27 February 2006

BW Shipping announced today the purchase of eight panamax size product tankers for US$449m. The first vessel, BW Amazon, is expected to be delivered in July 2006.

Andreas Sohmen-Pao, Managing Director of BW Shipping (Singapore) commented: “Product tankers are a natural extension of our crude oil transportation business, and we have been involved in this sector in the past. We are pleased to be re-establishing a meaningful presence in the refined oil transportation market.”

The eight LR1 tankers are being built at Dalian Shipyard, China, and will be delivered from July 2006 through to 2008. The tankers were originally contracted by IMC Shipping and sold in 2005 to AL Ships in Germany. The ships will carry refined oil products such as jet fuel and gasoline, with four on 5-year time charter to Torm, and the remaining vessels on the spot market under a pool arrangement.

“Under our new BW banner, our group remains committed to all our key markets of tankers, gas, dry bulk and offshore, and continues to look for growth opportunities that will enable us to support our customers’ needs,” says Sohmen-Pao.

Information on BW

The BW group controls a fleet of over 120 vessels involved in the transportation of crude oil, gas (LNG and LPG) and dry bulk commodities as well as floating oil and gas production. Through its predecessor companies, Bergesen and World-Wide Shipping, it has been delivering energy and other vital commodities for a combined 120 years.

The group recently re-branded and re-structured under a single BW brand. The group is now divided into four distinct business areas: BW Tankers, BW Gas, BW Bulk and BW Offshore. These businesses are supported by a global network of affiliate offices known as BW Shipping. The newly acquired product tankers will be added to the BW Tanker fleet.

BW Shipping is one of the world’s leading tanker operators, with a fleet of 21 VLCCs operating worldwide. It provides commercial and technical management to the BW Group’s tanker fleet.