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COMPANY PRESENTATIONSeptember 2019
2
DISCLAIMERFORWARD-LOOKING STATEMENTS & INFORMATION
This presentation contains forward-looking statements and forward-looking information within the meaning of
applicable securities laws. The words “expected'', “estimated”, “scheduled”, “could”, “anticipated”, “long-term”,
“opportunities”, “potential”, “continue”, “likely”, “may”, “will”, “positioned”, “possible”, “believe”, “expand” and
variations of these terms and similar expressions, or the negative of these terms or similar expressions, are intended to
identify forward-looking information or statements. But the absence of such words does not mean that a statement is
not forward-looking. Forward-looking information is based on the opinions, expectations and estimates of management
of Pyxis Tankers Inc. (“we”, “our” or “Pyxis”) at the date the information is made, and is based on a number of
assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the forward-looking information. Although we believe that the
expectations and assumptions on which such forward-looking statements and information are based are reasonable,
you should not place undue reliance on the forward-looking statements and information because we cannot give any
assurance that they will prove to be correct. Since forward-looking statements and information address future events
and conditions, by their very nature they involve inherent risks and uncertainties and actual results and future events
could differ materially from those anticipated or implied in such information. Factors that might cause or contribute to
such discrepancy include, but are not limited to, the risk factors described in our Annual Report on Form 20-F for the
year ended December 31, 2018 and our other filings with the Securities and Exchange Commission (the “SEC”). The
forward-looking statements and information contained in this presentation are made as of the date hereof. We do not
undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result
of new information, future events or otherwise, except in accordance with U.S. federal securities laws and other
applicable securities laws.
This presentation and any oral statements made in connection with it are for informational purposes only and do not
constitute an offer to buy or sell our securities. For more complete information about us, you should read the information
in this presentation together with our filings with the SEC, which may be accessed at the SEC’s website
(http://www.sec.gov).
3
COMPANY OVERVIEWEMERGING GROWTH - PURE PLAY PRODUCT TANKER COMPANY
► Focus on modern medium range (“MR”) product tankers with “eco” features
►Modern tanker fleet of six IMO-certified vessels - weighted average age of 8.5 years
►Management pursuing a sale or other long-term strategy for small tankers
Growth Oriented
with Attractive,
Modern Fleet
► Long-standing relationships with first-class customers worldwide
►As of September 15, 57% for 2019 MR available days booked at average gross rate of
~$15.1K
►Positioned to capitalize as charter rates are expected to improve in Q4 2019
Reputable Customer
Base & Diversified
Chartering Strategy
►Disciplined, substantially fixed cost structure creates greater earnings power when rates
improve
►Competitive total daily operational costs to peer group
►Moderate capitalization with long-lived funded debt
►Earliest scheduled balloon payment due Q3 2022
Competitive Cost
Structure &
Moderate
Capitalization
► Strong mgmt. team with 90+ years of combined industry and capital markets experience
► Founder/CEO has proven track record and is a major shareholder
►Board members consist of respected industry figures
Experienced,
Incentivized
Management
& Prominent Board
► IMF’s global annual growth of 3.35% should help demand outpace supply through 2020
►Historically low and rapidly declining MR2 orderbook
► Increased scrapping expected - 6% of global MR2 fleet 20 years old or more
►New environmental regulations, lead by IMO 2020, should be positive for MRs resulting
incremental demand combined with lower available capacity
Favorable Industry
Fundamentals, plus
IMO 2020 Catalyst,
Create Attractive
Entry Point
4
FLEET & EMPLOYMENT OVERVIEWPOSITIONED FOR UPSIDE OPPORTUNITIES
Our mixed chartering strategy provides upside opportunities through spot trading when rates improve and
stable, visible cash flows from time charters
Fle
et
De
tails
Fle
et
Em
plo
ym
en
t O
ve
rvie
w
57% of the remaining days of 2019, are covered, exclusive of charters’ options
Current Charter
Vessel ShipyardVessel
Type
Carrying
Capacity
(dwt)
Year BuiltType of
Charter
Charter
rate (1)Earliest
Redelivery Date
Pyxis Epsilon (2) SPP / S.Korea MR 50,295 2015 Time $15,350 March 2020
Pyxis Theta (2) SPP / S.Korea MR 51,795 2013 Time $15,375 May 2020
Pyxis Malou(3) SPP / S.Korea MR 50,667 2009 Time $14,000 Nov. 2019
Pyxis Delta Hyundai / S.Korea MR 46,616 2006 Time $14,500 Oct. 2019
Northsea Alpha(4) Kejin / China Small Tanker 8,615 2010 Spot n/a n/a
Northsea Beta (4) Kejin / China Small Tanker 8,647 2010 Spot n/a n/a
Total 216,635Avg. Age
8.8 Years
(1) These tables are dated as of September 15, 2019 and show gross rates and do not reflect commissions payable.
