Scorpio Tankers Inc.Announces Funding Update

MONACO, December 13, 2021 (GLOBE NEWSWIRE) – Scorpio Tankers Inc. (NYSE: STNG) (“Scorpio Tankers” or the “Company”) today announced that it has signed a transaction with Ocean Yield ASA relating to the sale and disposal -lease of two LR2 product tanks, STI gallantry and STI Guard, for a total financial contribution of $ 70.2 million. Upon completion, which is expected in December 2021, the Company’s liquidity is expected to increase by a total of $ 27.9 million after outstanding debt repayment. Under the agreements, the Company will charter the vessels bareboat for a period of 10 years and will have purchase options from the end of the fourth year of each agreement. There is also a purchase obligation for each vessel upon expiration of each agreement. The other terms and conditions of this finance lease, including financial covenants, are similar to those set out in the Company’s existing finance leases. This transaction was not part of the Company’s financing initiatives announced on November 11, 2021.

In addition to the above, the Company entered into a credit facility on November 23, 2021 for a maximum amount of $ 43.6 million with a European financial institution. The Company drew the entire $ 43.6 million of this credit facility on November 29, 2021, and a portion of the proceeds was used to refinance the outstanding debt on two LR1 product tankers, STI precision and IST Prestige, which were previously funded under the ABN AMRO / K-Sure credit facility, which was due to mature in the second half of 2022. The Company’s liquidity increased by approximately $ 5.1 million (after outstanding debt repayment), which also includes approximately 0.5 million restricted cash that has been released from a debt service reserve account previously held under the terms and conditions of the ABN Credit Facility AMRO / K-Sure. The terms of this credit facility, including financial covenants, are similar to those set out in the Company’s existing credit facilities. This transaction was part of the Company’s financing initiatives that were announced on November 11, 2021.

The Company is in talks with a financial institution to further increase its liquidity to $ 28.9 million as part of the refinancing of four vessels. The Company also has up to $ 18.0 million in additional cash available (after repayment of existing debt) from previously announced financings that have been committed. These withdrawals are expected to occur at various times in the future, as these financings are linked to the purification facilities on the Company’s vessels.

About Scorpio Tankers Inc.

Scorpio Tankers Inc. is a supplier of marine transportation of petroleum products worldwide. Scorpio Tankers Inc. currently owns, leases or charters bareboat 131 tankers (42 LR2 tankers, 12 LR1 tankers, 63 MR tankers and 14 Handymax tankers) with an average age of 5.9 years. Additional information about the Company is available on the Company’s website, which is not part of this press release.

Forward-looking statements

The matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe havens for forward-looking statements to encourage companies to provide forward-looking information about their activities. Forward-looking statements include statements about future plans, objectives, goals, strategies, events or performance, and underlying assumptions and other statements, which are other than statements of historical fact. The Company wishes to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and includes this caveat in connection with such safe harbor legislation. The words “believe”, “expect”, “anticipate”, “estimate”, “intend”, “plan”, “target”, “plan”, “probably”, “may”, ” power, ”“ ”“ could ”and similar expressions identify forward-looking statements.

The forward-looking statements contained in this press release are based on various assumptions, many of which, in turn, are based on other assumptions, including, without limitation, management’s review of historical operating trends. , data contained in the Company’s files and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the control of the Company, nothing does not guarantee that the Company will achieve or achieve these expectations. , beliefs or projections. The Company assumes no obligation, and specifically disclaims any obligation, except as required by law, to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. .

In addition to these important factors, other important factors which, in the opinion of the Company, could cause actual results to differ materially from those discussed in forward-looking statements include unforeseen liabilities, future capital expenditures, revenues, expenses, profits, synergies, performance, indebtedness, financial position, losses, future prospects, business and management strategies for the management, duration and severity of the current epidemic of novel coronavirus (COVID- 19), including its effect on the demand for petroleum products and their transport, expansion and growth of the Company’s activities, risks associated with the integration of assets or activities of entities that it has or could acquire in the future and the possibility that the synergies and other benefits expected from these acquisitions will not materialize on time or not at all, the non-performance by the counterparties of their contracts has with the Company, the constraint of world economies and currencies, general market conditions including fluctuations in charter rates and vessel values, changes in demand for tanker capacity, changes in the Company’s operating expenses, including bunker prices, dry dock and insurance costs, the Company’s vessel market, availability of financing and refinancing, performance of the charter counterparty, capacity obtain financing and comply with the restrictive covenants of such financing agreements, changes in government rules and regulations or actions taken by regulatory authorities, potential liability for pending or future litigation, national and international policy conditions, disruptions potential shipping routes due to accidents or political events, vessel breakdowns and non-rental cases, and other factors. Please refer to the Company’s filings with the SEC for a more complete discussion of some of these and other risks and uncertainties.

Contact details

Scorpio Tankers Inc.
(212) 542-1616

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