CLASSIFICATION NEWS OCTOBER 4, 2005 NO. 13/2005

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I CLASSIFICATION NEWS OCTOBER 4, 2005. 13/2005 STATUTORY ALERT CHANGES TO MARPOL 73/78 ANNEX I REGULATION 13G AND 13H AND RELATED REQUIREMENTS REVISED FLOWCHARTS APPLICABILITY ALL OWNERS, OPERATORS AND CHARTERERS OF SINGLE-HULL TANKERS INFORMATION The revised MARPOL 73/78 Annex I Regulation 13G and new Regulation 13H, which were adopted at MEPC 50 in December 2003 together with amendments to the Condition Assessment Scheme (CAS), entered into force on April 5, 2005. Regulation 13G, as amended, accelerates the phasing out of single-hull tankers and Regulation 13H restricts the carriage as cargo of heavy grade oil by single-hull tankers. Since MEPC 50, there have been a number of significant developments: At subsequent meetings of the Committee (MEPC 51, 52 and 53) various clarifications and unified interpretations of the Annex I Regulations were made. The definition of heavy grade oil under Regulation 13H(2) was amended at MEPC 53. As a result of Resolution MEPC.117(52), Annex I will be revised with new Regulation numbers from January 1, 2007. Since October 21, 2003, the European Union has been agreeing additional requirements. In December 2004, the EU modified its own requirements to bring them in line with IMO requirements for CAS. Fujairah Port has issued Notice to Mariner No. 84/2005 and 85/2005, which ban single-hulled oil tankers over 25 years old and those over 15 years old which have not carried out a satisfactory CAS survey. Some flag administration requirements apply in addition to Annex I. In particular, the Oil Pollution Act 1990 (OPA 1990) is still in force for US waters and for US-flagged ships. The attached flowcharts, which supersede those published with Classification News No. 31/2003, have been produced by Lloyd s Register to provide guidance on: establishing which category a tanker falls into. tanker phase-out dates the applicability of restrictions on carrying heavy grade oil in single-hulled tankers the requirements of CAS specific flag administration requirements. HELP US TO HELP YOU if you are an owner or operator and require further assistance, please get in touch with your local Lloyd s Register Group office at the earliest opportunity and we will be happy to assist. Further information Contact: Jonathan Morley T: + 44 (0)20 7423 2422 F: + 44 (0)20 7397 4247 E: jonathan.morley@lr.org www.lr.org 2005 Lloyd s Register Services are provided by members of the Lloyd s Register Group. Lloyd s Register, Lloyd s Register is an exempt charity under the UK Charities Act 1993.

CONTENTS MARPOL Annex I Regulation 13G flowchart 3 Category 1 4 Category 2 & 3 5 MARPOL Annex I Regulation 13H flowchart 6 European Union Regulation (EC) 417/2002 flowchart 8 Fujairah NTM No. 84/2005 and 85/2005 flowchart 9 United States OPA 90 requirements information 10 Lloyd s Register, its affiliates and subsidiaries and their respective officers, employees or agents are, individually and collectively, referred to in this clause as the Lloyd s Register Group. The Lloyd s Register Group assumes no responsibility and shall not be liable to any person for any loss, damage or expense caused by reliance on the information or advice in this document or howsoever provided, unless that person has signed a contract with the relevant Lloyd s Register Group entity for the provision of this information or advice and in that case and responsibility or liability is exclusively on the terms and conditions set out in that contract.

