Interim Management Statement

RNS Number : 9050I

Braemar Shipping Services PLC

22 June 2011

 



BRAEMAR SHIPPING SERVICES PLC

("Braemar" or "the Group")

22 June 2011

Interim Management Statement

Braemar Shipping Services Plc today issues its Interim Management Statement covering the first quarter of the financial year beginning 1 March 2011. 

At the Braemar Shipping Services plc Annual General Meeting held today, Alan Marsh, the Group Chief Executive, provided the following update on the Group's trading after the first quarter of the new financial year.

While both tanker chartering and dry bulk freight rates are likely to remain subdued as a result of the new tonnage being delivered from the shipyards, we have recently seen signs of increased volumes in the crude sector, particularly from the Middle East, which should improve freight rates for the large tankers.  The Baltic Cape Index which stood at 1,310 on 28 Feb 2011 has now risen to just under 1,900.

After a slow period at the end of the financial year, our second hand sale and purchase and demolition business has picked up considerably, taking an increased share of the market and we are sensing a greater level of buying interest in many sectors.

Our growing presence in Singapore in both sale and purchase and chartering has already allowed us access to business which would not have been available to us without our enlarged activity there. 

The weaker US dollar, if it persists, is likely to have some effect on earnings.

Last week I spent time with my colleagues in Australia visiting some of the mining companies there and am encouraged by the expected increase in their iron ore production which should enhance our activities in this sector.

The Technical division has started strongly with increased activity in most business lines. The new hull and machinery surveying business Braemar Technical Services (incorporating The Salvage Association) which the Group acquired in May, is also trading well and its integration is proceeding according to plan.

The Logistics and Environmental divisions have started slowly but we remain optimistic.

Overall the Board remains confident of a satisfactory outcome for the year as a whole.

Ends

For further information, contact:

Braemar Shipping Services Alan Marsh James Kidwell	Tel [phone] Tel [phone]
Pelham Bell Pottinger Damian Beeley Zoe Pocock	Tel [phone] Tel [phone]
Elaborate Communications Sean Moloney	Tel [phone]
Arbuthnot Securities Limited Nick Tulloch Henry Willcocks	Tel [phone] Tel [phone]

Notes to Editors

Braemar Shipping Services plc is a leading international provider of broking, consultancy, technical and other services to the shipping, marine and energy industries. The business is organised into the following segments:  Shipbroking, Technical, Logistics and Environmental.

It is listed on the Official List of the London Stock Exchange in the Industrial Transport sector.

Principal businesses:

Shipbroking

Braemar Seascope provides chartering, sale and purchase and consulting shipbroking services to international ship owners, charterers and financial institutions operating in the tanker, gas, chemicals, offshore, container and dry bulk markets. There are shipbroking offices in the UK, China, Australia, Singapore, India, Italy and Monaco.

www.braemarseascope.com

Technical

Braemar's Technical division provides a range of specialist marine services to the maritime sector and includes:

Braemar Steege: Specialist loss adjusting and other expert services to the energy (oil and gas), marine, power and other related industrial sectors. It has offices in London, Houston, Singapore, Calgary, Lima, Mexico City and Miami.

www.braemarsteege.com

Braemar Falconer: specialised marine and offshore services. It has offices in the UK, Australia, China, India, Indonesia, Malaysia, Singapore and Vietnam.

www.braemarfalconer.com

Braemar Technical Services (incorporating The Salvage Association): Braemar acquired the business and assets of BMT Marine and Offshore Surveys Limited on 8 May 2011 - the business now operates as Braemar Technical Services providing marine consultancy and surveying services to the shipping, energy, offshore and insurance industries.

www.bmtmarinerisk.com

Wavespec: consultant marine engineering and naval architecture services to the shipping and offshore markets. A new office in Houston was opened in 2009.

www.wavespec.com

Logistics

Cory Brothers Shipping Agency provides port agency, freight forwarding and logistics services within the UK and Singapore.

www.cory.co.uk

Environmental

Braemar Howells provides pollution response and advisory services primarily in the UK and Africa and is continuing to develop an international presence.

www.braemarhowells.com

 

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