| MERGER      AGREEMENTDOCKWISE      AND SEALIFT |
|------------------------------------------------|

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| Clause |                                                          | Page   |
|--------|---------------------------------------------------------------|--------|
|   |                                                          |   |
| 1.     | Definitions                                                   |   |
| 2.     | Sale      And Purchase Agreement                              |   |
| 3.     | Shareholders      Agreement                                   |   |
| 4.     | The      Debt Restructuring                                   |   |
| 5.     | Vessels,      Conversion, Shipco’s Transfer Transaction |   |
| 6.     | Private      Placement                                        |   |
| 7.     | Interconditionality      And Announcement                     |   |
| 8.     | Conditions      To Completion                                 |   |
| 9.     | Pre-Completion      Conduct                                   |   |
| 10.    | Completion                                                    |   |
| 11.    | Due      Diligence                                            |   |
| 12.    | Warranties                                                    |   |
| 13.    | Ancillary      Restraints & Undertakings                  |   |
| 14     | Confidentiality                                               |   |
| 15.    | No      Rescission                                            |   |
| 16.    | Whole      Agreement                                          |   |
| 17.    | Language                                                      |   |
| 18.    | Further      Assurances; Post-Completion Actions              |   |
| 19.    | Assignment                                                    |   |
| 20.    | Notices                                                       |   |
| 21.    | Costs                                                         |   |
| 22.    | General                                                       |   |
| 23.    | Interpretation                                                |   |
| 24.    | Governing      Law; Jurisdiction                              |   |
| 25.    | Counterparts                                                  |   |

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|   | The      investment funds listed in SCHEDULE 1 (3i Investors) to this Merger      Agreement (the “3i      Investors”); |
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|   | FRONTLINE LTD, a company      incorporated under the laws of Bermuda with its registration number 17460      and its registered office at Par la Ville Place, 14 Par la Ville Road,      Hamilton, Bermuda and listed on the Oslo Stock Exchange (“Frontline”); |
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|   | SEALIFT LTD a company      incorporated under the laws of Bermuda with the registration number 39466      and its registered office at Par la Ville Place, 14 Par la Ville Road,      Hamilton, Bermuda, (“Sealift” or the “Company”); |
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|   | STICHTING MANAGEMENT      DELPHI, a foundation (stichting)      incorporated under the laws of The Netherlands, having its      registered offices at Lage Mosten 15, 4822 NJ Breda, the Netherlands,      registered with the Commercial Register in West-Brabant, The Netherlands,      under file number 34260899 (the “Delphi      Foundation”); |
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|   | STICHTING MANAGEMENT      SEALIFT, a foundation (stichting)      incorporated under the laws of The Netherlands, having its      registered offices at Breda, The Netherlands, and its principal place of      business at Lage Mosten 15, 4822 NJ Breda, the Netherlands, registered      with the Commercial Register in West-Brabant, The Netherlands (the “MPP      Foundation”); |
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|   | NEPTUN HEAVY LIFT AS, a      company incorporated under the laws of Norway, with its registered office      at Ruselokkveien 26, 0117 Oslo, Norway and registered with the corporate      register in Norway under number 935 302 110 (“Neptun”); |
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|   | CAPRICORN INVESTMENT AS,      a company incorporated under the laws of Norway, with its registered      office at Dalsveien 57, 0775 Oslo, Norway and registered with the      corporate register in Norway under number 989 048 945 (“Capricorn”); and |
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|   | SJØKONSULT AS, a company      incorporated under the laws of Norway, with its registered office at      Bjerkebakken 65 A, 0757 Oslo, Norway and registered with the corporate      register in Norway under number 989 382 810 (“Sjøkonsult”); |
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| (A) | The      3i Investors, the Delphi Foundation (which has or will transfer all its      interests in Delphi to the MPP Foundation), Neptun, Capricorn and      SJØKONSULT (collectively the “Delphi      Shareholders”) together hold 100%      of the issued share capital of Delphi Acquisition Holding S.A., a limited      liability company (société anonyme)      incorporated under the laws of Luxembourg, with its registered      office at 20, rue de la Poste, L-2346 Luxembourg, Grand Duchy of      Luxembourg and registered with the Luxembourg Trade and Companies Register      under number B122.411 (“Delphi”); |
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| (B) | Delphi      is the holding company for a group of companies active in the offshore      industry operating a fleet of large heavy lift transport vessels (the      “Delphi Business”). Delphi acquired the group of companies operating the      Delphi Business on 12 January 2007; |
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| (C) | Sealift      is the holding company for a group of, inter alia, six companies (the      “ShipCo’s”) each of which owns a single hull Suez max vessel (collectively      the “Sealift Vessels”). Four Sealift Vessels are being, or are scheduled      to be, converted at a Cosco shipyard in China into float-over heavy lift      transport vessels. Sealift has the option to also convert the remaining      two Sealift Vessels into float-over heavy lift transport vessels. Pursuant      to the purchase agreement(s) dated 31 January 2007 as supplemented on 15th      March 2007, the costs of conversion of the first four of the Sealift      Vessels are for the account of Frontline. The costs of conversion of the      further two Sealift Vessels are for the account of  Sealift; |
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| (D) | The      shares of Sealift are traded in Norway on the over the counter system      (“OTC”) administrated by the Norwegian Stockbrokers Association. Frontline      is a substantial minority shareholder of Sealift holding 33.33% of the      entire issued share capital ofSealift; |
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| (E) | The      Parties have discussed the possibility of merging the Delphi Business and      the Sealift Business (as defined herein) (the “Merger”) and have on 3      April 2007 entered into a non­binding merger term sheet and a      confidentiality and exclusivityagreement; |
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| (F) | The      Merger will be effected by (i) the sale by the Delphi Shareholders of the      entire issued share capital of Delphi to Sealift in consideration for the      issue by Sealift of the Consideration Shares (as defined herein) such      shares to be admitted for trading on the OTC, and (ii) the sale by Sealift      of the shares of the ShipCo’s to Dockwise Transport B.V. (the “ShipCo      Transfer Transaction”); |
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| (G) | The      Parties wish (i) to procure the Private Placement (as defined herein) of      shares in the capital of Sealift (which will be tradable on the OTC), and      (ii) to restructure the debt financing of both Sealift, Delphi and their      respective subsidiaries (the “Debt Restructuring”). (The Merger, the      ShipCo Transfer Transaction, the Private Placement, and the Debt      Restructuring, are collectively referred to as the      “Transaction”); |
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| (H) | Sealift’s      board has, without prejudice to the provisions of the Shareholders      Agreement, in a resolution on 27 April 2007, resolved to seek a listing of      its shares on the Oslo Stock Exchange with Q3/07 as the targeted period      for the first date of trading (the “Proposed  Listing”); |
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| (I) | Sealift      and Delphi have complied or procured compliance with the provisions of the      Dutch Social Economic Council Merger Regulations for the protection of      employees (SER-Besluit Fusiegedragsregels 2000 ter bescherming van de      belangen van werknemers) and the works council of Dockwise B.V. has      rendered an unconditional positive advice in relation to the Transaction;      and |
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| (J) | The      Parties now wish to proceed with the Transaction on the terms and      conditions set out in this MergerAgreement. |
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| 1. | DEFINITIONS |
|----|-------------|

| 1.1 | In      this Merger Agreement capitalised terms have the meaning ascribed thereto      in SCHEDULE 2 (Definitions). |
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| 2. | SALE AND PURCHASE      AGREEMENT |
|----|----------------------------------|

| 2.1 | Sealift,      the Delphi Shareholders, the Delphi Foundation, Neptun, Capricorn and      Sjøkonsult shall on the date hereof enter into the Delphi SPA in the      Agreed Form. |
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| 3. | SHAREHOLDERS      AGREEMENT |
|----|-----------------------------|

| 3.1 | Frontline,      certain of the Delphi Shareholders and Sealift shall on the date hereof      enter into the Sealift Shareholders Agreement in the Agreed      Form. |
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| 4. | THE DEBT      RESTRUCTURING |
|----|-----------------------------|

| 4.1 | The      Parties shall procure the implementation of the Debt Restructuring in      accordance with the provisions of SCHEDULE 5 (Debt      Restructuring). |
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| 5. | VESSELS, CONVERSION, SHIPCO’S TRANSFER      TRANSACTION |
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| 5.1 | Frontline      shall, and Sealift shall procure that the ShipCo’s shall, on the date      hereof enter into the Second Supplemental Purchase    Agreement. |
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| 5.2 | Sealift      shall, and the Delphi Shareholders shall procure that Dockwise Transport      B.V. shall, on the date hereof enter into the ShipCo SPA and shall on the      Merger Completion Date complete the ShipCo Transfer Transaction in      accordance with SCHEDULE 6 (ShipCo Transfer  Transaction). |
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| 6. | PRIVATE      PLACEMENT |
|----|------------------------|

| 6.1 | The      Parties wish to pursue a private placement to professional investors      (“New      Investors”) of shares in the      capital of Sealift (the “Offering Shares”) to be admitted to      trading on the OTC (the “Private      Placement”). |
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| 6.2 | Part      of the Offering Shares shall be issued by Sealift directly to New      Investors in which case the proceeds shall be for the account of Sealift      (the “Primary Offering      Shares”) and part of the      Offering Shares shall be Consideration Shares to be sold to New Investors      by certain of the Delphi Shareholders in which case the proceeds shall be      for the account of the selling Delphi Shareholders (the “Secondary Offering      Shares”), all in accordance      with the provisions of SCHEDULE 3 (Private Placement) and the Subscription      Agreement. |
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| 6.3 | Sealift      has mandated Pareto Securities ASA and Carnegie ASA as managers in      connection with the Private Placement (the “Placement      Managers”). |
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| 6.4 | The      final offer price for the Offering Share shall be NOK 30 per Offering      Share (the “Offer      Price”). The total number      of Offering Shares, the number of Primary Offering Shares and Secondary      Offering Shares and the allotment of Offering Shares to New Investors      shall be determined in accordance with SCHEDULE 3 (Private Placement) and      the Subscription Agreement. |
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| 6.5 | Sealift      and Frontline shall procure that the Private Placement shall take place in      accordance with all applicable laws and regulations affecting Sealift in      Bermuda and all applicable rules and regulations and market practice      relating to private placements on theOTC. |
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| 7. | INTERCONDITIONALITY AND      ANNOUNCEMENT |
|----|-------------------------------------------|

| 7.1 | The      obligations of each of the Parties is conditional on each of the      Transaction Documents having been duly signed by the appropriate parties      thereto (“Signing”). |
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| 7.2 | Immediately      following Signing Sealift and Frontline shall announce the Transaction by      issuing the Sealift Press Release and the Frontline Press      Release. |
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| 8. | CONDITIONS TO      COMPLETION |
|----|-------------------------------|

| 8.1 | Completion      of the Transaction is conditional on the Completion Conditions set out in      clause 8.2 being fulfilled or waived in accordance with clause      8.3. |
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| 8.2 | The      Completion Conditions are: |
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|   | 8.2.1 | receipt      of all required licences and consents required from the Bermuda Monetary      Authority or the Bermuda Registration of Companies or any other      governmental authority having jurisdiction in relation to the issue of the      Consideration Shares and the placement of the Offering Shares;      and |
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|   | 8.2.2 | receipt      by the 3i Investors and Sealift of a confirmation from the Placement      Managers that they have received irrevocable commitments from New      Investors in relation to the subscription for Offering Shares for an      aggregate amount of at least 39,800,000 Offering Shares at a price equal      to the Offer Price and the allotment of the Offering Shares and the      satisfaction or waiver of all the Conditions of the Offering, all as      defined and in accordance with the provisions of the Subscription      Agreement. |
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| 8.3 | The      Completion Condition set out in clause 8.2.2 is for the benefit of the 3i      Investors and may be waived by the 3i Investors (either in whole or in      part) at any time by notice to the other Parties. The Completion Condition      in Clause 8.2.1 is for the benefit of all the Parties. All Parties shall      (to the extent within their power) use reasonable endeavours to procure      that the Completion Conditions are satisfied on or before the Merger      Completion Date. |
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| 8.4 | If      the Completion Conditions have not all been fulfilled or waived in      accordance with clause 8.3 on or before 23h59m CET on 11 May 2007 (the      “Stop Date”) but subject to the      Parties having complied with their obligations under this Merger      Agreement, the 3i Investors and Sealift may each terminate this Merger      Agreement by notice in writing to the other Parties without liability of      any Party to any other Party and without any obligation on any Party to      compensate any other Party for any damages or cost incurred as a result      thereof. Following suchtermination: |
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|   | 8.4.1 | except      for this clause 8 (Conditions), clauses 1 (Definitions), 16 (Whole      Agreement), 17 (Language), 20 (Notices), 23 (Interpretation), 24      (Governing Law; Jurisdiction) and 25 (Counterparts), all the other clauses      of this Merger Agreement and the offer Transaction Documents shall lapse      and cease to have effect; but |
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|   | 8.4.2 | the      lapsing of those provisions and agreements shall not affect any rights or      liabilities of any Party in respect of damages for non-performance of any      obligation under the Transaction Documents falling due for performance      prior to such lapse; and |
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|   | 8.4.3 | except      as required by statutory or contractual obligations to a stock exchange or      other market on which the shares of any Party are traded, no Party shall      make (or permit any person to make) any announcement concerning the      termination of this Merger Agreement or any ancillary matter without the      prior written consent of the 3i Investors, Frontline and Sealift (not to      be unreasonably withheld ordelayed). |
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| 8.5 | Upon      fulfilment or waiver (as the case may be) of the Completion Conditions,      (i) each of Sealift and the 3i Investors may issue the Completion      Certificate and (ii) the Parties must proceed to completion of the Merger      in accordance with clause 10, the Delphi SPA and the ShipCo SPA (“Merger      Completion”). |
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| 8.6 | Completion      of the Private Placement shall occur immediately after Merger Completion      having occurred. |
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| 9. | PRE-COMPLETION      CONDUCT |
|----|-----------------------------|