ABCD MARPOL Page 3 Annex I Regulation 13G flowchart MARPOL definitions Application dates for 13F (new 19) are: building contract placed on or after 6 July 1993, or in the absence of a building contract, the keel laying or similar stage of construction is on or after 6 January 1994, or delivery on or after 6 July 1996 MARPOL definitions The requirement for minimum distances between the cargo tank boundaries and the ship side and bottom plating need not be met in all respects. In that event, the side protection distances shall not be less than those specified in the IBC Code for type 2 cargo tank location and the bottom protection distances shall comply with regulation 13E(4)(b) (new 18.15.2) of MARPOL Annex I. In the new Regulation 19.3 (old 13F(3)) the oil cargo tanks can be protected by Type 3 Chemical or Noxious Liquid Substance tanks. TE 1 Regulation 1(26) (new 1.28.4) requires SBT and PL [see reg 13 (new 18)], a COW system (crude oil tankers only [see reg 13B (new 33.1&2+35.1&2)]) and a small diameter stripping line to the manifold [see reg 18(4) (new 30.4)}. Is ships deadweight < 20,000 but 5,000 tonnes? Is the ship an oil tanker of 600 tonnes deadweight? Was ship delivered before 13F (new 19) dates and is ships deadweight 5000? Does ship comply with 13F(3)(a) and (b) (new 19.3.1&2) full double sides and double bottom? Does ship comply with 13F(4) (new 19.4) middeck tanker or with 13F(5) (new 19.5) other approved method of design and construction? Does ship carry crude oil, fuel oil, heavy diesel oil or lubricating oil? Does ship comply with requirements for a new oil tanker as defined in regulation 1(26) (new 1.28.4)? (See note 1) Is ships deadweight < 30,000 but 5,000 tonnes? Regulations 13G&H (new 20& 21), and EU regulations are not applicable. But see Fujairah & OPA 90 flow charts. Regulation 13G (new 20) is not applicable. But see Regulation 13H + EU + Fujairah + OPA 90 flow charts Regulation 13G&H (new 20& 21), EU and Fujairah regulations are not applicable. But see OPA 90 flow chart. Regulation 13G&H (new 20& 21), EU and Fujairah regulations are not applicable. But see OPA 90 flow chart. MARPOL definitions For the purpose of this reg: Heavy diesel oil means diesel oil other than those distillates of which more than 50 per cent by volume distils at a temperature not exceeding 340 C when tested by the method acceptable to the Organization. Fuel oil means heavy distillates or residues from crude oil or blends of such materials intended for use as a fuel for the production of heat or power of a quality equivalent to the specification acceptable to the Organization. Category 3 Category 2 Category 1 Category 3 Now refer to 13G flow chart appropriate to the Category of oil tanker + 13H flow chart. See also the European Union, and Fujairah flow charts plus United States OPA 90 information.

ABCD MARPOL Page 4 Annex I Regulation 13G flowchart Category 1 A Category 1 oil tanker shall comply with the requirements of Regulation 13F (new 19) of MARPOL 73/78 Annex I not later than 5 April 2005 or the anniversary of the date of delivery of the ship on the date or in the year specified as follows: 5 April 2005 for ships delivered on 5 April 1982 or earlier; The anniversary of the date of delivery of the ship in 2005, for ships delivered after 5 April 1982. When the tanker reaches the dates stipulated above, there are limited options to allow any continued trading, but there are a few examples: - (a) the tanker change to MARPOL 73/78 Annex I Category 2 or 3, as shown on the previous page; or (b) the tanker is to no longer carry MARPOL 73/78 Annex I oil cargoes, but only to carry Annex II Noxious Liquid Substances or Chemical Code cargoes. Please note that MARPOL 73/78 Annex II is also revised from 1 January 2007, the permitted cargo lists will be revised and the Approved Procedures & Arrangements Manual to be updated. (c) the tanker is to be used as a Floating Storage Unit (FSU) or Floating Production Storage and Offshore facility (FPSO) TE The Condition Assessment Scheme (CAS) will not apply to these ships, as no Category 1 ship will be permitted to trade beyond 2005.

