Welcome to OET's Q3 2021 financial results presentation. We will begin shortly. Aristidis Alafouzos, COO, and Thalia Kalafati, interim CFO, Ioannis Alafouzos, CEO of Okeanis Eco Tankers, will take you through the presentation. They will be pleased to address any questions raised at the end of the call. I would like to advise you that the session is being recorded. Thalia Kalafati will begin the presentation now.
Welcome to the presentation of OET's results for the third quarter of 2021. We will discuss matters that are forward-looking in nature. These forward-looking statements are based on our current expectations about future events, including OET's commercial performance, dividend policy, projected dry dock schedules, and anticipated debt capital commitment. Actual results may differ materially from the expectations reflected in these forward-looking statements. Starting on slide three, we review the highlights of the quarter. We generated net revenues of $24 million, adjusted EBITDA of $11.3 million, and adjusted loss of $4,5 million or $0.14 per share. We brought forward the special survey of the Poliegos to benefit from higher spot rates in 2022.
Lastly, our board of directors has decided to declare to return $15 million to the shareholders via a capital distribution of $10 million or $0.31 per share back to the shareholders, and the remaining $5 million will be in the form of share repurchases conducted in the market. I'll now hand it over to Aristidis for an overview of our commercial performance.
Thank you, Thalia. Once again, OET is trending as a top performer in the spot market for VLCCs in Q3. During Q3, we achieved a fleet-wide TCE rate of $19,100 per operating day, net of 5% technical off-hire days. Our VLCCs generated $16,400 per day in the spot market, a 65% outperformance relative to our tanker peers that have reported Q3 earnings. We were able to secure voyages that have substantial demurrage as well as excellent triangulation on the Nissos Kea. Our Suezmaxes generated $8,500 per spot day. We were adversely affected by positioning two of our spot Suezmaxes into the West for dry dock, as well as having a negative IFRS impact.
This will be counterbalanced in Q4 once the vessels have completed dry dock and are in position to fix a front haul voyage back to the east. Lastly, our sole remaining LR2 generated $15,800 per spot day. We delivered her to her new owners and benefited from long front haul on the vessel's last voyage. Overall, the market was characterized by weak sentiment and low volatility, with an oversupply of ships prevailing in almost every trading basin. In this context, there were few opportunities available to make money trading our fleet. However, OET managed under such conditions to outperform the market. On slide five, we provide an overview of our guidance for Q4.
So far in Q4, we have fixed 84% of our VLCC spot days at $17,700 per day and 73% of our Suezmax spot days at $17,600 per day. We positioned our fleet to have vessels available in late November, early December to capture unexpected seasonality. We benefited against our non-eco, non-scrubber peers due to extremely high bunker prices. High sulfur fuel oil is trading at a price around $450 per metric ton and low sulfur fuel oil at a price around $620 per metric ton. This gives a substantial spread of $170 per metric ton. Our quality and well-approved fleet enables us to compete for every cargo, which is critical in these depressed markets.
In a weaker scenario where low rates persist, which coincidentally we do not expect to occur, it is important to understand our cash position and liquidity runway looking forward. On the basis that spot rates average, as OET has performed in 2021, the company forecasts to have an operational cash burn of approximately $500,000 per month, excuse me, inclusive of dry docking and financing of our two new building VLCC expenses. This is a figure that the company can comfortably sustain for the next 36 months, while still maintaining cash balance at that point of $20 million. On slide six, we provide an overview of our fleet and charter portfolio. For full year 2022, we will operate 14 vessels, six Suezmaxes and eight VLCCs. Two of the six Suezmaxes and one of the eight VLCCs will be on time charter, leaving 79% of available days on the spot market to capitalize on what will, we believe, will be a strong recovery in rates. Back to Thalia to walk through our financials.
Thank you, Aristidis. Starting with our income statement on slide seven. In Q3, daily OpEx excluding management fees averaged $7,900 per day, while daily G&A came in at $800 per day. Moving to slide eight, we report book value of NOK 98 per share following a write down of paid in capital and distribution to our shareholders. On slide nine, we summarize our cash flows and CapEx commitments relating to the acquisition of the two VLCC. We have $179 million CapEx due after the repayment of the $17.4 million to the sponsor, comprising of $141.5 million payable to the yard on delivery, and $35.1 million payable to our chairman that may be deferred at OET sole discretion to any date before the end of June 2024.