| 9.1 | Pending      Merger Completion each of Frontline and Sealift shall procure      that: |
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|   | 9.1.1 | the      Delphi Shareholders, their representatives and advisers are given      reasonable access to the management and to the books and records of the      Sealift Group Companies; |
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|   | 9.1.2 | the      Delphi Shareholders, their representatives and advisers are provided      information regarding the business and affairs of the Sealift Group      Companies they reasonably require for the purposes of the Transaction;      and |
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|   | 9.1.3 | each      of the Sealift Group Companies, if required by the Delphi Shareholders,      shall provide all co-operation reasonably necessary in connection with the      Debt Restructuring. |
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| 9.2 | Pending      Merger Completion each of Frontline (to the extent within its power) and      Sealift shall use their reasonable endeavours so as to procure that,      except with the written consent of the Delphi Shareholders (which shall      not be unreasonably withheld or delayed and shall in any event be deemed      to be given if no response is received within 3 (three) days of a written      request by Frontline and Sealift) the business of the Sealift Group      Companies shall be run in the ordinary course and in accordance with      consistent past practice. |
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| 10. | COMPLETION |
|-----|------------|

| 10.1 | Merger      Completion shall take place on the Merger Completion Date at the offices      of Clifford Chance LLP in Amsterdam in accordance with the terms of the      Delphi SPA and each of the Parties shall comply with its obligations set      out therein. |
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| 10.2 | Completion      of the Debt Restructuring shall take place at the offices of Clifford      Chance LLP in Amsterdam on the Merger Completion Date in accordance with      the provisions of SCHEDULE 5 (Debt Restructuring) and each of the Parties      shall comply with its obligations set out  therein. |
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| 10.3 | Completion      of the ShipCo Transfer Transaction shall take place at the offices of      Clifford Chance LLP in Amsterdam on the Merger Completion Date in      accordance with the provisions of SCHEDULE 6 (ShipCo Transfer Transaction)      and each of the Parties shall comply with its obligations set out      therein. |
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| 10.4 | Completion      of the Private Placement shall take place on the Private Placement      Completion Date in accordance with the Subscription Agreement and the      provisions of SCHEDULE 3 (Private Placement) and to the extent the same      relates to them, each of the Parties shall comply with the provisions      thereof. |
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| 11. | DUE      DILIGENCE |
|-----|--------------------|

| 11.1 | The      Delphi Shareholders acknowledge and agreethat: |
|------|---------------------------------------------------------|

|   | 11.1.1 | they      have performed, with the assistance of professional advisors, a due      diligence investigation with respect to Sealift, the Sealift Group      Companies and the Sealift Business during the period from 5 April 2007 to      the date hereof (the “Sealift Due Diligence      Investigation”); |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | 11.1.2 | for      the purposes of the Sealift Due Diligence Investigation the Delphi      Shareholders have had (and their advisors have had) sufficient opportunity      to review any and all information made available to the Delphi      Shareholders and its advisors, amongst others, (i) by having received      verbal and written information regarding the Sealift Group Companies and      the Sealift Business from Frontline, Sealift, and/or their      representatives, (ii) by having had access to the financial, legal, tax,      commercial and other information listed on the index attached as SCHEDULE      7 (Disclosed Information), (iii) by having had the opportunity to submit      questions to and receive answers from Frontline and from Sealift on any      matter that they deemed proper and necessary for the purpose of entering      into this Merger Agreement, and (iv) by having had access to senior      management of the Company (including meeting with the Company’s management      group) (together with information cross-referred therein collectively the      “Disclosed Sealift      Information”); and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.3 | the      Delphi Shareholders have to the best of their knowledge raised with      Frontline and Sealift all specific issues which they considered relevant      in connection with the transactions contemplated hereby and taking into      account the information available to the Delphi Shareholders at that      time. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 11.2 | Frontline      and Sealift acknowledge and agreethat: |
|------|-------------------------------------------------------|

|   | 11.2.1 | they      have been offered the opportunity to perform, with the assistance of      professional advisors, a due diligence investigation with respect to the      Shares, Convertible Bonds, Loan Notes (all as defined in the Delphi SPA),      the Delphi Group Companies and their business during the period from 30      March 2007 to the date hereof (the “Dockwise Due Diligence      Investigation”); |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.2.2 | for      the purposes of the Due Diligence Investigation Frontline and Sealift have      had (and its advisors have had) sufficient opportunity to review any and      all information made available to Frontline, Sealift and their advisors,      amongst others, (i) by having received information regarding the Delphi      Group Companies and its business from the Delphi Shareholders, Delphi      and/or their representatives (ii) by having had access to the Disclosed      Dockwise Information, (iii) by having had the opportunity to submit      questions to and receive answers from the Delphi Shareholders and from      Delphi on any matter that it deemed proper and necessary for the purpose      of entering into this Merger Agreement, and (iv) by having had access to      senior management of Delphi (including meeting with the Delphi management      group) (together with information cross-referred therein collectively the      “Disclosed Dockwise      Information”); and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.2.3 | Frontline      and Sealift have to the best of their knowledge raised with the Delphi      Shareholders all specific issues which they considered relevant in      connection with the transactions contemplated hereby and taking into      account the information available to Frontline and Sealift at that      time. |
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| 12. | WARRANTIES |
|-----|------------|

| 12.1 | Each      of Frontline and Sealift represents and warrants to the Delphi      Shareholders that each of the statements set out in SCHEDULE 8      (Warranties) is true, accurate in all material respects and not misleading      in any material respect at the date hereof and will be true, accurate in      all material respects and not misleading in any material respect at Merger      Completion. |
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| 12.2 | In      the event that any of the Warranties is not true or accurate or is      misleading or in the event of any other breach of this Merger Agreement      (any of the foregoing a “Breach”) Frontline and      Sealift shall be jointly and severally liable for all damages incurred by      the Delphi Shareholders directly resulting from such Breach and, subject      to the provisions of this Merger Agreement, compensate the Delphi      Shareholders (or at their direction any Sealift Group Company or Delphi      Group Company) for these damages, provided however, that neither Frontline      nor Sealift shall be liable for any consequential damages, losses or      liabilities or loss of profit. |
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| 12.3 | If      the Delphi Shareholders become aware of a Breach, they shall notify      Frontline and Sealift thereof, describing in reasonable detail the facts      or circumstances giving rise thereto, and, if reasonably possible, the      amount of the claim (the “Claim”). |
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| 12.4 | Sealift’s      aggregate liability with respect to any claim for breach of Warranties is      limited to USD 37.5 million. Frontline’s aggregate liability with respect      to any claim for breach of Warranties is limited to USD 37.5 million and      Sealift and Frontline shall not be liable to indemnify the Delphi      Shareholders unless and until the amount of the aggregated claims for      which Frontline and Sealift (as the case may be) are liable exceeds USD 10      million in which event Frontline and Sealift shall - subject to the      limitation above - be liable for the full amount of such claim if such      claims are justified hereunder. Any individual claim shall only be taken      into account (including for the purposes of determining if the above      threshold has been met) if it exceeds five hundred thousand US Dollars      (USD 500,000). |
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| 12.5 | Frontline      and Sealift are not liable in respect of a claim for any breach of      Warranties unless the Delphi Shareholders have given Frontline and Sealift      written notice of the claim within 12 months of the Merger Completion      Date. |
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| 12.6 | Frontline’s      and Sealift’s liability for any Breach is limited by (i) matters disclosed      in the Disclosed Sealift Information, (ii) any matter which has been      fairly disclosed, or excepted, in the Warranties themselves and/or      otherwise in this Merger Agreement and/or in the Schedules hereto and      (iii) any matter of which the Delphi Shareholders are or should have been      aware of at the time of entering into this Merger Agreement whether on the      basis of information available from Sealift, Frontline or its advisers,      from any public register orotherwise. |
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| 13. | ANCILLARY RESTRAINTS &      UNDERTAKINGS |
|-----|----------------------------------------------|

| 13.1 | Frontline      undertakes to the Delphi Shareholders, the MPP Foundation, Sealift and      each of the Sealift Group Companies from time to time that it will not,      and that it will ensure that each member of the Frontline Group will not,      either alone or jointly with others, directly or indirectly whether for      the account of Frontline, any other Frontline Group Company or otherwise      and in any capacity including as owner, officer, director, partner,      shareholder, agent, consultant, advisor, developer, or in any other      capacity do any of the following without the prior written consent of      Sealift: |
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|   | 13.1.1 | at      any time before the expiry of 36 months after the date of termination or      expiry of the Sealift Shareholders Agreement (the “Non-Compete      Period”) directly or      indirectly incorporate, establish, own, operate, manage, control or engage      in any Competing Business; |
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|   | 13.1.2 | at      any time before the expiry of the Non-Compete Period acquire or hold an      interest (financial or otherwise) in any company or business that,      directly or through any company or business directly or indirectly      controlled by it, is engaged in any Competing  Business; |
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|   | 13.1.3 | at      any time before the expiry of the Non-Compete Period participate in a      joint venture or other co-operative arrangement aimed directly or      indirectly at generating CompetingBusiness; |
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|   | 13.1.4 | disclose      any confidential information relating to the Delphi Shareholders, the MPP      Foundation, Sealift, or any of the Sealift Group Companies, the Delphi      Group Companies or the businesses that they operate except as permitted in      accordance with this clause 13; |
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|   | 13.1.5 | at      any time before the expiry of 24 months after the date of termination or      expiry of the Sealift Shareholders Agreement, employ, enter into a      consulting agreement with or solicit, encourage or induce to terminate an      existing employment or consulting relationship with any person earning an      annual salary of more than one hundred thousand United States Dollars (USD      100,000) who is on the date of this Merger Agreement or has during the      three (3) months before the date of this Merger Agreement been an employee      of or consultant to Sealift, any Sealift Group Company or any Delphi Group      Companies; |
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|   | 13.1.6 | at      any time before the expiry of the Non-Compete Period solicit or entice      away any customer of the Combined Business;or |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.7 | at      any time after Merger Completion use the trade names Sealift or Dockwise      or any of their logo’s or any other name or logo likely to be confused      with such trade name or logo. |
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| 13.2 | Frontline      shall not, and shall procure that any person directly or indirectly      controlled by it shall not at any time during the Non-Compete      Period: |
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|   | 13.2.1 | sell,      transfer, finance, lease or otherwise make available directly or      indirectly to any Competitor any Competing Vessel or any vessel capable of      being converted into a Competing Vessel;and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.2.2 | convert      or broker, contract for or otherwise facilitate or assist in the      conversion of any vessel into a Competing  Vessel. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------|

| 13.3 | Each      undertaking in clauses 13.1 and 13.2 must be interpreted as a separate      undertaking, severable from the remainder of this Merger Agreement, so      that if one or more parts of the undertakings are held to be unlawful or      against the public interest or in any way an unreasonable restraint of      trade, and then to that extent only, it must be disregarded and the      remaining undertakings (and, if it applies, the remainder of the      undertaking in question) will continue to bind  Frontline. |
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| 13.4 | Each      undertaking in clauses 13.1 and 13.2 shall confer a benefit on each Delphi      Shareholder, each member of their respective groups of companies, the MPP      Foundation and each Sealift Group Company. Each beneficiary (but no other      person who is not a party to this Merger Agreement) shall be entitled to      enforce such undertakings subject to and in accordance with the provisions      of the contracts (Rights of Third Parties) Act 1999 (the “1999 Act”) provided that it      shall only be entitled to enforce such undertakings whilst it is a member      of the relevant group, or a Sealift Group Company or if no longer a member      of the relevant group or a Sealift Group Company where the same is the      result of an Exit Event involving (i) all or substantially all of the      Sealift Group Companies (or their assets), or (ii) all or substantially      all of those Sealift Group Companies (or their assets) which together form      a separate business, business unit ordivision. |
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| 13.5 | Nothing      contained in clause 13.1 or 13.2 shall preclude or restrict Frontline or      any other member of the Frontline Group from holding (i) as a passive      investment not more than three per cent (3%) of the issued share capital      of any company engaged in Competing Business whose shares are listed on a      recognised stock exchange, the OTC or any similar trading platform, and      (ii) for the avoidance of doubt, shares in the capital of      Sealift. |
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| 14. | CONFIDENTIALITY |
|-----|-----------------|

| 14.1 | Subject      to clauses 14.3 and 14.4, neither Party shall make (or permit any member      of its group of companies, to make) any announcement concerning the      Transaction, the Proposed Listing or any ancillary matter before, on or      after Merger Completion except as specifically provided in this Merger      Agreement. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 14.2 | Subject      to clauses 14.3 and 14.4, each Party shall keep confidential, and shall      procure that each member of their respective group of companies from time      to time shall keep confidential, all information provided to it by or on      behalf of any other Party or otherwise obtained by or in connection with      this Merger Agreement and which relates to the other  Party. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 14.3 | Nothing      in this clause 14 prevents any announcement being made or any confidential      information being disclosed: |
|------|---------------------------------------------------------------------------------------------------------------------------|

|   | 14.3.1 | with      the written approval of the other Parties, which in the case of any      announcement shall not be unreasonably withheld or delayed;    or |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 14.3.2 | to      the extent required by law or any stock exchange or other competent      regulatory body or by any contractual obligation in relation to the market      on which the shares of a Party are traded, provided that a Party      required to disclose any confidential information shall promptly notify      the other Parties, where practicable and lawful to do so, before      disclosing any relevantinformation; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 14.4 | Nothing      in this clause 14 prevents disclosure of confidential information by any      Party: |
|------|---------------------------------------------------------------------------------------------------|

|   | 14.4.1 | to      the extent that the information is in or comes into the public domain      other than as a result of a breach of any undertaking or duty of      confidentiality by any person; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 14.4.2 | to      that Party’s professional advisers, auditors or bankers, provided that before      any disclosure to any such person is made the relevant party shall procure      that he is made aware of the terms of this clause and that the disclosing      party shall use its best endeavours to procure that each such person      adheres to those terms as if he were bound by the provisions of this      clause 14. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 14.5 | The      3i Investors and Frontline may disclose the terms of this Merger Agreement      and any information concerning Sealift (a) to any 3i Related Party, (b) to      a director, officer or employee of any 3i Related Party, Frontline or      their professional advisers, (c) in an information memorandum, prospectus      or similar document or otherwise in connection with any debt or equity      fundraising by a 3i Related Party or any Frontline Group Company or in      connection with the direct or indirect sale of any debt or equity      interests in any 3i Related Party or any Frontline Group      Company. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15. | NO      RESCISSION |
|-----|--------------------|

