----

| 1  | Definitions      and Interpretation     | 1  |
|----|-----------------------------------------|----|
| 2  | The      Loan and its Purpose           | 12 |
| 3  | Conditions      of Utilisation          | 12 |
| 4  | Advance                                 | 15 |
| 5  | Repayment                               | 15 |
| 6  | Prepayment                              | 15 |
| 7  | Interest                                | 16 |
| 8  | Indemnities                             | 19 |
| 9  | Fees                                    | 23 |
| 10 | Security      and Application of Moneys | 23 |
| 11 | Representations                         | 26 |
| 12 | Undertakings      and Covenants         | 29 |
| 13 | Events      of Default                  | 36 |
| 14 | Assignment      and Sub-Participation   | 41 |
| 15 | Set-Off                                 | 42 |
| 16 | Payments                                | 42 |
| 17 | Notices                                 | 44 |
| 18 | Partial      Invalidity                 | 45 |
| 19 | Remedies      and Waivers               | 45 |
| 20 | Miscellaneous                           | 45 |

----

| 21                                                   | Law      and Jurisdiction                    | 46     |
|------------------------------------------------------|----------------------------------------------|--------|
|                                                 |                                         |   |
| SCHEDULE      1: Conditions Precedent and Subsequent | 48                                           |
|                                                 | Part      I: Conditions precedent            | 48     |
|                                                 | Part      II: Conditions subsequent          | 52     |
|                                                 | Part      III: Delivery conditions precedent | 53     |
|                                                 | Part      IV: Delivery conditions subsequent | 56     |
|                                                 |                                         |   |
| SCHEDULE      3: Form of Compliance Certificate      | 58                                           |

----

| (1) | LICHTENSTEIN SHIPPING COMPANY      LIMITED, a company incorporated under the laws of the Republic of      Liberia whose registered office is at 80, Broad Street Monrovia, Liberia      (the "Borrower");      and |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | ALPHA BANK A.E., acting      through its office at 89 Akti Miaouli, GR 185 38 Piraeus, Greece (the      "Lender"). |
|-----|--------------------------------------------------------------------------------------------------------------------|

| (A) | The      Borrower has agreed to purchase the Vessel from the Builder on the terms      of the Building Contract and intends to register the Vessel on delivery      (scheduled to take place on or before February 2009) under the Approved      Flag. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (B) | The      Lender has agreed to advance to the Borrower 539,000,000 representing      approximately eighty three per cent (83%) of the Contract Price of the      Vessel to assist the Borrower to finance part of the Contract Price of the      Vessel, and to re-finance certain existing indebtedness in respect of the      Vessel in four Drawings. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 1 | Definitions      and Interpretation |
|---|-------------------------------------|

|   | 1.1 | In      this Agreement: |
|--------|-----|-------------------------|

----

----

----

----

|   | (a) | moneys      borrowed; |
|--------|-----|-----------------------|

|   | (b) | any      acceptance credit; |
|--------|-----|-----------------------------|

|   | (c) | any      bond, note, debenture, loan stock or similar  instrument; |
|--------|-----|--------------------------------------------------------------------|

|   | (d) | any      finance or capital lease; |
|--------|-----|------------------------------------|

|   | (e) | receivables      sold or discounted (other than on a non-recourse  basis); |
|--------|-----|----------------------------------------------------------------------------|

|   | (f) | deferred      payments for assets or services; |
|--------|-----|------------------------------------------------|

|   | (g) | any      derivative transaction protecting against or benefiting from fluctuations      in any rate or price (and, when calculating the value of any derivative      transaction, only the marked to market value shall be taken into      account); |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (h) | any      amount raised under any other transaction (including any forward sale or      purchase agreement) having the commercial effect of a      borrowing; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | (i) | any      counter-indemnity obligation in respect of a guarantee, indemnity, bond,      standby or documentary letter of credit or any other instrument issued by      a bank or financial institution; and |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | (j) | the      amount of any liability in respect of any guarantee or indemnity for any      of the items referred to in paragraphs (a) to (i)  above. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|   | (a) | the      applicable Screen Rate; or |
|--------|-----|-------------------------------------|

|   | (b) | (if      no Screen Rate is available for any Interest Period) the arithmetic mean      of the rates (rounded upwards to the nearest whole multiple of      one-sixteenth of one per centum) quoted to the Lender in the London      interbank market, |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

|   | (a) | an      actual, constructive, arranged, agreed or compromised total loss of the      Vessel; or |
|--------|-----|-------------------------------------------------------------------------------------------------|

|   | (b) | the      requisition for title or compulsory acquisition of the Vessel by any      government or other competent authority (other than by way of requisition      for hire); or |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | the      capture, seizure, arrest, detention or confiscation of the Vessel by any      government or by persons acting or purporting to act on behalf of any      government, unless the Vessel is released and returned to the possession      of |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | the      Borrower or the Bareboat Charterer within one month after the capture,      seizure, arrest, detention or confiscation in  question. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2 | In      this Agreement: |
|--------|-----|-------------------------|

|   | 1.2.1 | words      denoting the plural number include the singular and vice      versa; |
|--------|-------|---------------------------------------------------------------------------------|

|   | 1.2.2 | words      denoting persons include corporations, partnerships, associations of      persons (whether incorporated or not) or governmental or      quasi-governmental bodies or authorities and vice  versa; |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2.3 | references      to Recitals, Clauses and Schedules are references to recitals, clauses and      schedules to or of this Agreement; |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2.4 | references      to this Agreement include the Recitals and the  Schedules; |
|--------|-------|----------------------------------------------------------------------------|

|   | 1.2.5 | the      headings and contents page(s) are for the purpose of reference only, have      no legal or other significance, and shall be ignored in the interpretation      of this Agreement; |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2.6 | references      to any document (including, without limitation, to all or any of the      Relevant Documents) are, unless the context otherwise requires, references      to that document as amended, supplemented, novated or replaced from time      to time; |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2.7 | references      to statutes or provisions of statutes are references to those statutes, or      those provisions, as from time to time amended, replaced or      re-enacted; |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 1.2.8 | references      to the Lender include its successors, transferees and assignees;      and |
|--------|-------|-------------------------------------------------------------------------------------------|

----

|   | 1.2.9 | a      time of day (unless otherwise specified) is a reference to London      time. |
|--------|-------|-------------------------------------------------------------------------------------|

|   | 1.3 | Offer    letter |
|--------|-----|-----------------|

| 2 | The      Loan and its Purpose |
|---|-------------------------------|

|   | 2.1 | Amount Subject to the      terms of this Agreement, the Lender agrees to make available to the      Borrower a term loan not exceeding the Maximum Loan Amount. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 2.2 | Purpose The Borrower      shall apply the Loan for the purposes referred to in Recital      (B). |
|--------|-----|--------------------------------------------------------------------------------------------------|

|   | 2.3 | Monitoring The Lender      shall not be bound to monitor or verify the application of any amount      borrowed under this Agreement. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------|

| 3 | Conditions      of Utilisation |
|---|--------------------------------|

|   | 3.1 | Conditions precedent The      Borrower is not entitled to have any Drawing advanced unless the Lender      has received all of the documents and other evidence listed in Part I of      Schedule 1 (Conditions      precedent). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.2 | Further conditions precedent      The Lender will only be obliged to advance a Drawing if on the date      of the Drawdown Notice and on the proposed Drawdown  Date: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.2.1 | no Default is continuing or would      result from the advance of that Drawing; and |
|--------|-------|-------------------------------------------------------------------------------------|

|   | 3.2.2 | the      representations made by the Borrower under Clause 11 (Representations) are      true in all material respects. |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------|

|   | 3.3 | Drawing limit The Lender      will only be obliged to advance a Drawingif: |
|--------|-----|----------------------------------------------------------------------------|

|   | 3.3.1 | that      Drawing will not increase the Loan to a sum in excess of the Maximum Loan      Amount; |
|--------|-------|--------------------------------------------------------------------------------------------------|

----

|   | 3.3.2 | the      proposed Drawing is either applied towards re-financing any amount due      under the RBS Agreement (in the case of the first Drawing to occur) or      coincides with the due date for payment by the Borrower of      an instalment of the Contract Price of the Vessel and that Drawing will be      applied in payment of that instalment (as applicable);      and |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.3.3 | that      Drawing will be applied in or towards refinancing (in the case of the      first and second instalment) or payment of one of the following      instalments of the Contract Price of the Vessel under the Building      Contract and shall amount to a maximum of the sum set out below opposite      the relevant instalment under the column "Drawing" and the      Borrower shall pay at least three (3) Business Days prior to the Drawdown      Date of that Drawing (other than in the case of the first Drawing to      occur) the Equity Portion in the sum set out below opposite the relevant      instalment under the column "Equity      Portion": |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Instalment                                                                                                                                                                                   | Drawing           | Equity      Portion | Total       |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------|---------------------|-------------|
| Refinancing      offirst and secondinstalment      (already financed by RBS) (upon      execution of this agreement and delivery of the documents referred to in      Clause 3.1)  | $      10,626,750 |                |        |
| third      instalment (upon keel laying) (on      or about 18 August 2008)                                                                                                              | $7,084,500        | $2,361,500          | $9,446,000  |
| fourth      instalment (upon launching) (on      or about 5 November 2008)                                                                                                         | $7,084,500        | $2,361,500          | $9,446,000  |
| fifth      instalment(upon      delivery) (on      or about 17                                                                                                                          | $14,204,250       | -                   | $14,204,250 |

----

|           |   |   |   |
|----------------|--------|--------|--------|
| February 2009) |        |        |   |

