7625 April 2012COSCO SHIPYARD GROUP CO.,LTD. http://www.cosco-shipyard.com/englishnew/ E-mail: panda_news@cosco-shipyard.com Tel.: 0086-21-58600111

VOLUME

Appointment notice from commerciAl HQ

ADJUSTMENT NOTICE OF COMMERCIAL HEADQUARTERS MANAGEMENT TEAM

Date: March 21, 2012

COSCO Shipyard Group Co. Ltd has adjusted the management team of its Commercial Headquarters as follows for your kind notice:

Mr. Li Rong has been appointed as the Managing Director of Commercial Headquarters. He will be in full charge of all three business divisions, namely, Ship New Building, Offshore Engineering and Ship Repair & Conversion. 1. Ship Newbuilding Division

Mr. Tom Xu has been appointed as Executive Director in charge of Ship Newbuilding division.Mr. Xiao Zijian has been appointed as Assistant Director assisting Mr. Tom Xu.

2. Offshore EngineeringMr. Shi Wei has been appointed as Executive Director in charge of Offshore Engineering Division.Mr. Nicholas Xu has been appointed as Director assisting Mr. Shi Wei.Mr. Delvin Kwek has been appointed as Director assisting Mr. Shiwei.Mr. Lu Hua has been appointed as Assistant Director assisting Mr. Shi Wei.

3. Ship Repair & Conversion Mr. Xing Chendong has been appointed as Director in charge of Ship Repair & Conversion Division.Mr. Swem Sun has been appointed as Assistant Director assisting Mr. Xing Chendong.

Mr. Hao Zenghui has been transferred to COSCO Dalian Shipyard as the Deputy G. M. Mr. Hu Jianqing will no longer represent for COSCO SHIPYARD GROUP. We appreciate all their contribution to the company during their tenure in Commercial Headquarters.

We look forward to your continuous support!

Commercial HeadquartersCOSCO SHIPYARD GROUP CO. LTD

president of DnV visitsOn Apri l 18th, Mr. Wang

Yuhang, the President of the COSCO Shipyard Group warmly welcomed Mr. Joerg Beiler, DNV vice-president and area chair for China, accompanied by Mr. Zhao Zhijian, the G.M of Technical

Center of COSCO Shipyard Groups.Both sides fully affirmed their

long-term cooperation and held in-depth exchanges in regard to joint technique research and product development in the future.

“Gm4000” smoothly undocked

coSco Guangdong undertakeoffshore project

64,000DWt bulk carrier order in Zhoushan Shipyard

On March 15th, the contract for four UT771 platform supply vessels (PSV) between COSCO Guangdong Sh i pya rd and Tidewater Inc. became effective.

The UT771 series vessels measure 83.75 meters in length, 18 meters in width, and 7 meters in depth. The foundation design is provided by Rolls-Royce and is class approved

by ABS. With a deadweight of 3,800 tonnes, the vessel is specified with a DPII system and living quarters which can accommodate 49 people.

In the shipping market downturn, diversified contracting is a good way to reduce market risks. The project marks the entrance of the yard into the offshore sector.

Recently, COSCO Zhoushan Shipyard secured contracts to build two 64,000DWT bulk carriers. The contracts are now effective.

The bulk carrier, to be built for Lomar Shipping Limited, is newly developed for the market. The new orders demonstrate the yard’s strong shipbuilding production capacity and will lay a sound foundation for the yard’s production systems.

classnK 1st Seemp Ship built by coSco GuangdongRecently, Class NK announced

that it had issued certification for their Ship Energy Efficiency Management Plans (SEEMP) to Semih Sohtor ik Management & Agency Inc. (SSMA) for the vessel MARINE KING (N219 ) which had been constructed by Cosco Guangdong Shipyard. The certification for the company’s plan is the first of its kind issued by Class NK and Marine king is the first vessel built by the yard to receive such a certificate.

The 57,000DWT bulk carrier, N219, being built for the Turkish owner Semih Sohtorik Management & Agency I n c . ( SSMA) was delivered on 20 January 2011

in the yard. The sh ip owner expressed their wholehearted thanks to all their colleagues in the

shipyard and NK site office.At the 62nd session of the

Marine Environment Protection Committee held in July 2011, amendments to the International Convention for the Prevention of Pollution from Ships (MARPOL) Annex VI were adopted. The amended Annex will require all ships - both new and existing – with a gross tonnage of 400 tons or greater engaged on international voyages to retain a SEEMP onboard on or after 1 January 2013.