----

| 16. | WHOLE      AGREEMENT |
|-----|----------------------|

| 17. | LANGUAGE |
|-----|----------|

| 18. | FURTHER ASSURANCES;      POST-COMPLETION ACTIONS |
|-----|--------------------------------------------------|

| 18.1 | On      or after the date hereof each Party shall, at its own cost and expense,      execute and do (or procure to be executed and done by any other necessary      person) all such deeds, documents, acts and things as any other Party may      from time to time reasonably require in order give full effect to this      Merger Agreement. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 18.2 | In      relation to each Sealift Group Company, Sealift shall procure the      convening of all meetings, the giving of all waivers and consents and the      passing of all resolutions as are necessary under their respective      constitutions or any agreement or obligation affecting it to give effect      to this Merger Agreement. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 18.3 | In      relation to each Delphi Group Company, the Delphi Shareholders shall      procure the convening of all meetings, the giving of all waivers and      consents and the passing of all resolutions as are necessary under their      respective constitutions or any agreement or obligation affecting it to      give effect to this MergerAgreement. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 18.4 | Sealift      and Frontline acknowledge that upon advise from Delphi’s counsel a general      meeting of shareholders of Delphi will be held before a Luxembourg notary      to resolve (i) to convert Delphi from of a public company (societe anonyme) into      a private company (société à responsabilite      limitée) and (ii) to amend the articles of association of Delphi in      accordance with the provisions recommended by counsel to      Delphi. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 18.5 | Sealift      shall make any US check-the-box election of Delphi Sàrl and other Seal or      Delphi Group Companies as advised by counsel to  Delphi. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 19. | ASSIGNMENT |
|-----|------------|

| 20. | NOTICES |
|-----|---------|

| 20.1 | If      to 3i Europartners Va, 3i Europartners Vb, 3i Pan European A, 3i Pan      European B, 3i Pan European C, 3i Global Growth, 3i Pan-European Growth,      Pan-European Co-invest, Pan-European Co-invest France, Pan-European      (Nordic) Co-invest, Pan-European (Dutch) Co-invest, Global Growth      Co-invest or Oil, Gas & Power Co-invest (jointly or      individually): |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Attn.:   | Investment      Operations (reference “Seal”)    |
|----------|--------------------------------------------------------------|
| Fax:     | +44      207 928 0058                                        |
| Address: | 16      Palace StreetLondon      SW1E 5JDUnited      Kingdom |

| c.c.:    | 3i      Investments plc - (attn. Mr. Mark Dickinson)         |
|----------|--------------------------------------------------------------|
| Fax:     | +44      207 928 0058                                        |
| Address: | 16      Palace StreetLondon      SW1E 5JDUnited      Kingdom |

| c.c.:    | 3i      Europe plc - Benelux (attn. Mr. Guus Overdijkink)               |
|----------|-------------------------------------------------------------------------|
| Fax:     | +31      20 305 7455                                                    |
| Address: | Cornelis      Schuytstraat 721071      JL AmsterdamThe      Netherlands |

| 20.2 | If      to Stichting Management Seal or Stichting Management  Delphi |
|------|----------------------------------------------------------------------|

| Attn.:   | The      Board                                                               |
|----------|------------------------------------------------------------------------------|
| Fax:     | +31      76 548 4290                                                         |
| Address: | Lage      Mosten 174822      NJ BredaUnited      KingdomThe      Netherlands |

| 20.3 | If      to Neptun: |
|------|--------------------|

| Attn.:   | John      A. Nielsen                      |
|----------|-------------------------------------------|
| Fax:     | +47      23 11 6351                       |
| Address: | Ruselokkveien      260117      OsloNorway |

| 20.4 | If      to Capricorn: |
|------|-----------------------|

| Attn.:   | Frederik      Steenbuch               |
|----------|---------------------------------------|
| Fax:     | +47      22 14 5970                   |
| Address: | Dalsveien      570775      OsloNorway |

| 20.5 | If      to Sjøkonsult: |
|------|-----------------------------|

| Attn.:   | Svein      K. Johnsen                      |
|----------|--------------------------------------------|
| Fax:     | +47      23 11 6351                        |
| Address: | Bjerkebakken      65 A0757      OsloNorway |

| 20.6 | If      to Frontline: |
|------|-----------------------|

| Attn.:   | Tor      Olav Troim                                                                                    |
|----------|--------------------------------------------------------------------------------------------------------|
| Fax:     | +44      207 824 5530                                                                                  |
| Address: | c/o      Frontline Management (UK) Limited15      Sloane SquareLondon      SW1W 8ERUnited      Kingdom |

| 20.7 | If      to Sealift: |
|------|---------------------|

| Attn.:   | The      Board                                                                                         |
|----------|--------------------------------------------------------------------------------------------------------|
| Fax:     | +31      76 548 4299 (after Merger Completion)+44      207 824 5530 (pre-Merger Completion)            |
| Address: | c/o      Frontline Management (UK) Limited15      Sloane SquareLondon      SW1W 8ERUnited      Kingdom |

| 21. | COSTS |
|-----|-------|

| 21.1 | Save      as otherwise provided in this Merger Agreement, or as otherwise      specifically agreed in writing by the Parties after the date of this      Merger Agreement, all costs, fees and expenses incurred by them in      connection with the entering into, and completion of, this Merger      Agreement and the other Transaction Documents, including without      limitation in respect of their obligations in satisfying the Completion      Conditions and the other requirements for implementing the Transaction,      will be paid by Sealift except those fees incurred in connection with the      sale to New Investors of Secondary Offering Shares which shall be borne      fully by the Delphi Shareholders. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22. | GENERAL |
|-----|---------|

| 22.1 | A      variation of this Merger Agreement is valid only if it is in writing and      signed by or on behalf of eachParty. |
|------|---------------------------------------------------------------------------------------------------------------------------|

| 22.2 | The      failure to exercise or delay in exercising a right or remedy provided by      this Merger Agreement or by law does not impair or constitute a waiver of      the right or remedy or an impairment of or a waiver of other rights or      remedies. No single or partial exercise of a right or remedy provided by      this Merger Agreement or by law prevents further exercise of the right or      remedy or the exercise of another right or  remedy. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22.3 | The      Parties’ rights and remedies contained in this Merger Agreement are      cumulative and not exclusive of rights or remedies provided by      law. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22.4 | Except      to the extent that they have been performed and except where this Merger      Agreement provides otherwise, the obligations contained in this Merger      Agreement remain in force after Merger  Completion. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 22.5 | Save      as otherwise provided herein, any payment to be made by any Party under      this Merger Agreement shall be made in full without any set-off,      restriction, condition or deduction for or on account of any      counterclaim. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22.6 | If      at any time any provision of this Merger Agreement is or becomes illegal,      invalid or unenforceable under the laws of any jurisdiction, that shall      not affect: |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 22.6.1 | the      legality, validity or enforceability in that jurisdiction of any other      provision of this Merger Agreement;or |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------|

|   | 22.6.2 | the      legality, validity or enforceability under the laws of any other      jurisdiction of that or another provision of this Merger      Agreement; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 22.6.3 | the      Parties shall commit themselves to replacing the non-binding and/or      non-enforceable provisions by provisions which are binding and enforceable      and which differ as little as possible - taking into account the object      and purpose of this Agreement - from the non-binding and/or      non-enforceable provisions. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22.7 | The      undertakings in this Merger Agreement shall confer a benefit on each      Delphi Shareholder, each Delphi Group Company and each employee, director,      agent, officer or adviser of each Delphi Shareholder or each Delphi Group      Company with respect to undertakings made by Frontline and shall confer a      benefit on Frontline and each employee, director, agent, officer or      adviser of Frontline with respect to undertakings made by any Delphi      Shareholders and each such beneficiary (but no other person who is not a      party to this Merger Agreement) shall be entitled to enforce such      undertakings subject to and in accordance with the provisions of the 1999      Act. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 22.8 | The      Parties other than the 3i Investors each acknowledge and agree that no 3i      Related Party is acting for them or advising them. For example, 3i      Investments, which is regulated by the UK Financial Services Authority      (“FSA”), does not      have to provide the protection that it would give to a client (as defined      in the glossary to the FSA handbook of rules and guidance) to any person      other than 3i Related Parties. In addition, each Party other than the 3i      Investors acknowledges and agrees that in connection with its decisions      concerning a (possible) investment in any Sealift or Delphi Group      Company: |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 22.8.1 | it      has not relied on any appraisal, recommendation, advice or information      given by, carried out or effected by, or on behalf of, any 3i Related      Party or its advisers; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 22.8.2 | it      has made its own investigations into, and appraisals and assessment of,      each Sealift or Delphi Group Company and its prospects, and will continue      to do so for so long as it is the holder of, or otherwise interested in,      equity in any Sealift or Delphi GroupCompany; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 22.8.3 | no      3i Related Party shall have any liability to it from any cause of      action; |
|--------|--------|----------------------------------------------------------------------------------------|

|   | 22.8.4 | it      is owed no duty of care or other obligation by any 3i Related Party or its      advisers in connection with its decision to invest or not invest in the      equity of Sealift or Delphi Group Company;and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 22.8.5 | where      appropriate, it has sought independent expert advice (whether alone or      jointly with other Parties). |
|--------|--------|---------------------------------------------------------------------------------------------------------------------|

| 22.9 | Nothing      in this Merger Agreement shall be deemed to constitute a partnership      between any of the Parties. |
|------|--------------------------------------------------------------------------------------------------------------------|

| 22.10 | The      Parties other than the 3i Investors undertakes with each 3i Investor that      they shall not use the name of any 3i Related Party in any context      whatsoever (except as required by law) or hold itself, himself or      themselves (as the case may be) out as being connected or associated with      any 3i Related Party (other than as regards the 3i Investors being a      shareholders of Sealift) in any manner whatsoever without the prior      written consent of the relevant 3iInvestor. |
|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 23. | INTERPRETATION |
|-----|----------------|

| 23.1 | In      this Merger Agreement: |
|------|--------------------------------|

|   | 23.1.1 | a      reference to a company or other legal entity shall be construed so as to      include any legal entity or entities into which such company may be merged      by means of a statutory merger or into which it may be split up or      demerged, by means of a statutory split-up or  demerger. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 23.1.2 | a      reference to a “person” includes a reference to any individual, firm,      company, corporation, partnership, association, body corporate, and any      other entity (whether or not having separate legal personality) and      includes such person’s legal representatives, successors and permitted      assigns. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 23.1.3 | the      term “subsidiary” of a company shall mean a legal entity with respect to      which that company is able to direct or control, immediately or through      one or more subsidiaries through: |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | the      exercise of more than half of the votes at a general meeting of      shareholders; |
|--------|-----|---------------------------------------------------------------------------------------------|

|   | (b) | the      appointment of more than half of the members of the management board (or      local law equivalent); or |
|--------|-----|------------------------------------------------------------------------------------------------------------------|

|   | (c) | the      appointment of more than half of the members of the supervisory board (if      any), |
|--------|-----|-----------------------------------------------------------------------------------------------|

|   | 23.1.4 | the      term “control” or “controlled” means, in relation to any      person: |
|--------|--------|--------------------------------------------------------------------------------------------------------|

|   | (a) | being      legally entitled, directly or indirectly, to exercise more than fifty per      cent. (50%) of the votes capable of being cast in general meetings of that      person; or |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (b) | having      the legal right, directly or indirectly, to appoint or replace the      majority of the board of directors, supervisory directors or any similar      body, or otherwise control the votes at meetings of such boards or similar      body, whether through ownership of voting rights, through agreement or      otherwise; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 23.1.5 | a      reference to a particular agreement or document is (unless the context      otherwise requires) a reference to the version of such agreement or      document which is binding and enforceable on the date hereof, as such      agreement or document may be novated, assigned, amended or supplemented      from time to time; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 23.1.6 | a      reference to the singular includes a reference to the plural and vice      versa; |
|--------|--------|------------------------------------------------------------------------------------------|

|   | 23.1.7 | a      reference to the masculine includes a reference to the feminine and neuter      and vice versa; |
|--------|--------|--------------------------------------------------------------------------------------------------------|

|   | 23.1.8 | unless      the contrary is specifically stated, the words “include” or “including”      are used to indicate that the matters are not a complete enumeration of      all matters covered; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 23.1.9 | unless      the context clearly indicates a contrary intention, when any number of      days is prescribed, it must be calculated exclusively of the first and      inclusively of the last day unless the last day falls on a day other than      a Business Day, in which case the last day will be the next succeeding day      which is a Business Day. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 23.2 | The      recitals and schedules form an integral part of this Merger Agreement, and      a reference to a Recital, Schedule or clause means a recital, schedule or      clause of this Merger Agreement unless stated  otherwise. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 23.3 | The      headings in this Merger Agreement are inserted for convenience and      reference purposes only and do not affect its    interpretation. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| 24. | GOVERNING LAW;      JURISDICTION |
|-----|----------------------------------|

| 24.1 | This      Merger Agreement is governed by and shall be construed in accordance with      English law. |
|------|-------------------------------------------------------------------------------------------------------|

| 24.2 | Any      dispute (a “Dispute”) arising from      or connected with this Merger Agreement (including a dispute regarding the      existence, validity or termination of this Merger Agreement or the      consequences of its nullity), shall be referred to and finally resolved by      arbitration under the Arbitration Rules of the London Court of      International Arbitration (“LCIA”) (the “Rules”). |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 24.3 | The      tribunal shall consist of three arbitrators, two of whom shall be      nominated by the respective parties” who shall each be an English lawyer      of not less than 10 years standing. The seat of the arbitration and the      venue of all hearings shall be London, England, and the language of the      arbitration shall be English. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 24.4 | The      Parties agree that the arbitral tribunal shall have power to award on a      provisional basis any relief which it would have power to grant on a final      award. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 24.5 | Without      prejudice to the powers of the arbitrator provided by the Rules, statute      or otherwise, the arbitrator shall have power at any time, on the basis of      affidavit evidence and the submissions of the parties alone, to make an      award in favour of the claimant (or the respondent if a counterclaim) in      respect of any claims (or counterclaims) to which there is no reasonably      arguable defence, either at all or except as to the amount of any damages      or other sum to be awarded. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 24.6 | The      Parties exclude any rights to refer points of law or to appeal to the      courts, to the extent that they can validly waive these      rights. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| 25. | COUNTERPARTS |
|-----|--------------|