ABCD MARPOL Page 5 Annex I Regulation 13G flowchart Category 2 and 3 A Category 2 or 3 oil tanker shall comply with the requirements of Regulation 13F (new 19) of MARPOL 73/78 Annex I not later than 5 April 2005 or the anniversary of the date of delivery of the ship on the date or in the year specified as follows: 5 April 2005 for ships delivered on 5 April 1977 or earlier The anniversary of the date of delivery of the ship in 2005 for ships delivered after 5 April 1977 but before 1 January 1978 The anniversary of the date of delivery of the ship in 2006 for ships delivered in 1978 and 1979 The anniversary of the date of delivery of the ship in 2007 for ships delivered in 1980 and 1981 The anniversary of the date of delivery of the ship in 2008 for ships delivered in 1982 The anniversary of the date of delivery of the ship in 2009 for ships delivered in 1983 The anniversary of the date of delivery of the ship in 2010 for ships delivered in 1984 or later A Category 2 or 3 oil tanker of 15 years and over after the date of its delivery shall comply with the Condition Assessment Scheme adopted by the Marine Environment Protection Committee by resolution MEPC.94 (46), as amended, to enable it to trade until the dates stipulated above. The first CAS survey shall be carried out concurrent with the first intermediate or renewal survey after 5 April 2005, or after the date when the ship reaches 15 years of age, whichever occurs later, and at 5 year periods thereafter. TE The Administration of a State which allows, suspends, withdraws or declines the application of CAS to a ship entitled to fly its flag shall communicate to the IMO details of the ship for circulation to other Administrations for their information and appropriate action, if any. OPTION 1 In the case of a Category 2 or 3 oil tanker fitted with only double bottoms or double sides not used for the carriage of oil and extending to the entire cargo tank length, or double hull spaces which are not used for the carriage of oil and extend to the entire cargo tank length, but does not fulfil the conditions for being exempted from the provisions of regulation 13G(1)(c) (new 20.1.3), the Administration may allow continued operation of such a ship beyond the dates specified above, provided that: (a) the ship was in service on July 1, 2001; (b) the Administration is satisfied by verification of the official records of the ship that it complied with the conditions specified above; (c) the conditions of the ship specified above remain unchanged; and (d) such continued operation does not go beyond the date on which the ship reaches 25 years after the date of its delivery. OPTION 2 The Administration may allow continued operation of a Category 2 or 3 oil tanker beyond the dates specified above, if satisfactory results of the Condition Assessment Scheme warrant that, in the opinion of the Administration, the ship is fit to continue such operation, provided that the operation shall not go beyond the anniversary of the date of delivery of the ship in 2015 or the date on which the ship reaches 25 years after the date of its delivery, whichever is the earlier date. The first CAS survey shall be carried out concurrent with the scheduled intermediate or renewal survey due prior to the anniversary of the date of delivery of the ship in 2010. TE (a) The Administration of a Party to the present Convention which allows the application of Option 1 above, or allows, suspends, withdraws or declines the application of Option 2 above, to a ship entitled to fly its flag shall forthwith communicate to the Organization for circulation to the Parties to the present Convention particulars thereof, for their information and appropriate action, if any. (b) A Party to the present Convention shall be entitled to deny entry into the ports or offshore terminals under its jurisdiction of oil tankers operating in accordance with the provisions of: Option 1 above beyond the anniversary of the date of delivery of the ship in 2015; or Option 2 above.

ABCD MARPOL Page 6 Annex I Regulation 13H flowchart MARPOL definitions For the purpose of this regulation heavy grade oil means any of the following: (a) crude oils having a density at 15 C higher than 900 kg/m 3 (b) oils, except crude oils, having either a density at 15 C higher than 900 kg/m 3 or a kinematic viscosity at 50 C higher than 180 mm 2 /s Is the ship an oil tanker of 600 tonnes deadweight carrying heavy grade oil as cargo, regardless of its date of delivery? Regulation 13H (new 21) is not applicable. (c) bitumen, tar and their emulsions. MARPOL definitions The requirement for minimum distances between the cargo tank boundaries and the ship side and bottom plating need not be met in all respects. In that event, the side protection distances shall not be less than those specified in the IBC Code for type 2 cargo tank location and the bottom protection distances shall comply with regulation 13E(4) (b) (new 18.15.2) of MARPOL Annex I. In the new Regulation 19.3 (old 13F(3)) the oil cargo tanks can be protected by Type 3 Chemical or Noxious Liquid Substance tanks. Does ship comply with 13F(3)(a) and (b) (new 19.3.1 & 2) full double sides and double bottom? Does ship comply with 13F(4) (new 19.4) mid-deck tanker or with 13F(5) (new 19.5) other approved method of design and construction? Regulation 13H (new 21) is not applicable. Regulation 13H (new 21) is not applicable. Regulation 13H (new 21) is applicable for an oil tanker carrying heavy grade oil. Now refer to the flow-chart on the following page for the requirements of Regulation 13H (new 21).

