# EDGAR Filing Document

**Accession Number:** 0001772253
**File Stem:** 0001628280-26-012574
**Filing Date:** 2026-2
**Character Count:** 1852759
**Document Hash:** 4bfd53ff20597f1f9492ff8288805fe6
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001628280-26-012574.hdr.sgml**: 20260227

**ACCESSION NUMBER**: 0001628280-26-012574

**CONFORMED SUBMISSION TYPE**: 20-F

**PUBLIC DOCUMENT COUNT**: 151

**CONFORMED PERIOD OF REPORT**: 20251231

**FILED AS OF DATE**: 20260227

**DATE AS OF CHANGE**: 20260227

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Flex LNG Ltd.
- **CENTRAL INDEX KEY:** 0001772253
- **STANDARD INDUSTRIAL CLASSIFICATION:** WATER TRANSPORTATION [4400]
- **ORGANIZATION NAME:** 01 Energy & Transportation
- **EIN:** 000000000
- **STATE OF INCORPORATION:** D0
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 20-F
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38904
- **FILM NUMBER:** 26692543

**BUSINESS ADDRESS:**
- **STREET 1:** PAR-LA-VILLE PLACE
- **STREET 2:** 14 PAR-LA-VILLE ROAD
- **CITY:** HAMILTON
- **STATE:** D0
- **ZIP:** 00000
- **BUSINESS PHONE:** 47 23 11 40 00

**MAIL ADDRESS:**
- **STREET 1:** PAR-LA-VILLE PLACE
- **STREET 2:** 14 PAR-LA-VILLE ROAD
- **CITY:** HAMILTON
- **STATE:** D0
- **ZIP:** 00000

?xml version='1.0' encoding='ASCII'? flng-20251231

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 20-F** 

**(Mark One)**

---

| | |
|:---|:---|
| ☐ | **REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934** |
| **OR** | **OR** |
| ☒ | **ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
|  | For the fiscal year ended December 31, 2025 |
| **OR** | **OR** |
| ☐ | **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
| **OR** | **OR** |
| ☐ | **SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
|  | Date of event requiring this shell company report: |
| For the transition period from ____________ to ____________ | For the transition period from ____________ to ____________ |

---

Commission file number: <u>001-38904</u> 

---

| |
|:---|
| **FLEX LNG Ltd.** |
| (Exact name of Registrant as specified in its charter) |
| (Translation of Registrant's name into English) |
| **Bermuda** |
| (Jurisdiction of incorporation or organization) |
| **Par-La-Ville Place** |
| **14 Par-La-Ville Road** |
| **Hamilton** |
| **HM08** |
| **Bermuda** |
| (Address of principal executive offices) |
| **With copies to:** |
| **James Ayers, Company Secretary** |
| **Par-La-Ville Place** |
| **14 Par-La-Ville Road** |
| **Hamilton** |

---

------

---

| | | | |
|:---|:---|:---|:---|
| **HM08** | **HM08** | **HM08** | **HM08** |
| **Bermuda** | **Bermuda** | **Bermuda** | **Bermuda** |
| **Telephone:** | **+1** | **441** | **295 69 35** |
| **Facsimile:** | **+1** | **441** | **295 3494** |
| (Name, Telephone, E-mail and/or Facsimile, and address of Company Contact Person) | (Name, Telephone, E-mail and/or Facsimile, and address of Company Contact Person) | (Name, Telephone, E-mail and/or Facsimile, and address of Company Contact Person) | (Name, Telephone, E-mail and/or Facsimile, and address of Company Contact Person) |

---

Securities registered or to be registered pursuant to section 12(b) of the Act.

---

| | | |
|:---|:---|:---|
| Title of each class | Trading symbol(s) | Name of each exchange on which registered |
| **Ordinary Shares, par value $0.01 per share** | **FLNG** | **New York Stock Exchange** |

---

Securities registered or to be registered pursuant to section 12(g) of the Act.

---

| |
|:---|
| **NONE** |
| (Title of class) |

---

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act.

---

| |
|:---|
| **NONE** |
| (Title of class) |

---

Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the Annual Report:

As of December 31, 2025, there were 54,092,376 ordinary shares, par value $0.01 per share, issued and outstanding.

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

Yes ⌧ No ☐

If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.

Yes ☐ No ⌧

Note – Checking the box above will not relieve any registrant required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 from their obligations under those Sections.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ⌧ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes ⌧ No ☐

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer" and "emerging growth company" in Rule 12b-2 of the Exchange Act.:

------

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☒ | Accelerated filer | ☐ |
| Non-accelerated filer | ☐ | Emerging growth company | ☐ |
| (Do not check if a smaller reporting company) | | | |

---

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards† provided pursuant to Section 13(a) of the Exchange Act. ☐

† The term "new or revised financial accounting standard" refers to any update issued by the Financial Accounting Standards Board to its Accounting Standards Codification after April 5, 2012.

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☒

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant period pursuant to §240.10D-1(b). ☐

Indicate by check mark which basis of accounting the registrant has used to prepare the financial statements included in this filing:

☒ U.S. GAAP

☐ International Financial Reporting Standards as issued by the international Accounting Standards Board

☐ Other

If "Other" has been checked in response to the previous question, indicate by check mark which financial statement item the registrant has elected to follow:

Item 17 ☐ Item 18 ☐

If this is an Annual Report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

(APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PAST FIVE YEARS)

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under the plan confirmed by a court.

Yes ☐ No ☐

------

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
| | | **<u>Page</u>** |
| PART I | | <u>[1](#i3b19466fb35144ad99f2a13b333a62fa_13)</u> |
| ITEM 1. | IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS | <u>[1](#i3b19466fb35144ad99f2a13b333a62fa_16)</u> |
| ITEM 2. | OFFER STATISTICS AND EXPECTED TIMETABLE | <u>[1](#i3b19466fb35144ad99f2a13b333a62fa_19)</u> |
| ITEM 3. | KEY INFORMATION | <u>[1](#i3b19466fb35144ad99f2a13b333a62fa_22)</u> |
| ITEM 4. | INFORMATION ON THE COMPANY | <u>[29](#i3b19466fb35144ad99f2a13b333a62fa_25)</u> |
| ITEM 4A. | UNRESOLVED STAFF COMMENTS | <u>[46](#i3b19466fb35144ad99f2a13b333a62fa_28)</u> |
| ITEM 5. | OPERATING AND FINANCIAL REVIEW AND PROSPECTS | <u>[47](#i3b19466fb35144ad99f2a13b333a62fa_31)</u> |
| ITEM 6. | DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES | <u>[59](#i3b19466fb35144ad99f2a13b333a62fa_34)</u> |
| ITEM 7. | MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS | <u>[64](#i3b19466fb35144ad99f2a13b333a62fa_37)</u> |
| ITEM 8. | FINANCIAL INFORMATION | <u>[65](#i3b19466fb35144ad99f2a13b333a62fa_40)</u> |
| ITEM 9. | THE OFFER AND LISTING | <u>[66](#i3b19466fb35144ad99f2a13b333a62fa_43)</u> |
| ITEM 10. | ADDITIONAL INFORMATION | <u>[67](#i3b19466fb35144ad99f2a13b333a62fa_46)</u> |
| ITEM 11. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK | <u>[76](#i3b19466fb35144ad99f2a13b333a62fa_49)</u> |
| ITEM 12. | DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES | <u>[77](#i3b19466fb35144ad99f2a13b333a62fa_52)</u> |
| PART II | | <u>[77](#i3b19466fb35144ad99f2a13b333a62fa_55)</u> |
| ITEM 13. | DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES | <u>[77](#i3b19466fb35144ad99f2a13b333a62fa_58)</u> |
| ITEM 14. | MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS | <u>[77](#i3b19466fb35144ad99f2a13b333a62fa_61)</u> |
| ITEM 15. | CONTROLS AND PROCEDURES | <u>[78](#i3b19466fb35144ad99f2a13b333a62fa_64)</u> |
| ITEM 16. | [RESERVED] | <u>[78](#i3b19466fb35144ad99f2a13b333a62fa_67)</u> |
| ITEM 16A. | AUDIT COMMITTEE FINANCIAL EXPERT | <u>[79](#i3b19466fb35144ad99f2a13b333a62fa_70)</u> |
| ITEM 16B. | CODE OF ETHICS | <u>[79](#i3b19466fb35144ad99f2a13b333a62fa_73)</u> |
| ITEM 16C. | PRINCIPAL ACCOUNTANT FEES AND SERVICES | <u>[79](#i3b19466fb35144ad99f2a13b333a62fa_76)</u> |
| ITEM 16D. | EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES | <u>[80](#i3b19466fb35144ad99f2a13b333a62fa_79)</u> |
| ITEM 16E. | PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS | <u>[80](#i3b19466fb35144ad99f2a13b333a62fa_82)</u> |
| ITEM 16F. | CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT | <u>[80](#i3b19466fb35144ad99f2a13b333a62fa_85)</u> |
| ITEM 16G. | CORPORATE GOVERNANCE | <u>[81](#i3b19466fb35144ad99f2a13b333a62fa_88)</u> |
| ITEM 16H. | MINE SAFETY DISCLOSURE | <u>[81](#i3b19466fb35144ad99f2a13b333a62fa_91)</u> |
| ITEM 16I. | DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS | <u>[82](#i3b19466fb35144ad99f2a13b333a62fa_94)</u> |
| ITEM 16J. | INSIDER TRADING POLICIES | <u>[82](#i3b19466fb35144ad99f2a13b333a62fa_97)</u> |
| ITEM 16K. | CYBERSECURITY | <u>[82](#i3b19466fb35144ad99f2a13b333a62fa_100)</u> |
| PART III | | <u>[84](#i3b19466fb35144ad99f2a13b333a62fa_103)</u> |
| ITEM 17. | FINANCIAL STATEMENTS | <u>[84](#i3b19466fb35144ad99f2a13b333a62fa_106)</u> |
| ITEM 18. | FINANCIAL STATEMENTS | <u>[84](#i3b19466fb35144ad99f2a13b333a62fa_109)</u> |
| ITEM 19. | EXHIBITS | <u>[85](#i3b19466fb35144ad99f2a13b333a62fa_115)</u> |

---

------

**CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS** 

Our disclosure and analysis in this annual report, or the Annual Report, pertaining to our operations, cash flows and financial position, including, in particular, the likelihood of our success in developing and expanding our business, include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which provide safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

These statements reflect our current views with respect to future events and financial performance. This Annual Report includes assumptions, expectations, projections, intentions and beliefs about future events. These statements are intended as "forward-looking statements." We caution that assumptions, expectations, projections, intentions and beliefs about future events may and often do vary from actual results and the differences can be material. Statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "expects," "anticipates," "intends," "plans," "believes," "estimates," "seeks," "targets," "potential," "pending," "continue," "contemplate," "possible," "likely," "might," "will," "would," "could," "projects," "forecasts," "may," "should" and similar expressions are forward-looking statements.

All statements in this Annual Report that are not statements of either historical or current facts are forward-looking statements. Forward-looking statements include, but are not limited to, such matters as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general liquified natural gas, or LNG, shipping market conditions, including fluctuations in charter rates and vessel values;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the volatility of prevailing spot market charter rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our future operating or financial results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• global and regional economic and political conditions and developments, armed conflicts, including the war between Ukraine and Russia and between Israel and Iran and related conflicts in the Middle East, the Houthi attacks in the Red Sea and Gulf of Aden, threats by Iran to close the Strait of Hormuz, trade wars, tariffs, embargoes and strikes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• stability of Europe and the Euro;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inflationary pressures and central bank policies included to combat overall inflation and rising interest rates and foreign exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our business strategy and expected and unexpected capital spending and operating expenses, including drydocking, surveys, repairs, upgrades, insurance costs, crewing and bunker costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our expectations of the availability of vessels to purchase, the time it may take to construct new vessels and risks associated with vessel construction and vessels' useful lives;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• LNG market trends, including charter rates and factors affecting supply and demand;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the supply of and demand for vessels comparable to ours, including against the background of possibly accelerated climate change transition worldwide which would have an accelerated negative effect on the demand for fossil fuels, including LNG, and thus transportation of LNG;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our financial condition and liquidity, including our ability to repay or refinance our indebtedness and obtain financing in the future to fund capital expenditures, acquisitions and other general corporate activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to enter into and successfully deliver our vessels under time charters or other employment arrangements after our current charters expire and our ability to earn income in the spot market (which includes vessel employment under single voyage spot charters and time charters with an initial term of less than six months);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to compete successfully for future chartering opportunities and newbuilding opportunities (if any);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• estimated future maintenance and replacement capital expenditures;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the expected cost of, and our ability to comply with, governmental regulations, including environmental regulations, maritime self-regulatory organization standards, as well as standard regulations imposed by our charterers applicable to our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• customers' increasing emphasis on environmental and safety concerns;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• availability of and ability to maintain skilled labor, vessel crews and management;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our anticipated incremental general and administrative expenses as a publicly traded company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• business disruptions, including supply chain disruption and congestion, including port congestion, due to natural or other disasters or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential physical disruption of shipping routes due to accidents, climate-related incidents, and public health threats; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to maintain relationships with major LNG producers and traders.

Many of these statements are based on our assumptions about factors that are beyond our ability to control or predict and are subject to risks and uncertainties that are described more fully in "Item 3. Key Information—D. Risk Factors." Any of these factors or a combination of these factors could materially affect our future results of operations and the ultimate accuracy of the forward-looking statements. Factors that might cause future results to differ include, but are not limited to, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in governmental rules and regulations or actions taken by regulatory authorities including the implementation of new environmental regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fluctuations in currencies and interest rates, such as Secured Overnight Financing Rate, or SOFR;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact that any discontinuance, modification or other reform or the establishment of alternative reference rates may have on our floating interest rate debt instruments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in economic and competitive conditions affecting our business, including market fluctuations in charter rates and charterers' abilities to perform under existing time charters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• shareholders' reliance on the Company to enforce the Company's rights against contract counterparties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• dependence on the ability of the Company's subsidiaries to distribute funds to satisfy financial obligations and make dividend payments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential liability from future litigation, related to claims raised by public-interest organizations or activism with regard to failure to adapt or mitigate climate impact;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the arresting or attachment of one or more of the Company's vessels by maritime claimants;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential requisition of the Company's vessels by a government during a period of war or emergency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• treatment of the Company as a "passive foreign investment company" by U.S. tax authorities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• being required to pay taxes on U.S. source income;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's operations being subject to economic substance requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company potentially becoming subject to corporate income tax in Bermuda in the future;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the potential for shareholders to not be able to bring a suit against the Company or enforce a judgement obtained against the Company in the United States, or U.S.;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the failure to protect the Company's information systems against security breaches, or the failure or unavailability of these systems for a significant period of time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of adverse weather and natural disasters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential liability from safety, environmental, governmental and other requirements and potential significant additional expenditures related to complying with such regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• damage to storage and receiving facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• impacts of supply chain disruptions and market volatility surrounding the impacts of the Russo-Ukrainian war and the developments in the Middle East;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of restrictions on trade, including the imposition of new tariffs, port fees and other import restrictions by the United States on its trading partners and the imposition of retaliatory tariffs by China and the European Union, or EU on the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• technological innovation in the sector in which we operate and quality and efficiency requirements from customers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cost and effects of cybersecurity incidents or other failures, interruptions, or security breaches of our systems or those of our customers or third-party providers, including software failures, unforeseeable security breaches, or incidents stemming from the misuse or intentional or unintentional misapplication of artificial intelligence in our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to successfully adopt artificial intelligence and digital logistics into our operating systems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• technology risk associated with energy transition and fleet/systems renewal including in respect of alternative propulsion systems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• increasing scrutiny and changing expectations with respect to environmental, social and governance policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of port or canal congestion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the length and number of offhire periods, including in connection with drydocking periods;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any vessel underperformance and related warranty claims; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other factors described in "Item 3. Key Information—D. Risk Factors" in this Annual Report.

You should not place undue reliance on forward-looking statements contained in this Annual Report because they are statements about events that are not certain to occur as described or at all. All forward-looking statements in this Annual Report are qualified in their entirety by the cautionary statements contained in this Annual Report. These forward-looking statements are not guarantees of our future performance, and actual results and future developments may vary materially from those projected in the forward-looking statements.

Except to the extent required by applicable law or regulation, we undertake no obligation to release publicly any revisions to these forward-looking statements to reflect events or circumstances after the date of this Annual Report or to reflect the occurrence of unanticipated events. New factors emerge from time to time, and it is not possible for us to predict all of these factors. Further, we cannot assess the effect of each such factor on our business or the extent to which any factor, or combination of factors, may cause actual results to be materially different from those contained in any forward-looking statement.

------

**PART I**

**ITEM 1.&nbsp;&nbsp;&nbsp;&nbsp;IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS**

Not applicable.

**ITEM 2.&nbsp;&nbsp;&nbsp;&nbsp;OFFER STATISTICS AND EXPECTED TIMETABLE**

Not applicable.

------

**ITEM 3.&nbsp;&nbsp;&nbsp;&nbsp;KEY INFORMATION**

Unless otherwise indicated, the terms "FLEX LNG," "we," "us," "our," the "Company" and the "Group" refer to FLEX LNG Ltd. and its consolidated subsidiaries.

We use the term "LNG" to refer to liquefied natural gas, and we use the term "cbm" to refer to cubic meters in describing the carrying capacity of the vessels in our fleet. Unless otherwise indicated, all references to "U.S. dollars," "USD," "dollars," "US$" and "$" in this Annual Report are to the lawful currency of the United States of America, references to "Norwegian Kroner," and "NOK" are to the lawful currency of Norway, references to "Great British Pounds," and "GBP" are to the lawful currency of the United Kingdom.

The consolidated financial statements included in this Annual Report have been prepared in accordance with Generally Accepted Accounting Principles in the United States of America, or U.S. GAAP.

**A.&nbsp;&nbsp;&nbsp;&nbsp;[Reserved]**

**B.&nbsp;&nbsp;&nbsp;&nbsp;Capitalization and Indebtedness**

&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Reasons for the offer and use of Proceeds**

Not applicable.

**D.&nbsp;&nbsp;&nbsp;&nbsp;Risk Factors**

The following summarizes certain risks that may materially affect our business, financial condition or results of operations. The occurrence of any of the events described in this section could significantly and negatively affect our business, financial condition, operating results or the trading price of our securities.

**Risk Factor Summary**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Risks Related to Our Industry**

Our assets operate worldwide within the LNG shipping sector which is volatile and unpredictable. Several risk factors including, but not limited to, our global and local market presence and the global demand for LNG will impact our operations. We are exposed to regulatory, statutory, operational, technical, counterparty, environmental, and political risks, developments and regulations that may impact and/or disrupt our business. Details of specific risks relating to our industry are described below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Risks Related to our Business**

Our Company is subject to a significant number of external and internal risks. As an entity incorporated in Bermuda with operations in different jurisdictions, with numerous employees, shareholders, customers and other stakeholders with varying interests, we engage in activities, operations and actions that could result in harm to our Company, financial performance and position and reputation. Details of specific risks relating to our Company are described below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**• Risks Related to Investment in Our Securities and Taxation**

Our ordinary shares are subject to a significant number of external and internal risks. The market price of our ordinary shares has historically been unpredictable and volatile. As we are a foreign corporation, our shareholders may not have the same rights as shareholders in a U.S. corporation may have. In addition, the Company may not be subject to the same taxation provisions as U.S. companies. Details of specific risks relating to our ordinary shares and taxation are described below.

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**Risks Related to Our Industry**

***Charter hire rates for LNG vessels are volatile and may decrease in the future, which may adversely affect our earnings, revenue and profitability and our ability to comply with our loan covenants.***

Substantially all of our revenues are derived from a single market, the LNG carrier segment, and therefore our financial results depend on chartering activities and developments in this segment. The LNG shipping industry is cyclical with attendant volatility in charter hire rates and profitability. The LNG charter market, from which we derive and plan to continue to derive our revenues, experienced a demand increase of approximately 4% in 2025 to about 429 million tons. The degree of charter hire rate volatility among different types of LNG carriers has varied widely, and spot market rates for LNG vessels have in the recent past declined below operating costs of vessels.

Fluctuations in charter rates result from changes in the supply and demand for vessel capacity and changes in the supply and demand for the major commodities carried on water internationally. Because the factors affecting the supply of and demand for vessels are outside of our control and are unpredictable, the nature, timing, direction and degree of changes in charter rates are also unpredictable. As of February 27, 2026, two of our vessels have been redelivered from long term contracts and the time charter contract on one other vessel is scheduled to expire in March 2026. These vessels may be exposed to the fluctuations in the charter hire rates. Charter hire rates may fluctuate significantly based on charter availability and the supply of and demand for seaborne shipping capacity, and we may be unable to keep our vessels fully employed in these short-term markets. Alternatively, charter rates available in the spot market may be insufficient to enable our vessels to operate profitably. A significant decrease in charter rates would also affect asset values and adversely affect our profitability, cash flows and our ability to pay dividends, if any.

A worsening of current global economic conditions may cause the charter rates applicable to our vessels to decline and therefore, affect our ability to charter or re-charter our vessels, and renewal or replacement charters may not be sufficient to allow us to operate our vessels profitability.

Furthermore, a significant decrease in charter rates would cause asset values to decline and we may have to record an impairment charge in our consolidated financial statements which could adversely affect our financial results.

Factors that may influence demand for vessel capacity include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• supply of and demand for and seaborne transportation of LNG;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the price of LNG;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in the exploration or production of LNG;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• competition from, supply of and demand for alternative sources of energy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the location of regional and global exploration, production and manufacturing facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the location of consuming regions for LNG;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the globalization of production and manufacturing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• global and regional economic and political conditions and developments, including trade wars and developments in international trade, including the imposition of tariffs, port fees, vessel attacks and piracy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• international sanctions, embargoes, import and export restrictions, nationalizations, wars or other armed conflicts, and other international hostilities, terrorist attacks and strikes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in seaborne and other transportation patterns, including the distance LNG is transported by sea;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in governmental and maritime self-regulatory organizations' rules and regulations or actions taken by regulatory authorities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental regulations and concerns and uncertainty around new regulations in relation to, among other things, new technologies which may delay the ordering of new vessels; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• currency exchange rates, most importantly versus the U.S. Dollar.

Demand for our LNG vessels is dependent upon economic growth in the world's economies, seasonal and regional changes in demand, changes in the capacity of the global LNG fleet and the sources and supply of LNG transported by sea. The capacity of the global LNG vessels fleet seems likely to increase and economic growth may not resume in areas that have experienced a recession or continue in other areas. As such, adverse economic, political, social or other developments, including inflationary pressure and global wars and conflicts, could have a material adverse effect on our business, results of operations and ability to pay dividends.

Factors that influence the capacity of the global LNG fleet, which we reference herein as the "supply of vessel capacity" include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• supply and demand for energy resources and alternative energy resources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• competition from alternative sources of energy and from other shipping companies and other modes of transport;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• number of newbuilding orders and deliveries, including slippage in deliveries; as may be impacted by the availability of financing for shipping activity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the number of shipyards and ability of shipyards to deliver vessels and any potential delays in delivery of newbuilding vessels and/or cancellations of newbuilding orders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• scrapping of older vessels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• speed of vessel operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• vessel casualties, which may include but are not limited to serious injury, loss or material damage to, grounding or disabling of a vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• recycling and scrapping rates, influenced by vessel age, emission compliance costs and second-hand market liquidity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• product imbalances (affecting the level of trading activity) and developments in international trade;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• number of vessels that are out of service, namely those that are laid up, drydocked, awaiting repairs or otherwise not available for hire or blocked in port or canal congestions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• availability of financing for new vessels and shipping activity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• business disruptions, including supply chain disruption and congestion, due to natural or other disasters or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the length and severity of epidemics and pandemics;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• technological advances in vessel design, capacity, propulsion technology and fuel consumption efficiency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in national or international regulations that may effectively cause reductions in the carrying capacity of vessels or early obsolescence of tonnage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental concerns and uncertainty around new regulations in relation to, amongst others, new technologies which may delay, amongst other things, the ordering of new vessels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the phasing of maritime shipping into the EU Emission Trading Scheme, or the EU ETS, which applies to all large ships of 5,000 gross tonnage or above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the FuelEU Maritime regulation which promotes the use of renewable, low-carbon fuels and clean energy technologies for ships, essential to support decarbonization in the sector.

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In addition to the prevailing and anticipated freight rates, factors that affect the rate of newbuilding, scrapping and laying-up include newbuilding prices, secondhand vessel values in relation to scrap prices, costs of bunkers and other operating costs, costs associated with classification society surveys, normal maintenance costs, insurance coverage costs, the efficiency, sophistication and age profile of the existing LNG fleet in the market, and government and industry regulation of maritime transportation practices, particularly environmental protection laws and regulations. These factors influencing the supply of and demand for shipping capacity are outside of our control, and we may not be able to correctly assess the nature, timing and degree of changes in industry conditions.

***Our business is affected by macroeconomic conditions, including rising inflation, high interest rates, market volatility, economic uncertainty and supply chain constraints.***

Various macroeconomic factors, including high inflation and interest rates, global supply chain constraints, downturns in the worldwide economy and the effects of overall economic conditions and uncertainties such as those resulting from the current and future conditions in the global financial markets, could materially adversely affect our business, results of operation, financial condition and ability to pay dividends. Inflation and rising interest rates may negatively impact us by increasing our operating costs and our cost of borrowing. In addition, elevated interest rates persisting longer than expected cause refinancing risk for balloon payments and revolving credit facilities and potential covenant pressure. Interest rates, the liquidity of the credit markets and the volatility of the capital markets could also affect the operation of our business and our ability to raise capital on favorable terms, or at all.

The world economy continues to face a number of actual and potential challenges, including the war between Ukraine and Russia and between Israel and Iran and related conflicts in the Middle East, the potential disruption of shipping routes including the low water levels in the Panama Canal and ongoing vessel attacks in the Red Sea, current trade tension between the United States and China, political instability in the Middle East and the South China Sea region and other geographic countries and areas, tensions in and around the Red Sea or Russia and NATO tensions, China and Taiwan disputes, terrorist or other attacks, war (or threatened war) or international hostilities, banking crises or failures, and significant inflationary pressures.

***Global economic conditions may negatively impact the LNG shipping industry and we face risks attendant in economic and regulatory conditions around the world.***

As the shipping industry is capital intensive and highly dependent on the availability of financial markets, in particular the credit market, to finance and expand operations, it can be negatively affected by decline in available credit facilities. Any weakening in global economic conditions may have a number of adverse consequences for LNG and other shipping sectors, including, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• low charter rates, particularly for vessels employed in the spot market (which includes vessel employment under single voyage spot charters and time charters with an initial term of less than six months);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• decreases in the market value of LNG vessels and limited second-hand market for the sale of vessels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limited financing for vessels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• widespread loan covenant defaults; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• declaration of bankruptcy by certain vessel operators, vessel owners, shipyards and charterers.

The occurrence of one or more of these events could have a material adverse effect on our business, results of operations, cash flows, financial condition and ability to pay dividends, if any.

We face risks attendant to changes in economic environments, changes in interest rates, instability in the banking and securities markets and trade regulation around the world, among other factors. Major market disruptions and adverse changes in market conditions and regulatory climate in China, the United States, the European Union and worldwide may adversely affect our business or impair our ability to borrow amounts under credit facilities or any future financial arrangements.

Our future prospects for re-contracting our fleet and extending our current charters would likely be hindered by an economic downturn in any of the major LNG import regions. A prolonged economic downturn in Europe is likely to have a detrimental effect on global LNG demand, which in turn could make it more challenging for us to employ our vessels.

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In recent years there have been continuing trade tensions, including recent tariff increases, imposed by the United States targeting several of its trade partners. Protectionist developments, or the perception that they may occur, may have a material adverse effect on global economic conditions, and may significantly reduce global trade. Moreover, increasing trade protectionism may cause an increase in (a) the cost of goods exported from regions globally, (b) the length of time required to transport goods and (c) the risks associated with exporting goods. Such increases may significantly affect the quantity of goods to be shipped, shipping time schedules, voyage costs and other associated costs, which could have an adverse impact on our charterers' business, operating results and financial condition and could thereby affect their ability to make timely charter hire payments to us and to renew and increase the number of their time charters with us. This could have a material adverse effect on our business, results of operations, financial condition and our ability to pay any cash distributions to our stockholders.

***A decline in spot charter rates in the future could materially adversely affect our revenues which could harm our business, financial condition and ability to pay dividends, if any.***

As of February 27, 2026, two of our vessels have been redelivered from long term contracts and the time charter contract on one other vessel is scheduled to expire in March 2026. These vessels may be exposed to the fluctuations in the charter hire rates. The number of vessels in our Fleet (as defined below) that participate in the spot market will vary from time to time. As a result, our financial performance may be significantly affected by conditions in the LNG spot market.

Historically, the LNG spot freight market has been volatile as a result of the many conditions and factors that can affect the price, supply of and demand for LNG capacity. Weak global economic trends may further reduce demand for transportation of LNG cargoes over longer distances, which may materially affect our revenues, profitability and cash flows. The spot charter market may fluctuate significantly based upon supply of and demand for vessels and cargoes. The spot market is volatile and there have been periods when spot rates have declined below the operating cost of vessels. If future spot charter rates decline, then we may be unable to operate our vessels trading in the spot market profitably, or meet our obligations, including payments on indebtedness, or to pay dividends in the future. Furthermore, as charter rates for spot charters are fixed for a single voyage, which may last up to several weeks during periods in which spot charter rates are rising, we will generally experience delays in realizing the benefits from such increases.

***Risks involved with operating ocean-going vessels could result in the loss of life or harm to our seafarers, environmental accidents or otherwise affect our business and reputation, which could have a material adverse effect on our results of operations and financial condition.***

The operation of an ocean-going vessel carries inherent risks which include the possibility of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• loss of life or harm to seafarers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an accident involving a vessel resulting in damage to the asset or total loss of the same;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a marine accident or disaster;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• terrorism;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• piracy or robbery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental accidents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• pollution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cargo and property losses and damage; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• business interruptions caused by mechanical failure, human error, war, political action in various countries, labor strikes, or adverse weather conditions.

Any of these circumstances or events could increase our costs or lower our revenues. The involvement of our vessels in an environmental disaster may harm our reputation as a safe and reliable LNG operator.

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***Our operations inside and outside of the United States expose us to global risks, such as political instability, terrorist or other attacks, war, international hostilities, economic sanctions or other trade restrictions and global public health concerns, which may affect the seaborne transportation industry, and adversely affect our business.***

We are an international company and primarily conduct our operations outside the United States, and our business, results of operations, cash flows, financial condition and ability to pay dividends, if any, in the future may be adversely affected by changing economic, political and government conditions in the countries and regions where our vessels are employed or registered. Moreover, we operate in a sector of the economy that is likely to be adversely impacted by the effects of political conflicts.

Currently, the global economy faces a number of challenges, including trade tensions between the United States and China, stabilizing growth in China, continuing threat of terrorist attacks around the world, continuing instability and conflicts and other occurrences in Venezuela, the Middle East, Ukraine and in other geographic areas and countries.

Prolonged periods of geopolitical instability may affect shipping routes, such as those in the Red Sea, Black Sea, Suez Canal and Strait of Hormuz. Political instability has also resulted in attacks on vessels, mining of waterways and other efforts to disrupt international shipping, particularly in the Arabian Gulf region and the Black Sea, in connection with the conflict between Russia and Ukraine and in the Red Sea and Gulf of Aden, in connection with the Houthi's attacks in the Suez Canal related to the conflict between Israel and Hamas. In January 2025, Israel and Hamas announced a ceasefire in the conflict, and the Houthis pledged a cessation of attacks and promised safe passage for non-Israeli ships. Despite the recent developments, various shipping companies and charterers have indicated that they remain hesitant to return to the Suez Canal and the Red Sea, and for the time being divert vessels around southern Africa's Cape of Good Hope, which adds substantial time and cost to East-West voyages. Acts of terrorism and piracy have also affected vessels trading in regions such as the South China Sea, the Arabian Sea, the Red Sea, Suez Canal, the Gulf of Aden off the coast of Somalia, Sulu Sea, Celebes Sea, the Malacca and Singaporean Straits, the Indian Ocean and in particular, the Gulf of Guinea region off the coast of Nigeria. Any of these occurrences could have a material adverse impact on our future performance, results of operation, cash flows and financial position.

In 2022, the United States, United Kingdom and European Union, among other countries, announced various economic sanctions against Russia in connection with the aforementioned war in Ukraine. The ongoing conflict could result in imposition of further economic sanctions or new categories of export restrictions against individuals or entities in or connected to Russia. While in general, much uncertainty remains regarding the global impact of the continuation of the conflict in Ukraine and any potential resolution thereof, it is possible that such tensions could adversely affect the Company's business, financial condition, operating results and cash flows.

The United States has issued several Executive Orders that prohibit certain transactions relating to Russia, which includes prohibitions on the importation of certain Russian energy products into the United States (including crude oil, petroleum, petroleum fuels, oils, liquefied natural gas and coal) and all new investments in Russia by U.S. persons, among other prohibitions and export controls, and has issued numerous determinations authorizing the imposition of sanctions on persons who operate or have operated in the energy, metals and mining, and marine sectors of the Russian Federation economy, among others. Designations under these sanctions programs are continuing, including in October 2025 against Lukoil and Rosneft, and

certain of their subsidiaries. Increased restrictions on these sectors, or the expansion of sanctions to new sectors, may pose additional risks that could adversely affect our business and operations.

Furthermore, the United States, in conjunction with the G7, agreed on September 2, 2022 to implement a Russian petroleum "price cap policy" which prohibits a variety of specified services related to the maritime transport of Russian Federation origin crude oil and petroleum products, including trading/commodities brokering, financing, shipping, insurance (including reinsurance and protection and indemnity), flagging, and customs brokering. An exception exists to permit such services when the price of the seaborne Russian oil does not exceed the relevant price cap; but implementation of this price exception relies on a recordkeeping and attestation process that requires each party in the supply chain of seaborne Russian oil to demonstrate or confirm that oil has been purchased at or below the price cap. Further, effective as of February 27, 2025, the United States has also prohibited the provision of petroleum services, including services related to natural gas a byproduct of oil production in Russia, by U.S. persons to persons located in Russia. An exception exists for the provision of petroleum services in certain specified circumstances, including for the provision of services for products purchased at or below the aforementioned price caps. As of September 2025, the European Union, United Kingdom and Canada also agreed to lower their price cap on Russian crude oil from $60 per barrel to $47.60 per barrel, and which was further reduced to $44.10 effective February 1, 2026, based on an automatic dynamic pricing adjustment setting the cap at 15% below the average market price for Russian crude oil during the relevant reference period. Violations of the petroleum services policy, including the risk that

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information, documentation, or attestations provided by parties in the supply chain are later determined to be false may pose additional risks adversely affecting our business, including, without limitation, fines, penalties, criminal proceedings and secondary sanctions. While much uncertainty remains, the potential that the European Union, in conjunction with the G7, might replace the price cap policy in favor of a full maritime services ban for Russian crude oil exports and/or other petroleum products may also pose further risks that could adversely affect our business.

Additionally, in October 2025, the European Union introduced new restrictions, including a phased ban on Russian LNG imports, with a ban on Russian LNG as of January 1, 2027 for long-term contracts and as of April 25, 2026 for short-term contracts.

Our business could also be adversely impacted by trade tariffs, trade embargoes or other economic sanctions that limit trading activities between the United States or other countries with countries in the Middle East, Asia, or elsewhere as a result of terrorist attacks, hostilities or diplomatic or political pressures, including as a result of ongoing tensions involving Russia, Iran, and China and the current conflicts in the Middle East. This could have a material adverse effect on our business, financial condition and operating results.

Governments may also turn to trade barriers to protect their domestic industries against foreign imports, thereby depressing shipping demand. Protectionist developments, or the perception that they may occur, may have a material adverse effect on global economic conditions, and may significantly reduce global trade. For example on February 20, 2026, President Trump invoked a flat tariff of 10%, which was subsequently increased to 15% the following day, on almost all U.S. imports under Section 122 of the Trade Act of 1974, which allows for temporary import surcharges. The temporary import surcharge took effect on February 24, 2026. Increasing trade protectionism may cause an increase in (a) the cost of goods exported from regions globally, (b) the length of time required to transport goods and (c) the risks associated with exporting goods. Such increases may significantly affect the quantity of goods to be shipped, shipping time schedules, voyage costs and other associated costs, which could have an adverse impact on our charterers' business, operating results and financial condition and could thereby affect their ability to make timely charter hire payments to us. This could have a material adverse effect on our business, financial condition and operating results.

In particular, there is significant uncertainty about the future relationship between the United States and China and other countries, such as Canada, Mexico, and the European Union, among others, with respect to trade policies, treaties, government regulations, and tariffs, some of which remain subject to legal challenge. For example, in April 2025, the Office of the United States Trade Representative enacted vessel service fees under Section 301 of the Trade Act of 1974 which were imposed as scheduled beginning on October 14, 2025, but were suspended for one year as of November 10, 2025 as a result of broader trade negotiations between the United States and China, after China's Ministry of Transport had announced retaliatory port fees applicable to certain vessels calling at Chinese ports that were built or flagged in the United States or owned or operated by certain U.S.-linked persons. China's retaliatory service fees on U.S. vessels were also suspended for a period of one year on the same date.

Given the magnitude of these port-related fees and the many uncertainties surrounding their implementation, it is not possible at this time to fully predict the ultimate financial impact to the Company. However, if these fees continue to be levied, port fees for our vessels or vessels we charter and our operating costs for voyages calling at U.S. or Chinese ports could materially increase, which could have an adverse effect on our business, financial condition, and results of operations.

***If our vessels call at ports located in countries or territories that are the subject of sanctions or embargoes or engage in other transactions or dealings in violation of applicable sanctions laws, it could lead to monetary fines or other penalties and adversely affect our reputation and the market for our ordinary shares and its trading price.***

Although we intend to maintain compliance with all applicable sanctions and embargo laws, and we endeavor to take precautions reasonably designed to mitigate such risks, it is possible that, in the future, our vessels may call on ports located in sanctioned countries or territories, or engage in other such transactions or dealings that would violate applicable sanctions, on charterers' instructions and/or without our consent. If such activities result in a violation of sanctions or embargo laws, we could be subject to monetary fines, penalties, or other sanctions, and our reputation and the market for our ordinary shares could be adversely affected.

Any civil penalties for violations of U.S. sanctions are imposed on a strict liability basis. Accordingly, a party need not know it is violating sanctions and need not intend to violate sanctions to be liable. We could be subject to monetary fines, penalties, or other sanctions for violating applicable sanctions or embargo laws even in circumstances where our conduct, or the conduct of a charterer, is consistent with our sanctions-related policies, unintentional, or inadvertent. In practice, U.S. regulators

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consider the facts and circumstances surrounding an apparent violation when determining the appropriate enforcement response, taking into account various aggravating or mitigating factors.

The applicable sanctions and embargo laws and regulations vary in their application, and by jurisdiction, as they do not all apply to the same covered persons or proscribe the same activities. In addition, the sanctions and embargo laws and regulations of each jurisdiction may be amended to increase or reduce the restrictions they impose over time. The lists of persons and entities designated under these laws and regulations are amended frequently. Moreover, certain sanctions regimes provide that entities owned or controlled by the persons or entities designated in such lists are also subject to sanctions. The United States, United Kingdom and European Union have enacted new and more aggressive sanctions programs in recent years. Additional countries or territories, as well as additional persons or entities within or affiliated with those countries or territories, have, and in the future will, become the target of sanctions. These require us to be diligent in ensuring our compliance with sanctions laws. Further, the United States, United Kingdom and European Union have increased their focus on sanctions enforcement with respect to the shipping sector. Current or future counterparties of ours may be affiliated with persons or entities that are or may be in the future become the subject of sanctions or embargoes imposed by the United States, United Kingdom and European Union, and/or other international bodies. If we determine that such sanctions require us to terminate existing or future contracts to which we, or our subsidiaries, are party or if we are found to be in violation of such applicable sanctions, our results of operations may be adversely affected, or we may suffer reputational harm.

As a result of the war between Russia and Ukraine, and conflicts in the Middle East, the United States, United Kingdom and European Union, together with numerous other countries, have imposed significant economic sanctions, which may adversely affect our ability to operate in these regions and also restrict parties whose cargo we may carry. Sanctions against Russia have also placed significant prohibitions on the maritime transportation of seaborne Russian oil, the importation of certain Russian energy products and other goods, and new investments in the Russian Federation. These sanctions further limit the scope of permissible operations and cargo we may carry.

Although, to the best of our knowledge, we have been in compliance with all applicable sanctions and embargo laws and regulations in 2025, and intend to maintain such compliance, the scope of certain laws may be unclear and may be subject to changing interpretations. Any such violation could result in fines, penalties, vessel detentions or blacklisting or other sanctions that could severely impact our ability to access U.S. capital markets and conduct our business and could result in our reputation and the market for our securities to be adversely affected and/or in some investors deciding, or being required, to divest their interest, or not to invest, in us. In addition, certain institutional investors may have investment policies or restrictions that prevent them from holding securities of companies that have contracts with countries or territories identified by the U.S. government as state sponsors of terrorism. The determination by these investors not to invest in, or to divest from, our ordinary shares may adversely affect the price at which our ordinary shares trade. Moreover, our charterers may violate applicable sanctions and embargo laws and regulations as a result of actions that do not involve us or our vessels, and those violations could in turn negatively affect our reputation. In addition, our reputation and the market for our securities may be adversely affected if we engage in certain other activities, such as entering into charters with individuals or entities that are controlled by the governments of countries or territories that are the subject of certain U.S. sanctions or embargo laws, or engaging in operations associated with those countries or territories pursuant to contracts with third parties that are unrelated to those countries or territories or entities controlled by their governments. Investor perception of the value of our ordinary shares may be adversely affected by the consequences of war, the effects of terrorism, civil unrest and governmental actions in countries or territories that we operate in.

We have, and may conduct in the future, a substantial amount of business in China. The legal system in China has inherent uncertainties that could have a material adverse effect on our business, financial condition and results of operations.

The Chinese legal system is based on written statutes and their legal interpretation by the Standing Committee of the National People's Congress. Prior court decisions may be cited for reference but have limited precedential value. Since 1979, the Chinese government has been developing a comprehensive system of commercial laws dealing with economic matters such as foreign investment, corporate organization and governance, commerce, taxation and trade. However, because these laws and regulations are relatively new, there is a general lack of internal guidelines or authoritative interpretive guidance and because of the limited number of published cases and their non-binding nature, interpretation and enforcement of these laws and regulations involve uncertainties. Any administrative and court proceedings in China may be protracted, resulting in substantial costs and diversion of resources and management attention. Since Chinese administrative and court authorities have significant discretion in interpreting and implementing statutory and contractual terms, it may be more difficult to evaluate the outcome of administrative and court proceedings and the level of legal protection we enjoy than in more developed legal systems.

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Changes in laws and regulations, including with regards to tax matters, and their implementation by local authorities could affect our vessels that are either chartered to Chinese customers or that call to Chinese ports and our vessels that undergo drydocking, or to which we install scrubbers, at Chinese shipyards, and the financial institutions with whom we have entered into financing agreements, could have a material adverse effect on our business, results of operations and financial condition.

To the extent our charters, shipbuilding contracts and financing agreements that are governed by English law, if we are required to commence legal proceedings against a customer, a shipbuilder or a lender based in other jurisdictions, we may have difficulties in enforcing any judgment rendered by an English court in that jurisdiction.

***Compliance with safety regulations and other vessel requirements imposed by flag states and classification societies may be costly and subject us to increased liability, which may adversely affect our insurance coverage and may result in a denial of access to, or detention in, certain ports and could reduce our net cash flows and net income.***

A classification society authorized by the country of registry of a commercial vessel must certify such vessel as being "in class" and safe and seaworthy in accordance with the applicable rules and regulations of the country of registry of the vessel. All of our vessels are certified as being "in class" by all the applicable Classification Societies (e.g., American Bureau of Shipping., Lloyd's Register of Shipping or DNV GL).

Additionally, a vessel must undergo annual surveys, intermediate surveys, drydockings or special surveys. In lieu of a special survey, a vessel's machinery may be placed on a continuous survey cycle, under which the machinery would be surveyed periodically over a five-year period. We expect our vessels to be on special survey cycles for hull inspection and continuous survey cycles for machinery inspection. Our vessels also undergo inspections with a view towards compliance under the Ship Inspection Report Programme (SIRE) and the United States Coast Guard, or USCG requirements, as applicable.

Every vessel is also required to be drydocked every five years for inspection of the underwater parts of the vessel. If any vessel does not maintain its class and/or fails any annual survey, intermediate survey, drydocking or special survey, the vessel will be unable to carry cargo between ports and will be unemployable and uninsurable which could cause us to be in violation of certain covenants in our loan agreements and charter contracts. Any such inability to carry cargo or be employed, or any such violation of covenants, could have a material adverse impact on our financial condition and results of operations.

The operation of our vessels is affected by the safety and environmental requirements set forth in the IMO's International Safety Management Code, or the ISM Code. If we fail to comply with the ISM Code, we may be subject to increased liability, including the invalidation of existing insurance or a decrease of available insurance coverage for our affected vessels and such failure may result in a denial of access to, or detention in, certain ports. The U.S. Coast Guard and EU authorities enforce compliance with the ISM and International Ship and Port Facility Security Code, or the ISPS Code, and prohibit non-compliant vessels from trading in U.S. and EU ports.

Because such conventions, laws, and regulations are often introduced, reviewed, revised or delayed, we cannot predict the ultimate cost of complying with such conventions, laws and regulations or the impact thereof on the resale prices or useful lives of our vessels. Additional conventions, laws and regulations may be adopted which could limit our ability to do business or increase the cost of our doing business and which may materially adversely affect our operations. We are required by various governmental and quasi-governmental agencies to obtain certain permits, licenses, certificates, and financial assurances with respect to our operations.

Please see "Item 4. Information on the Company—B. Business Overview—Environmental and Other Regulations in the Shipping Industry" for a discussion of the environmental and other regulations applicable to us.

***The LNG shipping industry is subject to substantial environmental and other regulations, which may significantly limit our operations or increase our expenses.***

Our operations are materially affected by extensive and changing international, national, state and local environmental laws, regulations, treaties, conventions and standards which are in force in international waters, or in the jurisdictional waters of the countries in which our ships operate and in the countries in which our ships are registered. These requirements include those relating to equipping and operating ships, providing security and minimizing or addressing impacts on the environment from ship operations. We may incur substantial costs in complying with these requirements, including costs for ship modifications and changes in operating procedures. We could also incur substantial costs, including clean-up costs, civil and criminal penalties and sanctions, the suspension or termination of operations and third-party claims as a result of violations of, or liabilities under, such laws and regulations.

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In addition, these requirements can affect the resale value or useful lives of our ships, require a reduction in cargo capacity, necessitate ship modifications or operational changes or restrictions or lead to decreased availability of insurance coverage for environmental matters. They could further result in the denial of access to certain jurisdictional waters or ports or detention in certain ports. We are required to obtain governmental approvals and permits to operate our ships. Delays in obtaining such governmental approvals may increase our expenses, and the terms and conditions of such approvals could materially and adversely affect our operations.

Additional laws and regulations may be adopted that could limit our ability to do business or increase our operating costs, which could materially and adversely affect our business. For example, new or amended legislation relating to ship recycling, sewage systems, emission control (including emissions of greenhouse gases and other pollutants) as well as ballast water treatment and ballast water handling may be adopted. The United States has recently enacted ballast water management system legislation and regulations that require more stringent controls of air and water emissions from ocean-going ships. Such legislation or regulations may require additional capital expenditures or operating expenses (such as increased costs for low-sulfur fuel) in order for us to maintain our ships' compliance with international and/or national regulations. We also may become subject to additional laws and regulations if we enter new markets or trades.

We also believe that the heightened environmental, quality and security concerns of insurance underwriters, regulators and charterers will generally lead to additional regulatory requirements, including enhanced risk assessment and security requirements, as well as greater inspection and safety requirements on all LNG carriers in the marine transportation market. These requirements are likely to add incremental costs to our operations, and the failure to comply with these requirements may affect the ability of our ships to obtain and, possibly, recover from, insurance policies or to obtain the required certificates for entry into the different ports where we operate.

Compliance with environmental laws and regulations also may result in ship owners and operators incurring increased costs for additional maintenance and inspection requirements, the development of contingency arrangements for potential spills, obtaining mandated insurance coverage and meeting financial responsibility requirements.

***Climate change and greenhouse gas restrictions may adversely impact our operations and markets.***

Due to concern over the risk of climate change, a number of countries and the International Maritime Organization, or the IMO, have adopted, or are considering the adoption of, regulatory frameworks to reduce greenhouse gas emissions. These regulatory measures may include, among others, adoption of cap and trade regimes, carbon taxes, increased efficiency standards and incentives or mandates for renewable energy.

As of January 1, 2024, maritime shipping was phased into the EU ETS, which applies to cargo and passenger ships of 5,000 gross tonnage or above. All 100% of carbon emissions on voyages and port calls within the European Union or European Economic Area, or the EU/EEA, and 50% of carbon emissions on voyages into or out of the EU/EEA, are subject to the EU ETS. As a result, shipowners will need to purchase and surrender a number of EU Emission Allowances, or EUAs, that represent their recorded carbon emission exposure for each fiscal year. This regulation is applicable to our entire Fleet (as defined below) as from January 1, 2024. While the legal obligation of purchasing and surrendering the emission allowances is with the Company; when the vessel is under a time charter contract, the Company will typically be reimbursed for the purchase of emission allowances by the charterer. Compliance with the EU ETS will result in additional compliance and administration costs to properly incorporate the provisions of the Directive into our business routines.

From January 1, 2025, the European Union adopted the FuelEU Maritime regulation, a proposal included in the "Fit-for-55" legislation. FuelEU Maritime sets requirements on the annual average GHG intensity of energy used by ships trading within the EU/EEA. Similar to EU ETS, compliance with the FuelEU Maritime, and additional EU regulations which are part of the EU's Fit-for-55, could also affect our financial position in terms of compliance and administration costs when they take effect.

On November 13, 2021, the Glasgow Climate Pact was announced following discussions at the 2021 United Nations Climate Change Conference, or the COP26. The Glasgow Climate Pact calls for signatory states to voluntarily phase out fossil fuels subsidies. A shift away from these products could potentially affect the demand for our vessels and negatively impact our future business, operating results, cash flows and financial position. COP26 also produced the Clydebank Declaration, in which 24 signatory states (including the United States and United Kingdom) announced their intention to voluntarily support the establishment of zero-emission shipping routes. Governmental and investor pressure to voluntarily participate in these green shipping routes could cause us to incur significant additional expenses "green" our vessels.

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Territorial taxonomy regulations in geographies where we are operating and are regulatorily liable, such as EU Taxonomy, might jeopardize the level of access to capital. For example, the EU has already introduced a set of criteria for economic activities which should be framed as 'green', called EU Taxonomy. As long as we are an EU-based company meeting the NFRD prerequisites, we will be eligible for reporting our Taxonomy eligibility and alignment. Based on the current version of the Regulation, companies that own assets shipping fossil fuels are considered as not aligned with EU Taxonomy. The outcome of such provision might be either an increase in the cost of capital and/or gradually reduced access to financing as a result of financial institutions' compliance with EU Taxonomy.

In addition, although the emissions of greenhouse gases from international shipping currently are not subject to the Kyoto Protocol to the United Nations Framework Convention on Climate Change, which required adopting countries to implement national programs to reduce emissions of certain gases, or the Paris Agreement (discussed further below), a new treaty may be adopted in the future that includes restrictions on shipping emissions. Compliance with changes in laws, regulations and obligations relating to climate change affects the propulsion options in subsequent vessel designs and could increase our costs related to acquiring new vessels, operating and maintaining our existing vessels and require us to install new emission controls, acquire allowances or pay taxes related to our greenhouse gas emissions or administer and manage a greenhouse gas emissions program. Revenue generation and strategic growth opportunities may also be adversely affected.

Adverse effects upon the oil and gas industry relating to climate change, including growing public concern about the environmental impact of climate change, may also adversely affect demand for our services. For example, increased regulation of greenhouse gases or other concerns relating to climate change may reduce the demand for oil and gas in the future or create greater incentives for use of alternative energy sources. In addition, the physical effects of climate change, including changes in weather patterns, extreme weather events, rising sea levels, scarcity of water resources, may negatively impact our operations. Any long-term material adverse effect on the oil and gas industry could have a significant financial and operational adverse impact on our business that we cannot predict with certainty at this time.

***Developments in safety and environmental requirements relating to the recycling of vessels may result in escalated and unexpected costs.***

The 2009 Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, or the Hong Kong Convention, aims to ensure ships, being recycled once they reach the end of their operational lives do not pose any unnecessary risks to the environment, human health and safety. Upon the Hong Kong Convention's entry into force in June 2025, each ship sent for recycling is required to carry an inventory of its hazardous materials. The hazardous materials, whose use or installation are prohibited in certain circumstances, are listed in an appendix to the Hong Kong Convention. Ships are required to have surveys to verify their inventory of hazardous materials initially, throughout their lives and prior to the ship being recycled.

On November 20, 2013, the European Parliament and the Council of the European Union adopted the EU Ship Recycling Regulation, or ESSR, which, among other things, retains the requirements of the Hong Kong Convention and requires that certain commercial seagoing vessels flying the flag of an EU member state may be recycled only in facilities included on the European list of permitted ship recycling facilities.

Apart from that, any vessel, including ours, is required to set up and maintain an Inventory of Hazardous Materials. Such a system includes information on the hazardous materials with a quantity above the threshold values specified in the relevant EU resolution and are identified in ship's structure and equipment. This inventory should be properly maintained and updated, especially after repairs, conversions or unscheduled maintenance on board the ship.

Under the ESSR, commercial EU-flagged vessels of 500 gross tonnage and above may be recycled only at shipyards included on the European List of Authorised Ship Recycling Facilities, or the European List. The European List presently includes eleven facilities in Turkey but no facilities in the major ship recycling countries in Asia. The combined capacity of the European List facilities may prove insufficient to absorb the total recycling volume of EU-flagged vessels. This circumstance, taken in tandem with the possible decrease in cash sales, may result in longer wait times for divestment of recyclable vessels as well as downward pressure on the purchase prices offered by European List shipyards. Furthermore, facilities located in the major ship recycling countries generally offer significantly higher vessel purchase prices, and as such, the requirement that we utilize only European List shipyards may negatively impact revenue from the residual values of our vessels.

In addition, the European Waste Shipment Regulation requires that non-EU flagged ships departing from EU ports be recycled only in Organization for Economic Cooperation and Development (OECD) member countries. These regulatory requirements may lead to cost escalation by shipyards, repair yards and recycling yards. This may then result in a decrease in

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the residual recycling value of a vessel, which could potentially not cover the cost to comply with the latest requirements, which may have an adverse effect on our future performance, results of operation, cash flows and financial position.

***Safety, environmental and other governmental and other requirements expose us to liability, and compliance with current and future regulations could require significant additional expenditures, which could have a material adverse effect on our business and financial results.***

Our operations are affected by extensive and changing international, national, state and local laws, regulations, treaties, conventions and standards in force in international waters, the jurisdictions in which our LNG vessels operate, and the country or countries in which such vessels are registered, including those governing the management and disposal of hazardous substances and wastes, the cleanup of oil spills and other contamination, air emissions, and water discharges and ballast and bilge water management. These regulations include, but are not limited to, the OPA, requirements of the U.S. Coast Guard, or the USCG, and the U.S. Environmental Protection Agency, or EPA, the U.S. Comprehensive Environmental Response, Compensation and Liability Act of 1980, or CERCLA, the U.S. Clean Water Act, the U.S. Maritime Transportation Security Act of 2002, and regulations of the International Maritime Organization, or IMO, including SOLAS, the International Convention for the Prevention of Pollution from Ships of 1973, or MARPOL, including the designation thereunder of Emission Control Areas, or ECAs, the International Convention on Civil Liability for Oil Pollution Damage of 1969, or CLC, and the International Convention on Load Lines of 1966. Compliance with these regulations could have a material adverse effect on our business and financial results.

In addition, vessel classification societies and the requirements set forth in the IMO's International Management Code for the Safe Operation of Ships and for Pollution Prevention, or the ISM Code, also impose significant safety and other requirements on our vessels. In complying with current and future environmental requirements, vessel owners and operators may also incur significant additional costs in meeting new maintenance and inspection requirements, in developing contingency arrangements for potential spills and in obtaining insurance coverage. Government regulation of vessels, particularly in the areas of safety and environmental requirements, can be expected to become stricter in the future and require us to incur significant capital expenditures on our vessels to keep them in compliance, or even to recycle or sell certain vessels altogether. Many of these requirements are designed to reduce the risk of oil spills and other pollution, and our compliance with these requirements can be costly.

Under local, national and foreign laws, as well as international treaties and conventions, we could incur material liabilities, including cleanup obligations, natural resource damages and third-party claims for personal injury or property damages, in the event that there is a release of petroleum or other hazardous substances from our vessels or otherwise in connection with our current or historic operations. We could also incur substantial penalties, fines and other civil or criminal sanctions, including in certain instances seizure or detention of our vessels, as a result of violations of or liabilities under environmental laws, regulations and other requirements. Environmental laws often impose strict liability for remediation of spills and releases of oil and hazardous substances, which could subject us to liability without regard to whether we were negligent or at fault. An oil spill could also result in significant liability, including fines, penalties, criminal liability and remediation costs for natural resource damages under other international and U.S. federal, state and local laws, as well as third-party damages, and could harm our reputation with current or potential charterers of our vessels. We are required to satisfy insurance and financial responsibility requirements for potential oil (including marine fuel) spills and other pollution incidents. Although we have arranged insurance to cover certain environmental risks, there can be no assurance that such insurance will be sufficient to cover all such risks or that any claims will not have a material adverse effect on our business, results of operations, cash flows and financial condition and available cash.

For additional information on U.S. regulations, please see "Item 4. Information on the Company—B. Business Overview—Environmental and Other Regulations in the Shipping Industry – United States Regulations – The U.S. Oil Pollution Act of 1990 and the Comprehensive Environmental Response, Compensation and Liability Act."

***Regulations relating to ballast water discharge may adversely affect our revenues and profitability.***

The IMO has imposed updated guidelines for ballast water management systems specifying the maximum number of viable organisms allowed to be discharged from a vessel's ballast water. The standards have been in force since 2019, and for most ships, compliance with the D-2 standard involved installing on-board systems to treat ballast water and eliminate unwanted organisms. Since September 8, 2024, all ships have been required to meet the D-2 standard. All our vessels comply with the updated guideline.

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Furthermore, U.S. regulations are currently changing. Although the 2013 Vessel General Permit, or VGP, program and U.S. National Invasive Species Act, or NISA, are currently in effect to regulate ballast discharge, exchange and installation, the Vessel Incidental Discharge Act, or VIDA, which was signed into law on December 4, 2018, requires that the, U.S. Environmental Protection Agency, or EPA develop national standards of performance for approximately 30 discharges, similar to those found in the VGP within two years. In October 2024, the EPA finalized its rule on Vessel Incidental Discharge Standards of Performance. USCG must develop corresponding implementation, compliance and enforcement regulations regarding ballast water within two years. The new regulations could require the installation of new equipment, which may cause us to incur substantial costs.

***Maritime claimants could arrest or attach one or more of our vessels, which could result in a significant loss of earnings.***

Crew members, suppliers of goods and services to a vessel, shippers of cargo and other parties may be entitled to a maritime lien against a vessel for unsatisfied debts, claims or damages. In many jurisdictions, a maritime lien holder may enforce its lien by "arresting" or "attaching" a vessel through judicial or foreclosure proceedings. The arrest or attachment of one or more of our vessels, or vessels we may acquire, could interrupt the cash flow of the charterer and/or our cash flow and require us to pay a significant amount of money to have the arrest lifted, which would have an adverse effect on our financial condition and results of operations.

In addition, in jurisdictions where the "sister ship" theory of liability applies, such as South Africa, a claimant may arrest the vessel that is subject to the claimant's maritime lien and any "associated" vessel, which is any vessel owned or controlled by the same owner. In countries with "sister ship" liability laws, claims may be asserted against us or any of our vessels for liabilities of other vessels that we own. Under some of our present charters, if the vessel is arrested or detained as a result of a claim against us, we may be in default of our charter and the charterer may terminate the charter, which will negatively impact our earnings and cash flows.

***Governments could requisition our vessels during a period of war or emergency resulting in a loss of earnings.***

A government of a vessel's registry could requisition for title or hire or seize one or more of our vessels. Requisition for title occurs when a government takes control of a vessel and becomes the owner. Requisition for hire occurs when a government takes control of a vessel and effectively becomes the charterer at dictated charter rates. Generally, requisitions occur during a period of war or emergency. Even if we would be entitled to compensation in the event of a requisition of one or more of our vessels, the amount and timing of the payment would be uncertain. Government requisition of one or more of our vessels could have a material adverse effect on our business, results of operations, cash flows, financial condition and ability to pay dividends.

***Increasing scrutiny and changing expectations from investors, lenders and other market participants with respect to our Environmental, Social and Governance, or ESG, policies may impose additional costs on us or expose us to additional risks.*** 

Companies across all industries are facing increasing scrutiny relating to their ESG policies. Investor advocacy groups, certain institutional investors, investment funds, lenders and other market participants are increasingly focused on ESG practices and in recent years have placed increasing importance on the implications and social cost of their investments. Companies which do not adapt to or comply with investor, lender or other industry shareholder expectations and standards, which are evolving, or which are perceived to have not responded appropriately to the growing concern for ESG issues, regardless of whether there is a legal requirement to do so, may suffer from reputational damage, costs related to litigation, and the business, financial condition, and/or stock price of such a company could be materially and adversely affected.

We face increasing pressures from investors, lenders and other market participants, who are increasingly focused on climate change, to prioritize sustainable energy practices, reduce our carbon footprint and promote sustainability. As a result, we may be required to implement more stringent ESG procedures or standards so that our existing and future investors and lenders remain invested in us and make further investments in us, especially given the highly focused and specific trade of LNG transportation in which we are engaged. Such ESG corporate transformation calls for an increased resource allocation to serve the necessary changes in that sector, increasing costs and capital expenditure. If we do not meet these standards, our business and/or our ability to access capital could be harmed or we may face potential litigation of investor claims.

Additionally, certain investors and lenders may exclude LNG shipping companies, such as us, from their investing portfolios altogether due to environmental, social and governance factors. These limitations in both the debt and equity capital markets may affect our ability to grow as our plans for growth may include accessing the equity and debt capital markets. If those markets are unavailable, or if we are unable to access alternative means of financing on acceptable terms, or at all, we may be unable to implement our business strategy, which would have a material adverse effect on our financial condition and

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results of operations and impair our ability to service our indebtedness. Further, it is likely that we will incur additional costs and require additional resources to monitor, report and comply with wide ranging ESG requirements. The occurrence of any of the foregoing could have a material adverse effect on our business and financial condition.

***Technological innovation and quality and efficiency requirements from our customers could reduce our charter hire income and the value of our vessels.***

&nbsp;&nbsp;&nbsp;&nbsp;Our customers have a high and increasing focus on quality and compliance standards with their suppliers across the entire supply chain, including the shipping and transportation segment. Our continued compliance with these standards and quality requirements is vital for our operations. The charter hire rates and the value and operational life of a vessel are determined by a number of factors including the vessel's efficiency, operational flexibility and physical life. Efficiency includes speed, fuel economy and the ability to load and discharge cargo quickly. Flexibility includes the ability to enter harbors, utilize related docking facilities and pass through canals and straits. The length of a vessel's physical life is related to its original design and construction, its maintenance and the impact of the stress of operations. Our Fleet had an average age of 6.1 years as of December 31, 2025, and if new LNG carriers are built that are more efficient or more flexible or have longer physical lives than the current eco vessels or vessels that we may acquire, competition from these more technologically advanced vessels could adversely affect the amount of charter hire payments we receive for our vessels and the resale value of our vessels could significantly decrease, which may have an adverse effect on our results of operations, cash flows, financial condition, and ability to pay dividends.

**Risks Related to Our Business**

***The market values of our vessels may decline, which could limit the amount of funds that we can borrow, cause us to breach certain financial covenants in our credit facilities, or result in an impairment charge, and cause us to incur a loss if we sell vessels following a decline in their market value.***

The fair market values of LNG vessels, including our vessels, have generally experienced high volatility and may decline in the future. The fair market value of our vessels may increase and decrease depending on but not limited to the following factors:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general economic and market conditions affecting the shipping industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the balance between the supply of and demand for ships of a certain type;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• competition from other shipping companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the availability of ships of the required size and design;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the availability and costs of other modes of transportations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the cost of newbuildings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• shipyard capacity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• governmental or other regulations, including those that may limit the useful life of vessels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in environmental, governmental or other regulations that may limit the useful lives of vessels, require costly updates or limit their efficiency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• distressed asset sales, including newbuilding contract sales below acquisition costs due to lack of financing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the types, sizes, sophistication and ages of vessels, including as compared to other vessels in the market;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the prevailing level of charter rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the need to upgrade secondhand and previously owned vessels as a result of environmental, safety, regulatory or charterer requirements; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• technological advances in vessel design, capacity, propulsion technology and fuel consumption efficiency.

During the period a vessel is subject to a charter, we might not be permitted to sell it to take advantage of increases in vessel values without the charterer's consent. If we sell a vessel at a time when ship prices have fallen, the sale may be at less than the vessel's carrying amount in our financial statements, with the result that we could incur a loss and a reduction in earnings. The carrying values of our owned and leased vessels are reviewed quarterly or whenever events or changes in circumstances indicate that the carrying amount of the vessel may no longer be recoverable. We assess recoverability of the carrying value by estimating the future net cash flows expected to result from the vessel, including eventual disposal for owned vessels. If the future net undiscounted cash flows and the estimated fair market value of the vessel are less than the carrying value, an impairment loss is recorded equal to the difference between the vessel's carrying value and fair value. Any impairment charges incurred as a result of declines in charter rates and other market deterioration could negatively affect our business, financial condition or operating results or the trading price of our ordinary shares.

In addition, if we determine at any time that a vessel's future useful life and earnings require us to impair its value in our financial statements, this would result in a charge against our earnings and a reduction of our shareholders' equity. Declines in charter rates or regulatory changes could also trigger impairment. If the fair market values of our vessels decline, we may not be in compliance with certain covenants contained in our secured credit facilities, which may result in an event of default. In such circumstances, we may not be able to refinance our debt or obtain additional financing acceptable to us or at all. Further, if we are not able to comply with the covenants in our secured credit facilities, and are unable to remedy the relevant breach, our lenders could accelerate our debt and foreclose on our Fleet (as defined below).

If the fair market values of our vessels decline, we may not be in compliance with various covenants in our sale and leasebacks, term loan facilities or credit facilities we enter into in the future, which requires and/or may require the maintenance of certain percentage of the fair market values of the vessels securing the facility to the principal outstanding amount to the respective facility. In addition, if the book value of a vessel is impaired due to unfavorable market conditions, or if a vessel is sold at a price below its book value, we would incur a loss that could adversely affect our operating results. Conversely, if vessel values are elevated at a time when we wish to acquire additional vessels, the cost of acquisition may increase and this could adversely affect our business, results of operations, cash flow and financial condition.

***We may require additional capital in the future, which may not be available on favorable terms, or at all.***

Depending on many factors, including market developments, our future earnings, value of our assets and expenditures for any new projects, we may need additional funds. We cannot guarantee that we will be able to obtain additional financing at all or on terms acceptable to us. If adequate funds are not available, we may have to reduce expenditures for investments in new and existing projects, which could hinder our growth, prevent us from realizing potential revenues from prior investments and have a negative impact on our cash flows and results of operations.

***We are highly leveraged, which could significantly limit our ability to execute our business strategy and has increase the risk of default under our debt obligations.***

As of December 31, 2025, we had $1,860.6 million of outstanding indebtedness under our credit facilities and debt securities, before the deduction of unamortized debt issuance costs. We cannot assure you that we will be able to generate cash flow in amounts that are sufficient to satisfy these obligations. If we are not able to satisfy these obligations, we may have to undertake alternative financing plans or sell our assets. In addition, debt service payments under our credit facilities may limit funds otherwise available for working capital, capital expenditures, payment of cash distributions and other purposes. If we are unable to meet our debt obligations, or if we otherwise default under our credit facilities, our lenders could declare the debt, together with accrued interest and fees, to be immediately due and payable and foreclose on our Fleet (as defined below), which could result in the acceleration of other indebtedness that we may have at such time and the commencement of similar foreclosure proceedings by other lenders.

Our credit facilities impose operating and financial restrictions on us that limit our ability or the ability of our subsidiaries party thereto, as applicable, to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• pay dividends, if any, and make capital expenditures, if there is an event of default under our credit facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incur additional indebtedness, including the issuance of guarantees, or refinance or prepay any new indebtedness, unless certain conditions exist;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• create liens on our assets, unless otherwise permitted under our credit facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• change the flag, class or management of our vessels or terminate or materially amend the management agreement relating to each vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• acquire new or sell our vessels, unless certain conditions exist;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• merge or consolidate with, or transfer all or substantially all our assets to, another person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enter into a new line of business.

In addition, our loan agreements, which are secured by liens on our vessels, contain various financial covenants. Among those covenants are requirements that relate to our financial position, operating performance and liquidity. For example, there are financial covenants that require us to maintain (i) an equity ratio fixing a minimum value of book equity, (ii) minimum levels of free cash, (iii) positive working capital, and (iv) collateral maintenance test, ensuring that the aggregate value of the vessels making up the facility in question exceeds the aggregate value of the debt commitment outstanding.

Our ability to comply with the covenants and restrictions contained in our current or future credit facilities may be affected by events beyond our control, including prevailing economic, financial and industry conditions, interest rate developments, changes in the funding costs of our banks and changes in vessel earnings and asset valuations. If market or other economic conditions deteriorate, our ability to comply with these covenants may be impaired. For example, the market value of LNG vessels is likewise sensitive to, among other things, changes in the LNG market, with vessel values deteriorating in times when charter rates for LNG vessels are falling or anticipated to fall and improving when charter rates are rising or anticipated to rise. Such conditions may result in us not being in compliance with our loan covenants. In such a situation, unless our lenders are willing to provide further waivers of covenant compliance or modifications to our covenants, or would be willing to refinance our indebtedness, we may have to sell vessels in our fleet and/or seek to raise additional capital in the equity markets in order to comply with our loan covenants. Furthermore, if the value of our vessels deteriorates significantly, we may have to record an impairment adjustment in our financial statements, which would adversely affect our financial results and further hinder our ability to raise capital. The fair market values of our vessels may decline, which could limit the amount of funds that we can borrow, cause us to breach certain financial covenants in our credit facilities, or result in an impairment charge, and cause us to incur a loss if we sell vessels following a decline in their market value.

If we are not in compliance with our covenants and are not able to obtain covenant waivers or modifications, our lenders could require us to post additional collateral, enhance our equity and liquidity, increase our interest payments, pay down our indebtedness to a level where we are in compliance with our loan covenants, sell vessels in our fleet, or they could accelerate our indebtedness, any of which would impair our ability to continue to conduct our business. If our indebtedness is accelerated, we might not be able to refinance our debt or obtain additional financing and could lose our vessels if our lenders foreclose on their liens. In addition, if we find it necessary to sell our vessels at a time when vessel prices are low, we will recognize losses and a reduction in our earnings, which could affect our ability to raise additional capital necessary for us to comply with our loan agreements.

Furthermore, certain of our credit facilities contain a cross-default provision that may be triggered by a default under one of our other credit facilities. A cross-default provision means that a default on one loan would result in a default on certain of our other loans. Because of the presence of cross-default provisions in certain of our credit facilities, the refusal of any one lender under our credit facilities to grant or extend a waiver could result in certain of our indebtedness being accelerated, even if our other lenders under our credit facilities have waived covenant defaults under the respective agreements. If our secured indebtedness is accelerated in full or in part, it would be very difficult in the current financing environment for us to refinance our debt or obtain additional financing and we could lose our vessels and other assets securing our credit facilities if our lenders foreclose their liens, which would adversely affect our ability to conduct our business.

***Our operating fleet consists of thirteen LNG vessels from which we derive all of our revenue and cash flow. Any limitation in the availability or operation of these vessels could have a material adverse effect on our business, results of operations and financial condition.***

Our operating fleet consists of thirteen LNG carriers. Although most of our time charter agreements have fixed terms, they may be terminated early due to certain events, such as a charterer's failure to make charter payments to us because of financial inability, disagreements with us or otherwise. The ability of each of our counterparties to perform its obligations under a charter with us will depend on a number of factors that are beyond our control and may include, among other things, general

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economic conditions, the condition of the LNG shipping industry, prevailing prices for natural gas and the overall financial condition of the counterparty. Should a counterparty fail to honor its obligations under an agreement with us, we may be unable to realize revenue under that charter and could sustain losses, which could have a material adverse effect on our business, financial condition, results of operations and ability to pay dividends to our shareholders, if any.

If any of our vessels are unable to generate revenues as a result of offhire time, early termination of the applicable time charter or otherwise, our business, and results of operations financial condition could be materially adversely affected.

***We currently derive all our revenue and cash flow from a limited number of customers and the loss of any of these customers could cause us to suffer losses or otherwise adversely affect our business.***

We have derived, and believe we will continue to derive, all of our revenues from a limited number of customers. For the year ended December 31, 2025, during which we derived our operating revenues from five customers, with our top four customers accounting for 39.8%, 20.7%, 25.4% and 12.6% of our consolidated revenues, equivalent to 98.5% of our consolidated revenues. The remaining revenue was derived from one additional customer. If these customers cease doing business or do not fulfill their obligations under the charters of our vessels, due to the increasing financial pressure on these customers or otherwise, our results of operations and cash flows could be adversely affected. Further, if we encounter any difficulties in our relationships with these charterers, our results of operations, cash flows, and financial condition could be adversely affected.

We employ our Fleet (defined below) in both the term and spot markets (which includes vessel employment under single voyage spot charters and time charters with an initial term of less than six months). All of the charters for our Fleet have fixed terms but may be terminated early due to certain events, including but not limited to the customer's failure to make charter payments to us because of financial inability, disagreements with us or otherwise. The ability of each of our counterparties to perform its respective obligations under a charter with us will depend on a number of factors that are beyond our control and may include, among other things, general economic conditions, the charter rates received for specific types of vessels, the condition of the LNG shipping industry, prevailing prices for natural gas, the overall financial condition of the counterparty and work stoppages or other labor disturbances. The combination of a reduction of cash flow resulting from declines in world trade, a reduction in borrowing bases under reserve-based credit facilities and the lack of availability of debt or equity financing may result in a significant reduction in the ability of charters to make charter payments to us. Should a counterparty fail to honor its obligations under an agreement with us, we may be unable to realize revenue under that charter and may sustain losses, which may have a material adverse effect on our business, financial condition, cash flows, results of operations and ability to pay distributions to our shareholders (if any).

In addition, in general a customer may exercise its right to terminate its charter if, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the vessel suffers a total loss or is damaged beyond repair;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we default on our obligations under the charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• there are serious deficiencies in the vessels or prolonged periods of vessel offhire;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• war or hostilities significantly disrupt the free trade of the vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the vessel is requisitioned by any governmental authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we fail to comply with the safety and regulatory criteria of the charterer or the rules and regulations of various maritime organizations and bodies; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a prolonged force majeure event occurs, such as war or political unrest, which prevents the chartering of the vessel.

In addition, the charter payments we receive may be reduced if the vessel does not perform according to certain contractual specifications. For example, charter hire may be reduced if the average vessel speed falls below the speed we have guaranteed or if the amount of fuel consumed to power the vessel exceeds the guaranteed amount.

Furthermore, in depressed market conditions, our customers may no longer need a vessel that is then under charter or may be able to obtain a comparable vessel at lower rates. As a result, customers may seek to renegotiate the terms of their existing charter agreements or avoid their obligations under those contracts. If our customers fail to meet their obligations to us

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or attempt to renegotiate our charter agreements, it may be difficult to secure substitute employment for such vessel, and any new charter arrangements we secure may be at lower rates. As a result, we could sustain significant losses, which could have material adverse effects on our business, financial condition, results of operations and cash flows.

Many charterers are highly leveraged. A combination of factors including, among other things, unavailability of credit, volatility in financial markets, overcapacity, competitive pressure, declines in world trade and depressed freight rates, may severely affect the financial condition of charterers, and their ability to make charter payments, which could result in a material increase in the credit and counterparty risks to which we are exposed to and our ability to re-charter our vessels at competitive rates.

If any of our charters are terminated, we may be unable to re-deploy the related vessel on terms as favorable to us as our current charters, or at all. If we are unable to re-deploy a vessel for which the charter has been terminated, we will not receive any revenues from that vessel, and we may be required to pay ongoing expenses necessary to maintain the vessel in proper operating condition. Any of these factors may decrease our revenue and cash flows. Further, the loss of any of our customers, charters or vessels, or a decline in charter hire under any of our charters, could have a material adverse effect on our business, results of operations, financial condition and ability to pay distributions to our shareholders (if any).

***We may be unable to successfully compete with other vessel operators for charters, which could adversely affect our results of operations and financial position.***

The operation of LNG vessels and transportation of LNG cargoes is extremely competitive. Competition for the transportation of LNG cargoes by sea is intense and depends on price, location, size, age, condition and the acceptability of the vessel and its operators to the charterers. Through our operating subsidiaries, we compete with other vessel owners, and, to a lesser extent, owners of other size vessels. The LNG market is highly fragmented. Due in part to the highly fragmented market, competitors with greater resources could enter the LNG shipping industry and operate larger fleets through consolidations or acquisitions and may be able to offer lower charter rates and higher vessel quality than we are able to offer. As a result, we cannot assure you that we will be successful in finding continued timely employment of our existing vessels, which could adversely affect our results of operations and financial position.

***Our results of operations are subject to seasonal fluctuations and changes in spot market charter rates, which could provide incentive for some charterers to default on their charters and for counterparties to fail to meet their obligations and also limit our ability to benefit from any improvement in charter rates.***

We operate our LNG vessels in markets that have historically exhibited seasonal variations in demand and, as a result, in charter hire rates. The LNG sector is typically stronger in the fall and winter months in anticipation of increased consumption of LNG in the northern hemisphere, and, as a result, our revenues are typically stronger in fiscal quarters ended September 30 and December 31. In addition, unpredictable weather patterns in these months tend to disrupt vessel scheduling and supplies of certain commodities. This seasonality may result in quarter-to-quarter volatility in our revenues and operating results, which could affect our ability to pay dividends, if any, in the future. However, there may be periods in the northern hemisphere when the expected seasonal strength does not materialize to the extent required to support profitable rates due to tanker overcapacity.

Additionally, we have entered into various contracts, including charter parties with our customers, which subject us to counterparty risks. When we enter into a time charter, charter rates under that charter may be fixed for the term of the charter. If the spot charter rates or short-term time charter rates in the LNG shipping industry become significantly lower than the time charter equivalent rates that some of our charterers are obligated to pay us under our existing charters, the charterers may have incentive to default under that charter or attempt to renegotiate the charter. If our charterers fail to pay their obligations, we would have to attempt to re-charter our vessels at lower charter rates, which would affect our ability to comply with our loan covenants and operate our vessels profitably.

Conversely, although our fixed rate time charters generally provide more reliable revenues, they also limit the portion of our Fleet available for spot market voyages during an upswing in the LNG industry cycle, when spot market voyages might be more profitable. By the same token, we cannot assure you that we will be able to profitably employ our vessels in the future or renew our existing charters at rates sufficient to allow us to operate our business profitably or meet our obligations. A decline or increase in charter or spot rates, the failure of a counterparty to honor its obligations or a failure to successfully charter our vessels could have a material adverse effect on our business, financial condition, results of operations and ability to pay dividends.

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***We are subject to certain risks with respect to our counterparties on contracts, and failure of such counterparties to meet their obligations could cause us to suffer losses or otherwise adversely affect our business.***

We have entered, and may enter in the future, into various contracts, that are material to the operation of our business, including charter parties with our customers, financing agreements with our lenders, vessel management contracts and other agreements with other entities, which subject us to counterparty risks. The ability and willingness of each of the counterparties to perform its obligations under a contract with us or contracts entered into on our behalf will depend on a number of factors that are beyond our control and may include, among other things, general economic conditions, the condition of the shipping sector, the overall financial condition of the counterparty, charter rates received for our vessels and the supply and demand for commodities. Should a counterparty fail to honor its obligations under any such contract, or attempt to renegotiate our agreements, it may be difficult to secure substitute employment for such vessel and any new charter arrangement we secure may be at lower rates, which could have a material adverse effect on our business, financial condition, results of operations, cash flows, ability to pay dividends to holders of our ordinary shares in the amounts anticipated or at all and compliance with covenants in our secured loan agreements.

***Volatility of interest rates under our financing agreements could affect our profitability, earnings and cash flow.***

As certain of our current financing agreements have, and our future financing arrangements may have, floating interest rates, typically based on the SOFR, movements in interest rates could negatively affect our financial performance.

In order to manage our exposure to interest rate fluctuations under SOFR or any other variable interest rate, we have and may from time-to-time use interest rate derivatives to effectively fix some of our floating rate debt obligations. No assurance can however be given that the use of these derivative instruments, if any, may effectively protect us from adverse interest rate movements. The use of interest rate derivatives may affect our results through mark to market valuation of these derivatives. Also, adverse movements in interest rate derivatives may require us to post cash as collateral, which may impact our free cash position.

Volatility in applicable interest rates among our financing agreements presents a number of risks to our business, including potential increased borrowing costs for future financing agreements or unavailability of or difficulty in attaining financing, which could in turn have an adverse effect on our profitability, earnings and cash flow.

***Variable rate indebtedness could subject us to interest rate risk, which could cause our debt service obligations to increase significantly.***

Our credit facilities use variable interest rates and expose us to interest rate risk. If interest rates increase and we are unable to effectively hedge our interest rate risk, our debt service obligations on the variable rate indebtedness would increase even if the amount borrowed remained the same, and our profitability and cash available for servicing our indebtedness would decrease.

***Geveran Trading Co. Ltd, or Geveran, may be able to exercise significant influence over us and may have conflicts of interest with our other shareholders.***

C.K. Limited is the trustee of two trusts, or the Trusts, that indirectly hold all of the shares of Geveran, a Cyprus-based company and our largest shareholder. Accordingly, C.K. Limited, as trustee, may be deemed to beneficially own the 23,118,636 of our ordinary shares of the Company, representing 42.7% of our outstanding shares that are owned by Geveran. Mr. Fredriksen established the Trusts for the benefit of his immediate family. He is neither a beneficiary nor a trustee of either Trust. Therefore, Mr. Fredriksen has no economic interest in such ordinary shares and disclaims any control over and all beneficial ownership of such ordinary shares, save for any indirect influence he may have with C.K. Limited, as the trustee of the Trusts, in his capacity as the settlor of the Trusts.

Please see "Item 7. Major Shareholders and Related Party Transactions - A. Major Shareholders."

For so long as Geveran owns a significant percentage of our issued and outstanding shares, it may be able to exercise significant influence over us and will be able to strongly influence the outcome of shareholder votes on other matters, including the adoption or amendment of provisions in our Memorandum of Continuance or Bye-laws and approval of possible mergers, amalgamations, control transactions and other significant corporate transactions. This concentration of ownership may have the effect of delaying, deferring or preventing a change in control, merger, amalgamations, consolidation, takeover or other business combination. This concentration of ownership could also discourage a potential acquirer from making a tender offer or otherwise attempting to obtain control of us, which could in turn have an adverse effect on the market price of our ordinary

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shares. Geveran may not necessarily act in accordance with the best interests of other shareholders. The interests of Geveran may not coincide with the interests of other holders of our ordinary shares. To the extent that conflicts of interest may arise, Geveran may vote in a manner adverse to us or to you or other holders of our securities.

***Certain of our directors, executive officers and major shareholders may have interests that are different from the interests of our other shareholders.***

Certain of our directors, executive officers and major shareholders may have interests that are different from, or are in addition to, the interests of our other shareholders.

For example, Mr. Lorentzon also serves on the board of directors of Frontline plc, an entity in which Geveran or entities related to Geveran is a major shareholder. There may be real or apparent conflicts of interest with respect to matters affecting Geveran or entities related to Geveran that in certain circumstances may be adverse to our interests.

Geveran, our largest shareholder, owns approximately 42.7% of our issued and outstanding ordinary shares. To the extent that we do business with or compete with Geveran or entities related to Geveran for business opportunities, prospects or financial resources, or participate in ventures in which Geveran or entities related to Geveran may participate, these directors and officers may face actual or apparent conflicts of interest in connection with decisions that could have different implications for us. These decisions may relate to corporate opportunities, corporate strategies, potential acquisitions of businesses, newbuilding acquisitions, inter-company agreements, the issuance or disposition of securities, the election of new or additional directors and other matters. Such potential conflicts may delay or limit the opportunities available to us, and it is possible that conflicts may be resolved in a manner adverse to us or result in agreements that are less favorable to us than terms that would be obtained in arm's-length negotiations with unaffiliated third parties.

***We may not be able to implement our strategy successfully.***

Subject to the covenants in our financing agreements and other contractual restrictions, our long-term intention is to renew and grow our fleet through selective acquisitions and newbuilding of LNG tonnage. Our business plan will therefore depend upon our ability to identify and acquire suitable vessels to grow our fleet in the future and successfully employ our vessels.

Growing any business by acquisition presents numerous risks, including undisclosed liabilities and obligations, difficulty obtaining additional qualified personnel and managing relationships with customers and suppliers. In addition, competition from other companies, many of which may have significantly greater financial resources than us, may reduce our acquisition opportunities or cause us to pay higher prices. We cannot assure you that we will be successful in executing our plans to establish and grow our business or that we will not incur significant expenses and losses in connection with these plans. Our failure to effectively identify, purchase, develop and integrate any vessels could impede our ability to establish our operations or implement our growth successfully. Our acquisition growth strategy exposes us to risks that may harm our business, financial condition and operating results, including risks that we may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fail to realize anticipated benefits, such as cost savings or cash flow enhancements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incur or assume unanticipated liabilities, losses or costs associated with any vessels or businesses acquired, particularly if any vessel we acquire proves not to be in good condition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• be unable to hire, train or retain qualified shore and seafaring personnel to manage and operate our growing business and fleet;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• decrease our liquidity by using a significant portion of available cash or borrowing capacity to finance acquisitions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• significantly increase our interest expense or financial leverage if we incur debt to finance acquisitions; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• incur other significant charges, such as impairment of goodwill or other intangible assets, asset devaluation or restructuring charges.

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***Operational risks and damage to our vessels could adversely impact our performance.***

The operation of an ocean-going vessel carries inherent risks. Our vessels and their cargoes are at risk of being damaged or lost because of events such as marine disasters, bad weather and other acts of God, business interruptions caused by mechanical failures, grounding, fire, explosions and collisions, human error, war, terrorism, piracy, labor strikes, boycotts, tariffs, port fees and other circumstances or events. Changing economic, regulatory and political conditions in some countries, including political and military conflicts, have from time to time resulted in attacks on vessels, mining of waterways, piracy, terrorism, labor strikes and boycotts. Damage to the environment could also result from our operations, particularly through spillage of fuel, lubricants and other chemicals and substances used in operations, or extensive uncontrolled fires. These hazards may result in death or injury to persons, loss of revenues or property, the payment of ransoms, environmental damage, higher insurance rates, damage to our customer relationships and market disruptions, delay or rerouting any of which may subject us to litigation, As a result, we could be exposed to substantial liabilities not recoverable under our insurances. Further, the involvement of our vessels in serious accidents could harm our reputation as a safe and reliable vessel operator and lead to a loss of business. Epidemics and other public health incidents may also lead to crew member illness, which can disrupt the operations of our vessels, or to public health measures, which may prevent our vessels from calling on ports or discharging cargo in the affected areas or in other locations after having visited the affected areas.

If our vessels suffer damage, they may need to be repaired at a drydocking facility. The costs of drydock repairs are unpredictable and may be substantial. We may have to pay drydocking costs that our insurance does not cover at all or in full. The loss of revenues while these vessels are being repaired and repositioned, as well as the actual cost of these repairs, may adversely affect our business and financial condition. In addition, space at drydocking facilities is sometimes limited and not all drydocking facilities are conveniently located. We may be unable to find space at a suitable drydocking facility or our vessels may be forced to travel to a drydocking facility that is not conveniently located relative to our vessels' positions. The loss of earnings while these vessels are forced to wait for space or to travel to more distant drydocking facilities may adversely affect our business and financial condition.

***We rely on our information systems to conduct our business, and failure to protect these systems against security breaches could adversely affect our business and results of operations, including on our vessels. Additionally, if these systems fail or become unavailable for any significant period of time, our business could be harmed.***

The safety and security of our vessels and efficient operation of our business, including processing, transmitting and storing electronic and financial information, depend on computer hardware and software systems, which are increasingly vulnerable to security breaches and other disruptions. Any significant interruption or failure of our information systems or any significant breach of security could adversely affect our business and results of operations.

Our vessels rely on information systems for a significant part of their operations, including navigation, provision of services, propulsion, machinery management, power control, communications and cargo management. We have in place safety and security measures on our vessels and onshore operations to secure our vessels against cyber-security attacks and any disruption to their information systems. However, these measures and technology may not adequately prevent security breaches despite our continuous efforts to upgrade and address the latest known threats, which are constantly evolving and have become increasingly sophisticated. If these threats are not recognized or detected until they have been launched, we may be unable to anticipate these threats and may not become aware in a timely manner of such a security breach, which could exacerbate any damage we experience. A disruption to the information system of any of our vessels could lead to, among other things, incorrect routing, collision, grounding, propulsion failure, random demands and business interruption and regulatory consequences.

Beyond our vessels, we rely on industry accepted security measures and technology to securely maintain confidential and proprietary information maintained on our information systems. However, these measures and technology may not adequately prevent security breaches. The technology and other controls and processes designed to secure our confidential and proprietary information, detect and remedy any unauthorized access to that information were designed to obtain reasonable, but not absolute, assurance that such information is secure and that any unauthorized access is identified and addressed appropriately. Such controls may in the future fail to prevent or detect, unauthorized access to our confidential and proprietary information. In addition, the foregoing events could result in violations of applicable privacy and other laws. If confidential information is inappropriately accessed and used by a third party or an employee for illegal purposes, we may be responsible to the affected individuals for any losses they may have incurred as a result of misappropriation. In such an instance, we may also be subject to regulatory action, investigation or liable to a governmental authority for fines or penalties associated with a lapse in the integrity and security of our information systems.

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We may be required to expend significant capital and other resources to protect against and remedy any potential or existing security breaches and their consequences. A cyber-attack could also lead to litigation, fines, other remedial action, heightened regulatory scrutiny and diminished customer confidence. In addition, our remediation efforts may not be successful and we may not have adequate insurance to cover these losses.

The unavailability of the information systems or the failure of these systems to perform as anticipated for any reason could disrupt our business and could have a material adverse effect on our business, results of operations, cash flows and financial condition.

Additionally, cybersecurity researchers have observed increased cyberattack activity, and have warned of heightened risks of cyberattacks due to geopolitical conflicts. To the extent such attacks have collateral effects on global critical infrastructure or financial institutions, such developments could adversely affect our business, operating results, cash flows and financial condition. At this time, it is difficult to assess the likelihood of such threat and any potential impact at this time.

Furthermore, cybersecurity continues to be a key priority for regulators around the world, and some jurisdictions have enacted laws requiring companies to notify individuals or the general investing public of data security breaches involving certain types of personal data, including the U.S. Securities and Exchange Commission, or the SEC, which requires the prompt public disclosure of certain cybersecurity breaches. If we fail to comply with the relevant laws and regulations, we could suffer financial losses, a disruption of our businesses, liability to investors, regulatory intervention or reputational damage. As of the date of this Annual Report, we have not experienced any material cybersecurity incident which would be disclosable under SEC guidelines.

Finally, there continues to be significant evolution and developments in the use of artificial intelligence technologies, including generative artificial intelligence. While we have not integrated the use of artificial intelligence in our business currently, we could integrate it in the future and, at this time, cannot fully determine the impact of such evolving technology to our industry or business.

***Increased inspection procedures, tighter import and export controls and new security regulations could increase costs and cause disruption of our business.***

International shipping is subject to security and customs inspection and related procedures in countries of origin, destination and trans-shipment points. Under the U.S. Maritime Transportation Security Act of 2002, or the MTSA, the USCG issued regulations requiring the implementation of certain security requirements aboard vessels operating in waters subject to the jurisdiction of the United States and at certain ports and facilities. These security procedures can result in delays in the loading, offloading or trans-shipment and the levying of customs duties, fines or other penalties against exporters or importers and, in some cases, carriers. Future changes to the existing security procedures may be implemented that could affect the LNG sector. These changes have the potential to impose additional financial and legal obligations on carriers and, in certain cases, to render the shipment of certain types of goods uneconomical or impractical. These additional costs could reduce the volume of goods shipped, resulting in a decreased demand for vessels and have a negative effect on our business, revenues and customer relations.

***Failure to comply with the U.S. Foreign Corrupt Practices Act of 1977, or the U.S. Foreign Corrupt Practices Act, and other anti-corruption laws could result in fines, criminal penalties and an adverse effect on our business.***

We may operate in a number of countries throughout the world, including countries known to have a reputation for corruption. We are committed to doing business in accordance with applicable anti-corruption laws and have adopted a code of business conduct and ethics which is consistent and in full compliance with the U.S. Foreign Corrupt Practices Act and other anti-bribery legislation. We are subject, however, to the risk that we, our affiliated entities or our or their respective officers, directors, employees and agents may take actions determined to be in violation of such anti-corruption laws, including the U.S. Foreign Corrupt Practices Act. Any such violation could result in substantial fines, sanctions, civil and/or criminal penalties, curtailment of operations in certain jurisdictions, and might adversely affect our business, results of operations or financial condition. In addition, actual or alleged violations could damage our reputation and ability to do business. Furthermore, detecting, investigating, and resolving actual or alleged violations is expensive and can consume significant time and attention of our senior management. Though we have implemented monitoring procedures and required policies, guidelines, contractual terms and audits, these measures may not prevent or detect failures by our agents or intermediaries regarding compliance.

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***We may be subject to litigation that, if not resolved in our favor and not sufficiently insured against, could have a material adverse effect on us.***

We may be, from time to time, involved in various litigation matters. These matters may include, among other things, contract disputes, shareholder litigation, personal injury claims, environmental claims or proceedings, asbestos and other toxic tort claims, employment matters, governmental claims for taxes or duties, and other litigation that arises in the ordinary course of our business. Although we intend to defend these matters vigorously, we cannot predict with certainty the outcome or effect of any claim or other litigation matter, and the ultimate outcome of any litigation or the potential costs to resolve them may have a material adverse effect on us. Insurance may not be applicable or sufficient in all cases and/or insurers may not remain solvent which may have a material adverse effect on our financial condition.

***If we do not set aside funds and are unable to borrow or raise funds for vessel replacement at the end of a vessel's useful life, our revenue will decline, which would adversely affect our business, results of operations, financial condition and ability to pay dividends.***

Our cash flows and income are dependent on the revenues earned by the chartering of our vessels. If we do not set aside funds and are unable to borrow or raise funds for vessel replacement, we will be unable to replace the vessels in our fleet upon the expiration of their remaining useful lives, which would cause our business, results of operations, financial condition and ability to pay dividends to be adversely affected. Any funds set aside for vessel replacement will not be available for cash distributions and dividends.

***We may not have adequate insurance to compensate us if our vessels are damaged or lost.***

In the event of a casualty to a vessel or other catastrophic event, we rely on our insurance to pay the insured value of the vessel or the damages incurred. We procure insurance for our fleet against those risks that we believe companies in the shipping industry commonly insure. These insurances include hull and machinery insurance, protection and indemnity insurance, including environmental damage and pollution insurance coverage, and war risk insurance. Generally, our insurance costs are increasing, and out policies contain narrower coverage exclusions. We can give no assurance that we will be adequately insured against all risks and we cannot guarantee that any particular claim will be paid, even if we have previously recorded a receivable or revenue in respect of such claim. Our insurance policies may contain deductibles for which we will be responsible and limitations and exclusions, which may increase our costs or lower our revenues.

We cannot assure you that we will be able to obtain adequate insurance coverage for our vessels in the future or renew our existing policies on the same or commercially reasonable terms, or at all. For example, more stringent environmental regulations have in the past led to increased costs for, and in the future may result in the lack of availability of, protection and indemnity insurance against risks of environmental damage or pollution. Any uninsured or under insured loss could harm our business, results of operations, cash flows, financial condition and ability to pay dividends. In addition, our insurance may be voidable by the insurers as a result of certain of our actions, such as our vessels failing to maintain certification with applicable maritime self-regulatory organizations. Further, we cannot assure you that our insurance policies will cover all losses that we incur, or that disputes over insurance claims will not arise with our insurance carriers. Any claims covered by insurance would be subject to deductibles, and since it is possible that a large number of claims may be brought, the aggregate amount of these deductibles could be material. In addition, our insurance policies may be subject to limitations and exclusions, which may increase our costs or lower our revenues, thereby possibly having a material adverse effect on our business, results of operations, cash flows, financial condition and ability to pay dividends.

***We may be subject to calls because we obtain some of our insurance through protection and indemnity associations.***

We may be subject to increased premium payments, or calls, if the value of our claim records, the claim records of our fleet managers, and/or the claim records of other members of the protection and indemnity associations through which we receive insurance coverage for tort liability (including pollution-related liability) significantly exceed projected claims. In addition, our protection and indemnity associations may not have enough resources to cover claims made against them. Our payment of these calls could result in significant expense to us, which could have a material adverse effect on our business, results of operations, cash flows, financial condition and ability to pay dividends.

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**Risks Related to Investments in Our Securities and Taxation**

***The price of our ordinary shares may be volatile.***

The price of our ordinary shares may be volatile and may fluctuate due to factors including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our payment of dividends to our shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• actual or anticipated fluctuations in quarterly and annual results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fluctuations in the seaborne transportation industry, including fluctuations in the LNG carrier market;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• mergers and strategic alliances in the shipping industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in governmental regulations or maritime self-regulatory organization standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• shortfalls in our operating results from levels forecasted by securities analysts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• announcements concerning us or our competitors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the failure of securities analysts to publish research about us, or analysts making changes in their financial estimates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general economic conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• terrorist acts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future sales of our shares or other securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• investors' perception of us and the LNG shipping industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the general state of the securities market; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other developments affecting us, our industry or our competitors.

In recent years securities markets worldwide experienced significant price and volume fluctuations. The market price for our ordinary shares has experienced volatility during this time and there is no guarantee that it will not experience similar volatility in the future. The trading price of our ordinary shares as of December 31, 2025 was $24.95 per share and as of February 26, 2026, was $27.46 per share. This market and share price volatility, as well as general economic, market or political conditions, has and could further reduce the market price of our ordinary shares in spite of our operating performance and could also increase our cost of capital, which could prevent us from accessing debt and equity capital on terms acceptable to us or at all.

***We may be unable to pay dividends in the future.***

We will evaluate the potential level and timing of any future dividends as soon as profits and cash flows allow. However, the timing and amount of any dividend payments will always be subject to the discretion of our board of directors, or Board of Directors, and will depend on, among other things, earnings, capital expenditure commitments, market prospects, current capital expenditure programs, investment opportunities, the provisions of Bermuda law affecting the payment of distributions to shareholders, and the terms and restrictions of our existing and future credit facilities. The LNG shipping industry is volatile, and we cannot predict with certainty the amount of cash, if any, that will be available for distribution as dividends in any period. Also, there may be a high degree of variability from period to period in the amount of cash that is available for the payment of dividends.

We may incur expenses or liabilities or be subject to other circumstances in the future that reduce or eliminate the amount of cash that we have available for distribution as dividends, including as a result of the risks described herein. Our growth strategy contemplates that we will primarily finance our acquisitions of additional vessels through debt financings or the net proceeds of future equity issuances on terms acceptable to us. If financing is not available to us on acceptable terms, our

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Board of Directors may determine to finance or refinance acquisitions with cash from operations, which would reduce the amount of any cash available for the payment of dividends.

***We are a holding company, and depend on the ability of our subsidiaries to distribute funds to us in order to satisfy our financial obligations.***

We are a holding company and our subsidiaries conduct all of our operations and own all of our operating assets. We have no significant assets other than the equity interests in our subsidiaries. Our ability to satisfy our financial obligations in the future depends on our subsidiaries and their ability to distribute funds to us. If we are unable to obtain funds from our subsidiaries, we may not be able to satisfy our financial obligations.

***Because we are a Bermuda exempted company, our shareholders may have less recourse against us or our directors than shareholders of a U.S. company have against the directors of that U.S. company.***

Because we are a Bermuda company, the rights of holders of our ordinary shares will be governed by Bermuda law and our Memorandum of Continuance and Bye-laws. The rights of shareholders under Bermuda law may differ from the rights of shareholders in other jurisdictions, including with respect to, among other things, rights related to interested directors, amalgamations, mergers and acquisitions, takeovers, the exculpation and indemnification of directors and shareholder lawsuits.

Among these differences is a Bermuda law provision that permits a company to exempt a director from liability for any negligence, default, or breach of a fiduciary duty except for liability resulting directly from that director's fraud or dishonesty. Our Bye-laws provide that no director or officer shall be liable to us or our shareholders unless the director's or officer's liability results from that person's fraud or dishonesty. Our Bye-laws also require us to indemnify a director or officer against any losses incurred by that director or officer resulting from their negligence or breach of duty, except where such losses are the result of fraud or dishonesty. Accordingly, we carry directors' and officers' insurance to protect against such a risk.

In addition, under Bermuda law, the directors of a Bermuda company owe their duties to that company and not to the shareholders. Bermuda law does not, generally, permit shareholders of a Bermuda company to bring an action for a wrongdoing against the company or its directors, but rather the company itself is generally the proper plaintiff in an action against the directors for a breach of their fiduciary duties. Moreover, class actions and derivative actions are generally not available to shareholders under Bermuda law. These provisions of Bermuda law and our Bye-laws, as well as other provisions not discussed here, may differ from the law of jurisdictions with which shareholders may be more familiar and may substantially limit or prohibit a shareholder's ability to bring suit against our directors or in the name of the company. Bermuda courts, however, would ordinarily be expected to permit a shareholder to commence an action in the name of a company to remedy a wrong to the company where the act complained of is alleged to be beyond the corporate power of the company or illegal, or would result in the violation of the company's memorandum of association or Bye-laws. Furthermore, consideration would be given by a Bermuda court to acts that are alleged to constitute a fraud against minority shareholders or, for instance, where an act requires the approval of a greater percentage of the company's shareholders than that which actually approved it. However, generally a derivative action will not be permitted where there is an alternative action available that would provide an adequate remedy. Any property or damages recovered by derivative action go to the company, not to the plaintiff shareholders. When the affairs of a company are being conducted in a manner which is oppressive or prejudicial to the interests of some part of the shareholders, one or more shareholders may apply to the Supreme Court of Bermuda, which may make such order as it sees fit, including an order regulating the conduct of the company's affairs in the future or ordering the purchase of the shares of any shareholders by other shareholders or by the company or that the company be wound up.

It is also worth noting that under Bermuda law, our directors and officers are required to disclose to our Board of Directors any interests they have in any material contract entered into by our company or any of its subsidiaries. Our directors and officers are also required to disclose their material interests in any corporation or other entity which is party to a material contract with our company or any of its subsidiaries. A director who has disclosed his or her interests in accordance with Bermuda law may participate in any meeting of our Board of Directors, and may vote on the approval of a material contract, notwithstanding that he or she has an interest.

***Future issuance of shares or other securities may dilute the holdings of shareholders and could materially affect the price of our ordinary shares.***

It is possible that we may in the future decide to offer additional shares or other securities in order to secure financing for new projects, in connection with unanticipated liabilities or expenses or for any other purposes. Any such additional offering

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could reduce the proportionate ownership and voting interests of holders of our ordinary shares, as well as our earnings per share and our net asset value per share, and any offering by us could have a material adverse effect on the market price of our ordinary shares.

***Because our offices and most of our assets are outside the United States, you may not be able to bring suit against us, or enforce a judgment obtained against us in the United States.***

Our executive offices, administrative activities and the majority of our assets are located outside the United States. In addition, most of our directors and officers are not U.S. residents. As a result, it may be more difficult for investors to effect service of process within the United States upon us, or to enforce both in the United States and outside the United States judgments against us in any action, including actions predicated upon the civil liability provisions of the U.S. federal securities laws.

***As an exempted company incorporated under Bermuda law with subsidiaries in a Crown dependency and other offshore jurisdictions, our operations may be subject to economic substance requirements.***

The Economic Substance Act 2018, or the Economic Substance Act, and the Economic Substance Regulations 2018 of Bermuda, or the Economic Substance Regulations, became operative on December 31, 2018. The Economic Substance Act applies to every registered entity in Bermuda that engages in a relevant activity and requires that every such entity shall maintain a substantial economic presence in Bermuda. A relevant activity for the purposes of the Economic Substance Act is banking business, insurance business, fund management business, financing and leasing business, headquarters business, shipping business, distribution and service center business, intellectual property holding business and conducting business as a holding entity.

The Economic Substance Act provides that a registered entity that carries on a relevant activity complies with economic substance requirements if (a) it is directed and managed in Bermuda, (b) its core income-generating activities (as may be prescribed) are undertaken in Bermuda with respect to the relevant activity, (c) it maintains adequate physical presence in Bermuda, (d) it has adequate full time employees in Bermuda with suitable qualifications and (e) it incurs adequate operating expenditure in Bermuda in relation to the relevant activity.

A registered entity that carries on a relevant activity is obliged under the Economic Substance Act to file a declaration in the prescribed form, or the Declaration, with the Registrar of Companies, or the Registrar, on an annual basis.

Certain of our subsidiaries may be organized in other jurisdictions identified by the Code of Conduct Group for Business Taxation of the European Union based on global standards set by the Organization for Economic Co-operation and Development with the objective of preventing low-tax jurisdictions from attracting profits from certain activities. These jurisdictions may have also enacted economic substance laws and regulations which we may be obligated to comply with. If we fail to comply with our obligations under the Economic Substance Act or any similar law applicable to us in any other jurisdictions, we could be subject to financial penalties and spontaneous disclosure of information to foreign tax officials in related jurisdictions and may be struck from the register of companies in Bermuda or such other jurisdiction. Any of these actions could have a material adverse effect on our business, financial condition and results of operations.

***As a foreign private issuer, we are permitted, and intend, to follow certain home country corporate governance practices instead of otherwise applicable NYSE requirements, which may result in less protection than is accorded to investors under rules applicable to U.S. domestic issuers.***

As a foreign private issuer, in reliance on New York Stock Exchange, or NYSE rules that permit a foreign private issuer to follow the corporate governance practices of its home country, we are permitted to follow certain Bermuda home corporate governance practices instead of those otherwise required under the corporate governance standards for U.S. domestic issuers. We follow certain Bermuda home country corporate governance practices rather than the requirements of the NYSE. Following our home country governance practices as opposed to the requirements that would otherwise apply to a U.S. company listed on the NYSE may provide less protection than is accorded to investors in U.S. domestic issuers. For a listing and further discussion of how our corporate governance practices differ from those required of U.S. companies listed on the NYSE, please see "Item 16G. Corporate Governance" or visit the corporate governance section of our website at www.flexlng.com. The information on our website is not incorporated by reference into this Annual Report.

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***We may have to pay tax on U.S. source income, which would reduce our earnings.***

Under the Code, 50% of the gross shipping income of a vessel owning or chartering corporation, such as ourselves and our subsidiaries, that is attributable to transportation that begins or ends, but that does not both begin and end, in the United States, may be subject to a 4% U.S. federal income tax without allowance for deduction, unless that corporation qualifies for exemption from tax under Section 883 of the Code and the applicable Treasury Regulations promulgated thereunder.

We believe that we and each of our subsidiaries qualified for this statutory tax exemption for our taxable year ending on December 31, 2025 and we will take this position for U.S. federal income tax return reporting purposes. However, there are factual circumstances beyond our control that could cause us to lose the benefit of this tax exemption for future taxable years and thereby become subject to U.S. federal income tax on our U.S. source shipping income. For example, we would no longer qualify for exemption under Section 883 of the Code for a particular taxable year if certain non-qualified shareholders with a 5% or greater interest in our ordinary shares owned, in the aggregate, 50% or more of our outstanding ordinary shares for more than half the days during the taxable year. It is possible that we could be subject to this rule for our taxable year ending on or after December 31, 2025. Due to the factual nature of the issues involved, there can be no assurances on our tax-exempt status or that of any of our subsidiaries.

If we or our subsidiaries are not entitled to exemption under Section 883 of the Code for any taxable year, we, or our subsidiaries, could be subject during those years to an effective 2% U.S. federal income tax on the gross shipping income derived during such a year that is attributable to the transport of cargoes to or from the United States. The imposition of this tax would have a negative effect on our business. However, the amount of our shipping income that would be subject to this tax has historically not been material.

***U.S. tax authorities could treat us as a "passive foreign investment company", which could have adverse U.S. federal income tax consequences to U.S. shareholders.***

If the IRS were to find that we are or have been a "passive foreign investment company", or PFIC, for any taxable year, our U.S. shareholders will face adverse U.S. federal income tax consequences. Under the PFIC rules, unless those shareholders make an election available under United States Internal Revenue Code of 1986, as amended, or the Code, such shareholders would be liable to pay U.S. federal income tax at the then prevailing income tax rates on ordinary income plus interest upon excess distributions and upon any gain from the disposition of our ordinary shares, as if the excess distribution or gain had been recognized ratably over the shareholder's holding period of our ordinary shares. For more information, please see "Taxation - U.S. Federal Income Tax Considerations."

***Changes in tax laws and unanticipated tax liabilities could materially and adversely affect the taxes we pay, results of operations and financial results***

We are subject to income and other taxes in the United States and foreign jurisdictions, and our results of operations and financial results may be affected by tax and other initiatives around the world. For instance, there is a high level of uncertainty in today's tax environment stemming from global initiatives put forth by the Organisation for Economic Co-operation and Development's, or OECD's, two-pillar base erosion and profit shifting project. In October 2021, members of the OECD put forth two proposals: (i) Pillar One reallocates profit to the market jurisdictions where sales arise versus physical presence; and (ii) Pillar Two compels multinational corporations with €750 million or more in annual revenue to pay a global minimum tax of 15% on income received in each country in which they operate. In 2024, these guidelines were declared effective and must now be enacted by those OECD member countries. It is possible that these guidelines, including the global minimum corporate tax rate measure of 15%, could have a material adverse impact on our results of operations and financial results.

Typically, most of our charter contracts require the charterer to indemnify us in respect of taxes incurred as a consequence of the voyage activities of our vessels, which are under the direction of the charterers. However, we, operate in numerous jurisdictions which may result in various voyage-related or freight taxes being imposed. Although we are generally entitled to indemnification from our charterers for these taxes, there is a risk that we may not be able to successfully claim an indemnity for tax liabilities which could impact our financial condition and ability to make cash distributions.

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 **ITEM 4.&nbsp;&nbsp;&nbsp;&nbsp;INFORMATION ON THE COMPANY**

**A.&nbsp;&nbsp;&nbsp;&nbsp;History and Development of the Company**

FLEX LNG Ltd. is an exempted company incorporated under the Bermuda Companies Act of 1981 (Company No. EC-34296). We are a growth-oriented owner and commercial operator of fuel efficient, fifth generation LNG carriers. As of February 27, 2026, we own and operate (i) nine M-type, Electronically Controlled, Gas Injection, or MEGI, LNG carriers, of which four have partial re-liquefaction systems installed and three have full re-liquefaction systems installed, which reduce active boil off rates achieved, and (ii) four Generation X Dual Fuel, or X-DF, LNG carriers, which we collectively refer to as our "Operating Vessels" or our "Fleet". Our business is currently focused on the operation of our long-term charters for our Fleet, which is described in the table below, or exploring accretive opportunities to further grow the Company.

Our registered office is at Par-La-Ville Place, 14 Par-La-Ville Road, Hamilton, Bermuda. Our telephone number at that address is +1 441 295 69 35. Our website is www.flexlng.com.

We operate through subsidiaries located in Bermuda, the United Kingdom, Norway, the Isle of Man and the Marshall Islands.

The SEC maintains an Internet site that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC. The address of the SEC's internet site is www.sec.gov. None of the information contained on these websites is incorporated into or forms a part of this Annual Report.

*Company Background*

FLEX LNG Ltd. was initially incorporated under the laws of the British Virgin Islands in September 2006 and re-domiciled, by way of continuation, into Bermuda in 2017. We conducted no material operations until 2013, at which time we entered into contracts for the construction of two newbuilding LNG carriers, which were delivered to us in 2018. We have since increased our Fleet, which now consists of thirteen LNG carriers in operation, as described above.

In June 2019, we effected a listing of our ordinary shares on the NYSE. No new shares were offered and sold in connection with the NYSE listing. Our ordinary shares commenced trading on the NYSE under the symbol "FLNG" on June 17, 2019 and are identified by CUSIP G35947 202.

In connection with our Fleet expansion, we conducted a series of vessel acquisitions, share issuances and financing transactions, which are further discussed below under "Share Issuances and Share Repurchases", "Financing Transactions" and "— B. Business Overview — Our Fleet.".

*Recent Developments*

On May 8, 2025, the Company's shareholders approved at the 2025 Annual General Meeting to delist the shares from the Oslo Stock Exchange, or OSE. The last day of trading of the Company's ordinary shares on the OSE was September 15, 2025, and the Company's ordinary shares were delisted on September 16, 2025. The Company's ordinary shares are now publicly listed exclusively on the NYSE.

*Share Issuances and Share Repurchases*

In 2014, Geveran increased its ownership in our ordinary shares to 43.3% and became obliged to conduct a mandatory offer for our ordinary shares, which resulted in Geveran owning 82% of our issued and outstanding ordinary shares at that time. As of February 27, 2026, Geveran owns 42.7% of our issued and outstanding ordinary shares.

On November 15, 2022, we entered into an Equity Distribution Agreement with Citigroup Global Markets Inc. and Barclays Capital Inc. for the offer and sale of up to $100.0 million of our ordinary shares, through an at-the-market offering, or an ATM. Under this ATM program, 409,741 ordinary shares were issued for aggregate gross proceeds of $14.8 million, at an average gross sales price of $36.09 per share. Aggregate net proceeds after commission were $14.5 million, at an average net

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sales price of $35.36. As of November 2025, the Form F-3 covering the ATM expired and no further shares will be issued or sold under the Equity Distribution Agreement associated with this program.

On August 19, 2025, our Board of Directors authorized a share buy-back program, to purchase up to $15 million of our ordinary shares from time to time, until November 27, 2025. No repurchases were made under this program.

On November 12, 2025, we filed a prospectus supplement under our current shelf registration statement on Form F-3ASR to register the sale of up to $100 million ordinary shares pursuant to a dividend reinvestment plan, or a DRIP to facilitate investments by individual and institutional shareholders who wish to invest dividend payments received on shares owned or other cash amounts, in our ordinary shares on a regular basis, one time basis or otherwise. If certain waiver provisions in the DRIP are requested and granted pursuant to the terms of the plan, we may grant additional share sales to investors from time to time up to the amount registered under the plan.

As of December 31, 2025, the Company holds an aggregate of 427,949 treasury shares. Any of the above-referenced transactions, including sale or repurchase of shares will be at the discretion of the Company and the timing, including the amount of any sale or repurchase of shares, as applicable, will depend on, among other things, legal requirements, market conditions, stock price, alternative uses of capital, capital availability, and other factors. The Company is not obligated under the terms of any board authorization, including in respect of an ATM, a DRIP or a share repurchase program, to issue, sell or repurchase any number of shares and the foregoing may be amended, suspended or reinstated at any time at the Company's discretion and without further notice.

*Financing Transactions*

For information about our financing agreements, see "Item 5. Operating and Financial Review and Prospects - Liquidity and Capital Resources - Our Borrowing Activities."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**B.&nbsp;&nbsp;&nbsp;&nbsp;Business Overview**

**Our Fleet**

The following table sets forth additional information about our Fleet as of February 27, 2026:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Vessel Name** | **Year Built** | **Shipyard**<sup>(1)</sup> | **Cargo Capacity (cbm)** | **Propulsion**<sup>(2)</sup> | **Charter**<br>**Expiration**<sup>(3)</sup> | **Charter Expiration if Option(s) Declared**<sup>(4)</sup> |
| *Flex Endeavour* | 2018 | HO | 173400 | MEGI+PRS | Q1 2032 | Q1 2033 |
| *Flex Enterprise* | 2018 | HO | 173400 | MEGI+PRS | Q2 2029 | NA |
| *Flex Ranger* | 2018 | SHI | 174000 | MEGI | Q1 2027 | NA |
| *Flex Rainbow* | 2018 | SHI | 174000 | MEGI | Q1 2033 | NA |
| *Flex Constellation* | 2019 | HO | 173400 | MEGI+PRS | Q1 2041 | Q1 2043 |
| *Flex Courageous*<sup>(5)</sup> | 2019 | HO | 173400 | MEGI+PRS | Q1 2027 | Q1 2039 |
| *Flex Aurora* | 2020 | HSHI | 174000 | X-DF | Q1 2026 | NA |
| *Flex Amber* | 2020 | HSHI | 174000 | X-DF | Q2 2029 | NA |
| *Flex Artemis* | 2020 | HO | 173400 | MEGI+FRS | NA | NA |
| *Flex Resolute*<sup>(5)</sup> | 2020 | HO | 173400 | MEGI+FRS | Q1 2027 | Q1 2039 |
| *Flex Freedom* | 2021 | HO | 173400 | MEGI+FRS | Q1 2027 | Q1 2029 |
| *Flex Volunteer* | 2021 | HSHI | 174000 | X-DF | NA | NA |
| *Flex Vigilant* | 2021 | HSHI | 174000 | X-DF | Q2 2031 | Q2 2033 |

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(1)As used in this Annual Report, "HO" means Hanwha Ocean (formerly known as Daewoo Ship building and Marine Engineering Co. Ltd.), "SHI" means Samsung Heavy Industries, and "HSHI" means Hyundai Samho Heavy Industries Co. Ltd.

(2)"MEGI" refers to M-type Electronically Controlled Gas Injection propulsion systems and "X-DF" refers to Generation X Dual Fuel propulsion systems. "FRS" and "PRS" refer to Full Re-liquefaction Systems and Partial Re-liquefaction Systems, respectively.

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(3)The expiration of our charters is considered the firm period known to the Company as of February 27, 2026, however these are generally subject to re-delivery windows ranging from 15 to 45 days before or after the expiration date.

(4)Where charterers have extension option(s) to be declared on a charter; the expiration provided assumes all extension options have been declared by the charterer for illustrative purposes.

(5)The charterer of *Flex Courageous* and *Flex Resolute* amended and extended the time charter contracts, to include a new firm period from the first quarter of 2029 to the first quarter of 2032, following the end of the two-year option period from the first quarter of 2027 to the first quarter of 2029 under the original time charter contracts. The addendum includes additional options for the charterer to extend each vessel up to the first quarter of 2039.

**Employment of Our Fleet and Our Customers**

We manage the employment of our Fleet. We deploy our LNG carriers on period time charters which can last up to several years, of which we have twelve of our vessels on fixed-rate time charters and one vessel on a variable rate contract indexed to the spot market. Time and bareboat charters are for a fixed period of time, whereas, a voyage charter is generally a contract to carry a specific cargo from a loading port to a discharging port for an agreed-upon total charge. Under voyage charters we pay for voyage expenses such as port, canal and fuel costs. Under a time charter the charterer pays for voyage expenses while under a bareboat charter the charterer pays for voyage expenses and operating expenses such as crewing, supplies, maintenance and repairs including special survey and drydocking costs.

Vessels operating in the spot market generate revenues that are less predictable but may enable us to capture increased profit margins during periods of improvements in LNG charter rates, although we are then exposed to the risk of declining LNG carrier charter rates. Typically, spot market charters can last from a few days up to two months. If we commit vessels to period charters, future spot market rates may be higher or lower than those rates at which we have period chartered out our vessels.

In formulating our chartering strategy, we evaluate past, present and future performance of the freight markets and balance the mix of our chartering arrangements in order to achieve optimal results for the fleet. As of February 27, 2026, we have two vessels which are open, four vessels on time charters expiring within one year, one vessel on a time charter expiring within two years, two vessels on time charters expiring from two to five years and four vessels on time charters expiring after five years, excluding any option periods. In terms of charter coverage as of February 27, 2026, we had 78.0% of the available calendar days fixed under period charters for remainder of 2026.

In March 2025, *Flex Constellation* was re-delivered from the existing time charter contract and was employed in the spot market. In September 2025, *Flex Constellation* had her short-term charter contract extended until late February 2026. Subsequently, the vessel is scheduled to commence a new 15-year time charter in direct continuation.

In April 2025, the charterer of *Flex Artemis* elected not to exercise the option under the time charter. *Flex Artemis* was re-delivered from the original 5-year variable hire contract in August 2025. Following the re-delivery, *Flex Artemis* successfully completed her scheduled dry-docking and currently operates in the spot market, while being marketed for short and long-term contracts.

In June 2025, July 2025 and September 2025, we successfully completed our scheduled drydockings for *Flex Aurora, Flex Resolute* and *Flex Amber* respectively.

In October 2025, the charterer of *Flex Volunteer* elected not to utilize their extension option. The vessel was redelivered late in the fourth quarter of 2025 and currently operates in the spot market, while being marketed for short and long-term contracts.

In January 2026, the charterer of *Flex Aurora* elected not to utilize their extension option and the vessel is expected to be redelivered from the existing contract late in the first quarter of 2026. Following the re-delivery, the vessel will be marketed for short and long-term contracts.

**Customers**

Our assessment of a charterer's financial condition and reliability is an important factor in negotiating employment for our vessels. Principal charterers include producers of LNG products, such as national, major and other independent energy

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companies and energy traders, and industrial users of those products. For the year ended December 31, 2025, we had four customers accountable for more than 98.5% of our total revenues.

In January and February 2024, the charterer of *Flex Resolute* and *Flex Courageous* utilized the first extension options of the time charters, respectively. Both vessels firm periods will now expire in the first quarter of 2027 and the charterer will have one further option, on each vessel, to extend by an additional two years. In November 2024, the Company agreed to amend and extend by way of addendum to the existing time charters of *Flex Courageous* and *Flex Resolute,* to include a new firm period from 2029 to 2032 following the last two year option under the original time charter contract. The addendum includes additional options for the charterer to extend each vessel by up to seven years in periods of two years, two years and three years.

In May 2024, *Flex Constellation* commenced a time charter with a large Asian utility and asset backed LNG trader. The charter had a firm period ending in the first quarter of 2025 and the charterer had the option to extend by an additional one year to the first quarter of 2026. In November 2024, the charterer notified the Company that the extension options would not be declared, and the vessel was redelivered in the first quarter of 2025.

In November 2024, the Company signed a new time charter contract for *Flex Constellation* with a large Asian utility and asset backed LNG trader for a period of 15 years. The time charter contract will commence during the first quarter of 2026, and has a firm period ending in 2041, including options for the charterer to extend the vessel by additional two years up to 2043.

**Management Structure**

*Service Level Agreements*

We have a service level agreement with Front Ocean Management AS and Front Ocean Management Ltd, together referred to as Front Ocean, where they provide us certain advisory and support services including human resources, shared office costs, administrative support, IT systems and services, compliance, insurance and legal assistance.

We have an administrative services agreement with Frontline Management AS, or Frontline Management, a related party, under which they provide us with certain administrative support, technical supervision, purchase of goods and services within the ordinary course of business and other support services, for which we pay our allocation of the actual costs they incur on our behalf, plus a mark-up. Frontline Management may subcontract these services to other associated companies, including Frontline Management (Bermuda) Ltd and Frontline (Management) Cyprus Ltd.

&nbsp;&nbsp;&nbsp;&nbsp;We also have a services agreement with Seatankers Management Co. Ltd., or Seatankers, a related party, under which they provide us with certain advisory and support services, for which we pay our allocation of the actual costs they incur on our behalf, plus a mark-up. We may terminate the services agreement upon not less than 20 business days' written notice.

*Technical Management and Support Services*

&nbsp;&nbsp;&nbsp;&nbsp;The Company has ship management agreements with Flex LNG Fleet Management AS, a related party owned by Frontline plc, for which it is responsible for the technical ship management of our entire Fleet. Under the agreements with Flex LNG Fleet Management AS, we pay our allocation of the actual costs they incur on our behalf, plus a markup.

For a further description and fee breakdown of our service level agreements, technical management and support services, please see "Item 7. Major Shareholders and Related Party Transactions-B. Related Party Transactions-Technical Management and Support Services."

**The Liquefied Natural Gas Industry**

*This section discusses the industry and markets in which we operate. Certain of the information in this section relating to market environment, market developments, growth rates, market trends, industry trends, competition and similar information are estimates based on data compiled by professional organizations, consultants and analysts; in addition to market data from other external and publicly available sources, and our knowledge of the markets. Any forecast information and other forward-looking statements in this market summary are not guarantees of future outcomes and these future outcomes could differ materially from current expectations. Numerous factors could cause or contribute to such differences, including those risks described in "Item 3. Key Information—D. Risk Factors."*

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**Introduction**

The Company's business is marine transportation of LNG, referred to as LNG shipping. The marine transportation is done by means of specialized ships, referred to as LNG carriers, which are vessels built to meet the specialized requirement of the LNG products.

LNG is used as a term to describe the super cool liquid form of natural gases, being a mix of hydrocarbon gasses (mainly methane, but also commonly including varying amounts of other higher alkanes and various other gases). The natural gas can primarily be extracted from oil fields or natural gas fields, but in recent years an increasing amount of gas is being extracted from more challenging and nontraditional resource types such as sour gas, tight gas, shale gas and coal-bed methane.

An important source of energy, natural gas is non-toxic, clean-burning and relatively inexpensive. Although predominantly used for electricity generation, heating and cooking, natural gas is also utilized as a chemical feedstock in the industrial sector and, to a lesser extent, as fuel for vehicles. In producing regions with a high natural gas demand, pipelines are constructed when it is economically feasible to transport natural gas in from a wellsite to an end consumer. In end-user regions without access to pipelines, natural gas may be transported on tanker trucks or railway tankers (if by land) or by LNG carriers (if by sea).

LNG is a product that requires processing both at the supplying and at the receiving end of the transportation chain. This is because transportation is only economically feasible when the gas is in a liquid state. Liquefaction of natural gas reduces the volume to 1/600 of the gaseous state and therefore makes it economical for transportation by sea.

At the supply source of the transportation chain, liquefaction is done at specialized liquefaction plants, referred to as "liquefaction trains", where undesired heavy hydrocarbons and non-hydrocarbons are removed from the natural gas before cooling the natural gas to approximately -163 °C (-260 °F) to become liquid at close to atmospheric pressure. Similarly, at the receiving end of the transportation chain, the LNG is regasified to its gaseous state before being distributed to the end-user through pipelines.

LNG shipping is closely related to the liquefaction and regasification processes that take place at either end of the transportation chain. Liquefaction can be done onboard specialized ships (floating liquefaction plants), being a relatively new trend in the LNG business. Regasification onboard Floating Storage Regasification Units, or FSRUs, have also become an important part of the LNG business.

**LNG Supply and Demand**

The volume of LNG shipping amounted to approximately 429 million tons in 2025 in terms of export volumes. This volume has been subject to large changes, having increased from approximately 268 million tons in 2016. Among the factors that have contributed to this growth, are focus on reduction of air pollution and greenhouse gas emissions, large developments of natural gas resources, large developments of liquefaction plants to monetize these resources, as well as factors contributing to reducing the cost of importing LNG, such as FSRUs. During this period, there have been large changes both in the supplying (exporting) and consuming (importing) regions for LNG, giving rise to a more complex pattern of seaborne transportation.

Demand for natural gas and LNG is closely correlated with general energy demand, which in turn is closely related to economic growth and development. Factors impacting the demand for natural gas also include environmental awareness (particularly in comparison with coal) and relative price to other energy sources (particularly crude oil). The main rationale for securing access to natural gas has been economics – as natural gas is more cost effective than running power plants on fuel oil. In addition to the economic rationales for substituting other sources of energy with natural gas, the list of operational projects reveal other reasons for wanting access to LNG, including lack of sufficient electricity generation from hydro power plants (e.g. Brazil), large seasonal differences in demand (e.g. Dubai/Kuwait), security of supply and geopolitical considerations (e.g. Lithuania), falling domestic natural gas production (e.g. Egypt), and increased demand for energy, or LNG volumes already contracted on long-term deals (e.g. Indonesia). Also, factors such as the temporary shutdown of nuclear power plants in Japan following the Fukushima disaster in 2011 have impacted LNG demand.

**The LNG Carrier Fleet**

LNG carriers have been built since 1959. As at the end of 2025, industry sources report that the fleet was made up of approximately 748 LNG carriers larger than 40,000 cbm, which all vary in terms of propulsion systems and cargo sizes. Furthermore, fifteen vessels were sold for recycling in 2025. The orderbook for LNG carriers as at the end of 2025 stands at

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approximately 280 vessels and 79 newbuilds were delivered in 2025, according to industry sources. Up to 2010, LNG carriers were generally constructed with steam turbines for propulsion. While these vessels still make up a large part of the fleet, they have a cost disadvantage to modern vessels due to higher fuel consumption. Starting around 2006, the first four stroke medium speed diesel electric LNG carriers were delivered. Starting around 2016, the first LNG carriers with slow speed two stroke engines referred to as MEGI (high pressure) or X-DF (low pressure) were delivered, which were specifically made for ships propelled by gas.

**Rate Developments**

The majority of the LNG carrier fleet is contracted on long term contracts that link specific exporters to specific importers. This contract structure means that a large part of the LNG shipping business is of a more industrial nature than many other shipping businesses. However, there is also a part of the LNG carrier fleet that is constructed without contract coverage at the time of ordering. These LNG carriers will typically either serve short-term spot trading or fixed on long term contracts.

The LNG shipping market weakened in 2024, culminating in what shipbrokers described as the weakest winter spot market on record during the 2024/2025 winter period. Spot rates averaged approximately $54,000 per day for the year, down from around $125,000 per day in 2023, reflecting a growing imbalance between vessel supply and LNG trade growth. The delivery of approximately 60 LNG carriers, combined with limited growth in LNG volumes and minimal floating storage opportunities, resulted in a sustained oversupply of tonnage. Despite longer voyage distances due to continued avoidance of the Suez and Panama canals and a cold start to winter in Europe, the market failed to experience a meaningful seasonal uplift. Spot fixture activity increased significantly year-on-year as charterers benefited from extensive vessel availability and widespread subletting, while term activity declined, reinforcing the structural softness in rates. No meaningful rebalancing in favor of shipowners emerged by year-end, and oversupply conditions persisted into 2025.

High tonnage availability continued to weigh on the LNG shipping market through most of 2025, resulting in historically low spot rates during the first half of the year and prolonged idle periods, particularly among steam turbine and tri-fuel diesel electric vessels. Average spot rates declined to approximately $37,000 per day for the full year, compared with around $54,000 per day in 2024, despite increased fixture activity driven by higher LNG export volumes and elevated relet availability. In the second half of the year, stronger Atlantic Basin LNG production, led by the United States, together with incremental Nigerian and Algerian supply and congestion around Egypt and the Suez Canal, temporarily tightened prompt vessel availability. This supported a short-lived rate recovery in the fourth quarter, with two-stroke spot rates briefly reaching elevated levels before easing again as relet volumes returned to the market. In the term segment, chartering activity increasingly focused on long-dated employment linked to newbuild deliveries scheduled in 2028 to 2029, with several vessels secured on multi-year charters, while speculative ordering also increased toward year-end. Overall, 2025 was characterized by continued structural oversupply, episodic tightness driven by Atlantic Basin dynamics, and a clear bifurcation between spot market volatility and longer-term positioning by market participants.

**Environmental and Other Regulations in the Shipping Industry**

Government regulation and laws significantly affect the ownership and operation of our Fleet. We are subject to international conventions and treaties, national, state and local laws and regulations in force in the countries in which our vessels may operate or are registered relating to safety and health and environmental protection including the storage, handling, emission, transportation and discharge of hazardous and non-hazardous materials, and the remediation of contamination and liability for damage to natural resources. Compliance with such laws, regulations and other requirements entails significant expense, including vessel modifications and implementation of certain operating procedures.

A variety of government and private entities subject our vessels to both scheduled and unscheduled inspections. These entities include the local port authorities (applicable national authorities such as the USCG, harbor master or equivalent), classification societies, flag state administrations (countries of registry) and charterers, particularly terminal operators. Certain of these entities require us to obtain permits, licenses, certificates and other authorizations for the operation of our vessels. Failure to maintain necessary permits or approvals could require us to incur substantial costs or result in the temporary suspension of the operation of one or more of our vessels.

Increasing environmental concerns have created a demand for vessels that conform to stricter environmental standards. We are required to maintain operating standards for all of our vessels that emphasize operational safety, quality maintenance, continuous training of our officers and crews and compliance with U.S. and international regulations. We believe that the operation of our vessels is in substantial compliance with applicable environmental laws and regulations and that our vessels have all material permits, licenses, certificates or other authorizations necessary for the conduct of our operations. However, because such laws and regulations frequently change and may impose increasingly stricter requirements, we cannot predict the

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ultimate cost of complying with these requirements, or the impact of these requirements on the resale value or useful lives of our vessels. In addition, a future serious marine incident that causes significant adverse environmental impact could result in additional legislation or regulation that could negatively affect our profitability.

