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1.DEFINITIONS1

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**SENIOR      SECURED TERM LOAN AGREEMENT**

**WITNESSETH      THAT:**

| “Acceptable                Accounting Firm”              | means                Ernst & Young, or such other recognized international accounting firm                as shall be approved by the Administrative Agent, such approval not                to be                unreasonably withheld;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
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| “Acceptable                Charterer”                    | means                a company having a rating of at least A- from S&P or a rating of at                least A3 from Moody’s, or such other charterer acceptable to the Lenders                in their sole discretion;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| “Account                Pledge”                               | means                the pledge agreement to be executed by the Borrower in favor of the                Security Agent in respect of the Operating Account and all other                accounts                held by the Borrower pursuant to Section 4.1(j), substantially in the                form set out in Exhibit B;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “Accounting                Period”                            | means                each consecutive period of three months falling during the period                (ending                on the last day in March, June, September and December of each year)                for                which quarterly accounting information is required to be provided                to the                Administrative Agent hereunder;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| “Administrative                Agent”                         | shall                have the meaning ascribed thereto in the preamble;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Affiliate”                                                   | means                with respect to any Person, any other Person directly or indirectly                controlled by or under common control with such Person. For the purposes                of this definition, “control” (including, with correlative meanings, the                terms “controlled by” and “under common control with”) as applied to any                Person means the possession directly or indirectly of the power to                direct                or cause the direction of the management and policies of that Person                whether through ownership of voting securities or by contract or                otherwise;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| "Agents"                                                             | means                each of the Administrative Agent and the Security Agent;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| “Applicable                Margin”                       | means                (a) other than as described in (b) below, at all times during the                term of                this Loan one                and twenty five one-hundredths of one percent (1.25%) per annum or,                (b)                upon fixing of employment of the Vessel with an Acceptable Charterer                for a                minimum of two years at charter rates sufficient, in the sole                determination of the Administrative Agent, to cover estimated operating                expenses of the Vessel and debt service (principal plus interest)                of this                Loan, one percent (1.0%) per annum for the term of such                employment;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Applicable                Rate”                         | means                any rate of interest applicable to the Loan from time to time pursuant                to                Section 6.1;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Assigned                Moneys”                              | means                sums assigned to or received by the Agents pursuant to any Security                Document;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| “Assignment                and Assumption Agreement(s)”  | means                the Assignment and Assumption Agreement(s) executed pursuant to                Section 10 substantially in the form set out in                Exhibit J;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Assignment                Notices”                           | means: (i) notices                with respect to the Earnings Assignment substantially in the form                set out                in Exhibit 1 thereto;  (ii) notices                with respect to any Charter Assignment substantially in the form                set out                in Exhibit 1 thereto; and  (ii) notices                with respect to the Insurances Assignments substantially in the form                set                out in Exhibit 3 thereto;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| “Assignments”                                            | means                the Earnings Assignment, the Charter Assignment and the Insurances                Assignment;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| “Banking                Day(s)”                               | means                day(s) on which banks are open for the transaction of business in                London,                England, New York, New York, Amsterdam, The Netherlands, and Curacao,                Netherlands                Antilles;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| “BONNIE                SMITHWICK”                             | means                that certain 1993 built, 83,155 dwt, ore/bulk/oil carrier registered                under                Bahamas flag and bearing IMO No.9050084;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| “Borrower”                                                    | shall                have the meaning ascribed thereto in the preamble;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| "Cash                and Cash Equivalents"                                | means,                in respect of the Guarantor Group, and at any time, (i) cash in hand                or on                deposit with any bank acceptable to the Administrative Agent available                for                cash management purposes, (ii) investment grade certificates of deposit                or                investment grade marketable debt securities, maturing within one                (1) year                after the relevant date of calculation, or (iii) any other instrument,                security or investment approved by the Majority Lenders; in each                case, to                which any member of the Guarantor Group is beneficially entitled                at that                time and which is capable of being applied against the Total                Debt;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| “Change                of Control”                       | means                (a) any “person” (as such term is used in Sections 13(d) and 14(d) of the                Exchange Act) becomes the beneficial owner (as defined in Rules 13d-3                and                13d-5 under the Exchange Act), directly or indirectly, of more than                35% of                the total voting power or ownership interest of the