ABCD MARPOL Page 7 Annex I Regulation 13H flowchart Oil tankers with deadweight of 5000 tonnes Oil tankers with deadweight of 600 but < 5000 tonnes The tanker must comply with the requirements of Regulation 13F (new 19) of MARPOL 73/78 Annex I not later than 5 April 2005. The tanker must be fitted with both double bottom tanks or spaces complying with the provisions of regulation 13F(7)(a) (new 19.6.1) of MARPOL Annex I, and wing tanks or spaces arranged in accordance with regulation 13F(3)(a) (new 19.3.1) and complying with the requirement for distance w as referred to in regulation 13F(7)(b) (new 19.6.2), not later than the anniversary of the date of delivery of the ship in the year 2008. Wing tanks required for the protection of the entire cargo tank length by Regulation 19.6.2, for the purpose of compliance with Regulation 21.4.2, can be used as cargo tanks for the carriage of oil other than heavy grade oils when the ship is provided with cargo tanks so arranged that the capacity of each cargo tank does not exceed 700m³. OPTION 1 In the case of an oil tanker carrying heavy grade oil as cargo fitted with only double bottoms or double sides not used for the carriage of oil and extending to the entire cargo tank length, or double hull spaces which are not used for the carriage of oil and extend to the entire cargo tank length, but does not fulfil the conditions for being exempted from the provisions of regulation 13H(1)(b) / 13G(1)(c) (new 21.1.2/20.1.3), the Administration may allow continued operation of such a ship, provided that: (a) the ship was in service on 4 December 2003; (b) the Administration is satisfied by verification of the official records of the ship that it complied with the conditions specified above; (c) the conditions of the ship specified above remain unchanged; and (d) such continued operation does not go beyond the date on which the ship reaches 25 years after the date of its delivery. OPTION 2 The Administration may allow continued operation when carrying crude oil having a density at 15 C higher than 900 kg/m 3 but lower than 945 kg/m 3 beyond 5 April 2005, if satisfactory results of the Condition Assessment Scheme referred to in regulation 13G(6) (new 20.6) of MARPOL Annex I warrant that, in the opinion of the Administration, the ship is fit to continue such operation, having regard to the size, age, operational area and structural conditions of the ship and provided that the operation shall not go beyond the date on which the ship reaches 25 years after the date of its delivery. The first CAS survey shall be carried out concurrent with the first intermediate or renewal survey: - after 5 April 2005, or - after the date when the ship reaches 15 years of age whichever occurs later, and at 5 year periods OPTION 3 The Administration may allow continued operation of an oil tanker beyond the anniversary of the date of delivery of the ship in 2008, if, in the opinion of the Administration, the ship is fit to continue such operation, having regard to the size, age, operational area and structural conditions of the ship, provided that the operation shall not go beyond the date on which the ship reaches 25 years after the date of its delivery. TE 1 The Administration of a Party to the present Convention may exempt an oil tanker of 600 tons deadweight and above carrying heavy grade oil as cargo from the provisions of this regulation if the oil tanker: (a) either is engaged in voyages exclusively within an area under its jurisdiction, or operates as a floating storage unit of heavy grade oil located within an area under its jurisdiction; or (b) either is engaged in voyages exclusively within an area under the jurisdiction of another Party, or operates as a floating storage unit of heavy grade oil located within an area under the jurisdiction of another Party, provided that the Party within whose jurisdiction the oil tanker will be operating agrees to the operation of the oil tanker within an area under its jurisdiction. TE 2 (a) The Administration of a Party to the present Convention which allows, suspends, withdraws or declines the application of Options 1, 2, 3 or TE 1 above to a ship entitled to fly its flag shall forthwith communicate to the Organization for circulation to the Parties to the present Convention particulars thereof, for their information and appropriate action, if any. (b) Subject to the provisions of international law a Party to the present Convention shall be entitled to deny entry of oil tankers operating in accordance with the provisions of Options 1, 2 or 3 above into the ports or offshore terminals under its jurisdiction or deny ship-to-ship transfer of heavy grade oil in areas under its jurisdiction except when this is necessary for the purpose of securing the safety of a ship or saving life at sea. In such cases, that Party shall communicate to the Organization for circulation to the Parties to the present Convention particulars thereof for their information.

