PRESS RELEASE

Yantai Raffles Hosts Keel Laying

Ceremony for Remedial Offshore’s

Elevating Support Vessel

Yantai (China), 3rd June 2008 – Yantai Raffles Shipyard Limited (“YRS”) is

pleased to announce the successful keel laying for the Elevating Support Vessel

(“ESV™”) it is building for Remedial Offshore (Remedial Cyprus PCL) at a ceremony

held at the shipyard in Yantai, Shandong Province, China, on Thursday, May 29th,

2008.

During the ceremony, the first major hull section, which will house the ESV™ unit’s

electrical generation equipment, was placed in position, thus triggering the

commencement of equipment setting and other construction work for the vessel.

The purpose-built ESV™ unit which can operate on any well in water depths of up to

325 feet (100 meters) employs Remedial Offshore’s proprietary ESV™ technology to

provide safe, efficient operational environments for well intervention and workover

activities while minimizing logistical issues.

Mr Cho Yong Jin, Chief Executive Officer of YRS, said, “We will continue to do our

best to ensure the successful delivery of the vessel and I would like to take this

opportunity to thank Remedial Offshore and the American Bureau Society for the

support rendered.”

The vessel is on track for delivery in March 2009.

In front of the ESV™ hull section which was hoisted into position are (from left to right): Mr. Melvin Heng, Project Manager for the ESV™; Mr. Cho Yong Jin, Chief Executive Officer of YRS; Mr. Liu Yanjia, ABS Principal Surveyor; and Mr. Chris Lecompte, Chief Structural Engineer, Remedial Offshore.

About Remedial Offshore (Remedial Cyprus PCL)

Founded in 2006, Remedial Offshore (Remedial Cyprus PCL) is based in Limassol, Cyprus, and

employs engineering & procurement personnel in Houston, as well as personnel in Malaysia and

the Bahamas, to support its growing ESV™ fleet. Shares in Remedial Offshore are quoted on the

Norwegian over-the-counter market (NOTC) under the ticker symbol ROFF. For photos and more

information, visit www.remedialoffshore.com

About Yantai Raffles Shipyard Limited

Yantai Raffles Shipyard Limited is the largest rig builder in China, with significant expertise and

know-how in the construction of various marine and offshore projects which include jack-up

drilling rigs, semi-submersible drilling rigs, floating production storage and offloading vessels,

heavy lift vessels, pipe lay vessels and other prototype vessels. Both innovative and scalable,

Yantai Raffles is supported by a highly- skilled engineering force, cutting-edge facilities and

superior technology. Since May 2006, Yantai Raffles has been trading on the Oslo OTC system

under the stock symbol YRSL.NO

Contact Information:

Corporate Communications Department

Telephone: (65) 6735 9328

Fax : (65) 6734 5449

Email : ir@yantai-raffles.com

Please visit us at www.yantai-raffles.com

Forward Looking Statements The announcement contains forward-looking statements that are not based on historical fact, including those identified by the use of forward-looking terminology such as statements containing the words “believes”, “will”, “estimates”, “continue”. “anticipates”, “intends”, “expects”, “should”, or the negatives thereof and words of similar import. All forward-looking statements involve risks and uncertainties, including, but not limited to, customer acceptance and market share gains, competition from companies that have greater financial resources; introduction of new products into the marketplace by competitors; successful product development; dependence on significant customers; the ability to recruit and retain quality employees as Yantai Raffles grows; and economic and political conditions globally. Actual results may differ materially from those discussed in, or implied by, the forward-looking statements. The forward-looking statements speak only as of the date of this release and Yantai Raffles assumes no duty to update them to reflect new, changing or unanticipated events or circumstances.