***International Maritime Organisation***

The IMO has adopted the International Convention for the Prevention of Pollution from Ships, 1973, as modified by the Protocol of 1978 relating thereto, collectively referred to as MARPOL 73/78 and herein as MARPOL, the SOLAS Convention, and the International Convention on Load Lines of 1966, or the LL Convention. MARPOL establishes environmental standards relating to oil leakage or spilling, garbage management, sewage, air emissions, handling and disposal of noxious liquids and the handling of harmful substances in packaged forms. MARPOL is applicable to drybulk, tanker and LNG carriers, among other vessels, and is broken into six Annexes, each of which regulates a different source of pollution. Annex I relates to oil leakage or spilling; Annexes II and III relate to harmful substances carried in bulk in liquid or in packaged form, respectively; Annexes IV and V relate to sewage and garbage management, respectively; and Annex VI, lastly, relates to air emissions. Annex VI was separately adopted by the IMO in September of 1997; new emissions standards, titled IMO-2020, took effect on January 1, 2020.

Vessels that transport gas, including LNG carriers and FSRUs, are also subject to regulation under the International Code for the Construction and Equipment of Ships Carrying Liquefied Gases in Bulk, or the IGC Code, published by the IMO. The IGC Code provides a standard for the safe carriage of LNG and certain other liquid gases by prescribing the design and construction standards of vessels involved in such carriage. The completely revised and updated IGC Code entered into force in 2016, and the amendments were developed following a comprehensive five-year review and are intended to take into account the latest advances in science and technology. Compliance with the IGC Code must be evidenced by a Certificate of Fitness for the Carriage of Liquefied Gases in Bulk. Non-compliance with the IGC Code or other applicable IMO regulations may subject a shipowner or a bareboat charterer to increased liability, may lead to decreases in available insurance coverage for affected vessels and may result in the denial of access to, or detention in, some ports. We believe that each of our vessels is in compliance with the IGC Code.

In June 2015 the IMO formally adopted the International Code of Safety for Ships using Gases or Low flashpoint Fuels, or the IGF Code, which is designed to minimize the risks involved with ships using low flashpoint fuels- including LNG. The IGF Code will be mandatory under SOLAS through the adopted amendments. The IGF Code and the amendments to SOLAS became effective January 1, 2017. In June 2022, the IGF Code was amended to address cofferdams for fire protection, safe fuel distribution outside machinery spaces, fire protection between spaces with fuel with fuel containment systems, and fixed fire-extinguishing systems in LNG fuel preparation spaces. These amendments entered into force on January 1, 2024.

Our LNG vessels may also become subject to the 2010 HNS Convention, if it is entered into force. The 2010 HNS Convention creates a regime of liability and compensation for damage from hazardous and noxious substances, HNS, including liquefied gases. The 2010 HNS Convention sets up a two-tier system of compensation composed of compulsory insurance taken out by shipowners and an HNS Fund which comes into play when the insurance is insufficient to satisfy a claim or does not cover the incident. Under the 2010 HNS Convention, if damage is caused by bulk HNS, claims for compensation will first be sought from the shipowner up to a maximum of 100 million Special Drawing Rights, or SDR. If the damage is caused by packaged HNS or by both bulk and packaged HNS, the maximum liability is 115 million SDR. Once the limit is reached, compensation will be paid from the HNS Fund up to a maximum of 250 million SDR. The 2010 HNS Convention has not been ratified by a sufficient number of countries to enter into force, and we cannot estimate the costs that may be needed to comply with any such requirements that may be adopted with any certainty at this time.

The IMO continues to review and introduce new regulations. It is impossible to predict what additional regulations, if any, may be passed by the IMO and what effect, if any, such regulation may have on our operations.

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*Air Emissions*

In September of 1997, the IMO adopted Annex VI to MARPOL to address air pollution from vessels. Effective May 2005, Annex VI sets limits on sulfur oxide and nitrogen oxide emissions from all commercial vessel exhausts and prohibits "deliberate emissions" of ozone depleting substances (such as halons and chlorofluorocarbons), emissions of volatile compounds from cargo tanks, and the shipboard incineration of specific substances. Annex VI also includes a global cap on the sulfur content of fuel oil and allows for special areas to be established with more stringent controls on sulfur emissions, as explained below. Emissions of "volatile organic compounds" from certain vessels, and the shipboard incineration (from incinerators installed after January 1, 2000) of certain substances (such as polychlorinated biphenyls, or PCBs) are also prohibited. We believe that all our vessels are currently compliant in all material respects with these regulations.

The MEPC adopted amendments to Annex VI regarding emissions of sulfur oxide, nitrogen oxide, particulate matter and ozone depleting substances, which entered into force on July 1, 2010. The amended Annex VI seeks to further reduce air pollution by, among other things, implementing a progressive reduction of the amount of sulfur contained in any fuel oil used on board ships. On October 27, 2016, MEPC 70 agreed to implement a global 0.5% m/m sulfur oxide emissions limit (reduced from 3.50%) starting from January 1, 2020. This limitation can be met by using low-sulfur compliant fuel oil, alternative fuels, or certain exhaust gas cleaning systems. Ships are now required to obtain bunker delivery notes and International Air Pollution Prevention, or the IAPP Certificates from their flag states that specify sulfur content. Additionally, at MEPC 73, amendments to Annex VI to prohibit the carriage of bunkers above 0.5% sulfur on ships, with the exception of vessels fitted with exhaust gas cleaning equipment, or scrubbers, which can carry fuel of higher sulfur content, were adopted and took effect from March 1, 2020. These regulations subject ocean-going vessels to stringent emissions controls, and may cause us to incur substantial costs.

Sulfur content standards are even stricter within certain Emission Control Areas, or ECAs. As of January 1, 2015, ships operating within an ECA were not permitted to use fuel with sulfur content in excess of 0.1% m/m. Currently, the IMO has designated five ECAs, including specified portions of the Baltic Sea area, Mediterranean Sea area, North Sea area, North American area and U.S. Caribbean area. Ocean-going vessels in these areas will be subject to stringent emission controls and may cause us to incur additional costs. Other areas in China are subject to local regulations that impose stricter emission controls. In July 2023, MEPC 80 announced three new ECA proposals, including the Canadian Arctic waters and the Norwegian Sea, which should take effect in March 2027. MEPC 83 also approved the North-East Atlantic Ocean, as an ECA and is expected to take effect in 2028. If other ECAs are approved by the IMO, or other new or more stringent requirements relating to emissions from marine diesel engines or port operations by vessels are adopted by the Environmental Protection Agency, or the EPA, or the states where we operate, compliance with these regulations could entail significant capital expenditures or otherwise increase the costs of our operations.

The amended Annex VI also established new tiers of stringent nitrogen oxide emissions standards for marine diesel engines, depending on their date of installation. Tier III NOx standards were designed for the control of NOx produced by vessels and apply to ships that operate in the North American and U.S. Caribbean Sea ECAs with marine diesel engines installed and constructed on or after January 1, 2016. At MEPC 70 and MEPC 71, the MEPC approved the North Sea and Baltic Sea as ECAs for nitrogen oxide for ships built on or after January 1, 2021. The Canadian-Arctic ECA for NOx will also be effective starting from March 1, 2026 for ships built on or after January 1, 2025. For the Norwegian Sea ECA, the NOx Tier III engine certification requirement will apply to ships (i) with building contracts placed on or after March 1, 2026, (ii) in the absence of a building contract, constructed on or after September 1, 2026, or (iii) delivered on or after March 1, 2030. For the North-East Atlantic ECA, the requirement is expected to apply to ships (i) contracted on or after January 1, 2027, (ii) in the absence of a building contract, constructed on or after July 1, 2027, or (iii) delivered on or after January 1, 2031. The EPA promulgated equivalent (and in some senses stricter) emissions standards in 2010. Tier III requirements could apply to additional areas designated for Tier III NOx in the future. In April 2025, MEPC 83 also adopted amendments (expected to enter into force late 2026 and early 2027) to the NOx Technical Code 2008, which allows ships to optimize fuel consumption based on their operational profile, thus improving energy efficiency, while ensuring compliance with NOx emission requirements. As a result of these designations or similar future designations, we may be required to incur additional operating or other costs.

At MEPC 70, Regulation 22A of MARPOL Annex VI became effective as of March 1, 2018 and requires ships above 5,000 gross tonnage to collect and report annual data on fuel oil consumption to an IMO database, with the first year of data collection having commenced on January 1, 2019. The IMO used such data as part of its initial roadmap (through 2023) for developing its strategy to reduce greenhouse gas emissions from ships, as discussed further below. MEPC 83 approved draft amendments to make the IMO's data collection system more accessible to the public through an anonymized database.

As of January 1, 2013, MARPOL made certain measures mandatory relating to energy efficiency for ships. All ships are now required to develop and implement Ship Energy Efficiency Management Plans, or SEEMP, and new ships must be

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designed in compliance with minimum energy efficiency levels per capacity mile as defined by the Energy Efficiency Design Index, or EEDI. MEPC 75 adopted amendments to MARPOL Annex VI which brings forward the effective date of the EEDI's "phase 3" requirements from January 1, 2025 to April 1, 2022 for several ship types, including gas carriers, general cargo ships, and LNG carriers.

Additionally, in 2022, MEPC 75 amended Annex VI to impose new regulations to reduce greenhouse gas emissions from ships. These amendments introduce requirements to assess and measure the energy efficiency of all ships and set the required attainment values, with the goal of reducing the carbon intensity of international shipping. The requirements include (1) a technical requirement to reduce carbon intensity based on a new Energy Efficiency Existing Ship Index , or EEXI, and (2) operational carbon intensity reduction requirements, based on a new operational carbon intensity indicator, or CII. The attained EEXI is required to be calculated for ships of 400 gross tonnage and above, in accordance with different values set for ship types and categories. With respect to the CII, the draft amendments would require ships of 5,000 gross tonnage to document and verify their actual annual operational CII achieved against a determined required annual operational CII. All ships above 400 gross tonnage must have an approved SEEMP on board. For ships above 5,000 gross tonnage, the SEEMP needs to include certain mandatory content. That same year, MEPC amended MARPOL Annex I to prohibit the use and carriage for use as fuel of heavy fuel oil, or HFO, by ships in Arctic waters on and after July 1, 2024.

In late 2022, MEPC 79 adopted amendments to MARPOL Annex VI, Appendix IX to include the attained and required CII values, the CII rating and attained EEXI for existing ships in the required information to be submitted to the IMO Ship Fuel Oil Consumption Database. MEPC 79 also revised the EEDI calculation guidelines to include a CO2 conversion factor for ethane, a reference to the updated ITCC guidelines, and a clarification that in case of a ship with multiple load line certificates, the maximum certified summer draft should be used when determining the deadweight. These amendments entered into force on May 1, 2024. In July 2023, MEPC 80 approved the plan for reviewing CII regulations and guidelines, and in April 2025, MEPC 83 adopted amendments to 2021 Guidelines on operational carbon intensity reduction factors, which outline methods for determining CII reduction factors from 2023 and now includes newly defined factors from 2027 to 2030. MEPC 83 also approved a work plan on the development of a regulatory framework for the use of onboard carbon capture and storage systems, which will capture carbon produced by a ship before it is emitted into the air.

We may incur costs to comply with these revised standards. Additional or new conventions, laws and regulations may be adopted that could require the installation of expensive emission control systems and could adversely affect our business, results of operations, cash flows and financial condition.

*Safety Management System Requirements*

The SOLAS Convention was amended to address the safe manning of vessels and emergency training drills. The Convention of Limitation of Liability for Maritime Claims, or LLMC, sets limitations of liability for a loss of life or personal injury claim or a property claim against ship owners. We believe that our vessels are in compliance with SOLAS and LLMC standards.

Under Chapter IX of the SOLAS Convention, or the ISM Code, our operations are also subject to environmental standards and requirements. The ISM Code requires the party with operational control of a vessel to develop an extensive safety management system that includes, among other things, the adoption of a safety and environmental protection policy setting forth instructions and procedures for operating its vessels safely and for responding to emergencies. We rely upon the safety management system that our manager has developed for compliance with the ISM Code. The failure of a vessel owner or bareboat charterer to comply with the ISM Code may subject such party to increased liability, may decrease available insurance coverage for the affected vessels and may result in a denial of access to, or detention in, certain ports.

The ISM Code requires that vessel operators obtain a safety management certificate for each vessel they operate. This certificate evidences compliance by a vessel's management with the ISM Code requirements for a safety management system. No vessel can obtain a safety management certificate unless its manager has been awarded a document of compliance, issued by each flag state, under the ISM Code. We have obtained applicable documents of compliance for our offices and safety management certificates for all of our vessels for which the certificates are required by the IMO. The document of compliance and safety management certificate are renewed as required.

Regulation II-1/3-10 of the SOLAS Convention governs ship construction and stipulates that ships over 150 meters in length must have adequate strength, integrity and stability to minimize risk of loss or pollution. Goal-based standards amendments in SOLAS regulation II-1/3-10 entered into force in 2012, with July 1, 2016 set for application to new oil tankers and bulk carriers. The SOLAS Convention regulation II-1/3-10 on goal-based ship construction standards for bulk carriers and

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oil tankers, which entered into force on January 1, 2012, requires that all oil tankers and bulk carriers of 150 meters in length and above, for which the building contract is placed on or after July 1, 2016, satisfy applicable structural requirements conforming to the functional requirements of the International Goal-based Ship Construction Standards for Bulk Carriers and Oil Tankers (GBS Standards).

Amendments to the SOLAS Convention Chapter VII apply to vessels transporting dangerous goods and require those vessels be in compliance with the International Maritime Dangerous Goods Code, or IMDG Code.

The IMO has also adopted the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers, or STCW. As of February 2017, all seafarers are required to meet the STCW standards and be in possession of a valid STCW certificate. Flag states that have ratified SOLAS and STCW generally employ the classification societies, which have incorporated SOLAS and STCW requirements into their class rules, to undertake surveys to confirm compliance.

&nbsp;&nbsp;&nbsp;&nbsp;The IMO's Maritime Safety Committee and MEPC, respectively, each adopted relevant parts of the International Code for Ships Operating in Polar Water, or the Polar Code. The Polar Code, which entered into force on January 1, 2017, covers design, construction, equipment, operational, training, search and rescue as well as environmental protection matters relevant to ships operating in the waters surrounding the two poles. It also includes mandatory measures regarding safety and pollution prevention as well as recommendatory provisions. The Polar Code applies to new ships constructed after January 1, 2017, and after January 1, 2018, ships constructed before January 1, 2017 are required to meet the relevant requirements by the earlier of their first intermediate or renewal survey.

Furthermore, cybersecurity guidance and regulations have been developed in the near future in an attempt to combat cybersecurity threats. For new ships and offshore installations contracted for construction on or after January 1, 2024, the International Association of Classification Societies ("IACS") now requires vessel owners, yard and suppliers to build cybersecurity barriers into their systems and vessels, requiring compliance across the full spectrum of critical on-board control and navigation systems. On July 16, 2025, the U.S. Coast Guard's final rule, Cybersecurity in the Martine Transportation System, went into effect. Under this rule, all regulated entities are required to develop Cybersecurity and Cyber Incident Response Plans, designate a Cybersecurity Officer to implement plans, and to report certain cyber incidents to the National Response Center. This might cause companies to create additional procedures for monitoring cybersecurity, which could require additional expenses and/or capital expenditures. The impact of future regulations is hard to predict at this time.

*Pollution Control and Liability Requirements*

The IMO has negotiated international conventions that impose liability for pollution in international waters and the territorial waters of the signatories to such conventions. For example, the IMO adopted an International Convention for the Control and Management of Ships' Ballast Water and Sediments, or BWM Convention, in 2004. The BWM Convention entered into force on September 8, 2017. The BWM Convention requires ships to manage their ballast water to remove, render harmless, or avoid the uptake or discharge of new or invasive aquatic organisms and pathogens within ballast water and sediments. The BWM Convention's implementing regulations call for a phased introduction of mandatory ballast water exchange requirements, to be replaced in time with mandatory concentration limits, and require all ships to carry a ballast water record book and an international ballast water management certificate.

The MEPC maintains guidelines for approval of ballast water management systems (G8). Those changes were adopted at MEPC 72. Ships over 400 gross tons generally must comply with a "D-1 standard," requiring the exchange of ballast water only in open seas and away from coastal waters. The "D-2 standard" specifies the maximum amount of viable organisms allowed to be discharged, and compliance dates vary depending on the IOPP renewal dates. The standards have been in force since 2019, and for most ships, compliance with the D-2 standard involved installing on-board systems to treat ballast water and eliminate unwanted organisms. Ballast water management systems, which include systems that make use of chemical, biocides, organisms or biological mechanisms, or which alter the chemical or physical characteristics of the ballast water, must be approved in accordance with IMO Guidelines (Regulation D-3). Since September 8, 2024, all ships have been required to meet the D-2 standard. Additionally, in November 2020, MEPC 75 adopted amendments to the BWM Convention which would require a commissioning test of the ballast water management system for the initial survey or when performing an additional survey for retrofits. This analysis will not apply to ships that already have an installed BWM system certified under the BWM Convention. These amendments have entered into force on June 1, 2022. In December 2022, MEPC 79 agreed that it should be permitted to use ballast tanks for temporary storage of treated sewage and grey water. MEPC 79 also established that ships are expected to return to D-2 compliance after experiencing challenging uptake water and bypassing a BWM system should only be used as a last resort.

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In addition to the BWM Convention, many countries already regulate the discharge of ballast water carried by vessels from country to country to prevent the introduction of invasive and harmful species via such discharges. The United States, for example, requires vessels entering its waters from another country to conduct mid-ocean ballast exchange, or undertake some alternate measure, and to comply with certain reporting requirements.

The IMO adopted the CLC. Under the CLC and depending on whether the country in which the damage results is a party to the 1992 Protocol to the CLC, a vessel's registered owner may be strictly liable for pollution damage caused in the territorial waters of a contracting state by discharge of persistent oil, subject to certain exceptions. The 1992 Protocol changed certain limits on liability expressed using the International Monetary Fund currency unit, the Special Drawing Rights. The limits on liability have since been amended so that the compensation limits on liability were raised. The right to limit liability is forfeited under the CLC where the spill is caused by the shipowner's actual fault and under the 1992 Protocol where the spill is caused by the shipowner's intentional or reckless act or omission where the shipowner knew pollution damage would probably result. The CLC requires ships over 2,000 tons covered by it to maintain insurance covering the liability of the owner in a sum equivalent to an owner's liability for a single incident. We have protection and indemnity insurance for environmental incidents. P&I Clubs in the International Group issue the required "Blue Cards" to enable signatory states to issue certificates. All of our vessels are in possession of a CLC State issued certificate attesting that the required insurance coverage is in force.

The IMO also adopted the International Convention on Civil Liability for Bunker Oil Pollution Damage, or the Bunker Convention, to impose strict liability on ship owners (including the registered owner, bareboat charterer, manager or operator) for pollution damage in jurisdictional waters of ratifying states caused by discharges of bunker fuel. The Bunker Convention requires registered owners of ships over 1,000 gross tons to maintain insurance for pollution damage in an amount equal to the limits of liability under the applicable national or international limitation regime (but not exceeding the amount calculated in accordance with the LLMC). With respect to non-ratifying states, liability for spills or releases of oil carried as fuel in ship's bunkers typically is determined by the national or other domestic laws in the jurisdiction where the events or damages occur.

Ships are required to maintain a certificate attesting that they maintain adequate insurance to cover an incident. In jurisdictions, such as the United States where the CLC or the Bunker Convention has not been adopted, various legislative schemes or common law govern, and liability is imposed either on the basis of fault or on a strict-liability basis.

*Anti-Fouling Requirements*

In 2001, the IMO adopted the International Convention on the Control of Harmful Anti-fouling Systems on Ships, or the "Anti-fouling Convention." The Anti-fouling Convention, which entered into force on September 17, 2008, prohibits the use of organotin compound coatings to prevent the attachment of mollusks and other sea life to the hulls of vessels. Vessels of over 400 gross tons engaged in international voyages will also be required to undergo an initial survey before the vessel is put into service or before an International Anti-fouling System Certificate is issued for the first time; and subsequent surveys when the anti-fouling systems are altered or replaced. Vessels of 24 meters in length or more but less than 400 gross tonnage engaged in international voyages will have to carry a Declaration of Anti-fouling Systems signed by the owner or authorized agent. We have obtained Anti-fouling System Certificates for all of our vessels that are subject to the Anti-fouling Convention.

In November 2020, MEPC 75 approved draft amendments to the Anti-fouling Convention to prohibit anti-fouling systems containing cybutryne, which would apply to ships from January 1, 2023, or, for ships already bearing such an antifouling system, at the next scheduled renewal of the system after that date, but no later than 60 months following the last application to the ship of such a system. In addition, the IAFS Certificate has been updated to address compliance options for anti-fouling systems to address cybutryne. Ships which are affected by this ban on cybutryne must receive an updated IAFS Certificate no later than two years after the entry into force of these amendments. Ships which are not affected (i.e., with antifouling systems which do not contain cybutryne) must receive an updated IAFS Certificate at the next Anti-fouling application to the vessel. These amendments were formally adopted at MEPC 76 in June 2021 and entered into force on January 1, 2023.

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*Compliance Enforcement*

Noncompliance with the ISM Code or other IMO regulations may subject the ship owner or bareboat charterer to increased liability, may lead to decreases in available insurance coverage for affected vessels and may result in the denial of access to, or detention in, some ports. The USCG and EU authorities prohibit vessels not in compliance with the ISM Code by applicable deadlines from trading in U.S. and EU ports, respectively. As of the date of this report, each of our vessels is ISM Code certified. However, there can be no assurance that such certificates will be maintained in the future**.** The IMO continues to review and introduce new regulations. It is impossible to predict what additional regulations, if any, may be passed by the IMO and what effect, if any, such regulations might have on our operations.

***U.S. Regulations***

*The U.S. Oil Pollution Act of 1990 and the Comprehensive Environmental Response, Compensation and Liability Act*

The U.S. Oil Pollution Act of 1990, or the OPA, established an extensive regulatory and liability regime for the protection and cleanup of the environment from oil spills. OPA affects all "owners and operators" whose vessels trade or operate within the United States., its territories and possessions or whose vessels operate in U.S. waters, which includes the U.S' territorial sea and its 200 nautical mile exclusive economic zone around the United States. The United States has also enacted the Comprehensive Environmental Response, Compensation and Liability Act, or CERCLA, which applies to the discharge of hazardous substances other than oil, except in limited circumstances, whether on land or at sea. OPA and CERCLA both define "owner and operator" in the case of a vessel as any person owning, operating or chartering by demise, the vessel. Both OPA and CERCLA impact our operations.

Under OPA, vessel owners and operators are "responsible parties" and are jointly, severally and strictly liable (unless the spill results solely from the act or omission of a third party, an act of God or an act of war) for all containment and clean-up costs and other damages arising from discharges or threatened discharges of oil from their vessels, including bunkers (fuel). OPA defines these other damages broadly to include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• injury to, destruction or loss of, or loss of use of, natural resources and related assessment costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• injury to, or economic losses resulting from, the destruction of real and personal property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• loss of subsistence use of natural resources that are injured, destroyed or lost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• net loss of taxes, royalties, rents, fees or net profit revenues resulting from injury, destruction or loss of real or personal property, or natural resources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lost profits or impairment of earning capacity due to injury, destruction or loss of real or personal property or natural resources; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• net cost of increased or additional public services necessitated by removal activities following a discharge of oil, such as protection from fire, safety or health hazards, and loss of subsistence use of natural resources.

OPA contains statutory caps on liability and damages; such caps do not apply to direct cleanup costs. On December 23, 2022, the USCG issued a final rule to adjust the limitation of liability under the OPA. Effective March 23, 2023, the new adjusted limits of OPA liability for a tank vessel, other than a single-hull tank vessel, over 3,000 gross tons liability to the greater of $2,500 per gross ton or $21,521,300 (previous limit was $2,300 gross ton or $19,943,400). Effective March 23, 2023, the new adjusted limits of OPA liability for non-tank vessels, edible oil tank vessels, and any oil spill response vessels, to the greater of $1,300 per gross ton or $1,076,000 (previous limit was $1,200 gross ton or $997,100). These limits of liability do not apply if an incident was proximately caused by the violation of an applicable U.S. federal safety, construction or operating regulation by a responsible party (or its agent, employee or a person acting pursuant to a contractual relationship), or a responsible party's gross negligence or willful misconduct. The limitation on liability similarly does not apply if the responsible party fails or refuses to (i) report the incident as required by law where the responsible party knows or has reason to know of the incident; (ii) reasonably cooperate and assist as requested in connection with oil removal activities; or (iii) without sufficient cause, comply with an order issued under the Federal Water Pollution Act (Section 311 (c), (e)) or the Intervention on the High Seas Act.

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CERCLA contains a similar liability regime whereby owners and operators of vessels are liable for cleanup, removal and remedial costs, as well as damages for injury to, or destruction or loss of, natural resources, including the reasonable costs associated with assessing the same, and health assessments or health effects studies. There is no liability if the discharge of a hazardous substance results solely from the act or omission of a third party, an act of God or an act of war. Liability under CERCLA is limited to the greater of $300 per gross ton or $5.0 million for vessels carrying a hazardous substance as cargo and the greater of $300 per gross ton or $500,000 for any other vessel. These limits do not apply (rendering the responsible person liable for the total cost of response and damages) if the release or threat of release of a hazardous substance resulted from willful misconduct or negligence, or the primary cause of the release was a violation of applicable safety, construction or operating standards or regulations. The limitation on liability also does not apply if the responsible person fails or refused to provide all reasonable cooperation and assistance as requested in connection with response activities where the vessel is subject to OPA.

OPA and CERCLA each preserve the right to recover damages under existing law, including maritime tort law. OPA and CERCLA both require owners and operators of vessels to establish and maintain with the USCG evidence of financial responsibility sufficient to meet the maximum amount of liability to which the particular responsible person may be subject. Vessel owners and operators may satisfy their financial responsibility obligations by providing a proof of insurance, a surety bond, qualification as a self-insurer or a guarantee. We comply and plan to comply going forward with the USCG's financial responsibility regulations by providing applicable certificates of financial responsibility.

OPA specifically permits individual states to impose their own liability regimes with regard to oil pollution incidents occurring within their boundaries, provided they accept, at a minimum, the levels of liability established under OPA. Some states have enacted legislation providing for unlimited liability for oil spills, and many U.S. states that border a navigable waterway have enacted environmental pollution laws that impose strict liability on a person for removal costs and damages resulting from a discharge of oil or a release of a hazardous substance. Moreover, some states have enacted legislation providing for unlimited liability for discharge of pollutants within their waters, although in some cases, states which have enacted this type of legislation have not yet issued implementing regulations defining vessel owners' responsibilities under these laws. These laws may be more stringent than U.S. federal law. The Company intends to comply with all applicable state regulations in the ports where the Company's vessels call.

We currently maintain pollution liability coverage insurance in the amount of $1 billion per incident for each of our vessels. If the damages from a catastrophic spill were to exceed our insurance coverage, it could have an adverse effect on our business and results of operation.

*Other U.S. Environmental Initiatives*

The U.S. Clean Air Act of 1970 (including its amendments of 1977 and 1990), or the CAA, requires the EPA to promulgate standards applicable to emissions of volatile organic compounds and other air contaminants. Our vessels are subject to vapor control and recovery requirements for certain cargoes when loading, unloading, ballasting, cleaning and conducting other operations in regulated port areas. The CAA also requires states to draft State Implementation Plans, or SIPs, designed to attain national health-based air quality standards in each state. Although state-specific, SIPs may include regulations concerning emissions resulting from vessel loading and unloading operations by requiring the installation of vapor control equipment. Our vessels operating in such regulated port areas with restricted cargoes are equipped with vapor recovery treatment systems that satisfy these existing requirements.

The U.S. Clean Water Act, or the CWA, prohibits the discharge of oil, hazardous substances and ballast water in U.S. navigable waters unless authorized by a duly-issued permit or exemption, and imposes strict liability in the form of penalties for any unauthorized discharges. The CWA also imposes substantial liability for the costs of removal, remediation and damages and complements the remedies available under OPA and CERCLA.

The EPA and the USCG have also enacted rules relating to ballast water discharge, compliance with which requires the installation of equipment on our vessels to treat ballast water before it is discharged or the implementation of other port facility disposal arrangements or procedures at potentially substantial costs, and/or otherwise restrict our vessels from entering the U.S. waters. The EPA will regulate these ballast water discharges and other discharges incidental to the normal operation of certain vessels within U.S. waters pursuant to VIDA, which was signed into law on December 4, 2018 and replaces the 2013 VGP program and current Coast Guard ballast water management regulations adopted under NISA. VIDA establishes a new framework for the regulation of vessel incidental discharges under the CWA, requires the EPA to develop performance standards for those discharges within two years of enactment, and requires the U.S. Coast Guard to develop implementation, compliance, and enforcement regulations within two years of EPA's promulgation of standards. In October 2024, the EPA

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finalized its rule on Vessel Incidental Discharge Standards of Performance, which means that the USCG must now develop corresponding regulations regarding ballast water within two years of that date. Under VIDA, all provisions of the 2013 VGP and USCG regulations regarding ballast water treatment remain in force and effect until the EPA and U.S. Coast Guard regulations are finalized. Non-military, non-recreational vessels greater than 79 feet in length must continue to comply with the requirements of the VGP, including submission of a Notice of Intent, or the NOI, or retention of a PARI form and submission of annual reports. We have submitted NOIs for our vessels where required. Compliance with the EPA, U.S. Coast Guard and state regulations could require the installation of ballast water treatment equipment on our vessels or the implementation of other port facility disposal procedures at potentially substantial cost, or may otherwise restrict our vessels from entering U.S. waters.

***EU Regulations***

In October 2009, the European Union amended a directive to impose criminal sanctions for illicit ship-source discharges of polluting substances, including minor discharges, if committed with intent, recklessly or with serious negligence and the discharges individually or in the aggregate result in deterioration of the quality of water. Aiding and abetting the discharge of a polluting substance may also lead to criminal penalties. The directive applies to all types of vessels, irrespective of their flag, but certain exceptions apply to warships or where human safety or that of the ship is in danger. Criminal liability for pollution may result in substantial penalties or fines and increased civil liability claims. Regulation (EU) 2015/757 of the European Parliament and of the Council of 29 April 2015 (amending EU Directive 2009/16/EC) governs the monitoring, reporting and verification of carbon dioxide emissions from maritime transport, and, subject to some exclusions, requires companies with ships over 5,000 gross tonnage to monitor and report carbon dioxide emissions annually, which may cause us to incur additional expenses.

The European Union has adopted several regulations and directives requiring, among other things, more frequent inspections of high-risk ships, as determined by type, age, and flag as well as the number of times the ship has been detained. The European Union also adopted and extended a ban on substandard ships and enacted a minimum ban period and a definitive ban for repeated offenses. The regulation also provided the European Union with greater authority and control over classification societies, by imposing more requirements on classification societies and providing for fines or penalty payments for organizations that failed to comply. Furthermore, the European Union has implemented regulations requiring vessels to use reduced sulfur content fuel for their main and auxiliary engines. The EU Directive 2005/33/EC (amending Directive 1999/32/EC) introduced requirements parallel to those in Annex VI relating to the sulfur content of marine fuels. In addition, the European Union imposed a 0.1% maximum sulfur requirement for fuel used by ships at berth in the Baltic, the North Sea and the English Channel , or the so called SOx-Emission Control Area. As of January 2020, EU member states must also ensure that ships in all EU waters, except the SOx-Emission Control Area, use fuels with a 0.5% maximum sulfur content.

On September 15, 2020, the European Parliament voted to include greenhouse gas emissions from the maritime sector in the European Union's carbon market, the EU ETS as part of its "Fit-for-55" legislation to reduce net greenhouse gas emissions by at least 55% by 2030. This will require shipowners to buy permits to cover these emissions. On December 18, 2022, the Environmental Council and European Parliament agreed on a gradual introduction of obligations for shipping companies to surrender allowances, equivalent to a portion of their carbon emissions: 40% for verified emissions from 2024, 70% for 2025 and 100% for 2026. Most large vessels will be included in the scope of the EU ETS from the start. Big offshore vessels of 5,000 gross tonnage and above will be included on the monitoring, reporting and verification, or the MRV, of CO2 emissions from maritime transport regulation from 2025 and in the EU ETS from 2027. General cargo vessels and offshore vessels between 400-5,000 gross tonnage will be included in the MRV regulation from 2025 and their inclusion in EU ETS will be reviewed in 2026. Furthermore, starting from January 1, 2026, the ETS regulations will expand to include emissions of two additional greenhouse gases: nitrous oxide and methane.

From January 1, 2025, the European Union adopted the FuelEU Maritime regulation, a proposal included in the "Fit-for-55" legislation. FuelEU Maritime sets requirements on the annual average GHG intensity of energy used by ships trading within the EU/EEA. This intensity is measured as GHG emissions per energy unit (gCO2e/MJ) and, in turn, GHG emissions are calculated in a well-to-wake perspective. The calculation takes into account emissions related to the extraction, cultivation, production and transportation of fuel, in addition to emissions from energy used on board the ship. The baseline for the calculation is the average well-to-wake GHG intensity of the fleet in 2020: 91.16 gCO2e/MJ. This will start at a 2% reduction in 2025, increasing to 6% in 2030, and accelerating from 2035 to reach an 80% reduction by 2050.

Compliance with the EU ETS and FuelEU Maritime regulations will result in additional compliance and administration costs to properly incorporate the provisions of the Directive into our business routines. Additional EU regulations which are part of the EU's "Fit-for-55," could also affect our financial position in terms of compliance and administration costs when they take effect.

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***International Labour Organization***

&nbsp;&nbsp;&nbsp;&nbsp;The International Labour Organization, or the ILO, is a specialized agency of the UN that has adopted the Maritime Labor Convention 2006, or the MLC 2006. A Maritime Labor Certificate and a Declaration of Maritime Labor Compliance is required to ensure compliance with the MLC 2006 for all ships that are 500 gross tonnage or over and are either engaged in international voyages or flying the flag of a Member and operating from a port, or between ports, in another country. We believe that all our vessels are in compliance with and are certified to meet MLC 2006.

***Greenhouse Gas Regulation***

Currently, the emissions of greenhouse gases from international shipping are not subject to the Kyoto Protocol to the United Nations Framework Convention on Climate Change, or the Kyoto Protocol, which entered into force in 2005 and pursuant to which adopting countries have been required to implement national programs to reduce greenhouse gas emissions. International negotiations are continuing with respect to a successor to the Kyoto Protocol, and restrictions on shipping emissions may be included in any new treaty. In December 2009, more than 27 nations, including the United States and China, signed the Copenhagen Accord, which includes a non-binding commitment to reduce greenhouse gas emissions. The 2015 United Nations Climate Change Conference in Paris resulted in the Paris Agreement, which entered into force on November 4, 2016 and does not directly limit greenhouse gas emissions from ships. The United States is not a party to the Paris Agreement.

At MEPC 70 and MEPC 71, a draft outline of the structure of the initial strategy for developing a comprehensive IMO strategy on reduction of greenhouse gas emissions from ships was approved. In accordance with this roadmap, in April 2018, nations at the MEPC 72 adopted an initial strategy to reduce greenhouse gas emissions from ships. The initial strategy identifies "levels of ambition" to reduce greenhouse gas emissions and notes that technological innovation, alternative fuels and/or energy sources for international shipping will be integral to achieve the ambitions. At MEPC 77, the Member States agreed to initiate the revision of the Initial IMO Strategy on Reduction of GHG emissions from ships, recognizing the need to strengthen the "levels of ambition." In July 2023, MEPC 80 adopted the 2023 IMO Strategy on Reduction of GHG Emissions from Ships (the "2023 IMO Strategy"), which builds upon the initial strategy's levels of ambition. The revised levels of ambition include (1) further decreasing the carbon intensity from ships through improvement of energy efficiency; (2) reducing carbon intensity of international shipping; (3) increasing adoption of zero or near-zero emissions technologies, fuels, and energy sources; and (4) achieving net zero GHG emissions from international shipping. Furthermore, the following indicative checkpoints were adopted in order to reach net zero GHG emissions from international shipping: i) reduce the total annual GHG emissions from international shipping by at least 20%, striving for 30%, by 2030, compared to 2008 levels; and ii). reduce the total annual GHG emissions from international shipping by at least 70%, striving for 80%, by 2040, compared to 2008 levels. As part of the 2023 IMO Strategy, MPEC also created the IMO Net-zero Framework, which will combine mandatory emissions limits and GHG pricing across the industry. The IMO Net-zero Framework was approved at MEPC 83 (Spring 2025) for potential adoption in Spring 2026 and will eventually be included in Annex VI. Under these draft regulations, ships will be required to reduce their annual greenhouse gas fuel intensity ("GFI") calculated using the well-to-wake approach and ships emitting above GFI thresholds will have to acquire remedial units to balance its deficit emissions, while those using zero or near-zero GHG technologies will be eligible for financial rewards. These regulations could cause us to incur additional substantial expenses.

The European Union made a unilateral commitment to reduce overall greenhouse gas emissions from its member states from 20% of 1990 levels by 2020. The European Union also committed to reduce its emissions by 20% under the Kyoto Protocol's second period from 2013 to 2020. As of January 2018, large ships over 5,000 gross tonnage calling at EU ports are required to collect and publish data on carbon dioxide emissions and other information. Under the European Climate Law, the European Union committed to reduce its net greenhouse gas emissions by at least 55% by 2030 through its "Fit-for-55" legislation package. As part of this initiative, regulations relating to the European Union's carbon market has been extended to cover CO2 emissions from all large ships entering EU ports starting January 2024. From January 1, 2025, the European Union adopted the FuelEU Maritime regulation, a proposal included in the "Fit-for-55" legislation. FuelEU Maritime sets requirements on the annual average GHG intensity of energy used by ships trading within the EU/EEA.

In the United States, the EPA issued a finding that greenhouse gases endanger the public health and safety, adopted regulations to limit greenhouse gas emissions from certain mobile sources, and proposed regulations to limit greenhouse gas emissions from large stationary sources. However, in March 2017, the Trump administration issued an executive order to review and possibly eliminate the EPA's plan to cut greenhouse gas emissions, and on August 13, 2020, the EPA released rules rolling back standards to control methane and volatile organic compound emissions from new oil and gas facilities. In early 2021, the Biden administration directed the EPA to publish a proposed rule suspending, revising, or rescinding certain of these rules, which was finalized in December 2023. However, the current administration is delaying these requirements limiting

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methane emissions and is considering repealing the measure altogether. Therefore, it is unclear how such environmental could affect our operations.

Any passage of climate control legislation or other regulatory initiatives by the IMO, the European Union, the United States or other countries where we operate, or any treaty adopted at the international level to succeed the Kyoto Protocol or Paris Agreement, that restricts emissions of greenhouse gases could require us to make significant financial expenditures which we cannot predict with certainty at this time. Even in the absence of climate control legislation, our business may be indirectly affected to the extent that climate change may result in sea level changes or certain weather events.

***Vessel Security Regulations***

Since the terrorist attacks of September 11, 2001 in the United States, there have been a variety of initiatives intended to enhance vessel security such as the U.S. Maritime Transportation Security Act of 2002, or the MTSA. To implement certain portions of the MTSA, the USCG issued regulations requiring the implementation of certain security requirements aboard vessels operating in waters subject to the jurisdiction of the United States and at certain ports and facilities, some of which are regulated by the EPA.

Similarly, Chapter XI-2 of the SOLAS Convention imposes detailed security obligations on vessels and port authorities and mandates compliance with the ISPS Code. The ISPS Code is designed to enhance the security of ports and ships against terrorism. To trade internationally, a vessel must attain an International Ship Security Certificate, or the ISSC, from a recognized security organization approved by the vessel's flag state. Ships operating without a valid certificate may be detained, expelled from, or refused entry at port until they obtain an ISSC.

The USCG regulations, intended to align with international maritime security standards, exempt non-U.S. vessels from MTSA vessel security measures, provided such vessels have on board a valid ISSC that attests to the vessel's compliance with the SOLAS Convention security requirements and the ISPS Code. Future security measures could have a significant financial impact on us. We intend to comply with the various security measures addressed by MTSA, the SOLAS Convention and the ISPS Code.

The cost of vessel security measures has also been affected by the escalation in the frequency of acts of piracy against ships, notably off the coast of Somalia, including the Gulf of Aden and Arabian Sea area. Substantial loss of revenue and other costs may be incurred as a result of detention of a vessel or additional security measures, and the risk of uninsured losses could significantly affect our business. Costs are incurred in taking additional security measures in accordance with Best Management Practices to Deter Piracy, notably those contained in the BMP5 industry standard.

**Inspection by Classification Societies**

The hull and machinery of every commercial vessel must be classed by a classification society authorized by its country of registry. The classification society certifies that a vessel is safe and seaworthy in accordance with the applicable rules and regulations of the country of registry of the vessel and SOLAS.

A vessel must undergo annual surveys, intermediate surveys, drydockings and special surveys. In lieu of a special survey, a vessel's machinery may be on a continuous survey cycle, under which the machinery would be surveyed periodically over a five-year period. Every vessel also requires an underwater inspection every 30-36 months. If any vessel does not maintain its class and/or fails any annual survey, intermediate survey, drydocking or special survey, the vessel will be unable to carry cargo between ports and will be unemployable and uninsurable which could cause us to be in violation of certain covenants in our financing agreements. Any such inability to carry cargo or be employed, or any such violation of covenants, could have a material adverse impact on our financial condition and results of operations.

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**Risk of Loss and Liability Insurance**

***General***

The operation of any cargo vessel includes risks such as mechanical failure, physical damage, collision, property loss, cargo loss or damage and business interruption due to political circumstances in foreign countries, piracy incidents, hostilities and labor strikes. In addition, there is always an inherent possibility of marine disaster, including oil spills and other environmental mishaps, and the liabilities arising from owning and operating vessels in international trade. OPA, which imposes virtually unlimited liability upon shipowners, operators and bareboat charterers of any vessel trading in the exclusive economic zone of the United States for certain oil pollution accidents in the United States, has made liability insurance more expensive for shipowners and operators trading in the U.S. market. We carry insurance coverage as customary in the shipping industry. However, not all risks can be insured, specific claims may be rejected, and we might not be always able to obtain adequate insurance coverage at reasonable rates.

***Marine and War Risks Insurance***

We have in force marine hull and machinery and war risks insurance for all of our vessels. Our marine hull and machinery insurance covers risks of particular and general average and actual or constructive total loss from collision, fire, grounding, engine breakdown and other insured marine perils up to an agreed amount per vessel. Our war risks insurance covers the risks of particular and general average and actual or constructive total loss from acts of war and civil war, terrorism, piracy, confiscation, seizure, capture, vandalism, sabotage, and other war-related named perils. We have also arranged coverage for increased value for each vessel. Under this increased value coverage, in the event of total loss of a vessel, we will be able to recover amounts in excess of those recoverable under the hull and machinery policy in order to compensate for additional costs associated with replacement of the loss of the vessel. Each vessel is covered up to at least its fair market value at the time of the insurance attachment and subject to a fixed deductible per each single accident or occurrence.

***Protection and Indemnity Insurance***

Protection and indemnity insurance is provided by mutual protection and indemnity associations, or P&I Associations, and covers our third-party liabilities in connection with our shipping activities. This includes third-party liability and other related expenses of injury or death of crew, passengers and other third parties, loss or damage to cargo, claims arising from collisions with other vessels, damage to third-party property, pollution arising from oil or other substances, salvage, towing and other related costs, including wreck removal, and other named risks. Protection and indemnity insurance is a form of mutual indemnity insurance, extended by protection and indemnity mutual associations, or "clubs."

Our current protection and indemnity insurance coverage for pollution is $1 billion per vessel per incident. The 12 P&I Associations that comprise the International Group insure approximately 90% of the world's commercial tonnage and have entered into a pooling agreement to reinsure each association's liabilities. The International Group's website states that the Pool provides a mechanism for sharing all claims in excess of US$10 million up to, currently, approximately US$3.1 billion. As a member of a P&I Association, which is a member of the International Group, we are subject to calls payable to the associations based on our claim records as well as the claim records of all other members of the individual associations and their participation in the pool of P&I Associations comprising the International Group.

**Permits and Authorizations**

We are required by various governmental and quasi-governmental agencies to obtain certain permits, licenses and certificates with respect to our vessels. The permits, licenses and certificates that are required depend upon several factors, including the commodity transported, the waters in which the vessel operates, the nationality of the vessel's crew and the age of the vessel. We have obtained all permits, licenses and certificates currently required to permit our vessels to operate. Additional laws and regulations, environmental or otherwise, may be adopted which could limit our ability to do business or increase the cost of us doing business.

**LNG Safety**

LNG shipping is generally safe relative to other forms of commercial marine transportation. In the past forty years, there have been no significant accidents or cargo spillages involving an LNG carrier, even though over 40,000 LNG voyages have been made during that time.

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LNG is non-toxic and non-explosive in its liquid state. It only becomes explosive or inflammable when it is heated, vaporized, and in a confined space within a narrow range of concentrations in the air (5% to 15%). The risks and hazards from an LNG spillage vary depending on the size of the spillage, the environmental conditions, and the site at which the spillage occurs.

**Competition**

We operate in markets that are highly competitive and based primarily on supply and demand. The process of obtaining new time charters generally involves intensive screening and competitive bidding, and often extends for several months. LNG carrier time charters are generally awarded based upon a variety of factors relating to the vessel operator, including but not limited to price, customer relationships, operating expertise, professional reputation and size, age and condition of the vessel. We believe that the LNG shipping industry is characterized by the significant time required to develop the operating expertise and professional reputation necessary to obtain and retain charterers.

We expect substantial competition for providing marine transportation services for potential LNG projects from a number of experienced companies, including state-sponsored entities and major energy companies. Many of these competitors have significantly greater financial resources and larger and more versatile fleets than we do. We anticipate that an increasing number of marine transportation companies, including many with strong reputations and extensive resources and experience, will enter the LNG transportation market. This increased competition may cause greater price competition for time charters.

**Seasonality**

Historically, LNG trade, and therefore charter rates, increased in the winter months and eased in the summer months as demand for LNG in the Northern Hemisphere rose in colder weather and fell in warmer weather. The LNG industry in general has become less dependent on the seasonal transport of LNG than a decade ago as new uses for LNG have developed, spreading consumption more evenly over the year. There is a higher seasonal demand during the summer months due to energy requirements for air conditioning in some markets and a pronounced higher seasonal demand during the winter months for heating in other markets.

Please see "Item 3. Key Information - Risk factors – Risks Related to Our Industry" for a discussion of the impact of inflation and global conflicts to our business

**C.&nbsp;&nbsp;&nbsp;&nbsp;Organizational Structure**

FLEX LNG was initially incorporated under the laws of the British Virgin Islands in 2006 and re-domiciled, by way of continuation, into Bermuda in 2017. We operate principally through our wholly-owned subsidiaries, which are incorporated in Bermuda, the United Kingdom, Norway, the Isle of Man and the Marshall Islands. A list of our subsidiaries is filed herewith as Exhibit 8.1.

**D.&nbsp;&nbsp;&nbsp;&nbsp;Property, Plants and Equipment**

We own no properties other than our vessels. For a description of our Fleet, see "Item 4. Information on the Company—B. Business Overview—Our Fleet."

We lease office space in Oslo, Norway from Front Ocean Management AS, a related party.

**ITEM 4A.&nbsp;&nbsp;&nbsp;&nbsp;UNRESOLVED STAFF COMMENTS**

None.

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**ITEM 5.&nbsp;&nbsp;&nbsp;&nbsp;OPERATING AND FINANCIAL REVIEW AND PROSPECTS**

The following presentation of management's discussion and analysis of results of operations and financial condition should be read in conjunction with our audited consolidated financial statements, and related notes, and other financial information appearing in "Item 18. Financial Statements." You should also carefully read the following discussion with the sections of this Annual Report entitled "Item 3. Key Information—D. Risk Factors," "Item 4. Information on the Company—B. Business Overview," and "Cautionary Statement Regarding Forward-Looking Statements." This discussion contains forward-looking statements that reflect our current views with respect to future events and financial performance. Our actual results may differ materially from those anticipated in these forward-looking statements as a result of certain factors, such as those set forth in "Item 3. Key Information—D. Risk Factors" and elsewhere in this Annual Report.

The audited consolidated financial statements as of and for the years ended December 31, 2025, 2024 and 2023 have been prepared in accordance with U.S. GAAP. The financial statements are presented in U.S. dollars.

**A.&nbsp;&nbsp;&nbsp;&nbsp;Operating Results**

**Important Financial and Operational Terms and Concepts**

We use a variety of financial and operational terms and concepts when analyzing our performance. These include the following:

***Vessel Operating Revenues***. Our time charter revenues are driven primarily by the number of vessels in our Fleet, the amount of daily charter hire that our LNG carriers earn under time charters and the number of revenue earning days during which our vessels generate revenues. These factors are, in turn, affected by our decisions relating to vessel acquisitions, the amount of time that our LNG carriers spend drydocked undergoing repairs, maintenance and upgrade work, the age, condition and specifications of our vessels and the levels of supply and demand in the LNG carrier charter market. Our revenues will also be affected if any of our charterers cancel a time charter or if we agree to renegotiate charter terms during the term of a charter resulting in aggregate revenue reduction. Our time charter arrangements have been contracted in varying rate environments and expire at different times. The Company employs all of its vessels on time charter contracts, which the Company has established to contain a lease since the vessel is a specified asset, the charterer has the right to direct the use of the vessel and there are no substantive substitution rights. All revenue from time charter contracts is recognized as operating leases under ASC 842 *Leases*. We recognize revenues from time charters over the term of the charter as the applicable vessel operates under the charter. Under time charters, revenue is not recognized during days a vessel is offhire. Revenue is recognized from delivery of the vessel to the charterer, until the end of the time charter period. Under time charters, we are responsible for providing the crewing and other services related to the vessel's operations, the cost of which is included in the daily hire rate, except when offhire. Additionally, under our time charter arrangements, the charterers are required to provide us with EUAs arising under the EU ETS, and the value of the EUAs is recorded within operating lease revenue.

Refer to Note 2 in the Financial Statements for additional information related to ASC 842.

***Offhire (Including Commercial Waiting Time)***. When a vessel is "offhire"—or not available for service—the charterer generally is not required to pay the time charter hire rate and we are responsible for all costs. Prolonged offhire may lead to vessel substitution or termination of a time charter. Our vessels may be out of service, that is, offhire, for several reasons: scheduled drydocking or special survey, vessel upgrades, maintenance or inspection, which we refer to as scheduled offhire; days spent waiting or positioning for a charter, which we refer to as commercial waiting time; and unscheduled repairs, maintenance, operational efficiencies, equipment breakdown, accidents, crewing strikes, certain vessel detentions or similar problems, or our failure to maintain the vessel in compliance with its specifications and contractual standards or to provide the required crew, which we refer to as unscheduled offhire. We have obtained loss of hire insurance to protect us against loss of income in the event one of our vessels cannot be employed due to damage caused by perils that are covered under the terms of our hull and machinery insurance. Under our loss of hire policies, our insurers will generally pay us the hire rate agreed in the policy in respect of each vessel for each day in excess of 14 days and with a maximum period of 180 days.

***Available days*.** We define available days as the aggregate number of days in a period that each vessel in our Fleet has been owned by us. Available days are an indicator of the size of our Fleet over a period and the potential amount of revenue and expenses that we record during a period

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***Onhire days*.** We define onhire days as available days less aggregate offhire days associated with major scheduled maintenance, which principally include drydockings, special or intermediate surveys, vessel upgrades or major repairs. We use onhire days to measure the number of days in a period that our operated vessels should be capable of generating revenues.

***Voyage Expenses***. Voyage expenses primarily include port and canal charges, bunker (fuel) expenses, broker commissions, and the cost of EUAs and broker fees which are paid for by the charterer under our time charter arrangements or by us during periods of offhire. We may incur voyage related expenses when positioning or repositioning vessels before or after the period of a time charter, during periods of commercial waiting time or while offhire during a period of drydocking. Voyage expenses can be higher when vessels trade on shorter term charters or in the spot market due to fuel consumption during idling, cool down requirements, commercial waiting time in between charters and positioning and repositioning costs. From time to time, in accordance with industry practice, we pay commissions ranging up to 1.25% of the total daily charter rate under the charters to unaffiliated ship brokers, depending on the number of brokers involved with arranging the charter. Under the EU ETS, we are required to surrender EUAs equivalent to the emissions from voyages either starting in or ending in an EU port. Under our time charter agreements, we receive EUAs equivalent to the emissions from such voyages and the corresponding revenue is recognized within vessel operating revenues, unless the voyage is during a period of offhire.

***Vessel Operating Expenses***. Vessel operating expenses include crew wages and related costs, performance claims, the cost of insurance, expenses for repairs and maintenance, the cost of spares and consumable stores, lubricant costs, statutory and classification expenses, forwarding and communications expenses and other miscellaneous expenses. Vessel operating expenses are paid by the ship-owner under time charters and are recognized as expenses when incurred. We expect that insurance costs, drydocking and maintenance costs will increase as our vessels age. Factors beyond our control, some of which may affect the shipping industry in general, for instance, developments relating to market premiums for insurance, industry and regulatory requirements and changes in the market price of lubricants due to increases in oil prices, may also cause vessel operating expenses to increase.

***Drydocking***. We must periodically drydock each of our vessels for inspection, repairs and maintenance and any modifications required to comply with industry certification or governmental requirements. In accordance with industry certification requirements, we have a mandatory obligation to drydock our vessels every five years. Special survey and drydocking costs (consisting of direct costs, including shipyard costs, paints and class renewal expense, and peripheral costs, including spare parts, service engineer attendance) are capitalized and depreciated over the period until the next drydock. The number of drydockings undertaken in a given period and the nature of the work performed determine the level of drydocking expenditures.

***&nbsp;&nbsp;&nbsp;&nbsp;Depreciation***. We depreciate the cost of our vessels on the basis of two components: a vessel component and a drydocking component. We depreciate our LNG carriers on a straight-line basis over their remaining useful economic lives. Depreciation is based on the cost of the vessel less its estimated salvage value. We estimate the useful life of the LNG carriers in our Fleet to be 35 years from their initial delivery from the shipyard, consistent with LNG industry practice. The estimated residual value is based on the steel value of the tonnage for each vessel. The assumptions made reflect our experience, market conditions and the current practice in the LNG industry; however they required more discretion since there is a lack of historical references in scrap prices of similar types of vessels. The drydocking component of the vessel's cost is depreciated over five years (the period within which each vessel is required to be drydocked). We capitalize the costs associated with the drydocking and amortize these costs on a straight-line basis over the period to the next expected drydocking. We have adopted the "built in overhaul" method for when a vessel is newly acquired, or constructed, whereby a proportion of the cost of the vessel is allocated to the components expected to be replaced at the next drydocking based on the expected costs relating to the next drydocking.

***&nbsp;&nbsp;&nbsp;&nbsp;Interest expense***. We incur interest expense on outstanding indebtedness under our existing debt agreements which we include in interest expense. Interest expense depends on our overall level of borrowings and may significantly increase when we take delivery of, acquire or refinance ships. Interest expense may also change with prevailing interest rates, although interest rate swaps or other derivative instruments may reduce the effect of these changes. We also incur financing and legal costs in connection with establishing debt agreements, which are deferred and amortized to interest and finance costs using the effective interest method. We may incur additional interest expense in the future on our outstanding borrowings and under future borrowings. For a description of our existing credit facilities, please see "Item 5. Operating and Financial Review and Prospects —B. Liquidity and Capital Resources—Our Borrowing Activities."

***Vessel Useful Lives and Impairment***. Vessels are reviewed for impairment quarterly or whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group to be tested for possible impairment, we first compare the undiscounted cash flows expected to be generated by

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that asset to its carrying value. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals as considered necessary. Since our inception, no impairment loss was recorded in any of our Fleet's vessels.

***Gain/(Loss) on Derivatives***. We are exposed to interest rate fluctuations primarily due to our floating rate interest-bearing long-term debt. Certain of our current bank and lease financing agreements bear floating interest rates, based on SOFR. Significant adverse fluctuations in floating interest rates could adversely affect our operating and financial performance and subsequently, our ability to service our debt. As such, the Company has entered into interest rate swap derivative instruments to reduce the Company's exposure to adverse fluctuations in interest rates. The Company has elected to not apply hedge accounting for these derivatives. Any positive or negative changes in the fair market value, or mark-to-market valuation, are recorded as an increase or decrease to the asset or liability position of such swap, with the corresponding entry recorded as a gain/(loss) on derivatives in the consolidated statement of operations. Interest expense or income on the realized settlement of interest rate swaps are recorded on an accrual basis, also as gain/(loss) on derivatives in the consolidated statement of operations.

**Results of Operations**

**Year ended December 31, 2025 compared with the year ended December 31, 2024** 

***Vessel operating revenues***

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Vessel operating revenues | **347637** | 356349 | (8712) |

---

Vessel operating revenues decreased to $347.6 million for the year ended December 31, 2025 compared to $356.3 million for the year ended December 31, 2024. The decrease in vessel operating revenues was primarily due to the lower revenue from *Flex Constellation* and *Flex Artemis,* as a result of operating in the spot market at lower charter rates, following redelivery from the long term contracts. Furthermore, revenue decreased due to the completion of four drydockings in 2025 for vessels *Flex Aurora*, *Flex Resolute*, *Flex Artemis* and *Flex Amber* compared to a total of two drydockings in 2024, thus resulting in higher offhire days for the period. These effects are partially offset by positive revenue from the amendment to the *Flex Resolute* and *Flex Courageous* time charter agreements in November 2024. In addition, the Company recorded revenue of $7.8 million related to EUAs for the year ended December 31, 2025, compared to $1.4 million recorded for the year ended December 31, 2024. These EUAs are receivable from our charterers under the time charter contracts and an equivalent amount has been recorded under Voyage expenses for the year.

***Voyage expenses***

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Voyage expenses | **(12372)** | (3368) | (9003) |

---

&nbsp;&nbsp;&nbsp;&nbsp;Voyage expenses, which include voyage specific expenses, broker commissions, EUAs and bunkers consumption, for the year ended December 31, 2025 amounted to $12.4 million, compared to $3.4 million for the year ended December 31, 2024. The increase in voyage expenses is due to the accrual of $7.8 million in relation to the obligation to settle EUAs under the EU ETS compared to $1.4 million accrued in 2024. In addition, the Company incurred higher costs related to bunker consumption on the vessels trading in the spot market.

***Vessel operating expenses***

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Vessel operating expenses | **(74876)** | (69918) | (4959) |

---

Vessel operating expenses, including claim expense and technical operating expenses, such as crewing, insurance, lubes and repairs and maintenance, for the year ended December 31, 2025 amounted to $74.9 million compared to $69.9 million for the year ended December 31, 2024. The increase in vessel operating expenses is due to higher costs related to crew changes and additional costs incurred for routine auxiliary engine maintenance, as a result of vessels reaching running hour milestones.

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***Administrative expenses***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Administrative Expenses | **(7966)** | (9788) | 1822 |

---

Administrative expenses decreased by $1.8 million to $8.0 million for the year ended December 31, 2025 (December 31, 2024: $9.8 million). The decrease in administrative expenses is principally due to the reduction in the cost of share option schemes and related taxes compared to 2024.

***Depreciation***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Depreciation | **(76619)** | (75482) | (1137) |

---

Depreciation expense for the year ended December 31, 2025 was $76.6 million, compared to $75.5 million for the year ended December 31, 2024. The increase in depreciation is as a result of ten drydocks completed between 2023 and 2025, which were capitalized at a higher cost than the initial drydock component capitalized upon the delivery of each vessel from the shipyard.

***Interest income***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Interest income | **4088** | 4467 | (379) |

---

Interest income was $4.1 million for the year ended December 31, 2025 compared to $4.5 million for the year ended December 31, 2024.

***Interest expense***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Interest expense | **(92625)** | (105588) | 12963 |

---

Interest expense was $92.6 million for the year ended December 31, 2025 compared to $105.6 million for the year ended December 31, 2024. The decrease in interest expense is primarily due to the decrease in the floating rate of interest.

***Extinguishment costs of long-term debt***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Extinguishment costs of long-term debt | **(4069)** | (637) | (3432) |

---

In the year ended December 31, 2025, we incurred extinguishment costs on long-term debt of $4.1 million, compared to $0.6 million for the year ended December 31, 2024. In 2025, the Company recorded a write-off of unamortized debt issuance costs of $2.8 million and direct exit costs of $1.3 million in relation to the extinguishment of the $320 Million Sale and Leaseback facility and the Flex Resolute $150 Million Facility as part of the Company's refinancing under the balance sheet optimization program.

***Gain on derivatives***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Gain/(loss) on derivatives | **(7448)** | 22838 | (30286) |

---

Loss on derivatives was $7.4 million for the year ended December 31, 2025, which includes a net unrealized loss of $22.6 million and a net realized gain on derivatives of $15.2 million. This compares to a gain on derivatives of $22.8 million for the year ended December 31, 2024, which includes a net unrealized gain of $1.8 million and a net realized gain of $21.0 million. The net unrealized gain/(loss) on derivatives is primarily derived from the movements in the fair value of the interest rate swaps which will fluctuate based on changes in the total notional amount and the movement in the long-term

------

floating rate of interest during the period. Whereas, the realized gain/(loss) on derivative settlements will be affected by changes in the shorter term floating rate of interest compared to the respective agreements' fixed rate of interest.

***Other financial item***s

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Other financial items | **(853)** | (1057) | 204 |

---

Other financial items were a $0.9 million expense for the year ended December 31, 2025 compared to $1.1 million expense for the year ended December 31, 2024.

***Income tax***

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | Change |
| Income tax | **(82)** | (132) | 50 |

---

Income tax expense was $0.1 million for the year ended December 31, 2025 and the year ended December 31, 2024.

For the discussion of our operating results in 2024 compared with 2023, we refer to "Item 5. Operating and Financial Review and Prospects - A. Operating Results" included in our Annual Report on Form 20-F for the year ended December 31, 2024, which was filed with the SEC on February 28, 2025.

**Non-GAAP Financial Information**

***Time Charter Equivalent Rate.*** Time Charter Equivalent, or TCE, rate represents the weighted average daily time charter equivalent income, which is vessel operating revenues less voyage expenses, of our entire operating fleet. TCE income is a common shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot charters and time charters) under which the vessels may be employed between the periods. Time Charter Equivalent income, a non-U.S. GAAP measure, provides additional meaningful information in conjunction with vessel operating revenues, the most directly comparable U.S. GAAP measure, because it assists management in making decisions regarding the deployment and use of our vessels and in evaluating their financial performance. Our calculation of TCE rate may not be comparable to that reported by other companies.

TCE rate is a measure of the average daily income performance. Our method of calculating TCE rate is determined by dividing TCE income by onhire days during a reporting period. Onhire days are calculated on a vessel-by-vessel basis and represent the net of available days and offhire days for each vessel (owned or chartered in) in our possession during a reporting period. Available days for a vessel during a reporting period is the number of days the vessel (owned or chartered in) is in our possession during the period. By definition, available days for an owned vessel equal the calendar days during a reporting period, unless the vessel is delivered by the yard during the relevant period whereas available days for a chartered-in vessel equal the tenure in days of the underlying time charter agreement, pro-rated to the relevant reporting period if such tenure overlaps more than one reporting period. Offhire days for a vessel during a reporting period is the number of days the vessel is in our possession during the period but is not operational as a result of unscheduled repairs, scheduled drydocking or special or intermediate surveys and lay-ups, if any.

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The table below reconciles vessel operating revenues to TCE rate per day.

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $, except for TCE rate and days)* | **2025** | **2024** | **2023** |
| Vessel operating revenues | **347637** | 356349 | 371022 |
| Less: |  |  |  |
| Voyage expenses | **(12372)** | (3368) | (1678) |
| **Time charter equivalent income** | **335265** | **352981** | **369344** |
| Fleet available days | **4745** | 4758 | 4745 |
| Fleet offhire days | **(71)** | (47) | (97) |
| Fleet onhire days | **4674** | 4711 | 4648 |
| **TCE rate** | **71728** | **74927** | **79461** |

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**B.&nbsp;&nbsp;&nbsp;&nbsp;Liquidity and Capital Resources**

**Liquidity and Cash Needs**

We operate in a capital-intensive industry and have financed the purchase of the vessels in our Fleet through a combination of cash generated from operations, equity capital and borrowings under our financing agreements. Payment of amounts outstanding under our debt agreements, and all other commitments that we have entered into are made from the cash available to us.

***Cash***

As of December 31, 2025, we reported cash, cash equivalents and restricted cash of $447.7 million, which represented an increase of $10.5 million, compared to $437.2 million as of December 31, 2024.

***Working Capital Needs***

Working capital is equal to current assets less current liabilities, including the current portion of long-term debt. As of December 31, 2025, we had positive working capital of $337.4 million, as compared to $315.6 million as of December 31, 2024.

Our primary liquidity requirements include payment of operating costs, funding working capital requirements, repayment of bank loans, payment of drydocking, payment of lease obligations and maintaining sufficient cash reserves against fluctuations in operating cash flows and payment of cash distributions. Sources of short-term liquidity include cash balances, revolving credit facilities, restricted cash balances and receipts from customers. We believe that our cash flows from operations, amounts available for borrowing under our financing agreements and our cash balance will be sufficient to meet our existing liquidity requirements for at least the next 12 months from the date of this Annual Report.

**Our Borrowing Activities**

The table below summarizes our sale and leasebacks, secured term loan and revolving credit facilities as of December 31, 2025:

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---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| *(in millions of $)* | **Original facility amount** | **Principal amount outstanding** | **Undrawn amount** | **Interest rate** | **Loan maturity date** |
| Flex Enterprise $150 Million Facility | 150.0 | 118.1 |  | Overnight SOFR | June 2029 |
| $290 Million Facility | 290.0 | 250.1 |  | Overnight SOFR | March 2029 |
| $270 Million Facility | 270.0 | 253.7 |  | Overnight SOFR | February 2030 |
| $330 Million Sale and Leaseback | 330.0 | 279.0 |  | Term SOFR | February 2033<sup>(2)</sup> |
| Flex Rainbow $180 Million Sale and Leaseback | 180.0 | 156.0 |  | Term SOFR <sup>(1)</sup> | February 2033 |
| Flex Endeavour $160 Million Sale and Leaseback | 160.0 | 150.3 |  | Term SOFR <sup>(1)</sup> | June 2034 |
| Flex Courageous $175 Million Sale and Leaseback | 175.0 | 171.3 |  | Term SOFR <sup>(1)</sup> | July 2035 |
| Flex Resolute $175 Million Sale and Leaseback | 175.0 | 173.6 |  | Term SOFR <sup>(1)</sup> | November 2035 |
| Flex Constellation $180 Million Facility | 180.0 | 177.5 |  | Overnight SOFR | March 2041 |
| Flex Volunteer Sale and Leaseback | 160.0 | 131.1 |  | Fixed rate | December 2031 |
| **Total** | **2070.0** | **1860.6** | **—** |  |  |

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<sup>(1)</sup> These sale and leaseback agreements are comprised of a fixed rate of interest and a floating element based on Term SOFR, plus a margin.

<sup>(2)</sup> The agreement has a lease period of ten years, and we have the option to extend the lease period for an additional two years, up to February 2035.

*Flex Enterprise $150 Million Facility*

In September 2022, we signed a $150 million term loan facility with a syndicate of banks as part of the re-financing of the vessel, *Flex Enterprise,* or the Flex Enterprise $150 Million Facility. The amount under the facility is split into an amortizing tranche of $66.3 million Tranche A and a non-amortizing tranche of $83.7 million Tranche B and has an interest rate of SOFR plus a weighted average margin of approximately 171 basis points per annum. Tranche A will amortize in full over a tenor of 6.75 years of the facility. In November 2024, we signed an amendment under the Flex Enterprise $150 Million Facility to convert Tranche B to a non-amortizing revolving credit facility. The agreement includes various financial covenants, the most stringent of which are further described below.

*$290 Million Facility*

In March 2023, we signed a $290 million term and revolving credit facility for the vessels, *Flex Freedom* and *Flex Vigilant* to re-finance their respective tranches of the $629 Million Facility. The facility has an interest of SOFR plus a margin of 185 basis points. The facility is split into a term tranche of $140 million and a revolving tranche of $150 million. The facility has a duration of six years, with the revolving tranche being non-amortizing and the term tranche amortizing reflecting an overall age adjusted profile of 22 years.

*$270 Million Facility*

In September 2024, we signed a $270 million term and revolving credit facility, or the $270 Million Facility, from a syndicate of banks for the vessels, *Flex Aurora* and *Flex Ranger.* The $270 Million Facility is comprised of a $90.0 million term loan facility with a 5.5-year repayment profile and a non-amortizing $180.0 million revolving credit facility. The facility has an interest rate of SOFR plus 185 basis points.

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*$330 Million Sale and Leaseback*

In February 2023, we signed sale and leaseback agreements with an Asian-based lease provider for the vessels, *Flex Amber* and *Flex Artemis* to re-finance their existing facilities. Under the terms of the agreements, the vessels were sold for a gross consideration, equivalent to the market value of each vessel, and net consideration of $170 million for the *Flex Amber* and $160 million for the *Flex Artemis*, adjusted for an advance hire per vessel. The agreements have a lease period of ten years and we have the option to extend for an additional two years. The bareboat rate payable under the leases have a fixed element, treated as principal repayment, and a variable element based on term SOFR plus a margin of 215 basis points per annum, calculated on the outstanding amount under the lease. The agreements include fixed price purchase options, whereby we have options to re-purchase the vessels at or after the third anniversary of the agreement, and on each anniversary thereafter, until the end of the lease period. The transactions were completed in February 2023.

*Flex Rainbow $180 Million Sale and Leaseback*

In March 2023, we signed a sale and leaseback agreement with an Asian-based lease provider for the vessel, *Flex Rainbow*, or the Flex Rainbow $180 Million Sale and Leaseback. Under the terms of the agreement, the vessel was sold for a consideration of $180.0 million, with a bareboat charter of 9.9 years. The bareboat lease is comprised of a fixed interest element and a floating interest element based on Term SOFR, plus a margin. We have the first option to terminate the lease and repurchase the vessel at a fixed price after approximately 5 years.

*Flex Endeavour $160 Million Sale and Leaseback*

In October 2024, we signed a sale and leaseback agreement with an Asian-based lease provider for the vessel, *Flex Endeavour*, or the Flex Endeavour $160 Million Sale and Leaseback. Under the terms of the agreement, the vessel was sold for a consideration of $160.0 million, with a bareboat charter of 9.9 years. The bareboat lease is comprised of a fixed interest element and a floating interest element based on Term SOFR, plus a margin. We have the option to terminate the lease and repurchase the vessel at a fixed price after approximately 8.5 years.

*Flex Courageous $175 Million Sale and Leaseback*

In May 2025, we signed a sale and leaseback agreement with an Asian-based lease provider for the vessel, *Flex Courageous*, or the Flex Courageous $175 Million Sale and Leaseback. Under the terms of the agreement, the vessel was sold for a consideration of $175.0 million, with a bareboat charter back of approximately 10 years. The bareboat lease is comprised of a fixed interest element and a floating interest element based on Term SOFR, plus a margin. We have the first option to terminate the lease and repurchase the vessel at a fixed price after approximately 7 years. We repaid the full amount outstanding for *Flex Courageous* under the $320 Million Sale and Leaseback.

*Flex Resolute $175 Million Sale and Leaseback*

In August 2025, we signed a sale and leaseback agreement with an Asian-based lease provider for the vessel, *Flex Resolute*, or the Flex Resolute $175 Million Sale and Leaseback. Under the terms of the agreement, the vessel was sold for a consideration of $175.0 million, with a bareboat charter back of approximately 10 years. The bareboat lease is comprised of a fixed interest element and a floating interest element based on Term SOFR, plus a margin. We have the first option to terminate the lease and repurchase the vessel at a fixed price after approximately 7 years. In September 2025, we repaid the full amount outstanding under the Flex Resolute $150 Million Facility.

*Flex Constellation $180 Million Facility*

In July 2025, we signed a $180.0 million term loan facility in respect of Flex Constellation, or the Flex Constellation $180 Million Facility. The new facility was drawn down on September 17, 2025. The Flex Constellation $180 Million Facility has a 15.5 year tenor and an interest rate of SOFR plus a margin of 165 basis points. In August 2025, we prepaid the full amount outstanding relevant to *Flex Constellation*, under the $320 Million Sale and Leaseback facility. Following this repayment, the $320 Million Sale and Leaseback facility is repaid in full.

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*Flex Volunteer Sale and Leaseback* 

In November 2021, we signed a sale and leaseback agreement, or the Flex Volunteer Sale and Leaseback, with an Asian based lease provider for the vessel, *Flex Volunteer*, on a fixed daily bareboat charter rate for a period of ten years, with a net consideration to us of $160 million. At the end of the ten years, we have the right to buy and the lessor has the right to sell the vessel for a consideration of $80 million. We pay a fixed daily charter hire for the vessel, representing a fixed interest rate of approximately 410 basis points. The transaction was completed in November 2021.

*$320 Million Sale and Leaseback*

In May 2025, upon closing of the Flex Courageous $175 Million Sale and Leaseback, we repaid the full amount outstanding of $129.6 million for *Flex Courageous* under the $320 Million Sale and Leaseback. In September 2025, upon closing of the Flex Constellation $180 Million Facility*,* we repaid the amount outstanding of $129.6 million for *Flex Constellation* under the same facility and repaid the facility in full.

*Flex Resolute $150 Million Facility*

In September 2025, upon closing of the Flex Resolute $175 Million Sale and Leaseback, the full amount outstanding under the Flex Resolute $150 Million Facility of $128.3 million was prepaid.

*Loan Covenants*

Certain of our financing agreements discussed above, have, among other things, the following financial covenants, as amended or waived, which are tested quarterly, the most stringent of which require us (on a consolidated basis) to maintain:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a book equity ratio of minimum 0.20 to 1.0;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a positive working capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• minimum liquidity, including undrawn credit lines with a remaining term of at least six months, being the higher of: (i) $25 million; and (ii) an amount equal to five percent (5%) of our total interest bearing financial indebtedness net of any cash and cash equivalents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• collateral maintenance test, ensuring that the aggregate value of the vessels making up the facility in question exceeds the aggregate value of the debt commitment outstanding.

Our financing agreements discussed above have, among other things, restrictive covenants which, to the extent triggered, would restrict our ability to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)declare, make or pay any dividend, charge, fee or other distribution (whether in cash or in kind) on or in respect of its share capital (or any class of its share capital);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)pay any interest or repay any principal amount (or capitalized interest) on any debt to any of its shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)redeem, repurchase or repay any of its share capital or resolve to do so; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)enter into any transaction or arrangement having a similar effect as described in (i) through (iii) above.

Our secured credit facilities may be secured by, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a first priority mortgage over the relevant collateralized vessels;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a first priority assignment of earnings, insurances and charters from the mortgaged vessels for the specific facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a pledge of earnings generated by the mortgaged vessels for the specific facility; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a pledge of the equity interests of each vessel owning subsidiary under the specific facility.

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A violation of any of the financial covenants contained in our financing agreements described above may constitute an event of default under the relevant financing agreement, which, unless cured within the grace period set forth under the financing agreement, if applicable, or waived or modified by our lenders, provides our lenders, by notice to the borrowers, with the right to, among other things, cancel the commitments immediately, declare that all or part of the loan, together with accrued interest, and all other amounts accrued or outstanding under the agreement, be immediately due and payable, enforce any or all security under the security documents, and/or exercise any or all of the rights, remedies, powers or discretion granted to the facility agent or finance parties under the finance documents or by any applicable law or regulation or otherwise as a consequence of such event of default.

Furthermore, certain of our financing agreements contain a cross-default provision that may be triggered by a default under one of our other financing agreements. A cross-default provision means that a default on one loan would result in a default on certain of our other loans. Because of the presence of cross-default provisions in certain of our financing agreements, the refusal of any one lender under our financing agreements to grant or extend a waiver could result in certain of our indebtedness being accelerated, even if our other lenders under our financing agreements have waived covenant defaults under the respective agreements. If our secured indebtedness is accelerated in full or in part, it would be very difficult in the current financing environment for us to refinance our debt or obtain additional financing and we could lose our vessels and other assets securing our financing agreements if our lenders foreclose their liens, which would adversely affect our ability to conduct our business.

Moreover, in connection with any waivers of or amendments to our financing agreements that we have obtained, or may obtain in the future, our lenders may impose additional operating and financial restrictions on us or modify the terms of our existing financing agreements. These restrictions may further restrict our ability to, among other things, pay dividends, make capital expenditures or incur additional indebtedness, including through the issuance of guarantees. In addition, our lenders may require the payment of additional fees, require prepayment of a portion of our indebtedness to them, accelerate the amortization schedule for our indebtedness and increase the interest rates they charge us on our outstanding indebtedness.

As of December 31, 2025, we were in compliance with all of the financial covenants contained in our financing agreements.

**Financial Instruments**

In order to reduce the risks associated with fluctuations in interest rates, the Company has entered into interest rate swap transactions, whereby the floating rate has been swapped to a fixed rate of interest. As of December 31, 2025, the Company has fixed the interest rate on an aggregate, notional principal of $775.0 million. The interest rate swaps have a weighted average fixed interest rate of 2.46%, which are swapped for a floating rate and have a weighted average duration of 2.8 years.

The currency of our financial instruments is the U.S. dollar, since the dollar is the currency of the primary economic environment in which we have operated and expects to continue to operate in the foreseeable future.

**Issuance of our ordinary shares**

On August 16, 2021 we granted 585,000 share options to members of executive management and key personnel, or the August 2021 Tranche, and on May 10, 2022, we granted additional 50,000 share options to other members of executive management and key personnel, or the May 2022 Tranche.

In the year ended December 31, 2024, 393,500 share options, under the August 2021 Tranche and May 2022 Tranche, were exercised by members of executive management and key personnel, and settled by the Company through the transfer of 351,450 treasury shares to the option holders. The weighted average exercise price of the options exercised was $7.69 per share and the total intrinsic value of the options exercised was $7.3 million.

In the year ended December 31, 2025, 20,000 share options, under the May 2022 Tranche, were exercised by members of executive management and key personnel, and settled by the Company through the transfer of treasury shares to the option holders. The weighted average exercise price of the options exercised was $13.25 per share and the total intrinsic value of the options exercised was $0.2 million.

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**Off balance sheet arrangements**

As of December 31, 2025, we had no off-balance sheet arrangements that have or are reasonably likely to have a current or future material effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity or capital resources.

**Cash flow**

The following table summarizes our cash flows from operating, investing and financing activities for the periods indicated.

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| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| Net cash provided by operating activities | **140736** | 182799 | 175034 |
| Net cash used in investing activities | **—** | (4) | (2) |
| Net cash (used in)/provided by financing activities | **(130678)** | (155606) | (96541) |
| Effect of exchange rate changes on cash | **435** | (530) | (348) |
| Net increase/(decrease) in cash, cash equivalents and restricted cash | **10494** | 26659 | 78143 |
| Cash, cash equivalents and restricted cash at beginning of year | **437203** | 410544 | 332401 |
| Cash, cash equivalents and restricted cash at end of year | **447697** | 437203 | 410544 |

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**Net cash provided by operating activities**

Net cash provided by operating activities decreased by $42.1 million to $140.7 million for the year ended December 31, 2025, compared to $182.8 million in 2024.

Net cash provided by operating activities was primarily impacted by: (i) scheduled drydocking of our vessels and (ii) movements in our other current assets and inventory affecting working capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i.The Company incurred drydocking expenditure of $24.6 million in the year ended December 31, 2025, of which $20.6 million relates to the drydocking of the vessels, *Flex Aurora, Flex Resolute, Flex Amber* and *Flex Artemis*, and $4.0 million relates long lead items for planned five-year special surveys in 2026, compared to $12.6 million incurred in 2024 for the drydockings of two vessels; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii.Changes in operating assets and liabilities resulted in a decrease in cash provided by operating activities of $14.7 million in the year ended December 31, 2025, compared to a decrease in cash provided by operating activities in the period ended December 31, 2024 of $0.7 million. The movement in working capital balances is primarily impacted by an increase in accrued revenue, due to the straight-line basis of accounting for time charter revenue and an increase in inventory caused by the repurchase of bunkers for the vessels *Flex Artemis* and *Flex Volunteer*. These effects have been partially offset by the timing of settlements of accounts payables.

**Net cash used in investing activities**

***&nbsp;&nbsp;&nbsp;&nbsp;***Net cash used in investing activities was $0.0 million in the year ended December 31, 2025 and the year ended December 31, 2024.

**Net cash used in financing activities**

&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in financing activities was $130.7 million in the year ended December 31, 2025, compared to net cash used in financing activities of $155.6 million in the year ended December 31, 2024.

Net cash used in financing activities in the year ended December 31, 2025, due to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Prepayment of $259.2 million which was the full amount outstanding under the $320 Million Facility relating to vessels *Flex Courageous* and *Flex Constellation*;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Prepayment of $128.3 million which was the full amount outstanding under the Flex Resolute $150 Million Facility relating to the vessel *Flex Resolute*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• scheduled repayments of long-term debt amounting to $105.2 million;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• dividend payments of $162.3 million; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• financing costs of $4.4 million.

These items were offset by cash provided by financing activities in the year ended December 31, 2025, due to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• proceeds from long-term debt of $175.0 million under the Flex Courageous $175 Million Sale and Leaseback;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• proceeds from long-term debt of $180.0 million under the Flex Constellation $180 Million Facility with respect to the vessel *Flex Constellation*; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• proceeds from long-term debt of $175.0 million under the Flex Resolute $175 Million Sale and Leaseback;

**C.&nbsp;&nbsp;&nbsp;&nbsp;Research and Development, Patents and Licenses, etc.**

We have no material patents and do not use any licenses other than ordinary information technology licenses.

We have registered our primary domain at www.flexlng.com. The information on our website is not incorporated by reference into this Annual Report.

**D.&nbsp;&nbsp;&nbsp;&nbsp;Trend Information**

Please see "Item 4. Information on the Company—B. Business Overview—The Liquefied Natural Gas Industry."

**E.&nbsp;&nbsp;&nbsp;&nbsp;Critical Accounting Estimates**

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in our financial statements and accompanying notes. Such estimates and assumptions impact, among others, the following: the valuation of our vessels and the expected economic life of our vessels. Actual results could differ from those estimates.

***&nbsp;&nbsp;&nbsp;&nbsp;Vessel Impairment***. The carrying values of our vessels may not represent their fair market value at any point in time since the market prices of second-hand vessels and the cost of newbuildings tend to fluctuate with changes in charter rates. Historically, both charter rates and vessel values tend to be cyclical. The carrying amounts of vessels that are held and used by us are reviewed for potential impairment quarterly or whenever events or changes in circumstances indicate that the carrying amount of a particular vessel or newbuilding may not be fully recoverable. Such indicators may include depressed charter rates and depressed second-hand vessel values. If impairment indicators are identified, we assess recoverability of the carrying value of each asset on an individual basis by estimating the future undiscounted cash flows expected to result from the asset. If the future net undiscounted cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset's carrying value and fair value. Fair value is estimated using an appropriate present value technique. As of December 31, 2025, we did not identify any indicators of vessel impairment.

***&nbsp;&nbsp;&nbsp;&nbsp;Vessels and depreciation***. Vessels are stated at cost less accumulated depreciation. We depreciate the cost of our vessels on the basis of two components: a vessel component and a drydocking component. Vessel depreciation is calculated based on cost less estimated residual value, using the straight-line method, over the useful life of each vessel. The useful life of each vessel is deemed to be 35 years. The residual value is calculated by multiplying the lightweight tonnage of the vessel by the market price of scrap per tonne. The market price of scrap per tonne is calculated as the 10-year average, up to the date of delivery of the vessel, across the three main recycling markets (Far East, Indian sub-continent and Bangladesh). Residual values are reviewed annually. The drydocking component of the vessel's cost is depreciated over five years (the period within which each vessel is required to be drydocked). We capitalize the costs associated with the drydocking and amortize these costs on a straight-line basis over the period to the next expected drydocking. We have adopted the "built in overhaul" method for when a vessel is newly acquired, or constructed, whereby a proportion of the cost of the vessel is allocated to the components expected to be replaced at the next drydocking based on the expected costs relating to the next drydocking.

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**ITEM 6.&nbsp;&nbsp;&nbsp;&nbsp;DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES**

**A.&nbsp;&nbsp;&nbsp;&nbsp;Directors and Senior Management**

Set forth below are the names, ages and positions of our directors and senior executive officers.

The business address of each of our directors and senior management listed below is Par-La-Ville Place, 14 Par-La-Ville Road, Hamilton, Bermuda.

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| | | |
|:---|:---|:---|
| **Name** | **Age** | **Position** |
| Ola Lorentzon | 76 | Director of the Company and Chairman of the Board of Directors and Compensation Committee |
| Nikolai Grigoriev | 51 | Director of the Company and Chairman of the Audit Committee |
| Steen Jakobsen | 61 | Director of the Company |
| Susan Lynn Sakmar | 59 | Director of the Company and Chairman of the ESG Committee |
| Mikkel Storm Weum | 39 | Director of the Company |
| Halfdan Marius Foss | 57 | Chief Executive Officer of Flex LNG Management AS and Principal Executive Officer of FLEX LNG Ltd. |
| Knut Traaholt | 48 | Chief Financial Officer of Flex LNG Management AS and Principal Financial Officer of FLEX LNG Ltd. |

---

Biographical information concerning the directors and our senior executive officers listed above is set forth below.

**Ola Lorentzon** has served as a director of the Company since June 2017 and Chairman of the Board of Directors since April 2024. Mr. Lorentzon served as Principal Executive Officer of Golden Ocean Group Limited, from 2010 to 2015 and held the role as Chief Executive Officer of Frontline Management AS from 2000 to 2003. From 1986 to 2000, Mr. Lorentzon served as Chief Executive Officer of ICB Shipping. Mr. Lorentzon is also a Director and Chairman of Frontline plc, which is a related party.

**Nikolai Grigoriev** has served as a director of the Company since September 2017. From 2008 to 2016, Mr. Grigoriev served as Managing Director, Shipping at Gazprom Marketing & Trading (GMT) in London and Singapore. Prior to GMT, Mr. Grigoriev worked for BG Group and Merrill Lynch in Houston and London in senior LNG shipping, commercial and corporate finance roles. Nikolai holds a B.Sc. in Navigation from Admiral Makarov State Maritime Academy in St. Petersburg, Russia and an MBA from INSEAD in Fontainebleau, France.

**Steen Jakobsen** has served as a director of the Company since March 2021. Mr. Jakobsen joined Limus Capital as Partner in 2024. From 2000 he served as Chief Investment Officer in Saxo Bank. Mr. Jakobsen was the founder of Saxo Bank's then-renowned Outrageous Predictions. Prior to joining Saxo Bank, he worked with Swiss Bank Corp, Citibank, Chase Manhattan, UBS and served as Global Head of Trading, FX and Options at Christiania (now Nordea). Mr. Jakobsen graduated from the University of Copenhagen in 1989 with a MSc in Economics.

**Susan Lynn Sakmar** has served as a director of the Company since September 2022. Ms Sakmar is licensed to practice law in California and holds a LL.M. (Master of Laws) from Georgetown University Law Center. Ms. Sakmar has over 25 years of experience working in the legal, corporate and non-profit world, including commercial attorney at a San Francisco law firm, accountant at Chevron and Board Chair of the Jane Goodall Institute. She is currently a Visiting Law Professor at the University of Houston Law Center with numerous publications including an LNG book, "Energy for the 21st Century: Opportunities and Challenges for Liquefied Natural Gas".

**Mikkel Storm Weum** has served as a director of the Company since May 2025 and is employed as an investment director of Seatankers Management AS, a related party, where he is responsible for Sale and Purchase, Newbuildings and Projects. Mr. Weum also serves as Senior Vice President, Business Development in SFL Management AS since 2018. Prior to joining SFL Management AS and Seatankers Management AS, Mr. Weum worked as Vice President, Head of Commercial in Teekay Offshore working with Shuttle Tankers and Floating Offshore storage. Mr. Weum is also a director of Star Bulk Carriers Corp. Mr. Weum holds a Master's degree in Naval Architecture from Newcastle University and a MSc in Shipping Trade and Finance from Cass Business School, City University.

------

**Halfdan Marius Foss** joined Flex LNG Management AS as Chief Commercial Officer in August 2018, and was promoted as Chief Executive Officer in December 2025. Mr. Foss also served as the Interim Chief Executive Officer of the Company from March 2025, following the resignation of the previous Chief Executive Officer. He has previously served as Senior Vice President Head of Shipping at Golar Management Ltd, or Golar, and Cool Pool Ltd. Prior to Golar, Mr. Foss was Chartering Manager of Frontline Management AS. Mr. Foss holds a diploma in Shipping from London School of Foreign Trade as well as a Degree in Merchant navy deck officer from Stord/Haugesund University College.

**Knut Traaholt** joined Flex LNG Management AS as Chief Financial Officer in May 2021. Mr. Traaholt has about 15 years' experience from international shipping, offshore and E&P finance. His employment background includes Client Executive in Swedbank AB and Director in ABN AMRO Bank N.V. where he worked with large shipping and offshore companies. Mr. Traaholt educational background includes MSc degree in Shipping, Trade and Finance from CASS Business School, Bachelor in Business and administration from Copenhagen Business School as well as an Executive MBA from Norwegian School of Economics. Mr. Traaholt is also a Certified European Financial Analyst (CEFA).

**B.&nbsp;&nbsp;&nbsp;&nbsp;Compensation**

Under Bermuda law, compensation of the executive officers is not required to be determined by an independent committee. In December 2022, we established a Compensation Committee, which is responsible for establishing our executive officers' compensation and benefits. Mr. Lorentzon, the Chair and sole member of the Compensation Committee, qualifies as "independent" under NYSE listing standards applicable to a foreign private issuer. The Compensation Committee's process for determining our executive management's remuneration aims to link the performance related element of the remuneration (options and bonus) to key performance indicators of the Company which include value creation for shareholders, financial performance of the Company and qualitative environmental, social and governance measures.

The remuneration of the members of the Board of Directors is determined annually at our annual general meeting, on the basis of the Board of Directors' responsibility, expertise, time commitment and the complexity of our operations. Through our remuneration of directors, part of which has historically been in stock, we have encouraged directors to own our ordinary shares. Remuneration is not linked to our financial or operating performance. At our 2025 Annual General Meeting, our shareholders approved the remuneration of our Board of Directors of an aggregate amount of fees not to exceed $500,000 for the year ended December 31, 2025. We are not party to any agreements with our executive officers and directors that provide for benefits upon termination of employment.

During the year ended December 31, 2025, we paid aggregate cash compensation of approximately $1.1 million and an aggregate amount of approximately $0.2 million for pension, social security and retirement benefits to our directors and executive officers.

The following table sets out the aggregate compensation to our Directors, shown in U.S. dollars:

---

| | | | |
|:---|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
|<br>**Director** | **2025** | **2024** | **2023** |
| David McManus (Resigned) | **—** | 32787 | 100000 |
| Ola Lorentzon | **110000** | 90164 | 50000 |
| Nikolai Grigoriev | **50000** | 50000 | 50000 |
| Steen Jakobsen | **40000** | 40000 | 40000 |
| Susan Lynn Sakmar | **50000** | 50000 | 50000 |
| Mikkel Storm Weum | **25934** |  |  |
| **Total** | **275934** | 262951 | 290000 |

---

The following table presents the compensation awarded to, earned by and paid to our principal executive officer, and principal financial officer for the fiscal years ended December 31, 2025 and 2024, shown in U.S. dollars.

------

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Name and Principal Position** | **Year** | **Salary**<sup>(1)(2)</sup> | **Option awards**<sup>(2)</sup> | **Non equity incentive compensation**<sup>(1)</sup> | **All other compensation**<sup>(1)</sup> | **Total** |
| Halfdan Marius Foss,<br>*Principal executive officer*<sup>(3)</sup> | **2025** | **54535** | **10099** | **—** |  | **64634** |
|  | 2024 | N/A | N/A | N/A | N/A | N/A |
| Oystein Kalleklev,<br>*Principal executive officer*<sup>(4)</sup> | **2025** | **125049** |  | **231340** |  | **356389** |
|  | 2024 | 384977 |  | **—** |  | 384977 |
| Knut Traaholt,<br>*Principal financial officer* | **2025** | **284584** | **54458** | **107400** |  | **446442** |
|  | 2024 | 264513 |  | **—** |  | 264513 |

---

(1)&nbsp;&nbsp;&nbsp;&nbsp;Salary, bonus and all other compensation earned by our principal executive officer and principal financial officers are paid in NOK and have been converted to the U.S. dollar equivalent based on the average exchange rate for each period presented.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Salary and Option awards have been calculated based on the date of appointment to the principal position.

(3) &nbsp;&nbsp;&nbsp;&nbsp;Halfdan Marius Foss was appointed as principal executive officer on December 5, 2025.

(4) &nbsp;&nbsp;&nbsp;&nbsp;Oystein Kalleklev resigned as principal executive officer on March 31, 2025.

**Share Option Scheme**

Under the August 2021 Tranche, Øystein Kalleklev, former Chief Executive Officer of Flex LNG Management AS and our former principal executive officer, was allocated 250,000 options and Knut Traaholt, Chief Financial Officer of Flex LNG Management AS and our principal financial officer, was allocated 120,000 options. During the year ended December 31, 2024, the aforementioned officers exercised 277,500 options allocated under the August 2021 tranche. We settled these options through the transfer of treasury shares to the option holders.

In June 2025, the Company issued 182,805 synthetic share options to members of executive management and key personnel, or the June 2025 Tranche. The synthetic share options have a five-year term from June 24, 2025, with a three-year vesting period, whereby: 33% will vest after one year; 33% will vest after two years; and the remaining balance will vest after three years. The options have an exercise price of $23.75. The exercise price will be adjusted for any distribution of dividends made before the relevant options expire. As part of the issuance Halfdan Marius Foss, Chief Executive Officer of Flex LNG Management AS and our principal executive officer, was allocated 82,724 synthetic options and Knut Traaholt, Chief Financial Officer of Flex LNG Management AS and our principal financial officer, was allocated 61,043 synthetic options. The synthetic options granted to the aforementioned officers are subject to a cap on maximum annual gain equal to two times the annual base salary at the time of exercise of the synthetic options. The synthetic options will be settled in cash based on the difference between the market price of our ordinary shares and the exercise price on the date of exercise. The synthetic options have been granted according to the rules of our synthetic option scheme approved by the Board of Directors.

For details of options to acquire ordinary shares in the Company by our Directors and officers as of February 27, 2026, we refer to "Item 6. Directors, Senior Management and Employees - E. Share Ownership" included in this Annual Report.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Board Practices**

Our Board of Directors maintains overall responsibility of the Company and its strategy and is entrusted with various tasks including appointment and supervision of our management team and establishment of strategic, accounting, organizational and financial policies. In accordance with our Bye-laws the number of directors shall be such number not less than two, as our shareholders by resolution may from time to time determine and each director shall hold office until the next annual general meeting following his election or until his successor is elected. We currently have four directors.

------

*Audit Committee*

We have established an Audit Committee, which is responsible for overseeing the quality and integrity of our financial statements and its accounting, auditing and financial reporting practices, our compliance with legal and regulatory requirements and the independent auditor's qualifications, independence and performance. Mr. Grigoriev, who is an independent director of the Company, is the Chair and sole member of the Audit Committee. Our Board of Directors has determined that Mr. Grigoriev qualifies as an "audit committee financial expert" for purposes of the SEC rules and regulations. Mr. Grigoriev qualifies as "independent" under the NYSE listing standards applicable to a foreign private issuer.

*Compensation Committee*

We have established a Compensation Committee, which is responsible for establishing our executive officers' compensation and benefits. Under Bermuda law, compensation of the executive officers is not required to be determined by an independent committee. Mr. Lorentzon, who is an independent director of the Company, is the Chair and sole member of the Compensation Committee. Mr. Lorentzon qualifies as "independent" under the NYSE listing standards applicable to a foreign private issuer.

*ESG Committee*

We have established an Environmental, Social and Governance Committee, or the ESG Committee, which meets on a semi-annual basis to address sustainability topics and is responsible for overseeing the Company's policies, programs, reporting and practices related to ESG responsibilities and the Company's management of risks in such areas. Ms. Sakmar, who is an independent director of the Company, is the Chair and sole member of the ESG Committee. Ms. Sakmar qualifies as "independent" under NYSE listing standards applicable to a foreign private issuer.

*Nomination Committee*

We have not established a Nomination Committee. Our Board of Directors is responsible for identifying and recommending potential candidates to become board members and recommending directors for appointment to board committees. Shareholders are permitted to identify and recommend potential candidates to become board members, but pursuant to our Bye-laws, directors are elected by the shareholders in duly convened annual or special general meetings.

As a foreign private issuer, we are exempt from certain corporate governance requirements of the NYSE that are applicable to U.S. listed companies because we follow our home country (Bermuda) practice, which is permitted under the NYSE's rules. For a listing and further discussion of how our corporate governance practices differ from those required of U.S. companies listed on the NYSE, please see "Item 16G. Corporate Governance".

*Clawback Policy*

In October 2023, the Company adopted a policy regarding the recovery of erroneously awarded compensation, or Clawback Policy, in accordance with the applicable rules of the NYSE and Section 10D and Rule 10D-1 of the Securities Exchange Act of 1934, as amended, or Exchange Act. In the event the Company is required to prepare an accounting restatement due to material noncompliance with any financial reporting requirements under U.S. securities laws or otherwise erroneous data or if the Company determines there has been a significant misconduct that causes material financial, operational or reputational harm, the Company shall be entitled to recover a portion or all of any incentive-based compensation provided to certain executives who, during a three-year period preceding the date on which an accounting restatement is required, received incentive compensation based on the erroneous financial data that exceeds the amount of incentive-based compensation the executive would have received based on the restatement.

The Compensation Committee administers the Company's Clawback Policy and has discretion, in accordance with the

applicable laws, rules and regulations, to determine how to seek recovery under the Clawback Policy and may forego recovery

if it determines that recovery would be impracticable.

*Directors Service Contracts*

There is no written employment contract between the Company and any director, and there is no service contract between any director of the Company and the Company which provides for any benefits upon termination of employment.

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**D.&nbsp;&nbsp;&nbsp;&nbsp;Employees**

As of December 31, 2025, we employed nine people through our subsidiaries Flex LNG Management Limited and Flex LNG Management AS (2024: nine (2023: ten)).

As of December 31, 2025, we employed approximately 351 seafarers on temporary crew management agreements through our ship management agent, Flex LNG Fleet Management AS.

**E.&nbsp;&nbsp;&nbsp;&nbsp;Share Ownership**

The table below shows, in relation to each of our directors and executive officers, the total number of ordinary shares beneficially owned as of February 27, 2026.

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| | | |
|:---|:---|:---|
| **Name** | **Ordinary<br> Shares** | **Percentage<br>of Ordinary<br>Shares<br>Outstanding** |
| Ola Lorentzon | 3173 | \* |
| Nikolai Grigoriev | 24421 | \* |
| Steen Jakobsen |  | \* |
| Susan Lynn Sakmar | 1338 | \* |
| Mikkel Storm Weum |  | \* |
| Halfdan Marius Foss |  | \* |
| Knut Traaholt |  | \* |

---

\* Less than 1% of our issued and outstanding shares.

The table below shows, in relation to each of our directors and executive officers, the total number of share options on ordinary shares held as of February 27, 2026.

---

| | | | |
|:---|:---|:---|:---|
| **Name** | **Options held** | **Weighted average adjusted**<sup>(1)</sup> **exercise price** | **Expiration date of options** |
| Ola Lorentzon |  | $— | NA |
| Nikolai Grigoriev |  | $— | NA |
| Steen Jakobsen |  | $— | NA |
| Susan Lynn Sakmar |  | $— | NA |
| Mikkel Storm Weum |  | $— | NA |
| Halfdan Marius Foss | 82724 | $22.25 | June 2030 |
| Knut Traaholt | 61043 | $22.25 | June 2030 |

---

(1) &nbsp;&nbsp;&nbsp;&nbsp;The exercise price for all options granted under the scheme is reduced by the amount of all dividends declared by the Company, or the Adjusted Exercise Price, in the period from the date of grant until the date the option is exercised, provided the Adjusted Exercise Price is never reduced below the par value of the share.

**F.&nbsp;&nbsp;&nbsp;&nbsp;Disclosure of a Registrant's Action to Recover Erroneously Awarded Compensation**

None.

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**ITEM 7.&nbsp;&nbsp;&nbsp;&nbsp;MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS**

**A.&nbsp;&nbsp;&nbsp;&nbsp;Major Shareholders**

The following table sets forth the beneficial ownership of our ordinary shares, par value $0.01 per share, by beneficial owners of 5% or more of our ordinary shares, of which we are aware as of February 27, 2026. All of our issued and outstanding ordinary shares have equal voting rights and are equally entitled to dividends.

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| | | |
|:---|:---|:---|
| | **Ordinary Shares<br>Beneficially Owned** | **Ordinary Shares<br>Beneficially Owned** |
|<br>**Name** | **Number** | **Percentage**<sup>(1)</sup> |
| Geveran Trading Co. Ltd.<sup>(2)</sup> | 23118636 | 42.7% |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)Calculated based on 54,092,376 ordinary shares issued and outstanding as of February 27, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)C.K. Limited is the trustee of two trusts, or the Trusts that indirectly hold all of the shares of Geveran, a Cyprus-based company and our largest shareholder. Accordingly, C.K. Limited, as trustee, may be deemed to beneficially own the ordinary shares of the Company that are owned by Geveran. Mr. Fredriksen established the Trusts for the benefit of his immediate family. He is neither a beneficiary nor a trustee of either Trust. Therefore, Mr. Fredriksen has no economic interest in such ordinary shares and disclaims any control over and all beneficial ownership of such ordinary shares, save for any indirect influence he may have with C.K. Limited, as the trustee of the Trusts, in his capacity as the settlor of the Trusts.

Our major shareholders have the same voting rights as our other shareholders. No corporation or foreign government

owns more than 50% of our outstanding ordinary shares. We are not aware of any arrangements, known by the Company, the operation of which may at a subsequent date result in a change in control of the Company.

As of February 27, 2026, 54,520,325 of our outstanding ordinary shares were held in the United States by 41 holders of record, including Cede & Co., the nominee for the Depository Trust Company, which held 54,512,911 of those shares.

**B.&nbsp;&nbsp;&nbsp;&nbsp;Related Party Transactions**

*Service Level Agreements*

We have a service level agreement with Front Ocean, which commenced in October 2021, under which it provides us with certain advisory and support services including human resources, shared office costs, administrative support, IT systems and services, employment of our CISO (as defined below), compliance, insurance and legal assistance. In the year ended December 31, 2025, we recorded an expense, within administrative expenses, of $1.0 million for these services (2024: $0.8 million (2023: $0.7 million)).

We have an administrative services agreement with Frontline Management under which it provides us with certain administrative support, technical supervision, purchase of goods and services within the ordinary course of business and other support services, for which we pay our allocation of the actual costs they incur on our behalf, plus a markup. Frontline Management may subcontract these services to other associated companies, including Frontline Management (Bermuda) Ltd and Frontline (Management) Cyprus Ltd. In the year ended December 31, 2025, we recorded an expense, within administrative expenses, of $0.3 million from Frontline Management and associated companies for these services (2024: $0.3 million (2023: $0.1 million)).

&nbsp;&nbsp;&nbsp;&nbsp;We also have an agreement with Seatankers under which it provides us with certain advisory and support services, for which we pay our allocation of the actual costs that they incur on our behalf, plus a markup. In the year ended December 31, 2025, we recorded an expense, within administrative expenses, of $0.2 million from Seatankers for these services (2024: $0.2 million (2023: $0.1 million)).

------

*Technical Management and Support Services*

&nbsp;&nbsp;&nbsp;&nbsp;We have ship management agreements with Flex LNG Fleet Management AS, a related party owned by Frontline plc, under which it is responsible for the technical ship management for all vessels in our Fleet. Under the agreements with Flex LNG Fleet Management AS, we pay our allocation of the actual costs that they incur on our behalf, plus a markup. In the year ended December 31, 2025, we recorded an expense, within vessel operating expenses, of $3.9 million from Flex LNG Fleet Management AS for these services (2024: $3.6 million (2023: $3.4 million)).

For additional information related to our related party transactions, please see "Note 15. Related Party Transactions" to our Consolidated Financial Statements.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Interest of Experts and Counsel**

Not applicable.

**ITEM 8.&nbsp;&nbsp;&nbsp;&nbsp;FINANCIAL INFORMATION**

**A.&nbsp;&nbsp;&nbsp;&nbsp;Consolidated Statements and other Financial Information**

Please see the section of this Annual Report on Form 20-F entitled "Item 18. Financial Statements."

**Legal Proceedings**

To our knowledge, we are not currently a party to any lawsuit that, if adversely determined, would have a material adverse effect on our financial position, results of operations or liquidity. As such, we do not believe that pending legal proceedings, taken as a whole, should have any significant impact on our financial statements.

From time to time in the future we may be subject to legal proceedings and claims in the ordinary course of business, principally personal injury and property casualty claims. While we expect that these claims would be covered by our existing insurance policies, those claims, even if lacking merit, could result in the expenditure of significant financial and managerial resources. We have not been involved in any legal proceedings which may have, or have had, a significant effect on our financial position, results of operations or liquidity, nor are we aware of any proceedings that are pending or threatened which may have a significant effect on our financial position, results of operations or liquidity.

**Dividend Policy**

Holders of ordinary shares are entitled to receive dividend and distribution payments, pro rata based on the number of ordinary shares held, when, as and if declared by the Board of Directors, in its sole discretion. Any dividends declared will be at the discretion of the Board of Directors and will depend upon our financial condition, earnings and other factors.

As a Bermuda exempted company, we are subject to Bermuda law relating to the payment of dividends. We may not pay any dividends if, at the time the dividend is declared or at the time the dividend is paid, there are reasonable grounds for believing that, after giving effect to that payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we will not be able to pay our liabilities as they fall due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the realizable value of our assets, is less than our liabilities.

In addition, since we are a holding company with no material assets, and conduct our operations through subsidiaries, our ability to pay any dividends to shareholders will depend on our subsidiaries' distributing to us their earnings and cash flow. Some of our loan agreements currently limit or prohibit our subsidiaries' ability to make distributions to us and our ability to make distributions to our shareholders.

We can give no assurance that dividends will be declared and paid in the future or the amount of such dividends if declared and paid.

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For the years ended December 31, 2025, 2024 and 2023, we paid dividends to our shareholders in the amount of $162.3 million, $161.7 million and $181.2 million respectively. We have paid the following dividends per share in respect of the periods set forth below:

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| | | | | |
|:---|:---|:---|:---|:---|
| **Period** | **Ex-dividend date**<sup>(1)</sup> | **Record date** | **Date paid**<sup>1</sup> | **Dividends per share** |
| Third quarter 2025 | November 28, 2025 | November 28, 2025 | December 11, 2025 | $0.75 |
| Second quarter 2025 | September 5, 2025 | September 5, 2025 | September 18, 2025 | $0.75 |
| First quarter 2025 | June 6, 2025 | June 6, 2025 | June 20, 2025 | $0.75 |
| Fourth quarter 2024 | February 20, 2025 | February 20, 2025 | March 5, 2025 | $0.75 |
| Third quarter 2024 | November 27, 2024 | November 27, 2024 | December 11, 2024 | $0.75 |
| Second quarter 2024 | August 29, 2024 | August 29, 2024 | September 12, 2024 | $0.75 |
| First quarter 2024 | June 10, 2024 | June 10, 2024 | June 21, 2024 | $0.75 |
| Fourth quarter 2023 | February 22, 2024 | February 23, 2024 | March 5, 2024 | $0.75 |
| Third quarter 2023 | November 27, 2023 | November 28, 2023 | December 5, 2023 | $0.875 |
| Second quarter 2023 | August 30, 2023 | August 31, 2023 | September 5, 2023 | $0.75 |
| First quarter 2023 | May 30, 2023 | May 31, 2023 | June 13, 2023 | $0.75 |
| Fourth quarter 2022 | February 22, 2023 | February 23, 2023 | March 7, 2023 | $1.00 |

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(1) Relates to the ex-dividend date and the payment date on the NYSE.

On February 10, 2026, the Company's Board of Directors declared a cash dividend for the fourth quarter of 2025 of $0.75 per share. The distribution will be made from the Company's Contributed Surplus account, which consists of previously paid in share premium transferred from the Company's Additional Paid In Capital account. This dividend will be paid on or around March 12, 2026. The record date and ex-dividend date on the NYSE will be on or around February 27, 2026.

All declarations of dividends are subject to the determination and discretion of the Company's Board of Directors based on its consideration of various factors, including the Company's results of operations, financial condition, level of indebtedness, anticipated capital requirements, contractual restrictions, restrictions in its debt agreements, restrictions under applicable law, its business prospects and other factors that the Board of Directors may deem relevant.

**B.&nbsp;&nbsp;&nbsp;&nbsp;Significant Changes**

Not applicable.

**ITEM 9.&nbsp;&nbsp;&nbsp;&nbsp;THE OFFER AND LISTING**

**A.&nbsp;&nbsp;&nbsp;&nbsp;Offer and Listing Details.**

**Share History and Markets**

&nbsp;&nbsp;&nbsp;&nbsp;Our ordinary shares currently trade on the NYSE under the symbol "FLNG".

**B.&nbsp;&nbsp;&nbsp;&nbsp;Plan of Distribution**

Not applicable.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Markets.**

&nbsp;&nbsp;&nbsp;&nbsp;Our ordinary shares currently trade on the NYSE, under the symbol "FLNG".

On May 8, 2025, the Company's shareholders approved at the 2025 Annual General Meeting to delist the shares from the OSE. The last day of trading of the Company's ordinary shares on the OSE was September 15, 2025, and the Company's ordinary shares were delisted on September 16, 2025. The Company's ordinary shares are now listed exclusively on the NYSE.

**D.&nbsp;&nbsp;&nbsp;&nbsp;Selling Shareholders**

Not applicable.

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**E.&nbsp;&nbsp;&nbsp;&nbsp;Dilution**

Not applicable.

**F.&nbsp;&nbsp;&nbsp;&nbsp;Expenses of the Issue**

Not applicable.

 **ITEM 10.&nbsp;&nbsp;&nbsp;&nbsp;ADDITIONAL INFORMATION**

**A.&nbsp;&nbsp;&nbsp;&nbsp;Share Capital**

**Issued and Authorized Capitalization**

As of December 31, 2025 and the date of this Annual Report, we had an issued share capital of $0.5 million divided into 54,520,325 ordinary shares.

As of December 31, 2025 and the date of this Annual Report, we hold an aggregate of 427,949 treasury shares at an aggregate cost of $4.2 million, with a weighted average of $9.64 per share.

**Our Ordinary Shares**

Each outstanding ordinary share entitles the holder to one vote on all matters submitted to a vote of shareholders. Subject to preferences that may be applicable to any outstanding preferred shares, holders of ordinary shares are entitled to receive ratably cash dividends, if any, declared by our Board of Directors out of funds legally available for dividends. Upon our dissolution or liquidation or the sale of all or substantially all of our assets, after payment in full of all amounts required to be paid to creditors and to the holders of preferred shares having liquidation preferences, if any, the holders of our ordinary shares will be entitled to receive pro rata our remaining assets available for distribution. Holders of ordinary shares do not have conversion, redemption or preemptive rights to subscribe to any of our securities. The rights, preferences and privileges of holders of ordinary shares are subject to the rights of the holders of any preferred shares, which we may issue in the future.

**Reconciliation of the Number of Ordinary Shares Outstanding as of the Date of this Annual Report**

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| | |
|:---|:---|
| | **Ordinary shares outstanding** |
| Shares outstanding at December 31, 2023 | 53736318 |
| Distributed treasury shares | 351450 |
| **Shares outstanding at December 31, 2024** | **54087768** |
| Distributed treasury shares | 4608 |
| **Shares outstanding at December 31, 2025** | **54092376** |
| **Shares outstanding at February 27, 2026** | **54092376** |

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**Our Share History**

***Share Options***

In the year ended December 31, 2024, 393,500 share options, under the August 2021 Tranche and May 2022 Tranche, were exercised by members of executive management and key personnel and settled by the Company, through the transfer of treasury shares to the option holders. The weighted average exercise price of the options exercised was $7.69 per share and the total intrinsic value of the options exercised was $7.3 million.

In the year ended December 31, 2025, 20,000 share options, under the May 2022 Tranche, were exercised by members of executive management and key personnel and settled by the Company, through the transfer of treasury shares to the option holders. The weighted average exercise price of the options exercised was $13.25 per share and the total intrinsic value of the options exercised was $0.2 million.

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***DRIP***

On November 12, 2025, we filed a prospectus supplement under our current shelf registration statement on Form F-3ASR to register the sale of up to $100 million ordinary shares pursuant to a dividend reinvestment plan, or a DRIP to facilitate investments by individual and institutional shareholders who wish to invest dividend payments received on shares owned or other cash amounts, in our ordinary shares on a regular basis, one time basis or otherwise. If certain waiver provisions in the DRIP are requested and granted pursuant to the terms of the plan, we may grant additional share sales to investors from time to time up to the amount registered under the plan.

***Reduction of the Share Premium Account***

On April 29, 2024, at our 2024 Annual General Meeting, the Company's shareholders approved the reduction of the Company's share premium account (Recognized as Additional paid-in capital in the Consolidated Statements of Changes in Shareholders' Equity) of the Company by $300.0 million and the crediting of the same amount resulting from the reduction to the Company's Contributed Surplus account, with effect from April 2024. The purpose of this proposal is primarily to increase the ability of the Company to make distributions to its shareholders.

Similarly, on May 8, 2025, at our 2025 Annual General Meeting, the Company's shareholders approved a further reduction of the Company's share premium account (recognized as Additional paid-in capital in the Consolidated Statements of Changes in Shareholders' Equity) by $200.0 million, with the corresponding amount credited to the Company's Contributed Surplus account, with effect from May 2025. The purpose of this proposal was likewise primarily to increase the Company's ability to make distributions to its shareholders.

***Reorganization of Share Capital***

Also at our 2024 Annual General Meeting, our shareholders approved a reorganization of the share capital, in accordance with the Bermuda Companies Act of 1981. Prior to the reorganization, our authorized share capital was 10,000,000,000 shares, par value $0.10 per share. Following the reorganization, our authorized share capital was adjusted to 100,000,000 shares, par value $0.01 per share. There were 54,520,325 shares issued and that were fully paid at the time of the reorganization. To reflect the decrease in the par value of each share from $0.10 to $0.01, $4.9 million was transferred from share capital to contributed surplus. The shares of par value $0.01 each rank pari passu in all respects with each other.

**B.&nbsp;&nbsp;&nbsp;&nbsp;Memorandum of Continuance**

&nbsp;&nbsp;&nbsp;&nbsp;The description of our Memorandum of Continuance and Bye-laws is incorporated by reference to our registration statement on Form 20-F, initially filed with the SEC on May 7, 2019, as amended, or the Form 20-F Registration Statement. The Company's Memorandum of Continuance and Bye-laws were filed as Exhibit 1.1 and 1.2 to the 20-F Registration Statement and are hereby incorporated by reference into this Annual Report.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Material Contracts**

Attached as exhibits to this Annual Report are the contracts that we consider to be both material and outside the ordinary course of business that are to be performed in whole or in part after the date of this Annual Report. Other than as set forth above, we have not entered into any material contracts outside the ordinary course of business other than those described in "Item 4. Information on the Company" and in "Item 5. Operating and Financial Review and Prospects—B. Liquidity and Capital Resources—Our Borrowing Activities" or elsewhere in this Annual Report, which are incorporated herein by reference.

**D.&nbsp;&nbsp;&nbsp;&nbsp;Exchange Controls**

Prior to November 3, 2025, the permission of the The Bermuda Monetary Authority, or the BMA, was required for all issuances and transfers of securities of a Bermuda exempted company like ours, unless the proposed transaction was exempted by the BMA's written general permissions. In keeping with this, we had received general permission from the BMA to issue any unissued ordinary shares and for the free transferability of our ordinary shares as long as our ordinary shares are listed on an "appointed stock exchange". Our ordinary shares are listed on the NYSE, which is an "appointed stock exchange". On November 3, 2025, the provisions of the Exchange Control Act 1972 of Bermuda and the Exchange Control Regulations 1973 of Bermuda, that stipulated the need for these permissions were revoked with the effect that from that date these permissions are no longer required. Our ordinary shares may be freely transferred among persons who are residents and non-residents of Bermuda.

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Although we are incorporated in Bermuda, we are classified as a non-resident of Bermuda for exchange control purposes by the BMA. Other than transferring Bermuda Dollars out of Bermuda, there are no restrictions on our ability to transfer funds into and out of Bermuda or to pay dividends to U.S. residents who are holders of ordinary shares or other non-residents of Bermuda who are holders of our ordinary shares in currency other than Bermuda Dollars.

**E.&nbsp;&nbsp;&nbsp;&nbsp;Taxation**

**U.S. Federal Income Tax Considerations**

The following discussion summarizes the material U.S. federal income tax consequences and certain non-U.S. tax consequences to U.S. Holders and Non-U.S. Holders, each as defined below, of the acquisition, ownership and disposition of our ordinary shares received pursuant to this Annual Report, and of certain U.S. federal income tax consequences to our Company. This summary does not purport to deal with all aspects of U.S. federal income taxation that may be relevant to an investor's decision to purchase our ordinary shares, or any tax consequences arising under the laws of any state, locality or foreign jurisdiction. This summary is not intended to be applicable to all categories of investors, such as dealers in securities, banks, thrifts or other financial institutions, insurance companies, regulated investment companies, tax-exempt organizations, U.S. expatriates, persons that hold the ordinary shares as part of a straddle, wash sale or conversion transaction, persons who own, directly or constructively, 10% or more of our outstanding stock, persons deemed to sell the ordinary shares under the constructive sale provisions of the U.S. Internal Revenue Code of 1986, as amended, or the Code, persons whose "functional currency" is other than the U.S. dollar, or persons required to recognize income for U.S. federal income tax purposes no later than when such income is reported on an "applicable financial statement", and persons subject to an alternative minimum tax, the "base erosion and anti-avoidance" tax or the unearned income Medicare contribution tax each of which may be subject to special rules. This discussion also does not describe all of the tax consequences that may be relevant to an investor. In addition, this discussion is limited to persons who hold ordinary shares as "capital assets" (generally, property held for investment) within the meaning of Code Section 1221.

If an entity treated as a partnership for U.S. federal income tax purposes holds the ordinary shares, the U.S. federal income tax treatment of a partner will generally depend upon the status of the partner and upon the activities of the partnership. Partners of partnerships holding the ordinary shares are encouraged to consult their own tax advisors.

The following are the material U.S. federal income tax consequences to us of our activities and to U.S. Holders and Non-U.S. Holders, each as defined below, of our ordinary shares. We have assumed that the Company will be operated as described herein. The following discussion of U.S. federal income tax matters is based on the Code, judicial decisions, administrative pronouncements, and existing and proposed regulations issued by the U.S. Department of the Treasury, each of which as is in effect as of the date hereof and all of which are subject to change, possibly with retroactive effect. Except as otherwise noted, this discussion is based on the assumption, as currently expected, that we will not maintain an office or other fixed place of business within the United States. References in the following discussion to "we" and "us" are to FLEX LNG Ltd. and its subsidiaries on a consolidated basis.

***U.S. Taxation of our Company***

Shipping income that is attributable to transportation that begins or ends, but that does not both begin and end, in the United States will be considered to be 50% derived from sources within the United States. Shipping income attributable to transportation that both begins and ends in the United States will be considered to be 100% derived from sources within the United States. We are not permitted by law to engage in transportation that gives rise to 100% U.S. source income.

Shipping income attributable to transportation exclusively between non-U.S. ports will be considered to be 100% derived from sources outside of the United States and will not be subject to U.S. federal income tax.

Unless exempt from U.S. federal income tax under Section 883 of the Code, we will be subject to U.S. federal income tax, in the manner discussed below, to the extent our shipping income is derived from sources within the United States.

*Application of Section 883 of the Code*

Under Section 883 of the Code and the Treasury Regulations promulgated thereunder, we, and each of our subsidiaries, will be exempt from U.S. federal income taxation on our respective U.S. source shipping income if, in addition to satisfying certain substantiation and reporting requirements, both of the following conditions are met:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we and each subsidiary are organized in a "qualified foreign country," defined as a country that grants an equivalent exemption from tax to corporations organized in the United States in respect of the shipping income for which exemption is being claimed under Section 883 of the Code; this is also known as the "Country of Organization Requirement"; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• either

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;▪ more than 50% of the value of our stock is treated as owned, directly or indirectly, by individuals who are "residents" of qualified foreign countries; this is also known as the "Ownership Requirement"; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;▪ our stock is "primarily and regularly traded on an established securities market" in the United States or any qualified foreign country; this is also known as the "Publicly-Traded Requirement."

The U.S. Treasury Department has recognized (i) Bermuda, our country of incorporation and at least one of our subsidiaries, and (ii) the Republic of the Marshall Islands, the country of incorporation of certain of our vessel-owning subsidiaries that has earned shipping income from sources within the United States as qualified foreign countries. Accordingly, we and each such subsidiary satisfy the Country of Organization Requirement.

Due to the public nature of our shareholdings, we do not believe that we will be able to substantiate that we satisfy the Ownership Requirement. However, as described below, we believe that we may be able to satisfy the Publicly-Traded Requirement.

The Treasury Regulations under Section 883 of the Code provide that a foreign corporation will meet the Publicly-Traded Requirement if one or more classes of its stock representing, in the aggregate, more than 50% of the combined voting power and total value of the stock of the corporation is "primarily and regularly traded on an established securities market." Our ordinary shares represent more than 50% of the combined voting power and total value of our stock.

A class of stock will be considered to be "primarily traded" on an "established securities market" if the number of shares of each class of such stock that is traded during the taxable year on all "established securities markets" in that country exceeds the number of shares in each such class that are traded during that year on "established securities markets" in any other single country. Our stock was traded on both the OSE and on the NYSE. On September 16, 2025, our ordinary shares were delisted from the OSE and are currently only traded on the NYSE. Our ordinary shares should be considered to be "primarily traded" on the NYSE for 2025, which is an "established securities market" for purposes of Code Section 883.

Under the Treasury Regulations, a class of stock will be considered to be "regularly traded" on an "established securities market" if one or more classes of stock of the corporation representing more than 50% of the total combined voting power of all classes of stock entitled to vote and of the total value of the stock of the corporation are listed on such market during the taxable year. Since our ordinary shares, which constitute more than 50% of the total combined voting power and total value of our stock, are listed on the NYSE, we expect to satisfy the Listing Requirement.

The Treasury Regulations further require that with respect to each class of stock relied upon to meet the Listing Requirement: (i) such class of stock is traded on the market, other than in minimal quantities, on at least 60 days during the taxable year or one-sixth of the days in a short taxable year; this is also known as the "Trading Frequency Test"; and (ii) the aggregate number of shares of such class of stock traded on such market is at least 10% of the average number of shares of such class of stock outstanding during such year, or as appropriately adjusted in the case of a short taxable year; this is also known as the "Trading Volume Test."

Our ordinary shares will satisfy the Trading Frequency Test and the Trading Volume Test. Even if this were not the case, the relevant Treasury Regulations provide that the trading frequency and trading volume tests will be deemed satisfied by a class of stock if such class of stock is traded on an "established market" in the United States, such as the NYSE and such class of stock is regularly quoted by dealers making a market in such stock.

Notwithstanding the foregoing, the Treasury Regulations provide that our ordinary shares will not be considered to be "regularly traded" on an "established securities market" for any taxable year in which 50% or more of the outstanding ordinary shares, by vote and value, are owned, for more than half the days of the taxable year, by persons who each own, directly or indirectly, 5% or more of the vote and value of the outstanding ordinary shares; this is also known as the "5% Override Rule." The 5% Override Rule will not apply, however, if in respect of each category of shipping income for which exemption is being claimed, we can establish that individual residents of qualified foreign countries, or "Qualified Shareholders," own sufficient

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ordinary shares to preclude non-Qualified Shareholders from owning (excluding, for this purpose, any share of stock treated as also owned by a Qualified Shareholder through the application of constructive ownership rules) 50% or more of the total value of our ordinary shares for more than half the number of days during the taxable year; this is also known as the "5% Override Exception."

We believe we will satisfy the Publicly-Traded Test for the 2025 taxable year and will not be subject to the 5% Override Rule, and we intend to take that position on our 2025 U.S. federal income tax returns. However, there are factual circumstances beyond our control that could cause us to lose the benefit of this tax exemption and thereby become subject to U.S. federal income tax on our U.S. source income. For example, there is a risk that we could no longer qualify for Section 883 exemption for a particular taxable year if one or more 5% Shareholders were to own 50% or more of our outstanding ordinary shares on more than half the days of the taxable year. Under these circumstances, we would be subject to the 5% Override Rule and we would not qualify for the Section 883 exemption unless we could establish that our shareholding during the taxable year was such that non-qualified 5% Shareholders did not own 50% or more of our ordinary shares on more than half the days of the taxable year. Under the Treasury Regulations, we would have to satisfy certain substantiation requirements regarding the identity of our shareholders. We can give no assurances regarding our or any of our subsidiaries' qualification for the exemption under Section 883 of the Code.

*Taxation in Absence of Exemption Under Section 883 of the Code*

To the extent the benefits of section 883 of the Code are unavailable with respect to any item of U.S. source shipping income earned by us or by our subsidiaries, and our U.S. source shipping income is not considered effectively connected with the conduct of a U.S. trade or business, such U.S. source shipping income would be subject to a 4% U.S. federal income tax imposed by Section 887 of the Code on a gross basis, without benefit of deductions. Since, under the sourcing rules described above, no more than 50% of our shipping income would be treated as being U.S. source shipping income, the maximum effective rate of U.S. federal income tax on our shipping income, to the extent not considered to be "effectively connected" with the conduct of a U.S. trade or business, would never exceed 2% of the gross amount of such shipping income.

*Gain on Sale of Vessels*

If we and our subsidiaries qualify for exemption from tax under section 883 of the Code in respect of our U.S. source shipping income, the gain on the sale of any vessel earning such U.S. source shipping income should likewise be exempt from U.S. federal income tax. Even if we and our subsidiaries are unable to qualify for exemption from tax under section 883 of the Code and we or any of our subsidiaries, as the seller of such vessel, are considered to be engaged in the conduct of a U.S. trade or business, gain on the sale of such vessel would not be subject to U.S. federal income tax provided the sale is considered to occur outside of the United States under U.S. federal income tax principles. In general, a sale of a vessel will be considered to occur outside of the United States for this purpose if title to the vessel, and risk of loss with respect to the vessel, pass to the buyer outside of the United States. If the sale is considered to occur within the United States, any gain on such sale may be subject to U.S. federal income tax as "effectively connected" income at a rate of up to 44.7%. To the extent circumstances permit, we intend to structure sales of our vessels in such a manner, so as to not give rise to "effectively connected" income.

***U.S. Federal Income Tax Consequences to U.S. Holders of Our Ordinary Shares***

A "U.S. Holder" is a beneficial owner of ordinary shares that is: (1) an individual citizen or resident alien of the United States, (2) a corporation or other entity that is taxable as a corporation, created or organized under the laws of the United States or any state or political subdivision thereof (including the District of Columbia), (3) an estate, the income of which is subject to U.S. federal income taxation regardless of its source, and (4) a trust, if (i) a U.S. court can exercise primary supervision over the administration of such trust and one or more U.S. persons has the authority to control all substantial decisions of the trust or (ii) the trust has in effect a valid election to be treated as a United States person for U.S. federal income tax purposes.

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*Taxation of Distributions on Ordinary Shares*

Subject to the discussion below under "Passive Foreign Investment Company Status and Significant Tax Consequences," distributions, if any, paid on our ordinary shares generally will be includable in a U.S. Holder's income as dividend income to the extent paid out of our current or accumulated earnings and profits, as determined under U.S. federal income tax principles. Distributions in excess of our current and accumulated earnings and profits will be treated first as a non-taxable return of capital to the extent of the U.S. Holder's tax basis in its ordinary shares on a dollar-for-dollar basis and thereafter as capital gain. Such distributions will generally not be eligible for the dividends-received deduction with respect to corporate U.S. Holders. In 2025, we intend to treat all of our corporate distributions as dividends for U.S. federal income tax purposes (as opposed to segregating between dividends and return of capital for U.S federal income tax purposes). A noncorporate U.S. Holder may qualify for taxation at preferential rates, provided that such U.S. Holder meets certain holding period and other requirements and we do not constitute a passive foreign investment company, as described below, for the taxable year of the distribution or the immediately preceding year. Dividends paid on our ordinary shares will be income from sources outside the United States and will generally constitute "passive category income" or, in the case of certain U.S. Holders, "general category income" for U.S. foreign tax credit limitation purposes.

Amounts taxable as dividends generally will be treated as passive income from sources outside the United States. However, if (a) the Company is 50% or more owned, by vote or value, by U.S. persons and (b) at least 10% of the Company's earnings and profits are attributable to sources within the United States, then for foreign tax credit purposes, a portion of its dividends would be treated as derived from sources within the United States. With respect to any dividend paid for any taxable year, the U.S. source ratio of our dividends for foreign tax credit purposes would be equal to the portion of the Company's earnings and profits from sources within the United States for such taxable year divided by the total amount of Company's earnings and profits for such taxable year. The rules related to U.S. foreign tax credits are complex and U.S. Holders should consult their tax advisors to determine whether and to what extent a credit would be available.

Special rules may apply to any "extraordinary dividend"—generally, a dividend in an amount which is equal to or in excess of 10% of a shareholder's adjusted basis (or fair market value in certain circumstances) or dividends received within one-year period that, in the aggregate, equal or exceed 20% of a shareholder's adjusted tax basis (or fair market value upon the shareholder's election) in an ordinary share. If the Company pays an "extraordinary dividend" on its ordinary shares that is treated as "qualified dividend income" then any loss derived by a non-corporate U.S. Holder from the sale or exchange of such ordinary shares will be treated as long-term capital loss to the extent of such dividend.

Dividends paid in currency other than U.S. dollars will be generally included in the income of U.S. Holders at the U.S. dollar amount of the dividend (including any non-U.S. taxes withheld therefrom), based upon the exchange rate in effect on the date of the distribution. In the case of foreign currency received as a dividend that is not converted by the recipient into U.S. dollars on the date of receipt, a U.S. Holder will have a tax basis in the foreign currency equal to its U.S. dollar value on the date of receipt. Any gain or loss recognized upon a subsequent sale or other disposition of the foreign currency, including the exchange for U.S. dollars, will be ordinary income or loss. However an individual whose realized foreign exchange gain does not exceed U.S. $200 will not recognize that gain, to the extent that there are not expenses associated with the transaction that meet the requirement for deductibility as a trade or business expense (other than travel expenses in connection with a business trip or as an expense for the production of income).

*Sale, Exchange or Other Disposition of Ordinary Shares*

Subject to the discussion below under "Passive Foreign Investment Company Status and Significant Tax Consequences," upon the sale, exchange or other taxable disposition of ordinary shares, a U.S. Holder generally will recognize capital gain or capital loss equal to the difference between the amount realized on such sale or exchange and such holder's adjusted tax basis in such ordinary shares. U.S. Holders are encouraged to consult their tax advisors regarding the treatment of capital gains (which may be taxed at lower rates than ordinary income for U.S. Holders who are individuals, trusts or estates) and capital losses (the deductibility of which is subject to limitations). A U.S. Holder's gain or loss will generally be treated (subject to certain exceptions) as gain or loss from sources within the United States for U.S. foreign tax credit limitation purposes.

In the case of any proceeds paid in foreign currency to a U.S. Holder in connection with the sale, exchange or other taxable disposition of the ordinary shares that is not converted by the recipient into U.S. dollars on the settlement date (in the case of a cash method taxpayer or an accrual method taxpayer that elects to use the settlement date) or trade date (in the case of an accrual method taxpayer), a U.S. Holder will have a tax basis in the foreign currency equal to its U.S. dollar value on the settlement date or trade date, respectively. Any gain or loss recognized upon a subsequent sale or other disposition of the

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foreign currency, including the exchange for U.S. dollars, will be ordinary income or loss. However, an individual whose realized foreign exchange gain does not exceed U.S. $200 will not recognize that gain, to the extent that there are not expenses associated with the transaction that meet the requirement for deductibility as a trade or business expense (other than travel expenses in connection with a business trip or as an expense for the production of income).

*Passive Foreign Investment Company Status and Significant Tax Consequences*

Notwithstanding the above rules regarding distributions with respect to and dispositions of the ordinary shares, special rules may apply to U.S. Holders (or, in some cases, U.S. persons who are treated as owning our ordinary shares under constructive ownership rules) if we are treated as a "passive foreign investment company," or a PFIC, for U.S. federal income tax purposes. We will be a PFIC if either:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• at least 75% of our gross income in a taxable year is "passive income"; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• at least 50% of our assets in a taxable year (based on an average of the quarterly values of the assets) are held for the production of, or produce, "passive income."

For purposes of determining whether we are a PFIC, we will be treated as earning and owning our proportionate share of the income and assets, respectively, of any of our subsidiary corporations in which we own 25% or more of the value of the subsidiary's stock. To date, our subsidiaries and we have derived most of our income from time and voyage charters, and we expect to continue to do so. This income should be treated as services income, which is not "passive income" for PFIC purposes. We believe there is substantial legal authority supporting our position consisting of case law and IRS pronouncements concerning the characterization of income derived from time charters and voyage charters as services income for other tax purposes. However, there is also authority which characterizes time charter income as rental income rather than services income for other tax purposes.

