Sea Saudi Arabia 2010 30th May first June Finance Investment in Shipping Marcus Machin CEO Tufton Oceanic Middl

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Tufton Oceanic Finance Group. Store Management. Admonitory Services. * The \"Operating Lease Fund\" is a mix of 2 oversaw accounts and other private speculations. 8 ventures were acknowledged delivering an IRR of 174%. The portfolio IRR including 4 unrealised speculations is 115% since initiation. Tufton Oceanic Product Range.

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Sea Saudi Arabia 2010 30th May – first June Finance & Investment in Shipping Marcus Machin CEO Tufton Oceanic (Middle East) Limited

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Tufton Oceanic Finance Group

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Tufton Oceanic Product Range Fund Management Advisory Services * The "Working Lease Fund" is a mix of 2 oversaw accounts and other private speculations. 8 ventures were acknowledged delivering an IRR of 174%. The portfolio IRR including 4 unrealised ventures is 115% since commencement

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Shipping Market – Market Segments and Sub-fragments Wet Bulk Container Dry Bulk Crude/Product/Chemical Tankers LNG/LPG/Ethylene Carriers Container Ships Cape Size/Panamax/Handy Offshore Support Offshore Production General Cargo RoRos Reefers Car Carriers Semi-Submersible Rigs Jack Up Rigs FPSO/FSO Drilling Ships Platform Supply Vessels/AHTS Construction Vessels/MSV Maintenance Rigs Heavy Lift Ships

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Sources of Finance for Shipping Sources of Funding of the World Fleet Bank Market Cap as of March 2010, US$ bn Bank Market Cap as of Q2 2007, US$ bn Private Equity US$81bn Gov't Fleet US$116bn Bond US$42bn Estimated Unfunded US$175bn Public Equity US$252bn Bank Debt US$437bn Source Bloomberg International Banks have customarily been the wellspring of the single biggest part of financing of the world delivery armada The improvements in the banks' own organizations post money related emergencies implies that this wellspring of back is less ready to store quick future advancements in both sending and dispatching foundation Alternative capital structures are progressively a feasible wellspring of subsidizing for transportation and delivery framework extends universally and inside the GCC

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Kingdom of Saudi Arabia – Macro Economic Context Source: National sources, SHUAA Capital *Includes oil-related assembling, for example, the petrochemical business Source: National evaluations, SHUAA Capital Saudi Arabia GDP development answered to have stayed positive amid 2009 regardless of negative hydrocarbon division development 2010 – 2011 projections of Saudi Arabian GDP development surpass 4.0% drove by the non-hydrocarbon segment with subsequent beneficial outcome on imports of mass and completed merchandise Continued extension and expansion of the petrochemical segment in Saudi Arabia will serve to expand fares of Olefins and Aromatics – Saudi Arabia anticipated to build partake in worldwide Ethylene showcase shape 7.1% in 2009 to 10.5% in 2014 Source: National assessments, SHUAA Capital

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Current Reported GCC Regional Vessel Orderbook In all out 184 remote ocean vessels are on request by the major GCC organizations with, in total, more than 17 mil dwt conveying throughout the following two years Of these, 89 vessels have been requested by the main 10 organizations in the district, of which a critical extent stay to be financed International banks, beforehand to a great degree strong of territorial proprietors have not been accounted for to have progressed new subsidizing outside the administration area organizations amid 2010 Source: Clarksons 14/02/10