Borrower or (b)                 the Board of Directors of the Borrower ceases to consist of a majority                of                the directors existing on the date hereof or directors nominated                by at                least two-thirds (2/3) of the then existing directors;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Charter”                                                | means                that certain time charter by and between Redina Maritime Ltd. and                Stena                Bulk AB dated as of October 11, 2004 and novated by Redina Maritime                Ltd. pursuant to a novation agreement dated June 23, 2006 in favor                of the                Borrower relating to the Vessel at a rate of $18,400 per day;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| "Charter                Assignment"                                  | means                the assignment in respect of any charter of the Vessel, for a period                of                twelve months or longer, to be executed by the Borrower in favor                of the                Security Agent pursuant to Section 9.1(o) substantially in the form                set                out in Exhibit F;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| “Classification                Society”                  | means                a member of the International Association of Classification Societies                with                whom the Vessel is entered and who conducts periodic physical surveys                and/or inspections of the Vessel;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “CLO"                                                          | shall                have the meaning ascribed thereto in Section 10;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| “Collateral”                                             | means                all property or other assets, real or personal, tangible or intangible,                whether now owned or hereafter acquired in which any Agent or any                Lender                has been granted a security interest pursuant to a Security                Document;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Commitment(s)”                                          | means                in relation to a Lender, the portion of the Loan set out opposite                its name                in Schedule 1 or, as the case may be, as reduced by or set out in any                relevant Assignment and Assumption Agreement, as such amount shall                be                reduced from time to time pursuant to Section 5;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| “Compliance                Certificate”                  | means                a certificate certifying the compliance by the Borrower and/or the                Guarantor, as the case may be, with all of its respective covenants                contained herein and showing the calculations thereof in reasonable                detail, executed and delivered by the chief financial officer of                such                party to the Administrative Agent from time to time pursuant to                Section 9.1(d) in the form set out in Exhibit H, or in such                other form as the Administrative Agent may agree;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| "Creditors"                                                          | means,                collectively, the Lenders and the Agents;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| “Current                Assets”                          | means,                measured at the end of each Accounting Period, the aggregate of the                cash                and marketable securities, trade and other receivables of the Guarantor                Group on a consolidated basis from persons (other than a member of                the                Guarantor Group) which can be realized within one year, inventories                and                prepaid expenses which are to be charged to income within one year                less                any doubtful debts and any discounts or allowances given as stated                in the                then most recent accounting information delivered to the Administrative                Agent hereunder;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “Debt”                                                   | means,                in relation to any of the members of the Guarantor Group (the “debtor”):                (a) Financial Indebtedness of the debtor; (b) liability for any credit                to                the debtor from a supplier of goods or services or under any installment                purchase or payment plan or similar arrangement; (c) contingent                liabilities of the debtor (including without limitation any taxes                or other                payments under dispute) which have been or, under GAAP, should be                recorded                in the notes to the accounting information; (d) deferred tax of the                debtor; and (e) liability under a guaranty, indemnity or similar                obligation entered into by the debtor in respect of a liability of                another                person who is not a Security Party which would fall within (a) to                (d) if                the references to the debtor referred to the other Person;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| “Default                Rate”                            | shall                have the meaning ascribed thereto in Section 6.2;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| “Depositary”                                             | means                Nordea Bank PLC, London, England;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| “DOC”                                                    | means                a document of compliance issued to an Operator in accordance with                rule 13                of the ISM Code;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| “Dollars”                and the sign “$”    | means                the legal currency, at any relevant time hereunder, of the United                States                of America and, in relation to all payments hereunder, in same day                funds                settled through the New York Clearing House Interbank Payments System                (or                such other Dollar funds as may be determined by the Administrative                Agent                to be customary for the settlement in New York City of banking                transactions of the type herein involved);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| “Drawdown                Date”                           | means                the date, being a Banking Day, upon which the Borrower has requested                that                the Loan be made available to the Borrower, as provided in Section                3;                provided,                however,                that the Drawdown Date shall not fall later than October 31,                2006;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| “Drawdown                Notice”                         | shall                have the meaning ascribed thereto in Section 3.2;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| “DVB”                                                    | shall                have the meaning ascribed thereto in the