(2) Pyxis Theta & Pyxis Epsilon have granted the charterer an option to extend the existing one year time charter for an additional 12 months (+/- 30 days) at a gross charter rate of $17,500/d.
(3) Effective November 5, 2019, the time charter will be extended 5 to 7 months @ $15,500/d
(4) Management is pursuing sale or other long-term strategy for small tankers.
Vessel
Oct Nov Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec
Pyxis Epsilon
Pyxis Theta
Pyxis Malou
Pyxis Delta
Northsea Alpha
Northsea Beta
Spot Employment Open Days
20202019
DecSep
Fixed Employment Charterers Optional Period
5
STRONG RELATIONSHIPSQUALITY VESSELS & OPERATIONS → BLUE CHIP CUSTOMERS → ATTRACTIVE
LENDING TERMS
CUSTOMERS SENIOR LENDERSSHIPYARDS
6
SENIOR MANAGEMENT
► Joined Pyxis affiliates in 2008; 25+ years of experience in the shipping industry
►Co-founder of Navbulk Shipping S.A., a start-up dry bulk company
►5 years as Financial Director of Neptune Lines, a car carrier company
►16 years in various financial and operational positions for other ship owning and services
companies
►25+ years of experience in owning, operating and managing within various shipping
sectors, including product, dry bulk, chemical, as well as salvage and towage
► Founder of Pyxis in 2015 and Pyxis Maritime Corp. in 2007
► For the last 16 years, Managing Director & Principal of KONKAR SHIPPING AGENCIES S.A.,
an Athens-based dry bulk owner-operator established in 1968
► Joined Pyxis affiliates in 2015; 35+ years of commercial, investment and merchant
banking experience
►Previous investment banking positions include Nordea Markets (Oslo & NY)–Global Sector
Head- Shipping, and Oppenheimer (NY) – Head of Energy & Transportation
Konstantinos
“Kostas” Lytras
Chief Operating
Officer &Corporate
Secretary
Valentios “Eddie”
Valentis
Chairman & CEO
Henry Williams
CFO & Treasurer
DECADES OF EXPERIENCE
7
PYXIS ORGANIZATIONAL STRUCTURELEAN, EFFICIENT, SCALABLE ORGANIZATIONAL STRUCTURE
Administrative, Commercial &
Ship Management Services (1)
Administrative, Commercial &
Ship Management Fees
(1) As an affiliate, provides the commercial management for the fleet and supervises the crewing and technical management performed by ITM for all our vessels
(2) Provides technical management for all our vessels. ITM is a third party vessel manager, part of the VShips Group, the largest 3rd party ship manager provider in the world.
