amount (time charter equivalent revenues) by the number of revenue days in the period. Revenue days are the number of days the vessel is owned, sale leasebacked, or chartered-in less the number of days the vessel is off-hire for drydock and repairs.
(3) Vessel operating costs per day represent vessel operating costs divided by the number of operating days during the period. Operating days are the total number of available days in a period with respect to the owned, sale leasebacked or bareboat chartered-in vessels, before deducting available days due to off-hire days and days in drydock. Operating days is a measurement that is only applicable to owned, sale leasebacked, or bareboat chartered-in vessels, not time chartered-in vessels.

Fleet list as of October 31, 2022

  Vessel Name   Year Built   DWT   Ice class   Employment   Vessel type   Scrubber  
                     
  Owned, sale leaseback and bareboat chartered-in vessels                  
1 STI Brixton   2014   38,734   1A   SHTP (1)   Handymax   N/A  
2 STI Comandante   2014   38,734   1A   SHTP (1)   Handymax   N/A  
3 STI Pimlico   2014   38,734   1A   SHTP (1)   Handymax   N/A  
4 STI Hackney   2014   38,734   1A   SHTP (1)   Handymax   N/A  
5 STI Acton   2014   38,734   1A   SHTP (1)   Handymax   N/A  
6 STI Fulham   2014   38,734   1A   SHTP (1)   Handymax   N/A  
7 STI Camden   2014   38,734   1A   SHTP (1)   Handymax   N/A  
8 STI Battersea   2014   38,734   1A   SHTP (1)   Handymax   N/A  
9 STI Wembley   2014   38,734   1A   SHTP (1)   Handymax   N/A  
10 STI Finchley   2014   38,734   1A   SHTP (1)   Handymax   N/A  
11 STI Clapham   2014   38,734   1A   SHTP (1)   Handymax   N/A  
12 STI Poplar   2014   38,734   1A   SHTP (1)   Handymax   N/A  
13 STI Hammersmith   2015   38,734   1A   SHTP (1)   Handymax   N/A  
14 STI Rotherhithe   2015   38,734   1A   SHTP (1)   Handymax   N/A  
15 STI Amber   2012   49,990     SMRP (2)   MR   Yes  
16 STI Topaz   2012   49,990     SMRP (2)   MR   Yes  
17 STI Ruby   2012   49,990     SMRP (2)   MR   Not Yet Installed  
18 STI Garnet   2012   49,990     SMRP (2)   MR   Yes  
19 STI Onyx   2012   49,990     SMRP (2)   MR   Yes  
20 STI Ville   2013   49,990     SMRP (2)   MR   Not Yet Installed  
21 STI Duchessa   2014   49,990     Time Charter (4)   MR   Not Yet Installed  
22 STI Opera   2014   49,990     SMRP (2)   MR   Not Yet Installed  
23 STI Texas City   2014   49,990     SMRP (2)   MR   Yes  
24 STI Meraux   2014   49,990     SMRP (2)   MR   Yes  
25 STI San Antonio   2014   49,990     SMRP (2)   MR   Yes  
26 STI Venere   2014   49,990     SMRP (2)   MR   Yes  
27 STI Virtus   2014   49,990     SMRP (2)   MR   Yes  
