HELLENIC MEDITERRANEAN PANEL HELLENIC MEDITERRANEAN PANEL March 10, 2011 INTERTANKO OVERVIEW REPORT JOSEPH ANGELO MANAGING DIRECTOR

MEMBERSHIPBUDGETSECRETARIAT EXCOM ISSUES WEB SITE INFORMATION COUNCIL ISSUES

MEMBERSHIP 250+ Members 3,400+ Tankers 270+ Million DWT Members in 40+ countries MORE THAN 75 % OF THE INDEPENDENT TANKER FLEETMORE THAN 75 % OF THE INDEPENDENT TANKER FLEET 330+ Associate Members

MEMBERSHIP Members/million dwtNo. of tankers

BUDGET (Actual) (Year end(Budget) estimate) Total Operating Income (US$)9,056,359 7,291,5097,572,650 Total Operating Expenses (US$)6,566,3906,767,8257,217,450 Operating Result2,489, , ,200 Non-operating Income/expenses 551, , ,000 Result for Year3,041, , ,200

BUDGET Reasons for large operating surplus for 2009 year end - Virtual retention of all members in Disciplined control of discretionary expenditures (limiting of activities) - Expenditures benefiting from strong US dollar against British pound and Norwegian Kroner 2010 membership fees reduced by 10% No change in 2011 membership fees

SECRETARIAT 22 STAFF MEMBERS IN 4+ OFFICES Oslo (8), London (12), Singapore (1) USA (1) + Brussels, Manila (consultant) STAFF INCLUDES - Managing Director (New) - Deputy Managing Director (New) - Technical Director - Director, Regulatory Affairs - Marine and Chemical Director - General Counsel

EXCOM ISSUES Budget High level discussions with OCIMF Minimum safe operating costs Piracy Greenhouse gas emissions 2011 Workplan priorities

DISCUSSIONS WITH OCIMF High Level discussions (Chairmen) - “Best the relationship has ever been” Issues Achievable greenhouse gas emission reduction targets for tankers Piracy Tanker officer competency and experience Vetting matters Mercury in crude oil, safety aspects Guidance on generally accepted procedures for accident investigation/analysis/reporting.

SAFE OPERATING COSTS Concern – current rates are below the minimum cost levels required to operate vessels safely Issues Costs to operate a ship and Worldscale versus equivalent charter rates Quality is important to both owners and charterers Anti-trust concerns Could be counterproductive (perception of lowering the “quality bar”?) Reluctance to share costs Item for discussion with OCIMF

PIRACY Media campaign Best Management Practice (BMP) compliance Policy on armed guards Marine Naval Liaison Officer (MNLO) supply

GREENHOUSE GAS Continue to support mandatory Energy Efficiency Design Index for new ships Seek further information and clarification of Market Based Measures (MBM) Finalize development of industry assessment of potential CO2 reduction measures Launch “Virtual Arrival” project with OCIMF

WORKPLAN PRIORITIES Council approved workplan priorities Executive Committee to overview detailed implementation of workplan Secretariat developed detailed workplans for high priority workplan items (25) Workplan is a “living document” New workplan items to be submitted to Council for approval and appropriate priority

WEB SITE INFORMATION Databases Terminal vetting Port information (port costs, reception facilities) Vetting inspection feedback PSC inspection feedback Confidential Accident Reporting (CARP)

WEB SITE INFORMATION Benchmarking (comparison with INTERTANKO fleet) Vessel inspection questionnaire (VIQ) TMSA 2 Crew/officer retention Lost time indictor

COUNCIL Venue - Astir Palace hotel Athens, Greece May 9 – Council dinner May 10 – Council meeting May 11 – Tanker Seminar - Opening Session - Tanker market - Piracy - Technical session Ballast water management Greenhouse gas emissions

COUNCIL ISSUES Presentation “The ExxonMobil Approach to Assessing Marine Quality” Piracy Piracy campaign Greenhouse gas emissions Insurance/Documentary Committee Membership criteria

THANKYOU!!