ABCD European Page 8 Union Regulation (EC) 417/2002 flowchart This flow diagram applies to Category 1, 2 or 3 oil tankers flying an EU flag, and tankers irrespective of their flag entering or leaving a port or an offshore terminal or anchoring in an area under the jurisdiction of an EU Member State With effect from October 21, 2003, no oil tanker with a deadweight 5000, carrying heavy grades of oil, irrespective of its flag, shall be allowed to enter or leave ports or offshore terminals or to anchor in areas under the jurisdiction of an EU Member State, unless such tanker is a double-hulled oil tanker. Oil tankers with a deadweight of 600 but < 5000 shall comply with this requirement no later than the anniversary of the date of delivery of the ship in the year 2008. Oil tankers operated exclusively in ports and inland navigation may be exempted from this obligation provided that they are duly certified under inland waterway legislation. TE: Heavy grades of oil shall mean: 1. Crude oils with a density at 15 C of over 900kg/m 3 (corresponding to an API grade of less than 25.7); 2. Fuel oils with a density at 15 C of over 900kg/m 3 or a kinematic viscosity at 50 C of over 180mm 2 /s (corresponding to a kinematic viscosity of over 180 cst); 3. Bitumen and tar and emulsions thereof. Category 1 Category 2 Category 3 A Category 1 oil tanker shall comply with the requirements of Regulation 13F (new 19) of MARPOL 73/78 Annex I not later than the anniversary of the date of delivery of the ship in the year specified as follows: 2004 for ships delivered in 1981 or earlier 2005 for ships delivered in 1982 or later A Category 2 or 3 oil tanker shall comply with the requirements of Regulation 13F (new 19) of MARPOL 73/78 Annex I not later than the anniversary of the date of delivery of the ship in the year specified as follows: 2004 for ships delivered in 1976 or earlier 2005 for ships delivered in 1977 2006 for ships delivered in 1978 and 1979 2007 for ships delivered in 1980 and 1981 2008 for ships delivered in 1982 2009 for ships delivered in 1983 2010 for ships delivered in 1984 or later The Condition Assessment Scheme does not apply to these ships as they will have been phased out. TE Until October 21, 2005, an EU Member State may, in cases where ice conditions require the use of an ice-strengthened vessel, allow ice-strengthened single-hull oil tankers, equipped with double bottoms not used for the transport of oil and extending over the entire length of the cargo tank, carrying heavy grades of oil, to enter or leave a port or offshore terminal or anchor in an area under the jurisdiction of that Member State, provided that the heavy grades of oil are transported only in the vessel s central tanks. Irrespective of it s flag, a single-hull oil tanker above 15 years of age shall not be allowed to enter or leave ports or offshore terminals or anchor in areas under the jurisdiction of an EU Member State beyond the anniversary of the date of delivery of the ship, in 2005 for Category 2 and 3 tankers, unless it complies with the Condition Assessment Scheme (CAS) adopted by MEPC.94(46) as amended by MEPC.99(48) and MEPC.112(50). The first CAS survey shall be carried out concurrent with the first intermediate or renewal survey after 5 April 2005, or after the date when the ship reaches 15 years of age, whichever occurs later, and at 5 year periods thereafter. Oil tankers of Category 2 or 3 which are equipped only with double bottoms or double sides not used for the transport of oil and extending for the whole length of the cargo tanks, or with double-hulled spaces not used for the transport of oil and extending for the whole length of the cargo tanks, but which do not meet the conditions for exemption under the provisions of MARPOL Annex I Regulation 13G(1)(c) (new 20.1.3), may continue to be operated after the date specified above, but not beyond the anniversary of the date of delivery of the ship in 2015 or the date on which the ship reaches 25 years after the date of its delivery, whichever is the sooner.

