Philly Shipyard - Regulatory Filings 2016

Philly Shipyard Delivers First Next Generation Product Tanker to Kinder Morgan

Philly Shipyard, Inc. (PSI), the sole operating subsidiary of Philly Shipyard

ASA (Oslo: PHLY), today delivered the American Endurance, the first of four next

generation 50,000 dwt product tankers that it is building for American Petroleum

Tankers (APT), a subsidiary of Kinder Morgan, Inc.

This delivery is the 25(th) vessel built by PSI (formerly known as Aker

Philadelphia Shipyard, Inc.). The next generation 50,000 dwt product tanker is

based on a proven Hyundai Mipo Dockyards (HMD) design that also incorporates

numerous fuel efficiency features, flexible cargo capability, and the latest

regulatory requirements. The vessel has also received LNG Ready Level 1 approval

from the American Bureau of Shipping (ABS). The 600-foot tanker has a carrying

capacity of 14.5 million gallons of crude oil or refined products.

"Today's delivery of our 25(th) vessel, aptly named the American Endurance, is a

profound symbol of the shipbuilding legacy we have continued since re-opening in

1997. In collaboration with American Petroleum Tankers, we are proud of our

contributions to renew the current tanker fleet with a more modern and

environmentally friendly design. This vessel, like all others, was built from

the hands and hearts of 1,200 shipbuilders for future crew to operate safely and

with the quality expected."

The shipyard has commenced construction of three other 50,000 dwt tankers for

APT and two 3,600 TEU containerships for Matson Navigation Company, Inc. For

more information on Philly Shipyard transactions and projects, please visit

www.phillyshipyard.com.

About Philly Shipyard:

Philly Shipyard is a leading U.S. commercial shipyard constructing vessels for

operation in the Jones Act market. It possesses a state-of-the-art shipbuilding

facility and has earned a reputation as the preferred provider of oceangoing

merchant vessels with a track record of delivering quality ships. Philly

Shipyard is listed on the Oslo Stock Exchange and is majority-owned by Aker

Capital II, which in turn is majority-owned by Aker ASA. Aker is a Norwegian

industrial investment company that creates value through active ownership.

Aker's investment portfolio is concentrated on key Norwegian industries that are

international in scope: oil and gas, fisheries and biotechnology, and marine

assets. Aker's industrial holdings comprise ownership interests in Aker

Solutions, Kvaerner, Det norske oljeselskap, Aker BioMarine, Ocean Yield,

Havfisk and Akastor.

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

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