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NYSE-listed owner and operator of tanker vessels Navios Maritime Midstream Partners expects to see spot rates for Very Large Crude Carriers (VLCCs), currently three times greater than the average VLCC spot rate for 2014, remaining steady for a longer period of time.

Navios Midstream has currently contracted out 100% of its available days for each of the years 2015 and 2016, expecting to generate revenues of approximately USD 63 million and USD 63.2 million, respectively. The average expected daily charter-out rate for the fleet is USD 43,183, for each of the years 2015 and 2016.

The company operates a fleet of four VLCCs and has options, exercisable for a period of two years following the closing of the IPO on November 18, 2014, to acquire up to seven additional VLCCs from Navios Maritime Acquisition Corporation.

Navios has reported USD 2.55 million in net income for the 44 days following its November 18 initial public offering, when the company sold 8.1 million shares for approximately USD 110 million.

Angeliki Frangou, Chairman and Chief Executive Officer of Navios Midstream, said: “We believe the dramatic decline in the price of oil is unequivocally positive for oil consumption and ultimately oil transportation. With oil at about USD 50 per barrel, global consumers save about USD 4.5 billion a day compared to their oil expenditures in 2014. This amounts to annual savings of more than USD 1.6 trillion dollars, which should act to stimulate the global economy. This boost to the economy is in addition to the structural change in the demand for oil transportation, as ton miles have increased because oil consumption has effectively moved eastward while oil supply has effectively moved westward.”