----

| FRONTLINE      LTD |   |
|--------------------|--------|
|               |   |
| By:                |   |
| Title:             |   |

| SEALIFT      LTD |   |
|------------------|--------|
|             |   |
| By:              |   |
| Title:           |   |

| 3i      EUROPARTNERS Va L.P.                      |   |
|---------------------------------------------------|--------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| 3i      EUROPARTNERS Vb L.P.                      |   |
|---------------------------------------------------|--------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

----

| 3i      PAN EUROPEAN BUY-OUTS 2006-08A L.P.       |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| 3i      PAN EUROPEAN BUY-OUTS 2006-08B L.P.       |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| 3i      PAN EUROPEAN BUY-OUTS 2006-08C L.P.       |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| 3i      GLOBAL GROWTH 2006-08 L.P.                |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

----

| 3i      PAN-EUROPEAN GROWTH 2006-08 L.P.          |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| PAN-EUROPEAN      BUYOUTS CO-INVEST 2006-08 L.P.  |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| PAN-EUROPEAN      BUYOUTS CO-INVEST 2006-08 FCPR |
|--------------------------------------------------|
|                                             |   |
| Acting      by its manager, 3i Gestion S.A.By:   |   |
| Title:                                           |   |

| PAN-EUROPEAN BUYOUTS      (NORDIC) CO-INVEST 2006-08      L.P. |
|----------------------------------------------------------------|
|                                                           |   |
| Acting      by its manager, 3i Investments plcBy:              |   |
| Title:                                                         |   |

----

| PAN-EUROPEAN BUYOUTS      (DUTCH) A CO-INVEST 2006-08      L.P. |
|-----------------------------------------------------------------|
|                                                            |   |
| Acting      by its manager, 3i Investments plcBy:               |   |
| Title:                                                          |   |

| GLOBAL      GROWTH CO-INVEST 2006-08 L.P.         |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| OIL, GAS & POWER CO-INVEST      2006-08 L.P.  |
|---------------------------------------------------|
|                                              |   |
| Acting      by its manager, 3i Investments plcBy: |   |
| Title:                                            |   |

| STICHTING      MANAGEMENT SEALIFT |   |   |
|-----------------------------------|--------|--------|
|                              |   |   |
| By:                               |   | By:    |
| Title:                            |   | Title: |

----

| STICHTING      SHAREHOLDERS DELPHI |   |   |
|------------------------------------|--------|--------|
|                               |   |   |
| By:                                |   | By:    |
| Title:                             |   | Title: |

| NEPTUN      HEAVY LIFT AS |
|---------------------------|
|                      |   |
| By:                       |   |
| Title:                    |   |

| CAPRICORN      INVESTMENT AS |
|------------------------------|
|                         |   |
| By:                          |   |
| Title:                       |   |

| SJØKONSULT      AS |
|-------------------------|
|                    |   |
| By:                     |   |
| Title:                  |   |

----

| (1) | 3i EUROPARTNERS Va      L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011419), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“3i      Europartners Va”), acting by its      manager, 3i Investments plc (registered number 3975789), with its      registered office at 16 Palace Street, London SW1E 5JD, England (“3i      Investments”); |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | 3i EUROPARTNERS Vb      L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011420), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“3i      Europartners Vb”), acting by its      manager, 3i Investments; |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | 3i PAN EUROPEAN BUY-OUTS      2006-08A L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011276), with its registered office at 16 Palace Street, London      SW1E 5JD,      England (“3i Pan European      A”), acting by its      manager, 3i Investments; |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | 3i PAN EUROPEAN BUY-OUTS      2006-08B L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011277), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“3i      Pan European B”), acting by its      manager, 3i Investments; |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5) | 3i PAN EUROPEAN BUY-OUTS      2006-08C L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011278), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“3i      Pan European C”), acting by its      manager, 3i Investments; |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (6) | 3i GLOBAL GROWTH 2006-08      L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011318), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“3i      Global Growth”), acting by its      manager, 3i Investments; |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (7) | 3i PAN-EUROPEAN GROWTH 2006-08      L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011320), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“3i      Pan-European Growth”), acting by its      manager, 3i Investments; |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (8) | PAN-EUROPEAN BUYOUTS CO-INVEST      2006-08 L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011279), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“Pan-European      Co-invest”), acting by its      manager, 3i Investments; |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (9) | PAN-EUROPEAN BUYOUTS CO-INVEST      2006-08 FCPR, a fonds communs de placement à      risqué formed under the laws of France, with its registered office      at 3, rue Paul Cezanne, 75008 Paris, France (“Pan-European Co-invest      France”), acting by its      manager, 3i Gestion S.A.; |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (10) | PAN-EUROPEAN BUYOUTS      (NORDIC) CO-INVEST 2006-08      L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011553), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“Pan-European (Nordic) Co-invest”), acting by its      manager, 3i Investments; |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (11) | PAN EUROPEAN BUYOUTS      (DUTCH) A CO-INVEST 2006-08      L.P., a limited      partnership registered under the Limited Partnerships Act 1907, with      registered number LP011874, and having its registered office at 16 Palace      Street, London, SW1E 5JD, United Kingdom (“Pan-European (Dutch) Co-Invest”), acting by its      manager, 3i Investments; |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (12) | GLOBAL GROWTH CO-INVEST 2006-08      L.P., a limited      partnership registered under the laws of Jersey (registered number LP760),      with its registered office at 22 Grenville Street, St. Helier, Jersey      (“Global Growth      Co-invest”), acting by its      manager, 3i Investments; and |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (13) | OIL, GAS & POWER CO-INVEST 2006-08      L.P., a limited      partnership registered under the Limited Partnerships Act 1907 (registered      number LP011321), with its registered office at 16 Palace Street, London      SW1E 5JD, England (“Oil, Gas & Power Co-invest”), acting by its      manager, 3i Investments. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 3i      Investments            | has      the meaning given to it in paragraph (1) of SCHEDULE 1 (3i      Investors);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3i      Investors              | means      the parties listed in SCHEDULE 1 (3i Investors);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| 3i      Related Party          | means      (i) any entity of the 3i Group, (ii) any 3i Investor and any other fund,      partnership, investment vehicle or other entity which is managed or      advised by an entity in the 3i Group or its nominees or by other parties      selected by 3i Group, or in which any entity in the 3i Group has a      majority economic interest (a “3i Fund”) and (iii) any      investor in any 3i Fund;                                                                                                                                                                         |
| Affiliate                      | means      in relation to any entity or person, any subsidiary, subsidiary      undertaking, parent company, parent undertaking or other entity or person      that directly or indirectly through one or more intermediaries, controls,      is controlled by or is under common control with such entity or person, or      any entity for which such entity or person serves as investment adviser,      discretionary investment manager or in a similar capacity, and all mutual      funds or other pooled or collective investment vehicles advised or managed      by such entity or person;  |
| Agreed      Form               | shall      mean the document in its final form as approved and initialled by      Frontline, Sealift and the 3i Investors as appropriate;                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| Bareboat      Charters         | means      the bareboat charters forming part of the Shipping Documents as described      in the Disclosed Information;                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| Bermuda      MonetaryAuthority | means      the Bermuda Monetary Authority established in terms of the Bermuda      Monetary Authority Act 1969 as a body corporate having perpetual      succession, to act as an independent licensing, supervisory and regulatory      body;                                                                                                                                                                                                                                                                                                                                                        |
| Board      Resolution          | means      the resolution of the Board of Sealift in the form of SCHEDULE 4 (Board      Resolution);                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| BidCo                          | means      Delphi Acquisition Holding I B.V., a company incorporated under the laws      of The Netherlands with its registered office in Breda, The      Netherlands;                                                                                                                                                                                                                                                                                                                                                                                                                                     |

----

| Bond      Trustee           | means      Norsk Tillitsmann ASA in its capacity as bond trustee in relation to the      Sealift Bonds;                                                                                                                                                                                                                                                                         |
|-----------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Breach                      | has      the meaning given to it in clause 12.2 of this Merger      Agreement;                                                                                                                                                                                                                                                                                                  |
| Business      Day           | means      a day other than a Saturday, Sunday or official public holiday in either      the United Kingdom or Norway, and on which banks are generally open for      business in London, England and Oslo, Norway;                                                                                                                                                             |
| Capricorn                   | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.7;                                                                                                                                                                                                                                                                              |
| Claim                       | has      the meaning given to it in clause 12.3 of this Merger      Agreement;                                                                                                                                                                                                                                                                                                  |
| Combined      Business      | means      the Sealift Business and the Delphi Business taken together; means      Sealift;                                                                                                                                                                                                                                                                                     |
| Company                     | means      Sealift;                                                                                                                                                                                                                                                                                                                                                             |
| Competing      Business     | means      any business or activity which involves providing heavy lift maritime      shipping services of a type now or during the Non Compete Period provided      by any Sealift Group Company or any Delphi Group Company from time to      time;                                                                                                                           |
| Competing      Vessel       | means      any vessel capable of being deployed in Competing Business;                                                                                                                                                                                                                                                                                                          |
| Competitor                  | means      any person directly or indirectly engaged in, or seeking to have available      to it via purchase, lease, chartering or otherwise any vessels where the      person restricted by the provisions of Clause 13 of the Merger Agreement      or Mr Fredriksen, as the case may be, is reasonably aware such person is      seeking to engage in, Competing Business;  |
| Completion      Certificate | means      the certificate substantially in the form set out in SCHEDULE 6 to the      Delphi SPA;                                                                                                                                                                                                                                                                              |
| Completion      Conditions  | means      the conditions set out in clause 8.2 of this MergerAgreement;                                                                                                                                                                                                                                                                                                        |
| Consideration      Shares   | has      the meaning set out in the DelphiSPA;                                                                                                                                                                                                                                                                                                                                       |

