SALT Company Presentation April 29, 2019 Company Highlights Owns - PowerPoint PPT Presentation

SALT Company Presentation April 29, 2019

Company Highlights Owns 54 mid-size dry bulk fuel-efficient 1 ‘Eco’ vessels with an average age of 3.2 years Marshall Islands incorporated and HQ in 2 Monaco, and NYSE-listed under the ticker “SALT” Trades vessel on the spot market through 3 the Scorpio Ultramax and Scorpio Kamsarmax pools Meeting IMO 2020 regulations by installing 4 scrubbers throughout its fleet (80% expected to be installed by June 2020) Invested $100 million in 2018 on purchase 5 of 5.4 million shares in Scorpio Tankers, Inc (NYSE: STNG) 2

Investment Highlights # of Owned Handymax/Panamax Vessels Average Age Scorpio 54 Bulkers 3.2 Youngest 71 Eco fleet Star Bulk 7.4 Significant 47 Investment Navios MH operating 10.2 in STNG leverage 46 Eagle Bulk 8.9 Safe 39 A leading Bulkers 8.5 Scrubber- position in fitted for mid-size 30 Diana IMO 2020 segment 9.5 Insider Golden 29 ownership Ocean 7.1 and liquidity 28 Genco 8.9 0 20 40 60 80 3

Q1-2019 Corporate and Financial Highlights • GAAP Net Loss of $3.5 million / Loss per Share of $0.05 • includes gain and dividends totalling $15.5 million or $0.23 per share on the STNG investment and a write-down of assets held for Q1-2019 sale of $7.5 million or $0.11 per share Financial Results • Adjusted Net Income $4.0 million / Adjusted Earnings per Share of $0.06 excluding the write-down of assets held for sale • EBITDA of $25.3 million (Adjusted EBITDA of $32.8 million) and cash flow from operations of $4.5 million • Ultramax TCE of $9,177 per day in Q1 2019 • Ultramax TCE of $9,488 per day booked to date in Q2 2019 TCE • Kamsarmax TCE of $11,176 per day in Q1 2019 • Kamsarmax TCE of $10,487 per day booked to date in Q2 2019 Liquidity • Liquidity position as of April 26, 2019 is $57.9 million in cash • Sale of two 2015 built Kamsarmax vessels for $48.0 million Fleet Development • Capital expenditure of $3.7 million incurred in Q1-19 for exhaust gas cleaning systems (“Scrubbers”) . Total capital expenditures to date on scrubbers is $6.4 million • Sale and lease back of three Ultramax vessels and four Kamsarmax vessels, which will increase liquidity by $57.2 million including scrubber financing • Sale and lease back of one Kamsarmax vessel, which increased liquidity by $6.9 million Financing • Sale and lease back of six Ultramax vessels, which will increase liquidity by $62.4 million including scrubber financing • Sale and lease back of two Ultramax vessels, which will increase liquidity by $17.0 million including scrubber financing Dividend & Stock • The Company’s Board of Directors declared a dividend of $0.02 per share on April 26, 2019 Buyback Program • No stock has been purchased to date in 2019. As of April 26, 2019, $50.0 million remains available under the program 4

Financial Performance Summary Blended TCE ($/day) Revenue $14,000 $11,973 $12,087 $12,523 $70 $60.6 $62.5 $65.2 $11,527 $12,000 $10,764 $60 $54.3 $9,844 $9,053 $51.1 $50.4 $10,000 $8,608 $8,733 $50 $7,303 $34.7 $37.7 $38.6 $8,000 $40 $6,791 $5,303 $6,000 $23.9 $26.8 $30 $3,404 $17.4 $4,000 $20 $10.2 $2,000 $10 $0 $- Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Balance Sheet Adjusted EBITDA $40 ($ in 000's) 31-Mar-19 $32.8 $28.1 $28.8 $30 $23.3 $22.9 $20.4 Cash and equivalents 50,821 $20 Vessels, net 1,443,674 $10.8 $12.4 $7.3 Investment in STNG 107,243 $10 $0.9 Other assets/assets held for sale 87,185 $0 Total assets 1,688,923 -$1.3 Total debt 813,639 -$10 -$5.8 Other Liabilities 17,198 -$20 -$17.0 Total Liabilities 830,837 Shareholders Equity 858,086 -$30 Total Liabilities & Shareholders Equity 1,688,923 5 Figures in $USD millions except Blended TCE and Balance Sheet.

Historical Rates $16,000 $14,000 $12,000 $10,487 $10,000 $9,488 $8,000 February 10, 2016 BDI hits 40 year low $6,000 $4,000 $2,000 $0 Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Q2-19* Ultramax Kamsarmax 6 * Projections based on 48% and 42% of the days for the Ultramax fleet and Kamsarmax fleet, respectively as of April 24, 2019.

