At Your ServiceManaging Risk

For 30 Years

The Heidmar EthosPerformance

Integrity

Transparency

Dedicated to Protecting Pool Members’ Assets and Interests

Heidmar: Protecting Pool Members’ Assets and Interests…a history of managing risk…

Heidmar: 30 Years of Tanker Trading 79 Pool Members 537 Ships 386 Charterers 18,623 Voyages 469,519 Trading Days 1 Counter Party Default (partial demurrage/bankrupt

charterer)

Heidmar: Protecting Pool Members’ Assets and Interests…a 30-year history of…

On-time charter hire payments to pool members First class vendor payment history and reputation Working with pool members to improve consumption and

vetting performance Off-hires for repairs and drydocking only Working with pool members to minimize pre/post-

drydock positioning costs Comprehensive bunker quality program/system Comprehensive piracy area management system with

dedicated staff

The Heidmar AdvantageProtecting Pool Members’ Assets and Interests

Managing Counter Party Risk:

All charterers approved and regularly reviewed by Heidmar executive

All brokers approved and regularly reviewed by Heidmar executive

Commercial Group’s eyes and ears on the market 24/7/365 checking

for/reporting back on potential risk issues with charterers

Strict adherence to “approved charterers only” policy through IT

voyage systems controls and regular policy announcements from

Heidmar executive

The Heidmar AdvantageProtecting Pool Members’ Assets and Interests

Managing Operational Risk:

All elements and participants in voyages reviewed, vetted and approved:

Ports, berths, terminals, port agents, tug and towing companies, bunker

suppliers and bunker quality

Ship Vetting Support: Pre-vetting inspections to prepare ships for upcoming

sire inspections. In-house team with strong relationships with major oil

company vetting managers and independent vetting companies assist pool

members in keeping ships approved…Earnings Maximized

Weather, sea and port conditions constantly monitored/reported/acted upon

The Heidmar AdvantageProtecting Pool Members’ Assets and Interests

Cost Control/Economies of Scale:

Bunker Purchasing: In 2013, Heidmar purchased 911,529 mt of bunkers in

1,493 transactions globally. Advantageous pricing negotiated through volume,

particularly in high traffic ports

Port Costs, Agents Fees, Tug Costs, Canal Fees: In 2013, Heidmar pool

ships made 3,814 port calls and 114 canal transits. Advantageous pricing

negotiated through volume and contracts

The Heidmar Advantage

Absolute Focus on Providing Service Excellence to

Pool Members

100% Dedicated to Protecting Pool Members’ Assets

and Interests by Managing Risk

Nothing else matters

It’s who we are and why we exist

The Heidmar Pooling Advantage

Exclusive: Only Quality Tonnage and Owners/Operators need apply

Inclusive: Pool members deeply engaged and direct pool structure

Democratic: No single pool member dominates a pool…majority vote decides pool

structure, rules and performance measurement

Accessible: 24/7/365 access to pool performance via Industry-leading and Heidmar-

exclusive Efleetwatch.com

Empathetic: Recognizes and responds to pool members’ critical need for cash flow

via on-time charter hire

Driven: Heidmar Projects in the air and on the road around the world throughout the

year talking to existing and prospective partners

The Heidmar Commercial Advantage

Heidmar Has The Experience

Heidmar Chartering and Operations have long and deep experience

trading tankers in bulk liquids globally and in all market conditions

Heidmar Has The Tools

Heidmar has developed in-house IT solutions which fast track the

dissemination of global market intelligence within its commercial

team, optimize the team’s trading decisions and make the results

immediately available to pool members

The Heidmar DifferenceYour Ship, Your Choice…and you have choices…but how to compare?

It’s all about Earnings (US$/Day)

At Heidmar, Earnings means Distributions

Distributions = Monthly hire payments derived from…Voyage Revenues less ALL Voyage Expenses and ALL Fees and Commissions No hidden fees or fee leakage No hidden idle days or excluded “special” voyagesThe Heidmar Way has been called “Triple Net” (Total Transparency)

The Heidmar “Triple Net” Way is not what you will commonly see

Time-Charter Equivalent (TCE(US$/Day)…a Non-GAAP measure) is the industry standard

The Heidmar Triple Net DifferenceHeidmar Monthly Distributions are net of ALL voyage costs with no hidden fees, no hidden trading days and no hidden voyages;

True Voyage Costs Heidmar Competitors

Commissions and Fees ?

Armed/Unarmed Guards ?

Loss of Hire Insurance ?

Kidnap and Ransom Insurance ?

War Risk Insurance ?

COFR/OPA ?

Tank Cleaning ?

Hull Inspections ?

Hull Cleaning ?

Propeller Polishing ?

Weather Routing Service ?

Slops Disposal ?

Pilotage ?

Bunker Surveys ?

TCE – But which one?

Net TCE: TCE earnings after deducting agency or pool commission and management or admin fee. Rarely used.

Gross TCE: TCE earnings before deducting agency or pool commission and management or admin fee. Most commonly used.

Super Gross TCE: TCE earnings before deducting agency or pool commission and management or admin fee AND before certain rebillables to pool members (e.g. piracy costs). Used by some private entities.

Mega Gross TCE: TCE earnings of highest earning ship before deducting agency or pool commission and management or admin fee AND before certain rebillables to pool members. Hard sell method.

One final thing…

It has been said that…

Heidmar is all about fees and commissions with no interest in pushing the spot market

We beg to differ…

Heidmar is all about the pool members

And when it comes to pushing market?

Well, let’s give you an example…

Seawolf Pushing The Market

“Seawolf is responsible for this high market and should be thanked by all tanker owners. Seawolf did a very

high rate for a Petrobras cargo and this was the catalyst for all the VLCC owners to push the market

up.”

Mr. Sanjay GuptaHead of Chartering

Reliance Industries LimitedJanuary 9, 2014

Seawolf Pushing The Market

$4,650,000$4,700,000 $4,700,000

$4,925,000

$5,670,000

$4,950,000$5,025,000

$5,070,500

$5,670,000

$5,150,000 $5,150,000 $5,150,000

$4,000,000$4,100,000$4,200,000$4,300,000$4,400,000$4,500,000$4,600,000$4,700,000$4,800,000$4,900,000$5,000,000$5,100,000$5,200,000$5,300,000$5,400,000$5,500,000$5,600,000$5,700,000$5,800,000

Aries Star EagleVancouver

Abqaiq MaerskSonia

SOLANA ONSUBS

AthenianVictory

Maria A.Angelicou

Izki SOLANAFULLYFIXED

BW Lion Leo Star TI Topaz

11‐Oct 15‐Oct 18‐Oct 18‐Oct 18‐Oct 21‐Oct 21‐Oct 23‐Oct 24‐Oct 25‐Oct 25‐Oct 29‐Oct

Freight (US$

 Lum

psum

)

Caribs/East VLCC Fixtures October 2013

Pool Members

RiskManagement

CommercialManagement

BunkerPurchasing

Port/AgencyCosts

Heidmar Pure Tanker Pools

Pan Bulk Pool

Handy Bulk Pool

Supra Bulk Pool Chem 1 Pool

Chem 2 Pool

Chem 3 Pool

Chem 4 Pool

Chem 5 Pool

Bunker Brokerage

BunkerTankers

Large Newbuilding Book

Technical Management

HistoryExpertiseIntegrityDeliveringMinimizedAssetRisk

MaximizedAssetReturns