----

|   | 3.4 | Conditions subsequent      The Borrower undertakes to deliver or to cause to be delivered to      the Lender on, or as soon as practicable after, the relevant Drawdown Date      the additional documents and other evidence listed in Part II of Schedule      I (Conditions      subsequent). |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.5 | Delivery conditions precedent      Whether or not a Drawing is advanced on the Delivery Date, the      Borrower undertakes to deliver or to cause to be delivered to the Lender      on the Delivery Date the additional documents and other evidence listed in      Part III of Schedule I (Delivery conditions      precedent). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.6 | Delivery conditions subsequent      Whether or not a Drawing is advanced on the Delivery Date, the      Borrower undertakes to deliver or to cause to be delivered to the Lender      on, or as soon as practicable after, the Delivery Date the additional      documents and other evidence listed in Part IV of Schedule I (Delivery conditions      subsequent). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.7 | No Waiver If the Lender      in its sole discretion agrees to advance a Drawing to the Borrower before      all of the documents and evidence required by Clause 3.1 (Conditions precedent)      and/or Clause 3.5 (Delivery conditions      precedent) have been delivered to or to the order of the Lender,      the Borrower undertakes to deliver all outstanding documents and evidence      to or to the order of the Lender no later than thirty (30) days after the      relevant Drawdown Date or such other date specified by the      Lender. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3.8 | Form and content All      documents and evidence delivered to the Lender under this Clause 3      shall: |
|--------|-----|----------------------------------------------------------------------------------------------------------|

|   | 3.8.1 | be      in form and substance acceptable to the Lender;  and |
|--------|-------|--------------------------------------------------------------|

|   | 3.8.2 | if      required by the Lender, be certified, notarised, legalised or attested in      a manner acceptable to the Lender. |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------|

----

| 4 | Advance |
|---|---------|

| 5 | Repayment |
|---|-----------|

|   | 5.1 | Repayment of Loan The      Borrower agrees to repay the Loan to the Lender by forty consecutive      quarterly instalments, the first thirty-nine such repayment instalments      (1st-39th), each in the sum of six hundred thousand Dollars ($600,000),      and the fortieth and last such repayment instalment in the sum of fifteen      million six hundred thousand Dollars ($15,600,000) (consisting of an      instalment of six hundred thousand Dollars ($600,000) and a balloon      payment of fifteen million Dollars ($15,000,000) (the "Balloon Payment")),the first instalment falling      due on the date which is three calendar months after the earlier to occur      of the Delivery Date and the Availability Termination Date and subsequent      instalments falling due at consecutive intervals of three calendar months      thereafter. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 5.2 | Reduction of Repayment      Instalments If the aggregate amount advanced to the      Borrower is less than the Maximum Loan Amount, the amount of each      Repayment Instalment shall be reduced pro rata to the amount actually      advanced. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 5.3 | Reborrowing The Borrower      may not reborrow any part of the Loan which is repaid or      prepaid. |
|--------|-----|------------------------------------------------------------------------------------------------------|

| 6 | Prepayment |
|---|------------|

|   | 6.1 | Illegality If it becomes      unlawful in any jurisdiction for the Lender to perform any of its      obligations as contemplated by this Agreement or to fund or maintain the      Loan: |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 6.1.1 | the      Lender shall promptly notify the Borrower of that event;    and |
|--------|-------|--------------------------------------------------------------------------|

|   | 6.1.2 | the      Borrower shall repay the Loan (to the extent already advanced) on the last      day of the current Interest Period or, if earlier, the date specified by      the Lender in the notice delivered to the Borrower (being no earlier than      the last day of any applicable grace period permitted by    law). |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 6.2 | Voluntary prepayment of Loan      The Borrower may prepay the whole or any part of the Loan (but, if      in part, being an amount that reduces the Loan by a minimum amount of five      hundred thousand Dollars ($500,000) or an integral multiple thereof)      subject as follows: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 6.2.1 | it      gives the Lender not less than fifteen (15) Business Days' (or such      shorter period as the Lender may agree) prior  notice; |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------|

|   | 6.2.2 | no      prepayment may be made until after the Availability Termination Date;      and |
|--------|-------|----------------------------------------------------------------------------------------|

|   | 6.2.3 | any      prepayment under this Clause 6.2 shall satisfy the obligations under      Clause 5.1 (Repayment of      Loan) in inverse order of  maturity. |
|--------|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 6.3 | Mandatory prepayment on sale or      Total Loss If the Vessel is sold by the Borrower or becomes a Total      Loss, the Borrower shall, simultaneously with any such sale or within one      hundred and fifty (150) days after any such Total Loss, prepay the whole      of the Loan. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 6.4 | Restrictions Any notice      of prepayment given under this Clause 6 shall be irrevocable and, unless a      contrary indication appears in this Agreement, shall specify the date or      dates upon which the relevant prepayment is to be made and the amount of      that prepayment. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7 | Interest |
|---|----------|

|   | 7.1 | Interest Periods The      period during which the Loan shall be outstanding under this Agreement      shall be divided into consecutive Interest Periods of one, three or six      months' duration or longer duration, as selected by the Borrower by      written notice to the Lender not later than 11.00 a.m. on the second      Business Day before the beginning of the Interest Period in question, or      such other duration as may be agreed by the Lender and subject to market      availability. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.2 | Beginning and end of Interest      Periods Each Interest Period shall start on the first Drawdown Date      or (if a Drawing is already advanced) on the last day of the |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | preceding Interest Period and end on the date which numerically      corresponds to the first Drawdown Date or the last day of the preceding      Interest Period in the relevant calendar month except that, if there is no      numerically corresponding date in that calendar month, the Interest Period      shall      end on the last Business Day in that      month. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.3 | Second and subsequent Drawings      If the second or any subsequent Drawing is made otherwise than on      the first day of an Interest Period for the balance of the Loan,      there shall be a separate initial Interest Period for that Drawing      commencing on its Drawdown Date and expiring on the final date of the then      current Interest Period for the balance of the  Loan. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.4 | Interest Periods to meet      Repayment Dates If an Interest Period will expire after the next      Repayment Date, there shall be a separate Interest Period for a part of      the Loan equal to the Repayment Instalment due on that next Repayment Date      and that separate Interest Period shall expire on that next Repayment      Date. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.5 | Non-Business Days If an      Interest Period would otherwise end on a day which is not a Business Day,      that Interest Period will instead end on the next Business Day in that      calendar month (if there is one) or the preceding Business Day (if there      is not). |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.6 | Interest rate During      each Interest Period interest shall accrue on the Loan at the rate      determined by the Lender to be the aggregate of (a) the Margin and (b)      LIBOR . |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.7 | Failure      to select Interest Period If the Borrower at any time fails to select or      agree an Interest Period in accordance with Clause 7.1 (Interest Periods), the      interest rate applicable shall be the rate determined by the Lender in      accordance with Clause 7.6 (Interest rate) for an      Interest Period of such duration (not exceeding three months) as the      Lender may select. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.8 | Accrual and payment of interest      Interest shall accrue from day to day, shall be      calculated on the basis of a 360 day year and the actual number of days      elapsed (or, in any circumstance where market practice differs, in      accordance with the prevailing market practice) and shall be paid by the      Borrower to the Lender on the last day of each Interest Period and, if the      Interest Period is longer than three months, on the dates falling at three      monthly intervals after the first day of that Interest      Period. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.9 | Default interest If the Borrower fails to pay any amount      payable by it under a Finance Document on its due date, interest shall      accrue on the overdue amountfrom |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   |  the      due date up to the date of actual payment (both before and after judgment)      at a rate which is two per cent (2%) higher than the rate which would have      been payable if the overdue amount had, during the period of non-payment,      constituted the Loan in the currency of the overdue amount for successive      Interest Periods, each selected by the Lender (acting reasonably). Any      interest accruing under this Clause 7.9 shall be immediately payable by      the Borrower on demand by the Lender. If unpaid, any such interest will be      compounded with the overdue amount at the end of each Interest Period      applicable to that overdue amount but will remain immediately due and      payable. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.10 | Changes in market circumstances      If at any time the Lender determines (which determination shall be      final and conclusive and binding on the Borrower) that in the London      interbank market either adequate and fair means do not exist for      determining the rate of interest on the Loan for any Interest Period or      the cost to it of obtaining matching deposits for any Interest Period      would be in excess of LIBOR: |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.10.1 | the      Lender shall give notice to the Borrower of the occurrence of such event;      and |
|--------|--------|---------------------------------------------------------------------------------------------|

|   | 7.10.2 | the      rate of interest on the Loan for that Interest Period shall be the rate      per annum which is the sum of: |
|--------|--------|----------------------------------------------------------------------------------------------------------------------|

|   | (a) | the      Margin; and |
|--------|-----|----------------------|

|   | (b) | the      rate which expresses as a percentage rate per annum the cost to the Lender      of funding the Loan from whatever source it may reasonably      select, |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.10.3 | the      Lender will negotiate with the Borrower in good faith with a view to      modifying this Agreement to provide a substitute basis for determining the      rate of interest which is financially a substantial equivalent to the      basis provided for in thisAgreement; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.10.4 | any      substitute basis agreed pursuant to Clause 7.10.3 shall be binding on the      parties to this Agreement; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