Based on our past, current and projected methods of operation we do not believe that we were, are or will be a PFIC for any taxable year. We are of the view that the income our subsidiaries or we earn from certain of time and voyage charters should not constitute passive income for purposes of determining whether we are a PFIC. Moreover, we have not sought, and we do not expect to seek, a ruling from the IRS on this matter. As a result, the IRS or a court could disagree with our position. In addition, there can be no assurance that we will not become a PFIC if our operations change in the future.

If we become a PFIC (and regardless of whether we remain a PFIC), each U.S. Holder who owns or is treated as owning our ordinary shares during any period in which we are so classified, would generally be subject to U.S. federal income tax, at the then highest applicable income tax rates on ordinary income, plus interest, upon certain "excess distributions" and upon dispositions of such ordinary shares (including, under certain circumstances, a disposition pursuant to an otherwise tax free reorganization) as if the distribution or gain had been recognized ratably over the U.S. Holder's entire holding period of the ordinary shares. An "excess distribution" generally includes dividends or other distributions received from a PFIC in any taxable year of a U.S. Holder to the extent that the amount of those distributions exceeds 125% of the average annual distributions made by the PFIC during a specified base period. The tax at ordinary rates and interest resulting from an excess distribution would not be imposed on a U.S. Holder of our ordinary shares if the U.S. Holder makes a "mark-to-market" election or "qualified electing fund" election, as discussed below.

If we become a PFIC and, provided that, as is currently the case, our ordinary shares are treated as "marketable stock," a U.S. Holder may make a "mark-to-market" election with respect to our ordinary shares. Under this election, any excess of the fair market value of the ordinary shares at the close of any tax year over the U.S. Holder's adjusted tax basis in the ordinary shares is included in the U.S. Holder's income as ordinary income. In addition, the excess, if any, of the U.S. Holder's adjusted tax basis at the close of any taxable year over the fair market value of the ordinary shares is deductible in an amount equal to the lesser of the amount of such excess or the net "mark-to-market" gains that the U.S. Holder included in income in previous years. If a U.S. Holder makes a "mark-to-market" election after the beginning of its holding period of our ordinary shares, the U.S. Holder does not avoid the PFIC rules described above with respect to the inclusion of ordinary income, and the imposition of interest thereon, attributable to periods before the election.

In some circumstances, a shareholder in a PFIC may avoid the unfavorable consequences of the PFIC rules by making a "qualified electing fund" election. However, a U.S. Holder cannot make a "qualified electing fund" election with respect to us unless such U.S. Holder complies with certain reporting requirements. We do not intend to provide the information necessary to meet such reporting requirements.

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In addition to the above consequences, if we were to be treated as a PFIC for any taxable year for which a U.S. Holder holds our ordinary shares, such U.S. Holder may be required to file IRS form 8621 with the IRS for that year with respect to such U.S. Holder's ordinary shares.

You should consult your tax advisors regarding the application of the PFIC rules to your investment in our ordinary shares and the elections discussed above.

***U.S. Federal Income Tax Consequences to Non-U.S. Holders***

For purposes of this discussion, a non-U.S. holder is a beneficial owner of our ordinary shares that is neither a U.S. holder nor a partnership (or any other entity taxed as a partnership for U.S. federal income tax purposes).

A non-U.S. holder will generally not be subject to U.S. federal income tax on dividends paid in respect of the ordinary shares or on gains recognized in connection with the sale or other disposition of the ordinary shares, provided, in each case, that such dividends or gains are not effectively connected with the non-U.S. holder's conduct of a U.S. trade or business. However, even if not engaged in a U.S. trader or business, individual non-U.S. holders may be subject to tax on gain resulting from the disposition of our ordinary shares if they are present in the United States for 183 days or more during the taxable year in which our ordinary shares are disposed and/or meet certain other requirements.

***Information Reporting and Backup Withholding***

Under certain circumstances, the Code requires "information reporting" annually to the IRS, and "backup withholding" with respect to certain payments made on or with respect to the ordinary shares. Certain U.S. Holders are exempt from backup withholding and information reporting, including corporations, tax-exempt organizations, qualified pension and profit-sharing trusts, and individual retirement accounts in each case that provide a properly completed IRS Form W-9. Backup withholding will apply to a non-exempt U.S. Holder if such U.S. Holder (1) fails to furnish its taxpayer identification number, or TIN, which, for an individual would be his or her social security number, (2) furnishes an incorrect TIN, (3) is notified by the IRS that it has failed to properly report payments of interest and dividends, or (4) under certain circumstances, fails to certify, under penalties of perjury, that it has furnished a correct TIN and has not been notified by the IRS that it is subject to backup withholding for failure to report interest and dividend payments. Non-U.S. Holders that do not provide a properly completed version of IRS Form W-8 (e.g., IRS Form W-8BEN-E, IRS Form W-8BEN, IRS Form W-8EXP, IRS Form W-8ECI, or IRS Form W-8IMY) will be subject to this backup withholding.

Backup withholding is not an additional tax. Rather, the U.S. federal income tax liability of persons subject to backup withholding will be offset by the amount of tax withheld. If backup withholding results in an overpayment of U.S. federal income tax, a refund or credit may be obtained from the IRS, provided that certain required information is timely furnished.

**Certain Non-U.S. Tax Considerations**

**Bermuda Taxation**

Bermuda currently imposes no tax (including a tax in the nature of an income, estate, duty, inheritance, capital transfer or withholding tax) on profits, income, capital gains or appreciations derived by us, or dividends or other distributions paid by us to shareholders of our ordinary shares. Bermuda has undertaken not to impose any such Bermuda taxes on shareholders of our ordinary shares prior to the year 2035 except in so far as such tax applies to persons ordinarily resident in Bermuda.

The Minister of Finance in Bermuda under The Exempted Undertaking Tax Protection Act 1996, as amended, or the Tax Protection Act, has granted the Company a tax exempt status until March 31, 2035, under which no income taxes or other taxes (other than duty on goods imported into Bermuda and payroll tax in respect of any Bermuda-resident employees) are payable by the Company in Bermuda. If the Minister of Finance in Bermuda does not grant a new exemption or extend the current tax exemption, and if the Bermudian Parliament passes legislation imposing taxes on exempted companies, the Company may become subject to taxation in Bermuda after March 31, 2035.

In December 2023, Bermuda passed into law the Corporate Income Tax 2023, or the Corporate Income Tax Act, in response to the OECD's Pillar 2 global minimum tax initiative to impose a 15% corporate income tax that will be effective for fiscal years beginning on or after January 1, 2025, providing in scope Bermuda multinational groups time to transition and make the necessary adjustments.

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The assurance granted by the Minister of Finance pursuant to the Tax Protection Act has been made subject to the application of any taxes payable pursuant to the Corporate Income Tax Act. Amendments were made to the Tax Protection Act by the Corporate Income Tax Act, with the consequence that liability for any taxes payable pursuant to the Corporate Income Tax Act will apply notwithstanding any prior assurance given pursuant to the Tax Protection Act.

Subject to certain exceptions, Bermuda entities that are part of a multinational group will be in scope of the provisions of the Corporate Income Tax Act if, with respect a fiscal year, such group has annual revenue of EUR 750 million or more in the consolidated financial statements of the ultimate parent entity for at least two of the four fiscal years immediately prior to such fiscal year, or the Bermuda Constituent Entity Group.

Where corporate income tax is chargeable to a Bermuda Constituent Entity Group, the amount of corporate income tax chargeable to a Bermuda Constituent Entity Group for a fiscal year shall be 15% of the net taxable income of the Bermuda Constituent Entity Group, less tax credits applicable under the Corporate Income Tax Act (foreign tax credits) or as prescribed by regulation by the Minister of Finance (qualified refundable tax credits).

**Marshall Islands Taxation**

Because we do not (and do not expect in the future that we will) conduct business or operations in the Republic of the Marshall Islands, we are not subject to income, capital gains, profits or other taxation under current Marshall Islands law.

The foregoing summary does not discuss all aspects of U.S. federal and Bermuda income taxation that may be relevant to you in light of your particular circumstances. You are encouraged to consult your own tax advisor as to the particular tax consequences to you of acquiring, holding, converting or otherwise disposing of our ordinary shares.

**F.&nbsp;&nbsp;&nbsp;&nbsp;Dividends and Paying Agents**

Not applicable.

**G.&nbsp;&nbsp;&nbsp;&nbsp;Statement by Experts**

Not applicable.

**H.&nbsp;&nbsp;&nbsp;&nbsp;Documents on Display**

We are subject to the informational requirements of the Exchange Act. In accordance with these requirements we file reports and other information with the SEC. These materials, including this Annual Report on Form 20-F and the accompanying exhibits may be inspected and copied at the public reference facilities maintained by the SEC at 100 F Street, NE, Room 1580, Washington, D.C. 20549. You may obtain information on the operation of the public reference room by calling 1 (800) SEC-0330, and you may obtain copies at prescribed rates from the Public Reference Section of the SEC at its principal office in Washington, D.C. The SEC maintains a website (http://www.sec.gov.) that contains reports, proxy and information statements and other information regarding registrants that file electronically with the SEC. In addition, our filings will be available on our website www.flexlng.com. This web address is provided as an inactive textual reference only. Information contained on our website does not constitute part of this Annual Report.

Shareholders may also request a copy of our filings at no cost by writing or telephoning us at the following address:

FLEX LNG Ltd.

Par-La-Ville Place, 14 Par-La-Ville Road, Hamilton, Bermuda

Tel: +1 441 295 69 35

**I.&nbsp;&nbsp;&nbsp;&nbsp;Subsidiary Information**

Not applicable.

**J.&nbsp;&nbsp;&nbsp;&nbsp;Annual Report to Security Holders**

Not applicable.

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**ITEM 11.&nbsp;&nbsp;&nbsp;&nbsp;QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK**

Our activities expose the Company to a variety of financial risks including market risk (including currency risk and interest rate risk), credit risk and liquidity risk. Our overall risk management program considers the unpredictability of financial markets and seeks to minimize potential adverse effects on our financial performance, in a cost-effective manner.

**Currency Risk**

The majority of our transactions, assets and liabilities are denominated in U.S. dollars, our functional currency. However, we incur expenditures in currencies other than the functional currency, mainly overhead costs in GBP and NOK. Historically, we have not hedged these exposures. There is a risk that currency fluctuations in transactions incurred in currencies other than our functional currency will have a negative effect of the value of our cash flows.

**Interest Rate Risk**

We are exposed to interest rate fluctuations primarily due to our floating rate interest-bearing long-term debt. The international LNG transportation industry is a capital-intensive industry, which requires significant amounts of financing, typically provided in the form of secured long-term debt or lease financing. Certain of our current bank and lease financing agreements bear floating interest rates, based on SOFR. Significant adverse fluctuations in floating interest rates could adversely affect our operating and financial performance and our ability to service our debt.

As of December 31, 2025, we had $1,860.6 million of outstanding indebtedness under our credit facilities and debt securities, which includes $413.7 million drawn under revolving credit facilities. Of our credit facilities, $1,729.5 million of our outstanding indebtedness as of December 31, 2025 referenced variable interest rates based on SOFR. These credit facilities with variable interest rates had a weighted average margin of 1.74% and a weighted average duration of 7.7 years. The majority of our credit facilities use variable interest rates and expose us to interest rate risk. If interest rates increase, our debt service obligations on the variable rate indebtedness would increase even if the amount borrowed remained the same, and our profitability and cash available for servicing our indebtedness would subsequently decrease.

The Company also holds a number of interest rate swap derivative agreements. These derivative instruments economically hedge interest rate exposures for risk management purposes, but these instruments are not designated as hedges for accounting purposes. The Company assesses interest rate risk by monitoring changes in interest rate exposures that may adversely impact expected future cash flows and by evaluating economical hedging opportunities. As of December 31, 2025, the aggregate notional principal of our interest rate swaps was $775.0 million, with a weighted average fixed interest rate of 2.46% and a weighted average duration of 2.8 years. Please see "Note 12. Financial Instruments" to our consolidated financial statements for additional details.

In this Annual Report, we chose to provide investors with the results of a sensitivity analysis related to our interest rate risk sensitive instruments. We believe such presentation makes it easier to understand the impact of variations in interest rates on our Company's financial performance and financial position as we use selected hypothetical changes in interest rates to illustrate such impact. We also believe this type of sensitivity analysis provides useful information and is widely used by investors for measuring the impact of such variations on interest rate risk sensitive instruments held by issuers. As of December 31, 2025, the Company's outstanding credit facilities with variable interest rates, net of the amount subject to interest rate swap derivative agreements, was $954.5 million. Based on this, a one percentage point change in annual SOFR interest rates would increase or decrease the annual interest expense by approximately $9.5 million.

**Liquidity Risk**

We monitor the risk of a shortage of funds using a cash modeling forecast. This model considers the maturity of payment profiles and projected cash flows required to fund the operations. Historically funds have been raised via equity issuance, lease finance and loan finance. Market conditions can have a significant impact on the ability to raise equity, lease finance and loan finance. While equity issuance may be dilutive to existing shareholders, lease and loan finance will contain covenants and other restrictions.

Our objective is to maintain a balance between continuity of funding and flexibility through the raising of funds from investors.

**Credit Risk**

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We are exposed to credit risk, which is the risk that a counterparty such as our charterers will be unable to pay amounts in full when due. There is a concentration of credit risk with respect to cash and cash equivalents and derivative instruments to the extent that substantially all of the amounts are carried with Skandinaviska Enskilda Banken AB, or SEB, (S&P Global rating: AA-), Danske Bank AS, or Danske Bank, (S&P Global rating: A+) and DNB Bank ASA, or DNB (S&P Global rating: AA-).

**Price Risk**

We are also subject, indirectly, to price risk related to the spot/short term charter market for chartering LNG carriers. Charter rates may be uncertain and volatile and depend upon, among other things, the natural gas prices, the supply and demand for vessels, arbitrage opportunities, vessel obsolesce and the energy market, which we cannot predict with certainty. Currently, no financial instruments have been entered into to reduce this risk.

**Operational Risk**

The operation of an LNG carrier has certain unique operational risks. Our vessels and their cargoes are at risk of being damaged or lost because of events such as marine disasters, bad weather, business interruptions caused by mechanical failures, grounding and fire, explosions and collisions, human error, war, terrorism, piracy, labor strikes, boycotts and other circumstances or events. These hazards may result in death or injury to persons, loss of revenues or property, higher insurance rates, damage to our customer relationships and market disruptions, delay or rerouting.

If our LNG carriers suffer damage, they may need to be repaired at a drydocking facility. The costs of drydock repairs are unpredictable and may be substantial. We may have to pay drydocking costs that our insurance does not cover at all or in full. The loss of revenues while these vessels are being repaired and repositioned, as well as the actual cost of these repairs, may adversely affect our business and financial condition.

At a commercial level it also includes the ability to secure employment contracts on reasonable terms for our vessels; and obtaining financing and working capital on reasonable terms.

**ITEM 12.&nbsp;&nbsp;&nbsp;&nbsp;DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES**

**A.&nbsp;&nbsp;&nbsp;&nbsp;Debt Securities**

Not applicable.

**B.&nbsp;&nbsp;&nbsp;&nbsp;Warrants and Rights.**

Not applicable.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Other Securities.**

Not applicable.

**D.&nbsp;&nbsp;&nbsp;&nbsp;American Depositary Shares.**

Not applicable.

**PART II**

**ITEM 13.&nbsp;&nbsp;&nbsp;&nbsp;DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES**

None.

**ITEM 14.&nbsp;&nbsp;&nbsp;&nbsp;MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS**

None.

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**ITEM 15.&nbsp;&nbsp;&nbsp;&nbsp;CONTROLS AND PROCEDURES**

**A.**&nbsp;&nbsp;&nbsp;&nbsp;**Disclosure Controls and Procedures.**

Management assessed the effectiveness of the design and operation of the Company's disclosure controls and procedures pursuant to Rule 13a-15(e) of the Exchange Act, as of the end of the period covered by this Annual Report as of December 31, 2025. Based upon that evaluation, the Principal Executive Officer and Principal Financial Officer concluded that the Company's disclosure controls and procedures are effective as of December 31, 2025.

**B.**&nbsp;&nbsp;&nbsp;&nbsp;**Management's Annual Report on Internal Control Over Financial Reporting.**

Our management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) promulgated under the Exchange Act.

Internal control over financial reporting is defined in Rule 13a-15(f) or 15d-15(f) promulgated under the Exchange Act as a process designed by, or under the supervision of, the Company's Principal Executive Officer, Mr. Halfdan Marius Foss, and Principal Financial Officer, Mr. Knut Traaholt, and effected by the Company's Board of Directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles and includes those policies and procedures that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that our receipts and expenditures are being made only in accordance with authorizations of Company's management and directors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree or compliance with the policies or procedures may deteriorate.

Management conducted the evaluation of the effectiveness of the internal controls over financial reporting using the control criteria framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in its report entitled Internal Control-Integrated Framework (2013).

Our management with the participation of our Principal Executive Officer and Principal Financial Officer assessed the effectiveness of the design and operation of the Company's internal controls over financial reporting pursuant to Rule 13a-15 of the Exchange Act, as of December 31, 2025. Based upon that evaluation, our management with the participation of our Principal Executive Officer and Principal Financial Officer concluded that the Company's internal controls over financial reporting are effective as of December 31, 2025.

**C.&nbsp;&nbsp;&nbsp;&nbsp;Attestation Report of the Registered Public Accounting Firm**

&nbsp;&nbsp;&nbsp;&nbsp;The independent registered public accounting firm that audited the consolidated financial statements, Ernst & Young AS, has issued an attestation report on the effectiveness of the Company's internal control over financial reporting as of December 31, 2025, appearing under "Item 18. Financial Statements".

**D.**&nbsp;&nbsp;&nbsp;&nbsp;**Changes in Internal Control Over Financial Reporting**

&nbsp;&nbsp;&nbsp;&nbsp;There were no changes in our internal controls over financial reporting that occurred during the period covered by this Annual Report that have materially affected or are reasonably likely to materially affect, the Company's internal control over financial reporting.

**ITEM 16.&nbsp;&nbsp;&nbsp;&nbsp;[RESERVED]**

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**ITEM 16A.&nbsp;&nbsp;&nbsp;&nbsp;AUDIT COMMITTEE FINANCIAL EXPERT**

&nbsp;&nbsp;&nbsp;&nbsp;Our Board of Directors has determined that Mr. Nikolai Grigoriev is an "audit committee financial expert" as defined by the SEC and meets the applicable independence requirements of the SEC and NYSE rules.

**ITEM 16B.&nbsp;&nbsp;&nbsp;&nbsp;CODE OF ETHICS**

We have adopted a code of ethics, which we refer to as our Corporate Code of Business Ethics and Conduct, which applies to all entities controlled by the Company and its employees, directors, officers and agents. We have posted a copy of our Corporate Code of Business Ethics and Conduct on our website at www.flexlng.com. The information on our website is not incorporated by reference into this Annual Report. We will provide any person, free of charge with a copy of our Corporate Code of Business Ethics and Conduct upon written request to our offices at: Par-La-Ville Place, 14 Par-La-Ville Road, Hamilton, Bermuda. Any waivers that are granted from any provision of our Corporate Code of Business Ethics and Conduct will be disclosed on our website within five business days following the date of such waiver.

**ITEM 16C.&nbsp;&nbsp;&nbsp;&nbsp;PRINCIPAL ACCOUNTANT FEES AND SERVICES**

&nbsp;&nbsp;&nbsp;&nbsp;The Company's principal accountant for 2025 and 2024 was Ernst & Young AS. The following table sets forth for the two most recent fiscal years the fees paid or accrued for audit and services provided by Ernst & Young AS to the Company.

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| | | |
|:---|:---|:---|
| | **Year ended December 31,** | **Year ended December 31,** |
| *(In thousands of $)* | **2025** | 2024<sup>(1)</sup> |
| Audit Fees (a) | **684** | 648 |
| Audit-Related Fees (b) | **—** |  |
| Tax Fees (c) | **—** |  |
| All Other Fees (d) | **—** |  |
| **Total** | **684** | 648 |

---

(1) Audit fees for the year ended December 31, 2024 have been adjusted to reflect amounts that were finalized subsequent to last year's annual report.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**A.Audit Fees**

Audit fees are the aggregate fees billed for professional services rendered for the audit of our annual financial statements and services normally provided by the principal accountant in connection with statutory and regulatory filings or engagements, included services related consents, comfort letters and assistance with and review of documents filed with the SEC.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**B.Audit-Related Fees**

Audit-related fees consisted of assurance and related services rendered by the principal accountant related to the performance of the audit of our financial statements which have not been reported under Audit Fees above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**C.Tax Fees**

Tax fees represent fees for professional services rendered by the principal accountant for primarily tax compliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**D.All Other Fees**

All other fees represent fees for permitted services provided by the principal accountant, other than those services reported in audit fees, audit-related fees and tax fees.

The Company's Board of Directors has adopted pre-approval policies and procedures in compliance with paragraph (c) (7)(i) of Rule 2-01 of Regulation S-X that require the Board of Directors to approve the appointment of the independent auditor of the Company before such auditor is engaged and approve each of the audit and non-audit related services to be provided by

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such auditor under such engagement by the Company. All services provided by the principal auditor in 2025 and 2024 were approved by the Audit Committee pursuant to the pre-approval policy.

**ITEM 16D.&nbsp;&nbsp;&nbsp;&nbsp;EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES**

Not applicable.

**ITEM 16E.&nbsp;&nbsp;&nbsp;&nbsp;PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS**

None.

**ITEM 16F.&nbsp;&nbsp;&nbsp;&nbsp;CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT**

Not applicable.

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**ITEM 16G.&nbsp;&nbsp;&nbsp;&nbsp;CORPORATE GOVERNANCE**

Pursuant to an exception under the NYSE listing standards available to foreign private issuers, we are not required to comply with all of the corporate governance practices followed by U.S. companies under the NYSE listing standards (which are available at www.nyse.com) because in certain cases we follow our home country (Bermuda) practice. Pursuant to Section 303A.11 of the NYSE Listed Company Manual, we are required to list the significant differences between our corporate governance practices that comply with and follow our home country practices and the NYSE standards applicable to listed U.S. companies. Set forth below is a list of those differences:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Independence of Directors.* The NYSE requires that a U.S. listed company maintain a majority of independent directors. As a foreign private issuer, we are exempt from this rule and may comply with it voluntarily. Our Board of Directors is currently comprised of four directors, all of whom we have determined are independent according to NYSE's standards for independence applicable to a foreign private issuer. However, we cannot assure you that we will have a majority of independent directors in the future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Executive Sessions*. The NYSE requires that independent directors meet regularly in executive sessions at which only independent directors are present. While Bermuda law does not require independent directors to regularly hold executive sessions, we intend to hold executive sessions at which only independent directors are present at least twice a year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Nominating/Corporate Governance Committee*. The NYSE requires that a U.S.-listed company have a nominating/corporate governance committee of independent directors and a committee charter specifying the purpose, duties and evaluation procedures of the committee. As permitted under Bermuda law and our Bye-laws, we do not currently have a nominating or corporate governance committee. To the extent we establish such committee in the future, it may not consist of independent directors, entirely or at all.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Compensation Committee*. The NYSE requires U.S.-listed companies to have a compensation committee composed entirely of independent directors and a committee charter addressing the purpose, responsibility, rights and performance evaluation of the committee. As a Foreign Private Issuer we are exempt from this rule and may comply voluntarily. Under Bermuda law, compensation of the executive officers is not required to be determined by an independent committee. We have established a Compensation Committee, which is responsible for establishing our executive officers' compensation and benefits. Mr. Lorentzon, the Chair and sole member of the Compensation Committee qualifies as "independent" under the NYSE listing standards applicable to a foreign private issuer. As permitted under Bermuda law, our Compensation Committee may not consist entirely of independent directors in the future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Audit Committee*. The NYSE requires, among other things, that a U.S.-listed company have an audit committee with a minimum of three members, all of whom are independent. As permitted by Rule 10A-3 under the Exchange Act, our Audit Committee consists of one independent member of our Board of Directors, Nikolai Grigoriev, who, our Board of Directors has determined qualifies as an "audit committee financial expert" for purposes of the SEC rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Shareholder Approval Requirements*. The NYSE requires that a U.S.-listed company obtain prior shareholder approval for certain issuances of authorized stock or the approval of, and material revisions to, equity compensation plans. As permitted under Bermuda law and our Bye-laws, we do not seek shareholder approval prior to issuances of authorized stock or the approval of and material revisions to equity compensation plans. Consistent with Bermuda law and our Bye-laws, our Board of Directors approves share issuances and the adoption of and material amendments to equity compensation plans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Corporate Governance Guidelines*. The NYSE requires U.S.-listed companies to adopt and disclose corporate governance guidelines. The guidelines must address, among other things: director qualification standards, director responsibilities, director access to management and independent advisers, director compensation, director orientation and continuing education, management succession and an annual performance evaluation of the Board of Directors. We are not required to adopt such guidelines under Bermuda law and we have not adopted such guidelines.

**ITEM 16H.&nbsp;&nbsp;&nbsp;&nbsp;MINE SAFETY DISCLOSURE**

&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

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**ITEM 16I.&nbsp;&nbsp;&nbsp;&nbsp;DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS**

&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

**ITEM 16J.&nbsp;&nbsp;&nbsp;&nbsp;INSIDER TRADING POLICIES**

Our Board of Directors has adopted an insider trading policy governing the purchase, sale and other dispositions of our securities by our officers, directors and employees. Copies of our insider trading policies are included as exhibits to this Annual Report.

**ITEM 16K.&nbsp;&nbsp;&nbsp;&nbsp;CYBERSECURITY**

**Risk management and strategy** 

The Company's cybersecurity risk management program consists of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i.An overall strategy to develop, improve and maintain its cybersecurity processes, policies, and governance frameworks.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii.Detailed set of cybersecurity policies and procedures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii.Investment in IT security and a dedicated cybersecurity team.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv.Engaging external cybersecurity service providers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;v.Leveraging third-party cybersecurity tools and technologies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vi.Robust training plan for all its employees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vii.Governance - Board of Directors and management oversight.

The underlying control framework of the Company's cybersecurity program is based on recognized best practices and standards set by the U.S. National Institute of Standards and Technology, which organizes cybersecurity risks into six categories: govern, identify, protect, detect, respond and recover.

The Company has established policies and procedures for all key aspects of its cybersecurity program including an information security policy, password policy, incident management policy, third party security management policy, business continuity plans, cyber incident response plans and information security management system contingency plans.

As part of the Company's cybersecurity strategy, it continues to expand its investments in IT security, including to identify and protect critical assets, strengthen, monitor and alert its information security management system and engage with cybersecurity experts. The Company has a dedicated Chief Information Security Officer, or CISO, who has served within the IT department of a related party for over 20 years and is a Certified Cyber Risk Officer. The Company holds regular cybersecurity meetings, led by its CISO who is employed by related party Front Ocean Management AS, to assess and manage cybersecurity threats and to provide cybersecurity updates to senior management and the Board of Directors. For a description of the relationship with Front Ocean Management AS, please see "Item 7. Major Shareholders and Related Party Transactions – B. Related Party Transactions."

The Company engaged a third-party IT cybersecurity firm to help integrate its information security management system to protect the Company's operations. In addition, the third-party firm conducts risk and vulnerability assessments to identify cybersecurity weaknesses and recommend enhancements.

The Company leverages several third-party tools and technologies as part of its efforts to enhance its cybersecurity functions. This includes a third-party security firm which performs continuous vulnerability assessments on the Company's IT infrastructure. As part of the Company's established cybersecurity governance framework, the Company also assesses potential cybersecurity threats related to the third-party providers and counterparties.

The Company has a robust training program for its employees that covers the Company's cybersecurity risk management program and other Company policies and practices to ensure compliance therewith and to promote best practices. The Company regularly provides cybersecurity awareness trainings to employees to increase awareness of cybersecurity threats.

**Governance** 

The Board of Directors considers cybersecurity risk as part of its risk oversight function and oversees the Company's cybersecurity risk exposures and the steps taken by management to monitor and mitigate cybersecurity risks. The Board of

------

Directors ensures allocation and prioritization of resources and overall strategic direction for cybersecurity and ensures alignment with the Company's overall strategy.

The Board of Directors has delegated the day-to-day oversight of cybersecurity and other technology risks to the CISO, who closely coordinates with the IT and compliance departments and engages with third-party cybersecurity providers.

The CISO, working together with certain members of management and the IT department, is responsible for assessing and managing cybersecurity threats and for reporting cybersecurity threats and updates, including updates on monitoring cybersecurity incidents and strategies to prevent cybersecurity threats, to senior management, and to the Board of Directors on a quarterly basis or more often as needed.

**Cybersecurity Threats** 

For the year ended December 31, 2025 through the date of this Annual Report, the Company is not aware of any material risks from cybersecurity threats, that have materially affected or are reasonably likely to materially affect the Company, including its business strategy, results of operations or financial condition. Please also see Item 3. Key Information—D. Risk Factors—"We rely on our information security management system to conduct our business, and failure to protect this system against security breaches could adversely affect our business and results of operations, including on our vessels. Additionally, if this system fails or becomes unavailable for any significant period of time, our business could be harmed."

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**PART III**

**ITEM 17.&nbsp;&nbsp;&nbsp;&nbsp;FINANCIAL STATEMENTS**

Not applicable

**ITEM 18.&nbsp;&nbsp;&nbsp;&nbsp;FINANCIAL STATEMENTS**

The financial statements beginning on page <u>[F-](#i3b19466fb35144ad99f2a13b333a62fa_124)[1](#i3b19466fb35144ad99f2a13b333a62fa_124)</u> through <u>[F-](#i3b19466fb35144ad99f2a13b333a62fa_214)[29](#i3b19466fb35144ad99f2a13b333a62fa_214)</u>, together with the respective reports of the Independent Registered Public Accounting firm therefore, are filed as a part of this Annual Report.<br>

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| | |
|:---|:---|
| Index to Consolidated Financial Statements of FLEX LNG Ltd. | <u>[F-](#i3b19466fb35144ad99f2a13b333a62fa_124)</u>[1](#i3b19466fb35144ad99f2a13b333a62fa_124) |
| Reports of Independent Registered Public Accounting Firm *(PCAOB ID: 1572)* | [F-](#i3b19466fb35144ad99f2a13b333a62fa_127)[2](#i3b19466fb35144ad99f2a13b333a62fa_127) |
| Consolidated Statements of Operations for the years ended December 31, 2025, 2024 and 2023 | [F-](#i3b19466fb35144ad99f2a13b333a62fa_139)[5](#i3b19466fb35144ad99f2a13b333a62fa_139) |
| Consolidated Statements of Comprehensive Income for the years ended December 31, 2025, 2024 and 2023 | [F-](#i3b19466fb35144ad99f2a13b333a62fa_142)[6](#i3b19466fb35144ad99f2a13b333a62fa_142) |
| Consolidated Balance Sheets as of December 31, 2025 and 2024 | [F-](#i3b19466fb35144ad99f2a13b333a62fa_145)[7](#i3b19466fb35144ad99f2a13b333a62fa_145) |
| Consolidated Statements of Cash Flows for the years ended December 31, 2025, 2024 and 2023 | [F-](#i3b19466fb35144ad99f2a13b333a62fa_148)[8](#i3b19466fb35144ad99f2a13b333a62fa_148) |
| Consolidated Statements of Changes in Equity for the years ended December 31, 2025, 2024 and 2023 | [F-](#i3b19466fb35144ad99f2a13b333a62fa_151)[9](#i3b19466fb35144ad99f2a13b333a62fa_151) |
| Notes to the Consolidated Financial Statements | [F-](#i3b19466fb35144ad99f2a13b333a62fa_154)[10](#i3b19466fb35144ad99f2a13b333a62fa_154) |

---

------

**ITEM 19.&nbsp;&nbsp;&nbsp;&nbsp;EXHIBITS**

---

| | |
|:---|:---|
| 1.1 | <u>[Memorandum of Continuance of FLEX LNG Ltd.](https://www.sec.gov/Archives/edgar/data/1772253/000091957419003165/d8217131_ex1-1.htm)</u> <sup>(1)</sup> |
| 1.2 | <u>[Bye-laws of FLEX LNG Ltd.](https://www.sec.gov/Archives/edgar/data/1772253/000091957419003165/d8217130_ex1-2.htm)</u> <sup>(2)</sup> |
| 2.1 | <u>[Form of Ordinary Share Certificate](https://www.sec.gov/Archives/edgar/data/1772253/000091957419003769/d8230888_ex2-1.htm)</u> <sup>(3)</sup> |
| 2.2 | <u>[Description of Securities registered Pursuant to Section 12 of the Securities Exchange Act of 1934](https://www.sec.gov/Archives/edgar/data/1772253/000177225322000005/exhibit22-descriptionofsec.htm)</u>. <sup>(4)</sup> |
| 4.1 | <u>[Flex Volunteer Sale and Leaseback Agreement](https://www.sec.gov/Archives/edgar/data/1772253/000177225322000005/bindertobbcprider.htm)</u> <sup>(5)</sup> |
| 4.3 | <u>[$320 Million Sale and Leaseback](https://www.sec.gov/Archives/edgar/data/1772253/000177225323000006/a418-320millionsaleandle.htm)</u> <sup>(6)</sup> |
| 4.4 | <u>[Flex Enterprise $150 Million Facility](https://www.sec.gov/Archives/edgar/data/1772253/000177225323000006/a419-flexenterprise150mi.htm)</u> <sup>(7)</sup> |
| 4.5 | <u>[Flex Resolute $150 Million Facility](https://www.sec.gov/Archives/edgar/data/1772253/000177225323000006/a4lexresolute150millionf.htm)</u> <sup>(8)</sup> |
| 4.6 | <u>[$330 Million Sale and Leaseback](https://www.sec.gov/Archives/edgar/data/1772253/000177225323000006/a421-330millionfacilityc.htm)</u> <sup>(9)</sup> |
| 4.7 | <u>[Flex Rainbow Sale and Leaseback](https://www.sec.gov/Archives/edgar/data/1772253/000177225324000008/exhibit422-flexrainbowsa.htm)</u> <sup>(10)</sup>\*\* |
| 4.8 | <u>[$290 Million Facility](https://www.sec.gov/Archives/edgar/data/1772253/000177225324000008/exhibit423-290millionfac.htm)</u> <sup>(11)</sup> |
| 4.9 | <u>[$270 Million Facility](https://www.sec.gov/Archives/edgar/data/1772253/000177225325000011/exhibit49-270millionfaci.htm)</u><sup>(12)</sup> |
| 4.10 | <u>[Flex Endeavour $160 Million Sale and Leaseback](https://www.sec.gov/Archives/edgar/data/1772253/000177225325000011/exhibit410-flexendeavour.htm)</u> <sup>(13)</sup>\*\* |
| 4.11 | <u>[Flex Enterprise $150 Million Facility - Amendment](https://www.sec.gov/Archives/edgar/data/1772253/000177225325000011/exhibit411-flexenterpris.htm)</u> <sup>(14)</sup> |
| 4.12 | <u>[Flex Courageous $175 Million Sale and Leaseback](exhibit412-flexcourageousb.htm)</u> \*\* |
| 4.13 | <u>[Flex Resolute $175 Million Sale and Leaseback](exhibit413-flexresolutebbc.htm)</u> \*\* |
| 4.14 | <u>[Flex Constellation $180 Million Facility](exhibit414-flexconstellati.htm)</u> |
| 8.1 | <u>[List of Subsidiaries](exhibit81-listofsubsidiari.htm)</u> |
| 11.1 | <u>[The Company's Insider Manual for Employees](https://www.sec.gov/Archives/edgar/data/1772253/000177225325000011/exhibit111-thecompanysin.htm)</u> <sup>(15)</sup> |
| 11.2 | <u>[The Company's Insider Manual for Primary Insiders](https://www.sec.gov/Archives/edgar/data/1772253/000177225325000011/exhibit112-thecompanysin.htm)</u> <sup>(16)</sup> |
| 12.1 | <u>[Certification of the Principal Executive Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act, as amended](exhibit121-certificationof.htm)</u> |
| 12.2 | <u>[Certification of the Principal Financial Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act, as amended](exhibit122-certificationof.htm)</u> |

---

------

---

| | |
|:---|:---|
| 13.1 | <u>[Principal Executive Officer Certifications pursuant to 18 U.S.C. Section 1350 as adopted, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](exhibit131-principalexecut.htm)</u> |
| 13.2 | <u>[Principal Financial Officer Certifications pursuant to 18 U.S.C. Section 1350 as adopted, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](exhibit132-principalfinanc.htm)</u> |
| 15.1 | <u>[Consent of Independent Registered Public Accounting Firm](exhibit151-consentofindepe.htm)</u> |
| 97.1 | <u>[Policy Regarding the Recovery of Erroneously Awarded Compensation](https://www.sec.gov/Archives/edgar/data/1772253/000177225324000008/exhibit971-policyregardi.htm)</u> <sup>(17)</sup> |

---

\*\* Portions of this exhibit have been omitted.

(1) Filed as Exhibit 1.1 to the Company's Registration Statement on Form 20-F filed with the SEC on May 7, 2019 and is hereby incorporated by reference herein.

(2) Filed as Exhibit 1.2 to the Company's Registration Statement on Form 20-F filed with the SEC on May 7, 2019 and is hereby incorporated by reference herein.

(3) Filed as Exhibit 2.1 to the Company's Registration Statement on Form 20-F/A filed with the SEC on May 17, 2019 and is hereby incorporated by reference herein.

(4) Filed as Exhibit 2.2 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 17, 2021 and is hereby incorporated by reference herein.

(5) Filed as Exhibit 4.1 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 17, 2022 and is hereby incorporated by reference herein.

(6) Filed as Exhibit 4.3 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 10, 2023 and is hereby incorporated by reference herein.

(7) Filed as Exhibit 4.4 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 10, 2023 and is hereby incorporated by reference herein.

(8) Filed as Exhibit 4.5 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 10, 2023 and is hereby incorporated by reference herein.

(9) Filed as Exhibit 4.6 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 10, 2023 and is hereby incorporated by reference herein.

(10) Filed as Exhibit 4.7 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 5, 2024 and is hereby incorporated by reference herein.

(11) Filed as Exhibit 4.8 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 5, 2024 and is hereby incorporated by reference herein

(12) Filed as Exhibit 4.9 to the Company's Annual Report filed on Form 20-F filed with the SEC on February 28, 2025 and is hereby incorporated by reference herein

(13) Filed as Exhibit 4.10 to the Company's Annual Report filed on Form 20-F filed with the SEC on February 28, 2025 and is hereby incorporated by reference herein

(14) Filed as Exhibit 4.11 to the Company's Annual Report filed on Form 20-F filed with the SEC on February 28, 2025 and is hereby incorporated by reference herein

(15) Filed as Exhibit 11.1 to the Company's Annual Report filed on Form 20-F filed with the SEC on February 28, 2025 and is hereby incorporated by reference herein

(16) Filed as Exhibit 11.2 to the Company's Annual Report filed on Form 20-F filed with the SEC on February 28, 2025 and is hereby incorporated by reference herein

(17) Filed as Exhibit 97.1 to the Company's Annual Report filed on Form 20-F filed with the SEC on March 5, 2024 and is hereby incorporated by reference herein.

------

**SIGNATURES**

The registrant hereby certifies that it meets all of the requirements for filing on Form 20-F and has duly caused and authorized the undersigned to sign this Annual Report on its behalf.

---

| | |
|:---|:---|
| **FLEX LNG Ltd.**<br>(registrant) | **FLEX LNG Ltd.**<br>(registrant) |
| By: | /s/ Halfdan Marius Foss |
|  | Name: Halfdan Marius Foss |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: Chief Executive Officer of Flex LNG Management AS<br>(Principal Executive Officer of FLEX LNG Ltd.) |

---

Date: February 27, 2026

------

**FLEX LNG LTD.**

**INDEX TO CONSOLIDATED FINANCIAL STATEMENTS**

---

| | |
|:---|:---|
| Reports of Independent Registered Public Accounting Firm | F-<u>[2](#i3b19466fb35144ad99f2a13b333a62fa_127)</u> |
| Consolidated Statements of Operations for the years ended December 31, 2025, 2024 and 2023 | F-[5](#i3b19466fb35144ad99f2a13b333a62fa_139) |
| Consolidated Statements of Comprehensive Income for the years ended December 31, 2025, 2024 and 2023 | F-[6](#i3b19466fb35144ad99f2a13b333a62fa_142) |
| Consolidated Balance Sheets as of December 31, 2025 and 2024 | F-[7](#i3b19466fb35144ad99f2a13b333a62fa_145) |
| Consolidated Statements of Cash Flows for the years ended December 31, 2025, 2024 and 2023 | F-[8](#i3b19466fb35144ad99f2a13b333a62fa_148) |
| Consolidated Statements of Changes in Equity for the years ended December 31, 2025, 2024 and 2023 | F-[9](#i3b19466fb35144ad99f2a13b333a62fa_151) |
| Notes to the Consolidated Financial Statements | F-[10](#i3b19466fb35144ad99f2a13b333a62fa_154) |

---

------

**Report of Independent Registered Public Accounting Firm**

To the Shareholders and the Board of Directors of FLEX LNG Ltd.

**Opinion on the Financial Statements**

We have audited the accompanying consolidated balance sheets of FLEX LNG Ltd. (the Company) as of December 31, 2025 and 2024, the related consolidated statements of operations, comprehensive income, changes in equity and cash flows for each of the three years in the period ended December 31, 2025, and the related notes (collectively referred to as the "consolidated financial statements"). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with U.S. generally accepted accounting principles.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework), and our report dated February 27, 2026 expressed an unqualified opinion thereon.

**Basis for Opinion**

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

**Critical Audit Matter**

The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective or complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the account or disclosure to which it relates.

------

---

| | |
|:---|:---|
| | **Revenue from time charter contracts** |
| *Description of the Matter* | As described in Note 2 to the consolidated financial statements, the Company recognizes revenue from time charter contracts as operating leases under ASC 842 *Leases*. Vessel operating revenue amounted to $348 million for the period ended December 31, 2025. Charter rate terms have an impact on the timing of revenue recognition. Amounts generated from time charter agreements are recognized ratably over the term of the agreement on a straight-line basis as services are provided. Additional charter rate terms which can impact timing of revenue recognition are re-positioning fees, ballast bonuses, and declaration of extension periods. <br>Auditing the adjustments made to revenue at period end requires additional effort in the identification and evaluation of charter rate terms in contracts and the related impact to timing of revenue recognition. The charter terms of new and amended contracts had to be evaluated for re-positioning fees, ballast bonuses, and declaration of extension periods and the effect on timing of revenue to be recognized had to be assessed. |
| *How We Addressed the Matter in Our Audit* | We obtained an understanding, evaluated the design and tested the operating effectiveness of controls over the Company's preparation of period end accounting adjustments for revenue and assessment of charter terms within contracts that would impact timing of revenue recognition in accordance with ASC 842 *Leases*. <br>Our audit procedures included, among others, review of all new and/or amended contracts for charter terms discussed above. We agreed terms for recorded revenue to charter contracts and verified accuracy of calculated adjustments to revenue at period end. We also performed inquires with Management, inspected minutes of meetings of those charged with governance and monitored the Company's public announcements to identify any amendments to contracts and/or declaration of extension periods.<br>We assessed the adequacy of the related disclosure in the consolidated financial statements. |

---

---

| |
|:---|
| /s/ Ernst & Young AS |
| We have served as the Company's auditor since 2007. |
| Oslo, Norway |
| February 27, 2026 |

---

------

**Report of Independent Registered Public Accounting Firm**

To the Shareholders and the Board of Directors of FLEX LNG Ltd.

**Opinion on Internal Control Over Financial Reporting**

We have audited FLEX LNG Ltd.'s internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) (the COSO criteria). In our opinion, FLEX LNG Ltd. (the Company) maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on the COSO criteria.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the 2025 consolidated financial statements of the Company and our report dated February 27, 2026 expressed an unqualified opinion thereon.

**Basis for Opinion**

The Company's management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting included in the accompanying Management's Annual Report on Internal Control Over Financial Reporting. Our responsibility is to express an opinion on the Company's internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects.

Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

**Definition and Limitations of Internal Control Over Financial Reporting**

A company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company's internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

---

| |
|:---|
| /s/ Ernst & Young AS |
| Oslo, Norway |
| February 27, 2026 |

---

------

**FLEX LNG Ltd.**

**Consolidated Statements of Operations for the years ended December 31, 2025, 2024 and 2023** 

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $, except per share data)* | **2025** | 2024 | 2023 |
| **Revenues** |  |  |  |
| Vessel operating revenues | **347637** | 356349 | 371022 |
| **Operating expenses** |  |  |  |
| Voyage expenses | **(12372)** | (3368) | (1678) |
| Vessel operating expenses | **(74876)** | (69918) | (68357) |
| Administrative expenses | **(7966)** | (9788) | (10467) |
| Depreciation | **(76619)** | (75482) | (73363) |
| **Operating income** | **175804** | 197793 | 217157 |
| **Other income/(expenses)** |  |  |  |
| Interest income | **4088** | 4467 | 4868 |
| Interest expense | **(92625)** | (105588) | (108724) |
| Extinguishment of long-term debt | **(4069)** | (637) | (10238) |
| Gain on derivatives | **(7448)** | 22838 | 18281 |
| Other financial items | **(853)** | (1057) | (1227) |
| **Income before tax** | **74897** | 117816 | 120117 |
| Income tax expense | **(82)** | (132) | (78) |
| **Net income** | **74815** | 117684 | 120039 |
| **Earnings per share:** |  |  |  |
| - Basic | **1.38** | 2.19 | 2.24 |
| - Diluted | **1.38** | 2.18 | 2.22 |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

------

**FLEX LNG Ltd.**

**Consolidated Statements of Comprehensive Income for the years ended December 31, 2025, 2024 and 2023** 

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| **Net income for the year** | **74815** | 117684 | 120039 |
| Other comprehensive income/(loss) | **—** | **—** | **—** |
| **Total comprehensive income** | **74815** | 117684 | 120039 |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

------

**FLEX LNG Ltd.**

**Consolidated Balance Sheets as of December 31, 2025 and 2024**

---

| | | |
|:---|:---|:---|
| *(in thousands of $, except share data)* | **2025** | 2024 |
| **ASSETS** |  |  |
| **Current assets** |  |  |
| Cash and cash equivalents | **447632** | 437154 |
| Restricted cash | **65** | 49 |
| Inventory | **9004** | 4824 |
| Receivables due from related parties | **340** | 686 |
| Other current assets | **46234** | 31666 |
| **Total current assets** | **503275** | 474379 |
| **Non-current assets** |  |  |
| Derivative instruments | **18054** | 40090 |
| Vessels and equipment, net | **2102495** | 2154465 |
| Other fixed assets | **—** | 5 |
| **Total non-current assets** | **2120549** | 2194560 |
| **Total Assets** | **2623824** | 2668939 |
| **LIABILITIES AND EQUITY** |  |  |
| **Current liabilities** |  |  |
| Current portion of long-term debt | **109629** | 106708 |
| Derivative instruments | **604** |  |
| Payables due to related parties | **673** | 523 |
| Accounts payable | **10508** | 2002 |
| Other current liabilities | **44412** | 49544 |
| **Total current liabilities** | **165826** | 158777 |
| **Non-current liabilities** |  |  |
| Long-term debt | **1738578** | 1703529 |
| Other non-current liabilities | **163** |  |
| **Total non-current liabilities** | **1738741** | 1703529 |
| **Total liabilities** | **1904567** | 1862306 |
| **Equity** |  |  |
| Share capital (2025: 54,520,325 shares issued, par value $0.01 per share (2024: 54,520,325 shares issued, par value $0.01 per share)) | **545** | 545 |
| Treasury shares at cost (2025: 427,949 shares (2024: 432,557)) | **(4180)** | (4224) |
| Additional paid in capital | **704300** | 904268 |
| Contributed surplus | **221268** | 183535 |
| Accumulated deficit | **(202676)** | (277491) |
| **Total equity** | **719257** | 806633 |
| **Total Liabilities and Equity** | **2623824** | 2668939 |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

------

**FLEX LNG Ltd.**

**Consolidated Statements of Cash Flows for the years ended December 31, 2025, 2024 and 2023**

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| **Operating activities** |  |  |  |
| **Net income** | **74815** | 117684 | 120039 |
| Adjustments to reconcile net income to net cash provided by operating activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation | **76619** | 75482 | 73363 |
| &nbsp;&nbsp;&nbsp;Extinguishment of long-term debt | **4069** | 637 | 10238 |
| &nbsp;&nbsp;&nbsp;Amortization of debt issuance costs | **2305** | 2503 | 2490 |
| &nbsp;&nbsp;&nbsp;Share-based payments | **76** | 1063 | 1749 |
| &nbsp;&nbsp;Foreign exchange loss/(gain) | **(439)** | 800 | 350 |
| &nbsp;&nbsp;&nbsp;Change in fair value of derivative instruments | **22640** | (1838) | 6686 |
| &nbsp;&nbsp;&nbsp;Drydocking expenditure | **(24643)** | (12645) | (20714) |
| &nbsp;&nbsp;&nbsp;Other | **7** | (223) | (3) |
| &nbsp;&nbsp;&nbsp;*Changes in operating assets and liabilities, net:* |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventory | **(4180)** | 267 | 169 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other current assets | **(14568)** | (3702) | (10313) |
| &nbsp;&nbsp;&nbsp;&nbsp;Receivables due from related parties | **346** | 100 | (726) |
| &nbsp;&nbsp;&nbsp;&nbsp;Payables due to related parties | **150** | 139 | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | **8506** | (1506) | 1714 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other current liabilities | **(5131)** | 4038 | (10064) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other non-current liabilities | **163** |  |  |
| **Net cash provided by operating activities** | **140736** | 182799 | 175034 |
| **Investing activities** |  |  |  |
| Purchase of other fixed assets | **—** | (4) | (2) |
| **Net cash used in investing activities** | **—** | (4) | (2) |
| **Financing activities** |  |  |  |
| Repayment of long-term debt | **(105180)** | (102440) | (110827) |
| Proceeds of revolving credit facilities | **1649700** | 1268675 | 1756667 |
| Repayment of revolving credit facilities | **(1649700)** | (1518675) | (1606667) |
| Prepayment of long-term debt | **(387514)** | (80769) | (595344) |
| Proceeds from long-term debt | **530000** | 430000 | 650000 |
| Extinguishment costs paid on long-term debt | **(1296)** |  | (1433) |
| Proceeds from termination of derivative instruments | **—** | 10169 |  |
| Financing costs | **(4421)** | (2801) | (7712) |
| Proceeds from issuance of treasury shares | **—** | 1909 |  |
| Cash dividends paid | **(162267)** | (161674) | (181225) |
| **Net cash (used in)/provided by financing activities** | **(130678)** | (155606) | (96541) |
| Effect of exchange rate changes on cash | **435** | (530) | (348) |
| **Net increase in cash, cash equivalents and restricted cash** | **10494** | 26659 | 78143 |
| Cash, cash equivalents and restricted cash at the beginning of the period | **437203** | 410544 | 332401 |
| **Cash, cash equivalents and restricted cash at the end of the period** | **447697** | 437203 | 410544 |

---

**FLEX LNG Ltd.**

**Consolidated Statements of Cash Flows for the years ended December 31, 2025, 2024 and 2023 (continued)**

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| **Supplemental Information** |  |  |  |
| Interest paid | **(92783)** | (105113) | (112531) |
| Income tax paid | **(100)** | (132) | (55) |

---

*The accompanying notes are an integral part of these consolidated financial statements.*

------

**FLEX LNG Ltd.**

**Consolidated Statements of Changes in Equity for the years ended December 31, 2025, 2024 and 2023**

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $, except number of shares)* | **2025** | 2024 | 2023 |
| **Number of shares issued and outstanding** |  |  |  |
| Balance at beginning of year | **54087768** | 53736318 | 53682140 |
| Shares issued | **—** |  |  |
| Distributed treasury shares | **4608** | 351450 | 54178 |
| Balance at end of year | **54092376** | 54087768 | 53736318 |
| **Share capital** |  |  |  |
| Balance at beginning of year | **545** | 5452 | 5452 |
| Shares issued | **—** |  |  |
| Transfer arising from change in par value of shares | **—** | (4907) |  |
| Balance at end of year | **545** | 545 | 5452 |
| **Treasury shares** |  |  |  |
| Balance at beginning of year | **(4224)** | (7560) | (8082) |
| Distributed treasury shares | **44** | 3336 | 522 |
| Balance at end of year | **(4180)** | (4224) | (7560) |
| **Additional paid in capital** |  |  |  |
| Balance at beginning of year | **904268** | 1204634 | 1203407 |
| Shares issued | **—** |  |  |
| Share-based payments | **76** | 1062 | 1749 |
| Distributed treasury shares | **(44)** | (1428) | (522) |
| Transfer from additional paid in capital | **(200000)** | (300000) |  |
| Balance at end of year | **704300** | 904268 | 1204634 |
| **Contributed Surplus** |  |  |  |
| Balance at beginning of year | **183535** |  |  |
| Transfer arising from change in par value of shares | **—** | 4907 |  |
| Transfer to contributed surplus | **200000** | 300000 |  |
| Dividends paid | **(162267)** | (121372) |  |
| Balance at end of year | **221268** | **183535** | **—** |
| **Accumulated deficit** |  |  |  |
| Balance at beginning of year | **(277491)** | (354873) | (293687) |
| Net income | **74815** | 117684 | 120039 |
| Dividends paid | **—** | (40302) | (181225) |
| Balance at end of year | **(202676)** | (277491) | (354873) |
| **Total equity** | **719257** | 806633 | 847653 |

---

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**FLEX LNG Ltd.**

**Notes to Consolidated Financial Statements**

**(in thousands of $, unless otherwise stated)**

**1.&nbsp;&nbsp;&nbsp;&nbsp;GENERAL**

FLEX LNG Ltd., referred to as FLEX LNG or the Company, is a limited liability company incorporated in Bermuda. The Company's ordinary shares are currently listed on the New York Stock Exchange, or NYSE. On May 8, 2025, the Company's shareholders approved at the 2025 Annual General Meeting to delist the shares from the Oslo Stock Exchange, or OSE. The last day of trading of the Company's ordinary shares on the OSE was September 15, 2025, and the Company's ordinary shares were delisted on September 16, 2025. The Company's ordinary shares are now publicly listed exclusively on the NYSE under the symbol "FLNG".

The Company's activities are focused on seaborne transportation of liquefied natural gas, or LNG, through the ownership and operation of fuel efficient, fifth generation LNG carriers. As of December 31, 2025, the Company has 13 LNG carriers in operation, or our Fleet.

Our Fleet consists entirely of modern, next generation, large LNG carriers with two stroke engines: nine vessels with M-type Electronically Controlled Gas Injection, or MEGI; and four vessels with Generation X Dual Fuel, or X-DF, propulsion systems. Three of our MEGI vessels are equipped with full re-liquefaction systems and four of our MEGI vessels are equipped with partial re-liquefaction systems, which reduces the active boil off rates achieved.

**2.&nbsp;&nbsp;&nbsp;&nbsp;SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

**Basis for Preparation**

The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States, or U.S. GAAP. The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries.

**Foreign Currencies**

The Company's reporting currency is USD. The Company's primary economic environment is the international shipping market in which revenues are primarily settled in USD. The Company's most significant assets and liabilities are also paid for and settled in USD. Our expenses, however, are in the currency invoiced by each supplier.

Foreign currency transactions are translated into the functional currency at the exchange rate in effect at the date of the transaction. Monetary items are translated at the period end exchange rate, non-monetary items that are measured at historical cost are translated at the rate in effect on the original transaction date, and non-monetary items that are measured at fair value are translated at the exchange rate in effect at the time when the fair value was determined. Foreign exchange gains and losses resulting from the settlement of such cash transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognized in the income statement.

**Basis of Consolidation**

The Company's consolidated financial statements comprise of FLEX LNG and its directly wholly owned subsidiaries. Details on the Company's subsidiaries are provided in Exhibit 8.1 of this filing. Intra-group transactions and balances, including internal profits and unrealized gains and losses, have been eliminated upon consolidation.

**Use of Estimates**

The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Such estimates and assumptions impact, the following: fair value of derivative instruments; vessel impairment assessment; residual value and the expected useful lives of our vessels. Actual results could differ from those estimates.

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**Fair Value Measurements**

We account for fair value measurements in accordance with ASC 820 *Fair value measurement* to measure assets and liabilities. Fair value, is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The inputs to the fair value calculations are based on observable market data when available, but where this is not achievable; we consider information and make assumptions that we believe market participants would take into account in measuring fair value. Changes in these assumptions could impact the reported fair value, as detailed in Note 14.

**Segment Reporting**

The Company's vessel operations segment derives revenue from chartering vessels to customers on time charter contracts. The accounting policies of the vessel operations segment are the same as the Company's accounting policies.

The Company's chief operating decision maker, or CODM, is the Chief Executive Officer. The CODM measures performance based on our overall return to the shareholders based on consolidated net income. The measure of segment assets is reported on the balance sheet as total consolidated assets.

The CODM uses net income to evaluate segment assets in deciding whether to reinvest profits into the vessel operations segment or into other strategic activities, such as for acquisitions or to pay dividends.

The Company has one reportable segment: vessel operations. The vessel operations segment relates to revenue generated from chartering of vessels to customers. Although separate vessel financial information is available, the CODM internally evaluates the performance of the Company as a whole and not on the basis of each vessel or charters. In addition, Company's vessels regularly move between countries in international waters over many trade routes, it is neither practical nor meaningful to assign revenues or earnings from the transportation of international LNG by geographic area. As a result, the Company has determined that it has a single reportable segment.

Consolidated expense information presented within the Consolidated Statements of Operations are considered to be significant expenses as they are important to our segment and regularly reported to the CODM. Additionally, we consider 'Realized gain/ loss on derivative instruments' and 'Change in fair value of derivative instruments', presented in "Note 12 – Financial Instruments" of the financial statements to be significant expenses. The Company has not identified any other significant expenses categories.

For the year ended December 31, 2025, we derived our operating revenues from five customers, with our top four customers accounting for 39.8%, 20.7%, 25.4% and 12.6% of our consolidated revenues, equivalent to 98.5% of our consolidated revenues. During this period, no other customer accounted for over 10% of our consolidated revenues.

For the year ended December 31, 2024, we derived our operating revenues from seven customers, with our top four customers accounting for 37.8%, 25.1%, 15.5% and 14.2% of our consolidated revenues, equivalent to 92.6% of our consolidated revenues. During this period, no other customer accounted for over 10% of our consolidated revenues.

**Accounting for Revenue and Related Expenses**

The Company employs all of its vessels on time charter contracts, which the Company has established to contain a lease since the vessel is a specified asset, the charterer has the right to direct the use of the vessel and there are no substantive substitution rights. Revenue from time charter contracts is recognized as operating leases under ASC 842 Topic *Leases*. Amounts generated from time charter agreements are recognized ratably over the term of the agreement on a straight-line basis as services are provided. The term of the agreement is determined as the minimum firm period of the charter party and will include any optional periods if options are reasonably certain to be exercised. Where there is a variable element of charter hire rate in the time charter agreement which is based on a market-index, the variable element of the lease payment is recognized as incurred.

If the Company receives a lump sum re-positioning fee or fixed ballast bonus, which is probable at the commencement of the lease, this is recognized as part of the lease payments over the course of the time charter on a straight-line basis at the commencement of the lease.

If the Company receives a lump sum ballast bonus, which is not probable at the commencement of the lease, then this is recognized as a variable lease payment from the date that the change in facts and circumstances occur. The variable lease payment is therefore recognized on a straight line basis from the date that the re-delivery port is declared and probability of occurrence is determined, to the date of arrival at the re-delivery port.

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If there is an option under a charter party for the lessee to extend the charter, the Company will assess the likelihood of the charterer exercising the extension option at inception of the lease in order to determine the lease term. If the option period is not included in the initial lease term and the charterer declares such option, the Company will consider the declaration of an option as a lease modification. The Company will remeasure the total minimum lease payments from the date of declaration of the option, adjusted for any prepaid or accrued rent from the original contract, and recognize this on a straight line basis to the date of arrival at the re-delivery port.

Under a time charter agreement, the Company is responsible for both the operation and maintenance of the vessel which would be considered to be a non-lease performance obligation and generally accounted for under ASC 606 *Revenue from Contracts with Customers*. The Company has elected the practical expedient of ASC 842 to not separate the lease and non-lease components and instead combine these as a single performance obligation as the Company considers the lease component to be the predominant component of the contract, for which ASC 842 will be applied.

Costs incurred during the leasing period for the maintenance and operation of the vessels are expensed as incurred, as the timing and pattern of transfer of the components are identical to the operating lease revenue earned from the charter hire.

**EU Emissions Trading System** 

Commencing January 1, 2024, the EU Emissions Trading System, or EU ETS, was extended to cover carbon dioxide, or CO2, emissions from ships over 5,000 gross tons entering EU ports. The EU ETS covers (a) 50% of emissions from voyages either starting in or ending in an EU port, and (b) 100% of emissions from voyages between two EU ports or emissions generated while a ship is within an EU port.

Shipping companies will have to surrender EU ETS emissions allowances, or EUA, for each ton of reported CO2 emissions in the scope of the EU ETS. There is a phase-in period for the regulations, as allowances will have to be submitted for 40% of 2024 emissions, 70% of 2025 emissions and 100% of emissions for 2026 and subsequent years. Beginning in 2026, the scope of the EU ETS will also be expanded to include methane and nitrous oxide.

EUAs are valued based upon a market approach utilizing prices published on an EUA market index. The value of the EUAs to be provided to the Company under the time charter contracts with the charterers of its vessels is included in "Vessel operating revenues" in the consolidated statements of operations. The value of the EUA obligations incurred by the Company under the EU ETS are included in "Voyage expenses". The EUAs are measured at the estimated cost of purchasing the credits from the EUA market, based on the date of completing a voyage. For the year ended December 31, 2025, the Company recorded EUAs amounting to $7.8 million (2024: $1.4 million (2023: nil)) under "Vessel operating revenues", and an equal amount under "Voyage expenses".

EUAs held by the Company and EUAs receivable from the charterers are intended to be used to settle its EUA obligations, and they are accounted within "Inventory" and "Other current assets", respectively. EUAs relating to 2025 emissions are required to be surrendered to the EU authorities in September 2026. This obligation is presented within "Other current liabilities" if settlement to the European Union is due within 12 months of the reporting date, and within "Other non-current liabilities" if settlement is due after 12 months of the reporting date.

**Trade Accounts Receivables**

Trade receivables are presented net of allowance for doubtful balances. At each balance sheet date, all potentially uncollectible accounts are assessed individually for purposes of determining the appropriate provision for doubtful accounts.

**Interest Expense**

Interest expenses are expensed as incurred except for interest expenses that are capitalized for qualifying assets that require a period of time to get them ready for their intended use. Interest expenses are capitalized until the qualifying asset is ready for use. The Company does not capitalize amounts beyond the actual interest expense incurred in the period.

If the Company's financing plans associate a specific borrowing with a qualifying asset, the Company uses the rate on that borrowing as the capitalization rate to be applied to that portion of the average accumulated expenditures for the asset that does not exceed the amount of that borrowing. If average accumulated expenditures for the asset exceed the amounts of specific new borrowings associated with the asset, the capitalization rate to be applied to such excess shall be a weighted average of the rates applicable to other borrowings of the Company.

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**Income Taxes**

Income taxes are provided for based upon the tax laws and rates in effect in the countries in which the Company's ocean-going LNG carriers' operations were conducted and income was earned. Deferred tax assets and liabilities are recognized for the anticipated future tax effects of temporary differences between the financial statement basis and the tax basis of the Company's assets and liabilities using the applicable jurisdictional tax in effect at the year end. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized. Recognition of uncertain tax positions is dependent upon whether it is more-likely-than-not that a tax position taken or expected to be taken in a tax return will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. If a tax position meets the more-likely-than-not recognition threshold, it is measured to determine the amount of benefit to recognize in the financial statements based on U.S. GAAP guidance. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense.

**Vessels**

Vessels are carried at historical cost less accumulated depreciation and impairment adjustments, if any.

The depreciation on vessels is reviewed annually to ensure that the method and period used reflect the pattern in which the asset's future economic benefits are expected to be consumed.

The gross carrying amount of the vessel is the purchase price, including duties/taxes, borrowing costs and any other direct costs attributable to bringing it to the location and condition necessary for the vessels intended use. Capitalization of costs will cease once the vessel is in the location and condition necessary for it to be able to operate in the manner consistent with its intended design.

On delivery, the total acquisition costs of the vessel will be segregated to groups of components that have different expected useful lives. The different groups of components will be depreciated over their expected useful lives. Subsequent costs, such as repair and maintenance costs, are recognized in the income statement as incurred.

Each vessel is required to be drydocked every five years. The Company capitalizes costs associated with the drydocking in accordance with ASC Topic 360 *Property, Plant and Equipment* and amortizes these costs on a straight-line basis over the period to the next expected drydocking. Amortization of drydocking costs is included in depreciation in the Income Statement. The Company has adopted the "built in overhaul" method for when a vessel is newly acquired, or constructed, whereby a proportion of the cost of the vessel is allocated to the components expected to be replaced at the next drydocking based on the expected costs relating to the next drydocking. Drydocking costs are included within operating activities on the statement of cash flows.

The cost of the vessel, less their estimated residual value, is depreciated on a straight-line basis over the asset's estimated useful economic life. The residual value for owned vessels is calculated by multiplying the lightweight tonnage of the vessel by the estimated scrap value per tonne. The cost of drydock is depreciated on a straight-line basis over the assets estimated useful life. The following useful lives have been used:

Vessels: 35 years

Drydocking: 5 years

**Impairment of Long-lived Assets**

The carrying values of long-lived assets held and used by the Company are reviewed quarterly or whenever events or circumstances indicate that the carrying amount of an asset may no longer be recoverable. If such impairment indicators are present, the Company assesses recoverability of the carrying value of each asset or newbuilding on an individual basis by estimating the future net undiscounted cash flows expected to result from the asset, including eventual disposal. In developing estimates of future undiscounted cash flows, the Company must make assumptions about future performance, with significant assumptions being related to charter rates, ship operating expenses, utilization, drydocking requirements, residual values and the estimated remaining useful lives of the vessels. These assumptions are based on historical trends as well as future expectations. If the future net undiscounted cash flows are less than the carrying value of the asset, or the current carrying value plus future newbuilding commitments, an impairment loss is recorded equal to the difference between the asset's carrying value and fair value. In addition, long-lived assets to be disposed of are reported at the lower of carrying amount and fair value less estimated costs to sell.

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**Inventories**

Inventories comprise principally of fuel and lubricating oils and are stated at the lower of cost and net realizable value. In addition, EUAs held by the Company and intended to be used to settle EUA obligations are classified as inventory. Cost is determined on a first-in, first-out basis.

**Cash and Cash Equivalents**

Cash includes cash in hand and in the Company's bank accounts. Cash equivalents are short-term liquid investments with original maturities of three months or less.

**Restricted Cash**

Restricted cash consists of cash, which may only be used for certain purposes under a contractual arrangement and cannot be accessed or used by the Company. The cash is restricted by law for the Norwegian tax authorities in relation to social security tax and personal income tax of employees in the Company's subsidiary, Flex LNG Management AS, and is settled every second month.

**Debt Issuance Costs**

Direct incremental costs relating to obtaining a loan are deferred and amortized over the team of the loan using the effective interest rate method. Amortization of debt issuance costs is included under interest expense. The Company has recorded debt issuance costs as a direct reduction from the carrying amount of the related debt in the balance sheet.

**Derivative Instruments**

Our derivative instruments relate to interest-rate swaps, which are considered to be an economic hedge. However, these have not been designated as hedges for accounting purposes. These transactions typically involve the conversion of floating rates into fixed rates over the life of the transactions without an exchange of underlying principal. The fair value of the interest rate swap contracts are recognized as assets or liabilities. Changes in the fair value of these derivatives are recorded in gain/(loss) on derivatives in our consolidated statement of operations. Cash outflows and inflows resulting from economic derivative contracts are presented as cash flows from operations in the consolidated statement of cash flows.

**Contingencies**

In the ordinary course of business, we may be subject to various claims, lawsuits and complaints. A contingent loss is recognized in the consolidated financial statements if the contingency was present at the date of the consolidated financial statements, the likelihood of loss is considered probable and the amount can be reasonably estimated. If we determine a reasonable range of estimated loss and there is no best estimate within the range, a contingent loss is recognized for the lower amount of the range.

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**Share-based Compensation**

The Company accounts for share-based payments in accordance with ASC Topic 718 *Compensation - Stock Compensation*, under which the fair value of issued stock options is expensed over the period in which the options vest under the simplified method. Share-based compensation represents the cost of vested and non-vested shares and share options granted to employees and directors for their services, and are included in administrative expenses in the consolidated statements of operations. The fair value of share options grants is determined with reference to option pricing models, and depends on the terms of the granted options.

Equity-settled share-based compensation awards are measured at the grant-date fair value, with the fair value recognized as compensation expense over the requisite service period. Cash-settled share-based compensation arrangements are classified as liabilities and are measured at fair value at each reporting date, with changes in fair value recognized in administrative expenses in the consolidated statements of operations over the requisite service period.

**Earnings Per Share**

Basic earnings per share, or EPS, are computed based on the income available to ordinary shareholders divided by the weighted average number of shares outstanding. Diluted EPS is computed by dividing the net income available to ordinary shareholders by the weighted average number of ordinary shares and dilutive ordinary share equivalents then outstanding. If in the period there is a loss, then any potential ordinary shares have been excluded from the calculation of diluted loss per share.

**Treasury Shares**

When the Company repurchases its share capital, the amount of the consideration paid is recognized as a deduction from equity and classified as treasury shares, pending future use. If the Company acquires and retains treasury shares, the consideration paid is directly recognized in equity. The weighted average treasury shares reduce the number of shares outstanding used in calculating earnings per share and they have a dilutive effect on the diluted earnings per share.

**3.&nbsp;&nbsp;&nbsp;&nbsp;RECENTLY ISSUED ACCOUNTING STANDARDS** 

*Adoption of new accounting standards:*

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The guidance enhances disclosures relating to income taxes, including the income tax rate reconciliation and information related to income taxes paid. The adoption of ASU 2023-09 did not have a material impact on our consolidated financial statements

*Accounting pronouncements that have been issued but not adopted:*

The Company has reviewed all recently issued accounting pronouncements and has not identified any other new or amended standards that would have a material impact on the Company's current accounting policies.

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**4.&nbsp;&nbsp;&nbsp;&nbsp;EARNINGS PER SHARE**

Basic earnings per share amounts are calculated by dividing the net income for the year by the weighted average number of ordinary shares issued and outstanding during the year.

Diluted earnings per share amounts are calculated by dividing the net income by the weighted average number of shares issued and outstanding during the year plus the weighted average number of ordinary shares that would be issued on conversion of all the dilutive potential ordinary shares into ordinary shares. If in the period there is a loss then any potential ordinary shares have been excluded from the calculation of diluted loss per share.

The following reflects the net income and share data used in the earnings per share calculation.

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $, except share data)* | **2025** | 2024 | 2023 |
| Net income | **74815** | 117684 | 120039 |
| Weighted average number of ordinary shares | **54088689** | 53851304 | 53697594 |
| Share options | **—** | 177648 | 288095 |
| **Weighted average number of shares, adjusted for dilution** | **54088689** | 54028952 | 53985689 |
| **Earnings per share** |  |  |  |
| Basic | **1.38** | 2.19 | 2.24 |
| Diluted | **1.38** | 2.18 | 2.22 |

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**5.&nbsp;&nbsp;&nbsp;&nbsp;INCOME TAX**

**Bermuda**

Under current Bermuda law, the Company is not required to pay taxes in Bermuda on either income or capital gains. The Company has received written assurance from the Minister of Finance in Bermuda that, in the event of any such taxes being imposed, the Company will be exempted from taxation until March 31, 2035.

**Marshall Islands**

Certain subsidiaries of the Company are incorporated in the Marshall Islands. Under current Marshall Islands law, the Company is not required to pay taxes in Marshall Islands on either income or capital gains.

**United States**

For the years ended December 31, 2025, 2024 and 2023, the Company did not accrue U.S. income taxes because the Company was able to satisfy the requirements of the exemption from gross basis tax under Section 883 of the U.S. Internal Revenue Code. Under Section 863(c)(2)(A) of the Internal Revenue Code, 50% of all transportation revenue attributable to transportation which begins or ends in the United States shall be treated as from sources within the United States where no Section 883 exemption is available. Such revenue is subject to 4% tax.

**Other Jurisdictions**

Certain of the Company's subsidiaries in Norway and the United Kingdom are subject to income tax in their respective jurisdictions. The taxes paid by subsidiaries of the Company that are subject to income tax have been disclosed in the tables below.

The Company does not have any unrecognized tax benefits, material accrued interest or penalties relating to income taxes. The Norwegian income tax returns could be subject to examination by Norwegian tax authorities going back ten years or more. In the United Kingdom, the tax authorities can investigate as far back as 20 years if they suspect tax evasion. More commonly, the United Kingdom may investigate for (i) careless tax returns for up to six years and (ii) innocent errors for up to four years. In

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the United States, the Internal Revenue Service, or the IRS, may audit tax returns filed within the last three years. If the IRS identifies a substantial error, the IRS may add additional years, which in most cases does not extend beyond six years.

None of FLEX LNG or its subsidiaries is undergoing tax audits in any applicable tax jurisdictions. The table below shows the components of income tax year ended December 31, 2025, 2024 and 2023:

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| Current income tax expense | **(80)** | (138) | (79) |
| Adjustments in respect of current income tax of previous years | **(2)** | 6 | 1 |
| **Income tax expense reported in the income statement** | **(82)** | (132) | (78) |

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A reconciliation between the tax expense and the product of the accounting profit multiplied by the Bermuda domestic tax rate for the year ended December 31, 2025, 2024 and 2023 is as follows:

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| Income before tax | **74897** | 117816 | 120117 |
| Income tax at 0% (2024: 0% (2023: 0%)) | **—** |  |  |
| Effect of higher foreign tax rates | **(82)** | (132) | (78) |
| **Income tax expense at effective rate of 0.1% (2024: 0.1% (2023: 0.1%))** | **(82)** | (132) | (78) |

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**6.&nbsp;&nbsp;&nbsp;&nbsp;VESSELS AND EQUIPMENT, NET**

The table below summarizes the vessels and equipment, net applicable to the Company:

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| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **Vessels and equipment** | **Drydocking** | **Total** |
| **Cost** |  |  |  |
| At December 31, 2023 | 2467470 | 43214 | **2510684** |
| Additions |  | 12645 | **12645** |
| Disposals |  | (5000) | **(5000)** |
| At December 31, 2024 | 2467470 | 50859 | **2518329** |
| Additions |  | 24650 | **24650** |
| Disposals |  | (10000) | **(10000)** |
| **At December 31, 2025** | **2467470** | **65509** | **2532979** |
| **Accumulated depreciation** |  |  |  |
| At December 31, 2023 | (275371) | (18012) | **(293383)** |
| Depreciation charge | (65904) | (9578) | **(75482)** |
| Disposals |  | 5000 | **5000** |
| At December 31, 2024 | (341275) | (22590) | **(363865)** |
| Depreciation charge | (65723) | (10896) | **(76619)** |
| Disposals |  | 10000 | **10000** |
| **At December 31, 2025** | **(406998)** | **(23486)** | **(430484)** |
| **Net book value** |  |  |  |
| At December 31, 2023 | 2192099 | 25202 | **2217301** |
| At December 31, 2024 | 2126195 | 28270 | **2154465** |
| **At December 31, 2025** | **2060472** | **42023** | **2102495** |

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Between June and September 2025, the vessels, *Flex Aurora, Flex Amber, Flex Artemis* and *Flex Resolute* underwent drydock for their five years special survey.

**7.&nbsp;&nbsp;&nbsp;&nbsp;OTHER CURRENT ASSETS**

As of December 31, 2025 and 2024, other current assets within the Consolidated Balance Sheets are comprised of:

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| | | |
|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 |
| Trade accounts receivable, net | **392** | 1404 |
| Accrued income | **26113** | 19741 |
| Prepaid expenses | **5929** | 6742 |
| Other receivables | **13800** | 3779 |
| **Total other current assets** | **46234** | 31666 |

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Trade accounts receivables are presented net of allowances for doubtful accounts amounting to $nil as of December 31, 2025 (2024: $nil).

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**8.&nbsp;&nbsp;&nbsp;&nbsp;OTHER CURRENT LIABILITIES**

As of December 31, 2025 and 2024, other current liabilities within the Consolidated Balance Sheets are comprised of:

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| | | |
|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 |
| Accrued expenses | **(11545)** | (10838) |
| Deferred charter revenue | **(24967)** | (37124) |
| EUA obligations under the EU ETS | **(7761)** | (1397) |
| Other current liabilities | **(39)** | (50) |
| Provisions | **(100)** | (134) |
| **Total other current liabilities** | **(44412)** | (49544) |

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**9.&nbsp;&nbsp;&nbsp;&nbsp;RESTRICTED CASH**

For the purposes of the Company's Consolidated Balance Sheets and Consolidated Statements of Cashflows, the Company's only restricted cash balances were $0.1 million as of December 31, 2025 (2024: $0.0 million). This is restricted by law for the Norwegian tax authorities in relation to social security of employees.

**10.&nbsp;&nbsp;&nbsp;&nbsp;SHARE CAPITAL, TREASURY SHARES AND ADDITIONAL PAID IN CAPITAL**

At the 2024 Annual General Meeting held in April 2024, the Company's shareholders approved a reorganization of the Company's share capital in accordance with the Bermuda Companies Act. Prior to the reorganization, the Company's authorized share capital was 10,000,000,000 shares, par value $0.10 per share. Following the reorganization, the Company's authorized share capital was adjusted to 100,000,000 shares, par value $0.01 per share. As there were 54,520,325 shares issued and fully paid at the time of the reorganization, to reflect the decrease in the par value of each share from $0.10 to $0.01, $4.9 million was transferred from share capital to contributed surplus. The shares of par value $0.01 each rank pari passu in all respects with each other.

Also at the 2024 Annual General Meeting, the Company's shareholders approved the reduction of the Company's Share Premium Account (Recognized as Additional paid-in capital in the Consolidated Statements of Changes in Shareholders' Equity) by $300.0 million and the crediting of the same amount resulting from the reduction to the Company's Contributed Surplus account, with effect from April 2024. The purpose of this proposal is primarily to increase the ability of the Company to make distributions to its shareholders.

Similarly, at the 2025 Annual General Meeting held in May 2025, the Company's shareholders approved a further reduction of the Company's Share Premium Account (Recognized as Additional paid-in capital in the Consolidated Statements of Changes in Shareholders' Equity) by $200.0 million, with effect from May 2025. The purpose of this proposal was likewise primarily to increase the ability of the Company to make distributions to its shareholders.

The Company paid cash distributions of $162.3 million out of the Company's Contributed Surplus account for the year ended December 31, 2025.

The Company had an issued share capital at December 31, 2025 of $0.5 million divided into 54,520,325 ordinary shares (December 31, 2024: $0.5 million divided into 54,520,325 ordinary shares).

As of December 31, 2025, the Company holds an aggregate of 427,949 treasury shares at an aggregate cost of $4.2 million, with a weighted average of $9.64 per share (December 31, 2024: 432,557 shares at a cost of $4.2 million).

As of December 31, 2025, the Company had additional paid in capital of $704.3 million (December 31, 2024: $904.3 million). In the year ended December 31, 2025, the Company recorded share-based payments of $0.1 million and recorded a reduction in additional paid in capital of $0.0 million in relation to the distribution of treasury shares.

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**11.&nbsp;&nbsp;&nbsp;&nbsp;SHARE-BASED PAYMENTS**

In June 2025, the Company issued 182,805 synthetic share options to members of executive management and key personnel, or the June 2025 Tranche. The synthetic share options have a five-year term from June 24, 2025, with a three-year vesting period, whereby: 33% will vest after one year; 33% will vest after two years; and the remaining balance will vest after three years. The options have an exercise price of $23.75. The exercise price will be adjusted for any distribution of dividends made before the relevant options expire. As part of the issuance Halfdan Marius Foss, Chief Executive Officer of Flex LNG Management AS and our principal executive officer, was allocated 82,724 synthetic options and Knut Traaholt, Chief Financial Officer of Flex LNG Management AS and our principal financial officer, was allocated 61,043 synthetic options. The synthetic options granted to the aforementioned officers are subject to a cap on maximum annual gain equal to 2 times the annual base salary at the time of exercise of the synthetic options. The synthetic options will be settled in cash based on the difference between the market price of our ordinary shares and the exercise price on the date of exercise. The synthetic options have been granted according to the rules of our synthetic option scheme approved by the Board of Directors.

As of December 31, 2025, the Company had the following share options outstanding, of which all the share options are expected to vest:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | | | | **Assumptions used**<sup>(1)</sup> | **Assumptions used**<sup>(1)</sup> |
| |<br>**Grant date** |<br>**Share options** |<br>**Initial Exercise Price ($)** |<br>**Vesting date** | **Risk-free interest rate** | **Expected Volatility** |
| June 2025 Tranche | June 2025 | 60937 | 23.75 | June 2026 | 3.47% | 28.2% |
| June 2025 Tranche | June 2025 | 60937 | 23.75 | June 2027 | 3.47% | 28.2% |
| June 2025 Tranche | June 2025 | 60931 | 23.75 | June 2028 | 3.47% | 28.2% |
| **Total** |  | **182805** |  |  |  |  |

---

<sup>(1)</sup> The fair value of the share options was calculated using these assumptions as of the grant date using the Black-Scholes option valuation model. The risk-free interest rate was estimated using the interest rate on two-year US treasury rate. The volatility was estimated using historical volatility of share price data. The dividend yield has been estimated at 0% as the exercise price is reduced by all dividends declared by the Company from the date of grant to the exercise date. It was assumed that all of the options granted in the June 2025 Tranche will vest and therefore no forfeitures were assumed. The effect of forfeitures is recognized as incurred.

A summary of option activity under the Share Option Scheme as of December 31, 2025, and changes during the year then ended is presented below:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Options** | **Shares** | **Weighted average exercise price per share ($)**<sup>(1)</sup> | **Weighted average remaining contractual term (years)** | **Aggregate Intrinsic Value ($'000)** |
| Outstanding at December 31, 2024 | 20000 | 15.88 | 2.4 | 141 |
| Exercised during the year | (20000) | 13.25 | N/A | 242 |
| Granted during the year | 182805 | 23.75 | N/A | N/A |
| **Outstanding at December 31, 2025** <sup>(2)</sup> | **182805** | **22.25** | **4.5** | **494** |
| Exercisable at December 31, 2025 |  | N/A | N/A | N/A |

---

<sup>(1)</sup> The weighted average exercise price has been adjusted by the amount of all dividends declared by the Company in the period, from the date of grant until the date the option is exercised.

<sup>(2)</sup> Numbers, years and per share amounts are stated as of December 31, 2025.

The total intrinsic value of options exercised during the years ended December 31, 2025, 2024, and 2023, was $0.2 million $7.3 million and $1.6 million, respectively.

------

A summary of the status of the Company's non-vested shares as of December 31, 2025, and changes during the year ended December 31, 2025, is presented below.

---

| | | |
|:---|:---|:---|
| **Non vested Shares** | **Shares** | **Weighted average grant date fair value ($)** |
| Non vested at December 31, 2024 | 20000 | 10.75 |
| Granted | 182805 | 5.01 |
| Vested | (20000) | 10.75 |
| Forfeited |  |  |
| **Non vested at December 31, 2025** | **182805** | **5.01** |

---

As of December 31, 2025, there was $0.8 million of total unrecognized compensation costs related to non-vested share-based compensation arrangements granted under the Share Option Scheme. That cost is expected to be recognized over a weighted-average period of 2.5 years. The total compensation costs recorded within administrative expenses, during the years ended December 31, 2025, 2024 and 2023 was $0.2 million, $1.1 million and $1.7 million, respectively.

**12. FINANCIAL INSTRUMENTS**

In order to reduce the risks associated with fluctuations in interest rates, the Company has hedged exposures to interest rates using derivative instruments, which involves swapping floating rates of interest to fixed rates of interest. These instruments are not designated as hedges for accounting purposes.

Credit risk is the failure of the counterparty to perform under the terms of the derivative instrument. When the fair value of a derivative instrument is positive, the counterparty owes the Company, which creates credit risk for the Company. When the fair value of a derivative instrument is negative, the Company owes the counterparty, and, therefore, the Company is not exposed to the counterparty's credit risk in those circumstances. The Company minimizes counterparty credit risk in derivative instruments by entering into transactions with major banking and financial institutions. The derivative instruments entered into by the Company do not contain credit risk-related contingent features. The Company has not entered into master netting agreements with the counterparties to its derivative financial instrument contracts.

Market risk is the adverse effect on the value of a derivative instrument that results from a change in interest rates, currency exchange rates or commodity prices. The market risk associated with interest rate contracts is managed by establishing and monitoring parameters that limit the types and degree of market risk that may be undertaken.

The Company assesses interest rate risk by monitoring changes in interest rate exposures that may adversely impact expected future cash flows and by evaluating economical hedging opportunities.

In order to reduce the risk associated with fluctuations in interest rates, the Company has interest rate swap agreements with a total aggregate notional principal of $775.0 million as at December 31, 2025 (December 31, 2024: $635.0 million).

Our interest rate swap contracts as of December 31, 2025, none of which are designated as hedging instruments are summarized as follows;

---

| | | | | |
|:---|:---|:---|:---|:---|
| *(in thousands of $)* | **Notional principal** | **Weighted Average Duration** | **Weighted Average Fixed Interest Rate** | **Interest Rate Benchmark** |
| Receiving floating, pay fixed  | 775000 | 2.8 years | 2.46% | SOFR |
| **Total** | **775000** |  |  |  |

---

------

The Company's gain on derivatives for the year ended December 31, 2025, 2024 and 2023 was comprised of the following:

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| Change in fair value of derivative instruments | (22640) | 1838 | (6686) |
| Realized gain/(loss) on derivative instruments | 15192 | 21000 | 24967 |
| **Gain on derivatives** | **(7448)** | 22838 | 18281 |

---

Movements in the year ended December 31, 2025 and 2024 for the derivative instrument assets and liabilities is summarized as follows:

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **Derivative Instrument Asset** | **Derivative Instrument Liability** | **Total** |
| **At December 31, 2023** | **48829** | **—** | **48829** |
| Change in fair value of derivative instruments | 1838 |  | 1838 |
| Termination of derivative instruments | (10577) |  | (10577) |
| **At December 31, 2024** | **40090** | **—** | **40090** |
| Change in fair value of derivative instruments | (22036) | (604) | (22640) |
| **At December 31, 2025** | **18054** | **(604)** | **17450** |

---

------

**13.&nbsp;&nbsp;&nbsp;&nbsp;SHORT-TERM AND LONG-TERM DEBT**

Short and long-term debt for the company as of December 31, 2025 and 2024, is detailed in the table below:

---

| | | |
|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 |
| **U.S. dollar denominated floating rate debt** |  |  |
| &nbsp;&nbsp;Flex Resolute $150 Million Facility | **—** | 134211 |
| &nbsp;&nbsp;$320 Million Sale and Leaseback | **—** | 268576 |
| &nbsp;&nbsp;$66 million term tranche under the Flex Enterprise $150 Million Facility | **34391** | 44217 |
| &nbsp;&nbsp;$140 million term tranche under the $290 Million Facility | **100054** | 114579 |
| &nbsp;&nbsp;$90 million term tranche under the $270 Million Facility | **73658** | 90000 |
| &nbsp;&nbsp;$330 Million Sale and Leaseback | **279000** | 296000 |
| &nbsp;&nbsp;Flex Rainbow $180 Million Sale and Leaseback <sup>(1)</sup> | **155966** | 165218 |
| &nbsp;&nbsp;Flex Endeavour $160 Million Sale and Leaseback<sup>(1)</sup> | **150292** | 158190 |
| &nbsp;&nbsp;Flex Courageous $175 Million Sale and Leaseback<sup>(1)</sup> | **171325** |  |
| &nbsp;&nbsp;Flex Resolute $175 Million Sale and Leaseback<sup>(1)</sup> | **173604** |  |
| &nbsp;&nbsp;Flex Constellation $180 Million Facility | **177500** |  |
| **Total U.S. dollar floating rate debt** | **1315790** | 1270991 |
| **U.S. dollar denominated fixed rate debt** |  |  |
| &nbsp;&nbsp;&nbsp;Flex Volunteer Sale and Leaseback | **131143** | 138656 |
| **Total U.S. dollar denominated fixed rate debt** | **131143** | 138656 |
| **U.S. dollar denominated revolving credit facilities** |  |  |
| &nbsp;&nbsp;$150 million revolving tranche under the $290 Million Facility | **150000** | 150000 |
| &nbsp;&nbsp;$180 million revolving tranche under the $270 Million Facility | **180000** | 180000 |
| &nbsp;&nbsp;$84 million revolving tranche under the Flex Enterprise $150 Million Facility | **83675** | 83675 |
| **Total U.S. dollar denominated revolving credit facilities** | **413675** | 413675 |
| **Total debt** | **1860608** | 1823322 |
| *Less* |  |  |
| &nbsp;&nbsp;&nbsp;Current portion of debt | **(111614)** | (108906) |
| &nbsp;&nbsp;&nbsp;Long-term portion of debt issuance costs | **(10416)** | (10887) |
| **Long-term debt** | **1738578** | 1703529 |

---

<sup>(1)</sup> These sale and leaseback agreements are comprised of a fixed rate of interest and a floating element based on Term SOFR, plus a margin.

Capital commitments relating to our long-term debt obligations as of December 31, 2025 are detailed in the table below:

---

| | |
|:---|:---|
| *(in thousands of $)* |  |
| 2026 | 111614 |
| 2027 | 113793 |
| 2028 | 116104 |
| 2029 | 389203 |
| 2030 | 268605 |
| Thereafter | 861289 |
| **Total** | **1860608** |

---

------

**Flex Courageous $175 Million Sale and Leaseback**

In May 2025, we signed a sale and leaseback agreement with an Asian-based lease provider for the vessel, *Flex Courageous*, or the Flex Courageous $175 Million Sale and Leaseback. Under the terms of the agreement, the vessel was sold for a consideration of $175.0 million, with a bareboat charter back of approximately 10 years. The bareboat lease is comprised of a fixed interest element and a floating interest element based on Term SOFR, plus a margin. We have the first option to terminate the lease and repurchase the vessel at a fixed price after approximately 7 years. We repaid the full amount outstanding for *Flex Courageous* under the $320 Million Sale and Leaseback.

**Flex Constellation $180 Million Facility**

In July 2025, we signed a $180.0 million term loan facility in respect of *Flex Constellation*, or the Flex Constellation $180 Million Facility*.* The new facility was drawn down on September 17, 2025. The Flex Constellation $180 Million Facility has a 15.5 year tenor and an interest rate of SOFR plus a margin of 165 basis points. In August 2025, we prepaid the full amount outstanding relevant to *Flex Constellation*, under the $320 Million Sale and Leaseback facility. Following this repayment, the $320 Million Sale and Leaseback facility is repaid in full.

**Flex Resolute $175 Million Sale and Leaseback**

In August 2025, we signed a $175.0 million sale and leaseback agreement with an Asian-based lease provider for *Flex Resolute*, or the Flex Resolute $175 Million Sale and Leaseback. Under the terms of the agreement, the vessel was sold for a consideration of $175.0 million, with a bareboat charter back of approximately 10 years. The bareboat lease is comprised of a fixed interest element and a floating interest element based on term SOFR, plus a margin. The Company has the first option to terminate the lease and repurchase the vessel at a fixed price after approximately 7 years. In September 2025, the Company repaid the full amount outstanding under the Flex Resolute $150 Million Facility.

**Loan covenants**

Certain of our financing agreements discussed above, have, amongst other things, the following financial and vessel covenants, as amended or waived, which are tested quarterly, the most stringent of which require us (on a consolidated basis) to maintain:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a book equity ratio of minimum 0.20 to 1.0;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a positive working capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• minimum liquidity, including undrawn credit lines with a remaining term of at least 6 months, being the higher of: (i) $25 million; and (ii) an amount equal to five percent of our total interest bearing financial indebtedness net of any cash and cash equivalents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• collateral maintenance test, ensuring that the aggregate value of the vessels making up the facility in question exceeds the aggregate value of the debt commitment outstanding.

As of December 31, 2025, all financial covenants have been met accordingly.

------

**14.&nbsp;&nbsp;&nbsp;&nbsp;FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES**

The principal financial assets of the Company at December 31, 2025 and 2024, consist primarily of cash and cash equivalents, restricted cash, other current assets, receivables due from related parties and derivative instruments receivable. The principal financial liabilities of the Company consist of payables due to related parties, accounts payable, other current liabilities, derivative instruments payable, other non-current liabilities and long-term debt.

The fair value measurements requirement applies to all assets and liabilities that are being measured and reported on a fair value basis. The assets and liabilities carried at fair value should be classified and disclosed in one of the following three categories based on the inputs used to determine its fair value:

Level 1: Quoted market prices in active markets for identical assets or liabilities;

Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data;

Level 3: Unobservable inputs that are not corroborated by market data.

The fair value of the Company's cash and cash equivalents and restricted cash approximates their carrying amounts reported in the accompanying consolidated balance sheets.

The fair value of other current assets, receivables from related parties, payables due to related parties, accounts payable and other current liabilities approximate their carrying amounts reported in the accompanying consolidated balance sheets.

The fair value of floating rate debt has been determined using Level 2 inputs and is considered to be equal to the carrying value since it bears variable interest rates, which are reset on a quarterly or semi-annual basis. Carrying value of the floating rate debt is shown net deduction of debt issuance cost, while fair value of floating rate debt is shown gross.

The fixed rate debt has been determined using Level 2 inputs being the discounted expected cash flows of the outstanding debt.

The following table includes the estimated fair value and carrying value of those assets and liabilities.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | | **2025** | **2025** | 2024 | 2024 |
| *(in thousands of $)* | Fair value hierarchy level | **Carrying value of asset (liability)** | **Fair value<br>asset (liability)** | Carrying value of asset (liability) | Fair value asset<br>(liability) |
| Cash and cash equivalents | Level 1 | **447632** | **447632** | 437154 | 437154 |
| Restricted cash | Level 1 | **65** | **65** | 49 | 49 |
| Derivative instruments assets | Level 2 | **18054** | **18054** | 40090 | 40090 |
| Derivative instruments liabilities | Level 2 | **(604)** | **(604)** |  |  |
| Other non-current liabilities | Level 2 | **(163)** | **(163)** |  |  |
| Floating rate debt | Level 2 | **(1718136)** | **(1729465)** | (1672832) | (1684666) |
| Fixed rate debt | Level 2 | **(130071)** | **(117827)** | (137405) | (120219) |

---

There have been no transfers between different levels in the fair value hierarchy during the year.

**Assets Measured at Fair Value on a Recurring Basis**

The fair value (Level 2) of interest rate swap derivative agreements is the present value of the estimated future cash flows that we would receive or pay to terminate the agreements at the balance sheet date, taking into account, as applicable, fixed interest rates on interest rate swaps, current interest rates, forward rate curves and the credit worthiness of both us and the derivative counterparty.

The fair value (Level 2) of cash-settled share option awards included within Other non-current liabilities is determined at each reporting date and recognized as a liability until settlement. The fair value represents the amount that would be paid to settle the awards at the balance sheet date. The liability is measured using the Black-Scholes option valuation model, which incorporates observable market inputs including the market price of our common shares at the measurement date, implied or historical share

------

price volatility derived from market data, risk-free interest rates based on U.S. Treasury yield curves, and expected dividend yield. The expected term of the awards is based on historical exercise patterns and other relevant observable data.

**Concentration of Risk**

There is a concentration of credit risk with respect to cash and cash equivalents to the extent that substantially all of the amounts are carried with SEB (S&P Global rating: A+), Danske Bank (S&P Global rating: A+) and DNB (S&P Global rating: AA-).

**15.&nbsp;&nbsp;&nbsp;&nbsp;RELATED PARTY TRANSACTIONS**

We transact business with the following related parties and affiliated companies (and respective subsidiaries), being companies in which Geveran Trading Co. Ltd and companies associated with Geveran Trading Co. Ltd have significant influence or control: SFL Corporation Ltd, Seatankers Management Norway AS, Seatankers Management Co. Ltd, Paratus Energy Services Ltd, Frontline Plc, Avance Gas Trading Ltd, Flex LNG Fleet Management AS and Front Ocean Management AS.

**Related Party Balances**

A summary of receivables due from related parties as of December 31, 2025 and 2024 is as follows:

---

| | | |
|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 |
| Frontline (Management) Cyprus Ltd | 340 | 686 |
| **Receivables due from related parties** | **340** | 686 |

---

A summary of payables due to related parties as of December 31, 2025 and 2024 is as follows:

---

| | | |
|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 |
| Frontline Corporate Services Ltd | **(21)** | (23) |
| Seatankers Management Co. Ltd | **(4)** | (29) |
| Flex LNG Fleet Management AS | **(309)** | (358) |
| Front Ocean Management Ltd | **(41)** | (65) |
| Front Ocean Management AS | **(244)** |  |
| Frontline (Management) Cyprus Ltd | **(50)** | (48) |
| SFL Corporation Ltd | **(4)** |  |
| **Payables due to related parties** | **(673)** | (523) |

---

**Related Party Transactions**

A summary of expenses recorded from related parties for the years ended December 31, 2025, 2024, and 2023 are as follows:

------

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| **Administration service fees** |  |  |  |
| Seatankers Management Co. Ltd | **(192)** | (157) | (115) |
| Front Ocean Management AS | **(684)** | (506) | (400) |
| Frontline Management (Bermuda) Ltd | **—** | (96) | (128) |
| Front Ocean Management Ltd | **(311)** | (265) | (257) |
| Frontline (Management) Cyprus Ltd | **(224)** | (144) |  |
| SFL Corporation Ltd | **(30)** |  |  |
| **Technical management fees** |  |  |  |
| Flex LNG Fleet Management AS | **(3936)** | (3589) | (3435) |
| **Office facilities** |  |  |  |
| Seatankers Management Norway AS | **—** | (17) | (85) |
| Frontline Corporate Services Ltd | **(55)** | (23) |  |
| **Total related party transactions** | **(5432)** | (4797) | (4420) |

---

A summary of income recorded from related parties for the years ended December 31, 2025, 2024, and 2023 are as follows:

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| Avance Gas Trading Ltd | **3** | 15 | 293 |
| Sloane Square Capital Holdings Ltd | **—** |  | 9 |
| Paratus Management (UK) Limited | **—** |  | 5 |
| Seatankers Services (UK) LLP | **—** | 6 | 4 |
| **Total related party transactions** | **3** | 21 | 311 |

---

**Service Level Agreements**

We have a service level agreement with a Front Ocean Management AS and Front Ocean Management Ltd as part of which they will provide certain advisory and support services including human resources, shared office costs, administrative support, IT systems and services, compliance, insurance and legal assistance. In the year ended December 31, 2025, we recorded an expense, within administrative expenses, of $1.0 million for these services (2024: $0.8 million (2023: $0.7 million)).

We have an administrative services agreement with Frontline Management AS, or Frontline Management, under which they provide us with certain administrative support, technical supervision, and other support services, for which we pay our allocation of the actual costs they incur on our behalf, plus a markup. Frontline Management may subcontract these services to other associated companies, including Frontline Management (Bermuda) Ltd and Frontline (Management) Cyprus Ltd. In the year ended December 31, 2025, we recorded an expense, within administrative expenses, of $0.3 million from Frontline Management and associated companies for these services (2024: $0.3 million (2023: $0.1 million)).

We also have an agreement with Seatankers Management Co. Ltd, or Seatankers, under which it provides us with certain advisory and support services, for which we pay our allocation of the actual costs they incur on our behalf, plus a markup. In the year ended December 31, 2025, we recorded an expense, within administrative expenses, of $0.2 million from Seatankers for these services (2024: $0.2 million (2023: $0.1 million)).

------

**Technical Management**

The Company has ship management agreements with Flex LNG Fleet Management AS, a related party owned by Frontline plc, for which they are responsible for the technical ship management for all of our entire fleet. Under the agreements with Flex LNG Fleet Management AS, we pay our allocation of the actual costs they incur on our behalf, plus a markup. In the year ended December 31, 2025, we recorded an expense, within vessel operating expenses, of $3.9 million from Flex LNG Fleet Management AS for these services (2024: $3.6 million (2023: $3.4 million)).

**Income from Related Parties**

Certain of the Companies employees and management have periodically performed administrative, accounting and chartering services for related parties and these activities are billed to related parties at cost plus a markup. In the year ended December 31, 2025, we recorded an income, within administrative expenses, from related parties of $0.0 million (2024: $0.0 million (2023: $0.3 million)).

**16.&nbsp;&nbsp;&nbsp;&nbsp;OPERATING LEASES**

All of the Company's vessel operating revenues from time charter agreements is recognized and recorded as operating lease income. A summary for the years ended December 31, 2025, 2024, and 2023 is shown below:

---

| | | | |
|:---|:---|:---|:---|
| *(in thousands of $)* | **2025** | 2024 | 2023 |
| Vessel operating revenues<sup>(1)(2)</sup> | **347637** | 356349 | 371022 |

---

<sup>(1)</sup> Vessel operating revenue includes $7.8 million (2024: $1.4 million (2023: nil)) EUA revenues arising under the time charter agreements with charterers, as further described in Note 2: Summary of Significant Accounting Policies.

<sup>(2)</sup> Vessel operating revenue includes $2.5 million (2024: $0.3 million (2023: nil)) in variable lease payments, as further described in Note 2: Summary of Significant Accounting Policies.

The minimum contractual undiscounted cashflow under non-cancellable operating leases to be received on time charters in respect of our Fleet as of December 31, 2025, were as follows;

---

| | |
|:---|:---|
| *(in thousands of $)* |  |
| 2026 | 287257 |
| 2027 | 198336 |
| 2028 | 185159 |
| 2029 | 213889 |
| 2030 | 189618 |
| Thereafter | 476823 |
| **Total** | **1551082** |

---

As of December 31, 2025, all of the Company's assets under vessels and equipment were contracted under operating leases, which are further described in Note 6: Vessels and Equipment.

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**17.&nbsp;&nbsp;&nbsp;&nbsp;SUBSEQUENT EVENTS**

On February 10, 2026 the Company's Board of Directors declared a cash distribution for the fourth quarter of 2025 of $0.75 per share. The distribution will be made from the Company's Contributed Surplus account, which consists of previously paid in share premium transferred from the Company's Additional Paid In Capital account. This dividend will be paid on or around March 12, 2026. The record date and ex-dividend date on the NYSE will be February 27, 2026.

All declarations of dividends are subject to the determination and discretion of the Company's Board of Directors based on its consideration of various factors, including the Company's results of operations, financial condition, level of indebtedness, anticipated capital requirements, contractual restrictions, restrictions in its debt agreements, restrictions under applicable law, its business prospects and other factors that the Board of Directors may deem relevant.

## Exhibit 4.12

***<u>EXECUTION VERSION</u>***

**BAREBOAT CHARTER AGREEMENT**

 <u>28</u> **MAY 2025**

**JPV No. 23 Co., Ltd. and JPV No. 24 Co., Ltd.**

**as Owners and**

**JPV No. 23 Co., Ltd.**

**as Representative Owner and**

**Flex LNG Courageous Limited as Charterer**

**relating to**

**one (1) 173,400cbm MEGI class LNG carrier "Flex Courageous"**

------

**CONTENTS**

**Clause&nbsp;&nbsp;&nbsp;&nbsp;Page**

&nbsp;&nbsp;&nbsp;&nbsp;1.Definitions and Interpretation&nbsp;&nbsp;&nbsp;&nbsp;1

&nbsp;&nbsp;&nbsp;&nbsp;2.Agreement to Charter&nbsp;&nbsp;&nbsp;&nbsp;24

&nbsp;&nbsp;&nbsp;&nbsp;3.Conditions Precedent&nbsp;&nbsp;&nbsp;&nbsp;25

&nbsp;&nbsp;&nbsp;&nbsp;4.Delivery, Acceptance and Title&nbsp;&nbsp;&nbsp;&nbsp;27

&nbsp;&nbsp;&nbsp;&nbsp;5.Extent of Owners' Liability&nbsp;&nbsp;&nbsp;&nbsp;29

&nbsp;&nbsp;&nbsp;&nbsp;6.Charter Hire&nbsp;&nbsp;&nbsp;&nbsp;30

&nbsp;&nbsp;&nbsp;&nbsp;7.Payments, Interest and Calculations&nbsp;&nbsp;&nbsp;&nbsp;30

&nbsp;&nbsp;&nbsp;&nbsp;8.Costs and Indemnities&nbsp;&nbsp;&nbsp;&nbsp;34

&nbsp;&nbsp;&nbsp;&nbsp;9.Taxation&nbsp;&nbsp;&nbsp;&nbsp;39

&nbsp;&nbsp;&nbsp;&nbsp;10.Representations and Warranties&nbsp;&nbsp;&nbsp;&nbsp;47

&nbsp;&nbsp;&nbsp;&nbsp;11.General Undertakings&nbsp;&nbsp;&nbsp;&nbsp;57

&nbsp;&nbsp;&nbsp;&nbsp;12.Registration, Possession, Sub-Chartering and Management&nbsp;&nbsp;&nbsp;&nbsp;72

&nbsp;&nbsp;&nbsp;&nbsp;13.Operation and Maintenance&nbsp;&nbsp;&nbsp;&nbsp;75

&nbsp;&nbsp;&nbsp;&nbsp;14.Information Undertakings&nbsp;&nbsp;&nbsp;&nbsp;84

&nbsp;&nbsp;&nbsp;&nbsp;15.Insurance&nbsp;&nbsp;&nbsp;&nbsp;88

&nbsp;&nbsp;&nbsp;&nbsp;16.Loss, Damage and Compensation&nbsp;&nbsp;&nbsp;&nbsp;96

&nbsp;&nbsp;&nbsp;&nbsp;17.Redelivery&nbsp;&nbsp;&nbsp;&nbsp;97

&nbsp;&nbsp;&nbsp;&nbsp;18.Events of Default&nbsp;&nbsp;&nbsp;&nbsp;99

&nbsp;&nbsp;&nbsp;&nbsp;19.Owner's Rights following an Event of Default or a Relevant Event&nbsp;&nbsp;&nbsp;&nbsp;102

&nbsp;&nbsp;&nbsp;&nbsp;20.Relevant Party Event and Charterer's Rights&nbsp;&nbsp;&nbsp;&nbsp;105

&nbsp;&nbsp;&nbsp;&nbsp;21.Option to Purchase and Early Termination&nbsp;&nbsp;&nbsp;&nbsp;105

&nbsp;&nbsp;&nbsp;&nbsp;22.Transfer of Title to Vessel&nbsp;&nbsp;&nbsp;&nbsp;111

&nbsp;&nbsp;&nbsp;&nbsp;23.Costs and Expenses&nbsp;&nbsp;&nbsp;&nbsp;112

&nbsp;&nbsp;&nbsp;&nbsp;24.Notices&nbsp;&nbsp;&nbsp;&nbsp;113

&nbsp;&nbsp;&nbsp;&nbsp;25.Assignment&nbsp;&nbsp;&nbsp;&nbsp;114

&nbsp;&nbsp;&nbsp;&nbsp;26.Miscellaneous&nbsp;&nbsp;&nbsp;&nbsp;115

&nbsp;&nbsp;&nbsp;&nbsp;27.Law and Jurisdiction&nbsp;&nbsp;&nbsp;&nbsp;118

&nbsp;&nbsp;&nbsp;&nbsp;28.Counterparts&nbsp;&nbsp;&nbsp;&nbsp;119

**Schedule&nbsp;&nbsp;&nbsp;&nbsp;Page**

&nbsp;&nbsp;&nbsp;&nbsp;1.Description of Vessel&nbsp;&nbsp;&nbsp;&nbsp;120

&nbsp;&nbsp;&nbsp;&nbsp;2.List of Documents and Evidence&nbsp;&nbsp;&nbsp;&nbsp;121

Part 1&nbsp;&nbsp;&nbsp;&nbsp;Initial Conditions Precedent&nbsp;&nbsp;&nbsp;&nbsp;121

Part 2&nbsp;&nbsp;&nbsp;&nbsp;Charterer's Conditions Precedent&nbsp;&nbsp;&nbsp;&nbsp;125

Part 3&nbsp;&nbsp;&nbsp;&nbsp;Conditions Subsequent&nbsp;&nbsp;&nbsp;&nbsp;126

&nbsp;&nbsp;&nbsp;&nbsp;3.Form of Charterparty Supplement&nbsp;&nbsp;&nbsp;&nbsp;127

&nbsp;&nbsp;&nbsp;&nbsp;4.Charter Hire&nbsp;&nbsp;&nbsp;&nbsp;129

&nbsp;&nbsp;&nbsp;&nbsp;5.Special Termination Value&nbsp;&nbsp;&nbsp;&nbsp;131

&nbsp;&nbsp;&nbsp;&nbsp;6.Stipulated Loss Value&nbsp;&nbsp;&nbsp;&nbsp;133

&nbsp;&nbsp;&nbsp;&nbsp;7.Redelivery Conditions&nbsp;&nbsp;&nbsp;&nbsp;135

&nbsp;&nbsp;&nbsp;&nbsp;8.Early Buy-out Option Definitions&nbsp;&nbsp;&nbsp;&nbsp;137

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**THIS BAREBOAT CHARTER AGREEMENT** is made on <u>28</u> May 2025

**BETWEEN**:

&nbsp;&nbsp;&nbsp;&nbsp;(1)**JPV No. 23 Co., Ltd.** and **JPV No. 24 Co., Ltd.**, each a corporation (*kabushiki kaisha*) formed under the laws of Japan, with its registered office at 3-2-1 Kasumigaseki, Chiyoda-ku, Tokyo, Japan (together the "**Owners**" and each as the case may be an "**Owner**");

&nbsp;&nbsp;&nbsp;&nbsp;(2)**JPV No. 23 Co., Ltd.**, a corporation (*kabushiki kaisha*) formed under the laws of Japan, with its registered office at 3-2-1 Kasumigaseki, Chiyoda-ku, Tokyo, Japan (the "**Representative Owner**"); and

&nbsp;&nbsp;&nbsp;&nbsp;(3)**Flex LNG Courageous Limited**, a corporation incorporated under the laws of the Republic of the Marshall Islands whose registered address is Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 (the "**Charterer**").

**IT IS AGREED** as follows

&nbsp;&nbsp;&nbsp;&nbsp;**1.DEFINITIONS AND INTERPRETATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)In this Agreement and in the Schedules attached hereto, unless the context otherwise requires or it is specified below, words and expressions which are defined in the Loan Agreement shall have the same meanings in this Agreement and the following words and expressions shall have the following meanings:

"**Acceleration Event**" means any "Event of Default" as defined under the Loan Agreement or any other event which will give the Agent the right to accelerate the Loan thereunder;

![image_0.jpg](image_0.jpg)

"**Affiliate**" means, in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other Subsidiary of that Holding Company;

![image_1.jpg](image_1.jpg)

"**AML Law**" means any law, official requirement or other regulatory measure or procedure implemented to combat "money laundering" (as defined in Article 1 of Directive 2005/60/EC of the European Parliament and of the Council);

"**Annual Compliance Certificate**" has the meaning ascribed to "Compliance Certificate" in the Guarantee;

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"**Applicable Law**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any law, statute, decree, constitution, regulation, authorisation, judgment, injunction or other directive of any Government Entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any treaty, pact, compact or other agreement to which any Government Entity is a signatory or party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any judicial or administrative interpretation with binding characteristics or application of those described in paragraphs (i) or (ii) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any codes of practice or conduct, circulars and guidance notes generally accepted and applied by the shipping industry,

in each case, which is applicable to the Vessel or its use, maintenance or operation, a Relevant Party, the Charterer, the Charterer Guarantor, an Indemnitee, the Manager or the Operative Documents;

"**Applicable Sum**" means, as the context may require, either the Stipulated Loss Value or the Special Termination Value;

"**Approved Valuer**" means Clarkson Shipbroking, Nordic Shipping, Arrow Shipbrokers, Fearnleys Shipbroker, Simpson Spence Young (SSY) Shipbrokers, VesselsValue, MB Shipbrokers or such other independent first class valuer as may be appointed by the Agent in consultation with the Owners;

"**Asset Value**" means the fair market value of the Vessel (being the arithmetic average of desk-top valuations obtained from two (2) Approved Valuer chosen by the Charterer on an arms-length basis and free of any charter).

"**Builder**" means Hanwha Ocean Co., Ltd. (formerly Daewoo Shipbuilding & Marine Engineering Co., Ltd.);

"**Business Day**" has the meaning given to that term in the Loan Agreement;

"**Change in Law**" means any enactment, introduction, adoption, abolition, making or variation of, or any change in, deletion from or amendment or addition to, any Applicable Law (whether or not having the force of law, but in respect of which compliance is generally customary) or any change in or any new or further or different interpretation or application of any thereof by any court, tribunal, central bank, tax, fiscal, monetary, financial services supervisory or other competent authority in any applicable jurisdiction or compliance with any request, requirement, guidance or guideline (whether or not having the force of law, but in respect of which compliance is generally customary) of any central bank, tax, fiscal, monetary, financial services or other competent authority, in each case, in any applicable jurisdiction, and in each case from that existing as at the date of this Agreement;

"**Change of Control Event**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the Charterer ceases to be 100% owned and controlled directly or indirectly by the Charterer Guarantor; or

if at any time any other entity or entities acting in concert (other than one or several of the Sponsors) without the prior written approval of the

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Representative Owner and the Agent directly or indirectly either has or acquires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)more than one third (1/3) of the voting shares of the Charterer Guarantor; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the right or ability to control, either directly or indirectly, the affairs or the composition of the majority of the board of directors (or equivalent) of the Charterer Guarantor;

"**Charter Commencement Date**" means the date on which Delivery occurs;

"**Charter Hire**" means, collectively, Charter Hire A and Charter Hire B;

"**Charter Hire A**" means the instalments of Charter Hire payable in US Dollars pursuant to Clause 6(a), being with respect to any date, an instalment of charter hire payable in US Dollars in the amount calculated in accordance with Clause 6(c) and Schedule 4 (*Charter Hire*);

"**Charter Hire B**" means the instalments of Charter Hire payable in US Dollars pursuant to Clause 6(a), being with respect to any date, an instalment of charter hire payable in US Dollars in the amount calculated in accordance with Clause 6(c) and Schedule 4 (*Charter Hire*) and as provided in the fourth column of Schedule 4 (*Charter Hire*) with reference to such date (if any);

"**Charter Period**" means the period during which the Charterer shall be entitled to the possession and use of the Vessel in accordance with this Agreement, being the period commencing on the Charter Commencement Date until, in the event that the Charterer shall not have exercised its voluntary option to purchase the Vessel under Clause 21(a), the Final Payment Date or if earlier, the Termination Date;

![image_2.jpg](image_2.jpg)

"**Charterer Account Bank**" means ![image_3.jpg](image_3.jpg)acting through its Oslo office, or such other bank or financial institution which, with the prior written consent of the Representative Owner and the Agent (acting in accordance with the instructions of the Majority Lenders), at any time holds the Charterer Account;

"**Charterer Account Charge and Onward Assignment**" means the account charge agreement entered into or to be entered into between the Charterer (as chargor), the Owners (as owners) and the Security Agent (as security agent) in respect of the Charterer Account and all notices and acknowledgements given or to be given in relation to such charge;

"**Charterer Assignment**" has the meaning given to that term in the Loan Agreement;

"**Charterer Guarantor**" means FLEX LNG Ltd., a corporation formed under the laws of Bermuda, having company registration no. 52644, whose registered address is 14 Par-la-Ville Road, Hamilton, Bermuda;

"**Charterparty Supplement**" means a certificate in substantially the form set out in Schedule 3;

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"**Classification Society**" means DNV, American Bureau of Shipping, Lloyd's Register, Bureau Veritas or any other classification society that is a member of the International Association of Classification Societies and acceptable to the Agent (acting on the instructions of the Majority Lenders) and the Representative Owner;

"**Compulsory Acquisition**" means, with respect to the Vessel, requisition of title or other compulsory acquisition, requisition, appropriation, expropriation, deprivation or confiscation for any reason of the Vessel whether for full consideration, a consideration less than its Fair Market Value, a nominal consideration or without any consideration which is effected by any Government Entity or other competent authority, whether de jure or de facto (but excluding any requisition for hire), unless in each case, such event does not involve taking of title to the Vessel and the Vessel is within one hundred and eighty (180) days, and in any event on or prior to the expiry of the Charter Period, redelivered to the Charterer's or the Owners' full control;

"**Core Leasing Provisions**" means, in respect of any replacement Sub-Charter and/or any replacement Sub-Charterer, a charter on terms which are or, as applicable, a sub-charterer which is acceptable to the Representative Owner and the Agent (acting on the instructions of all Lenders) having regard to the ownership interest of the Owners in the Vessel, the security interest of the Security Agent in the Vessel, the credit standing and status of the relevant sub-charterer and the terms of the relevant sub-charter, in each case assessed at the time of entry into of the relevant charter and taking into account the remaining Charter Period at such time;

"**Cut-off Date**" means the earlier of the date on which Delivery occurs and 30 June 2025 (Tokyo time) or such later date as the Charterer, the Representative Owner and the Agent (acting in accordance with the instructions of all the Lenders) may agree in writing;

"**Date of Total Loss**" means, in respect of the Vessel, the date of Total Loss of the Vessel which date shall be deemed to have occurred:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in the case of an actual total loss, on the actual date and at the time the Vessel was lost or, if such date is not known, on the date on which the Vessel was reported lost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in the case of a constructive, arranged, agreed or compromised total loss, upon the date and at the time notice of total loss is given to the Insurers for the time being (provided a claim for total loss is admitted by such Insurers) or, if such Insurers do not forthwith admit such a claim, at the earliest of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the date and time at which either a total loss is subsequently admitted by the Insurers or a total loss is subsequently adjudged by a competent court of law or arbitration tribunal to have occurred;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)one hundred and eighty (180) days from the date of notice of total loss is issued whether to the insurers or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the last day of the Charter Period;

in the case of any Compulsory Acquisition, on the date upon which the relevant Compulsory Acquisition occurs; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)in the case of hijack, theft, condemnation, forfeiture (not falling within paragraph (iii) above) capture, seizure, arrest, detention, requisition for hire by any government or by persons acting or purporting to act on behalf of any government or by any other person or disappearance of the Vessel, which deprives the Owners or, as the case may be, the Charterer or, as the case may be, the Sub-charterer of the use of the Vessel, upon the expiry of the period of one hundred and eighty (180) days after the date upon which the relevant hijack, theft, condemnation, capture, seizure, arrest, detention, disappearance or requisition occurred or, if shorter, the remaining Charter Period;

"**Default**" means an Event of Default or any event or circumstance specified in Clause 18 (*Events of Default*) which would (with the expiry of a grace period, the giving of notice or the making of any determination under the Operative Documents or any combination of them) become an Event of Default;

"**Delivery**" means the time when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Registered Owner shall obtain title to the Vessel under the Memorandum of Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Owners shall accept delivery of the Vessel under the Instalment Sale Agreement,

all of which shall occur simultaneously;

"**Dollar Account**" means, collectively, the Dollar Account A and the Dollar Account B;

![image_4.jpg](image_4.jpg)![image_5.jpg](image_5.jpg)

"**Dollars**" and "**US$**" mean the lawful currency for the time being of the United States of America;

"**Early Buy-out Date**" means the First Early Buy-out Date and the Second Early Buy-out Date individually and collectively;

"**Early Buy-out Option**" means the option of the Charterer to purchase the Vessel

on the Early Buy-out Date, as detailed in Clause 21(a);

"**Early Buy-out Option Notification Cut-off Date**" means the date falling twelve

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(12) months prior to the relevant Early Buy-out Date;

"**Early Buy-out Price**" means the First Early Buy-out Price and the Second Early Buy-out Price individually and collectively;

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"**Earnings**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)all moneys from time to time due or payable to the Charterer during the Charter Period arising out of the use or operation of the Vessel, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)all freight, hire and passage moneys, including (without limitation) payments of any nature under any contract or any other agreement for the employment, use, possession, management and/or operation of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)income arising under pooling arrangements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)compensation payable to the Charterer in the event of requisition of the Vessel for hire (including any other compensation for the use of the Vessel by any government authority or other competent authority), remuneration for salvage and towage services, demurrage and detention moneys, in relation to general average contribution and other services performed by the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any compensation or other damages for breach (or payments for variation or termination) of any charterparty or other contract for the employment of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any sums recoverable under any Insurance (including any sums recoverable under any loss of earnings insurance);

"**Emissions Legislation**" shall mean, any or all of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the EU-ETS Regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the FuelEU Maritime Regulation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any other laws, directives or regulations to which any Owner, the Registered Owner, the Charterer or the Vessel is subject in respect of maritime greenhouse gas emissions (including any related emissions trading schemes),

as amended from time to time and in each case as applicable to any Owner, the Registered Owner, the Charterer or the Vessel.

"**Environment**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any land including, without limitation, surface land and sub surface strata, sea bed or river bed under any water (as referred to below) and any natural or man-made structures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)water including, without limitation, coastal and inland waters, surface waters, ground waters and water in drains and sewers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)air including, without limitation, air within buildings and other natural or man-made structures above or below ground;

"**Environmental Approvals**" means any permit, licence, approval, ruling, variance, exemption or other authorisation required under applicable Environmental Laws;

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"**Environmental Laws**" means any or all Applicable Laws relating to or concerning:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)pollution or contamination of the Environment, any ecological system or any living organisms which inhabit the Environment or any ecological system;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the generation, manufacture, processing, distribution, use (including abuse), treatment, storage, disposal, transport or handling of Hazardous Materials; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the emission, leak, release, spill or discharge into the Environment of noise, vibration, dust, fumes, gas, odours, smoke, steam, effluvia, heat, light, radiation (of any kind), infection, electricity or any Hazardous Material and any matter or thing capable of constituting a nuisance or an actionable tort or breach of statutory duty of any kind in respect of such matters,

including, without limitation, the following laws of the United States of America: the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, the Hazardous Materials Transportation Act, as amended, the Oil Pollution Act of 1990, as amended, the Resource Conservation and Recovery Act, as amended, and the Toxic Substances Control Act, as amended, together, in each case, with the regulations promulgated and the guidance issued pursuant thereto;

"**Environmental Loss**" means any claim by any person or persons or any governmental, judicial or regulatory authority which arises out of any breach, contravention or violation of Environmental Law or of the existence of any liability or potential liability arising from such breach, contravention or violation or the presence of Hazardous Material in contravention of Environmental Laws. In this context, claim means: a claim for damages, compensation, fines, penalties or any other payment of any kind whether or not similar to the foregoing; an order or direction to take, or not to take, certain action or to desist from or suspend certain action by any governmental, judicial or regulatory authority; and any form of enforcement or regulatory action;

"**Environmental Representative**" means, together, the Charterer, the Charterer Guarantor and the Manager together with their respective employees and all of those persons for whom the Charterer, the Charterer Guarantor or the Manager is responsible under any Applicable Law in respect of any activities undertaken in relation to the Vessel;

"**EU-ETS Mandate Letter**" means the mandate letter in respect of the Vessel addressed to the relevant entities charged with administering compliance with Emissions Legislation and duly executed by the Owners, the Registered Owner and the Charterer, mandating the Manager as the party required to comply with and be responsible for compliance with the Emissions Legislation (including reporting thereunder) in place of the Owners and/or the Registered Owner.

"**EU-ETS Regulations**" shall mean:

EU Emissions Trading Scheme (Directive 2003/87/EC establishing a system for greenhouse gas emission allowance trading within the Union and Decision (EU) 2015/1814 concerning the establishment

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and operation of a market stability reserve for the Union greenhouse gas emission trading

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system as amended by Directive (EU) 2023/959 of the European Parliament and of the Council of 10 May 2023) and the Commission Implementing Regulation (EU) 2023/2599 of 22 November 2023 as the same may be amended, supplemented, superseded or readopted from time to time (whether with or without modifications); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any applicable law implementing the above Directive and/or Implementing Regulation.

