Delivery of 140,000 cbm type LNG carrier “Arctic Discoverer”

February 15, 2006 -Tokyo, Japan. Kawasaki Kisen Kaisha, Ltd. (“K” Line) is pleased to announce the successful delivery of its brand new 140,000 cbm type LNG carrier “Arctic Discoverer”, constructed at Mitsui Engineering and Shipbuilding's Chiba Works in Japan. The vessel is co-owned with Statoil, Mitsui & Co. and Iino Kaiun and will be chartered to “Snøhvit Sellers” consisting of Statoil and other first-class energy companies for a period of 20 years*.

The vessel was specifically constructed to lift cargoes from the world's northernmost LNG development “Snøhvit” project in which LNG will be produced from fields located in the Barents Sea to be exported to Spain and US (approximately 4.2 million tons per annum). This project represents a milestone for “K” Line's participation in the North Atlantic trade and also its first operation in arctic conditions. “Arctic Discoverer” has been specially designed to operate in such extremely harsh environment and will maintain the highest safety and environmental standards throughout the charter period.

3 LNG carriers in total will be delivered to serve this project and “Arctic Discoverer” will be the first of the 2 to be operated by “K” Line Group. 2nd vessel is currently under construction at Kawasaki Shipbuilding Corporation's Sakaide Works also in Japan, scheduled to be delivered in June 2006. “Arctic Discoverer” is the sixth LNG vessel to be managed by “K” Line Group and will bring its LNG carrier fleet to 30 in total.

Newly established “K” Line LNG Shipping (UK) Ltd., headquartered in London, will be responsible for the daily ship management of these vessels and will provide safe, reliable, cost-effective and environmentally friendly management services following “Al Thakhira” delivered in October 2005, currently transporting LNG for RasGas II.

Corresponding to the recent rise in global demand of LNG transportation especially in the Atlantic basin, “K” Line Group has expanded its network in the Atlantic area and will step up its endeavors to further strengthen its transport capabilities, flexibly responding to the increasing and diversified global LNG shipping demands.

* Due to the announcement of delay of the “Snøhvit” project start-up date, the vessel will be short-term chartered to another major charterer upon delivery.

Ship Particulars:

For further information, please contact:

Kawasaki Kisen Kaisha, Ltd. (“K” Line)

Hiromichi Aoki General Manager, LNG Group
Tel: +81 3 3595-5478 Fax: +81 3 3595-5512
Toshio Yamazaki Manager, LNG Project Development Team, LNG Group
Tel: +81 3 3595-5484 Fax: +81 3 3595-5512

“Arctic Discoverer”