Class NK has started to offer a certification service for SEEMP, and SSMA is one of the first two companies to be issued such a certificate.

On March 25th , a l l the undocking work of the sixth generation semi-submersible drilling platform “GM4000” was completed successfully in COSCO Qidong Shipyard.

The COSCO Shipyard Group was so le ly respons ib le fo r the completion of the design, procurement, construction and commissioning. By doing so, the company developed its own intellectual property. The platform has an operational depth of 3,000 meters and a drilling depth of 11,000 meters and is equipped with high horse-power thrusters and a DP3 Dynamic Positioning system.

A f t e r u n d o c k i n g , t h e commissioning and remaining work wi l l be carr ied out in preparation for the sea trials.

Newbuilding2

57,000DWT BULK CARRIER

n365 keel laying

cattle ship steel cutting in coSco Guangdong

Steel cutting ceremony for n413 / n414

Dumb barge steel cutting ceremony

n195 / n196 launching

On April 4th, COSCO Guang-dong Sh ipyard he ld a kee l laying ceremony for N365, the

57,000DWT bulk carrier, being built for HARBOR SHIPPING Company.

On April 4th, COSCO Guang-dong Shipyard held a steel cutting ceremony for the first cattle ship, being built for Australian owner, Vroon B.V. It is the first time for COSCO Guangdong Sh ipyard to undertake bui lding such a specialised type ship. Now the preparation work for the ship series is proceeding smoothly.

On April 2nd, the steel cutting ceremony for two 82,000 dwt bulk carriers (N413 and N414), being built for Korean owner Daelim, took place in COSCO Zhoushan Shipyard. These are the f irst 82,000 DWT bulk carriers to be built by the yard. Mr. T.S.GWEON, representat ive of the owner, representatives of KR class society and Mr. Zhao Fuqiang, the Deputy G.M. of COSCO Zhoushan Shipyard, attended the ceremony.

Combin ing KPS, PSPC and T ime Quota Management as a whole, the project enriched the company’s product line and represent key modern practices in the implementation of modern ship new-building.

On April 13th, two dumb barges, being built for the Dutch company, Dockwise Shipping B.V., kicked off construction in COSCO Zhoushan Sh ipyard . Mr. ANDY TIMMS, the ship owner representative, representatives from LR class and Mr. Cao Hua, the Party Secretary of COSCO Zhoushan Shipyard, attended the cutting ceremony.

The dumb barge measures 60 meters in length, 40 meters in width and 6 meters in depth. Dockwise is an oil & gas service company providing logistical management of large and heavy structures. Key services are Heavy Marine Transport, Offshore Transport & Installation and Onshore Industrial Projects. It is the first time the company has cooperated with COSCO Zhoushan Shipyard.

n201 launchingO n A p r i l 1 7 t h , C O S C O

Zhoushan Sh ipyard he ld a launching ceremony for N201, t he f i r s t 57, 000DWT bu l k carrier, being built for U-Ming Marine Transport Corporation.

Representatives from the ship owner and DNV attended the ceremony.

It is reported that the second vessel, N201, is now under construction and on schedule.

O n A p r i l 1 4 t h , C O S C O Zhoushan Sh ipyard he ld a launching ceremony for N195 a n d N 1 9 6 , t h e t h i r d a n d fourth vessels in the series of 57,000DWT bulk carriers being built for Leros Management S.A. Company.

The other two ships in the series of the same ship type built by COSCO Zhoushan Shipyard for the company have completed sea trials and the final remaining work is now being carried out.

On April 1st, COSCO Guangdong Shipyard held a naming ceremony for the 3rd 57,000 DWT bulk carrier, N221, being built for the Indian owner APJ Company. The godmother, Mrs. Shir in Paul, named the vessel “SHIRIN”. About 200 people attended the naming ceremony, among whom were Mrs. Shirin Paul, the Honorary Chairman of APJ shipping company, Mr. Karan Paul, the Chairman of APJ shipping company, Mr. S.S. Mahapatra, the Chief Executive of APJ shipping company, Mr. Alan Sharp, the G.M of LR Class in the South China Area, on-site representatives and Mr. Xiao Zijian, the Assistant G.M. of Commercial HQ, leaders of the shipyard and staff from ship

building system. At the naming ceremony, Mr.

Huan Yueshi, the Deputy G.M. of COSCO Guangdong Shipyard, expressed his honest appreciation

for the APJ Company’s support and said the shipyard will make its best effort to complete the remaining work. Mr. Karan Paul congratulated COSCO Guangdong

Shipyard for completion of 21 ship construction projects and highly praised the high construction quality and professional team the yard provided.