"**Event of Default**" means any event or circumstance described in Clause 18 (*Events of Default*);

"**Excess Risks**" means, in respect of the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the proportion of claims for general average, salvage and salvage charges which are not recoverable as a result of the value at which the Vessel is assessed for the purpose of such claims exceeding her hull and machinery insured value; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)collision liabilities not recoverable in full under the hull and machinery insurance by reason of those liabilities exceeding such proportion of the insured value of the Vessel as is covered by the hull and machinery insurance;

"**Excluded Property**" means all the right, title and interest in and in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Charter Hire B, First Early Buy-out Price B, Second Early Buy-out Price B, Special Termination Value B, Stipulated Loss Value B and Supplemental Hire Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)amounts payable under Clauses 8 (*Costs and Indemnities*), 9 (*Taxation*) and 23 (*Costs and Expenses*) of this Agreement or any other indemnities and similar amounts payable by the Charterer under this Agreement or any other Operative Document in respect to which there is no corresponding payment obligation under the Loan Agreement or any other Operative Documents to which the Owners, or as the case may be, the Registered Owner and any Finance Party are parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any interest, overdue interest, currency indemnity or other amounts payable by the Charterer hereunder which are calculated on or by reference to any of the foregoing amounts provided that the Excluded Property shall not include (x) any amounts payable under Clause 7(e) and (y) any interest, overdue interest, currency indemnity or other amounts payable by the Charterer hereunder which are calculated on or by reference to any amount referred to in (x) above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)other rights of the Owners, the Owner Parent and the Registered Owner under the Operative Documents relating solely to the Excluded Property;

"**Facility Period**" has the meaning given to it in the Loan Agreement;

"**Fair Market Value**" means the fair market value of the Vessel as determined on a

charter free basis provided by any one of the Approved Valuers;

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"**FATCA**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)sections 1471 to 1474 of the Code or any associated regulations or other official guidance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any treaty, law, regulation or other official guidance enacted in any other jurisdiction, or relating to an intergovernmental agreement between the United States of America and any other jurisdiction, which (in either case) facilitates the implementation of paragraph (i) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any agreement pursuant to the implementation of paragraphs (i) or (ii) (above) with the U.S. Internal Revenue Service, the U.S. government or any governmental or taxation authority in any other jurisdiction;

"**FATCA Deduction**" means a deduction or withholding from a payment under an Operative Document required by FATCA;

"**Final Payment Date**" means 30 July 2035;

"**Finance Documents**" has the meaning given to it in the Loan Agreement;

"**Financial Indebtedness**" means any indebtedness for or in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)moneys borrowed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any amount raised by acceptance under any acceptance credit facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or any similar instrument;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with U.S. GAAP, be treated as a finance or capital lease;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any amount raised under any other transaction (including any forward sale or purchase agreement) having the commercial effect of a borrowing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)any derivative transaction entered into in connection with protection against or benefit from fluctuation 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);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)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

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)the amount of any liability in respect of any guarantee or indemnity for any of the items referred to in sub-paragraphs (i) to (viii) above;

"**Finance Party Excepted Reason**" means:

any breach by any Finance Party of its express obligations under any Operative Document;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)the gross negligence or fraudulent or wilful misconduct of any Finance Party with respect to any aspect of the transactions contemplated by, or the performance of any of its obligations under any Operative Document to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)any Finance Party Lien which is not discharged within ten (10) Business Days after notice thereof from the Representative Owner or the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)is contemplated or permitted by, or created pursuant to, the terms of any Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)arises, directly or indirectly, by reason of the occurrence of a Default (as defined in the Loan Agreement), an Acceleration Event, a Relevant Party Event, or an Overriding Cause;

"**First Early Buy-out Date**" is as set forth in Schedule 8;

"**First Early Buy-out Price**" means collectively, First Early Buy-out Price A and First Early Buy-out Price B;

"**First Early Buy-out Price A**" is as set forth in Schedule 8;

"**First Early Buy-out Price B**" is as set forth in Schedule 8;

"**Flag State**" means the Marshall Islands or any other country or jurisdiction in which the Vessel is from time to time registered with the prior written consent of the Representative Owner and the Agent (acting on the instructions of all the Lenders) if requested in writing by the Charterer to the Owners and the Agent at least two (2) months in advance of the intended change (or such lesser period as may be agreed);

"**Flex Group**" means collectively, the Charterer Guarantor and its consolidated Subsidiaries;

"**FuelEU Maritime Regulation**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Regulation (EU) 2023/1805 of the European Parliament and of the Council of 13 September 2023 on the use of renewable and low-carbon fuels in maritime transport, and amending Directive 2009/16/EC; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any applicable law implementing the above Directive and/or Implementing Regulation;

"**Funding Indemnity Letters**" means the funding indemnity letters entered into or to be entered into between, *inter alios*, the Charterer, the Owners, the Registered Owner and the Agent;

"**Government Entity**" means and includes (whether having distinct legal personality or not) (i) any national government or local jurisdiction therein or any person or persons claiming to be or to represent such national government or local jurisdiction; (ii) any political

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subdivisions, banking or monetary authority in a national government; (iii) any administrative body instrumentality, board

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![image_6.jpg](image_6.jpg)![image_6.jpg](image_6.jpg)commission, authority department, organ, court or agency of any entity referred to in (i) above howsoever constituted; (iv) any association, organisation or institution (international or otherwise) of which any entity mentioned in (i) above is a member or to whose jurisdiction any thereof is subject or in whose activities any thereof is a participant and (v) any entity (whether public or private) from time to time charged with the collection or imposition of Taxes;

"**Guarantee**" means the guarantee from the Charterer Guarantor dated on or about the date of this Agreement, in favour of the Owners and the Registered Owner in respect of the Charterer's obligations under the Operative Documents to which the Charterer is a party;

"**Hazardous Material**" means any element or substance, whether natural or artificial, and whether consisting of gas, liquid, solid or vapour, whether on its own or in any combination with any other element or substance, which is listed, identified, defined or determined by any Environmental Law or other Applicable Law to be, to have been, or to be capable of being or becoming harmful to mankind or any living organism or damaging to the Environment, including, without limitation, oil (as defined in the United States Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended);

"**Holding Company**" means, in relation to any company or corporation, any other company or corporation in respect of which the first mentioned company or corporation is a Subsidiary;

"**Indemnitee**" shall have the meaning given to it in Clause 8(a);

![image_8.jpg](image_8.jpg)![image_9.jpg](image_9.jpg)![image_10.jpg](image_10.jpg)

"**Initial Sub-charter Option Date A**" "**Initial Sub-charter Option Date B**"

![image_11.jpg](image_11.jpg)

![image_12.jpg](image_12.jpg)![image_13.jpg](image_13.jpg)![image_14.jpg](image_14.jpg)

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![image_15.jpg](image_15.jpg)

"**Insurances**" means all policies and contracts of insurance (including all entries of the Vessel in a protection and indemnity or war risks association) which are from time to time during the Charter Period taken out or entered into in connection with the Vessel (including all benefits and claims and return of premiums relating to such policies and contracts);

"**Insurers**" means the underwriters or insurance companies with whom any Insurances are effected and the managers of any protection and indemnity or war risks association in which the Vessel may at any time be entered;

"**ISM Code**" means the International Safety Management Code (including the guidelines on its implementation), adopted by the International Maritime Organization Assembly as Resolutions A.741(18) and A.788(19), as the same may have been or may be amended or supplemented from time to time. The terms "**safety management system**", "**Safety Management Certificate**", "**Document of Compliance**" and "**major non conformity**" shall have the same meanings as are given to them in the ISM Code;

"**ISPS Code**" means the International Ship and Port Facility Security Code adopted by the International Maritime Organization Assembly as the same may have been or may be amended or supplemented from time to time;

"**Kumiai-in**" means any person entering into a Tokumei Kumiai Agreement with, and making a cash contribution to, the relevant Owner for the purposes of this Agreement, the other Operative Documents and the transactions contemplated hereby and thereby and includes any successor or assignee of any such person;

"**Legal Reservations**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the principle that equitable remedies are remedies which may be granted or refused at the discretion of the court;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the limitation of enforcement by laws relating to bankruptcy, insolvency, liquidation, reorganisation, court schemes, moratoria, administration and other laws generally affecting or limiting the rights of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the time barring of claims under any applicable limitation acts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the possibility that a court may strike out provisions of a contract as being invalid for reasons of oppression, undue influence or similar reasons; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)any other reservations or qualifications of law expressed in any legal opinions to be delivered to the Representative Owner pursuant to Clause 3 (*Conditions Precedent*);

"**Lenders**" has the meaning given to the term "Lender" in the Loan Agreement;

"**Lien**" means any mortgage, charge (whether fixed or floating), pledge, lien, encumbrance, hypothecation, assignment or security interest of any kind securing any obligation of any person or any type of preferential arrangement (including, without limitation, conditional sale, title transfer and/or retention arrangements having a similar effect), in each case howsoever arising;

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"**Loan**" has the meaning given to it in the Loan Agreement;

"**Loan Agreement**" means the loan agreement dated on or about the date of this Agreement and made between, *inter alios*, the Agent as agent, the Security Agent as security agent, the Lenders as original lenders, the Representative Owner as representative borrower and the Owners as borrowers relating to a loan in U.S. Dollars to be made available to the Owners to assist in funding the purchase of the Vessel;

"**London Process Agent**" means

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)as of the date of this Agreement, MFB Solicitors, currently at Fishmongers'

Chambers, 1 Fishmongers' Hall Wharf, London, EC4R 3AE, England; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)such other company in England and Wales as may be appointed by the Owners from time to time for the purposes of Clause 27(d) after the giving of not less than fifteen (15) calendar days' prior written notice to the Agent;

"**Losses**" means each and every liability, loss, charge, claim, demand, action, proceeding, damage, judgment, order or other sanction, enforcement, penalty, fine, fee, commission, interest, lien, salvage, general average, cost and expense of whatsoever nature suffered or incurred by or imposed on any relevant person, which for the avoidance of doubt, excludes any loss of profit (but does not exclude any interest, default interest or fees payable under this Agreement or any other Operative Document) unless expressly set out in this Agreement or any other Operative Document;

"**Management Agreement**" means any management agreement entered into or to be entered into between the Charterer and the Manager in the form approved by the Representative Owner and the Security Agent (acting on the instructions of all the Lenders) concerning the management of the Vessel and any substitution agreement thereof;

"**Manager**" means Flex LNG Fleet Management AS, a company formed under the laws of Norway with its registered office at Bryggegata 3, 0250 Oslo, Norway, Bernhard Schulte Shipmanagement (Singapore) Pte. Ltd., a company formed under the laws of Singapore with its registered office at 108 Middle Road, #08-00 Bernhard Schulte House, Singapore 188967 or such other reputable and professional manager or managers as may be appointed by the Charterer and agreed by the Security Agent (acting on the instructions of all the Lenders) and the Owner Parent;

"**Manager's Undertaking**" means in relation to the Vessel, the undertaking to be given by the Manager to the Owners on or before the date of Delivery or at the time any Manager appointed as manager of the Vessel after such date;

"**Mandatory Prepayment Event**" means any of the mandatory prepayment events as set forth in clauses 7.3 (*Mandatory prepayment on sale or Total Loss*) and 7.4 (*Mandatory prepayment on termination of Charter or Sub-Charter*) of the Loan Agreement;

"**Manuals and Technical Records**" means all manuals, handbooks, drawings and documentation that are required to be maintained under Applicable Laws or that are actually existing and available, in each case relating to the Vessel;

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"**MARPOL**" means the International Convention for the Prevention of Pollution from Ships 1973 (as modified in 1978 and 1997) and includes any amendments or extensions of it and any regulation issued pursuant to it;

"**Marshall Islands**" means the Republic of the Marshall Islands; "**Master**" means a person who is the master of the Vessel; "**Material Adverse Effect**" means a material adverse effect on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the business, operations, property or condition (financial or otherwise) of the Charterer, the Charterer Guarantor or the Flex Group taken as a whole; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the ability of the Charterer or the Charterer Guarantor, to perform its obligations as and when required under the terms of this Agreement or any other Operative Document as they fall due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the validity, legality or enforceability of any Operative Document or the rights and remedies of the Owners, the Representative Owner, the Registered Owner or any Finance Party under any such Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the validity, legality or enforceability of any Lien expressed to be created under any Security Document or the priority and ranking of any of such Lien;

"**Memorandum of Agreement**" means the memorandum of agreement entered into or to be entered into between the Charterer as seller and the Registered Owner as buyer, in respect of the sale and purchase of the Vessel;

"**Mortgage**" has the meaning given to it in the Loan Agreement;

"**Operative Documents**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)this Agreement, together with the Charterparty Supplement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Memorandum of Agreement, together with the Bill of Sale (as defined therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the Instalment Sale Agreement, together with the Bill of Sale (as defined therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the Management Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)the Funding Indemnity Letters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)the Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)the Initial Sub-charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)the Owner Parent Letter (Charterer);

the Quiet Enjoyment Letter (Charterer);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)the Quiet Enjoyment Letters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)any and all certificates, notices and acknowledgements (including in respect of the Insurances and in respect of the warranties applicable to the Vessel) entered into or to be entered into pursuant to any of the documents referred to in the preceding subclasses of this definition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)any other document, instrument or agreement which is entered into on or before the Charter Commencement Date between any of the parties to the Operative Documents referred to above, in the capacity in which they are a party to the Operative Documents referred to above, to guarantee any obligation thereunder, to indemnify against funding costs or in relation to the payment of fees or in relation to certain tax contest rights or restructuring or remarketing arrangements or in relation to any irrevocable instruction to make payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)any other document, instrument or agreement which is agreed in writing by the Owners, the Charterer and the Security Agent to be an Operative Document,

and "**Operative Document**" means any of them;

"**Original&nbsp;&nbsp;&nbsp;&nbsp;Financial&nbsp;&nbsp;&nbsp;&nbsp;Statements**"&nbsp;&nbsp;&nbsp;&nbsp;shall have&nbsp;&nbsp;&nbsp;&nbsp;the meaning given&nbsp;&nbsp;&nbsp;&nbsp;to&nbsp;&nbsp;&nbsp;&nbsp;it in Clause 10(a)(xvii);

"**Overriding Cause**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the occurrence of any Event of Default or Default; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the gross negligence or fraudulent or wilful misconduct of the Charterer, the Charterer Guarantor, the Manager, the Sub-charterer or any other party to the Operative Documents (other than the Registered Owner, the Owner Parent or the Owners) with respect to any aspect of the transactions contemplated by, or the performance of any of its obligations under, this Agreement or any of the other Operative Documents to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any act or breach of obligation by the Charterer, the Charterer Guarantor, the Manager, the Sub-charterer or any other person in possession (other than the Owners, the Representative Owner, the Registered Owner, any Finance Party, any receiver or any of their respective servants or agents if and to the extent such person has actual physical possession of the Vessel) or control of the Vessel or any other party to the Operative Documents (other than the Registered Owner, the Owner Parent or the Owners);

"**Owner Lien**" means with respect to the Vessel or any Parts or title to any thereof or any interest therein, any Lien or disposition of title arising as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any claims against, or any act or omission of, an Owner, the Representative Owner, the Registered Owner or the Owner Parent which in any such case is not related to or contemplated by any of the Operative Documents or any transactions contemplated thereby;

any Taxes imposed upon an Owner, the Representative Owner, the Registered Owner or the Owner Parent, other than those in respect of

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which the relevant Owner, the Representative Owner, the Registered Owner or the

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Owner Parent, as applicable, is entitled to be indemnified against by the Charterer under this Agreement or under any of the other Operative Documents or which are taken into account in calculating any sums due under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any act or omission of an Owner, the Representative Owner, the Registered Owner or the Owner Parent which constitutes the deliberate act of such Owner, the Representative Owner, the Registered Owner or the Owner Parent, as applicable, with intent to cause damage or in the knowledge that damage would probably result or wilful misconduct of or recklessness with knowledge of the probable consequences by, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any act or omission of an Owner, the Representative Owner, the Registered Owner or the Owner Parent which constitutes a breach by such person of any of the terms of any of the Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)claims against an Owner, the Representative Owner, the Registered Owner or the Owner Parent arising out of any transfer or disposal, or any proposed transfer or disposal by the Owner Parent of any of its directors, as the case may be, indirect interests in an Owner, the Representative Owner or the Registered Owner (other than any such transfer as is permitted or contemplated by any of the Operative Documents or which is made in connection with the enforcement of any Operative Document, including, without limitation, as part of exercise of any remedies thereunder or which is made to avoid any losses and damages from any Event of Default),

provided that (A) it is acknowledged for the purposes of this Agreement that a Lien created or caused by a party to the Operative Documents other than an Owner, the Representative Owner, the Registered Owner or the Owner Parent will not constitute an Owner Lien and (B) none of the events referred to above shall constitute an Owner Lien, if and to the extent the same would not be created or caused or arise but for any Event of Default;

![image_16.jpg](image_16.jpg)

"**Owner Parent Letter (Charterer)**" means an undertaking letter issued, or to be issued, by the Owner Parent in favour of the Charterer in form and substance satisfactory to the Charterer;

"**Owner Parent Letter (Lenders)**" has the meaning given to the term "Parent Comfort Letter" in the Loan Agreement;

"**Parts**" means all appliances, parts, instruments, appurtenances, accessories, components and other equipment of whatever nature (other than any thereof title to which is retained by the Charterer in accordance with Clause 13(c)), which may from time to time be incorporated or installed in or attached to the Vessel or which having been removed therefrom have not been replaced pursuant to the terms of this Agreement;

"**Party**" means a party to this Agreement;

"**Payment Date**" means each of the dates specified in the first column of Schedule 4 and the Final Payment Date;

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"**Permitted Liens**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any Lien arising by operation of law or in the ordinary course of trading of the Vessel which is not more than thirty (30) days overdue or is being contested in good faith by appropriate proceedings (and for the payment of which adequate reserves have been provided) so long as any such proceedings or the continued existence of such lien does not involve any likelihood of the arrest, sale, forfeiture or loss of, or of any interest in, the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Liens for classification or scheduled dry-docking whose aggregate cost does not exceed six million Dollars (US$6,000,000) at any one time in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Liens for necessary repairs to the Vessel whose aggregate cost does not exceed five million Dollars (US$5,000,000) at any one time in respect of the Vessel; and

"**Qualifying Lender**" has the meaning ascribed to it in the Loan Agreement;

"**Quiet Enjoyment Letter (Charterer)**" means the quiet enjoyment letter granted by the Security Agent to the Charterer and any replacement quiet enjoyment letter issued from time to time;

"**Quiet Enjoyment Letters**" means, collectively, the quiet enjoyment letters granted by the Security Agent, the Owners, the Representative Owner and the Registered Owner to the Initial Sub-charterer and any replacement quiet enjoyment letters issued from time to time;

"**Redelivery Conditions**" means the redelivery conditions set forth in Clause 17 (*Redelivery*);

"**Registered Owner**" means JLPS SHIP INVESTMENT MARSHALL 9 Co., a corporation incorporated under the laws of the Marshall Islands and having its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960;

"**Release**" means an emission, spill, release or discharge into or upon the air, surface water, groundwater, or soils of any Hazardous Materials for which any Owner, the Representative Owner, the Charterer or the Manager has any liability under Environmental Law, except in accordance with a valid Environmental Approval;

![image_17.jpg](image_17.jpg)

"**Relevant Authority**" means any Government Entity of the Marshall Islands and Singapore, its state of incorporation, the Flag State or any other jurisdiction or country having jurisdiction over the Charterer, the Charterer Guarantor, the Manager, the Sub-charterer or the Vessel;

"**Relevant Event**" means any of:

an Event of Default;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)an event which resulted in any Owner terminating this Agreement under the terms of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any of the events or circumstances set out in clause 21.1 of the Loan Agreement.

"**Relevant Party**" means the Owners, the Representative Owner, the Registered Owner or the Owner Parent;

"**Relevant Party Event**" means any of the following events or circumstances:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any Insolvency Event (as defined in the Loan Agreement) occurs in respect of any Relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any breach by any Relevant Party of any of its obligations under Clause 11(e)(ii) or any arrest or detention of the Vessel, each caused by the action of any Relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the Ownership of the Vessel is transferred by the Owners or the Registered Owner in contravention of the terms of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the Owner Parent failing to observe and perform any of its material obligations set out in the Owner Parent Letter (Lenders) or the Owner Parent Letter (Charterer) and in respect of such failure which is capable of remedy, the Owner Parent fails to remedy the same within thirty (30) days after written notice thereof is given by the Security Agent or the Charterer (as the case may be) requiring that the failure be remedied and such failure results in a material adverse effect on the rights or interests of the Finance Parties or the Charterer under the Owner Parent Letter (Lenders) or the Owner Parent Letter (Charterer), as the case may be, or any other Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)a default by any Relevant Party in the due performance or observance of any of its covenants, undertakings or obligations under this Agreement (other than those referred to in paragraphs (i) to (iii) above) and, if such default is capable of remedy, such Relevant Party fails to remedy such default to the reasonable satisfaction of the Charterer within thirty (30) days of written notice from the Charterer to such Relevant Party requiring the same to be remedied, and in each case the Charterer reasonably considers that such default and/or failure has or is likely to have a material adverse effect on the rights or interests of the Charterer under any Operative Document;

any representation or warranty made or deemed to be made by or on behalf of any Relevant Party in any Operative Document to which they are respectively party or in any document or certificate furnished by such Relevant Party under any Operative Document to which it is a party shall prove to have been false or incorrect on the date as of which made or deemed to be made in any material respect (other than as a result of a Change in Law) and, if by remedying any situation or circumstance such representation or warranty would cease to be false or incorrect and such situation or circumstance is capable of remedy, such Relevant Party fails to remedy the same within (and such representation or warranty remains false or incorrect as at the date) thirty (30) days after written notice thereof is

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given by the Charterer to such Relevant Party and the Charterer reasonably

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considers that such situation or circumstance and/or false or incorrect representation or warranty has or is likely to have a material adverse effect on the ability of such Relevant Party to perform their/its (as the case may be) obligations under the Operative Documents to which they are respectively a party,

**provided that** none of the events or circumstances referred to in paragraphs (i) through (vi) of this definition of "Relevant Party Event" shall constitute a Relevant Party Event if the same arises as a result of, or as a consequence of, an Overriding Cause or a Finance Party Excepted Reason, and **provided further that** a non-defaulting Relevant Party shall be entitled to cure the applicable Relevant Party Event by assuming the rights and obligations of the defaulting Relevant Party or taking over the defaulting Relevant Party;

"**Relevant Rate of Interest**" means in respect of any payment due under this Agreement which is not paid on its due date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)if the payment is not in respect of Excluded Property, the rate applicable to the corresponding payment under the Loan Agreement or other applicable Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if the payment is in respect of Excluded Property, ten per cent (10%) per annum;

"**Remarketing Agent**" means any remarketing agent appointed in respect of the Vessel by the Representative Owner and notified to the Charterer in writing from time to time;

"**Repeating Representation**" means each of the representations set out in Clause 10(a) (*Representations and Warranties*), except those set out in Clause 10(a)(xi), Clause 10(a)(xii), Clause 10(a)(xv), Clause 10(a)(xxxii)(A) and Clause 10(a)(xlvii);

"**Requisition Compensation**" means any and all moneys or other compensation (other than the proceeds of Insurance) from time to time payable during the Charter Period by reason of requisition for title to, or other compulsory acquisition of, the Vessel, otherwise than by requisition of hire;

"**Restricted Party**" means a person or persons, legal or physical:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)that is listed on any Sanctions List;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)that is domiciled, resident, located or having its main place of business in, or is registered as located in or incorporated under the laws of, a country or a territory that is or whose government is subject to Sanctions which attach legal effect to being domiciled, located, having its main place of business in, registered as located in or incorporated under the laws such country or territory;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)with which any Relevant Party or Finance Party is prohibited from dealing with or otherwise engaging in a transaction with due to Sanctions; or

that is directly or indirectly owned by more than 50% or controlled by a person(s) referred to in (i), (ii) or (iii) above;

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"**Sanctions**" means any economic or trade sanctions or restrictive measures enacted, administered, imposed or enforced by any Sanctions Authority;

"**Sanctions Authority**" means the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC), the U.S. Department of State, the United Nations Security Council, Japan, the European Union, and/or His Majesty's Treasury;

"**Sanctions List**" means any list of persons or entities subject to Sanctions published in connection with Sanctions by or on behalf of any Sanctions Authority from time to time;

"**Second Early Buy-out Date**" is as set forth in Schedule 8;

"**Second Early Buy-out Price**" means collectively, Second Early Buy-out Price A and Second Early Buy-out Price B;

"**Second Early Buy-out Price A**" is as set forth in Schedule 8;

"**Second Early Buy-out Price B**" is as set forth in Schedule 8;

![image_18.jpg](image_18.jpg)

"**Security Assets**" means all of the assets which from time to time are, or are

expressed to be, the subject of the Transaction Security;

"**Security Assignment**" has the meaning given to "General Assignment" in the Loan Agreement;

"**Security Documents**" has the meaning given to it in the Loan Agreement;

"**Settlement Date**" shall have the meaning given to it in Clause 16(b);

"**Special Termination Value**" means, with respect to any date, the sum of the Special Termination Value A and the Special Termination Value B with reference to such date;

"**Special Termination Value A**" means, with respect to any date, the amount in Dollars computed and payable as provided in the second column of Schedule 5 with reference to such date;

"**Special Termination Value B**" means, with respect to any date, the amount in Dollars computed and payable as provided in the third column of Schedule 5 with reference to such date;

"**Sponsors**" **means**:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Geveran Trading Co. Ltd, a company incorporated in Cyprus with registered address at Iris House, Floor 7, John Kennedy, Limassol, 3106 Cyprus; and

any companies and trusts controlled by C.K. Limited, a company incorporated in Jersey with registered address at 28 Esplanade, St Helier, Jersey, JE2 3QA.

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"**Stipulated Loss Value**" means, with respect to any date, the sum of the Stipulated Loss Value A and the Stipulated Loss Value B with reference to such date;

"**Stipulated Loss Value A**" means, with respect to any date, the amount in Dollars computed and payable as provided in the second column of Schedule 6 with reference to such date;

"**Stipulated Loss Value B**" means, with respect to any date, the amount in Dollars computed and payable as provided in the third column of Schedule 6 with reference to such date;

"**Sub-charter**" means the Initial Sub-charter and any other sub-charter of the Vessel entered into or to be entered into from time to time with any Sub-charterer in accordance with the Core Leasing Provisions or otherwise acceptable to the Representative Owner and the Agent (acting on the instructions of all Lenders);

"**Sub-charter Breach**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the failure by any Sub-charterer to make payment of hire under the relevant Sub-charter; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any other breach by any Sub-charterer under the relevant Sub-charter;

"**Sub-charterer**" means the Initial Sub-charterer and any other company complying with the Core Leasing Provisions or otherwise acceptable to the Representative Owner and the Agent (acting on the instructions of all Lenders) with whom the Charterer enters into a sub-charter in accordance with Clause 12 (*Registration, Possession and Sub-Chartering*);

"**Subsidiary**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in respect of a person incorporated or formed outside England and Wales, any company or entity directly or indirectly controlled by such person; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in respect of a person incorporated in England and Wales, a subsidiary within the meaning of section 1162 of the Companies Act 2006

(and in interpreting that provision for the purposes of this Agreement, a company is to be treated as a member of a subsidiary even if its shares are registered in the name of (i) a nominee or (ii) any party holding a Lien over those shares, or that secured party's nominee);

"**Supplemental Hire Amount**" means an amount equal to two million Dollars and zero cents (US$2,000,000.00);

"**Tax**" shall have the meaning given to it in Clause 9(a) and "**Taxes**" and

"**Taxation**" shall be construed accordingly;

"**Tax Indemnitee**" shall have the meaning given to it in Clause 9(a);

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"**Tax Residence**" means, in relation to any person, the jurisdiction in which that person is principally resident for the purposes of paying Tax in relation to its capital or income, but, in relation to each Owner, does not include any jurisdiction in which that Owner is resident for the purposes of paying Tax in relation to its capital or income only because:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)that Owner has entered into the transactions contemplated by this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Charterer has been grossly negligent or has wilfully defaulted in its obligations under this Agreement;

"**Termination Date**" means the date on which the leasing of the Vessel is to terminate or, as the context may require, terminates in accordance with this Agreement;

"**this Agreement**", "**herein**", "**hereunder**", "**hereof**" or other like words refer to this Agreement (including the Schedules hereto) in its entirety and as it may from time to time be supplemented or amended pursuant to the applicable provisions hereof;

"**Tokumei Kumiai Agreement**" means each agreement (as referred to in clauses 535 to 542 of the Commercial Code of Japan) entered into or to be entered into between an Owner, in its capacity as proprietor and manager of the investment made by a Kumiai-in, and a Kumiai-in (including, without limitation, all letter or other agreements entered into between such Owner and a Kumiai-in in relation to each such agreement and the transactions contemplated by the Operative Documents) in connection with the purchase, ownership and chartering of the Vessel by the Owners pursuant to this Agreement and the other Operative Documents;

"**Total Loss**" means in relation to the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)an actual, constructive, compromised, agreed or arranged total loss of the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Compulsory Acquisition with respect to the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, forfeiture of the Vessel, requisition for hire of the Vessel by any government or by persons acting or purporting to act on behalf of any government or any other person (not falling within paragraph (ii) above) or any disappearance of the Vessel, unless the Vessel is released and returned to the Owners' and Charterer's full control within the shorter of (a) the period ending one hundred and eighty (180) days after the capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, disappearance, forfeiture or requisition for hire in question or (b) the remaining Charter Period;

"**Total Loss Proceeds**" means the proceeds of any insurance or any compensation (including, without limitation, Requisition Compensation) or similar payment, arising in respect of a Total Loss;

"**Transaction Security** means the Liens created or evidenced or expressed to be created or evidenced under the Security Documents;

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"**U.S. GAAP**" means generally accepted accounting principles adopted and accepted in the United States of America (i) on the date of this Agreement when used in the context of calculating the financial covenants set out in the Guarantee and (ii) otherwise, from time to time;

"**Vessel**" means the MEGI class LNG carrier as described in more detail in Schedule 1 and, where the context permits, any reference to the Vessel shall include Parts and the Manuals and Technical Records;

"**Vessel Cost**" means one hundred seventy-five million Dollars and zero cents (US$175,000,000.00) which represents the aggregate of the amounts payable by the Registered Owner as buyer to the Charterer as seller under the Memorandum of Agreement as the purchase price for the Vessel; and

"**Warranty Rights**" means the warranty of quality and other warranties and guarantees given in respect of the Vessel and its parts and equipment by the Builder, its subcontractors and suppliers in favour of the Charterer or the Charterer Guarantor upon delivery of the Vessel under or in connection with the building contract in respect of the Vessel entered into with the Builder.

Clause headings and the table of contents are inserted for convenience of reference only, have no legal effect and shall be ignored in the interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In this Agreement, unless the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)references to Clauses and Schedules are to be construed as references to the clauses of, and schedules to, this Agreement and references to this Agreement include its Schedules;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)references to (or to any specified provision of) this Agreement, any other Operative Document or any other document shall be construed as references to (or to any specified provision of) this Agreement, that other Operative Document or that other document as in force for the time being and as from time to time amended, varied, modified, supplemented, restated, novated, substituted or replaced in accordance with the terms of the Operative Documents, or, as the case may be, with the agreement of the relevant parties and (where such consent is, by the terms of this Agreement, that other Operative Document or that document, required to be obtained as a condition to such amendment being permitted) the prior written consent of any Finance Party or any combination of them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)references to a "regulation" include any present or future regulation, rule, direction, directive, requirement, request or guideline (whether or not having the force of law) of any Government Entity or supra-national authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)words importing the plural shall include the singular and vice versa and words importing a gender shall include every gender;

references to a person shall be construed as including references to an individual, firm, company, corporation, unincorporated association or body of persons or any Government Entity;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)references to any act, statute, ordinance or enactment shall be deemed to include references to such act, statute, ordinance or enactment as re-enacted, amended, extended, consolidated or replaced and any orders, decrees, proclamations, regulations, instruments or other subordinate legislation made and in force from time to time thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a "consent" also includes an approval, authorisation, exemption, filing, license, order, permission, recording or registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)reference to any person shall be construed so as to include its successors, permitted transferees and permitted assigns;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)include or including shall be construed without limitation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)a Default (other than an Event of Default) is "continuing" if it has not been remedied or waived and an Event of Default is "continuing" if it has not been waived in writing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)reference to a party is to a party to this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)"Control" means in respect of any person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the power (whether by way of ownership of shares, proxy, contract, agency or otherwise) to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.cast, or control the casting of, more than 50 per cent. of the maximum number of votes that might be cast at a general meeting of that person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.appoint or remove all, or the majority, of the directors or other equivalent officers of that person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III.give directions with respect to the operating and financial policies of that person with which the directors or other equivalent officers of that person are obliged to comply; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the holding beneficially of more than fifty (50) per cent. of the issued share capital of that person (excluding any part of that issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital).

&nbsp;&nbsp;&nbsp;&nbsp;**2.AGREEMENT TO CHARTER**

The Owners shall charter and the Charterer shall take on charter the Vessel, upon and subject to the terms and conditions of this Agreement, for the Charter Period. There shall be no renewal or extension of the Charter Period beyond the Final Payment Date.

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&nbsp;&nbsp;&nbsp;&nbsp;**3.CONDITIONS PRECEDENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The respective obligations of the Owners to charter the Vessel and of the Charterer to take the Vessel on charter, under this Agreement, are subject to the respective conditions that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)prior to Delivery, the Representative Owner shall have received the documents specified in paragraphs 1(a) and 1(b) of Part 1 of Schedule 2 and the Charterer shall have received the documents specified in Part 2 of Schedule 2; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)on the Charter Commencement Date, the Representative Owner shall have received or shall be satisfied that it shall promptly thereafter receive the documents specified in paragraph 2 of Part 1 of Schedule 2,

in each case in form and substance satisfactory to the Owners, the Charterer, the Agent and/or the Security Agent as appropriate (each acting reasonably).

The Charterer and the Owners shall each use all reasonable endeavours to obtain and procure the issuance and execution of the documents, opinions and certificates which are to be obtained by the Owners and the Charterer respectively referred to in paragraphs 1(a), 1(b) and 2 of Part 1 of Schedule

2 and paragraph 1 of Part 2 of Schedule 2 prior to or on the Charter Commencement Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall, within the time limit set out in Part 3 of Schedule 2, provide the evidence and documents set out in Part 3 of Schedule 2 in form and substance satisfactory to the Owners, the Agent and the Security Agent as appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The obligation of the Owners to charter the Vessel under this Agreement is subject to the further conditions that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the representations and warranties in Clause 10(a) hereof and clause 3.1 of the Memorandum of Agreement, those of the Charterer in the Charterer Account Charge and Onward Assignment, those of the Manager in the Management Agreement and those of the Charterer Guarantor in the Guarantee shall be true and correct as if each was made with respect to the facts and circumstances existing immediately prior to the time when Delivery is to take place;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)no Default shall have occurred and be continuing or would arise by reason of the Delivery taking place;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)no Material Adverse Effect shall have occurred in the period from and including the date hereof to and including the proposed date of Delivery;

the Representative Owner shall have notified the Charterer that all the Lenders shall have advanced the full amount of the Loan pursuant to the Loan Agreement to the Representative Owner as requested by the Owners;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)no change shall have occurred after the date hereof and on or before Delivery in the Applicable Laws of Japan or guidelines issued by, or approved by, the Tax authorities in Japan or the Japan Leasing Association or in the interpretation of any such law or guidelines (or in the attitudes or perceived attitudes of the Tax authorities in Japan or the Japan Leasing Association) which would, (1) disallow or reduce the tax benefits and other economic benefits (which economic benefits to be properly identified) anticipated as being available to the Owners, the Charterer or any Kumiai-in or any prospective Kumiai-in by reason of the entering into of the transactions contemplated by the Operative Documents (including tax benefits which would be available to Kumiai-in who would become a party to a Tokumei Kumiai Agreement by way of assignment or transfer of the Tokumei Kumiai Agreement from another Kumiai-in after the Charter Commencement Date); (2) result in the imposition of withholding or other similar Taxes on any payments to be made by the Charterer hereunder, any payments to be made by any Owner under the Loan Agreement or any other payments contemplated by this Agreement and any other Operative Document, provided in either case that any such change shall be conclusively certified in writing or orally to the Representative Owner and the Charterer by an independent tax adviser in Tokyo reasonably acceptable to both the Owners and the Charterer (after having consulted with such taxing or other governmental authorities as such tax adviser considers appropriate); or (3) have the effect of imposing a time limit on the Owner Parent, as equity arranger, to market or complete the marketing of the transaction contemplated by the Operative Documents, and, in each of the aforementioned cases (1) to (3), thereby adversely affect or otherwise restrict the ability of, the Owner Parent, as equity arranger, to market or complete the marketing of the transaction contemplated by the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)all consents, if any, of any relevant Government Entity necessary for the effective performance or consummation of the transactions contemplated by the Operative Documents shall have been obtained and be in full effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)Delivery shall have occurred on or prior to the Cut-off Date (unless otherwise agreed by the Representative Owner); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)all of the documents received by the Representative Owner as contemplated in Clause 3(a) are in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The obligation of the Charterer to take the Vessel on charter under this Agreement is subject to the further conditions that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the representations and warranties of the Owners in Clause 10(c) hereof and those of the Owner Parent under the Owner Parent Letter (Charterer) shall be true and correct as if each was made with respect to the facts and circumstances existing immediately prior to the time when Delivery is to take place;

no Relevant Party Event shall have occurred and be continuing or would arise by reason of the Delivery taking place; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Delivery shall have occurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)The conditions specified in Part 1 of Schedule 2 and Clause 3(c) may be waived in whole or in part and with or without conditions by the Representative Owner, the Agent (acting on the instructions of all the Lenders) and the Security Agent, acting jointly, on or before Delivery and the conditions precedent in Part 2 of Schedule 2 and Clause 3(d) may be waived in whole or in part and with or without conditions by the Charterer on or before Delivery, in either case without prejudicing their respective rights to require fulfilment of such conditions (if such conditions are capable of later fulfilment) in whole or part at any time thereafter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)(i) Notwithstanding any other provision of this Agreement or any Operative Documents to the contrary, none of any Owner, the Representative Owner, the Registered Owner or the Charterer is obliged to do or omit to do anything if it would, or might in its reasonable opinion, constitute a breach of any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Notwithstanding any other provision of this Agreement or any Operative Document to the contrary but subject to any statutory obligations and confidentiality undertakings by which any Owner, the Representative Owner, the Registered Owner or the Charterer may be bound, each of them agrees to provide any information and documents that are within its possession, custody or control reasonably required by any other Party in order for that other Party to comply with any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)If any Owner, the Representative Owner, the Registered Owner or the Charterer forms the view that, in its reasonable opinion, it is required to disclose information obtained in connection with this Agreement or any Operative Document to any person in order to comply with any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it, each of them agrees that, to the extent permitted by law, such disclosure will not breach any duty of confidentiality owed by any of them to any of the others.

&nbsp;&nbsp;&nbsp;&nbsp;**4.DELIVERY, ACCEPTANCE AND TITLE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)**Title to the Vessel**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Title to the Vessel shall with effect from Delivery remain vested in the Registered Owner pursuant to the terms of the Instalment Sale Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall have no right, title or interest in or to the Vessel or Part thereof except the right to use the same upon the terms and conditions contained in this Agreement.

It is hereby expressly declared that the Charterer shall not have any option or right to acquire title to or any proprietary interest in the

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Vessel or any Part thereof except pursuant to Clause 21(a). The Charterer shall not sell the Vessel or purport to sell the Vessel or grant any purchase option over the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Subject to Clause 3 (*Conditions Precedent*), simultaneously with the transfer of title to the Vessel by the Charterer to the Registered Owner under the Memorandum of Agreement, the Vessel shall be deemed, without any further act by the Charterer, the Registered Owner or any Owner, to have been delivered to the Charterer by the Representative Owner and accepted by the Charterer for the purposes of this Agreement and the Charter Period shall commence. To evidence such delivery, the Charterer shall thereupon execute and deliver the Charterparty Supplement to the Representative Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Each of the Owners and the Charterer acknowledges that the condition, quality, suitability and fitness for purpose of the Vessel or Part at Delivery shall be the sole responsibility of the Charterer, and (subject to Clauses 3(a) and 3(b)) once Delivery shall have occurred pursuant to Clause 4(b), no Owner shall be entitled for any reason whatsoever to refuse to deliver, and the Charterer shall not be entitled for any reason whatsoever to refuse to accept delivery of, the Vessel or to refuse to execute and deliver the Charterparty Supplement for the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)None of the Registered Owner, the Representative Owner nor the Owners shall be responsible for any loss or damage of any kind whatsoever, or any loss of profits arising from any delay in the delivery of, or failure to deliver, the Vessel to the Charterer under this Agreement or any delay in taking or failure to take delivery of the Vessel from the Charterer under the Memorandum of Agreement or from the Registered Owner under the Instalment Sale Agreement unless such delay or failure is caused by a breach by the Registered Owner, the Representative Owner or the Owners of any of its obligations under the Operative Documents to which it is a party which is not attributable to any Event of Default or breach by the Charterer under any Operative Documents. The Charterer acknowledges that the Registered Owner has acquired or will acquire the Vessel under the Memorandum of Agreement and the Registered Owner and the Owners have entered into the Instalment Sale Agreement, in each case solely for the purposes of this Agreement.

If, for any reason other than a breach by the Charterer of any of its obligations under the Operative Documents to which it is a party, the Vessel shall not have been delivered to and accepted by the Charterer in accordance with Clause 4(b) on or before 11:59 p.m. (Tokyo time) on the Cut-off Date or such later time as the Representative Owner, the Charterer and the Agent (acting on the instructions of all the Lenders) may agree in writing, then the Charterer may, without prejudice to any other rights or remedies which the Charterer may have at law, in equity or otherwise, cancel the obligation contained in this Agreement to charter the Vessel from the Owners by giving notice to the Representative Owner to that effect whereupon, but without prejudice to any other accrued liabilities or obligations of the Charterer, the Charterer's obligation to pay Charter Hire and to charter the Vessel under this Agreement shall immediately terminate; provided, for the avoidance of doubt, that the provisions of the Funding Indemnity Letters shall apply.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)If, for any reason other than a breach by the Owners or the Representative Owner of any of its obligations under the Operative Documents to which it is a party which is not attributable to any Default and occurs in circumstances where the conditions precedent to the obligations of the Owners under Clause 3(b) have been satisfied, the Vessel shall not have been delivered to and accepted by the Charterer in accordance with Clause 4(b) on or before 11:59 p.m. (Tokyo time) on the Cut-off Date or such later time as the Representative Owner, the Charterer and the Agent (acting on the instructions of all the Lenders) may agree in writing, then the Representative Owner (on behalf of the Owners) may, without prejudice to any other rights or remedies which the Owners may have at law, in equity or otherwise, cancel the obligation contained in this Agreement to charter the Vessel to the Charterer by giving notice to the Charterer to that effect, whereupon the Owners' obligation to charter out the Vessel and the Charterer's obligation to pay Charter Hire and to charter the Vessel under this Agreement shall immediately terminate; provided, for the avoidance of doubt, that the provisions of the Funding Indemnity Letters shall apply.

&nbsp;&nbsp;&nbsp;&nbsp;**5.EXTENT OF OWNERS' LIABILITY**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer expressly agrees and acknowledges that the Vessel is chartered to the Charterer hereunder on an "as is, where is with all faults" condition and that no condition, warranty or representation of any kind, express or implied, is or has or shall be deemed to have been given by or on behalf of any of the Registered Owner, the Owners or any Finance Party in respect of the Vessel or Part, and accordingly the Charterer confirms that it has not, in entering into this Agreement, relied on any condition, warranty or representation by any of the Registered Owner, the Owners or any Finance Party, express or implied, whether arising by law or otherwise in relation to the Vessel or Part, including, without limitation, warranties or representations as to the description, merchantability, fitness or suitability for any particular use or purpose, value, seaworthiness, condition, design, manufacture or operation of any kind or nature of the Vessel or Part, or as to the absence of any latent or other defects whether or not discoverable, or as to the absence of any infringement of any patent, trademark or copyright, or as to the absence of any obligations based on strict liability in tort, and the benefit of any such condition, warranty or representation by any of the Registered Owner, the Owners or any Finance Party is hereby irrevocably and unconditionally waived by the Charterer. No third party making any representation or warranty relating to the Vessel or Part is the agent of the Registered Owner, the Owners or any Finance Party nor has any such third party authority to bind any of the Registered Owner, the Owners or any Finance Party thereby.

The acceptance by the Charterer of delivery of the Vessel pursuant to Clause 4 (*Delivery, Acceptance and Title*) shall constitute conclusive proof as between the Registered Owner, the Owners, the Finance Parties and the Charterer that the Vessel is in compliance with any requirements of this Agreement, is seaworthy in accordance with the specifications and is in good working order and repair and without defect or inherent or latent defect in title, seaworthiness, condition, design, operation or fitness for use, whether or not discoverable by the Charterer. This Clause is without prejudice to any obligation of the Charterer under this Agreement with respect to the operation and maintenance of the Vessel.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)None of the Registered Owner, any Owner or any Finance Party shall be liable for any loss or damage of any kind whatsoever, or any loss of profit, resulting directly or indirectly from any physical defect or alleged physical defect in the Vessel, and the Charterer shall not be entitled to make or assert any claim against any of the Registered Owner, any Owner or any Finance Party with respect to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;**6.CHARTER HIRE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer shall during the Charter Period pay Charter Hire to the Owners in arrears, in the amounts calculated in accordance with, and on the respective Payment Dates specified in, Schedule 4.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Following a Total Loss with respect to the Vessel, so long as the Charterer shall have performed its obligations and paid all amounts payable under Clause 16(b) in full, the Charterer's obligation to pay Charter Hire with respect to the Vessel shall cease.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Schedules 4, 5, 6 and Schedule 8 have been prepared or provided on the assumptions that (i) the Charter Commencement Date will be on 30 May 2025, (ii) the Loan up to one hundred twenty-five million U.S. dollars (US$125,000,000) will be utilised and (iii) the interest rate of the Loan shall be the loan margin of 1.50% p.a, plus applicable term SOFR (Secured Overnight Financing Rate). As soon as practicable on or prior to the Charter Commencement Date substitute schedules that reflect the actual Charter Commencement Date, the actual Vessel Cost and the amount of the Loan which has been utilised, the corresponding changes of each Payment Date and each principal repayment amount shall be prepared by the Representative Owner and approved by the Charterer and the Agent (acting on the instructions of all Lenders), which shall be attached to the Charterparty Supplement as annexes thereto, and such schedules shall replace Schedules 4, 5, 6 and Schedule 8 as of the date hereof attached hereto and thereafter shall become Schedules 4, 5, 6 and Schedule 8 for the purpose of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;**7.PAYMENTS, INTEREST AND CALCULATIONS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All payments to be made by the Charterer under this Agreement or any other Operative Document shall be made without any counterclaim, deduction, defence or set-off for any reason whatsoever and in funds which are for same day settlement and, save as provided herein, without prior demand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)All amounts payable by the Charterer to the Owners hereunder shall be paid as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)All amounts payable by the Charterer to the Owners hereunder in Dollars and which are not Excluded Property shall be paid in Dollars to the Dollar Account A in immediately available funds on the day on which payment is due.

In the case of any amounts payable by the Charterer hereunder or under any other Operative Document which are not Excluded Property and are payable in a currency other than Dollars, payment shall be made in the currency in which such payment is due for

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value on the day on which such amount is due to such account or accounts and in such currency as the Security Agent shall specify by written notice given to the Owners and the Charterer prior to the due date for such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Notwithstanding the foregoing, all amounts payable by the Charterer to the Owners hereunder in Dollars and which are Excluded Property shall be paid in Dollars to the Dollar Account B in immediately available funds on the day on which payment is due.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Notwithstanding the foregoing, all amounts payable by the Charterer to the Owners hereunder which are Excluded Property and are payable in a currency other than Dollars, payment shall be made in the currency in which such payment is due for value on the day on which such amount is due to such account or accounts and in such currency as the Representative Owner shall specify by written notice given to the Charterer prior to the due date for such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)All amounts payable by the Owners to the Charterer under this Agreement shall be paid in the currency in which such payment is on the day on which payment is due, without prior demand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall pay to the Owners on demand of the Representative Owner, the Agent, the Security Agent or any other Finance Party an amount equal to any and all amounts and in the currency in which any such amount is payable or expressed to be payable and in accordance with the provisions of the Loan Agreement and the other Operative Documents (excluding any Excepted Amount (as defined below)) which may from time to time become payable or be expressed to be payable by any Relevant Party to any Finance Party or in respect of which any Finance Party or any other Indemnified Person or Protected Party (as such terms are defined in the Loan Agreement) is expressed to be indemnified by the Registered Owner and/or the Owners under or pursuant to the Loan Agreement and the other Operative Documents (whether or not the Registered Owner and/or the Owners have already paid any such amount and whether or not the obligation of the Registered Owner and/or the Owners to pay any such amount is limited by the provisions of clause 17 (*Limited Recourse)* of the Loan Agreement or any similar provision of any other Operative Document. For the purposes of this Clause 7(d), "**Excepted Amount**" means (i) any amount of principal or interest (other than default interest) and save to the extent such interest rate is increased pursuant to clause 10 (*Changes to the Calculation of Interest*)) payable under the Loan Agreement and (ii) the Vessel Cost.

If any payment which the Charterer is obliged to pay to the Registered Owner and/or the Owners under Clause 7(d) proves to be insufficient, as a result of Taxation thereon, for the Registered Owner and/or the Owners to discharge any corresponding liability to any Finance Party or Indemnitee, the Charterer shall on demand of the Representative Owner pay to the Registered Owner and/or the Owners such additional sum in the currency of such liability as is equal to (but not greater than) the amount which (after taking into account any taxation thereon) is required to make up the deficit.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)When any payment under this Agreement would otherwise be due on a day that is not a Business Day, the due date for that payment shall be the preceding Business Day and during any extension of the due date for payment of any such amount under this Agreement interest is payable on such amount at the rate payable on the original due date and any other amounts shall be modified according to the extension of the due date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)If the Charterer fails to pay any sum (including, but not limited to, any sum payable pursuant to this Clause 7 (*Payments, Interest and Calculation*)) on its due date for payment under this Agreement, the Charterer shall pay to the Owners on demand interest on such sum from the due date up to the date of actual payment (as well after as before any relevant judgment) at the Relevant Rate of Interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Except as otherwise expressly provided herein or, in relation to any amount payable to any Finance Party, under the Loan Agreement in respect of the corresponding amount payable thereunder, all interest payable under this Agreement shall accrue from day to day (the first day of the relevant interest period included and the last day excluded) and shall be calculated, in respect of any payments due hereunder in any currency, on the basis of the actual number of days elapsed and a 360-day year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)Whenever the Owners, the Representative Owner, the Registered Owner, the Agent or Security Agent demands payment of any amount under this Agreement (other than Charter Hire, any Applicable Sum falling due on a Payment Date or the Early Buy-out Price) it shall furnish with such demand a certificate specifying the amount payable and, to the extent reasonably practicable and without the need for any person to divulge any confidential information, in reasonable detail the basis of the computation of the relevant amount and such certificate shall, in the absence of manifest error, be conclusive evidence of such amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding any other provision herein or in any other Operative Document to the contrary, the Charterer be entitled to remit funds with bank payment orders specifying shared bank charges but any bank charges with respect to each remittance to the Dollar Account shall be for the Charterer's account and the Charterer shall ensure that the amount remitted is sufficient such that the full amount (net of any bank charges) is received or, where such bank charges are not known at the time of payment, the Charterer shall promptly remit such further amount as is required to cover any shortfall.

Notwithstanding any other provisions herein, including any Schedule hereto, the Charterer agrees that (i) the amount of Charter Hire A payable on any Payment Date shall be in an amount sufficient to pay the scheduled amount of interest on and principal of the Loan due and payable on such date, (ii) the amount of the Stipulated Loss Value A or the Special Termination Value A payable on any date shall be in an amount sufficient to pay the entire principal amount of, accrued interest on and the Break Costs and Hedge Breakage Costs and Hedge Breakage Loss payable in respect of, the Loan (or any relevant Hedging Agreement) due and payable on such date, (iii) the amount of the Stipulated Loss Value A payable in accordance with Clause 16(b) hereof on any date shall be in an amount sufficient to pay the principal amount of, accrued interest on and the Break

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Costs and Hedge Breakage Costs and Hedge Breakage Loss payable in

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respect of the Loan required to be paid pursuant to the Loan Agreement (or any relevant Hedging Agreement) and (iv) the amount of the Early Buy-out Price A payable on the Early Buy-out Date shall be in an amount sufficient to pay the entire principal amount of, accrued interest on and the Break Costs and Hedge Breakage Costs payable in respect of, the Loan due and payable on such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)Notwithstanding any other provision herein or in any other Operative Document to the contrary, the charter under this Agreement is a triple net charter; accordingly, whether or not it shall so state herein, the Charterer shall be responsible for all costs associated with the operation, maintenance, insurance, use and storage of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)The Charterer's obligations to pay Charter Hire and make any other payments in accordance with this Agreement and the other Operative Documents to which the Charterer is a party are a condition to this Agreement and shall be absolute and unconditional irrespective of any circumstance or contingency whatsoever including (but not limited to):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the unavailability of the Vessel or Part for any reason, including, but not limited to, any lack or invalidity of title or lack of crew, injury of any crew, or any other defect in the merchantability, fitness for any purpose, condition, design or operation of any kind or nature of the Vessel or Part; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the ineligibility, lack of fitness or other defect whatsoever of the Vessel or Part for any particular use or trade, or for want of registration or documentation under any Applicable Laws; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)subject to Clause 6(b), the occurrence of a Total Loss or any other occurrence including the loss, destruction, confiscation, seizure, requisition of or damage to the Vessel or Part, or the interruption or cessation in or prohibition of the use of possession or enjoyment of the Vessel or Part by the Charterer for any reason whatsoever; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any failure or delay on the part of any party hereto or to any Operative Document, whether with or without fault on its part, in performing or complying with any of the terms or covenants under this Agreement or any other Operative Document or any rights, claims or defences whatsoever that the Charterer might have against the Owners, the Representative Owner, the Registered Owner, the Owner Parent, the Finance Parties and/or any third party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the occurrence of any Default, Relevant Party Event or any default by the Owners, the Representative Owner, the Registered Owner, the Owner Parent, the Finance Parties and/or any third party or any insolvency, bankruptcy, extinction, liquidation, winding-up, reorganisation, reconstruction, arrangement, readjustment or rescheduling of debt, dissolution or similar proceedings by or against any Owner, the Registered Owner, the Charterer Guarantor, the Owner Parent, any Finance Party or any Sub-charterer; or

any invalidity or unenforceability of this Agreement or any other Operative Document; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any other cause which but for this provision would or might have the effect of terminating or in any way affecting any obligation of the Charterer or the Charterer Guarantor hereunder or under any other Operative Document to which the Charterer is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)any right of set off, counterclaim, recoupment, defence or similar right (unless and to the extent the exercise of such right is required by law or agreed by the Representative Owner and the Agent).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)It shall be a condition of this Agreement that the Charterer performs its obligations to make payments under this Agreement and the other Operative Documents in the time and manner stipulated in this Agreement or in the respective other Operative Document, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;**8.COSTS AND INDEMNITIES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Subject to the exclusions stated in Clause 8(b), the Charterer agrees to indemnify and hold harmless on an after-tax basis, each Owner, the Registered Owner, the Owner Parent, the Remarketing Agent, any inspection agent, any Receiver and each Finance Party and their respective Affiliates, directors, officers, employees, advisers, representatives and agents and each Kumiai-in (each such person being referred to in this Clause 8 (*Costs and Indemnities*) as an "**Indemnitee**") against any and all Losses (whether or not on the basis of negligence (imputed or otherwise), strict or absolute liability or liability in tort) which are suffered by (based on proper documentation) such Indemnitee resulting from or arising out of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the purchase, acceptance, non-acceptance, chartering, sub-chartering, leasing, financing, ownership, title or rejection of the Vessel or Part hereunder or under any other Operative Document (other than payment of the Vessel Cost pursuant to the Memorandum of Agreement or the Instalment Sale Agreement and interest (non-default) and the principal of the Loan); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the manufacture, design, structure, delivery, non-delivery, ownership, registration, flag, deregistration, certification, insurance, sub-lease, crewing manufacture, design, modification, improvement, dry-docking, survey, remarketing, improvement, overhaul, charter, sub-charter, sub-sub-charter, possession, use, sale, control, maintenance, repair, operation, condition, import, export, storage, locating, stationing, financing, modification, alteration, replacement, return, redelivery, transfer, or other disposition of the Vessel or Part or loss thereof or damage thereto or relating to loss or destruction of or damage to any property or death or injury of or other loss of whatsoever nature suffered by any person caused by, relating to or arising from or out of (in each case whether directly or indirectly) any of the foregoing matters (including, without limitation, as a consequence of latent or other defects, whether or not discoverable); or

any infringement of any patent, trademark, copyright or other intellectual property right whatsoever relating to the Vessel or any Part; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any loss, destruction, confiscation, seizure or requisition of the Vessel or any Part or any steps taken by an Indemnitee (acting reasonably) with a view to the prevention of any of the same (provided that due notice of the taking of such steps is first given to the Charterer unless such prior notice is not reasonable or practicable under the circumstances) and of any other occurrence of whatsoever kind which shall deprive the Charterer of the use, possession or quiet enjoyment of the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the occurrence of a default by the Charterer in the due and punctual performance of its obligations under this Agreement or any of the other Operative Documents to which it is a party or the occurrence and continuance of any Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The provisions of Clause 8(a) shall not apply, and the Charterer shall have no liability to any particular Indemnitee under Clause 8(a) with respect to any Losses:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)which resulted from such Indemnitee's gross negligence or wilful misconduct; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)constituting a Tax or loss of Tax benefit (it being understood that Clause 9 (*Taxation*) provides for the Charterer's liability in respect of such matters); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)which constitutes the ordinary and usual operating and overhead expenses of such Indemnitee (but excluding any such Loss which is suffered or incurred as a result of or following the occurrence of a Default or an Overriding Cause); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)in the case of any Indemnitee other than any Finance Party or the Remarketing Agent, their Affiliates and their respective directors, officers, employees, representatives, advisors and agents (each such other Indemnitee being a "**Relevant Party Indemnitee**"), without prejudice to Clause 23 (*Costs and Expenses*), which relates to legal, accounting or other expenses incurred by such Relevant Party Indemnitee in connection with the negotiation, preparation and execution of any Operative Document (but excluding any such Loss which is suffered or incurred as a result of or following the occurrence of a Default or an Overriding Cause); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)in the case of any Relevant Party Indemnitee, to the extent such Loss results from or arises out of one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any express representation or express warranty by such Relevant Party Indemnitee in any Operative Document being incorrect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the failure by such Relevant Party Indemnitee (and not by the Charterer) to perform or observe, or the breach by such Indemnitee (and not by the Charterer) of, any express undertaking, agreement, covenant or condition in any of the Operative Documents to be performed or observed by it; or

any Owner Lien; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)a disposition by such Relevant Party Indemnitee of all or any part of such Indemnitee's interest in the Vessel or the Operative Documents, other than in accordance with the terms of, or made or arising in connection with any enforcement of, the Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)acts or events which occur after the earliest of (x) the completion of return of the Vessel to the Owners pursuant to, and in full compliance with, Clause 17 (*Redelivery*), (y) the termination of the Charter Period following a Total Loss with respect to the Vessel; and (z) the sale, assignment, transfer or other disposition of the Vessel by the Owners, other than to the Charterer under this Agreement, and in each case, the performance in full by the Charterer of its obligations then due thereunder (except that the Charterer shall be liable for claims which are attributable to acts or events occurring prior to the earliest of the above);

but in each case, excluding any such Loss which is suffered or incurred as a result of or following the occurrence of a Default or an Overriding Cause; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)which has been indemnified by the Insurances and has been unconditionally and irrevocably received by the relevant Indemnitee; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)which the relevant Indemnitee has been unconditionally and irrevocably indemnified under any other provision of this Agreement and this applies in particular to loss of profit, which shall be deemed wholly compensated for by payment of the Stipulated Loss Value or Special Termination Value, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)In the case of any Loss indemnified by the Charterer hereunder which is covered by the Insurances, each Indemnitee agrees to co-operate with the insurers in the exercise of their rights to investigate, defend or compromise such Loss as may be required to retain the benefits of the Insurances with respect to such Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)**Conduct of Losses**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If the Charterer shall become liable to indemnify any Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), the Charterer and the Owners shall consult in good faith and each of them shall use reasonable endeavours to avoid (or reduce the amount of) the Loss giving rise to such indemnification without prejudice to and without limiting the Charterer's obligations to indemnify each Relevant Party Indemnitee on demand; provided that no Relevant Party Indemnitee shall be obliged to incur any cost unless indemnified to its reasonable satisfaction by the Charterer.

If a Loss shall be made against any Relevant Party Indemnitee for which the Charterer is or may be required to indemnify the Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), the Relevant Party Indemnitee shall promptly notify the Charterer in writing of that Loss and shall promptly provide the Charterer with all

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such information available to the Relevant Party Indemnitee regarding the Loss. If a Loss shall be made against any Relevant Party Indemnitee for which the Charterer may be required to indemnify the Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), and under Applicable Law of the relevant jurisdiction the Charterer is allowed to contest directly that Loss in its own name, then, subject to the rights of insurers under any Insurances and without prejudice to the obligation of the Charterer to pay any sum due to the Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*) on its due date, the Charterer shall be permitted, at its expense and in its own name, to contest the imposition of that Loss. The Charterer shall not be permitted to contest the imposition of a Loss in the name of the Relevant Party Indemnitee other than as contemplated in Clauses 8(d)(iii) and 8(d)(iv).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)If the Charterer is prohibited by Applicable Law from contesting a Loss in its own name, or if it is a requirement of Applicable Law for a Relevant Party Indemnitee to join in or assist in the contesting by the Charterer of any Loss, upon request from the Charterer, the Relevant Party Indemnitee shall, subject to the provisions of Clause 8(d)(iv), in diligence and good faith after consultation with the Charterer (but with no obligation to necessarily follow the Charterer's instructions), at the Charterer's expense, contest or assist in contesting the Loss. After considering any views offered by the Relevant Party Indemnitee and the Relevant Party Indemnitee's counsel concerning the forum in which a Loss is most likely to be favourably contested, the Charterer may, acting reasonably, select the forum for the contest and determine whether the contest shall be by (A) resisting the Loss,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) paying the Loss under protest, (C) paying the Loss and seeking a refund or other repayment thereof, or (D) seeking a reduction in the amount of the Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)In no event shall a Relevant Party Indemnitee be required to contest any Loss nor shall a Relevant Party Indemnitee be required to (A) join in or (B) assist in contesting any Loss pursuant to this Clause 8 (*Costs and Indemnities*) unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Charterer shall have agreed to pay the Relevant Party Indemnitee on demand, and indemnify such Relevant Party Indemnitee from, all costs, losses and expenses that the Relevant Party Indemnitee incurs in contesting or assisting in contesting the Loss or arising out of or relating to the contest or assistance (including, but not limited to, all reasonable out-of-pocket costs, expenses, losses, reasonable legal and accounting fees, disbursements, penalties and interest), save for costs, losses and expenses resulting from such Relevant Party Indemnitee's gross negligence or wilful misconduct; and

the Relevant Party Indemnitee shall have reasonably determined that the action to be taken will not result in a sale, forfeiture or loss of the Vessel, or the creation of any Lien on the Vessel other than Permitted Liens or any material risk of any criminal liability or penalty against any Relevant Party Indemnitee; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)if a contest shall be conducted in a manner requiring the advance payment of the Loss, the Charterer shall have advanced sufficient funds, on an interest-free and after-tax basis, to make the payment required; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the Charterer shall have provided the Relevant Party Indemnitee and (if the Relevant Party Indemnitee is not any of the Owners) the Owners the grounds for such contest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Upon payment in full of any Loss pursuant to this Clause 8 (*Costs and Indemnities*), the Charterer, without any further action, shall be subrogated to any rights which the Relevant Party Indemnitee may have relating thereto, provided that the Charterer by virtue of such subrogation shall not become entitled to seek any indemnification or contribution from, or make any claim against, the Relevant Party Indemnitee in respect of any Loss indemnified against hereunder save in the case of fraudulent act, wilful misconduct or gross negligence of such Relevant Party Indemnitee. Each Relevant Party Indemnitee agrees to give, at the Charterer's expense, any reasonable further assurances and to enter into such reasonable agreements and to co-operate with the Charterer to permit the Charterer to pursue such subrogation rights as permitted hereunder, if any, to the extent reasonably requested by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)In the event that the Charterer shall have paid an amount to a Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), and the Relevant Party Indemnitee subsequently shall be reimbursed in respect of the indemnified amount from any other person, the Relevant Party Indemnitee shall promptly pay the Charterer an amount equal to the lesser of the amount of the reimbursement and the amount paid by the Charterer (less any reasonable costs of remittance thereof), provided that, at the relevant time, the Charterer shall have paid in full to each Relevant Party Indemnitee all amounts that have then fallen due and payable by the Charterer to such Relevant Party Indemnitee under any of the Operative Documents.

No payment to the Owners or any other Indemnitee under or pursuant to this Agreement or any other Operative Document, pursuant to any judgment or order of any court or otherwise shall operate to discharge the obligations of the Charterer in respect of which it was made unless and until payment shall have been received in the currency (the "**Currency of Obligation**") in which such payment was required to be made hereunder and, to the extent that the amount of any such payment shall on actual conversion into the Currency of Obligation fall short of the amount of the relevant obligation expressed in the Currency of Obligation, the Owners or such other Indemnitee shall have a further separate cause of action against the Charterer for the recovery of such sum as shall properly be evidenced or documented and after conversion into the Currency of Obligation be equal to the amount of the shortfall. Without prejudice to the foregoing, to the extent that the amount of any payment referred to above shall on actual conversion into the Currency of Obligation exceed the amounts due and payable to the Owners or such other Indemnitee in the Currency of Obligation, the Owners or such other Indemnitee shall promptly reimburse such excess to the Charterer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Subject to Clause 7(b), the Dollar is the currency of account for those sums stated to be denominated or due from the Charterer under this Agreement in such currency, provided that each payment in respect of costs, losses, Taxes or expenses shall be made in the currency in which the cost, loss, Tax or expense was incurred or imposed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)The Charterer undertakes to each of the Owners and the other Indemnitees to perform its undertakings under this Clause 8 (*Costs and Indemnities*) in respect of any Indemnitee not party to this Agreement as if that Indemnitee were party to this Agreement; provided in the event that an Indemnitee is a Kumiai-in, the Owners shall procure that the relevant Indemnitee shall comply with the terms of this Clause 8 (*Costs and Indemnities*) as if party to this Agreement. If the Charterer shall be expressed to be obliged to make any payment to or on behalf of any Indemnitee not party to this Agreement, the Charterer shall make the relevant payment as directed by the Owners in respect of a Relevant Party Indemnitee or the Agent in respect of any other Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If the Charterer is required to make a payment to the Owners under this Clause 8 (*Costs and Indemnities*) to enable the Owners to make a payment to a Finance Party or any other Indemnitee, then to the extent that the Finance Party or such other Indemnitee has already irrevocably and unconditionally received the relevant payment from any party other than any Relevant Party, the Charterer's obligations to make payments under this Clause 8 (*Costs and Indemnities*), as the case may be, in respect of that amount shall, to the extent of the amount received by that Finance Party or such other Indemnitee, be discharged.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)For the avoidance of doubt, the Charterer shall not exercise any right of set-off against the Owners or any other Indemnitee under any Operative Document unless all amounts owing to the Finance Parties and the other Indemnitees under the Operative Documents have been paid in full upon the terms and conditions set forth therein.

&nbsp;&nbsp;&nbsp;&nbsp;**9.TAXATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Except as provided in Clause 9(b), the Charterer shall pay, and on written demand shall indemnify and hold harmless, each Owner, the Registered Owner, the Owner Parent, each Kumiai-in, the Remarketing Agent, any inspection agent, each Finance Party and the Affiliates of each Finance Party (each of whom is referred to in this Clause 9 (*Taxation*) as a "**Tax Indemnitee**") from and against, any and all fees and duties reasonably incurred (including, but not limited to, license and registration fees), taxes (including, but not limited to, income, gross receipts, net receipts, sales, consumption, rental, use, turn-over, value-added, property (tangible and intangible, including, without limitation, any property tax imposed on the Vessel or Part), excise, franchise, capital, capital gains, doing business and stamp and documentary taxes), levies, imposts, recording charges or assessments of any nature whatsoever, together with any assessments, penalties, fines, additions to tax and interest thereon ("**Taxes**" and each individually a "**Tax**") imposed on or against any Tax Indemnitee upon or with respect to:

the purchase, title, ownership, acquisition, acceptance, rejection, delivery,&nbsp;&nbsp;&nbsp;&nbsp;non-delivery,&nbsp;&nbsp;&nbsp;&nbsp;registration,&nbsp;&nbsp;&nbsp;&nbsp;deregistration,&nbsp;&nbsp;&nbsp;&nbsp;flagging,

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possession, operation, use, condition, maintenance, repair, replacement, sale, remarketing, return, redelivery, storage, locating, stationing, certificating, manufacture, charter, sub-charter, sub-sub-charter, leasing, financing, mortgaging, modification, supply, replacement, importation, transfer of title, repossession, exportation or other application or disposition of, or the imposition of any Lien (other than, in the case of the Owners, the Registered Owner, the Owner Parent and each Kumiai-in, any Owner Lien) on, the Vessel or Part or any interest in the Vessel or Part; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)otherwise arising with respect to the Vessel or Part or any Operative Document or the transactions contemplated by, or any amounts paid or payable under or in respect of, this Agreement and the other Operative Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Except to the extent that any of the following exclusions (i) through (xii) below from the Charterer's liability (or any of the excluded Taxes therein referred to) arises or is imposed on, suffered or incurred by or asserted against such Tax Indemnitee as a result of a Default or any of the circumstances specified in the definition of Overriding Cause and without prejudice to the Finance Parties' rights under clause 11.3 (*Tax indemnity*) of the Loan Agreement, the provisions of Clause 9(a) shall not apply, and the Charterer shall have no liability to any particular Tax Indemnitee under Clause 9(a) with respect to any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Taxes imposed on a Tax Indemnitee (A) as a result of any voluntary sale, transfer or other disposition by such Tax Indemnitee of the Vessel or any interest therein or in the Operative Documents or in such Tax Indemnitee, or (B) that is a transferee if the amount of such Taxes is increased, under law existing at the time of the transfer, over what would have been imposed absent the transfer, except, in either case, for any such sale, transfer or other disposition contemplated or permitted by, or made or arising in connection with

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) the enforcement of this Agreement or any Operative Document, including, without limitation, as part of exercise of any remedies pursuant to this Agreement or to avoid any losses and damages from an Event of Default as permitted by this Agreement, or in connection with any return by the Charterer to the Owners of the Vessel in accordance with this Agreement, (II) a Permitted Lien (other than, in the case of any of the Relevant Party only, an Owner Lien and other than, in the case of any Finance Party only, a Finance Party Lien),

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(III) the exercise of any rights or remedies in connection with a Default or any event or circumstance specified in Clauses 21(b), 21(c) or 21(e) or (IV) the Loan Agreement by a Finance Party where either the Charterer has consented to such sale, transfer or other disposition or such sale, transfer or other disposition does not require the consent of the Charterer pursuant to clause 22.2.1 (*Conditions of assignment or transfer*) of the Loan Agreement;

Taxes which are imposed by any country, or taxing authority or governmental subdivision thereof, or by any international or multinational taxing authority by reason of a connection between the Tax Indemnitee and such country, taxing authority or governmental subdivision thereof or such international or multinational taxing authority, except to the extent that such Taxes would not have been

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imposed but for (A) the transactions contemplated by this Agreement and the other Operative Documents, (B) the use, presence, location, stationing, registration, operation or chartering of, or any modification, alteration, improvement or addition made in, to, upon or in respect of, the Vessel or any Part in, to or from Japan, (C) the presence of the Charterer or any operator of the Vessel in Japan or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any Default or Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Taxes imposed on any Tax Indemnitee which result from the wilful misconduct or gross negligence of such Tax Indemnitee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, Taxes imposed on any Tax Indemnitee to the extent resulting from or arising out of or which would not have been imposed but for (A) any express representation or express warranty of that Tax Indemnitee in any Operative Document being incorrect or (B) the failure by such Tax Indemnitee to perform or observe, or the breach by that Tax Indemnitee of, any express undertaking, agreement, covenant or condition in any of the Operative Documents to be performed or observed by it including, without limitation, in the case of each Owner, the Registered Owner, the Owner Parent only, the creation by that Tax Indemnitee of, or the existence of, an Owner Lien, except in each case, to the extent such breach is caused (i) by a breach by another Tax Indemnitee or (ii) a Default or an Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)Taxes in the nature of withholding Taxes, which shall be governed exclusively by Clause 9(f);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)Taxes imposed upon such Tax Indemnitee in respect of the overall net income, overall capital, net worth, gross income or gross receipts or profit of such Tax Indemnitee, or any Taxes in lieu of the foregoing (it being understood that this clause is without prejudice to the obligations of the Charterer under Clause 9(f)) other than any taxes imposed or which would have been imposed by reason of a connection between the relevant Tax Indemnitee and that jurisdiction to the extent arising solely by reason of (A) the operation, use, presence, registration, chartering, stationing or location of, or any modification, alteration, improvement or addition made in, to, upon or in respect of, the Vessel or any Part or (B) the presence of the Charterer, the Charterer Guarantor or any operator of the Vessel in Japan or (C) any Default or Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)Taxes imposed upon such Tax Indemnitee to the extent incurred in respect of any period after the earliest to occur of either of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the purchase of the Vessel by the Charterer or by a third party pursuant to the terms of this Agreement and the performance in full by the Charterer of its obligations then due hereunder and the other Operative Documents; and

the return of the Vessel to the Owners pursuant to and in accordance with the provisions of this Agreement and the

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performance in full by the Charterer of its obligations then due hereunder and the other Operative Documents,

unless such Taxes are attributable to any event, circumstance or condition occurring prior to such purchase or return or termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, Taxes imposed by Japan or any Taxing authority or governmental subdivision thereof or therein other than Taxes imposed by reason of (x) the use, presence, location, stationing, registration, operation or chartering of, or any modification, alteration, improvement or addition made in, to, upon or in respect of, the Vessel or any Part in, to or from Japan, (y) the presence of the Charterer or any operator of the Vessel in Japan or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) any Event of Default or Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)any Taxes to the extent such Tax Indemnitee has actually been indemnified (to the extent so actually indemnified) pursuant to any other provision of any Operative Document by any party other than by any Relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)any Taxes imposed upon such Tax Indemnitee which constitute penalties, additions to Tax, fines or interest which would not have been imposed but for a reasonably avoidable delay or failure by such Tax Indemnitee in filing any tax computations or returns, or other forms or statements, in each case which the Charterer has reasonably requested such Tax Indemnitee in writing to file, provided that such delay or failure has not been caused or requested by the Charterer and the relevant filing would not, in such Tax Indemnitee's opinion, prejudice the tax position or business affairs of such Tax Indemnitee in the relevant jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, any Taxes to the extent such Taxes exceed the amount thereof which such Tax Indemnitee would have suffered had such Tax Indemnitee taken all reasonable steps within its control to give timely notice to the Charterer of such Tax or of the event giving rise to such Tax following such Tax Indemnitee receiving notification of the imposition of any such Tax; or

in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, Taxes in the nature of income taxes which would not have been imposed on the relevant Owner, the Registered Owner, the Owner Parent or any Kumiai-in but for (A) the failure by such party to file in the ordinary course of business a tax return following any reasonable request made with sufficient time to permit compliance with such request from the Charterer (it shall not be necessary for the Charterer to make any such request in relation to any filing in Japan or in the state of incorporation of the relevant

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Owner, the Registered Owner, the Owner Parent or any Kumiai-in), failed so to file, or (B) following any reasonable request made with sufficient time to permit compliance with such request (it shall not be necessary for the Charterer to make any such request in relation to any filing in Japan or in the state of incorporation of the relevant Owner, the Registered Owner, the Owner Parent or any Kumiai-in), failure of such party to assist the Charterer to file any returns, statements or other documentation which might lead to the imposition of a reduced rate of Taxes or exemption from Taxes which are subject to payment by or indemnification by the Charterer under this Agreement (provided that any costs and expenses associated with such filing or assistance (other than any costs and expenses associated with the filing of annual tax returns which such party is required to file in Japan or its state of incorporation, irrespective of whether or not such Taxes had been imposed) would be borne by the Charterer).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Any payment which the Charterer shall be required to make to or for the account of any Tax Indemnitee with respect to any Tax which is subject to indemnification under this Clause 9 (*Taxation*) shall include the amount necessary to hold such Tax Indemnitee harmless on an after-tax basis from the amount of any and all Taxes required to be paid by such Tax Indemnitee as the result of any such payment pursuant to the laws of any relevant taxing jurisdiction. If, by reason of any Tax payment made to or for the account of a Tax Indemnitee by the Charterer pursuant to this Clause 9 (*Taxation*) or the payment of any additional amount pursuant to Clause 9(f)(i), such Tax Indemnitee in its opinion subsequently realises a net tax benefit, saving, deduction or credit (including a tax credit for Taxes paid, deemed paid or accrued) not previously taken into account in computing that payment, the Tax Indemnitee shall promptly pay to the Charterer an amount (but so that the Tax Indemnitee shall not be in a less favourable position than if the Charterer had not been required to make any such payment or to pay such additional amount pursuant to this Clause 9 (*Taxation*) and less any reasonable costs of the remittance thereof) equal to the sum of the actual net reduction in Taxes, if any, realised by such Tax Indemnitee which is attributable to such benefit, saving, deduction or credit, provided that the relevant Tax Indemnitee shall not be obliged under this Clause 9(c) to arrange its tax or other affairs in any particular way or to claim or to allocate any credit, relief or benefit received by it to any taxes or liability to tax referred to above in priority to any other matter which may entitle it to any credit, relief or benefit, or to disclose any records or affairs of the relevant Tax Indemnitee to the Charterer, save and insofar as the same are in the public domain.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)**Conditions of Tax Indemnity Losses**

If the Charterer is likely to be required to indemnify any Tax Indemnitee pursuant to this Clause 9 (*Taxation*) and so notifies the Owners and the relevant Tax Indemnitee, such parties shall consult in good faith and each of them shall use reasonable endeavours to avoid or if the same cannot be avoided to reduce the loss or claim giving rise to such indemnification, provided that the Owners and the relevant Tax Indemnitee shall not be obliged to incur any cost unless indemnified to their reasonable satisfaction by the Charterer and the relevant Tax Indemnitee shall not be obliged to arrange its

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tax or other affairs in any particular way or to otherwise take any action which it considers may be prejudicial to it. If a claim shall be made against any Tax Indemnitee for any Tax for which the Charterer is likely to be required to indemnify a Tax Indemnitee pursuant to this Clause 9 (*Taxation*), the Owners shall notify the Charterer in writing promptly of the claim after becoming aware thereof and shall provide the Charterer with such information available to the Owners regarding the claim as the Charterer may reasonably request, provided that neither the Owners nor the relevant Tax Indemnitee shall be obliged to incur any cost unless indemnified to their reasonable satisfaction by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If a claim shall be made for any Tax for which the Charterer is required to indemnify a Tax Indemnitee (other than a Finance Party to which, with the exception of (d)(i), this paragraph (d) shall not apply) pursuant to this Clause 9 (*Taxation*), and under Applicable Law of the taxing jurisdiction the Charterer is allowed to contest directly that Tax in its own name, then the Charterer shall be permitted, at its expense and in its own name, to contest the imposition of that Tax. The Charterer shall not be permitted to contest the imposition of a Tax in the name of the Tax Indemnitee otherwise than as provided in Clauses 9(d)(iii) and 9(d)(iv).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)If the Charterer is prohibited by Applicable Law from contesting a Tax in its own name, or if it is a requirement of Applicable Law for a Tax Indemnitee to join in or assist in the contesting by the Charterer of any Tax, upon request of the Charterer, the Tax Indemnitee (other than a Finance Party to which, with the exception of (d)(i) this paragraph (d), shall not apply) shall, subject to the provisions of Clause 9(d)(iv), in diligence and good faith after consultation with the Charterer (but with no obligation to necessarily follow the Charterer's instructions) and at the Charterer's expense, contest or assist in contesting the imposition of the Tax. After considering any views offered by the Tax Indemnitee and the Tax Indemnitee's counsel concerning the forum in which a Tax being contested is most likely to be favourably contested, the Charterer may, acting reasonably, select the forum for such contest and determine whether the contest shall be by (A) resisting payment of the Tax, (B) paying the Tax under protest, (C) paying the Tax and seeking a refund or other repayment thereof or (D) seeking a reduction in the amount of the Tax.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)In no event shall a Tax Indemnitee be required to contest nor shall a Tax Indemnitee be required to join in or assist in contesting the imposition of any Tax pursuant to this Clause 9 (*Taxation*) unless:

the Charterer shall have agreed to pay the Tax Indemnitee on demand, and indemnify the Tax Indemnitee from, all costs, losses and expenses that the Tax Indemnitee incurs in contesting or assisting in contesting the claim or Tax or arising out of or relating to the contest or assistance (including, but not limited to, all reasonable out-of-pocket costs, expenses losses, reasonable legal and accounting fees, disbursements, penalties and interest), save for costs, losses and expenses resulting from such Tax Indemnitee's gross negligence or wilful misconduct;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the Tax Indemnitee shall have reasonably determined that the action to be taken will not result in a sale, forfeiture or loss of the Vessel, or any material risk of any criminal liability or penalty against any Indemnitee, or the creation of any Lien on the Vessel other than Liens for Taxes or amounts either not yet due or which are being or are to be contested in good faith by appropriate action or proceedings so long as the action or proceedings do not involve any material risk of the sale, forfeiture or loss of the Vessel and for the payment of which Liens reserves in amounts acceptable to the Owners have been provided by the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)if a contest shall be conducted in a manner requiring the payment of the Tax, the Charterer shall have advanced sufficient funds, on an interest-free and after-tax basis, to make the payment required; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)the Charterer shall have provided the Tax Indemnitee and (if the Tax Indemnitee is not any of the Owners) the Owners proper comfort, at the cost of the Charterer, to the effect that such contest has a reasonable chance of being successful.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Except as provided in Clause 9(d) regarding the Charterer's right to contest, the Charterer shall pay any Tax for which it is liable pursuant to this Clause 9 (*Taxation*) directly to the appropriate taxing authority or, if reasonably requested by the Owners, to the relevant Tax Indemnitee promptly upon demand, but in any event prior to the date that Tax is due, in immediately available funds. Any such demand for payment shall specify in reasonable detail the payment and the facts upon which the right to payment is based. The Owners shall promptly forward to the Charterer any notice, bill or advice in the nature of a notice or bill received by them concerning the Tax. As soon as practicable after each payment by the Charterer of such Tax, the Charterer shall furnish to the appropriate Tax Indemnitee the original or a certified copy of a receipt for the Charterer's payment of such Tax (if such are reasonably available) or such other evidence of payment of such Tax as is reasonably acceptable to such Tax Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)**Tax Gross-up**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If at any time any deduction or withholding in respect of Taxes (including, without limitation, the FATCA Deduction) is required to be made from any payment made or to be made by the Charterer under this Agreement the Charterer shall pay to the relevant Tax Indemnitee such additional amounts as may be necessary to ensure that the relevant Tax Indemnitee receives (after such deduction or withholding and any deduction or withholding applicable to any additional amounts) an amount in the relevant currency equal to the full amount which it would have received had payment not been subject to any such withholding or deduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer is not required to make an increased payment to:

a Lender under paragraph (i) above for a tax deduction in respect of tax imposed by Japan from any payment to the

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Finance Parties or any of them under any Operative Document, if on the date on which the payment falls due the payment could have been made to the relevant Lender without a tax deduction if the Lender had been a Qualifying Lender, but on that date that Lender is not or has ceased to be a Qualifying Lender other than as a result of any Change in Law after the date on which it became a lender under the Loan Agreement (for the avoidance of doubt, in the case of the Original Lenders, such date shall be the date of the Loan Agreement), unless the applicable tax deduction arises directly or indirectly as a result of any assignment, transfer or sub-participation by a Lender of its rights and/or obligations under any Finance Document which is agreed by the Owners and the Charterer, in which case the payment shall be increased in accordance with paragraph (i) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E)the Owners under paragraph (i) above, if the representation under Clause 10(c)(ii) is breached and the deduction or withholding is required as a result thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)In the event that the Charterer is required to make any such withholding or deduction, the Charterer shall obtain certificates of payment from the appropriate tax authorities and such other documents as the relevant Tax Indemnitee may reasonably request and shall as soon as reasonably practicable transmit such certificates and documents to the relevant Tax Indemnitee. In addition to the agreement contained in Clause 9(g) the Owners agree to co-operate with the Charterer to avoid or minimize, if possible, such withholding or deduction or to obtain, if possible, applicable refunds as to such withholding or deduction in the jurisdiction which required such withholding or deduction and to reimburse to the Charterer such refunds (less the costs of remittance thereof), if any up to the additional amount paid by the Charterer in respect of the withholding or deduction in respect of which the refund relates. The Owners agree, upon the request of the Charterer, to furnish such certificates and other documents as the Charterer may reasonably determine to be necessary to establish each Owner's or the Charterer's (as agent of the Owners) entitlement (if any) to any exemption from or reduced rate of withholding or deduction under the Applicable Law of any country, or any applicable tax treaty.

If either party becomes aware of any circumstances which will give rise to an obligation on the part of the Charterer to make a payment of a material amount under Clause 9(a) or 9(f) it shall promptly advise the other party of such circumstances and the parties shall, (without prejudice to the Charterer's obligations under Clause 9(a) or 9(f) or any other provision of this Agreement) forthwith negotiate with each other in good faith at the cost of the Charterer for a period of sixty (60) days or such shorter period as the parties shall agree (but shall not be obliged to do so thereafter) with a view to making arrangements and restructuring this transaction in such a manner as shall be lawful and as shall eliminate, prevent or avoid the circumstances giving rise to an obligation on the part of the Charterer to pay such material amount pursuant to Clause 9(a) or 9(f).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The provisions of Clause 8(i) shall apply, *mutatis mutandis*, to this Clause 9 (*Taxation*).

&nbsp;&nbsp;&nbsp;&nbsp;**10.REPRESENTATIONS AND WARRANTIES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer represents and warrants to the Owners that as at the date hereof and as at the Charter Commencement Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)(A) the Charterer is a corporation duly incorporated and validly existing in goodstanding under the laws of the Marshall Islands; (B) the Charterer Guarantor is a corporation duly incorporated and validly existing in goodstanding under the laws of Bermuda; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F)the Manager (provided that the Manager is an Affiliate of the Charterer) is a corporation duly incorporated and validly existing in goodstanding under the laws of Norway (or other relevant jurisdiction of incorporation or formation);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) has the power to carry on its business as such business is now being conducted and to own its property and assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)100% of the equity interests and voting powers of the Charterer have been issued in registered form and are fully paid and non-assessable and legal and beneficial ownership of such shares is held, directly or indirectly, by the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)each of the Charterer, the Charterer Guarantor, and the Manager (provided that the Manager is an Affiliate of the Charterer) has the power to execute, deliver and perform its obligations under this Agreement and each of the Operative Documents to which it is or is to be a party and the transactions contemplated by those Operative Documents, and all necessary action has been taken to authorise the execution, on its behalf by the relevant signatory thereto, the delivery and performance of the same and its obligations hereunder and thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)subject to the Legal Reservations, this Agreement and the Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party constitute its legal, valid, binding and enforceable obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)each Security Document to which the Charterer the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party does now or, as the case may be, will upon execution and delivery (and, where applicable, registration as provided for in that Security Document) confer the security it purports to confer over any assets to which such Security Document, by its terms, relates;

no third party has any Lien (except for Permitted Liens) over any asset to which a Security Document, by its terms, relates;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)except for filing of documents with Bermuda Companies House in respect of the Charterer Guarantor, all Authorisations required or desirable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)to enable the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) lawfully to enter into, exercise its rights and comply with its obligations in the Operative Documents to which it is a party; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)to make the Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party and the transactions contemplated thereby valid, enforceable and admissible in evidence in its jurisdiction of incorporation and registration,

have been obtained or effected and are in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)no corporate action, legal proceeding or other procedure or step or creditors' process reasonably likely to have a Material Adverse Effect, has been taken, or, to the knowledge of the Charterer, threatened in relation to the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer); and none of the circumstances described in Clauses 18(k) and 18(l) applies to the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)none of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) has taken any corporate action nor have any other steps been taken or legal proceedings been started or threatened against it for its reorganisation, winding-up, dissolution or administration or for the appointment of a receiver, administrator, administrative receiver, trustee or similar officer of it or any or all of its assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)neither the Charterer nor the Charterer Guarantor is required to make any deduction for or on account of Tax from any payment that the Charterer or the Charterer Guarantor may make under this Agreement or any other Operative Document to which it is a party or otherwise in accordance with the terms of the relevant document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)neither the Charterer nor the Charterer Guarantor 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 Operative Document to which it is a party;

the entry into, execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this Agreement and the Operative Documents to which it is or is to be a party and the transactions contemplated thereby, by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) do not contravene or conflict in any material respect with (A) any Applicable Law applicable to it, (B) any agreement or instrument binding upon it, or any of its assets, (C) its constitutional documents, or (D) result in the creation or imposition

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of or oblige the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) to create any Lien on or over any of its undertaking, properties, assets, rights or revenues (other than any Permitted Lien);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)except for filing of documents with Bermuda Companies House in respect of the Charterer Guarantor, it is not necessary or desirable to ensure the legality, validity, enforceability, priority or admissibility in evidence of this Agreement or any of the Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party that any of them or any other instrument be filed, recorded, registered or enrolled in any court, public office or elsewhere in its jurisdiction of incorporation or registration or, except as notified in writing to and accepted by the Representative Owner and the Agent, that any stamp, registration or similar tax or charge be paid in its jurisdiction of incorporation or registration on or in relation to this Agreement or any of the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)no Default is outstanding or will result from execution of, or the performance by the Charterer, the Charterer Guarantor or the Manager of any transaction contemplated by this Agreement or the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)no other event or circumstance is outstanding which constitutes a default under any other agreement or instrument which is binding on the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) or to which the Charterer's, the Charterer Guarantor's or the Manager's (provided that the Manager is an Affiliate of the Charterer) assets are subject which has or is reasonably likely to have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)the Charterer Guarantor's audited consolidated financial statements for the financial year ended 2024 provided to the Representative Owner and the Security Agent (the "**Original Financial Statements**") were prepared in accordance with U.S. GAAP consistently applied and give a true and fair view of (if audited) or fairly represent in all material respects (if unaudited) its consolidated financial condition as at the end of, and consolidated results of operations for, the period to which they relate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)the Original Financial Statements give a true and fair view of its financial condition (consolidated, if applicable) and results of operations during the relevant financial year in all material respects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)save as disclosed in writing to the Representative Owner prior to the date of this Agreement:

all material information provided by or on behalf of the Charterer or the Charterer Guarantor on or before the date of this Agreement to the Owners, the Representative Owner, the Registered Owner and/or any Finance Party was accurate and not misleading in any material respect as at the date provided and all projections provided to the Owners, the Representative Owner, the Registered Owner and/or any Finance Party on or

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before the date of this Agreement have been prepared in good faith on the basis of assumptions which were reasonable at the time at which they were prepared and supplied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)all other written information provided by the Charterer or the Charterer Guarantor (including its advisers) to the Owners, the Representative Owner, the Registered Owner and/or any Finance Party was true, complete and accurate in all material respects as at the date it was provided and is not misleading in any respect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii)there has been no Material Adverse Effect since its date of incorporation or following the receipt by the Representative Owner and the Agent of an Annual Compliance Certificate from the Charterer Guarantor, since the date of the then latest Annual Compliance Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix)the execution by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) of this Agreement and other Operative Document to which it is a party constitute, and the exercise by it of its rights and performance of its obligations under each such documents will constitute private and commercial acts performed for private and commercial purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx)neither the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) nor any of its assets are entitled to any immunity from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement) in its jurisdiction of incorporation or registration and is subject to civil and commercial law with respect to its obligations under this Agreement and the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi)the Charterer has not entered into any deferred or conditional sale agreement with respect to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii)the Charterer has not provided any funds directly or indirectly (or any collateral capable of being transferred into funds) to any person so that such person assumes or guarantees the Charterer's payment obligations under this Agreement or as collateral therefor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii)the Charterer has not entered into any arrangement with any third party which would allow or purport to allow that third party to claim the right to depreciate the Vessel;

no litigation, arbitration or administrative proceeding or other pending actions or proceedings or Environmental Losses before any court, governmental or administrative agency or arbitral body (including, but not limited to, investigative proceedings), in each case against the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) which, if adversely determined, might reasonably be expected to constitute a Material Adverse Effect have been started or, to the best of its knowledge and belief, threatened against the Charterer, the

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Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv)each of the Charterer's, the Charterer Guarantor's or the Manager's

(provided that the Manager is an Affiliate of the Charterer):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)irrevocable submission to the jurisdiction of the courts of England under the Operative Documents (other than the Charterer Account Charge and Onward Assignment) to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in respect of the Charterer only, irrevocable submission to the jurisdiction of the courts of Norway under the Charterer Account Charge and Onward Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)agreement that any Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party (other than the Charterer Account Charge and Onward Assignment) be governed by the laws of England;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)in respect of the Charterer only, that the Charterer Account Charge and Onward Assignment governed by Norwegian law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E)agreement not to claim any immunity to which it is or its assets may be entitled,

are legal, valid and binding under the laws of its jurisdiction of incorporation and registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv)subject to the Legal Reservations, any judgment obtained in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Marshall Islands in relation to the Mortgage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)Norway in relation to the Charterer Account Charge and Onward Assignment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)England in relation to the other Operative Documents to which it is a party,

will be recognised and be enforceable by the courts of the jurisdiction of incorporation and registration of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer), subject to any statutory or other conditions of such jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi)there are no Liens affecting the Vessel except the Permitted Liens;

the claims of the Owners, the Representative Owner or the Registered Owner against the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) under the Operative Documents are (and will remain)

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direct, general and unconditional obligations of the Charterer, the Charterer Guarantor or the Manager, as applicable, and rank at least *pari passu* with all its other present and future unsecured and unsubordinated payment obligations, except for obligations mandatorily preferred by law applying to companies and vessels generally;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii)no insolvency proceedings relating to the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) have been commenced against the Charterer or the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii)except as may already have been disclosed by the Charterer in writing to the Representative Owner and the Agent, the Charterer and its Environmental Representatives has:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)complied with all Environmental Laws to which it and the Vessel may be subject;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)obtained all Environmental Approvals required or desirable in connection with the Vessel and its business; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)complied with the terms of those Environmental Approvals; (xxxiii) except as may already have been disclosed by the Charterer in

writing to the Representative Owner and the Agent, none of the Charterer or its respective Environmental Representatives have received notice of any Environmental Loss in respect of the Vessel which alleges that the Charterer, the Charterer Guarantor or the Manager is not in compliance with applicable Environmental Laws or Environmental Approvals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiv)except as may already have been disclosed by the Charterer in writing to the Representative Owner and the Agent, there are no Environmental Losses pending or threatened which are such that a first class operator of vessels such as the Vessel making all due enquiries and complying in all respects with its obligations under the ISM Code, ought to have known about;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxv)&nbsp;&nbsp;&nbsp;&nbsp;except as may already have been disclosed by the Charterer in writing to the Representative Owner and the Agent, there has been no Release of Hazardous Materials by or in respect of the Vessel about which a first class operator of vessels such as the Vessel making all due enquiries and complying in all respects with its obligations under the ISM Code, ought to have known about;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxvi)&nbsp;&nbsp;&nbsp;&nbsp;the Charterer is solely and absolutely entitled to the Security Assets over which it has or will create any Transaction Security pursuant to the Security Documents to which it is, or will be, a party and there is no agreement or arrangement under which it is obliged to share any proceeds of or derived from such Security Assets with any third party;

each of the Charterer, the Charterer Guarantor and the Manager (as applicable) is in full compliance with the relevant parts

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of the ISM Code and ISPS Code which are required to be observed in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxvii)other than as notified to and agreed by the Representative Owner and the Agent in writing, there have been no amendments to any of the Insurances, the Initial Sub-charter, the Manager's Undertaking or the Management Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxviii)all Insurances required to be effected and maintained under this Agreement will be in full force and effect as of the Charter Commencement Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xl) subject to the Legal Reservations, it is not necessary under the laws of the jurisdiction of incorporation or registration of the Charterer, the Charterer Guarantor and/or the Manager:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in order to enable any Owner, the Representative Owner, the Registered Owner or any Finance Party to enforce its rights under any Operative Document to which the Charterer, the Charterer Guarantor and/or the Manager is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)by reason of the execution of any Operative Document or the performance by it of its obligations under any Operative Document,

that any Owner, the Representative Owner, the Registered Owner or any Finance Party should be licensed, qualified or otherwise entitled to carry on business in any such jurisdiction of incorporation or registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xli) none of any Owner, the Representative Owner, the Registered Owner or any of the Finance Parties will be deemed to be resident, domiciled or carrying on business in the jurisdiction of incorporation of the Charterer, the Charterer Guarantor or the Manager by reason only of the execution, performance and/or enforcement of any Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlii) in respect of the Vessel, the Initial Sub-charter is in full force and effect and the Charterer has obtained the Initial Sub-charterer's consent on the transaction contemplated by the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xliii) to the Charterer's knowledge, neither the Charterer or the Charterer Guarantor nor any of their Subsidiaries have breached Sanctions. Neither the Charterer nor the Charterer Guarantor, nor their Subsidiaries, nor any of their respective directors, officers or employees, nor to the Charterer's knowledge, any Affiliate, agent or employee (A) is a Restricted Party or (B) has received notice of or is aware of any claim, action, suit, proceeding or investigation against it with respect to Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xliv) neither the Charterer nor the Charterer Guarantor will directly, or in directly, use the proceeds of the Loan, or lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner, or other person: (A) to fund any activities or

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business of or with any person, or in any country or territory, that, at the time of such funding, is for, or for the benefit of, a Restricted Party; or (B) in any other manner that would result in a violation of Sanctions by any person (including any person participating in the Loan, whether as underwriter, investor, advisor or otherwise);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlv) none of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is acting as trustee or agent in entering into the Operative Documents, except to the extent expressly provided in the Operative Documents or disclosed in writing to the Representative Owner and the Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlvi) each of the Charterer and the Charterer Guarantor has conducted and does itself conduct its business in compliance with all applicable anti-corruption, anti-bribery, AML Law and Sanctions (and to the extent that such business is conducted through third parties this representation is given to the Charterer's and the Charterer Guarantor's knowledge in respect to such third parties and their compliance with such laws);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlvii) there has been and there is no investigation, action, suit or proceeding by or before any court or Government Entity, authority or body or any arbitrator involving either the Charterer or the Charterer Guarantor with respect to any applicable anti-corruption, anti-bribery, AML Law and Sanctions and, to the best of each's knowledge, no such investigations, actions, suits or proceedings are threatened or contemplated against it, its Affiliates, directors, officers or employees or, to its knowledge, any of its agents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlviii) the Charterer will not permit the use or operation of the Vessel in any country or territory that at such time is the subject of Sanctions other than in compliance with relevant exemptions applicable to such country or territory at such time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlix) the Warranty Rights in respect of the Vessel have expired under the respective agreements prior to the Charter Commencement Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;&nbsp;&nbsp;&nbsp;the Charterer has no Subsidiaries or employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(li) other than as expressly allowed under the Operative Documents, the Charterer's business is limited exclusively to the chartering in and chartering out of the Vessel and the transactions contemplated by the Operative Documents and matters incidental to them; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(lii) other than as expressly allowed under the Operative Documents the Charterer has not incurred any liabilities other than Taxes and ordinary costs and overhead expenses in each case incurred in connection with the business described in paragraph (li) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each Repeating Representation is deemed to be represented by the Charterer by reference to the facts and circumstances then existing on the Charter Commencement Date and on each Payment Date.

Each Owner hereby represents and warrants to the Charterer that as at the date hereof and the Charter Commencement Date (subject to the

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qualifications contained in the opinions referred to in paragraph 2 of Part 1 of Schedule 2):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it is duly incorporated and validly existing under the laws of Japan and has the power to carry on its business as such business is now being conducted and to own its property and assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)its registered office and its Tax Residence is at the address specified in Clause 24(a)(iii)(A) and the jurisdiction specified therein respectively and it does not carry on any trade or business in the Marshall Islands through its branch or agency established in the Marshall Islands (unless a Tax Residence is deemed to exist under Applicable Laws solely as a result of the participation by that Owner in the transactions contemplated by the Operative Documents);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it has the power to execute, deliver and perform its obligations under this Agreement and each of the Operative Documents to which it is a party and all necessary corporate action has been taken to authorise the execution, delivery and performance of the same and its obligations thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)this Agreement and each Operative Document to which it is a party constitute legal, valid and binding obligations of that Owner enforceable in accordance with their terms, subject to the qualifications contained in the opinions referred to in paragraph 2 of Part 1 of Schedule 2;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this Agreement and the Operative Documents to which it is a party will not (A) contravene the laws of Japan to which it is subject or by which it or any of its property or assets is bound, (B) conflict with, or result in any breach of any of the terms of, or constitute a default under, any agreement (including any Tokumei Kumiai Agreement) or other instrument or document to which it is a party or is subject or by which it or any of its property or assets is bound, (C) contravene or conflict with any provision of its Articles of Incorporation, or (D) result in the creation or imposition of or oblige it to create any Lien on or over the Vessel or over any of its undertaking, properties, assets, rights or revenues (otherwise than as created or permitted by the Operative Documents or any Permitted Lien);

except for the routine ex post facto reporting to the Minister of Finance of Japan as required under the Foreign Exchange and Foreign Trade Law of Japan, every consent of, or registration with, or declaration or notice to, every Government Entity in Japan, if any, required by it to authorise, or required by it in connection with, the execution, delivery, validity, priority, enforceability or effectiveness of this Agreement and the other Operative Documents or the performance by it of its obligations under this Agreement and the other Operative Documents has been duly obtained or made and is in full force and effect and there has been no default in the observance or performance of any of the conditions or restrictions (if any) imposed on, or in connection with, any of the same;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)it is not necessary or desirable to ensure the legality, validity, enforceability or admissibility in evidence in Japan of this Agreement or any of the Operative Documents that any of them or any other instrument be filed, recorded, registered or enrolled in any court, public office or elsewhere in Japan or, so long as the Operative Documents are executed and delivered outside Japan, that any stamp, registration or similar tax be paid in Japan on or in relation to this Agreement or any of the Operative Documents to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)no Relevant Party Event related to it has occurred and is continuing nor any other event or circumstance has occurred and is continuing which, would (with the expiry of a grace period, the giving of any notice or a combination of the foregoing or the making of any determination by the Charterer) pursuant to Clause 20 (*Relevant Party Event and Charterer's Rights*) constitute a Relevant Party Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)it is not in default under any agreement to which it is a party or by which it may be bound, it is not a party to any agreement (including, but not limited to, any Tokumei Kumiai Agreement) or instrument or subject to any restriction in its Articles of Incorporation or other corporate restriction which individually or in the aggregate are likely to affect adversely its ability to perform its obligations under this Agreement or any other Operative Document to which it is a party, and to the best of its knowledge and belief there are no pending or threatened actions or proceedings before any court, governmental or administrative agency or arbitral body, which actions or proceedings could have a material and adverse effect on its condition, business or operations or which could impair its ability to perform its obligations under this Agreement or any of the other Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)neither it nor any of its assets is entitled to any immunity from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement).

The rights and remedies of the Owners in relation to any misrepresentation or breach of warranty on the part of the Charterer, the Charterer Guarantor or the Manager and the rights and remedies of the Charterer in relation to any misrepresentation or breach of warranty on the part of any Owner shall not be prejudiced by any investigation by or on behalf of the Owners into the affairs of the Charterer, the Charterer Guarantor or the Manager or by the Charterer, the Charterer Guarantor or the Manager into the affairs of the relevant Owner by the performance of this Agreement or any other Operative Document or by any other act or thing which may be done or omitted to be done by the Owners, the Manager, the Charterer or the Charterer Guarantor under this Agreement and which would or might, but for this Clause 10(d), prejudice such rights and remedies.

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&nbsp;&nbsp;&nbsp;&nbsp;**11.GENERAL UNDERTAKINGS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer undertakes to the Owners that from the Charter Commencement Date until the date of performance in full by the Charterer of all of its obligations due or to become due under this Agreement or any other Operative Document, at its own cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the entry into, execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this Agreement and the Operative Documents to which it is or is to be a party and the transactions contemplated thereby, by the Charterer, the Charterer Guarantor and/or the Manager (provided that the Manager is an Affiliate of the Charterer) will not contravene or conflict in any material respect with (A) any Applicable Law applicable to it, (B) any agreement or instrument binding upon it, the Charterer Guarantor's Subsidiaries or any of their respective assets, or (C) its or any of its Subsidiaries' constitutional documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)no Default is or will be outstanding or will result from execution of, or the performance by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) of any transaction contemplated by this Agreement or the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the execution by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) of this Agreement and other Operative Document to which it is a party will constitute, and the exercise by it of its rights and performance of its obligations under each such documents will constitute private and commercial acts performed for private and commercial purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)neither the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) nor any of its assets is or will be entitled to any immunity from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement) in its jurisdiction of incorporation or registration and is subject to civil and commercial law with respect to its obligations under this Agreement and the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)subject to any Legal Reservations, the Charterer's, the Charterer Guarantor's and/or the Manager's (provided that the Manager is an Affiliate of the Charterer):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)irrevocable submission to the jurisdiction of the courts of England under the Operative Documents (other than the Charterer Account Charge and Onward Assignment) to which the Charterer, the Charterer Guarantor and/or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party;

in respect of the Charterer and the Charterer Guarantor only, irrevocable submission to the jurisdiction of the courts of

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Norway under the Charterer Account Charge and Onward Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)agreement that the Mortgage is expressed to be governed by the laws of the Marshall Islands and each of the other Operative Documents to which the Charterer, the Charterer Guarantor and/or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party be governed by English law or Norwegian law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)agreement not to claim any immunity to which it is or its assets may be entitled

are, and will remain to be, legal, valid and binding under the laws of its jurisdiction of incorporation and registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)subject to any Legal Reservations, any judgment obtained in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Marshall Islands in relation to the Mortgage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)Norway in relation to the Charterer Account Charge and Onward Assignment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)England in relation to the other Operative Documents to which it is a party,

will be recognised and be enforceable by the courts of the jurisdiction of incorporation and registration of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer), subject to any statutory or other conditions of such jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)it is not, and will not be, necessary under the laws of the jurisdiction of incorporation or registration of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in order to enable any Owner, the Representative Owner, the Registered Owner, or any Finance Party to enforce its rights under any Operative Document to which the Charterer, the Charterer Guarantor and/or the Manager is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)by reason of the execution of any Operative Document or the performance by it of its obligations under any Operative Document,

that the Owners, the Representative Owner, the Registered Owner or any Finance Party should be licensed, qualified or otherwise entitled to carry on business in any such jurisdiction of incorporation or registration;

none of the Owners, the Representative Owner, the Registered Owner or any Finance Party will be deemed to be resident, domiciled or carrying on business in the jurisdiction of incorporation or registration of the Charterer or the Charterer Guarantor by reason

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only of the execution, performance and/or enforcement of any Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)each of the Charterer and the Charterer Guarantor shall not, and each of them shall (A) ensure that their respective directors, officers, employees, agents, or representatives shall not and (B) use reasonable endeavours to ensure any Sub-charterer shall not, take any action or make any omission that results, or is reasonably likely to result, in the Charterer, the Charterer Guarantor, and Relevant Party or any Finance Party becoming a Restricted Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)neither the Charterer nor the Charterer Guarantor will, directly or indirectly, use the proceeds of the transaction contemplated by the Operative Documents, lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner or other person or take any other steps (a) to fund any activities of or business with any Restricted Party, (b) to fund any activities or business in any country or territory that, at the time of such funding, is the subject of Sanctions or (c) to take any action in any other manner that will result in a violation by any person (including any Finance Party or any other person participating in the transaction, whether as underwriter, advisor, investor or otherwise) of Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)the processing of any transaction by any Owner, the Representative Owner, the Registered Owner or any Finance Party in accordance with its instructions will not breach any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it, and each of the Charterer and the Charterer Guarantor will comply with (and to ensure that each of its Subsidiaries complies) in all respects with all applicable AML Law and Sanctions. Each of the Charterer and the Charterer Guarantor shall be acting for its own account in relation to the performance and discharge of its obligations and liabilities under the Operative Documents and the transactions and other arrangements effected or contemplated by the Operative Documents to which it is a party and the foregoing shall not involve or lead to a contravention of AML Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)no proceeds of the Loan shall be made available by the Charterer and the Charterer Guarantor, directly or indirectly, to or for the benefit of a Restricted Party, nor shall they otherwise be applied in a manner or for a purpose prohibited by Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)each of the Charterer and the Charterer Guarantor shall procure that no sum paid to the Finance Parties or the Owners in connection with the Operative Documents shall, directly or indirectly, to the actual knowledge of the Charterer or the Charterer Guarantor be derived from transactions prohibited by Sanctions;

it shall, and shall use its reasonable endeavours to procure that the Manager shall, inform each of the Representative Owner and the Registered Owner of any law in the Flag State in connection with the flagging, registration or operation of the Vessel compliance with which is necessary for any Relevant Party to perform its obligations

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under the Operative Document or is otherwise required by any Applicable Law in the Flag State;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)it will not permit the use or operation of the Vessel in any country or territory that at such time is the subject of Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it will limit its business exclusively to the chartering of the Vessel and the transaction contemplated by the Operative Documents and matters incidental to them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)other than as expressly allowed under the Operative Documents, the Charterer will not incur any liabilities other than Taxes and ordinary costs and overhead expenses or commit to any further investments or activities, in each case other than incurred in connection with the business described in paragraph (xvi) above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)each of the Charterer and the Charterer Guarantor shall ensure that all agreements and transactions entered into between them and their Affiliates shall be entered into and made on arm's length terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer further undertakes to the Owners that from the date of this Agreement until the date of performance in full by the Charterer of all of its obligations due or to become due under this Agreement or any other Operative Document, at its own cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) will obtain or cause to be obtained, make, maintain in full force and effect, promptly renew from time to time and comply in all material respects with the terms, conditions, Authorisation and restrictions (if any) imposed on the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) under, or in connection with, every consent or regulation of any Relevant Authority or Government Entity or required by Applicable Law and do, or cause to be done, all other filings, acts and things which may from time to time be required under Applicable Law for the continued due performance of all its obligations under, for the legality, validity, enforceability or admissibility in evidence of, the Operative Documents and to enable the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) to carry on its business;

each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) will continue to have the power to carry on its business as such business is now being conducted and to own its property and assets and it will obtain or cause to be obtained, make, maintain in full force and effect and comply in all material respects with the conditions, Authorisation and restrictions (if any) imposed on the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) in, or in connection with, every consent, and do, or cause to be done, all other acts and things which may from time to time be necessary to be done by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) under the Applicable Laws (other than

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the laws of Japan) or its constitutional documents to authorise the execution, delivery and performance of the Operative Documents to which it is or will be a party and the transactions contemplated thereby and for the continued due performance of all the obligations of the Owners as owners of the Vessel under, or for the legality, validity, enforceability, or admissibility in evidence of, each of the Operative Documents to which it is or will become a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)immediately upon but in any event no later than three (3) Business Days from the Charterer obtaining knowledge or becoming aware of the existence of the occurrence of any Default or any Event of Default, the Charterer will advise the Representative Owner and the Agent in writing thereof and of the action (if any) the Charterer is taking or proposing to take with respect thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)neither the Charterer nor the Charterer Guarantor will provide funds directly or indirectly (or any collateral capable of being transferred into funds) to any person so that such person will assume or guarantee all or any part of the Charterer's payment obligations under this Agreement or as collateral therefor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)neither the Charterer nor the Charterer Guarantor will enter into any deferred or conditional sale agreement with respect to the Vessel or in any manner deliver, transfer, relinquish possession of, or dispose of, the Vessel or this Agreement to any person without the written consent of the Representative Owner and the Agent (acting on the Lenders' instructions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)neither the Charterer nor the Charterer Guarantor will enter any arrangement with any third party which would allow or purport to allow that third party to claim the right to depreciate the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) will duly perform and observe those provisions of this Agreement and the other Operative Documents to which it is a party and ensure that this Agreement and other Operative Documents to which it is a party constitutes its legal, valid, binding and enforceable obligations;

the claims of the Owners, the Representative Owner, the Finance Parties and the Registered Owner against the Charterer, the

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Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) under the Operative Documents to which it is a party will rank at least *pari passu* with all present and future claims of all of the Charterer's, the Charterer Guarantor's or the Manager's (provided that the Manager is an Affiliate of the Charterer) unsecured and unsubordinated creditors save those whose claims are preferred by any bankruptcy, insolvency, liquidation or other similar laws of general application;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)each of the Charterer and the Charterer Guarantor will comply with all Applicable Laws and Sanctions by which it or its assets are bound in connection with the Vessel and the transactions contemplated by the Operative Documents and otherwise comply in all Applicable Laws and Sanctions binding on it or its assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)it will ensure that all financial and other information which is furnished in writing by it, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) or on its behalf under or in connection with this Agreement or any other Operative Documents to which it is a party will be true and not misleading in any material respect and will not omit any material fact or consideration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)none of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) will make any material change to the nature of its business from that carried on at the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)it shall at its own cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)obtain, comply with, renew and do all that is necessary to maintain in full force and effect; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)supply certified copies to the Representative Owner and the Agent of,

any Authorisation required under any Applicable Law of its jurisdiction of incorporation or registration to enable it, the Charterer Guarantor or the Manager to enter into, exercise its rights or perform its obligations under the Operative Documents and to ensure the legality, validity, enforceability or admissibility in evidence in its jurisdiction of incorporation or registration of any Operative Document to which it is a party the transactions contemplated thereby or any Transaction Security which it, the Charterer Guarantor or the Manager purports to create;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)each of the Charterer and the Charterer Guarantor shall, and it shall use reasonable endeavours to procure that the Manager shall comply in all respects with all laws to which it may be subject;

it shall not enter into any amalgamation, demerger, merger, consolidation, or corporate reconstruction, otherwise than under an intra-group re-organisation on a solvent basis or other transaction agreed by the Representative Owner and the Agent (acting on the instructions of the Majority Lenders);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)each of the Charterer and the Charterer Guarantor shall not, and it shall procure that the Manager shall not, enter into a single transaction or a series of transactions (whether related or not) to sell, charter, lease, transfer or otherwise dispose of or create a Lien or permit to subsist a Lien (other than a Permitted Lien or with the written consent of the Agent (acting on the instructions of the Majority Lenders and the Representative Owner)) to be created over the Insurances or any Security Assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it will procure that there will be no Change of Control Event without prior written consent of the Representative Owner and Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)the Charterer shall not (and shall procure that the Charterer Guarantor shall not):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)declare, make or pay any dividend, charge, fee or other distribution (or interest on any unpaid dividend, charge, fee or other distribution) (whether in cash or in kind) on or in respect of its shares (or any class of its shares);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)repay or distribute any dividend or share premium reserve;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)redeem, repurchase, defease, retire or repay any of its share capital or resolve to do so,

in the event that an Event of Default has occurred and is continuing or would occur as a result of such dividend or distribution or other payments set out above, or if, under Applicable Law and accounting principles in its jurisdiction of incorporation or registration, it is not entitled to do so;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)it shall notify, and shall use reasonable endeavours to procure that the Manager shall notify, the Representative Owner forthwith by email thereafter confirmed by letter of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any requirement or recommendation made by any insurer or by any competent authority which is not, or cannot be, complied with in accordance with its terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Environmental Loss made against it or in connection with the Vessel or its operation or any presence of Hazardous Material in contravention of Environmental Laws and the Charterer shall, and shall procure that the Manager shall, keep the Representative Owner and the Agent advised in writing on a regular basis and in such detail as Representative Owner or the Agent shall require;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)any other event which occurs in connection with the Vessel which has or is reasonably likely to have a Material Adverse Effect; and

the details of any legal, arbitration or administrative action involving the Charterer, the Vessel or any Operative Documents which are current, threatened or pending against

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the Charterer and which might, if adversely determined, have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)the Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)obtain and maintain throughout the Charter Period an Inventory of Hazardous Material in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)provide the Representative Owner and the Agent with a copy of the Inventory of Hazardous Materials for the Vessel and each update to, or amendment of, such Inventory of Hazardous Materials from time to time during the Charter Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)maintain a safe, sustainable and socially responsible policy with respect to the dismantling of the Vessel and the Vessel being taken out of service; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)ensure that, if during the Charter Period, the Vessel is sold for scrapping or sold to an intermediary with the intention of being scrapped, the Vessel is recycled at a recycling yard which conducts its recycling business in a socially and environmentally responsible manner, in accordance with the provisions of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.the Hong Kong Convention for the Safe and Environmentally Sound Recycling of Ships 2009 (if the Vessel is non-EU flagged);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.the International Maritime Organisation's Guidelines for the development of the Inventory of Hazardous Materials (Resolution MEPC.269(68)) (if the Vessel is non-EU flagged);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III.Regulation (EU) No. 127/2013 adopted by the EU Parliament and the Council of the European Union on 20 November 2013 (if the Vessel is EU flagged);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IV.Regulation (EU) No. 1275/2013 adopted by the EU Parliament and the Council of the European Union on 20 November 2013 (as it forms part of the domestic law of the United Kingdom by virtue of the 2018 Withdrawal Act) (if the Vessel is UK flagged); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;V.any other applicable laws or regulations relating to ship scrapping or ship recycling.

In this Clause 11(b)(xx), "**Inventory of Hazardous Material**" means, in relation to the Vessel, the inventory of any material or substance which is liable to create hazards to human health and/or the environment issued by the Vessel's Classification Society which includes a list of any and all materials known to be potentially hazardous utilised in the construction of the Vessel along with their respective location

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and approximate quantities, also referred to as List of Hazardous Materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer undertakes to the Owners that during the Charter Period and at all times until the date of performance in full by the Charterer of all of its obligations due or to become due under this Agreement or any other Operative Document:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it will remain to be a corporation duly incorporated and validly existing in goodstanding under the laws of the Marshall Islands;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)it will not, and shall use reasonable endeavours to procure that the Manager shall not, create or permit to exist any Lien on or in respect of the Vessel, Parts or other Security, title thereto, or any interest therein or, to the extent such systems are owned by it, its management, administrative, monitoring/management or information systems used in relation to the Vessel other than Permitted Liens and without prejudice to the foregoing or any other provisions hereof, it will make payment of claims, pay and discharge, or cause to be paid and discharged, when due and payable, all debts, damages, claims and liabilities (other than those which are being contested in good faith by appropriate proceedings (and for payment of which adequate reserves have been provided and are continued to be available)) which have given or may give rise to any Lien (other than a Permitted Lien) over or claims enforceable against the Vessel and will take reasonable steps to prevent a threatened arrest of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it will not do or permit to be done any act or thing which will jeopardise the Registered Owner's title in and to the Vessel or the Owners' or the Finance Parties' interest in the Vessel, and on all occasions when the ownership of the Vessel are relevant, make clear to third parties that such title is held by the Registered Owner subject to the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)it has not and will not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)pledge or grant any Security over the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)pledge the credit of the Owners, the Registered Owner, the Owner Parent or the Finance Parties for any maintenance, service or repairs to, or replacement or overhaul of, the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)do or permit to be done any act or thing which might jeopardise the rights and interests of the Owners, the Registered Owner and/or the Security Agent in respect of the Vessel; and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)omit or permit to be omitted to be done any act the omission which might jeopardise that title and those rights and interests,

without the Owners' and the Security Agent's consent;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)it will not, and will procure that the Manager will not (or if the Manager is not an Affiliate of the Charterer, use reasonable endeavours to procure that the Manager will not), from the Charter Commencement Date, put the Vessel into the possession of any person for the purpose of work being done upon her beyond the amount of five million Dollars (US$5,000,000) (or equivalent), other than for classification or scheduled dry docking unless such person shall have given an undertaking to the Security Agent not to exercise any Lien on the Vessel or Insurances for the cost of that work or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)it will promptly do all acts and things which the Owners or the Security Agent may reasonably require to evidence the interest of the Owners, the Registered Owner and/or the Security Agent in the Vessel, or to protect that interest against the claims of any person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)it will not engage in any business other than the direct or indirect ownership, operation and chartering of the Vessel and any business incidental thereto, nor shall it incur any Financial Indebtedness other than the Financial Indebtedness contemplated by the Operative Documents. The Charterer shall not create or permit to subsist any Lien over any of its assets other than Permitted Liens;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)it will procure that the Mortgage is recorded on the Charter Commencement Date and will procure that the Mortgage continues to be recorded as a first preferred mortgage on the shipping registry of the Marshall Islands;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)it will keep or cause to be placed and kept prominently displayed in the chart room and the Master's cabin of the Vessel a framed notice thereof, in plain type, in which the area of print shall not be less than 6 inches wide and 9 inches long, reading as follows:

![image_19.jpg](image_19.jpg)"NOTICE OF MORTGAGE

Under the terms of the said Mortgage neither the Registered Owner nor any Charterer nor the Master of this Vessel nor any other person has any right, power or authority to create, incur or permit to be imposed upon this Vessel any lien whatsoever other than for crew's wages and salvage."

Additionally, if required by the Owners, a separate framed notice (in the same font and size as the Notice of Mortgage) shall be displayed with the following text:

"This Vessel is owned by JLPS SHIP INVESTMENT MARSHALL 9 Co. and is subject to an instalment sale agreement from JLPS SHIP INVESTMENT MARSHALL 9 Co. in favour of JPV No. 23 Co., Ltd. and JPV No. 24 Co., Ltd. as owners and a bareboat charter agreement

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from JPV No. 23 Co., Ltd. and JPV No. 24 Co., Ltd. as owners and JPV No. 23 Co., Ltd. as representative owner in favour of Flex LNG Courageous Limited as charterer."

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)it will at its own cost, promptly register, file, record or enrol any Operative Document with any court or authority, or public office, pay any stamp, registration or similar tax payable in respect of any Operative Document, give any notice or take any other step which, in the reasonable opinion of the Owners and the Security Agent, is or has become necessary or desirable for any Operative Document to be valid, legal, enforceable or admissible in evidence or to ensure or protect the priority of the Transaction Security;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)it shall not take any action, enter into any document or agreement or omit to take any action or to enter into any document or agreement which would, or could reasonably be expected to, cause any Insurances, the Management Agreement or any Sub-charter to cease to remain in full force and effect or be terminated and shall use all reasonable endeavours to procure that each other party to any Insurances, the Management Agreement or any Sub-charter does not take any action, enter into any document or agreement or omit to take any action or to enter into any document or agreement which would, or could reasonably be expected to, cause any the Insurances, the Management Agreement or any Sub-charter to cease to remain in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)it shall procure that the proceeds from a Total Loss of the Vessel shall be applied in accordance with Appendix B of the Security Assignment. For and so long as the Charterer holds any such proceeds as aforesaid, it shall do so on trust for the Owners and the Security Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)it will from time to time if requested by the Representative Owner or the Agent (acting reasonably) provide the requesting party with evidence in form and substance satisfactory to that party that it remains in good standing; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it shall deliver to the Representative Owner and the Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)on 31 December of the year of Delivery and of each year following Delivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)upon the Vessel no longer being subject to a Sub-charter; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)upon the occurrence of an Event of Default,

two (2) valuations of the Vessel (each from an Approved Valuer) showing its market value provided that the Charterer shall not be obliged to deliver more than one set of two valuations in any 365-day period unless an Event of Default has occurred which is continuing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall pay and discharge all Taxes imposed upon it or its assets within the time period allowed without incurring penalties unless and only to the extent that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)such payment is being contested in good faith;

adequate reserves are being maintained for those Taxes and the costs required to contest them; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)such payment can be lawfully withheld and failure to pay those Taxes does not have or is not reasonably likely to have a Material Adverse Effect.

The Charterer shall not change its residence for Tax purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Each Owner hereby undertakes and agrees with the Charterer that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it shall not create or permit to exist any Owner Lien on or with respect to the Vessel or Parts, title thereto or any interest therein and that it will promptly, at its own expense, take such action as may be necessary duly to discharge any such Owner Lien;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)unless and until the Owners have given a notice of termination in accordance with Clause 19(b)(i) or an Event of Default is continuing, the Charterer shall not be disturbed or interfered with in its quiet, peaceful and continuing possession, use and enjoyment of the Vessel due to any act or failure to act on the part of any Relevant Party or any person claiming through or under any Relevant Party (other than a Finance Party); provided always that no Relevant Party shall be liable to the Charterer or any other person for any interruption or disturbance to the Charterer's or such other person's quiet, peaceful use, or continued enjoyment of the Vessel as a result of (A) a defect in the Registered Owner's ownership of or title to the Vessel as transferred to the Registered Owner by the Charterer, (B) any act or failure to act on the part of the Charterer, the Manager or such other person (which act or failure itself gave rise to or caused such interruption or disturbance) or (C) compliance by any Relevant Party with any Applicable Law, provided that if any Relevant Party becomes aware that there has been or there is pending a change in any Applicable Law which would result in any such interruption or disturbance to the Charterer's or such other person's quiet, peaceful use, or continued enjoyment of the Vessel, the Representative Owner shall immediately notify the Charterer of the nature of such change or pending change;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it is and will continue to be a majority owned subsidiary of the Owner Parent and has and will limit its business and activities to the transactions contemplated or permitted by the Operative Documents and the Tokumei Kumiai Agreements and matters incidental thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)it shall not have a Tax Residence in any country other than Japan and shall not carry on any trade or business in the Marshall Islands through its branch or agency established in the Marshall Islands (unless a Tax Residence is deemed to exist under the Applicable Laws solely as a result of the participation by it in the transactions contemplated in the Operative Documents);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)it will obtain, make and maintain in full force and effect, promptly renew from time to time and comply with the terms of all consents, which may from time to time be required under Applicable Law in Japan;

it will not take any actions that would result in the termination or cancellation of the Insurances;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)it will maintain its existence as corporation organised and existing under the laws of its jurisdiction of incorporation in compliance with all Applicable Law of its jurisdiction of incorporation and will not, without the prior written consent of the Charterer and the Agent (acting on the instructions of all the Lenders), make or consent to any amendment or change in any material respect to its articles of incorporation or any other constitutional documents, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)it will comply with all Applicable Law in the jurisdiction of its incorporation binding on it or any of its property and obtain from time to time and, at its own cost and expense, maintain in full force and effect and, when necessary, renew all Authorisations of or registrations or filings with or exemptions by any Governmental Entity in the jurisdiction of its incorporation and all notarisations of any person and take all actions which may at any time be required, advisable or otherwise reasonably required by the Charterer under Applicable Law in the jurisdiction of its incorporation in order to enable it to perform its obligations under the Operative Documents to which it is or will be a party and to ensure the validity, enforceability or admissibility in evidence thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)it will comply with and perform all the obligations expressed to be assumed by it in each Operative Document to which it is a party in accordance with the terms thereof and with all Applicable Laws of its state of incorporation applicable to it in connection with the transactions contemplated by the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)it will notify the Charterer promptly after becoming aware of the occurrence of any Relevant Party Event or Acceleration Event that is not attributable to any Overriding Cause and provide the Charterer with the details of any steps it is taking, or proposes to take, in order to remedy or mitigate the effect of such any Relevant Party Event or any Acceleration Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)it will not amend, vary, modify, waive or supplement or novate or consent to the amendment or supplement to or any variation, waiver or modification of or any novation of any of the Operative Documents to which it is a party without the prior written consent of the Charterer and the Agent;

except as contemplated or permitted by the Operative Documents, it will not sell, lease, mortgage, charge or otherwise dispose of, directly or indirectly create, incur, assume or permit or cause to exist any Owner Lien over, the Vessel, the Security Assets or the Insurances, or any of its rights or interests in or under any of the Operative Documents to which it is a party (other than with respect to any Excluded Property) or purport to do so or give any consents pursuant to or in accordance with any of the Operative Documents to which it is a party to any person to any sale, lease, mortgage, charge, Lien or disposal of such person's rights or interests in or under any of the Operative Documents to which it is a party (other than with respect to any Excluded Property) without the prior written consent of the Charterer and the Agent;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)without prejudice to the provisions of Subclause (xii) above, it will inform the Charterer promptly upon becoming aware of any Owner Lien which may be created or may arise over or in respect of the Vessel, the Security Assets or the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)it will promptly inform the Charterer after becoming aware of the institution or commencement of any dispute, litigation, administrative or other proceedings before any judicial, administrative, arbitration or government authority which is likely to have a Material Adverse Effect on its ability to perform its obligations under the Operative Documents to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)it undertakes to remain a resident in Japan for Japanese tax purposes and not a tax resident in any other jurisdiction, save where any other tax residency is deemed to be established by an Applicable Law as a consequence of the entry into and performance of the Operative Documents or the transactions contemplated thereby;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it shall promptly pay or procure that there are promptly paid and shall procure that the Registered Owner promptly pays or procure that there are promptly paid, when due and payable, all licence and registration fees and all Taxes of any nature (together with any penalties, fines or interest thereon) assessed and demanded by any government or any revenue authority of its State of Incorporation upon or with respect to the Vessel provided that, in respect of any fees and Taxes in relation to which the Owners or the Registered Owner are entitled to an indemnity by the Charterer or any other party, the Owners or, as the case may be, the Registered Owner, shall have been fully indemnified; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)it shall cooperate in good faith, and procure the Registered Owner's good-faith cooperation, with the Charterer and take any action reasonably required by the Charterer, in each case in order for the Charterer to comply with the obligations set forth in Clauses 11(f)(i) and 11(f)(ii).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)at its own cost, assume or procure the assumption of the liabilities and responsibilities of the Owners and the Registered Owner under the Emission Legislation, and provide a duly executed and, if required by any Owner, notarised and apostilled original of the EU-ETS Mandate Letter and take such action for such EU-ETS Mandate Letter to be submitted to and recorded by the relevant administering authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)comply with all Emissions Legislation applicable to it (including reporting thereunder), and implement procedures to monitor compliance with and to prevent liability under such Emissions Legislation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)![image_20.jpg](image_20.jpg)

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![image_21.jpg](image_21.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)![image_22.jpg](image_22.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)![image_23.jpg](image_23.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)whenever requested by the Representative Owner, promptly provide to the Representative Owner particulars of all and any outstanding

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charges due or collectable by the relevant entities charged with administering compliance with Emissions Legislation applicable to it or in respect of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)pay or cause to be paid all amounts required to be paid by it, any Owner or the Registered Owner in respect of the Vessel arising out of or in connection with the Emissions Legislation, and the Charterer will promptly, and in any event within five (5) Business Days of demand, indemnify each Owner and the Registered Owner for any and all amounts required to be paid by the Owners or the Registered Owner in connection with the Emissions Legislation in respect of the Vessel, together with (i) all losses, costs and expenses suffered or incurred by the Owners and the Registered Owner in connection with compliance by them with the Emissions Regulations in respect of the Vessel, and (ii) any penalties, charges or other amounts levied against any Owner or the Registered Owner due to any breach by the Charterer of its obligations under this Clause 11(f).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The Charterer shall procure that the Charterer Guarantor (i) shall maintain its listing on the New York Stock Exchange or any other reputable exchange agreed by the Owners and the Agent (acting on the instructions of all the Lenders) and (ii) shall not delist from such exchange without the prior

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written consent of the Owners and the Agent (acting on the instructions of all the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;**12.REGISTRATION, POSSESSION, SUB-CHARTERING AND MANAGEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer shall maintain and cause to be maintained the Vessel as permanently registered with the shipping registry of the Marshall Islands and shall operate the Vessel always under the flag of the Marshall Islands, and not make or cause to be made registration of the Vessel or its bareboat chartering in any jurisdiction other than the Marshall Islands, without the prior written consent of the Representative Owner and the Agent (acting on the instructions of all the Lenders). Any change in flag will be at no cost and expense, and should not result in any increased risk, to the Owners, the Registered Owner or the Finance Parties. Notwithstanding the foregoing, the use of any flag agreed by the Representative Owner and Agent will be on the condition that the inspections for the Vessel are, and will continue to be, undertaken by the Classification Society.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In relation to any sub-chartering of the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)subject to Clause 12(b)(ii) below, the Charterer may not sub-let or sub-charter the Vessel other than pursuant to a Sub-charter with a Sub-charterer or relinquish possession of the Vessel for any period unless the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of all the Lenders) has been obtained;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Charterer has entered into the Initial Sub-charter (and in relation therewith, each of the Owners, the Registered Owner and the Security Agent acknowledges that it has reviewed the Initial Sub-charter and is satisfied with the terms and provisions therein); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)subject as provided in this Clause 12(b), the Charterer undertakes that the Vessel shall not be subject to any charterparty or contract of employment prior to the scheduled expiry of the Initial Sub-Charter in accordance with its terms except (A) this Agreement, (B) the Initial Sub-charter or (C) any replacement Sub-charter with any replacement Sub-charterer.

Until the end of the Charter Period, each of the Charterer and the Manager shall notify the Representative Owner, the Registered Owner and the Agent promptly in writing of the levy of any statutory right or distress on the Vessel or her arrest, detention, seizure, condemnation as prize, or other claims or action otherwise taken against the Vessel or Compulsory Acquisition or requisition for hire or use and (save in the case of Compulsory Acquisition or requisition for hire or use) obtain her release within twenty (20) days unless contested in good faith, with an additional thirty (30) days to procure the discharge, and a further thirty (30) days to so procure where the Charterer or the Charterer Guarantor demonstrates to the satisfaction of the Representative Owner and the Agent (each acting reasonably) that the Charterer or the Charterer Guarantor, as the case may be, continues to contest such arrest, attachment, levy or detention in good faith.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer undertakes that it will not accept advance payment from any Sub-charterer for any amount in excess of one month's charterhire under the relevant Sub-charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)No delivery, transfer or other relinquishment of possession of the Vessel shall in any way discharge or diminish any of the Charterer's obligations to the Owners and the Representative hereunder or the rights of the Owners and the Representative Owner under the Operative Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)In the event that the Vessel is chartered or let pursuant to Clauses 12(b) to 12(e):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Charterer shall always remain primarily liable with respect to its obligations hereunder, including without limitation, the obligation to pay the Charter Hire and the obligations with respect to the use, operation, maintenance, custody and insurance and the Owners, the Registered Owner and the Finance Parties shall not be under any obligations or liability under any Sub-charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)with the exception of the Initial Sub-charter, which shall be subject to the terms of the Quiet Enjoyment Letters, the relevant Sub-charter or letting shall be an operating lease and always be subject and subordinate to this Agreement and the rights of the Owners and the Representative Owner hereunder and the Finance Parties under the other Operative Documents and therefore, any termination of this Agreement pursuant to any provision hereof will result in a termination of any Sub-charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)neither the Owners nor the Finance Parties shall be obliged to enforce against any Sub-charterer any term of any Sub-charter, or to make any enquiries as to the nature or sufficiency of payment received by the Owners or the Finance Parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the term of each Sub-charter shall not extend beyond the Charter Period unless the Charterer has exercised its option to purchase the Vessel under Clause 21(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)no Sub-charter shall be subject to a purchase option by the Sub-charterer or any other person unless the Charterer has exercised its option to purchase the Vessel under Clause 21(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)an assignment by the Charterer of the Vessel's earnings and requisition compensation under the Sub-charter shall be provided in favour of the Owners; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)an assignment of the Charterer's interests under the Initial Sub-charter or any replacement Sub-charter, with acknowledgement to the notice of assignment of the Sub-charterer shall be procured by the Charterer (on a best efforts basis in respect of any Sub-charter other than the Initial Sub-charter where it shall be a requirement).

