BW Offshore: Recycling FPSO Petroleo Nautipa in compliance with Hong Kong Convention

Recycling FPSO Petroleo Nautipa in compliance with Hong Kong Convention

BW Offshore has signed an agreement to recycle FPSO Petroleo Nautipa in compliance with the Hong Kong International Convention at Baijnath Melaram ship recycling facility (the 'Facility') in India.

The Facility is certified to ISO standards and has been issued with a Statement of Compliance by the ship classification society Class NK in accordance with IMO Resolution MEPC.210(63) and the Hong Kong International Convention for the safe and environmentally sound recycling of ships.

BW Offshore intend to have BW Offshore personnel continuously at the site during the recycling period, supplemented by additional competent personnel from a third party, to ensure Health, Safety and Environmental regulations are followed. A Ship Recycling Plan will be prepared and provided by the Facility in compliance with the above regulations. To further incentivise safe recycling, BW Offshore will pay a 'safe recycling' bonus upon completion provided the agreed requirements for safe recycling are met. BW Offshore management personnel will conduct visits to the Facility with on-site walkabouts and workforce engagement during the recycling process.

Since its conversion to an FPSO in 2002, the unit has been in operation at the Etame field offshore Gabon for Vaalco Energy until the contract was completed in 2022 and the unit was demobilised. Over the course of 20 years, the contract has been extended multiple times, from a contract that was initially 2 years firm plus 3 years of options.

The sale will free up approximately USD 9 million of liquidity.

Contact:

Stale Andreassen

CFO

+47 91 71 86 55

IR@bwoffshore.com or www.bwoffshore.com

About BW Offshore:

BW Offshore engineers innovative floating production solutions. The Company has a fleet of 4 FPSOs with potential and ambition to grow. By leveraging four decades of offshore operations and project execution, the Company creates tailored offshore energy solutions for evolving markets world-wide. BW Offshore has around 1,200 employees and is publicly listed on the Oslo Stock Exchange.

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act.