Our arbitration case in Stockholm as against the large Russian state-owned
shipyard ?Sevmash? has been decided.

Basically, the shipyard failed to deliver to us 12 ships contracted for in
2004.Whilst winning our main point, that of Sevmash being guilty of willful
misconduct, nevertheless we are seriously disappointed about the damages
awarded, only USD 43.76 million. This figure is but a fraction of the value of
our lost bargain, and of our trading losses.

The first ship should have been delivered in September 2007. By the time we felt
compelled to cancel the contracts, in February 2008, by the shipyard?s own
account the first ship was then delayed by 14 months etc.

The cost of the arbitration was apportioned 75% as against Sevmash.

For further information please contact Jan A. Hammer President/CEO on tel.: +
47 55 2700 or e-mail: jan.hammer@odfjell.com 

The Odfjell Group is a leading participant in the global market of the seaborne
transportation and storage of chemicals and other speciality bulk liquids.
The Odfjell fleet exceeds 90 ships, trading both globally and regionally. The
tank terminal division consists of eight fully or partially owned tank terminals
and nine associated tank terminals strategically located. The Odfjell Group is
headquarted in Bergen, Norway and has about 20 offices world wide.Odfjell has
about 3 700 employees and an annual gross revenue of about USD 1,5 billion.

This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act)


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