Ship Finance International Limited acquires three new building seismic vessels

Nordic Business Report, March 20, 2007

NORDIC BUSINESS REPORT-20 March 2007-Ship Finance International Limited acquires three new building seismic vessels(C)1994-2007 M2 COMMUNICATIONS LTD http://www.m2.com

Norwegian-controlled Bermuda-based tanker owning company Ship Finance International Limited (NYSE: SFL) said on Tuesday (20 March) that it has agreed to acquire three new building seismic vessels from SCAN Geophysical ASA based on a total delivered price of USD210m, or USD70m per vessel, including complete seismic equipment.

The vessels are being built at the ABG Shipyard in India and delivery is scheduled in January, April and July 2008.

Ship Finance is financing the transaction with a senior loan facility of USD120m and an equity contribution of USD30m. In addition SCAN will provide a non-interest bearing seller's credit of USD60m.

The vessels will commence 12-year bareboat contracts to SCAN upon delivery from the shipyard. SCAN plans to deploy the vessels in the high-end 3D contract seismic market to third party clients internationally within the oil and gas industry.

SCAN has been granted fixed-price purchase options for each of the vessels after six, 10 and 12 years.

SCAN is a seismic data acquisition company, with a current fleet of three seismic vessels in addition to the vessels Ship Finance has agreed to acquire. SCAN is listed on the OTC-list in Norway with a market capitalisation of approximately USD270m. A listing on the Oslo Stock Exchange is expected during 2007.

Ship Finance International is registered in Bermuda, but has an office in Oslo, Norway. The company is listed on the New York Stock Exchange.

One British pound (GBP) is worth approximately 1.93 US dollars (USD).

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