NAO Orders Two Newbuild PSVs

Nordic American Offshore Ltd., which is sponsored by Nordic American Tankers Limited (NAT) and is managed by a subsidiary of NAT, currently has six platform supply vessels operating in the demanding North Sea market. PSVs are highly sophisticated vessels, representing the latest in design and technology, and they play an integral role in the logistical chain in offshore exploration and production of oil and gas. The two newbuildings will be delivered in January 2015 and cost about $44 million each.

Nordic American Tankers owns 26% of the share capital in NAO at a cost of $65 million. NAO will be operated essentially along the same strategic lines as NAT. This includes an active dividend policy and the prudent use of its resources to ensure a top-quality fleet at all times.

The plan is for NAO to be listed on NYSE later this spring. NAO is now listed on the so-called OTC (over the counter) in Oslo, Norway. The stock price of NAO has gone up about 10% since it came onto the OTC at the end of November 2013.