Solstad Offshore ASA — Capital/Financing Update 2018

Apr 10, 2018

Construction of and charter contracts for five new aquaculture vessels

Construction of and charter contracts for five new aquaculture vessels

Solstad Farstad ASA ("SOFF") is pleased to announce five new long-term contracts

and fleet growth within the aquaculture segment through its 50% owned company

DESS Aquaculture Shipping AS ("DESS Aquaculture").

DESS Aquaculture and Marine Harvest Norge AS ("Marine Harvest") have entered

into seven-year term charter contracts for additional two wellboats. The new

vessels will have a capacity of 3.500 m3 and will be sister vessels of the two

wellboats already under construction at the Turkish yard Sefine. Together with

the client, SALT Ship Design and Cflow, the fish handling system have been in

focus to set an improved standard for fish handling and welfare. With the new

implemented standards, the vessels will be able to carry out all of the

important operations required by the client, and thereby increase their

utilization of the vessel. DESS Aquaculture has options for two additional

wellboats under the contract with Sefine. The two new vessels will be delivered

from the yard in 1Q and 2Q 2020, respectively, and will commence their long term

contracts directly upon delivery.

Furthermore, DESS Aquaculture and Marine Harvest (Scotland) have also entered

into ten-year term charter contracts for three service vessels. The vessels will

be built at the Dutch yard Niestern Sander Scheepsbouw BV, will be delivered

during first half of 2019 and will commence their long-term contracts with

Marine Harvest directly upon delivery.

DESS Aquaculture specializes in ownership and operations of vessels used in the

aquaculture industry. The company is owned 50% by a wholly owned subsidiary of

Solstad Farstad ASA and 50% by Marine Harvest. Following the conclusion of the

five new construction contracts the Company has 6 wellboats, 1 harvest vessel

and 3 service vessels under construction, in total 10 vessels. All newbuildings

are secured long term contracts when delivered from the yard.

The investments will be financed through external financing and equity. The

SolstadFarstad 50% share of the equity in DESS Aquaculture is secured through an

agreement for a subordinated loan with a company associated with Hemen Holding

Ltd. This loan agreement has been increased with MNOK 150 up to MNOK 376. This

is considered to be sufficient equity for taking delivery of the ten vessels

under construction. The company has secured external financing for the three

vessels to be delivered in 2018.

"We are very pleased with the development within the aquaculture segment and

these latest additions to the construction program and order backlog. The

organization now look forward to take delivery of the first aquaculture vessel

during 2Q 2018." says Jon Are Gummedal, EVP Aquaculture.

Skudeneshavn, April 10th, 2018

Contacts

Lars Peder Solstad CEO, at +47 91 31 85 85

Anders Hall Jomaas CFO, at +47 40 04 29 18

Solstad Farstad ASA

www.solstadfarstad.com

This information is subject of the disclosure requirements according to the

Norwegian Securities Trading Act section §5-12