28 STI Aqua   2014   49,990     SMRP (2)   MR   Yes  
29 STI Dama   2014   49,990     SMRP (2)   MR   Yes  
30 STI Regina   2014   49,990     SMRP (2)   MR   Yes  
31 STI St. Charles   2014   49,990     SMRP (2)   MR   Yes  
32 STI Mayfair   2014   49,990     SMRP (2)   MR   Yes  
33 STI Yorkville   2014   49,990     SMRP (2)   MR   Yes  
34 STI Milwaukee   2014   49,990     SMRP (2)   MR   Yes  
35 STI Battery   2014   49,990     SMRP (2)   MR   Yes  
36 STI Soho   2014   49,990     SMRP (2)   MR   Yes  
37 STI Memphis   2014   49,990     Time Charter (5)   MR   Yes  
38 STI Tribeca   2015   49,990     SMRP (2)   MR   Yes  
39 STI Gramercy   2015   49,990     SMRP (2)   MR   Yes  
40 STI Bronx   2015   49,990     SMRP (2)   MR   Yes  
41 STI Pontiac   2015   49,990     SMRP (2)   MR   Yes  
42 STI Manhattan   2015   49,990     SMRP (2)   MR   Yes  
43 STI Queens   2015   49,990     SMRP (2)   MR   Yes  
44 STI Osceola   2015   49,990     SMRP (2)   MR   Yes  
45 STI Notting Hill   2015   49,687   1B   SMRP (2)   MR   Yes  
46 STI Seneca   2015   49,990     SMRP (2)   MR   Yes  
47 STI Westminster   2015   49,687   1B   SMRP (2)   MR   Yes  
48 STI Brooklyn   2015   49,990     SMRP (2)   MR   Yes  
49 STI Black Hawk   2015   49,990     SMRP (2)   MR   Yes  
50 STI Galata   2017   49,990     SMRP (2)   MR   Yes  
51 STI Bosphorus   2017   49,990     SMRP (2)   MR   Not Yet Installed  
52 STI Leblon   2017   49,990     SMRP (2)   MR   Yes  
53 STI La Boca   2017   49,990     SMRP (2)   MR   Yes  
54 STI San Telmo   2017   49,990   1B   SMRP (2)   MR   Not Yet Installed  
55 STI Donald C Trauscht   2017   49,990   1B   SMRP (2)   MR   Not Yet Installed  
56 STI Esles II   2018   49,990   1B   SMRP (2)   MR   Not Yet Installed  
57 STI Jardins   2018   49,990   1B   SMRP (2)   MR   Not Yet Installed  
58 STI Magic   2019   50,000     SMRP (2)   MR   Yes  
59 STI Mystery   2019   50,000     SMRP (2)   MR   Yes  
60 STI Marvel   2019   50,000     SMRP (2)   MR   Yes  
61 STI Magnetic   2019   50,000     Time Charter (6)   MR   Yes  
62 STI Millennia   2019   50,000     SMRP (2)   MR   Yes  
63 STI Magister   2019   50,000     SMRP (2)   MR   Yes  
64 STI Mythic   2019   50,000     SMRP (2)   MR   Yes  
65 STI Marshall   2019   50,000     Time Charter (7)   MR   Yes  
66 STI Modest   2019   50,000     SMRP (2)   MR   Yes  
67 STI Maverick   2019   50,000     SMRP (2)   MR   Yes  
68 STI Miracle   2020   50,000     Time Charter (8)   MR   Yes  
69 STI Maestro   2020   50,000     SMRP (2)   MR   Yes  
70 STI Mighty   2020   50,000     SMRP (2)   MR   Yes  
71 STI Maximus   2020   50,000     SMRP (2)   MR   Yes  
