Front orders another heavy-lift vessel

Frontline has declared an option with COSCO Shipyard, China, to convert ?Front Target? to a heavy-lift vessel. The conversion will begin in May 2007, and completion is expected in August 2007. By fitting a new mid-ship section and upgrading all major components of the vessel, it is anticipated that the vessel will be able to operate for at least 15 years.

There are a limited number of heavy-lift vessels available in the market, the fleet is ageing, and the rig market is currently booming with a lot of offshore units currently under construction. ?Front Sunda? which is in the process of being converted to a heavy-lift vessel, is expected to be delivered in April 2007. The Company holds further options to convert single hull tankers to heavy-lift vessels which it intends to use.

Frontline has also entered into a management contract with International Transport Contractors, the Netherlands (“ITC”) with regards to the commercial operation of the heavy-lift vessels. ITC has substantial experience in the operation of heavy-lift vessels, and Frontline has shared a good working relationship with this company in connection with the management of vessels in the past.