----

| Conversion      Contracts                      | means      the contracts entered into with Cosco for the incorporating of new designs      and materials within the existing structure of the four Sealift Vessels      converting such Sealift Vessels into float-over heavy lift transport      vessels ;                                                                                                           |
|------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Cosco                                          | means      either of Cosco (Zhoushan) Shipyard Co., Ltd or Cosco (Nantong) Shipyard      Co., Ltd, as the context may require;                                                                                                                                                                                                                                        |
| Debt      Restructuring                        | has      the meaning given to it in recital (G) of this Merger      Agreement;                                                                                                                                                                                                                                                                                        |
| Delphi                                         | has      the meaning given to it in recital (A);                                                                                                                                                                                                                                                                                                                      |
| Delphi      Business                           | has      the meaning given to it in recital (B);                                                                                                                                                                                                                                                                                                                      |
| Delphi      Foundation                         | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.4;                                                                                                                                                                                                                                                                    |
| Delphi      Group Company /Companies           | means      Delphi and its Subsidiaries from time to time;                                                                                                                                                                                                                                                                                                        |
| Delphi      Shareholders                       | has      the meaning given to it in recital (A);                                                                                                                                                                                                                                                                                                                      |
| Delphi      SPA                                | means      the share purchase agreement of even date herewith, between the Delphi      Shareholders, the Delphi Foundation as Sellers and Sealift as      Buyer;                                                                                                                                                                                                      |
| Disclosed      SealiftInformation         | has      the meaning given to it in clause 11.1.2 of this Merger      Agreement;                                                                                                                                                                                                                                                                                      |
| Dockwise      Due DiligenceInvestigation  | has      the meaning ascribed thereto in clause 11.2.1;                                                                                                                                                                                                                                                                                                                    |
| Encumbrance                                    | means      a mortgage, charge, pledge, lien, option, restriction, right of first      refusal, right of pre-emption, third-party right or interest, other      encumbrance or security interest of any kind, or another type of      preferential arrangement (including, without limitation, a title transfer      or retention arrangement) having similar effect;  |
| Existing      FacilityAgreement                | means      the Delphi USD 680 million senior facilities agreement dated 11 January      2007 (as amended from time to time) and the PIKCo USD 65 million PIK      Facility Agreement dated 10 April 2007;                                                                                                                                                             |
| Existing      Shares                           | means      all the issued share capital of Sealift being immediately prior to the      issuing of the Primary Offering Shares and the Consideration Shares a      total of 90 million shares with a nominal vale of USD 1 each;                                                                                                                                       |
| Exit      Event                                | means      any sale, transfer, merger, share for share exchange or asset pooling, a      listing on any stock exchange or similar event;                                                                                                                                                                                                                              |
| Facility      Agreements                       | means      the PIK Facility Agreement and the Senior Facilities      Agreement;                                                                                                                                                                                                                                                                                       |
| Frontline                                      | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.2;                                                                                                                                                                                                                                                                    |
| Frontline      Group                           | means      Frontline and any of its Subsidiaries from time to time;                                                                                                                                                                                                                                                                                                   |
| Frontline      Press Release                   | means      the press release in the Agreed Form to be issued by Frontline after      Signing;                                                                                                                                                                                                                                                                         |
| Investor      Presentation                     | means      the investor presentation dated 26 April 2007 issued by the Company in      connection with the Private Placement;                                                                                                                                                                                                                                         |
| Offering      Shares                           | has      the meaning given to it in clause 6.1;                                                                                                                                                                                                                                                                                                                       |
| Offer      Price                               | means      NOK 30 per Offering Share;                                                                                                                                                                                                                                                                                                                                 |
| Management      Agreements                     | means      the agreements described in SCHEDULE 8;                                                                                                                                                                                                                                                                                                                    |
| Mandatory      BondPrepayment      Date   | means      15 Business Days after the issue of the Mandatory Prepayment      Notice;                                                                                                                                                                                                                                                                                       |
| Mandatory      PrepaymentNotice           | means      the notice in the Agreed Form;                                                                                                                                                                                                                                                                                                                                  |
| Marketing      Materials                       | means      the Investor Presentation prepared and distributed in relation to the      Private Placement;                                                                                                                                                                                                                                                              |
| Merger                                         | has      the meaning given to it in recital (E) of this Merger      Agreement;                                                                                                                                                                                                                                                                                        |
| Merger      Agreement                          | means      this Merger agreement including all the Schedules and Annexes to this      Agreement;                                                                                                                                                                                                                                                                      |
| Merger      Completion                         | has      the meaning given to it in clause 8.5 of this Merger      Agreement;                                                                                                                                                                                                                                                                                         |
| Merger      Completion Date                    | means      the date designated by the 3i Investors and Seal for Merger Completion      which is set at 4 May 2007 but can be deferred by each of Seal and 3i      Investments by notice to all other Parties to a Business Day no later than      11 May 2007 or such other date as shall be agreed between Frontline and 3i      Investments;                             |

----

| MPP      Foundation                    | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.5;                                                                                                                                                                |
|----------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Neptun                                 | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.6;                                                                                                                                                                |
| New      Investors                     | has      the meaning given to it in clause 6.1 of this Merger      Agreement;                                                                                                                                                                                     |
| Non-Compete      Period                | has      the meaning given to it in clause 13.1.1 of this Merger      Agreement;                                                                                                                                                                                  |
| Norwegian      StockbrokersAssociation | means      the Norwegian Securities Dealers Association and its subsidiary, the      Norwegian Stockbrokers Information services (FINFO), which operates a      trading support system for unlisted shares (The OTC-system) for the      benefit of its members;  |
| Notary                                 | Means      Mr. T.P. van Duuren, civil law notary at Clifford Chance LLP in      Amsterdam;                                                                                                                                                                        |
| Notary      Account                    | means      the third party account set out in the Notary Letter;                                                                                                                                                                                                  |
| Notary      Letter                     | means      the letter detailing the (re-)pay went investors to the      Notary;                                                                                                                                                                                   |
| Offering      Shares                   | has      the meaning given to it in clause 4.1 of this Merger      Agreement;                                                                                                                                                                                     |
| OTC                                    | has      the meaning given to it in recital (D) of this Merger      Agreement;                                                                                                                                                                                    |
| Parties                                | has      the meaning given to it in the introduction to this Merger Agreement and a      Party means any of them;                                                                                                                                                 |
| PIK      Facility Agreement            | means      USD 65 million Pik facility agreement between, amongst others, Lehman      Brothers and PIKCo dated on or about the date hereof;                                                                                                                       |
| PIK      Lenders                       | means      the financial institutions which are from time to time a party to the PIK      Facility Agreement as a Lender (as defined  therein);                                                                                                                        |

----

| PIK      Loan                                    | means      the PIK Facility Agreement between PIKCo, Bayerische Hypo- und Vereinsbank      AG, London Branch, Lehman Brothers International (Europe) as arrangers and      bookrunners, Lehman Brothers International (Europe) as Agent, Lehman      Brothers International (Europe) as Security Agent and the Original Lenders      as listed therein;                                                            |
|--------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| PIKCo                                            | means      Delphi Acquisition Holding B.V., a private company with limited liability      (besloten vennootschap      met beperkte aansprakelijkheid) incorporated under the laws of The      Netherlands, having its registered office at Lage Mosten 15, 4822 NJ      Breda, The Netherlands, and being registered with the Chamber of Commerce      in Amsterdam, The Netherlands, under file number 20131044;  |
| Placement      Managers                          | has      the meaning given to it in clause 6.3 of this Merger      Agreement;                                                                                                                                                                                                                                                                                                                                      |
| Primary      Offering Shares                     | has      the meaning given to it in clause 6.2 of this Merger      Agreement;                                                                                                                                                                                                                                                                                                                                      |
| Private      Placement                           | has      the meaning given to it in clause 4.1 of this Merger      Agreement;                                                                                                                                                                                                                                                                                                                                      |
| Private      PlacementCompletion      Date  | has      the meaning given to it in SCHEDULE 3 (Private  Placement);                                                                                                                                                                                                                                                                                                                                                    |
| Proposed      Listing                            | has      the meaning given to it in recital (H) of this Merger      Agreement;                                                                                                                                                                                                                                                                                                                                     |
| Consideration      Shares                        | has      the meaning given to it in the Delphi SPA;                                                                                                                                                                                                                                                                                                                                                                |
| Refund      Guarantees                           | means      the guarantees issued to the ShipCo’s in relation to refund of instalments      paid under the Conversion Contracts;                                                                                                                                                                                                                                                                              |
| Sealift                                          | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.3;                                                                                                                                                                                                                                                                                                                 |
| Sealift      Bonds                               | means      the FRN Sealift Ltd. Senior Secured Callable Bonds issued by Sealift under      a loan agreement dated 8 February 2007;                                                                                                                                                                                                                                                                                 |
| Sealift      Business                            | Means      the business as conducted by Sealift including the ShipCo’s and the      Shipping Assets;                                                                                                                                                                                                                                                                                                              |

----

| Sealift      Due Diligence Investigation         | has      the meaning given to it in clause 11.1.1 of this Merger      Agreement;                                                                                                                                                                                                                                                                                                                        |
|-------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Sealift      Group Companies                          | means      Sealift and its Subsidiaries from time to time and Sealift Group Company      means any of them;                                                                                                                                                                                                                                                                                        |
| Sealift      Press Release                            | means      the press release in the Agreed Form to be issued by Sealift after      Signing;                                                                                                                                                                                                                                                                                                             |
| Sealift      ShareholdersAgreement                    | means      the Agreed Form shareholders agreement of even date herewith, between the      Parties to this Merger Agreement except for Capricorn, Sjøkonsult, Neptun      and the Delphi Foundation;                                                                                                                                                                                           |
| Sealift      Vessels                                  | has      the meaning given to it in recital (C) and further details of which are      set out in SCHEDULE 10 (Shipping Assets);                                                                                                                                                                                                                                                                    |
| Secondary      Offering Shares                        | Has the meaning set      out in clause 6.2;                                                                                                                                                                                                                                                                                                                                                   |
| Second      SupplementalPurchase      Agreement  | means      the supplemental purchase agreement in the form of SCHEDULE 11 (Second      Supplemental Purchase Agreement) ;                                                                                                                                                                                                                                                                               |
| Senior      FacilitiesAgreement                       | means      the USD 1,100 million facility agreement between, amongst others, Lehman      Brothers and BIDCo dated on or about the date hereof;                                                                                                                                                                                                                                                     |
| Senior      Sealift Loan                              | means      the loan that was made available to Sealift under the Senior Sealift Loan      Agreement;                                                                                                                                                                                                                                                                                               |
| Senior      Sealift LoanAgreement                     | means      the Sealift USD 240 million delayed draw term loan facility agreement      dated 15 March 2007;                                                                                                                                                                                                                                                                                         |
| ShipCo                                                | means      either Front Target Inc., Front Traveller Inc., Granite Shipping Company      Limited or Quadrant Marine Inc or Southwest Tankers Inc or West Tankers      Inc, as the context may require and “Owners” means all of      them;                                                                                                                                             |
| ShipCo      SPA                                       | means      the agreement for the sale and purchase of all the issued shares in Front      Target Inc., Front Traveller Inc., Granite Shipping Company Limited, West      Tankers Inc., Southwest Tankers Inc. and Quadrant Marine Inc. entered into      on the date of this Merger Agreement by and between Sealift as seller and      Dockwise Transport B.V. as buyer, all in the Agreed Form;  |
| ShipCo’s      TransferTransaction               | has      the meaning given to it in recital (F) of this Merger      Agreement;                                                                                                                                                                                                                                                                                                                          |

----

| Shipping      Assets        | means      the legal and beneficial interests the Owners have in each of the Sealift      Vessels and the Shipping Documents as set out in SCHEDULE 10 (Shipping      Assets);                                                  |
|-----------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Shipping      Document      | means      the Conversion Contracts, the Conversion Options, the Bareboat Charters,      the Management Agreements and the Refund Guarantees;                                                                                   |
| Signing                     | has      the meaning given to it in clause 7.1;                                                                                                                                                                                 |
| Sjøkonsult             | has      the meaning given to it in the introduction to this Merger Agreement,      paragraph 1.8;                                                                                                                              |
| Stop      Date              | has      the meaning given to it in clause 8.4 of this Merger      Agreement;                                                                                                                                                   |
| Subscription      Agreement | means      the Agreed Form subscription agreement issued inconnection      with the Private Placement;                                                                                                                          |
| Subsidiaries                | has      the meaning given to it in clause 1 of the Delphi SPA;                                                                                                                                                                 |
| Transaction                 | has      the meaning given to it in recital (G);                                                                                                                                                                                |
| Transaction      Documents  | means      the Merger Agreement, the Delphi SPA, the Commitment Letter, the Notary      Letter, the Frederiksen Non-Compete Undertaking, the Sealift Shareholders      Agreement, the ShipCo SPA and the Board Resolution; and  |
| Warranties                  | means      the warranties given by Frontline and Sealift to the Delphi Shareholders      set out in SCHEDULE 8 (Warranties) of this Merger    Agreement.                                                                             |

----

| 1. | Frontline      will issue the Frontline PressRelease. |
|----|-------------------------------------------------------|

| 2. | Sealift      will issue the Sealift PressRelease. |
|----|---------------------------------------------------|

| 3. | Within      48 hours of the date hereof, the Placement Managers will have informed the      Parties of the number of Offering Shares the Placement Managers are able      to place with New Investors (subject to Merger  Completion). |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | Upon      receipt of the information referred to in 3 above, the allotment decisions      will be made in accordance with the provisions of the Subscription      Agreement. |
|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5. | Completion      of the Private Placement shall take place no later than on 11 May 2007      (the “Private Placement      Completion Date”). |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1. | Election and Appointment of      Officers and ResidentRepresentative |
|----|----------------------------------------------------------------------|

| 2. | The Transaction      Documents |
|----|--------------------------------|

----

----

----

----

| 1. | Bidco      has notified Lehman Brothers International (Europe) in accordance with the      terms of the Commitment Letter, that signing of the Facility Agreement is      required to take place on the date of Completion on terms approved as of      the date hereof. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The      Bond Trustee has notified Sealift in writing that the ShipCo Transfer      Transactions constitutes a mandatory prepayment event in accordance with      the terms of the Sealift Bonds. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | On      the date hereof: |
|----|--------------------------|

| 3.1 | Sealift      shall notify Nordea Bank Norge ASA (“Nordea”) as agent under      the Senior Sealift Loan Agreement that the Senior Sealift Loan will      voluntarily be repaid by Sealift on Merger  Completion. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.2 | BidCo      shall notify Fortis Bank S.A. / N.V. (UK Brands) as agent under the      Existing Facility Agreements that the Existing Facilities will voluntarily      be prepaid by BidCo on MergerCompletion. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | Prior      to the Merger Completion Date the appropriate parties shall enter into the      and Notary Letter. |
|----|---------------------------------------------------------------------------------------------------------------|

| 5. | On      the Merger Completion Date: |
|----|-------------------------------------|

| 5.1 | Bidco,      PIKCo and Lehman Brothers as the Agent will enter into the Facilities      Agreements. |
|-----|----------------------------------------------------------------------------------------------------|

| 5.2 | The      lenders under the Facilities Agreements will make the funding available to      the Notary Account for release in accordance with the terms of the Notary      Letter upon prepayment of the conditions precedent as agreed      therein. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.3 | Sealift      will issue to the Bond Trustee the Mandatory Prepayment      Notice. |
|-----|-----------------------------------------------------------------------------------|