72 STI Elysees   2014   109,999     SLR2P (3)   LR2   Yes  
73 STI Madison   2014   109,999     SLR2P (3)   LR2   Yes  
74 STI Park   2014   109,999     SLR2P (3)   LR2   Yes  
75 STI Orchard   2014   109,999     SLR2P (3)   LR2   Yes  
76 STI Sloane   2014   109,999     SLR2P (3)   LR2   Yes  
77 STI Broadway   2014   109,999     SLR2P (3)   LR2   Yes  
78 STI Condotti   2014   109,999     SLR2P (3)   LR2   Yes  
79 STI Rose   2015   109,999     SLR2P (3)   LR2   Yes  
80 STI Veneto   2015   109,999     SLR2P (3)   LR2   Yes  
81 STI Alexis   2015   109,999     SLR2P (3)   LR2   Yes  
82 STI Winnie   2015   109,999     SLR2P (3)   LR2   Yes  
83 STI Oxford   2015   109,999     SLR2P (3)   LR2   Yes  
84 STI Lauren   2015   109,999     SLR2P (3)   LR2   Yes  
85 STI Connaught   2015   109,999     SLR2P (3)   LR2   Yes  
86 STI Spiga   2015   109,999     SLR2P (3)   LR2   Yes  
87 STI Kingsway   2015   109,999     SLR2P (3)   LR2   Yes  
88 STI Solidarity   2015   109,999     SLR2P (3)   LR2   Yes  
89 STI Lombard   2015   109,999     Time Charter (9)   LR2   Yes  
90 STI Grace   2016   109,999     SLR2P (3)   LR2   Yes  
91 STI Jermyn   2016   109,999     SLR2P (3)   LR2   Yes  
92 STI Sanctity   2016   109,999     SLR2P (3)   LR2   Yes  
93 STI Solace   2016   109,999     SLR2P (3)   LR2   Yes  
94 STI Stability   2016   109,999     SLR2P (3)   LR2   Yes  
95 STI Steadfast   2016   109,999     SLR2P (3)   LR2   Yes  
96 STI Supreme   2016   109,999     SLR2P (3)   LR2   Yes  
97 STI Symphony   2016   109,999     SLR2P (3)   LR2   Yes  
98 STI Gallantry   2016   113,000     SLR2P (3)   LR2   Yes  
99 STI Goal   2016   113,000     Time Charter (10)   LR2   Yes  
100 STI Guard   2016   113,000     Time Charter (11)   LR2   Yes  
101 STI Guide   2016   113,000     Time Charter (12)   LR2   Yes  
102 STI Selatar   2017   109,999     SLR2P (3)   LR2   Yes  
103 STI Rambla   2017   109,999     SLR2P (3)   LR2   Yes  
104 STI Gauntlet   2017   113,000     Time Charter (13)   LR2   Yes  
105 STI Gladiator   2017   113,000     Time Charter (12)   LR2   Yes  
106 STI Gratitude   2017   113,000     Time Charter (14)   LR2   Yes  
107 STI Lobelia   2019   110,000     SLR2P (3)   LR2   Yes  
108 STI Lotus   2019   110,000     SLR2P (3)   LR2   Yes  
109 STI Lily   2019   110,000     SLR2P (3)   LR2   Yes  
110 STI Lavender   2019   110,000     Time Charter (15)   LR2   Yes  
111 STI Beryl   2013   49,990     SMRP (2)   MR   Not Yet Installed  
112 STI Le Rocher   2013   49,990     SMRP (2)   MR   Not Yet Installed  
113 STI Larvotto   2013   49,990     SMRP (2)   MR   Not Yet Installed  
                             