preamble;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “EBITDA”                                                 | means,                always in accordance with GAAP, the aggregate of operating profits                of the                Guarantor Group (on a consolidated basis) for a Measurement Period                before                Taxes, financial items, depreciations and amortizations, excluding                (i) the                profit or loss attributable to any extraordinary or exceptional items                or                any write-offs on investments during such Measurement Period and                (ii) the                profit and loss arising on any disposal of fixed assets during such                Measurement Period save for any disposals made in the ordinary course                of                business;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| “Earnings                Assignment”                     | means                the assignment in respect of the earnings of the Vessel from any                and all                sources, to be executed by the Borrower in favor of the Security                Agent                pursuant to Section 4.2(b), substantially in the form set out in                Exhibit D;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| “Environmental                Affiliate(s)”              | means                any person or entity, the liability of which for Environmental Claims                any                Security Party or Subsidiary of any Security Party may have assumed                by                contract or operation of law;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| “Environmental                Approval(s)”               | shall                have the meaning ascribed thereto in Section 2.1(o);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Environmental                Claim(s)”                  | shall                have the meaning ascribed thereto in Section 2.1(o);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Environmental                Law(s)”                    | shall                have the meaning ascribed thereto in Section 2.1(o);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Event(s)                of Default”                     | means                any of the events set out in Section 8.1;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| “Exchange                Act”                            | shall                mean the Securities and Exchange Act of 1934, as amended;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Fair                Market Value”                       | means                the value of the Vessel as determined by the average of two charter-free                valuations from two independent shipbrokers appointed by the                Administrative Agent;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Final                Payment Date”                      | means                that date which is four years after the Drawdown Date; provided,                however,                that the Final Payment Date shall not fall later than October 31,                2010;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| “Financial                Covenants Commencement Date”   | means                the date on which the Administrative Agent ceases to be a “Lender” under                that certain Credit Facility Agreement dated as of August 29, 2006                by and                among the Guarantor, OBO                Holdings Ltd., BHOBO One Ltd., BHOBO Two Ltd., BHOBO Three Ltd.,                RMJ OBO                Shipping Ltd. and Sagamore Shipping Ltd.,                as borrowers and Nordea Bank Finland plc, as swap bank, Nordea Bank                Norge                ASA, as agent, and Nordea Bank Norge ASA, as mandated lead                arranger;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “Financial                Indebtedness”                  | means,                in relation to any member of the Guarantor Group (the “debtor”), a                liability of the debtor: (a) for principal, interest or any other                sum                payable in respect of any moneys borrowed or raised by the debtor;                (b)                under any loan stock, bond, note or other security issued by the                debtor;                (c) under any acceptance credit, Guaranty or letter of credit facility                made available to the debtor; (d) under a financial lease, a deferred                purchase consideration arrangement (in each case, other than in respect                of                assets or services obtained on normal commercial terms in the ordinary                course of business) or any other agreement having the commercial                effect of                a borrowing or raising of money by the debtor; (e) under any foreign                exchange transaction, interest or currency swap or any other kind                of                derivative transaction entered into by the debtor or, if the agreement                under which any such transaction is entered into requires netting                of                mutual liabilities, the liability of the debtor for the net amount;                or (f)                under a guaranty, indemnity or similar obligation entered into by                the                debtor in respect of a liability of another person which would fall                within                (a) to (e) if the references to the debtor referred to the other                person;                                                                                       |
| “Fixed                Charges”                           | means                (i) Net Interest for any Measurement Period, plus (ii) the amount                of                scheduled repayments of the Loan and/or any other credit facilities                and                the interest and repayment element under capitalized charterparties                in                accordance with GAAP which fall due for repayment or payment during                the                Measurement Period, other than any amount prepaid under this Loan                Agreement, minus (iii) free and available cash (at the relevant Quarter                Date) and marketable securities (acceptable to the Administrative                Agent                (on behalf of the Lenders)) in excess of the minimum requirement                plus any                dividends paid in such Measurement Period;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| “GAAP”                                                   | shall                have the meaning ascribed thereto in Section 1.3;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| “Guarantor”                                              | shall                have the meaning ascribed thereto in the preamble;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Guarantor                Group”                         | means                the Guarantor and each of its Subsidiaries;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| “Indemnitee”                                             | shall                have the meaning ascribed thereto in Section 17.7;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| “Initial                Payment Date”                    | means                the date which is three (3) months after the Drawdown Date;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| “Insurances                