| 6. | Within      3 Business Days of Merger Completion Sealift will repay the Sealift Senior      Facility and procure the release of first lien security by Nordea as      security agent under the Senior Sealift Loan  Agreement. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7. | On      the Mandatory Bond Prepayment Date, Sealift will repay the Sealift Bonds      together with the mandatory prepaymentamount. |
|----|-------------------------------------------------------------------------------------------------------------------------------------|

| 8. | Following      Merger Completion, BidCo, PIKCo and the ShipCo’s will enter into the      relevant further security documents in accordance with the terms of the      Facility Agreements. |
|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1. | On      the Merger Completion Date: |
|----|-------------------------------------|

| 1.1 | Sealift      and Dockwise Transport B.V. shall procure the transfer of the ShipCo’s in      accordance with the ShipCo SPA. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------|

| 1.2 | Frontline      agrees to the assignment by Sealift or ShipCo of any and all rights and      the transfer of any and all obligations under any Shipping Document to any      other direct or indirect wholly owned subsidiary of    Sealift. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1.3 | The      time charter contracts in relation to the Granite and Marble will be      replaced by bareboat charter contracts in the Agreed  Form: |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------|

| 1.4 | Frontline      confirms that prior to the Merger Completion Date the ShipCo Transfer      Transaction has been disclosed to the insurers and the lead underwriters      have confirmed that all the insurance policies disclosed as part of the      Disclosed Information will continue in full force and effect and on the      same terms and conditions following the completion of the ShipCo Transfer      Transaction. Frontline confirms that with effect from the date hereof it      will continue to maintain in full force and effect each of the insurance      policies disclosed as part of the Disclosed Information until the earlier      of 15 January 2008 and such time as the Company gives written notice that      it has replaced such policies on terms and conditions satisfactory to the      Company; it being understood that the relevant premiums, to the extent      they relate to the relevant Shipco Vessels, will be recharged at cost to      the relevant Shipco in accordance with consistent past      practice. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1.5 | Frontline      confirms that each ShipCo is and will remain the sole loss payee in      relation to any insurance policies relating to the relevant Sealift Vessel      owned by it. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1.1 | Purchase      Agreement between Frontline and Sealift dated 30 January 2007, governed by      Norwegian Law |
|-----|-------------------------------------------------------------------------------------------------------------|

| 1.2 | Supplemental      Agreement to the Purchase Agreement, between Sealift, the Owners and      Frontline dated 15 March 2007, governed by Norwegian  Law |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1.3 | Certificates      of Ownership for each Vessel |
|-----|------------------------------------------------|

| 2. | CHARTERS |
|----|----------|

| 2.1 | Bareboat      Charter re “Front Target” between Front Target Inc. and Key Chartering      Corp. dated 21 March 2007, governed by English  Law |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.2 | Bareboat      Charter re “Front Traveller” between Front Traveller Inc. and Key      Chartering Corp. dated 21 March 2007, governed by English    Law |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.3 | Bareboat      Charter re “Front Comor” between West Tankers Inc. and Key Chartering      Corp. dated 21 March 2007, governed by English  Law |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.4 | Letter      of Intent to Contract Heavy Lift Vessel dated 23 March  2007 |
|-----|--------------------------------------------------------------------------|

| 3. | MANAGEMENT      OF VESSELS |
|----|----------------------------|

| 3.1 | Addendum      1 to the Administrative Services Agreement, between Sealift, Frontline      Management and the Owners dated 21 March 2007, governed by Norwegian      Law |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.2 | Technical      Ship Management Contract between Granite Shipping Company Ltd. and      Frontline Management dated 21 March 2007, governed by English      Law |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3 | Technical      Ship Management Contract between Quadrant Marine Inc. and Frontline      Management dated 21 March 2007, governed by English  Law |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.4 | Administrative      Services Agreement between Sealift and Frontline dated 27 February 2007,      governed by Norwegian Law |
|-----|-----------------------------------------------------------------------------------------------------------------------------|

| 3.5 | Commercial      Management Agreement between Quadrant Marine Inc. and Frontline Management      dated 21 March 2007, governed by EnglishLaw |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------|

| 3.6 | Commercial      Management Agreement between Granite Shipping Company Limited and      Frontline Management dated 21 March 2007, governed by English      Law |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | CONVERSION |
|----|------------|

| 4.1 | Heavylift      Conversion Schedule dated 22 March2007 |
|-----|-------------------------------------------------------|

----

| 4.2 | Conversion      Contract re “Front Target” between Front Target Inc. and Cosco (Nantong)      Shipyard Co. Ltd. dated 11 December 2006, governed by English      Law |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.3 | Conversion      Contract re “Front Traveller” between Front Traveller Inc. and Cosco      (Zhoushan) Shipyard Co. Ltd. dated 18 January 2007, governed by English      Law |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.4 | Conversion      Contract re “Front Transporter” between Front Transporter Inc. and Cosco      (Nantong) Shipyard Co. Ltd. 1 June 2006, governed by English      Law |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.5 | Conversion      Contract re “Front Comor” between West Tankers Inc. and Cosco (Nantong)      Shipyard Co. Ltd. dated 18 January 2007, governed by English      Law |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.6 | Novation      Agreement between Front Transporter Inc., Southwest Tankers Inc. and Cosco      (Nantong) Shipyard Co. Ltd. dated 20 January 2007, governed by English      Law |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.7 | Heads      of Agreement of Conversion between Ship Finance International Ltd. and      Cosco Shipyard group Co. Ltd dated 22 February 2006, governed by English      Law |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.8 | Novation      of Option Agreement between Cosco Shipyard group Co. Ltd., Ship Finance      International Ltd and Sealift dated 18 January 2007, governed by English      Law |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.9 | Option      Agreement between Cosco Shipyard group Co. Ltd. and Ship Finance      International Ltd. dated 1 June 2006, governed by English    Law |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.10 | Draft      conversion contract to be agreed between Granite Shipping Company Limited      and Cosco (Zhoushan) Shipyard Co. Ltd for the conversion of “Front      Granite” (although the draft refers to ‘Front Traveller Inc.’ and “Front      Traveller” it was disclosed as relating to “Front  Granite” |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.11 | Draft      conversion contract to be agreed between Quadrant Marine Inc. and Cosco      (Guangzhou) Shipyard Co. Ltd for the conversion of “Marble” (although the      draft refers to ‘Front Traveller Inc.’ and “Front Traveller” it was      disclosed as relating to “Marble” |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5. | CLASSIFICATION |
|----|----------------|

| 6. | CORPORATE |
|----|-----------|

| 6.1 | Sealift |
|-----|---------|

| 6.2 | Sealift      Bye-Laws, dated 15 January 2007 |
|-----|----------------------------------------------|

| 6.3 | Sealift      Equity Offering Presentation dated January2007 |
|-----|-------------------------------------------------------------|

| 6.4 | Sealift      Certificate of Incorporation, dated 11 January  2007 |
|-----|-------------------------------------------------------------------|

| 6.5 | Incorporation      of Sealift - SGM minutes dated 15 January2007 |
|-----|------------------------------------------------------------------|

| 6.6 | Board      minutes and resolutions Sealift dated 15 January  2007 |
|-----|-------------------------------------------------------------------|

----

| 6.7 | Board      minutes Sealift dated 24 January2007 |
|-----|-------------------------------------------------|

| 6.8 | Board      minutes Sealift dated 12 February2007 |
|-----|--------------------------------------------------|

| 6.9 | Board      minutes Sealift dated 14 February2007(1) |
|-----|-----------------------------------------------------|

| 6.10 | Board      minutes Sealift dated 14 February2007(2) |
|------|-----------------------------------------------------|

| 6.11 | Board      minutes Sealift dated 21 March 2007 |
|------|------------------------------------------------|

| 6.12 | Shareholders      written resolution dated 24 January2007 |
|------|-----------------------------------------------------------|

| 6.13 | Subsidiaries |
|------|--------------|

| 6.14 | Incorporation      documentation, dated 23 December 2002 - Front Target  Inc. |
|------|-------------------------------------------------------------------------------|

| 6.15 | Incorporation      documentation, dated 23 December 2002 - Front Traveller    Inc. |
|------|------------------------------------------------------------------------------------|

| 6.16 | Incorporation      documentation, dated 29 May 1991 - Granite Shipping Company      Limited. |
|------|----------------------------------------------------------------------------------------------|

| 6.17 | Incorporation      documentation, dated 2 December 1991 - Quadrant Marine  Inc. |
|------|---------------------------------------------------------------------------------|

| 6.18 | Incorporation      documentation, dated 23 February 1989 - Southwest Tankers    Inc. |
|------|--------------------------------------------------------------------------------------|

| 6.19 | Incorporation      documentation, dated 23 February 1989 - West Tankers  Inc. |
|------|-------------------------------------------------------------------------------|

| 6.20 | Board      resolutions re Security, dated 14 February 2007 - Granite Shipping Company      Limited |
|------|----------------------------------------------------------------------------------------------------|

| 6.21 | Board      resolutions re Corporate matters and Documentation, dated 14 February 2007      - Granite Shipping Company Limited. |
|------|--------------------------------------------------------------------------------------------------------------------------------|

| 6.22 | Board      resolutions re Security, dated 14 February 2007 - Southwest Tankers      Inc. |
|------|------------------------------------------------------------------------------------------|

| 6.23 | Board      resolutions re Corporate matters and Documentation, dated 14 February 2007      - Southwest Tankers Inc. |
|------|---------------------------------------------------------------------------------------------------------------------|

| 6.24 | Board      resolutions re Security, dated 14 February 2007 - Front Target      Inc. |
|------|-------------------------------------------------------------------------------------|

| 6.25 | Board      resolutions re Corporate matters and Documentation, dated 14 February 2007      - Front Target Inc. |
|------|----------------------------------------------------------------------------------------------------------------|

| 6.26 | Board      resolutions re Security, dated 14 February 2007 - West Tankers      Inc. |
|------|-------------------------------------------------------------------------------------|

| 6.27 | Board      resolutions re Corporate matters and Documentation, dated 14 February 2007      - West Tankers Inc. |
|------|----------------------------------------------------------------------------------------------------------------|

| 6.28 | Board      resolutions re Security, dated 14 February 2007 - Quadrant Marine      Inc. |
|------|----------------------------------------------------------------------------------------|

| 6.29 | Board      resolutions re Corporate matters and Documentation, dated 14 February 2007      - Quadrant Marine Inc. |
|------|-------------------------------------------------------------------------------------------------------------------|

----

| 6.30 | Board      resolutions re Security, dated 14 February 2007 - Front Traveller      Inc. |
|------|----------------------------------------------------------------------------------------|

| 6.31 | Board      resolutions re Corporate matters and Documentation, dated 14 February 2007      - Front Traveller Inc. |
|------|-------------------------------------------------------------------------------------------------------------------|

| 6.32 | Board      resolutions and POAs re the financing, dated 16 March 2007 - Front Target      Inc., Quadrant Marine Inc. and Granite Shipping Company      Limited |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.33 | Board      resolutions and POAs re the financing, dated 16 March 2007 - West Tankers      Inc, Front Target Inc. and Southwest Tankers  Inc. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------|

| 6.34 | Written      resolutions of the Shareholders of the Owners dated 19 March      2007 |
|------|-------------------------------------------------------------------------------------|

| 6.35 | Written      resolutions of the Shareholders of the Owners dated 15 February      2007 |
|------|----------------------------------------------------------------------------------------|

| 6.36 | Board      minutes of the Owners dated 18 April2007 |
|------|-----------------------------------------------------|

| 6.37 | Board      minutes - incomplete |
|------|---------------------------------|

| 6.38 | Commercial      register extract dated 21 March 2007 - Sealift Management    B.V. |
|------|-----------------------------------------------------------------------------------|

| 6.39 | Articles      of Sealift Management B.V. dated 20 February  2007 |
|------|------------------------------------------------------------------|

| 6.40 | Share      register of Sealift Management B.V. dated 20 February  2007 |
|------|------------------------------------------------------------------------|

| 6.41 | Share      certificates of the Owners dated 21 March2007 |
|------|----------------------------------------------------------|

| 6.42 | List      of Directors and Officers of the Owners,undated |
|------|-----------------------------------------------------------|

| 6.43 | Register      of members of the Owners, last updated 21 March  2007 |
|------|---------------------------------------------------------------------|

| 6.44 | OTC |
|------|-----|

| 6.45 | Registrar      Agreement between Nordea and Sealift, governed by Norwegian      Law |
|------|-------------------------------------------------------------------------------------|

| 6.46 | Confirmation      letter from Norwegian Stockbrokers Association dated 30 January      2007 |
|------|---------------------------------------------------------------------------------------------|

| 6.47 | Agreement      on Distribution of Price Sensitive Information between Sealift and      Norwegian Stockbrokers’ Association dated 24 January 2007, governed by      Norwegian Law |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.48 | Branch      Register Agreement between Sealift and Nordea dated 24 January 2007,      governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------|

| 6.49 | Permits |
|------|---------|

| 6.50 | Correspondence      with Bermuda Monetary Authority |
|------|-----------------------------------------------------|

| 6.51 | Exemption      from the Companies Act dated 19 January2007 |
|------|------------------------------------------------------------|

| 6.52 | Ministry      of Finance - exemption under the 1966 Act dated 16 January      2007 |
|------|------------------------------------------------------------------------------------|