  Total Fleet DWT       7,852,182                  
                             

(1)   This vessel operates in, or is expected to operate in, the Scorpio Handymax Tanker Pool, or SHTP. SHTP is a Scorpio Pool and is operated by Scorpio Commercial Management S.A.M. (SCM). SHTP and SCM are related parties to the Company.
(2)   This vessel operates in, or is expected to operate in, the Scorpio MR Pool, or SMRP. SMRP is a Scorpio Pool and is operated by SCM. SMRP and SCM are related parties to the Company.
(3)   This vessel operates in, or is expected to operate in, the Scorpio LR2 Pool, or SLR2P. SLR2P is a Scorpio Pool and is operated by SCM. SLR2P and SCM are related parties to the Company.
(4)   This vessel commenced a time charter in October 2022 for three years at an average rate of $25,000 per day.
(5)   This vessel commenced a time charter in June 2022 for three years at an average rate of $21,000 per day. The daily rate is the average rate over the three year period, which is payable during the first six months at $30,000 per day, the next 6 months are payable at $20,000 per day, and years two and three are payable at $19,000 per day. The charterers have the option to extend the term of this agreement for an additional year at $22,500 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $24,000 per day.
(6)   This vessel commenced a time charter in July 2022 for three years at an average rate of $23,000 per day. The daily rate is the average rate over the three year period, which is payable in years one, two, and three at $30,000 per day, $20,000 per day, and $19,000 per day, respectively. The charterers have the option to extend the term of this agreement for an additional year at $24,500 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $26,000 per day.
(7)   This vessel commenced a time charter in July 2022 for three years at a rate of $23,000 per day. The charterers have the option to extend the term of this agreement for an additional year at $24,000 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $25,000 per day. If this second option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $26,000 per day.
(8)   This vessel commenced a time charter in August 2022 for three years at a rate of $21,000 per day. The daily rate is the average rate over the three year period, which is payable during the first six months at $30,000 per day, the next 6 months are payable at $20,000 per day, and years two and three are payable at $19,000 per day. The charterers have the option to extend the term of this agreement for an additional year at $22,500 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $24,000 per day.
(9)   This vessel commenced a time charter in September 2022 for three years at an average rate of $32,750 per day. The charterer has the option to extend the term of this agreement for an additional year at $34,750 per day. If this option is declared, the charterer has the option to further extend the term of this agreement for an additional year at $36,750 per day.
(10)   This vessel commenced a time charter in August 2022 for three years at a rate of $30,000 per day. The charterers have the option to extend the term of this agreement for an additional year at $32,000 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $34,000 per day.
(11)   This vessel commenced a time charter in July 2022 for five years at a rate of $28,000 per day. The charterers have the option to convert the term of this agreement to three years at $30,000 per day, which must be declared within 30 months after the delivery date.
(12)   This vessel commenced a time charter in July 2022 for three years at an average rate of $28,000 per day. The charterers have the option to extend the term of this agreement for an additional year at $31,000 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $33,000 per day.
(13)   This vessel is expected to commence a time charter in the fourth quarter 2022 for three years at an average rate of $32,750 per day.
(14)   This vessel commenced a time charter in May 2022 for three years at an average rate of $28,000 per day. The charterers have the option to extend the term of this agreement for an additional year at $31,000 per day. If this option is declared, the charterers have the option to further extend the term of this agreement for an additional year at $33,000 per day.
(15)   This vessel is expected to commence a time charter in the fourth quarter 2022 for three years at an average rate of $35,000 per day.

Dividend Policy

The declaration and payment of dividends is subject at all times to the discretion of the Company’s Board of Directors. The timing and the amount of dividends, if any, depends on the Company’s earnings, financial condition, cash requirements and availability, fleet renewal and expansion, restrictions in loan agreements, the provisions of Marshall Islands law affecting the payment of dividends and other factors.

The Company’s dividends paid during 2021 and 2022 were as follows:

Date paid Dividends per common
share
March 2021 $0.10
June 2021 $0.10
September 2021 $0.10
December 2021 $0.10
March 2022 $0.10
June 2022 $0.10
September 2022 $0.10

On October 31, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.10 per common share, payable on or about December 15, 2022 to all shareholders of record as of November 17, 2022 (the record date). As of November 1, 2022, there were 56,294,672 common shares of the Company outstanding.

COVID-19

Since the beginning of calendar year 2020, the outbreak of the COVID-19 virus has resulted in a significant reduction in global economic activity and extreme volatility in the global financial markets, the effects of which continued throughout 2021. The easing of restrictive measures that were put in place to combat the spread of the virus, and the successful roll-out of vaccines has served as a catalyst for an economic recovery in many countries throughout the world, which has, in part, led to a vastly improved financial performance during the second quarter of 2022. Nevertheless, the Company expects that the COVID-19 virus will continue to cause volatility in the commodities markets in the future. In particular, the spread of more contagious and vaccine resistant variants, along with the continued implementation of restrictive measures by governments in certain parts of the world, have hampered a full re-opening of the global economy. The scale and duration of these circumstances is unknowable but could have a material impact on the Company’s earnings, cash flow and financial condition. An estimate of the impact on the Company’s results of operations, financial condition, and future performance cannot be made at this time.