Assignment”                   | means                the assignment in respect of the insurances over the Vessel to be                executed                by the Borrower in favor of the Security Agent pursuant to Section                4.2(b),                substantially in the form set out in Exhibit E;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| “Interest                Notice”                         | means                a notice from the Borrower to the Administrative Agent specifying                the                duration of any relevant Interest Period, each substantially in the                form                set out in Exhibit K;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| “Interest                Period(s)”                      | means                period(s) of one (1), three (3) or six (6) months as selected by                the                Borrower, or as otherwise agreed by the Administrative Agent and                the                Borrower;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “ISM                Code”                                | means                the International Safety Management Code for the Safe Operating of                Ships                and for Pollution Prevention constituted pursuant to Resolution A.741(18)                of the International Maritime Organization and incorporated into                the                Safety of Life at Sea Convention and includes any amendments or extensions                thereto and any regulation issued pursuant thereto;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| “ISPS                Code”                               | means                the International Ship and Port Loan Security Code adopted by the                International Maritime Organization (as the same may be amended from                time                to time);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “ISSC”                                                   | means                a valid and current International Ship Security Certificate issued                under                the ISPS Code;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| “Lender(s)”                                              | shall                have the meaning ascribed thereto in the preamble;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “LIBOR”                                                  | means                the rate (rounded upward to the nearest 1/16th                of                one percent) for deposits of Dollars for a period equivalent to the                relevant Interest Period at or about 11:00 a.m. (London time) on the                second London Banking Day before the first day of such period as                displayed                on Telerate page 3750 (British Bankers’ Association Interest                Settlement Rates) (or such other page as may replace such page 3750                on                such system or on any other system of the information vendor for                the time                being designated by the British Bankers’ Association to calculate the BBA                Interest Settlement Rate (as defined in the British Bankers’ Association’s                Recommended Terms and Conditions (“BBAIRS” terms) dated August 1985)),                provided that if on such date no such rate is so displayed for the                relevant Interest Period, LIBOR for such period shall be the rate                quoted                to the Administrative Agent by the Reference Bank at the request                of the                Administrative Agent as the offered rate for deposits of Dollars                in an                amount approximately equal to the amount in relation to which LIBOR                is to                be determined for a period equivalent to the relevant Interest Period                to                prime banks in the London Interbank Market at or about 11:00 a.m.                (London time) on the second Banking Day before the first day of such                period;  |
| “Loan”                                                   | means                the loan facility to be made available by the Lenders to the Borrower                in a                single advance pursuant to Section 3 in an                amount equal to Twelve Million Dollars ($12,000,000);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| “Loan                Agreement”                          | means                this agreement, as the same shall be amended, modified or supplemented                from time to time;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| “Majority                Lenders”                        | means,                at any time, Lenders holding an aggregate of more than 66.66% of                the Loan                then outstanding;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| “Material                Adverse Effect”                 | shall                mean a material adverse effect on (i) the ability of the Borrower to                repay the Loan or perform any of its obligations hereunder or under                the                Note, (ii) the ability of any Security Party to perform its                obligations under any Security Documents or (iii) the business,                property, assets, liabilities, operations, condition (financial or                otherwise) or prospects of the Security Parties taken as a                whole;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| "Measurement                Period"                                  | means                a rolling period of twelve (12) calendar months ending on a Quarter                Date;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| “Mortgage”                                               | means                the Bahamas statutory ship mortgage on the Vessel and the deed of                covenants appurtenant thereto, to be executed by the Borrower in                favor of                the Security Agent (as trustee for the Lenders) pursuant to                Section 4.3(b), substantially in the form set out in Exhibit                C;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| “MTSA”                                                   | means                the Maritime and Transportation Security Act, 2002, as amended,                inter alia,                by Public Law 107-295;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| "Net                Interest"                                        | means                all interest, arrangement fees and capitalized commissions and periodic                fees (whether, in each case, paid or payable) as reported in accordance                with GAAP being incurred (after having deducted any interest, arrangement                fee and capitalized income earned) by the Guarantor Group (on a                consolidated basis) during a Measurement Period;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| “Note”                                                   | means                the promissory note to be executed by the Borrower to the order of                the                Administrative Agent pursuant to Section 4.1(b), to evidence the                Loan, substantially in the form set out in Exhibit A;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| “Operating                Account”                       | shall                have