Technical
Management (2)
Quality, Cost Effective Ship Management
► Streamlined structure minimizes costs and allows management to focus on creating long term
shareholder value
►Very competitive ship management fees @ ~ $755/day/vessel provide safe and efficient operating
results compared to peers
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►Expand fleet by targeting balanced capital structure of debt and equity
►Maintain commercial lending and expand capital markets relationships
►Meet charterers’ preference for modern and eco tankers, which offer more
operating reliability and efficiency
►Maintain high standards ensuring high level of safety, customer service and support
►Continue solid margins and ship level financial discipline within Pyxis
► Focus on acquisition of IMO II and III MR2 class product tankers of 10 years of age
or less built in Tier 1 Asian shipyards
►Prudently grow company size as soon as practical
Grow the Fleet
Opportunistically
Maintain Financial
Flexibility
Focus on the Needs
of our Customers
COMPANY STRATEGYFOCUS ON QUALITY, GROWTH, SERVICE & FINANCIAL FLEXIBILITY
►Employ mixed chartering strategy between time and spot
►Maintain optionality – spot exposure offers upside during periods of market strength
►Diversify charters by customer and staggered duration
Utilize Portfolio
Approach to
Commercial
Management
MARKET OVERVIEWPRODUCT TANKER INDUSTRY
10
REFINED PRODUCTS OVERVIEW
Petroleum Products
Bitumen
Fuel Oil
Cycle Oils
Diesel/Gasoil
Kerosene
Gasolines
Clean Condensates
Naphthas
Other Bulk Liquids
Vegetable Oils & Organic Chemicals
Dirty
Products
Clean
Products
Crude
Most products tankers can switch
between clean and dirty products when
the tanks are carefully cleaned. Gasoil is
a good clean up cargo when switching
from dirty to clean products.
More sophisticated product tankers work
at this end of the market, some with the
ability to carry products and certain
chemicals.
Crude tankers carry only crude oil and
fuel oils (except possibly maiden
voyage).
Non-oil substances now covered by
revised IBC Code. To carry chemicals,
an IMO Certificate of Fitness is
required.
PRODUCT CARRYING VERSATILITY
Veg Oil/Light Chemicals
Source: Drewry, September 2019
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3.2% CAGR* in million tons of seaborne trade3.5% CAGR in ton mile demand
CHANGING TRADE ROUTES & PETROLEUM REFINERY
LANDSCAPE CREATING INCREMENTAL DEMAND
Source: Drewry, September 2019
* Compound annual growth rate
Increases in Demand due to Changing Trade Routes & Refining Landscape
1,500
1,700
1,900
2,100
2,300
2,500
2,700
2,900
3,100
3,300
600
650
700
750
800
850
900
950
1,000
1,050
1,100
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Seaborne Product Trade - Million Tons (Left Hand Scale) Ton Mile Demand - Billion Ton Miles (Right Hand Scale)
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EVOLVING TRADE ROUTES WITH TON MILES
INCREASING
Source: Drewry, September 2019
• Growth in net refining capacity expected to further drive demand for product tankers
• Lower crude / feedstock prices generate incremental refinery demand
• Arbitrage between markets create further opportunities
• Emerging, growing markets in Latin America and Africa have little refining capacity
• U.S. exports to Latin America have grown at CAGR of 12.9% from 2008 to 2018
Major Long – haul MR2 Trade Routes
13
U.S. HAS BECOME MAJOR EXPORTER OF REFINED
PRODUCTSM
illio
n B
arr
els
pe
r D
ay A
dd
itio
ns
Increasing refined product exports due to proliferation of shale oil production
Source: Drewry, September 2019
0.00
1.00
2.00
3.00
4.00
5.00
6.00
May
-09
May
-10
May
-11
May
-12
May
-13
May
-14
May
-15
May
-16
May
-17
May
-18
May
-19
United States Saudi Arabia
