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ABS to Class First Conversion of CGLC from Suezmax Oil Carrier

Maritime Activity Reports, Inc.

August 30, 2006

SeaOne Maritime Corp. is contracting ABS to class and certify the proposed conversion of several existing 150,000 dwt suezmax oil tankers to Compressed Gas Liquid Carriers (CGLCs). Earlier this year ABS issued its Approval In Principle, or AIP, on the SeaOne containment system using the ABS Guidance Notes on Review and Approval of Novel Concepts. The ABS AIP process draws upon engineering, testing and risk assessments in order to determine if the concept provides acceptable levels of safety in line with current offshore and marine industry practice. The methodology relies heavily on risk assessment techniques as a way to better understand and anticipate structural and operational issues related to a new or novel concept. ABS evaluation of the overall system includes an assessment of the cargo containment system and process system to the requirements of ABS Rules, an International Gas Code (IGC) structural strength feasibility study and an analysis of the cargo tank support system. The SeaOne concept calls for gas to be stored at a modestly elevated pressure with the temperature lower than atmospheric but much warmer than the cryogenic temperature for LNG. The ABS-classed conversions will be the first for CGLCs. The SeaOne CGLC will be designed for worldwide operation. Production gas loading and sales gas offloading will be handled via a flexible pipeline connected to a conventional single point mooring using a Catenary Anchor Leg Mooring (CALM) buoy. ABS will provide the class notation: A1-Compressed Gas Liquid Carrier, AMS, F (CGL) PLR. This will be the first time they will be configured in this fashion to identify a CGLC. ABS will certify the process and marine equipment onboard the vessel to the ABS requirements as well as the European Union’s CE mark for quality and safety. Houston-based SeaOne Maritime Corp. is currently conducting extensive gas process and cargo containment prototype testing with ABS review. The tanker conversions are on a fast-track schedule of 24 months with the fabrication work expected to take place in Dubai.

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