----

| 7. | INSURANCES |
|----|------------|

| 7.1 | Company      Liability Insurance |
|-----|----------------------------------|

| 7.1.1 | Frontline      - Directors and Officers, Company Liability and Securities Claims Entity      Insurance, governed by NorwegianLaw |
|-------|----------------------------------------------------------------------------------------------------------------------------------|

| 7.1.2 | Endorsement      no. 7 - Endorsement of Sealift as Additional Named Company under Frontline      - Company Liability and Securities Claims Entity  Insurance |
|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.1.3 | Frontline      - Directors and Officers, Company Liability and Securities Claims Entity      Insurance - Excess Policy, governed by Norwegian  Law |
|-------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.2 | Insurance      of Vessels |
|-----|---------------------------|

| 7.2.1 | Assured      Mortgagees Sealift |
|-------|---------------------------------|

| 7.2.2 | Hull      and Machinery Insurance document dated 2 January  2006 |
|-------|------------------------------------------------------------------|

| 7.2.3 | Schedule      of Insurances per Vessel dated 20 February2007 |
|-------|--------------------------------------------------------------|

| 7.2.4 | Schedule      of Insurance claims dated 16 February2007 |
|-------|---------------------------------------------------------|

| 7.2.5 | Certificate      of Entry - “Front Target” - effective date 20 February  2007 |
|-------|-------------------------------------------------------------------------------------------|

| 7.2.6 | Certificate      of Entry - “Front Traveller” - effective date 20 February    2007 |
|-------|------------------------------------------------------------------------------------------------|

| 7.2.7 | Certificate      of Entry - “Front Granite” - effective date 20 February    2007 |
|-------|----------------------------------------------------------------------------------------------|

| 7.2.8 | Certificate      of Entry - “Marble” - effective date 20 February  2007 |
|-------|-------------------------------------------------------------------------------------|

| 7.2.9 | Certificate      of Entry - “Front Sunda”- effective date 20 February  2007 |
|-------|-----------------------------------------------------------------------------------------|

| 7.2.10 | Certificate      of Entry - “Front Comor” - effective date 20 February  2007 |
|--------|------------------------------------------------------------------------------------------|

| 8. | LOAN      DOCUMENTS AND SECURITY |
|----|----------------------------------|

| 8.1 | Loan      Agreements & Guarantees |
|-----|---------------------------------------|

| 8.2 | Commitment      Letter from Nordea and DNB Nor to Sealift dated 7 February      2007 |
|-----|--------------------------------------------------------------------------------------|

| 8.3 | Coordination      Agreement between Nordea, Norsk Tillitsmann and Sealift dated 15 March      2007, governed by Norwegian Law |
|-----|-------------------------------------------------------------------------------------------------------------------------------|

| 8.4 | $240m      Delayed Draw Term Loan Facility Agreement between Sealift, the Owners and      Nordea and DNB Nor dated 15 March 2007, governed by Norwegian Law (the      $240m Loan”) |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.5 | Postponement      of Payment of Obligations Agreement between Sealift and Frontline dated 21      March 2007 |
|-----|--------------------------------------------------------------------------------------------------------------|

----

| 8.6 | Letter      Agreement Between Nordea and Sealift dated 21 March 2007, governed by      Norwegian Law |
|-----|------------------------------------------------------------------------------------------------------|

| 8.7 | Frontline      Guarantee for obligations of Sealift in favour of Nordea dated 21 March      2007, governed by Norwegian Law |
|-----|-----------------------------------------------------------------------------------------------------------------------------|

| 8.8 | Guarantee      by Frontline in favour of Target, Traveller and West Tankers dated 21      March 2007, governed by NorwegianLaw |
|-----|--------------------------------------------------------------------------------------------------------------------------------|

| 8.9 | Loan      Trustee Fees between Sealift and Norsk Tillitsmann dated 9 February      2007 |
|-----|-----------------------------------------------------------------------------------------|

| 8.10 | Sealift      Bond Presentation re Bond Issue dated January  2007 |
|------|------------------------------------------------------------------|

| 8.11 | Bond      Loan Agreement between Sealift and Norsk Tillitsmann dated 8 February      2007, governed by Norwegian Law (the “Bond  Loan”) |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.12 | Letter      from Nordea confirming a drawdown under the MUSD 240 facility and a fax      confirmation from the Loan Trustee stating the interest of the bond loan      for the first interest period |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.13 | Security |
|------|----------|

| 8.14 | First      Preferred Mortgage issued by Front Target Inc. to Nordea in respect of      "Front Target" dated 20 March 2007, governed by the Laws of the Republic      of the Marshall Islands |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.15 | First      Preferred Mortgage issued by Front Traveller Inc. to Nordea in respect of      “Front Traveller” dated 20 March 2007, governed by the Laws of the      Republic of the Marshall Islands |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.16 | First      Preferred Mortgage issued by Granite Shipping Company Limited to Nordea in      respect of “Front Granite” dated 20 March 2007, governed by the Laws of      the Republic of the MarshallIslands |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.17 | First      Preferred Mortgage issued by Southwest Tankers Inc. to Nordea in respect      of “Front Sunda” dated 20 March 2007, governed by the Laws of the Republic      of the Marshall Islands |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.18 | First      Preferred Mortgage issued by West Tankers Inc. to Nordea in respect of      “Front Comor” dated 20 March 2007, governed by the Laws of the Republic of      the Marshall Islands |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.19 | Registration      of Mortgage - “Marble”, dated 21 March2007 |
|------|--------------------------------------------------------------------------|

| 8.20 | Second      Preferred Mortgage issued by Front Target Inc. to Norsk Tillitsmann in      respect of “Front Target” dated 20 March 2007, governed by the Laws of the      Republic of the Marshall Islands |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 8.21 | Second      Preferred Mortgage issued by Front Traveller Inc. to Norsk Tillitsmann in      respect of “Front Traveller” dated 20 March 2007, governed by the Laws of      the Republic of the MarshallIslands |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.22 | Second      Preferred Mortgage issued by Granite Shipping Company Limited to Norsk      Tillitsmann in respect of “Front Granite” dated 20 March 2007, governed by      the Laws of the Republic of the MarshallIslands |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.23 | Second      Preferred Mortgage issued by Southwest Tankers Inc. to Norsk Tillitsmann      in respect of “Front Sunda” dated 20 March 2007, governed by the Laws of      the Republic of the MarshallIslands |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.24 | Second      Preferred Mortgage issued by West Tankers Inc. to Norsk Tillitsmann in      respect of “Front Comor” dated 20 March 2007 governed, by the Laws of the      Republic of the Marshall Islands |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.25 | Mortgage      Deed of Covenant between Quadrant Marine Inc. and Norsk Tillitsmann dated      21 March 2007, governed by BahamianLaw |
|------|-------------------------------------------------------------------------------------------------------------------------------------|

| 8.26 | Second      Priority Assignment of Insurances between Front Target Inc. and Norsk      Tillitsmann dated 19 March 2007, governed by Norwegian  Law |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.27 | Second      Priority Assignment of Insurances between Front Traveller Inc. and Norsk      Tillitsmann dated 19 March 2007, governed by Norwegian  Law |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.28 | Second      Priority Assignment of Insurances between Granite Shipping Company Limited      and Norsk Tillitsmann dated 19 March 2007, governed by Norwegian      Law |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.29 | Second      Priority Assignment of Insurances between Quadrant Marine Inc. and Norsk      Tillitsmann dated 19 March 2007, governed by Norwegian  Law |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.30 | Second      Priority Assignment of Insurances between Southwest Tankers Inc. and Norsk      Tillitsmann dated 19 March 2007, governed by Norwegian  Law |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.31 | Second      Priority Assignment of Insurances between West Tankers Inc. and Norsk      Tillitsmann dated 19 March 2007, governed by Norwegian  Law |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.32 | Pledge      of Shares between Sealift and Norsk Tillitsmann dated 19 March 2007,      governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------|

| 8.33 | Refund      guarantees in favour of Southwest Tankers Inc. (third installment), Front      Transporter Inc. (second and third installment) and Front Target Inc.      (first installment) |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.34 | Guarantee      between Front Target Inc. and Norsk Tillitsmann dated 19 March 2007,      governed by Norwegian Law |
|------|--------------------------------------------------------------------------------------------------------------------|

| 8.35 | Guarantee      between Front Traveller Inc. and Norsk Tillitsmann dated 19 March 2007,      governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------------|

----

| 8.36 | Guarantee      between Quadrant Marine Inc. and Norsk Tillitsmann dated 19 March 2007,      governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------------|

| 8.37 | Guarantee      between Southwest Tankers Inc. and Norsk Tillitsmann dated 19 March 2007,      governed by Norwegian Law |
|------|-------------------------------------------------------------------------------------------------------------------------|

| 8.38 | Guarantee      between West Tankers Inc. and Norsk Tillitsmann dated 19 March 2007,      governed by Norwegian Law |
|------|--------------------------------------------------------------------------------------------------------------------|

| 8.39 | Guarantee      between Granite Shipping Company Ltd. and Norsk Tillitsmann dated 19 March      2007 |
|------|-----------------------------------------------------------------------------------------------------|

| 8.40 | Second      Priority Assignment Deed of Purchase Agreement, between Sealift and Norsk      Tillitsmann dated 21 March 2007, governed by English  Law |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.41 | Account      Charge between Front Target Inc. and Nordea dated 21 March 2007, governed      by Norwegian Law |
|------|--------------------------------------------------------------------------------------------------------------|

| 8.42 | Account      Charge between Front Traveller Inc. and Nordea dated 21 March 2007,      governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------|

| 8.43 | Account      Charge between Granite Shipping Company Limited and Nordea dated 21 March      2007, governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------------------|

| 8.44 | Account      Charge between Quadrant Marine Inc. and Nordea dated 21 March 2007,      governed by Norwegian Law |
|------|-----------------------------------------------------------------------------------------------------------------|

| 8.45 | Account      Charge between Southwest Tankers Inc. and Nordea dated 21 March 2007,      governed by Norwegian Law |
|------|-------------------------------------------------------------------------------------------------------------------|

| 8.46 | Account      Charge between West Tankers Inc. and Nordea dated 21 March 2007, governed      by Norwegian Law |
|------|--------------------------------------------------------------------------------------------------------------|

| 8.47 | General      Assignment of Earning and Insurances between Front Target Inc. and Nordea      dated 21 March 2007, governed by NorwegianLaw |
|------|-------------------------------------------------------------------------------------------------------------------------------------------|

| 8.48 | General      Assignment of Earning and Insurances between Front Traveller Inc. and      Nordea dated 21 March 2007, governed by Norwegian  Law |
|------|------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.49 | General      Assignment of Earning and Insurances between Granite Shipping Company      Limited and Nordea dated 21 March 2007, governed by Norwegian      Law |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.50 | General      Assignment of Earning and Insurances between Quadrant Marine Inc. and      Nordea dated 21 March 2007, governed by Norwegian  Law |
|------|------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.51 | General      Assignment of Earning and Insurances between Southwest Tankers Inc. and      Nordea dated 21 March 2007, governed by Norwegian  Law |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 8.52 | General      Assignment of Earning and Insurances between West Tankers Inc. and Nordea      dated 21 March 2007, governed by NorwegianLaw |
|------|-------------------------------------------------------------------------------------------------------------------------------------------|

| 8.53 | Assignment      of Conversion Contract and Refund Guarantees – “Front Target”- between      Front Target Inc. and Nordea, governed by English  Law |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.54 | Assignment      of Conversion Contract and Refund Guarantees – “Front Traveller”- between      Front Traveller Inc. and Nordea, governed by English  Law |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.55 | Assignment      of Conversion Contract and Refund Guarantees – “Front Sunda”- between      Southwest Tankers Inc. and Nordea, governed by English  Law |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.56 | Assignment      of Conversion Contract and Refund Guarantees – “Front Comor”- between West      Tankers Inc. and Nordea, governed by EnglishLaw |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.57 | Assignment      Deed - Bareboat re “Front Target”- between Front Target Inc. and Nordea      dated 21 March 2007, governed by EnglishLaw |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.58 | Assignment      Deed - Bareboat re “Front Traveller”- between Front Traveller Inc. and      Nordea dated 21 March 2007, governed by English  Law |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.59 | Assignment      Deed - Bareboat re “Front Comor”- between West Tankers Inc. and Nordea      dated 21 March 2007, governed by EnglishLaw |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.60 | Assignment      Deed - Purchase Agreement - between Sealift and Nordea dated 21 March      2007, governed by English Law |
|------|--------------------------------------------------------------------------------------------------------------------------|

| 8.61 | Assignment      Deed - Option Agreement - between Sealift and Nordea dated 21 March 2007,      governed by English Law |
|------|------------------------------------------------------------------------------------------------------------------------|

| 8.62 | Pledge      of Shares between Sealift and Nordea dated 21 March 2007, governed by      Norwegian Law |
|------|------------------------------------------------------------------------------------------------------|

| 8.63 | Mortgage      Deed of Covenant between Quadrant Marine Inc. and Nordea dated 21 March      2007 |
|------|-------------------------------------------------------------------------------------------------|

| 8.64 | Account      Charge between Sealift and Nordea dated 21 March 2007, governed by      Norwegian Law |
|------|----------------------------------------------------------------------------------------------------|

| 9. | FINANCIAL      INFORMATION |
|----|----------------------------|

| 9.1 | Payment      Schedule under the $240m Loan |
|-----|--------------------------------------------|

| 9.2 | Payment      Schedule under the Bond Loan |
|-----|-------------------------------------------|

| 9.3 | Unaudited      Consolidated First Quarter Report and Accounts for  Sealift |
|-----|----------------------------------------------------------------------------|

| 9.4 | Sealift      Cashflow scenarios |
|-----|---------------------------------|

|   | The      Refund Guarantees in relation to the first, second and third installments      relating to the Front Sunda will be replaced and until then the next set      of installments due to Cosco will not be paid by  Frontline. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1. | Power      and Authority |
|----|--------------------------|

| 1.1 | Frontline      and Sealift each have the requisite capacity, power and authority to enter      into and to perform this MergerAgreement. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------|

