Sevan's Subsidiary to Provide Topside for World's First FLNG Vessel

Kanfa Aragon AS, a subsidiary of Sevan Marine ASA, has today signed a Letter of Intent with Samsung Heavy Industries Co. in Korea for the development of a liquefied natural gas production topside to the world's
first Floating Liquefied Natural Gas (FLNG) Production Vessel.

The FLNG topside will be based on Kanfa Aragon`s liquefaction technology. Kanfa Aragon's scope of work includes the design and engineering of the liquefaction plant as well as procurement of major equipment items. The contract value is estimated at approximately USD 200 million.

The vessel will be owned and operated by FLEXLNG and will be ready for operation late 2011. The vessel will have a gas processing and liquefaction topside with an LNG capacity of approximately 1.7 mtpa
(million metric tons per annum) LNG.

"This agreement represents a break-through for our technology for floating LNG production and puts us in an excellent position to take our share of this growing market. We are proud that our topside solution has been chosen for the world's first floating LNG production vessel, underlining Sevan's capability to deliver fully integrated solutions for floating production of oil and gas," said Jan Erik Tveteraas, CEO Sevan
Marine ASA.