----

|   | 7.10.5 | if,      within thirty (30) days of the giving of the notice referred to in Clause      7.10.1, the Borrower and the Lender fail to agree in writing on a      substitute basis for determining the rate of interest, the Borrower will      immediately prepay the Loan, together with any Break  Costs. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.11 | Determinations conclusive      The Lender shall promptly notify the Borrower of the determination      of a rate of interest under this Clause 7 and each such determination      shall (save in the case of manifest error) be final and      conclusive. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8 | Indemnities |
|---|-------------|

|   | 8.1 | Transaction      expenses The Borrower will, within      fourteen (14) days of the Lender's written demand, pay the Lender the      amount of all costs and expenses (including legal fees and Value Added Tax      or any similar or replacement tax if applicable) incurred by the Lender in      connection with: |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.1.1 | the      negotiation, preparation, printing, execution and registration of the      Finance Documents (whether or not any Finance Document is actually      executed or registered and whether or not all or any part of the Loan is      advanced); |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.1.2 | any      amendment, addendum or supplement to any Finance Document (whether or not      completed); and |
|--------|-------|---------------------------------------------------------------------------------------------------------|

|   | 8.1.3 | any      other document which may at any time be required by the Lender to give      effect to any Finance Document or which the Lender is entitled to call for      or obtain under any Finance Document (including, without limitation, any      valuation of the Vessel). |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.2 | Funding costs The      Borrower shall indemnify the Lender on the Lender's written demand against      all losses and costs incurred or sustained by the Lender if, for any      reason, a Drawing is not advanced to the Borrower after the relevant      Drawdown Notice has been given to the Lender, or is advanced on a date      other than that requested in the Drawdown Notice (unless, in either case,      as a result of any default by theLender). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.3 | Break Costs The Borrower      shall indemnify the Lender on the Lender's written demand against all      costs, losses, premiums or penalties incurred by the Lender as a |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | result      of its receiving any prepayment of all or any part of the Loan (whether      pursuant to Clause 6 (Prepayment) or      otherwise) on a day other than the last day of an Interest Period for the      Loan or relevant part of the Loan, or any other payment under or in      relation to the Finance Documents on a day other than the due date for      payment of the sum in question, including (without limitation) any losses      or costs incurred in liquidating or re-employing deposits from third      parties acquired to effect or maintain all or any part of the Loan, and      any liabilities, expenses or losses incurred by the Lender in terminating      or reversing, or otherwise in connection with, any interest rate and/or      currency swap, transaction or arrangement entered into by the Lender to      hedge any exposure arising under this Agreement, or in terminating or      reversing, or otherwise in connection with, any open position arising      under this Agreement. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.4 | Currency indemnity In      the event of the Lender receiving or recovering any amount payable under a      Finance Document in a currency other than the Currency of Account, and if      the amount received or recovered is insufficient when converted into the      Currency of Account at the date of receipt to satisfy in full the amount      due, the Borrower shall, on the Lender's written demand, pay to the Lender      such further amount in the Currency of Account as is sufficient to satisfy      in full the amount due and that further amount shall be due to the Lender      as a separate debt under thisAgreement. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.5 | Increased costs (subject to      Clause 8.6 (Exceptions      to increased costs)) If, by reason of the      introduction of any law, or any change in any law, or any change in the      interpretation or administration of any law, or compliance with any      request or requirement from any central bank or any fiscal, monetary or      other authority occurring after the date of this Agreement (including the      implementation or application of or compliance with the Basel II Accord or      any other Basel II Regulation (whether such implementation, application or                      compliance      is by any central bank or any fiscal, monetary or other authority, the      Lender or the holding company of the  Lender)): |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.5.1 | the      Lender (or the holding company of the Lender) shall be subject to any Tax      with respect to payment of all or any part of the Indebtedness (other than      Tax on overall net income); or |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.5.2 | the      basis of Taxation of payments to the Lender in respect of all or any part      of the Indebtedness shall be changed;or |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------|

----

|   | 8.5.3 | any      reserve requirements shall be imposed, modified or deemed applicable      against assets held by or deposits in or for the account of or loans by      any branch of the Lender; or |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.5.4 | the      manner in which the Lender allocates capital resources to its obligations      under this Agreement or any ratio (whether cash, capital adequacy,      liquidity or otherwise) which the Lender is required or requested to      maintain shall be affected; or |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.5.5 | there      is imposed on the Lender (or on the holding company of the Lender) any      other condition in relation to the Indebtedness or the Finance      Documents; |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 8.6 | Exceptions to increased costs      Clause 8.5 (Increased costs) does      not apply to the extent any additional cost or reduced return referred to      in that Clause is: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.6.1 | compensated      for by a payment made under Clause 8.10 (Taxes);    or |
|--------|-------|-------------------------------------------------------------------------|

|   | 8.6.2 | compensated      for by a payment made under Clause 16.3 (Grossing-up);      or |
|--------|-------|---------------------------------------------------------------------------------|

|   | 8.6.3 | attributable      to the wilful breach by the Lender (or the holding company of the Lender)      of any law or regulation. |
|--------|-------|----------------------------------------------------------------------------------------------------------------------------|

|   | 8.7 | Events of Default The      Borrower shall indemnify the Lender from time to time on the Lender's      written demand against all losses, costs and liabilities incurred or      sustained by the Lender as a consequence of any Event of      Default. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.8 | Enforcement costs The      Borrower shall pay to the Lender on the Lender's written demand the amount      of all costs and expenses (including legal fees) incurred by the Lender in      connection with the enforcement of, or the preservation of any rights      under, any Finance Document including (without limitation) any losses,      costs and expenses which the Lender may from time to time sustain, incur      or become liable for by reason of the Lender being mortgagee of the Vessel      and/or a lender to the Borrower, or by reason of the Lender being deemed      by any court or authority to be an operator or controller, or in any way      concerned in the operation or control, of the  Vessel. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8.9 | Other costs The Borrower      shall pay to the Lender on the Lender's written demand the amount of all      sums which the Lender may pay or become actually or contingently liable      for on account of the Borrower in connection with the Vessel (whether      alone or jointly or jointly and severally with any other person) including      (without limitation) all sums which the Lender may pay or guarantees which      it may give in respect of the Insurances, any expenses incurred by the      Lender in connection with the maintenance or repair of the Vessel or in      discharging any lien, bond or other claim relating in any way to the      Vessel, and any sums which the Lender may pay or guarantees which it may      give to procure the release of the Vessel from arrest or      detention. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   |
|--------|--------|

|   | 8.10 | Taxes The Borrower shall      pay all Taxes to which all or any part of the Indebtedness or any Finance      Document may be at any time subject (other than Tax on the Lender's      overall net income) and shall indemnify the Lender on the Lender's written      demand against all liabilities, costs, claims and expenses resulting from      any omission to pay or delay in paying any such  Taxes. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9 | Fees |
|---|------|

|   | 9.1 | Commitment fee The      Borrower shall pay to the Lender a fee computed at the rate of zero point      forty per cent (0.40%) per annum on the undrawn amount of the Loan from      time to time from 25 June 2008, until the earlier of the Drawdown Date in      respect of the final Drawing and the Availability Termination Date. The      accrued commitment fee is payable on the last day of each successive      period of three months from 25 June 2008 and on the Availability      Termination Date. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 9.2 | Arrangement fee The      Borrower shall pay to the Lender, on the date of this Agreement, an      arrangement fee in the amount of two hundred and ninety two thousand five      hundred Dollars ($292,500). |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10 | Security      and Application of Moneys |
|----|-----------------------------------------|

|   | 10.1 | Security Documents As      security for the payment of the Indebtedness, the Borrower shall execute      and deliver to the Lender or cause to be executed and delivered to the      Lender the following documents in such forms and containing such terms and      conditions as the Lender shallrequire: |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.1.1 | a      first priority deed of assignment of the Building Contract and the Refund      Guarantee; |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | 10.1.2 | a      guarantee and indemnity from theGuarantor; |
|--------|--------|---------------------------------------------------|

|   | 10.1.3 | a      first preferred or statutory mortgage over the Vessel together with a      collateral deed of covenants ifapplicable; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------|

|   | 10.1.4 | a      first priority deed of assignment of the Insurances, Earnings and      Requisition Compensation; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------|

|   | 10.1.5 | a      first priority deed or deeds of assignment of the Insurances, Earnings,      Bareboat Charter and Requisition Compensation of the Vessel from the |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | Borrower      and the Bareboat Charterer, including (in the case of the Bareboat      Charterer) an agreement whereby its interests under the Bareboat Charter      are subordinated to the interests of the Lender under the Mortgage and an      assignmentof any performance guarantee from Daelim (if the Bareboat      Charterer is a one hundred per cent (100%) subsidiary of      Daelim.                                                                                                                                                                                                         |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | 10.2   | Earnings Account The      Borrower shall maintain the Earnings Account with the Lender for the      duration of the Facility Period free of Encumbrances and rights of set off      other than those created by or under the Finance Documents. Interest shall      accrue on a daily basis on any balance from time to time on the Earnings      Account at a rate of interest determined by the Lender in its discretion      as the rate of interest payable to its customers on deposits in the same      currency and of similar amount and maturity, and shall be credited to the      Earnings Account. |
|   | 10.3 | Earnings The      Borrower shall procure that all Earnings and any Requisition Compensation      are credited to the Earnings  Account. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.4 | Application of Earnings      Account  The Borrower shall procure that there is transferred      from the Earnings Account to theLender: |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.4.1 | on      each Repayment Date, the amount of the Repayment Instalment then due;      and |
|--------|--------|----------------------------------------------------------------------------------------|

|   | 10.4.2 | on      each Interest Payment Date, the amount of interest then due, |
|--------|--------|----------------------------------------------------------------------|

|   | 10.5 | Borrower's obligations not      affected If for any reason the amount standing to the credit of the      Earnings Account is insufficient to pay any Repayment Instalment or to      make any payment of interest when due, the Borrower's obligation to pay      that Repayment Instalment or to make that payment of interest shall not be      affected. |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.6 | Release of surplus Any      amount remaining to the credit of the Earnings Account following the      making of any transfer required by Clause 10.4 (Application of Earnings      Account) shall (unless a Default shall have occurred and be      continuing) be released to or to the order of the  Borrower. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 10.7 | Restriction on withdrawal      During the Facility Period no sum may be withdrawn from the      Earnings Account (except in accordance with this Clause 10.7) without the      prior written consent of theLender. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.8 | Relocation of Earnings Account      At any time following the occurrence and during the continuation of      a Default, the Lender may without the consent of the Borrower but after      giving notice to the Borrower relocate the Earnings Account to any other      branch of the Lender, without prejudice to the continued application of      this Clause 10.8 and the rights of the Lender under the Finance      Documents. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.9 | Application after acceleration      From and after the giving of notice to the Borrower      by the Lender under Clause 13.2 (Acceleration), the      Borrower shall procure that all sums from time to time standing to the      credit of the Earnings Account are immediately transferred to the Lender      for application in accordance with Clause 10.10 (General application of      moneys) and the Borrower irrevocably authorises the Lender to make      those transfers. |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | 10.10 | General application of moneys      The Borrower, subject to Clause 10.11 (Application of moneys on sale      or Total Loss), irrevocably authorises the Lender to apply all sums      which the Lender mayreceive: |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.10.1 | pursuant      to a sale or other disposition of the Vessel or any right, title or      interest in the Vessel; or |
|--------|---------|-------------------------------------------------------------------------------------------------------------------|

