UK North Sea: Extension of FPSO Sevan Hummingbird Charter Contract

Under the charter contract with Centrica Energy Upstream, the charter is automatically extended by six months unless notice is given six months prior to the expiration of the contracted period.

The expiration of the initial contracted period is March 28, 2011, and the charter for FPSO Sevan Hummingbird has been extended until September 28, 2011. Day rates remain unchanged in the extension period.

FPSO Sevan Hummingbird has been operating on the Chestnut field for Centrica since September 2008 under a fixed 2.5 year contract with extension options.

The information in this announcement is subject to the disclosure requirements of the Norwegian Securities Trading Act section 5-12 and/or the Oslo Børs – Continuing Obligations.

Sevan Marine ASA is specializing in owning, operating and licensing FPSOs and drilling units, based on its patented cylindrical floater technology. Sevan Marine ASA is listed on Oslo Børs with ticker SEVAN.

In August 2008, FPSO Sevan Hummingbird became the first cylindrical FPSO to be installed in the North Sea. Actual measurements from the unit during, confirmed performance in ­accordance with model tests and theoretical analysis. In addition, the ability to take delivery of helicopters even during severe winter storms and no processing restrictions experienced in relation to weather conditions, have additionally demonstrated the suitability of the Sevan design for operations in harsh environments.

FPSO Sevan Hummingbird has continued to deliver stable operation and production throughout 2009, with a yearly average Unit Uptime of 97.4%. By the end 2009, a total of 20 cargoes and app 4.5 millions bbls of oil had been offloaded from the unit. 310 days without lost time incidents was noted at the end of the year.

FPSO Sevan Hummingbird has been operating under a 2.5+2 year charter contract for Centrica Energy Upstream. Centrica is an integrated energy company operating predominately in the UK and North America. Upstream, the company source, generate, process, trade and store energy. Downstream, the company supply gas and electricity to millions of homes and businesses and offer a distinctive range of home energy solutions and low-carbon products and services.

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Source: SevanMarine,September 29, 2010,