Nexus renegotiates delivery of second FPSO

Nexus Floating Production Ltd. (Nexus) has changed the delivery time of its second vessel, Nexus #2, to May 31, 2011.

The vessel was originally scheduled to be delivered September 30, 2010.  Nexus has also mandated an international shipping- and offshore bank to arrange a loan facility for part of the financing of the construction of Nexus #2.

“The new delivery schedule is changed to be in line with some interesting prospects that we are pursuing.  We are happy to have this flexibility in our relationship with Samsung. In addition we have been able to do this without increasing our financial costs for targeting these prospects. By aligning the delivery more closely to the market opportunities we also expect more favourable terms for the remaining financing of the project. The award of the mandate letter is the starting point for this,” says CEO of Nexus Anders Holm.

The changed delivery gives an equal extension of payments to the yard. The total cost of the changed delivery is approximately USD 34 million which is about 5 per cent of the unit cost and in line with the financing costs.

”The interest for our vessels is very promising and due to the high oil prices, we expect an even stronger FPSO market ahead,” continues Holm.

Nexus#2 has received interest from several oil companies looking at new developments in harsh environment.

For further information, please contact:
Anders Holm, CEO
aho@nexusfp.no
            +47 90 60 50 72       

Arild Bårdsen, CFO
aba@nexufp.no
            +47 92 66 75 90