Conflict in Ukraine

The ongoing military conflict in Ukraine has had a significant direct and indirect impact on the trade of refined petroleum products. This conflict has resulted in the United States, United Kingdom, and the European Union, among other countries, implementing sanctions and executive orders against citizens, entities, and activities connected to Russia. Some of these sanctions and executive orders target the Russian oil sector, including a prohibition on the import of oil from Russia to the United States or the United Kingdom, and the European Union’s recent ban on Russian crude oil and petroleum products which took effect, or are scheduled to take effect in December 2022 and February 2023, respectively. The Company cannot foresee what other sanctions or executive orders may arise that affect the trade of petroleum products. Furthermore, the conflict and ensuing international response has disrupted the supply of Russian oil to the global market, and as a result, the price of oil and petroleum products has experienced significant volatility. The Company cannot predict what effect the higher price of oil and petroleum products will have on demand, and it is possible that the current conflict in Ukraine could adversely affect the Company’s financial condition, results of operations, and future performance.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.8 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Non-IFRS Measures

Reconciliation of IFRS Financial Information to Non-IFRS Financial Information

This press release describes time charter equivalent revenue, or TCE revenue, adjusted net income or loss, and adjusted EBITDA, which are not measures prepared in accordance with IFRS (“Non-IFRS” measures). The Non-IFRS measures are presented in this press release as we believe that they provide investors and other users of our financial statements, such as our lenders, with a means of evaluating and understanding how the Company’s management evaluates the Company’s operating performance. These Non-IFRS measures should not be considered in isolation from, as substitutes for, or superior to financial measures prepared in accordance with IFRS.

The Company believes that the presentation of TCE revenue, adjusted net income or loss with adjusted earnings or loss per share, basic and diluted, and adjusted EBITDA are useful to investors or other users of our financial statements, such as our lenders, because they facilitate the comparability and the evaluation of companies in the Company’s industry. In addition, the Company believes that TCE revenue, adjusted net income or loss with adjusted earnings or loss per share, basic and diluted, and adjusted EBITDA are useful in evaluating its operating performance compared to that of other companies in the Company’s industry. The Company’s definitions of TCE revenue, adjusted net income or loss with adjusted earnings or loss per share, basic and diluted, and adjusted EBITDA may not be the same as reported by other companies in the shipping industry or other industries.

TCE revenue, on a historical basis, is reconciled above in the section entitled “Explanation of Variances on the Third Quarter of 2022 Financial Results Compared to the Third Quarter of 2021”. The Company has not provided a reconciliation of forward-looking TCE revenue because the most directly comparable IFRS measure on a forward-looking basis is not available to the Company without unreasonable effort.

Reconciliation of Net Income / (Loss) to Adjusted Net Income / (Loss)

      For the three months ended September 30, 2022  
          Per share   Per share  
In thousands of U.S. dollars except per share data   Amount   basic   diluted  
  Net income   $ 266,165     $ 4.84     $ 4.31    
  Adjustments:              
  Net gain on sales of vessels     (2,732 )     (0.05 )     (0.04 )  
  Write-offs of deferred financing fees and debt extinguishment costs     1,443       0.03       0.02    
  Gain on repurchase of Convertible Notes     (69 )   $     $    
  Adjusted net income   $ 264,807     $ 4.81     $ 4.29    

      For the three months ended September 30, 2021  
          Per share   Per share  
In thousands of U.S. dollars except per share data   Amount   basic   diluted  
  Net loss   $ (73,267 )   $ (1.34 )   $ (1.34 )  
  Adjustment:              
  Gain on sale and leaseback amendment     (2,851 )   $ (0.05 )   $ (0.05 )  
  Adjusted net loss   $ (76,118 )   $ (1.39 )   $ (1.39 )  