82,00DWT BULK CARRIER

n298 deliveredOn March 28 th , COSCO

Dalian Shipyard delivered the 57,000 DWT bulk carrier N298 to the Greek owner Common Progress. Mr. Gao Yongqiang, the deputy G.M. of the yard, Mr. Savvas Filippoglou, the on-site supervision manager of Common Progress and other work team members co-wi tnessed the

signing ceremony.The ve s se l i s t he s i x t h

57,000 DWT bulk carrier for the company. Mr. Savvas Filippoglou expressed his appreciation for the hard work the shipyard had put in to complete the vessel on time and fully affirmed the project’s quality control and the post delivery service provided.

n341 launched successfullyOn April 5th, the 3rd 57,000

DW bulk carrier, N341, being built for the Turkish company ER Group, was towed onto the floating dock “Cuihuashan”in COSCO Guangdong Shipyard, smooth ly ach iev ing “whole sh ip” launch ing. Before the launch, the yard made their best

efforts to control and strengthen the launch ing process and conducted air tightness testing on the vessel.

The ya rd has bu i l t two vessels for ER Group,The other two57,000 dwt and two 35,000 dwt bulk carriers are now under construction and on schedule.

n221 naming ceremony

Offshore 3

n370 successfully launched and dockedOn March 23rd, the wind

turbine installation vessel, being designed and built for the Danish owner A2SEA by COSCO Nantong Shipyard, was successfully launched.

The vessel measures 132.34m in length, 39m in depth and is able to operate in 45m of water. Equipped with a DPII system and a special VOITH thruster, the vesse l has outs tand ing maneuverability in shallow waters. After launching, the number 3 retractable propeller was installed on “Yutong 8” barge.

On April 8th, the vessel was successfully docked at the Qidong Offshore Base ready for the yard

to complete the erection of the four legs, 800T crane installation

and system commissioning and other projects.

Seadrill t-17 keel laying

COSCO Nantong Shipyard recently achieved huge success with the keel laying of the Seadrill T-17 drilling tender, the third tender barge built by the yard for Seadrill.

The precision control team in Hul l department optimized t h e i r c u t t i n g p r o g r a m a n d

improved ship precision control by analyzing procedure compensation and margins, ca lculat ing the appropriate erection bias, closure difference, assembly allowance, assembly gap and other data to complete the “whole ship no margin” keel laying.

fSo “Geudondong” lQ shift onboardMT Geudondong is a tanker-

to-FSO conversion project for the Indonesian owner, Pertamina Shipping. The main conversion

jobs are the addition of the new living quarter module, helideck fabrication and E/R conversion. From 10th to 14th of March, the

yard finished the shifting of the new living quarters and helideck from a barge onboard the FSO successfully and according to schedule. They weigh about 440 tonnes and 155 tonnes respectively and the capacity of the living quarters is 150 persons. Following the installation of the living quarters onboard, the yard are now continuing with the painting, piping, ceiling, floor, and furniture etc. Also, various mechanical equipment items are now being installed according to the schedule. The yard are now planning the commissioning and testing for all systems during the next phase of work.

DDD starting testsOn April 19th, The Dalian Develop Drillship successfully

completed starting tests for its No. 1 generator set at COSCO Dalian Shipyard. This marks the project entering into its equipment commissioning stage.

offSHore proJectS on proGreSS

150M SSB

DDD

OCTABUOY

GM4000

T-15 DRILLING TENDER BARGER

T-16 DRILLING TENDER BARGER

T-17 DRILLING TENDER BARGER

SEA INSTALLER

OCTABUOY TOPSIDE MODULE

LETOURNEAU WORKHORSE 1

LETOURNEAU WORKHORSE 2

SEVAN 650 3#

SEVAN 650 4#

Ship Repair & Conversion4

loyal client, Unix lineBeing COSCO Lianyungang

Shipyard’ alliance partner for ship repairs,

Unix Line Pte Ltd, based in Singapore as Tokyo Marine Co Ltd’s in-house ship manager, manages 53 chemical tankers and has awarded 17 vessels for docking & repairs at COSCO Lianyungang Shipyard from 2008 to 2012. Unix Line is extremely satisfied with the yard’s cooperation in achieving high performance in quality, safety management and adherence to schedule.

