1. Setting the Scene Presentation at Intsok International Oil and Gas Business Days 2007 by Jim McCaul International Maritime Associates Washington-Houston

2. Presentation Will Cover... International Maritime Associates - 2- Website: www.imastudies.com  Role and growth of FPSOs  FPSO order backlog  Floater projects planned/under study  Projected need for additional FPSOs

3. Why FPSOs International Maritime Associates - 3- Website: www.imastudies.com  Storage capacity – units operating range from 11,000 to 2.4 million barrel capacity; system pipeline independent  Flexible – 40 units have been redeployed more than 70 times; record is Petrojarl I used on 10 fields  Large processing capacity – mega units off WA support 250,000 b/d oil process plants  Not water depth sensitive – 17 FPSOs operating in water depth over 1000m; new unit for Brazil in 1780m  Lots of conversion hulls available – 59% of existing units, 64% of units on order use converted hulls

4. 198 Production Floaters are in Operation – Including 118 FPSOs International Maritime Associates - 4- Website: www.imastudies.com

5. Five Regions Account for Almost 80% of FPSOs Now Operating International Maritime Associates - 5- Website: www.imastudies.com

6. Use of FPSOs as a Production Solution Varies by Geographical Region International Maritime Associates - 6- Website: www.imastudies.com FPSOs as % of Total Region No. Prod. Floaters No. of FPSOs Floater Inventory Processing Capacity West Africa 3528 80%91% Australia/NZ 10 100% Brazil 3619 53%64% GOM 353 9%10% China 1413 93%92% SE Asia 1814 78%88% No. Europe 3520 57%56% Other 15 11 73%82% Total 198 11860%65%

7. Production Floaters Have Grown 150% Over the Past Ten Years International Maritime Associates - 7- Website: www.imastudies.com

8. Number of FPSOs Has More Than Tripled Over the Past Ten Years International Maritime Associates - 8- Website: www.imastudies.com Year No. of FPSOs % ∆ Over 1997 % of All Production Floaters (as of July) 199728--47% 200260+114%53% 2007118+321%60%

9. 34 FPSOs Have Been Installed Off West Africa Over the Past Ten Years International Maritime Associates - 9- Website: www.imastudies.com Region has 24% of all FPSOs Includes 6 mega FPSOs Units typically spread moored 7 More units on order

10. 24 FPSOs Have Been Installed Off Brazil Over the Past Ten Years International Maritime Associates - 10- Website: www.imastudies.com Region has 16% of all FPSOs Half VLCC size, 100,000 b/d+ plants All but few turret or DICAS moored 6 more units on order

11. 14 FPSOs Installed Off Northern Europe Over the Past Ten Years International Maritime Associates - 11- Website: www.imastudies.com Region has 12% of all FPSOs Turret moored, harsh environment units Relatively small storage 3 units fitted with 150,000 b/d+ plants 4 more units on order

12. 20 FPSOs Have Been Installed Off Southeast Asia/China Over the Past Ten Years International Maritime Associates - 12- Website: www.imastudies.com Region has 23% of all FPSOs Half have 50,000 b/d or less plants Only Kikeh has 100,000 b/d+ Turret mooring common 8 more units on order

13. 11 FPSOs Have Been Installed Off Australia / New Zealand Over the Past Ten Years International Maritime Associates - 13- Website: www.imastudies.com Region has 8% of all FPSOs Half under, half over 100,000 b/d plants Turret mooring, quick disconnect common 1 unit on field for 20+ years 5 more units on order

14. Only 3 FPSOs Installed in the GOM Over the Past Ten Years International Maritime Associates - 14- Website: www.imastudies.com Region has 3% of all FPSOs All on Mexican side of the GOM 2 of the 3 are small EWT units Recent FPSO breakthrough in US GOM Cascade could be start of a new era

15. International Maritime Associates - 15- Website: www.imastudies.com 70 Production Floaters are Currently On Order – Including 52 FPSOs - - - - where to be installed - - - -

16. Order Backlog for Production Floaters Is At An All Time High International Maritime Associates - 16- Website: www.imastudies.com

17. 11 of the 52 FPSOs Now on Order Have No Field Contract International Maritime Associates - 17- Website: www.imastudies.com  AGR/Helix – being marketed as an EPU  Aker Smart 2 – marketed for benign environment  FPS Ocean – DP FPSO converted from shuttle tanker  MPF – purpose built with production/drill capability  Nexus 1 – purpose built for harsh environment  Nexus 2 – 2 nd in the series at Samsung  Nortechs 1 – 55,000 dwt tanker conversion to FPSO  Nortechs 2 – Suezmax tanker conversion to FPSO  PetroProd – Aframax conversion to FPSO  Sevan 300 – cylindrical unit, 5 th in series  Sevan 650 – larger cylindrical unit

18. More Than 40 Contractors Are Currently Fabricating or Converting Production Floaters International Maritime Associates - 18- Website: www.imastudies.com

19. Fabrication and Conversion of Production Floaters Has Been Shifting to Asia International Maritime Associates - 19- Website: www.imastudies.com

20. More Than 120 Floater Projects Are Planned or Under Study International Maritime Associates - 20- Website: www.imastudies.com

21. We See Orders for 95 to 115 FPSOs Over the Next Five Years International Maritime Associates - 21- Website: www.imastudies.com