Ezra Cancels 2 Deepwater Vessels

Ezra Holdings Limited refers to its SGXNET announcements on September 17, 2007, and October 29, 2007, and wishes to announce the following:

Karmsund Maritime Service AS has informed Lewek Shipping Pte Ltd, a wholly owned subsidiary company of Ezra, that KMS will not be able to complete and deliver the vessels under and in accordance to the respective contracts signed. As a result, Lewek is cancelling these contracts.

Under the terms of the Contracts, Lewek is entitled to a refund of the advance payments made to KMS, totalling NOK 186 million. Lewek is now in the midst of demanding the repayment of NOK 186 million from the bank who provided refund guarantees in respect of the contracts and will release further information at the appropriate or relevant juncture in the future.