      For the nine months ended September 30, 2022  
          Per share   Per share  
In thousands of U.S. dollars except per share data   Amount   basic   diluted  
  Net income   $ 372,848     $ 6.74     $ 6.07    
  Adjustments:              
  Net loss on sales of vessels     66,486       1.20       1.04    
  Write-offs of deferred financing fees and debt extinguishment costs     7,144       0.13       0.11    
  Gain on repurchase of Convertible Notes     (481 )     (0.01 )     (0.01 )  
  Adjusted net income   $ 445,997     $ 8.06     $ 7.21    

      For the nine months ended September 30, 2021  
          Per share   Per share  
In thousands of U.S. dollars except per share data   Amount   basic   diluted  
  Net loss   $ (188,443 )   $ (3.46 )   $ (3.46 )  
  Adjustments:              
  Loss on Convertible Notes exchange     5,504       0.10       0.10    
  Write-offs of deferred financing fees     1,326       0.02       0.02    
  Gain on sale and leaseback amendment     (2,851 )     (0.05 )     (0.05 )  
  Adjusted net loss   $ (184,464 )   $ (3.38 ) (1 ) $ (3.38 ) (1 )

(1) Summation difference due to rounding.

Reconciliation of Net Income / (Loss) to Adjusted EBITDA

      For the three months ended September 30,   For the nine months ended September 30,
In thousands of U.S. dollars     2022       2021       2022       2021  
 Net Income / (Loss)   $ 266,165     $ (73,267 )   $ 372,848     $ (188,443 )
  Financial expenses     42,302       35,810       121,012       105,783  
  Financial income     (2,183 )     (3,041 )     (3,207 )     (3,453 )
  Depreciation – owned or lease financed vessels     41,422       49,707       126,581       147,713  
  Depreciation – right of use assets     9,567       10,408       29,055       32,449  
  Amortization of restricted stock     5,472       5,748       16,148       18,231  
  Loss on Convertible Notes exchange                       5,504  
  Net (gain) / loss on sales of vessels     (2,732 )           66,486        
 Adjusted EBITDA   $ 360,013     $ 25,365     $ 728,923     $ 117,784  

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.

In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the impact of the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com 

Scorpio Tankers Inc. Announces the Exercise of Purchase Options on Eight Ships and Repayment of a Credit Facility

Oct 20, 2022

MONACO, Oct. 20, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced today that it has exercised the purchase options on eight ships and the repayment of a credit facility.

The Exercise of Purchase Options on Eight Ships

The Company has given notice to exercise its purchase options on one LR2 product tanker (STI Alexis) and five MR product tankers (STI Duchessa, STI San Antonio, STI Mayfair, STI St. Charles, and STI Yorkville).  These vessels were sold and leased back by the Company in the fourth quarter of 2018.  The leases bear interest at LIBOR plus a margin of 3.00% per annum.  The purchases, which are expected to occur in the fourth quarter of 2022, are expected to result in a debt reduction of $85.8 million for the Company. 

In addition, the Company has given notice to exercise its purchase options on two LR2 product tankers (STI Steadfast and STI Supreme).  These vessels were acquired as part of the acquisition of Navig8 Product Tankers Inc. in 2017. The leases bear interest at LIBOR plus a margin of 5.40% per annum. The purchases, which are expected to occur in 2023, are expected to result in a debt reduction of $55.6 million for the Company.

Repayment of a Credit Facility

The Company has given notice to repay a bilateral credit facility, which finances one LR2 product tanker (STI Madison) and has $17.5 million of outstanding debt.  This credit facility is expected to be repaid in full within October 2022.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, finance leases or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.8 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, the length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
(212) 542-1616

Scorpio Tankers Inc. to Announce Third Quarter 2022 Results and Have a Conference Call on November 1, 2022

Oct 13, 2022

MONACO, Oct. 13, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced today that on Tuesday, November 1, 2022, the Company plans to issue its third quarter 2022 earnings press release in the morning (Eastern Daylight Time) and host a conference call at 8:30 AM Eastern Daylight Time and 1:30 PM Central European Time.