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Islamic Finance – Increasing significance yet not safe to market powers 2008 Headlines "In 2008 Islamic Banking spoke to 22% piece of the pie in GCC against 10% in 2003." "Islamic Assets in GCC came to $285bn in 2008 – 35% of worldwide Islamic Finance resources select of those held by real global managing an account gatherings that are likewise dynamic in Islamic keeping money in the locale incl Standard Chartered HSBC, Deutsche Bank and BNP Paribas" "29% of Islamic Finance in GCC in 2008 originated from Islamic windows of traditional banks " "Around the world, aggregate Sukuk issuance remarkable topped $100 billion, with neighborhood monetary forms remaining the category of decision. New players, for example, General Electric Capital Corp and International Finance Corp likewise decided to tap the Sukuk advertise". 2010 Headlines "Nakheel, designer of Dubai's palm-molded islands, in December barely met a $4.1 billion development on an Islamic security, or Sukuk, in the wake of neighboring emirate Abu Dhabi furnished it with $10 billion in assets." "Bay Finance House EC is consulting with banks to move over $100 million in an Islamic advance into another two-year office as it gets ready to pitch resources for enhance liquidity". "Kuwaiti Islamic moneylender Boubyan Bank detailed a net misfortune for 2009 on Wednesday, in the wake of booking arrangements against terrible credits. Boubyan - which is 40 percent possessed by the nation's biggest bank, National Bank of Kuwait (NBK) - made a net loss of $179.1 million in 2009". "In 2007, the Sukuk advertise represented right around 50 for every penny of the aggregate GCC capital market issuance. In 2009, diminished to a pitiful 13 for each penny. In 2010, up until now, just a single sukuk has been issued out of the GCC (5 year $450m Sukuk for Saudi based Dar Al Arkan evaluated AA3/BB-/Ba2). Sources: S&P, Arabian Business, Gulf News Rothschilds

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Islamic Ship Finance Examples and Structures Generic Investment Fund Vessel Ijarah Lease Structure No boats financed in these offices Convertible into value on a posting

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Tufton Oceanic – Contact Details Tufton Oceanic - London 1 Albemarle Street London W1S 4HA UK Phone: +44 (0) 20 7518 6700 Fax: +44 (0) 20 7518 6701 Web: Erik A. Lind Email: Tel: +44 (0) 20 7518 6751 Andrew Hampson Email: Tel: +44 (0) 20 7518 6718 Tufton Oceanic - Middle East Jonathan Hill Email: Tel: +971 (0) 4 702 6504 Marcus Machin Email: Tel: +971 (0)4 702 6503 Tufton Oceanic - Singapore (Representative Office) Torkell Vold Email: Tel: +65 6884 7875 Important Notice Tufton Oceanic (Middle East) Limited is directed by the Dubai Financial Services Authority. Tufton Oceanic Limited is controlled by the Financial Services Authority in England. Tufton Oceanic (Isle of Man) Limited is authorized by the Isle of Man Financial Supervision Commission to lead Investment Business. Tufton Oceanic (Far East) Limited is directed by the Securities and Futures Commission, Hong Kong. Tufton Oceanic (Middle East) Limited issues this introduction, on a secret reason for the sole motivation behind giving data about the sea and seaward oil administrations segments and conceivable speculation openings in those parts. Beneficiaries are along these lines bound by an obligation of secrecy in regard of all the data contained in this introduction. The perspectives displayed are exclusively those of Tufton Oceanic (Middle East) Limited and other Tufton Oceanic gathering organizations. While this introduction has been set up in compliance with common decency, Tufton Oceanic (Middle East) Limited make no guarantee or portrayal (express or inferred) and acknowledge no duty or risk for the precision of any conclusions, estimates or other material exhibited which have not been autonomously checked. Planned speculators ought to make their own particular examinations to affirm the exactness or generally of the material introduced in this. Any risk is explicitly renounced. No data set out or alluded to in this introduction should frame the premise of any agreement. Any forthcoming financial specialist should be required to recognize in any consequent understanding that it has not depended on or been initiated to go into such an assention by any portrayal or guarantee spare as explicitly set out in any such understanding. This report is introduced on the express understanding that the beneficiaries might utilize it just for the reason set out above. Tufton Oceanic (Middle East) Limited gives no endeavor to give the beneficiary's entrance to any extra data or refresh this introduction or any data or to amend any errors in it which may get to be distinctly obvious. On the off chance that you have not gotten this record straightforwardly from Tufton Oceanic (Middle East) Limited your receipt is unapproved.