Results Q2 - 201323 August 2013

Agenda

HighlightsFinancialsOperationsMacro UpdateQ&A

Highlights

GOGL results Q2 2013

EBITDA: $49.5 million

Profit: $43.5 million

Earnings per share: $0.10

GOGL declares a dividend of$0.01 for Q2 2013

Three firm + three optionalsupramax newbuilding contractsconcluded with Chengxi

Received $30 million as asettlement for a dispute inrelation to a ten year charter

FinancialsBirgitte Vartdal, CFO Golden Ocean Management AS

Profit & Loss

• Revenues up on higher activityshort term and $30 millionsettlement

• Costs up on higher activity shortterm trading

• Positive MtM on interest rateswaps

Key figures:

(in thousands of $)2013 2013

Apr-Jun Jan-Mar

Operating revenue 104 707 54 432Vessel voyage expenses -21 758 -12 817Vessel operating expenses -10 734 -11 136Charter hire expenses -17 755 -8 599Administrative expenses -3 561 -3 055Depreciation and amortisation -9 643 -9 176Other gain/ (losses net) -1 442 1 809Operating profit 39 813 11 458Interest income 231 284Interest expense -4 691 -4 662Interest swap 8 193 -238Other financial items -52 -75Taxation 0 0Profit for the period 43 494 6 767

Other comprehensive incomeAvai lable for sale financial assets 1 191 0Total comprehensive income 44 685 6 767

(in thousands of $) 2013 2012Jun 30 Dec 31

ASSETSVessels and equipment, net 654 448 611 517Vessels held under finance leases, net 135 544 140 217Vessels under construction 21 933 116 082Investment in Joint Venture 20 081 1 248Other assets 10 237 8 026Total non-current assets 842 244 877 090Cash and cash equivalents 89 619 112 537Trade receivables and other current assets 44 772 20 427Refundable installements for cancelled newbuildings 178 187 100 325Total current assets 312 578 233 289

Total assets 1 154 822 1 110 379

EQUITY AND LIABILITIESEquity attributable to equity holders of the parent

Share capital 44 726 44 726Additional paid in capital 99 156 99 156Other reserves 17 826 16 635Retained earnings 428 455 377 288Non-controlling interest 270 491

Total Equity 590 432 538 296Long term debt 240 431 324 432Obl igations under finance leases 114 612 118 055Other long term liabi lities 2 055 2 205Deferred income

- -Total non-current liabilities 357 098 444 693Current Liabilities

Long-term debt - current portion 150 259 68 733Obl igations under finance leases – current portion 7 077 6 837Other current liabilities 49 955 51 820

Total current liabilities 207 292 127 390Total liabilities and shareholders’ equity 1 154 822 1 110 379

Balance Sheet

Equity ratio ~ 51,1 %

4. Debt on cancelled vesselsclassified as short term.Refinancing on the loan facilitycurrently classified as short term($82.5 million) in progress.

1. Delivery of Golden Pearl in Q2

2. Reclassification of two iceclassPanamaxes

3. Joint Venture investment inGolden Magnum – loan to bedrawn within next months

2)

2)

4)

4)

3)

OperationsBirgitte Vartdal, CFO Golden Ocean Management AS

Vessels: Deliveries and charters

The Company bought in May 2013 a 2009 built Cape in JVtogether with a cargo owner

Delivery took place in second half of JuneObtained commited financing (70%) which will be drawn within thenext months

The Company agreed in May 2013 to buy two ice class panamaxvessels built at Pipavav

Delivery of first vessel took place in JuneDelivery of second vessel will take place in the second half of 2013The seller has provided a 30% sellers credit and the Company has bankfinancing of 65% of the purchase price. Financing in relation toGolden Pearl is drawn.

Open positions on sailing vessels

* Capesize: MV Golden Magnum included with 50% as from Q3-13** Panamax: Golden Diamond included from Q4-13

Capesize exposure - Sailing vessels Core Fleet *

Rest of 2013 2014 2015Total vessel days 857 2 284 2 284

Open vessel days 289 1 820 2 290

Open position (%) 34 % 80 % 100 %

Average net rate on fixed days 27 445 23 510 na

No of vessels 7 7 7

Panamax exposure - Sailing vessels Core Fleet **

Rest of 2013 2014 2015Total vessel days 2 617 6 938 5 994Open vessel days 751 4 111 3 717Open position (%) 29 % 59 % 62 %Average net rate on fixed days 14 970 19 109 20 819No of vessels 20 20 20

Overview of newbuilding program Jinhaiwan

Cancelled Remaining

Capesize 1 0

Kamsarmax 4 0

Iceclass Panamax 3 1

MUSD

Installments paid 168.6 6.7

Remaining Capex 0 26.8

Loan drawn 43.2 0

As per 23 August 2013

Vessel under construction at Pipavav

Yard Vessels Contracted out Open Delivery

JMU (Japan) 2 0 2 Q1-15

Chengxi (China) 3 0 3 Q1-Q2/15

Chengxi, options (China)* 3 - - 2015

Newbuildings: Delivery schedule supramax vessels

* Not declared yet. Deadline to declare options is October 2013.

Corporate transactions and covenants

In May 2013 the Company entered into an agreement to settle a disputein relation to non-performance of a ten year charter contract

Cash settlement of $30 million was received at the same time

The Company has obtained commitment from the current lenders torefinance the facility which falls due in January 2014

The full amount to be refinancedRefinancing will take place within the next months

Korea Line Corporation has been through a second restructuring.The Company has record a profit as other comprehensive income in relationto the freely tradeable shares (20k shares) end Q2.Shares from the second restructuring will be released in November 2013

Based on 15 Panamax/Kamsarmax and 6 Capesize vessels

Vessel operating expenses

4 950

5 650

5 3005 200

5 500 5 4505 375

5 650

3 000

3 500

4 000

4 500

5 000

5 500

6 000

Q2-13 Q1-13 2012 2011

Panamax Cape

Macro UpdateHerman Billung, CEO Golden Ocean Management AS

Bulk Carrier fleet trend...

Source: RS Platou Economic Research

Still strong underlying fleet growth, but slowing

Source: RS Platou Economic Research

China the driving force …

Source: RS Platou Economic Research

Housing starts vs housing sales

Source: NCA

Chinese domestic steel prices

Source: NCA

China – the major growth market in dry bulk …

Source: RS Platou Economic Research

Existing fleet and order book by year of delivery

Source: RS Platou Economic Research

India – an increasing growth factor in dry bulk...

Source: RS Platou Economic Research

Brazilan iron ore exports…

Source: RS Platou Economic Research

The world grain market – trade set to increase from q4-13

Source: RS Platou Economic Research

Bulk carriers: existing fleet and order book by year of delivery

Source: RS Platou Economic Research

Demand catching up with supply

Source: Pareto Shipping

Vessel capacity utilization expected to firm up

Source: Pareto Shipping

Q & A

Thank you for your attention !