| 1.2 | The      signature of and the compliance with the terms of this Merger Agreement      does not and will not conflict with or constitute a default under any      provision of: |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2. | The      Existing Shares |
|----|--------------------------|

| 2.1 | The      Existing Shares comprise all of the issued shares of Sealift and are fully      paid up, free of further capital contribution  obligations. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.2 | Frontline      is the sole legal and beneficial owner of 30 million of the 90 million the      Existing Shares. |
|-----|-----------------------------------------------------------------------------------------------------------------|

| 2.3 | There      is no Encumbrance, and there is no agreement, arrangement or obligation to      create or give an Encumbrance, in relation to any of the unissued shares      in the capital of Sealift. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.4 | Other      than this Merger Agreement, there is no agreement, arrangement or      obligation requiring the issue, transfer, repurchase, redemption or      repayment of, or the grant to a person of the right (conditional or not)      to require the issue, transfer, redemption or repayment of, a share in the      capital of Sealift (including, without limitation, an option or right of      pre-emption or conversion). |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3. | Shipping |
|----|----------|

| 3.1 | Binding      Agreements |
|-----|-------------------------|

| 3.1.1 | The      obligations of each ShipCo under each Shipping Document are, or when the      relevant document is executed will be, enforceable in accordance with      their terms. |
|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.2 | Shipping      Assets |
|-----|----------------------|

| 3.2.1 | Each      of the Shipping Assets is owned both legally and beneficially by the      relevant ShipCo as set out in SCHEDULE 10 (Shipping Assets) and each of      those Shipping Assets capable of possession is in the possession or under      the control of the relevant ShipCo. |
|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 3.2.2 | Except      for statutory maritime liens arising in the ordinary course of business      and subject to the due repayment of the Senior Sealift Loan and the      Sealift Bonds there is no Encumbrance over or affecting all or part of the      Shipping Assets which will subsist after completion of the Debt      Restructuring and no ShipCo is a party to any agreement or commitment to      give or create any and so far as Frontline and Sealift are aware, no claim      has been made by any person to be entitled to  any. |
|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3 | Conversion      Contracts, Options and RefundGuarantees |
|-----|---------------------------------------------------------|

| 3.3.1 | Complete      and accurate copies of all Conversion Contracts, Conversion Options and      Refund Guarantees have been disclosed as part of the Disclosed      Information. |
|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3.2 | Each      of the Conversion Contracts and Conversion Options was properly executed      by the relevant ShipCo and, so far as Frontline and Sealift are aware, by      the respective counterparties, and has not been terminated and neither      Frontline nor Sealift are aware of any breach, invalidity, or grounds for      determination, rescission, avoidance or repudiation of any Conversion      Contract or Conversion Option. |
|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3.3 | Subject      to the due repayment of the Senior Sealift Loan and the Sealift Bonds,      there is no Encumbrance over or affecting all or part of the ShipCos’      rights under the Conversion Contracts or the Conversion Options which will      subsist after Completion and no ShipCo is a party to any agreement or      commitment to give or create any and, so far as Frontline and Sealift are      aware, no claim has been made by any person to be entitled to      any. |
|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3.4 | So      far as Frontline and Sealift are aware, each of the Refund Guarantees was      properly executed by the Refund Guarantor, and has not been terminated and      neither Frontline nor Sealift are aware of any breach, invalidity, or      grounds for determination, rescission, avoidance or repudiation of any      Refund Guarantee provided, however, that the Refund Guarantees received      will be reissued to take into account the novation of the Conversion      Contract relevant to M/T “Front Sunda” having been novated to Southwest      Tankers Inc. from Front Transporter Inc. and the revised text thereof      agreed with Nordea as agent for the lenders to the Senior Sealift      Loan. |
|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3.5 | There      is no Encumbrance over or affecting all or part of the ShipCos’ rights      under the Refund Guarantee which will subsist after Completion and no      ShipCo is a party to any agreement or commitment to give or create any      and, so far as Frontline and Sealift are aware, no claim has been made by      any person to be entitled to any. |
|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3.6 | The      agreed schedule for delivery of the first four Sealift Vessels to Cosco      for the conversion works to be undertaken pursuant to the Conversion      Contracts and for the redelivery of each such Sealift Vessel to the      relevant ShipCo following completion of such works is as included in the      Disclosed Information. |
|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 3.4 | The      Sealift Vessels |   |
|-----|--------------------------|--------|

| 3.4      1 | So      far as Frontline and Sealift are aware, each of the Sealift Vessels      currently holds all material certificates, licences or authorisations      required to enable such Sealift Vessel to carry out its operations in the      jurisdiction in which it is registered and all jurisdictions in which it      currently trades subject only to such certificates lapsing during actual      conversion of a Sealift Vessel pursuant to the Conversion      Contracts. |
|------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.4.2 | So      far as Frontline and Sealift are aware, each of the Sealift Vessels is      presently permanently registered at its place of registry and all fees of      such registry have been paid. |
|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.4.3 | Neither      Frontline or Sealift has received any notice that any Sealift Vessel is or      is likely to be subject to any claim, to forfeiture, arrest, other      detention, seizure, confiscation or other requisition and neither      Frontline nor Sealift are aware of any circumstances which might give rise      to any such claim, forfeiture, arrest, other detention, seizure,      confiscation or other requisition. |
|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4. | Insurances |
|----|------------|

| 4.1 | All      premiums, calls or other sums payable in respect of the insurances for the      Sealift Vessels have been paid. |
|-----|--------------------------------------------------------------------------------------------------------------------------|

| 4.2 | All      material facts disclosable to insurers have been disclosed, including the      planned conversion of each of the Sealift  Vessels. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------|

| 5. | General |
|----|---------|

| 5.1 | The      Disclosed Information contains all information relating to (i) the      business and affairs of Sealift and each Sealift Group Company and that is      material in the context of the Transaction and (ii) any arrangement      between Frontline, any director or shareholder of Frontline and Sealift      has been disclosed to the DelphiShareholders. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.2 | Sealift      has obtained all necessary consents and complied with all requirements in      relation to all statutes and regulations including but not limited to the      Bermuda Monetary Authority, exchange control and foreign currency      regulations. Sealift and each Sealift Group Company has at all times      complied and continues to comply with such statutes and regulations      governing each company in the country of its incorporation. Sealift or any      Sealift Group Company is not under any obligation, contractual or      otherwise, to request or obtain the consent of any person, and no permits,      licenses, certifications, authorisations or approvals of or notifications      to, any government or governmental agency, board, commission or authority      are required to be obtained by Sealift or any Sealift Group Company in      connection with the execution, delivery or performance by Sealift of this      Merger Agreement or the completion of the  Transaction. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | SCHEDULE      9 |
|--------|-----------------|

----

| A.     | VESSELS                        |                                  |
|--------|--------------------------------|---------------------------------------|
|   |                           |                                  |
| 1.     | Name      of Vessel:           | MARBLE                                |
|   |                           |                                  |
|   | Sealift      ShipCo of Vessel: | Quadrant      Marine Inc              |
|   |                           |                                  |
|   | Flag      of Vessel:           | Bahamas                               |
|   |                           |                                  |
| 2.     | Name      of Vessel:           | FRONT      GRANITE                    |
|   |                           |                                  |
|   | Sealift      ShipCo of Vessel: | Granite      Shipping Company Limited |
|   |                           |                                  |
|   | Flag      of Vessel:           | Marshall      Islands                 |
|   |                           |                                  |
| 3.     | Name      of Vessel:           | FRONT      TARGET                     |
|   |                           |                                  |
|   | Sealift      ShipCo of Vessel: | Front      Target Inc.                |
|   |                           |                                  |
|   | Flag      of Vessel:           | Marshall      Islands                 |
|   |                           |                                  |
| 4.     | Name      of Vessel:           | FRONT      SUNDA                      |

----

|   |                           |                        |
|--------|--------------------------------|-----------------------------|
|   | Sealift      ShipCo of Vessel: | Southwest      Tankers Inc. |
|   |                           |                        |
|   | Flag      of Vessel:           | Marshall      Islands       |
|   |                           |                        |
| 5.     | Name      of Vessel:           | FRONT      COMOR            |
|   |                           |                        |
|   | Sealift      ShipCo of Vessel: | West      Tankers Inc.      |
|   |                           |                        |
|   | Flag      of Vessel:           | Marshall      Islands       |
|   |                           |                        |
| 6.     | Name      of Vessel:           | FRONT      TRAVELLER        |
|   |                           |                        |
|   | Sealift      ShipCo of Vessel: | Front      Traveller Inc.   |
|   |                           |                        |
|   | Flag      of Vessel:           | Marshall      Islands       |
|   |                           |                        |
| B.     | SHIPPING      DOCUMENTS        |                        |
|   |                           |                        |
| 1.     | Conversion      Contracts      |                        |
|   |                           |                        |
| 2.     | Conversion      Options        |                        |
|   |                           |                        |

----

| 3.     | Bareboat      Charters                  |   |
|--------|-----------------------------------------|--------|
|   |                                    |   |
| 4.     | Management      Agreements              |   |
|   |                                    |   |
| 5.     | Refund      Guarantees                  |   |
|   |                                    |   |
| 6.     | Post-Redelivery      Shipping Documents |   |
|   |                                    |   |

----

| 1. | SEALIFT LTD. (“Sealift”); |
|----|---------------------------------------|

| 2. | SOUTHWEST TANKERS INC.      (“Southwest”); |
|----|--------------------------------------------------------|

| 3. | FRONT TARGET INC.      (“Front      Target”); |
|----|-----------------------------------------------------------|

| 4. | FRONT TRAVELLER INC.      (“Front      Traveller”); |
|----|-----------------------------------------------------------------|

| 5. | WEST TANKERS INC.      (“West”); |
|----|----------------------------------------------|

| 6. | GRANITE SHIPPING COMPANY LTD.      (“Granite”); |
|----|-------------------------------------------------------------|

| 7. | QUADRANT MARINE INC.      (“Quadrant”) |
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| 8. | FRONTLINE LTD. (“Frontline”) |
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| (A) | On      30 January, 2007, Frontline and Sealift entered into a purchase agreement      setting forth the terms and conditions upon and subject to which Sealift      acquired, inter alia,      all of the shares in the Owners from Frontline (the “Original Purchase      Agreement”); |
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|   | On      15 March 2007 the Parties entered into a supplemental agreement      supplementing certain terms of the Original Purchase Agreement (the “Supplemental      Agreement”) (together with the      Original Purchase Agreement, referred to as the “Purchase      Agreement”); and |
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|   | The      Parties wish to supplement the terms of the Purchase Agreement in respect      of a number of issues. |
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| 1. | Terms      defined in the Purchase Agreement shall, when used herein in capitalised      form, have the same meaning as attributed to them in the Purchase      Agreement. |
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| 2. | Clause      8.1.6 of the Original Purchase Agreement shall be supplemented for the      avoidance of doubt so that: |
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|   | (i) | notwithstanding      any of the terms in said Clause 8.1.6 or elsewhere in the Purchase      Agreement, Frontline shall indemnify each Owner against all costs incurred      by such Owner as a result of Frontline not paying any claim which such      Owner is obliged to pay under the terms of the relevant Conversion      Contract or any repair contract entered into by such Owner with      Cosco; |
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|   | (ii) | Frontline      shall be responsible for the repair costs of each Conversion Vessel and in      Clause 8.1.6 all references to “conversion costs” shall be construed so      that this term includes such costs incurred as a result of a repair      contract being entered into by Frontline (on behalf of the relevant Owner)      with the relevant Yard pursuant to Clause 10.8 of such Conversion      Contract. |
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| 3. | Clause      8.1.5 of the Original Purchase Agreement shall be amended so that the      final sentence is deleted and the clause is supplemented by the      following: |
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|   | (i) | Sealift      shall have the right to assign two representatives to the supervision team      for Front Sunda, Front Target, Front Traveller and Front Comor, one of      which shall have engine room expertise and the other deck      expertise; |
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|   | (ii) | the      Sealift representatives shall have full access to information and      documentation provided by Cosco to the supervision teams, as well as all      documentation related to the Conversion Vessels as is being prepared by      the supervision teams or circulated among its  members; |
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|   | (iii) | the      Sealift representatives shall have the right to attend all inspections,      testing of equipment, sea trials and review of sea trial      documentation; |
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|   | (iv) | the      Sealift representatives shall work with the other members of the      supervision team with the objective of resolving all technical issues in      the best interests of the Owners and in the case of disagreement between      the Sealift representatives and the other members of the supervision team,      the views of the Sealift representatives shall be given in writing to the      leader of the supervision team; and |
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| 4. | Clause      8.1.9 of the Original Purchase Agreement and Clause 2 of the Supplemental      Agreement shall be amended so that the agreed redelivery dates are as      follows: |
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| 6. | This      Agreement shall be considered null and void if Merger Completion has not      occurred prior to 12 May 2007. |
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| 7. | The      Parties agree that the provisions of Clauses 14 and 17 of the Original      Purchase Agreement shall apply to this Agreement as  well. |
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| For      and on behalf of                                | For      and on behalf of                                   |
|----------------------------------------------------------|-------------------------------------------------------------|
| SEALIFT      LTD.                                   | SOUTHWEST      TANKERS INC.                                 |
| For      and on behalf ofFRONT      TARGET INC.     | For      and on behalf ofFRONT      TRAVELLER INC.          |
| For      and on behalf ofWEST      TANKER INC.      | For      and on behalf ofGRANITE      SHIPPING COMPANY LTD. |
| For      and on behalf ofQUADRANT      MARINE INC.  | For      and on behalf ofFRONTLINE      LTD.                |