ABCD Fujairah Page 9 NTM No. 84/2005 and 85/2005 flowchart This flow diagram applies to all Single Hull Tankers irrespective of their flag entering or leaving the Port of Fujairah and Fujairah Offshore Anchorage Area With effect from 26 June 2005, in accordance with Notice To Mariner No. 84/2005 and 85/2005(amended); no single hull tanker, irrespective of its flag, shall be allowed to enter or leave the Ports of Fujairah and Fujairah Offshore Anchorage Area, unless the following terms must be complied with. 1- Ship certificates as per Notice to Mariner No. 84/2005, as amended, must be valid and available onboard. 2- Satisfactory results from the "CAS" (Condition Assessment Scheme) for single hull tankers of age 15 and more. 3. Permission from Flag State for continued operation of Single Hull Tankers. 4. Do not accept single hull tanker at or past 25 years from the date of delivery to call at Port of Fujairah and Fujairah Offshore Anchorage Area. Tankers of above category will be allowed to call Port of Fujairah and Fujairah Offshore Anchorage Area if the tanker is in BALLAST CONDITION and calling only for bunkers, desloping, crew change, medical service, stores and provisions. These vessels should quit from Fujairah Offshore Anchorage immediately after completion of aforesaid services. Vessels for awaiting orders are not allowed. There is no definition of Single Hull Tanker, but it means all vessels that are not Regulation 13F (new 19), Regulation 13G(1)(c) (new 20.1.3), or Regulation 13H(1)(b) (new 21.1.2) compliant. There is no lower Deadweight limit. Please note that MARPOL 73/78 Annex I Regulation 13G (new 20) only applies to vessels greater than 5000 Tonne Deadweight. Notice To Mariners are posted on their website http://www.fujairahport.ae/not_to_marine/notic_index.cfm Single Hull Tanker Irrespective of it s flag, all single-hull oil tanker above 15 years of age shall not be allowed to enter or leave the Port of Fujairah and Fujairah Offshore Anchorage Area beyond the anniversary of the date of delivery of the ship, unless it complies with the Condition Assessment Scheme (CAS) adopted by MEPC.94(46) as amended by MEPC.99(48) and MEPC.112(50). Fujairah requires Condition Assessment Scheme (CAS), to be effective immediately and does not allow postponement until the first Intermediate or Renewal Survey after 5 April 2005, or after the date when the ship reaches 15 years of age, whichever occurs later, as per the IMO requirements. The requirement for permission from Flag State of the vessel for continued operation of Single Hull Tankers: If IOPP Certificate and Form B are issued by an IACS Member or Flag Authority and the CAS Certificate issued by the Flag Authority of the Vessel s registration, should be sufficient. A tanker shall comply with the requirements of Regulation 13F (new 19) of MARPOL 73/78 Annex I at or past 25 years from the date of delivery of the ship; which is as follows: 2004 for ships delivered in 1979 or earlier 2005 for ships delivered in 1980 2006 for ships delivered in 1981 2007 for ships delivered in 1982 2008 for ships delivered in 1983 2009 for ships delivered in 1984 2010 for ships delivered in 1985 etc

Page 10 ABCD United States OPA 90 requirements information THE OIL POLLUTION ACT OF 1990 (OPA 90) PHASE-OUT SCHEDULE FOR EXISTING SINGLE HULL VESSELS CARRYING OIL IN BULK General The U.S. have not adopted the amended regulations of MARPOL 13F, 13G and 13H (New 19 to 21), thus the phase-out dates for single hull vessels subject to chapter 37 of Title 46, U.S. Code, constructed or adapted to carry or that carry oil in bulk as cargo or cargo residue and operating on waters subject to the jurisdiction of the United States are different to the requirements set by MARPOL. In some cases, the disparity between U.S. Federal law and the amended MARPOL regulations requires phase-out of single hull tank vessels before their OPA 90 phase-out dates. Additionally, U.S. Federal law does not require tank vessels to meet the requirements of the