BW Offshore (BW) is an oil service company that owns and operates Floating Production Storage and offloading (FPSO) units. Currently BW owns two VLCCs which are potential conversion candidates. The industry is characterized by long term contracts, and BW is not an exception. The FPSO industry is driven by oil companies' Exploration & Production (E&P). The FPSO industry is therefore highly correlated with the oil price.