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REFINERY CAPACITY ADDITIONS FURTHER AWAY FROM END USERS → BOOSTING TON-MILE DEMAND
Expected Petroleum Refinery Capacity Additions Driven by Non-OECD Growth & Exports
Mill
ion
Ba
rre
ls p
er
Da
y
Source: Drewry, September 2019
-0.5
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
2019 2020 2021 2022 2023
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DECLINING MR2 ORDER BOOK
• Total MR2 vessel orderbook has fallen from ~48% high in 2007 of the then existing fleet to 5.9% (101
vessels) of the worldwide fleet
• Low ordering – 35 MR2’s in LTM ended August 2019 (2.1% of global fleet)
• Limited capacity additions scheduled beyond 2019 of 72 MR2’s due to continued limited availability
of cost-effective capital
• Worldwide MR2 fleet is expected to grow at an annual gross rate of 3.8% through 2020, without giving
effect to scrapping of older vessels and slippage of deliveries
• Slippage of 17.9% in 2018 for new build MR2 deliveries
Expected MR2 Delivery Schedule
Nu
mb
er
of
Ve
sse
ls
Source: Drewry, September 2019
0
10
20
30
40
50
60
70
80
90
100
Medium Range 2 (MR2)
Remainder of 2019 2020 2021+
16
MR2 SCRAPPING EXPECTED TO INCREASE
Global Fleet Age Distribution by Tonnage
• Average age of MR2 fleet is 10.3 years
• 102 MR2 vessels (6% of worldwide fleet) are 20 years old or more
• 24 MR2 (1.3%) scrapped in 2018
• Sizeable portion of the fleet is approaching end of its useful life - future supply will affect
replacement ability
• New environmental regulations should drive more scrapping
Source: Drewry, September 2019
0%
5%
10%
15%
20%
25%
30%
35%
<5yrs 5-10
yrs
10-15
yrs
15-20
yrs
20-25
yrs
25+
yrs
MR2
17
► Environmental regulations should lead to increased scrapping
• Force owners to either scrap earlier or make significant vessel capital
expenditures to remain operationally competitive
• 102 MR2 (6% of world fleet) are 20 year old or more
► Ballast Water Treatment System (“BWTS”)
• Ballast sea water is used to stabilize vessels and ensure structural integrity;
pumped before/after cargo is loaded/unloaded
• Starting September 2019 at vessel’s next special survey, owners will have to
install approved BWTS, which removes inactive organisms from ballast water
prior to discharge
• Retrofits in older tankers can be challenging and costly
• Fully loaded installation costs estimated to be $0.6 million for a standard MR
tanker
► New stricter regulations on sulfur emissions starting January 2020
• Limits reduced from 3.5% to 0.5%
• MR2 owners either i) install expensive scrubber ($1.5 million cost vs. ~$4.0
million vessel scrap value) to burn current grade of fuel, or ii) pay sizeable
premium (currently up to $230 per ton or $7,000 per day fully cargo laden) to
burn marine gas oil (MGO) or LSFO and run vessel at slower speed
NEW ENVIRONMENTAL REGULATIONS
TO DRIVE MORE SCRAPPING
Source: Drewry, September 2019
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Sep.09-Aug.19 MR2 Avg. Rate
Average $13,986
Low $10,800
High $19,500
Aug. 2019 $14,750
Sep.09-Aug.19 MR2 Avg. Rate
Average $10,885
Low $1,100
High $26,700
Aug. 2019 $5,070
MR2 CHARTER RATES POSITIONED FOR IMPROVEMENT
Daily MR2 Time Charter Equivalent* Spot Rates (Caribs-USAC)
1 Year MR2 Time Charter Equivalent Rates *
Source: Drewry, September 2019
* Please see Exhibit I- Definitions
USD
pe
r D
ay
USD
pe
r D
ay
0
5,000
10,000
15,000
20,000
25,000
Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17 Sep-18
MR2 10 Year Average
0
5,000
10,000
15,000
20,000
25,000
30,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2015 2016 2017 2018 2019YTD 10 Year Average
19
MODERATE MR2 ASSET VALUES CREATE ATTRACTIVE
ENTRY POINT
MR2 Asset Prices
USD
Mill
ion
* Source: Drewry, September 2019, excludes Jones Act vessels