Condition Assessment Scheme (CAS). Compliance with MARPOL Regulation 13F (New 19) double hull standards alone will not be sufficient to trade in the U.S. All foreign vessels that wish to operate in U.S. trade must document their compliance with OPA 90's double hull design standards 33 CFR 157.10d by completing the requirements of 33 CFR 157.24(c). The U.S. Coast Guard is making available the Environmental Equivalency Evaluation Index http://www.uscg.mil/hq/g-m/mse/mse2-dh-alt-eval-index.pdf (EEEI), which is intended to establish a methodology to assess the oil outflow performance of alternative designs to the double hull tanker. It consists of a number of modifications to the revised interim guidelines for approval of alternative double hull designs promulgated by the IMO in Res. MEPC.110(49). Under OPA 90, only Congress can authorise an alternative tank vessel design to double hull tanker, so Congressional authorisation would still be required. See Federal Register Volume No. 138 page 41777( http://a257.g.akamaitech.net/7/257/2422/14mar20010800/edocket.access.gpo.gov/2005/pdf/05-14265.pdf ) (dated July 20, 2005). In OPA 90 there appears to be no possible relaxation, to any of the OPA 90 requirements for existing vessels similar to MARPOL 73/78 Annex I Regulation 13G(1)(c) (new 20.1.3). Application All tank vessels, including those that carry oil in bulk as a secondary cargo (i.e., break bulk freight vessels, container vessels, combination freight vessels, passenger vessels, ferries, etc.), that trade in U.S. waters, are required to meet the U.S. double hull standards. If a single hull vessel wishes to continue operating in U.S. waters after its phase-out date until 1 January 2015, it will only be allowed to offload oil to a deepwater port licensed under the Deepwater Port Act of 1974, or to a designated lightering zone, more than 60 miles offshore, that has been designated under the requirements of 46 U.S.C. 3715(b)(5).

Page 11 ABCD United States OPA 90 requirements information Exemptions The following vessels that carry oil in bulk as cargo or cargo residue are exempted or excluded from the double hull requirements (46 U.S.C. 2101 and 3703(a)): Note 1. An oil spill response vessel. 2. Vessels deemed not to be tank vessels for the purpose of any law, including 46 U.S.C. 3703a - a. An offshore supply vessel; or b. A fishing vessel or fish tender vessel of not more than 750 gross tons. 3. Vessels of less than 5000 gross tons equipped with a double containment system as determined by the Commandant (G-MOC) to be as effective as a double hull for the prevention of discharge of oil. 4. Exemptions before 1st January 2015 - a. A vessel unloading oil in bulk as cargo at a deepwater port licensed under the Deepwater Port Act of 1974; or b. A delivering vessel that is off loading oil in bulk as cargo in lightering activities within a lightering zone established under 46 U.S.C. 3715(b)(5), and more than 60 miles from the territorial sea base line, as defined in 33 CFR 2.05-10. Oil means: Oil of any kind or in any form including, but not limited to: petroleum, fuel oil, sludge, oil refuse, and Oil mixed with wastes other than dredged spoil. This includes liquid hydrocarbons as well as animal and vegetable oils. Waters subject to the jurisdiction of the United States means: The navigable waters of the United States and the Exclusive Economic Zone of the United States. Double Sides or Double Bottom vessels: If a single hull vessel has double sides or double bottom voids that meet the minimum width or height dimensions of 33 CFR 157.10d, this will extend the vessel's operations in U.S. waters per the phase-out schedule in TABLE 2 in the column Single Hull with Double Side or Double Bottom. If the double side or bottom voids do not cover the complete cargo tank length (33 CFR 157.03) of the vessel, or do not meet the width for side voids or height for bottom voids, the vessel will be considered a single hull for the phase-out schedule of TABLE 2 in the column Single Hull.

