Havila Kystruten AS

Havila Kystruten AS: Norwegian Government initiates assessment of the next tender period

Havila Kystruten AS operates the four most environmentally friendly ships on the

classic coastal route between Bergen and Kirkenes. The contract with the

Ministry of Transport is for the period until 2030, with an option for the

Ministry of Transport to extend the agreement by one year.

On April 25, 2024, the Ministry of Transport announced that they have initiated

a transport and environmental analysis of the coastal route service. The aim of

the work is to assess the transportation needs that the coastal route service

should meet, its environmental consequences, and the potential for further

tightening of environmental requirements in connection with the next tender

period. The investigation will be carried out by Oslo Economics on behalf of the

Ministry of Transport.

Havila Kystruten views the initiation of work on the next tender period

positively, and well ahead of the expiration of this period in 2030. The company

is optimistic about both the need for the coastal transportation service and the

tightening of environmental requirements to operate on the route.

Havila Kystruten has a high number of local travellers (51%) and an increasing

interest in Norway as a tourist destination contributes to high overall

occupancy on board the ships. Coastal tourism also creates significant positive

ripple effects along the coast, with many local suppliers providing activities

on land in the 34 ports visited by the ships on their round trip.

Furthermore, Havila Kystruten is well positioned to meet stricter environmental

requirements in a new tender round. The company has already reduced CO2

emissions by 35% through the use of plug-in hybrid technology, which combines

propulsion machinery powered by natural gas with support from a large battery

pack. By incorporating biogas, the company can further reduce emissions by up to

90% compared to conventional Marine Diesel Oil (MDO).

Contacts:

Chief Executive Officer Bent Martini, +47 905 99 650

Chief Financial Officer Aleksander Røynesdal, +47 413 18 114

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