FPSOcean and Bibby Ink Management Deal for FPSO

FPSOcean and Bibby Offshore Ltd., a subsidiary of Bibby Line Group Ltd., have entered a technical, operational and maintenance management agreement for its first FPSO, the DeeP Producer 1, currently under conversion at Dubai Drydocks.

FPSOcean owns the shuttle tanker MT Laurita, currently being converted at Dubai Drydocks into a deepwater Dynamically Positioned Floating Production, Storage and Offloading (DP FPSO) vessel. The vessel, to be renamed the DeeP Producer 1, is currently in the middle of its second dry docking, and several main activities are taking place, such as installation of two forward thruster room blisters, coating of part of the aft vessel and penetrations in new pump room for DP system. The DeeP Producer 1 conversion project was about 80% complete as of year end 2007. The vessel is scheduled for mechanical completion and commissioning in the second quarter and is available for first oil in the third quarter 2008.

Bibby Offshore Ltd. is located in Aberdeen, Scotland and provides subsea contracting, marine management and operational support services for offshore units including floating storage and dynamically positioned vessels. Bibby Offshore has a significant presence in the UK North Sea sector.

GreyStar Corporation, based in Houston, will work under a subcontract to Bibby Offshore, providing topside process operations and management, for DeeP Producer 1. GreyStar manages several process plants, onshore and offshore, for oil majors and nationals around the world.

FPSOcean has purchased the Aframax tanker Semakau Spirit, for delivery in 2008, and is planning to start conversion of the vessel, to be renamed DeeP Producer 2 during 2008. FPSOcean is seeking to develop a fleet of four to six deepwater FPSOs over a period of four to six years.