Page 12 ABCD United States OPA 90 requirements information Phase out dates Dates for which Vessels that do not meet U.S. Double Hull Standards must comply Types of water under the jurisdiction of the United States vessels are operating in Vessels of less Vessels of 5000GRT and above than 5000GRT Category A Category B For Vessels to Navigate/Operate in all U.S. waters 1st January 2015 Immediate effect see table 2 (max 1 st January 2015) For Vessels to Navigate/Operate in U.S. '...deepwater ports or designated lightering zone ' only 1st January 2015 1st January 2015 1st January 2015 Category A For a single hull vessel: a. For which the building contract was awarded on or after June 30, 1990; or b. That was delivered on or after January 1, 1994; or c. That undergoes a major conversion for which: i. The contract was awarded on or after June 30, 1990; or ii. Conversion was completed on or after January 1, 1994 Category B For a single hull vessel that does not meet the U.S. double hull standards and was built: a. under a contract awarded before June 30, 1990, or b. delivered before January 1, 1994, or c. on which a major conversion was completed under a contract awarded before June 30, 1990, and delivered before January 1, 1994, or d. was qualified as a wreck, rebuilt and documented under section 4136 of the Revised Statutes of the U.S. (46 U.S.C. app. 14).

ABCD United States OPA 90 requirements information Table 2 Vessels of 5000GRT and above Category B 5000 to less than 30000GRT Single Hull Single Hull with Double Side or Double Bottom Date of Build or Major Conversion Date Double Hull Required Date of Build or Major Conversion Date Double Hull Required Vessels delivered in 1979 or before January 1st 2005 Vessels delivered in 1974 or before January 1st 2005 Vessels delivered in 1980 Anniversary Date in 2005 Vessels delivered in 1975 Anniversary Date in 2005 Vessels delivered in 1981 Anniversary Date in 2006 Vessels delivered in 1976 Anniversary Date in 2006 Vessels delivered in 1982 Anniversary Date in 2007 Vessels delivered in 1977 Anniversary Date in 2007 Vessels delivered in 1983 Anniversary Date in 2008 Vessels delivered in 1978 Anniversary Date in 2008 Vessels delivered in 1984 Anniversary Date in 2009 Vessels delivered in 1979 Anniversary Date in 2009 Vessels Delivered after December 31st 1984 January 1st 2010 Vessels delivered in 1980 Anniversary Date in 2010 Vessels delivered in 1981 Anniversary Date in 2011 Vessels delivered in 1982 Anniversary Date in 2012 Vessels delivered in 1983 Anniversary Date in 2013 Vessels delivered in 1984 Anniversary Date in 2014 Vessels Delivered after December 31st 1984 January 1st 2015 More than 30000GRT Single Hull Single Hull with Double Side or Double Bottom Date of Build or Major Conversion Date Double Hull Required Date of Build or Major Conversion Date Double Hull Required Vessels delivered in 1981 or before Anniversary Date in 2004 Vessels delivered in 1976 or before Anniversary Date in 2004 Vessels delivered in 1982 Anniversary Date in 2005 Vessels delivered in 1977 Anniversary Date in 2005 Vessels delivered in 1983 Anniversary Date in 2006 Vessels delivered in 1978 Anniversary Date in 2006 Vessels delivered in 1984 Anniversary Date in 2007 Vessels delivered in 1979 Anniversary Date in 2007 Vessels delivered in 1985 Anniversary Date in 2008 Vessels delivered in 1980 Anniversary Date in 2008 Vessels delivered in 1986 Anniversary Date in 2009 Vessels delivered in 1981 Anniversary Date in 2009 Vessels Delivered after December 31st 1986 January 1st 2010 Vessels delivered in 1982 Anniversary Date in 2010 Vessels delivered in 1983 Anniversary Date in 2011 Category B For a single hull vessel that does not meet the U.S. double hull standards and was built: a. under a contract awarded before June 30, 1990, or b. delivered before January 1, 1994, or c. on which a major conversion was completed under a contract awarded before June 30, 1990, and delivered before January 1, 1994, or d. was qualified as a wreck, rebuilt and documented under section 4136 of the Revised Statutes of the U.S. (46 U.S.C. app. 14). Page 13 Vessels delivered in 1984 Anniversary Date in 2012 Vessels delivered in 1985 Anniversary Date in 2013 Vessels delivered in 1986 Anniversary Date in 2014 Vessels Delivered after December 31st 1986 January 1st 2015