Arctic Discoverer delivered

Kawasaki Kisen Kaisha, Ltd. (“K” Line) has entered into service its new 140,000 cbm Moss 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 “Sn?hvit Sellers” consisting of Statoil and other first-class energy companies for a period of 20 years although, due to the announcement of delay of the “Sn?hvit” project start-up date, the vessel will be short-term chartered to another major charterer upon delivery.

The vessel was specifically constructed to carry cargoes from the world?s northernmost LNG development “Sn?hvit” project in which LNG will be produced from fields located in the Barents Sea to be exported to Spain and US. This project represents a milestone for “K” Line’s participation in the North Atlantic trade and also its first operation in arctic conditions. The newbuilding 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” is the first of the 2 to be operated by “K” Line Group. The second vessel is currently under construction at Kawasaki Shipbuilding Corporation’s Sakaide Works, Japan, and scheduled to be delivered in June 2006.

Newly established “K” Line LNG Shipping (UK) Ltd., headquartered in London, will be responsible for the daily ship management of these vessels.