Recently the yard has delivered three Unix Line Chemical Tankers. MT Ginga Tiger sailed in February following the successful renewal of a large amount of engine room & deck piping, steel plate renewal at more than 100 locations, six ballast tanks cleaned, over 3,000 meters of electric cable renewed in the accommodation & engine room and a docking survey carried out within 10 days. Unix Line thanked the yard for its great effort to have accomplished all the mentioned work

in such a limited working period. The other two chemical tankers, MT Pine Galaxy and MT Ginga Panther, accomplished successful docking & repairs in March 2012.

Both the vessels’ attending superintendents praised the efficient organization and high quality of the yard. The Technical Deputy General Manager Mr. Kim, sincerely expressed his wholehearted wish to exclusively award all their vessels scheduled for docking in China to the yard.

elongation conversion of “Stjerneborg”

An elongation conversion of the Nordana A/S of Denmark and B.Navi Ship Management Srl of Italy jointly owned RoRo & General Cargo Vessel MV “Stjerneborg” ex. “Medcoa Leome” has been successfully accomplished at COSCO Lianyungang Shipyard.

The vessel’s original particulars were: Loa 147.7m / Beam 25.8m and the final particulars after conversion are now: Loa 174.3 / Beam 25.8m. The new body section

inserted was 26.6m in length and 1000 tonnes in weight. The project also involved six new car deck panels being newly fabricated and installed into the garage. The yard has also completely overhauled two sets of reconditioned Liebherr deck cranes, newly fabricated and installed two crane columns and jib supports. Following insertion of the new body section, the associated work involved some 4000 metres of various pipes, 1000 metres of electrical

& automatic cable, outfitting, and the reconnection, installation and rectification of instruments and equipment.During this conversion, extensive repair work includes 170 tonnes of steel renewal and chipping and coating of all ballast tanks.

After the convers ion, the technical data associated with the vessel’s whole system testing, incline test and sea trials fully met the standards of RINA Class and the owners’requirements.

low Sulfur fuels & Ballast Water treatment System provided in coSco Shipyard

In connection with new rules of Use of Low Sulfur Fuels and Ballast Water Treatment System issued by IMO and IACS, our COSCO Shipyard Group Shanghai Commercial Headquarter has established a project team to provide simple and efficient Turn-Key Solutions to all the ship owners such as technical design, product selection and design approval. Aiming to provide a one-

stop service for ship owners, we intended to cooperate with renowned international corporations. A free design se rv i ce and a l l p rev ious preparations are available for your fleet, so that ship owners can complete upgrading of the two systems without having to worry about the technique, equipment, construction and class approval before the two conversions become effective.

"mSc claudia" successfully completedMSC Management Company’s

container ship, "MSC Claudia", sailed from Nantong COSCO Shipyard recently.

The repair work carried out on the 292m vessel included normal docking work, nearly 100 t onnes o f s t ee l p l a t e renewal, cargo hold painting and several items of mechanical and electrical work.

In order to cont ro l the progress of repair at each step, our pro jec t team care fu l l y p l anned and con t i nuous l y improved the repair plan, with the most reasonable and optimized production management. In order to discuss the hull sand blasting and dock control as promptly as possible, the project commercial manager persuaded the owner ’s superintendent

to arrive at the floating dock i m m e d i a t e l y, d e s p i t e t h e fact that it was evening. The whole repair team arrived at the floating dock immediately after the vessel undocked in heavy rain. We checked the hull condition carefully, discussed and confirmed the percentages of hull sand blasting with the owner’s superintendent so as to ensure the utmost accuracy in controlling the dock period. Final ly, the vessel departed on t ime as a resu l t o f our conscientious effort.

The owne r i s s a t i s f i ed with the ship repair and has determined that their next ship repair work will be in June and has already decided it will be carried out by COSCO NANTONG Shipyard.

Great Yard, Great WorkThe bulk carrier Mokupahu/

HSTC 1, owned by the Matson Navigation Company, entered COSCO NANTONG Shipyard for her sixth special survey on February 4th, 2012. This is the 5th repair on this vessel in Nantong since 2001. After 50 days full-speed work, the work was completed in accordance with the schedule.

Mr. Michael O’Callaghan, the superintendent, who has attended to the vessel for more than 20 years, was very delighted with the result. “Normally our shipping department would push us for re-delivery of the vessel. But it has never happened in Nantong. I have known your sa fe ty, quality, planning and schedule management practices more than 10 years. This cooperation proves the validity of our decision

aga i n . A l l c r e w s a n d a t t e n d i n g supervisors feel the same as me about this. You will receive good words from all of them. Great yard. Great Work. I will come back after 2 years. You will get more and more contracts from Matson.”