the meaning ascribed thereto in Section 4.1(j);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| “Operator”                                               | means                the Person who is concerned with the operation of the Vessel and                falls                within the definition of “Company” set out in rule 1.1.2 of the ISM                Code;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Payment                Dates”                           | means                the Initial Payment Date and the dates falling at three month intervals                thereafter, the last of which is the Final Payment Date;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “Permitted                Percentage”                    | means                (i) for the period beginning on the Drawdown Date and ending on the                second                anniversary thereof, eighty percent (80%); and (ii) at all times                thereafter, seventy-five percent (75%);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| “Person”                                                 | means                any individual, sole proprietorship, corporation, partnership (general                or                limited), limited liability company, business trust, bank, trust                company,                joint venture, association, joint stock company, trust or other                unincorporated organization, whether or not a legal entity, or any                government or agency or political subdivision thereof;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| “Proceeding”                                             | shall                have the meaning ascribed thereto in Section 8.1(i);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| "Quarter                Date"                                        | means                each March 31, June 30, September 30 and December 31;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| “Reference                Bank”                               | means                DVB;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| “Regulation                T”                                 | means                Regulation T of the Board of Governors of the Federal Reserve System,                as                in effect from time to time;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| “Regulation                U”                                 | means                Regulation U of the Board of Governors of the Federal Reserve System,                as                in effect from time to time;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| “Regulation                X”                                 | means                Regulation X of the Board of Governors of the Federal Reserve System,                as                in effect from time to time;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| “RIP                HUDNER”                              | means                that certain 1994 built, 83,155 dwt, ore/bulk/oil carrier registered                under                Bahamas flag and bearing IMO No. 9077111;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “SEAROSE                G”                               | means                that certain 1994 built, 83,155 dwt, ore/bulk/oil carrier registered                under                Bahamas flag and bearing IMO No. 9050096;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Security                Agent”                          | shall                have the meaning ascribed thereto in the preamble;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| “Security                Document(s)”                    | means                the Account Pledge, the Mortgage, the Guaranty, the Assignments and                any                other documents that may be executed as security for the Loan and                the                Borrower’s obligations in connection therewith;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “Security                Party(ies)”                     | means                the Borrower and the Guarantor;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “SMC”                                                    | means                the safety management certificate issued in respect of the Vessel                in                accordance with rule 13 of the ISM code;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| “Subsidiary(ies)”                                        | means,                with respect to any Person, any business entity of which more than                50% of                the outstanding voting stock or other equity interest is owned directly                or                indirectly by such Person and/or one or more other Subsidiaries of                such                Person;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| “Taxes”                                                  | means                any present or future income or other taxes, levies, duties, charges,                fees, deductions or withholdings of any nature now or hereafter imposed,                levied, collected, withheld or assessed by any taxing authority                whatsoever, except for taxes on or measured by the overall net income                of                each Lender imposed by its jurisdiction of incorporation or applicable                lending office, the United States of America, the State or City of                New                York or any governmental subdivision or taxing authority of any thereof                or                by any other taxing authority having jurisdiction over such Lender                (unless                such jurisdiction is asserted by reason of the activities of any                of the                Security Parties or any other member of the Guarantor Group);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| "Total                Debt"                                          | means,                on a consolidated basis, the aggregate book value of all provisions,                other                long term liabilities and current liabilities of the Guarantor Group                (on a                consolidated basis);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| “Total                Loss”                              | shall                have the meaning ascribed thereto in the Mortgage;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| "Value                Adjusted Equity"                               | means                Value Adjusted Total Assets less Total Debt;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| "Value                Adjusted Equity Ratio"                         | means                Value Adjusted Equity divided by Value Adjusted Total Assets;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| "Value                Adjusted Total Assets"                         | means,                on a consolidated basis, the total market value of all of the assets                of                the Guarantor; and                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| “Vessel”                                                 | means                that certain 1988 built, 61,000 dwt, double sided Panamax tanker                named                REDINA (tbr SACHEM) and registered under Bahamas flag and bearing                Official                No. 8000303.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |

| (i)   | will                be in the sole and absolute ownership of the Borrower and duly registered                in the Borrower's name under Bahamian flag, unencumbered, save and                except                for the Mortgage recorded against it and as permitted                thereby; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | will                be classed in the highest classification and rating for vessels of                the                same age and type with its Classification Society without any material                outstanding recommendations; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | will                be operationally seaworthy and in every way fit for its intended                service;                and |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | will                be insured in accordance with the provisions of the Mortgage recorded                against it and the requirements thereof in respect of such insurances                will                have been complied with; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | Each                of the Lenders, relying upon each of the representations and warranties                set out in Section 2, hereby severally and not jointly agrees with                the Borrower that, subject to and upon the terms of this Loan Agreement,                it will, not later than 11:00 A.M. (New York time) on the Drawdown                Date                (except as provided in subsection (ii) of this Section), make its                portion                of the Loan, in Federal or other funds immediately available in New                York                City, to the Administrative Agent at its address and to such account                as                set forth on Schedule 1 or to such account of the Administrative                Agent                most recently designated by it for such purpose by notice to the                Lenders.                Unless the Administrative Agent determines that any applicable condition                specified in Section 4.1 or 4.2 has not been satisfied, the Administrative                Agent will make the funds so received from the Lenders available                to the                Borrower at the aforesaid address, subject to the receipt of the                funds by                the Administrative Agent as provided in the immediately preceding                sentence, not later than 10:00 A.M. (New York City time) on the Drawdown                Date, and in any event as soon as practicable after receipt. The                Loan                shall be repayable as provided in Section                5. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | Unless                the Administrative Agent shall have received notice from a Lender                prior to                the Drawdown Date that such Lender will not make available to the                Administrative Agent such Lender’s share of the Loan, the Administrative                Agent may assume that such Lender has made such share available to                the                Administrative Agent on the Drawdown Date in accordance with this                Section 3.1 and the Administrative Agent may, in reliance upon such                assumption, make available to the Borrower on such date a corresponding                amount. If and to the extent that such Lender shall not have so made                such                share available to the Administrative Agent, such Lender and the                Borrower                (but without duplication and not if such Lender is an affiliate of                the                Administrative Agent) severally agree to repay to the Administrative                Agent                forthwith on demand such corresponding amount together with interest                thereon, for each day from the date such amount is made available                to the                Borrower until the date such amount is repaid to the Administrative                Agent,                at (i) in the case of the Borrower, a rate per annum equal to the                higher of (y) the LIBOR rate for overnight or weekend deposits plus                the                Applicable Margin and (z) the interest rate applicable thereto pursuant                to                Section 6.1 and (ii) in the case of such Lender, the LIBOR rate                for overnight or weekend deposits. If such Lender shall repay to                the                Administrative Agent such corresponding amount, such amount so repaid                shall constitute such Lender’s share of the Loan included in such amount                for purposes of this Loan Agreement as of the date such amount was                repaid.                Nothing in this subsection (b)(ii) shall be deemed to relieve any                Lender of its obligation to make its share of the Loan to the extent                provided in this Loan Agreement. In the event that the Borrower is                required to repay the Loan to the Administrative Agent pursuant to                this                Section 3.1(b)(ii), as between the Borrower and the defaulting Lender,                the                liability for any breakfunding costs as described in Section 4.3                shall be                borne by the defaulting Lender. If the defaulting Lender has not                paid any                such breakage costs upon demand by the Administrative Agent therefor,                the                Borrower shall pay such breakage costs upon demand by the Administrative                Agent and the Borrower shall be entitled to recover any such payment                for                breakfunding costs made by the Borrower from the defaulting                Lender. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | copies,                certified as true and complete by an officer of the Borrower, of                the                resolutions of the board of directors of the Borrower evidencing                approval                of this Loan Agreement and the Note and authorizing an appropriate                officer                or officers or attorney-in-fact or attorneys-in-fact to execute the                same                on its behalf, or other evidence of such approvals and                authorizations; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | copies,                certified as true and complete by an officer of the Guarantor, of                the                resolutions of the board of directors evidencing approval of this                Loan                Agreement, and those Security Documents to which it is to be a party                and                authorizing an appropriate officer or officers or attorney-in-fact                or                attorneys-in-fact to execute the same on its behalf, or other evidence                of                such approvals and authorizations; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | copies,                certified as true and complete by an officer of each Security Party,                of                all documents evidencing any other necessary action (including actions                by                such parties thereto other than such Security Party as may be required                by                the Administrative Agent), approvals or consents with respect to                this Loan                Agreement, the Note and the Security                Documents; |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | copies,                certified as true and complete by an officer of the respective Security                Party, of the certificate of incorporation and by-laws, certificate                of                formation and operating agreement, or equivalent instruments                thereof; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | certificate                of an authorized officer of the Guarantor certifying that it legally                and                beneficially directly owns, all of the issued and outstanding capital                stock, of Seasak OBO Holdings Ltd., and that Seasak OBO Holdings                Ltd.                legally and beneficially owns all of the issued and outstanding capital                stock of the Borrower, and all such capital stock is free and clear                of any                liens, claims, pledges or other encumbrances                whatsoever; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | certificate                of an officer of the Guarantor confirming the solvency of the                Guarantor; |
|------------------|--------------------------------------------------------------------------------------------------------------------|