In addition, $2 million are allocated to the dry docking of the Milos and the Poliegos. In November, we delivered the two VLCCs to their new owners and generated $40 million in profits. Following the completion of the sale, we have reduced our fleet break-even by about $575 per day. Against the VLCC CapEx, we have received firm indications from four debt financing of $140 million with a six year tenure, 15-year profile and an approximate interest cost of 2.115% of LIBOR. Shifting to slide 10, we provide a comprehensive overview of our debt stack. Our all-in cost of debt is roughly 3.6%, and following the sale of the two VLCCs, pro forma moves to about 3.1%. Our debt stood at $720 million at quarter end, and is set to decline further to $577 million by year-end, following the retirement of the debt of the two VLCCs. Back to Aristidis to walk you through our market outlook.
Thank you, Thalia. Let's take a look at the tanker age profile as well as utilization. The tanker fleet is rapidly aging with over 25% of the Suezmax and VLCCs being over the age of 15, while the order book stands only around 8%. We have overlaid the drop in utilization that older vessels face, which effectively reduces tanker supply. VLCCs over the age of 15 have a 25% reduction in utilization, while over the age of 20 it jumps to 70%. Over the next four years, about 220 VLCCs will pass the age of 15 years old, over 25% of the global trading fleet. The statistics are even more bullish on Suezmax. Deliveries are high in 2022, but drop aggressively into 2023.
The current delivery position of the shipyards is the farthest out I've ever seen since I started my career. Due to the boom in container ordering and consistent LNG ordering, first class shipyards cannot deliver a tanker before the end of 2024. Tankers are also the least preferred asset by these yards to build, and the new building quoted prices are extremely high. On the previous slide, I focused more on the limitations of vessels turning the age of 15. On slide 12, we take a closer look at the scrapping potential of the fleet. We have almost record high scrapping prices and an extremely weak spot market, but we have not seen scrapping at the anticipated levels. This boils down to the vessels being used for illicit trading.
I believe that the ships required for this trade is over tonnage and appetite from these buyers is reduced, which will prompt more vessels to proceed for scrap in the next month. From 2023, EEXI, CII, and the EU ETS will add a further burden to older vessels that may face significant CapEx costs or restrictions to their trading that will force them to also scrap. As in the previous quarters, most of the increase in oil demand has been met by drawing down on inventories of cheap oil that were bought in the aftermath of COVID last year. Global crude oil inventories have dropped below the five year average levels and below where we were prior to COVID, signaling the need for seaborne imports to satisfy demand increases going forward. Oil demand as per OPEC in Q2 2022 is expected to exceed oil demand from Q2 2019.
On slide 14, we look at refinery expansion projects, which are primarily in China and Asia, which benefit ton-mile demand. These new refineries opening in the Middle East, which will absorb some Middle Eastern crude. The positive of this is that the Asian refineries will have to source their crude from further away in the West, again, supporting ton-miles. A large refinery is being finalized in Nigeria, but most industry specialists believe that this will significantly delay even into the mid- late 2020s. On slide 15, we take a closer look at the benefits that Okeanis Eco Tankers pure eco-fitted fleet has. We have calculated RTCE time charter daily equivalent against eco but non-scrubber, scrubber but non-eco, and non-eco non-scrubber vessels on the two main trading tanker indexes.
The average ship of our peers lies somewhere in the shaded gray box, where our ships would have an outperformance of about 160%-400%. Additionally, non-eco tonnage for VLCC and Suezmax produce about 27%-30% more CO2 emissions than our fleet. On slide 16, we break down our outperformance on the VLCCs against peers that have reported Q3 earnings so far. It is evident that the economic aspects of our ships play a significant role, but the margin comes down to our commercial approach of choosing cargoes and timing fixings. I will hand you over to Thalia to recap our summary and outlook.