Anticipated Rate Recovery Baltic Indices FFA Market 14,000 12,000 $/day 10,000 8,000 6,000 4,000 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 Q2-19 Q3-19 Q4-19 Baltic Panamax Earnings Baltic Supramax Earnings FFA - Panamax FFA - Supramax 7 Source: Clarksons Research Services, April 2019 Baltic Supramax Avg of 10 T/C Routes; Baltic Panamax Avg of 4 T/C Routes FFA market based on assessment on April 24, 2019

Significant Operating Leverage Historical One Year Time Charter Rates: 2009-2019 Mar-19 Min Avg Max Ultramax $10,750 $4,875 $11,849 $24,375 Kamsarmax $12,135 $5,363 $13,009 $29,625 EBITDA Generation in Different Operating Environments (1) EBITDA EBITDA/Share of $3.83 $300 An increase in rates from $8,000 to $12,000 (50%) translates to a 220% increase in EBITDA $250 EBITDA/Share of $2.44 $200 Millions ($ USD) EBITDA/Share $150 of $1.61 $272 EBITDA/Share of $1.06 $100 $173 EBITDA/Share of $0.50 $114 $50 $75 $35 $0 $8,000 $10,000 $12,000 $15,000 $20,000 TC Rate ($/day) 8 1) Based on 54 owned vessels; OPEX and Cash G&A based on 2019 Q1 press release Source: Clarksons Research Services

IMO 2020 Regulations & Company Strategy How Scorpio will Comply What is IMO 2020? • • The International Maritime The Company expects to install scrubbers on all of its owned and finance Organization (IMO) will require leased Kamsarmax and Ultramax shipowners to reduce sulfur emissions vessels between Q2-2019 and Q4-2020 in 2020 • The majority of scrubber installations will • To comply, shipowners will have to be coordinated with scheduled dry decide between: docks, reducing the amount of off hire • Installing a scrubber to enable the vessel to burn HSFO; • The Scrubbers and their installation will • Paying the premium to cost around $2.5 million per vessel, and consume compliant fuels with the Company anticipates that all of these a sulfur content <0.5% (MGO costs will be financed and LSFO) • LNG as bunker fuel 9

Scrubber Fuel Savings Consumption figures below assume that: • Scrubbers do not operate during any port activities • Each voyage has a load and discharge port in an ECA, i.e. scrubber does not operate in ECA waters Annual ECO Vessel Fuel Consumption (MT/year) (1) Scrubber Fuel Savings MGO-HSFO Spread $200 MGO-HSFO Spread $250 Sailing (Ballast & Laden) Ultramax Kamsarmax Non ECA 4,032 4,830 $1,400,000 Waiting/Idle $1,252,500 Non ECA 462 450 $1,200,000 Less $1,059,000 Additional Consumption for Scrubber -258 -270 $1,002,000 $1,000,000 $847,200 Total Non ECA Consumption (MT) 4236 5010 $800,000 MGO-HSFO Spread ($/MT) $200 $200 $600,000 Annual Scrubber Savings $847,200 $1,002,000 $400,000 Scrubber TCE Savings ($/day) $2,321 $2,745 $200,000 Every $100 change in fuel spread $1,161 $1,373 equates to TCE savings of ($/day) $0 Ultramax Kamsarmax 10 1) Based on average Scorpio ECO vessel consumption in 2018

Historical MGO & HSFO Spread Rotterdam Historical Bunker Prices Rotterdam Brent MGO HSFO MGO-HSFO Crude Oil Rotterdam Rotterdam Spread Price (bbl) $1,400 Apr-2011 $1,017 $642 $375 $123 Feb-2016 $287 $144 $143 $32 Apr 2011 Brent Crude $1,200 Price: $123/bbl $1,017 $1,000 $800 $/MT Feb 2016 Brent Crude $642 Price: $32/bbl $600 $287 $375 $400 $200 $143 $144 $0 MGO Rotterdam (S/MT) HSFO Rotterdam (S/MT) RotterdamMGO-HSFO Spread ($/MT) 11 Source: Clarksons Research Services April 2019

Forward Curve Supports Scrubber Installation Spread Between Rotterdam 3.5% HSFO vs 0.1% Low Sulfur Gasoil 2020-2022 Pre-2020 Average of $274/mt Average of $247/mt 330 310 290 270 250 ($/mt) 230 210 190 170 150 Apr-19 Jul-19 Oct-19 Jan-20 Apr-20 Jul-20 Oct-20 Jan-21 Apr-21 Jul-21 Oct-21 Jan-22 Apr-22 Jul-22 Oct-22 12 Source: Bloomberg, April 15, 2019

Scrubber CAPEX & Installation Schedule 30 $140 Estimated Payments by Year 2018 $1.2 million $120 25 2019 $54.0 million Accumulated Scrubber CAPEX ( in Millions USD) 2020 $70.4 million $100 2021 $1.4 million 20 Total $127.0 million Count of Vessels $80 15 13 $60 12 1 4 10 10 1 8 $40 4 5 11 5 3 9 9 $20 3 4 4 3 3 1 0 $- Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2018 2019 2020 2021 Ultramax Kamsarmax Accumulated CAPEX (in millions USD) 13 Source: Company Scrubber Program April, 2019

Market Update 14

Fleet Focused on Mid Size Asset Classes Other, 3% Cement, Logs, 1% 5% Number Salt, 4% Vessel Type DWT Owned Fertiliser, 6% Coal, 34% Steel, Handysize/Handymax < 50,000 10% Ore, 6% Grain, Minerals, 15% 16% 37 Supramax/Ultramax 50,000-64,000 Other, 6% Steel, 1% 17 Panamax/Kamsarmax 65,000-100,000 Minerals, Ore, 13% 6% Capesize/VLOC >100,000 Coal, 58% Grain, 16% 15 Major Bulks: Iron ore, coal, grain Minor Bulks: Bauxite, steel, scrap, cement, salt, forest products, potash/fertilizer, coke, nickel ore, sugar.