NAT Still Happy Sailing Into 2020 Without Scrubbers

Friday March 22, 2019

Nordic American Tankers Ltd [NYSE: NAT] says it remains happy with its decision not to buy scrubbers as part of its IMO 2020 compliance plan.

β€œThe Company is steadfast on its decision that scrubbers are not a solution for NAT based upon a conservative financial policy. NAT does not take on risk it does not have to,” the company said in a letter to shareholders and investors this week.

NAT said it also worried about ongoing media reports speculating there could be further and farther reaching bans on the technology.

While the shipowner did not say what promoted the comments, they follow another uptick in backing for scrubbers with a number of former skeptics saying they are now buying into the technology.

In the case of Pacific Basin, CEO Mats Berglund said the change of heart was due to economics, and that it β€œcannot risk being competitively disadvantaged”.

While HSFO is expected to continue being lowest cost bunker fuel available, the relatively small number of vessels fitted with scrubbers means questions linger over logistics costs and availability outside of the major hubs.