At all times, the Charterer shall advise the Representative Owner and the Security Agent of any Sub-charter Breach of the terms of any Sub-charter of which the Charterer becomes aware, and upon the occurrence of any such event, the Representative Owner and the Security Agent shall be

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(acting on the instructions of the Majority Lenders) entitled (but not obliged) to require that the Charterer exercises all of its rights under any Sub-charter including, where applicable, the termination of such Sub-charter in respect of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)In respect of the management of Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)the Charterer shall ensure that either by itself or through any Manager appointed by it or the Sub-charterer the Vessel and the relevant Sub-charter shall be managed and administered with a standard a reputable international LNG carrier charterer would apply in the applicable circumstances having regard, where applicable, to the ownership interest of the Owners in the Vessel, the Liens of the Security Agent in the Vessel, the credit standing and status of the relevant Sub-charterer and the terms of the relevant Sub-charter. The Initial Sub-charter and the management arrangements contemplated under the Management Agreement are deemed to comply with such standard of care;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Charterer shall not terminate the Initial Sub-charter or any replacement Sub-charter at any time, waive any defaults thereunder or amend the terms of the Initial Sub-charter or any replacement Sub-charter, or any related document without the prior consent of the Representative Owner and the Security Agent (such consent not to be unreasonably withheld or delayed). In this respect, any changes or waivers (i) relating to the counterparty, the charter period, termination and/or daily charter rate under the Initial Sub-charter or any replacement Sub-charter and/or (ii) adversely affecting the rights and interest of the Owners, the Representative Owner, the Registered Owner or the Finance Parties in respect of the Initial Sub-charter or any replacement Sub-charter shall always be considered material. Notwithstanding the foregoing, the Charterer shall provide the Representative Owner and the Security Agent with at least ten

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) Business Days' written notice prior to making, or agreeing to make, any change (material or otherwise) which is being documented in writing by formal agreement or letter to the Initial Sub-Charter, any replacement Sub-Charter or any related document. For the avoidance of doubt, if the Representative Owner or the Security Agent considers any such change to be material, the Charterer shall not proceed with that change without the prior consent of the Representative Owner and the Security Agent;

the Charterer shall procure that all Earnings and all other amounts (including, without limitation, hire and any purchase option payment) payable under any Sub-charter shall be paid to the Charterer Account and the Charterer shall pay all Charter Hire and all other amounts payable hereunder from the Charterer Account (for the avoidance of doubt, which shall by no means be considered as a limitation on recourse to the Charterer). The Charterer shall only be entitled to withdraw money from time to time standing to the credit of the Charterer Account so long as no Default or Event of Default has occurred and is continuing or, in the reasonable consideration of the Owners or the Security Agent (which has been notified to the Charterer), will occur imminently or as a result of the withdrawal. The Owners or the Security Agent shall be permitted to obtain (and

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the Charterer shall procure that they receive) a statement of account of the Charterer Account anytime the Representative Owner or the Security Agent so requests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)for the avoidance of doubt, and without prejudice to the Charterer's general operational indemnities under Clause 8 (*Costs and Indemnities*), the Charterer shall indemnify the Owners, the Registered Owner and the Finance Parties for all reasonable costs or fees that could become payable by the Owners, the Registered Owner or any Finance Party following any Charterer's decision or action when exercising its rights in relation to the management of Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;**13.OPERATION AND MAINTENANCE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer will not and will procure that the Manager will not cause or permit the Vessel to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)trade to St Lawrence River/Great Lakes areas and/or countries banned or boycotted by the United Nations or countries subject to Sanctions, other than in accordance with relevant exemptions to such Sanctions, or to be operated in any way inconsistent with Sanctions or the provisions or warranties of, or implied in, or outside the cover provided by, any Insurance (including but not limited to the Institute Warranty Limits) or to be engaged in any voyage or to carry or store any cargo or goods not permitted by any Insurances without first covering the Vessel and her freights for an amount approved by the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders) in Dollars or another approved currency with the Insurers; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)be employed in any manner which will or may give rise to any reasonable degree of likelihood that the Vessel would be liable to requisition, confiscation, forfeiture, seizure, destruction or condemnation as prize.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)With respect to the Vessel, the Charterer undertakes with the Owners that until it has acquired title to the Vessel pursuant to Clause 22 (*Transfer of Title to Vessel*) or complied with all its obligations under Clause 17 (*Redelivery*) it will and will procure that the Manager will:

comply with all applicable Environmental Laws including, without limitation, requirements relating to the establishment of financial responsibility (and shall require that all Environmental Representatives of the Charterer and the Manager comply with all applicable Environmental Laws and obtain, maintain and comply with all required Environmental Approvals, which Environmental Laws and Environmental Approvals relate to the Vessel or her operation or her carriage of cargo) applicable to the Vessel from time to time and implement procedures to monitor compliance with and prevent liability under any existing Environmental Laws;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)promptly upon the occurrence of any of the following events, provide to the Representative Owner and the Security Agent a certificate of an officer of the Charterer or of the Charterer's agents specifying in detail the nature of the event concerned:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the receipt by the Charterer or the Manager or any Environmental Representative (where the Charterer has knowledge of the receipt) of any Environmental Claim which, if adversely determined, is reasonably likely to have a Material Adverse Effect or any faults or circumstances which may give rise to such Environmental Claim; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Release of Hazardous Materials, applicable to the Vessel from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)comply with all Applicable Laws applicable, in each case, to the Vessel, the Charterer or any permitted Sub-charterers applicable to the Vessel from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)not to employ the Vessel or permit its employment in any manner, trade or business which is forbidden by any Applicable Law, or is otherwise unlawful or illicit under any relevant jurisdiction, or in carrying illicit or prohibited goods, or in any manner whatsoever which may render it liable to condemnation as a prize or to destruction, seizure, confiscation, penalty or sanctions and, in the event of hostilities in any part of the world (whether war be declared or not), not to employ the Vessel or permit her employment in carrying contraband goods, or to enter or trade to or continue to trade in any zone which is a war-like zone or declared a war zone by any Government Entity or by the Vessel's war risk insurers or otherwise ports prohibited by any countries or flag states unless in the case of the breach of Institute Warranty Limits, appropriate insurance cover or other special insurance cover as the Security Agent may require shall first have been effected by the Charterer at its own expense and to be delivered to the Security Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)ensure that the Vessel is operated properly at all times in accordance with its design requirements and subject to any limitations placed on such operation by that design, by the builder or repairer of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)promptly pay all tolls, dues and other outgoings whatsoever in respect of the Vessel and the Insurances and keep proper books of account in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)take such steps as are reasonably practicable to ensure that the Vessel and all constituent parts thereof will be safe and without risk to health when properly used and will (without prejudice to the generality of the foregoing):

take such steps as are reasonably practicable to ensure that any defects in the Vessel and all constituent parts thereof which could be or cause a danger to safety and/or a risk to health shall be made good;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)take such action as is reasonably practicable to see that appropriate safety measures are adopted; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)not use or permit the Vessel or any constituent parts thereof to be used beyond their limits and capacities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)comply with all Applicable Laws of (A) the Marshall Islands and the rules of the shipping registry of the Marshall Islands related to the Vessel and the laws of any other jurisdiction in which the Vessel may from time to time be registered, operated, chartered and/or maintained, and (B) any country or state in which the Vessel is from time to time located or to which the Vessel may trade or be employed, where non-compliance would adversely prejudice the interests of any of the Registered Owner or the Owners in the Vessel or the interest of the Security Agent as mortgagee of the Vessel in any material manner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)comply and do or cause to be done all things necessary to comply with all national and international conventions, laws and the rules and regulations thereunder, applicable to the Charterer, the Manager and/or the Vessel, including, according to any limitation in force generally under such conventions, laws, rules and regulations

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The International Convention on Civil Liability for Oil Pollution Damage, (B) (if the Vessel is operated in waters under the jurisdiction of the United States) the United States Oil Pollution Act of 1990 (including, according to any limitation, in force generally under such conventions, laws, rules and regulations and according to practicality reasonable by good trade standards, the manning requirements and the requirements relating to the establishment of financial responsibility), the United States Comprehensive Environmental Response Compensation and Liability Act and other

U.S. federal and state laws, (C) MARPOL, (D) other international conventions, laws, rules and regulations relating to the environmental matters, discharges of oil, petroleum, petroleum products and distillates, pollutants and other substances, and (E) all other Applicable Laws in respect of the operation of the Vessel, and obtain, comply with and have on board, as and when required, valid permits, certificates or licenses relating to the use, operation or maintenance of the Vessel, in each such case, to the extent applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)ensure that the Vessel is, at all times:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)subject to a Safety Management System in compliance with the ISM Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in possession of a valid Safety Management Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)operated by an operator in possession of a valid and appropriate Document of Compliance (which is held on board the Vessel);

in possession of a valid International Ship Security (ISS) Certificate pursuant to the ISPS Code and that its security system and its associated security equipment comply with

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section 19.1 of Part A of the ISPS Code and in all respects with the applicable requirements of Chapter XI-2 of SOLAS and Part A of the ISPS Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)in possession of a valid International Air Pollution Prevention Certificate (IAPPC) under Annex VI (Regulations for the Prevention of Air Pollution from Ships) to MARPOL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)be responsible for compliance by itself and by the Vessel with parts of the ISM Code and/or ISPS Code which are required to be observed by the Vessel or by persons responsible for its operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)deliver to the Representative Owner and the Security Agent, at or before the Charter Commencement Date, a copy of a valid Safety Management Certificate and a valid Document of Compliance in respect of the Vessel, in each case duly certified by an officer of the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)promptly notify the Representative Owner and the Security Agent of the identity of the person ashore designated for the purposes of paragraph 4 of the ISM Code and of any change in the identity of that person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)promptly upon becoming aware of the same notify the Representative Owner and the Security Agent of the occurrence of any accident or major non conformity (as defined in the ISM Code) requiring action under the ISM Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)from time to time promptly notify the Registered Owner, the Representative Owner and/or the Security Agent, furnish the Registered Owner, the Representative Owner and/or the Security Agent with all such information as the Registered Owner, the Representative Owner and/or the Security Agent from time to time reasonably require regarding the Vessel's compliance with the ISM Code and the ISPS Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)promptly notify the Registered Owner, the Representative Owner and the Security Agent forthwith of any actual or threatened withdrawal of a Safety Management Certificate pursuant to the ISM Code, an International Ship Security (ISS) Certificate pursuant to the ISPS Code or an International Air Pollution Prevention Certificate (IAPPC) pursuant to Annex VI (Regulations for the Prevention of Air Pollution from Ships) to MARPOL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)not employ and will procure that the Vessel is not employed by it, any operator or Sub-charterer of the Vessel in breach of any Sanctions;

procure that neither the Owners nor any Finance Party is at any time represented as carrying goods in or providing any other service from the Vessel, or as being in any way connected or associated with any operation of carriage or other service which may be undertaken by the Charterer, or as having any operational interest in, or responsibility for, the Vessel;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)not do or suffer to be done anything whereby the preliminary or permanent registrations of the Vessel may be imperilled or forfeited, and not to change or cause to be changed the name of the Vessel without the prior written consent of the Representative Owner and the Security Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii)keep, in accordance with the good practice of a vessel owner, accurate, complete and up-to-date records of all the locations of the Vessel and of all maintenance, repairs, alterations, modifications and additions to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix)subject to the terms of the Initial Sub-charter and the Quiet Enjoyment Letters, permit the Owners, the Security Agent or their representatives at any time and with reasonable access to the Vessel to inspect, examine or survey the Vessel on board or instruct a duly authorised surveyor to carry out such survey on its behalf to ascertain the condition of the Vessel and satisfy itself that the Vessel is being properly repaired and maintained and that the Charterer is otherwise in compliance with the terms of this Agreement, and take copies of the Manuals and Technical Records **provided that** unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)a Default and/or an Acceleration Event has occurred;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)as a result of such inspection, examination or survey is found to have occurred and is continuing; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the Charterer (i) has advised the Representative Owner on or prior to the Early Buy-out Option Notification Cut-off Date that it will not exercise the Early Buy-out Option or (ii) has not provided the Representative Owner by the Early Buy-out Option Notification Cut-off Date with a notice to exercise the Early Buy-out Option,

each inspection shall be without interference to the normal operations of the Vessel and the Charterer shall only bear the costs of such inspection or survey once in every 12-month period (unless any of the circumstances specified in (A) to (C) above apply, in which case the Charterer shall bear the costs of all such inspections). For this purpose, the Charterer shall give all reasonable assistance in connection with any inspection, examination or survey pursuant to the terms of this Clause 13(b)(xxi) and the Charterer or the Manager shall keep the Representative Owner and the Security Agent advised of the intended maintenance or employment of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx)promptly discharge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)all liabilities of the Charterer and/or the Manager which give or may give rise to maritime or possessory liens on or claims enforceable against the Vessel and shall prevent a threatened arrest of the Vessel;

pay and discharge when due all dues, Taxes, assessments, governmental charges, fines and penalties lawfully imposed on or in respect of the Vessel, the Charterer or the Manager except those which are being disputed in good faith by

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appropriate proceedings (and for the payment of which adequate reserves have been provided or are and continue to be available) and **provided that** the continued existence of such dues, Taxes, assessments, governmental charges, fines or penalties does not give rise to any likelihood that the Vessel would be liable to arrest, requisition, confiscation, forfeiture, seizure, destruction or condemnation as prize;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)all tolls, dues, premia and other outgoings whatsoever in respect of the Vessel and her Earnings and Insurances (except those being contested in good faith by appropriate proceedings and the continued existence of which do not give rise to any likelihood that the Vessel would be liable to arrest, requisition, confiscation, forfeiture, seizure, destruction or condemnation as prize) and to keep proper books of account in respect of the Vessel and her Earnings and, as and when the Security Agent and/or the Owners may so require, to make such books available for inspection on behalf of the Security Agent and/or the Owners and to furnish satisfactory evidence that the wages and allotments and the insurance and pension contributions of the Master and crew are being promptly and regularly paid and that all deductions from crew's wages in respect of any tax liability are being properly accounted for and that the Master has no claim for disbursements other than those incurred by him in the ordinary course of trading on the voyage then in progress;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)pay and discharge all other obligations and liabilities whatsoever in respect of the Vessel and the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi)ensure that the Vessel is technically managed by the Manager or another reputable manager acceptable to the Representative Owner and the Security Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii)ensure that the Vessel is commercially managed by the Manager or another reputable manager acceptable to the Representative Owner and the Security Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii)not terminate or materially vary the terms of the Management Agreements or change the Manager, provided that the Charterer shall be entitled so to do with the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of all the Lenders); and

not charter the Vessel or permit the Vessel to serve under any contract of affreightment with any foreign country or national of any foreign country which would be contrary to Applicable Law or would render any Operative Document or the security conferred by the Security Documents unlawful.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer further undertakes with the Owners that until it has acquired title to the Vessel pursuant to Clause 22 (*Transfer of Title to Vessel*) or complied with all its obligations under Clause 17 (*Redelivery*) it will and will procure that the Manager will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)at all times throughout the Charter Period and at its own expense, maintain and preserve the Vessel in good condition and working order and in accordance with the requirements of the Classification Society and otherwise in accordance with industry best practice for vessels of the same age, type and service;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)at its own cost, maintain, service, repair, overhaul and keep the Vessel, her machinery and all equipment and cause the same to be kept and maintained at all times, in seaworthy and good working condition so as to comply with all Applicable Laws, and all Classification Society requirements, free of all overdue requirements and recommendations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)at its own costs, renew and replace or cause to be renewed or replaced all parts, machinery and equipment as and when they shall become worn out, damaged or lost by other parts, machinery and equipment of a similar nature (both as regards workmanship and quality of materials) as not to diminish the value of the Vessel and in any event of at least equal value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)regularly during the Charter Period and at its own expense, submit the Vessel to annual survey, intermediate survey and special survey (Hull) in accordance with the rules of the Classification Society and such other periodical or other surveys as may be required for classification purposes and shall comply with all requirements and recommendations of the Classification Society by which the Vessel shall then be classed and shall keep the Vessel's continuous machinery survey certificate current at all times and, upon request by the Representative Owner, the Registered Owner or the Agent, provide to the Representative Owner, the Registered Owner and the Agent copies of all survey reports and certificates issued in respect thereof;

subject to the terms of the Initial Sub-charter or any replacement Sub-charter, during the Charter Period, the Charterer shall, at its own cost and expense (a) submit the Vessel to such periodical or other surveys as may be required for classification purposes (and, in respect of any year prior to the end of the Charter Period in which no special survey or dry docking is required for classification purposes, the Charterer will ensure that a normal survey is undertaken, in each case so as to ensure that the Vessel is certified as class maintained by the Classification Society) and if so required by the Owners or the Security Agent, supply to the Representative Owner and the Security Agent copies of all survey reports in respect thereof and keep the Vessel's continuous machinery survey certificate at all times and (b) cause and ensure that the Vessel and the maintenance or operation thereof shall, at all times, comply with all applicable laws, treaties and conventions, and rules and regulations issued thereunder and shall have all equipment and accessories required thereby, and shall have on board, when made thereby, valid

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certificates showing compliance therewith. If any improvement, structural changes or new equipment in respect of the Vessel and/or her equipment or accessories becomes necessary for the continued operation of the Vessel by reason of new class requirement or by legislation (in each case to the extent such class requirement or legislation is mandatory), any additions, modification or new enactment under any laws, treaties, conventions, rules or regulations (including IMO), the same shall be complied with by the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)at its own cost, keep the Vessel, and cause the same to be kept, in such condition as will entitle the Vessel to remain in class with American Bureau of Shipping or other Classification Society and procure that Classification Society's recommendations are dealt with in a timely manner in accordance with class requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)not without the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders), change the Classification Society of the Vessel or its classification, and the Charterer shall procure that the Representative Owner and the Security Agent upon request are granted access to the class records of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)not without the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders), cause or permit to be made any substantial change in the structure, type or performance characteristics (including, without limitation the speed of the Vessel) of the Vessel or reduce its value and provide prior written notification of any proposed substantial changes in structure, type or performance characteristics of the Vessel to the Representative Owner and Security Agent and, furthermore, provide confirmation to the Representative Owner and the Security Agent that such substantial change in structure, type or performance characteristics of the Vessel shall not result in a breach of any covenant under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)if the Charterer shall pay any expenses, necessary or desirable, whether or not such payment is for goods or services which are likely to preserve or increase the value of the Vessel or its equipment or appurtenances, not have any right to any recovery or indemnification from the Owners, the Representative Owner or the Registered Owner therefor, and the Charterer hereby irrevocably waives the benefit of any law which would otherwise entitle the Charterer to such recovery or indemnification. Even though the value of the Vessel is increased by the alteration of the Vessel by the Charterer pursuant to the foregoing provisions, the amount of the Charter Hire or any other amount payable by the Charterer hereunder shall not be increased or decreased thereby;

not remove any material part of the Vessel or any item of equipment installed on the Vessel unless the part or item so removed is forthwith replaced by a suitable part or item which is in the same condition as or better condition than the part or item removed, is free from any Liens (other than a Permitted Lien) or any right in favour of any person other than the Owners or the Security Agent and

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becomes on installation on the Vessel the property of the Registered Owner and subject to the security constituted by the relevant Operative Document(s) (including, without limitation, the Mortgage), **provided that** the Charterer may install and remove equipment owned by a third party if the equipment can be removed without any reasonable risk of damage to the Vessel; provided that any damage to the Vessel occurs due to such removal the Charterer shall promptly repair the Vessel at its own cost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)be liable for any repairs wrongly made, or of a quality inferior to the standard required by the applicable Classification Society;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)be responsible for removal of all debris and shoring from the Vessel prior to its return to the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)maintain, in accordance with the best practice of a vessel owner, all Manuals and Technical Records which are required to be maintained in respect of the Vessel to comply with any Applicable Laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)the Charterer shall notify the Representative Owner and the Agent of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any intended dry docking of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any requirement or recommendation imposed by the Vessel's classification society or any competent authority which is not immediately complied with;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)any exercise or purported exercise of any lien on the Vessel or her Earnings; and

any casualty or other accident or damage to the Vessel the cost of which to repair may exceed five million Dollars ($5,000,000) (and shall promptly provide the Representative Owner and the Agent with full information regarding such casualty or other accident or damage together with all H&M survey reports in connection therewith); and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)the Charterer shall, upon the request of any Relevant Lender and at its cost, on or before 31 July in each calendar year, supply or procure the supply to the Agent (for transmission to the applicable Relevant Lender) of all information necessary in order for any Relevant Lender to comply with its obligations under the Poseidon Principles in respect of the preceding calendar year, including, without limitation, all ship fuel oil consumption data required to be collected and reported in accordance with regulation 22A of Annex VI and any Statement of Compliance, in each case relating to the Vessel for the preceding calendar year, provided that no Relevant Lender shall publicly disclose such information with the identity of the Vessel without the prior written consent of the Charterer and, for the avoidance of doubt, such information shall be confidential information for the purposes of Clause 26(b) but the Charterer acknowledges that, in accordance with the Poseidon Principles, such information will form part of the information published regarding the applicable Relevant Lender's portfolio climate alignment. For these purposes:

"**Poseidon Principles**" means the financial industry framework for assessing and disclosing the climate alignment of ship finance portfolios published on 18 June 2019 as the same may be amended or replaced (to reflect changes in applicable law or regulation or the introduction of, or changes to, mandatory requirements of the International Maritime Organization) from time to time.

"**Relevant Lender**" means a Lender which has, at any time during the Charter Period, become a signatory to the Poseidon Principles.

"**Statement of Compliance**" means a statement of compliance related to fuel oil consumption pursuant to regulations 6.6 and 6.7 of Annex VI of the Protocol of 1997 (as subsequently amended from time to time) to amend the International Convention for the Prevention of Pollution from Ships 1973 (Marpol), as modified by the Protocol of 1978 relating thereto. All costs and expenses incurred by the Charterer in the performance of its obligations under this Clause 13 (*Operation and Maintenance*) shall be for the account of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;**14.INFORMATION UNDERTAKINGS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)**Financial Statements**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer shall supply to the Representative Owner and the Agent in sufficient copies (which may take the form of an electronic copy) for all the Lenders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)as soon as they are available, but in any event within two (2) months after the end of each financial quarter of the Charterer Guarantor, the Charterer Guarantor's unaudited consolidated financial statements;

as soon as they are available, but in any event within one hundred twenty (120) days after the end of each financial year of the Charterer Guarantor, the audited consolidated financial

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statements of the Charterer Guarantor for that financial year; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)upon request and on a best-efforts basis, within one hundred twenty (120) days after the end of each financial year of the Sub-Charterer, the audited consolidated financial statements of the Sub-Charterer for that financial year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall procure that the financial statements provided under this Clause 14(a) are accompanied by a Compliance Certificate, providing the calculations and confirming compliance with the financial covenants set out in the Guarantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall procure that the Original Financial Statements and each set of financial statements of the Charterer Guarantor delivered pursuant to Clause 14(a) is prepared using U.S. GAAP, or other such GAAP as acceptable to the Representative Owner and the Agent (on behalf of the Majority Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)(i)&nbsp;&nbsp;&nbsp;&nbsp;The Charterer shall ensure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Original Financial Statements and each set of the financial statements of the Charterer Guarantor supplied under this Agreement represents a true and fair view of its financial condition (consolidated or otherwise) and results of operations as at the date to which those financial statements were drawn up;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the Original Financial Statements and each set of the audited financial statements of the Charterer Guarantor supplied under this Agreement have been audited in accordance with

U.S. GAAP, or other such GAAP as acceptable to the Representative Owner and the Agent (on behalf of the Majority Lenders); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the financial projections provided to a Finance Party in relation to the Finance Documents have been prepared on the basis of recent historical information and on the basis of reasonable assumptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall notify the Representative Owner and the Agent of any change to the basis on which its audited financial statements are prepared.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)If requested by the Representative Owner or the Agent, the Charterer shall supply or procure that the following are supplied to the Representative Owner or the Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)a full description of any change notified under paragraph (ii) above; and

sufficient information to enable the Owners or Agent to make a proper comparison between the financial position shown by the set of financial statements prepared on the changed basis and its most recent audited consolidated financial statements

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delivered to the Representative Owner or the Agent under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)If requested by the Representative Owner or the Agent, the Charterer shall enter into discussions for a period of not more than thirty (30) days with a view to agreeing to any amendments required to be made to this Agreement to place the Owners and the Lenders in the same position as they would have been in if the change to the basis on which its audited financial statements are prepared had not happened.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)If no agreement is reached under paragraph (iv) above on the required amendments to this Agreement, the Charterer shall ensure that its auditors certify those amendments; the certificate of the auditors will be, in the absence of manifest error, binding on all the parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall not change its financial year without the consent of the Representative Owner and the Security Agent (acting on behalf of the Majority Lenders), such consent not to be unreasonably withheld or delayed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Upon the request of the Representative Owner or the Agent, the Charterer shall provide the Representative Owner and/or the Agent and any of its representatives, professional advisers and contractors with access to, and permit inspection of, its books and records, in each case at reasonable times and upon reasonable notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The Charterer shall supply to the Representative Owner and the Agent sufficient copies (which may take the form of an electronic copy) for all Lenders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)promptly upon becoming aware of them, the details of any litigation, arbitration, administrative, environmental or other proceedings which are current, threatened or pending against the Charterer, the Charterer Guarantor or the Manager provided that, this shall only apply if the proceedings might, if adversely determined, give rise to a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)promptly, such further information regarding the Vessel, the Insurances or any Security Asset, or, unless prohibited by statute (but not by contract), the financial condition, business, assets, contractual commitments and operations of the Charterer, the Charterer Guarantor and/or the Manager and, if the Charterer has received the same, of the Sub-Charterer and its parent as the Representative Owner or any Finance Party (through the Agent) may reasonably request (including, for the avoidance of doubt, details of any material litigation, arbitration or administrative proceedings, if any);

promptly such further information as may be required by applicable banking supervisory laws and regulations and/or in line with standard and customary banking practice as the Representative Owner or any Finance Party (through the Agent) may reasonably request;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)copies of all documents dispatched by it or the Charterer Guarantor to its shareholders or creditors generally or any class of them at the same time as they are dispatched;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)promptly copies of all notices and minutes relating to any Extraordinary General Meeting of its shareholders at the same time as they are despatched;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)promptly on request, such further information, in sufficient copies for all the Lenders, regarding the financial condition and operations of the Charterer as the Representative Owner and the Agent may reasonably request and any information necessary for the Agent and Owner Parent to comply with any law and applicable banking regulations (including, but not limited to, "know your customer" and FATCA requirements) in respect of the Charterer and the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)prompt notification to the Representative Owner and the Agent of the occurrence of any accident, casualty or other event which has caused or resulted in or may cause or result in the Vessel being or becoming a Total Loss or any claim for breach of any Applicable Laws being made in connection with the Vessel or its operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)annually provide or procure the Manager to provide the Representative Owner and Agent with a schedule setting outgoing and all intended dry dockings of the Vessel, such schedule to form part of the Annual Compliance Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)promptly if the Representative Owner or the Agent believes an Event of Default or an Acceleration Event may have occurred, from time to time upon reasonable request certified copies of the ship's log in respect of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)prior to issuing any notification to the Initial Sub-charterer under clause 57 (*Credit Support Clause*) of the Initial Sub-charter, a copy of such notice which the Charterer intends to serve on the Initial Sub-charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)notify the Representative Owner and the Agent of any Default or Mandatory Prepayment Event or potential Mandatory Prepayment Event (and, in each case, the steps, if any, being taken to remedy it) promptly but in any event not later than three (3) Business Days upon becoming aware of its occurrence; and

promptly on request by the Representative Owner or the Agent but not more often than once in each 12-month period, unless the Representative Owner or the Agent, believes an Event of Default or an Acceleration Event has occurred and is continuing (in which event the Representative Owner or the Agent shall be entitled to make such requests as and when it considers it appropriate to do so), supply to the Representative Owner and/or the Agent a certificate, signed by two of its authorised signatories on its behalf, certifying that no Default is outstanding or, if a Default is

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outstanding, specifying the Default and the steps, if any, being taken to remedy it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)The Charterer shall, from time to time promptly upon request by the Representative Owner, furnish the Representative Owner with all such information as the Owners or a Finance Party may from time to time reasonably require and which is available to the Charterer regarding the Vessel's compliance with the ISM Code and the ISPS Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the introduction of or any change in (or in the interpretation, administration or application of) any Applicable Law made after the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any change in the status of the Charterer after the date of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)a proposed assignment or transfer by a Lender of any of its rights and obligations under the Finance Documents to a party that is not a Lender prior to such assignment or transfer,

obliges a Finance Party (or, in the case of paragraph (iii) above any prospective new Lender) to comply with "know your customer" or similar identification procedures in circumstances where the necessary information is not already available to it, the Charterer shall promptly upon the request of the Agent supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any other Finance Party or, in the case of the event described in paragraph (iii) above, any prospective new Lender) in order for the relevant Finance Party or, in the case of the event described in paragraph (iii) above, any prospective new Lender to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;**15.INSURANCE**

The Charterer, at its own expense and in accordance with the report of the insurance advisors appointed by the Owners and the Security Agent and without expense to any Owner or the Security Agent, shall cause to be carried and maintained Insurances in respect of the Vessel through brokers approved by the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders) (the "**Approved Brokers**") against fire and usual marine risks (including hull and machinery and Excess Risks) in such amounts in, and on an agreed value basis, Dollars not less than the greater of (i) 110% of the Stipulated Loss Value and (ii) the Fair Market Value of the Vessel at the time of coverage, against other risks including, but not limited to, hull and machinery risks, Excess Risks, fire and marine risks, war risks (including risks of mines, piracy and all risks, whether or not regarded as war risks, piracy, terrorism, London Blocking and Trapping Addendum and Lost Vessel Clause, excepted by the free of capture and seizure clauses in the standard form Lloyds marine policy), against port risks in the event of the

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Vessel being laid up and against such other risks and matters that the Owners or the Security Agent consider

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reasonable for a prudent shipowner or operator to insure against in accordance with prevailing market practice from time to time, each with such level and amounts of deductibles, in such form (including, but not limited to, the form of the loss payable clause and notice of cancellation clause and the designation of named assureds), and with approved underwriters or insurance companies approved by the Representative Owner and the Security Agent and by policies in form and content approved by the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders) which will be no less favourable than the terms of equivalent insurance cover in relation to other similar vessels owned and/or operated by the Charterer Guarantor or its Subsidiaries; or in respect of war risks only, by entering the Vessel in an approved war risks association. For the avoidance of doubt, the war risks insurance will include war protection and indemnity liability, and will be not less than the greater of (i) 110% of the Stipulated Loss Value and (ii) the Fair Market Value of the Vessel at the time of coverage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Subject to paragraph (c), the Charterer shall ensure that the Charterer, the Registered Owner and the Owners are the only named insureds, unless the interest of every other named insured is limited:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in respect of any Insurances for hull and machinery and war risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)to any provable out-of-pocket expenses that it has incurred and which form part of any recoverable claim on underwriters; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)to any third party liability claims where cover for such claims is provided by the policy (and then only in respect of discharge of any claims made against it); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in respect of any Insurances for protection and indemnity risks, to any recoveries it is entitled to make by way of reimbursement following discharge of any third party liability claims made specifically against it;

and every other named insured has undertaken in writing to the Security Agent (or, after the end of the Facility Period, the Owners) (in such form as it requires) that any deductible shall be apportioned between the Charterer and every other named insured in proportion to the gross claims made or paid by each of them and that it shall do all things necessary and provide all documents, evidence and information to enable the Security Agent (or, after the end of the Facility Period, the Owners) to collect or recover any moneys which at any time become payable in respect of the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall if the Agent so requires, name (or cause the Insurances to be amended to name) the Security Agent as additional named insured for its rights and interests, warranted no operational interest and with full waiver of rights of subrogation against the Security Agent, but without the Security Agent being liable to pay (but having the right to pay) premiums, calls or other assessments in respect of such insurance;

The Charterer shall enter and at all times maintain the entry of, or cause to be entered and maintained the entry of, the Vessel in one or more protection and indemnity clubs or associations which shall be members of

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the International Group of P&I Clubs (the "**International Group**") in the names of the Owners, the Registered Owner, the Owner Parent or (if the Security Agent (or, after the end of the Facility Period, the Owners)) in the joint names of the Charterer, the Manager, any Sub-charterer, the Owners, the Registered Owner, the Owner Parent and the Security Agent without the Security Agent or the Owners being liable but having the right to pay premiums, for her full value and tonnage of the Vessel (as approved in writing by the Security Agent on instructions of the Majority Lenders or, after the end of the Facility Period, by the Representative Owner) against all protection and indemnity risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)at the highest amount available from (and in any event not less than US$1,000,000,000 or such other amount of cover against pollution risks as shall at any time be comprised in the basic entry of the Vessel with) either a protection and indemnity association which is an acceptable member of either the International Group (or any successor organisation designated by the Security Agent (or, after the end of the Facility Period, the Representative Owner) for this purpose) or the International Group (or such successor organisation) itself (including pollution risks for the highest amount in respect of which cover is or may be available for ships similar to the Vessel) and upon such terms as shall from time to time be approved in writing by the Security Agent (acting on instructions of the Majority Lenders) and the Representative Owner, including, inter alia, (A) war, strikes, riots, piracy and terrorism risks, (B) pollution risks, (C) the proportion of loss not recoverable under the running down clause of the hull policy of the Vessel in case of collision, (D) claims of any persons whomsoever against the Vessel, any managers or demise charterers of the Vessel, or their agents or servants, who may suffer or allege they suffer damage or injury to or death of or loss of person or property, and (E) such other risks as may be required by any regulations of the Flag State and of any other jurisdiction in which the Vessel may from time to time be registered, operated, chartered and/or maintained; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if the International Group or any such successor ceases to exist or ceases to provide or arrange any cover for pollution risks (or any supplemental cover for pollution risks over and above that afforded by the basic entry of the Vessel with its protection and indemnity association), such aggregate amount of cover against pollution risks as shall be available on the open market and by basic entry with a protection and indemnity association for ships of the same type, size, age and flag as the Vessel,

**provided that**, if the Vessel has ceased trading or is in lay-up and in either case has unloaded all cargo, the level of pollution risks cover afforded by ordinary protection and indemnity cover available through a member of the International Group or such successor organisation or, as the case may be, on the open market and consented to by the Security Agent and the Representative Owner in such circumstances shall be sufficient for such purposes.

Whenever the Vessel is trading to Japanese territorial waters and when so required by the Owners or the Security Agent, the Charterer shall maintain in full force and effect social responsibility insurance in respect of the

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Vessel with underwriters or insurance companies approved by the Representative Owner or the Security Agent (acting on instructions of the Majority Lenders) and by policies in form and content approved by the Representative Owner or the Security Agent (acting on instructions of the Majority Lenders), provided always that a first class borrower or operator of vessels such as the Vessel would maintain and effect such social responsibility insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Upon the request by the Security Agent, the Charterer shall pay the Security Agent the cost of a mortgagee's interest insurance and mortgagee additional perils (pollution) policy, on the Vessel in an amount specified by the Security Agent, being an amount equal to 110% of the Loan then outstanding at the time of coverage (or such lesser amount as may be approved in writing by the Security Agent acting on instructions of the Majority Lenders) and, in each case, upon such terms as shall from time to time be approved in writing by the Security Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Owners shall be entitled from time to time to effect, maintain and renew, at the cost of the Charterer, an innocent owner's insurance policy for any portion of their funding exposure not covered by the mortgagee interest insurance and an innocent owner's additional perils insurance, each on such terms, through such insurers and generally in such manner as the Owners may from time to time consider appropriate and in line with shipping practices. The Charterer shall upon demand fully indemnify the Owners in respect of all premiums which are incurred in connection with the said innocent owner's insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)The Charterer shall not, without the prior written consent of the Representative Owner and Security Agent (acting on the instructions of all the Lenders), materially alter any Insurance nor make, do, consent or agree to any act or omission which would or might render any Insurance invalid, void, voidable or unenforceable or render any sum paid out under any Insurance repayable in whole or in part.

The Charterer shall promptly advise in writing the Representative Owner and the Security Agent of any change in or lapse of any such insurance by expiration, termination, failure to renew or otherwise and of any default in payment of any premium and of any other act or omission on the part of the Charterer. Neither the Owners nor the Security Agent shall be deemed to have knowledge of any change in or such lapse of insurance in the absence of receipt of notice from the Charterer. The Charterer shall advise the Representative Owner and the Security Agent, at least two (2) weeks prior to the expiration date of any insurance carried pursuant to this Agreement, that such insurance has been or is being renewed or replaced with new insurance which complies with the provisions of Clause 15 (*Insurance*) and with underwriters or insurance companies either previously approved by the Representative Owner and the Security Agent (acting on instructions of the Majority Lenders). The Charterer shall procure that the brokers and/or war risks and protection and indemnity clubs and associations shall promptly confirm in writing to the Security Agent and the Representative Owner as and when each renewal is effected. Where the Security Agent's or Representative Owner's, as the case may be, insurance advisor has advised in writing that any insurance requires a material change due

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to a material change in insurance market terms and/or practice (and the Security Agent or, as the case may be, the Representative

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Owner has notified the Charterer of the same), the Charterer shall provide copies of the amended insurance documentation to the Security Agent and the Representative Owner prior to their renewal reflecting such material change or, if such material change is not reflected for any reason, obtain the consent of the Security Agent and the Representative Owner prior to renewing any such insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The Charterer shall, subject to Charterer's pre-approval of such costs, reimburse the Agent and the Owners on demand for all costs and expenses incurred by the Agent or the Owners, as applicable, in obtaining from time to time a report on the adequacy of the Insurances from an insurance adviser instructed by the Agent or the Representative Owner, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The Charterer shall deliver to the Representative Owner and the Security Agent a written confirmation (in the form of letters of undertaking) of the Charterer's brokers or protection and indemnity club to the effect that the relevant policy shall not be cancelled or terminated (in the event of non-payment of premium or other specified events, other than relevant automatic termination and cancellation provisions) without at least (i) in respect of protection and indemnity policies only, fourteen (14) days' prior written notice and (ii) in the case of all other insurances, ten (10) days' prior written notice, in each case to the Representative Owner and the Security Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)Until otherwise agreed to by the Representative Owner and the Security Agent, the hull and machinery and the protection and indemnity insurance required by this Clause shall not stipulate any deductibles or franchises other than, with respect to the hull and machinery insurance, no higher than US$5,000,000 for all claims per accident or occurrence excluding Total Loss claims.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)For the purposes of insurance for the benefit of the Owners, the Registered Owner, the Lenders and the Security Agent against Total Loss, the Vessel and all of its equipment and appurtenances shall be insured on an agreed value basis which is up to the greater of (i) 110% of the Stipulated Loss Value and (ii) the Fair Market Value of the Vessel at the time of coverage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)Unless an Event of Default or an Acceleration Event shall have occurred and be continuing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each sum receivable in respect of a major casualty (being any casualty in respect of which the claim or the aggregate of the claims exceeds US$5,000,000, other than in respect of protection and indemnity risk insurances), shall be paid to the Security Agent (or, after the end of the Facility Period, the Owners); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the insurance moneys received by the Security Agent (or, after the end of the Facility Period, the Owners) in respect of any such major casualty (other than in respect of a Total Loss) shall be paid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)to the person to whom the relevant liability shall have been incurred; or

upon the Charterer furnishing evidence satisfactory to the Security Agent (or, after the end of the Facility Period, the

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Representative Owner) that all loss and damage resulting from the casualty has been properly made good and repaired, to the Charterer or, at the option of the Security Agent (or, after the end of the Facility Period, the Owners), to the person by whom any repairs have been or are to be effected; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the receipt by any such person referred to in paragraphs (i) and (ii) above shall be a full and sufficient discharge of the same to the Security Agent (or, after the end of the Facility Period, the Owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)Subject to Clause 15(n):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each sum receivable in respect of the Insurances (insofar as the same are hull and machinery or war risks insurances) which does not exceed the lower of (a) US$5,000,000 and (b) 5% of the market value of the Vessel or its equivalent shall be paid in full to the Charterer or to its order and shall be applied by it for the purpose of making good the loss and fully repairing all damage in respect of which the receivable shall have been collected;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)each sum receivable in respect of protection and indemnity risk Insurances shall be paid directly to the person to whom the liability to which that sum relates was incurred, or to the Charterer in reimbursement to it of moneys expended in satisfaction of such liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)notwithstanding any other provision in Clauses 15(l) and 15(m), all Total Loss Proceeds shall be applied in accordance with Clause 16 (*Loss, Damage and Compensation*) of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)all sums receivable in respect of the Insurances after the occurrence of an Event of Default or an Acceleration Event shall be paid to the Security Agent (or, after the end of the Facility Period, the Owners) and the Security Agent (or, after the end of the Facility Period, the Owners) shall apply them in accordance with clause 16.11 (*Application of moneys by Security Agent*) of the Loan Agreement or otherwise as appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)The Charterer shall deliver to the Representative Owner and the Security Agent copies of all cover notes, binders, policies and certificates of entry in protection and indemnity associations from time to time issued, and all endorsements and riders amendatory thereof, and/or broker's undertakings (containing loss payable and notice of cancellation clauses acceptable to the Owners and the Security Agent) and the notice of assignment in respect of insurance maintained under this Agreement.

The Charterer agrees that it will not do any act or voluntarily suffer or permit any act to be done, whereby any insurance required hereunder shall or may be suspended, impaired or cancelled and will not knowingly suffer or permit the Vessel to engage in any voyage, or to carry any cargo, not permitted under the policies of insurance in effect, without first covering the Vessel with insurance satisfactory in all respects, for such voyage or the carriage of such cargo.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)The Charterer shall maintain for the benefit of the Owners and the Vessel evidence of financial responsibility (by insurance, bond or otherwise) as required by applicable law in respect of damage or pollution attributable to the nature of the cargo carried or the Vessel's bunkers, fuel, etc.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)The Charterer shall duly and punctually pay when due all premiums, calls, contributions or other sums of money from time to time payable in respect of any Insurance and on request produce the receipts for each sum paid by it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)The Charterer shall not settle, release, compromise or abandon any claim in respect of any Total Loss unless the Representative Owner and Security Agent (acting on the instructions of the Lenders) is satisfied that such release, settlement, compromise or abandonment will not prejudice the interests of the Finance Parties under or in relation to any Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)The Charterer shall arrange for the execution and delivery of such other guarantees as may from time to time be required by any protection and indemnity or war risks club or association. The Charterer shall comply strictly with the requirements of the United States Oil Pollution Act 1990 (the "**Act**") if the Vessel is to trade in the United States of America and Exclusive Economic Zone (as defined in the Act), and the Registered Owner and the Security Agent may in such case effect insurance policies at the Charterer's cost (in addition to the policies mentioned in Clause 15(f)) on terms reasonably acceptable to them. Before any such trade is commenced and during the entire period during which such trade is carried on, the Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)pay any additional premiums required to maintain protection and indemnity cover for oil pollution up to the limit available to the Charterer for the Vessel in the market;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)make all such quarterly or other voyage declarations as may from time to time be required by the Vessel's protection and indemnity association in order to maintain such cover;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)submit the Vessel to such additional periodic, classification, structural or other surveys which may be required by the Vessel's protection and indemnity insurers to maintain cover for such trade and promptly deliver to the Representative Owner and Security Agent copies of reports made in respect of such surveys;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)implement any recommendations contained in the reports issued following the surveys referred to in paragraph (iii) above within the relevant time limits, and provide evidence satisfactory to the Representative Owner and the Security Agent that the protection and indemnity insurers are satisfied that this has been done; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)in addition to the foregoing (if such trade is in the United States of America and Exclusive Economic Zone):

obtain and retain a certificate of financial responsibility under the Act in form and substance satisfactory to the United

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States Coast Guard and provide the Representative Owner and the Security Agent with evidence of the same;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)procure that the protection and indemnity insurances do not contain a US Trading Exclusion Clause or any other analogous provision and provide the Representative Owner and the Security Agent with evidence that this is so; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)comply strictly with any operational or structural regulations issued from time to time by any relevant authorities under the Act so that at all times the Vessel falls within the provisions which limit strict liability under the Act for oil pollution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)The Charterer shall procure that the interest of the Security Agent, the Registered Owner and the Owners are each noted on all policies of insurance relating to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r)If any of the marine or war Insurances form part of fleet cover, the Charterer must ensure that the Approved Broker and/or insurer agrees with the Owners and the Security Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)not to set off any claims for premiums due in respect of other vessels or equipment in the fleet against any claims in respect of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)not to cancel the insurance of the Vessel due to non-payment of a premium for other vessels in the fleet or for other insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)The Charterer shall procure that a loss payee provision in the form scheduled to the Security Assignment (including the provisions that the Security Agent (or, after the end of the Facility Period, the Owners) shall be the sole loss payee of insurance proceeds in respect of the Total Loss or any major casualty) and reflecting the provisions of Clauses 15(l) and 15(m) are endorsed on all policies of insurance relating to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)The Charterer shall obtain from the relevant insurance brokers letters of undertaking in the forms consistent with the then-current market practice in the insurance market in which the approved broker (if any appointed) operates or any professional association of which the approved broker is a member and from the Protection and Indemnity Club their standard Letters of Undertaking, having regard to the practices prescribed by the International Group for P&I or war risk associations/clubs.

In the event that the Charterer receives payment of any moneys in respect of the Insurances, save as provided in the loss payable clauses scheduled to the Security Assignment, forthwith pay over the same to the Security Agent and, until paid over, such moneys shall be held for the Owners and the Security Agent by the Charterer. The Charterer undertakes that the Sub-charterer, the Manager (and any Subsidiaries of the Manager named in the Insurances) and the Owners shall be (subject to the terms of the Charterer Assignment) the only persons entitled to any of the benefits or entitled to exercise any of the rights as an assured party under or in respect of the Insurances.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) The Charterer confirms that it is aware that Agent will be obtaining an opinion from an independent insurance consultant on such matters relating to the Insurances as the Agent may require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) The Charterer shall provide the Security Agent with five (5) Business Days' prior written notice of any change by any insurance broker of the underwriter(s). On the date of the change of the underwriter(s), the Charterer shall provide the notice of assignment in respect of the relevant insurance to the new underwriter(s).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) In the event that the Charterer shall be in default in respect of any of its obligations to obtain and maintain Insurance under this Clause 15 (*Insurance*), the Owners, the Representative Owner, the Registered Owner and the Security Agent each shall have the right (but not the obligation), without in any way limiting or otherwise modifying any other rights or remedies of the Owners, the Representative Owner, the Registered Owner or the Security Agent hereunder or at law or in equity by reason of such default or otherwise, to obtain such insurance, and in such event, the Charterer shall, upon demand, reimburse the Owners, the Representative Owner, the Registered Owner and/or the Security Agent, as the case may be, for the cost thereof.

&nbsp;&nbsp;&nbsp;&nbsp;**16.LOSS, DAMAGE AND COMPENSATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)From the Charter Commencement Date until the Vessel have been returned to the Owners pursuant to Clause 17 (*Redelivery*), and without prejudice to the rights of the Charterer to its quiet, peaceful and continuing possession, use and enjoyment of the Vessel pursuant to Clause 11(e)(ii) of this Agreement, the Charterer shall bear the full risk of any loss, destruction, theft, condemnation, confiscation, seizure or requisition of or damage to the Vessel which shall deprive the Charterer of the use, possession or enjoyment thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Following the occurrence of the Total Loss with respect to the Vessel, the Charterer shall forthwith upon becoming aware of the Total Loss give the Owners and the Security Agent written notice of the Total Loss and shall pay to the Owners on the ninetieth (90th) day following the Date of Total Loss or, if insurance or other proceeds have been paid for such Total Loss before such date, on the date of payment of such proceeds (such date or the date of payment of such proceeds, as the case may be, is hereinafter called the "**Settlement Date**") the sum (which shall be advised to the Charterer by the Owners in writing) of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the amount equal to the Stipulated Loss Value computed as of the Settlement Date,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)all Charter Hire then due and payable; and

all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)At such time as the Charterer has irrevocably and unconditionally paid in full all amounts payable by the Charterer on the Settlement Date in accordance with Clause 16(b) then:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer Title to Vessel*) and thereupon the Charter Period and the obligation of the Charterer to pay Charter Hire hereunder in respect of the Vessel shall terminate immediately without further act; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Owners shall at the request of the Charterer cooperate with the Charterer with a view to enabling the Charterer to bring all claims against third parties for damage relating to the Vessel arising from the Total Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)In the event of the Compulsory Acquisition of the Vessel after the Charter Commencement Date, all moneys or other compensation received by the Owners or the Charterer in respect of the Vessel shall be retained by or paid to the Security Agent in accordance with clause 16.11 of the Loan Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;**17.REDELIVERY**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)In the event that the Charterer has not exercised its option to purchase the Vessel pursuant to Clause 21(a) or the chartering of the Vessel hereunder has been terminated pursuant to any term of this Agreement and if the Charterer has not otherwise acquired title to the Vessel pursuant to Clause 22 (*Transfer of Title to Vessel*), the Charterer shall, at its own expense, redeliver the Vessel to the Owners or their designee on the expiry date of the Charter Period at an easily accessible recognised safe and ice-free port of the Owners' choosing in Japan or in any other location to be designated by the Owners. All costs, charges, stamp duties, taxes, legal fees and other costs and expenses whatsoever associated with the redelivery of the Vessel shall be payable by the Charterer including, without limitation, the redelivery inspection, examination and survey and/or cancellation of registration or any release of any Security Documents as a result shall be at the sole cost of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)At the time of redelivery of the Vessel under Clause 17(a), at the Charterer's expense:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Vessel shall comply with all the requirements in Schedule 7 and shall be in such condition as to demonstrate compliance by the Charterer with its obligations under this Agreement;

all subsisting rights relating to the Vessel which are capable of assignment to the Owners and which are, at the time of delivery, vested in the Charterer shall be assigned by the Charterer to the Owners or such person as the Owners may stipulate as the purchaser of the Vessel, as appropriate, and the Charterer shall, at its own cost and expense, execute such documentation and give such notices to give effect to such assignment as the Owners may reasonably request; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)no later than seven (7) days prior to the expiry date of the Charter Period, a survey shall be carried out by a surveyor of a survey company of international reputation nominated by the Representative Owner in order to determine the structure, state, condition and class of the Vessel and whether the Charterer has complied with the requirements relating to redelivery and the redelivery conditions pursuant to this Clause 17 (*Redelivery*). The determination of such survey will be binding on each of the Owners and the Charterer save for manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Until the Vessel shall have been redelivered to the Owners pursuant to Clause 17(a) in the condition required by Clause 17(b) following the survey to be carried out pursuant to Clause 17(b), the Charterer shall, at no cost to the Owners:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)continue to perform all its obligations under this Agreement and, in particular without limitation, it shall continue (A) to perform its undertakings under Clauses 11(a), 12 and 13 and (B) to procure that the Vessel is insured in accordance with Clause 15 (*Insurance*); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)unless the Representative Owner otherwise directs, store or procure the storing of the Vessel at the location designated by the Representative Owner and under conditions reasonably approved by the Representative Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Upon completion of the redelivery of the Vessel in accordance with Clauses 17(a) and 17(b), the Charterer shall arrange for the storing of the Vessel at a port chosen by the Charterer and acceptable to the Owners for a period of sixty (60) days from the date of such completion, at no cost to the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Notwithstanding any provision to the contrary in this Agreement or any other Operative Document and regardless of the expiration or early termination of the Charter Period, the Charterer's obligations to maintain the Vessel, at the Charterer's expense, in good operating condition and repair in accordance with all the standards set forth in Clause 13(a) and to comply with all provisions of this Clause 17 (*Redelivery*) shall survive until the Charterer has fully performed all its obligations under this Clause 17 (*Redelivery*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)In the event that the Charterer has not exercised its voluntary option to purchase under Clause 21(a) by (and including) the Early Buy-out Option Notification Cut-off Date, the Owners and, if any, the Remarketing Agent shall be entitled to remarket the Vessel from the Early Buy-out Option Notification Cut-off Date, and the Charterer shall, at the request of the Owners or such Remarketing Agent, fully cooperate with the Owners or such Remarketing Agent, as the case may be, in connection with such remarketing, provided that the cost of such remarketing shall be borne by the Owners and that such remarketing shall not prejudice the right of the Charterer under Clause 11(e)(ii).

Each party shall exercise its rights and perform its obligations under this Clause 17 (*Redelivery*) in accordance with, and subject to, and only to the extent permitted by, the terms of the Security Documents and subject to the rights of the Finance Parties under the Security Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)In the event that any of the redelivery conditions set out in this Clause 17 (*Redelivery*) have not been complied with, the Owners shall be entitled to claim damages from the Charterer in respect of any losses suffered or incurred and properly documented by the Owners in respect of such breach including, without limitation, in respect of costs incurred and properly documented by the Owners to put the Vessel in the condition required by this Clause 17 (*Redelivery*).

&nbsp;&nbsp;&nbsp;&nbsp;**18.EVENTS OF DEFAULT**

Each of the following events shall constitute (A) a repudiatory breach of this Agreement and (B) an Event of Default and shall entitle the Owners to the measures and remedies set out in Clause 19 (*Owners' Rights following an Event of Default*):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the Charterer fails to make any payment of Charter Hire or any other amount payable under this Agreement or any other Operative Document on the due date, unless the non-payment is due to a technical or administrative default in the transfer of funds and is remedied within three

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Business Days; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the Charterer Guarantor fails to make any payment of any amount payable under the Guarantee or any other Operative Document or the Charterer fails to make any payment of any amount payable under the Charterer Account Charge and Onward Assignment on the due date, unless the non-payment is due to a technical or administrative error in the transfer of funds and is remedied within three (3) Business Days of the due date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)the Charterer, the Charterer Guarantor or the Manager does not comply with any provision of the Operative Documents to which it is a party (other than those referred to in this Clause or the occurrence of any Change of Control Event), **provided that**, no Event of Default under this subparagraph will occur if the failure to comply is in the opinion of the Agent (acting on the instructions of all the Lenders) and the Owners capable of remedy and is remedied within thirty (30) days of the earlier of

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the giving of notice to the Charterer and (ii) the Charterer becoming aware of the failure to comply; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)the Charterer or, as applicable, the Charterer Guarantor shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)fail to obtain and/or maintain or cause to be obtained and/or maintained (in each case in accordance with the terms of Clause 15 (*Insurance*)) the Insurances in full force and effect or if any Insurer in respect of any Insurance shall cancel the Insurances or disclaims liability by reason, in either case, of misstatement in any proposal for the Insurances or for any other failure or default on the part of the Charterer or the Charterer commits any other breach of or omits to observe any of the obligations or undertakings expressed to be assumed by it under Clause 15 (*Insurance*) unless such breach is caused solely by a Sub-charter Breach in which case the Charterer shall be given seven (7) days remedy period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)breach any of its covenants under Clause 11(c)(iv); or

fails to redeliver the Vessel in accordance with this Agreement; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)breach any of its covenants under clause 7 (*Financial covenants*) of the Guarantee; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)the Charterer Guarantor, the Charterer or the Manager breaches any of its covenants or representations under Clauses 10(a)(xliii), 10(a)(xliv), 10(a)(xlvi), 10(a)(xlvii), 11(a)(ix), 11(a)(x), 11(a)(xi) and 11(a)(xiii) of this Agreement or clauses 6.1.14 (*Sanctions*) and 8.7 (*Sanctions*) of the Guarantee, provided that it shall not be an Event of Default if (i) in the opinion of the Agent (acting on the instructions of the Majority Lenders) and the Owners there is a reasonable prospect of the breach being remedied within the period determined by the Agent (acting on the instructions of the Majority Lenders) and the Owners (each acting reasonably) which period shall not be greater than seven (7) days of the breach occurring and (ii) the breach is remedied to the Agent and Owners' satisfaction within such permitted remedy period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)any representation or warranty of the Charterer, the Manager or the Charterer Guarantor in this Agreement or any other Operative Document to which it is a party, is or proves to have been untrue, inaccurate, incorrect or misleading in each case as of the date when made, deemed made or repeated and, if capable of remedy, is not remedied within thirty (30) days after discovery of the same; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)any Authorisation from any Government Entity necessary to enable the Charterer, the Charterer Guarantor or the Manager to comply with any provision under any Operative Document is not granted, expires without being renewed or is withdrawn, cancelled, suspended, revoked or modified as a result or any action or omission of the Charterer, the Charterer Guarantor or the Manager so that it would have a Material Adverse Effect on the Charterer's, the Charterer Guarantor's or the Manager's ability to perform its obligations under the Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)the Charterer or the Charterer Guarantor suspends or ceases to carry on the whole or a substantial part of its primary business existing as of the date of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any of its Financial Indebtedness is not paid when due or any "event of default" (howsoever described) occurs thereunder (after the expiry of any originally applicable grace period or prematurely at any time) in respect of the Charterer or the Charterer Guarantor and the aggregate unpaid amount of Financial Indebtedness is more than eight million dollars (US$8,000,000.00) or its equivalent; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)the Charterer or the Charterer Guarantor is subject to an unsatisfied, uninsured judgment in its disfavour following final appeal and this is likely to have a Material Adverse Effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)any expropriation, attachment, sequestration, distress or execution which affects any asset or assets of the Charterer is not discharged within twenty

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(20) days unless contested in good faith; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)any of the following occurs in respect of the Charterer or the Charterer Guarantor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it is, or is deemed for the purposes of any Applicable Law to be, unable to pay its debts as they fall due or insolvent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)it admits its inability to pay its debts as they fall due;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it suspends making payments on any of its debts or announces an intention to do so;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)a moratorium is declared in respect of any of its indebtedness; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)insolvency proceedings or any analogous procedure is initiated against it; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)there shall occur a Material Adverse Effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)to the extent the Manager is a company in the Flex Group, there shall occur an event of default in respect of the Manager under the Management Agreement, or any of the Manager's obligations under the Management Agreement has been breached by the Manager and such breach is not remedied pursuant to the terms thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)commencement of any litigation, arbitration, regulatory, administrative proceeding or other actions or proceedings or Environmental Losses before any court, governmental or administrative agency or arbitral body (including, but not limited to, investigative proceedings), in each case against the Charterer or the Charterer Guarantor which, if adversely determined, might reasonably be expected to constitute a Material Adverse Effect, provided that no Event of Default shall occur if such proceedings are frivolous and are discharged within fourteen (14) days; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)in the event of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a writ or libel being filed against the whole or any part of the Vessel, her Earnings or the Insurances, or of any of the same being arrested, attached or levied upon pursuant to legal process or purported legal process; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)detention of the Vessel in exercise or purported exercise of any lien or claim referred to in paragraph (i) above,

the Charterer or the Charterer Guarantor shall have failed to procure the discharge of the writ or libel or, as the case may be, the release of the Vessel, her Earnings and the Insurances from such arrest, attachment, levy or detention within twenty (20) days upon receiving notice, by providing bail or procuring the provision of security or otherwise as the circumstances may require, in each case unless contested in good faith in which case the Charterer or the Charterer Guarantor, as the case may be, will have an additional thirty (30) days to procure the discharge of the writ or libel or, as the case may be, the release of the Vessel, her Earnings and the Insurances from such arrest, attachment, levy or detention and a further thirty (30) days to so procure where the Charterer or the Charterer Guarantor, as the

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case may be, demonstrates to the satisfaction of the Representative Owner

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and the Agent (each acting reasonably) that the Charterer or the Charterer Guarantor, as the case may be, continues to contest such arrest, attachment, levy or detention in good faith; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)any of the Operative Documents shall become impaired, null and void or invalid or unenforceable either in whole or in part whereby in the reasonable judgment of the Owners and/or the Agent's, the Owners', the Registered Owner's and/or the Finance Parties' position is materially impaired or may become impaired; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r)any Transaction Security ceases to be legal, valid, binding, enforceable or effective or such Transaction Security ceases to provide a perfected first priority security interest in favour of the Owners or the Security Agent, as the case may be and the same is not remedied within thirty (30) days of the cessation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)the Charterer or the Charterer Guarantor repudiates any material provision of an Operative Document or evidences an intention to repudiate any material provision of an Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)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 a Mortgage is contested; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u)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 Security Agent in its discretion considers that, as a result, the security conferred by the Security Documents is materially prejudiced; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the Vessel is abandoned; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w)an Acceleration Event arises as a result of an Event of Default; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)any of the conditions subsequent specified in Schedule 2 Part 3 are not satisfied within the required time period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)any merger, amalgamation, de-merger, split-up, divest, consolidation with or into any other person or be the subject of any reconstruction, name change or change of type of organisation of the Charterer or Charterer Guarantor, as applicable, occurs without the written consent of the Representative Owner and the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;**19.OWNER'S RIGHTS FOLLOWING AN EVENT OF DEFAULT OR A RELEVANT EVENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)If a Relevant Event occurs and while it is continuing, the Owners or the Security Agent (on behalf of the Owners) may, at any time after the occurrence of that Relevant Event and so long as the same is continuing, provide a notice to the Charterer declaring that a Relevant Event has occurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)If an Event of Default occurs:

as described in Clause 18 (*Events of Default*), the Owners or the Security Agent (on behalf of the Owners) may, at any time after the

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occurrence of that Event of Default and so long as the same is continuing, by notice to the Charterer (which notice may be contained in any notice delivered pursuant to Clause 19(a) or in a separate notice given at a later time) terminate the Charter Period, (or, at the option of the Owners and the Security Agent as the assignee under the Security Assignment, the chartering of the Vessel under this Agreement) on the Termination Date specified in such notice (which Termination Date may be the date of such notice or any later date) and the Charter Period shall terminate on that Termination Date; and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)following the Termination Date or any notice being served on the Charterer pursuant to Clause 19(a), the Owners may exercise any right or remedy which may be available to the Owners under the Operative Documents or Applicable Law or proceed by appropriate court or other action to enforce performance by the Charterer and/or the Charterer Guarantor of the applicable covenants and provisions of this Agreement or any other Operative Document or to recover damages for the breach thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)After the Owners have given a notice of termination pursuant to Clause 19(b):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Charter Period in respect of the Vessel (or, at the option of the Owners (and the Security Agent as the assignee under the Security Assignment) the chartering of the Vessel under this Agreement) shall terminate on the date specified in such notice (which shall be the Termination Date), and the Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)at the Charterer's expense, return the Vessel to the order of the Owners (or to the order of any purchaser of the Vessel designated by the Owners) in accordance with Clause 17 (*Redelivery*) and perform its obligations described therein;

be obliged to pay on the Termination Date the sum of (I) the Stipulated Loss Value as of the Termination Date, (II) any unpaid Charter Hire in respect of the Vessel due and payable on or prior to the Termination Date and (III) all other amounts owing by the Charterer to the Owners, the Finance Parties or any other Indemnitee under this Agreement or any other Operative Document. Upon receipt by the Owners, the Finance Parties and each other Indemnitee of all such amounts payable to them under the Operative Documents and subject to paragraph (ii) below (a) title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*) and (b) the Charter Period shall terminate;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)indemnify the Owners and the Finance Parties on demand against any loss (excluding loss of profit), damage, expense, cost or liability which the Owners or the Finance Parties, as the case may be, may sustain or incur directly or indirectly as a result, including but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.the cost of funds borrowed in order to carry any unpaid amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.any premium, penalty or expense which may be incurred as a result of acceleration of the Loan or any Break Costs arising as a result of any non-payment by the Charterer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III.any loss, cost, expense or liability sustained or incurred by the Owners or the Finance Parties, as the case may be, owing to Charterer's failure to redeliver the Vessel on the date, at the place and in the condition required by this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)notwithstanding Clause 19(c)(i)(A), in the event that all sums due and owing to the Owners, the Finance Parties and any other Indemnitees under Clause 19(c)(i) have been irrevocably and unconditionally received by the Owners, the Finance Parties and any other Indemnitees, the Charterer may take title to the Vessel from the Owners in accordance with Clause 22 (*Transfer of Title to Vessel*) by paying to the Owners an additional amount, if any, which is the excess of the then Fair Market Value of the Vessel (as determined in accordance with the appraisals from internationally reputable appraisers appointed by the Owners at the Charterer's cost) over the Stipulated Loss Value as of the Termination Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)if the Charterer does not pay all sums owing pursuant to Clause 19(c)(i) and/or does not return the Vessel to the Owners by the Termination Date, then (but without prejudice to the Charterer's obligations to pay the amounts required to be paid pursuant to Clause 19(c)(i) or any other provision of this Agreement): (x) the Owners (acting on the instructions of the Security Agent) may repossess the Vessel by all means legally available to them in any relevant jurisdiction; and (y) the Owners (acting on the instructions of the Security Agent) may after the Termination Date sell the Vessel in any manner and for any price as the Owners (acting on the instruction of the Security Agent) think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Upon the sale of the Vessel in accordance with the provisions of Clause 19(c)(ii), the sales proceeds shall be paid to the Dollar Account A and the proceeds shall be applied in accordance with clause 16.11 (*Application of moneys by Security Agent*) of the Loan Agreement.

Each party shall exercise its rights and perform its obligations under this Clause 19 (*Owners' Rights following an Event of Default*) in accordance with and subject to, and only to the extent permitted by, the terms of the Security Documents and subject to the rights of the Finance Parties under the Security Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;**20.RELEVANT PARTY EVENT AND CHARTERER'S RIGHTS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)At any time after the occurrence of any Relevant Party Event and so long as the same is continuing, the Charterer may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)proceed by appropriate court action to enforce performance by any Relevant Party of the applicable obligations, covenants or undertakings of this Agreement or the other Operative Documents or to recover damages for the breach thereof (for the avoidance of doubt, during such period the Charterer shall continue to pay Charter Hire and all other amounts payable by it under the Operative Documents); and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if the parties are unable to reach an agreement after the consultation set out in Clause 20(b) within fourteen (14) days of the occurrence of such Relevant Party Event, terminate the Charter Period within sixty

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(60) days after the end of such 14-day period by notice to the Owners, and the Charter Period shall terminate on the Termination Date specified in such notice. On such Termination Date, the Owners shall transfer title and ownership to the Vessel to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*) in exchange for the Charterer's payments to the Owners of an amount equal to the sum of (A) the Special Termination Value as of the Termination Date, (B) any unpaid Charter Hire in respect of the Vessel due and payable on or prior to the Termination Date and (C) all other amounts due and payable that remain outstanding and owing by the Charterer to the Owners, the Finance Parties and any other Indemnitees under this Agreement or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In the event that any Relevant Party Event occurs with respect to the Owner Parent (and not to the Owners or the Registered Owner) at any time, any of the Charterer, the Owners and the Agent (acting on the instructions of all the Lenders) may request (by giving written notice) that they consult in good faith with each other with the view of (A) causing a Relevant Party not subject to such Relevant Party Event to assume the rights and obligations of the Relevant Party subject to such Relevant Party Event under the Operative Documents or take over such Relevant Party or (B) causing the shareholding by the Owner Parent in the Owners and Registered Owner to be assigned or transferred to a third party which is acceptable to the Charterer and the Agent (acting on the instructions of all the Lenders), each acting in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;**21.OPTION TO PURCHASE AND EARLY TERMINATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Voluntary Option to Purchase

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer shall have the right, exercisable by irrevocable written notice to the Owners given not earlier than eighteen (18) months nor later than twelve (12) months prior to each Early Buy-out Date to purchase the Vessel upon the relevant Early Buy-out Date.

If such notice is given by the Charterer, the Charter Period shall terminate on the relevant Early Buy-out Date and the Charterer shall be obliged to pay to the Owners on the relevant Early Buy-out Date

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the relevant Early Buy-out Price, (ii) all Charter Hire then due and payable and (iii) all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document and upon receipt by the Owners, the Finance Parties and the other Indemnitees of their respective portions of all such amounts title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)In the event that the Charterer (i) has advised the Owners on or prior to the Early Buy-out Option Notification Cut-off Date that it will not exercise the Early Buy-out Option on the Second Early Buy-out Date or (ii) has not provided the Owners by the Early Buy-out Option Notification Cut-off Date with a notice to exercise the Early Buy-out Option on the Second Early Buy-out Date, then in each such case it will pay to the Owners on or prior to the Early Buy-out Option Notification Cut-off Date applicable to the Second Early Buy-out Date a lump sum, non-refundable amount equal to the Supplemental Hire Amount as supplemental hire amount. In the event that the chartering of the Vessel terminates for any reason after the Early Buy-out Option Notification Cut-off Date applicable to the Second Early Buy-out Date, such supplemental hire amount shall not reduce or affect the obligation of the Charterer to make a relevant termination amount (including, without limitation, the Stipulated Loss Value or the Special Termination Value as applicable) in connection with such termination, which must be paid in full.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Early termination as a result of additional payments

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding anything in this Agreement to the contrary, if the Charterer shall become obliged to indemnify and pay to the Owners any amount under Clause 9(a) (*Tax Indemnity*) or make additional payments to the Owners under Clause 9(f), then, upon or at any time after the expiry of any period of consultation required by Clause 9(g) and unless, in the case of the additional payment under Clause 9(f), the Owners shall not waive their right for such payment, the Charterer shall be entitled, by notice to the Owners, to terminate the Charter Period with the consent of the Agent acting on the instructions of all the Lenders in respect of the Vessel on the date specified in such notice (which shall be the Termination Date), being not earlier than ten (10) Business Days after the date of such notice.

The Charterer shall, on the Termination Date determined in accordance with paragraph (i) above, pay to the Owners the Stipulated Loss Value (in any case other than where the Special Termination Value is applicable below) or the Special Termination Value (if the relevant event resulting in the occurrence of the Termination Date is caused due to a change in law in Japan) as at the Termination Date, together with payment to the Finance Parties and other Indemnitees of all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)At such time as the Owners, the Finance Parties and the other Indemnitees have received the amounts payable under the Operative Documents and in accordance with this Clause 21(b) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and the Charterer may take title to the Vessel from the Owners in accordance with Clause 22 (*Transfer of Title to Vessel*) by paying to the Owners the Stipulated Loss Value or the Special Termination Value (as the case may be) as of the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Early termination as a result of unlawfulness

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding anything in this Agreement to the contrary, if

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)it becomes or is likely to become unlawful or illegal under any Applicable Law or contrary to any consent or regulation for any person to participate, or continue to participate, in the transactions contemplated by the Operative Documents or for any relevant person to perform a material obligation thereunder; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Government Entity withdraws, cancels or suspends any Authorisation or such Authorisation of any person to participate, or continue to participate, in the transactions contemplated by the Operative Documents (including, without limitation, any Sub-charterer) shall be modified so that it would materially and adversely affect such person's ability to perform its obligations under the Operative Documents to which it is a party, and such withdrawal, cancellation or suspension is not as a result of any action or omission of the Charterer or the Charterer Guarantor;

then, upon or at any time after the expiry of any period of consultation required by Clause 21(c)(iv) or 21(c)(v) below, in the circumstances referred to above, either the Owners or the Charterer shall be entitled, by notice to the other, to terminate the Charter Period in respect of the Vessel on the date specified in such notice (which shall be the Termination Date), being not earlier than, four (4) Business Days prior to (i) (in case of any event set out in (i) above) the latest date permitted by the relevant Applicable Law, consent or regulation prior to such unlawfulness or illegality or being contrary to consent or regulation becoming effective or, if such unlawfulness or illegality or other circumstance has become effective, four (4) Business Days after the date of such notice, or (ii) (in case of any event set out in (ii) above) the date of withdrawal, cancel or suspension of such Authorisation or, if such withdrawal, cancel or suspension has become effective, four (4) Business Days after the date of such notice.

The Charterer must, on the Termination Date determined in accordance with the foregoing paragraph, pay to the Owners in accordance with the instructions of the Agent the Stipulated Loss Value (in any case other than where the Special Termination Value is applicable below) or the Special Termination Value (if the relevant event resulting in the occurrence of the Termination Date is caused due to a change in law in Japan) as at the Termination Date,

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together with payment to the Finance Parties and the other Indemnitees of all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received the amounts payable under the Operative Documents and in accordance with this Clause 21(c)(iii) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Subject always to the rights of the parties hereto to terminate the Charter Period in respect of the Vessel pursuant to any other provision of this Agreement other than Clause 22 (*Transfer of Title to Vessel*), if any of the parties hereto becomes aware of any circumstances which will give rise to any unlawfulness or illegality or being contrary to any consent or regulation of the kind or any withdrawal, cancel or suspension of such Authorisation referred to in Clause 21(c)(iii), or if any Operative Document becomes null and void or invalid or unenforceable in whole or in part, it shall promptly advise the other party of such circumstances and the parties hereto shall (except where Clause 18(q) or 18(r) or any other Event of Default applies and without prejudice to the Charterer's obligations under any provision of this Agreement) forthwith negotiate with each other in good faith at the cost of the Charterer for a period of sixty

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(60) days or such shorter period ending not less than fourteen (14) days prior to the circumstances giving rise to such unlawfulness or illegality becoming effective, such consent or regulation being breached, such withdrawal, cancel or suspension being effective or such Operative Document becoming null and void or invalid or unenforceable or in either case such shorter period as the parties shall agree (but shall not be obliged to do so thereafter) with a view to making arrangements and restructuring this transaction in such a manner as shall be lawful so as to continue the chartering of the Vessel contemplated hereby and so as to achieve substantially the same results as would have been achieved in the absence of such unlawfulness or illegality, being contrary to any consent or regulation, such withdrawal, cancel or suspension, or such Operative Document becoming null and void or invalid or unenforceable.

Notwithstanding anything to the contrary, no arrangements or restructuring shall be agreed or implemented under Clause 21(c)(iv) without the consent of the Owners and the Agent (acting on the instructions of all the Lenders) and unless the Owners and the Agent shall have received tax and legal opinions and the Charterer shall have reimbursed the Owners and the Finance Parties for all reasonable costs incurred by it (including without limitation legal counsel and tax counsel fees) in respect thereof, in each case to its reasonable satisfaction.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Early termination as a result of denial of tax benefits

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding anything in this Agreement to the contrary, if the Owners or any Kumiai-in incurs or is expected to incur any Tax under the laws of Japan for which the Charterer is not obliged to indemnify the Owners or such Kumiai-in (other than a Tax caused by a Relevant Party Event or a Tax falling within the scope of Clause 9(b)(vi)), then, in the circumstances referred to above, the Owners shall be entitled, by notice to the Charterer, to terminate the Charter Period in respect of the Vessel on the date specified in such notice (which shall be the Termination Date), being not earlier than ten (10) Business Days after the date of such notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall, on the Termination Date determined in accordance with the foregoing paragraph, pay to the Owners in accordance with the instructions of the Agent the Special Termination Value as at the Termination Date, together with payment to the Finance Parties and the other Indemnitees of all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received their respective portions of the amounts payable by the Charterer in accordance with this Clause 21(d)(iii) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Early Termination as a Result of Change of Control Event or Termination of the Initial Sub-charter

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If any of the following events occurs:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any Change of Control Event; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the early termination (for whatever reason) of the Initial Sub-charter, unless an alternative employment reasonably satisfactory to the Owners and Agent (acting on the instructions of the Majority Lenders) has been secured within one hundred eighty (180) days to the satisfaction of the Owners and the Agent,

then the Charterer or the Owners shall immediately upon becoming aware thereof give notice to the other and to the Agent, and the Representative Owner (or the Security Agent on its behalf) may give notice to the Charterer to terminate the Charter Period and to pay the amount due in accordance with paragraph (ii) below and upon such notice the Charterer shall on the date of such notice (which shall be the Termination Date) make payment to the Owners accordingly and the Charter Period shall cease; provided that, in respect of a Change of Control Event only, such notice to terminate

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may not be served earlier than twenty (20) Business Days after the occurrence of the Change of Control Event (the "**Change of Control Negotiation Period**") and may only be served if the Change of Control Event is continuing at such time, in which case (if termination notice is given) the Charter Period shall terminate on the expiry of the Change of Control Negotiation Period and payment by the Charterer of the amount due in accordance with paragraph (ii) below shall be made on the expiry date of the Change of Control Negotiation Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall, on the Termination Date determined in accordance with the foregoing paragraph, pay to the Owners the Stipulated Loss Value as at the Termination Date, together with all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received the amounts payable by the Charterer in accordance with this Clause 21(e) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and the Charterer may take title to the Vessel from the Owners in accordance with Clause 22 (*Transfer of Title to Vessel*) by paying to the Owners the Stipulated Loss Value as of the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)Acceleration of Loan

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If on any date the Loan becomes due and payable in full pursuant to the provisions of the Loan Agreement then the Charter Period shall (unless the Agent has notified the Owners and the Charterer otherwise) automatically (without need for notice or other action) terminate on the date on which the Loan becomes due and payable, which date shall be the Termination Date, and the Charterer shall pay to the Owners in accordance with the instructions of the Agent on the Termination Date the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)where the Loan has become due and payable pursuant to clause 21 (*Events of Default*) of the Loan Agreement by reason of the occurrence of an "Event of Default" under the Loan Agreement (otherwise than due to a Default or an Overriding Cause), the Special Termination Value; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)where the Loan has become due and payable in any other circumstances or for any other reason in circumstances or for a reason other than as mentioned in (A) above, the Stipulated Loss Value (in any case other than where the Special Termination Value is applicable below) or the Special Termination Value (if the relevant event resulting in the occurrence of the Termination Date is caused due to a change in law in Japan); and

in each case, all Charter Hire (if any) then due and payable, any additional amounts (on an indemnity basis) and all other amounts

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then due and payable by the Charterer and the Charterer Guarantor to the Owners, the Registered Owner, the Finance Parties, the Remarketing Agent, the other Indemnitees under this Agreement or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received all the amounts payable under the Operative Documents and in accordance with this Clause 21(f) in full, title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Survival of Terms

The Charterer's and the Owners' rights and obligations under this Clause 21 (*Option to Purchase and Early Termination*) and under Clauses 4 (*Delivery, Acceptance and Title*), 5 (*Extent of Owners' Liability*), 6 (*Charter Hire*), 7 (*Payments, Interest and Calculations*), 8 (*Costs and Indemnities*), 9 (*Taxation*), 19 (*Owners' Rights following an Event of Default*), 20 (*Relevant Party Event and Charterer's Rights*), 22 (*Transfer of Title to Vessel*) and 23 (*Costs and Expenses*) of this Agreement and the rights of each Finance Party, Relevant Party, Indemnitee and Tax Indemnitee Clauses 4 (*Delivery, Acceptance and Title*), 5 (*Extent of Owners' Liability*), 6 (*Charter Hire*), 7 (*Payments, Interest and Calculations*), 8 (*Costs and Indemnities*), 9 (*Taxation*), 19 (*Owners' Rights following an Event of Default*), 20 (*Relevant Party Event and Charterer's Rights*), 22 (*Transfer of Title to Vessel*) and 23 (*Costs and Expenses*) of this Agreement shall survive any termination of the Charter Period or any termination of this Agreement or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;**22.TRANSFER OF TITLE TO VESSEL**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received all amounts payable by under the Operative Documents in accordance with any of Clauses 16(b)(i), 16(b)(ii), 19(c)(i)(B), 20(b), 21(a), 21(b), 21(c), 21(d), 21(e) or 21(f) and have received all other amounts (if any) then payable by the Charterer to the Owners and the Finance Parties under the Operative Documents, the Owners shall procure that all of the right, title and interest of the Owners and the Registered Owner in and to the Vessel shall, on or as soon as reasonably practicable after such time, be transferred from the Owners and the Registered Owner to the Charterer, in each case, without recourse or warranty (other than as to the absence of Owner Liens) and without further act, and on an "as-is, where-is" basis, and if requested by the Charterer, the Owners shall, and shall procure that the Registered Owner shall, promptly execute and deliver a bill of sale or bills of sale (as appropriate) in respect of the Vessel and such other documents and instruments as the Charterer shall reasonably request to evidence (on the public record or otherwise) such transfer and the vesting of all right, title and interest of the Owners and the Registered Owner in and to the Vessel in the Charterer, free and clear of any Owner Lien.

Other than as referred to in this Clause 22(b), none of any Owner, the Registered Owner or any Finance Party makes or will make any warranties, guarantees or representations of any kind, express or implied, statutory or otherwise, with regard to the Vessel including, but not limited to, the condition of the Vessel, and the Charterer hereby waives and agrees to,

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waive all remedies, warranties, representations, guarantees, express or implied arising by law or otherwise, including without limitation any obligation of any Owner, the Registered Owner or any Finance Party with respect to fitness for any purpose merchantability or consequential damages. Each Owner warrants that there shall be vested in the Charterer such title to the Vessel as was transferred to the Registered Owner by the Charterer pursuant to the Memorandum of Agreement and that the Vessel will (provided that the amounts referred to in Clause 22(a) have been paid in full) be free and clear of all Owner Liens.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)All costs, charges, stamp, documentary, value added, turnover, transfer, consumption and sales or similar Taxes and all other Taxes, legal fees and other costs and expenses whatsoever associated with the transfer of title to the Vessel, including, without limitation, any registration or any release of any Security Documents as a result, shall be borne by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;**23.COSTS AND EXPENSES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer shall bear all the legal fees and documentation costs incurred by the Owner Parent, the Registered Owner, the Owners and the Finance Parties in respect of the preparation, negotiation, printing and execution of the Operative Documents (including any stamp duties or transfer taxes) and the costs and expenses associated with purchase of the Vessel, subject to any agreed caps.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall bear any and all costs related to the registration and flagging of Vessel by the Owners, including mortgage and ownership registration costs and all other purchase costs incurred by the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer shall on demand pay or reimburse the Owners, the Registered Owner and the Finance Parties for all fees and expenses (including, without limitation, legal and accounting fees and expenses) and out-of-pocket costs and expenses incurred by it (i) in connection with any amendment, alteration, variation, consent or approval requested or required by the Charterer to implement this Agreement or any Operative Document or (ii) in connection with any preservation or enforcement of any of the rights of the Owners, the Representative Owner, the Registered Owner, the Finance Parties, any Indemnitee or Tax Indemnitee hereunder or thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall promptly pay any stamp or other documentary or registration duties and taxes which are payable in connection with the execution or delivery of any of the Operative Documents or the purchase and sale or chartering of the Vessel or which any of the Operative Documents or the transactions contemplated thereby may be subject or give rise to (in each case whether imposed on or required to be paid by the Owners, the Registered Owner or the Charterer or any other party to the Operative Documents) and shall indemnify each Tax Indemnitee from and against any Losses which it may incur as a result of any delay or omission by the Charterer to pay any such duties or taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Except as otherwise provided in this Agreement, where:

each of the Owners' or the Registered Owner's performance of any of its obligations under the Loan Agreement or any of the other

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Operative Documents requires or results in the incurring of any cost or expense by the Owners or the Registered Owner (whether or not the relevant obligation is expressed (in whatever terms) to be owed by the Owners or the Registered Owner at its cost or expense or is subject to the Owners or the Registered Owner being indemnified against any cost or expense); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in any Operative Document any obligation of any Finance Party is expressed (in whatever terms) to be owed to the Owners or the Registered Owner at no cost or expense to such Finance Party or at the cost or expense of the Owners or the Registered Owner or is subject to such Finance Party or the Owners or the Registered Owner being indemnified against any cost or expense,

the Charterer will on demand of the Owners pay to the Owners or the Registered Owner, as the case may be, such amount as may be necessary (in the case of (i) above) to ensure that the each of the Owners and the Registered Owner is able to perform its obligations at no cost or expense to the Owners or the Registered Owner or (in the case of (ii) above) to enable the Owners or the Registered Owner to pay each Finance Party's costs or expenses in complying with such obligation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)To the extent that any amendment and/or amendment and restatement is required to be made to the Operative Documents to reflect this agreement between the Parties (including if required the inclusion of hedging arrangements in the Operative Documents) all costs and expenses (including legal fees) reasonably incurred by any Relevant Party or any Finance Party in connection with the amendment, negotiation, preparation, printing, execution, syndication and perfection of such amended Operative Documents shall be borne by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;**24.NOTICES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Every notice, request, demand or other communication under this Agreement shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)be in writing delivered personally or by prepaid letter (airmail if international or courier) or email;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)be deemed to have been received, subject as otherwise provided in this Agreement, in the case of a letter, when delivered personally and, in the case of an email, when received in a readable format;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)be sent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in the case of any notice, request, demand or other communication to the Owners and/or the Registered Owner, to:

![image_24.jpg](image_24.jpg)![image_25.jpg](image_25.jpg)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in&nbsp;&nbsp;&nbsp;&nbsp;the&nbsp;&nbsp;&nbsp;&nbsp;case&nbsp;&nbsp;&nbsp;&nbsp;of&nbsp;&nbsp;&nbsp;&nbsp;any&nbsp;&nbsp;&nbsp;&nbsp;notice,&nbsp;&nbsp;&nbsp;&nbsp;request,&nbsp;&nbsp;&nbsp;&nbsp;demand&nbsp;&nbsp;&nbsp;&nbsp;or&nbsp;&nbsp;&nbsp;&nbsp;other communication to the Charterer, to:

c/o Flex LNG Management AS Bryggegata 3

0250 Oslo, Norway Attention:&nbsp;&nbsp;&nbsp;&nbsp;Chief Financial Officer Email:&nbsp;&nbsp;&nbsp;&nbsp;finance@flexlng.com

or to such other address or email address as is notified by one party to the other by five (5) Business Days prior notice in writing under this Agreement.

![image_26.jpg](image_26.jpg)Copies of every such notice, request, demand or other communication shall be sent simultaneously to the Agent as follows:

Attention:

Email:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)All demands, documents, notices, communications, evidence, reports, opinions and other documents (other than those set forth in item 1(a) of Part 2 of Schedule 2) given or to be given under this Agreement, unless made in the English language, shall be accompanied by an English translation for each copy of the foregoing so given; provided that the English version or translation of all such documents, notices, communications, evidences, reports, opinions and other documents shall govern in the event of any conflict with the non-English version thereof.

&nbsp;&nbsp;&nbsp;&nbsp;**25.ASSIGNMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Save in accordance with the provisions of this Agreement and the other Operative Documents and subject to Clause 25(b), no party hereto may assign or otherwise transfer any of its rights under this Agreement or under any of the other Operative Documents without the prior written consent of the other parties and the Security Agent (acting on the instructions of all of the Lenders) and any purported such assignment and/or transfer in breach of this Clause 25(a) shall be wholly null and void. The Charterer hereby consents to any assignment by the Owners and the Representative Owner of their rights hereunder and under the other Operative Documents to the Security Agent pursuant to the Security Documents and to the exercise of any of the rights of the Security Agent pursuant to the Security Documents.

In the event that the Charterer has not exercised its voluntary option to purchase under Clause 21(a) by (and including) the Early Buy-out Option Notification Cut-off Date, the Owners and the Representative Owner may at any time thereafter assign or transfer their rights and obligations under this Agreement to a third party, provided that the Owners and the Representative Owner shall prior to such

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assignment or transfer discharge all of their respective liabilities to the Finance Parties under the Operative Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)This Agreement and the other Operative Documents shall bind and enure to the benefit of the Owners and the Charterer and their respective and any subsequent respective successors and permitted assigns and permitted transferees.

&nbsp;&nbsp;&nbsp;&nbsp;**26.MISCELLANEOUS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The terms and conditions of this Agreement shall not be varied otherwise than by an instrument in writing of even date herewith or subsequent hereto executed by or on behalf of the Owners and the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each of the Owners and the Charterer agrees to keep the terms and conditions of this Agreement and the other Operative Documents confidential and not to disclose such terms and conditions to any person except that each party, each Indemnitee and each Tax Indemnitee may make disclosure (i) to the Owner Parent, the Kumiai-in or potential Kumiai-in and their respective Affiliates and their respective legal and other professional advisers as well as the Charterer's respective legal and other professional advisers (including, without limitation, insurance brokers, insurers and underwriters, counsel and auditors), (ii) to any Relevant Authority or Government Entity or other person to whom any such person is required by Applicable Law or to whom it is customary in any dealing to disclose such information, (iii) as considered by the Owners, the Charterer or any such person aforesaid to be reasonably necessary for the purposes of any legal or arbitral proceedings or to protect, preserve or enforce its rights under any Operative Document, (iv) as required by Applicable Law, (v) to any taxation or fiscal authority, (vi) if such disclosure is necessary or advisable for the purpose of obtaining any consent of, or exemption from, any governmental or public body or authority, (vii) if the information in question is already in the public domain other than as a result of a breach of this Agreement, (viii) to any Finance Party or potential Finance Party or any of their respective affiliates, employees, directors, officers, representatives and advisors or otherwise to any person to whom disclosure is permitted under the terms of the Loan Agreement, (ix) to a bank or financial institution with whom the Owner Parent enters into (or may potentially enter into) a financing transaction under which payments are to be made or may be made by reference to one or more Operative Documents,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) to any Remarketing Agent or potential Remarketing Agent and (xi) with

the prior consent of the other party.

The rights, powers and remedies of any party (whether arising under this Agreement, any other Operative Document or provided by law) shall not be capable of being waived or varied otherwise than by an express waiver or variation in writing signed by such party. No failure or delay on the part of any party in exercising any right, power or remedy under this Agreement or any Operative Document shall operate as a waiver thereof nor shall any defective, single or partial exercise by any party of any such right, power or remedy preclude any other or further exercise thereof or the exercise of any other right, power or remedy and no act or course of conduct or negotiation on the part of any party or on its behalf shall in any way preclude it from exercising any such right, power or remedy or constitute a suspension or any variation of any such right, power or remedy. The remedies provided in this Agreement and the other Operative Documents are cumulative and are in addition to any remedies provided by law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Any provision hereof prohibited by or unlawful or unenforceable under any Applicable Law actually applied by any court of competent jurisdiction shall (to the extent required by such law) be severed from this Agreement and rendered ineffective so far as is possible without modifying the remaining provisions of this Agreement and neither the legality, validity or enforceability of the remaining provisions hereof nor the legality, validity or enforceability of such provision under the Applicable Law of any other jurisdiction shall in any way be affected or impaired thereby. Where however the provisions of any such Applicable Law may be waived, they are hereby waived by the parties to the full extent permitted by such law, to the end that this Agreement shall be a valid and binding agreement enforceable in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Each of the Owners and the Charterer undertakes and agrees that it will not seek to vary or amend, or consent to the variation or amendment of any Operative Document without the prior written consent of the other parties and the Finance Parties, which consent, as between the Owners and the Charterer, shall not be unreasonably withheld or delayed in the case of any variation or amendment which does not prejudice the position of the other and provided that the consent right of the Charterer shall not apply following the occurrence of an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)If the Charterer fails to comply with any provision of this Agreement, the Owners or the Security Agent may, without being in any way obliged to do so or to treat, and without prejudice to any right of the Owners, the Representative Owner or the Security Agent to treat, that non compliance as an Event of Default, effect compliance on behalf of the Charterer, whereupon the Charterer shall indemnify the Owners, the Representative Owner or, as applicable, the Security Agent in respect of any amount thereby expended by the Owners, the Representative Owner or, as applicable, the Security Agent together with all Losses (including, without limitation, legal fees and expenses) incurred in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)Subject to any express period of grace set out in this Agreement, time shall be of the essence as regards the performance by the parties of their respective obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Any amount referred to in this Agreement which is payable to the Charterer shall not be paid to the Charterer, or, if it has been previously paid directly to the Charterer, shall not be retained by the Charterer (and shall be paid to or received by the Charterer to be held in trust for the Owners), if at the time of such payment an Event of Default shall have occurred and be continuing, but shall be paid to and held by the Owners as security for the obligations of the Charterer under this Agreement, and shall be applied towards payment of the Charterer's obligations under this Agreement, and at such time as there shall not be continuing any such Event of Default such amount (to the extent not so applied) shall be paid over to the Charterer or its designee.

Save where expressly otherwise provided in this Agreement, any certificate or determination by the Owners or any Finance Party as to any rate of interest or as to any amount payable under this Agreement shall be for the purposes of this Agreement and the other Operative Documents *prima facie* evidence of the amount thereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)If any sum paid or recovered in respect of the obligations or liabilities of the Charterer under this Agreement is less than the aggregate amount then due, the Owners may apply such sum in such manner and order as the Owners (acting on the instructions of the Security Agent except in respect of any Excluded Property) shall determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer agrees from time to time and at its own cost and expense to do and perform such other and further acts and execute and deliver any and all such other agreements, instruments and documents as may be required by law or reasonably requested by the Owners or the Security Agent to establish, maintain and protect the rights and remedies of the Owners and/or the Registered Owner and/or the Finance Parties, as the case may be, and to carry out and effect the intent and purpose of this Agreement and the other Operative Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)The Owners and the Representative Owner may delegate to the Security Agent and to any other person or persons nominated by the Security Agent, all or any of the rights, powers, remedies or discretions vested in them by this Agreement and any such delegation may be made upon such terms and conditions as the Owners, the Representative Owner and the Security Agent in their absolute discretion think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)The obligations of the Owners under this Agreement and the other Operative Documents are joint and several. The failure of one of the Owners to perform any of its obligations shall not affect, reduce or discharge the liability of the other Owners to perform that obligation and the effectiveness of this Agreement shall be in no way revoked or impaired as to any Owner by any contingency affecting the other Owners (including, without limitation, the occurrence of any Relevant Party Event in relation to the other Owners), any obligations hereunder of the other Owners becoming or proving to be void, voidable or unenforceable at any time or any time or indulgence granted to the other Owners. No Owner shall be entitled to divide the Owner's right, title and interest in or to the Vessel under any circumstances, and without the prior written consent of the Charterer. Full performance by the Charterer of its obligations hereunder in favour of any Owner shall be deemed to be full performance by the Charterer to all Owners (other than in respect to any obligation to make any payment pursuant to Clause 7 (*Payments, Interest and Calculations*), which obligation must be performed as specified in Clause 7 (*Payments, Interest and Calculations*)).

The Owners hereby jointly and irrevocably appoint and authorise the Representative Owner to act as their representative, proxy and agent for all purposes (and whether expressly provided or not) under this Agreement and the other Operative Documents to which the Owners (or the Representative Owner) are a party and authorise and empower the Representative Owner to take any action necessary for the exercise of their rights and performance of their obligations under this Agreement and the other Operative Documents together with such other powers and discretions as are reasonably incidental thereto and, without prejudice to the generality of the foregoing, each Owner hereby irrevocably authorises the Representative Owner or any duly authorised representative of it, and appoints the same, such Owner's attorney-in-fact to complete, amend, execute and deliver on its behalf all or any documents required to be executed by such Owner under or in connection with this Agreement or any

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of the other Operative Documents. The Owners hereby agree that any act done by the Representative Owner under or in connection with this Agreement or any of the other Operative Documents shall be conclusive and binding as between any Owner and the Owner Parent, the other Owners, the Representative Owner and the Charterer, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;**27.LAW AND JURISDICTION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)This Agreement and any non-contractual obligations arising out of or in connection with it are governed by and shall be construed in accordance with the laws of England.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each of the Owners and the Charterer irrevocably agrees that the courts of England and any appellate court thereof, shall have jurisdiction to hear and determine any suit, action or proceeding, and to settle any disputes (including a dispute relating to any non-contractual obligation arising out of or in connection with this Agreement), which may arise out of or in connection with this Agreement and/or any of the other Operative Documents to which the Owners, the Representative Owner and the Charterer are parties and, for such purposes, irrevocably submits to the jurisdiction of such courts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Each of the Charterer and the Owners irrevocably consents to service of process or any other documents in connection with proceedings in any court by personal service, delivery at its address for notices specified in this Agreement, registered mail or in any other manner permitted by English law, the law of the place of service or the law of the jurisdiction where proceedings are instituted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Owners hereby irrevocably designate, appoint and empower the London Process Agent to receive and acknowledge for them and on their behalf any writ, summons, order, judgment or other notice of legal process issued out of the courts of England in any legal action or proceeding arising out of or in connection with this Agreement and any other Operative Document and in the event of the termination of such appointment the Owners undertake promptly to appoint another agent for service of process satisfactory to the Charterer and, failing such appointment by the Owners, the Charterer shall be entitled (and is hereby authorised) to appoint an agent on behalf of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)The Charterer hereby irrevocably designates, appoints and empowers Flex LNG UK Management Limited, currently at 10 Eastcheap, 4th Floor, London EC3M 1AJ, England to receive and acknowledge for it and on its behalf any writ, summons, order, judgment or other notice of legal process issued out of the courts of England in any legal action or proceeding arising out of or in connection with this Agreement and any other Operative Document. In the event of the termination of such appointments the Charterer undertakes promptly to appoint another agent for service of process satisfactory to the Owners and, failing such appointment by the Charterer, the Representative Owner shall be entitled (and is hereby authorised) to appoint an agent on behalf of the Charterer.

Each of the Owners and the Charterer irrevocably waives any objection which it might now or hereafter have to the court referred to in Clause 27(b) being nominated as the forum to hear and determine any suit, action or

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proceeding, and to settle any disputes, which may arise out of or in connection with this Agreement and agrees not to claim that such court is not a convenient or appropriate forum. Each of the Owners and the Charterer waives, to the fullest extent permitted by applicable law, any right it may have to a trial by jury in any legal proceeding directly or indirectly arising out of or relating to this Agreement or the transactions contemplated hereby (whether based on contract, tort or any other theory).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The submission to the jurisdiction of the court referred to in Clause 27(b) shall not (and shall not be construed so as to) limit the right of any party hereto to take proceedings against any other party hereto in any other court of competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether concurrently or not.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Each of the parties hereby irrevocably and unconditionally waives any immunity from suit, judgment, execution, set-off, attachment, arrest, specific performance, injunction or other judicial order or remedy to which it or any of its properties may be entitled at present or in the future in any jurisdiction in respect of, and consents generally to the giving of any relief or the issue of any process, including without limitation the making, enforcement or execution against any property whatsoever (irrespective of its use or intended use) of any order or judgment which may be made or given in connection with, any legal action or proceedings with respect to this Agreement or any other Operative Document to which it is a party or in connection herewith or therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)Any person which is a Finance Party, a Relevant Party, an Indemnitee or a Tax Indemnitee from time to time and is not a party to this Agreement shall be entitled to enforce such terms of this Agreement as provide for the obligations of the Charterer to such Finance Party, Relevant Party, Indemnitee or Tax Indemnitee, as the case may be, in each case, subject to the provisions of Clauses 27(a) and the Contracts (Rights of Third Parties) Act 1999 (the "**Third Parties Act**"). The Third Parties Act applies to this Agreement as set out in this Clause 27(i). Save as **provided** above, a person who is not a party to this Agreement has no right to use the Third Parties Act to enforce any term of this Agreement and, subject to the other provisions of the other Operative Documents, the parties to this Agreement do not require the consent of any third party (including, without limitation, any Relevant Party, Indemnitee or Tax Indemnitee who is not a party to this Agreement) to amend or rescind this Agreement at any time.

&nbsp;&nbsp;&nbsp;&nbsp;**28.COUNTERPARTS**

The charter under this Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute but one and the same instrument.

**IN WITNESS** whereof the parties have caused this Agreement to be duly executed the day and year first above written.

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**Description of Vessel**

<br>**SCHEDULE 1 DESCRIPTION OF VESSEL**

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One (1) 173,400cbm MEGI class LNG carrier named M.V. FLEX COURAGEOUS (IMO No. 9825439) and to be registered in the name of the Registered Owner under the laws and the flag of the Marshall Islands.

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**SCHEDULE 2**

**LIST OF DOCUMENTS AND EVIDENCE**

**PART 1**

**INITIAL CONDITIONS PRECEDENT**

&nbsp;&nbsp;&nbsp;&nbsp;1.Owners' Conditions Precedent

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Representative Owner having received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a copy, certified by a duly authorised officer of the Charterer and the Charterer Guarantor, as the case may be, to be a true, complete and up-to-date copy, of the Articles of Incorporation and, if any, other relevant constitutional documents of the Charterer and the Charterer Guarantor, as the case may be, together with a commercial registry extracts of the Charterer and the Charterer Guarantor, as the case may be, issued by the applicable authority in the state of incorporation of the Charterer and the Charterer Guarantor, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)**Charterer Corporate Approvals**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)**Board resolutions** – a copy of a resolution of the board of directors of the Charterer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.approving the terms of, and the transactions contemplated by, the Operative Documents to which it is a party and resolving that it execute those Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.authorising a specified person or persons to execute those Operative Documents (and all documents and notices to be signed and/or dispatched under those documents) on its behalf;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)**Specimen signatures** – a specimen of the signature of each person authorised by the resolutions referred to in (A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)**Officer's certificate** – a copy of certificate of a duly authorised officer of the Charterer certifying that each copy document relating to it specified in this Part 1 of Schedule 2 is correct, complete and in full force and effect and setting out the names of the directors, officers and shareholders of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)**Charterer Guarantor Corporate Approvals**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)**Board resolutions** – a copy of a resolution of the board of directors of the Charterer Guarantor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.approving the terms of, and the transactions contemplated by, the Operative Documents to which it is a party and resolving that it execute those Operative Documents; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.authorising a specified person or persons to execute those Operative Documents (and all documents and notices to be signed and/or dispatched under those documents) on its behalf;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)**Specimen signatures** – a specimen of the signature of each person authorised by the resolutions referred to in (A).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)**Officer's certificate** – a copy of certificate of a duly authorised officer of the Charterer Guarantor certifying that each copy document relating to it specified in this Part 1 of Schedule 2 is correct, complete and in full force and effect and setting out the names of the directors, officers and shareholders of the Charterer Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)a duly executed copy of the Operative Documents together with all notices and acknowledgements (if any) required in connection therewith, duly executed by each of the parties thereto other than any Owner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)evidence satisfactory to it that all reports, registrations, recordings in connection with the transactions contemplated by the Operative Documents were or will be properly submitted and filed and all other actions which are necessary to be taken in connection therewith were taken in the Marshall Islands, Japan and England;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a certificate of an authorized officer of the Charterer Guarantor certifying that (A) no Default has occurred and is continuing and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Vessel exists and is free from any Liens (other than Permitted Liens);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)an appraisal of reputable appraiser(s) appointed by the Owner Parent in form and substance satisfactory to the Representative Owner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)the Original Financial Statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)a certified copy (certified by a director, officer or duly authorised attorney of the Charterer or the Charterer Guarantor) as being true and complete copy of the Initial Sub-charter (including documents amending or amending and novating the same);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)a certified copy (certified by a director, officer or duly authorised attorney of the Charterer or the Charterer Guarantor) as being true and complete copy of the Management Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)a copy of the process agent appointment letter between the Charterer and FLEX LNG UK Management Limited.

The Owners shall be satisfied that the Agent has received such evidence as it reasonably requires to enable each Lender to carry out and be satisfied with the results of its "Know Your Customer Checks" and anti-money laundering documentation (including AML Law) in respect of each of the Charterer, the Charterer Guarantor and the Manager and other relevant person in connection with the transactions contemplated by the Operative Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;2.The Representative Owner having received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the Charterparty Supplement in the form set out in Schedule 3 duly executed and delivered by the Charterer or its authorised representative;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)an opinion in form and substance satisfactory to the Owners in English

![image_27.jpg](image_27.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)a tax opinion from the Japanese tax adviser addressed to the Owners in form and substance reasonably satisfactory to the Owners by reference to Japanese tax laws or regulations or guidelines of the Japanese Leasing Association;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)a certificate of insurance evidencing placing of the Insurances required to be maintained pursuant to Clause 15 (*Insurance*) (including without limitation clause 15(f)) and confirmation from each Approved Broker and/or insurer that it will issue a letter of undertaking naming Security Agent as first-sole loss payee);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)evidence that any prior registration (other than through the Flag State) of the Vessel has been or will (within such period as may be approved) be cancelled;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)a copy of the commercial invoice for the Vessel issued by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)a copy of the bill of sale for the Vessel executed by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)a copy of the protocol of delivery and acceptance executed between the Charterer and the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a certificate of ownership and encumbrance in respect of the Vessel evidencing its registration in the name of the Registered Owner and registration of the Mortgage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)a report on the adequacy of the Insurances from an insurance adviser instructed by the Agent (to be obtained at the cost of the Charterer, subject to Charterer's pre-approval of such costs);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)a certified true copy of a certificate of classification and class maintenance certificate issued by ABS and any evidence that the Vessel has been issued with valid Certificate of Survey as required for a ship of her type;

an original of a certificate of the Charterer certifying that it has not registered title to the Vessel under the laws or flag of any jurisdiction prior to the delivery of the Vessel by the Charterer to the Registered Owner under the Memorandum of Agreement (other than the existing registration in

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favour of the Charterer in its capacity as seller under the Memorandum of Agreement);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)a copy of the Document of Compliance under the ISM Code issued in the name of the Manager;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)a copy, certified as a true copy, of the Vessel's Safety Management Certificate issued under the ISM Code, and of the Vessel's International Ship Security (ISS) Certificate issued under the ISPS Code, and of the Vessel's International Air Pollution Prevention Certificate pursuant to Annex VI (Regulations for the Prevention of Air Pollution from Ships) to MARPOL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)a certificate signed by an authorised representative of the Charterer or the Charterer Guarantor confirming that no other authorizations, approvals, consents, licenses and exemptions of any governmental authority or central bank are required to be executed in order to give effect to the transactions contemplated by this Agreement and the other Operative Documents, and for the execution, delivery, validity, priority, effectiveness and performance by the Charterer and the Charterer Guarantor and the enforceability of this Agreement and the other Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)written confirmation from an authorised representative of the Charterer that, to the best of the Charterer's knowledge, the Vessel is in good working order and that no casualties exist.

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**PART 2**

**CHARTERER'S CONDITIONS PRECEDENT**

&nbsp;&nbsp;&nbsp;&nbsp;1.The Charterer having received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)evidence satisfactory to it as to the incorporation and existence of, and authorisation of the execution, delivery and performance of the Operative Documents by each of the Owners and the Owner Parent (including any relevant constitutional documents and powers of attorney) (if applicable);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)an original of each of the Operative Documents to which the Charterer is a party, duly executed by each of the parties thereto other than the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)an original copy of the Owner Parent Letter (Charterer) duly executed by the Owner Parent; and

a copy of the process agent appointment letter between the Owners and the London Process Agent.

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**PART 3 CONDITIONS SUBSEQUENT**

&nbsp;&nbsp;&nbsp;&nbsp;1.The Representative Owner shall receive within ten (10) Business Days from the Charter Commencement Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)each of the originals of the officers' certificates of the Charterer (as set out in Schedule 2, Part 1, paragraph (a)(ii)(C)) and the Charterer Guarantor (as set out in Schedule 2, Part 1, paragraph (a)(iii)(C));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)an original of the commercial invoice for the Vessel issued by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)two originals of the bill of sale for the Vessel executed by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)an original of the protocol of delivery and acceptance executed between the Charterer and the Registered Owner in connection with the Memorandum of Agreement; and

an original of each of the Operative Documents (excluding the Management Agreement, the Sub-charter, the Bill of Sale (as defined in the Memorandum of Agreement) and the Bill of Sale (as defined in the Instalment Sale Agreement)) together with all notices and acknowledgements (if any) required in connection therewith, duly executed by each of the parties thereto other than any Owner.

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**SCHEDULE 3**

**FORM OF CHARTERPARTY SUPPLEMENT**

**FLEX LNG COURAGEOUS LIMITED** (the "**Charterer**") hereby acknowledges that:

&nbsp;&nbsp;&nbsp;&nbsp;(a)on the date hereof the Vessel specified in the Schedule annexed to the bareboat charter agreement (the "**Charter Agreement**") dated <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> 2025 made between JPV No. 23 Co., Ltd. and JPV No. 24 Co., Ltd., as owners, JPV No. 23 Co., Ltd. as representative owner and the Charterer, as charterer and forming a part hereof have, pursuant to the terms of the Charter Agreement, been delivered to the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;(b)the Charter Commencement Date is the date hereof;

&nbsp;&nbsp;&nbsp;&nbsp;(c)the Charter Period in respect of the Vessel referred to in the Charter Agreement has commenced; and

&nbsp;&nbsp;&nbsp;&nbsp;(d)henceforward the Vessel will be subject to all the terms and conditions contained in the Charter Agreement.

Unless otherwise defined herein, words and expressions defined in the Charter Agreement shall have the same meanings when used herein.

The Charterer represents and warrants that (a) the representations and warranties made by it under Clause 10(a) of the Charter Agreement, clause 3.1 of the Memorandum of Agreement and in the Charterer Account Charge and Onward Assignment, those of the Manager in the Management Agreement and those of the Charterer Guarantor in the Guarantee remain true and correct, (b) no Default has occurred at the date of this Charterparty Supplement and (c) the Vessel satisfies the requirements under the Charter Agreement.

The Owners and the Charterer confirm that the Schedules attached hereto shall, in accordance with the provisions of the Charter Agreement, take effect as from the date hereof for all purposes of the Charter Agreement.

This Charterparty Supplement and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with the laws of England.

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**SIGNED** the <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>day of <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>2025.

**FLEX LNG COURAGEOUS LIMITED**

as Charterer

By .........................................................

Attorney-in-Fact

**JPV NO. 23 CO., LTD.**

as Owner

By .........................................................

Authorised Signatory

**JPV NO. 24 CO., LTD.**

as Owner

By .........................................................

Authorised Signatory

**JPV NO. 23 CO., LTD.**

as Representative Owner

By .........................................................

Authorised Signatory

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**SCHEDULE 4 CHARTER HIRE**

141

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **(1)** | **(2)** | **(3)** | **(4)** |
| | **Payment**<br>**Date** | **Basic Charter Hire A**<br>**(US$)** | **Reference Value A**<br>**(US$)** | &nbsp;&nbsp;**Charter Hire B**<br>**(US$)** |
| 0 | 2025/05/30 |  | 125000000.00 |  |
| 1 | 2025/07/30 |  | 123909930.56 |  |
| 2 | 2025/10/30 |  | 123396553.47 |  |
| 3 | 2026/01/30 |  | 122875960.58 |  |
| 4 | 2026/04/30 |  | 122310505.04 |  |
| 5 | 2026/07/30 |  | 119755960.81 |  |
| 6 | 2026/10/30 |  | 117184197.37 |  |
| 7 | 2027/01/30 |  | 114576286.37 |  |
| 8 | 2027/04/30 |  | 111896710.31 |  |
| 9 | 2027/07/30 |  | 109197385.41 |  |
| 10 | 2027/10/30 |  | 106477215.33 |  |
| 11 | 2028/01/30 |  | 103718811.75 |  |
| 12 | 2028/04/30 |  | 100905791.34 |  |
| 13 | 2028/07/30 |  | 98053662.13 |  |
| 14 | 2028/10/30 |  | 95176860.83 |  |
| 15 | 2029/01/30 |  | 92259624.48 |  |
| 16 | 2029/04/30 |  | 89273194.32 |  |
| 17 | 2029/07/30 |  | 86259339.70 |  |
| 18 | 2029/10/30 |  | 83216762.64 |  |
| 19 | 2030/01/30 |  | 80131420.47 |  |
| 20 | 2030/04/30 |  | 76978227.50 |  |
| 21 | 2030/07/30 |  | 73793438.69 |  |
| 22 | 2030/10/30 |  | 70575646.47 |  |
| 23 | 2031/01/30 |  | 67312626.39 |  |
| 24 | 2031/04/30 |  | 63983175.00 |  |
| 25 | 2031/07/30 |  | 60617718.86 |  |
| 26 | 2031/10/30 |  | 57214734.58 |  |
| 27 | 2032/01/30 |  | 53763919.46 |  |
| 28 | 2032/04/30 |  | 50256387.28 |  |
| 29 | 2032/07/30 |  | 46700090.66 |  |
| 30 | 2032/10/30 |  | 43101486.38 |  |
| 31 | 2033/01/30 |  | 39452301.72 |  |
| 32 | 2033/04/30 |  | 35739770.87 |  |
| 33 | 2033/07/30 |  | 31981652.96 |  |
| 34 | 2033/10/30 |  | 28176172.86 |  |
| 35 | 2034/01/30 |  | 24317204.62 |  |
| 36 | 2034/04/30 |  | 20396566.18 |  |

---

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---

| | | |
|:---|:---|:---|
| 37 | 2034/07/30 | 16425135.11 |
| 38 | 2034/10/30 | 12400999.51 |
| 39 | 2035/01/30 | 8320302.45 |
| 40 | 2035/04/30 | 4179706.61 |
| 41 | 2035/07/30 | 0.00 |

---

&nbsp;&nbsp;&nbsp;&nbsp;

Notes: 1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The amount of Charter Hire on each Payment Date shall be the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Basic Charter Hire A set forth opposite such Payment Date in column (2) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the additional hire on such Payment Date, to be calculated as being an amount equal to the sum of (x) the Reference Value A set forth opposite the immediately preceding Payment Date (or, if none, the Charter Commencement Date) in column (3) above multiplied by

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)the relevant interest rate in respect of the Loan referred to in clause 8.1 (*Calculation of interest*) and clause 10 (*Change to the Calculation of Interest*) of the Loan Agreement applicable to the Interest Period (as defined in the Loan Agreement) that commences on such immediately preceding Payment Date (or, if none, the Utilisation Date (as defined in the Loan Agreement)) multiplied by

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z)a fraction of which the numerator is the actual number of days elapsed during such period and the denominator of which is 360 or, where some other period applies in respect of the applicable interest amount under the Loan Agreement, such other period (the "**Additional Hire A**"); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Charter Hire B set forth opposite such Payment Date in column (4) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.In the event that the Early Buy-out Option is exercised, the amounts specified for the relevant Early Buy-out Date shall be payable together with Charter Hire. If the Early Buy-out Option is not exercised, the Charterer shall not be obliged to pay the Charter Hire on the relevant Early Buy-out Date.

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**SCHEDULE 5 SPECIAL TERMINATION VALUE**

&nbsp;&nbsp;&nbsp;&nbsp;1.The amounts of **Special Termination Value A** specified in column (B) of this Schedule 5 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;2.Where the Special Termination Value A becomes payable on, and is required to be calculated as of, any Payment Date then the Special Termination Value A in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;3.Where the Special Termination Value A becomes payable on, and is required to be calculated as of, any date other than a Payment Date then the Special Termination Value A in respect of such other date shall be an amount equal to the amount of

U.S. Dollars set out below opposite the immediately preceding Payment Date or, if none, the Charter Commencement Date in column (B) of this Schedule 5 plus:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)interest to be payable under the Loan Agreement for the period from and including such immediately preceding Payment Date (or Charter Commencement Date) to (but excluding) the date on which the Special Termination Value A becomes payable and as of which it is required to be calculated and calculated on the basis of a year of 360 days or, where some other period applies in respect of the applicable interest amount under the Loan Agreement, such other period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the relevant Break Costs and Hedge Breakage Costs and Hedge Breakage Loss (each as defined in the Loan Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;4.The amounts of **Special Termination Value B** specified in column (C) of this Schedule 5 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;5.Where the Special Termination Value B becomes payable on, and is required to be calculated as of, any Payment Date then the Special Termination Value B in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;6.Where the Special Termination Value B becomes payable on, and is required to be calculated as of, any date (a "**Relevant Date**") other than a Payment Date then the Special Termination Value B in respect of such Relevant Date shall be calculated in accordance with the following formula:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)subtracting the amount set out in column (C) opposite the Payment Date (or, if none, the Charter Commencement Date) immediately preceding the Relevant Date (the "**Preceding Date**") from the amount set out in column

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) opposite the Payment Date immediately following the Relevant Date (the

"**Following Date**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)dividing the difference computed in (a) above by the actual number of days from (and including) the Preceding Date to (but excluding) the Following Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)multiplying the quotient computed in (b) above by the actual number of days elapsed from (and including) the Preceding Date to (but excluding) the Relevant Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)adding the product computed in (c) above to the amount set out in column

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) below opposite the Preceding Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | |
|:---|:---|:---|
| **(A)**<br>**Payment**<br>**Date** | **(B)**<br>**Special Termination**<br>**Value A (US$)** | **(C)**<br>**Special Termination**<br>**Value B (US$)** |
| 2025/05/30 | 125000000.00 | 60005000.00 |
| 2025/07/30 | 123909930.56 | 58005000.00 |
| 2025/10/30 | 123396553.47 | 56005000.00 |
| 2026/01/30 | 122875960.58 | 54005000.00 |
| 2026/04/30 | 122310505.04 | 52005000.00 |
| 2026/07/30 | 119755960.81 | 52005000.00 |
| 2026/10/30 | 117184197.37 | 52005000.00 |
| 2027/01/30 | 114576286.37 | 52005000.00 |
| 2027/04/30 | 111896710.31 | 52005000.00 |
| 2027/07/30 | 109197385.41 | 52005000.00 |
| 2027/10/30 | 106477215.33 | 52005000.00 |
| 2028/01/30 | 103718811.75 | 52005000.00 |
| 2028/04/30 | 100905791.34 | 52005000.00 |
| 2028/07/30 | 98053662.13 | 52005000.00 |
| 2028/10/30 | 95176860.83 | 52005000.00 |
| 2029/01/30 | 92259624.48 | 52005000.00 |
| 2029/04/30 | 89273194.32 | 52005000.00 |
| 2029/07/30 | 86259339.70 | 52005000.00 |
| 2029/10/30 | 83216762.64 | 52005000.00 |
| 2030/01/30 | 80131420.47 | 52005000.00 |
| 2030/04/30 | 76978227.50 | 52005000.00 |
| 2030/07/30 | 73793438.69 | 52005000.00 |
| 2030/10/30 | 70575646.47 | 52005000.00 |
| 2031/01/30 | 67312626.39 | 52005000.00 |
| 2031/04/30 | 63983175.00 | 52005000.00 |
| 2031/07/30 | 60617718.86 | 52005000.00 |
| 2031/10/30 | 57214734.58 | 52005000.00 |
| 2032/01/30 | 53763919.46 | 52005000.00 |
| 2032/04/30 | 50256387.28 | 52005000.00 |
| 2032/07/30 | 46700090.66 | 52005000.00 |
| 2032/10/30 | 43101486.38 | 52005000.00 |
| 2033/01/30 | 39452301.72 | 52005000.00 |
| 2033/04/30 | 35739770.87 | 52005000.00 |
| 2033/07/30 | 31981652.96 | 52005000.00 |
| 2033/10/30 | 28176172.86 | 52005000.00 |
| 2034/01/30 | 24317204.62 | 52005000.00 |
| 2034/04/30 | 20396566.18 | 52005000.00 |
| 2034/07/30 | 16425135.11 | 52005000.00 |
| 2034/10/30 | 12400999.51 | 52005000.00 |
| 2035/01/30 | 8320302.45 | 52005000.00 |
| 2035/04/30 | 4179706.61 | 52005000.00 |
| 2035/07/30 | 0.00 | 52005000.00 |

---

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**SCHEDULE 6 STIPULATED LOSS VALUE**

&nbsp;&nbsp;&nbsp;&nbsp;1.The amounts of **Stipulated Loss Value A** specified in column (B) of this Schedule 6 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;2.Where the Stipulated Loss Value A becomes payable on, and is required to be calculated as of, any Payment Date then the Stipulated Loss Value A in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;3.Where the Stipulated Loss Value A becomes payable on, and is required to be calculated as of, any date other than a Payment Date then the Stipulated Loss Value A in respect of such other date shall be an amount equal to the amount of

U.S. Dollars set out below opposite the immediately preceding Payment Date or, if none, the Charter Commencement Date in column (B) of this Schedule 6 plus:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)interest to be payable under the Loan Agreement for the period from and including such immediately preceding Payment Date (or Charter Commencement Date) to (but excluding) the date on which the Stipulated Loss Value A becomes payable and as of which it is required to be calculated and calculated on the basis of a year of 360 days or, where some other period applies in respect of the applicable interest amount under the Loan Agreement, such other period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the relevant Break Costs and Hedge Breakage Costs and Hedge Breakage Loss (each as defined in the Loan Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;4.The amounts of **Stipulated Loss Value B** specified in column (C) of this Schedule 6 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;5.Where the Stipulated Loss Value B becomes payable on, and is required to be calculated as of, any Payment Date then the Stipulated Loss Value B in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;6.Where the Stipulated Loss Value B becomes payable on, and is required to be calculated as of, any date (a "**Relevant Date**") other than a Payment Date then the Stipulated Loss Value B in respect of such Relevant Date shall be calculated in accordance with the following formula:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)subtracting the amount set out in column (C) below opposite the Payment Date (or, if none, the Charter Commencement Date) immediately preceding the Relevant Date (the "**Preceding Date**") from the amount set out in column (C) below opposite the Payment Date immediately following the Relevant Date (the "**Following Date**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)dividing the difference computed in (a) above by the actual number of days from (and including) the Preceding Date to (but excluding) the Following Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)multiplying the quotient computed in (b) above by the actual number of days elapsed from (and including) the Preceding Date to (but excluding) the Relevant Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)adding the product computed in (c) above to the amount set out in column

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) below opposite the Preceding Date.

---

| | | |
|:---|:---|:---|
| <br>**(A)**<br>**Payment Date** | **(B)**<br>**Stipulated Loss Value A**<br>**(US$)** | **(C)**<br>**Stipulated Loss Value B**<br>**(US$)** |
| 2025/05/30 | 125000000.00 | 61045100.00 |
| 2025/07/30 | 123909930.56 | 59229822.76 |
| 2025/10/30 | 123396553.47 | 57414545.52 |
| 2026/01/30 | 122875960.58 | 55599268.29 |
| 2026/04/30 | 122310505.04 | 53783991.05 |
| 2026/07/30 | 119755960.81 | 53968713.82 |
| 2026/10/30 | 117184197.37 | 54153436.58 |
| 2027/01/30 | 114576286.37 | 54338159.34 |
| 2027/04/30 | 111896710.31 | 54522882.11 |
| 2027/07/30 | 109197385.41 | 54707604.87 |
| 2027/10/30 | 106477215.33 | 54892327.64 |
| 2028/01/30 | 103718811.75 | 55077050.40 |
| 2028/04/30 | 100905791.34 | 55261773.16 |
| 2028/07/30 | 98053662.13 | 55446495.93 |
| 2028/10/30 | 95176860.83 | 55631218.69 |
| 2029/01/30 | 92259624.48 | 55815941.46 |
| 2029/04/30 | 89273194.32 | 56000664.22 |
| 2029/07/30 | 86259339.70 | 56185386.98 |
| 2029/10/30 | 83216762.64 | 56370109.75 |
| 2030/01/30 | 80131420.47 | 56554832.51 |
| 2030/04/30 | 76978227.50 | 56739555.28 |
| 2030/07/30 | 73793438.69 | 56924278.04 |
| 2030/10/30 | 70575646.47 | 57109000.80 |
| 2031/01/30 | 67312626.39 | 57293723.57 |
| 2031/04/30 | 63983175.00 | 57478446.33 |
| 2031/07/30 | 60617718.86 | 57663169.10 |
| 2031/10/30 | 57214734.58 | 57847891.86 |
| 2032/01/30 | 53763919.46 | 58032614.62 |
| 2032/04/30 | 50256387.28 | 58592614.62 |
| 2032/07/30 | 46700090.66 | 59152614.62 |
| 2032/10/30 | 43101486.38 | 59712614.62 |
| 2033/01/30 | 39452301.72 | 60272614.62 |
| 2033/04/30 | 35739770.87 | 60832614.62 |
| 2033/07/30 | 31981652.96 | 61392614.62 |
| 2033/10/30 | 28176172.86 | 61952614.62 |
| 2034/01/30 | 24317204.62 | 62512614.62 |
| 2034/04/30 | 20396566.18 | 63072614.62 |
| 2034/07/30 | 16425135.11 | 63632614.62 |
| 2034/10/30 | 12400999.51 | 64192614.62 |
| 2035/01/30 | 8320302.45 | 64752614.62 |
| 2035/04/30 | 4179706.61 | 65312614.62 |
| 2035/07/30 | 0.00 | 65872614.62 |

---

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**SCHEDULE 7 REDELIVERY CONDITIONS**

&nbsp;&nbsp;&nbsp;&nbsp;1.The Vessel shall be redelivered to the Owners or their designee, safely afloat, at an easily accessible recognised safe and ice-free port of the Owners' choosing in Japan or in any other location to be designated by the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;2.The Vessel shall be redelivered:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)free of cargo with holds and storage places clean and swept and free from debris;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)free and clear of all Liens (other than Owner Liens) and any charter or other contract of employment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)free of any recommendations affecting the Vessel's class and with all class related certificates with at least five (5) years validity remaining as at the date of redelivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)with all trading and class certificates in place;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)within three (3) months of its completed dry docking and a special survey carried out and conducted (without prejudice to the Owners' ability to choose any port under paragraph 1 above) at a dockyard in Japan as may be designated by the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)where required by the Owners, with a suitably qualified, competent crew and in sufficient number to comply with all the applicable requirements, such crew to remain on board until the earlier of (i) the completion of the sale of the Vessel by the Owners to a third party, or (ii) the date falling ninety (90) days after the last day of the Charter Period, provided always that the reasonable and properly incurred and documented costs and expenses incurred by the Charterer in relation to maintaining the crew on-board for such period (including reasonable and properly incurred and documented out-of-pocket expenses) shall be for the account of the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)with all manuals and technical records and otherwise in compliance with all other conditions required by the Flag State in relation to the Vessel (including any applicable ISM Code and other certification) in each case with no less than twelve (12) months left to expiry as at the date of redelivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)in the same condition (fair wear and tear expected) and class as when the Vessel was originally delivered by the shipyard in 2019 and at such time as the Representative Owner shall designate and have installed the machinery and equipment installed thereon or replacements or substitutions therefor made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in the condition assessed at the time of redelivery as qualifying for the highest rating in all respects under the condition assessment program of a classification society designated by the Representative Owner; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)in full compliance with all applicable laws and regulations and all applicable requirements (including, without limitation, environmental laws,

148

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regulations and requirements) of any jurisdiction and of any relevant international organizations (including without limitation IMO) and equipped with machinery and equipment to comply, on a full, final and conclusive basis, with such laws, regulations and requirements (in each case whether or not the compliance is due before the end of the Charter Period).

&nbsp;&nbsp;&nbsp;&nbsp;3.Prior to the redelivery of the Vessel, the Charterer shall provide the Owners with a report prepared by a marine surveyor approved by the Owners (such approval not to be unreasonably withheld) but at the Charterer's expense determining the condition of the Vessel. Should the surveyor's report find any deficiencies, the same shall be corrected at the cost of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;4.All class certificates and maintenance history each written in English must be made available in hardcopy or electronically (if available) at the request of the Representative Owner.

&nbsp;&nbsp;&nbsp;&nbsp;5.Upon redelivery of the Vessel to the Owners, the Charterer shall ensure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the stock quantity of spare parts onboard the Vessel at least meets the requirements of the relevant approved classification society or the recommendations laid down by the manufacturers for three (3) months' operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)other consumables such as fuel which is reachable nearest bunkering port, un-broached provisions, potable water, galley and mess room utensils, paints, chemicals, oils (including lubricant oil), hand tools and minor equipment shall remain with the Vessel at no cost to the Owners; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)all machinery fluid reservoirs and tanks, such as to hold lube oil and hydraulic oil, shall be filled to their recommended operating levels in the relevant machinery.

&nbsp;&nbsp;&nbsp;&nbsp;6.Following the redelivery of the Vessel by the Charterer, the Charterer shall allow for the free storage of the Vessel at a place reasonably designated by the Owners until such time as the Vessel has been sold or otherwise disposed of by the Owners following the redelivery.

&nbsp;&nbsp;&nbsp;&nbsp;7.Should the Charterer fail to redeliver the Vessel in full compliance of the Redelivery Conditions to the Owners or their designee by the end of the Charter Period, the Owners shall have, at any time during such failure continues, the right to (i) declare an immediate Event of Default and require the payment of the Stipulated Loss Value or (ii) require the Charterer to extend the Charter Period until the Redelivery Conditions are satisfied and pay to the Owners hires at the rate equal to the daily equivalent of the Charter Hire plus 50% per day or of the then market rate hires, whichever is higher, for the number of days from the end of the Charter Period up to the date when the Vessel has been redelivered to the Owners in full compliance of the Redelivery Conditions. The Charterer shall be obliged to indemnify the Owners from any liabilities, obligations, cost and losses etc attributable to such failure. For the avoidance of doubt, such extension shall not prejudice the right of the Owners to treat such failure as an Event of Default at any time.

149

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**SCHEDULE 8**

**EARLY BUY-OUT OPTION DEFINITIONS**

In this Agreement and in the Schedules attached hereto, unless the context otherwise requires or it is specified below, the following words and expressions shall have the following meanings:

![image_32.jpg](image_32.jpg)![image_33.jpg](image_33.jpg)![image_34.jpg](image_34.jpg)![image_35.jpg](image_35.jpg)![image_36.jpg](image_36.jpg)![image_37.jpg](image_37.jpg)

150

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SIGNATORIES

M.V. FLEX COURAGEOUS - BAREBOAT CHARTER AGREEMENT

The Owners

JPV No. 23 Co., Ltd.

![image_38.jpg](image_38.jpg)

JPVNo. 24 Co., Ltd.

![image_39.jpg](image_39.jpg)

The Representative Owner

![image_40.jpg](image_40.jpg)JPV No. 23 Co., Ltd.

The Charterer

FLEX LNG COURAGEOUS LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

------

SIGNATORIES

M.V. FLEX COURAGEOUS - BAREBOAT CHARTER AGREEMENT

The Owners

JPV No. 23 Co., Ltd.

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

JPV No. 24 Co., Ltd.

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

The Representative Owner

JPV No. 23 Co., Ltd.

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

The Charterer

FLEX LNG COURAGEOUS LIMITED

![image_41.jpg](image_41.jpg)

## Exhibit 4.13

*<u>Execution Version</u>*

**BAREBOAT CHARTER AGREEMENT**

![image_0.jpg](image_0.jpg)1 August

<br>**2025**

**JPV No. 25 Co., Ltd. and JPV No. 26 Co., Ltd.**

**as Owners and**

**JPV No. 25 Co., Ltd.**

**as Representative Owner and**

**Flex LNG Resolute Limited as Charterer**

**relating to**

**one (1) 173,400cbm MEGI class LNG carrier "Flex Resolute"**

------

**CONTENTS**

**Clause&nbsp;&nbsp;&nbsp;&nbsp;Page**

&nbsp;&nbsp;&nbsp;&nbsp;1.[Definitions and Interpretation](#i99324073215d4ce4849ef4fd37460247_7)[&nbsp;&nbsp;&nbsp;&nbsp;](#i99324073215d4ce4849ef4fd37460247_7)[1](#i99324073215d4ce4849ef4fd37460247_7)

&nbsp;&nbsp;&nbsp;&nbsp;2.Agreement to Charter&nbsp;&nbsp;&nbsp;&nbsp;24

&nbsp;&nbsp;&nbsp;&nbsp;3.Conditions Precedent&nbsp;&nbsp;&nbsp;&nbsp;25

&nbsp;&nbsp;&nbsp;&nbsp;4.Delivery, Acceptance and Title&nbsp;&nbsp;&nbsp;&nbsp;27

&nbsp;&nbsp;&nbsp;&nbsp;5.Extent of Owners' Liability&nbsp;&nbsp;&nbsp;&nbsp;29

&nbsp;&nbsp;&nbsp;&nbsp;6.Charter Hire&nbsp;&nbsp;&nbsp;&nbsp;30

&nbsp;&nbsp;&nbsp;&nbsp;7.Payments, Interest and Calculations&nbsp;&nbsp;&nbsp;&nbsp;30

&nbsp;&nbsp;&nbsp;&nbsp;8.Costs and Indemnities&nbsp;&nbsp;&nbsp;&nbsp;34

&nbsp;&nbsp;&nbsp;&nbsp;9.Taxation&nbsp;&nbsp;&nbsp;&nbsp;39

&nbsp;&nbsp;&nbsp;&nbsp;10.Representations and Warranties&nbsp;&nbsp;&nbsp;&nbsp;47

&nbsp;&nbsp;&nbsp;&nbsp;11.General Undertakings&nbsp;&nbsp;&nbsp;&nbsp;57

&nbsp;&nbsp;&nbsp;&nbsp;12.Registration, Possession, Sub-Chartering and Management&nbsp;&nbsp;&nbsp;&nbsp;72

&nbsp;&nbsp;&nbsp;&nbsp;13.Operation and Maintenance&nbsp;&nbsp;&nbsp;&nbsp;75

&nbsp;&nbsp;&nbsp;&nbsp;14.Information Undertakings&nbsp;&nbsp;&nbsp;&nbsp;84

&nbsp;&nbsp;&nbsp;&nbsp;15.Insurance&nbsp;&nbsp;&nbsp;&nbsp;88

&nbsp;&nbsp;&nbsp;&nbsp;16.Loss, Damage and Compensation&nbsp;&nbsp;&nbsp;&nbsp;96

&nbsp;&nbsp;&nbsp;&nbsp;17.Redelivery&nbsp;&nbsp;&nbsp;&nbsp;97

&nbsp;&nbsp;&nbsp;&nbsp;18.Events of Default&nbsp;&nbsp;&nbsp;&nbsp;99

&nbsp;&nbsp;&nbsp;&nbsp;19.Owner's Rights following an Event of Default or a Relevant Event&nbsp;&nbsp;&nbsp;&nbsp;102

&nbsp;&nbsp;&nbsp;&nbsp;20.Relevant Party Event and Charterer's Rights&nbsp;&nbsp;&nbsp;&nbsp;105

&nbsp;&nbsp;&nbsp;&nbsp;21.Option to Purchase and Early Termination&nbsp;&nbsp;&nbsp;&nbsp;105

&nbsp;&nbsp;&nbsp;&nbsp;22.Transfer of Title to Vessel&nbsp;&nbsp;&nbsp;&nbsp;111

&nbsp;&nbsp;&nbsp;&nbsp;23.Costs and Expenses&nbsp;&nbsp;&nbsp;&nbsp;112

&nbsp;&nbsp;&nbsp;&nbsp;24.[Notices](#i99324073215d4ce4849ef4fd37460247_64)[&nbsp;&nbsp;&nbsp;&nbsp;](#i99324073215d4ce4849ef4fd37460247_64)[113](#i99324073215d4ce4849ef4fd37460247_64)

&nbsp;&nbsp;&nbsp;&nbsp;25.Assignment&nbsp;&nbsp;&nbsp;&nbsp;114

&nbsp;&nbsp;&nbsp;&nbsp;26.Miscellaneous&nbsp;&nbsp;&nbsp;&nbsp;115

&nbsp;&nbsp;&nbsp;&nbsp;27.Law and Jurisdiction&nbsp;&nbsp;&nbsp;&nbsp;118

&nbsp;&nbsp;&nbsp;&nbsp;28.Counterparts&nbsp;&nbsp;&nbsp;&nbsp;119

**Schedule&nbsp;&nbsp;&nbsp;&nbsp;Page**

&nbsp;&nbsp;&nbsp;&nbsp;1.Description of Vessel&nbsp;&nbsp;&nbsp;&nbsp;120

&nbsp;&nbsp;&nbsp;&nbsp;2.List of Documents and Evidence&nbsp;&nbsp;&nbsp;&nbsp;121

Part 1&nbsp;&nbsp;&nbsp;&nbsp;Initial Conditions Precedent&nbsp;&nbsp;&nbsp;&nbsp;121

Part 2&nbsp;&nbsp;&nbsp;&nbsp;Charterer's Conditions Precedent&nbsp;&nbsp;&nbsp;&nbsp;125

Part 3&nbsp;&nbsp;&nbsp;&nbsp;Conditions Subsequent&nbsp;&nbsp;&nbsp;&nbsp;126

&nbsp;&nbsp;&nbsp;&nbsp;3.Form of Charterparty Supplement&nbsp;&nbsp;&nbsp;&nbsp;127

&nbsp;&nbsp;&nbsp;&nbsp;4.Charter Hire&nbsp;&nbsp;&nbsp;&nbsp;129

&nbsp;&nbsp;&nbsp;&nbsp;5.Special Termination Value&nbsp;&nbsp;&nbsp;&nbsp;131

&nbsp;&nbsp;&nbsp;&nbsp;6.Stipulated Loss Value&nbsp;&nbsp;&nbsp;&nbsp;133

&nbsp;&nbsp;&nbsp;&nbsp;7.Redelivery Conditions&nbsp;&nbsp;&nbsp;&nbsp;135

&nbsp;&nbsp;&nbsp;&nbsp;8.Early Buy-out Option Definitions&nbsp;&nbsp;&nbsp;&nbsp;137

------

**THIS BAREBOAT CHARTER AGREEMENT** is made on <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> 1_A_u_g_u_st![image_1.jpg](image_1.jpg)&nbsp;&nbsp;&nbsp;&nbsp;2025

**BETWEEN:**

&nbsp;&nbsp;&nbsp;&nbsp;(1)**JPV No. 25 Co., Ltd.** and **JPV No. 26 Co., Ltd.,** each a corporation *(kabushiki kaisha)* formed under the laws of Japan, with its registered office at 3-2-1 Kasumigaseki, Chiyoda-ku, Tokyo, Japan (together the **"Owners"** and each as the case may be an **"Owner");**

&nbsp;&nbsp;&nbsp;&nbsp;(2)**JPV No. 25 Co., Ltd.,** a corporation *(kabushiki kaisha)* formed under the laws of Japan, with its registered office at 3-2-1 Kasumigaseki, Chiyoda-ku, Tokyo, Japan (the **"Representative Owner");** and

&nbsp;&nbsp;&nbsp;&nbsp;(3)**Flex LNG Resolute Limited,** a corporation incorporated under the laws of the Republic of the Marshall Islands whose registered address is Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 (the **"Charterer").**

**IT IS AGREED** as follows

&nbsp;&nbsp;&nbsp;&nbsp;**1.DEFINITIONS AND INTERPRETATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)In this Agreement and in the Schedules attached hereto, unless the context otherwise requires or it is specified below, words and expressions which are defined in the Loan Agreement shall have the same meanings in this Agreement and the following words and expressions shall have the following mearungs:

**"Acceleration Event"** means any "Event of Default" as defined under the Loan Agreement or any other event which will give the Agent the right to accelerate the Loan thereunder;

![image_2.jpg](image_2.jpg)

**"Affiliate"** means, in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other Subsidiary of that Holding Company;

![image_3.jpg](image_3.jpg)

**"AML Law"** means any law, official requirement or other regulatory measure or procedure implemented to combat "money laundering" (as defined in Article 1 of Directive 2005/60/EC of the European Parliament and of the Council);

**"Annual Compliance Certificate"** has the meaning ascribed to "Compliance Certificate" in the Guarantee;

------

"**Applicable Law**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any law, statute, decree, constitution, regulation, authorisation, judgment, injunction or other directive of any Government Entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any treaty, pact, compact or other agreement to which any Government Entity is a signatory or party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any judicial or administrative interpretation with binding characteristics or application of those described in paragraphs (i) or (ii) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any codes of practice or conduct, circulars and guidance notes generally accepted and applied by the shipping industry,

in each case, which is applicable to the Vessel or its use, maintenance or operation, a Relevant Party, the Charterer, the Charterer Guarantor, an Indemnitee, the Manager or the Operative Documents;

"**Applicable Sum**" means, as the context may require, either the Stipulated Loss Value or the Special Termination Value;

"**Approved Valuer**" means Clarkson Shipbroking, Nordic Shipping, Arrow Shipbrokers, Fearnleys Shipbroker, Simpson Spence Young (SSY) Shipbrokers, VesselsValue, MB Shipbrokers or such other independent first class valuer as may be appointed by the Agent in consultation with the Owners;

"**Asset Value**" means the fair market value of the Vessel (being the arithmetic average of desk-top valuations obtained from two (2) Approved Valuer chosen by the Charterer on an arms-length basis and free of any charter);

"**Builder**" means Hanwha Ocean Co., Ltd. (formerly Daewoo Shipbuilding & Marine Engineering Co., Ltd.);

"**Business Day**" has the meaning given to that term in the Loan Agreement;

"**Change in Law**" means any enactment, introduction, adoption, abolition, making or variation of, or any change in, deletion from or amendment or addition to, any Applicable Law (whether or not having the force of law, but in respect of which compliance is generally customary) or any change in or any new or further or different interpretation or application of any thereof by any court, tribunal, central bank, tax, fiscal, monetary, financial services supervisory or other competent authority in any applicable jurisdiction or compliance with any request, requirement, guidance or guideline (whether or not having the force of law, but in respect of which compliance is generally customary) of any central bank, tax, fiscal, monetary, financial services or other competent authority, in each case, in any applicable jurisdiction, and in each case from that existing as at the date of this Agreement;

"**Change of Control Event**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the Charterer ceases to be 100% owned and controlled directly or indirectly by the Charterer Guarantor; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)if at any time any other entity or entities acting in concert (other than one or several of the Sponsors) without the prior written approval of the

2

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Representative Owner and the Agent directly or indirectly either has or acquires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)more than one third (1/3) of the voting shares of the Charterer Guarantor; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the right or ability to control, either directly or indirectly, the affairs or the composition of the majority of the board of directors (or equivalent) of the Charterer Guarantor;

**"Charter Commencement Date"** means the date on which Delivery occurs;

**"Charter Hire"** means, collectively, Charter Hire A and Charter Hire B;

**"Charter Hire A"** means the instalments of Charter Hire payable in US Dollars pursuant to Clause 6(a), being with respect to any date, an instalment of charter hire payable in US Dollars in the amount calculated in accordance with Clause 6(c) and Schedule 4 *(Charter* Hire);

**"Charter Hire B"** means the instalments of Charter Hire payable in US Dollars pursuant to Clause 6(a), being with respect to any date, an instalment of charter hire payable in US Dollars in the amount calculated in accordance with Clause 6(c) and Schedule 4 (*Charter Hire)* and as provided in the fourth column of Schedule 4 *(Charter* Hire) with reference to such date (if any);

**"Charter Period"** means the period during which the Charterer shall be entitled to the possession and use of the Vessel in accordance with this Agreement, being the period commencing on the Charter Commencement Date until, in the event that the Charterer shall not have exercised its voluntary option to purchase the Vessel under Clause 21(a), the Final Payment Date or if earlier, the Termination Date;

![image_4.jpg](image_4.jpg)

**"Charterer Account Bank"** means&nbsp;&nbsp;&nbsp;&nbsp;, acting through its Oslo office, or such other bank or financial institution which, with the prior written consent of the Representative Owner and the Agent (acting in accordance with the instructions of the Majority Lenders), at any time holds the Charterer Account;

**"Charterer Account Charge and Onward Assignment"** means the account charge agreement entered into or to be entered into between the Charterer (as chargor), the Owners (as owners) and the Security Agent (as security agent) in respect of the Charterer Account and all notices and acknowledgements given or to be given in relation to such charge;

**"Charterer Assignment"** has the meaning given to that term m the Loan Agreement;

**"Charterer Guarantor"** means FLEX LNG Ltd., a corporation formed under the laws of Bermuda, having company registration no. 52644, whose registered address is 14 Par-la-Ville Road, Hamilton, Bermuda;

**"Charterparty Supplement"** means a certificate in substantially the form set out in Schedule 3;

3

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"**Classification Society**" means DNV, American Bureau of Shipping, Lloyd's Register, Bureau Veritas or any other classification society that is a member of the International Association of Classification Societies and acceptable to the Agent (acting on the instructions of the Majority Lenders) and the Representative Owner;

"**Compulsory Acquisition**" means, with respect to the Vessel, requisition of title or other compulsory acquisition, requisition, appropriation, expropriation, deprivation or confiscation for any reason of the Vessel whether for full consideration, a consideration less than its Fair Market Value, a nominal consideration or without any consideration which is effected by any Government Entity or other competent authority, whether de jure or de facto (but excluding any requisition for hire), unless in each case, such event does not involve taking of title to the Vessel and the Vessel is within one hundred and eighty (180) days, and in any event on or prior to the expiry of the Charter Period, redelivered to the Charterer's or the Owners' full control;

"**Core Leasing Provisions**" means, in respect of any replacement Sub-Charter and/or any replacement Sub-Charterer, a charter on terms which are or, as applicable, a sub-charterer which is acceptable to the Representative Owner and the Agent (acting on the instructions of all Lenders) having regard to the ownership interest of the Owners in the Vessel, the security interest of the Security Agent in the Vessel, the credit standing and status of the relevant sub-charterer and the terms of the relevant sub-charter, in each case assessed at the time of entry into of the relevant charter and taking into account the remaining Charter Period at such time;

"**Cut-off Date**" means the earlier of the date on which Delivery occurs and 30 September 2025 (Tokyo time) or such later date as the Charterer, the Representative Owner and the Agent (acting in accordance with the instructions of all the Lenders) may agree in writing;

"**Date of Total Loss**" means, in respect of the Vessel, the date of Total Loss of the Vessel which date shall be deemed to have occurred:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in the case of an actual total loss, on the actual date and at the time the Vessel was lost or, if such date is not known, on the date on which the Vessel was reported lost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in the case of a constructive, arranged, agreed or compromised total loss, upon the date and at the time notice of total loss is given to the Insurers for the time being (provided a claim for total loss is admitted by such Insurers) or, if such Insurers do not forthwith admit such a claim, at the earliest of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the date and time at which either a total loss is subsequently admitted by the Insurers or a total loss is subsequently adjudged by a competent court of law or arbitration tribunal to have occurred;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)one hundred and eighty (180) days from the date of notice of total loss is issued whether to the insurers or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the last day of the Charter Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)in the case of any Compulsory Acquisition, on the date upon which the relevant Compulsory Acquisition occurs; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)in the case of hijack, theft, condemnation, forfeiture (not falling within paragraph (iii) above) capture, seizure, arrest, detention, requisition for hire by any government or by persons acting or purporting to act on behalf of any government or by any other person or disappearance of the Vessel, which deprives the Owners or, as the case may be, the Charterer or, as the case may be, the Sub-charterer of the use of the Vessel, upon the expiry of the period of one hundred and eighty (180) days after the date upon which the relevant hijack, theft, condemnation, capture, seizure, arrest, detention, disappearance or requisition occurred or, if shorter, the remaining Charter Period;

**"Default"** means an Event of Default or any event or circumstance specified in Clause 18 *(Events of Defaul* which would (with the expiry of a grace period, the giving of notice or the making of any determination under the Operative Documents or any combination of them) become an Event of Default;

**"Delivery"** means the time when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Registered Owner shall obtain title to the Vessel under the Memorandum of Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Owners shall accept delivery of the Vessel under the Instalment Sale Agreement,

all of which shall occur simultaneously;

**"Dollar Account"** means, collectively, the Dollar Account A and the Dollar Account B;

![image_5.jpg](image_5.jpg)![image_6.jpg](image_6.jpg)

**"Dollars" and "US$"** mean the lawful currency for the time being of the United States of America;

**"Early Buy-out Date"** means the First Early Buy-out Date and the Second Early Buy-out Date individually and collectively;

**"Early Buy-out Option"** means the option of the Charterer to purchase the Vessel on the Early Buy-out Date, as detailed in Clause 21(a);

**"Early Buy-out Option Notification Cut-off Date"** means the date falling twelve

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(12) months prior to the relevant Early Buy-out Date;

5

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"**Early Buy-out Price**" means the First Early Buy-out Price and the Second Early Buy-out Price individually and collectively;

"**Earnings**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)all moneys from time to time due or payable to the Charterer during the Charter Period arising out of the use or operation of the Vessel, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)all freight, hire and passage moneys, including (without limitation) payments of any nature under any contract or any other agreement for the employment, use, possession, management and/or operation of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)income arising under pooling arrangements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)compensation payable to the Charterer in the event of requisition of the Vessel for hire (including any other compensation for the use of the Vessel by any government authority or other competent authority), remuneration for salvage and towage services, demurrage and detention moneys, in relation to general average contribution and other services performed by the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any compensation or other damages for breach (or payments for variation or termination) of any charterparty or other contract for the employment of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any sums recoverable under any Insurance (including any sums recoverable under any loss of earnings insurance);

"**Emissions Legislation**" shall mean, any or all of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the EU-ETS Regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the FuelEU Maritime Regulation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any other laws, directives or regulations to which any Owner, the Registered Owner, the Charterer or the Vessel is subject in respect of maritime greenhouse gas emissions (including any related emissions trading schemes),

as amended from time to time and in each case as applicable to any Owner, the Registered Owner, the Charterer or the Vessel.