|   | 10.10.2 | by      way of payment of any sum in respect of the Insurances, Earnings, Charter      Rights or Requisition Compensation;or |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------|

|   | 10.10.3 | by      way of transfer of any sum from the Earnings Account;  or |
|--------|---------|-------------------------------------------------------------------|

|   | 10.10.4 | otherwise      arising under or in connection with any Security Document, |
|--------|---------|---------------------------------------------------------------------------|

|   | 10.11 | Application of moneys on sale      or Total Loss The Borrower irrevocably authorises the Lender to      apply all sums which the Lender may receive pursuant to a sale by the      Borrower of the Vessel or a Total Loss in or towards satisfaction of the      prepayment due and payable by virtue of that sale or Total Loss under      Clause 6.3 (Mandatory      prepayment on sale or Total Loss), but the Borrower's obligation to      make that   |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | prepayment      shall not be affected if those sums are insufficient to satisfy that      obligation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | 10.12  | Additional security If      at any time the aggregate of the Market Value of the Vessel and the value      of any additional security (such value to be the face amount of the      deposit (in the case of cash), determined conclusively by appropriate      advisers appointed by the Lender (in the case of other charged assets),      and determined by the Lender in its discretion (in all other cases)) for      the time being provided to the Lender under this Clause 10.12 is less than      one hundred and thirty per cent (130%) of the Loan the Borrower shall,      within thirty (30) days of the Lender's request, at the Borrower's      option: |

|   | 10.12.1 | pay      to the Lender or to its nominee a cash deposit in the amount of the      shortfall to be secured in favour of the Lender as additional security for      the payment of the Indebtedness; or |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10.12.2 | give      to the Lender other additional security in amount and form acceptable to      the Lender in its discretion; or |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------|

|   | 10.12.3 | prepay      the amount of the Indebtedness which will ensure that the aggregate of the      market value of the Vessel (determined as stated above) and the value of      any such additional security is not less than one hundred and thirty per      cent (130%) of the Loan. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 11 | Representations |
|----|-----------------|

|   | 11.1 | Representations The      Borrower makes the representations and warranties set out in this Clause      11.1 to the Lender on the date of this  Agreement. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 11.11.1 | Status Each Security      Party (which is not an individual) is a corporation, duly incorporated and      validly existing under the law of its jurisdiction of incorporation and      has the power to own its assets and carry on its business as it is being      conducted. |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.2 | Binding obligations The      obligations expressed to be assumed by each Security Party and the      Bareboat Charterer in each Finance Document to which it is a party are,      legal, valid, binding and enforceable  obligations. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.3 | Non-conflict with other      obligations The entry into and performance by each Security Party      of, and the transactions contemplated by, the Finance Documents do not      conflict with: |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | any      law or regulation applicable to that Security  Party; |
|--------|-----|----------------------------------------------------------------|

|   | (b) | the      constitutional documents of that Security Party;  or |
|--------|-----|---------------------------------------------------------------|

|   | (c) | any      document binding on that Security Party or any of its assets, |
|--------|-----|------------------------------------------------------------------------|

|   | 11.1.4 | Power and authority Each      Security Party has the power to enter into, perform and deliver, and has      taken all necessary action to authorise its entry into, performance and      delivery of, the Finance Documents to which it is a party and the      transactions contemplated by those Finance  Documents. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.5 | Validity and admissibility in      evidence All consents, licences, approvals, authorisations, filings      and registrations required or desirable: |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | to      enable each Security Party lawfully to enter into, exercise its rights and      comply with its obligations in the Finance Documents to which it is a      party or to enable the Lender to enforce and exercise all its rights under      the Finance Documents; and |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | to      make the Finance Documents to which any Security Party is a party      admissible in evidence in its jurisdiction of incorporation, |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.6 | Governing law and enforcement      The choice of English law as the governing law of any Finance      Document expressed to be governed by English law will be recognised and      enforced in the jurisdiction of |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 11.1.7 | Deduction of Tax No      Security Party is required under the law of its jurisdiction of      incorporation to make any deduction for or on account of Tax from any      payment it may make under any FinanceDocument. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.8 | No filing or stamp taxes      Under the law of jurisdiction of incorporation of each relevant      Security Party it is not necessary that the Finance      Documents be filed, recorded or enrolled with any court or other authority      in that jurisdiction or that any stamp, registration or similar tax be      paid on or in relation to the Finance Documents or the transactions      contemplated by the FinanceDocuments. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.9 | No default No Event of      Default is continuing or might reasonably be expected to result from the      advance of any Drawing. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.10 | No misleading information      Any factual information provided by any Security Party to the      Lender was true and accurate in all material respects as at the date it      was provided. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.11 | Pari passu ranking The      payment obligations of each Security Party and the Bareboat Charterer      under the Finance Documents to which it is a party rank at least pari      passu with the claims of all its other unsecured and unsubordinated      creditors, except for obligations mandatorily preferred by law applying to      companies generally. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.12 | No proceedings pending or      threatened No litigation, arbitration or administrative proceedings      of or before any court, arbitral body or agency have been started or (to      the best of the Borrower's knowledge threatened) which, if adversely      determined, might reasonably be expected to have a materially adverse      effect on the business, assets, financial condition or credit worthiness      of any Security Party. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.13 | Disclosure of material facts      The Borrower is not aware of any material facts or circumstances      which have not been disclosed to the Lender  and   |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 11.1.14 | No established place of      business in the UK or US No Security Party has an established place      of business in the United Kingdom or the United States of      America. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.1.15 | Completeness of Relevant      Documents The copies of any Relevant Documents provided or to be      provided by the Borrower to the Lender in accordance with Clause 3 (Conditions of Utilisation)      are, or will be, true and accurate copies of the originals and      represent, or will represent, the full agreement between the parties to      those Relevant Documents in relation to the subject matter of those      Relevant Documents and there are no commissions, rebates, premiums or      other payments due or to become due in connection with the subject matter      of those Relevant Documents other than in the ordinary course of business      or as disclosed to, and approved in writing by, the  Lender. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 11.2 | Repetition Each      representation and warranty in Clause 11.1 (Representations) is      deemed to be repeated by the Borrower by reference to the facts and      circumstances then existing on the date of each Drawdown Notice and the      first day of each Interest Period. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 12 | Undertakings      and Covenants |
|----|---------------------------------|

|   | 12.1 | Information      Undertakings |
|--------|------|-------------------------------|

|   | 12.1.1 | Financial statements The      Borrower shall supply and shall procure that the      Guarantor supplies, to the Lender as soon as the same become available,      but in any event within one hundred and eighty days (180) after the end of      each of its financial years, its and the Guarantor's combined audited      financial statements for that financial year, together with a Compliance      Certificate, signed by one director of the Guarantor, setting out (in      reasonable detail) computations as to compliance with Clause 12.2 |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 12.1.2 | Requirements as to financial      statements Each set of financial statements delivered      by the Borrower under Clause 12.1.1 (Financial      statements): |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | shall      be certified by a director of the Guarantor, as fairly representing its      financial condition as at the date as at which those financial statements      were drawn up; and |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | shall      be prepared using GAAP, accounting practices and financial reference      periods consistent with those applied in the preparation of the Original      Financial Statements unless, in relation to any set of financial      statements, the Borrower notifies the Lender that there has been a change      in GAAP, the accounting practices or reference periods and the Borrower's      auditors deliver to the Lender: |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | a      description of any change necessary for those financial statements to      reflect the GAAP, accounting practices and reference periods upon which      the Original Financial Statements were prepared;  and |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | sufficient      information, in form and substance as may be reasonably required by the      Lender, to enable the Lender to make an accurate comparison between the      financial position indicated in those financial statements and that      indicated in the Original Financial Statements.  |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.1.3 | Information: miscellaneous      The Borrower shall supply to theLender: |
|--------|--------|-------------------------------------------------------------------------|

|   | (a) | all      documents dispatched by the Borrower to its shareholders (or any class of      them) or its creditors generally at the same time as they are      dispatched; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | promptly      upon becoming aware of them, details of any litigation, arbitration or      administrative proceedings which are current, threatened or pending      against any Security Party, and which might, if adversely determined, have      a materially adverse effect on the |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | business,      assets, financial condition or credit worthiness of that Security Party      and/or the Bareboat Charterer; and                                                                                                                                              |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | (c)    | promptly,      such further information regarding the financial condition, business and      operations of any Security Party as the Lender may reasonably request      including, without limitation, cash flow analyses and details of the      operating costs of the Vessel. |
|   |   |                                                                                                                                                                                                                                                                             |

|   | 12.1.4 | Notification of      default |
|--------|--------|------------------------------|

|   | (a) | The      Borrower shall notify the Lender of any Default (and the steps, if any,      being taken to remedy it) promptly upon becoming aware of its      occurrence. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Promptly      upon a request by the Lender, the Borrower shall supply to the Lender a      certificate signed by two of its directors or senior officers on its      behalf certifying that no Default is continuing (or if a Default is      continuing, specifying the Default and the steps, if any, being taken to      remedy it). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.1.5 | "Know your customer"      checks If: |
|--------|--------|--------------------------------------|

|   | (a) | the      introduction of or any change in (or in the interpretation, administration      or application of) any law or regulation made after the date of this      Agreement; |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | any      change in the status of the Borrower after the date of this Agreement;      or |
|--------|-----|-----------------------------------------------------------------------------------------|

|   | (c) | a      proposed assignment or transfer by the Lender of any of its rights and      obligations under this Agreement, |
|--------|-----|----------------------------------------------------------------------------------------------------------------------|

