K-Sea Transportation Partners L.P. Extends Its Vessel Newbuilding Program Through 2010

  
    
  
  
    
      K-Sea Transportation Partners L.P. (NYSE: KSP) announced today that it 
      has signed a contract to build four 50,000 barrel tank barges at 
      Jeffboat LLC, the manufacturing division of American Commercial Lines, 
      Inc. The total value of the contract is approximately $40 million, and 
      construction will start in the first quarter of calendar 2009. The first 
      vessel is scheduled for delivery in December 2009, with an additional 
      vessel delivered every three months thereafter. The contract also 
      includes an option for up to four more comparable barges.
    
    
      Timothy J. Casey, President and CEO of K-Sea, said, “We 
      are pleased with this contract, which extends our vessel newbuilding 
      program into 2010 and provides further visibility into our growth 
      opportunities. These barges will improve the quality of our fleet and 
      enhance our ability to provide our customers with safe, reliable service.”
    
    
      About K-Sea Transportation Partners
    
    
      K-Sea Transportation Partners provides refined petroleum products marine 
      transportation, distribution and logistics services in the U.S. domestic 
      marine transportation business, and its Master Limited Partnership Units 
      trade on the New York Stock Exchange under the symbol KSP. For 
      additional information about K-Sea Transportation Partners L.P., please 
      visit K-Sea’s website, including the Investor 
      Relations section, at www.k-sea.com.
    
    
      Cautionary Statements
    
    
      This press release contains forward looking statements, which include 
      any statements that are not historical facts, such as the Company’s 
      expectations regarding the timing of delivery of the tank barges to be 
      constructed, and the benefits to be derived therefrom. These statements 
      involve risks and uncertainties, including, but not limited to, delays 
      or cost overruns in the construction of the new vessels, insufficient 
      cash from operations, a decline in demand for refined petroleum 
      products, a decline in demand for tank vessel capacity, intense 
      competition in the domestic tank barge industry, the occurrence of 
      marine accidents or other hazards, the loss of any of the Company’s 
      largest customers, fluctuations in charter rates, failure to comply with 
      the Jones Act, modification or elimination of the Jones Act and adverse 
      developments in the marine transportation business and other factors 
      detailed in the Company’s filings with the 
      Securities and Exchange Commission. If one or more of these risks or 
      uncertainties materialize (or the consequences of such a development 
      change), or should underlying assumptions prove incorrect, actual 
      outcomes may vary materially from those forecasted or expected. The 
      Company disclaims any intention or obligation to update publicly or 
      revise such statements, whether as a result of new information, future 
      events or otherwise.