"**Environment**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any land including, without limitation, surface land and sub surface strata, sea bed or river bed under any water (as referred to below) and any natural or man-made structures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)water including, without limitation, coastal and inland waters, surface waters, ground waters and water in drains and sewers; and

air including, without limitation, air within buildings and other natural or man-made structures above or below ground;

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"**Environmental Approvals**" means any permit, licence, approval, ruling, variance, exemption or other authorisation required under applicable Environmental Laws;

"**Environmental Laws**" means any or all Applicable Laws relating to or concerning:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)pollution or contamination of the Environment, any ecological system or any living organisms which inhabit the Environment or any ecological system;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the generation, manufacture, processing, distribution, use (including abuse), treatment, storage, disposal, transport or handling of Hazardous Materials; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the emission, leak, release, spill or discharge into the Environment of noise, vibration, dust, fumes, gas, odours, smoke, steam, effluvia, heat, light, radiation (of any kind), infection, electricity or any Hazardous Material and any matter or thing capable of constituting a nuisance or an actionable tort or breach of statutory duty of any kind in respect of such matters,

including, without limitation, the following laws of the United States of America: the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, the Hazardous Materials Transportation Act, as amended, the Oil Pollution Act of 1990, as amended, the Resource Conservation and Recovery Act, as amended, and the Toxic Substances Control Act, as amended, together, in each case, with the regulations promulgated and the guidance issued pursuant thereto;

"**Environmental Loss**" means any claim by any person or persons or any governmental, judicial or regulatory authority which arises out of any breach, contravention or violation of Environmental Law or of the existence of any liability or potential liability arising from such breach, contravention or violation or the presence of Hazardous Material in contravention of Environmental Laws. In this context, claim means: a claim for damages, compensation, fines, penalties or any other payment of any kind whether or not similar to the foregoing; an order or direction to take, or not to take, certain action or to desist from or suspend certain action by any governmental, judicial or regulatory authority; and any form of enforcement or regulatory action;

"**Environmental Representative**" means, together, the Charterer, the Charterer Guarantor and the Manager together with their respective employees and all of those persons for whom the Charterer, the Charterer Guarantor or the Manager is responsible under any Applicable Law in respect of any activities undertaken in relation to the Vessel;

"**EU-ETS Mandate Letter**" means the mandate letter in respect of the Vessel addressed to the relevant entities charged with administering compliance with Emissions Legislation and duly executed by the Owners, the Registered Owner and the Charterer, mandating the Manager as the party required to comply with and be responsible for compliance with the Emissions Legislation (including reporting thereunder) in place of the Owners and/or the Registered Owner;

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"**EU-ETS Regulations**" shall mean:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)EU Emissions Trading Scheme (Directive 2003/87/EC establishing a system for greenhouse gas emission allowance trading within the Union and Decision (EU) 2015/1814 concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading system as amended by Directive (EU) 2023/959 of the European Parliament and of the Council of 10 May 2023) and the Commission Implementing Regulation (EU) 2023/2599 of 22 November 2023 as the same may be amended, supplemented, superseded or readopted from time to time (whether with or without modifications); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any applicable law implementing the above Directive and/or Implementing Regulation;

"**Event of Default**" means any event or circumstance described in Clause 18 (*Events of Default*);

"**Excess Risks**" means, in respect of the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the proportion of claims for general average, salvage and salvage charges which are not recoverable as a result of the value at which the Vessel is assessed for the purpose of such claims exceeding her hull and machinery insured value; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)collision liabilities not recoverable in full under the hull and machinery insurance by reason of those liabilities exceeding such proportion of the insured value of the Vessel as is covered by the hull and machinery insurance;

"**Excluded Property**" means all the right, title and interest in and in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Charter Hire B, First Early Buy-out Price B, Second Early Buy-out Price B, Special Termination Value B, Stipulated Loss Value B and Supplemental Hire Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)amounts payable under Clauses 8 (*Costs and Indemnities*), 9 (*Taxation*) and 23 (*Costs and Expenses*) of this Agreement or any other indemnities and similar amounts payable by the Charterer under this Agreement or any other Operative Document in respect to which there is no corresponding payment obligation under the Loan Agreement or any other Operative Documents to which the Owners, or as the case may be, the Registered Owner and any Finance Party are parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any interest, overdue interest, currency indemnity or other amounts payable by the Charterer hereunder which are calculated on or by reference to any of the foregoing amounts provided that the Excluded Property shall not include (x) any amounts payable under Clause 7(e) and (y) any interest, overdue interest, currency indemnity or other amounts payable by the Charterer hereunder which are calculated on or by reference to any amount referred to in (x) above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)other rights of the Owners, the Owner Parent and the Registered Owner under the Operative Documents relating solely to the Excluded Property;

"**Facility Period**" has the meaning given to it in the Loan Agreement;

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"**Fair Market Value**" means the fair market value of the Vessel as determined on a charter free basis provided by any one of the Approved Valuers;

"**FATCA**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)sections 1471 to 1474 of the Code or any associated regulations or other official guidance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any treaty, law, regulation or other official guidance enacted in any other jurisdiction, or relating to an intergovernmental agreement between the United States of America and any other jurisdiction, which (in either case) facilitates the implementation of paragraph (i) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any agreement pursuant to the implementation of paragraphs (i) or (ii) (above) with the U.S. Internal Revenue Service, the U.S. government or any governmental or taxation authority in any other jurisdiction;

"**FATCA Deduction**" means a deduction or withholding from a payment under an Operative Document required by FATCA;

"**Final Payment Date**" means 17 November 2035;

"**Finance Documents**" has the meaning given to it in the Loan Agreement; "**Financial Indebtedness**" means any indebtedness for or in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)moneys borrowed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any amount raised by acceptance under any acceptance credit facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or any similar instrument;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with U.S. GAAP, be treated as a finance or capital lease;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any amount raised under any other transaction (including any forward sale or purchase agreement) having the commercial effect of a borrowing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)any derivative transaction entered into in connection with protection against or benefit from fluctuation 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);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)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

the amount of any liability in respect of any guarantee or indemnity for any of the items referred to in sub-paragraphs (i) to (viii) above;

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"**Finance Party Excepted Reason**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any breach by any Finance Party of its express obligations under any Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the gross negligence or fraudulent or wilful misconduct of any Finance Party with respect to any aspect of the transactions contemplated by, or the performance of any of its obligations under any Operative Document to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any Finance Party Lien which is not discharged within ten (10) Business Days after notice thereof from the Representative Owner or the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)is contemplated or permitted by, or created pursuant to, the terms of any Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)arises, directly or indirectly, by reason of the occurrence of a Default (as defined in the Loan Agreement), an Acceleration Event, a Relevant Party Event, or an Overriding Cause;

"**First Early Buy-out Date**" is as set forth in Schedule 8;

"**First Early Buy-out Price**" means collectively, First Early Buy-out Price A and First Early Buy-out Price B;

"**First Early Buy-out Price A**" is as set forth in Schedule 8; "**First Early Buy-out Price B**" is as set forth in Schedule 8;

"**Flag State**" means the Marshall Islands or any other country or jurisdiction in which the Vessel is from time to time registered with the prior written consent of the Representative Owner and the Agent (acting on the instructions of all the Lenders) if requested in writing by the Charterer to the Owners and the Agent at least two (2) months in advance of the intended change (or such lesser period as may be agreed);

"**Flex Group**" means collectively, the Charterer Guarantor and its consolidated Subsidiaries;

"**FuelEU Maritime Regulation**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Regulation (EU) 2023/1805 of the European Parliament and of the Council of 13 September 2023 on the use of renewable and low-carbon fuels in maritime transport, and amending Directive 2009/16/EC; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any applicable law implementing the above Directive and/or Implementing Regulation;

"**Funding Indemnity Letters**" means the funding indemnity letters entered into or to be entered into between, *inter alios*, the Charterer, the Owners, the Registered Owner and the Agent;

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**"Government Entity"** means and includes (whether having distinct legal personality or not) (i) any national government or local jurisdiction therein or any person or persons claiming to be or to represent such national government or local jurisdiction; (ii) any political subdivisions, banking or monetary authority in a national government; (iii) any administrative body instrumentality, board commission, authority department, organ, court or agency of any entity referred to in (i) above howsoever constituted; (iv) any association, organisation or institution (international or otherwise) of which any entity mentioned in (i) above is a member or to whose jurisdiction any thereof is subject or in whose activities any thereof is a participant and (v) any entity (whether public or private) from time to time charged with the collection or imposition of Taxes;

**"Guarantee"** means the guarantee from the Charterer Guarantor dated on or about the date of this Agreement, in favour of the Owners and the Registered Owner in respect of the Charterer's obligations under the Operative Documents to which the Charterer is a party;

**"Hazardous Material"** means any element or substance, whether natural or artificial, and whether consisting of gas, liquid, solid or vapour, whether on its own or in any combination with any other element or substance, which is listed, identified, defined or determined by any Environmental Law or other Applicable Law to be, to have been, or to be capable of being or becoming harmful to mankind or any living organism or damaging to the Environment, including, without limitation, oil (as defined in the United States Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended);

**"Holding Company''** means, in relation to any company or corporation, any other company or corporation in respect of which the first mentioned company or corporation is a Subsidiary;

**"Indemnitee"** shall have the meaning given to it in Clause 8(a);

![image_7.jpg](image_7.jpg)

![image_8.jpg](image_8.jpg)

![image_9.jpg](image_9.jpg)![image_10.jpg](image_10.jpg)

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![image_11.jpg](image_11.jpg)

![image_12.jpg](image_12.jpg)

**"Instalment Sale Agreement"** means the instalment sale agreement entered into or to be entered into between the Registered Owner as seller and the Owners as buyers, in respect of the instalment sale of the Vessel;

**"Insurances"** means all policies and contracts of insurance (including all entries of the Vessel in a protection and indemnity or war risks association) which are from time to time during the Charter Period taken out or entered into in connection with the Vessel (including all benefits and claims and return of premiums relating to such policies and contracts);

**"Insurers"** means the underwriters or insurance companies with whom any Insurances are effected and the managers of any protection and indemnity or war risks association in which the Vessel may at any time be entered;

**"ISM Code"** means the International Safety Management Code (including the guidelines on its implementation), adopted by the International Maritime Organization Assembly as Resolutions A.741(18) and A.788(19), as the same may have been or may be amended or supplemented from time to time. The terms **"safety management system", "Safety Management Certificate", "Document of Compliance" and "major non conformity"** shall have the same meanings as are given to them in the ISM Code;

**"ISPS Code"** means the International Ship and Port Facility Security Code adopted by the International Maritime Organization Assembly as the same may have been or may be amended or supplemented from time to time;

**"Kumiai-in"** means any person entering into a Tokumei Kumiai Agreement with, and making a cash contribution to, the relevant Owner for the purposes of this Agreement, the other Operative Documents and the transactions contemplated hereby and thereby and includes any successor or assignee of any such person;

**"Legal Reservations"**means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the principle that equitable remedies are remedies which may be granted or refused at the discretion of the court;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the limitation of enforcement by laws relating to bankruptcy, insolvency, liquidation, reorganisation, court schemes, moratoria, administration and other laws generally affecting or limiting the rights of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the time barring of claims under any applicable limitation acts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the possibility that a court may strike out provisions of a contract as being invalid for reasons of oppression, undue influence or similar reasons; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)any other reservations or qualifications of law expressed in any legal opinions to be delivered to the Representative Owner pursuant to Clause 3 (*Conditions Precedent);*

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"**Lenders**" has the meaning given to the term "Lender" in the Loan Agreement;

"**Lien**" means any mortgage, charge (whether fixed or floating), pledge, lien, encumbrance, hypothecation, assignment or security interest of any kind securing any obligation of any person or any type of preferential arrangement (including, without limitation, conditional sale, title transfer and/or retention arrangements having a similar effect), in each case howsoever arising;

"**Loan**" has the meaning given to it in the Loan Agreement;

"**Loan Agreement**" means the loan agreement dated on or about the date of this Agreement and made between, *inter alios*, the Agent as agent, the Security Agent as security agent, the Lenders as original lenders, the Representative Owner as representative borrower and the Owners as borrowers relating to a loan in U.S. Dollars to be made available to the Owners to assist in funding the purchase of the Vessel;

"**London Process Agent**" means

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)as of the date of this Agreement, MFB Solicitors, currently at Fishmongers'

Chambers, 1 Fishmongers' Hall Wharf, London, EC4R 3AE, England; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)such other company in England and Wales as may be appointed by the Owners from time to time for the purposes of Clause 27(d) after the giving of not less than fifteen (15) calendar days' prior written notice to the Agent;

"**Losses**" means each and every liability, loss, charge, claim, demand, action, proceeding, damage, judgment, order or other sanction, enforcement, penalty, fine, fee, commission, interest, lien, salvage, general average, cost and expense of whatsoever nature suffered or incurred by or imposed on any relevant person, which for the avoidance of doubt, excludes any loss of profit (but does not exclude any interest, default interest or fees payable under this Agreement or any other Operative Document) unless expressly set out in this Agreement or any other Operative Document;

"**Management Agreement**" means any management agreement entered into or to be entered into between the Charterer and the Manager in the form approved by the Representative Owner and the Security Agent (acting on the instructions of all the Lenders) concerning the management of the Vessel and any substitution agreement thereof;

"**Manager**" means Flex LNG Fleet Management AS, a company formed under the laws of Norway with its registered office at Bryggegata 3, 0250 Oslo, Norway, Bernhard Schulte Shipmanagement (Singapore) Pte. Ltd., a company formed under the laws of Singapore with its registered office at 108 Middle Road, #08-00 Bernhard Schulte House, Singapore 188967 or such other reputable and professional manager or managers as may be appointed by the Charterer and agreed by the Security Agent (acting on the instructions of all the Lenders) and the Owner Parent;

"**Manager's Undertaking**" means in relation to the Vessel, the undertaking to be given by the Manager to the Owners on or before the date of Delivery or at the time any Manager appointed as manager of the Vessel after such date;

"**Mandatory Prepayment Event**" means any of the mandatory prepayment events as set forth in clauses 7.3 (*Mandatory prepayment on sale or Total Loss*) and 7.4

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(*Mandatory prepayment on termination of Charter or Sub-Charter*) of the Loan Agreement;

"**Manuals and Technical Records**" means all manuals, handbooks, drawings and documentation that are required to be maintained under Applicable Laws or that are actually existing and available, in each case relating to the Vessel;

"**MARPOL**" means the International Convention for the Prevention of Pollution from Ships 1973 (as modified in 1978 and 1997) and includes any amendments or extensions of it and any regulation issued pursuant to it;

"**Marshall Islands**" means the Republic of the Marshall Islands; "**Master**" means a person who is the master of the Vessel; "**Material Adverse Effect**" means a material adverse effect on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the business, operations, property or condition (financial or otherwise) of the Charterer, the Charterer Guarantor or the Flex Group taken as a whole; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the ability of the Charterer or the Charterer Guarantor, to perform its obligations as and when required under the terms of this Agreement or any other Operative Document as they fall due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the validity, legality or enforceability of any Operative Document or the rights and remedies of the Owners, the Representative Owner, the Registered Owner or any Finance Party under any such Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the validity, legality or enforceability of any Lien expressed to be created under any Security Document or the priority and ranking of any of such Lien;

"**Memorandum of Agreement**" means the memorandum of agreement entered into or to be entered into between the Charterer as seller and the Registered Owner as buyer, in respect of the sale and purchase of the Vessel;

"**Mortgage**" has the meaning given to it in the Loan Agreement; "**Operative Documents**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)this Agreement, together with the Charterparty Supplement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Memorandum of Agreement, together with the Bill of Sale (as defined therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the Instalment Sale Agreement, together with the Bill of Sale (as defined therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the Management Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the Finance Documents;

the Funding Indemnity Letters;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)the Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)the Initial Sub-charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)the Owner Parent Letter (Charterer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)the Quiet Enjoyment Letter (Charterer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)the Quiet Enjoyment Letters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)any and all certificates, notices and acknowledgements (including in respect of the Insurances and in respect of the warranties applicable to the Vessel) entered into or to be entered into pursuant to any of the documents referred to in the preceding subclasses of this definition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)any other document, instrument or agreement which is entered into on or before the Charter Commencement Date between any of the parties to the Operative Documents referred to above, in the capacity in which they are a party to the Operative Documents referred to above, to guarantee any obligation thereunder, to indemnify against funding costs or in relation to the payment of fees or in relation to certain tax contest rights or restructuring or remarketing arrangements or in relation to any irrevocable instruction to make payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)any other document, instrument or agreement which is agreed in writing by the Owners, the Charterer and the Security Agent to be an Operative Document,

and "**Operative Document**" means any of them;

"**Original&nbsp;&nbsp;&nbsp;&nbsp;Financial&nbsp;&nbsp;&nbsp;&nbsp;Statements**"&nbsp;&nbsp;&nbsp;&nbsp;shall&nbsp;&nbsp;&nbsp;&nbsp;have&nbsp;&nbsp;&nbsp;&nbsp;the meaning given&nbsp;&nbsp;&nbsp;&nbsp;to&nbsp;&nbsp;&nbsp;&nbsp;it in Clause 10(a)(xvii);

"**Overriding Cause**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the occurrence of any Event of Default or Default; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the gross negligence or fraudulent or wilful misconduct of the Charterer, the Charterer Guarantor, the Manager, the Sub-charterer or any other party to the Operative Documents (other than the Registered Owner, the Owner Parent or the Owners) with respect to any aspect of the transactions contemplated by, or the performance of any of its obligations under, this Agreement or any of the other Operative Documents to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any act or breach of obligation by the Charterer, the Charterer Guarantor, the Manager, the Sub-charterer or any other person in possession (other than the Owners, the Representative Owner, the Registered Owner, any Finance Party, any receiver or any of their respective servants or agents if and to the extent such person has actual physical possession of the Vessel) or control of the Vessel or any other party to the Operative Documents (other than the Registered Owner, the Owner Parent or the Owners);

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**"Owner Lien"** means with respect to the Vessel or any Parts or title to any thereof or any interest therein, any Lien or disposition of title arising as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any claims against, or any act or omission of, an Owner, the Representative Owner, the Registered Owner or the Owner Parent which in any such case is not related to or contemplated by any of the Operative Documents or any transactions contemplated thereby;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Taxes imposed upon an Owner, the Representative Owner, the Registered Owner or the Owner Parent, other than those in respect of which the relevant Owner, the Representative Owner, the Registered Owner or the Owner Parent, as applicable, is entitled to be indemnified against by the Charterer under this Agreement or under any of the other Operative Documents or which are taken into account in calculating any sums due under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any act or omission of an Owner, the Representative Owner, the Registered Owner or the Owner Parent which constitutes the deliberate act of such Owner, the Representative Owner, the Registered Owner or the Owner Parent, as applicable, with intent to cause damage or in the knowledge that damage would probably result or wilful misconduct of or recklessness with knowledge of the probable consequences by, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any act or omission of an Owner, the Representative Owner, the Registered Owner or the Owner Parent which constitutes a breach by such person of any of the terms of any of the Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)claims against an Owner, the Representative Owner, the Registered Owner or the Owner Parent arising out of any transfer or disposal, or any proposed transfer or disposal by the Owner Parent of any of its directors, as the case may be, indirect interests in an Owner, the Representative Owner or the Registered Owner (other than any such transfer as is permitted or contemplated by any of the Operative Documents or which is made in connection with the enforcement of any Operative Document, including, without limitation, as part of exercise of any remedies thereunder or which is made to avoid any losses and damages from any Event of Default),

provided that (A) it is acknowledged for the purposes of this Agreement that a Lien created or caused by a party to the Operative Documents other than an Owner, the Representative Owner, the Registered Owner or the Owner Parent will not constitute an Owner Lien and (B) none of the events referred to above shall constitute an Owner Lien, if and to the extent the same would not be created or caused or arise but for any Event of Default;

![image_13.jpg](image_13.jpg)

**"Owner Parent Letter (Charterer)"** means an undertaking letter issued, or to be issued, by the Owner Parent in favour of the Charterer in form and substance satisfactory to the Charterer;

**"Owner Parent Letter (Lenders)"** has the meanmg given to the term "Parent Comfort Letter" in the Loan Agreement;

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"**Parts**" means all appliances, parts, instruments, appurtenances, accessories, components and other equipment of whatever nature (other than any thereof title to which is retained by the Charterer in accordance with Clause 13(c)), which may from time to time be incorporated or installed in or attached to the Vessel or which having been removed therefrom have not been replaced pursuant to the terms of this Agreement;

"**Party**" means a party to this Agreement;

"**Payment Date**" means each of the dates specified in the first column of Schedule 4 and the Final Payment Date;

"**Permitted Liens**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any Lien arising by operation of law or in the ordinary course of trading of the Vessel which is not more than thirty (30) days overdue or is being contested in good faith by appropriate proceedings (and for the payment of which adequate reserves have been provided) so long as any such proceedings or the continued existence of such lien does not involve any likelihood of the arrest, sale, forfeiture or loss of, or of any interest in, the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Liens for classification or scheduled dry-docking whose aggregate cost does not exceed six million Dollars (US$6,000,000) at any one time in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Liens for necessary repairs to the Vessel whose aggregate cost does not exceed five million Dollars (US$5,000,000) at any one time in respect of the Vessel; and

"**Qualifying Lender**" has the meaning ascribed to it in the Loan Agreement;

"**Quiet Enjoyment Letter (Charterer)**" means the quiet enjoyment letter granted by the Security Agent to the Charterer and any replacement quiet enjoyment letter issued from time to time;

"**Quiet Enjoyment Letters**" means, collectively, the quiet enjoyment letters granted by the Security Agent, the Owners, the Representative Owner and the Registered Owner to the Initial Sub-charterer and any replacement quiet enjoyment letters issued from time to time;

"**Redelivery Conditions**" means the redelivery conditions set forth in Clause 17 (*Redelivery*);

"**Registered Owner**" means JLPS SHIP INVESTMENT MARSHALL 10 Co., a corporation incorporated under the laws of the Marshall Islands and having its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960;

"**Release**" means an emission, spill, release or discharge into or upon the air, surface water, groundwater, or soils of any Hazardous Materials for which any Owner, the Representative Owner, the Charterer or the Manager has any liability under Environmental Law, except in accordance with a valid Environmental Approval;

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![image_14.jpg](image_14.jpg)

**"Relevant Authority''** means any Government Entity of the Marshall Islands and Singapore, its state of incorporation, the Flag State or any other jurisdiction or country having jurisdiction over the Charterer, the Charterer Guarantor, the Manager, the Sub-charterer or the Vessel;

**"Relevant Event"** means any of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)an Event of Default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)an event which resulted in any Owner terminating this Agreement under the terms of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any of the events or circumstances set out m clause 21.1 of the Loan Agreement;

**"Relevant Party''** means the Owners, the Representative Owner, the Registered Owner or the Owner Parent;

**"Relevant Party Event"** means any of the following events or circumstances:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any Insolvency Event (as defined in the Loan Agreement) occurs in respect of any Relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any breach by any Relevant Party of any of its obligations under Clause 1 l(e)(ii) or any arrest or detention of the Vessel, each caused by the action of any Relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the Ownership of the Vessel is transferred by the Owners or the Registered Owner in contravention of the terms of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the Owner Parent failing to observe and perform any of its material obligations set out in the Owner Parent Letter (Lenders) or the Owner Parent Letter (Charterer) and in respect of such failure which is capable of remedy, the Owner Parent fails to remedy the same within thirty (30) days after written notice thereof is given by the Security Agent or the Charterer (as the case may be) requiring that the failure be remedied and such failure results in a material adverse effect on the rights or interests of the Finance Parties or the Charterer under the Owner Parent Letter (Lenders) or the Owner Parent Letter (Charterer), as the case may be, or any other Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)a default by any Relevant Party in the due performance or observance of any of its covenants, undertakings or obligations under this Agreement (other than those referred to in paragraphs (i) to (iii) above) and, if such default is capable of remedy, such Relevant Party fails to remedy such default to the reasonable satisfaction of the Charterer within thirty (30) days of written notice from the Charterer to such Relevant Party requiring the same to be remedied, and in each case the Charterer reasonably considers that such default and/ or failure has or is likely to have a material adverse effect on the rights or interests of the Charterer under any Operative Document;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any representation or warranty made or deemed to be made by or on behalf of any Relevant Party in any Operative Document to which they are respectively party or in any document or certificate furnished by such Relevant Party under any Operative Document to which it is a party shall prove to have been false or incorrect on the date as of which made or deemed to be made in any material respect (other than as a result of a Change in Law) and, if by remedying any situation or circumstance such representation or warranty would cease to be false or incorrect and such situation or circumstance is capable of remedy, such Relevant Party fails to remedy the same within (and such representation or warranty remains false or incorrect as at the date) thirty (30) days after written notice thereof is given by the Charterer to such Relevant Party and the Charterer reasonably considers that such situation or circumstance and/or false or incorrect representation or warranty has or is likely to have a material adverse effect on the ability of such Relevant Party to perform their/its (as the case may be) obligations under the Operative Documents to which they are respectively a party,

**provided that** none of the events or circumstances referred to in paragraphs (i) through (vi) of this definition of "Relevant Party Event" shall constitute a Relevant Party Event if the same arises as a result of, or as a consequence of, an Overriding Cause or a Finance Party Excepted Reason, and **provided further that** a non-defaulting Relevant Party shall be entitled to cure the applicable Relevant Party Event by assuming the rights and obligations of the defaulting Relevant Party or taking over the defaulting Relevant Party;

"**Relevant Rate of Interest**" means in respect of any payment due under this Agreement which is not paid on its due date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)if the payment is not in respect of Excluded Property, the rate applicable to the corresponding payment under the Loan Agreement or other applicable Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if the payment is in respect of Excluded Property, ten per cent (10%) per annum;

"**Remarketing Agent**" means any remarketing agent appointed in respect of the Vessel by the Representative Owner and notified to the Charterer in writing from time to time;

"**Repeating Representation**" means each of the representations set out in Clause 10(a) (*Representations and Warranties*), except those set out in Clause 10(a)(xi), Clause 10(a)(xii), Clause 10(a)(xv), Clause 10(a)(xxxii)(A) and Clause 10(a)(xlvii);

"**Requisition Compensation**" means any and all moneys or other compensation (other than the proceeds of Insurance) from time to time payable during the Charter Period by reason of requisition for title to, or other compulsory acquisition of, the Vessel, otherwise than by requisition of hire;

"**Restricted Party**" means a person or persons, legal or physical:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)that is listed on any Sanctions List;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)that is domiciled, resident, located or having its main place of business in, or is registered as located in or incorporated under the laws of, a country or a territory that is or whose government is subject to Sanctions which attach legal effect to being domiciled, located, having its main place of business in, registered as located in or incorporated under the laws such country or territory;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)with which any Relevant Party or Finance Party is prohibited from dealing with or otherwise engaging in a transaction with due to Sanctions; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)that is directly or indirectly owned by more than 50% or controlled by a person(s) referred to in (i), (ii) or (iii) above;

**"Sanctions"** means any economic or trade sanctions or restrictive measures enacted, administered, imposed or enforced by any Sanctions Authority;

**"Sanctions Authority"** means the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC), the U.S. Department of State, the United Nations Security Council, Japan, the European Union, and/ or HisMajesty's Treasury;

**"Sanctions List"** means any list of persons or entities subject to Sanctions published in connection with Sanctions by or on behalf of any Sanctions Authority from time to time;

**"Second Early Buy-out Date"** is as set forth in Schedule 8;

**"Second Early Buy-out Price"** means collectively, Second Early Buy-out Price A and Second Early Buy-out Price B;

**"Second Early Buy-out Price A"** is as set forth in Schedule 8;

**"Second Early Buy-out Price B"** is as set forth in Schedule 8;

![image_15.jpg](image_15.jpg)

**"Security Assets"** means all of the assets which from time to time are, or are expressed to be, the subject of the Transaction Security;

**"Security Assignment"** has the meaning given to "General Assignment" m the Loan Agreement;

**"Security Documents"** has the meaning given to it in the Loan Agreement;

**"Settlement Date"** shall have the meaning given to it in Clause 16(b);

**"Special Termination Value"** means, with respect to any date, the sum of the Special Termination Value A and the Special Termination Value B with reference to such date;

**"Special Termination Value A"** means, with respect to any date, the amount in Dollars computed and payable as provided in the second column of Schedule 5 with reference to such date;

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"**Special Termination Value B**" means, with respect to any date, the amount in Dollars computed and payable as provided in the third column of Schedule 5 with reference to such date;

"**Sponsors**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Geveran Trading Co. Ltd, a company incorporated in Cyprus with registered address at Iris House, Floor 7, John Kennedy, Limassol, 3106 Cyprus; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)any companies and trusts controlled by C.K. Limited, a company incorporated in Jersey with registered address at 28 Esplanade, St Helier, Jersey, JE2 3QA;

"**Stipulated Loss Value**" means, with respect to any date, the sum of the Stipulated Loss Value A and the Stipulated Loss Value B with reference to such date;

"**Stipulated Loss Value A**" means, with respect to any date, the amount in Dollars computed and payable as provided in the second column of Schedule 6 with reference to such date;

"**Stipulated Loss Value B**" means, with respect to any date, the amount in Dollars computed and payable as provided in the third column of Schedule 6 with reference to such date;

"**Sub-charter**" means the Initial Sub-charter and any other sub-charter of the Vessel entered into or to be entered into from time to time with any Sub-charterer in accordance with the Core Leasing Provisions or otherwise acceptable to the Representative Owner and the Agent (acting on the instructions of all Lenders);

"**Sub-charter Breach**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the failure by any Sub-charterer to make payment of hire under the relevant Sub-charter; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any other breach by any Sub-charterer under the relevant Sub-charter;

"**Sub-charterer**" means the Initial Sub-charterer and any other company complying with the Core Leasing Provisions or otherwise acceptable to the Representative Owner and the Agent (acting on the instructions of all Lenders) with whom the Charterer enters into a sub-charter in accordance with Clause 12 (*Registration, Possession and Sub-Chartering*);

"**Subsidiary**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in respect of a person incorporated or formed outside England and Wales, any company or entity directly or indirectly controlled by such person; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in respect of a person incorporated in England and Wales, a subsidiary within the meaning of section 1162 of the Companies Act 2006

(and in interpreting that provision for the purposes of this Agreement, a company is to be treated as a member of a subsidiary even if its shares are registered in the name of (i) a nominee or (ii) any party holding a Lien over those shares, or that secured party's nominee);

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"**Supplemental Hire Amount**" means an amount equal to two million Dollars and zero cents (US$2,000,000.00);

"**Tax**" shall have the meaning given to it in Clause 9(a) and "**Taxes**" and "**Taxation**" shall be construed accordingly;

"**Tax Indemnitee**" shall have the meaning given to it in Clause 9(a);

"**Tax Residence**" means, in relation to any person, the jurisdiction in which that person is principally resident for the purposes of paying Tax in relation to its capital or income, but, in relation to each Owner, does not include any jurisdiction in which that Owner is resident for the purposes of paying Tax in relation to its capital or income only because:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)that Owner has entered into the transactions contemplated by this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Charterer has been grossly negligent or has wilfully defaulted in its obligations under this Agreement;

"**Termination Date**" means the date on which the leasing of the Vessel is to terminate or, as the context may require, terminates in accordance with this Agreement;

"**this Agreement**", "**herein**", "**hereunder**", "**hereof**" or other like words refer to this Agreement (including the Schedules hereto) in its entirety and as it may from time to time be supplemented or amended pursuant to the applicable provisions hereof;

"**Tokumei Kumiai Agreement**" means each agreement (as referred to in clauses 535 to 542 of the Commercial Code of Japan) entered into or to be entered into between an Owner, in its capacity as proprietor and manager of the investment made by a Kumiai-in, and a Kumiai-in (including, without limitation, all letter or other agreements entered into between such Owner and a Kumiai-in in relation to each such agreement and the transactions contemplated by the Operative Documents) in connection with the purchase, ownership and chartering of the Vessel by the Owners pursuant to this Agreement and the other Operative Documents;

"**Total Loss**" means in relation to the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)an actual, constructive, compromised, agreed or arranged total loss of the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Compulsory Acquisition with respect to the Vessel; or

any capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, forfeiture of the Vessel, requisition for hire of the Vessel by any government or by persons acting or purporting to act on behalf of any government or any other person (not falling within paragraph (ii) above) or any disappearance of the Vessel, unless the Vessel is released and returned to the Owners' and Charterer's full control within the shorter of (a) the period ending one hundred and eighty (180) days after the capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, disappearance, forfeiture or requisition for hire in question or (b) the remaining Charter Period;

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"**Total Loss Proceeds**" means the proceeds of any insurance or any compensation (including, without limitation, Requisition Compensation) or similar payment, arising in respect of a Total Loss;

"**Transaction Security**" means the Liens created or evidenced or expressed to be created or evidenced under the Security Documents;

"**U.S. GAAP**" means generally accepted accounting principles adopted and accepted in the United States of America (i) on the date of this Agreement when used in the context of calculating the financial covenants set out in the Guarantee and (ii) otherwise, from time to time;

"**Vessel**" means the MEGI class LNG carrier as described in more detail in Schedule 1 and, where the context permits, any reference to the Vessel shall include Parts and the Manuals and Technical Records;

"**Vessel Cost**" means one hundred seventy-five million Dollars and zero cents (US$175,000,000.00) which represents the aggregate of the amounts payable by the Registered Owner as buyer to the Charterer as seller under the Memorandum of Agreement as the purchase price for the Vessel; and

"**Warranty Rights**" means the warranty of quality and other warranties and guarantees given in respect of the Vessel and its parts and equipment by the Builder, its subcontractors and suppliers in favour of the Charterer or the Charterer Guarantor upon delivery of the Vessel under or in connection with the building contract in respect of the Vessel entered into with the Builder.

Clause headings and the table of contents are inserted for convenience of reference only, have no legal effect and shall be ignored in the interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In this Agreement, unless the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)references to Clauses and Schedules are to be construed as references to the clauses of, and schedules to, this Agreement and references to this Agreement include its Schedules;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)references to (or to any specified provision of) this Agreement, any other Operative Document or any other document shall be construed as references to (or to any specified provision of) this Agreement, that other Operative Document or that other document as in force for the time being and as from time to time amended, varied, modified, supplemented, restated, novated, substituted or replaced in accordance with the terms of the Operative Documents, or, as the case may be, with the agreement of the relevant parties and (where such consent is, by the terms of this Agreement, that other Operative Document or that document, required to be obtained as a condition to such amendment being permitted) the prior written consent of any Finance Party or any combination of them;

references to a "regulation" include any present or future regulation, rule, direction, directive, requirement, request or guideline (whether or not having the force of law) of any Government Entity or supra-national authority;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)words importing the plural shall include the singular and vice versa and words importing a gender shall include every gender;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)references to a person shall be construed as including references to an individual, firm, company, corporation, unincorporated association or body of persons or any Government Entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)references to any act, statute, ordinance or enactment shall be deemed to include references to such act, statute, ordinance or enactment as re-enacted, amended, extended, consolidated or replaced and any orders, decrees, proclamations, regulations, instruments or other subordinate legislation made and in force from time to time thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a "consent" also includes an approval, authorisation, exemption, filing, license, order, permission, recording or registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)reference to any person shall be construed so as to include its successors, permitted transferees and permitted assigns;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)include or including shall be construed without limitation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)a Default (other than an Event of Default) is "continuing" if it has not been remedied or waived and an Event of Default is "continuing" if it has not been waived in writing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)reference to a party is to a party to this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)"Control" means in respect of any person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the power (whether by way of ownership of shares, proxy, contract, agency or otherwise) to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.cast, or control the casting of, more than 50 per cent. of the maximum number of votes that might be cast at a general meeting of that person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.appoint or remove all, or the majority, of the directors or other equivalent officers of that person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III.give directions with respect to the operating and financial policies of that person with which the directors or other equivalent officers of that person are obliged to comply; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the holding beneficially of more than fifty (50) per cent. of the issued share capital of that person (excluding any part of that issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital).

&nbsp;&nbsp;&nbsp;&nbsp;**2.AGREEMENT TO CHARTER**

The Owners shall charter and the Charterer shall take on charter the Vessel, upon and subject to the terms and conditions of this Agreement, for the Charter Period.

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There shall be no renewal or extension of the Charter Period beyond the Final Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;**3.CONDITIONS PRECEDENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The respective obligations of the Owners to charter the Vessel and of the Charterer to take the Vessel on charter, under this Agreement, are subject to the respective conditions that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)prior to Delivery, the Representative Owner shall have received the documents specified in paragraphs 1(a) and 1(b) of Part 1 of Schedule 2 and the Charterer shall have received the documents specified in Part 2 of Schedule 2; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)on the Charter Commencement Date, the Representative Owner shall have received or shall be satisfied that it shall promptly thereafter receive the documents specified in paragraph 2 of Part 1 of Schedule 2,

in each case in form and substance satisfactory to the Owners, the Charterer, the Agent and/or the Security Agent as appropriate (each acting reasonably).

The Charterer and the Owners shall each use all reasonable endeavours to obtain and procure the issuance and execution of the documents, opinions and certificates which are to be obtained by the Owners and the Charterer respectively referred to in paragraphs 1(a), 1(b) and 2 of Part 1 of Schedule

2 and paragraph 1 of Part 2 of Schedule 2 prior to or on the Charter Commencement Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall, within the time limit set out in Part 3 of Schedule 2, provide the evidence and documents set out in Part 3 of Schedule 2 in form and substance satisfactory to the Owners, the Agent and the Security Agent as appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The obligation of the Owners to charter the Vessel under this Agreement is subject to the further conditions that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the representations and warranties in Clause 10(a) hereof and clause 3.1 of the Memorandum of Agreement, those of the Charterer in the Charterer Account Charge and Onward Assignment, those of the Manager in the Management Agreement and those of the Charterer Guarantor in the Guarantee shall be true and correct as if each was made with respect to the facts and circumstances existing immediately prior to the time when Delivery is to take place;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)no Default shall have occurred and be continuing or would arise by reason of the Delivery taking place;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)no Material Adverse Effect shall have occurred in the period from and including the date hereof to and including the proposed date of Delivery;

the Representative Owner shall have notified the Charterer that all the Lenders shall have advanced the full amount of the Loan

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pursuant to the Loan Agreement to the Representative Owner as requested by the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)no change shall have occurred after the date hereof and on or before Delivery in the Applicable Laws of Japan or guidelines issued by, or approved by, the Tax authorities in Japan or the Japan Leasing Association or in the interpretation of any such law or guidelines (or in the attitudes or perceived attitudes of the Tax authorities in Japan or the Japan Leasing Association) which would, (1) disallow or reduce the tax benefits and other economic benefits (which economic benefits to be properly identified) anticipated as being available to the Owners, the Charterer or any Kumiai-in or any prospective Kumiai-in by reason of the entering into of the transactions contemplated by the Operative Documents (including tax benefits which would be available to Kumiai-in who would become a party to a Tokumei Kumiai Agreement by way of assignment or transfer of the Tokumei Kumiai Agreement from another Kumiai-in after the Charter Commencement Date); (2) result in the imposition of withholding or other similar Taxes on any payments to be made by the Charterer hereunder, any payments to be made by any Owner under the Loan Agreement or any other payments contemplated by this Agreement and any other Operative Document, provided in either case that any such change shall be conclusively certified in writing or orally to the Representative Owner and the Charterer by an independent tax adviser in Tokyo reasonably acceptable to both the Owners and the Charterer (after having consulted with such taxing or other governmental authorities as such tax adviser considers appropriate); or (3) have the effect of imposing a time limit on the Owner Parent, as equity arranger, to market or complete the marketing of the transaction contemplated by the Operative Documents, and, in each of the aforementioned cases (1) to (3), thereby adversely affect or otherwise restrict the ability of, the Owner Parent, as equity arranger, to market or complete the marketing of the transaction contemplated by the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)all consents, if any, of any relevant Government Entity necessary for the effective performance or consummation of the transactions contemplated by the Operative Documents shall have been obtained and be in full effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)Delivery shall have occurred on or prior to the Cut-off Date (unless otherwise agreed by the Representative Owner); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)all of the documents received by the Representative Owner as contemplated in Clause 3(a) are in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The obligation of the Charterer to take the Vessel on charter under this Agreement is subject to the further conditions that:

the representations and warranties of the Owners in Clause 10(c) hereof and those of the Owner Parent under the Owner Parent Letter (Charterer) shall be true and correct as if each was made with respect to the facts and circumstances existing immediately prior to the time when Delivery is to take place;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)no Relevant Party Event shall have occurred and be continuing or would arise by reason of the Delivery taking place; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Delivery shall have occurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)The conditions specified in Part 1 of Schedule 2 and Clause 3(c) may be waived in whole or in part and with or without conditions by the Representative Owner, the Agent (acting on the instructions of all the Lenders) and the Security Agent, acting jointly, on or before Delivery and the conditions precedent in Part 2 of Schedule 2 and Clause 3(d) may be waived in whole or in part and with or without conditions by the Charterer on or before Delivery, in either case without prejudicing their respective rights to require fulfilment of such conditions (if such conditions are capable of later fulfilment) in whole or part at any time thereafter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)(i) Notwithstanding any other provision of this Agreement or any Operative Documents to the contrary, none of any Owner, the Representative Owner, the Registered Owner or the Charterer is obliged to do or omit to do anything if it would, or might in its reasonable opinion, constitute a breach of any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Notwithstanding any other provision of this Agreement or any Operative Document to the contrary but subject to any statutory obligations and confidentiality undertakings by which any Owner, the Representative Owner, the Registered Owner or the Charterer may be bound, each of them agrees to provide any information and documents that are within its possession, custody or control reasonably required by any other Party in order for that other Party to comply with any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)If any Owner, the Representative Owner, the Registered Owner or the Charterer forms the view that, in its reasonable opinion, it is required to disclose information obtained in connection with this Agreement or any Operative Document to any person in order to comply with any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it, each of them agrees that, to the extent permitted by law, such disclosure will not breach any duty of confidentiality owed by any of them to any of the others.

&nbsp;&nbsp;&nbsp;&nbsp;**4.DELIVERY, ACCEPTANCE AND TITLE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)**Title to the Vessel**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Title to the Vessel shall with effect from Delivery remain vested in the Registered Owner pursuant to the terms of the Instalment Sale Agreement.

The Charterer shall have no right, title or interest in or to the Vessel or Part thereof except the right to use the same upon the terms and conditions contained in this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)It is hereby expressly declared that the Charterer shall not have any option or right to acquire title to or any proprietary interest in the Vessel or any Part thereof except pursuant to Clause 21(a). The Charterer shall not sell the Vessel or purport to sell the Vessel or grant any purchase option over the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Subject to Clause 3 (*Conditions Precedent*), simultaneously with the transfer of title to the Vessel by the Charterer to the Registered Owner under the Memorandum of Agreement, the Vessel shall be deemed, without any further act by the Charterer, the Registered Owner or any Owner, to have been delivered to the Charterer by the Representative Owner and accepted by the Charterer for the purposes of this Agreement and the Charter Period shall commence. To evidence such delivery, the Charterer shall thereupon execute and deliver the Charterparty Supplement to the Representative Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Each of the Owners and the Charterer acknowledges that the condition, quality, suitability and fitness for purpose of the Vessel or Part at Delivery shall be the sole responsibility of the Charterer, and (subject to Clauses 3(a) and 3(b)) once Delivery shall have occurred pursuant to Clause 4(b), no Owner shall be entitled for any reason whatsoever to refuse to deliver, and the Charterer shall not be entitled for any reason whatsoever to refuse to accept delivery of, the Vessel or to refuse to execute and deliver the Charterparty Supplement for the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)None of the Registered Owner, the Representative Owner nor the Owners shall be responsible for any loss or damage of any kind whatsoever, or any loss of profits arising from any delay in the delivery of, or failure to deliver, the Vessel to the Charterer under this Agreement or any delay in taking or failure to take delivery of the Vessel from the Charterer under the Memorandum of Agreement or from the Registered Owner under the Instalment Sale Agreement unless such delay or failure is caused by a breach by the Registered Owner, the Representative Owner or the Owners of any of its obligations under the Operative Documents to which it is a party which is not attributable to any Event of Default or breach by the Charterer under any Operative Documents. The Charterer acknowledges that the Registered Owner has acquired or will acquire the Vessel under the Memorandum of Agreement and the Registered Owner and the Owners have entered into the Instalment Sale Agreement, in each case solely for the purposes of this Agreement.

If, for any reason other than a breach by the Charterer of any of its obligations under the Operative Documents to which it is a party, the Vessel shall not have been delivered to and accepted by the Charterer in accordance with Clause 4(b) on or before 11:59 p.m. (Tokyo time) on the Cut-off Date or such later time as the Representative Owner, the Charterer and the Agent (acting on the instructions of all the Lenders) may agree in writing, then the Charterer may, without prejudice to any other rights or remedies which the Charterer may have at law, in equity or otherwise, cancel the obligation contained in this Agreement to charter the Vessel from the Owners by giving notice to the Representative Owner to that effect whereupon, but without prejudice to any other accrued liabilities or obligations of the Charterer, the Charterer's obligation to pay Charter Hire and to charter the Vessel under this Agreement shall immediately

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terminate; provided, for the avoidance of doubt, that the provisions of the Funding Indemnity Letters shall apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)If, for any reason other than a breach by the Owners or the Representative Owner of any of its obligations under the Operative Documents to which it is a party which is not attributable to any Default and occurs in circumstances where the conditions precedent to the obligations of the Owners under Clause 3(b) have been satisfied, the Vessel shall not have been delivered to and accepted by the Charterer in accordance with Clause 4(b) on or before 11:59 p.m. (Tokyo time) on the Cut-off Date or such later time as the Representative Owner, the Charterer and the Agent (acting on the instructions of all the Lenders) may agree in writing, then the Representative Owner (on behalf of the Owners) may, without prejudice to any other rights or remedies which the Owners may have at law, in equity or otherwise, cancel the obligation contained in this Agreement to charter the Vessel to the Charterer by giving notice to the Charterer to that effect, whereupon the Owners' obligation to charter out the Vessel and the Charterer's obligation to pay Charter Hire and to charter the Vessel under this Agreement shall immediately terminate; provided, for the avoidance of doubt, that the provisions of the Funding Indemnity Letters shall apply.

&nbsp;&nbsp;&nbsp;&nbsp;**5.EXTENT OF OWNERS' LIABILITY**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer expressly agrees and acknowledges that the Vessel is chartered to the Charterer hereunder on an "as is, where is with all faults" condition and that no condition, warranty or representation of any kind, express or implied, is or has or shall be deemed to have been given by or on behalf of any of the Registered Owner, the Owners or any Finance Party in respect of the Vessel or Part, and accordingly the Charterer confirms that it has not, in entering into this Agreement, relied on any condition, warranty or representation by any of the Registered Owner, the Owners or any Finance Party, express or implied, whether arising by law or otherwise in relation to the Vessel or Part, including, without limitation, warranties or representations as to the description, merchantability, fitness or suitability for any particular use or purpose, value, seaworthiness, condition, design, manufacture or operation of any kind or nature of the Vessel or Part, or as to the absence of any latent or other defects whether or not discoverable, or as to the absence of any infringement of any patent, trademark or copyright, or as to the absence of any obligations based on strict liability in tort, and the benefit of any such condition, warranty or representation by any of the Registered Owner, the Owners or any Finance Party is hereby irrevocably and unconditionally waived by the Charterer. No third party making any representation or warranty relating to the Vessel or Part is the agent of the Registered Owner, the Owners or any Finance Party nor has any such third party authority to bind any of the Registered Owner, the Owners or any Finance Party thereby.

The acceptance by the Charterer of delivery of the Vessel pursuant to Clause 4 (*Delivery, Acceptance and Title*) shall constitute conclusive proof as between the Registered Owner, the Owners, the Finance Parties and the Charterer that the Vessel is in compliance with any requirements of this Agreement, is seaworthy in accordance with the specifications and is in good working order and repair and without defect or inherent or latent defect in title, seaworthiness, condition, design, operation or fitness for use, whether or not discoverable by the Charterer. This Clause is without

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prejudice to any obligation of the Charterer under this Agreement with respect to the operation and maintenance of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)None of the Registered Owner, any Owner or any Finance Party shall be liable for any loss or damage of any kind whatsoever, or any loss of profit, resulting directly or indirectly from any physical defect or alleged physical defect in the Vessel, and the Charterer shall not be entitled to make or assert any claim against any of the Registered Owner, any Owner or any Finance Party with respect to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;**6.CHARTER HIRE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer shall during the Charter Period pay Charter Hire to the Owners in arrears, in the amounts calculated in accordance with, and on the respective Payment Dates specified in, Schedule 4.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Following a Total Loss with respect to the Vessel, so long as the Charterer shall have performed its obligations and paid all amounts payable under Clause 16(b) in full, the Charterer's obligation to pay Charter Hire with respect to the Vessel shall cease.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Schedules 4, 5, 6 and Schedule 8 have been prepared or provided on the assumptions that (i) the Charter Commencement Date will be on 17 September 2025, (ii) the Loan up to one hundred twenty-five million U.S. dollars (US$125,000,000) will be utilised and (iii) the interest rate of the Loan shall be the loan margin of 1.50% p.a, plus applicable term SOFR (Secured Overnight Financing Rate). As soon as practicable on or prior to the Charter Commencement Date substitute schedules that reflect the actual Charter Commencement Date, the actual Vessel Cost and the amount of the Loan which has been utilised, the corresponding changes of each Payment Date and each principal repayment amount shall be prepared by the Representative Owner and approved by the Charterer and the Agent (acting on the instructions of all Lenders), which shall be attached to the Charterparty Supplement as annexes thereto, and such schedules shall replace Schedules 4, 5, 6 and Schedule 8 as of the date hereof attached hereto and thereafter shall become Schedules 4, 5, 6 and Schedule 8 for the purpose of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;**7.PAYMENTS, INTEREST AND CALCULATIONS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All payments to be made by the Charterer under this Agreement or any other Operative Document shall be made without any counterclaim, deduction, defence or set-off for any reason whatsoever and in funds which are for same day settlement and, save as provided herein, without prior demand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)All amounts payable by the Charterer to the Owners hereunder shall be paid as follows:

All amounts payable by the Charterer to the Owners hereunder in Dollars and which are not Excluded Property shall be paid in Dollars to the Dollar Account A in immediately available funds on the day on which payment is due.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)In the case of any amounts payable by the Charterer hereunder or under any other Operative Document which are not Excluded Property and are payable in a currency other than Dollars, payment shall be made in the currency in which such payment is due for value on the day on which such amount is due to such account or accounts and in such currency as the Security Agent shall specify by written notice given to the Owners and the Charterer prior to the due date for such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Notwithstanding the foregoing, all amounts payable by the Charterer to the Owners hereunder in Dollars and which are Excluded Property shall be paid in Dollars to the Dollar Account B in immediately available funds on the day on which payment is due.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Notwithstanding the foregoing, all amounts payable by the Charterer to the Owners hereunder which are Excluded Property and are payable in a currency other than Dollars, payment shall be made in the currency in which such payment is due for value on the day on which such amount is due to such account or accounts and in such currency as the Representative Owner shall specify by written notice given to the Charterer prior to the due date for such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)All amounts payable by the Owners to the Charterer under this Agreement shall be paid in the currency in which such payment is on the day on which payment is due, without prior demand.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall pay to the Owners on demand of the Representative Owner, the Agent, the Security Agent or any other Finance Party an amount equal to any and all amounts and in the currency in which any such amount is payable or expressed to be payable and in accordance with the provisions of the Loan Agreement and the other Operative Documents (excluding any Excepted Amount (as defined below)) which may from time to time become payable or be expressed to be payable by any Relevant Party to any Finance Party or in respect of which any Finance Party or any other Indemnified Person or Protected Party (as such terms are defined in the Loan Agreement) is expressed to be indemnified by the Registered Owner and/or the Owners under or pursuant to the Loan Agreement and the other Operative Documents (whether or not the Registered Owner and/or the Owners have already paid any such amount and whether or not the obligation of the Registered Owner and/or the Owners to pay any such amount is limited by the provisions of clause 17 (*Limited Recourse)* of the Loan Agreement or any similar provision of any other Operative Document. For the purposes of this Clause 7(d), "**Excepted Amount**" means (i) any amount of principal or interest (other than default interest) and save to the extent such interest rate is increased pursuant to clause 10 (*Changes to the Calculation of Interest*)) payable under the Loan Agreement and (ii) the Vessel Cost.

If any payment which the Charterer is obliged to pay to the Registered Owner and/or the Owners under Clause 7(d) proves to be insufficient, as a result of Taxation thereon, for the Registered Owner and/or the Owners to discharge any corresponding liability to any Finance Party or Indemnitee, the Charterer shall on demand of the Representative Owner pay to the Registered Owner and/or the Owners such additional sum in the currency of such liability as is equal to (but not greater than) the amount which

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(after taking into account any taxation thereon) is required to make up the deficit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)When any payment under this Agreement would otherwise be due on a day that is not a Business Day, the due date for that payment shall be the preceding Business Day and during any extension of the due date for payment of any such amount under this Agreement interest is payable on such amount at the rate payable on the original due date and any other amounts shall be modified according to the extension of the due date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)If the Charterer fails to pay any sum (including, but not limited to, any sum payable pursuant to this Clause 7 (*Payments, Interest and Calculation*)) on its due date for payment under this Agreement, the Charterer shall pay to the Owners on demand interest on such sum from the due date up to the date of actual payment (as well after as before any relevant judgment) at the Relevant Rate of Interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Except as otherwise expressly provided herein or, in relation to any amount payable to any Finance Party, under the Loan Agreement in respect of the corresponding amount payable thereunder, all interest payable under this Agreement shall accrue from day to day (the first day of the relevant interest period included and the last day excluded) and shall be calculated, in respect of any payments due hereunder in any currency, on the basis of the actual number of days elapsed and a 360-day year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)Whenever the Owners, the Representative Owner, the Registered Owner, the Agent or Security Agent demands payment of any amount under this Agreement (other than Charter Hire, any Applicable Sum falling due on a Payment Date or the Early Buy-out Price) it shall furnish with such demand a certificate specifying the amount payable and, to the extent reasonably practicable and without the need for any person to divulge any confidential information, in reasonable detail the basis of the computation of the relevant amount and such certificate shall, in the absence of manifest error, be conclusive evidence of such amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding any other provision herein or in any other Operative Document to the contrary, the Charterer be entitled to remit funds with bank payment orders specifying shared bank charges but any bank charges with respect to each remittance to the Dollar Account shall be for the Charterer's account and the Charterer shall ensure that the amount remitted is sufficient such that the full amount (net of any bank charges) is received or, where such bank charges are not known at the time of payment, the Charterer shall promptly remit such further amount as is required to cover any shortfall.

Notwithstanding any other provisions herein, including any Schedule hereto, the Charterer agrees that (i) the amount of Charter Hire A payable on any Payment Date shall be in an amount sufficient to pay the scheduled amount of interest on and principal of the Loan due and payable on such date, (ii) the amount of the Stipulated Loss Value A or the Special Termination Value A payable on any date shall be in an amount sufficient to pay the entire principal amount of, accrued interest on and the Break Costs and Fixed Rate Breakage Costs and Hedge Breakage Loss payable in respect of, the Loan (or any relevant Hedging Agreement) due and payable on such date, (iii) the amount of the Stipulated Loss Value A payable in

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accordance with Clause 16(b) hereof on any date shall be in an amount sufficient to pay the principal amount of, accrued interest on and the Break Costs and Fixed Rate Breakage Costs and Hedge Breakage Loss payable in respect of the Loan required to be paid pursuant to the Loan Agreement (or any relevant Hedging Agreement) and (iv) the amount of the Early Buy-out Price A payable on the Early Buy-out Date shall be in an amount sufficient to pay the entire principal amount of, accrued interest on and the Break Costs and Fixed Rate Breakage Costs payable in respect of, the Loan due and payable on such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)Notwithstanding any other provision herein or in any other Operative Document to the contrary, the charter under this Agreement is a triple net charter; accordingly, whether or not it shall so state herein, the Charterer shall be responsible for all costs associated with the operation, maintenance, insurance, use and storage of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)The Charterer's obligations to pay Charter Hire and make any other payments in accordance with this Agreement and the other Operative Documents to which the Charterer is a party are a condition to this Agreement and shall be absolute and unconditional irrespective of any circumstance or contingency whatsoever including (but not limited to):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the unavailability of the Vessel or Part for any reason, including, but not limited to, any lack or invalidity of title or lack of crew, injury of any crew, or any other defect in the merchantability, fitness for any purpose, condition, design or operation of any kind or nature of the Vessel or Part; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the ineligibility, lack of fitness or other defect whatsoever of the Vessel or Part for any particular use or trade, or for want of registration or documentation under any Applicable Laws; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)subject to Clause 6(b), the occurrence of a Total Loss or any other occurrence including the loss, destruction, confiscation, seizure, requisition of or damage to the Vessel or Part, or the interruption or cessation in or prohibition of the use of possession or enjoyment of the Vessel or Part by the Charterer for any reason whatsoever; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any failure or delay on the part of any party hereto or to any Operative Document, whether with or without fault on its part, in performing or complying with any of the terms or covenants under this Agreement or any other Operative Document or any rights, claims or defences whatsoever that the Charterer might have against the Owners, the Representative Owner, the Registered Owner, the Owner Parent, the Finance Parties and/or any third party; or

the occurrence of any Default, Relevant Party Event or any default by the Owners, the Representative Owner, the Registered Owner, the Owner Parent, the Finance Parties and/or any third party or any insolvency, bankruptcy, extinction, liquidation, winding-up, reorganisation, reconstruction, arrangement, readjustment or rescheduling of debt, dissolution or similar proceedings by or against any Owner, the Registered Owner, the Charterer Guarantor, the Owner Parent, any Finance Party or any Sub-charterer; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)any invalidity or unenforceability of this Agreement or any other Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any other cause which but for this provision would or might have the effect of terminating or in any way affecting any obligation of the Charterer or the Charterer Guarantor hereunder or under any other Operative Document to which the Charterer is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)any right of set off, counterclaim, recoupment, defence or similar right (unless and to the extent the exercise of such right is required by law or agreed by the Representative Owner and the Agent).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)It shall be a condition of this Agreement that the Charterer performs its obligations to make payments under this Agreement and the other Operative Documents in the time and manner stipulated in this Agreement or in the respective other Operative Document, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;**8.COSTS AND INDEMNITIES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Subject to the exclusions stated in Clause 8(b), the Charterer agrees to indemnify and hold harmless on an after-tax basis, each Owner, the Registered Owner, the Owner Parent, the Remarketing Agent, any inspection agent, any Receiver and each Finance Party and their respective Affiliates, directors, officers, employees, advisers, representatives and agents and each Kumiai-in (each such person being referred to in this Clause 8 (*Costs and Indemnities*) as an "**Indemnitee**") against any and all Losses (whether or not on the basis of negligence (imputed or otherwise), strict or absolute liability or liability in tort) which are suffered by (based on proper documentation) such Indemnitee resulting from or arising out of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the purchase, acceptance, non-acceptance, chartering, sub-chartering, leasing, financing, ownership, title or rejection of the Vessel or Part hereunder or under any other Operative Document (other than payment of the Vessel Cost pursuant to the Memorandum of Agreement or the Instalment Sale Agreement and interest (non-default) and the principal of the Loan); or

the manufacture, design, structure, delivery, non-delivery, ownership, registration, flag, deregistration, certification, insurance, sub-lease, crewing manufacture, design, modification, improvement, dry-docking, survey, remarketing, improvement, overhaul, charter, sub-charter, sub-sub-charter, possession, use, sale, control, maintenance, repair, operation, condition, import, export, storage, locating, stationing, financing, modification, alteration, replacement, return, redelivery, transfer, or other disposition of the Vessel or Part or loss thereof or damage thereto or relating to loss or destruction of or damage to any property or death or injury of or other loss of whatsoever nature suffered by any person caused by, relating to or arising from or out of (in each case whether directly or indirectly) any of the foregoing matters (including, without limitation, as a consequence of latent or other defects, whether or not discoverable); or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any infringement of any patent, trademark, copyright or other intellectual property right whatsoever relating to the Vessel or any Part; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any loss, destruction, confiscation, seizure or requisition of the Vessel or any Part or any steps taken by an Indemnitee (acting reasonably) with a view to the prevention of any of the same (provided that due notice of the taking of such steps is first given to the Charterer unless such prior notice is not reasonable or practicable under the circumstances) and of any other occurrence of whatsoever kind which shall deprive the Charterer of the use, possession or quiet enjoyment of the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the occurrence of a default by the Charterer in the due and punctual performance of its obligations under this Agreement or any of the other Operative Documents to which it is a party or the occurrence and continuance of any Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The provisions of Clause 8(a) shall not apply, and the Charterer shall have no liability to any particular Indemnitee under Clause 8(a) with respect to any Losses:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)which resulted from such Indemnitee's gross negligence or wilful misconduct; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)constituting a Tax or loss of Tax benefit (it being understood that Clause 9 (*Taxation*) provides for the Charterer's liability in respect of such matters); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)which constitutes the ordinary and usual operating and overhead expenses of such Indemnitee (but excluding any such Loss which is suffered or incurred as a result of or following the occurrence of a Default or an Overriding Cause); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)in the case of any Indemnitee other than any Finance Party or the Remarketing Agent, their Affiliates and their respective directors, officers, employees, representatives, advisors and agents (each such other Indemnitee being a "**Relevant Party Indemnitee**"), without prejudice to Clause 23 (*Costs and Expenses*), which relates to legal, accounting or other expenses incurred by such Relevant Party Indemnitee in connection with the negotiation, preparation and execution of any Operative Document (but excluding any such Loss which is suffered or incurred as a result of or following the occurrence of a Default or an Overriding Cause); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)in the case of any Relevant Party Indemnitee, to the extent such Loss results from or arises out of one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any express representation or express warranty by such Relevant Party Indemnitee in any Operative Document being incorrect; or

the failure by such Relevant Party Indemnitee (and not by the Charterer) to perform or observe, or the breach by such Indemnitee (and not by the Charterer) of, any express

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undertaking, agreement, covenant or condition in any of the Operative Documents to be performed or observed by it; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Owner Lien; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)a disposition by such Relevant Party Indemnitee of all or any part of such Indemnitee's interest in the Vessel or the Operative Documents, other than in accordance with the terms of, or made or arising in connection with any enforcement of, the Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)acts or events which occur after the earliest of (x) the completion of return of the Vessel to the Owners pursuant to, and in full compliance with, Clause 17 (*Redelivery*), (y) the termination of the Charter Period following a Total Loss with respect to the Vessel; and (z) the sale, assignment, transfer or other disposition of the Vessel by the Owners, other than to the Charterer under this Agreement, and in each case, the performance in full by the Charterer of its obligations then due thereunder (except that the Charterer shall be liable for claims which are attributable to acts or events occurring prior to the earliest of the above);

but in each case, excluding any such Loss which is suffered or incurred as a result of or following the occurrence of a Default or an Overriding Cause; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)which has been indemnified by the Insurances and has been unconditionally and irrevocably received by the relevant Indemnitee; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)which the relevant Indemnitee has been unconditionally and irrevocably indemnified under any other provision of this Agreement and this applies in particular to loss of profit, which shall be deemed wholly compensated for by payment of the Stipulated Loss Value or Special Termination Value, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)In the case of any Loss indemnified by the Charterer hereunder which is covered by the Insurances, each Indemnitee agrees to co-operate with the insurers in the exercise of their rights to investigate, defend or compromise such Loss as may be required to retain the benefits of the Insurances with respect to such Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)**Conduct of Losses**

If the Charterer shall become liable to indemnify any Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), the Charterer and the Owners shall consult in good faith and each of them shall use reasonable endeavours to avoid (or reduce the amount of) the Loss giving rise to such indemnification without prejudice to and without limiting the Charterer's obligations to indemnify each Relevant Party Indemnitee on demand; provided that no Relevant Party Indemnitee shall be obliged to incur any cost unless indemnified to its reasonable satisfaction by the Charterer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If a Loss shall be made against any Relevant Party Indemnitee for which the Charterer is or may be required to indemnify the Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), the Relevant Party Indemnitee shall promptly notify the Charterer in writing of that Loss and shall promptly provide the Charterer with all such information available to the Relevant Party Indemnitee regarding the Loss. If a Loss shall be made against any Relevant Party Indemnitee for which the Charterer may be required to indemnify the Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), and under Applicable Law of the relevant jurisdiction the Charterer is allowed to contest directly that Loss in its own name, then, subject to the rights of insurers under any Insurances and without prejudice to the obligation of the Charterer to pay any sum due to the Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*) on its due date, the Charterer shall be permitted, at its expense and in its own name, to contest the imposition of that Loss. The Charterer shall not be permitted to contest the imposition of a Loss in the name of the Relevant Party Indemnitee other than as contemplated in Clauses 8(d)(iii) and 8(d)(iv).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)If the Charterer is prohibited by Applicable Law from contesting a Loss in its own name, or if it is a requirement of Applicable Law for a Relevant Party Indemnitee to join in or assist in the contesting by the Charterer of any Loss, upon request from the Charterer, the Relevant Party Indemnitee shall, subject to the provisions of Clause 8(d)(iv), in diligence and good faith after consultation with the Charterer (but with no obligation to necessarily follow the Charterer's instructions), at the Charterer's expense, contest or assist in contesting the Loss. After considering any views offered by the Relevant Party Indemnitee and the Relevant Party Indemnitee's counsel concerning the forum in which a Loss is most likely to be favourably contested, the Charterer may, acting reasonably, select the forum for the contest and determine whether the contest shall be by (A) resisting the Loss,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) paying the Loss under protest, (C) paying the Loss and seeking a refund or other repayment thereof, or (D) seeking a reduction in the amount of the Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)In no event shall a Relevant Party Indemnitee be required to contest any Loss nor shall a Relevant Party Indemnitee be required to (A) join in or (B) assist in contesting any Loss pursuant to this Clause 8 (*Costs and Indemnities*) unless:

the Charterer shall have agreed to pay the Relevant Party Indemnitee on demand, and indemnify such Relevant Party Indemnitee from, all costs, losses and expenses that the Relevant Party Indemnitee incurs in contesting or assisting in contesting the Loss or arising out of or relating to the contest or assistance (including, but not limited to, all reasonable out-of-pocket costs, expenses, losses, reasonable legal and accounting fees, disbursements, penalties and interest), save for costs, losses and expenses resulting from such Relevant Party Indemnitee's gross negligence or wilful misconduct; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Relevant Party Indemnitee shall have reasonably determined that the action to be taken will not result in a sale, forfeiture or loss of the Vessel, or the creation of any Lien on the Vessel other than Permitted Liens or any material risk of any criminal liability or penalty against any Relevant Party Indemnitee; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)if a contest shall be conducted in a manner requiring the advance payment of the Loss, the Charterer shall have advanced sufficient funds, on an interest-free and after-tax basis, to make the payment required; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the Charterer shall have provided the Relevant Party Indemnitee and (if the Relevant Party Indemnitee is not any of the Owners) the Owners the grounds for such contest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Upon payment in full of any Loss pursuant to this Clause 8 (*Costs and Indemnities*), the Charterer, without any further action, shall be subrogated to any rights which the Relevant Party Indemnitee may have relating thereto, provided that the Charterer by virtue of such subrogation shall not become entitled to seek any indemnification or contribution from, or make any claim against, the Relevant Party Indemnitee in respect of any Loss indemnified against hereunder save in the case of fraudulent act, wilful misconduct or gross negligence of such Relevant Party Indemnitee. Each Relevant Party Indemnitee agrees to give, at the Charterer's expense, any reasonable further assurances and to enter into such reasonable agreements and to co-operate with the Charterer to permit the Charterer to pursue such subrogation rights as permitted hereunder, if any, to the extent reasonably requested by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)In the event that the Charterer shall have paid an amount to a Relevant Party Indemnitee pursuant to this Clause 8 (*Costs and Indemnities*), and the Relevant Party Indemnitee subsequently shall be reimbursed in respect of the indemnified amount from any other person, the Relevant Party Indemnitee shall promptly pay the Charterer an amount equal to the lesser of the amount of the reimbursement and the amount paid by the Charterer (less any reasonable costs of remittance thereof), provided that, at the relevant time, the Charterer shall have paid in full to each Relevant Party Indemnitee all amounts that have then fallen due and payable by the Charterer to such Relevant Party Indemnitee under any of the Operative Documents.

No payment to the Owners or any other Indemnitee under or pursuant to this Agreement or any other Operative Document, pursuant to any judgment or order of any court or otherwise shall operate to discharge the obligations of the Charterer in respect of which it was made unless and until payment shall have been received in the currency (the "**Currency of Obligation**") in which such payment was required to be made hereunder and, to the extent that the amount of any such payment shall on actual conversion into the Currency of Obligation fall short of the amount of the relevant obligation expressed in the Currency of Obligation, the Owners or such other Indemnitee shall have a further separate cause of action against the Charterer for the recovery of such sum as shall properly be evidenced or documented and after conversion into the Currency of Obligation

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be equal to the amount of the shortfall. Without prejudice to the foregoing, to the

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extent that the amount of any payment referred to above shall on actual conversion into the Currency of Obligation exceed the amounts due and payable to the Owners or such other Indemnitee in the Currency of Obligation, the Owners or such other Indemnitee shall promptly reimburse such excess to the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Subject to Clause 7(b), the Dollar is the currency of account for those sums stated to be denominated or due from the Charterer under this Agreement in such currency, provided that each payment in respect of costs, losses, Taxes or expenses shall be made in the currency in which the cost, loss, Tax or expense was incurred or imposed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)The Charterer undertakes to each of the Owners and the other Indemnitees to perform its undertakings under this Clause 8 (*Costs and Indemnities*) in respect of any Indemnitee not party to this Agreement as if that Indemnitee were party to this Agreement; provided in the event that an Indemnitee is a Kumiai-in, the Owners shall procure that the relevant Indemnitee shall comply with the terms of this Clause 8 (*Costs and Indemnities*) as if party to this Agreement. If the Charterer shall be expressed to be obliged to make any payment to or on behalf of any Indemnitee not party to this Agreement, the Charterer shall make the relevant payment as directed by the Owners in respect of a Relevant Party Indemnitee or the Agent in respect of any other Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If the Charterer is required to make a payment to the Owners under this Clause 8 (*Costs and Indemnities*) to enable the Owners to make a payment to a Finance Party or any other Indemnitee, then to the extent that the Finance Party or such other Indemnitee has already irrevocably and unconditionally received the relevant payment from any party other than any Relevant Party, the Charterer's obligations to make payments under this Clause 8 (*Costs and Indemnities*), as the case may be, in respect of that amount shall, to the extent of the amount received by that Finance Party or such other Indemnitee, be discharged.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)For the avoidance of doubt, the Charterer shall not exercise any right of set-off against the Owners or any other Indemnitee under any Operative Document unless all amounts owing to the Finance Parties and the other Indemnitees under the Operative Documents have been paid in full upon the terms and conditions set forth therein.

&nbsp;&nbsp;&nbsp;&nbsp;**9.TAXATION**

Except as provided in Clause 9(b), the Charterer shall pay, and on written demand shall indemnify and hold harmless, each Owner, the Registered Owner, the Owner Parent, each Kumiai-in, the Remarketing Agent, any inspection agent, each Finance Party and the Affiliates of each Finance Party (each of whom is referred to in this Clause 9 (*Taxation*) as a "**Tax Indemnitee**") from and against, any and all fees and duties reasonably incurred (including, but not limited to, license and registration fees), taxes (including, but not limited to, income, gross receipts, net receipts, sales, consumption, rental, use, turn-over, value-added, property (tangible and intangible, including, without limitation, any property tax imposed on the Vessel or Part), excise, franchise, capital, capital gains, doing business and stamp and documentary taxes), levies, imposts,

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recording charges or assessments of any nature whatsoever, together with any assessments,

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penalties, fines, additions to tax and interest thereon ("**Taxes**" and each individually a "**Tax**") imposed on or against any Tax Indemnitee upon or with respect to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the purchase, title, ownership, acquisition, acceptance, rejection, delivery, non-delivery, registration, deregistration, flagging, possession, operation, use, condition, maintenance, repair, replacement, sale, remarketing, return, redelivery, storage, locating, stationing, certificating, manufacture, charter, sub-charter, sub-sub-charter, leasing, financing, mortgaging, modification, supply, replacement, importation, transfer of title, repossession, exportation or other application or disposition of, or the imposition of any Lien (other than, in the case of the Owners, the Registered Owner, the Owner Parent and each Kumiai-in, any Owner Lien) on, the Vessel or Part or any interest in the Vessel or Part; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)otherwise arising with respect to the Vessel or Part or any Operative Document or the transactions contemplated by, or any amounts paid or payable under or in respect of, this Agreement and the other Operative Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Except to the extent that any of the following exclusions (i) through (xii) below from the Charterer's liability (or any of the excluded Taxes therein referred to) arises or is imposed on, suffered or incurred by or asserted against such Tax Indemnitee as a result of a Default or any of the circumstances specified in the definition of Overriding Cause and without prejudice to the Finance Parties' rights under clause 11.3 (*Tax indemnity*) of the Loan Agreement, the provisions of Clause 9(a) shall not apply, and the Charterer shall have no liability to any particular Tax Indemnitee under Clause 9(a) with respect to any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Taxes imposed on a Tax Indemnitee (A) as a result of any voluntary sale, transfer or other disposition by such Tax Indemnitee of the Vessel or any interest therein or in the Operative Documents or in such Tax Indemnitee, or (B) that is a transferee if the amount of such Taxes is increased, under law existing at the time of the transfer, over what would have been imposed absent the transfer, except, in either case, for any such sale, transfer or other disposition contemplated or permitted by, or made or arising in connection with

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) the enforcement of this Agreement or any Operative Document, including, without limitation, as part of exercise of any remedies pursuant to this Agreement or to avoid any losses and damages from an Event of Default as permitted by this Agreement, or in connection with any return by the Charterer to the Owners of the Vessel in accordance with this Agreement, (II) a Permitted Lien (other than, in the case of any of the Relevant Party only, an Owner Lien and other than, in the case of any Finance Party only, a Finance Party Lien),

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(III) the exercise of any rights or remedies in connection with a Default or any event or circumstance specified in Clauses 21(b), 21(c) or 21(e) or (IV) the Loan Agreement by a Finance Party where either the Charterer has consented to such sale, transfer or other disposition or such sale, transfer or other disposition does not require the consent of the Charterer pursuant to clause 22.2.1 (*Conditions of assignment or transfer*) of the Loan Agreement;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Taxes which are imposed by any country, or taxing authority or governmental subdivision thereof, or by any international or multinational taxing authority by reason of a connection between the Tax Indemnitee and such country, taxing authority or governmental subdivision thereof or such international or multinational taxing authority, except to the extent that such Taxes would not have been imposed but for (A) the transactions contemplated by this Agreement and the other Operative Documents, (B) the use, presence, location, stationing, registration, operation or chartering of, or any modification, alteration, improvement or addition made in, to, upon or in respect of, the Vessel or any Part in, to or from Japan, (C) the presence of the Charterer or any operator of the Vessel in Japan or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any Default or Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Taxes imposed on any Tax Indemnitee which result from the wilful misconduct or gross negligence of such Tax Indemnitee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, Taxes imposed on any Tax Indemnitee to the extent resulting from or arising out of or which would not have been imposed but for (A) any express representation or express warranty of that Tax Indemnitee in any Operative Document being incorrect or (B) the failure by such Tax Indemnitee to perform or observe, or the breach by that Tax Indemnitee of, any express undertaking, agreement, covenant or condition in any of the Operative Documents to be performed or observed by it including, without limitation, in the case of each Owner, the Registered Owner, the Owner Parent only, the creation by that Tax Indemnitee of, or the existence of, an Owner Lien, except in each case, to the extent such breach is caused (i) by a breach by another Tax Indemnitee or (ii) a Default or an Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)Taxes in the nature of withholding Taxes, which shall be governed exclusively by Clause 9(f);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)Taxes imposed upon such Tax Indemnitee in respect of the overall net income, overall capital, net worth, gross income or gross receipts or profit of such Tax Indemnitee, or any Taxes in lieu of the foregoing (it being understood that this clause is without prejudice to the obligations of the Charterer under Clause 9(f)) other than any taxes imposed or which would have been imposed by reason of a connection between the relevant Tax Indemnitee and that jurisdiction to the extent arising solely by reason of (A) the operation, use, presence, registration, chartering, stationing or location of, or any modification, alteration, improvement or addition made in, to, upon or in respect of, the Vessel or any Part or (B) the presence of the Charterer, the Charterer Guarantor or any operator of the Vessel in Japan or (C) any Default or Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)Taxes imposed upon such Tax Indemnitee to the extent incurred in respect of any period after the earliest to occur of either of the following events:

the purchase of the Vessel by the Charterer or by a third party pursuant to the terms of this Agreement and the performance

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in full by the Charterer of its obligations then due hereunder and the other Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the return of the Vessel to the Owners pursuant to and in accordance with the provisions of this Agreement and the performance in full by the Charterer of its obligations then due hereunder and the other Operative Documents,

unless such Taxes are attributable to any event, circumstance or condition occurring prior to such purchase or return or termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, Taxes imposed by Japan or any Taxing authority or governmental subdivision thereof or therein other than Taxes imposed by reason of (x) the use, presence, location, stationing, registration, operation or chartering of, or any modification, alteration, improvement or addition made in, to, upon or in respect of, the Vessel or any Part in, to or from Japan, (y) the presence of the Charterer or any operator of the Vessel in Japan or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) any Event of Default or Overriding Cause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)any Taxes to the extent such Tax Indemnitee has actually been indemnified (to the extent so actually indemnified) pursuant to any other provision of any Operative Document by any party other than by any Relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)any Taxes imposed upon such Tax Indemnitee which constitute penalties, additions to Tax, fines or interest which would not have been imposed but for a reasonably avoidable delay or failure by such Tax Indemnitee in filing any tax computations or returns, or other forms or statements, in each case which the Charterer has reasonably requested such Tax Indemnitee in writing to file, provided that such delay or failure has not been caused or requested by the Charterer and the relevant filing would not, in such Tax Indemnitee's opinion, prejudice the tax position or business affairs of such Tax Indemnitee in the relevant jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, any Taxes to the extent such Taxes exceed the amount thereof which such Tax Indemnitee would have suffered had such Tax Indemnitee taken all reasonable steps within its control to give timely notice to the Charterer of such Tax or of the event giving rise to such Tax following such Tax Indemnitee receiving notification of the imposition of any such Tax; or

in the case of each Owner, the Registered Owner, the Owner Parent and any Kumiai-in only, Taxes in the nature of income taxes which would not have been imposed on the relevant Owner, the Registered Owner, the Owner Parent or any Kumiai-in but for (A) the failure by

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such party to file in the ordinary course of business a tax return following any reasonable request made with sufficient time to permit compliance with such request from the Charterer (it shall not be necessary for the Charterer to make any such request in relation to any filing in Japan or in the state of incorporation of the relevant Owner, the Registered Owner, the Owner Parent or any Kumiai-in), failed so to file, or (B) following any reasonable request made with sufficient time to permit compliance with such request (it shall not be necessary for the Charterer to make any such request in relation to any filing in Japan or in the state of incorporation of the relevant Owner, the Registered Owner, the Owner Parent or any Kumiai-in), failure of such party to assist the Charterer to file any returns, statements or other documentation which might lead to the imposition of a reduced rate of Taxes or exemption from Taxes which are subject to payment by or indemnification by the Charterer under this Agreement (provided that any costs and expenses associated with such filing or assistance (other than any costs and expenses associated with the filing of annual tax returns which such party is required to file in Japan or its state of incorporation, irrespective of whether or not such Taxes had been imposed) would be borne by the Charterer).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any payment which the Charterer shall be required to make to or for the account of any Tax Indemnitee with respect to any Tax which is subject to indemnification under this Clause 9 (*Taxation*) shall include the amount necessary to hold such Tax Indemnitee harmless on an after-tax basis from the amount of any and all Taxes required to be paid by such Tax Indemnitee as the result of any such payment pursuant to the laws of any relevant taxing jurisdiction. If, by reason of any Tax payment made to or for the account of a Tax Indemnitee by the Charterer pursuant to this Clause 9 (*Taxation*) or the payment of any additional amount pursuant to Clause 9(f)(i), such Tax Indemnitee in its opinion subsequently realises a net tax benefit, saving, deduction or credit (including a tax credit for Taxes paid, deemed paid or accrued) not previously taken into account in computing that payment, the Tax Indemnitee shall promptly pay to the Charterer an amount (but so that the Tax Indemnitee shall not be in a less favourable position than if the Charterer had not been required to make any such payment or to pay such additional amount pursuant to this Clause 9 (*Taxation*) and less any reasonable costs of the remittance thereof) equal to the sum of the actual net reduction in Taxes, if any, realised by such Tax Indemnitee which is attributable to such benefit, saving, deduction or credit, provided that the relevant Tax Indemnitee shall not be obliged under this Clause 9(c) to arrange its tax or other affairs in any particular way or to claim or to allocate any credit, relief or benefit received by it to any taxes or liability to tax referred to above in priority to any other matter which may entitle it to any credit, relief or benefit, or to disclose any records or affairs of the relevant Tax Indemnitee to the Charterer, save and insofar as the same are in the public domain.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)**Conditions of Tax Indemnity Losses**

If the Charterer is likely to be required to indemnify any Tax Indemnitee pursuant to this Clause 9 (*Taxation*) and so notifies the Owners and the relevant Tax Indemnitee, such parties shall consult in good faith and each of them shall use reasonable endeavours to

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avoid or if the same cannot be avoided to reduce the loss or claim giving rise to such indemnification, provided that the Owners and the relevant Tax Indemnitee shall not be obliged to incur any cost unless indemnified to their reasonable satisfaction by the Charterer and the relevant Tax Indemnitee shall not be obliged to arrange its tax or other affairs in any particular way or to otherwise take any action which it considers may be prejudicial to it. If a claim shall be made against any Tax Indemnitee for any Tax for which the Charterer is likely to be required to indemnify a Tax Indemnitee pursuant to this Clause 9 (*Taxation*), the Owners shall notify the Charterer in writing promptly of the claim after becoming aware thereof and shall provide the Charterer with such information available to the Owners regarding the claim as the Charterer may reasonably request, provided that neither the Owners nor the relevant Tax Indemnitee shall be obliged to incur any cost unless indemnified to their reasonable satisfaction by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If a claim shall be made for any Tax for which the Charterer is required to indemnify a Tax Indemnitee (other than a Finance Party to which, with the exception of (d)(i), this paragraph (d) shall not apply) pursuant to this Clause 9 (*Taxation*), and under Applicable Law of the taxing jurisdiction the Charterer is allowed to contest directly that Tax in its own name, then the Charterer shall be permitted, at its expense and in its own name, to contest the imposition of that Tax. The Charterer shall not be permitted to contest the imposition of a Tax in the name of the Tax Indemnitee otherwise than as provided in Clauses 9(d)(iii) and 9(d)(iv).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)If the Charterer is prohibited by Applicable Law from contesting a Tax in its own name, or if it is a requirement of Applicable Law for a Tax Indemnitee to join in or assist in the contesting by the Charterer of any Tax, upon request of the Charterer, the Tax Indemnitee (other than a Finance Party to which, with the exception of (d)(i) this paragraph (d), shall not apply) shall, subject to the provisions of Clause 9(d)(iv), in diligence and good faith after consultation with the Charterer (but with no obligation to necessarily follow the Charterer's instructions) and at the Charterer's expense, contest or assist in contesting the imposition of the Tax. After considering any views offered by the Tax Indemnitee and the Tax Indemnitee's counsel concerning the forum in which a Tax being contested is most likely to be favourably contested, the Charterer may, acting reasonably, select the forum for such contest and determine whether the contest shall be by (A) resisting payment of the Tax, (B) paying the Tax under protest, (C) paying the Tax and seeking a refund or other repayment thereof or (D) seeking a reduction in the amount of the Tax.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)In no event shall a Tax Indemnitee be required to contest nor shall a Tax Indemnitee be required to join in or assist in contesting the imposition of any Tax pursuant to this Clause 9 (*Taxation*) unless:

the Charterer shall have agreed to pay the Tax Indemnitee on demand, and indemnify the Tax Indemnitee from, all costs, losses and expenses that the Tax Indemnitee incurs in contesting or assisting in contesting the claim or Tax or arising out of or relating to the contest or assistance

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(including, but not limited to, all reasonable out-of-pocket costs, expenses losses, reasonable legal and accounting fees, disbursements, penalties and interest), save for costs, losses and expenses resulting from such Tax Indemnitee's gross negligence or wilful misconduct;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E)the Tax Indemnitee shall have reasonably determined that the action to be taken will not result in a sale, forfeiture or loss of the Vessel, or any material risk of any criminal liability or penalty against any Indemnitee, or the creation of any Lien on the Vessel other than Liens for Taxes or amounts either not yet due or which are being or are to be contested in good faith by appropriate action or proceedings so long as the action or proceedings do not involve any material risk of the sale, forfeiture or loss of the Vessel and for the payment of which Liens reserves in amounts acceptable to the Owners have been provided by the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F)if a contest shall be conducted in a manner requiring the payment of the Tax, the Charterer shall have advanced sufficient funds, on an interest-free and after-tax basis, to make the payment required; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G)the Charterer shall have provided the Tax Indemnitee and (if the Tax Indemnitee is not any of the Owners) the Owners proper comfort, at the cost of the Charterer, to the effect that such contest has a reasonable chance of being successful.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Except as provided in Clause 9(d) regarding the Charterer's right to contest, the Charterer shall pay any Tax for which it is liable pursuant to this Clause 9 (*Taxation*) directly to the appropriate taxing authority or, if reasonably requested by the Owners, to the relevant Tax Indemnitee promptly upon demand, but in any event prior to the date that Tax is due, in immediately available funds. Any such demand for payment shall specify in reasonable detail the payment and the facts upon which the right to payment is based. The Owners shall promptly forward to the Charterer any notice, bill or advice in the nature of a notice or bill received by them concerning the Tax. As soon as practicable after each payment by the Charterer of such Tax, the Charterer shall furnish to the appropriate Tax Indemnitee the original or a certified copy of a receipt for the Charterer's payment of such Tax (if such are reasonably available) or such other evidence of payment of such Tax as is reasonably acceptable to such Tax Indemnitee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)**Tax Gross-up**

If at any time any deduction or withholding in respect of Taxes (including, without limitation, the FATCA Deduction) is required to be made from any payment made or to be made by the Charterer under this Agreement the Charterer shall pay to the relevant Tax Indemnitee such additional amounts as may be necessary to ensure that the relevant Tax Indemnitee receives (after such deduction or withholding and any deduction or withholding applicable to any additional amounts) an amount in the relevant currency equal to the

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full amount which it would have received had payment not been subject to any such withholding or deduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer is not required to make an increased payment to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)a Lender under paragraph (i) above for a tax deduction in respect of tax imposed by Japan from any payment to the Finance Parties or any of them under any Operative Document, if on the date on which the payment falls due the payment could have been made to the relevant Lender without a tax deduction if the Lender had been a Qualifying Lender, but on that date that Lender is not or has ceased to be a Qualifying Lender other than as a result of any Change in Law after the date on which it became a lender under the Loan Agreement (for the avoidance of doubt, in the case of the Original Lenders, such date shall be the date of the Loan Agreement), unless the applicable tax deduction arises directly or indirectly as a result of any assignment, transfer or sub-participation by a Lender of its rights and/or obligations under any Finance Document which is agreed by the Owners and the Charterer, in which case the payment shall be increased in accordance with paragraph (i) above; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the Owners under paragraph (i) above, if the representation under Clause 10(c)(ii) is breached and the deduction or withholding is required as a result thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)In the event that the Charterer is required to make any such withholding or deduction, the Charterer shall obtain certificates of payment from the appropriate tax authorities and such other documents as the relevant Tax Indemnitee may reasonably request and shall as soon as reasonably practicable transmit such certificates and documents to the relevant Tax Indemnitee. In addition to the agreement contained in Clause 9(g) the Owners agree to co-operate with the Charterer to avoid or minimize, if possible, such withholding or deduction or to obtain, if possible, applicable refunds as to such withholding or deduction in the jurisdiction which required such withholding or deduction and to reimburse to the Charterer such refunds (less the costs of remittance thereof), if any up to the additional amount paid by the Charterer in respect of the withholding or deduction in respect of which the refund relates. The Owners agree, upon the request of the Charterer, to furnish such certificates and other documents as the Charterer may reasonably determine to be necessary to establish each Owner's or the Charterer's (as agent of the Owners) entitlement (if any) to any exemption from or reduced rate of withholding or deduction under the Applicable Law of any country, or any applicable tax treaty.

If either party becomes aware of any circumstances which will give rise to an obligation on the part of the Charterer to make a payment of a material amount under Clause 9(a) or 9(f) it shall promptly advise the other party of such circumstances and the parties shall, (without prejudice to the Charterer's obligations under Clause 9(a) or 9(f) or any other provision of this Agreement) forthwith negotiate with each other in good faith at the cost of the Charterer for a period of sixty (60) days or such shorter period as the

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parties shall agree (but shall not be obliged to do so thereafter) with a view to making arrangements and restructuring this transaction in such a manner as shall be lawful and as shall eliminate, prevent or avoid the circumstances giving rise to an obligation on the part of the Charterer to pay such material amount pursuant to Clause 9(a) or 9(f).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The provisions of Clause 8(i) shall apply, *mutatis mutandis*, to this Clause 9 (*Taxation*).

&nbsp;&nbsp;&nbsp;&nbsp;**10.REPRESENTATIONS AND WARRANTIES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer represents and warrants to the Owners that as at the date hereof and as at the Charter Commencement Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)(A) the Charterer is a corporation duly incorporated and validly existing in goodstanding under the laws of the Marshall Islands;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the Charterer Guarantor is a corporation duly incorporated and validly existing in goodstanding under the laws of Bermuda; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the Manager (provided that the Manager is an Affiliate of the Charterer) is a corporation duly incorporated and validly existing in goodstanding under the laws of Norway (or other relevant jurisdiction of incorporation or formation);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) has the power to carry on its business as such business is now being conducted and to own its property and assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)100% of the equity interests and voting powers of the Charterer have been issued in registered form and are fully paid and non-assessable and legal and beneficial ownership of such shares is held, directly or indirectly, by the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)each of the Charterer, the Charterer Guarantor, and the Manager (provided that the Manager is an Affiliate of the Charterer) has the power to execute, deliver and perform its obligations under this Agreement and each of the Operative Documents to which it is or is to be a party and the transactions contemplated by those Operative Documents, and all necessary action has been taken to authorise the execution, on its behalf by the relevant signatory thereto, the delivery and performance of the same and its obligations hereunder and thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)subject to the Legal Reservations, this Agreement and the Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party constitute its legal, valid, binding and enforceable obligations;

each Security Document to which the Charterer the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party does now or, as the case may be, will upon execution and delivery (and, where applicable, registration as provided for in that Security Document) confer the security it

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purports to confer over any assets to which such Security Document, by its terms, relates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)no third party has any Lien (except for Permitted Liens) over any asset to which a Security Document, by its terms, relates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)except for filing of documents with Bermuda Companies House in respect of the Charterer Guarantor, all Authorisations required or desirable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)to enable the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) lawfully to enter into, exercise its rights and comply with its obligations in the Operative Documents to which it is a party; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)to make the Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party and the transactions contemplated thereby valid, enforceable and admissible in evidence in its jurisdiction of incorporation and registration,

have been obtained or effected and are in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)no corporate action, legal proceeding or other procedure or step or creditors' process reasonably likely to have a Material Adverse Effect, has been taken, or, to the knowledge of the Charterer, threatened in relation to the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer); and none of the circumstances described in Clauses 18(k) and 18(l) applies to the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)none of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) has taken any corporate action nor have any other steps been taken or legal proceedings been started or threatened against it for its reorganisation, winding-up, dissolution or administration or for the appointment of a receiver, administrator, administrative receiver, trustee or similar officer of it or any or all of its assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)neither the Charterer nor the Charterer Guarantor is required to make any deduction for or on account of Tax from any payment that the Charterer or the Charterer Guarantor may make under this Agreement or any other Operative Document to which it is a party or otherwise in accordance with the terms of the relevant document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)neither the Charterer nor the Charterer Guarantor 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 Operative Document to which it is a party;

the entry into, execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this Agreement and the Operative Documents to which it is or is to be a

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party and the transactions contemplated thereby, by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) do not contravene or conflict in any material respect with (A) any Applicable Law applicable to it, (B) any agreement or instrument binding upon it, or any of its assets, (C) its constitutional documents, or (D) result in the creation or imposition of or oblige the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) to create any Lien on or over any of its undertaking, properties, assets, rights or revenues (other than any Permitted Lien);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)except for filing of documents with Bermuda Companies House in respect of the Charterer Guarantor, it is not necessary or desirable to ensure the legality, validity, enforceability, priority or admissibility in evidence of this Agreement or any of the Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party that any of them or any other instrument be filed, recorded, registered or enrolled in any court, public office or elsewhere in its jurisdiction of incorporation or registration or, except as notified in writing to and accepted by the Representative Owner and the Agent, that any stamp, registration or similar tax or charge be paid in its jurisdiction of incorporation or registration on or in relation to this Agreement or any of the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)no Default is outstanding or will result from execution of, or the performance by the Charterer, the Charterer Guarantor or the Manager of any transaction contemplated by this Agreement or the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)no other event or circumstance is outstanding which constitutes a default under any other agreement or instrument which is binding on the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) or to which the Charterer's, the Charterer Guarantor's or the Manager's (provided that the Manager is an Affiliate of the Charterer) assets are subject which has or is reasonably likely to have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)the Charterer Guarantor's audited consolidated financial statements for the financial year ended 2024 provided to the Representative Owner and the Security Agent (the "**Original Financial Statements**") were prepared in accordance with U.S. GAAP consistently applied and give a true and fair view of (if audited) or fairly represent in all material respects (if unaudited) its consolidated financial condition as at the end of, and consolidated results of operations for, the period to which they relate;

the Original Financial Statements give a true and fair view of its financial condition (consolidated, if applicable) and results of operations during the relevant financial year in all material respects;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)save as disclosed in writing to the Representative Owner prior to the date of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)all material information provided by or on behalf of the Charterer or the Charterer Guarantor on or before the date of this Agreement to the Owners, the Representative Owner, the Registered Owner and/or any Finance Party was accurate and not misleading in any material respect as at the date provided and all projections provided to the Owners, the Representative Owner, the Registered Owner and/or any Finance Party on or before the date of this Agreement have been prepared in good faith on the basis of assumptions which were reasonable at the time at which they were prepared and supplied; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)all other written information provided by the Charterer or the Charterer Guarantor (including its advisers) to the Owners, the Representative Owner, the Registered Owner and/or any Finance Party was true, complete and accurate in all material respects as at the date it was provided and is not misleading in any respect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)there has been no Material Adverse Effect since its date of incorporation or following the receipt by the Representative Owner and the Agent of an Annual Compliance Certificate from the Charterer Guarantor, since the date of the then latest Annual Compliance Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii)the execution by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) of this Agreement and other Operative Document to which it is a party constitute, and the exercise by it of its rights and performance of its obligations under each such documents will constitute private and commercial acts performed for private and commercial purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix)neither the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) nor any of its assets are entitled to any immunity from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement) in its jurisdiction of incorporation or registration and is subject to civil and commercial law with respect to its obligations under this Agreement and the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx)the Charterer has not entered into any deferred or conditional sale agreement with respect to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi)the Charterer has not provided any funds directly or indirectly (or any collateral capable of being transferred into funds) to any person so that such person assumes or guarantees the Charterer's payment obligations under this Agreement or as collateral therefor;

the Charterer has not entered into any arrangement with any third party which would allow or purport to allow that third party to claim the right to depreciate the Vessel;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii)no litigation, arbitration or administrative proceeding or other pending actions or proceedings or Environmental Losses before any court, governmental or administrative agency or arbitral body (including, but not limited to, investigative proceedings), in each case against the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) which, if adversely determined, might reasonably be expected to constitute a Material Adverse Effect have been started or, to the best of its knowledge and belief, threatened against the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii)each of the Charterer's, the Charterer Guarantor's or the Manager's (provided that the Manager is an Affiliate of the Charterer):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)irrevocable submission to the jurisdiction of the courts of England under the Operative Documents (other than the Charterer Account Charge and Onward Assignment) to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in respect of the Charterer only, irrevocable submission to the jurisdiction of the courts of Norway under the Charterer Account Charge and Onward Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)agreement that any Operative Documents to which the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party (other than the Charterer Account Charge and Onward Assignment) be governed by the laws of England;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)in respect of the Charterer only, that the Charterer Account Charge and Onward Assignment governed by Norwegian law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E)agreement not to claim any immunity to which it is or its assets may be entitled,

are legal, valid and binding under the laws of its jurisdiction of incorporation and registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv)subject to the Legal Reservations, any judgment obtained in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Marshall Islands in relation to the Mortgage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)Norway in relation to the Charterer Account Charge and Onward Assignment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)England in relation to the other Operative Documents to which it is a party,

will be recognised and be enforceable by the courts of the jurisdiction of incorporation and registration of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate

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of the Charterer), subject to any statutory or other conditions of such jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv)there are no Liens affecting the Vessel except the Permitted Liens;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi)the claims of the Owners, the Representative Owner or the Registered Owner against the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) under the Operative Documents are (and will remain) direct, general and unconditional obligations of the Charterer, the Charterer Guarantor or the Manager, as applicable, and rank at least *pari passu* with all its other present and future unsecured and unsubordinated payment obligations, except for obligations mandatorily preferred by law applying to companies and vessels generally;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii)no insolvency proceedings relating to the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) have been commenced against the Charterer or the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii)except as may already have been disclosed by the Charterer in writing to the Representative Owner and the Agent, the Charterer and its Environmental Representatives has:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)complied with all Environmental Laws to which it and the Vessel may be subject;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)obtained all Environmental Approvals required or desirable in connection with the Vessel and its business; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)complied with the terms of those Environmental Approvals; (xxxiii) except as may already have been disclosed by the Charterer in

writing to the Representative Owner and the Agent, none of the

Charterer or its respective Environmental Representatives have received notice of any Environmental Loss in respect of the Vessel which alleges that the Charterer, the Charterer Guarantor or the Manager is not in compliance with applicable Environmental Laws or Environmental Approvals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiv)except as may already have been disclosed by the Charterer in writing to the Representative Owner and the Agent, there are no Environmental Losses pending or threatened which are such that a first class operator of vessels such as the Vessel making all due enquiries and complying in all respects with its obligations under the ISM Code, ought to have known about;

&nbsp;&nbsp;&nbsp;&nbsp;except as may already have been disclosed by the Charterer in writing to the Representative Owner and the Agent, there has been no Release of Hazardous Materials by or in respect of the Vessel about which a first class operator of vessels such as the Vessel making all due enquiries and complying in all respects with its obligations under the ISM Code, ought to have known about;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxv)&nbsp;&nbsp;&nbsp;&nbsp;the Charterer is solely and absolutely entitled to the Security Assets over which it has or will create any Transaction Security pursuant to the Security Documents to which it is, or will be, a party and there is no agreement or arrangement under which it is obliged to share any proceeds of or derived from such Security Assets with any third party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxvi)each of the Charterer, the Charterer Guarantor and the Manager (as applicable) is in full compliance with the relevant parts of the ISM Code and ISPS Code which are required to be observed in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxvii)other than as notified to and agreed by the Representative Owner and the Agent in writing, there have been no amendments to any of the Insurances, the Initial Sub-charter, the Manager's Undertaking or the Management Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxviii)all Insurances required to be effected and maintained under this Agreement will be in full force and effect as of the Charter Commencement Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xl) subject to the Legal Reservations, it is not necessary under the laws of the jurisdiction of incorporation or registration of the Charterer, the Charterer Guarantor and/or the Manager:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in order to enable any Owner, the Representative Owner, the Registered Owner or any Finance Party to enforce its rights under any Operative Document to which the Charterer, the Charterer Guarantor and/or the Manager is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)by reason of the execution of any Operative Document or the performance by it of its obligations under any Operative Document,

that any Owner, the Representative Owner, the Registered Owner or any Finance Party should be licensed, qualified or otherwise entitled to carry on business in any such jurisdiction of incorporation or registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xli) none of any Owner, the Representative Owner, the Registered Owner or any of the Finance Parties will be deemed to be resident, domiciled or carrying on business in the jurisdiction of incorporation of the Charterer, the Charterer Guarantor or the Manager by reason only of the execution, performance and/or enforcement of any Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlii) in respect of the Vessel, the Initial Sub-charter is in full force and effect and the Charterer has obtained the Initial Sub-charterer's consent on the transaction contemplated by the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xliii) to the Charterer's knowledge, neither the Charterer or the Charterer Guarantor nor any of their Subsidiaries have breached Sanctions. Neither the Charterer nor the Charterer Guarantor, nor their Subsidiaries, nor any of their respective directors, officers or

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employees, nor to the Charterer's knowledge, any Affiliate, agent or employee (A) is a Restricted Party or (B) has received notice of or is aware of any claim, action, suit, proceeding or investigation against it with respect to Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xliv) neither the Charterer nor the Charterer Guarantor will directly, or in directly, use the proceeds of the Loan, or lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner, or other person: (A) to fund any activities or business of or with any person, or in any country or territory, that, at the time of such funding, is for, or for the benefit of, a Restricted Party; or (B) in any other manner that would result in a violation of Sanctions by any person (including any person participating in the Loan, whether as underwriter, investor, advisor or otherwise);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlv) none of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) is acting as trustee or agent in entering into the Operative Documents, except to the extent expressly provided in the Operative Documents or disclosed in writing to the Representative Owner and the Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlvi) each of the Charterer and the Charterer Guarantor has conducted and does itself conduct its business in compliance with all applicable anti-corruption, anti-bribery, AML Law and Sanctions (and to the extent that such business is conducted through third parties this representation is given to the Charterer's and the Charterer Guarantor's knowledge in respect to such third parties and their compliance with such laws);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlvii) there has been and there is no investigation, action, suit or proceeding by or before any court or Government Entity, authority or body or any arbitrator involving either the Charterer or the Charterer Guarantor with respect to any applicable anti-corruption, anti-bribery, AML Law and Sanctions and, to the best of each's knowledge, no such investigations, actions, suits or proceedings are threatened or contemplated against it, its Affiliates, directors, officers or employees or, to its knowledge, any of its agents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlviii) the Charterer will not permit the use or operation of the Vessel in any country or territory that at such time is the subject of Sanctions other than in compliance with relevant exemptions applicable to such country or territory at such time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xlix) the Warranty Rights in respect of the Vessel have expired under the respective agreements prior to the Charter Commencement Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;&nbsp;&nbsp;&nbsp;the Charterer has no Subsidiaries or employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(li) other than as expressly allowed under the Operative Documents, the Charterer's business is limited exclusively to the chartering in and chartering out of the Vessel and the transactions contemplated by the Operative Documents and matters incidental to them; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(lii) other than as expressly allowed under the Operative Documents the Charterer has not incurred any liabilities other than Taxes and

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ordinary costs and overhead expenses in each case incurred in connection with the business described in paragraph (li) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each Repeating Representation is deemed to be represented by the Charterer by reference to the facts and circumstances then existing on the Charter Commencement Date and on each Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Each Owner hereby represents and warrants to the Charterer that as at the date hereof and the Charter Commencement Date (subject to the qualifications contained in the opinions referred to in paragraph 2 of Part 1 of Schedule 2):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it is duly incorporated and validly existing under the laws of Japan and has the power to carry on its business as such business is now being conducted and to own its property and assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)its registered office and its Tax Residence is at the address specified in Clause 24(a)(iii)(A) and the jurisdiction specified therein respectively and it does not carry on any trade or business in the Marshall Islands through its branch or agency established in the Marshall Islands (unless a Tax Residence is deemed to exist under Applicable Laws solely as a result of the participation by that Owner in the transactions contemplated by the Operative Documents);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it has the power to execute, deliver and perform its obligations under this Agreement and each of the Operative Documents to which it is a party and all necessary corporate action has been taken to authorise the execution, delivery and performance of the same and its obligations thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)this Agreement and each Operative Document to which it is a party constitute legal, valid and binding obligations of that Owner enforceable in accordance with their terms, subject to the qualifications contained in the opinions referred to in paragraph 2 of Part 1 of Schedule 2;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this Agreement and the Operative Documents to which it is a party will not

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) contravene the laws of Japan to which it is subject or by which it or any of its property or assets is bound, (B) conflict with, or result in any breach of any of the terms of, or constitute a default under, any agreement (including any Tokumei Kumiai Agreement) or other instrument or document to which it is a party or is subject or by which it or any of its property or assets is bound, (C) contravene or conflict with any provision of its Articles of Incorporation, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)result in the creation or imposition of or oblige it to create any Lien on or over the Vessel or over any of its undertaking, properties, assets, rights or revenues (otherwise than as created or permitted by the Operative Documents or any Permitted Lien);

except for the routine ex post facto reporting to the Minister of Finance of Japan as required under the Foreign Exchange and Foreign Trade Law of Japan, every consent of, or registration with, or declaration or notice to, every Government Entity in Japan, if any,

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required by it to authorise, or required by it in connection with, the execution, delivery, validity, priority, enforceability or effectiveness of this Agreement and the other Operative Documents or the performance by it of its obligations under this Agreement and the other Operative Documents has been duly obtained or made and is in full force and effect and there has been no default in the observance or performance of any of the conditions or restrictions (if any) imposed on, or in connection with, any of the same;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)it is not necessary or desirable to ensure the legality, validity, enforceability or admissibility in evidence in Japan of this Agreement or any of the Operative Documents that any of them or any other instrument be filed, recorded, registered or enrolled in any court, public office or elsewhere in Japan or, so long as the Operative Documents are executed and delivered outside Japan, that any stamp, registration or similar tax be paid in Japan on or in relation to this Agreement or any of the Operative Documents to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)no Relevant Party Event related to it has occurred and is continuing nor any other event or circumstance has occurred and is continuing which, would (with the expiry of a grace period, the giving of any notice or a combination of the foregoing or the making of any determination by the Charterer) pursuant to Clause 20 (*Relevant Party Event and Charterer's Rights*) constitute a Relevant Party Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)it is not in default under any agreement to which it is a party or by which it may be bound, it is not a party to any agreement (including, but not limited to, any Tokumei Kumiai Agreement) or instrument or subject to any restriction in its Articles of Incorporation or other corporate restriction which individually or in the aggregate are likely to affect adversely its ability to perform its obligations under this Agreement or any other Operative Document to which it is a party, and to the best of its knowledge and belief there are no pending or threatened actions or proceedings before any court, governmental or administrative agency or arbitral body, which actions or proceedings could have a material and adverse effect on its condition, business or operations or which could impair its ability to perform its obligations under this Agreement or any of the other Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)neither it nor any of its assets is entitled to any immunity from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement).

The rights and remedies of the Owners in relation to any misrepresentation or breach of warranty on the part of the Charterer, the Charterer Guarantor or the Manager and the rights and remedies of the Charterer in relation to any misrepresentation or breach of warranty on the part of any Owner shall not be prejudiced by any investigation by or on behalf of the Owners into the affairs of the Charterer, the Charterer Guarantor or the Manager or by the Charterer, the Charterer Guarantor or the Manager into the affairs of the relevant Owner by the performance of this Agreement or any other Operative Document or by any other act or thing which may be done or omitted to be done by the Owners, the Manager, the Charterer or the

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Charterer Guarantor under this Agreement and which would or might, but for this Clause 10(d), prejudice such rights and remedies.

&nbsp;&nbsp;&nbsp;&nbsp;**11.GENERAL UNDERTAKINGS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer undertakes to the Owners that from the Charter Commencement Date until the date of performance in full by the Charterer of all of its obligations due or to become due under this Agreement or any other Operative Document, at its own cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the entry into, execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this Agreement and the Operative Documents to which it is or is to be a party and the transactions contemplated thereby, by the Charterer, the Charterer Guarantor and/or the Manager (provided that the Manager is an Affiliate of the Charterer) will not contravene or conflict in any material respect with (A) any Applicable Law applicable to it, (B) any agreement or instrument binding upon it, the Charterer Guarantor's Subsidiaries or any of their respective assets, or (C) its or any of its Subsidiaries' constitutional documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)no Default is or will be outstanding or will result from execution of, or the performance by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) of any transaction contemplated by this Agreement or the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the execution by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) of this Agreement and other Operative Document to which it is a party will constitute, and the exercise by it of its rights and performance of its obligations under each such documents will constitute private and commercial acts performed for private and commercial purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)neither the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) nor any of its assets is or will be entitled to any immunity from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement) in its jurisdiction of incorporation or registration and is subject to civil and commercial law with respect to its obligations under this Agreement and the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)subject to any Legal Reservations, the Charterer's, the Charterer Guarantor's and/or the Manager's (provided that the Manager is an Affiliate of the Charterer):

irrevocable submission to the jurisdiction of the courts of England under the Operative Documents (other than the Charterer Account Charge and Onward Assignment) to which the Charterer, the Charterer Guarantor and/or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)in respect of the Charterer and the Charterer Guarantor only, irrevocable submission to the jurisdiction of the courts of Norway under the Charterer Account Charge and Onward Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)agreement that the Mortgage is expressed to be governed by the laws of the Marshall Islands and each of the other Operative Documents to which the Charterer, the Charterer Guarantor and/or the Manager (provided that the Manager is an Affiliate of the Charterer) is a party be governed by English law or Norwegian law; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E)agreement not to claim any immunity to which it is or its assets may be entitled

are, and will remain to be, legal, valid and binding under the laws of its jurisdiction of incorporation and registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)subject to any Legal Reservations, any judgment obtained in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Marshall Islands in relation to the Mortgage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)Norway in relation to the Charterer Account Charge and Onward Assignment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)England in relation to the other Operative Documents to which it is a party,

will be recognised and be enforceable by the courts of the jurisdiction of incorporation and registration of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer), subject to any statutory or other conditions of such jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)it is not, and will not be, necessary under the laws of the jurisdiction of incorporation or registration of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in order to enable any Owner, the Representative Owner, the Registered Owner, or any Finance Party to enforce its rights under any Operative Document to which the Charterer, the Charterer Guarantor and/or the Manager is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)by reason of the execution of any Operative Document or the performance by it of its obligations under any Operative Document,

that the Owners, the Representative Owner, the Registered Owner or any Finance Party should be licensed, qualified or otherwise entitled to carry on business in any such jurisdiction of incorporation or registration;

none of the Owners, the Representative Owner, the Registered Owner or any Finance Party will be deemed to be resident, domiciled or

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carrying on business in the jurisdiction of incorporation or registration of the Charterer or the Charterer Guarantor by reason only of the execution, performance and/or enforcement of any Operative Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)each of the Charterer and the Charterer Guarantor shall not, and each of them shall (A) ensure that their respective directors, officers, employees, agents, or representatives shall not and (B) use reasonable endeavours to ensure any Sub-charterer shall not, take any action or make any omission that results, or is reasonably likely to result, in the Charterer, the Charterer Guarantor, and Relevant Party or any Finance Party becoming a Restricted Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)neither the Charterer nor the Charterer Guarantor will, directly or indirectly, use the proceeds of the transaction contemplated by the Operative Documents, lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner or other person or take any other steps (a) to fund any activities of or business with any Restricted Party, (b) to fund any activities or business in any country or territory that, at the time of such funding, is the subject of Sanctions or (c) to take any action in any other manner that will result in a violation by any person (including any Finance Party or any other person participating in the transaction, whether as underwriter, advisor, investor or otherwise) of Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)the processing of any transaction by any Owner, the Representative Owner, the Registered Owner or any Finance Party in accordance with its instructions will not breach any AML Law, Sanctions or any Applicable Law relating to counter-terrorism financing or economic and trade sanctions applicable to it, and each of the Charterer and the Charterer Guarantor will comply with (and to ensure that each of its Subsidiaries complies) in all respects with all applicable AML Law and Sanctions. Each of the Charterer and the Charterer Guarantor shall be acting for its own account in relation to the performance and discharge of its obligations and liabilities under the Operative Documents and the transactions and other arrangements effected or contemplated by the Operative Documents to which it is a party and the foregoing shall not involve or lead to a contravention of AML Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)no proceeds of the Loan shall be made available by the Charterer and the Charterer Guarantor, directly or indirectly, to or for the benefit of a Restricted Party, nor shall they otherwise be applied in a manner or for a purpose prohibited by Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)each of the Charterer and the Charterer Guarantor shall procure that no sum paid to the Finance Parties or the Owners in connection with the Operative Documents shall, directly or indirectly, to the actual knowledge of the Charterer or the Charterer Guarantor be derived from transactions prohibited by Sanctions;

it shall, and shall use its reasonable endeavours to procure that the Manager shall, inform each of the Representative Owner and the Registered Owner of any law in the Flag State in connection with the flagging, registration or operation of the Vessel compliance with

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which is necessary for any Relevant Party to perform its obligations under the Operative Document or is otherwise required by any Applicable Law in the Flag State;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)it will not permit the use or operation of the Vessel in any country or territory that at such time is the subject of Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it will limit its business exclusively to the chartering of the Vessel and the transaction contemplated by the Operative Documents and matters incidental to them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)other than as expressly allowed under the Operative Documents, the Charterer will not incur any liabilities other than Taxes and ordinary costs and overhead expenses or commit to any further investments or activities, in each case other than incurred in connection with the business described in paragraph (xvi) above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)each of the Charterer and the Charterer Guarantor shall ensure that all agreements and transactions entered into between them and their Affiliates shall be entered into and made on arm's length terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer further undertakes to the Owners that from the date of this Agreement until the date of performance in full by the Charterer of all of its obligations due or to become due under this Agreement or any other Operative Document, at its own cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) will obtain or cause to be obtained, make, maintain in full force and effect, promptly renew from time to time and comply in all material respects with the terms, conditions, Authorisation and restrictions (if any) imposed on the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) under, or in connection with, every consent or regulation of any Relevant Authority or Government Entity or required by Applicable Law and do, or cause to be done, all other filings, acts and things which may from time to time be required under Applicable Law for the continued due performance of all its obligations under, for the legality, validity, enforceability or admissibility in evidence of, the Operative Documents and to enable the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) to carry on its business;

each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) will continue to have the power to carry on its business as such business is now being conducted and to own its property and assets and it will obtain or cause to be obtained, make, maintain in full force and effect and comply in all material respects with the conditions, Authorisation and restrictions (if any) imposed on the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) in, or in connection with, every consent, and do, or cause to be done, all other acts and things which may from time to time be necessary to be done by the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is

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an Affiliate of the Charterer) under the Applicable Laws (other than the laws of Japan) or its constitutional documents to authorise the execution, delivery and performance of the Operative Documents to which it is or will be a party and the transactions contemplated thereby and for the continued due performance of all the obligations of the Owners as owners of the Vessel under, or for the legality, validity, enforceability, or admissibility in evidence of, each of the Operative Documents to which it is or will become a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)immediately upon but in any event no later than three (3) Business Days from the Charterer obtaining knowledge or becoming aware of the existence of the occurrence of any Default or any Event of Default, the Charterer will advise the Representative Owner and the Agent in writing thereof and of the action (if any) the Charterer is taking or proposing to take with respect thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)neither the Charterer nor the Charterer Guarantor will provide funds directly or indirectly (or any collateral capable of being transferred into funds) to any person so that such person will assume or guarantee all or any part of the Charterer's payment obligations under this Agreement or as collateral therefor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)neither the Charterer nor the Charterer Guarantor will enter into any deferred or conditional sale agreement with respect to the Vessel or in any manner deliver, transfer, relinquish possession of, or dispose of, the Vessel or this Agreement to any person without the written consent of the Representative Owner and the Agent (acting on the Lenders' instructions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)neither the Charterer nor the Charterer Guarantor will enter any arrangement with any third party which would allow or purport to allow that third party to claim the right to depreciate the Vessel;

each of the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) will duly perform and observe those provisions of this Agreement and the other Operative Documents to which it is a party and ensure that this Agreement and other Operative Documents to which it is a party constitutes its legal, valid, binding and enforceable obligations;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)the claims of the Owners, the Representative Owner, the Finance Parties and the Registered Owner against the Charterer, the Charterer Guarantor and the Manager (provided that the Manager is an Affiliate of the Charterer) under the Operative Documents to which it is a party will rank at least *pari passu* with all present and future claims of all of the Charterer's, the Charterer Guarantor's or the Manager's (provided that the Manager is an Affiliate of the Charterer) unsecured and unsubordinated creditors save those whose claims are preferred by any bankruptcy, insolvency, liquidation or other similar laws of general application;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)each of the Charterer and the Charterer Guarantor will comply with all Applicable Laws and Sanctions by which it or its assets are bound in connection with the Vessel and the transactions contemplated by the Operative Documents and otherwise comply in all Applicable Laws and Sanctions binding on it or its assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)it will ensure that all financial and other information which is furnished in writing by it, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) or on its behalf under or in connection with this Agreement or any other Operative Documents to which it is a party will be true and not misleading in any material respect and will not omit any material fact or consideration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)none of the Charterer, the Charterer Guarantor or the Manager (provided that the Manager is an Affiliate of the Charterer) will make any material change to the nature of its business from that carried on at the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)it shall at its own cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)obtain, comply with, renew and do all that is necessary to maintain in full force and effect; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)supply certified copies to the Representative Owner and the Agent of,

any Authorisation required under any Applicable Law of its jurisdiction of incorporation or registration to enable it, the Charterer Guarantor or the Manager to enter into, exercise its rights or perform its obligations under the Operative Documents and to ensure the legality, validity, enforceability or admissibility in evidence in its jurisdiction of incorporation or registration of any Operative Document to which it is a party the transactions contemplated thereby or any Transaction Security which it, the Charterer Guarantor or the Manager purports to create;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)each of the Charterer and the Charterer Guarantor shall, and it shall use reasonable endeavours to procure that the Manager shall comply in all respects with all laws to which it may be subject;

it shall not enter into any amalgamation, demerger, merger, consolidation, or corporate reconstruction, otherwise than under an intra-group re-organisation on a solvent basis or other transaction

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agreed by the Representative Owner and the Agent (acting on the instructions of the Majority Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)each of the Charterer and the Charterer Guarantor shall not, and it shall procure that the Manager shall not, enter into a single transaction or a series of transactions (whether related or not) to sell, charter, lease, transfer or otherwise dispose of or create a Lien or permit to subsist a Lien (other than a Permitted Lien or with the written consent of the Agent (acting on the instructions of the Majority Lenders and the Representative Owner)) to be created over the Insurances or any Security Assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it will procure that there will be no Change of Control Event without prior written consent of the Representative Owner and Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)the Charterer shall not (and shall procure that the Charterer Guarantor shall not):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)declare, make or pay any dividend, charge, fee or other distribution (or interest on any unpaid dividend, charge, fee or other distribution) (whether in cash or in kind) on or in respect of its shares (or any class of its shares);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)repay or distribute any dividend or share premium reserve;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)redeem, repurchase, defease, retire or repay any of its share capital or resolve to do so,

in the event that an Event of Default has occurred and is continuing or would occur as a result of such dividend or distribution or other payments set out above, or if, under Applicable Law and accounting principles in its jurisdiction of incorporation or registration, it is not entitled to do so;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)it shall notify, and shall use reasonable endeavours to procure that the Manager shall notify, the Representative Owner forthwith by email thereafter confirmed by letter of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any requirement or recommendation made by any insurer or by any competent authority which is not, or cannot be, complied with in accordance with its terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Environmental Loss made against it or in connection with the Vessel or its operation or any presence of Hazardous Material in contravention of Environmental Laws and the Charterer shall, and shall procure that the Manager shall, keep the Representative Owner and the Agent advised in writing on a regular basis and in such detail as Representative Owner or the Agent shall require;

any other event which occurs in connection with the Vessel which has or is reasonably likely to have a Material Adverse Effect; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the details of any legal, arbitration or administrative action involving the Charterer, the Vessel or any Operative Documents which are current, threatened or pending against the Charterer and which might, if adversely determined, have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)the Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)obtain and maintain throughout the Charter Period an Inventory of Hazardous Material in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)provide the Representative Owner and the Agent with a copy of the Inventory of Hazardous Materials for the Vessel and each update to, or amendment of, such Inventory of Hazardous Materials from time to time during the Charter Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)maintain a safe, sustainable and socially responsible policy with respect to the dismantling of the Vessel and the Vessel being taken out of service; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)ensure that, if during the Charter Period, the Vessel is sold for scrapping or sold to an intermediary with the intention of being scrapped, the Vessel is recycled at a recycling yard which conducts its recycling business in a socially and environmentally responsible manner, in accordance with the provisions of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.the Hong Kong Convention for the Safe and Environmentally Sound Recycling of Ships 2009 (if the Vessel is non-EU flagged);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.the International Maritime Organisation's Guidelines for the development of the Inventory of Hazardous Materials (Resolution MEPC.269(68)) (if the Vessel is non-EU flagged);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III.Regulation (EU) No. 127/2013 adopted by the EU Parliament and the Council of the European Union on 20 November 2013 (if the Vessel is EU flagged);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IV.Regulation (EU) No. 1275/2013 adopted by the EU Parliament and the Council of the European Union on 20 November 2013 (as it forms part of the domestic law of the United Kingdom by virtue of the 2018 Withdrawal Act) (if the Vessel is UK flagged); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;V.any other applicable laws or regulations relating to ship scrapping or ship recycling.

In this Clause 11(b)(xx), "**Inventory of Hazardous Material**" means, in relation to the Vessel, the inventory of any material or substance which is liable to create hazards to human health and/or the environment issued by the Vessel's Classification Society which includes a list of any and all

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materials known to be potentially hazardous utilised in the construction of the Vessel along with their respective location and approximate quantities, also referred to as List of Hazardous Materials.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer undertakes to the Owners that during the Charter Period and at all times until the date of performance in full by the Charterer of all of its obligations due or to become due under this Agreement or any other Operative Document:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it will remain to be a corporation duly incorporated and validly existing in goodstanding under the laws of the Marshall Islands;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)it will not, and shall use reasonable endeavours to procure that the Manager shall not, create or permit to exist any Lien on or in respect of the Vessel, Parts or other Security, title thereto, or any interest therein or, to the extent such systems are owned by it, its management, administrative, monitoring/management or information systems used in relation to the Vessel other than Permitted Liens and without prejudice to the foregoing or any other provisions hereof, it will make payment of claims, pay and discharge, or cause to be paid and discharged, when due and payable, all debts, damages, claims and liabilities (other than those which are being contested in good faith by appropriate proceedings (and for payment of which adequate reserves have been provided and are continued to be available)) which have given or may give rise to any Lien (other than a Permitted Lien) over or claims enforceable against the Vessel and will take reasonable steps to prevent a threatened arrest of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it will not do or permit to be done any act or thing which will jeopardise the Registered Owner's title in and to the Vessel or the Owners' or the Finance Parties' interest in the Vessel, and on all occasions when the ownership of the Vessel are relevant, make clear to third parties that such title is held by the Registered Owner subject to the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)it has not and will not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)pledge or grant any Security over the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)pledge the credit of the Owners, the Registered Owner, the Owner Parent or the Finance Parties for any maintenance, service or repairs to, or replacement or overhaul of, the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)do or permit to be done any act or thing which might jeopardise the rights and interests of the Owners, the Registered Owner and/or the Security Agent in respect of the Vessel; and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)omit or permit to be omitted to be done any act the omission which might jeopardise that title and those rights and interests,

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without the Owners' and the Security Agent's consent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)it will not, and will procure that the Manager will not (or if the Manager is not an Affiliate of the Charterer, use reasonable endeavours to procure that the Manager will not), from the Charter Commencement Date, put the Vessel into the possession of any person for the purpose of work being done upon her beyond the amount of five million Dollars (US$5,000,000) (or equivalent), other than for classification or scheduled dry docking unless such person shall have given an undertaking to the Security Agent not to exercise any Lien on the Vessel or Insurances for the cost of that work or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)it will promptly do all acts and things which the Owners or the Security Agent may reasonably require to evidence the interest of the Owners, the Registered Owner and/ or the Security Agent in the Vessel, or to protect that interest against the claims of any person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)it will not engage in any business other than the direct or indirect ownership, operation and chartering of the Vessel and any business incidental thereto, nor shall it incur any Financial Indebtedness other than the Financial Indebtedness contemplated by the Operative Documents. The Charterer shall not create or permit to subsist any Lien over any of its assets other than Permitted Liens;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)it will procure that the Mortgage is recorded on the Charter Commencement Date and will procure that the Mortgage continues to be recorded as a first preferred mortgage on the shipping registry of the Marshall Islands;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)it will keep or cause to be placed and kept prominently displayed in the chart room and the Master's cabin of the Vessel a framed notice thereof, in plain type, in which the area of print shall not be less than 6 inches wide and 9 inches long, reading as follows:

![image_16.jpg](image_16.jpg)"NOTICE OF MORTGAGE

Un er t e terms o t e sai Mortgage ne1 er t e Reg1stere Owner nor any Charterer nor the Master of this Vessel nor any other person has any right, power or authority to create, incur or permit to be imposed upon this Vessel any lien whatsoever other than for crew's wages and salvage."