| (vii)   | certificate                of an authorized officer of the Guarantor (other than the Borrower)                certifying as to the record ownership of all of its issued and outstanding                capital stock; and |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (viii)   | certificates                of the jurisdiction of incorporation or formation, as the case may                be, of                each Security Party as to the good standing                thereof; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | has                been delivered to the Borrower; |
|-----------------|----------------------------------------------------|

| (ii)   | is                in the sole and absolute ownership of the Borrower and duly registered                in                the Borrower’s name under Bahamian flag, unencumbered, save and except for                the Mortgage, recorded against it and as otherwise permitted                thereby; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | is                classed in the highest classification and rating for vessels of the                same                age and type with its Classification Society without any material                outstanding recommendations; |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | is                operationally seaworthy and in every way fit for its intended service; |
|------------------|------------------------------------------------------------------------------------------|

| (v)   | is                insured in accordance with the provisions of the Mortgage recorded                against                it and the requirements thereof in respect of such insurance have                been                complied with; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | the                Mortgage over the Vessel; |
|-----------------|----------------------------------------------|

| (ii)   | an                Insurances Assignment with respect to the                Vessel; |
|------------------|------------------------------------------------------------------------------------|

| (iii)   | an                Earnings Assignment with respect to the                Vessel; |
|-------------------|----------------------------------------------------------------------------------|

| (iv)   | the                Assignment Notices with respect to the Insurances Assignment and                Earnings                Assignment; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | Uniform                Commercial Code Financing Statements for filing with the District                of                Columbia and in such other jurisdictions as the Administrative Agent                may                reasonably require; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**(h)**

| (i)   | as                soon as available but not later than one hundred fifty (150) days                after                the end of each fiscal year of the Borrower, complete copies of the                financial reports of the Borrower (and after the Financial Covenants                Commencement Date, together with a Compliance Certificate), all in                reasonable detail, which shall include at least the balance sheet                of the                Borrower as of the end of such year and the related statements of                income                and sources and uses of funds for such year, and such reports may                be                unaudited, but shall be certified to be true and complete by the                chief                financial officer of the Borrower; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | as                soon as available but not later than seventy-five (75) days after the                end of each of the first three quarters of each fiscal year of the                Borrower, a quarterly interim balance sheet of the Borrower and                the related profit and loss statements and sources and uses of funds                (and                after the Financial Covenants Commencement Date, together with a                Compliance Certificate), all in reasonable detail, unaudited, but                certified to be true and complete by the chief financial officer                of the                Borrower; |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | as                soon as available but not later than one hundred fifty (150) days                after                the end of each fiscal year of the Guarantor, complete copies of                the                consolidated financial reports of the Guarantor and its Subsidiaries                (and                after the Financial Covenants Commencement Date, together with a                Compliance Certificate), all in reasonable detail, which shall include                at                least the consolidated balance sheet of the Guarantor and its Subsidiaries                as of the end of such year and the related consolidated statements                of                income and sources and uses of funds for such year, which shall be                audited                reports prepared by an Acceptable Accounting                Firm; |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | as                soon as available but not later than seventy-five (75) days after                the end                of the first three quarters of each fiscal year of the Guarantor,                a                quarterly interim consolidated balance sheet of the Guarantor and                the                related consolidated profit and loss statements and sources and uses                of                funds (and after the Financial Covenants Commencement Date, together                with                a Compliance Certificate), all in reasonable detail, which shall                be                audited reports prepared by an Acceptable Accounting                Firm; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | within                ten (10) days of a Security Party’s receipt thereof, copies of all audit                letters or other correspondence from any external auditors including                material financial information in respect of such Security                Party; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | such                other statements (including, without limitation, monthly consolidated                statements of operating revenues and expenses), lists of assets and                accounts, budgets, forecasts, reports and other financial information                with                respect to its business as the Administrative Agent may from time                to time                request, certified to be true and complete by the chief financial                officer                of the respect Security Party; |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | liens                for taxes not yet payable for which adequate reserves have been                maintained; |
|-----------------|-----------------------------------------------------------------------------------------------------------------|

