Accordingly, the company stated that they took a USD 100 million loan to prepare for the big switch, and help the changes in Euronav's fuelling strategy.
However, the CEO expressed his disappointment, as although they expected freight rate weakness and OPEC production cuts, the company's rate haven't recovered yet.
Our thesis for 2019 always anticipated freight rate weakness to start during the second quarter as larger and longer than usual refinery maintenance programs ahead of IMO 2020, OPEC production cuts and heavy delivery newbuilding schedule would exacerbate seasonal lower cargo volumes. This has been the case but we are disappointed not to have seen a recovery in the rates yet.
He continued that the company aspires to see the much anticipated recovery in the fourth quarter, following US crude export volume growth and IMO 2020 preparation and its related induced reductions to vessel supply.
Moreover, the company saw its second quarter closing with a net loss of USD 38.5 million, in comparison to a profit of USD 19.5 million reported in the first quarter of the year.
Revenues amounted to USD 169.3 million in the second quarter of this year, against USD 232.6 million recorded a quarter earlier.
Recently, Euronav sold the Very Large Crude Carrier (VLCC) 'VK Eddie', as part of its regular fleet rejuvenation.