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Conrad Industries Announces New Contracts and Deliveries

Maritime Activity Reports, Inc.

April 4, 2007

Conrad Industries, Inc. announced the signing of contracts during the first quarter of 2007 for the construction of six vessels and the recent delivery of various vessels. Blessey Marine Services, Inc. of Harahan, Louisiana has executed contracts for two 8,400 bbl. double skin stainless steel tank barges. These 217'x42'x10' barges will be used for the transportation of subchapter O and D, grade A and lower flammable or combustible cargos. This order marks Blessey Marine Services' first venture into the stainless steel barge market. Arkhola Sand & Gravel, a Division of APAC-Arkansas of Fort Smith, Arkansas has signed a contract for the construction of one 200'x60'x10' deck barge. In addition, Gulfstream Rental Tools, Inc. of Morgan City has signed contracts for three 120'x30'x7' shale barges.

Conrad also announced the recent delivery of the first of two double skin tank barges for Foss Maritime Company that will be equipped as bunkering barges for their west coast operations. The 245'x58'x18'6" double skin tank barge has a capacity of 26,000 bbls. of fuel. The barge is ABS Classed and equipped with a complete cargo loading and off-loading system. This system includes two diesel-driven cargo pumps for fuel oil, distribution piping, a diesel generator set, and a vapor control system including vapor collection system, closed cargo gauging system, and a tank liquid overfill protection system.

Additionally, Conrad delivered the third of four inland river push boats for the Corps of Engineers. The 3,200 horsepower 124'x34'x10'3" push boat is for Corps' St Paul District. This boat is ABS Classed and has accommodations for 10 persons. The primary mission of the towboat will be to support the seasonal mobilization of the Thompson Dredging Fleet on the Upper Mississippi River. The vessel will also provide support to year round lock maintenance efforts. The 16th ST Tug for the U.S. Army was delivered in March. The 60' Small Tug "ST916" was delivered to the U.S. Army TACOM Watercraft Group. The vessel will operate out of Mare Island, California.

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