** Tier III vessel, exclusive of higher design specifications, yard supervision costs and spares
Type ($ million) Current *2008-2019 YTD
Average * Difference
New Build (delivery Early ‘21) ** $36.0 $36.9 (2.3%)
5 yr. old 29.0 28.6 1.4%
10 yr. old 18.0 20.0 (10.1%)
10
15
20
25
30
35
40
45
50
55
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
NB Price NB Price Average 08-19 YTDSH Price - 5 Yrs Old SH Price 5 Yrs old Average 08-19 YTDSH Price - 10 Yrs Old SH Price 10 Yrs old Average 08-19 YTD
PYXIS TANKERSFINANCIAL HIGHLIGHTS
21
CAPITALIZATION AT JUNE 30, 2019
Moderate
leverage
No bank balloon
payments
scheduled until
Q3 2022
• Weighted average interest rate of total debt for the six months ended June 30, 2019 was 8.2%
At June 30, 2019
In ‘000 USD ACTUAL
Cash and cash equivalents, including restricted cash $ 4,960
Institutional debt, net of deferred financing fees 60,392
Promissory note 5,000
Total funded debt $ 65,392
Stockholders' equity 35,998
Total capitalization $ 101,390
Net funded debt $ 60,432
Total funded debt / total capitalization 64.5%
Net funded debt / total capitalization 59.6%
22
MANAGEMENT INCENTIVIZED TO ACHIEVE GROWTHFOUNDER/CEO’S SUBSTANTIAL SHAREHOLDINGS
► Common shares listed on NASDAQ Capital Market under trading symbol “PXS”
► The shareholder base as of September 15, 2019:
▪ Maritime Investors Corp. 17,097,250 (80.9% of outstanding)
▪ Public Float 4,045,751 (19.1%)
▪ Total Shares Outstanding 21,143,001 (100%)
► Our Founder/CEO’s substantial shareholdings and interests are aligned with our shareholders
23
INVESTMENT HIGHLIGHTSEMERGING GROWTH - PURE PLAY PRODUCT TANKER COMPANY
Growth Oriented with Attractive,
Modern Eco Fleet
Reputable Customer Base &
Diversified Chartering Strategy
Competitive Cost Structure & Moderate
Capitalization
Experienced, Incentivized
Management & Prominent Board
Favorable Industry Fundamentals
Create Attractive Entry Point with
Upside
NON-GAAP DEFINITIONSEXHIBIT I
25
EXHIBIT I | NON-GAAP DEFINITIONS
Daily time charter equivalent (“TCE”) is a shipping industry performance measure of the average daily revenue performance of a
vessel on a per voyage basis. TCE is not calculated in accordance with U.S. GAAP. We utilize TCE because we believe it is a
meaningful measure to compare period-to-period changes in our performance despite changes in the mix of charter types (i.e.,
spot charters, time charters and bareboat charters) under which our vessels may be employed between the periods. Our
management also utilizes TCE to assist them in making decisions regarding employment of the vessels. We calculate TCE by dividing
voyage revenues after deducting voyage related costs and commissions by operating days for the relevant period. Voyage
related costs and commissions primarily consist of brokerage commissions, port, canal and fuel costs that are unique to a particular
voyage, which would otherwise be paid by the charterer under a time charter contract.
Vessel operating expenses (“Opex”) per day are our vessel operating expenses for a vessel, which primarily consist of crew wages
and related costs, insurance, lube oils, communications, spares and consumables, tonnage taxes as well as repairs and
maintenance, divided by the ownership days in the applicable period.
We define total daily operational costs as vessel Opex, technical and commercial management fees plus allocable general and
administrative expenses, applied on a daily basis, typically in comparison of our eco-efficient and eco-modified MR’s. These costs
can vary by fleet composition, vessel delivery, operating structure, management organization and dry-dockings.
26
CONTACT
Pyxis Tankers Inc.
K. Karamanli 59
Maroussi 15125, Greece
Email: [email protected]
www.pyxistankers.com
Henry Williams
CFO & Treasurer
Phone: +1 516 455 0106/ +30 210 638 0200
Email: [email protected]