Reducing the exposure in Ocean Yield

Ocean Yield have been my largest holding in my portfolio of public stocks. I have been an owner since 2013, and I have received a steady increase in dividends. Now I have reduced my holdings to 3/7 of the original investment. A large part of the cash flow comes from the FPSO. This contract is over next year. Normally it is not easy to replace this kind of unit, so if the oil is flowing at an acceptable level, it is likely that this contract will get renewed.

But, if this contract is not renewed, and perhaps in combination with a lay up of the Lewek Connector, then the dividend yield is not sustainable. Ocean Yield is a great company, with great management, but I choose to be on the safe side, and reduce the exposure.

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