----

|   | 12.2 | Financial      covenants |
|--------|------|--------------------------|

|   | 12.2.1 | maintain      a Minimum Liquidity of not less than twenty five million Dollars      ($25,000,000); and |
|--------|--------|--------------------------------------------------------------------------------------------------------|

|   | 12.2.2 | maintain      a Minimum Adjusted Net Worth of not less than two hundred and fifty      million Dollars ($250,000,000); and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------|

|   | 12.2.3 | maintain      Minimum Equity of not less than one hundred million Dollars      ($100,000,000). |
|--------|--------|------------------------------------------------------------------------------------------------|

|   | 12.3 | General      undertakings |
|--------|------|---------------------------|

|   | 12.3.1 | Authorisations The      Borrower shall promptly: |
|--------|--------|--------------------------------------------------|

|   | (a) | obtain,      comply with and do all that is necessary to maintain in full force and      effect; and |
|--------|-----|------------------------------------------------------------------------------------------------------|

|   | (b) | supply      certified copies to the Lender of, |
|--------|-----|------------------------------------------------|

|   | 12.3.2 | Compliance with laws The      Borrower shall comply in all respects with all laws to which it may be      subject, if failure so to comply would materially impair its ability to      perform its obligations under the Finance  Documents. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 12.3.3 | Conduct of business The      Borrower shall carry on and conduct its business in a proper and efficient      manner, file all requisite tax returns and pay all tax which becomes due      and payable (except where contested in good  faith). |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.4 | Evidence of good standing      The Borrower will from time to time if requested by the Lender      provide the Lender with evidence in form and substance satisfactory to the      Lender that the Security Parties and all corporate shareholders of any      Security Party remain in goodstanding. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.5 | Negative pledge and no      disposals The Borrower shall not without the prior written consent      of the Lender create nor permit to subsist any Encumbrance or other third      party rights over any of its present or future assets or undertaking nor      dispose of any those assets or of all or part of that      undertaking. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.6 | Merger The Borrower shall not without the prior      written consent of the Lender enter into any amalgamation, demerger,      merger or corporate  reconstruction. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.7 | Change of business The      Borrower shall not without the prior written consent of the Lender make      any substantial change to the general nature      of its business from that carried on at the date of this      Agreement. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.8 | No other business The      Borrower shall not without the prior written consent of the Lender engage      in any business other than the ownership, operation, chartering and      management of the Vessel. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.9 | No place of business in UK or      US The Borrower shall not      have an established place of business in the United Kingdom or the United      States of America at any time during the Facility  Period. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.10 | No borrowings The      Borrower shall not without the prior written consent of the Lender borrow      any money (except for the Loan and unsecured Financial Indebtedness      subordinated to the Loan and arising in the Borrower's normal course of      operating the Vessel) nor incur any obligations under    leases. |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|    | 12.3.11 | No substantial liabilities      Except in the ordinary course of business, the Borrower shall not      without the prior written consent of the Lender incur any liability to any      third party which is in the Lender's opinion of a substantial      nature. |
|--------------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.12 | No loans or other financial      commitments The Borrower shall not without the prior written      consent of the Lender make any loan nor enter into any guarantee or      indemnity or otherwise voluntarily assume any actual or contingent      liability in respect of any obligation of any other person except for      loans made in the ordinary course of business in connection with the      chartering, operation or repair of theVessel. |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.13 | No dividends The      Borrower shall not without the prior written consent of the Lender pay any      dividends or make any other  distributions      to shareholders or issue any new shares, following the occurrence of a      Default. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.14 | Inspection of records      The Borrower will permit the inspection of its financial records      and accounts from time to time by the Lender or its    nominee. |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.15 | No change in Relevant Documents      The Borrower shall procure that, without the prior written consent      of the Lender, there shall be no termination of, alteration to, or waiver      of any term of, any of the Relevant Documents which are not Finance      Documents. |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.3.16 | No change in ownership or      control The Borrower shall not permit any change in its beneficial      ownership and control from that advised to the Lender at the date of this      Agreement without the prior written consent of the Lender, such consent      not to be unreasonably withheld. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4 | Vessel      undertakings |
|--------|------|--------------------------|

|   | 12.4.1 | No sale of Vessel The      Borrower shall not sell or otherwise dispose of the Vessel or any shares      in the Vessel nor agree to do so without the prior written consent of the      Lender. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4.2 | No chartering after Event of      Default Following the occurrence and during the continuation of an      Event of Default the Borrower shall not without the |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | prior      written consent of the Lender let the Vessel on charter or renew or extend      any charter or other contract of employment of the Vessel (nor agree to do      so).                                                                                                                                                                                                                                                                                                              |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | 12.4.3 | No change in management      The Borrower shall procure that, without the      prior written consent of the Lender, such consent not to be unreasonably      withheld, there shall be no termination of, alteration to, or waiver of      any term of, the Management Agreement and the Borrower shall not without      the prior written consent of the Lender permit the Managers to      sub-contract or delegate the commercial or technical management of the      Vessel to any thirdparty. |

|   | 12.4.4 | Registration of Vessel      The Borrower undertakes to register the Vessel and maintain the      registration of the Vessel under an Approved Flag for the duration of the      Facility Period unless the Lender agrees otherwise in    writing. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4.5 | Evidence of current COFR      The Borrower will, if and for so long as the Vessel trades in the      United States of America and Exclusive Economic Zone (as defined in the      United States Oil Pollution Act 1990), obtain, retain and provide the      Lender with a copy of, a valid Certificate of Financial Responsibility for      the Vessel under that Act and will comply strictly with the requirements      of that Act. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4.6 | ISM Code compliance The      Borrower will: |
|--------|--------|---------------------------------------------|

|   | (a) | procure      that the Vessel remains for the duration of the Facility Period subject to      a SMS; |
|--------|-----|-----------------------------------------------------------------------------------------------------|

|   | (b) | maintain      a valid and current SMC for the Vessel throughout the Facility Period and      provide a copy to the Lender; |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------|

|   | (c) | procure      that the ISM Company maintains a valid and current DOC throughout the      Facility Period and provide a copy to the Lender;  and |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | immediately      notify the Lender in writing of any actual or threatened withdrawal,      suspension, cancellation or modification of the SMC of the Vessel or of      the DOC of the ISM Company. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4.7 | ISPS Code compliance The      Borrower will: |
|--------|--------|----------------------------------------------|

----

|   | (a) | for      the duration of the Facility Period comply with the ISPS Code in relation      to the Vessel and procure that the Vessel and the ISPS Company comply with      the ISPS Code; |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | maintain      a valid and current ISSC for the Vessel throughout the Facility Period and      provide a copy to the Lender; and |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | immediately      notify the Lender in writing of any actual or threatened withdrawal,      suspension, cancellation or modification of the  ISSC. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4.8 | Annex VI compliance The      Borrower will: |
|--------|--------|---------------------------------------------|

|   | (a) | for      the duration of the Facility Period comply with Annex VI in relation to      the Vessel and procure that the Vessel's master and crew are familiar      with, and that the Vessel complies with, Annex  VI; |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | maintain      a valid and current IAPPC for the Vessel throughout the Facility Period      and provide a copy to the Lender;and |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | immediately      notify the Lender in writing of any actual or threatened withdrawal,      suspension, cancellation or modification of the  IAPPC. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.4.9 | Bareboat Charter The      Borrower (as owner) shall, by the date of this Agreement, enter into the      Bareboat Charter, such Bareboat Charter to be in form and substance, and      on terms and conditions, satisfactory to the Lender in all      respects. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13 | Events      of Default |
|----|------------------------|

|   | 13.1 | Events of Default Each      of the events or circumstances set out in this Clause 13.1 is      an Event of Default. |   |
|--------|------|---------------------------------------------------------------------------------------------------------------------|--------|

|   | 13.1.1 | Non-payment The Borrower      does not pay on the due date any amount payable by it under a Finance      Document at the place at and in the currency in which it is expressed to      be payable. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.2 | Other      obligations.  A Security Party or any other person      (except the Lender) does not comply with any provision of any of the      Relevant |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 13.1.3 | Misrepresentation Any      representation, warranty or statement made or deemed to be repeated by a      Security Party in any Finance Document or any other document delivered by      or on behalf of a Security Party under or in connection with any Finance      Document is or proves to have been incorrect or misleading in any material      respect when made or deemed to berepeated. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.4 | Cross default Any      Financial Indebtedness of a SecurityParty: |
|--------|--------|-------------------------------------------------------------------|

|   | (a) | is      not paid when due or within any originally applicable grace period;      or |
|--------|-----|-------------------------------------------------------------------------------------|

|   | (b) | is      declared to be, or otherwise becomes, due and payable before its specified      maturity as a result of an event of default (however described);      or |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | is      capable of being declared by a creditor to be due and payable before its      specified maturity as a result of such anevent. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.5 | Insolvency |
|--------|--------|------------|

|   | (a) | A      Security Party is unable or admits inability to pay its debts as they fall      due, suspends making payments on any of its debts or, by reason of actual      or anticipated financial difficulties, commences negotiations with one or      more of its creditors with a view to rescheduling any of its Financial      Indebtedness. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The      value of the assets of a Security Party is less than its liabilities      (taking into account contingent and prospective    liabilities). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | A      moratorium is declared in respect of any Financial Indebtedness of a      Security Party. |
|--------|-----|--------------------------------------------------------------------------------------------------|

