Jim Altschul: Oh, okay. And just one more thing. You’ve pretty much completed the refinancing of the $320 million facility. Was the previous facility covered by a swap? And if so, will its replacement also have a swap in place or is there going to be any impact in that area?
Gary Chapman: No. The majority of — I think it’s not all of that particular facility wasn’t matched with any swaps and to the extent that any of it was. Sorry. I don’t have that list in front of me. But the swaps would roll over onto the new debt anyway. So, it would literally be a like-for-like. And so, the answer to your question is no impact.
Jim Altschul: Okay, great. Thank you very much.
Gary Chapman: No problem, Jim. Thank you.
Operator: Thank you. Our next question comes from the line of Robert Silvera of R.E. Silvera and Associates Marine Surveyors. Your line is now open. Please go ahead.
Robert Silvera: Hi, good afternoon, Gary.
Gary Chapman: Hello, Robert.
Robert Silvera: On previous call, it was just previous call, I was just talking a lot about the tremendous climb, probably $2 million approximately in interest expense from fourth quarter 2022 to first quarter 2023. I would, as I have said many times in the past, conference calls that – that is the killer for our business. It’s a simple business. It’s a mobile pipeline, you move oil from one location to another location, take specialized equipment, etcetera, which has to be maintained properly, which you do a reasonable good job, although it seems like some of these ships are having problems lately, breakdown problems. My question is, how do you anticipate correcting the share price five years ago, when we were buying the shares, we’re paying in the 20s, low 20s for the shares.
And we’ve held them through all your trials and troubles. But its coming clear to me that as the analyst for our company, that the business model that we take these dropdowns, incur more debt and depending on variables like interest rates, we survive or suffer and now the price of the stock is down five years later, with depreciated dollars to $5 from $20, where we bought it. So we’re looking not too good. And I would like to know how you’re going to attack getting the debt down on an accelerated basis. Can you do that?
Gary Chapman: Well, we’re paying down a very significant amount of debt every year already, in the region of $80 million, $90 million a year. So, if you look at the slide that’s in the deck, you can see that, that’s happening. I think that in terms of what we’re doing is, and where the value is in this business is trying to sign new charters at good rates, and that’s what will get us the revenue, that’s what will get us the liquidity and ultimately that is what will get all of our unit holders the value. And so, we keep coming back to that same point. And I think when you look at the way in which we run the business, we paid out a very good distribution for a very long time until such point as the Board felt that they couldn’t do that anymore for the reasons that we’ve been over before around the postponements of certain projects that came about as a result of COVID from our customer’s point of view.
All of those projects are back online now. We’re expecting a strong market in the mid and long term. And we’ve said several times that we’re going through a difficult period right now, there’s a little bit of softness in the particularly the North Sea market. But the sponsors and the management team here, we’ve run this business for the long term. And we think the market was good and it will become good again. But to come back and answer your question, what are we doing? Well, it’s all about signing good charters at good rates. And that’s exactly what we’re working on.
