1. ZALIV OFFSHORE PRODUCTION PRESENTATION February 2010

2. 2 OUTLINE ZALIV OFFSHORE PRODUCTION PRESENTATION UKRAINE, KERCH 1.General Information 2.Oil Platforms at ZALIV 3.Contact Information

3. 3 SECTION 1  General Information

4. 4 ZALIV HISTORY ZALIV Shipyard was established in Y1938 ZALIV Shipyard is situated on the shore of Kerch Channel between the Black Sea and the Sea of Azov (more than 260 hectares) During the period from Y1940 to Y2009 more than 500 vessels were constructed at ZALIV In the 80’s ZALIV started to build Panamax tankers with double bottom/size In Y1988 the first in the world nuclear powered LASH vessel “Sevmorput” was built at ZALIV In Y1991 ZALIV built a flagship of the Ukrainian military fleet – frigate “Getman Sagaitachniy” In Y1994 ZALIV Shipyard was reorganized into a joint stock company In Y2005 ZALIV Shipyard was acquired by the company affiliated with KrAZ Industries Inc. In Y2006 ZALIV started co-operation with one of the biggest shipbuilding group in the world – Aker Yards

5. 5 In Y2007 Zaliv continued cooperation with Damen by signing a number of contracts for building of a series of combi- freighters. In Y2007 Zaliv started co-operation withoffshore construction oriented Ulstein Group, Norway. In Y2008 Zaliv has delivered 5 vessels to Ulstein Verft AS, Damen Shipyards Bergum and Bodewes Shipyards BV. In Y2009 Zaliv had 10 vessels under construction, thereby 6 of them were delivered in Y2009. In Y2009 Zaliv executed investment program supported by the shareholders for total amount of USD 12 mln. aimed towards modernization of facilities and purchasing of new technological equipment. Zaliv has also experience in construction of various block- modules for marine drilling platforms including manufacturing of underwater pipelines of big diameters for Ukrainian Oil Companies working on the shelf of the Black sea and the Sea of Azov. ZALIV HISTORY

6. 6 SECTION 2  ZALIV Facilities

7. 7 PRODUCTION FACILITIES OF ZALIV - I FACILITYDRY DOCK BUILDING BERTH NO.1 BUILDING BERTH NO.2 Maximum DWT (tons) VLCC8 000 ( 20 000 via floating dock) Length (m)364,0400,0 Width (m)60,032,0 Depth (m)11,0-- Cranes lifting capacity (tons) Gantry cranes 2 x 320, Portal cranes 5 x 80 Portal cranes 2 x 80, Portal cranes 3 x 32, Portal cranes 4 x 16 Newbuilding restrictions: - launching weight (t) - length (m) - breadth (m) 50 000,0 340,0 54,0 2 300,0 (5 500,0 via floating dock) 125,0 (150,0 via floating dock) 22,0

8. 8 2 deep-water outfitting quays 270 m and 240 m long respectively with 2 cranes (32 t lifting capacity) and 1 crane (50 t lifting capacity) 1 outfitting quay 186 m long with 1 crane (80 t lifting capacity) GUTMANN plate and profile automatic shotblasting and priming line two plasma steel cutting machines by ESAB for steel plates with the max dimensions of 1200x3500x32 mm.; “Krystall” and “Granat” heat-cutting machines for steel plates with the max dimensions of 1200x3500x200 mm pipe production shop equipped with a pipe gas-cutting machine BUG-2, pipe-bending machines TGSV-1/2 including galvanic area; two pipe-bending lathes by Schwarze Robitec; bending area is equipped with a 5’000 t press welding-assembly facilities (TTS, ESAB), including block and panel line with an output up to 50,000 t steel constructions per year providing for fabrication of panels up to 12 m x 18 m with weight up to 100 t, hull blocks 18 x 24 m with weight up to 300 t; a paint shop equipped with modern western technological and coating equipment (KIESS), with a total coating capacity 410,000 м 2/year a crane with magnetic boom by FAMAK S. A. (Poland) with the total lifting capacity of 25 tns, the lifting capacity of the magnetic boom is 16 tns., etc machining, forging, machine assembly facilities including 700 tools, 51 of them are CNC AS WELL AS all necessary facilities for construction and repair of ANY FLOATING UNITS a port certified for international vessels to call at, where general cargoes can be handled a bonded store warehouse and customs brokers, providing for quick and proper clearance. PRODUCTION FACILITIES OF ZALIV - II

9. 9 QUALITY SYSTEM AT ZALIV The level of ZALIV’s quality has obtained acknowledgment of customers; All stages of shipbuilding process at Zaliv are modernized and provide for European standards and quality. Our yard is certified by the leading classification societies, say Germanischer Lloyd, Det Norske Veritas, Bureau Veritas, Lloyd’s Register of Shipping, UKAS, Russian Maritime Register of Shipping, Shipping Register of Ukraine. classification societies

10. 10 SHIPBUILDING ZALIV is distinguished by: Great tradition Vast experience Unique production potential Significant intellectual resources Market- oriented and customer- driven concept Social responsibility Currently ZALIV is building a series of combi-freighters (CF 8200 Project) for Damen, two offshore platform supply vessels (PX-105 Project) for Ulstein International AS. As well, Zaliv is in the process of discussions with a number of European customers for construction of various types of vessels. ZALIV has produced more than 500 vessels and offshore units, including: Product-carriers Chemical tankers Oil carriers Multi-purpose vessels Container-carriers Offshore platforms Naval vessels Fishing and support vessels

11. 11 SECTION 2  Rigs on Zaliv

12. 12 OFFSHORE CONSTRUCTION As an oil platform constructor ZALIV has the following significant advantages: unique production complex artificial water area enabling to build different offshore oil and gas floating drilling platforms and big-size outfitted steel structures, including topside structures of stationary drilling rigs convenient geographic location between the offshore areas of the Black Sea and the Sea of Azov long-term and successful production track- record

13. 13 ZALIV OFFSHORE PROJECTS In the 70 th ZALIV fabricated block-modules of topside structure for stationary drilling rigs (total steel weight is more than 1’500 ton) intended for Vietnam and outfitted with all necessary equipment, systems and mechanisms and delivered “turn-key”, including wells handling systems, oils separator cleaning systems, wells valve control systems, pumps, manifolds, piping, machinery etc. Repair and modernization of jack-up drilling rigs in dry dock In Y2002 fabricated different units of stationary drilling rig intended for exploration and extraction of natural gas in the East– Kazantip field in Azov Sea ordered by Chernomorneftegaz, including bearing block, pile foundations (assembled from pipes 1220x26 fabricated at the yard from steel plates), topside structures, underwater pipelines (have also been manufactured for North – Bulganak gas field in Azov Sea) with total steel weight of more than 7’000 ton In Y2006 ZALIV finished construction of top side module structure of the shell mean offshore drilling submersible platform for the offshore drilling project of Chevron in Azov Sea.

14. 14 DRILLING RIG – CHERNOMORNEFTEGAZ The drilling units of the rig were produced at ZALIV in Y2002 under the drilling project of Chernomorneftegaz in the East-Kazantip field in Azov Sea.

15. 15 SECTION 3  Contact Information

16. 16 ZALIV Shipyard – Kiev Nikolay Kuzmenko, Chairman of the Supervisory Board nikolay.kuzmenko@zalivshipyard.com ZALIV Shipyard – Kerch Yuriy Dovgiy, Marketing Director +38 067 509 19 90 yuriy.dovgiy@zalivshipyard.com marketing@zaliv.com Web site www.zaliv.com CONTACTS