Mermaid, Allied Enter into Master Services Agreement for Subsea Equipment

Mermaid Maritime Public Company Limited announced that its wholly owned subsidiary, Mermaid Offshore Services Ltd., and its indirect affiliate company, Allied Marine and Equipment Sdn. Bhd., have entered into a Master Services Agreement which allows each party to have access to the other party’s sub-sea vessels, remotely operated vehicles, equipment and personnel from time to time.

AME is a Petronas licensed provider of sub-sea engineering services to the offshore oil and gas industry in Malaysia and has an established track record both in Malaysia and within the South East Asian region. The alliance will strengthen both parties’ competitive position through sharing of assets and expertise.

As part of AME’s fleet renewal program, AME, through its wholly owned subsidiary Allied Support Corporation, have also entered into a Memorandum of Agreement for the purchase of a newbuild DP2 vessel currently being constructed and completed by a European shipyard. Expected delivery is July 15, 2008. The newbuild will eventually be deployed for offshore oil and gas survey, diving and ROV work in the South East Asian region, with a primary focus for Malaysia. This newbuild vessel will replace its existing vessel “Allied Commander” which was sold in a transaction completed on June 26, 2008.