Solstad Offshore ASA — M&A Activity 2014

Jun 10, 2014

Letter of Intent (LOI) now firm contracts

Letter of Intent (LOI) now firm contracts

Reference is made to the notice sendt Oslo Stock

Exchange on 11th March 2014, where it was announced

that Solstad had signed a Letter of Intent (LOI) with

a major international offshore contractor to build

and operate a new build large subsea construction

vessel. It was also announced that Solstad had signed

a LOI with VARD Group to build this vessel.

Both LoI's have now been converted to firm contracts.

The client will charter the vessel for a minimum of 8

years from delivery, scheduled to be 2Q 2016.

The vessel is a VARD 3 19 design, developed by Vard

Design in Ålesund. The hull will be built at Vard

Tulcea in Romania, while outfitting of the vessel

will take place at Vard Brattvaag in Norway.

The vessel, which will become the largest in the

Solstad-fleet, will have a 550-ton top tension

vertical lay-system, enabling the installation of

large diameter flexible pipes in ultra-deepwater

environments. In addition, it will be equipped with a

900 ton active heave compensated offshore crane and a

4.000 ton under-deck carousel for storage of flexible

pipes, cables and umbilical's. The vessel will be

about 180 meters long, have a beam of 33 meters and a

deck area of more than 2.500 m2

Solstad Offshore ASA is among the largest offshore-

shipping companies in Norway, providing advanced

vessels and extensive maritime competence for

operations related to the offshore petroleum

industry. The company has about 1,800 employees, and

operates 47 vessels all over the world. In addition

the company has 2 large subsea vessels under

construction.

Solstad Offshore is headquartered in Skudeneshavn,

Norway and has branch offices in Brazil, Singapore,

the Philippines, the United Kingdom and Australia.

Contacts: Lars Peder Solstad and Sven Stakkestad

(phone +47 52 85 65 00).

Skudeneshavn, 10. June 2013

This information is subject of the disclosure

requirements acc. to §5-12 vphl (Norwegian Securities

Trading Act)