Thank you, Aristidis. OET continues to distribute capital to its shareholders with the $10 million distributed in the form of cash payments of $0.31 per share, while the remaining $5 million will be in the form of share repurchases conducted in the market. Inclusive of the $24.3 million cash distribution made in June, total distributions to the shareholders from the asset sales in 2021 will amount to $39.3 million. This compares with net profits from asset sales of $67.6 million after the payment of the equity portion of the two new VLCCs. Rather than distribute the total net profits as originally contemplated, the board of directors has, for the time being, determined to retain approximately $28.3 million as cash on the balance sheet.
While the intent was to distribute the total net profits from asset sales, the company recognizes that crude tanker markets have not developed as anticipated and that bolstering by way of reducing our debt is the most prudent approach to address the current market conditions. The board of directors and management own 71% of the total shares outstanding remain steadfast in their commitment to maximize shareholders value and look forward to returning capital to shareholders when market conditions permit. We will continue to seek attractive sale S&P and as well as chartering possibilities. We have fully amortized our scrubber investment and the income generated now is pure profit. Looking forward, it is clear that the world will require more seaborne oil imports as inventories will steadily deplete. Oil demand and production continue to increase while margins are firm.
Against an aging fleet that will continuously become more stringent in its environmental impact, OET is perfectly positioned for a very exciting and bullish market ahead. On our final slide, we report our emissions. We are committed to providing transparent information on our emissions. We remain focused on returning financial value back to our investors, but our environmental impact is increasingly central to us. Over the following years, we believe the reduced emissions we generate in comparison against our peers will translate into a new income stream. To reiterate our commitment to our ESG profile, we will produce an annual ESG report from early 2022. Thank you for listening to our Q3 report.
We'll now open the line for questions. If you'd like to ask a question on today's call, please press star one on your telephone keypad. To withdraw your question, please press star two. We also kindly ask participants submitting questions via webcast to phrase their comments in the form of a question and refrain from abbreviations. As a reminder, if you'd like to ask a question on today's call, please press star one on your telephone keypad. To withdraw your question, please press star two. No questions have been submitted on the line, so I'll hand back to your host. As a reminder, if you'd like to ask a question on today's call, please press star one on your telephone keypad. To withdraw your question, please press star two. A question has been submitted. The first question comes from the line of Herman Hildan. Please go ahead.
Hi, Aristidis and Ioannis. Can you talk a bit about what you expect, you know, if you expect to see winter markets on the tanker side this year or whether we should wait until next year for the winter market on the tanker side? Thank you.
Sure thing. Thank you.
Well, of course, we have the Omicron situation that's developing, but otherwise I think we would have expected the market to turn probably in the second quarter. Right now, there's a lot of uncertainty out there, but we believe that 2022 will be better than 2021. Let's put it this way. Definitely next winter, the last quarter should be very strong.
Look, that's what I was wondering about, Ioannis, as well. Kind of how do you think about Omicron and also kind of thinking about seasonality in 2022, and you have constantly rising, you know, global oil production. How should we think about, you know, the dynamics in 2022? Thank you.
Hi, Herman, it's Aristidis . I think we saw some nice green shoots of volatility in the market, towards the beginning of Q4 and late Q3. You know, you saw that all the asset classes in dirty tankers worldwide, whether it was Aframaxes in the East or in the Mediterranean or in the U.S. Gulf, Suezmaxes East and West, and VLCCs, they all moved up, you know, from their lows into quite a bit above break even for eco scrubber-fitted ships like we own. Unfortunately, the market weakened a bit going into late November. Now with the news about the Omicron and, you know, sentiment being damaged, I'm not sure that we'll see another strengthening into December.
If oil production keeps increasing and the seaborne transit of oil keeps increasing into 2022, I expect that there will be more volatility in Q1 and Q2 and even more so in Q3 than what we saw in 2021. As Ioannis said, I also believe that we will see rates higher than what we experienced these past six months, and we're quite confident on that.
Thank you very much, Aristidis and Ioannis.
As a final reminder, if you'd like to ask a question, please press star one now. There are no further questions. Thank you for joining today's call. You may now disconnect. Host, please stay on the line and await further instructions.