| (ii)   | the                Mortgage, the Assignments and other liens in favor of the Security                Agent; |
|------------------|-------------------------------------------------------------------------------------------------------------|

| (iii)   | liens,                charges and encumbrances against the Vessel permitted to exist under                the                terms of the Mortgage; and |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | pledges                of certificates of deposit or other cash collateral securing any                Security                Party's reimbursement obligations in connection with letters of credit                now                or hereafter issued for the account of such Security Party in connection                with the establishment of the financial responsibility of the Security                Parties under 33 C.F.R. Part 130 or 46 C.F.R.                Part 540, as the case may be, as the same may be amended or                replaced; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | subject                any Lender to any Taxes with respect to its income from the Loan,                or any                part thereof; or |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | change                the basis of taxation to any Lender of payments of principal or interest                or any other payment due or to become due pursuant to this Loan Agreement                (other than a change in the basis effected by the jurisdiction of                organization of such Lender, the jurisdiction of the principal place                of                business of such Lender, the United States of America, the State                or City                of New York or any governmental subdivision or other taxing authority                having jurisdiction over such Lender (unless such jurisdiction is                asserted                by reason of the activities of the Borrower or any of the other Security                Parties) or such other jurisdiction where the Loan may be payable);                or |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | impose,                modify or deem applicable any reserve requirements or require the                making                of any special deposits against or in respect of any assets or liabilities                of, deposits with or for the account of, or loans by, a Lender;                or |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | impose                on any Lender any other condition affecting the Loan or any part                thereof; |
|------------------|----------------------------------------------------------------------------------------------------------------|

| (i)   | the                Lender shall notify the Administrative Agent and the Borrower of                the                happening of such event, and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | the                Borrower agrees forthwith upon demand to pay to such Lender such                amount as                such Lender certifies to be necessary to compensate such Lender for                such                additional cost or such reduction. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**14.3.**
**WAIVER      OF JURY TRIAL**
**.      IT IS MUTUALLY AGREED BY AND AMONG THE BORROWER, THE AGENT AND THE LENDERS      THAT      EACH OF THEM HEREBY WAIVES TRIAL BY JURY IN ANY ACTION, PROCEEDING OR      COUNTERCLAIM BROUGHT BY ANY PARTY HERETO AGAINST ANY OTHER PARTY HERETO ON      ANY      MATTER WHATSOEVER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS AGREEMENT,      THE NOTE OR THE SECURITY DOCUMENTS.**

----

----

----

**CONSENT      AND AGREEMENT**

----

**Schedule      1**

**Lenders**
**Commitment**

|                                                                                                                                                                                                                                                                                                |   |        |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------|
| DVB                Bank America NVZeelandia                Office ParkKaya                W.F.G. Mensing 14P.O.                Box 3107Curacao,                Netherlands Antilles Attention:                Richard Van Heel & Eric MaduroFax:                +599-9-465-2366                 |   | $12,000,000 |
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| **Agents** DVB                Bank America NVZeelandia                Office ParkKaya                W.F.G. Mensing 14P.O.                Box 3107Curacao,                Netherlands Antilles Attention:                Richard Van Heel & Eric MaduroFax:                +599-9-465-2366 |   |        |