Additionally, if required by the Owners, a separate framed notice (in the same font and size as the Notice of Mortgage) shall be displayed with the following text:

"This Vessel is owned by JLPS SHIP INVESTMENT MARSHALL 10 Co. and is subject to an instalment sale agreement from JLPS SHIP INVESTMENT MARSHALL 10 Co. in favour of JPV No. 25 Co., Ltd. and JPV No. 26 Co., Ltd. as owners and a bareboat charter agreement from JPV No. 25 Co., Ltd. and JPV No. 26 Co., Ltd. as

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owners and JPV No. 25 Co., Ltd. as representative owner in favour of Flex LNG Resolute Limited as charterer."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)it will at its own cost, promptly register, file, record or enrol any Operative Document with any court or authority, or public office, pay any stamp, registration or similar tax payable in respect of any Operative Document, give any notice or take any other step which, in the reasonable opinion of the Owners and the Security Agent, is or has become necessary or desirable for any Operative Document to be valid, legal, enforceable or admissible in evidence or to ensure or protect the priority of the Transaction Security;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)it shall not take any action, enter into any document or agreement or omit to take any action or to enter into any document or agreement which would, or could reasonably be expected to, cause any Insurances, the Management Agreement or any Sub-charter to cease to remain in full force and effect or be terminated and shall use all reasonable endeavours to procure that each other party to any Insurances, the Management Agreement or any Sub-charter does not take any action, enter into any document or agreement or omit to take any action or to enter into any document or agreement which would, or could reasonably be expected to, cause any the Insurances, the Management Agreement or any Sub-charter to cease to remain in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)it shall procure that the proceeds from a Total Loss of the Vessel shall be applied in accordance with Appendix B of the Security Assignment. For and so long as the Charterer holds any such proceeds as aforesaid, it shall do so on trust for the Owners and the Security Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)it will from time to time if requested by the Representative Owner or the Agent (acting reasonably) provide the requesting party with evidence in form and substance satisfactory to that party that it remains in good standing; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it shall deliver to the Representative Owner and the Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)on 31 December of the year of Delivery and of each year following Delivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)upon the Vessel no longer being subject to a Sub-charter; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)upon the occurrence of an Event of Default,

two (2) valuations of the Vessel (each from an Approved Valuer) showing its market value provided that the Charterer shall not be obliged to deliver more than one set of two valuations in any 365-day period unless an Event of Default has occurred which is continuing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall pay and discharge all Taxes imposed upon it or its assets within the time period allowed without incurring penalties unless and only to the extent that:

such payment is being contested in good faith;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)adequate reserves are being maintained for those Taxes and the costs required to contest them; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)such payment can be lawfully withheld and failure to pay those Taxes does not have or is not reasonably likely to have a Material Adverse Effect.

The Charterer shall not change its residence for Tax purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Each Owner hereby undertakes and agrees with the Charterer that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it shall not create or permit to exist any Owner Lien on or with respect to the Vessel or Parts, title thereto or any interest therein and that it will promptly, at its own expense, take such action as may be necessary duly to discharge any such Owner Lien;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)unless and until the Owners have given a notice of termination in accordance with Clause 19(b)(i) or an Event of Default is continuing, the Charterer shall not be disturbed or interfered with in its quiet, peaceful and continuing possession, use and enjoyment of the Vessel due to any act or failure to act on the part of any Relevant Party or any person claiming through or under any Relevant Party (other than a Finance Party); provided always that no Relevant Party shall be liable to the Charterer or any other person for any interruption or disturbance to the Charterer's or such other person's quiet, peaceful use, or continued enjoyment of the Vessel as a result of (A) a defect in the Registered Owner's ownership of or title to the Vessel as transferred to the Registered Owner by the Charterer, (B) any act or failure to act on the part of the Charterer, the Manager or such other person (which act or failure itself gave rise to or caused such interruption or disturbance) or (C) compliance by any Relevant Party with any Applicable Law, provided that if any Relevant Party becomes aware that there has been or there is pending a change in any Applicable Law which would result in any such interruption or disturbance to the Charterer's or such other person's quiet, peaceful use, or continued enjoyment of the Vessel, the Representative Owner shall immediately notify the Charterer of the nature of such change or pending change;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it is and will continue to be a majority owned subsidiary of the Owner Parent and has and will limit its business and activities to the transactions contemplated or permitted by the Operative Documents and the Tokumei Kumiai Agreements and matters incidental thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)it shall not have a Tax Residence in any country other than Japan and shall not carry on any trade or business in the Marshall Islands through its branch or agency established in the Marshall Islands (unless a Tax Residence is deemed to exist under the Applicable Laws solely as a result of the participation by it in the transactions contemplated in the Operative Documents);

it will obtain, make and maintain in full force and effect, promptly renew from time to time and comply with the terms of all consents, which may from time to time be required under Applicable Law in Japan;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)it will not take any actions that would result in the termination or cancellation of the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)it will maintain its existence as corporation organised and existing under the laws of its jurisdiction of incorporation in compliance with all Applicable Law of its jurisdiction of incorporation and will not, without the prior written consent of the Charterer and the Agent (acting on the instructions of all the Lenders), make or consent to any amendment or change in any material respect to its articles of incorporation or any other constitutional documents, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)it will comply with all Applicable Law in the jurisdiction of its incorporation binding on it or any of its property and obtain from time to time and, at its own cost and expense, maintain in full force and effect and, when necessary, renew all Authorisations of or registrations or filings with or exemptions by any Governmental Entity in the jurisdiction of its incorporation and all notarisations of any person and take all actions which may at any time be required, advisable or otherwise reasonably required by the Charterer under Applicable Law in the jurisdiction of its incorporation in order to enable it to perform its obligations under the Operative Documents to which it is or will be a party and to ensure the validity, enforceability or admissibility in evidence thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)it will comply with and perform all the obligations expressed to be assumed by it in each Operative Document to which it is a party in accordance with the terms thereof and with all Applicable Laws of its state of incorporation applicable to it in connection with the transactions contemplated by the Operative Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)it will notify the Charterer promptly after becoming aware of the occurrence of any Relevant Party Event or Acceleration Event that is not attributable to any Overriding Cause and provide the Charterer with the details of any steps it is taking, or proposes to take, in order to remedy or mitigate the effect of such any Relevant Party Event or any Acceleration Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)it will not amend, vary, modify, waive or supplement or novate or consent to the amendment or supplement to or any variation, waiver or modification of or any novation of any of the Operative Documents to which it is a party without the prior written consent of the Charterer and the Agent;

except as contemplated or permitted by the Operative Documents, it will not sell, lease, mortgage, charge or otherwise dispose of, directly or indirectly create, incur, assume or permit or cause to exist any Owner Lien over, the Vessel, the Security Assets or the Insurances, or any of its rights or interests in or under any of the Operative Documents to which it is a party (other than with respect to any Excluded Property) or purport to do so or give any consents pursuant to or in accordance with any of the Operative Documents to which it is a party to any person to any sale, lease, mortgage, charge, Lien or disposal of such person's rights or interests in or under any of the Operative Documents to which it is a party (other than with respect

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to any Excluded Property) without the prior written consent of the Charterer and the Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)without prejudice to the provisions of Subclause (xii) above, it will inform the Charterer promptly upon becoming aware of any Owner Lien which may be created or may arise over or in respect of the Vessel, the Security Assets or the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)it will promptly inform the Charterer after becoming aware of the institution or commencement of any dispute, litigation, administrative or other proceedings before any judicial, administrative, arbitration or government authority which is likely to have a Material Adverse Effect on its ability to perform its obligations under the Operative Documents to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)it undertakes to remain a resident in Japan for Japanese tax purposes and not a tax resident in any other jurisdiction, save where any other tax residency is deemed to be established by an Applicable Law as a consequence of the entry into and performance of the Operative Documents or the transactions contemplated thereby;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)it shall promptly pay or procure that there are promptly paid and shall procure that the Registered Owner promptly pays or procure that there are promptly paid, when due and payable, all licence and registration fees and all Taxes of any nature (together with any penalties, fines or interest thereon) assessed and demanded by any government or any revenue authority of its State of Incorporation upon or with respect to the Vessel provided that, in respect of any fees and Taxes in relation to which the Owners or the Registered Owner are entitled to an indemnity by the Charterer or any other party, the Owners or, as the case may be, the Registered Owner, shall have been fully indemnified; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)it shall cooperate in good faith, and procure the Registered Owner's good-faith cooperation, with the Charterer and take any action reasonably required by the Charterer, in each case in order for the Charterer to comply with the obligations set forth in Clauses 11(f)(i) and 11(f)(ii).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)at its own cost, assume or procure the assumption of the liabilities and responsibilities of the Owners and the Registered Owner under the Emission Legislation, and provide a duly executed and, if required by any Owner, notarised and apostilled original of the EU-ETS Mandate Letter and take such action for such EU-ETS Mandate Letter to be submitted to and recorded by the relevant administering authority;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)comply with all Emissions Legislation applicable to it (including reporting thereunder), and implement procedures to monitor compliance with and to prevent liability under such Emissions Legislation;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)![image_17.jpg](image_17.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)![image_18.jpg](image_18.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)![image_19.jpg](image_19.jpg)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)whenever requested by the Representative Owner, promptly provide to the Representative Owner particulars of all and any outstanding charges due or collectable by the relevant entities charged with administering compliance with Emissions Legislation applicable to it or in respect of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)pay or cause to be paid all amounts required to be paid by it, any Owner or the Registered Owner in respect of the Vessel arising out of or in connection with the Emissions Legislation, and the Charterer will promptly, and in any event within five (5) Business Days of demand, indemnify each Owner and the Registered Owner for any and all amounts required to be paid by the Owners or the Registered Owner in connection with the Emissions Legislation in respect of the Vessel, together with (i) all losses, costs and expenses suffered or incurred by the Owners and the Registered Owner in connection with compliance by them with the Emissions Regulations in respect of the Vessel, and&nbsp;&nbsp;&nbsp;&nbsp;(ii) any&nbsp;&nbsp;&nbsp;&nbsp;penalties, charges or other amounts levied against any Owner or the Registered Owner due to any breach by the Charterer of its obligations under this Clause ll(f).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The Charterer shall procure that the Charterer Guarantor (i) shall maintain its listing on the New York Stock Exchange or any other reputable exchange

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agreed by the Owners and the Agent (acting on the instructions of all the Lenders) and (ii) shall not delist from such exchange without the prior written consent of the Owners and the Agent (acting on the instructions of all the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;**12.REGISTRATION, POSSESSION, SUB-CHARTERING AND MANAGEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer shall maintain and cause to be maintained the Vessel as permanently registered with the shipping registry of the Marshall Islands and shall operate the Vessel always under the flag of the Marshall Islands, and not make or cause to be made registration of the Vessel or its bareboat chartering in any jurisdiction other than the Marshall Islands, without the prior written consent of the Representative Owner and the Agent (acting on the instructions of all the Lenders). Any change in flag will be at no cost and expense, and should not result in any increased risk, to the Owners, the Registered Owner or the Finance Parties. Notwithstanding the foregoing, the use of any flag agreed by the Representative Owner and Agent will be on the condition that the inspections for the Vessel are, and will continue to be, undertaken by the Classification Society.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In relation to any sub-chartering of the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)subject to Clause 12(b)(ii) below, the Charterer may not sub-let or sub-charter the Vessel other than pursuant to a Sub-charter with a Sub-charterer or relinquish possession of the Vessel for any period unless the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of all the Lenders) has been obtained;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Charterer has entered into the Initial Sub-charter (and in relation therewith, each of the Owners, the Registered Owner and the Security Agent acknowledges that it has reviewed the Initial Sub-charter and is satisfied with the terms and provisions therein); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)subject as provided in this Clause 12(b), the Charterer undertakes that the Vessel shall not be subject to any charterparty or contract of employment prior to the scheduled expiry of the Initial Sub-Charter in accordance with its terms except (A) this Agreement, (B) the Initial Sub-charter or (C) any replacement Sub-charter with any replacement Sub-charterer.

Until the end of the Charter Period, each of the Charterer and the Manager shall notify the Representative Owner, the Registered Owner and the Agent promptly in writing of the levy of any statutory right or distress on the Vessel or her arrest, detention, seizure, condemnation as prize, or other claims or action otherwise taken against the Vessel or Compulsory Acquisition or requisition for hire or use and (save in the case of Compulsory Acquisition or requisition for hire or use) obtain her release within twenty (20) days unless contested in good faith, with an additional thirty (30) days to procure the discharge, and a further thirty (30) days to so procure where the Charterer or the Charterer Guarantor demonstrates to the satisfaction of the Representative Owner and the Agent (each acting reasonably) that the Charterer or the Charterer Guarantor, as the case may be, continues to contest such arrest, attachment, levy or detention in good faith.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer undertakes that it will not accept advance payment from any Sub-charterer for any amount in excess of one month's charter hire under the relevant Sub-charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)No delivery, transfer or other relinquishment of possession of the Vessel shall in any way discharge or diminish any of the Charterer's obligations to the Owners and the Representative hereunder or the rights of the Owners and the Representative Owner under the Operative Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)In the event that the Vessel is chartered or let pursuant to Clauses 12(b) to 12(e):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Charterer shall always remain primarily liable with respect to its obligations hereunder, including without limitation, the obligation to pay the Charter Hire and the obligations with respect to the use, operation, maintenance, custody and insurance and the Owners, the Registered Owner and the Finance Parties shall not be under any obligations or liability under any Sub-charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)with the exception of the Initial Sub-charter, which shall be subject to the terms of the Quiet Enjoyment Letters, the relevant Sub-charter or letting shall be an operating lease and always be subject and subordinate to this Agreement and the rights of the Owners and the Representative Owner hereunder and the Finance Parties under the other Operative Documents and therefore, any termination of this Agreement pursuant to any provision hereof will result in a termination of any Sub-charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)neither the Owners nor the Finance Parties shall be obliged to enforce against any Sub-charterer any term of any Sub-charter, or to make any enquiries as to the nature or sufficiency of payment received by the Owners or the Finance Parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the term of each Sub-charter shall not extend beyond the Charter Period unless the Charterer has exercised its option to purchase the Vessel under Clause 21(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)no Sub-charter shall be subject to a purchase option by the Sub-charterer or any other person unless the Charterer has exercised its option to purchase the Vessel under Clause 21(a);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)an assignment by the Charterer of the Vessel's earnings and requisition compensation under the Sub-charter shall be provided in favour of the Owners; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)an assignment of the Charterer's interests under the Initial Sub-charter or any replacement Sub-charter, with acknowledgement to the notice of assignment of the Sub-charterer shall be procured by the Charterer (on a best efforts basis in respect of any Sub-charter other than the Initial Sub-charter where it shall be a requirement).

At all times, the Charterer shall advise the Representative Owner and the Security Agent of any Sub-charter Breach of the terms of any Sub-charter of which the Charterer becomes aware, and upon the occurrence of any such event, the Representative Owner and the Security Agent shall be

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(acting on the instructions of the Majority Lenders) entitled (but not obliged) to require that the Charterer exercises all of its rights under any Sub-charter including, where applicable, the termination of such Sub-charter in respect of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)In respect of the management of Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)the Charterer shall ensure that either by itself or through any Manager appointed by it or the Sub-charterer the Vessel and the relevant Sub-charter shall be managed and administered with a standard a reputable international LNG carrier charterer would apply in the applicable circumstances having regard, where applicable, to the ownership interest of the Owners in the Vessel, the Liens of the Security Agent in the Vessel, the credit standing and status of the relevant Sub-charterer and the terms of the relevant Sub-charter. The Initial Sub-charter and the management arrangements contemplated under the Management Agreement are deemed to comply with such standard of care;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Charterer shall not terminate the Initial Sub-charter or any replacement Sub-charter at any time, waive any defaults thereunder or amend the terms of the Initial Sub-charter or any replacement Sub-charter, or any related document without the prior consent of the Representative Owner and the Security Agent (such consent not to be unreasonably withheld or delayed). In this respect, any changes or waivers (i) relating to the counterparty, the charter period, termination and/or daily charter rate under the Initial Sub-charter or any replacement Sub-charter and/or (ii) adversely affecting the rights and interest of the Owners, the Representative Owner, the Registered Owner or the Finance Parties in respect of the Initial Sub-charter or any replacement Sub-charter shall always be considered material. Notwithstanding the foregoing, the Charterer shall provide the Representative Owner and the Security Agent with at least ten

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) Business Days' written notice prior to making, or agreeing to make, any change (material or otherwise) which is being documented in writing by formal agreement or letter to the Initial Sub-Charter, any replacement Sub-Charter or any related document. For the avoidance of doubt, if the Representative Owner or the Security Agent considers any such change to be material, the Charterer shall not proceed with that change without the prior consent of the Representative Owner and the Security Agent;

the Charterer shall procure that all Earnings and all other amounts (including, without limitation, hire and any purchase option payment) payable under any Sub-charter shall be paid to the Charterer Account and the Charterer shall pay all Charter Hire and all other amounts payable hereunder from the Charterer Account (for the avoidance of doubt, which shall by no means be considered as a limitation on recourse to the Charterer). The Charterer shall only be entitled to withdraw money from time to time standing to the credit of the Charterer Account so long as no Default or Event of Default has occurred and is continuing or, in the reasonable consideration of the Owners or the Security Agent (which has been notified to the Charterer), will occur imminently or as a result of the withdrawal. The Owners or the Security Agent shall be permitted to obtain (and

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the Charterer shall procure that they receive) a statement of account of the Charterer Account anytime the Representative Owner or the Security Agent so requests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)for the avoidance of doubt, and without prejudice to the Charterer's general operational indemnities under Clause 8 (*Costs and Indemnities*), the Charterer shall indemnify the Owners, the Registered Owner and the Finance Parties for all reasonable costs or fees that could become payable by the Owners, the Registered Owner or any Finance Party following any Charterer's decision or action when exercising its rights in relation to the management of Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;**13.OPERATION AND MAINTENANCE**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer will not and will procure that the Manager will not cause or permit the Vessel to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)trade to St Lawrence River/Great Lakes areas and/or countries banned or boycotted by the United Nations or countries subject to Sanctions, other than in accordance with relevant exemptions to such Sanctions, or to be operated in any way inconsistent with Sanctions or the provisions or warranties of, or implied in, or outside the cover provided by, any Insurance (including but not limited to the Institute Warranty Limits) or to be engaged in any voyage or to carry or store any cargo or goods not permitted by any Insurances without first covering the Vessel and her freights for an amount approved by the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders) in Dollars or another approved currency with the Insurers; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)be employed in any manner which will or may give rise to any reasonable degree of likelihood that the Vessel would be liable to requisition, confiscation, forfeiture, seizure, destruction or condemnation as prize.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)With respect to the Vessel, the Charterer undertakes with the Owners that until it has acquired title to the Vessel pursuant to Clause 22 (*Transfer of Title to Vessel*) or complied with all its obligations under Clause 17 (*Redelivery*) it will and will procure that the Manager will:

comply with all applicable Environmental Laws including, without limitation, requirements relating to the establishment of financial responsibility (and shall require that all Environmental Representatives of the Charterer and the Manager comply with all applicable Environmental Laws and obtain, maintain and comply with all required Environmental Approvals, which Environmental Laws and Environmental Approvals relate to the Vessel or her operation or her carriage of cargo) applicable to the Vessel from time to time and implement procedures to monitor compliance with and prevent liability under any existing Environmental Laws;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)promptly upon the occurrence of any of the following events, provide to the Representative Owner and the Security Agent a certificate of an officer of the Charterer or of the Charterer's agents specifying in detail the nature of the event concerned:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the receipt by the Charterer or the Manager or any Environmental Representative (where the Charterer has knowledge of the receipt) of any Environmental Claim which, if adversely determined, is reasonably likely to have a Material Adverse Effect or any faults or circumstances which may give rise to such Environmental Claim; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Release of Hazardous Materials, applicable to the Vessel from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)comply with all Applicable Laws applicable, in each case, to the Vessel, the Charterer or any permitted Sub-charterers applicable to the Vessel from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)not to employ the Vessel or permit its employment in any manner, trade or business which is forbidden by any Applicable Law, or is otherwise unlawful or illicit under any relevant jurisdiction, or in carrying illicit or prohibited goods, or in any manner whatsoever which may render it liable to condemnation as a prize or to destruction, seizure, confiscation, penalty or sanctions and, in the event of hostilities in any part of the world (whether war be declared or not), not to employ the Vessel or permit her employment in carrying contraband goods, or to enter or trade to or continue to trade in any zone which is a war-like zone or declared a war zone by any Government Entity or by the Vessel's war risk insurers or otherwise ports prohibited by any countries or flag states unless in the case of the breach of Institute Warranty Limits, appropriate insurance cover or other special insurance cover as the Security Agent may require shall first have been effected by the Charterer at its own expense and to be delivered to the Security Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)ensure that the Vessel is operated properly at all times in accordance with its design requirements and subject to any limitations placed on such operation by that design, by the builder or repairer of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)promptly pay all tolls, dues and other outgoings whatsoever in respect of the Vessel and the Insurances and keep proper books of account in respect of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)take such steps as are reasonably practicable to ensure that the Vessel and all constituent parts thereof will be safe and without risk to health when properly used and will (without prejudice to the generality of the foregoing):

take such steps as are reasonably practicable to ensure that any defects in the Vessel and all constituent parts thereof which could be or cause a danger to safety and/or a risk to health shall be made good;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H)take such action as is reasonably practicable to see that appropriate safety measures are adopted; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I)not use or permit the Vessel or any constituent parts thereof to be used beyond their limits and capacities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)comply with all Applicable Laws of (A) the Marshall Islands and the rules of the shipping registry of the Marshall Islands related to the Vessel and the laws of any other jurisdiction in which the Vessel may from time to time be registered, operated, chartered and/or maintained, and (B) any country or state in which the Vessel is from time to time located or to which the Vessel may trade or be employed, where non-compliance would adversely prejudice the interests of any of the Registered Owner or the Owners in the Vessel or the interest of the Security Agent as mortgagee of the Vessel in any material manner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)comply and do or cause to be done all things necessary to comply with all national and international conventions, laws and the rules and regulations thereunder, applicable to the Charterer, the Manager and/or the Vessel, including, according to any limitation in force generally under such conventions, laws, rules and regulations

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The International Convention on Civil Liability for Oil Pollution Damage, (B) (if the Vessel is operated in waters under the jurisdiction of the United States) the United States Oil Pollution Act of 1990 (including, according to any limitation, in force generally under such conventions, laws, rules and regulations and according to practicality reasonable by good trade standards, the manning requirements and the requirements relating to the establishment of financial responsibility), the United States Comprehensive Environmental Response Compensation and Liability Act and other

U.S. federal and state laws, (C) MARPOL, (D) other international conventions, laws, rules and regulations relating to the environmental matters, discharges of oil, petroleum, petroleum products and distillates, pollutants and other substances, and (E) all other Applicable Laws in respect of the operation of the Vessel, and obtain, comply with and have on board, as and when required, valid permits, certificates or licenses relating to the use, operation or maintenance of the Vessel, in each such case, to the extent applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)ensure that the Vessel is, at all times:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)subject to a Safety Management System in compliance with the ISM Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in possession of a valid Safety Management Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)operated by an operator in possession of a valid and appropriate Document of Compliance (which is held on board the Vessel);

in possession of a valid International Ship Security (ISS) Certificate pursuant to the ISPS Code and that its security system and its associated security equipment comply with

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section 19.1 of Part A of the ISPS Code and in all respects with the applicable requirements of Chapter XI-2 of SOLAS and Part A of the ISPS Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)in possession of a valid International Air Pollution Prevention Certificate (IAPPC) under Annex VI (Regulations for the Prevention of Air Pollution from Ships) to MARPOL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)be responsible for compliance by itself and by the Vessel with parts of the ISM Code and/or ISPS Code which are required to be observed by the Vessel or by persons responsible for its operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)deliver to the Representative Owner and the Security Agent, at or before the Charter Commencement Date, a copy of a valid Safety Management Certificate and a valid Document of Compliance in respect of the Vessel, in each case duly certified by an officer of the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)promptly notify the Representative Owner and the Security Agent of the identity of the person ashore designated for the purposes of paragraph 4 of the ISM Code and of any change in the identity of that person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)promptly upon becoming aware of the same notify the Representative Owner and the Security Agent of the occurrence of any accident or major non conformity (as defined in the ISM Code) requiring action under the ISM Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)from time to time promptly notify the Registered Owner, the Representative Owner and/or the Security Agent, furnish the Registered Owner, the Representative Owner and/or the Security Agent with all such information as the Registered Owner, the Representative Owner and/or the Security Agent from time to time reasonably require regarding the Vessel's compliance with the ISM Code and the ISPS Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)promptly notify the Registered Owner, the Representative Owner and the Security Agent forthwith of any actual or threatened withdrawal of a Safety Management Certificate pursuant to the ISM Code, an International Ship Security (ISS) Certificate pursuant to the ISPS Code or an International Air Pollution Prevention Certificate (IAPPC) pursuant to Annex VI (Regulations for the Prevention of Air Pollution from Ships) to MARPOL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)not employ and will procure that the Vessel is not employed by it, any operator or Sub-charterer of the Vessel in breach of any Sanctions;

procure that neither the Owners nor any Finance Party is at any time represented as carrying goods in or providing any other service from the Vessel, or as being in any way connected or associated with any operation of carriage or other service which may be undertaken by the Charterer, or as having any operational interest in, or responsibility for, the Vessel;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)not do or suffer to be done anything whereby the preliminary or permanent registrations of the Vessel may be imperilled or forfeited, and not to change or cause to be changed the name of the Vessel without the prior written consent of the Representative Owner and the Security Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii)keep, in accordance with the good practice of a vessel owner, accurate, complete and up-to-date records of all the locations of the Vessel and of all maintenance, repairs, alterations, modifications and additions to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix)subject to the terms of the Initial Sub-charter and the Quiet Enjoyment Letters, permit the Owners, the Security Agent or their representatives at any time and with reasonable access to the Vessel to inspect, examine or survey the Vessel on board or instruct a duly authorised surveyor to carry out such survey on its behalf to ascertain the condition of the Vessel and satisfy itself that the Vessel is being properly repaired and maintained and that the Charterer is otherwise in compliance with the terms of this Agreement, and take copies of the Manuals and Technical Records **provided that** unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)a Default and/or an Acceleration Event has occurred;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)as a result of such inspection, examination or survey is found to have occurred and is continuing; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the Charterer (i) has advised the Representative Owner on or prior to the Early Buy-out Option Notification Cut-off Date that it will not exercise the Early Buy-out Option or (ii) has not provided the Representative Owner by the Early Buy-out Option Notification Cut-off Date with a notice to exercise the Early Buy-out Option,

each inspection shall be without interference to the normal operations of the Vessel and the Charterer shall only bear the costs of such inspection or survey once in every 12-month period (unless any of the circumstances specified in (A) to (C) above apply, in which case the Charterer shall bear the costs of all such inspections). For this purpose, the Charterer shall give all reasonable assistance in connection with any inspection, examination or survey pursuant to the terms of this Clause 13(b)(xxi) and the Charterer or the Manager shall keep the Representative Owner and the Security Agent advised of the intended maintenance or employment of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx)promptly discharge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)all liabilities of the Charterer and/or the Manager which give or may give rise to maritime or possessory liens on or claims enforceable against the Vessel and shall prevent a threatened arrest of the Vessel;

pay and discharge when due all dues, Taxes, assessments, governmental charges, fines and penalties lawfully imposed on or in respect of the Vessel, the Charterer or the Manager except those which are being disputed in good faith by

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appropriate proceedings (and for the payment of which adequate reserves have been provided or are and continue to be available) and **provided that** the continued existence of such dues, Taxes, assessments, governmental charges, fines or penalties does not give rise to any likelihood that the Vessel would be liable to arrest, requisition, confiscation, forfeiture, seizure, destruction or condemnation as prize;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)all tolls, dues, premia and other outgoings whatsoever in respect of the Vessel and her Earnings and Insurances (except those being contested in good faith by appropriate proceedings and the continued existence of which do not give rise to any likelihood that the Vessel would be liable to arrest, requisition, confiscation, forfeiture, seizure, destruction or condemnation as prize) and to keep proper books of account in respect of the Vessel and her Earnings and, as and when the Security Agent and/or the Owners may so require, to make such books available for inspection on behalf of the Security Agent and/or the Owners and to furnish satisfactory evidence that the wages and allotments and the insurance and pension contributions of the Master and crew are being promptly and regularly paid and that all deductions from crew's wages in respect of any tax liability are being properly accounted for and that the Master has no claim for disbursements other than those incurred by him in the ordinary course of trading on the voyage then in progress;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)pay and discharge all other obligations and liabilities whatsoever in respect of the Vessel and the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi)ensure that the Vessel is technically managed by the Manager or another reputable manager acceptable to the Representative Owner and the Security Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii)ensure that the Vessel is commercially managed by the Manager or another reputable manager acceptable to the Representative Owner and the Security Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii)not terminate or materially vary the terms of the Management Agreements or change the Manager, provided that the Charterer shall be entitled so to do with the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of all the Lenders); and

not charter the Vessel or permit the Vessel to serve under any contract of affreightment with any foreign country or national of any foreign country which would be contrary to Applicable Law or would render any Operative Document or the security conferred by the Security Documents unlawful.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer further undertakes with the Owners that until it has acquired title to the Vessel pursuant to Clause 22 (*Transfer of Title to Vessel*) or complied with all its obligations under Clause 17 (*Redelivery*) it will and will procure that the Manager will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)at all times throughout the Charter Period and at its own expense, maintain and preserve the Vessel in good condition and working order and in accordance with the requirements of the Classification Society and otherwise in accordance with industry best practice for vessels of the same age, type and service;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)at its own cost, maintain, service, repair, overhaul and keep the Vessel, her machinery and all equipment and cause the same to be kept and maintained at all times, in seaworthy and good working condition so as to comply with all Applicable Laws, and all Classification Society requirements, free of all overdue requirements and recommendations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)at its own costs, renew and replace or cause to be renewed or replaced all parts, machinery and equipment as and when they shall become worn out, damaged or lost by other parts, machinery and equipment of a similar nature (both as regards workmanship and quality of materials) as not to diminish the value of the Vessel and in any event of at least equal value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)regularly during the Charter Period and at its own expense, submit the Vessel to annual survey, intermediate survey and special survey (Hull) in accordance with the rules of the Classification Society and such other periodical or other surveys as may be required for classification purposes and shall comply with all requirements and recommendations of the Classification Society by which the Vessel shall then be classed and shall keep the Vessel's continuous machinery survey certificate current at all times and, upon request by the Representative Owner, the Registered Owner or the Agent, provide to the Representative Owner, the Registered Owner and the Agent copies of all survey reports and certificates issued in respect thereof;

subject to the terms of the Initial Sub-charter or any replacement Sub-charter, during the Charter Period, the Charterer shall, at its own cost and expense (a) submit the Vessel to such periodical or other surveys as may be required for classification purposes (and, in respect of any year prior to the end of the Charter Period in which no special survey or dry docking is required for classification purposes, the Charterer will ensure that a normal survey is undertaken, in each case so as to ensure that the Vessel is certified as class maintained by the Classification Society) and if so required by the Owners or the Security Agent, supply to the Representative Owner and the Security Agent copies of all survey reports in respect thereof and keep the Vessel's continuous machinery survey certificate at all times and (b) cause and ensure that the Vessel and the maintenance or operation thereof shall, at all times, comply with all applicable laws, treaties and conventions, and rules and regulations issued thereunder and shall have all equipment and accessories required thereby, and shall have on board, when made thereby, valid

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certificates showing compliance therewith. If any improvement, structural changes or new equipment in respect of the Vessel and/or her equipment or accessories becomes necessary for the continued operation of the Vessel by reason of new class requirement or by legislation (in each case to the extent such class requirement or legislation is mandatory), any additions, modification or new enactment under any laws, treaties, conventions, rules or regulations (including IMO), the same shall be complied with by the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)at its own cost, keep the Vessel, and cause the same to be kept, in such condition as will entitle the Vessel to remain in class with American Bureau of Shipping or other Classification Society and procure that Classification Society's recommendations are dealt with in a timely manner in accordance with class requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)not without the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders), change the Classification Society of the Vessel or its classification, and the Charterer shall procure that the Representative Owner and the Security Agent upon request are granted access to the class records of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)not without the prior written consent of the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders), cause or permit to be made any substantial change in the structure, type or performance characteristics (including, without limitation the speed of the Vessel) of the Vessel or reduce its value and provide prior written notification of any proposed substantial changes in structure, type or performance characteristics of the Vessel to the Representative Owner and Security Agent and, furthermore, provide confirmation to the Representative Owner and the Security Agent that such substantial change in structure, type or performance characteristics of the Vessel shall not result in a breach of any covenant under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)if the Charterer shall pay any expenses, necessary or desirable, whether or not such payment is for goods or services which are likely to preserve or increase the value of the Vessel or its equipment or appurtenances, not have any right to any recovery or indemnification from the Owners, the Representative Owner or the Registered Owner therefor, and the Charterer hereby irrevocably waives the benefit of any law which would otherwise entitle the Charterer to such recovery or indemnification. Even though the value of the Vessel is increased by the alteration of the Vessel by the Charterer pursuant to the foregoing provisions, the amount of the Charter Hire or any other amount payable by the Charterer hereunder shall not be increased or decreased thereby;

not remove any material part of the Vessel or any item of equipment installed on the Vessel unless the part or item so removed is forthwith replaced by a suitable part or item which is in the same condition as or better condition than the part or item removed, is free from any Liens (other than a Permitted Lien) or any right in favour of any person other than the Owners or the Security Agent and

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becomes on installation on the Vessel the property of the Registered Owner and subject to the security constituted by the relevant Operative Document(s) (including, without limitation, the Mortgage), **provided that** the Charterer may install and remove equipment owned by a third party if the equipment can be removed without any reasonable risk of damage to the Vessel; provided that any damage to the Vessel occurs due to such removal the Charterer shall promptly repair the Vessel at its own cost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)be liable for any repairs wrongly made, or of a quality inferior to the standard required by the applicable Classification Society;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)be responsible for removal of all debris and shoring from the Vessel prior to its return to the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)maintain, in accordance with the best practice of a vessel owner, all Manuals and Technical Records which are required to be maintained in respect of the Vessel to comply with any Applicable Laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)the Charterer shall notify the Representative Owner and the Agent of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any intended dry docking of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any requirement or recommendation imposed by the Vessel's classification society or any competent authority which is not immediately complied with;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)any exercise or purported exercise of any lien on the Vessel or her Earnings; and

any casualty or other accident or damage to the Vessel the cost of which to repair may exceed five million Dollars ($5,000,000) (and shall promptly provide the Representative Owner and the Agent with full information regarding such casualty or other accident or damage together with all H&M survey reports in connection therewith); and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)the Charterer shall, upon the request of any Relevant Lender and at its cost, on or before 31 July in each calendar year, supply or procure the supply to the Agent (for transmission to the applicable Relevant Lender) of all information necessary in order for any Relevant Lender to comply with its obligations under the Poseidon Principles in respect of the preceding calendar year, including, without limitation, all ship fuel oil consumption data required to be collected and reported in accordance with regulation 22A of Annex VI and any Statement of Compliance, in each case relating to the Vessel for the preceding calendar year, provided that no Relevant Lender shall publicly disclose such information with the identity of the Vessel without the prior written consent of the Charterer and, for the avoidance of doubt, such information shall be confidential information for the purposes of Clause 26(b) but the Charterer acknowledges that, in accordance with the Poseidon Principles, such information will form part of the information published regarding the applicable Relevant Lender's portfolio climate alignment. For these purposes:

"**Poseidon Principles**" means the financial industry framework for assessing and disclosing the climate alignment of ship finance portfolios published on 18 June 2019 as the same may be amended or replaced (to reflect changes in applicable law or regulation or the introduction of, or changes to, mandatory requirements of the International Maritime Organization) from time to time.

"**Relevant Lender**" means a Lender which has, at any time during the Charter Period, become a signatory to the Poseidon Principles.

"**Statement of Compliance**" means a statement of compliance related to fuel oil consumption pursuant to regulations 6.6 and 6.7 of Annex VI of the Protocol of 1997 (as subsequently amended from time to time) to amend the International Convention for the Prevention of Pollution from Ships 1973 (Marpol), as modified by the Protocol of 1978 relating thereto. All costs and expenses incurred by the Charterer in the performance of its obligations under this Clause 13 (*Operation and Maintenance*) shall be for the account of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;**14.INFORMATION UNDERTAKINGS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)**Financial Statements**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer shall supply to the Representative Owner and the Agent in sufficient copies (which may take the form of an electronic copy) for all the Lenders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)as soon as they are available, but in any event within two (2) months after the end of each financial quarter of the Charterer Guarantor, the Charterer Guarantor's unaudited consolidated financial statements;

as soon as they are available, but in any event within one hundred twenty (120) days after the end of each financial year of the Charterer Guarantor, the audited consolidated financial

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statements of the Charterer Guarantor for that financial year; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)upon request and on a best-efforts basis, within one hundred twenty (120) days after the end of each financial year of the Sub-Charterer, the audited consolidated financial statements of the Sub-Charterer for that financial year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall procure that the financial statements provided under this Clause 14(a) are accompanied by a Compliance Certificate, providing the calculations and confirming compliance with the financial covenants set out in the Guarantee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall procure that the Original Financial Statements and each set of financial statements of the Charterer Guarantor delivered pursuant to Clause 14(a) is prepared using U.S. GAAP, or other such GAAP as acceptable to the Representative Owner and the Agent (on behalf of the Majority Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)(i)&nbsp;&nbsp;&nbsp;&nbsp;The Charterer shall ensure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)the Original Financial Statements and each set of the financial statements of the Charterer Guarantor supplied under this Agreement represents a true and fair view of its financial condition (consolidated or otherwise) and results of operations as at the date to which those financial statements were drawn up;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the Original Financial Statements and each set of the audited financial statements of the Charterer Guarantor supplied under this Agreement have been audited in accordance with

U.S. GAAP, or other such GAAP as acceptable to the Representative Owner and the Agent (on behalf of the Majority Lenders); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)the financial projections provided to a Finance Party in relation to the Finance Documents have been prepared on the basis of recent historical information and on the basis of reasonable assumptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall notify the Representative Owner and the Agent of any change to the basis on which its audited financial statements are prepared.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)If requested by the Representative Owner or the Agent, the Charterer shall supply or procure that the following are supplied to the Representative Owner or the Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)a full description of any change notified under paragraph (ii) above; and

sufficient information to enable the Owners or Agent to make a proper comparison between the financial position shown by the set of financial statements prepared on the changed basis and its most recent audited consolidated financial statements

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delivered to the Representative Owner or the Agent under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)If requested by the Representative Owner or the Agent, the Charterer shall enter into discussions for a period of not more than thirty (30) days with a view to agreeing to any amendments required to be made to this Agreement to place the Owners and the Lenders in the same position as they would have been in if the change to the basis on which its audited financial statements are prepared had not happened.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)If no agreement is reached under paragraph (iv) above on the required amendments to this Agreement, the Charterer shall ensure that its auditors certify those amendments; the certificate of the auditors will be, in the absence of manifest error, binding on all the parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall not change its financial year without the consent of the Representative Owner and the Security Agent (acting on behalf of the Majority Lenders), such consent not to be unreasonably withheld or delayed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Upon the request of the Representative Owner or the Agent, the Charterer shall provide the Representative Owner and/or the Agent and any of its representatives, professional advisers and contractors with access to, and permit inspection of, its books and records, in each case at reasonable times and upon reasonable notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The Charterer shall supply to the Representative Owner and the Agent sufficient copies (which may take the form of an electronic copy) for all Lenders:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)promptly upon becoming aware of them, the details of any litigation, arbitration, administrative, environmental or other proceedings which are current, threatened or pending against the Charterer, the Charterer Guarantor or the Manager provided that, this shall only apply if the proceedings might, if adversely determined, give rise to a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)promptly, such further information regarding the Vessel, the Insurances or any Security Asset, or, unless prohibited by statute (but not by contract), the financial condition, business, assets, contractual commitments and operations of the Charterer, the Charterer Guarantor and/or the Manager and, if the Charterer has received the same, of the Sub-Charterer and its parent as the Representative Owner or any Finance Party (through the Agent) may reasonably request (including, for the avoidance of doubt, details of any material litigation, arbitration or administrative proceedings, if any);

promptly such further information as may be required by applicable banking supervisory laws and regulations and/or in line with standard and customary banking practice as the Representative Owner or any Finance Party (through the Agent) may reasonably request;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)copies of all documents dispatched by it or the Charterer Guarantor to its shareholders or creditors generally or any class of them at the same time as they are dispatched;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)promptly copies of all notices and minutes relating to any Extraordinary General Meeting of its shareholders at the same time as they are despatched;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)promptly on request, such further information, in sufficient copies for all the Lenders, regarding the financial condition and operations of the Charterer as the Representative Owner and the Agent may reasonably request and any information necessary for the Agent and Owner Parent to comply with any law and applicable banking regulations (including, but not limited to, "know your customer" and FATCA requirements) in respect of the Charterer and the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)prompt notification to the Representative Owner and the Agent of the occurrence of any accident, casualty or other event which has caused or resulted in or may cause or result in the Vessel being or becoming a Total Loss or any claim for breach of any Applicable Laws being made in connection with the Vessel or its operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)annually provide or procure the Manager to provide the Representative Owner and Agent with a schedule setting outgoing and all intended dry dockings of the Vessel, such schedule to form part of the Annual Compliance Certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)promptly if the Representative Owner or the Agent believes an Event of Default or an Acceleration Event may have occurred, from time to time upon reasonable request certified copies of the ship's log in respect of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)prior to issuing any notification to the Initial Sub-charterer under clause 57 (*Credit Support Clause*) of the Initial Sub-charter, a copy of such notice which the Charterer intends to serve on the Initial Sub-charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)notify the Representative Owner and the Agent of any Default or Mandatory Prepayment Event or potential Mandatory Prepayment Event (and, in each case, the steps, if any, being taken to remedy it) promptly but in any event not later than three (3) Business Days upon becoming aware of its occurrence; and

promptly on request by the Representative Owner or the Agent but not more often than once in each 12-month period, unless the Representative Owner or the Agent, believes an Event of Default or an Acceleration Event has occurred and is continuing (in which event the Representative Owner or the Agent shall be entitled to make such requests as and when it considers it appropriate to do so), supply to the Representative Owner and/or the Agent a certificate, signed by two of its authorised signatories on its behalf, certifying that no Default is outstanding or, if a Default is

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outstanding, specifying the Default and the steps, if any, being taken to remedy it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)The Charterer shall, from time to time promptly upon request by the Representative Owner, furnish the Representative Owner with all such information as the Owners or a Finance Party may from time to time reasonably require and which is available to the Charterer regarding the Vessel's compliance with the ISM Code and the ISPS Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the introduction of or any change in (or in the interpretation, administration or application of) any Applicable Law made after the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any change in the status of the Charterer after the date of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)a proposed assignment or transfer by a Lender of any of its rights and obligations under the Finance Documents to a party that is not a Lender prior to such assignment or transfer,

obliges a Finance Party (or, in the case of paragraph (iii) above any prospective new Lender) to comply with "know your customer" or similar identification procedures in circumstances where the necessary information is not already available to it, the Charterer shall promptly upon the request of the Agent supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any other Finance Party or, in the case of the event described in paragraph (iii) above, any prospective new Lender) in order for the relevant Finance Party or, in the case of the event described in paragraph (iii) above, any prospective new Lender to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;**15.INSURANCE**

The Charterer, at its own expense and in accordance with the report of the insurance advisors appointed by the Owners and the Security Agent and without expense to any Owner or the Security Agent, shall cause to be carried and maintained Insurances in respect of the Vessel through brokers approved by the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders) (the "**Approved Brokers**") against fire and usual marine risks (including hull and machinery and Excess Risks) in such amounts in, and on an agreed value basis, Dollars not less than the greater of (i) 110% of the Stipulated Loss Value and (ii) the Fair Market Value of the Vessel at the time of coverage, against other risks including, but not limited to, hull and machinery risks, Excess Risks, fire and marine risks, war risks (including risks of mines, piracy and all risks, whether or not regarded as war risks, piracy, terrorism, London Blocking and Trapping Addendum and Lost Vessel Clause, excepted by the free of capture and seizure clauses in the standard form Lloyds marine policy), against port risks in the event of the

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Vessel being laid up and against such other risks and matters that the Owners or the Security Agent consider

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reasonable for a prudent shipowner or operator to insure against in accordance with prevailing market practice from time to time, each with such level and amounts of deductibles, in such form (including, but not limited to, the form of the loss payable clause and notice of cancellation clause and the designation of named assureds), and with approved underwriters or insurance companies approved by the Representative Owner and the Security Agent and by policies in form and content approved by the Representative Owner and the Security Agent (acting on the instructions of the Majority Lenders) which will be no less favourable than the terms of equivalent insurance cover in relation to other similar vessels owned and/or operated by the Charterer Guarantor or its Subsidiaries; or in respect of war risks only, by entering the Vessel in an approved war risks association. For the avoidance of doubt, the war risks insurance will include war protection and indemnity liability, and will be not less than the greater of (i) 110% of the Stipulated Loss Value and (ii) the Fair Market Value of the Vessel at the time of coverage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Subject to paragraph (c), the Charterer shall ensure that the Charterer, the Registered Owner and the Owners are the only named insureds, unless the interest of every other named insured is limited:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in respect of any Insurances for hull and machinery and war risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)to any provable out-of-pocket expenses that it has incurred and which form part of any recoverable claim on underwriters; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)to any third party liability claims where cover for such claims is provided by the policy (and then only in respect of discharge of any claims made against it); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in respect of any Insurances for protection and indemnity risks, to any recoveries it is entitled to make by way of reimbursement following discharge of any third party liability claims made specifically against it;

and every other named insured has undertaken in writing to the Security Agent (or, after the end of the Facility Period, the Owners) (in such form as it requires) that any deductible shall be apportioned between the Charterer and every other named insured in proportion to the gross claims made or paid by each of them and that it shall do all things necessary and provide all documents, evidence and information to enable the Security Agent (or, after the end of the Facility Period, the Owners) to collect or recover any moneys which at any time become payable in respect of the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall if the Agent so requires, name (or cause the Insurances to be amended to name) the Security Agent as additional named insured for its rights and interests, warranted no operational interest and with full waiver of rights of subrogation against the Security Agent, but without the Security Agent being liable to pay (but having the right to pay) premiums, calls or other assessments in respect of such insurance;

The Charterer shall enter and at all times maintain the entry of, or cause to be entered and maintained the entry of, the Vessel in one or more protection and indemnity clubs or associations which shall be members of

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the International Group of P&I Clubs (the "**International Group**") in the names of the Owners, the Registered Owner, the Owner Parent or (if the Security Agent (or, after the end of the Facility Period, the Owners)) in the joint names of the Charterer, the Manager, any Sub-charterer, the Owners, the Registered Owner, the Owner Parent and the Security Agent without the Security Agent or the Owners being liable but having the right to pay premiums, for her full value and tonnage of the Vessel (as approved in writing by the Security Agent on instructions of the Majority Lenders or, after the end of the Facility Period, by the Representative Owner) against all protection and indemnity risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)at the highest amount available from (and in any event not less than US$1,000,000,000 or such other amount of cover against pollution risks as shall at any time be comprised in the basic entry of the Vessel with) either a protection and indemnity association which is an acceptable member of either the International Group (or any successor organisation designated by the Security Agent (or, after the end of the Facility Period, the Representative Owner) for this purpose) or the International Group (or such successor organisation) itself (including pollution risks for the highest amount in respect of which cover is or may be available for ships similar to the Vessel) and upon such terms as shall from time to time be approved in writing by the Security Agent (acting on instructions of the Majority Lenders) and the Representative Owner, including, inter alia, (A) war, strikes, riots, piracy and terrorism risks, (B) pollution risks, (C) the proportion of loss not recoverable under the running down clause of the hull policy of the Vessel in case of collision, (D) claims of any persons whomsoever against the Vessel, any managers or demise charterers of the Vessel, or their agents or servants, who may suffer or allege they suffer damage or injury to or death of or loss of person or property, and (E) such other risks as may be required by any regulations of the Flag State and of any other jurisdiction in which the Vessel may from time to time be registered, operated, chartered and/or maintained; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if the International Group or any such successor ceases to exist or ceases to provide or arrange any cover for pollution risks (or any supplemental cover for pollution risks over and above that afforded by the basic entry of the Vessel with its protection and indemnity association), such aggregate amount of cover against pollution risks as shall be available on the open market and by basic entry with a protection and indemnity association for ships of the same type, size, age and flag as the Vessel,

**provided that**, if the Vessel has ceased trading or is in lay-up and in either case has unloaded all cargo, the level of pollution risks cover afforded by ordinary protection and indemnity cover available through a member of the International Group or such successor organisation or, as the case may be, on the open market and consented to by the Security Agent and the Representative Owner in such circumstances shall be sufficient for such purposes.

Whenever the Vessel is trading to Japanese territorial waters and when so required by the Owners or the Security Agent, the Charterer shall maintain in full force and effect social responsibility insurance in respect of the

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Vessel with underwriters or insurance companies approved by the Representative Owner or the Security Agent (acting on instructions of the Majority Lenders) and by policies in form and content approved by the Representative Owner or the Security Agent (acting on instructions of the Majority Lenders), provided always that a first class borrower or operator of vessels such as the Vessel would maintain and effect such social responsibility insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Upon the request by the Security Agent, the Charterer shall pay the Security Agent the cost of a mortgagee's interest insurance and mortgagee additional perils (pollution) policy, on the Vessel in an amount specified by the Security Agent, being an amount equal to 110% of the Loan then outstanding at the time of coverage (or such lesser amount as may be approved in writing by the Security Agent acting on instructions of the Majority Lenders) and, in each case, upon such terms as shall from time to time be approved in writing by the Security Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Owners shall be entitled from time to time to effect, maintain and renew, at the cost of the Charterer, an innocent owner's insurance policy for any portion of their funding exposure not covered by the mortgagee interest insurance and an innocent owner's additional perils insurance, each on such terms, through such insurers and generally in such manner as the Owners may from time to time consider appropriate and in line with shipping practices. The Charterer shall upon demand fully indemnify the Owners in respect of all premiums which are incurred in connection with the said innocent owner's insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)The Charterer shall not, without the prior written consent of the Representative Owner and Security Agent (acting on the instructions of all the Lenders), materially alter any Insurance nor make, do, consent or agree to any act or omission which would or might render any Insurance invalid, void, voidable or unenforceable or render any sum paid out under any Insurance repayable in whole or in part.

The Charterer shall promptly advise in writing the Representative Owner and the Security Agent of any change in or lapse of any such insurance by expiration, termination, failure to renew or otherwise and of any default in payment of any premium and of any other act or omission on the part of the Charterer. Neither the Owners nor the Security Agent shall be deemed to have knowledge of any change in or such lapse of insurance in the absence of receipt of notice from the Charterer. The Charterer shall advise the Representative Owner and the Security Agent, at least two (2) weeks prior to the expiration date of any insurance carried pursuant to this Agreement, that such insurance has been or is being renewed or replaced with new insurance which complies with the provisions of Clause 15 (*Insurance*) and with underwriters or insurance companies either previously approved by the Representative Owner and the Security Agent (acting on instructions of the Majority Lenders). The Charterer shall procure that the brokers and/or war risks and protection and indemnity clubs and associations shall promptly confirm in writing to the Security Agent and the Representative Owner as and when each renewal is effected. Where the Security Agent's or Representative Owner's, as the case may be, insurance advisor has advised in writing that any insurance requires a material change due

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to a material change in insurance market terms and/or practice (and the Security Agent or, as the case may be, the Representative

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Owner has notified the Charterer of the same), the Charterer shall provide copies of the amended insurance documentation to the Security Agent and the Representative Owner prior to their renewal reflecting such material change or, if such material change is not reflected for any reason, obtain the consent of the Security Agent and the Representative Owner prior to renewing any such insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The Charterer shall, subject to Charterer's pre-approval of such costs, reimburse the Agent and the Owners on demand for all costs and expenses incurred by the Agent or the Owners, as applicable, in obtaining from time to time a report on the adequacy of the Insurances from an insurance adviser instructed by the Agent or the Representative Owner, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)The Charterer shall deliver to the Representative Owner and the Security Agent a written confirmation (in the form of letters of undertaking) of the Charterer's brokers or protection and indemnity club to the effect that the relevant policy shall not be cancelled or terminated (in the event of non-payment of premium or other specified events, other than relevant automatic termination and cancellation provisions) without at least (i) in respect of protection and indemnity policies only, fourteen (14) days' prior written notice and (ii) in the case of all other insurances, ten (10) days' prior written notice, in each case to the Representative Owner and the Security Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)Until otherwise agreed to by the Representative Owner and the Security Agent, the hull and machinery and the protection and indemnity insurance required by this Clause shall not stipulate any deductibles or franchises other than, with respect to the hull and machinery insurance, no higher than US$5,000,000 for all claims per accident or occurrence excluding Total Loss claims.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)For the purposes of insurance for the benefit of the Owners, the Registered Owner, the Lenders and the Security Agent against Total Loss, the Vessel and all of its equipment and appurtenances shall be insured on an agreed value basis which is up to the greater of (i) 110% of the Stipulated Loss Value and (ii) the Fair Market Value of the Vessel at the time of coverage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)Unless an Event of Default or an Acceleration Event shall have occurred and be continuing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each sum receivable in respect of a major casualty (being any casualty in respect of which the claim or the aggregate of the claims exceeds US$5,000,000, other than in respect of protection and indemnity risk insurances), shall be paid to the Security Agent (or, after the end of the Facility Period, the Owners); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the insurance moneys received by the Security Agent (or, after the end of the Facility Period, the Owners) in respect of any such major casualty (other than in respect of a Total Loss) shall be paid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)to the person to whom the relevant liability shall have been incurred; or

upon the Charterer furnishing evidence satisfactory to the Security Agent (or, after the end of the Facility Period, the

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Representative Owner) that all loss and damage resulting from the casualty has been properly made good and repaired, to the Charterer or, at the option of the Security Agent (or, after the end of the Facility Period, the Owners), to the person by whom any repairs have been or are to be effected; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the receipt by any such person referred to in paragraphs (i) and (ii) above shall be a full and sufficient discharge of the same to the Security Agent (or, after the end of the Facility Period, the Owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)Subject to Clause 15(n):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each sum receivable in respect of the Insurances (insofar as the same are hull and machinery or war risks insurances) which does not exceed the lower of (a) US$5,000,000 and (b) 5% of the market value of the Vessel or its equivalent shall be paid in full to the Charterer or to its order and shall be applied by it for the purpose of making good the loss and fully repairing all damage in respect of which the receivable shall have been collected;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)each sum receivable in respect of protection and indemnity risk Insurances shall be paid directly to the person to whom the liability to which that sum relates was incurred, or to the Charterer in reimbursement to it of moneys expended in satisfaction of such liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)notwithstanding any other provision in Clauses 15(l) and 15(m), all Total Loss Proceeds shall be applied in accordance with Clause 16 (*Loss, Damage and Compensation*) of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)all sums receivable in respect of the Insurances after the occurrence of an Event of Default or an Acceleration Event shall be paid to the Security Agent (or, after the end of the Facility Period, the Owners) and the Security Agent (or, after the end of the Facility Period, the Owners) shall apply them in accordance with clause 16.11 (*Application of moneys by Security Agent*) of the Loan Agreement or otherwise as appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)The Charterer shall deliver to the Representative Owner and the Security Agent copies of all cover notes, binders, policies and certificates of entry in protection and indemnity associations from time to time issued, and all endorsements and riders amendatory thereof, and/or broker's undertakings (containing loss payable and notice of cancellation clauses acceptable to the Owners and the Security Agent) and the notice of assignment in respect of insurance maintained under this Agreement.

The Charterer agrees that it will not do any act or voluntarily suffer or permit any act to be done, whereby any insurance required hereunder shall or may be suspended, impaired or cancelled and will not knowingly suffer or permit the Vessel to engage in any voyage, or to carry any cargo, not permitted under the policies of insurance in effect, without first covering the Vessel with insurance satisfactory in all respects, for such voyage or the carriage of such cargo.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)The Charterer shall maintain for the benefit of the Owners and the Vessel evidence of financial responsibility (by insurance, bond or otherwise) as required by applicable law in respect of damage or pollution attributable to the nature of the cargo carried or the Vessel's bunkers, fuel, etc.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)The Charterer shall duly and punctually pay when due all premiums, calls, contributions or other sums of money from time to time payable in respect of any Insurance and on request produce the receipts for each sum paid by it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)The Charterer shall not settle, release, compromise or abandon any claim in respect of any Total Loss unless the Representative Owner and Security Agent (acting on the instructions of the Lenders) is satisfied that such release, settlement, compromise or abandonment will not prejudice the interests of the Finance Parties under or in relation to any Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)The Charterer shall arrange for the execution and delivery of such other guarantees as may from time to time be required by any protection and indemnity or war risks club or association. The Charterer shall comply strictly with the requirements of the United States Oil Pollution Act 1990 (the "**Act**") if the Vessel is to trade in the United States of America and Exclusive Economic Zone (as defined in the Act), and the Registered Owner and the Security Agent may in such case effect insurance policies at the Charterer's cost (in addition to the policies mentioned in Clause 15(f)) on terms reasonably acceptable to them. Before any such trade is commenced and during the entire period during which such trade is carried on, the Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)pay any additional premiums required to maintain protection and indemnity cover for oil pollution up to the limit available to the Charterer for the Vessel in the market;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)make all such quarterly or other voyage declarations as may from time to time be required by the Vessel's protection and indemnity association in order to maintain such cover;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)submit the Vessel to such additional periodic, classification, structural or other surveys which may be required by the Vessel's protection and indemnity insurers to maintain cover for such trade and promptly deliver to the Representative Owner and Security Agent copies of reports made in respect of such surveys;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)implement any recommendations contained in the reports issued following the surveys referred to in paragraph (iii) above within the relevant time limits, and provide evidence satisfactory to the Representative Owner and the Security Agent that the protection and indemnity insurers are satisfied that this has been done; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)in addition to the foregoing (if such trade is in the United States of America and Exclusive Economic Zone):

obtain and retain a certificate of financial responsibility under the Act in form and substance satisfactory to the United

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States Coast Guard and provide the Representative Owner and the Security Agent with evidence of the same;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D)procure that the protection and indemnity insurances do not contain a US Trading Exclusion Clause or any other analogous provision and provide the Representative Owner and the Security Agent with evidence that this is so; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E)comply strictly with any operational or structural regulations issued from time to time by any relevant authorities under the Act so that at all times the Vessel falls within the provisions which limit strict liability under the Act for oil pollution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)The Charterer shall procure that the interest of the Security Agent, the Registered Owner and the Owners are each noted on all policies of insurance relating to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r)If any of the marine or war Insurances form part of fleet cover, the Charterer must ensure that the Approved Broker and/or insurer agrees with the Owners and the Security Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)not to set off any claims for premiums due in respect of other vessels or equipment in the fleet against any claims in respect of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)not to cancel the insurance of the Vessel due to non-payment of a premium for other vessels in the fleet or for other insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)The Charterer shall procure that a loss payee provision in the form scheduled to the Security Assignment (including the provisions that the Security Agent (or, after the end of the Facility Period, the Owners) shall be the sole loss payee of insurance proceeds in respect of the Total Loss or any major casualty) and reflecting the provisions of Clauses 15(l) and 15(m) are endorsed on all policies of insurance relating to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)The Charterer shall obtain from the relevant insurance brokers letters of undertaking in the forms consistent with the then-current market practice in the insurance market in which the approved broker (if any appointed) operates or any professional association of which the approved broker is a member and from the Protection and Indemnity Club their standard Letters of Undertaking, having regard to the practices prescribed by the International Group for P&I or war risk associations/clubs.

In the event that the Charterer receives payment of any moneys in respect of the Insurances, save as provided in the loss payable clauses scheduled to the Security Assignment, forthwith pay over the same to the Security Agent and, until paid over, such moneys shall be held for the Owners and the Security Agent by the Charterer. The Charterer undertakes that the Sub-charterer, the Manager (and any Subsidiaries of the Manager named in the Insurances) and the Owners shall be (subject to the terms of the Charterer Assignment) the only persons entitled to any of the benefits or entitled to exercise any of the rights as an assured party under or in respect of the Insurances.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) The Charterer confirms that it is aware that Agent will be obtaining an opinion from an independent insurance consultant on such matters relating to the Insurances as the Agent may require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) The Charterer shall provide the Security Agent with five (5) Business Days' prior written notice of any change by any insurance broker of the underwriter(s). On the date of the change of the underwriter(s), the Charterer shall provide the notice of assignment in respect of the relevant insurance to the new underwriter(s).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) In the event that the Charterer shall be in default in respect of any of its obligations to obtain and maintain Insurance under this Clause 15 (*Insurance*), the Owners, the Representative Owner, the Registered Owner and the Security Agent each shall have the right (but not the obligation), without in any way limiting or otherwise modifying any other rights or remedies of the Owners, the Representative Owner, the Registered Owner or the Security Agent hereunder or at law or in equity by reason of such default or otherwise, to obtain such insurance, and in such event, the Charterer shall, upon demand, reimburse the Owners, the Representative Owner, the Registered Owner and/or the Security Agent, as the case may be, for the cost thereof.

&nbsp;&nbsp;&nbsp;&nbsp;**16.LOSS, DAMAGE AND COMPENSATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)From the Charter Commencement Date until the Vessel have been returned to the Owners pursuant to Clause 17 (*Redelivery*), and without prejudice to the rights of the Charterer to its quiet, peaceful and continuing possession, use and enjoyment of the Vessel pursuant to Clause 11(e)(ii) of this Agreement, the Charterer shall bear the full risk of any loss, destruction, theft, condemnation, confiscation, seizure or requisition of or damage to the Vessel which shall deprive the Charterer of the use, possession or enjoyment thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Following the occurrence of the Total Loss with respect to the Vessel, the Charterer shall forthwith upon becoming aware of the Total Loss give the Owners and the Security Agent written notice of the Total Loss and shall pay to the Owners on the ninetieth (90th) day following the Date of Total Loss or, if insurance or other proceeds have been paid for such Total Loss before such date, on the date of payment of such proceeds (such date or the date of payment of such proceeds, as the case may be, is hereinafter called the "**Settlement Date**") the sum (which shall be advised to the Charterer by the Owners in writing) of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the amount equal to the Stipulated Loss Value computed as of the Settlement Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)all Charter Hire then due and payable; and

all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)At such time as the Charterer has irrevocably and unconditionally paid in full all amounts payable by the Charterer on the Settlement Date in accordance with Clause 16(b) then:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer Title to Vessel*) and thereupon the Charter Period and the obligation of the Charterer to pay Charter Hire hereunder in respect of the Vessel shall terminate immediately without further act; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Owners shall at the request of the Charterer cooperate with the Charterer with a view to enabling the Charterer to bring all claims against third parties for damage relating to the Vessel arising from the Total Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)In the event of the Compulsory Acquisition of the Vessel after the Charter Commencement Date, all moneys or other compensation received by the Owners or the Charterer in respect of the Vessel shall be retained by or paid to the Security Agent in accordance with clause 16.11 of the Loan Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;**17.REDELIVERY**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)In the event that the Charterer has not exercised its option to purchase the Vessel pursuant to Clause 21(a) or the chartering of the Vessel hereunder has been terminated pursuant to any term of this Agreement and if the Charterer has not otherwise acquired title to the Vessel pursuant to Clause 22 (*Transfer of Title to Vessel*), the Charterer shall, at its own expense, redeliver the Vessel to the Owners or their designee on the expiry date of the Charter Period at an easily accessible recognised safe and ice-free port of the Owners' choosing in Japan or in any other location to be designated by the Owners. All costs, charges, stamp duties, taxes, legal fees and other costs and expenses whatsoever associated with the redelivery of the Vessel shall be payable by the Charterer including, without limitation, the redelivery inspection, examination and survey and/or cancellation of registration or any release of any Security Documents as a result shall be at the sole cost of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)At the time of redelivery of the Vessel under Clause 17(a), at the Charterer's expense:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Vessel shall comply with all the requirements in Schedule 7 and shall be in such condition as to demonstrate compliance by the Charterer with its obligations under this Agreement;

all subsisting rights relating to the Vessel which are capable of assignment to the Owners and which are, at the time of delivery, vested in the Charterer shall be assigned by the Charterer to the Owners or such person as the Owners may stipulate as the purchaser of the Vessel, as appropriate, and the Charterer shall, at its own cost and expense, execute such documentation and give such notices to give effect to such assignment as the Owners may reasonably request; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)no later than seven (7) days prior to the expiry date of the Charter Period, a survey shall be carried out by a surveyor of a survey company of international reputation nominated by the Representative Owner in order to determine the structure, state, condition and class of the Vessel and whether the Charterer has complied with the requirements relating to redelivery and the redelivery conditions pursuant to this Clause 17 (*Redelivery*). The determination of such survey will be binding on each of the Owners and the Charterer save for manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Until the Vessel shall have been redelivered to the Owners pursuant to Clause 17(a) in the condition required by Clause 17(b) following the survey to be carried out pursuant to Clause 17(b), the Charterer shall, at no cost to the Owners:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)continue to perform all its obligations under this Agreement and, in particular without limitation, it shall continue (A) to perform its undertakings under Clauses 11(a), 12 and 13 and (B) to procure that the Vessel is insured in accordance with Clause 15 (*Insurance*); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)unless the Representative Owner otherwise directs, store or procure the storing of the Vessel at the location designated by the Representative Owner and under conditions reasonably approved by the Representative Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Upon completion of the redelivery of the Vessel in accordance with Clauses 17(a) and 17(b), the Charterer shall arrange for the storing of the Vessel at a port chosen by the Charterer and acceptable to the Owners for a period of sixty (60) days from the date of such completion, at no cost to the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Notwithstanding any provision to the contrary in this Agreement or any other Operative Document and regardless of the expiration or early termination of the Charter Period, the Charterer's obligations to maintain the Vessel, at the Charterer's expense, in good operating condition and repair in accordance with all the standards set forth in Clause 13(a) and to comply with all provisions of this Clause 17 (*Redelivery*) shall survive until the Charterer has fully performed all its obligations under this Clause 17 (*Redelivery*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)In the event that the Charterer has not exercised its voluntary option to purchase under Clause 21(a) by (and including) the Early Buy-out Option Notification Cut-off Date, the Owners and, if any, the Remarketing Agent shall be entitled to remarket the Vessel from the Early Buy-out Option Notification Cut-off Date, and the Charterer shall, at the request of the Owners or such Remarketing Agent, fully cooperate with the Owners or such Remarketing Agent, as the case may be, in connection with such remarketing, provided that the cost of such remarketing shall be borne by the Owners and that such remarketing shall not prejudice the right of the Charterer under Clause 11(e)(ii).

Each party shall exercise its rights and perform its obligations under this Clause 17 (*Redelivery*) in accordance with, and subject to, and only to the extent permitted by, the terms of the Security Documents and subject to the rights of the Finance Parties under the Security Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)In the event that any of the redelivery conditions set out in this Clause 17 (*Redelivery*) have not been complied with, the Owners shall be entitled to claim damages from the Charterer in respect of any losses suffered or incurred and properly documented by the Owners in respect of such breach including, without limitation, in respect of costs incurred and properly documented by the Owners to put the Vessel in the condition required by this Clause 17 (*Redelivery*).

&nbsp;&nbsp;&nbsp;&nbsp;**18.EVENTS OF DEFAULT**

Each of the following events shall constitute (A) a repudiatory breach of this Agreement and (B) an Event of Default and shall entitle the Owners to the measures and remedies set out in Clause 19 (*Owners' Rights following an Event of Default*):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the Charterer fails to make any payment of Charter Hire or any other amount payable under this Agreement or any other Operative Document on the due date, unless the non-payment is due to a technical or administrative default in the transfer of funds and is remedied within three

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Business Days; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the Charterer Guarantor fails to make any payment of any amount payable under the Guarantee or any other Operative Document or the Charterer fails to make any payment of any amount payable under the Charterer Account Charge and Onward Assignment on the due date, unless the non-payment is due to a technical or administrative error in the transfer of funds and is remedied within three (3) Business Days of the due date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)the Charterer, the Charterer Guarantor or the Manager does not comply with any provision of the Operative Documents to which it is a party (other than those referred to in this Clause or the occurrence of any Change of Control Event), **provided that**, no Event of Default under this subparagraph will occur if the failure to comply is in the opinion of the Agent (acting on the instructions of all the Lenders) and the Owners capable of remedy and is remedied within thirty (30) days of the earlier of

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the giving of notice to the Charterer and (ii) the Charterer becoming aware of the failure to comply; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)the Charterer or, as applicable, the Charterer Guarantor shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)fail to obtain and/or maintain or cause to be obtained and/or maintained (in each case in accordance with the terms of Clause 15 (*Insurance*)) the Insurances in full force and effect or if any Insurer in respect of any Insurance shall cancel the Insurances or disclaims liability by reason, in either case, of misstatement in any proposal for the Insurances or for any other failure or default on the part of the Charterer or the Charterer commits any other breach of or omits to observe any of the obligations or undertakings expressed to be assumed by it under Clause 15 (*Insurance*) unless such breach is caused solely by a Sub-charter Breach in which case the Charterer shall be given seven (7) days remedy period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)breach any of its covenants under Clause 11(c)(iv); or

fails to redeliver the Vessel in accordance with this Agreement; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)breach any of its covenants under clause 7 (*Financial covenants*) of the Guarantee; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)the Charterer Guarantor, the Charterer or the Manager breaches any of its covenants or representations under Clauses 10(a)(xliii), 10(a)(xliv), 10(a)(xlvi), 10(a)(xlvii), 11(a)(ix), 11(a)(x), 11(a)(xi) and 11(a)(xiii) of this Agreement or clauses 6.1.14 (*Sanctions*) and 8.7 (*Sanctions*) of the Guarantee, provided that it shall not be an Event of Default if (i) in the opinion of the Agent (acting on the instructions of the Majority Lenders) and the Owners there is a reasonable prospect of the breach being remedied within the period determined by the Agent (acting on the instructions of the Majority Lenders) and the Owners (each acting reasonably) which period shall not be greater than seven (7) days of the breach occurring and (ii) the breach is remedied to the Agent and Owners' satisfaction within such permitted remedy period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)any representation or warranty of the Charterer, the Manager or the Charterer Guarantor in this Agreement or any other Operative Document to which it is a party, is or proves to have been untrue, inaccurate, incorrect or misleading in each case as of the date when made, deemed made or repeated and, if capable of remedy, is not remedied within thirty (30) days after discovery of the same; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)any Authorisation from any Government Entity necessary to enable the Charterer, the Charterer Guarantor or the Manager to comply with any provision under any Operative Document is not granted, expires without being renewed or is withdrawn, cancelled, suspended, revoked or modified as a result or any action or omission of the Charterer, the Charterer Guarantor or the Manager so that it would have a Material Adverse Effect on the Charterer's, the Charterer Guarantor's or the Manager's ability to perform its obligations under the Operative Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)the Charterer or the Charterer Guarantor suspends or ceases to carry on the whole or a substantial part of its primary business existing as of the date of this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any of its Financial Indebtedness is not paid when due or any "event of default" (howsoever described) occurs thereunder (after the expiry of any originally applicable grace period or prematurely at any time) in respect of the Charterer or the Charterer Guarantor and the aggregate unpaid amount of Financial Indebtedness is more than eight million dollars (US$8,000,000.00) or its equivalent; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)the Charterer or the Charterer Guarantor is subject to an unsatisfied, uninsured judgment in its disfavour following final appeal and this is likely to have a Material Adverse Effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)any expropriation, attachment, sequestration, distress or execution which affects any asset or assets of the Charterer is not discharged within twenty

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(20) days unless contested in good faith; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)any of the following occurs in respect of the Charterer or the Charterer Guarantor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it is, or is deemed for the purposes of any Applicable Law to be, unable to pay its debts as they fall due or insolvent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)it admits its inability to pay its debts as they fall due;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)it suspends making payments on any of its debts or announces an intention to do so;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)a moratorium is declared in respect of any of its indebtedness; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)insolvency proceedings or any analogous procedure is initiated against it; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)there shall occur a Material Adverse Effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)to the extent the Manager is a company in the Flex Group, there shall occur an event of default in respect of the Manager under the Management Agreement, or any of the Manager's obligations under the Management Agreement has been breached by the Manager and such breach is not remedied pursuant to the terms thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)commencement of any litigation, arbitration, regulatory, administrative proceeding or other actions or proceedings or Environmental Losses before any court, governmental or administrative agency or arbitral body (including, but not limited to, investigative proceedings), in each case against the Charterer or the Charterer Guarantor which, if adversely determined, might reasonably be expected to constitute a Material Adverse Effect, provided that no Event of Default shall occur if such proceedings are frivolous and are discharged within fourteen (14) days; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)in the event of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a writ or libel being filed against the whole or any part of the Vessel, her Earnings or the Insurances, or of any of the same being arrested, attached or levied upon pursuant to legal process or purported legal process; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)detention of the Vessel in exercise or purported exercise of any lien or claim referred to in paragraph (i) above,

the Charterer or the Charterer Guarantor shall have failed to procure the discharge of the writ or libel or, as the case may be, the release of the Vessel, her Earnings and the Insurances from such arrest, attachment, levy or detention within twenty (20) days upon receiving notice, by providing bail or procuring the provision of security or otherwise as the circumstances may require, in each case unless contested in good faith in which case the Charterer or the Charterer Guarantor, as the case may be, will have an additional thirty (30) days to procure the discharge of the writ or libel or, as the case may be, the release of the Vessel, her Earnings and the Insurances from such arrest, attachment, levy or detention and a further thirty (30) days to so procure where the Charterer or the Charterer Guarantor, as the case may be, demonstrates to the satisfaction of the Representative Owner

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and the Agent (each acting reasonably) that the Charterer or the Charterer Guarantor, as the case may be, continues to contest such arrest, attachment, levy or detention in good faith; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)any of the Operative Documents shall become impaired, null and void or invalid or unenforceable either in whole or in part whereby in the reasonable judgment of the Owners and/or the Agent's, the Owners', the Registered Owner's and/or the Finance Parties' position is materially impaired or may become impaired; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r)any Transaction Security ceases to be legal, valid, binding, enforceable or effective or such Transaction Security ceases to provide a perfected first priority security interest in favour of the Owners or the Security Agent, as the case may be and the same is not remedied within thirty (30) days of the cessation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)the Charterer or the Charterer Guarantor repudiates any material provision of an Operative Document or evidences an intention to repudiate any material provision of an Operative Document; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)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 a Mortgage is contested; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u)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 Security Agent in its discretion considers that, as a result, the security conferred by the Security Documents is materially prejudiced; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)the Vessel is abandoned; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w)an Acceleration Event arises as a result of an Event of Default; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)any of the conditions subsequent specified in Schedule 2 Part 3 are not satisfied within the required time period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)any merger, amalgamation, de-merger, split-up, divest, consolidation with or into any other person or be the subject of any reconstruction, name change or change of type of organisation of the Charterer or Charterer Guarantor, as applicable, occurs without the written consent of the Representative Owner and the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;**19.OWNER'S RIGHTS FOLLOWING AN EVENT OF DEFAULT OR A RELEVANT EVENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)If a Relevant Event occurs and while it is continuing, the Owners or the Security Agent (on behalf of the Owners) may, at any time after the occurrence of that Relevant Event and so long as the same is continuing, provide a notice to the Charterer declaring that a Relevant Event has occurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)If an Event of Default occurs:

as described in Clause 18 (*Events of Default*), the Owners or the Security Agent (on behalf of the Owners) may, at any time after the

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occurrence of that Event of Default and so long as the same is continuing, by notice to the Charterer (which notice may be contained in any notice delivered pursuant to Clause 19(a) or in a separate notice given at a later time) terminate the Charter Period, (or, at the option of the Owners and the Security Agent as the assignee under the Security Assignment, the chartering of the Vessel under this Agreement) on the Termination Date specified in such notice (which Termination Date may be the date of such notice or any later date) and the Charter Period shall terminate on that Termination Date; and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)following the Termination Date or any notice being served on the Charterer pursuant to Clause 19(a), the Owners may exercise any right or remedy which may be available to the Owners under the Operative Documents or Applicable Law or proceed by appropriate court or other action to enforce performance by the Charterer and/or the Charterer Guarantor of the applicable covenants and provisions of this Agreement or any other Operative Document or to recover damages for the breach thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)After&nbsp;&nbsp;&nbsp;&nbsp;the&nbsp;&nbsp;&nbsp;&nbsp;Owners&nbsp;&nbsp;&nbsp;&nbsp;have&nbsp;&nbsp;&nbsp;&nbsp;given&nbsp;&nbsp;&nbsp;&nbsp;a&nbsp;&nbsp;&nbsp;&nbsp;notice of&nbsp;&nbsp;&nbsp;&nbsp;termination&nbsp;&nbsp;&nbsp;&nbsp;pursuant&nbsp;&nbsp;&nbsp;&nbsp;to Clause 19(b):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Charter Period in respect of the Vessel (or, at the option of the Owners (and the Security Agent as the assignee under the Security Assignment) the chartering of the Vessel under this Agreement) shall terminate on the date specified in such notice (which shall be the Termination Date), and the Charterer shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)at the Charterer's expense, return the Vessel to the order of the Owners (or to the order of any purchaser of the Vessel designated by the Owners) in accordance with Clause 17 (*Redelivery*) and perform its obligations described therein;

be obliged to pay on the Termination Date the sum of (I) the Stipulated Loss Value as of the Termination Date, (II) any unpaid Charter Hire in respect of the Vessel due and payable on or prior to the Termination Date and (III) all other amounts owing by the Charterer to the Owners, the Finance Parties or any other Indemnitee under this Agreement or any other Operative Document. Upon receipt by the Owners, the Finance Parties and each other Indemnitee of all such amounts payable to them under the Operative Documents and subject to paragraph (ii) below (a) title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*) and (b) the Charter Period shall terminate;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)indemnify the Owners and the Finance Parties on demand against any loss (excluding loss of profit), damage, expense, cost or liability which the Owners or the Finance Parties, as the case may be, may sustain or incur directly or indirectly as a result, including but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.the cost of funds borrowed in order to carry any unpaid amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.any premium, penalty or expense which may be incurred as a result of acceleration of the Loan or any Break Costs arising as a result of any non-payment by the Charterer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III.any loss, cost, expense or liability sustained or incurred by the Owners or the Finance Parties, as the case may be, owing to Charterer's failure to redeliver the Vessel on the date, at the place and in the condition required by this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)notwithstanding Clause 19(c)(i)(A), in the event that all sums due and owing to the Owners, the Finance Parties and any other Indemnitees under Clause 19(c)(i) have been irrevocably and unconditionally received by the Owners, the Finance Parties and any other Indemnitees, the Charterer may take title to the Vessel from the Owners in accordance with Clause 22 (*Transfer of Title to Vessel*) by paying to the Owners an additional amount, if any, which is the excess of the then Fair Market Value of the Vessel (as determined in accordance with the appraisals from internationally reputable appraisers appointed by the Owners at the Charterer's cost) over the Stipulated Loss Value as of the Termination Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)if the Charterer does not pay all sums owing pursuant to Clause 19(c)(i) and/or does not return the Vessel to the Owners by the Termination Date, then (but without prejudice to the Charterer's obligations to pay the amounts required to be paid pursuant to Clause 19(c)(i) or any other provision of this Agreement): (x) the Owners (acting on the instructions of the Security Agent) may repossess the Vessel by all means legally available to them in any relevant jurisdiction; and (y) the Owners (acting on the instructions of the Security Agent) may after the Termination Date sell the Vessel in any manner and for any price as the Owners (acting on the instruction of the Security Agent) think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Upon the sale of the Vessel in accordance with the provisions of Clause 19(c)(ii), the sales proceeds shall be paid to the Dollar Account A and the proceeds shall be applied in accordance with clause 16.11 (*Application of moneys by Security Agent*) of the Loan Agreement.

Each party shall exercise its rights and perform its obligations under this Clause 19 (*Owners' Rights following an Event of Default*) in accordance with and subject to, and only to the extent permitted by, the terms of the Security Documents and subject to the rights of the Finance Parties under the Security Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;**20.RELEVANT PARTY EVENT AND CHARTERER'S RIGHTS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)At any time after the occurrence of any Relevant Party Event and so long as the same is continuing, the Charterer may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)proceed by appropriate court action to enforce performance by any Relevant Party of the applicable obligations, covenants or undertakings of this Agreement or the other Operative Documents or to recover damages for the breach thereof (for the avoidance of doubt, during such period the Charterer shall continue to pay Charter Hire and all other amounts payable by it under the Operative Documents); and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if the parties are unable to reach an agreement after the consultation set out in Clause 20(b) within fourteen (14) days of the occurrence of such Relevant Party Event, terminate the Charter Period within sixty

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(60) days after the end of such 14-day period by notice to the Owners, and the Charter Period shall terminate on the Termination Date specified in such notice. On such Termination Date, the Owners shall transfer title and ownership to the Vessel to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*) in exchange for the Charterer's payments to the Owners of an amount equal to the sum of (A) the Special Termination Value as of the Termination Date, (B) any unpaid Charter Hire in respect of the Vessel due and payable on or prior to the Termination Date and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) all other amounts due and payable that remain outstanding and owing by the Charterer to the Owners, the Finance Parties and any other Indemnitees under this Agreement or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In the event that any Relevant Party Event occurs with respect to the Owner Parent (and not to the Owners or the Registered Owner) at any time, any of the Charterer, the Owners and the Agent (acting on the instructions of all the Lenders) may request (by giving written notice) that they consult in good faith with each other with the view of (A) causing a Relevant Party not subject to such Relevant Party Event to assume the rights and obligations of the Relevant Party subject to such Relevant Party Event under the Operative Documents or take over such Relevant Party or (B) causing the shareholding by the Owner Parent in the Owners and Registered Owner to be assigned or transferred to a third party which is acceptable to the Charterer and the Agent (acting on the instructions of all the Lenders), each acting in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;**21.OPTION TO PURCHASE AND EARLY TERMINATION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Voluntary Option to Purchase

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer shall have the right, exercisable by irrevocable written notice to the Owners given not earlier than eighteen (18) months nor later than twelve (12) months prior to each Early Buy-out Date to purchase the Vessel upon the relevant Early Buy-out Date.

If such notice is given by the Charterer, the Charter Period shall terminate on the relevant Early Buy-out Date and the Charterer shall be obliged to pay to the Owners on the relevant Early Buy-out Date

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the relevant Early Buy-out Price, (ii) all Charter Hire then due and payable and (iii) all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document and upon receipt by the Owners, the Finance Parties and the other Indemnitees of their respective portions of all such amounts title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)In the event that the Charterer (i) has advised the Owners on or prior to the Early Buy-out Option Notification Cut-off Date that it will not exercise the Early Buy-out Option on the Second Early Buy-out Date or (ii) has not provided the Owners by the Early Buy-out Option Notification Cut-off Date with a notice to exercise the Early Buy-out Option on the Second Early Buy-out Date, then in each such case it will pay to the Owners on or prior to the Early Buy-out Option Notification Cut-off Date applicable to the Second Early Buy-out Date a lump sum, non-refundable amount equal to the Supplemental Hire Amount as supplemental hire amount. In the event that the chartering of the Vessel terminates for any reason after the Early Buy-out Option Notification Cut-off Date applicable to the Second Early Buy-out Date, such supplemental hire amount shall not reduce or affect the obligation of the Charterer to make a relevant termination amount (including, without limitation, the Stipulated Loss Value or the Special Termination Value as applicable) in connection with such termination, which must be paid in full.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Early termination as a result of additional payments

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding anything in this Agreement to the contrary, if the Charterer shall become obliged to indemnify and pay to the Owners any amount under Clause 9(a) (*Tax Indemnity*) or make additional payments to the Owners under Clause 9(f), then, upon or at any time after the expiry of any period of consultation required by Clause 9(g) and unless, in the case of the additional payment under Clause 9(f), the Owners shall not waive their right for such payment, the Charterer shall be entitled, by notice to the Owners, to terminate the Charter Period with the consent of the Agent acting on the instructions of all the Lenders in respect of the Vessel on the date specified in such notice (which shall be the Termination Date), being not earlier than ten (10) Business Days after the date of such notice.

The Charterer shall, on the Termination Date determined in accordance with paragraph (i) above, pay to the Owners the Stipulated Loss Value (in any case other than where the Special Termination Value is applicable below) or the Special Termination Value (if the relevant event resulting in the occurrence of the Termination Date is caused due to a change in law in Japan) as at the Termination Date, together with payment to the Finance Parties and other Indemnitees of all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)At such time as the Owners, the Finance Parties and the other Indemnitees have received the amounts payable under the Operative Documents and in accordance with this Clause 21(b) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and the Charterer may take title to the Vessel from the Owners in accordance with Clause 22 (*Transfer of Title to Vessel*) by paying to the Owners the Stipulated Loss Value or the Special Termination Value (as the case may be) as of the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Early termination as a result of unlawfulness

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding anything in this Agreement to the contrary, if

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)it becomes or is likely to become unlawful or illegal under any Applicable Law or contrary to any consent or regulation for any person to participate, or continue to participate, in the transactions contemplated by the Operative Documents or for any relevant person to perform a material obligation thereunder; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)any Government Entity withdraws, cancels or suspends any Authorisation or such Authorisation of any person to participate, or continue to participate, in the transactions contemplated by the Operative Documents (including, without limitation, any Sub-charterer) shall be modified so that it would materially and adversely affect such person's ability to perform its obligations under the Operative Documents to which it is a party, and such withdrawal, cancellation or suspension is not as a result of any action or omission of the Charterer or the Charterer Guarantor;

then, upon or at any time after the expiry of any period of consultation required by Clause 21(c)(iv) or 21(c)(v) below, in the circumstances referred to above, either the Owners or the Charterer shall be entitled, by notice to the other, to terminate the Charter Period in respect of the Vessel on the date specified in such notice (which shall be the Termination Date), being not earlier than, four (4) Business Days prior to (i) (in case of any event set out in (i) above) the latest date permitted by the relevant Applicable Law, consent or regulation prior to such unlawfulness or illegality or being contrary to consent or regulation becoming effective or, if such unlawfulness or illegality or other circumstance has become effective, four (4) Business Days after the date of such notice, or (ii) (in case of any event set out in (ii) above) the date of withdrawal, cancel or suspension of such Authorisation or, if such withdrawal, cancel or suspension has become effective, four (4) Business Days after the date of such notice.

The Charterer must, on the Termination Date determined in accordance with the foregoing paragraph, pay to the Owners in accordance with the instructions of the Agent the Stipulated Loss Value (in any case other than where the Special Termination Value is applicable below) or the Special Termination Value (if the relevant event resulting in the occurrence of the Termination Date is caused due to a change in law in Japan) as at the Termination Date,

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together with payment to the Finance Parties and the other Indemnitees of all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received the amounts payable under the Operative Documents and in accordance with this Clause 21(c)(iii) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Subject always to the rights of the parties hereto to terminate the Charter Period in respect of the Vessel pursuant to any other provision of this Agreement other than Clause 22 (*Transfer of Title to Vessel*), if any of the parties hereto becomes aware of any circumstances which will give rise to any unlawfulness or illegality or being contrary to any consent or regulation of the kind or any withdrawal, cancel or suspension of such Authorisation referred to in Clause 21(c)(iii), or if any Operative Document becomes null and void or invalid or unenforceable in whole or in part, it shall promptly advise the other party of such circumstances and the parties hereto shall (except where Clause 18(q) or 18(r) or any other Event of Default applies and without prejudice to the Charterer's obligations under any provision of this Agreement) forthwith negotiate with each other in good faith at the cost of the Charterer for a period of sixty

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(60) days or such shorter period ending not less than fourteen (14) days prior to the circumstances giving rise to such unlawfulness or illegality becoming effective, such consent or regulation being breached, such withdrawal, cancel or suspension being effective or such Operative Document becoming null and void or invalid or unenforceable or in either case such shorter period as the parties shall agree (but shall not be obliged to do so thereafter) with a view to making arrangements and restructuring this transaction in such a manner as shall be lawful so as to continue the chartering of the Vessel contemplated hereby and so as to achieve substantially the same results as would have been achieved in the absence of such unlawfulness or illegality, being contrary to any consent or regulation, such withdrawal, cancel or suspension, or such Operative Document becoming null and void or invalid or unenforceable.

Notwithstanding anything to the contrary, no arrangements or restructuring shall be agreed or implemented under Clause 21(c)(iv) without the consent of the Owners and the Agent (acting on the instructions of all the Lenders) and unless the Owners and the Agent shall have received tax and legal opinions and the Charterer shall have reimbursed the Owners and the Finance Parties for all reasonable costs incurred by it (including without limitation legal counsel and tax counsel fees) in respect thereof, in each case to its reasonable satisfaction.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Early termination as a result of denial of tax benefits

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Notwithstanding anything in this Agreement to the contrary, if the Owners or any Kumiai-in incurs or is expected to incur any Tax under the laws of Japan for which the Charterer is not obliged to indemnify the Owners or such Kumiai-in (other than a Tax caused by a Relevant Party Event or a Tax falling within the scope of Clause 9(b)(vi)), then, in the circumstances referred to above, the Owners shall be entitled, by notice to the Charterer, to terminate the Charter Period in respect of the Vessel on the date specified in such notice (which shall be the Termination Date), being not earlier than ten (10) Business Days after the date of such notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall, on the Termination Date determined in accordance with the foregoing paragraph, pay to the Owners in accordance with the instructions of the Agent the Special Termination Value as at the Termination Date, together with payment to the Finance Parties and the other Indemnitees of all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received their respective portions of the amounts payable by the Charterer in accordance with this Clause 21(d)(iii) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Early Termination as a Result of Change of Control Event or Termination of the Initial Sub-charter

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If any of the following events occurs:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any Change of Control Event; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the early termination (for whatever reason) of the Initial Sub-charter, unless an alternative employment reasonably satisfactory to the Owners and Agent (acting on the instructions of the Majority Lenders) has been secured within one hundred eighty (180) days to the satisfaction of the Owners and the Agent,

then the Charterer or the Owners shall immediately upon becoming aware thereof give notice to the other and to the Agent, and the Representative Owner (or the Security Agent on its behalf) may give notice to the Charterer to terminate the Charter Period and to pay the amount due in accordance with paragraph (ii) below and upon such notice the Charterer shall on the date of such notice (which shall be the Termination Date) make payment to the Owners accordingly and the Charter Period shall cease; provided that, in respect of a Change of Control Event only, such notice to terminate

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may not be served earlier than twenty (20) Business Days after the occurrence of the Change of Control Event (the "**Change of Control Negotiation Period**") and may only be served if the Change of Control Event is continuing at such time, in which case (if termination notice is given) the Charter Period shall terminate on the expiry of the Change of Control Negotiation Period and payment by the Charterer of the amount due in accordance with paragraph (ii) below shall be made on the expiry date of the Change of Control Negotiation Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)The Charterer shall, on the Termination Date determined in accordance with the foregoing paragraph, pay to the Owners the Stipulated Loss Value as at the Termination Date, together with all other amounts then due and payable by the Charterer and the Charterer Guarantor under this Agreement or any other Operative Document, and if the Termination Date is a Payment Date, the Charter Hire and all other amounts incurred and properly documented and payable on that date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received the amounts payable by the Charterer in accordance with this Clause 21(e) in full, the obligation of the Charterer to pay Charter Hire hereunder after such date shall cease and the Charterer may take title to the Vessel from the Owners in accordance with Clause 22 (*Transfer of Title to Vessel*) by paying to the Owners the Stipulated Loss Value as of the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)Acceleration of Loan

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If on any date the Loan becomes due and payable in full pursuant to the provisions of the Loan Agreement then the Charter Period shall (unless the Agent has notified the Owners and the Charterer otherwise) automatically (without need for notice or other action) terminate on the date on which the Loan becomes due and payable, which date shall be the Termination Date, and the Charterer shall pay to the Owners in accordance with the instructions of the Agent on the Termination Date the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)where the Loan has become due and payable pursuant to clause 21 (*Events of Default*) of the Loan Agreement by reason of the occurrence of an "Event of Default" under the Loan Agreement (otherwise than due to a Default or an Overriding Cause), the Special Termination Value; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)where the Loan has become due and payable in any other circumstances or for any other reason in circumstances or for a reason other than as mentioned in (A) above, the Stipulated Loss Value (in any case other than where the Special Termination Value is applicable below) or the Special Termination Value (if the relevant event resulting in the occurrence of the Termination Date is caused due to a change in law in Japan); and

in each case, all Charter Hire (if any) then due and payable, any additional amounts (on an indemnity basis) and all other amounts

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then due and payable by the Charterer and the Charterer Guarantor to the Owners, the Registered Owner, the Finance Parties, the Remarketing Agent, the other Indemnitees under this Agreement or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received all the amounts payable under the Operative Documents and in accordance with this Clause 21(f) in full, title to the Vessel shall be transferred to the Charterer in the manner provided in Clause 22 (*Transfer of Title to Vessel*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Survival of Terms

The Charterer's and the Owners' rights and obligations under this Clause 21 (*Option to Purchase and Early Termination*) and under Clauses 4 (*Delivery, Acceptance and Title*), 5 (*Extent of Owners' Liability*), 6 (*Charter Hire*), 7 (*Payments, Interest and Calculations*), 8 (*Costs and Indemnities*), 9 (*Taxation*), 19 (*Owners' Rights following an Event of Default*), 20 (*Relevant Party Event and Charterer's Rights*), 22 (*Transfer of Title to Vessel*) and 23 (*Costs and Expenses*) of this Agreement and the rights of each Finance Party, Relevant Party, Indemnitee and Tax Indemnitee under Clauses 4 (*Delivery, Acceptance and Title*), 5 (*Extent of Owners' Liability*), 6 (*Charter Hire*), 7 (*Payments, Interest and Calculations*), 8 (*Costs and Indemnities*), 9 (*Taxation*), 19 (*Owners' Rights following an Event of Default*), 20 (*Relevant Party Event and Charterer's Rights*), 22 (*Transfer of Title to Vessel*) and 23 (*Costs and Expenses*) of this Agreement shall survive any termination of the Charter Period or any termination of this Agreement or any other Operative Document.

&nbsp;&nbsp;&nbsp;&nbsp;**22.TRANSFER OF TITLE TO VESSEL**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)At such time as the Owners, the Finance Parties and the other Indemnitees shall have received all amounts payable by under the Operative Documents in accordance with any of Clauses 16(b)(i), 16(b)(ii), 19(c)(i)(B), 20(b), 21(a), 21(b), 21(c), 21(d), 21(e) or 21(f) and have received all other amounts (if any) then payable by the Charterer to the Owners and the Finance Parties under the Operative Documents, the Owners shall procure that all of the right, title and interest of the Owners and the Registered Owner in and to the Vessel shall, on or as soon as reasonably practicable after such time, be transferred from the Owners and the Registered Owner to the Charterer, in each case, without recourse or warranty (other than as to the absence of Owner Liens) and without further act, and on an "as-is, where-is" basis, and if requested by the Charterer, the Owners shall, and shall procure that the Registered Owner shall, promptly execute and deliver a bill of sale or bills of sale (as appropriate) in respect of the Vessel and such other documents and instruments as the Charterer shall reasonably request to evidence (on the public record or otherwise) such transfer and the vesting of all right, title and interest of the Owners and the Registered Owner in and to the Vessel in the Charterer, free and clear of any Owner Lien.

Other than as referred to in this Clause 22(b), none of any Owner, the Registered Owner or any Finance Party makes or will make any warranties, guarantees or representations of any kind, express or implied, statutory or otherwise, with regard to the Vessel including, but not limited to, the condition of the Vessel, and the Charterer hereby waives and agrees to,

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waive all remedies, warranties, representations, guarantees, express or implied arising by law or otherwise, including without limitation any obligation of any Owner, the Registered Owner or any Finance Party with respect to fitness for any purpose merchantability or consequential damages. Each Owner warrants that there shall be vested in the Charterer such title to the Vessel as was transferred to the Registered Owner by the Charterer pursuant to the Memorandum of Agreement and that the Vessel will (provided that the amounts referred to in Clause 22(a) have been paid in full) be free and clear of all Owner Liens.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)All costs, charges, stamp, documentary, value added, turnover, transfer, consumption and sales or similar Taxes and all other Taxes, legal fees and other costs and expenses whatsoever associated with the transfer of title to the Vessel, including, without limitation, any registration or any release of any Security Documents as a result, shall be borne by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;**23.COSTS AND EXPENSES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Charterer shall bear all the legal fees and documentation costs incurred by the Owner Parent, the Registered Owner, the Owners and the Finance Parties in respect of the preparation, negotiation, printing and execution of the Operative Documents (including any stamp duties or transfer taxes) and the costs and expenses associated with purchase of the Vessel, subject to any agreed caps.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Charterer shall bear any and all costs related to the registration and flagging of Vessel by the Owners, including mortgage and ownership registration costs and all other purchase costs incurred by the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)The Charterer shall on demand pay or reimburse the Owners, the Registered Owner and the Finance Parties for all fees and expenses (including, without limitation, legal and accounting fees and expenses) and out-of-pocket costs and expenses incurred by it (i) in connection with any amendment, alteration, variation, consent or approval requested or required by the Charterer to implement this Agreement or any Operative Document or (ii) in connection with any preservation or enforcement of any of the rights of the Owners, the Representative Owner, the Registered Owner, the Finance Parties, any Indemnitee or Tax Indemnitee hereunder or thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Charterer shall promptly pay any stamp or other documentary or registration duties and taxes which are payable in connection with the execution or delivery of any of the Operative Documents or the purchase and sale or chartering of the Vessel or which any of the Operative Documents or the transactions contemplated thereby may be subject or give rise to (in each case whether imposed on or required to be paid by the Owners, the Registered Owner or the Charterer or any other party to the Operative Documents) and shall indemnify each Tax Indemnitee from and against any Losses which it may incur as a result of any delay or omission by the Charterer to pay any such duties or taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Except as otherwise provided in this Agreement, where:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)each of the Owners' or the Registered Owner's performance of any of its obligations under the Loan Agreement or any of the other

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Operative Documents requires or results in the incurring of any cost or expense by the Owners or the Registered Owner (whether or not the relevant obligation is expressed (in whatever terms) to be owed by the Owners or the Registered Owner at its cost or expense or is subject to the Owners or the Registered Owner being indemnified against any cost or expense); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in any Operative Document any obligation of any Finance Party is expressed (in whatever terms) to be owed to the Owners or the Registered Owner at no cost or expense to such Finance Party or at the cost or expense of the Owners or the Registered Owner or is subject to such Finance Party or the Owners or the Registered Owner being indemnified against any cost or expense,

the Charterer will on demand of the Owners pay to the Owners or the Registered Owner, as the case may be, such amount as may be necessary (in the case of (i) above) to ensure that the each of the Owners and the Registered Owner is able to perform its obligations at no cost or expense to the Owners or the Registered Owner or (in the case of (ii) above) to enable the Owners or the Registered Owner to pay each Finance Party's costs or expenses in complying with such obligation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)To the extent that any amendment and/or amendment and restatement is required to be made to the Operative Documents to reflect this agreement between the Parties (including if required the inclusion of hedging arrangements in the Operative Documents) all costs and expenses (including legal fees) reasonably incurred by any Relevant Party or any Finance Party in connection with the amendment, negotiation, preparation, printing, execution, syndication and perfection of such amended Operative Documents shall be borne by the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;**24.NOTICES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Every notice, request, demand or other communication under this Agreement shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)be in writing delivered personally or by prepaid letter (airmail if international or courier) or email;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)be deemed to have been received, subject as otherwise provided in this Agreement, in the case of a letter, when delivered personally and, in the case of an email, when received in a readable format;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)be sent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in the case of any notice, request, demand or other communication to the Owners and/or the Registered Owner, to:

![image_20.jpg](image_20.jpg)![image_21.jpg](image_21.jpg)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in&nbsp;&nbsp;&nbsp;&nbsp;the&nbsp;&nbsp;&nbsp;&nbsp;case&nbsp;&nbsp;&nbsp;&nbsp;of&nbsp;&nbsp;&nbsp;&nbsp;any&nbsp;&nbsp;&nbsp;&nbsp;notice,&nbsp;&nbsp;&nbsp;&nbsp;request,&nbsp;&nbsp;&nbsp;&nbsp;demand&nbsp;&nbsp;&nbsp;&nbsp;or&nbsp;&nbsp;&nbsp;&nbsp;other communication to the Charterer, to:

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Attention: Email:

c/o Flex LNG Management AS Bryggegata 3

0250 Oslo, Norway Chief Financial Officer finance@flexlng.com

or to such other address or email address as is notified by one party to the other by five (5) Business Days prior notice in writing under this Agreement.

Copies of every such notice, request, demand or other communication shall be sent simultaneously to the Agent as follows:

![image_20.jpg](image_20.jpg)![image_23.jpg](image_23.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)All demands, documents, notices, communications, evidence, reports, opinions and other documents (other than those set forth in item 1(a) of Part 2 of Schedule 2) given or to be given under this Agreement, unless made in the English language, shall be accompanied by an English translation for each copy of the foregoing so given; provided that the English version or translation of all such documents, notices, communications, evidences, reports, opinions and other documents shall govern in the event of any conflict with the non-English version thereof.

&nbsp;&nbsp;&nbsp;&nbsp;**25.ASSIGNMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Save in accordance with the provis10ns of this Agreement and the other Operative Documents and subject to Clause 25(b), no party hereto may assign or otherwise transfer any of its rights under this Agreement or under any of the other Operative Documents without the prior written consent of the other parties and the Security Agent (acting on the instructions of all of the Lenders) and any purported such assignment and/ or transfer in breach of this Clause 25(a) shall be wholly null and void. The Charterer hereby consents to any assignment by the Owners and the Representative Owner of their rights hereunder and under the other Operative Documents to the Security Agent pursuant to the Security Documents and to the exercise of any of the rights of the Security Agent pursuant to the Security Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)In the event that the Charterer has not exercised its voluntary option to purchase under Clause 21 (a) by (and including) the Early Buy-out Option Notification Cut-off Date, the Owners and the Representative Owner may at any time thereafter assign or transfer their rights and obligations under this Agreement to a third party, provided that the Owners and the Representative Owner shall prior to such assignment or transfer discharge all of their respective liabilities to the Finance Parties under the Operative Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)This Agreement and the other Operative Documents shall bind and enure to the benefit of the Owners and the Charterer and their respective and any subsequent respective successors and permitted assigns and permitted transferees.

&nbsp;&nbsp;&nbsp;&nbsp;**26.MISCELLANEOUS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The terms and conditions of this Agreement shall not be varied otherwise than by an instrument in writing of even date herewith or subsequent hereto executed by or on behalf of the Owners and the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each of the Owners and the Charterer agrees to keep the terms and conditions of this Agreement and the other Operative Documents confidential and not to disclose such terms and conditions to any person except that each party, each Indemnitee and each Tax Indemnitee may make disclosure (i) to the Owner Parent, the Kumiai-in or potential Kumiai-in and their respective Affiliates and their respective legal and other professional advisers as well as the Charterer's respective legal and other professional advisers (including, without limitation, insurance brokers, insurers and underwriters, counsel and auditors), (ii) to any Relevant Authority or Government Entity or other person to whom any such person is required by Applicable Law or to whom it is customary in any dealing to disclose such information, (iii) as considered by the Owners, the Charterer or any such person aforesaid to be reasonably necessary for the purposes of any legal or arbitral proceedings or to protect, preserve or enforce its rights under any Operative Document, (iv) as required by Applicable Law, (v) to any taxation or fiscal authority, (vi) if such disclosure is necessary or advisable for the purpose of obtaining any consent of, or exemption from, any governmental or public body or authority, (vii) if the information in question is already in the public domain other than as a result of a breach of this Agreement, (viii) to any Finance Party or potential Finance Party or any of their respective affiliates, employees, directors, officers, representatives and advisors or otherwise to any person to whom disclosure is permitted under the terms of the Loan Agreement, (ix) to a bank or financial institution with whom the Owner Parent enters into (or may potentially enter into) a financing transaction under which payments are to be made or may be made by reference to one or more Operative Documents,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) to any Remarketing Agent or potential Remarketing Agent and (xi) with

the prior consent of the other party.

The rights, powers and remedies of any party (whether arising under this Agreement, any other Operative Document or provided by law) shall not be capable of being waived or varied otherwise than by an express waiver or variation in writing signed by such party. No failure or delay on the part of any party in exercising any right, power or remedy under this Agreement or any Operative Document shall operate as a waiver thereof nor shall any defective, single or partial exercise by any party of any such right, power or remedy preclude any other or further exercise thereof or the exercise of any other right, power or remedy and no act or course of conduct or negotiation on the part of any party or on its behalf shall in any way preclude it from exercising any such right, power or remedy or constitute a suspension or any variation of any such right, power or remedy. The remedies provided in this Agreement and the other Operative Documents are cumulative and are in addition to any remedies provided by law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Any provision hereof prohibited by or unlawful or unenforceable under any Applicable Law actually applied by any court of competent jurisdiction shall (to the extent required by such law) be severed from this Agreement and rendered ineffective so far as is possible without modifying the remaining provisions of this Agreement and neither the legality, validity or enforceability of the remaining provisions hereof nor the legality, validity or enforceability of such provision under the Applicable Law of any other jurisdiction shall in any way be affected or impaired thereby. Where however the provisions of any such Applicable Law may be waived, they are hereby waived by the parties to the full extent permitted by such law, to the end that this Agreement shall be a valid and binding agreement enforceable in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Each of the Owners and the Charterer undertakes and agrees that it will not seek to vary or amend, or consent to the variation or amendment of any Operative Document without the prior written consent of the other parties and the Finance Parties, which consent, as between the Owners and the Charterer, shall not be unreasonably withheld or delayed in the case of any variation or amendment which does not prejudice the position of the other and provided that the consent right of the Charterer shall not apply following the occurrence of an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)If the Charterer fails to comply with any provision of this Agreement, the Owners or the Security Agent may, without being in any way obliged to do so or to treat, and without prejudice to any right of the Owners, the Representative Owner or the Security Agent to treat, that non compliance as an Event of Default, effect compliance on behalf of the Charterer, whereupon the Charterer shall indemnify the Owners, the Representative Owner or, as applicable, the Security Agent in respect of any amount thereby expended by the Owners, the Representative Owner or, as applicable, the Security Agent together with all Losses (including, without limitation, legal fees and expenses) incurred in connection therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)Subject to any express period of grace set out in this Agreement, time shall be of the essence as regards the performance by the parties of their respective obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Any amount referred to in this Agreement which is payable to the Charterer shall not be paid to the Charterer, or, if it has been previously paid directly to the Charterer, shall not be retained by the Charterer (and shall be paid to or received by the Charterer to be held in trust for the Owners), if at the time of such payment an Event of Default shall have occurred and be continuing, but shall be paid to and held by the Owners as security for the obligations of the Charterer under this Agreement, and shall be applied towards payment of the Charterer's obligations under this Agreement, and at such time as there shall not be continuing any such Event of Default such amount (to the extent not so applied) shall be paid over to the Charterer or its designee.

Save where expressly otherwise provided in this Agreement, any certificate or determination by the Owners or any Finance Party as to any rate of interest or as to any amount payable under this Agreement shall be for the purposes of this Agreement and the other Operative Documents *prima facie* evidence of the amount thereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)If any sum paid or recovered in respect of the obligations or liabilities of the Charterer under this Agreement is less than the aggregate amount then due, the Owners may apply such sum in such manner and order as the Owners (acting on the instructions of the Security Agent except in respect of any Excluded Property) shall determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)The Charterer agrees from time to time and at its own cost and expense to do and perform such other and further acts and execute and deliver any and all such other agreements, instruments and documents as may be required by law or reasonably requested by the Owners or the Security Agent to establish, maintain and protect the rights and remedies of the Owners and/or the Registered Owner and/or the Finance Parties, as the case may be, and to carry out and effect the intent and purpose of this Agreement and the other Operative Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)The Owners and the Representative Owner may delegate to the Security Agent and to any other person or persons nominated by the Security Agent, all or any of the rights, powers, remedies or discretions vested in them by this Agreement and any such delegation may be made upon such terms and conditions as the Owners, the Representative Owner and the Security Agent in their absolute discretion think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)The obligations of the Owners under this Agreement and the other Operative Documents are joint and several. The failure of one of the Owners to perform any of its obligations shall not affect, reduce or discharge the liability of the other Owners to perform that obligation and the effectiveness of this Agreement shall be in no way revoked or impaired as to any Owner by any contingency affecting the other Owners (including, without limitation, the occurrence of any Relevant Party Event in relation to the other Owners), any obligations hereunder of the other Owners becoming or proving to be void, voidable or unenforceable at any time or any time or indulgence granted to the other Owners. No Owner shall be entitled to divide the Owner's right, title and interest in or to the Vessel under any circumstances, and without the prior written consent of the Charterer. Full performance by the Charterer of its obligations hereunder in favour of any Owner shall be deemed to be full performance by the Charterer to all Owners (other than in respect to any obligation to make any payment pursuant to Clause 7 (*Payments, Interest and Calculations*), which obligation must be performed as specified in Clause 7 (*Payments, Interest and Calculations*)).

The Owners hereby jointly and irrevocably appoint and authorise the Representative Owner to act as their representative, proxy and agent for all purposes (and whether expressly provided or not) under this Agreement and the other Operative Documents to which the Owners (or the Representative Owner) are a party and authorise and empower the Representative Owner to take any action necessary for the exercise of their rights and performance of their obligations under this Agreement and the other Operative Documents together with such other powers and discretions as are reasonably incidental thereto and, without prejudice to the generality of the foregoing, each Owner hereby irrevocably authorises the Representative Owner or any duly authorised representative of it, and appoints the same, such Owner's attorney-in-fact to complete, amend, execute and deliver on its behalf all or any documents required to be executed by such Owner under or in connection with this Agreement or any

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of the other Operative Documents. The Owners hereby agree that any act done by the Representative Owner under or in connection with this Agreement or any of the other Operative Documents shall be conclusive and binding as between any Owner and the Owner Parent, the other Owners, the Representative Owner and the Charterer, as the case may be.

&nbsp;&nbsp;&nbsp;&nbsp;**27.LAW AND JURISDICTION**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)This Agreement and any non-contractual obligations arising out of or in connection with it are governed by and shall be construed in accordance with the laws of England.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Each of the Owners and the Charterer irrevocably agrees that the courts of England and any appellate court thereof, shall have jurisdiction to hear and determine any suit, action or proceeding, and to settle any disputes (including a dispute relating to any non-contractual obligation arising out of or in connection with this Agreement), which may arise out of or in connection with this Agreement and/or any of the other Operative Documents to which the Owners, the Representative Owner and the Charterer are parties and, for such purposes, irrevocably submits to the jurisdiction of such courts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Each of the Charterer and the Owners irrevocably consents to service of process or any other documents in connection with proceedings in any court by personal service, delivery at its address for notices specified in this Agreement, registered mail or in any other manner permitted by English law, the law of the place of service or the law of the jurisdiction where proceedings are instituted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)The Owners hereby irrevocably designate, appoint and empower the London Process Agent to receive and acknowledge for them and on their behalf any writ, summons, order, judgment or other notice of legal process issued out of the courts of England in any legal action or proceeding arising out of or in connection with this Agreement and any other Operative Document and in the event of the termination of such appointment the Owners undertake promptly to appoint another agent for service of process satisfactory to the Charterer and, failing such appointment by the Owners, the Charterer shall be entitled (and is hereby authorised) to appoint an agent on behalf of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)The Charterer hereby irrevocably designates, appoints and empowers Flex LNG UK Management Limited, currently at 10 Eastcheap, 4th Floor, London EC3M 1AJ, England to receive and acknowledge for it and on its behalf any writ, summons, order, judgment or other notice of legal process issued out of the courts of England in any legal action or proceeding arising out of or in connection with this Agreement and any other Operative Document. In the event of the termination of such appointments the Charterer undertakes promptly to appoint another agent for service of process satisfactory to the Owners and, failing such appointment by the Charterer, the Representative Owner shall be entitled (and is hereby authorised) to appoint an agent on behalf of the Charterer.

Each of the Owners and the Charterer irrevocably waives any objection which it might now or hereafter have to the court referred to in Clause 27(b) being nominated as the forum to hear and determine any suit, action or

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proceeding, and to settle any disputes, which may arise out of or in connection with this Agreement and agrees not to claim that such court is not a convenient or appropriate forum. Each of the Owners and the Charterer waives, to the fullest extent permitted by applicable law, any right it may have to a trial by jury in any legal proceeding directly or indirectly arising out of or relating to this Agreement or the transactions contemplated hereby (whether based on contract, tort or any other theory).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)The submission to the jurisdiction of the court referred to in Clause 27(b) shall not (and shall not be construed so as to) limit the right of any party hereto to take proceedings against any other party hereto in any other court of competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether concurrently or not.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)Each of the parties hereby irrevocably and unconditionally waives any immunity from suit, judgment, execution, set-off, attachment, arrest, specific performance, injunction or other judicial order or remedy to which it or any of its properties may be entitled at present or in the future in any jurisdiction in respect of, and consents generally to the giving of any relief or the issue of any process, including without limitation the making, enforcement or execution against any property whatsoever (irrespective of its use or intended use) of any order or judgment which may be made or given in connection with, any legal action or proceedings with respect to this Agreement or any other Operative Document to which it is a party or in connection herewith or therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)Any person which is a Finance Party, a Relevant Party, an Indemnitee or a Tax Indemnitee from time to time and is not a party to this Agreement shall be entitled to enforce such terms of this Agreement as provide for the obligations of the Charterer to such Finance Party, Relevant Party, Indemnitee or Tax Indemnitee, as the case may be, in each case, subject to the provisions of Clauses 27(a) and the Contracts (Rights of Third Parties) Act 1999 (the "**Third Parties Act**"). The Third Parties Act applies to this Agreement as set out in this Clause 27(i). Save as **provided** above, a person who is not a party to this Agreement has no right to use the Third Parties Act to enforce any term of this Agreement and, subject to the other provisions of the other Operative Documents, the parties to this Agreement do not require the consent of any third party (including, without limitation, any Relevant Party, Indemnitee or Tax Indemnitee who is not a party to this Agreement) to amend or rescind this Agreement at any time.

&nbsp;&nbsp;&nbsp;&nbsp;**28.COUNTERPARTS**

The charter under this Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute but one and the same instrument.

**IN WITNESS** whereof the parties have caused this Agreement to be duly executed the day and year first above written.

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**Description of Vessel**

<br>**SCHEDULE 1 DESCRIPTION OF VESSEL**

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One (1) 173,400cbm MEGI class LNG carrier named M.V. FLEX RESOLUTE (IMO No. 9851646) and to be registered in the name of the Registered Owner under the laws and the flag of the Marshall Islands.

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**SCHEDULE 2**

**LIST OF DOCUMENTS AND EVIDENCE**

**PART 1**

**INITIAL CONDITIONS PRECEDENT**

&nbsp;&nbsp;&nbsp;&nbsp;1.Owners' Conditions Precedent

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Representative Owner having received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a copy, certified by a duly authorised officer of the Charterer and the Charterer Guarantor, as the case may be, to be a true, complete and up-to-date copy, of the Articles of Incorporation and, if any, other relevant constitutional documents of the Charterer and the Charterer Guarantor, as the case may be, together with a commercial registry extracts of the Charterer and the Charterer Guarantor, as the case may be, issued by the applicable authority in the state of incorporation of the Charterer and the Charterer Guarantor, as the case may be;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)**Charterer Corporate Approvals**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)**Board resolutions** – a copy of a resolution of the board of directors of the Charterer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.approving the terms of, and the transactions contemplated by, the Operative Documents to which it is a party and resolving that it execute those Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.authorising a specified person or persons to execute those Operative Documents (and all documents and notices to be signed and/or dispatched under those documents) on its behalf;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)**Specimen signatures** – a specimen of the signature of each person authorised by the resolutions referred to in (A); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)**Officer's certificate** – a copy of certificate of a duly authorised officer of the Charterer certifying that each copy document relating to it specified in this Part 1 of Schedule 2 is correct, complete and in full force and effect and setting out the names of the directors, officers and shareholders of the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)**Charterer Guarantor Corporate Approvals**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)**Board resolutions** – a copy of a resolution of the board of directors of the Charterer Guarantor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I.approving the terms of, and the transactions contemplated by, the Operative Documents to which it is a party and resolving that it execute those Operative Documents; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II.authorising a specified person or persons to execute those Operative Documents (and all documents and notices to be signed and/or dispatched under those documents) on its behalf;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)**Specimen signatures** – a specimen of the signature of each person authorised by the resolutions referred to in (A); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)**Officer's certificate** – a copy of certificate of a duly authorised officer of the Charterer Guarantor certifying that each copy document relating to it specified in this Part 1 of Schedule 2 is correct, complete and in full force and effect and setting out the names of the directors, officers and shareholders of the Charterer Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)a duly executed copy of the Operative Documents together with all notices and acknowledgements (if any) required in connection therewith, duly executed by each of the parties thereto other than any Owner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)evidence satisfactory to it that all reports, registrations, recordings in connection with the transactions contemplated by the Operative Documents were or will be properly submitted and filed and all other actions which are necessary to be taken in connection therewith were taken in the Marshall Islands, Japan and England;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a certificate of an authorized officer of the Charterer Guarantor certifying that (A) no Default has occurred and is continuing and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Vessel exists and is free from any Liens (other than Permitted Liens);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)an appraisal of reputable appraiser(s) appointed by the Owner Parent in form and substance satisfactory to the Representative Owner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)the Original Financial Statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)a certified copy (certified by a director, officer or duly authorised attorney of the Charterer or the Charterer Guarantor) as being true and complete copy of the Initial Sub-charter (including documents amending or amending and novating the same);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)a certified copy (certified by a director, officer or duly authorised attorney of the Charterer or the Charterer Guarantor) as being true and complete copy of the Management Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)a copy of the process agent appointment letter between the Charterer and FLEX LNG UK Management Limited.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The Owners shall be satisfied that the Agent has received such evidence as it reasonably requires to enable each Lender to carry out and be satisfied with the results of its "Know Your Customer Checks" and anti-money laundering documentation (including AML Law) in respect of each of the Charterer, the Charterer Guarantor and the Manager and other relevant person in connection with the transactions contemplated by the Operative Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;2.The Representative Owner having received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the&nbsp;&nbsp;&nbsp;&nbsp;Charterparty Supplement in the form set out in Schedule 3 duly executed and delivered by the Charterer or its authorised representative;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)an opinion in form and substance satisfactory to the Owners in English

![image_24.jpg](image_24.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)a tax opinion from the Japanese tax adviser addressed to the Owners in form and substance reasonably satisfactory to the Owners by reference to Japanese tax laws or regulations or guidelines of the Japanese Leasing Association;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)a certificate of insurance evidencing placing of the Insurances required to be maintained pursuant to Clause 15 *(Insurance)* (including without limitation Clause 15(£)) and confirmation from each Approved Broker and/ or insurer that it will issue a letter of undertaking naming Security Agent as first-sole loss payee);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)evidence that any prior registration (other than through the Flag State) of the Vessel has been or will (within such period as may be approved) be cancelled;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)a copy of the commercial invoice for the Vessel issued by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)a copy of the bill of sale for the Vessel executed by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)a copy of the protocol of delivery and acceptance executed between the Charterer and the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a certificate of ownership and encumbrance in respect of the Vessel evidencing its registration in the name of the Registered Owner and registration of the Mortgage;

ij) a report on the adequacy of the Insurances from an insurance adviser instructed by the Agent (to be obtained at the cost of the Charterer, subject to Charterer's pre-approval of such costs);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)a certified true copy of a certificate of classification and class maintenance certificate issued by ABSand any evidence that the Vessel has been issued with valid Certificate of Survey as required for a ship of her type;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)an original of a certificate of the Charterer certifying that it has not registered title to the Vessel under the laws or flag of any jurisdiction prior to the delivery of the Vessel by the Charterer to the Registered Owner under the Memorandum of Agreement (other than the existing registration in

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favour of the Charterer in its capacity as seller under the Memorandum of Agreement);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)a copy of the Document of Compliance under the ISM Code issued in the name of the Manager;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)a copy, certified as a true copy, of the Vessel's Safety Management Certificate issued under the ISM Code, and of the Vessel's International Ship Security (ISS) Certificate issued under the ISPS Code, and of the Vessel's International Air Pollution Prevention Certificate pursuant to Annex VI (Regulations for the Prevention of Air Pollution from Ships) to MARPOL;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)a certificate signed by an authorised representative of the Charterer or the Charterer Guarantor confirming that no other authorizations, approvals, consents, licenses and exemptions of any governmental authority or central bank are required to be executed in order to give effect to the transactions contemplated by this Agreement and the other Operative Documents, and for the execution, delivery, validity, priority, effectiveness and performance by the Charterer and the Charterer Guarantor and the enforceability of this Agreement and the other Operative Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)written confirmation from an authorised representative of the Charterer that, to the best of the Charterer's knowledge, the Vessel is in good working order and that no casualties exist.

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**PART 2**

**CHARTERER'S CONDITIONS PRECEDENT**

&nbsp;&nbsp;&nbsp;&nbsp;1.The Charterer having received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)evidence satisfactory to it as to the incorporation and existence of, and authorisation of the execution, delivery and performance of the Operative Documents by each of the Owners and the Owner Parent (including any relevant constitutional documents and powers of attorney) (if applicable);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)an original of each of the Operative Documents to which the Charterer is a party, duly executed by each of the parties thereto other than the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)an original copy of the Owner Parent Letter (Charterer) duly executed by the Owner Parent; and

a copy of the process agent appointment letter between the Owners and the London Process Agent.

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**PART 3 CONDITIONS SUBSEQUENT**

&nbsp;&nbsp;&nbsp;&nbsp;1.The Representative Owner shall receive within ten (10) Business Days from the Charter Commencement Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)each of the originals of the officers' certificates of the Charterer (as set out in Schedule 2, Part 1, paragraph (a)(ii)(C)) and the Charterer Guarantor (as set out in Schedule 2, Part 1, paragraph (a)(iii)(C));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)an original of the commercial invoice for the Vessel issued by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)two originals of the bill of sale for the Vessel executed by the Charterer in favour of the Registered Owner in connection with the Memorandum of Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)an original of the protocol of delivery and acceptance executed between the Charterer and the Registered Owner in connection with the Memorandum of Agreement; and

an original of each of the Operative Documents (excluding the Management Agreement, the Sub-charter, the Bill of Sale (as defined in the Memorandum of Agreement) and the Bill of Sale (as defined in the Instalment Sale Agreement)) together with all notices and acknowledgements (if any) required in connection therewith, duly executed by each of the parties thereto other than any Owner.

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**SCHEDULE 3**

**FORM OF CHARTERPARTY SUPPLEMENT**

**FLEX LNG RESOLUTE LIMITED** (the "**Charterer**") hereby acknowledges that:

&nbsp;&nbsp;&nbsp;&nbsp;(a)on the date hereof the Vessel specified in the Schedule annexed to the bareboat charter agreement (the "**Charter Agreement**") dated <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> 2025 made between JPV No. 25 Co., Ltd. and JPV No. 26 Co., Ltd., as owners, JPV No. 25 Co., Ltd. as representative owner and the Charterer, as charterer and forming a part hereof have, pursuant to the terms of the Charter Agreement, been delivered to the Charterer;

&nbsp;&nbsp;&nbsp;&nbsp;(b)the Charter Commencement Date is the date hereof;

&nbsp;&nbsp;&nbsp;&nbsp;(c)the Charter Period in respect of the Vessel referred to in the Charter Agreement has commenced; and

&nbsp;&nbsp;&nbsp;&nbsp;(d)henceforward the Vessel will be subject to all the terms and conditions contained in the Charter Agreement.

Unless otherwise defined herein, words and expressions defined in the Charter Agreement shall have the same meanings when used herein.

The Charterer represents and warrants that (a) the representations and warranties made by it under Clause 10(a) of the Charter Agreement, clause 3.1 of the Memorandum of Agreement and in the Charterer Account Charge and Onward Assignment, those of the Manager in the Management Agreement and those of the Charterer Guarantor in the Guarantee remain true and correct, (b) no Default has occurred at the date of this Charterparty Supplement and (c) the Vessel satisfies the requirements under the Charter Agreement.

The Owners and the Charterer confirm that the Schedules attached hereto shall, in accordance with the provisions of the Charter Agreement, take effect as from the date hereof for all purposes of the Charter Agreement.

This Charterparty Supplement and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with the laws of England.

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**SIGNED** the <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> day of <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> 2025.

**FLEX LNG RESOLUTE LIMITED**

as Charterer

By .........................................................

Attorney-in-Fact

**JPV NO. 25 CO., LTD.**

as Owner

By .........................................................

Authorised Signatory

**JPV NO. 26 CO., LTD.**

as Owner

By .........................................................

Authorised Signatory

**JPV NO. 25 CO., LTD.**

as Representative Owner

By .........................................................

Authorised Signatory

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**SCHEDULE 4 CHARTER HIRE**

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

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| | | | | |
|:---|:---|:---|:---|:---|
| | **(1)** | **(2)** | **(3)** | **(4)** |
| | **Payment**<br>**Date** | **Basic Charter Hire A**<br>**(US$)** | **Reference Value A**<br>**(US$)** | &nbsp;&nbsp;**Charter Hire B**<br>**(US$)** |
| 0 | 2025/09/17 |  | $125000000.00 |  |
| 1 | 2025/11/17 |  | $124085830.56 |  |
| 2 | 2026/02/17 |  | $123750825.85 |  |
| 3 | 2026/05/17 |  | $123354393.33 |  |
| 4 | 2026/08/17 |  | $123009107.86 |  |
| 5 | 2026/11/17 |  | $120458969.21 |  |
| 6 | 2027/02/17 |  | $117872986.94 |  |
| 7 | 2027/05/17 |  | $115196632.14 |  |
| 8 | 2027/08/17 |  | $112536684.80 |  |
| 9 | 2027/11/17 |  | $109839350.43 |  |
| 10 | 2028/02/17 |  | $107104103.52 |  |
| 11 | 2028/05/17 |  | $104297684.94 |  |
| 12 | 2028/08/17 |  | $101484546.84 |  |
| 13 | 2028/11/17 |  | $98631868.53 |  |
| 14 | 2029/02/17 |  | $95739094.24 |  |
| 15 | 2029/05/17 |  | $92761779.98 |  |
| 16 | 2029/08/17 |  | $89786498.33 |  |
| 17 | 2029/11/17 |  | $86769397.45 |  |
| 18 | 2030/02/17 |  | $83709889.54 |  |
| 19 | 2030/05/17 |  | $80569011.51 |  |
| 20 | 2030/08/17 |  | $77422353.73 |  |
| 21 | 2030/11/17 |  | $74231467.92 |  |
| 22 | 2031/02/17 |  | $70995732.44 |  |
| 23 | 2031/05/17 |  | $67681977.19 |  |
| 24 | 2031/08/17 |  | $64354184.98 |  |
| 25 | 2031/11/17 |  | $60979618.80 |  |
| 26 | 2032/02/17 |  | $57557621.22 |  |
| 27 | 2032/05/17 |  | $54069938.51 |  |
| 28 | 2032/08/17 |  | $50550821.53 |  |
| 29 | 2032/11/17 |  | $46982241.41 |  |
| 30 | 2033/02/17 |  | $43363502.91 |  |
| 31 | 2033/05/17 |  | $39674026.10 |  |
| 32 | 2033/08/17 |  | $35952566.58 |  |
| 33 | 2033/11/17 |  | $32178799.88 |  |
| 34 | 2034/02/17 |  | $28351990.79 |  |
| 35 | 2034/05/17 |  | $24458399.11 |  |
| 36 | 2034/08/17 |  | $20523075.50 |  |

---

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---

| | | |
|:---|:---|:---|
| 37 | 2034/11/17 | $16532438.73 |
| 38 | 2035/02/17 | $12485711.34 |
| 39 | 2035/05/17 | $8376382.33 |
| 40 | 2035/08/17 | $4215017.04 |
| 41 | 2035/11/17 | $0.00 |

---

Notes: 1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The amount of Charter Hire on each Payment Date shall be the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Basic Charter Hire A set forth opposite such Payment Date in column (2) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the additional hire on such Payment Date, to be calculated as being an amount equal to the sum of (x) the Reference Value A set forth opposite the immediately preceding Payment Date (or, if none, the Charter Commencement Date) in column (3) above multiplied by

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)the relevant interest rate in respect of the Loan referred to in clause 8.1 (*Calculation of interest*) and clause 10 (*Change to the Calculation of Interest*) of the Loan Agreement applicable to the Interest Period (as defined in the Loan Agreement) that commences on such immediately preceding Payment Date (or, if none, the Utilisation Date (as defined in the Loan Agreement)) multiplied by

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z)a fraction of which the numerator is the actual number of days elapsed during such period and the denominator of which is 360 or, where some other period applies in respect of the applicable interest amount under the Loan Agreement, such other period (the "**Additional Hire A**"); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Charter Hire B set forth opposite such Payment Date in column (4) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.In the event that the Early Buy-out Option is exercised, the amounts specified for the relevant Early Buy-out Date shall be payable together with Charter Hire. If the Early Buy-out Option is not exercised, the Charterer shall not be obliged to pay the Charter Hire on the relevant Early Buy-out Date.

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**SCHEDULE 5 SPECIAL TERMINATION VALUE**

&nbsp;&nbsp;&nbsp;&nbsp;1.The amounts of **Special Termination Value A** specified in column (B) of this Schedule 5 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;2.Where the Special Termination Value A becomes payable on, and is required to be calculated as of, any Payment Date then the Special Termination Value A in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;3.Where the Special Termination Value A becomes payable on, and is required to be calculated as of, any date other than a Payment Date then the Special Termination Value A in respect of such other date shall be an amount equal to the amount of

U.S. Dollars set out below opposite the immediately preceding Payment Date or, if none, the Charter Commencement Date in column (B) of this Schedule 5 plus:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)interest to be payable under the Loan Agreement for the period from and including such immediately preceding Payment Date (or Charter Commencement Date) to (but excluding) the date on which the Special Termination Value A becomes payable and as of which it is required to be calculated and calculated on the basis of a year of 360 days or, where some other period applies in respect of the applicable interest amount under the Loan Agreement, such other period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the relevant Break Costs and Fixed Rate Breakage Costs and Hedge Breakage Loss (each as defined in the Loan Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;4.The amounts of **Special Termination Value B** specified in column (C) of this Schedule 5 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;5.Where the Special Termination Value B becomes payable on, and is required to be calculated as of, any Payment Date then the Special Termination Value B in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;6.Where the Special Termination Value B becomes payable on, and is required to be calculated as of, any date (a "**Relevant Date**") other than a Payment Date then the Special Termination Value B in respect of such Relevant Date shall be calculated in accordance with the following formula:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)subtracting the amount set out in column (C) opposite the Payment Date (or, if none, the Charter Commencement Date) immediately preceding the Relevant Date (the "**Preceding Date**") from the amount set out in column

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) opposite the Payment Date immediately following the Relevant Date (the "**Following Date**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)dividing the difference computed in (a) above by the actual number of days from (and including) the Preceding Date to (but excluding) the Following Date;

139

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)multiplying the quotient computed in (b) above by the actual number of days elapsed from (and including) the Preceding Date to (but excluding) the Relevant Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)adding the product computed in (c) above to the amount set out in column

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) below opposite the Preceding Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | |
|:---|:---|:---|
| **(A)**<br>**Payment Date** | **(B)**<br>**Special Termination Value A (US$)** | **(C)**<br>**Special Termination Value B (US$)** |
| 2025/09/17 | $125000000.00 | $59819000.00 |
| 2025/11/17 | $124085830.56 | $57619000.00 |
| 2026/02/17 | $123750825.85 | $55419000.00 |
| 2026/05/17 | $123354393.33 | $53219000.00 |
| 2026/08/17 | $123009107.86 | $51019000.00 |
| 2026/11/17 | $120458969.21 | $51019000.00 |
| 2027/02/17 | $117872986.94 | $51019000.00 |
| 2027/05/17 | $115196632.14 | $51019000.00 |
| 2027/08/17 | $112536684.80 | $51019000.00 |
| 2027/11/17 | $109839350.43 | $51019000.00 |
| 2028/02/17 | $107104103.52 | $51019000.00 |
| 2028/05/17 | $104297684.94 | $51019000.00 |
| 2028/08/17 | $101484546.84 | $51019000.00 |
| 2028/11/17 | $98631868.53 | $51019000.00 |
| 2029/02/17 | $95739094.24 | $51019000.00 |
| 2029/05/17 | $92761779.98 | $51019000.00 |
| 2029/08/17 | $89786498.33 | $51019000.00 |
| 2029/11/17 | $86769397.45 | $51019000.00 |
| 2030/02/17 | $83709889.54 | $51019000.00 |
| 2030/05/17 | $80569011.51 | $51019000.00 |
| 2030/08/17 | $77422353.73 | $51019000.00 |
| 2030/11/17 | $74231467.92 | $51019000.00 |
| 2031/02/17 | $70995732.44 | $51019000.00 |
| 2031/05/17 | $67681977.19 | $51019000.00 |
| 2031/08/17 | $64354184.98 | $51019000.00 |
| 2031/11/17 | $60979618.80 | $51019000.00 |
| 2032/02/17 | $57557621.22 | $51019000.00 |
| 2032/05/17 | $54069938.51 | $51019000.00 |
| 2032/08/17 | $50550821.53 | $51019000.00 |
| 2032/11/17 | $46982241.41 | $51019000.00 |
| 2033/02/17 | $43363502.91 | $51019000.00 |
| 2033/05/17 | $39674026.10 | $51019000.00 |
| 2033/08/17 | $35952566.58 | $51019000.00 |
| 2033/11/17 | $32178799.88 | $51019000.00 |
| 2034/02/17 | $28351990.79 | $51019000.00 |
| 2034/05/17 | $24458399.11 | $51019000.00 |
| 2034/08/17 | $20523075.50 | $51019000.00 |
| 2034/11/17 | $16532438.73 | $51019000.00 |
| 2035/02/17 | $12485711.34 | $51019000.00 |
| 2035/05/17 | $8376382.33 | $51019000.00 |
| 2035/08/17 | $4215017.04 | $51019000.00 |
| 2035/11/17 | $0.00 | $51019000.00 |

---

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**SCHEDULE 6 STIPULATED LOSS VALUE**

&nbsp;&nbsp;&nbsp;&nbsp;1.The amounts of **Stipulated Loss Value A** specified in column (B) of this Schedule 6 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;2.Where the Stipulated Loss Value A becomes payable on, and is required to be calculated as of, any Payment Date then the Stipulated Loss Value A in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;3.Where the Stipulated Loss Value A becomes payable on, and is required to be calculated as of, any date other than a Payment Date then the Stipulated Loss Value A in respect of such other date shall be an amount equal to the amount of

U.S. Dollars set out below opposite the immediately preceding Payment Date or, if none, the Charter Commencement Date in column (B) of this Schedule 6 plus:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)interest to be payable under the Loan Agreement for the period from and including such immediately preceding Payment Date (or Charter Commencement Date) to (but excluding) the date on which the Stipulated Loss Value A becomes payable and as of which it is required to be calculated and calculated on the basis of a year of 360 days or, where some other period applies in respect of the applicable interest amount under the Loan Agreement, such other period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)the relevant Break Costs and Fixed Rate Breakage Costs and Hedge Breakage Loss (each as defined in the Loan Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;4.The amounts of **Stipulated Loss Value B** specified in column (C) of this Schedule 6 are applicable only to the Payment Dates set out below in relation to which each is respectively specified and are exclusive of any Charter Hire payable on such Payment Date which is payable in addition.

