Philly Shipyard Delivers Fourth Next Generation Product Tanker to Crowley

Philly Shipyard, Inc. (PSI), the sole operating subsidiary of Philly Shipyard ASA (Oslo: PHLY), today delivered the West Virginia, the fourth of four next generation 50,000 dwt product tankers that it has built for Crowley Maritime Corporation (Crowley). The vessel was delivered two weeks ahead of the contract delivery date.

This delivery is the 24^th vessel built by PSI (formerly known as Aker Philadelphia Shipyard, Inc.). The next generation 50,000 dwt product tanker is based on a proven Hyundai Mipo Dockyards (HMD) design that also incorporates numerous fuel efficiency features, flexible cargo capability, and the latest regulatory requirements. The vessel has also received LNG Ready Level 1 approval from the American Bureau of Shipping (ABS). The 600-foot tanker has a carrying capacity of 14.5 million gallons of crude oil or refined products.

"Today's delivery marks the successful completion of a four tanker series for Crowley," remarked Philly Shipyard's President and CEO Steinar Nerbovik.  "We have appreciated a strong partnership with Crowley, stemming from the previous two Crowley tankers delivered in both 2012 and 2013, and today are proud to add these four safe and quality vessels to its growing fleet. On behalf of the men and women at the shipyard, we send our well wishes to the dedicated crew that will operate the West Virginia."

"The delivery of the West Virginia represents our total commitment at Crowley to providing the best performance for our customers with efficiency and innovative solutions," said Crowley's Rob Grune, senior vice president and general manager, petroleum services. "The completion of West Virginia and its sister ships demonstrates our belief in the Jones Act trade, and our commitment to supporting our economy through U.S. shipbuilding and crewing. We congratulate Philly Shipyard for reaching this milestone, as well as the dedicated, hard-working men and women who build and crew these ships."

In line with the transaction announced by PHLY on September 22, 2015, at delivery of the West Virginia, the shipyard sold its interest in the PSI-Crowley joint venture with respect to that vessel to a subsidiary of Marathon Petroleum Corporation (MPC). The shipyard has now completely divested its interests in the PSI-Crowley joint venture.

The shipyard has commenced construction of four 50,000 dwt tankers for a subsidiary of Kinder Morgan, Inc. and two 3,600 TEU containerships for Matson Navigation Company, Inc.  For more information on Philly Shipyard transactions and projects, please visit www.phillyshipyard.com.

About Philly Shipyard:

Philly Shipyard is a leading U.S. commercial shipyard constructing vessels for operation in the Jones Act market.  It possesses a state-of-the-art shipbuilding facility and has earned a reputation as the preferred provider of oceangoing merchant vessels with a track record of delivering quality ships. Philly Shipyard is listed on the Oslo Stock Exchange and is majority-owned by Aker Capital II, which in turn is majority-owned by Aker ASA. Aker is a Norwegian industrial investment company that creates value through active ownership. Aker's investment portfolio is concentrated on key Norwegian industries that are international in scope: oil and gas, fisheries and biotechnology, and marine assets. Aker's industrial holdings comprise ownership interests in Aker Solutions, Kvaerner, Det norske oljeselskap, Aker BioMarine, Ocean Yield, Havfisk and Akastor.  

 

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

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Source: Philly Shipyard ASA via Globenewswire

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