Arrow Seismic Enters Firm Deal for Newbuild Seismic Vessel

Reference is made to the announcement dated September 1,l 2006 regarding a Letter of Intent between Arrow Seismic ASA and WesternGeco for a state-of-the art multistreamer seismic new building to be delivered in November 2008.

The parties have now agreed to modify the agreement and to enter into a firm charter for the vessel for a fixed period of six years whereupon the continuation will be regulated by a put/call option to transfer the vessel to WesternGeco. The total value of the charter hire from the fixed charter and the purchase price under the put/call option is about EUR 152 million.

The agreement with seismic major WesternGeco confirms Arrow's position as a leading supplier of multistreamer seismic vessels to the marine seismic industry with cost efficient design and focus on safe and cost efficient operations.