----

|   | 13.1.6 | Insolvency proceedings      Any corporate action, legal proceedings or other procedure or step      is taken for: |
|--------|--------|-------------------------------------------------------------------------------------------------------------------|

|   | (a) | the      suspension of payments, a moratorium of any Financial Indebtedness,      winding-up, dissolution, administration, bankruptcy or reorganisation (by      way of voluntary arrangement, scheme of arrangement or otherwise) of a      Security Party; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | a      composition, compromise, assignment or arrangement with any creditor of a      Security Party; |
|--------|-----|-------------------------------------------------------------------------------------------------------|

|   | (c) | the      appointment of a liquidator, receiver, administrative receiver,      administrator, compulsory manager, or trustee or other similar officer in      respect of any Security Party or any of its assets;  or |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | enforcement      of any Encumbrance over any assets of a Security  Party, |
|--------|-----|---------------------------------------------------------------------------|

|   | 13.1.7 | Creditors' process Any      expropriation, attachment, sequestration, distress or execution affects      any asset or assets of a SecurityParty. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.8 | Change in ownership or control      of the Borrower There is any change in the beneficial ownership or      control of the Borrower from that advised to the Lender by the Borrower at      the date of this Agreement. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.9 | Repudiation A Security      Party or any other person (except the Lender) repudiates any of the      Relevant Documents to which that Security Party or person is a party or      evidences an intention to do so. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.10 | Impossibility or illegality      Any event occurs which would, or would with the passage of time,      render performance of any of the Relevant      Documents by a Security Party or any other party to any such document      impossible, unlawful or unenforceable by the Lender or a Security      Party. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.11 | Conditions subsequent      Any of the conditions referred to in Clause 3.4 (Conditions subsequent)      is not satisfied within the time reasonably required by the      Lender. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 13.1.12 | Revocation or modification of      authorisation Any consent, licence, approval, authorisation,      filing, registration or other requirement of any governmental, judicial or      other public body or authority which is now, or which at any time during      the Facility Period becomes, necessary to enable a Security Party or any      other person (except the Lender) to comply with any of its obligations      under any of the Relevant Documents is not obtained, is revoked,      suspended, withdrawn or withheld, or is modified in a manner which the      Lender considers is, or may be, prejudicial to the interests of the      Lender, or ceases to remain in full force and  effect. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.13 | Curtailment of business      A Security Party ceases, or threatens to cease, to carry on all or      a substantial part of its business or, as a result of intervention by or      under the authority of any government, the business of a Security Party is      wholly or partially curtailed or suspended, or all or a substantial part      of the assets or undertaking of a Security Party is seized, nationalised,      expropriated or compulsorilyacquired. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.14 | Reduction of capital A      Security Party reduces its authorised or issued      or subscribed capital. |
|--------|---------|---------------------------------------------------------------------------------------------------------|

|   | 13.1.15 | Loss of Vessel The      Vessel suffers a Total Loss or is otherwise destroyed, abandoned,      confiscated, forfeited or condemned as prize, or a similar event occurs in      relation to any other vessel which may from time to time be mortgaged to      the Lender as security for the payment of all or any part of the      Indebtedness, except that a Total Loss, or event similar to a Total Loss      in relation to any other vessel, shall not be an Event of Default      if: |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | the      Vessel or other vessel is insured in accordance with the Security      Documents; and |
|--------|-----|------------------------------------------------------------------------------------------------|

|   | (b) | no      insurer has refused to meet or has disputed the claim for Total Loss and      it is not apparent to the Lender in its discretion that any such refusal      or dispute is likely to occur; and |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | payment      of all insurance proceeds in respect of the Total Loss is made in full to      the Lender within one hundred and fifty (150) days of the occurrence of      the casualty giving rise to the Total Loss in |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 13.1.16 | Challenge to registration      The registration of the Vessel or the Mortgage is contested or      becomes void or voidable or liable to cancellation or termination, or the      validity or priority of the Mortgage is  contested. |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.17 | War The country of      registration of the Vessel becomes involved in war (whether or not      declared) or civil war or is occupied by any      other power and the Lender in its discretion considers that, as a result,      the security conferred by any of the Security Documents is materially      prejudiced. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.18 | Notice of termination The      Guarantor gives notice to the Lender to determine its obligations under      the Guarantee. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.19 | The Builder Any of the      events or circumstances specified in Clauses 13.1.5 (Insolvency), 13.1.6      (Insolvency proceedings)      and 13.1.7 (Creditors' process)      occurs in relation to the Builder and/or to the Bareboat Charterer,      and, in the opinion of the Lender, in the case of the Builder, the Vessel      is unlikely to be delivered to the Borrower by the Builder under the      Building Contract by/on 28 February 2009, or such other later date as may      be agreed with the Builder (and subject to the Lender's consent, such      consent not to be unreasonably withheld) in accordance with the terms of      the Building Contract. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.20 | Non-delivery of Vessel      The Vessel is not delivered to the Borrower by the Builder under      the Building Contract by/on 28 February 2009, or such other later date as      may be agreed with the Builder (and subject to the Lender's consent, such      consent not to be unreasonably withheld) in accordance with the terms of      the Building Contract. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.21 | Material adverse change      Any event or series of events occurs which, in the opinion of the      Lender, is likely to have a materially adverse effect on the business,      assets, financial condition or credit worthiness of a Security      Party. |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.1.22 | Bareboat Charter If the      Bareboat Charter is terminated, cancelled or repudiated or is not in force      at any time during the period of its duration or if the Bareboat Charterer      defaults in the performance of any of its material obligations under or      pursuant to the Bareboat Charter. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 13.2 | Acceleration If an Event      of Default is continuing the Lender may by notice to the Borrower cancel      any part of the Maximum Loan Amount not then advanced  and: |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.2.1 | declare      that the Loan, together with accrued interest, and all other amounts      accrued or outstanding under the Finance Documents are immediately due and      payable, whereupon they shall become immediately due and payable;      and/or  |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.2.2 | declare      that the Loan is payable on demand, whereupon it shall immediately become      payable on demand by the Lender. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------|

| 14 | Assignment      and Sub-Participation |
|----|---------------------------------------|

|   | 14.1 | Lender's rights The      Lender may assign any of its rights under this Agreement or transfer by      novation any of its rights and obligations under this Agreement to any      other branch of the Lender or to any other bank or financial institution      or (for the purpose of a securitisation of the Lender's rights or      obligations under the Finance Documents or a similar transaction of      broadly equivalent economic effect) to any special purpose vehicle, and      may grant sub-participations in all or any part of the    Loan. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 14.2 | Borrower's co-operation      The Borrower will co-operate fully with the Lender in connection      with any assignment, transfer or sub-participation; will execute and      procure the execution of such documents as the Lender may require in that      connection;      and irrevocably authorises the Lender to disclose to any proposed      assignee, transferee or sub-participant (whether before or after any      assignment, transfer or sub-participation and whether or not any      assignment, transfer or sub-participation shall take place) all      information relating to the Security Parties and the Bareboat Charterer,      the Loan, the Relevant Documents and the Vessel which the Lender may in      its discretion consider necessary or  desirable. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 14.3 | Rights of assignee or      transferee Any assignee or transferee of the Lender shall (unless      limited by the express terms of the assignment or novation) take the full      benefit of every provision of the Finance Documents benefitting the      Lender. |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 14.4 | No assignment or transfer by      the Borrower The Borrower may not assign any of its rights or      transfer any of its rights or obligations under the Finance      Documents. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 14.5 | Securitisation The      Lender may disclose the size and term of the Loan and the name of each of      the Security Parties to any investor or potential investor in a      securitisation (or similar transaction of broadly equivalent economic      effect) of the Lender's rights or obligations under the Finance      Documents. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 15 | Set-Off |
|----|---------|

|   | 16.1 | Payments Each amount      payable by the Borrower under a Finance Document shall be paid to such      account at such bank as the Lender may from time to time direct to the      Borrower in the Currency of Account and in such funds as are customary at      the time for settlement of transactions in the relevant currency in the      place of payment. Payment shall be deemed to have been received by the      Lender on the date on which the Lender receives authenticated advice of      receipt, unless that advice is received by the Lender on a day other than      a Business Day or at a time of day (whether on a Business Day or not) when      the Lender in its discretion considers that it is impossible or      impracticable for the Lender to utilise the amount received for value that      same day, in which event the payment in question shall be deemed to have      been received by the Lender on the Business Day next following the date of      receipt of advice by the Lender. |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 16.2 | No deductions or withholdings      Each payment (whether of principal or interest or otherwise) to be      made by the Borrower under a Finance Document shall, subject only to      Clause 16.3 (Grossing-up), be made      free and clear of and without deduction for or on account of any Taxes or      other deductions, withholdings, restrictions, conditions or counterclaims      of any nature. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 16.3 | Grossing-up If at any      time any law requires (or is interpreted to require) the Borrower to make      any deduction or withholding from any payment, or to change the rate or      manner in which any required deduction or withholding is made, the      Borrower will promptly notify the Lender and, simultaneously with that      payment, will pay to the Lender whatever additional amount (after taking      into account any additional Taxes on, or deductions or withholdings from,      or restrictions      or conditions on, that additional amount) is necessary to ensure that,      after the deduction or withholding, the Lender receives a net sum equal to      the sum which the Lender would have received had no deduction or      withholding been made. |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 16.4 | Evidence of deductions      If at any time the Borrower is required by law to make any      deduction or withholding from any payment to be made by it under a Finance      Document, the Borrower will pay the amount required to be deducted or      withheld to the relevant authority within the time allowed under the      applicable law and will, no later than thirty (30) days after making that      payment, deliver to the Lender an original receipt issued by the relevant      authority, or other evidence acceptable to the Lender, evidencing the      payment to that authority of all amounts required to be deducted or      withheld. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 16.5 | Adjustment of due dates      If any payment or transfer of funds to be made under a Finance      Document, other than a payment of interest on the Loan, shall be due on a      day which is not a Business Day, that payment shall be made on the next      succeeding Business Day (unless the next succeeding Business Day falls in      the next calendar month in which event the payment shall be made on the      next preceding Business Day). Any such variation of time shall be taken      into account in computing any interest in respect of that      payment. |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 16.6 | Control Account The Lender shall open and      maintain on its books a control account in the name of the Borrower      showing the advance of the Loan and the computation and payment of      interest and all other sums due under this Agreement. The Borrower's      obligations to repay the Loan and to pay interest and all other sums due      under this Agreement, shall be evidenced by the entries from time to time      made in the control account opened and maintained under this      Clause 16.6 and those entries will, in the absence of manifest error, be      conclusive and binding. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 17 | Notices |
|----|---------|

