High activity level for AFP

Aker Floating Production?s (AFP) first FPSO vessel, contracted for offshore India, is slated to be completed on schedule. In the second quarter of 2007, the Indian company Reliance Industries Limited entered into a contract for chartering an FPSO vessel from AFP and the bare boat contract value is on the order of $750 million, significantly above the letter of intent announced in the first quarter of 2007. The Reliance Industries field development project represents a commercial breakthrough for Aker Floating Production.

In addition, the parties will sign an operation and maintenance contract to run in parallel with the existing bare boat charter. Conversion of ?Aker Smart 1? for the Reliance Industries project is on schedule at the Jurong shipyard in Singapore. Production start-up is scheduled for the spring of 2008.

AFP`s two other vessels, ?Aker Smart 2? and ?Aker Smart 3? are in service as storage

vessels until February 2008 and January 2009 respectively. Plans are to convert the vessels into FPSOs once their charter periods end.