Conference Call Details

Date: Tuesday November 1, 2022
Time: 8:30 AM Eastern Daylight Time and 1:30 PM Central European Time

The conference call will be available over the internet, through the Scorpio Tankers Inc. website www.scorpiotankers.com and the webcast link: https://edge.media-server.com/mmc/p/84fjfw9f

Participants for the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

The conference will also be available telephonically:
US/CANADA Dial-In Number: 1 (833) 636-1321
International Dial-In Number: +1 (412) 902-4260
Conference Code: 10172092
Participants should dial into the call 10 minutes before the scheduled time.

The information provided on the teleconference is only accurate at the time of the conference call, and the Company will take no responsibility for providing updated information.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, finance leases or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.7 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, the length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
(212) 542-1616

Scorpio Tankers Announces Repurchases of Its Common Shares

Oct 11, 2022

MONACO, Oct. 11, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced today that it has purchased its common shares in the open market.

Purchase of Common Shares

Today, the Company purchased 49,615 of its common shares in the open market at an average price of $39.82 per share as part of the Company’s securities repurchase program.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.7 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, the length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com

Scorpio Tankers Announces Repurchases of Its Common Shares

Oct 6, 2022

MONACO, Oct. 06, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced today that it has purchased its common shares in the open market.

Purchase of Common Shares

Over the last few days, the Company purchased 379,845 of its common shares in the open market at an average price of $39.77 per share as part of the Company’s securities repurchase program.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.7 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, the length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com

Scorpio Tankers Announces Three New Time Charter-Out Agreements

Oct 6, 2022

MONACO, Oct. 06, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced today that it has entered into three new time charter-out agreements.

Summary of New Time Charters

      Total Date    
    Daily Fixed terms Estimated  
Type Term TC Rate Revenue agreed Start Charterer
LR2 – with Scrubber Three Years $32,750 $35.9 Million Sep-22 Nov-22 Oil Major
LR2 – with Scrubber Three Years $35,000 $38.3 Million Oct-22 Dec-22 Major Refiner
MR – non scrubber Three Years $25,000 $27.4 Million Oct-22 Nov-22 Major Refiner
             
      $101.6 Million      
             

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.7 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, the length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com

Scorpio Tankers Announces Repurchases of Its Common Shares

Sep 30, 2022

MONACO, Sept. 30, 2022 (GLOBE NEWSWIRE) — Scorpio Tankers Inc. (NYSE:STNG) (“Scorpio Tankers,” or the “Company”) announced today that it has purchased its common shares in the open market.

Purchase of Common Shares

Today, the Company purchased 224,000 of its common shares in the open market at an average price of $42.24 per share as part of the Company’s securities repurchase program.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a provider of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, lease finances or bareboat charters-in 113 product tankers (39 LR2 tankers, 60 MR tankers and 14 Handymax tankers) with an average age of 6.7 years. Additional information about the Company is available at the Company’s website www.scorpiotankers.com, which is not a part of this press release.

Forward-Looking Statements

Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.

The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, the length and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effect on demand for petroleum products and the transportation thereof, expansion and growth of the Company’s operations, risks relating to the integration of assets or operations of entities that it has or may in the future acquire and the possibility that the anticipated synergies and other benefits of such acquisitions may not be realized within expected timeframes or at all, the failure of counterparties to fully perform their contracts with the Company, the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for tanker vessel capacity, changes in the Company’s operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company’s vessels, availability of financing and refinancing, charter counterparty performance, ability to obtain financing and comply with covenants in such financing arrangements, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, including the conflict in Ukraine, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off‐hires, and other factors. Please see the Company’s filings with the SEC for a more complete discussion of certain of these and other risks and uncertainties.

Contact Information

Scorpio Tankers Inc.
James Doyle – Head of Corporate Development & Investor Relations
Tel: +1 646-432-1678
Email: investor.relations@scorpiotankers.com