ODFJELL RE-ENTERED THE GAS CARRIER MARKET IN 2012 BY PURCHASING TWO 9,000 CBM LPG/ETHYLENE CARRIERS. IN 2014, ODFJELL FINALISED A JOINT VENTURE AGREEMENT WITH BREAKWATER CAPITAL AND OAK HILL ADVISORS TO FORM A LIQUEFIED PETROLEUM GAS AND ETHYLENE SHIPPING JOINT VENTURE NAMED ODFJELL GAS AS.

In 2014 we also continued the expansion of our gas carrier business by exercising options for four 22,000 cbm LPG/Ethylene carriers at Nantong Sinopacific Offshore & Engineering Co. Ltd. in China. Together with the orders for four 17,000 cbm units that we placed at the same yard in 2013, we have currently eight LPG/Ethylene carriers scheduled for delivery from 2016 to 2017. Through this expansion we will control a fleet of ten versatile gas carriers able

to load a combination of LPG, ammonia and petrochemical gases, including ethane and ethylene.

Odfjell Gas AS is 50% owned by Odfjell together with our joint venture partners Oak Hill and Breakwater Capital.

The construction of the four 17,000 cbm and four 22,000 cbm is significantly delayed, and we are in discussions with the yard on how to resolve this. According to the latest production schedule from the yard, the first 17,000 cbm vessel will be delivered in September 2016 while original expected deliveries were October 2015 – May 2016.

ESTIMATED DEMAND COMPOSITION 2015
FOR SMALL SIZE VESSEL GROUP

ETHYLENE FLEET – AGE DISTRIBUTION