Eidesvik Offshore - Regulatory Filings 2017

Charter rate reduction and agreement in principle with CGG to set up a new shipowning structure

Eidesvik is pleased to announce that it has agreed in

principle with its longstanding partner CGG to establish a

new ownership set-up for 7 seismic vessels.

This new set-up is based on the creation of a new Holding

Company that will hold the shares in two entities. One of

the entities will own the two vessels currently co-owned by

CGG and Eidesvik (Oceanic Vega and Oceanic Sirius), and the

other will own five vessels currently owned by CGG and

currently cold-stacked (Geo Coral, Geo Caribbean, Geo

Celtic, CGG Alize and Oceanic Challenger).

The two shipowning entities will be financially separated

and no guarantees will be established between the two or

from the owners. The new Holding Company, jointly owned by

CGG and Eidesvik in equal parts should be operational at the

beginning of the second quarter 2017. The implementation of

the new set up is subject to bank approval of reduced

installments on current loans.

CGG will continue to charter the Oceanic Vega and Oceanic

Sirius from the new Company and will extend the current

contract until March 2027, thus on a reduced charter rate

through the whole charter period. CGG will progressively

charter the Geo Coral (from the second quarter 2017

onwards), Geo Caribbean and Geo Celtic vessels, as the

charters of other vessels currently in operation expire.

Contact: CEO Jan Fredrik Meling (TEL +47 916 75 119)

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