|   | 17.1 | Communications in writing      Any communication to be made under or in connection with this      Agreement shall be made in writing and, unless otherwise stated, may be      made by fax or letter. |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 17.2 | Addresses The address      and fax number (and the department or officer, if any, for whose attention      the communication is to be made) of each party to this Agreement for any      communication or document to be made or delivered under or in connection      with this Agreement are: |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 17.2.1 | in      the case of the Borrower, c/o Top Ships Inc., 1 Vassilissis Sofias Str.      & Meg. Alexandrou Str. 151 24 Marousi, Greece (fax no: +30 210 614      1273) marked for the attention of Mr Stamatios Tsantanis;    and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 17.2.2 | in      the case of the Lender, to the Lender at its address at the head of this      Agreement (fax no: 210 429 0348 telex no: 212435) marked for the attention      of Shipping Division branch 960); |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 17.3 | Delivery Any      communication or document made or delivered by one party to this Agreement      to the other under or in connection this Agreement will only be      effective: |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 17.3.1 | if      by way of fax, when received in legible form;or |
|--------|--------|---------------------------------------------------------|

|   | 17.3.2 | if      by way of letter, when it has been left at the relevant address or five      (5) Business Days after being deposited in the post postage prepaid in      an      envelope addressed to it at thataddress; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 17.4 | English language Any      notice given under or in connection with this Agreement must be in      English. All other documents provided under or in connection with this      Agreement must be: |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 17.4.1 | in      English; or |
|--------|--------|---------------------|

|   | 17.4.2 | if      not in English, and if so required by the Lender, accompanied by a      certified English translation and, in this case, the English translation      will prevail unless the document is a constitutional, statutory or other      official document. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 18 | Partial      Invalidity |
|----|-------------------------|

| 19 | Remedies      and Waivers |
|----|---------------------------|

| 20 | Miscellaneous |
|----|---------------|

|   | 20.1 | No oral variations No      variation or amendment of a Finance Document shall be valid unless in      writing and signed on behalf of theLender. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 20.2 | Further Assurance If any      provision of a Finance Document shall be invalid or unenforceable in whole      or in part by reason of any present or future law or any decision of any      court, or if the documents at any time held by or on behalf of the Lender      are considered by the Lender for any reason insufficient to carry out the      terms of this Agreement, then from time to time the Borrower will      promptly, on demand by the Lender, execute or procure the execution of      such further documents as in the |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | opinion      of the Lender are necessary to provide adequate security for the repayment      of the Indebtedness.                                                                                                                                                                                                                                                                                                                                                                                               |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | 20.3   | Rescission of payments etc.      Any discharge, release or reassignment by the Lender of any of the      security constituted by, or any of the obligations of a Security Party      contained in, a Finance Document shall be (and be deemed always to have      been) void if any act (including, without limitation, any payment) as a      result of which such discharge, release or reassignment was given or made      is subsequently wholly or partially rescinded or avoided by operation of      any law. |

|   | 20.4 | Certificates Any      certificate or statement signed by an authorised signatory of the Lender      purporting to show the amount of the Indebtedness (or any part of the      Indebtedness) or any other amount referred to in any Finance Document      shall, save for manifest error or on any question of law, be conclusive      evidence as against the Borrower of that  amount. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 20.5 | Counterparts This      Agreement may be executed in any number of counterparts each of which      shall be original but which shall together constitute the same      instrument. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 20.6 | Contracts (Rights of Third      Parties) Act 1999 A person who is not a party to this Agreement has      no right under the Contracts (Rights of Third Parties) Act 1999 to enforce      or to enjoy the benefit of any teiiii of this  Agreement. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 21 | Law      and Jurisdiction |
|----|---------------------------|

|   | 21.1 | Governing law This      Agreement shall in all respects be governed by and interpreted in      accordance with English law. |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------|

|   | 21.2 | Jurisdiction For the      exclusive benefit of the Lender, the parties to this Agreement irrevocably      agree that the courts of England are to have jurisdiction to settle any      disputes which may arise out of or in connection with this Agreement and      that any proceedings may be brought in those  courts. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 21.3 | Alternative jurisdictions      Nothing contained in this Clause 21 shall limit the right of the      Lender to commence any proceedings against the Borrower in any other court      of competent jurisdiction nor shall the commencement of any proceedings      against the Borrower in one or more jurisdictions preclude the      commencement of any proceedings in any other jurisdiction, whether      concurrently or not. |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 21.4 | Waiver of objections The      Borrower irrevocably waives any objection which it may now or in the      future have to the laying of the venue of any proceedings in      any court referred to in this Clause 21, and any claim that those      proceedings have been brought in an inconvenient or inappropriate forum,      and irrevocably agrees that a judgment in any proceedings commenced in any      such court shall be conclusive and binding on it and may be enforced in      the courts of any otherjurisdiction. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 21.5 | Service of process      Without prejudice to any other mode of service allowed under any      relevant law, the Borrower: |
|--------|------|---------------------------------------------------------------------------------------------------------------------------|

|   | 21.5.1 | irrevocably      appoints Top Tankers (UK) Limited of 8 Duke Street, W1U 3EW London, UK as      its agent for service of process in relation to any proceedings before the      English courts in connection with this Agreement;  and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 21.5.2 | agrees      that failure by a process agent to notify the Borrower of the process will      not invalidate the proceedingsconcerned. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (a) | Constitutional Documents      Copies of the constitutional documents of each Security Party and      the Bareboat Charterer together with such other evidence as the Lender may      reasonably require that each Security Party and the Bareboat Charterer is      duly incorporated in its country of incorporation and remains in existence      with power to enter into, and perform its obligations under, the Relevant      Documents to which it is or is to become a  party. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Certificates of good standing      A certificate of good standing in respect of each Security Party      and the Bareboat Charterer (if such a certificate can be      obtained). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Board resolutions A copy      of a resolution of the board of directors of each Security Party and the      Bareboat Charterer (if applicable): |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | approving      the terms of, and the transactions contemplated by, the Relevant Documents      to which it is a party and resolving that it execute those Relevant      Documents; and |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | authorising      a specified person or persons to execute those Relevant Documents (and all      documents and notices to be signed and/or despatched under those      documents) on its behalf. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Shareholder resolutions      A copy of a resolution signed by all the holders of the issued      shares in each Security Party and the Bareboat Charterer (if applicable),      approving the terms of, and the transactions contemplated by, the Relevant      Documents to which that Security Party and the Bareboat Charterer (if      applicable) is a party. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (e) | Officer's certificates A      certificate of a duly authorised officer of each Security Party and the      Bareboat Charterer (if applicable) certifying that each copy document      relating to it specified in this Part I of Schedule 1 is correct, complete      and in full force and effect and setting out the names of the directors,      officers and shareholders of that Security Party and the Bareboat      Charterer (if applicable) and the proportion of shares held by each      shareholder. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (f) | Evidence of registration      Where such registration is required or permitted under the laws of      the relevant jurisdiction, evidence that the names of the directors,      officers and shareholders of each Security Party and the Bareboat      Charterer are duly registered in the companies registry or other registry      in the country of incorporation of that Security  Party. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (g) | Powers of attorney The      notarially attested and legalised power of attorney of each Security Party      and the Bareboat Charterer (if applicable) under which any documents are      to be executed or transactions undertaken by that Security Party and the      Bareboat Charterer (if applicable). |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Vessel documents      Photocopies, certified as true, accurate and complete (and in form      and substance acceptable to the Lender) by a director or the secretary or      the legal advisers of the Borrower,of: |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | the      Building Contract; |
|--------|-----|-----------------------------|

|   | (ii) | such      documents as the Lender may reasonably require to evidence the nomination      of the Borrower as purchaser of the Vessel pursuant to the Building      Contract;  |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | the      Bareboat Charter; |
|--------|-------|----------------------------|

|   | (iv) | if      the Bareboat Charterer is not Daelim, but a 100% subsidiary of Daelim, the      performance guarantee of Daelim; |
|--------|------|--------------------------------------------------------------------------------------------------------------------------|

|   | (v) | the      Refund Guarantee; and |
|--------|-----|--------------------------------|

|   | (vi) | the      notice or invoice issued by the Builder and countersigned by the Vessel's      classification society evidencing the obligation of the Borrower to pay      the relevant instalment to the Builder under the Building Contract on a      date no later than the proposed Drawdown Date of the Drawing in      question. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Security Documents The      Building Contract Assignment, the Guarantee, the Charter Assignment,      together with all other documents required by any of them, including,      without limitation, all notices of assignment and/or charge and evidence      that those notices will be duly acknowledged by the      recipients. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (c) | No disputes The written      confirmation of the Borrower that there is no dispute under any of the      Relevant Documents as between the parties to any such      document. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Deed of Release The Deed      of Release in form and substance acceptable to the  Lender. |
|--------|-----|-------------------------------------------------------------------------------------------|

|   | (a) | If      a Security Party and the Bareboat Charterer is incorporated in a      jurisdiction other than England and Wales or if any Finance Document is      governed by the laws of a jurisdiction other than England and Wales, a      legal opinion of the legal advisers to the Lender in each relevant      jurisdiction, substantially in the form or forms provided to the Lender      prior to signing this Agreement or confirmation satisfactory to the Lender      that such an opinion will be given. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Drawdown Notice A duly      completed Drawdown Notice. |
|--------|-----|--------------------------------------------------------|

|   | (b) | Process agent Evidence      that any process agent referred to in Clause 21.5 (Service of process)      and any process agent appointed under any other Finance Document      has accepted its appointment. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Other authorisations A      copy of any other consent, licence, approval, authorisation or other      document, opinion or assurance which the Lender considers to be necessary      or desirable (if it has notified the Borrower accordingly) in connection      with the entry into and performance of the transactions contemplated by      any of the Relevant Documents or for the validity and enforceability of      any of the Relevant Documents. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Financial statements      Copies of the Original Financial  Statements. |
|--------|-----|-------------------------------------------------------------------------|

|   | (e) | Fees Evidence that the      fees, costs and expenses then due from the Borrower under Clause 8 (Indemnities) and      Clause 9 (Fees)      have been paid or will be paid by the relevant Drawdown      Date. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (f) | "Know your customer" documents      Such documentation and other evidence as is reasonably requested by      the Lender in order for the Lender to comply with all |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | necessary      "know your customer" or similar identification procedures in relation to      the transactions contemplated in the Finance Documents.                                                                                                          |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | (g)    | Equity Portion Evidence      that the relevant Equity Portion of the instalment in question has been      deposited by the Borrower in the Earnings Account at least three Business      Days prior to the proposed Drawdown Date of the Drawing in      question. |

----

| 1 | Acknowledgements of notices      Acknowledgements of all notices of assignment and/or charge given      pursuant to any Security Documents received by the Lender pursuant to Part      I of this Schedule 1. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2 | Legal opinions Such of      the legal opinions specified in Part 1 of this Schedule I as have not      already been provided to theLender. |
|---|-------------------------------------------------------------------------------------------------------------------------------------------------|

| 3 | Companies Act registrations      Evidence that the prescribed particulars of any Security Documents      received by the Lender pursuant to Part I of this Schedule 1 have been      delivered to the Registrar of Companies of England and Wales within the      statutory time limit. |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4 | Loan Acknowledgement      Declaration The Loan Acknowledgement Declaration duly      executed. |
|---|------------------------------------------------------------------------------------------------|

----

| 1 | Officer's certificate A      certificate signed by a duly authorised officer of each Security Party      confirming that none of the documents and evidence delivered to the Lender      pursuant to Clauses 3.1 (Conditions precedent)      and 3.4 (Conditions subsequent)      has been amended, modified or revoked in any way since its delivery      to the Lender. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Vessel documents      Photocopies, certified as true, accurate and complete by a director      or the secretary of the Borrower,of: |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | the      builder's certificate and/or bill of sale transferring title in the Vessel      to the Borrower free of all encumbrances, maritime liens or other      debts; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | the      protocol of delivery and acceptance evidencing the unconditional physical      delivery of the Vessel by the Builder to the Borrower pursuant to the      Building Contract; |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | the      commercial invoice issued by the Builder in respect of the final contract      price of the Vessel; |
|--------|-------|--------------------------------------------------------------------------------------------------------------|

|   | (iv) | the      declaration of warranty issued by the Builder to the Borrower pursuant to      the Building Contract; |
|--------|------|----------------------------------------------------------------------------------------------------------------|

|   | (v) | any      charterparty or other contract of employment of the Vessel which will be      in force on the Delivery Date including, without limitation, the Bareboat      Charter; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (vi) | the      Management Agreement; |
|--------|------|--------------------------------|

|   | (vii) | the      Vessel's current Safety Construction, Safety Equipment, Safety Radio, Oil      Pollution Prevention and Load LineCertificates; |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------|

|   | (viii) | the      Vessel's current Certificate of Financial Responsibility issued pursuant      to the United States Oil Pollution Act1990; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------|

|   | (ix) | the      Vessel's current SMC;  |
|--------|------|--------------------------------------|

|   | (x) | the      ISM Company's current DOC; |
|--------|-----|-------------------------------------|

----

|   | (xi) | the      Vessel's current ISSC; |
|--------|------|---------------------------------|

|   | (xii) | the      Vessel's current IAPPC; |
|--------|-------|----------------------------------|

|   | (xiii) | the      Vessel's current TonnageCertificate; |
|--------|--------|-----------------------------------------------|

|   | (xiv) | the      Borrower's current Carrier Initiative Agreement with the United States'      Customs Service; |
|--------|-------|--------------------------------------------------------------------------------------------------------|

|   | (b) | Evidence of Borrower's title      Evidence that any prior registration of the Vessel in the ownership      of the Builder and any Encumbrance registered against that ownership have      been cancelled (or confirmation from the Builder that there was no such      prior registration) and evidence that on the Delivery Date (i) the Vessel      will be at least provisionally registered under the flag stated in Recital      (A) in the ownership of the Borrower and (ii) the Mortgage will be capable      of being registered against the Vessel with first  priority. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Evidence of insurance      Evidence that the Vessel is insured in the manner required by the      Security Documents and that letters of undertaking will be issued in the      manner required by the Security Documents, together with (if required by      the Lender) the written approval of the Insurances by an insurance adviser      appointed by the Lender and at the expense of the  Borrower. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Confirmation of class An      interim Certificate of Confirmation of Class for hull and machinery      confirming that the Vessel is classed with the highest class applicable to      vessels of her type with Lloyd's Register or such other classification      society as may be acceptable to the Lender and at the expense of the      Borrower. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (e) | Survey report A report      by a surveyor instructed by the Lender to inspect the Vessel confirming      that the condition of the Vessel is in all respects acceptable to the      Lender and at the expense of theBorrower. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (f) | Valuation A valuation of      the Vessel addressed to the Lender from an independent broker acceptable      to the Lender, certifying the Market Value of the Vessel, assessed in such      manner as the Lender may require in its discretion, acceptable to the      Lender and at the expense of the Borrower, confirming that the Maximum      Loan Amount is equal or less than seventy five per cent (75%) of the      Market Value. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (g) | Security Documents The      Mortgage, the Assignments, together with all other documents required by      any of them, including, without limitation, all notices of assignment      and/or charge and evidence that those notices will be duly acknowledged by      the recipients. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (h) | Mandates Such duly      signed forms of mandate, and/or other evidence of the opening of the      Earnings Account, as the Lender mayrequire. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------|

|   | (i) | Managers' confirmation      The written confirmation of the Managers that, throughout the      Facility Period unless otherwise agreed by the Lender, they will remain      the commercial and technical managers of the Vessel and that they will      not, without the prior written consent of the Lender, sub-contract or      delegate the commercial or technical management of the Vessel to any third      party and confirming in terms acceptable to the Lender that, following the      occurrence of an Event of Default, all claims of the Managers against the      Borrower shall be subordinated to the claims of the Lender under the      Finance Documents. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | If      a Security Party is incorporated in a jurisdiction other than England and      Wales or if any Finance Document is governed by the laws of a jurisdiction      other than England and Wales, a legal opinion of the legal advisers to the      Lender in each relevant jurisdiction, substantially in the form or forms      provided to the Lender prior to signing this Agreement or confirmation      satisfactory to the Lender that such an opinion will be    given. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Process agent Evidence      that any process agent appointed under any Finance Document has accepted      its appointment. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Other authorisations A      copy of any other consent, licence, approval, authorisation or other      document, opinion or assurance which the Lender considers to be necessary      or desirable (if it has notified the Borrower accordingly) in connection      with the entry into and performance of the transactions contemplated by      any of the Relevant Documents or for the validity and enforceability of      any of the Relevant Documents. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1 | Evidence of Borrower's title      Certificate of ownership and encumbrance (or equivalent) issued by      the Registrar of Ships (or equivalent official) of the flag stated in      Recital (A) confirming that (a) the Vessel is permanently registered under      that flag in the ownership of the Borrower, (b) the Mortgage has been      registered with first priority against the Vessel and (c) there are no      further Encumbrances registered against the  Vessel. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2 | Letters of undertaking      Letters of undertaking in respect of the Insurances as required by      the Security Documents together with copies of the relevant policies or      cover notes or entry certificates duly endorsed with the interest of the      Lender. |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3 | Acknowledgements of notices      Acknowledgements of all notices of assignment and/or charge given      pursuant to any Security Documents received by the Lender pursuant to Part      III of this Schedule 1. |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4 | Legal opinions Such of      the legal opinions specified in Part III of this Schedule 1 as have not      already been provided to theLender. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------|

| 5 | Companies Act registrations      Evidence that the prescribed particulars of any Security Documents      received by the Lender pursuant to Part III of this Schedule 1 have      been delivered to the Registrar of Companies of England and Wales within      the statutory time limit. |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6 | Master's receipt The      master's receipt for the Mortgage. |
|---|--------------------------------------------------------------|

----

----

|   | i) | maintains      a Minimum Liquidity of not less than twenty five million Dollars      ($25,000,000); and |
|--------|----|---------------------------------------------------------------------------------------------------------|

|   | ii) | maintains      a Minimum Adjusted Net Worth of not less than two hundred and fifty      million Dollars ($250,000,000) ;and |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------|

|   | iii) | maintains      Minimum Equity of not less than one hundred million Dollars      ($100,000,000). |
|--------|------|-------------------------------------------------------------------------------------------------|

----

----

----

| SIGNED  by Andreas    Louka           | )      |                         |
|--------------------------------------------|--------|------------------------------|
| as      duly authorized                    | )      |                         |
| for      and on behalf of                  | )      |  /s/      Andreas Louka |
| LICHTENSTEIN      SHIPPING COMPANY LIMITED | )      |                         |
| in      the presence of:                   | )      |                         |
| Constantinos      Karachallos         |   |                         |

| SIGNED  by Konstantinos      Sotiriou                                                                                                                    | )       |                                       |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------|---------|--------------------------------------------|
|                             Constantinos Flokos | )  |                                       |
| as      duly authorized                                                                                                                                       | )       |  /s/       Konstantinos Sotiriou |
| for      and on behalf of                                                                                                                                     | )       |  /s/      Constantinos Flokos         |
| ALPHA      BANK A.E.                                                                                                                                          | )       |                                       |
| in      the presence of:                                                                                                                                      | )       |                                       |
| Constantinos      Karachallos                                                                                                                            |    |                                       |

----