&nbsp;&nbsp;&nbsp;&nbsp;5.Where the Stipulated Loss Value B becomes payable on, and is required to be calculated as of, any Payment Date then the Stipulated Loss Value B in respect of such Payment Date shall be an amount equal to the amount set out below opposite such Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;6.Where the Stipulated Loss Value B becomes payable on, and is required to be calculated as of, any date (a "**Relevant Date**") other than a Payment Date then the Stipulated Loss Value B in respect of such Relevant Date shall be calculated in accordance with the following formula:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)subtracting the amount set out in column (C) below opposite the Payment Date (or, if none, the Charter Commencement Date) immediately preceding the Relevant Date (the "**Preceding Date**") from the amount set out in column (C) below opposite the Payment Date immediately following the Relevant Date (the "**Following Date**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)dividing the difference computed in (a) above by the actual number of days from (and including) the Preceding Date to (but excluding) the Following Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)multiplying the quotient computed in (b) above by the actual number of days elapsed from (and including) the Preceding Date to (but excluding) the Relevant Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)adding the product computed in (c) above to the amount set out in column

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) below opposite the Preceding Date.

---

| | | |
|:---|:---|:---|
| <br>**(A)**<br>**Payment Date** | **(B)**<br>**Stipulated Loss Value A**<br>**(US$)** | **(C)**<br>**Stipulated Loss Value B**<br>**(US$)** |
| 2025/09/17 | $125000000.00 | $60839380.00 |
| 2025/11/17 | $124085830.56 | $58851637.32 |
| 2026/02/17 | $123750825.85 | $56863894.64 |
| 2026/05/17 | $123354393.33 | $54876151.96 |
| 2026/08/17 | $123009107.86 | $52888409.28 |
| 2026/11/17 | $120458969.21 | $53100666.60 |
| 2027/02/17 | $117872986.94 | $53312923.92 |
| 2027/05/17 | $115196632.14 | $53525181.25 |
| 2027/08/17 | $112536684.80 | $53737438.57 |
| 2027/11/17 | $109839350.43 | $53949695.89 |
| 2028/02/17 | $107104103.52 | $54161953.21 |
| 2028/05/17 | $104297684.94 | $54374210.53 |
| 2028/08/17 | $101484546.84 | $54586467.85 |
| 2028/11/17 | $98631868.53 | $54798725.17 |
| 2029/02/17 | $95739094.24 | $55010982.50 |
| 2029/05/17 | $92761779.98 | $55223239.82 |
| 2029/08/17 | $89786498.33 | $55435497.14 |
| 2029/11/17 | $86769397.45 | $55647754.46 |
| 2030/02/17 | $83709889.54 | $55860011.78 |
| 2030/05/17 | $80569011.51 | $56072269.10 |
| 2030/08/17 | $77422353.73 | $56284526.42 |
| 2030/11/17 | $74231467.92 | $56496783.75 |
| 2031/02/17 | $70995732.44 | $56709041.07 |
| 2031/05/17 | $67681977.19 | $56921298.39 |
| 2031/08/17 | $64354184.98 | $57133555.71 |
| 2031/11/17 | $60979618.80 | $57345813.03 |
| 2032/02/17 | $57557621.22 | $57558070.35 |
| 2032/05/17 | $54069938.51 | $57770327.67 |
| 2032/08/17 | $50550821.53 | $58330327.67 |
| 2032/11/17 | $46982241.41 | $58890327.67 |
| 2033/02/17 | $43363502.91 | $59450327.67 |
| 2033/05/17 | $39674026.10 | $60010327.67 |
| 2033/08/17 | $35952566.58 | $60570327.67 |
| 2033/11/17 | $32178799.88 | $61130327.67 |
| 2034/02/17 | $28351990.79 | $61690327.67 |
| 2034/05/17 | $24458399.11 | $62250327.67 |
| 2034/08/17 | $20523075.50 | $62810327.67 |
| 2034/11/17 | $16532438.73 | $63370327.67 |
| 2035/02/17 | $12485711.34 | $63930327.67 |
| 2035/05/17 | $8376382.33 | $64490327.67 |
| 2035/08/17 | $4215017.04 | $65050327.67 |
| 2035/11/17 | $0.00 | $65610327.67 |

---

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**SCHEDULE 7 REDELIVERY CONDITIONS**

&nbsp;&nbsp;&nbsp;&nbsp;1.The Vessel shall be redelivered to the Owners or their designee, safely afloat, at an easily accessible recognised safe and ice-free port of the Owners' choosing in Japan or in any other location to be designated by the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;2.The Vessel shall be redelivered:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)free of cargo with holds and storage places clean and swept and free from debris;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)free and clear of all Liens (other than Owner Liens) and any charter or other contract of employment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)free of any recommendations affecting the Vessel's class and with all class related certificates with at least five (5) years validity remaining as at the date of redelivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)with all trading and class certificates in place;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)within three (3) months of its completed dry docking and a special survey carried out and conducted (without prejudice to the Owners' ability to choose any port under paragraph 1 above) at a dockyard in Japan as may be designated by the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)where required by the Owners, with a suitably qualified, competent crew and in sufficient number to comply with all the applicable requirements, such crew to remain on board until the earlier of (i) the completion of the sale of the Vessel by the Owners to a third party, or (ii) the date falling ninety (90) days after the last day of the Charter Period, provided always that the reasonable and properly incurred and documented costs and expenses incurred by the Charterer in relation to maintaining the crew on-board for such period (including reasonable and properly incurred and documented out-of-pocket expenses) shall be for the account of the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)with all manuals and technical records and otherwise in compliance with all other conditions required by the Flag State in relation to the Vessel (including any applicable ISM Code and other certification) in each case with no less than twelve (12) months left to expiry as at the date of redelivery;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)in the same condition (fair wear and tear expected) and class as when the Vessel was originally delivered by the shipyard in 2020 and at such time as the Representative Owner shall designate and have installed the machinery and equipment installed thereon or replacements or substitutions therefor made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in the condition assessed at the time of redelivery as qualifying for the highest rating in all respects under the condition assessment program of a classification society designated by the Representative Owner; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)in full compliance with all applicable laws and regulations and all applicable requirements (including, without limitation, environmental laws,

143

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regulations and requirements) of any jurisdiction and of any relevant international organizations (including without limitation IMO) and equipped with machinery and equipment to comply, on a full, final and conclusive basis, with such laws, regulations and requirements (in each case whether or not the compliance is due before the end of the Charter Period).

&nbsp;&nbsp;&nbsp;&nbsp;3.Prior to the redelivery of the Vessel, the Charterer shall provide the Owners with a report prepared by a marine surveyor approved by the Owners (such approval not to be unreasonably withheld) but at the Charterer's expense determining the condition of the Vessel. Should the surveyor's report find any deficiencies, the same shall be corrected at the cost of the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;4.All class certificates and maintenance history each written in English must be made available in hardcopy or electronically (if available) at the request of the Representative Owner.

&nbsp;&nbsp;&nbsp;&nbsp;5.Upon redelivery of the Vessel to the Owners, the Charterer shall ensure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)the stock quantity of spare parts onboard the Vessel at least meets the requirements of the relevant approved classification society or the recommendations laid down by the manufacturers for three (3) months' operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)other consumables such as fuel which is reachable nearest bunkering port, un-broached provisions, potable water, galley and mess room utensils, paints, chemicals, oils (including lubricant oil), hand tools and minor equipment shall remain with the Vessel at no cost to the Owners; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)all machinery fluid reservoirs and tanks, such as to hold lube oil and hydraulic oil, shall be filled to their recommended operating levels in the relevant machinery.

&nbsp;&nbsp;&nbsp;&nbsp;6.Following the redelivery of the Vessel by the Charterer, the Charterer shall allow for the free storage of the Vessel at a place reasonably designated by the Owners until such time as the Vessel has been sold or otherwise disposed of by the Owners following the redelivery.

&nbsp;&nbsp;&nbsp;&nbsp;7.Should the Charterer fail to redeliver the Vessel in full compliance of the Redelivery Conditions to the Owners or their designee by the end of the Charter Period, the Owners shall have, at any time during such failure continues, the right to (i) declare an immediate Event of Default and require the payment of the Stipulated Loss Value or (ii) require the Charterer to extend the Charter Period until the Redelivery Conditions are satisfied and pay to the Owners hires at the rate equal to the daily equivalent of the Charter Hire plus 50% per day or of the then market rate hires, whichever is higher, for the number of days from the end of the Charter Period up to the date when the Vessel has been redelivered to the Owners in full compliance of the Redelivery Conditions. The Charterer shall be obliged to indemnify the Owners from any liabilities, obligations, cost and losses etc attributable to such failure. For the avoidance of doubt, such extension shall not prejudice the right of the Owners to treat such failure as an Event of Default at any time.

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**SCHEDULE 8**

**EARLY BUY-OUT OPTION DEFINITIONS**

In this Agreement and in the Schedules attached hereto, unless the context otherwise requires or it is specified below, the following words and expressions shall have the following meanings:

![image_29.jpg](image_29.jpg)![image_30.jpg](image_30.jpg)![image_31.jpg](image_31.jpg)![image_32.jpg](image_32.jpg)![image_33.jpg](image_33.jpg)![image_34.jpg](image_34.jpg)

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SIGNATORIES

M.V. FLEX RESOLUTE - BAREBOAT CHARTER AGREEMENT

The Owners

JPV No. 25 Co., Ltd.

![image_35.jpg](image_35.jpg)

JPV No. 26 Co., Ltd.

![image_36.jpg](image_36.jpg)

TheRepresentative Owner

JPV No. 25 Co., Ltd.

![image_37.jpg](image_37.jpg)

The Charterer

FLEX LNG RESOLUTE LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

------

**SIGNATORIES**

**M.V. FLEX RESOLUTE** - **BAREBOAT CHARTER AGREEMENT**

**The Owners**

**JPV No. 25 Co., Ltd.**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

**JPV No. 26 Co., Ltd.**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

**The Representative Owner**

**JPV No. 25 Co., Ltd.**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

**The Charterer**

![image_38.jpg](image_38.jpg)**FLEX LNG RESOLUTE LIMITED**

## Exhibit 4.14

EXECUTION VERSION

FACILITY AGREEMENT

UP TO USD 180,000,000 FACILITY AGREEMENT

for

FLEX LNG CONSTELLATION LIMITED

as Borrower

with

FLEX LNG LTD.

and

FLEX LNG FLEET LIMITED

as Guarantors

![image_1.jpg](image_1.jpg)arranged by as

Mandated Lead Arranger

with

![image_1.jpg](image_1.jpg)

as Hedge Provider and

![image_3.jpg](image_3.jpg)

as Agent and Security Agent in respect of the Vessel "FLEX CONSTELLATION"

10127241/1

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**TABLE OF CONTENTS**

10127241/1

2

------

1DEFINITIONS AND INTERPRETATION............................................................................................... 4

2THE FACILITY........................................................................................................................... 23

3PURPOSE................................................................................................................................. 24

4CONDITIONS PRECEDENT........................................................................................................... 24

5DRAWDOWN............................................................................................................................. 26

6REPAYMENT.............................................................................................................................. 27

7PREPAYMENT AND CANCELLATION................................................................................................ 27

8INTEREST................................................................................................................................ 31

9INTEREST PERIODS................................................................................................................... 32

10CHANGES TO THE CALCULATION OF INTEREST............................................................................... 32

11FEES....................................................................................................................................... 34

12TAX GROSS-UP AND INDEMNITIES............................................................................................... 35

13INCREASED COSTS.................................................................................................................... 39

14OTHER INDEMNITIES................................................................................................................. 42

15MITIGATION BY THE LENDERS..................................................................................................... 43

16COSTS AND EXPENSES............................................................................................................... 44

17GUARANTEE AND INDEMNITY...................................................................................................... 45

18SECURITY................................................................................................................................ 49

19REPRESENTATIONS AND WARRANTIES.......................................................................................... 51

20INFORMATION UNDERTAKINGS.................................................................................................... 55

21FINANCIAL COVENANTS.............................................................................................................. 59

22GENERAL UNDERTAKINGS........................................................................................................... 61

23VESSEL COVENANTS.................................................................................................................. 66

24EVENTS OF DEFAULT.................................................................................................................. 71

25CHANGES TO THE PARTIES......................................................................................................... 75

26ROLE OF THE AGENT, THE SECURITY AGENT AND THE ARRANGER...................................................... 78

27CONDUCT OF BUSINESS OF THE FINANCE PARTIES......................................................................... 87

28SHARING AMONG THE FINANCE PARTIES....................................................................................... 87

29PAYMENT MECHANICS................................................................................................................ 89

30SET-OFF.................................................................................................................................. 91

31NOTICES.................................................................................................................................. 92

32CALCULATIONS AND CERTIFICATES.............................................................................................. 93

33PARTIAL INVALIDITY.................................................................................................................. 94

34REMEDIES AND WAIVERS........................................................................................................... 94

35AMENDMENTS AND WAIVERS...................................................................................................... 94

36CONFIDENTIAL INFORMATION..................................................................................................... 95

37CONFIDENTIALITY OF FUNDING RATES........................................................................................ 100

38COUNTERPARTS...................................................................................................................... 101

39CONTRACTUAL RECOGNITION OF BAIL-IN.................................................................................... 101

40GOVERNING LAW AND ENFORCEMENT......................................................................................... 102

10127241/1

3

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SCHEDULES:

SCHEDULE 1:&nbsp;&nbsp;&nbsp;&nbsp;THE ORIGINAL LENDERS AND COMMITMENTS

SCHEDULE 2:&nbsp;&nbsp;&nbsp;&nbsp;CONDITIONS PRECEDENT

SCHEDULE 3:&nbsp;&nbsp;&nbsp;&nbsp;FORM OF DRAWDOWN NOTICE SCHEDULE 4:&nbsp;&nbsp;&nbsp;&nbsp;FORM OF COMPLIANCE CERTIFICATE

SCHEDULE 5:&nbsp;&nbsp;&nbsp;&nbsp;FORM OF TRANSFER CERTIFICATE

SCHEDULE 6:&nbsp;&nbsp;&nbsp;&nbsp;VESSEL

SCHEDULE 7:&nbsp;&nbsp;&nbsp;&nbsp;REPAYMENT SCHEDULE

SCHEDULE 8:&nbsp;&nbsp;&nbsp;&nbsp;REFERENCE RATE TERMS

SCHEDULE 9:&nbsp;&nbsp;&nbsp;&nbsp;DAILY NON-CUMULATIVE COMPOUNDED RFR RATE

SCHEDULE 10:&nbsp;&nbsp;&nbsp;&nbsp;CUMULATIVE COMPOUNDED RFR RATE

10127241/1

4

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THIS FACILITY AGREEMENT dated 15 July 2025 and made between:

&nbsp;&nbsp;&nbsp;&nbsp;(1)FLEX LNG CONSTELLATION LIMITED, a corporation incorporated in the Republic of the Marshall Islands, having registration no. 90733, whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 as borrower (the "Borrower");

&nbsp;&nbsp;&nbsp;&nbsp;(2)FLEX LNG FLEET LIMITED, an exempted company limited by shares incorporated and existing under the laws of Bermuda, having company registration no. 52351, whose registered office is at Par-la-Ville Place, 14 Par-la-Ville Road, Hamilton, Bermuda (the "Intermediate Parent");

&nbsp;&nbsp;&nbsp;&nbsp;(3)FLEX LNG LTD., an exempted company limited by shares continued and existing under the laws of Bermuda, having company registration no. 52644, whose registered office is at Par-la-Ville Place, 14 Par-la-Ville Road, Hamilton, Bermuda (the "Ultimate Parent", and together with the Intermediate Parent, the "Guarantors" and each a "Guarantor");

&nbsp;&nbsp;&nbsp;&nbsp;(4)THE FINANCIAL INSTITUTIONS listed in <u>Schedule 1</u> (*The Original Lenders and Commitments*) as lenders (the "Original Lenders");

&nbsp;&nbsp;&nbsp;&nbsp;(5)![image_4.jpg](image_4.jpg)as mandated lead arranger (the

"Arranger");

&nbsp;&nbsp;&nbsp;&nbsp;(6)![image_5.jpg](image_5.jpg)as hedge provider (the "Hedge

Provider");

&nbsp;&nbsp;&nbsp;&nbsp;(7)![image_6.jpg](image_6.jpg)as facility agent of the Finance

Parties (in such capacity, the "Agent"); and

&nbsp;&nbsp;&nbsp;&nbsp;(8)![image_7.jpg](image_7.jpg)as security agent of the Finance

Parties (in such capacity, the "Security Agent").

IT IS AGREED as follows:

SECTION 1 INTERPRETATION

1DEFINITIONS AND INTERPRETATION

&nbsp;&nbsp;&nbsp;&nbsp;1.1Definitions

In this Agreement, unless the context otherwise requires:

![image_8.jpg](image_8.jpg)"Account Bank"

"Account Pledge" means a first priority pledge granted or to be granted by the Borrower in favour of the Security Agent (on behalf of the Finance Parties) over the Earnings Accounts of the Borrower, to be in form and substance satisfactory to the Security Agent.

"Additional Business Day" means any day specified as such in the Reference Rate Terms.

10127241/1

5

------

"Affiliate" means, in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other Subsidiary of that Holding Company.

"Agreement" means this facility agreement, as it may be amended, supplemented and varied from time to time, including its Schedules and any Transfer Certificate.

"Annex VI" means Annex VI of the Protocol of 1997 (as subsequently amended from time to time) to amend the International Convention for the Prevention of Pollution from Ships 1973 (Marpol), as modified by the Protocol of 1978 relating thereto.

"Approved Broker" means each of Fearnleys, Clarksons Platou, Nordic Shipping, Affinity, Braemer, Simpson Spence Young, MB Shipbrokers or such other independent and internationally reputable shipbroker(s) as may be approved in writing by the Agent (acting on instructions of the Majority Lenders).

"Approved Manager" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)Bernhard Schulte Shipmanagement;

&nbsp;&nbsp;&nbsp;&nbsp;b)Flex LNG Fleet Management AS;

&nbsp;&nbsp;&nbsp;&nbsp;c)any company within the Group or the Seatankers Group; or

&nbsp;&nbsp;&nbsp;&nbsp;d)any other management company acceptable to Agent (acting on instructions of the Majority Lenders) from time to time as the technical and/or commercial manager of the Vessel, such consent not to be unreasonably withheld or delayed.

"Approved Ship Registry" means each of the Marshall Islands, the Norwegian International Ship Registry (NIS), Liberia or such other international ship registry as may be approved in writing by all the Lenders.

"Approved Classification Society" means each of DNV, Lloyds Register, American Bureau of Shipping (ABS), Bureau Veritas or such other IACS classification society as may be pre-approved in writing by all the Lenders, such approval not to be unreasonably withheld or delayed.

"Article 55 BRRD" means Article 55 of Directive 2014/59/EU establishing a framework for the recovery and resolution of credit institutions and investment firms.

"Assignment of Earnings and Charterparties" means a first priority assignment granted or to be granted by the Borrower in favour of the Security Agent (on behalf of the Finance Parties) of the Borrower's (i) rights, titles and interests to any Earnings, and (ii) in respect of the Charterparty and any other charterparty for the Vessel

with a firm duration of more than twelve (12) months, its rights, titles and interests to same, to be in form and substance acceptable to the Security Agent.

"Assignment of Hedging Claims" means a first priority assignment granted or to be granted by the Borrower in favour of the Security Agent (on behalf of the Finance Parties) of the Borrower's rights, titles and interests under any Hedging Agreements related to the Facility, to be in form and substance acceptable to the Security Agent.

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"Assignment of Insurances" means a first priority assignment granted or to be granted by the Borrower in favour of the Security Agent (on behalf of the Finance Parties) of the Insurances relating to the Vessel, to be in form and substance acceptable to the Security Agent.

"Assignment of Intercompany Loans" means a first priority assignment of any claims against the Borrower from any Guarantor, and any claims against the Guarantor from the Borrower, in favour of the Security Agent (on behalf of the Finance Parties) to be in form and substance acceptable to the Security Agent, and to include a statement of subordination, whereby the relevant creditor subordinates its claims against the relevant debtor

to the claims of the Finance Parties under the Finance Documents.

"Authorisations" means an authorisation, consent, approval, resolution, licence, exemption, filing, notarisation or registration.

"Availability Period" means the period from and including the date of this Agreement to and including 30 September 2025, or such later date as may be agreed in writing by the Lenders.

"Available Commitment" means a Lender's Commitment minus:

&nbsp;&nbsp;&nbsp;&nbsp;a)the amount of its participation in the outstanding Loan; and

&nbsp;&nbsp;&nbsp;&nbsp;b)in relation to any proposed drawdown only, the amount of its participation in the Loan that is due to be made on or before the proposed Drawdown Date.

"Bail-In Action" means the exercise of any Write-down and Conversion Powers. "Bail-In Legislation" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)in relation to an EEA Member Country which has implemented, or which at any time implements, Article 55 of Directive 2014/59/EU establishing a framework for the recovery and resolution of credit institutions and investment firms, the relevant implementing law or regulation as described in the EU Bail-In Legislation Schedule from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;b)in relation to the United Kingdom, the UK Bail-In Legislation; and

&nbsp;&nbsp;&nbsp;&nbsp;c)in relation to any state other than such an EEA Member Country or the United Kingdom, any analogous law or regulation from time to time which requires contractual recognition of any Write-down and Conversion Powers contained in that law or regulation.

"Break Costs" means any amount specified as such in the Reference Rate Terms.

"Business Day" means a day (other than a Saturday or Sunday) on which banks are open for general business in Oslo, London and:

&nbsp;&nbsp;&nbsp;&nbsp;a)New York (or any other relevant place of payment under Clause 29 (*Payment mechanics*)); and

&nbsp;&nbsp;&nbsp;&nbsp;b)(in relation to:

any date for payment or purchase of an amount relating to the Loan or Unpaid Sum; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the determination of the first day or the last day of an Interest Period for the Loan or Unpaid Sum, or otherwise in relation to the determination of the length of such an Interest Period),

which is an Additional Business Day relating to the Loan or Unpaid Sum.

"Central Bank Rate" has the meaning given to that term in the Reference Rate Terms.

"Central Bank Rate Adjustment" has the meaning given to that term in the Reference Rate Terms.

"Change in Ultimate Beneficial Owner" means in respect of an Obligor any event by which a private individual

&nbsp;&nbsp;&nbsp;&nbsp;(i) acquires the legal and/or beneficial ownership (directly or indirectly) of 25 per cent. or more of the issued share capital of that Obligor or (ii) acquires the power (whether by way of ownership of shares, proxy, contract, agency or otherwise) to (directly or indirectly) cast, or control the casting of, 25 per cent. or more of the votes that might be cast at a general meeting of that Obligor or (iii) gains effective control over that Obligor (such private individual being referred to as the "Ultimate Beneficial Owner").

"Change of Control" means the occurrence of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;a)without the prior written approval of the Majority Lenders, any individual person or more persons acting in concert (other than one or several of the Sponsors) have the right or the ability to control, either directly or indirectly, the affairs or composition of the majority of the board of directors (or equivalent) of the Ultimate Parent or becomes owners of 1/3 or more of the voting shares of the Ultimate Parent; or

&nbsp;&nbsp;&nbsp;&nbsp;b)the Ultimate Parent ceases to own directly 100% of the shares and/or the voting rights in the Intermediate Parent;

&nbsp;&nbsp;&nbsp;&nbsp;c)the Intermediate Parent ceases to own directly 100% of the shares and/or the voting rights in the Borrower, excluding in the event of a disposal of such shares in accordance with Clause 7.2 (*Disposal or Total Loss*), in which case that clause shall apply; or

&nbsp;&nbsp;&nbsp;&nbsp;d)![image_9.jpg](image_9.jpg)ceases to own 51% or more of the shares in the Charterer.

![image_10.jpg](image_10.jpg)"Charter Delivery Date"

![image_11.jpg](image_11.jpg)

![image_12.jpg](image_12.jpg)"Charterer"

![image_13.jpg](image_13.jpg)

"Charterparty" means the time charterparty dated 20 December 2024 and made between the Borrower as owner and the Charterer in respect of the Vessel, with a duration of fifteen (15) years from the Charter Delivery Date.

"Code" means the US Internal Revenue Code of 1986 (as amended).

"COFR" means the U.S. Certificate of Financial Responsibility program (as in effect from time to time), based on the U.S. Oil Pollution Act of 1980.

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"Commitment" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)in relation to an Original Lender, the amount set opposite its name under the heading "Commitment" in <u>Schedule 1</u> (*The Original Lenders and Commitments*) and the amount of any other Commitment transferred to it under this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;b)in relation to any other Lender, the amount of any Commitment transferred to it under this Agreement,

to the extent not cancelled, reduced or transferred by it under this Agreement.

"Compliance Certificate" means a certificate substantially in the form as set out in <u>Schedule 4</u> (*Form of Compliance Certificates*).

"Compounded Reference Rate" means, in relation to any RFR Banking Day during the Interest Period of the Loan, the percentage rate per annum which is the Daily Non-Cumulative Compounded RFR Rate for that RFR Banking Day.

"Compounding Methodology Supplement" means, in relation to the Daily Non-Cumulative Compounded RFR Rate or the Cumulative Compounded RFR Rate, a document which:

&nbsp;&nbsp;&nbsp;&nbsp;a)is agreed in writing by the Borrower, the Agent (in its own capacity) and the Agent (acting on the instructions of all Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;b)specifies a calculation methodology for that rate; and

&nbsp;&nbsp;&nbsp;&nbsp;c)has been made available to the Borrower and each Finance Party.

"Confidential Information" means all information relating to the Obligors, the Group, the Finance Documents or the Facility of which a Finance Party becomes aware in its capacity as, or for the purpose of becoming, a Finance Party or which is received by a Finance Party in relation to, or for the purpose of becoming a Finance

Party under, the Finance Documents or the Facility from either:

&nbsp;&nbsp;&nbsp;&nbsp;a)the Obligors or any of their respective advisers; or

&nbsp;&nbsp;&nbsp;&nbsp;b)another Finance Party, if the information was obtained by that Finance Party directly or indirectly from the Obligors or any of their advisers,

in whatever form, and includes information given orally and any document, electronic file or any other way of representing or recording information which contains or is derived or copied from such information but excludes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)information that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)is or becomes public information other than as a direct or indirect result of any breach by that Finance Party of Clause 36.1 (*Confidential Information*); or

is identified in writing at the time of delivery as non-confidential by the Obligor or any of its advisers; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)is known by that Finance Party before the date the information is disclosed to it in accordance with paragraphs a) or b) above or is lawfully obtained by that Finance Party after that date, from a source which is, as far as that Finance Party is aware, unconnected with the Obligor and which, in either case, as far as that Finance Party is aware, has not been obtained in breach of, and is not otherwise subject to, any obligation of confidentiality; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Funding Rate.

"Cumulative Compounded RFR Rate" means, in relation to an Interest Period for the Loan, the percentage rate per annum determined by the Agent (or by any other Finance Party which agrees to determine that rate in place of the Agent) in accordance with the methodology set out in <u>Schedule 10</u> (*Cumulative Compounded RFR Rate*) or in any relevant Compounding Methodology Supplement.

"Daily Non-Cumulative Compounded RFR Rate" means, in relation to any RFR Banking Day during an Interest Period for the Loan, the percentage rate per annum determined by the Agent (or by any other Finance Party which agrees to determine that rate in place of the Agent) in accordance with the methodology set out in

<u>Schedule 9</u> (*Daily Non-Cumulative Compounded RFR Rate*) or in any relevant Compounding Methodology Supplement.

"Daily Rate" means the rate specified as such in the Reference Rate Terms.

"Default" means an Event of Default or any event or circumstance specified in Clause 24 (*Events of Default*) which would (with the expiry of a grace period, the giving of notice, the making of any determination under the Finance Documents or any combination of any of the foregoing) be an Event of Default.

"DOC" means, in relation to any technical Manager of the Vessel, a valid document of compliance issued to the technical Manager pursuant to paragraph 13.2 of the ISM Code.

"Drawdown Date" means the Business Day on which the Borrower has requested drawdown of the Loan pursuant to this Agreement or, as the context requires, the date on which the drawdown is actually made.

"Drawdown Notice" means a notice substantially in the form set out in <u>Schedule 3</u> (*Form of Drawdown Notice*).

"Earnings" means all moneys whatsoever which are now, or later become, payable (actually or contingently) to the Borrower and which arise out of the use of or operation of the Vessel, including (but not limited to):

&nbsp;&nbsp;&nbsp;&nbsp;a)all freight, hire and passage moneys payable to the Borrower, including (without limitation) payments of any nature under a charterparty or any other agreement for the employment, use, possession, management and/or operation of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;b)any claim under any guarantees related to freight and hire payable to the Borrower as a consequence of the operation of the Vessel;

compensation payable to the Borrower in the event of any requisition of the Vessel or for the use of the Vessel by any government authority or other competent authority;

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&nbsp;&nbsp;&nbsp;&nbsp;c)remuneration for salvage, towage and other services performed by the Vessel payable to the Borrower;

&nbsp;&nbsp;&nbsp;&nbsp;d)demurrage and retention money receivable by the Borrower in relation to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;e)all moneys which are at any time payable under the Insurances in respect of loss of earnings;

&nbsp;&nbsp;&nbsp;&nbsp;f)any damages for breach (or payments for variation or termination) of any contract of employment of the Vessel payable to the Borrower;

&nbsp;&nbsp;&nbsp;&nbsp;g)if and whenever the Vessel is employed on terms whereby any moneys falling within paragraphs a) to f) above (both inclusive) are pooled or shared with any other person, that proportion of the net receipts of the relevant pooling or sharing arrangement which is attributable to the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;h)any other money whatsoever due or to become due to the Borrower from third parties in relation to the Vessel, or otherwise.

![image_14.jpg](image_14.jpg)"Earnings Accounts"

![image_15.jpg](image_15.jpg)![image_16.jpg](image_16.jpg)

"EEA Member Country" means any member state of the European Union, Iceland, Liechtenstein and Norway.

"Environmental Approval" means any permit, licence, consent, approval and other Authorisations and the filing of any notification, report or assessment required under any Environmental Law for the operation of the Vessel.

"Environmental Claim" means any claim, proceeding or investigation by any party in respect of any Environmental Law or Environmental Approval.

"Environmental Law" means any law, regulation, convention or treaty applicable to an Obligor and which relates to the pollution or protection of the environment or to the carriage of material which is capable of polluting the environment.

"EU Bail-In Legislation Schedule" means the document described as such and published by the Loan Market Association (or any successor person) from time to time.

"Event of Default" means any event or circumstance specified as such in Clause 24 (*Events of Default*). "FA Act" means the Norwegian Financial Agreements Act 2020 No. 146 (No. *finansavtaleloven*).

"Facility" means the senior secured term loan facility provided pursuant to the terms of this Agreement as described in Clause 2.1 (*The Facility*).

"Facility Office" means the office or offices notified by a Lender to the Agent in writing on or before the date it becomes a Lender (or, following that date, by not less than five Business Days' written notice) as the office or offices through which it will perform its obligations under this Agreement.

"FATCA" means:

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&nbsp;&nbsp;&nbsp;&nbsp;a)sections 1471 to 1474 of the Code or any associated regulations;

&nbsp;&nbsp;&nbsp;&nbsp;b)any treaty, law or regulation of any other jurisdiction, or relating to an intergovernmental agreement between the US and any other jurisdiction, which (in either case) facilitates the implementation of any law or regulation referred to in paragraph a) above; or

&nbsp;&nbsp;&nbsp;&nbsp;c)any agreement pursuant to the implementation of any treaty, law or regulation referred to in paragraphs a) or b) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction.

"FATCA Application Date" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)in relation to a "withholdable payment" described in section 1473(1)(A)(i) of the Code (which relates to payments of interest and certain other payments from sources within the US), 1 July 2014; or

&nbsp;&nbsp;&nbsp;&nbsp;b)in relation to a "passthru payment" described in section 1471(d)(7) of the Code not falling within paragraph a) above, the first date from which such payment may become subject to a deduction or withholding required by FATCA.

"FATCA Deduction" means a deduction or withholding from a payment under a Finance Document required by FATCA.

"FATCA Exempt Party" means a Party that is entitled to receive payments free from any FATCA Deduction. "Fee Letter" means any letter or letters dated on or about the date of this Agreement between:

&nbsp;&nbsp;&nbsp;&nbsp;a)the Agent (on behalf of any other Finance Parties) and the Borrower; and

&nbsp;&nbsp;&nbsp;&nbsp;b)the Agent (for itself) and the Borrower,

in each case, setting out any of the fees referred to in Clause 11 (*Fees*).

"Final Maturity Date" means the earlier of (i) the date falling fifteen (15) years and six (6) months after the Drawdown Date, and (ii) 30 June 2041.

"Finance Documents" means

&nbsp;&nbsp;&nbsp;&nbsp;a)this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;b)any Fee Letter;

&nbsp;&nbsp;&nbsp;&nbsp;c)the Security Documents;

&nbsp;&nbsp;&nbsp;&nbsp;d)any Trust Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;e)any Reference Rate Supplement;

any Compounding Methodology Supplement;

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&nbsp;&nbsp;&nbsp;&nbsp;f)each Hedging Agreement, other than in respect of Clauses 35 (*Amendments and Waivers*), 38 (*Counterparts*) and (in relation to any communications between the Borrower and the Hedge Provider) Clause 31 (*Notices*); and

&nbsp;&nbsp;&nbsp;&nbsp;g)any other document designated as such by the Agent and the Borrower.

"Finance Party" means any or all of the Lenders, the Agent, the Security Agent, the Arrangers and the Hedge Provider.

"Financial Indebtedness" means any indebtedness for or in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;a)moneys borrowed and debit balances at banks or other financial institutions;

&nbsp;&nbsp;&nbsp;&nbsp;b)any amount raised by acceptance under any acceptance credit facility or dematerialised equivalent;

&nbsp;&nbsp;&nbsp;&nbsp;c)any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or any similar instrument;

&nbsp;&nbsp;&nbsp;&nbsp;d)the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with US GAAP, be treated as a finance or capital lease;

&nbsp;&nbsp;&nbsp;&nbsp;e)receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis);

&nbsp;&nbsp;&nbsp;&nbsp;f)any derivative transaction entered into in connection with protection against or benefit from fluctuation in any rate or price (and, when calculating the value of any derivative transaction, only the marked to market value (or, if any actual amount is due as a result of the termination or close-out of that derivative transaction, that amount) shall be taken into account);

&nbsp;&nbsp;&nbsp;&nbsp;g)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;

&nbsp;&nbsp;&nbsp;&nbsp;h)any amount of any liability under a deferred purchase agreement if (i) one of the primary reasons behind entering into the agreement is to finance the acquisition or construction of the asset or service in question or (ii) the agreement is in respect of the supply of assets or services and payment is due more than 60 days after the date of supply;

&nbsp;&nbsp;&nbsp;&nbsp;i)any amount raised under any other transaction (including any forward sale or purchase, sale and sale back or sale and leaseback agreement) having the commercial effect of a borrowing or otherwise classified as borrowings under US GAAP; and

&nbsp;&nbsp;&nbsp;&nbsp;j)(without double-counting) 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.

"Funding Rate" means any individual rate notified by a Lender to the Agent pursuant to paragraph a)(ii) of Clause 10.3 (*Cost of funds*).

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"Green Passport" means a document listing all potential hazardous materials on board the Vessel as further described by the Vessel's classification society and/or the International Maritime Organization (IMO), hereunder an Inventory of Hazardous Materials as described thereby.

"Group" means the Ultimate Parent and its Subsidiaries from time to time.

"Guarantee" means the unconditional and irrevocable guarantee (In Norwegian: "*Selvskyldnerkausjon*") and indemnity provided by the each of the Guarantors pursuant to Clause 17 (*Guarantee and indemnity*).

"Hedging Agreement" is based on the 2002 ISDA Master Agreement and means any master agreement, confirmation, schedule or other agreement entered or to be entered into by the Borrower and the Hedge Provider to hedge interest rate risk under or in connection with the Agreement.

"Historic RFR" means, in relation to a RFR Banking Day, the most recent RFR for a day which is no more than five (5) RFR Banking Days before the RFR Banking Day.

"Holding Company" means, in relation to a person, any other person in respect of which it is a Subsidiary.

"Insurance Report" means a report with respect to the Insurances, with a form, scope and conclusion acceptable to the Lenders, and from a firm of marine insurance brokers acceptable to the Lenders.

"Insurances" means, in relation to the Vessel, all insurance policies and contracts of insurance (which expression includes all entries of the Vessel in a protection and indemnity or war risk association) which are from time to time during the Security Period in place or taken out or entered into by or for the benefit of the

Borrower (whether in the sole name of the Borrower or in the joint names of the Borrower and any other person) in respect of the Vessel or otherwise in connection with the Vessel and all benefits thereunder (including claims of whatsoever nature and return of premiums).

"Interest Payment" means the aggregate amount of interest that is, or is scheduled to become, payable under any Finance Document.

"Interest Payment Date" means the last Business Day of each Interest Period.

"Interest Period" means, in relation to the Loan, each period determined in accordance with Clause 9 (*Interest Periods*), and, in relation to an Unpaid Sum, each period determined in accordance with Clause 8.3 (*Default interest*).

"ISM Code" means the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention.

"ISPS Code" means the International Ship and Port Facility Security (ISPS) Code as adopted by the International Maritime Organization's (IMO) Diplomatic Conference of December 2002.

"Lender" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)any Original Lender; and

any New Lender,

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which in each case has not ceased to be a Party in accordance with the terms of this Agreement.

"Loan" means the loan made or to be made under Facility or the principal amount outstanding for the time being of that loan.

"Lookback Period" means the number of days specified as such in the Reference Rate Terms.

"Majority Lenders" means a Lender or Lenders whose aggregate (i) participations in the Loan then outstanding, and (ii) Commitments available for drawing in accordance with Clauses 4 (*Conditions precedent*) and 5 (*Drawdown*), are equal to or more than 662/3% of the aggregate of (i) the Loan then outstanding and (ii) all Commitments available for drawing in accordance with Clauses 4 (*Conditions precedent*) and 5 (*Drawdown*).

"Management Agreement(s)" means any commercial and/or technical management agreement entered into between the Borrower and the Manager(s) regarding Vessel, on terms and conditions acceptable to the Majority Lenders.

"Manager" means any technical or commercial manager of the Vessel.

"Manager's Undertaking" means a subordination statement by each Manager of the Vessel, in form and substance acceptable to the Agent, whereupon the Manager fully subordinates its claims under any Management Agreement(s) and otherwise in respect of the Vessel to the claims of the Finance Parties under the Finance Document.

"Margin" means one point sixty-five per cent. (1.65%) per annum.

"Market Disruption Rate" means the rate (if any) specified as such in the Reference Rate Terms.

"Market Value" means the fair market value of the Vessel in USD, being the arithmetic average of valuations of the Vessel obtained from two (2) Approved Brokers by the Borrower. Such valuations to be made with or without physical inspection of the Vessel (as the Majority Lenders may require) on the basis of a sale for prompt

delivery for cash at arm's length on normal commercial terms as between a willing buyer and seller, on an "as is, where is" basis, free of any existing charter or other contract of employment and/or pool arrangement and shall be addressed to the Agent. If the two valuations differ by more than ten per cent. (10.00%), then a third Approved Broker appointed by the Agent (as instructed by the Majority Lenders) shall provide a valuation and the value of the Vessel shall be the average of the three valuations. The valuations shall be for the cost of the Borrower.

"Marpol" means the International Convention for the Prevention of Pollution from Ships. "Material Adverse Effect" means a material adverse effect on:

&nbsp;&nbsp;&nbsp;&nbsp;a)the financial position, business or operation of any Obligor or the Group (taken as a whole);

&nbsp;&nbsp;&nbsp;&nbsp;b)the ability of any of the Obligors' to perform any of its obligations under the Finance Documents; or

the validity or enforceability of, or the effectiveness or ranking of any Security Interest granted or purported to be granted pursuant to any of, the Finance Documents or the rights or remedies of any Finance Party under any of the Finance Documents.

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"Maximum Loan Amount" means an amount equal to the lower of:

&nbsp;&nbsp;&nbsp;&nbsp;a)an amount ensuring compliance with Clause 7.1 (*Mandatory prepayment – Collateral Maintenance Test*) as from the Drawdown Date, with such calculation based on valuations of the Market Value not being more than thirty (30) days old at the Drawdown Date; and

&nbsp;&nbsp;&nbsp;&nbsp;b)the Total Commitments,

![image_17.jpg](image_17.jpg)"Minimum Cash Balance"

![image_18.jpg](image_18.jpg)

"Month" means, in relation to an Interest Period (or any other period for the accrual of commission or fees), a period starting on one day in a calendar month and ending on the numerically corresponding day in the next calendar month, subject to adjustment in accordance with the rules specified as Business Day Conventions in the Reference Rate Terms.

"Mortgage" means the first priority or preferred, as applicable, ship mortgage and, if applicable, the declaration of pledge or deed of covenants collateral thereto, granted by the Borrower in favour of the Security Agent (on behalf of the Finance Parties) in form and substance acceptable to the Security Agent and registered against

the Vessel with the applicable Approved Ship Registry.

"New Lender" has the meaning set out in Clause 25 (*Changes to the Parties*).

"Obligor" means the Borrower or the Guarantors, or any of them, as the case may be.

"Original Financial Statements" means the financial statements for each Obligor (consolidated and audited in respect of the Ultimate Parent), for the financial year ended 31 December 2024.

"Party" means a party to this Agreement.

"Poseidon Principles" means the financial industry framework for assessing and disclosing the climate alignment of ship finance portfolios published on June 2019 as the same may be amended or replaced to reflect changes in applicable law or regulation or the introduction of or changes to mandatory requirements of the International Maritime Organization from time to time.

"Pre-Commencement Period" means the period from the Drawdown Date and until the Charter Delivery Date. "Reference Rate Supplement" means a document which:

&nbsp;&nbsp;&nbsp;&nbsp;a)is agreed in writing by the Borrower, the Agent (in its own capacity) and the Agent (acting on the instructions of all the Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;b)specifies the relevant terms which are expressed in this Agreement to be determined by reference to Reference Rate Terms; and

&nbsp;&nbsp;&nbsp;&nbsp;c)has been made available to the Borrower and each Finance Party.

"Reference Rate Terms" means the terms set out in <u>Schedule 8</u> (*Reference Rate Terms*) or in any Reference Rate Supplement.

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"Relevant Jurisdiction" means in relation to any Party:

&nbsp;&nbsp;&nbsp;&nbsp;a)its jurisdiction of incorporation;

&nbsp;&nbsp;&nbsp;&nbsp;c)any jurisdiction where it conducts its business; and

&nbsp;&nbsp;&nbsp;&nbsp;d)the jurisdiction whose laws govern the perfection of any of the Security Documents entered into by it.

"Relevant Market" means the market specified as such in the Reference Rate Terms.

"Repeating Representations" means each of the representations set out in Clause 19 (*Representations and warranties*), except for Clauses 19.3a) (*Binding obligations*), 19.4a) (*No conflict with other obligations*), 19.6 (*Governing law and enforcement*), 19.8 b) (*Taxes*) and Clause 19.9 (*No filing or stamp taxes*).

"Reporting Day" means the day (if any) specified as such in the Reference Rate Terms. "Reporting Time" means the relevant time (if any) specified as such in the Reference Rate Terms.

"Resolution Authority" means any body which has authority to exercise any Write-down and Conversion Powers.

"Restricted Party" means a person or persons, legal or physical that:

&nbsp;&nbsp;&nbsp;&nbsp;a)is listed on any Sanctions List;

&nbsp;&nbsp;&nbsp;&nbsp;b)is domiciled, resident, located or having its main place of business in, or is incorporated under the laws of, a country or a territory that is or whose government is subject to Sanctions which attach legal effect to being domiciled, located, having its main place of business in, or incorporated under the laws such country;

&nbsp;&nbsp;&nbsp;&nbsp;c)otherwise the target of Sanctions (whether designated by name or by reason of being included in a class of person);

&nbsp;&nbsp;&nbsp;&nbsp;d)with which any Finance Party is prohibited from dealing with or otherwise engaging in a transaction with due to Sanctions; or

&nbsp;&nbsp;&nbsp;&nbsp;e)is directly or indirectly owned by 50 percent or more or controlled, or acting on behalf, at the direction or for the benefit of a person(s) referred to in paragraph a), b) or c) above.

"RFR" means the rate specified as such in the Reference Rate Terms.

"RFR Banking Day" means any day specified as such in the Reference Rate Terms.

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"Sanctions" means any economic or financial sanctions laws and/or regulations, trade embargoes, prohibitions, restrictive measures, decisions, executive orders, or notices from regulators implemented, adapted, imposed, administered, enacted, or enforced by any Sanctions Authority.

"Sanctions Authority" means Japan, the United Nations Security Council, the European Union, the United Kingdom, the Kingdom of Norway, any country to which any Obligor is bound, the United States of America (including but not limited to the U.S. Department of Treasury's Office of Foreign Assets Control (OFAC) and the

U.S. Department of State), and any authority acting on behalf of any of them in connection with Sanctions.

"Sanctions List" means any list of persons or entities subject to Sanctions published in connection with Sanctions by or on behalf of any Sanctions Authority from time to time.

"Security Documents" means all or any security documents as may be entered into from time to time pursuant to Clause 18 (*Security*).

"Security Interest" means any mortgage, charge (whether fixed or floating), encumbrance, pledge, lien, assignment by way of security, finance lease, sale and repurchase or sale and leaseback arrangement, sale of receivables on a recourse basis or other security interest or any other agreement or arrangement having the

effect of conferring security.

"Security Period" means the period commencing on the date of this Agreement and ending the date on which the Agent notifies the Borrower and the other Finance Parties that:

&nbsp;&nbsp;&nbsp;&nbsp;a)all amounts which have become due for payment by the Borrower or any other party under the Finance Documents have been paid in full;

&nbsp;&nbsp;&nbsp;&nbsp;b)no amount is owing or has accrued (without yet having become due for payment) under any of the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;c)the Obligors' have no future or contingent liability under any provision of this Agreement, the other Finance Documents; and

"Share Pledges" means first priority pledges in favour of the Security Agent (on behalf of the Finance Parties) to be created over all shares in the Borrower pursuant to one or several share pledge agreements in form and substance acceptable to the Security Agent, to be entered into between the Security Agent and the Intermediate

Parent.

"Statement of Compliance" means a Statement of Compliance related to fuel oil consumption pursuant

to regulations 6.6 and 6.7 of Annex VI.

"SMC" means a valid safety management certificate issued for the Vessel pursuant to paragraph 13.7 of the ISM Code.

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"SMS" means a safety management system for the Vessel developed and implemented in accordance with the ISM Code and including the functional requirements duties and obligations that follow from the ISM Code.

"Sponsors" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)Geveran Trading Co. Ltd, a company incorporated in Cyprus with registered address at Iris House,

Floor 7, John Kennedy, Limassol, 3106 Cyprus; and

&nbsp;&nbsp;&nbsp;&nbsp;b)any companies and trusts controlled by C.K. Limited, a company incorporated in Jersey with registered address at 28 Esplanade, St Helier, Jersey, JE2 3QA.

"Subsidiary" means an entity from time to time of which a person:

&nbsp;&nbsp;&nbsp;&nbsp;a)has direct or indirect control;

&nbsp;&nbsp;&nbsp;&nbsp;b)or owns directly or indirectly more than fifty per cent. (50.00%) (votes and/or capital),

and for the purpose of paragraph a) above, an entity shall be treated as being "controlled" by a person if that person is able to direct its affairs and/or control either directly or indirectly, the composition of its board of directors or equivalent body.

"Tax" means any tax, levy, impost, duty or other charge or withholding of a similar nature (including any penalty or interest payable in connection with any failure to pay or any delay in paying any of the same).

"Total Commitments" means the aggregate of the Commitments in respect of the Facility, being the lesser of:

&nbsp;&nbsp;&nbsp;&nbsp;a)USD 180,000,000; and

&nbsp;&nbsp;&nbsp;&nbsp;b)eighty-five per cent. (85.00%) of the Market Value of the Vessel net the Minimum Cash Balance. "Total Loss" means, in relation to the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;a)the actual, constructive, compromised, agreed, arranged or other total loss of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;b)any expropriation, confiscation, requisition or acquisition of the Vessel, whether for full consideration, a consideration less than its proper value, a nominal consideration or without any consideration, which is effected by any government or official authority or by any person or persons purporting to be or to represent a governmental or official authority unless it is within 180 calendar days from the Total Loss Date redelivered to the full control of the Borrower; and

&nbsp;&nbsp;&nbsp;&nbsp;c)any capture or seizure of the Vessel (including any hijacking or theft) unless it is within 180 calendar days from the Total Loss Date redelivered to the full control of the Borrower.

"Total Loss Date" means:

in the case of an actual total loss of the Vessel, the date on which it occurred or, if that is unknown, the date when the Vessel was last heard of;

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&nbsp;&nbsp;&nbsp;&nbsp;a)in the case of a constructive, compromised, agreed or arranged total loss of the Vessel, the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the date on which a notice of abandonment is given to the insurers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the date of compromise, arrangement or agreement made by or on behalf of the Borrower with the Vessel's insurers in which the insurers agree to treat the Vessel as a total loss; or

&nbsp;&nbsp;&nbsp;&nbsp;b)in the case of any other type of total loss, on the date (or the most likely date) on which it appears to the Agent (in consultation with the Borrower and the Lenders) that the event constituting the total loss occurred.

"Transaction Documents" means any Management Agreement and Charterparty.

"Transfer Certificate" means a certificate substantially in the form as set out in <u>Schedule 5</u> (*Form of Transfer Certificate*) or any other form agreed between the Agent and the Borrower.

"Transfer Date" means, in relation to a transfer, the later of:

&nbsp;&nbsp;&nbsp;&nbsp;a)the proposed Transfer Date specified in the relevant Transfer Certificate; and

&nbsp;&nbsp;&nbsp;&nbsp;b)the date on which the Agent executes the relevant Transfer Certificate. "Trust Agreement" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)any vessel trust agreement entered into from time to time between the Agent and the Security Agent (as mortgagee) in respect of the Vessel and Mortgage, whereby the Security Agent agrees to hold the Vessel and/or the Mortgage on trust for the Finance Parties; and

&nbsp;&nbsp;&nbsp;&nbsp;b)any trust deed entered into from time to time between the Finance Parties and the Security Agent in respect of any English law governed Security Documents.

"UK Bail-In Legislation" means (to the extent that the United Kingdom is not an EEA Member Country which has implemented, or implements, Article 55 BRRD) Part I of the United Kingdom Banking Act 2009 and any other law or regulation applicable in the United Kingdom relating to the resolution of unsound or failing banks, investment firms or other financial institutions or their affiliates (otherwise than through liquidation,

administration or other insolvency proceedings).

"Unpaid Sum" means any sum due and payable but unpaid by an Obligor under the Finance Documents. "US" means the United States of America.

"US GAAP" means the generally accepted account principles in the US.

"USD" means United States Dollars, being the lawful currency of the United States of America. "VAT" means value added tax and any other tax of similar nature.

"Vessel" means the vessel set out in <u>Schedule 6</u> (*Vessel*).

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"Write-down and Conversion Powers" means:

&nbsp;&nbsp;&nbsp;&nbsp;a)in relation to any Bail-In Legislation described in the EU Bail-In Legislation Schedule from time to time, the powers described as such in relation to that Bail-In Legislation in the EU Bail-In Legislation Schedule; and

&nbsp;&nbsp;&nbsp;&nbsp;b)in relation to any other applicable Bail-In Legislation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any powers under that Bail-In Legislation to cancel, transfer or dilute shares issued by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or any contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that Bail-In Legislation that are related to or ancillary to any of those powers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any similar or analogous powers under that Bail-In Legislation; and

&nbsp;&nbsp;&nbsp;&nbsp;c)in relation to any UK Bail-In Legislation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any powers under that UK Bail-In Legislation to cancel, transfer or dilute shares issued by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or any contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that UK Bail-In Legislation that are related to or ancillary to any of those powers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any similar or analogous powers under that UK Bail-In Legislation.

&nbsp;&nbsp;&nbsp;&nbsp;1.2Construction

&nbsp;&nbsp;&nbsp;&nbsp;a)Unless a contrary indication appears, any reference in this Agreement to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the "Agent", the "Security Agent", the "Arranger", any "Finance Party", any "Lender", any "Obligor", the "Hedge Provider" or any "Party" shall be construed so as to include its

successors in title, permitted assigns and permitted transferees to, or of, its rights and/or obligations under the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)a Lender's "cost of funds" in relation to its participation in the Loan is a reference to the average cost (determined either on an actual or a notional basis) which that Lender would incur if it were to fund, from whatever source(s) it may reasonably select, an amount equal to the amount of that participation in the Loan for a period equal in length to the Interest

Period of the Loan;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)a "Finance Document" or any other agreement or instrument is a reference to that Finance Document or other agreement or instrument as amended, novated, supplemented, extended or restated;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)"control" means the power to appoint a majority of the board of directors or to direct the management and policies of an entity, whether through the ownership of voting capital, by contract or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)"indebtedness" includes any obligation (whether incurred as principal or as surety) for the payment or repayment of borrowed money, whether present or future, actual or contingent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)a "person" shall include any individual, firm, partnership, joint venture, company, corporation, trust, fund, body, corporate, unincorporated body of persons, or any state or any agency of a state or association (whether or not having separate legal personality);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)a "regulation" includes any regulation, rule, official directive, request or guideline (whether or not having the force of law) of any governmental, intergovernmental or supranational body, agency, department or of any regulatory, self-regulatory or other authority or organisation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)a provision of law is a reference to that provision as it may be amended or re-enacted; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)a time of the day is a reference to London time unless specified otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;b)Section, Clause and Schedule headings are for ease of reference only.

&nbsp;&nbsp;&nbsp;&nbsp;c)Words denoting the singular number shall include the plural and vice versa.

&nbsp;&nbsp;&nbsp;&nbsp;d)Unless a contrary indication appears, a term used in any other Finance Document or in any notice given under or in connection with any Finance Document has the same meaning in that Finance Document or notice as in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;e)Unless the contrary intention appears, a reference to a "month" or "months" is a reference to a period starting on one day in a calendar month and ending on the numerically corresponding day in the next calendar month, except that;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)(subject to paragraph (iii) below) if the numerically corresponding day is not a Business Day, that period shall end on the next Business Day in that calendar month in which that period is to end if there is one, or if there is not, on the immediately preceding Business Day;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if there is no numerically corresponding day in the calendar month in which that period is to end, that period shall end on the last Business Day in that calendar month; and

if an Interest Period begins on the last Business Day of a calendar month, that Interest Period shall end on the last Business Day in the calendar month in which that Interest Period is to end.

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The above rules will only apply to the last month of any period.

&nbsp;&nbsp;&nbsp;&nbsp;f)A Default and/or an Event of Default is "continuing" if it has not been remedied or waived.

&nbsp;&nbsp;&nbsp;&nbsp;g)A reference in this Agreement to a page or screen of an information service displaying a rate shall include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any replacement page of that information service which displays that rate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the appropriate page of such other information service which displays that rate from time to time in place of that information service,

and, if such page or service ceases to be available, shall include any other page or service displaying that rate specified by the Agent after consultation with the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;h)A reference in this Agreement to a Central Bank Rate shall include any successor rate to, or replacement rate for, that rate.

&nbsp;&nbsp;&nbsp;&nbsp;i)Any Reference Rate Supplement overrides anything in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)<u>Schedule 8</u> (*Reference Rate Terms*); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any earlier Reference Rate Supplement.

&nbsp;&nbsp;&nbsp;&nbsp;j)A Compounding Methodology Supplement relating to the Daily Non-Cumulative Compounded RFR Rate or the Cumulative Compounded RFR Rate overrides anything relating to that rate in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)<u>Schedule 9</u> (*Daily Non-Cumulative Compounded RFR Rate*) or <u>Schedule 10</u> (*Cumulative Compounded RFR Rate*), as the case may be; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any earlier Compounding Methodology Supplement.

&nbsp;&nbsp;&nbsp;&nbsp;1.3Conflicting provisions

In case of conflict between this Agreement and the terms of any of the Security Documents, the terms and conditions of this Agreement shall prevail.

&nbsp;&nbsp;&nbsp;&nbsp;1.4The FA Act

Each Obligor hereby agrees and accepts, to the extent permitted by law, that this Clause 1.4 (*The FA Act*) shall constitute a waiver of the provisions of the FA Act, and further agrees and accepts, to the extent permitted by law, that the provisions of the FA Act shall not apply to this Agreement or to the relationship between the Finance Parties and each Obligor.

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SECTION 2 THE FACILITY

2THE FACILITY

&nbsp;&nbsp;&nbsp;&nbsp;2.1The Facility

Subject to the terms of this Agreement, the Lenders agree to make available to the Borrower a term loan facility in an aggregate up to the Total Commitments allocated as set out in <u>Schedule 1</u> (*The Original Lenders and Commitments*).

&nbsp;&nbsp;&nbsp;&nbsp;2.2Finance Parties' rights and obligations

&nbsp;&nbsp;&nbsp;&nbsp;a)The obligations of each Finance Party under the Finance Documents are several. Failure by a Finance Party to perform its obligations under the Finance Documents does not affect the obligations of any other Party under the Finance Documents. No Finance Party is responsible for the obligations of any other Finance Party under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;b)The rights of each Finance Party under or in connection with the Finance Documents are separate and independent rights and any debt arising under the Finance Documents to a Finance Party from an Obligor shall be a separate and independent debt in respect of which a Finance Party shall be entitled to enforce its rights in accordance with paragraph c) below. The rights of each Finance Party include any debt owing to that Finance Party under the Finance Documents and, for the avoidance of doubt, any part of the Loan or any other amount owed by an Obligor which relates to a Finance Party's participation in the Facility or its role under a Finance Document (including any such amount payable to the Agent on its behalf) is a debt owing to that Finance Party by that Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;c)A Finance Party may, except as otherwise stated in the Finance Documents, separately enforce its rights under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;2.3Obligors' agent

&nbsp;&nbsp;&nbsp;&nbsp;a)Each Obligor (other than the Ultimate Parent) by its execution of this Agreement irrevocably appoints the Ultimate Parent to act on its behalf as its agent in relation to the Finance Documents and irrevocably by way of security authorises:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Ultimate Parent on its behalf to supply all information concerning itself contemplated by this Agreement to the Finance Parties and to give all notices and instructions, to make such agreements, to execute such deeds (under hand), and to effect the relevant amendments, supplements and variations capable of being given, made or effected by the Ultimate Parent notwithstanding that they may affect the other Obligors, without further reference to or the consent of the other Obligors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)each Finance Party to give any notice, demand or other communication to the Obligors pursuant to the Finance Documents to the Ultimate Parent,

and in each case the other Obligors shall be bound as though the Ultimate Parent itself had been given the notices and instructions or executed or made the agreements or deeds or effected the amendments, supplements or variations, or received the relevant notice, demand or other communication.

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&nbsp;&nbsp;&nbsp;&nbsp;b)Every act, omission, agreement, undertaking, settlement, waiver, amendment, supplement, variation, notice or other communication given or made by the Ultimate Parent or given to the Ultimate Parent under any Finance Document on behalf of the other Obligors or in connection with any Finance Document (whether or not known to any of the other Obligors) shall be binding for all purposes on the other Obligors as if it had expressly made, given or concurred with it. In the event of any conflict between any notices or other communications of the Ultimate Parent and the other Obligors, those of the Ultimate Parent shall prevail.

3PURPOSE

&nbsp;&nbsp;&nbsp;&nbsp;3.1Purpose

The Borrower shall apply all amounts borrowed by it under the Facility towards (i) refinancing of the Vessel and

&nbsp;&nbsp;&nbsp;&nbsp;(ii) for the Group's general corporate and working capital purposes.

&nbsp;&nbsp;&nbsp;&nbsp;3.2Monitoring

Without prejudice to the obligations of the Borrower under this Clause 3, no Finance Party is bound to monitor or verify the application of any amount borrowed pursuant to this Agreement.

4CONDITIONS PRECEDENT

&nbsp;&nbsp;&nbsp;&nbsp;4.1Initial conditions precedent

&nbsp;&nbsp;&nbsp;&nbsp;a)The signing and effectiveness of this Agreement is conditional upon the Agent having received all of the documents and other evidence listed in <u>Part I of Schedule 2</u> (*Conditions precedent - Signing*) in form and substance satisfactory to the Agent no later than 30 September 2025, unless otherwise agreed by the Parties hereto. The Agent shall notify the Borrower and the Lenders promptly upon being so satisfied.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower may not deliver a Drawdown Notice unless the Agent has received all of the documents and other evidence listed in <u>Part II of Schedule 2</u> (*Conditions precedent – Drawdown Notice*) in form and substance satisfactory to the Agent. The Agent shall notify the Borrower and the Lenders promptly upon being so satisfied.

&nbsp;&nbsp;&nbsp;&nbsp;c)Other than to the extent that the Majority Lenders notify the Agent in writing to the contrary before the Agent gives the notification described in paragraph b) above, the Lenders authorise (but do not require) the Agent to give that notification. The Agent shall not be liable for any damages, costs or losses whatsoever as a result of giving any such notification.

&nbsp;&nbsp;&nbsp;&nbsp;4.2Further conditions precedent

The Lenders will only be obliged to comply with Clause 5.4 (*Lenders' participation*) if on the date of a Drawdown Notice and on the proposed Drawdown Date:

&nbsp;&nbsp;&nbsp;&nbsp;a)no Event of Default is continuing or would result from the proposed drawing; and

the Repeating Representations to be made by the Obligors in accordance with Clause 19 (*Representations and warranties*) are true and correct in all material respects.

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&nbsp;&nbsp;&nbsp;&nbsp;4.3Maximum number of drawings

The Facility may be drawn in one (1) Loan only during the Availability Period.

&nbsp;&nbsp;&nbsp;&nbsp;4.4Waiver of conditions precedent

The conditions precedent specified in this Clause 4 are solely for the benefit of the Lenders and may be waived on their behalf in whole or in part and with or without conditions by the Agent (acting on the instructions of all the Lenders).

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SECTION 3 DRAWDOWN

5DRAWDOWN

&nbsp;&nbsp;&nbsp;&nbsp;5.1Delivery of a Drawdown Notice

The Borrower may utilise the Facility by delivering to the Agent a duly completed Drawdown Notice no later than 11:00 hours three (3) Business Days prior to the proposed Drawdown Date.

&nbsp;&nbsp;&nbsp;&nbsp;5.2Completion of the Drawdown Notice

Each Drawdown Notice is irrevocable and will not be regarded as having been duly completed unless:

&nbsp;&nbsp;&nbsp;&nbsp;a)it identifies the purpose of the proposed Loan, being in accordance with Clause 3.1 (*Purpose*);

&nbsp;&nbsp;&nbsp;&nbsp;b)the proposed Drawdown Date is a Business Day within the Availability Period;

&nbsp;&nbsp;&nbsp;&nbsp;c)the currency specified is USD;

&nbsp;&nbsp;&nbsp;&nbsp;d)the proposed Interest Period complies with Clause 9 (*Interest Periods*);

&nbsp;&nbsp;&nbsp;&nbsp;e)the amount will not cause the Available Commitments, nor the Maximum Loan Amount, to be exceeded; and

&nbsp;&nbsp;&nbsp;&nbsp;f)the amount of the proposed Loan is minimum USD 5,000,000 or integral multiples thereof.

&nbsp;&nbsp;&nbsp;&nbsp;5.3Availability

Any amount of the Commitments under the Facility which, at that time, has not been utilised shall automatically be cancelled at the end of the Availability Period.

&nbsp;&nbsp;&nbsp;&nbsp;5.4Lenders' participation

&nbsp;&nbsp;&nbsp;&nbsp;a)Upon receipt of a Drawdown Notice, the Agent shall notify each Lender of the details of the requested drawing and the amount of each Lender's participation.

If the conditions set out in this Agreement have been met, each Lender shall no later than 11:00 hours on the Drawdown Date make available to the Agent for the account of the Borrower an amount equal to its participation in the drawing to be advanced pursuant to a Drawdown Notice. The amount of each Lender's participation in the Loan will be equal to the proportion borne by its Available Commitments to the aggregate Available Commitments under the Facility immediately prior to making the Loan.

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SECTION 4

REPAYMENT, PREPAYMENT AND CANCELLATION

6REPAYMENT

&nbsp;&nbsp;&nbsp;&nbsp;6.1Repayment of the Loan

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall repay the Loan in equal quarterly consecutive instalments, with the first instalment falling due three (3) months after the Drawdown Date, reflecting the following repayment profile (based on a full utilisation of the Commitments, being USD 180,000,000):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the date falling three (3) months after the Drawdown Date and until and including the seventh anniversary of the Charter Delivery Date: quarterly instalments of USD 2,500,000; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)thereafter and until and including the Final Maturity Date: quarterly instalments of USD 3,281,250.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower may not re-borrow any part of the Loan which is repaid.

&nbsp;&nbsp;&nbsp;&nbsp;6.2Repayment schedule

&nbsp;&nbsp;&nbsp;&nbsp;a)An illustrative repayment schedule is set out in <u>Schedule 7</u> (*Repayment Schedule*), based on the full utilisation of the Commitments at 15 September 2025.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent shall, if relevant, provide an updated repayment schedule that reflects a revised repayment profile in the event that the Borrower does not utilize the full Commitments.

&nbsp;&nbsp;&nbsp;&nbsp;6.3Final repayment

Notwithstanding Clause 6.1 (*Repayment of the Loan*), on the Final Maturity Date hereunder, the Borrower shall repay all other sums due and outstanding under the Finance Documents at such date (if any).

7PREPAYMENT AND CANCELLATION

&nbsp;&nbsp;&nbsp;&nbsp;7.1Mandatory prepayment – Collateral Maintenance Test

&nbsp;&nbsp;&nbsp;&nbsp;![image_19.jpg](image_19.jpg)a)

![image_20.jpg](image_20.jpg)(the "Collateral

Maintenance Test").

&nbsp;&nbsp;&nbsp;&nbsp;b)If there is a breach of the Collateral Maintenance Test, the Borrower shall within fourteen (14) calendar days of the occurrence of such breach either:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)post additional collateral reasonably satisfactory to the Majority Lenders in favour of the Security Agent (it being understood that cash in USD placed in a pledged and blocked account shall be satisfactory to the Majority Lenders), pursuant to security documentation in form and substance reasonably satisfactory to the Agent, in an aggregate amount sufficient to cure such breach, or

prepay the Loan under the Facility by an amount necessary to cure such breach.

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&nbsp;&nbsp;&nbsp;&nbsp;7.2Mandatory prepayment – Total Loss or sale

&nbsp;&nbsp;&nbsp;&nbsp;a)For the purpose of this Clause 7.2, the following definitions shall apply:

"Disposal Date" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in case of a sale or other disposal of the Vessel, the date on which the sale or other disposal is completed by delivery of the Vessel to the buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in case of a sale or other disposal of all shares in the Borrower, the date of transfer of such shares from the Intermediate Parent to the buyer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)in the case of a Total Loss, on the earlier of (i) the date falling two hundred and seventy

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(270) days after the Total Loss Date and (ii) the receipt by the Agent (on behalf of the Lenders) of the proceeds of Insurance relating to such Total Loss (or in the event of a requisition for title of the Vessel, immediately after the occurrence of such requisition of title).

&nbsp;&nbsp;&nbsp;&nbsp;b)If the Vessel is sold or otherwise disposed of, or it becomes a Total Loss, or all shares in the Borrower is sold or otherwise disposed of, the Borrower shall be obliged to prepay the outstanding Loan under this Agreement in full, together with accrued interest, and settle all costs and fees, and all outstanding amounts under Hedging Agreements related to such Loan and Vessel, on the Disposal Date, and concurrently all related Commitments shall be automatically cancelled.

&nbsp;&nbsp;&nbsp;&nbsp;7.3Mandatory prepayment – Charterparty

Upon the termination, repudiation, suspension or rescission, or any other reason that will cause cessation of the Charterparty, the Borrower shall within ninety (90) days:

&nbsp;&nbsp;&nbsp;&nbsp;a)prepay the outstanding Loan under this Agreement in full, together with accrued interest, and settle all costs and fees, and all outstanding amounts under Hedging Agreements related to the Loan and Vessel, and concurrently all related Commitments shall be automatically cancelled; or

&nbsp;&nbsp;&nbsp;&nbsp;b)replace the Charterparty with a new charter contract for the Vessel, on terms and conditions acceptable to the Lenders in their sole discretion (such acceptance not to be unreasonably withheld or delayed).

&nbsp;&nbsp;&nbsp;&nbsp;7.4Mandatory prepayment – Illegality

If it becomes unlawful in any applicable jurisdiction or contrary to, or declared by any Sanctions Authority to be contrary to, Sanctions (including, without limitation, due to actions by any Obligor) for a Lender to perform any of its obligations as contemplated by this Agreement or to fund or maintain its participation in the Loan:

&nbsp;&nbsp;&nbsp;&nbsp;a)that Lender shall promptly notify the Agent upon becoming aware of that event;

&nbsp;&nbsp;&nbsp;&nbsp;b)upon the Agent notifying the Borrower, the Commitment of that Lender will be immediately cancelled; and

the Borrower shall repay that Lender's participation in the Loan on the Interest Payment Date occurring after the Agent has notified the Borrower or, if earlier, the date specified by that Lender in

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the notice delivered to the Agent (being no earlier than the last day of any applicable grace period permitted by law).

&nbsp;&nbsp;&nbsp;&nbsp;7.5Mandatory prepayment – Change of Control

Upon the occurrence of a Change of Control any Lender may cancel its Commitments, and declare that its participation in the Loan, together with accrued interest, costs and fees shall be due and payable. Such notice shall be given by the relevant Lender(s) to the Agent, and upon the Agent notifying the Borrower, such Commitments will be immediately cancelled and such outstanding part of the Loan and other amounts will become due and payable by the Borrower within twenty (20) Business Days of such notice. The Borrower shall promptly notify the Agent upon becoming aware of a Change of Control.

&nbsp;&nbsp;&nbsp;&nbsp;7.6Voluntary prepayment

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower may, if it gives the Agent not less than ten (10) RFR Banking Days' (or such shorter period as the Majority Lenders and the Agent may agree) prior written notice, prepay the whole or any part of the Loan (but if in part, being an amount of minimum USD 5,000,000 or in integral multiples thereof).

&nbsp;&nbsp;&nbsp;&nbsp;b)A maximum of four (4) voluntary prepayments may be made per calendar year, unless such prepayments are made on the last day of an Interest Period.

&nbsp;&nbsp;&nbsp;&nbsp;7.7Voluntary cancellation

The Borrower may, if it gives the Agent not less than ten (10) Business Days' (or such shorter period as the Majority Lenders and the Agent may agree) prior written notice, cancel the whole or any part of the Available Commitments (but if in part being a minimum amount of USD 5,000,000 or in integral multiples thereof).

&nbsp;&nbsp;&nbsp;&nbsp;7.8Right of repayment in relation to a single Lender

&nbsp;&nbsp;&nbsp;&nbsp;a)If:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any sum payable to any Lender by the Borrower is required to be increased under paragraph c) of Clause 12.2 (*Tax gross-up*); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Lender claims indemnification from the Borrower under Clause 12.3 (*Tax indemnity*) or Clause 13.1 (*Increased costs*),

the Borrower may, whilst the circumstance giving rise to the requirement for that increase or indemnification continues, give the Agent notice of cancellation of the Commitment of that Lender and its intention to procure the repayment of that Lender's participation in the Loan.

&nbsp;&nbsp;&nbsp;&nbsp;b)On receipt of a notice of cancellation referred to in paragraph a) above, the Commitment of that Lender shall immediately be reduced to zero.

On the last day of each Interest Period which ends after the Borrower has given notice of cancellation under paragraph a) above (or, if earlier, the date specified by the Borrower in that notice), the Borrower shall repay that Lender's participation in the Loan together with all interest and other amounts accrued under the Finance Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;7.9Terms and conditions for prepayments and cancellation

&nbsp;&nbsp;&nbsp;&nbsp;a)Any notice of prepayment or cancellation by the Borrower under this Clause 7 shall be irrevocable and, unless a contrary indication appears in this Agreement, shall specify the date upon which the prepayment or cancellation is to be made.

&nbsp;&nbsp;&nbsp;&nbsp;b)Any prepayment under this Agreement shall be made together with accrued interest on the amount prepaid and, subject to any Break Costs, without premium or penalty.

&nbsp;&nbsp;&nbsp;&nbsp;c)The Borrower may not re-borrow any part of the Facility which is prepaid,.

&nbsp;&nbsp;&nbsp;&nbsp;d)The Borrower shall not repay or prepay all or any part of the Loan or cancel all or any part of the Commitments except at the times and in the manner expressly provided for in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;e)No amount of the Commitments cancelled under this Agreement may subsequently be reinstated, unless otherwise agreed in writing with the Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;f)If the Agent receives a notice under this Clause 7 it shall promptly forward a copy of that notice to the Borrower or the Lenders, as appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;7.10Application of prepayments

Unless otherwise provided for in this Clause 7, prepaid amounts shall be applied as against the outstanding amounts in inverse order of maturity (including any balloon payments).

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SECTION 5 COSTS OF UTILISATION

8INTEREST

&nbsp;&nbsp;&nbsp;&nbsp;8.1Calculation of interest

&nbsp;&nbsp;&nbsp;&nbsp;a)The rate of interest on the Loan for any day during an Interest Period is the percentage rate per annum which is the aggregate of the applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Margin; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Compounded Reference Rate for that day.

&nbsp;&nbsp;&nbsp;&nbsp;b)If any day during an Interest Period for the Loan is not an RFR Banking Day, the rate of interest on the Loan for that day will be the rate applicable to the immediately preceding RFR Banking Day.

&nbsp;&nbsp;&nbsp;&nbsp;c)Effective interest pursuant to Section 46 of the FA Act has been calculated by the Agent as set out in a separate notice from the Agent to the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;8.2Payment of interest

The Borrower shall pay accrued interest on the Loan on the last day of each Interest Period.

&nbsp;&nbsp;&nbsp;&nbsp;8.3Default interest

&nbsp;&nbsp;&nbsp;&nbsp;a)If an Obligor fails to pay any amount payable by it under the Finance Documents (other than Hedging Agreements) on its due date, interest shall accrue on the overdue amount from the due date and up to the date of actual payment (both before and after judgment) at a rate determined by the Agent to be two percentage points (2.00%) per annum 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 of a duration selected by the Agent (acting reasonably). Any interest accruing under this Clause 8.3 shall be immediately payable by the relevant Obligor on demand by the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;b)Default interest (if unpaid) arising on an overdue amount 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.

&nbsp;&nbsp;&nbsp;&nbsp;c)If an Event of Default has occurred and is continuing, and notice thereof has been sent from the Agent to the Borrower, all outstanding amounts under the Facility shall be deemed overdue and default interest will be calculated and is payable forthwith upon demand from the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;8.4Notifications of rates of interest

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent shall promptly upon an Interest Payment being determinable notify:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Borrower of that Interest Payment;

each relevant Lender of the proportion of that Interest Payment which relates to that Lender's participation in the Loan; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if requested, the relevant Lenders and the Borrower of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)each applicable rate of interest relating to the determination of that Interest Payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)to the extent it is then determinable, the Market Disruption Rate (if any) relating to the Loan.

This paragraph a) shall not apply to any Interest Payment determined pursuant to Clause 10.3 (*Cost of funds*).

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent shall promptly notify the Borrower of each Funding Rate relating to the Loan.

&nbsp;&nbsp;&nbsp;&nbsp;c)The Agent shall promptly notify the relevant Lenders and the Borrower of the determination of a rate of interest relating to the Loan to which Clause 10.3 (*Cost of funds*) applies.

&nbsp;&nbsp;&nbsp;&nbsp;d)This Clause 8.4 shall not require the Agent to make any notification to any Party on a day which is not a Business Day.

9INTEREST PERIODS

&nbsp;&nbsp;&nbsp;&nbsp;9.1Selection of Interest Periods

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower may select an Interest Period for the Loan in a Drawdown Notice.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower may select an Interest Period of any period specified in the Reference Rate Terms or of any other period agreed between the Borrower and the Agent (on behalf of the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;c)An Interest Period for the Loan shall not extend beyond a Final Maturity Date.

&nbsp;&nbsp;&nbsp;&nbsp;d)An Interest Period for the Loan shall start on the Drawdown Date or (if already made) on the last day of its preceding Interest Period.

&nbsp;&nbsp;&nbsp;&nbsp;9.2Non-Business Day

Any rules specified as "Business Day Conventions" in the Reference Rate Terms shall apply to each Interest Period.

10CHANGES TO THE CALCULATION OF INTEREST

&nbsp;&nbsp;&nbsp;&nbsp;10.1Interest calculation if no RFR or Central Bank Rate

If:

&nbsp;&nbsp;&nbsp;&nbsp;a)there is no applicable RFR or Central Bank Rate for the purposes of calculating the Daily Non-Cumulative Compounded RFR Rate for an RFR Banking Day during an Interest Period for the Loan; and

"***Cost of funds will apply as a fallback***" is specified in the Reference Rate Terms, Clause 10.3 (*Cost of funds*) shall apply to the Loan for that Interest Period.

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&nbsp;&nbsp;&nbsp;&nbsp;10.2Market disruption

If:

&nbsp;&nbsp;&nbsp;&nbsp;a)a Market Disruption Rate is specified in the Reference Rate Terms; and

&nbsp;&nbsp;&nbsp;&nbsp;b)before the Reporting Time the Agent receives notifications from a Lender or Lenders (whose participations in the Loan exceed fifty per cent. (50%) of the Loan) that its cost of funds relating to its participation in the Loan would be in excess of that Market Disruption Rate,

then Clause 10.3 (*Cost of funds*) shall apply to the Loan for the relevant Interest Period.

&nbsp;&nbsp;&nbsp;&nbsp;10.3Cost of funds

&nbsp;&nbsp;&nbsp;&nbsp;a)If this Clause 10.3 applies, Clause 8.1 (*Calculation of interest*) shall not apply to the Loan for that Interest Period and the rate of interest on the Loan for that Interest Period shall be the percentage rate per annum which is the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the applicable Margin; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the weighted average of the rates notified to the Agent by each Lender as soon as practicable and in any event by the Reporting Time, to be that which expresses as a percentage rate per annum its cost of funds relating to its participation in the Loan.

&nbsp;&nbsp;&nbsp;&nbsp;b)If this Clause 10.3 applies and the Agent or the Borrower so require, the Agent and the Borrower shall enter into negotiations (for a period of not more than thirty days) with a view to agreeing a substitute basis for determining the rate of interest.

&nbsp;&nbsp;&nbsp;&nbsp;c)Any alternative basis agreed pursuant to paragraph b) above shall, with the prior consent of all the Lenders and the Borrower, be binding on all Parties.

&nbsp;&nbsp;&nbsp;&nbsp;d)If this Clause 10.3 applies pursuant to Clause 10.2 (*Market disruption*) and:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a Lender's Funding Rate is less than the Market Disruption Rate; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)a Lender does not notify a rate to the Agent by the Reporting Time,

that Lender's cost of funds relating to its participation in the Loan for that Interest Period shall be deemed, for the purposes of paragraph a) above, to be the Market Disruption Rate.

&nbsp;&nbsp;&nbsp;&nbsp;e)Subject to paragraph d) above if this Clause 10.3 applies but any Lender does not notify a rate to the Agent by the Reporting Time the rate of interest shall be calculated on the basis of the rates notified by the remaining Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;f)If this Clause 10.3 applies the Agent shall, as soon as is practicable, notify the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;10.4Break Costs

If an amount is specified as Break Costs in the Reference Rate Terms, the Borrower shall, within three Business Days of demand by a Finance Party, pay to that Finance Party its Break Costs (if any)

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attributable to all or any part of the Loan or Unpaid Sum being paid by the Borrower on a day prior to the last day of an Interest Period for the Loan or Unpaid Sum.

&nbsp;&nbsp;&nbsp;&nbsp;c)Each Lender shall, as soon as reasonably practicable after a demand by the Agent, provide a certificate confirming the amount of its Break Costs for any Interest Period in respect of which they become, or may become, payable.

11FEES

&nbsp;&nbsp;&nbsp;&nbsp;11.1Commitment fee

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall pay to the Agent (for the account of each Lender) a fee computed at the rate of zero point five per cent. (0.50%) per annum on that Lender's Available Commitment under the Facility for the Availability Period, from the date of this Agreement until the earlier of (i) the end of the Availability Period and (ii) the date on which the Total Commitments are cancelled in full.

&nbsp;&nbsp;&nbsp;&nbsp;b)The accrued commitment fee is payable on the last day of each successive period of three (3) Months which ends during the Availability Period and on the last day of the Availability Period or such other date upon which the Facility is cancelled in whole or, in respect of any part cancellation, on the cancelled amount on the date the cancellation is effective.

&nbsp;&nbsp;&nbsp;&nbsp;11.2Upfront Fee

The Borrower shall pay to Agent an upfront fee in the amount and at the times agreed in the relevant Fee Letters.

&nbsp;&nbsp;&nbsp;&nbsp;11.3Agency fee

The Borrower shall pay to Agent (for its own account) an agency fee in the amount and at the times agreed in a Fee Letter.

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SECTION 6

ADDITIONAL PAYMENT OBLIGATIONS

12TAX GROSS-UP AND INDEMNITIES

&nbsp;&nbsp;&nbsp;&nbsp;12.1Definitions

&nbsp;&nbsp;&nbsp;&nbsp;a)In this Agreement:

"Protected Party" means a Finance Party which is or will be subject to any liability, or required to make any payment, for or on account of Tax in relation to a sum received or receivable (or any sum deemed for the purposes of Tax to be received or receivable) under a Finance Document.

"Qualifying Lender" means a Lender which is beneficially entitled to interest payable to it in respect of the Loan under this Agreement and, in relation to the Borrower is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a Lender which is resident for tax purposes in the Borrower's Tax Jurisdiction and to whom interest may be paid by that Borrower without a Tax Deduction under the domestic laws of the Borrower's Tax Jurisdiction; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)a Treaty Lender.

"Tax Confirmation" means a confirmation by a Lender that it is beneficially entitled to interest payable to it in respect of an advance under a Finance Document specifying:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)its Tax Jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)whether the Lender believes it is a Treaty Lender in relation to the Borrower; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)such other relevant details as may be reasonably requested by the Borrower or the Agent "Tax Credit" means a credit against, relief or remission for, or repayment of any Tax.

"Tax Deduction" means a deduction or withholding for or on account of Tax from a payment under a Finance Document, other than a FATCA Deduction.

"Tax Jurisdiction" means, in relation to the Borrower, the jurisdiction in which it is resident for tax purposes from time to time.

"Tax Payment" means either the increase in a payment made by an Obligor to a Finance Party under Clause 12.2 (*Tax gross-up*) or a payment under Clause 12.3 (*Tax indemnity*).

"Treaty Lender" means, in relation to the Borrower, a Lender which is treated as resident in a jurisdiction that has a double taxation agreement (a "Treaty") with the Borrower's Tax Jurisdiction which gives such resident full exemption from tax imposed by the Borrower's Tax Jurisdiction on

interest.

Unless a contrary indication appears, in this Clause 12 a reference to "determines" or "determined" means a determination made in the absolute discretion of the person making the determination.

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&nbsp;&nbsp;&nbsp;&nbsp;12.2Tax gross-up

&nbsp;&nbsp;&nbsp;&nbsp;a)Each Obligor shall make all payments to be made by it without any Tax Deduction, unless a Tax Deduction is required by law.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower shall promptly upon becoming aware that an Obligor must make a Tax Deduction (or that there is any change in the rate or the basis of a Tax Deduction) notify the Agent accordingly. Similarly, a Lender shall notify the Agent on becoming so aware in respect of a payment payable to that Lender. If the Agent receives such notification from a Lender it shall notify the Borrower and that Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;c)If a Tax Deduction is required by law to be made by an Obligor, the amount of the payment due from that Obligor shall be increased to an amount which (after making any Tax Deduction) leaves an amount equal to the payment which would have been due if no Tax Deduction had been required.

&nbsp;&nbsp;&nbsp;&nbsp;d)A payment shall not be increased under paragraph c) above by reason of a Tax Deduction if on the date on which the payment falls due:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the payment could have been made to the relevant Lender without a Tax Deduction if the Lender had been a Qualifying Lender in respect of that Obligor, but on that date that Lender is not or has ceased to be a Qualifying Lender in respect of that Obligor other than as a result of any change after the date it became a Lender under this Agreement in (or in the interpretation, administration, or application of) any law or Treaty or any published practice or published concession of any relevant authority; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the relevant Lender is a Treaty Lender and the Obligor making the payment is able to demonstrate that the payment could have been made to the Lender without the Tax Deduction had that Lender complied with its obligations under paragraph g) below.

&nbsp;&nbsp;&nbsp;&nbsp;e)If an Obligor is required to make a Tax Deduction, that Obligor shall make that Tax Deduction and any payment required in connection with that Tax Deduction within the time allowed and in the minimum amount required by law.

&nbsp;&nbsp;&nbsp;&nbsp;f)Within thirty (30) days of making either a Tax Deduction or any payment required in connection with that Tax Deduction, the Obligor making that Tax Deduction shall deliver to the Agent for the Finance Party evidence reasonably satisfactory to that Finance Party that the Tax Deduction has been made or (as applicable) any appropriate payment paid to the relevant taxing authority.

&nbsp;&nbsp;&nbsp;&nbsp;g)A Treaty Lender and each Obligor which makes a payment to which that Treaty Lender is entitled shall co-operate in completing any procedural formalities necessary for that Obligor to obtain authorisation to make that payment without a Tax Deduction.

A Lender shall promptly provide a Tax Confirmation to the Agent when it becomes a party to this Agreement and the Agent shall promptly send the Tax Confirmation it receives to the Borrower. The Agent may request a Lender to provide a Tax Confirmation in a specific format. A Lender shall promptly notify the Borrower and the Agent if there is any change in the position from that set out in the Tax Confirmation.

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&nbsp;&nbsp;&nbsp;&nbsp;12.3Tax indemnity

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall (within three (3) Business Days of demand by the Agent) pay to a Protected Party an amount equal to the loss, liability or cost which that Protected Party determines will be or has been (directly or indirectly) suffered for or on account of Tax by that Protected Party in respect of a Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;b)Paragraph a) above shall not apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)with respect to any Tax assessed on a Finance Party:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)under the law of the jurisdiction in which that Finance Party is incorporated or, if different, the jurisdiction (or jurisdictions) in which that Finance Party is treated as resident for tax purposes; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)under the law of the jurisdiction in which that Finance Party's Facility Office is located in respect of amounts received or receivable in that jurisdiction,

if that Tax is imposed on or calculated by reference to the net income received or receivable (but not any sum deemed to be received or receivable) by that Finance Party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)to the extent a loss, liability or cost:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)is compensated for by an increased payment under Clause 12.2 (*Tax gross-up*); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)would have been compensated for by an increased payment under Clause 12.2 (*Tax gross-up*) but was not so compensated solely because one of the exclusions in paragraph d) of Clause 12.2 (*Tax gross-up*) applied; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)relates to a FATCA Deduction required to be made by a Party.

&nbsp;&nbsp;&nbsp;&nbsp;c)A Protected Party making, or intending to make, a claim under paragraph a) above shall promptly notify the Agent of the event which will give, or has given, rise to the claim, following which the Agent shall notify the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;d)A Protected Party shall, on receiving a payment from an Obligor under this Clause 12.3, notify the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;12.4Tax Credit

If an Obligor makes a Tax Payment and the relevant Finance Party determines that:

&nbsp;&nbsp;&nbsp;&nbsp;a)a Tax Credit is attributable to an increased payment of which that Tax Payment forms part, to that Tax Payment or to a Tax Deduction in consequence of which that Tax Payment was required; and

that Finance Party has obtained and utilised that Tax Credit,

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the Finance Party shall pay an amount to the Obligor which that Finance Party determines will leave it (after that payment) in the same after-Tax position as it would have been in had the Tax Payment not been required to be made by the Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;12.5Stamp taxes

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall pay and, within three (3) Business Days of demand, indemnify each Finance Party against any cost, loss or liability that Finance Party incurs in relation to all stamp duty, registration and other similar Taxes payable in respect of any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;b)The relevant Finance Party shall, if it intends to make a claim pursuant to paragraph a) above, promptly notify the Borrower of the event giving rise to the claim and shall as soon as practicable, provide a certificate confirming the amount of the claim.

&nbsp;&nbsp;&nbsp;&nbsp;12.6VAT

All amounts set out, or expressed to be payable under a Finance Document by any Party to a Finance Document shall be deemed to be exclusive of any VAT. If VAT is chargeable, the Borrower shall pay to the Agent for the account of such Finance Party (in addition to the amount required pursuant to the Finance Documents) an amount equal to such VAT.

&nbsp;&nbsp;&nbsp;&nbsp;12.7FATCA Information

&nbsp;&nbsp;&nbsp;&nbsp;a)Subject to paragraph c) below, each Party shall, within ten (10) Business Days of a reasonable request by another Party:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)confirm to that other Party whether it is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)a FATCA Exempt Party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)not a FATCA Exempt Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)supply to that other Party such forms, documentation and other information relating to its status under FATCA as that other Party reasonably requests for the purposes of that other Party's compliance with FATCA; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)supply to that other Party such forms, documentation and other information relating to its status as that other Party reasonably requests for the purposes of that other Party's compliance with any other law, regulation, or exchange of information regime.

&nbsp;&nbsp;&nbsp;&nbsp;b)If a Party confirms to another Party pursuant to paragraph a)(i) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly.

&nbsp;&nbsp;&nbsp;&nbsp;c)Paragraph a) above shall not oblige any Finance Party to do anything, and paragraph a)(iii) above shall not oblige any other Party to do anything, which would or might in its reasonable opinion constitute a breach of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any law or regulation;

any fiduciary duty; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any duty of confidentiality.

&nbsp;&nbsp;&nbsp;&nbsp;d)If a Party fails to confirm whether or not it is a FATCA Exempt Party or to supply forms, documentation or other information requested in accordance with paragraph a)(i) or (ii) above (including, for the avoidance of doubt, where paragraph c) above applies), then such Party shall be treated for the purposes of the Finance Documents (and payments under them) as if it is not a FATCA Exempt Party until such time as the Party in question provides the requested confirmation, forms, documentation or other information.

&nbsp;&nbsp;&nbsp;&nbsp;12.8FATCA Deduction

&nbsp;&nbsp;&nbsp;&nbsp;a)Each Party may make any FATCA Deduction it is required to make by FATCA, and any payment required in connection with that FATCA Deduction, and no Party shall be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction.

&nbsp;&nbsp;&nbsp;&nbsp;b)Each Party shall promptly, upon becoming aware that it must make a FATCA Deduction (or that there is any change in the rate or the basis of such FATCA Deduction), notify the Party to whom it is making the payment and, in addition, shall notify the Borrower and the Agent and the Agent shall notify the other Finance Parties.

13INCREASED COSTS

&nbsp;&nbsp;&nbsp;&nbsp;13.1Increased Costs

&nbsp;&nbsp;&nbsp;&nbsp;a)Subject to Clause 13.3 (*Exceptions*) the Borrower shall, within three (3) Business Days of a demand by the Agent, pay for the account of a Finance Party the amount of any Increased Costs incurred by that Finance Party or any of its Affiliates as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)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;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)compliance with any law or regulation made after the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the implementation or application of, or compliance with, Basel III, CRD IV, CRD V, CRD VI, CRR, CRR II or CRR III or any law or regulation that implements or applies Basel III, CRD IV, CRD V, CRD VI, CRR, CRR II or CRR III (whether such implementation, application or compliance is by a government, regulator, Finance Party or any of its Affiliates); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the implementation or application of, or compliance with, IFRS 9 or any other changes in relevant reporting standards,

&nbsp;&nbsp;&nbsp;&nbsp;b)In this Agreement:

"Basel III" means:

the agreements on capital requirements, a leverage ratio and liquidity standards contained in "Basel III: A global regulatory framework for more resilient banks and banking systems", "Basel III: International framework for liquidity risk measurement, standards and monitoring" and "Guidance for national authorities operating the countercyclical capital

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buffer" published by the Basel Committee on Banking Supervision in December 2010, each as amended, supplemented or restated;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the rules for global systemically important banks contained in "Global systemically important banks: assessment methodology and the additional loss absorbency requirement – Rules text' published by the Basel Committee on Banking Supervision in November 2011, as amended, supplemented or restated; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any further guidance or standards published by the Basel Committee on Banking Supervision relating to "Basel III".

"CRD IV" means Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms amending Directive 2002/87/EC and repealing Directive 2006/48/EC and

2006/49/EC.

"CRD V" means Directive (EU) 2019/878 of the European Parliament and the Council of 20 May 2019 amending Directive 2013/36/EU as regards exempted entities, financial holding companies, mixed financial holding companies, remuneration, supervisory measures and powers and capital conservation measure.

"CRD VI" means Directive (EU) 2024/1619 of the European Parliament and of the Council of 31 May 2024 amending Directive 2013/36/EU as regards supervisory powers, sanctions, third-country branches, and environmental, social and governance risks, and amending Directive 2014/59/EU.

"CRR" means Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012.

"CRR II" means Regulation (EU) 2019/876 of the European Parliament and of the Council of 20 May 2019 amending Regulation (EU) No 575/2013 as regards the leverage ratio, the net stable funding ratio, requirements for own funds and eligible liabilities, counterparty credit risk, market risk, exposures to central counterparties, exposures to collective investment undertakings, large

exposures, reporting and disclosure requirements, and Regulation (EU) No 648/2012.

"CRR III" means the Regulation (EU) 2024/1623 of the European Parliament and of the Council of 31 May 2024 amending Regulation (EU) No 575/2013 as regards requirements for credit risk, credit valuation adjustment risk, operational risk, market risk and the output floor or any other regulation

implementing any of the foregoing.

"IFRS 9" means the International Financial Reporting Standard (IFRS) by the International Accounting Standards Board (IASB) designated as "IFRS 9" and replacing IAS 39.

"Increased Costs" means:

a reduction in the rate of return from the Facility or on a Finance Party's (or its Affiliate's) overall capital;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)an additional or increased cost; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)a reduction of any amount due and payable under any Finance Document,

which is incurred or suffered by a Finance Party or any of its Affiliates to the extent that it is attributable to that Finance Party having entered into its Commitment or funding or performing its obligations under any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;13.2Increased cost claims

&nbsp;&nbsp;&nbsp;&nbsp;a)A Finance Party intending to make a claim pursuant to Clause 13.1 (*Increased costs*) shall notify the Agent of the event giving rise to the claim, following which the Agent shall promptly notify the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;b)Each Finance Party shall, as soon as practicable after a demand by the Agent, provide a certificate confirming the amount of its Increased Costs, and the Agent shall promptly forward such certificate to the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;13.3Exceptions

&nbsp;&nbsp;&nbsp;&nbsp;a)Clause 13.1 (*Increased Costs*) does not apply to the extent any Increased Cost is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)attributable to a Tax Deduction required by law to be made by an Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)compensated for by Clause 12.2 (*Tax Indemnity*) (or would have been compensated for under Clause 12.2 (*Tax Indemnity*) but was not so compensated solely because any of the exclusions in paragraph b) of Clause 12.2 (*Tax Indemnity*) applied);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)attributable to a FATCA Deduction required to be made by a Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)attributable to the implementation or application of or compliance with the "International Convergence of Capital Measurement and Capital Standards, a Revised Framework" published by the Basel Committee on Banking Supervision in June 2004 in the form existing on the date of this Agreement ("Basel II") or any other law or regulation which implements Basel II (whether such implementation, application or compliance is by a government, regulator, Finance Party or any of its Affiliates). For the avoidance of doubt, the definition of Basel II shall not be construed to include any Increased Cost attributable to the

implementation or application of or compliance with Basel III, CRD IV, CRD V, CRD VI, CRR II or CRR III;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)attributable to the wilful breach by the relevant Finance Party or its Affiliates of any law or regulation.

In this Clause 13.3, a reference to "Tax Deduction" has the same meaning given to that term in Clause 12.1 (*Definitions*).

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14OTHER INDEMNITIES

&nbsp;&nbsp;&nbsp;&nbsp;14.1Currency indemnity

&nbsp;&nbsp;&nbsp;&nbsp;a)If any sum due from an Obligor under the Finance Documents (a "Sum"), or any order, judgement or award given or made in relation to a Sum, has to be converted from the currency (the "First Currency") in which that Sum is payable into another currency (the "Second Currency") for the purpose of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)making or filing a claim or proof against that Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)obtaining or enforcing an order, judgement or award in relation to any litigation or arbitration proceedings,

that Obligor shall as an independent obligation, within three (3) Business Days of demand, indemnify each Finance Party to whom that Sum is due against any cost, loss or liability arising out of or as a result of the conversion including any discrepancy between (A) the rate of exchange used to convert that Sum from the First Currency into the Second Currency and (B) the rate or rates of exchange available to that person at the time of its receipt of that Sum.

&nbsp;&nbsp;&nbsp;&nbsp;b)Each Obligor waives any right it may have in any jurisdiction to pay any amount under the Finance Documents in a currency or currency unit other than that in which it is expressed to be payable.

&nbsp;&nbsp;&nbsp;&nbsp;14.2Sanctions indemnity

Each Obligor shall, on demand, indemnify each Finance Party against any cost, loss or liability incurred by it as a result of any claim, action, civil penalty or fine against, any settlement, and any other kind of loss or liability, and all reasonable costs and expenses (including reasonable counsel fees and disbursements) incurred by the Agent or any Lender as a result of conduct of any Obligor or any of their directors, officers, employees, that violates any Sanctions.

&nbsp;&nbsp;&nbsp;&nbsp;14.3Other indemnities

The Borrower shall (or shall procure that an Obligor will) within three (3) Business Days of demand, indemnify each Finance Party against any costs, loss or liability incurred by that Finance Party as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;a)the occurrence of any Event of Default;

&nbsp;&nbsp;&nbsp;&nbsp;b)a failure by an Obligor to pay any amount due under the Finance Documents on its due date, including without limitation, any cost, loss or liability arising as a result of Clause 28 (*Sharing among the Finance Parties*);

&nbsp;&nbsp;&nbsp;&nbsp;c)the funding, or making arrangements to fund, its participation in the Loan requested by the Borrower in a Drawdown Notice but not made by reason of the operation of any one or more of the provisions of this Agreement (other than by reason of default or negligence by that Lender alone); or

the Loan (or part of the Loan) not being prepaid in accordance with a notice of prepayment given by the Borrower.

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&nbsp;&nbsp;&nbsp;&nbsp;14.4Indemnity to the Agent

The Borrower shall promptly indemnify the Agent against any cost, loss or liability incurred by the Agent (acting reasonably) as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;a)investigating any event which it reasonably believes is a possible Default;

&nbsp;&nbsp;&nbsp;&nbsp;b)acting or verifying any notice, request or instruction which it reasonably believes to be genuine, correct or appropriately authorised;

&nbsp;&nbsp;&nbsp;&nbsp;c)instructing lawyers, accountants, tax advisers, surveyors or other professional advisers or experts as permitted under this Agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;d)any cost, loss or liability (including, without limitation, for negligence or any other category of liability whatsoever) incurred by the Agent (otherwise than by reason of the Agent's gross negligence or wilful misconduct) in acting as Agent under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;14.5Indemnity to the Security Agent

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall promptly indemnify the Security Agent against any cost, loss or liability incurred by it as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the taking, holding, protection or enforcement of the Security Documents or any other Finance Documents,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)acting or relying on any notice, request or instruction which it reasonably believes to be genuine, correct and appropriately authorised;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the exercise of any of the rights, powers, discretions and remedies vested in the Security Agent by the Finance Documents or by law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any default by an Obligor in the performance of any of the obligations expressed to be assumed by it in the Finance Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)acting as Security Agent under the Finance Documents or which otherwise relates to any of the assets subject to the Security Documents (otherwise, in each case, than by reason of the Security Agent's gross negligence or wilful misconduct).

&nbsp;&nbsp;&nbsp;&nbsp;b)The Security Agent may, in priority to any payment to the Finance Parties, indemnify itself out of the assets subject to the Security Documents, and pay and retain, all sums necessary to give effect to the indemnity in this Clause 14.5 and shall have a lien on the Security Documents and the proceeds of the enforcement of the Security Documents for all monies payable to it.

15MITIGATION BY THE LENDERS

&nbsp;&nbsp;&nbsp;&nbsp;15.1Mitigation

Each Finance Party shall, in consultation with the Borrower, take all reasonable steps (for a period of fifteen (15) Business Days) to mitigate any circumstances which arise and which would result in any amount becoming payable under or pursuant to, or cancelled pursuant to, any of:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)Clause 7.3 (*Mandatory prepayment – Illegality*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Clause 12 (*Tax gross-up and indemnities*); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Clause 13 (*Increased Costs*),

including (but not limited to) transferring its rights and obligations under the Finance Documents to another Affiliate.

&nbsp;&nbsp;&nbsp;&nbsp;c)Paragraph a) does not in any way limit the obligations of any Obligor under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;15.2Limitation of liability

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall promptly indemnify each Finance Party for all costs and expenses reasonably and properly incurred by that Finance Party as a result of steps taken by it under Clause 15.1 (*Mitigation*).

&nbsp;&nbsp;&nbsp;&nbsp;b)A Finance Party is not obliged to take any steps under this Clause 15.1 if, in the opinion of that Finance Party (acting reasonably), to do so might be prejudicial to it.

16COSTS AND EXPENSES

&nbsp;&nbsp;&nbsp;&nbsp;16.1Transaction expenses

The Borrower shall promptly on demand pay to the Agent (for distribution to the relevant Finance Party) the amount of all costs and expenses (including legal fees) reasonably and properly incurred by any of them in connection with the negotiation, preparation, printing, perfection, execution, registration and syndication of:

&nbsp;&nbsp;&nbsp;&nbsp;a)this Agreement and any other documents referred to in this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;b)any other Finance Documents executed after the date of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;16.2Amendment and enforcement costs, etc

The Borrower shall, within three (3) Business Days of demand, reimburse the Agent or another Finance Party for the amount of all costs and expenses (including internal and external legal fees) incurred by it in connection with the preservation, protection, enforcement or maintenance of, or attempt to preserve or enforce, any of the rights of the Finance Parties under the Finance Documents, and all costs and expenses (including internal and external legal fees) incurred by it in connection with:

&nbsp;&nbsp;&nbsp;&nbsp;a)the granting of any release, waiver or consent under the Finance Documents; and

any amendment or variation of any of the Finance Documents, including any amendment in connection with a change of RFR.

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SECTION 7 GUARANTEE AND SECURITY

17GUARANTEE AND INDEMNITY

&nbsp;&nbsp;&nbsp;&nbsp;17.1Guarantee and indemnity

Each Guarantor hereby irrevocably and unconditionally guarantees, as primary obligors as and for its own debt and not merely as surety (No. *selvskylderkausjon*) to each Finance Party, on a joint and several basis with the other Guarantor:

&nbsp;&nbsp;&nbsp;&nbsp;a)the due and punctual payment by the Borrower of any and all sums which are now or at any time hereafter will be payable by the Borrower under or in respect of the Finance Documents in accordance with the terms and provisions thereof (including, without limitation, principal, interest, default interest, legal fees and other fees, Break Costs, transaction and enforcement costs and any other costs, expenses, Taxes and Tax indemnities, currency indemnities and any other indemnities, claims for damages and any other costs and expenses in respect of any Event of Default or any other breach by the Borrower under the Finance Documents);

&nbsp;&nbsp;&nbsp;&nbsp;b)the due and punctual performance by the Borrower of all of the Borrower's obligations under or in respect of the Finance Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;c)to indemnify each Finance Party immediately upon the Agent's first written demand against any loss, liability, costs and expenses suffered, incurred or paid by that Finance Party if any obligation of the Borrower is or becomes unenforceable, invalid or illegal, and also if the governing law is amended other than if amended pursuant to the terms of the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;d)(such amounts together referred to as the "Outstanding Indebtedness").

&nbsp;&nbsp;&nbsp;&nbsp;17.2Payment upon first demand

If the Borrower shall fail to pay any sum under the Finance Documents as and when such sum shall become due and payable, each Guarantor shall immediately upon the Agent's first written demand pay to the Agent for the account of the relevant Finance Party an amount equal to such sum which the Borrower shall not have paid, such payment to be made in immediately available funds to the account of the Agent, as the Agent may designate, without set-off or counter-claim and free and clear of and without deduction for or on account of any present or future Taxes.

&nbsp;&nbsp;&nbsp;&nbsp;17.3No limitation on number of demands

Demands under this Clause 17 may be made by the Agent (on behalf of the Finance Parties) from time to time and there shall be no limitation in the number of demands which can be made hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;17.4Maximum guarantee liability

The total liability of each Guarantor under this Clause 17 shall, in the aggregate, always be limited to USD 234,000,000, plus any unpaid amount of interest, fees, liability, costs and expenses under the Finance Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;17.5Continuing guarantee

This Guarantee shall be a continuing guarantee which shall be effective as of the date hereof and shall remain in full force and effect until payment in full has been received by the Agent (on behalf of the Finance Parties) of the Outstanding Indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;17.6No discharge

The obligations of each Guarantor under this Clause 17 shall not be discharged, impaired or otherwise affected by reason of any of the following events or circumstances regardless of whether any such events or circumstances occur with or without such Guarantor's knowledge and consent:

&nbsp;&nbsp;&nbsp;&nbsp;a)any total or partial invalidity, irregularity, illegality, unenforceability, imperfection or avoidance of or any defect in any security granted by, or the obligation of the Borrower, the Finance Parties or any other person under the Finance Documents or any other document or security;

&nbsp;&nbsp;&nbsp;&nbsp;b)any time, waiver, consent or other indulgence granted to the Borrower or any other person or any composition or arrangement made by any Finance Party or any other person with the Borrower or any other person;

&nbsp;&nbsp;&nbsp;&nbsp;c)any increase or reduction of the amount of the Loan, or variation of the terms and conditions for its repayment (including without limitation, the rate and/or method of calculation of interest payable on the Loan);

&nbsp;&nbsp;&nbsp;&nbsp;d)any amendment, modification, replacement, supplement, variation, compromise, extension or renewal of any Finance Document or any right against any security over any assets of the Borrower or any other person;

&nbsp;&nbsp;&nbsp;&nbsp;e)any refusal or neglect to take up or perfect or enforce or any release, indulgence or other relief granted under any Finance Document or any rights against or any security over any assets of the Borrower or any other person or any failure to realize the full value of any security;

&nbsp;&nbsp;&nbsp;&nbsp;f)any transfer, assignment, assumption or novation of rights and obligations under the Finance Documents by the Borrower, a Lender or any other person;

&nbsp;&nbsp;&nbsp;&nbsp;g)any incapacity or lack of power, authority or legal personality of or dissolution or change in the members or status of the Borrower, a Lender or any other person;

&nbsp;&nbsp;&nbsp;&nbsp;h)any corporate reorganisation, reconstruction, amalgamation, dissolution, merger, acquisition or any other alteration in the corporate existence or structure of any of the Finance Parties, the Borrower or any other person; or

&nbsp;&nbsp;&nbsp;&nbsp;i)any insolvency or similar proceedings concerning the Borrower, a Lender or any other person.

&nbsp;&nbsp;&nbsp;&nbsp;17.7Waiver

Each Guarantor specifically waives all rights under the provisions of the FA Act not being mandatory provisions.

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&nbsp;&nbsp;&nbsp;&nbsp;17.8Reinstatement

If any payment by the Borrower, any other guarantor or any other provider of security under the Finance Documents must be repaid, or any discharge given by a Lender (whether in respect of the obligations of the Borrower, another guarantor or any security for those obligations or otherwise) is avoided or reduced, as a result of insolvency or any similar event:

&nbsp;&nbsp;&nbsp;&nbsp;a)the liability of the Guarantors shall continue as if such payment, discharge, avoidance or reduction had not occurred; and

&nbsp;&nbsp;&nbsp;&nbsp;b)the Finance Parties shall be entitled to recover the value or amount of that security or payment from the Guarantors, as if such payment, discharge, avoidance or reduction had not occurred.

&nbsp;&nbsp;&nbsp;&nbsp;17.9Undertaking

Each Guarantor undertakes to the Agent that as long as this Guarantee is effective:

&nbsp;&nbsp;&nbsp;&nbsp;a)following receipt of a notice from the Agent of the occurrence of any Event of Default, the Guarantor will not make a demand for any claim of moneys due to the Guarantor from the Borrower or any other guarantor, or exercise any other right or remedy to which the Borrower or any other guarantor are entitled to in respect of such moneys unless and until all moneys due and payable by the Borrower have been irrevocably paid in full;

&nbsp;&nbsp;&nbsp;&nbsp;b)if the Borrower or any other guarantor becomes the subject of an insolvency proceeding or shall be wound up or liquidated, the Guarantor shall not (unless so instructed by the Agent and then only on condition that the Guarantor holds the benefit of any claim in such insolvency or liquidation to pay any amounts recovered thereunder to the Agent) make any claim in such insolvency, winding-up or liquidation until all the Outstanding Indebtedness owing or due has been irrevocably paid in full;

&nbsp;&nbsp;&nbsp;&nbsp;c)if the Guarantor being in breach of paragraphs a) and b) above receives or recovers any money pursuant to such exercise, claim or proof as therein referred to, such moneys shall be held by the Guarantor for the Agent to apply the same as if they were money received or recovered by the Agent under this Guarantee; and

&nbsp;&nbsp;&nbsp;&nbsp;d)it will not take or has not taken from the Borrower any security whatsoever for the obligations guaranteed hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;17.10Immediate recourse

The Agent shall not be required to take any action against the Borrower, either Guarantor or any other person before claiming from either or both of the Guarantors (in its sole discretion) under this Clause 17.

&nbsp;&nbsp;&nbsp;&nbsp;17.11No right of recourse and no security

The Guarantors shall have no right of recourse against the Borrower, any other guarantor or any of their respective bankruptcy estate for any amount paid by the Guarantors under this Guarantee for so long as any part of the Outstanding Indebtedness remains outstanding, and the Guarantors shall not be entitled to obtain from the Borrower any security for any such right of recourse which the Guarantors may have after such time. Any such security which the Guarantors might obtain shall be regarded as supplementary security in favour of

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the Finance Parties. The Guarantors hereby renounce any and all such claims it has or may get against the Borrower or any other guarantor for as long as any part of the Outstanding Indebtedness remains outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;17.12No subrogation in Finance Parties' security

The Guarantors shall have no right to subrogate, wholly or partly, in any security provided to the Finance Parties pursuant to the Finance Documents or in any other way until all of the Outstanding Indebtedness has been fully and finally paid.

&nbsp;&nbsp;&nbsp;&nbsp;17.13Action

Without affecting the obligations of either Guarantor hereunder, the Agent, the other Finance Parties may take such action as the Agent, the other Finance Parties, as the case may be, in their own discretion may consider appropriate against the Borrower, the Guarantors or any other persons or parties or securities to recover monies due and payable in respect of the obligations under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;17.14Knowledge of the additional security

Each Guarantor acknowledges and agrees that:

&nbsp;&nbsp;&nbsp;&nbsp;a)it has received a copy of and has full knowledge of the security which is to be granted in respect of the amounts outstanding under the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;b)this Guarantee is in addition to and is not in any way prejudiced by any other guarantee or security now or subsequently held by any Finance Party as security for the Borrower's obligations under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;17.15Assignment

The Agent and the Finance Parties may assign or transfer the rights under this Guarantee to any person to whom the rights and obligations of such Finance Party under the Agreement are wholly or partly assigned or transferred to in accordance with Clause 25 (Changes to the Parties) of the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;17.16Expenses

The Guarantors shall pay to the Agent on demand on a full indemnity basis all charges, costs and expenses (including the legal fees) incurred by the Finance Parties in connection with the preservation and enforcement of any of the rights of the Finance Parties under this Guarantee.

&nbsp;&nbsp;&nbsp;&nbsp;17.17No implied waivers

No delay or failure by the Agent or any other Finance Party to exercise any right or remedy under this Guarantee shall operate or be construed as a waiver of such rights or remedies unless otherwise expressly stated in writing by the Agent or such Finance Party. No partial exercise of any right or remedy shall prevent any further or other exercise of such right or remedy or any other right or remedy. No express waiver of any rights or remedies in respect of an Event of Default or any other event by the Agent, any other Finance Party shall operate or be construed as a waiver of any rights or remedies in respect of any similar or other Event of Default or events.

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18SECURITY

&nbsp;&nbsp;&nbsp;&nbsp;18.1Security Documents

The Borrower's obligations and liabilities under the Finance Documents, including (without limitation) the Borrower's obligation to repay the Loan together with all unpaid interest, default interest, commissions, charges, expenses and any other derived liability whatsoever of the Borrower towards the Lenders, the Agent or any other Finance Party in connection with this Agreement or another Finance Document, shall at any time until all amounts due to the Finance Parties under the Finance Documents have been paid and/or repaid in full, be secured by:

&nbsp;&nbsp;&nbsp;&nbsp;a)the Account Pledge;

&nbsp;&nbsp;&nbsp;&nbsp;b)the Assignment of Earnings and Charterparties;

&nbsp;&nbsp;&nbsp;&nbsp;c)the Assignment of Hedging Claims;

&nbsp;&nbsp;&nbsp;&nbsp;d)the Assignment of Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;e)the Assignment of Intercompany Loans;

&nbsp;&nbsp;&nbsp;&nbsp;f)the Guarantees;

&nbsp;&nbsp;&nbsp;&nbsp;g)the Mortgage; and

&nbsp;&nbsp;&nbsp;&nbsp;h)the Share Pledge.

&nbsp;&nbsp;&nbsp;&nbsp;18.2Security for Hedging Agreements

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower shall ensure that the Mortgage be amended to cover any and all Hedging Agreements entered into subsequent to the date of the Mortgage, on terms acceptable to the Security Agent and without undue delay from entry into of any such Hedging Agreement, in order to secure that any liability of the Borrower under any and all Hedging Agreements are secured under the Mortgage.

&nbsp;&nbsp;&nbsp;&nbsp;18.3Perfection and further assistance

Each Obligor undertakes to ensure that the above Security Documents be duly executed by the parties thereto in favour of the Security Agent (on behalf of the Finance Parties) on or about the date of this Agreement (or if not possible, as soon as practically possible), and legally valid and in full force and effect throughout the Security Period. Each Obligor further undertake to take all such action as is available to it (including making all filings and registrations) as may be necessary for the purpose of the creation, perfection, protection, maintenance or realisation of any Security Interest conferred or intended to be conferred on the Security Agent or the Finance Parties by or pursuant to the Finance Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;18.4Share Pledge - waiver of recourse

If the Security Agent enforces a Share Pledge, each Guarantor hereby irrevocably (i) waives any and all of its claims against the Borrower to which shares such Share Pledge relates, and releases the Borrower from any and all liabilities to each Guarantor, including but not limited to any liabilities of the Borrower under any intra-group or shareholder loans and any liability to each Guarantor under any recourse claims (the "Borrower

Liabilities"), and (ii) authorises the Security Agent and grants power of attorney to the Security Agent to

(without any consent, sanction, authority or further confirmation from any other party), to release any and all of the Borrower Liabilities, in order to allow for a sale of the shares in the Borrower to be completed without any claims of any Guarantor continuing to exist against the Borrower following such sale to the extent permitted by applicable mandatory laws.

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SECTION 8

REPRESENTATIONS, UNDERTAKINGS AND EVENTS OF DEFAULT

19REPRESENTATIONS AND WARRANTIES

Each Obligor makes the representations and warranties set out in this Clause 19 to each Finance Party on the date of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;19.1Status and ownership

&nbsp;&nbsp;&nbsp;&nbsp;a)It is a company with limited liability or corporation, as applicable, duly incorporated and validly existing under the law of its jurisdiction of incorporation;

&nbsp;&nbsp;&nbsp;&nbsp;b)It has the power to own its assets and carry on its business as it is being conducted;

&nbsp;&nbsp;&nbsp;&nbsp;c)The Intermediate Parent owns directly one hundred per cent. (100.00%) of the shares and voting rights in the Borrower; and

&nbsp;&nbsp;&nbsp;&nbsp;d)The Ultimate Parent owns directly one hundred per cent. (100.00%) of the shares and voting rights in the Intermediate Parent.

&nbsp;&nbsp;&nbsp;&nbsp;19.2Insolvency

No corporate action, legal proceeding or other procedure or step described in Clause 24.7 (*Insolvency proceedings*) or creditors' process described in Clause 24.8 (*Creditors' process*), has been taken or threatened in relation to an Obligor, and none of the circumstances described in Clause 24.6 (*Insolvency*) applies to an Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;19.3Binding obligations

&nbsp;&nbsp;&nbsp;&nbsp;a)The Finance Documents and Transaction Documents to which it is a party constitute legal, valid, binding and enforceable obligations.

&nbsp;&nbsp;&nbsp;&nbsp;b)Save as provided herein or therein and/or as have been or shall be completed prior to the Drawdown Date, no registration, filing, payment of tax or fees or other formalities are necessary or desired to render the Finance Documents enforceable against it, and in respect of the Vessel, for the Mortgage to constitute a valid and enforceable first priority mortgage over the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;19.4No conflict with other obligations

The entry into and performance by it of, and the transactions contemplated by, the Finance Documents and/or the Transaction Documents do not and will not conflict with:

&nbsp;&nbsp;&nbsp;&nbsp;a)any law or regulation applicable to it any present law or regulation applicable to it (including Directive 1905/60/EC of the European Parliament and of the Council of the European Communities Union of 26 October 2005, implemented to combat money laundering);

&nbsp;&nbsp;&nbsp;&nbsp;b)any of its constitutional documents; or

any agreement or document to which it is a party or by which it or any of its assets are bound.

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&nbsp;&nbsp;&nbsp;&nbsp;19.5Power and authority

It has the power to enter into, perform and deliver, and has taken all necessary actions to authorise its entry into, performance and delivery of, the Finance Documents and Transaction Documents to which it is a party and the transactions contemplated by those Finance Documents and Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;19.6Governing law and enforcement

&nbsp;&nbsp;&nbsp;&nbsp;a)The choices of governing law of the relevant Finance Documents will be recognised and enforced in its jurisdiction of incorporation.

&nbsp;&nbsp;&nbsp;&nbsp;b)Any judgment obtained in relation to a Finance Document in the jurisdiction of the governing law will be recognised and enforced in its Relevant Jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;19.7Authorisations and consents

All Authorisations required by it (i) in connection with the entering into, performance, validity and enforceability of the Finance Documents and the transactions contemplated hereby and thereby, and (ii) to make the Finance Documents to which it is a party admissible in evidence in its Relevant Jurisdiction, have been obtained or effected and are in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;19.8Taxes

&nbsp;&nbsp;&nbsp;&nbsp;a)It has complied with all taxation laws in all jurisdictions where it is subject to taxation and has paid all applicable Taxes and other amounts due to governments and other public bodies where failure to do so is reasonably likely to have a Material Adverse Effect. No claims are being asserted against it with respect to any Taxes or other payments due to public or governmental bodies, which are reasonably likely to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;b)It is not required to make any Tax Deductions (as defined in Clause 12.1 (*Definitions*)) for or on account of Tax from any payment it may make under any of the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;19.9No filing or stamp taxes

Under the laws of its Relevant Jurisdiction 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, notarial or similar Taxes or fees be paid on or in relation to the Finance Documents or the transactions contemplated by the Finance Documents, except the registration of the Mortgage with the Approved Ship Registry, which registrations, filings, taxes and fees shall be made and paid promptly by the Obligors after the date of the relevant Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;19.10No Default

&nbsp;&nbsp;&nbsp;&nbsp;a)No Event of Default is continuing or might reasonably be expected to result from the making of the Loan or the entry into and performance of or any transaction contemplated by any of the Finance Documents.

No event having a Material Adverse Effect has occurred, and no event or circumstances is outstanding which constitutes a default or (with the expiry of a grace period, giving of notice or the making of any determination or any combination of the foregoing) might constitute a default under any other agreement or instrument which is binding on it or to which the its assets are subject which has or is reasonably likely to have a Material Adverse Effect.

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&nbsp;&nbsp;&nbsp;&nbsp;19.11No misleading information

&nbsp;&nbsp;&nbsp;&nbsp;a)Any factual information, documents, exhibits or reports relating to it and which have been furnished to the Finance Parties by or on behalf of it for the purposes of this Agreement are complete and correct in all material respects and do not contain any misstatement of fact or omit to state a fact making such information, exhibits or reports misleading in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;b)Any financial projections contained in the information referred to in paragraph a) above have been prepared as at their date on the basis of recent historical information and on the basis of assumptions believed by the Obligor to be reasonable as at the date of preparation.

&nbsp;&nbsp;&nbsp;&nbsp;19.12Original Financial Statements

&nbsp;&nbsp;&nbsp;&nbsp;a)The Original Financial Statements give a true and fair view of its financial condition as at the end of the period to which they related, and have been prepared in accordance with US GAAP consistently applied.

&nbsp;&nbsp;&nbsp;&nbsp;b)Since the date of the Original Financial Statements, there has been no material adverse change in its business or financial condition.

&nbsp;&nbsp;&nbsp;&nbsp;19.13Pari passu ranking

Its payment obligations under the Finance Documents rank at least *pari passu* with the claims of all its other unsecured and unsubordinated creditors, except for obligations preferred by mandatory law applying to companies generally.

&nbsp;&nbsp;&nbsp;&nbsp;19.14No proceedings pending or threatened

No litigation, arbitration or administrative proceedings of or before any court, arbitral body or agency, which if adversely determined, might reasonably be expected to have a Material Adverse Effect, have (to its knowledge and belief) been started or threatened against it, and no judgements or orders have been issued which might reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;19.15No immunity

The execution and delivery by it of each Finance Document to which it is a party constitute, and its exercise of its respective rights and performance of its obligations under each Finance Document will constitute, private and commercial acts performed for private and commercial purposes, and it will not (except for bankruptcy or any similar proceedings) be entitled to claim for itself or any or all of its assets immunity from suit, execution, attachment or other legal process in any other proceedings taken in Norway and/or elsewhere (as the case may be) in relation to any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;19.16No winding-up

It has not taken any corporate action nor have any other steps been taken or legal proceedings been started or threatened against it for its reorganisation (by way of voluntary arrangement, scheme of arrangement or otherwise), winding-up, dissolution, judicial management or administration or for the appointment of a receiver, administrator, administrative receiver, judicial manager, trustee or similar officer of it or any or all of its assets.

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&nbsp;&nbsp;&nbsp;&nbsp;19.17Environmental compliance

It has performed and observed in all material respects all Environmental Laws, Environmental Approvals and all other material covenants, conditions, restrictions or agreements directly or indirectly concerned with any contamination, pollution or waste or the release or discharge of any toxic or hazardous substance in connection with the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;19.18Environmental Claims

No Environmental Claim has been commenced or (to the best of the Obligor's knowledge and belief) is threatened against it.

&nbsp;&nbsp;&nbsp;&nbsp;19.19ISM Code and ISPS Code compliance

All requirements of the ISM Code and the ISPS Code as they relate to any Obligor, the Managers and/or the Vessel have been complied with in all material respects.

&nbsp;&nbsp;&nbsp;&nbsp;19.20The Vessel

The Vessel is:

&nbsp;&nbsp;&nbsp;&nbsp;a)in the absolute ownership of the Borrower, free and clear of all encumbrances (other than as permitted in accordance with Clause 22.5 (*Negative Pledge – Collateral*)) and the Borrower is and will remain the sole, legal and beneficial owner of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;b)registered in the name of the Borrower with an Approved Ship Registry under the laws and flag of such Approved Ship Registry;

&nbsp;&nbsp;&nbsp;&nbsp;c)operationally seaworthy in every way and fit for service; and

&nbsp;&nbsp;&nbsp;&nbsp;d)classed with an Approved Classification Society, free of all overdue requirements, recommendations and conditions.

&nbsp;&nbsp;&nbsp;&nbsp;19.21Anti-corruption laws and Sanctions

The Obligors have conducted its businesses in compliance with applicable anti-corruption laws and Sanctions and has instituted and maintained policies and procedures designed to promote and achieve compliance with such laws.

&nbsp;&nbsp;&nbsp;&nbsp;19.22No money laundering

&nbsp;&nbsp;&nbsp;&nbsp;a)It is acting for its own account in relation to the Facility and in relation to the performance and the discharge of its obligations and liabilities under the Finance Documents and the transactions and other arrangements effected or contemplated by the Finance Documents to which it is a party, and the foregoing will not involve or lead to contravention of any law, official requirement or other regulatory measure or procedure implemented to combat money laundering (as defined in Article 1 of the Directive 2005/60/EC of the European Parliament and of the Council of 26 October 2006 (as amended, supplemented and/or replaced from time to time).

The Borrower will use the proceeds of the Facility for its own benefit, under its full responsibility and exclusively for the purposes specified in this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;19.23No breach of laws

Except as notified by the Obligors to the Agent and accepted in writing by the Agent (acting on the instruction of the Majority Lenders), each Obligor complies in all material respects with any law or regulation applicable to it.

&nbsp;&nbsp;&nbsp;&nbsp;19.24Sanctions

None of the Obligors nor any of their Subsidiaries and, to their knowledge, none of their respective directors, officers or employees:

&nbsp;&nbsp;&nbsp;&nbsp;a)is in breach of any Sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;b)is a Restricted Party nor acts directly or indirectly on behalf of a Restricted Party; or

&nbsp;&nbsp;&nbsp;&nbsp;c)has received notice of or is aware of any claim, action, suit, proceeding, formal notice or investigation against it with respect to Sanctions.

&nbsp;&nbsp;&nbsp;&nbsp;19.25Repetition

The Repeating Representations set out in this Clause 19 shall be deemed to be repeated:

&nbsp;&nbsp;&nbsp;&nbsp;a)on the date of each Drawdown Notice;

&nbsp;&nbsp;&nbsp;&nbsp;b)on each Drawdown Date;

&nbsp;&nbsp;&nbsp;&nbsp;c)on the first day of each Interest Period; and

&nbsp;&nbsp;&nbsp;&nbsp;d)in each Compliance Certificate forwarded to the Agent pursuant to Clause 20.2 (*Compliance certificate*) (or, if no such Compliance Certificate is forwarded, on each day such certificate should have been forwarded to the Agent at the latest).

20INFORMATION UNDERTAKINGS

The undertakings set out in this Clause 20 shall remain in force from the date of this Agreement and throughout the Security Period.

&nbsp;&nbsp;&nbsp;&nbsp;20.1Financial statements

The Ultimate Parent shall supply to the Agent in sufficient copies for all of the Lenders:

&nbsp;&nbsp;&nbsp;&nbsp;a)as soon as the same become available, but in any event within one hundred and twenty (120) days after the end of each of its fiscal years, its consolidated audited financial statements for that fiscal year;

&nbsp;&nbsp;&nbsp;&nbsp;b)as soon as the same become available, but in any event within two (2) months after the end of each financial quarter, its unaudited consolidated financial statements for that financial quarter; and

as soon as same become available, but in any event no later than 28 February for each year, its budget and cash flow projections.

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&nbsp;&nbsp;&nbsp;&nbsp;20.2Compliance Certificates

The Ultimate Parent shall supply to the Agent, with each set of financial statements delivered pursuant to paragraphs a) and b) of Clause 20.1 (*Financial statements*), a Compliance Certificate in the form set out in <u>Schedule 4</u> (*Form of Compliance Certificate*) signed by the CFO of the Ultimate Parent setting out (in reasonable detail) computations as to compliance with Clause 21 (*Financial covenants*) and the Collateral Maintenance Test pursuant to Clause 7.1 (*Mandatory prepayment – Collateral Maintenance Test*), as at the date at which those financial statements were drawn up.

&nbsp;&nbsp;&nbsp;&nbsp;20.3Vessel's Market Value

Valuations to determine the Market Value of the Vessel shall be obtained by the Borrower for the Borrower's cost prior to the end of each financial quarter during the Pre-Commencement Period and each financial half-year thereafter, and to be sent to the Agent together with each relevant Compliance Certificate, or, if an Event of Default has occurred and is continuing, for the Borrower's cost at such further frequency as may be requested by the Agent (acting on behalf of the Majority Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;20.4Requirements as to financial statements

The Obligors shall procure that each set of financial statements delivered pursuant to Clause 20.1 (*Financial statements*) is prepared using US GAAP, accounting practices and financial reference periods consistent with those applied in the preparation of the Original Financial Statements for the Obligors unless, in relation to any set of financial statements, it notifies the Agent that there has been a change in US GAAP, the accounting practices or reference periods and the Obligor's auditors deliver to the Agent:

&nbsp;&nbsp;&nbsp;&nbsp;a)a description of any change necessary for those financial statements to reflect US GAAP, accounting practices and reference periods upon which that Obligor's Original Financial Statements were prepared; and

&nbsp;&nbsp;&nbsp;&nbsp;b)sufficient information, in form and substance as may be reasonably required by the Agent, to enable the Lenders to determine whether Clause 21 (*Financial covenants*) has been complied with and make an accurate comparison between the financial position indicated in those financial statements and that Obligor's Original Financial Statements.

Any reference in this Agreement to those financial statements shall be construed as a reference to those financial statements as adjusted to reflect the basis upon which the Original Financial Statements were prepared.

&nbsp;&nbsp;&nbsp;&nbsp;20.5Fiscal Year

There shall be no change to any Obligor's fiscal year without the prior written consent of the Agent (on behalf of the Majority Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;20.6Information – miscellaneous

The Obligor shall notify the Agent and/or supply to the Agent (in sufficient copies for all the Lenders, if the Agent so requests):

at the same time as they are dispatched, copies of all documents dispatched by an Obligor to its creditors generally;

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&nbsp;&nbsp;&nbsp;&nbsp;c)promptly upon becoming aware of them, the details of any litigation, claim, arbitration or administrative proceedings which are current, threatened or pending against an Obligor, and which might, if adversely determined, have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;d)promptly, such further information regarding the business, operations, assets, operations (financial or otherwise) and technical data of the Obligors and the Vessel as the Agent may reasonably request, and which can be delivered without breach of any confidentiality undertakings or any applicable law or rules of a securities/regulatory exchange;

&nbsp;&nbsp;&nbsp;&nbsp;e)promptly, such further information reasonably requested by the Agent (on behalf of the Finance Parties) in order for each Finance Party to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;f)as soon as they become aware of it, any Change of Control;

&nbsp;&nbsp;&nbsp;&nbsp;g)promptly upon becoming aware of any Change in Ultimate Beneficial Owner, the name of the Ultimate Beneficial Owner and such documentation and other evidence as is reasonably requested by the Agent or any Lender in order for the Agent or such Lender to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations in relation to the Ultimate Beneficial Owner; and

&nbsp;&nbsp;&nbsp;&nbsp;h)promptly, upon becoming aware of them, the details of any loss, seizure, capture or piracy against the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;20.7Notification of default

Each Obligor shall notify the Agent of any Default (and the steps, if any, being taken to remedy it) promptly upon becoming aware of its occurrence.

&nbsp;&nbsp;&nbsp;&nbsp;20.8Information on charterparty details

During Pre-Commencement Period the Borrower shall, on request from the Agent at intervals not more frequent than every two months, inform the Agent about any employment of the Vessel which is not the Charterparty, including, inter alia, the name of the charterer, hire rate and contract duration.

&nbsp;&nbsp;&nbsp;&nbsp;20.9Notification of Environmental Claims

Each Obligor shall inform the Agent in writing as soon as reasonably practicable upon becoming aware of the same:

&nbsp;&nbsp;&nbsp;&nbsp;a)if any Environmental Claim has been commenced or (to the best of the Obligor's knowledge and belief) is threatened against an Obligor or the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;b)of any fact and circumstances which will or are reasonably likely to result in any Environmental Claim being commenced or threatened against an Obligor or the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;20.10"Know your customer" checks

If:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)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;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Change in Ultimate Beneficial Owner after the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any Applicable KYC Procedures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)any change in the status of an Obligor (or of a Holding Company of an Obligor) or the composition of the shareholders of an Obligor (or of a Holding Company of an Obligor) after the date of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)a proposed assignment or transfer by a Lender of any of its rights and/or obligations under this Agreement to a party that is not a Lender prior to such assignment or transfer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)any anti-money laundering or anti-terrorism financing laws and regulations applicable to the Agent or any Lender,

obliges the Agent or any Lender (or, in the case of paragraph (iii) above, any prospective new Lender) to comply with "know your customer" or similar identification procedures in circumstances where the necessary information is not already available to it, each Obligor shall promptly upon the request of the Agent or any Lender supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any Lender) or any Lender (for itself or, in the case of the event described in paragraph (iii) above, on behalf of any prospective new Lender) in order for the Agent, such Lender or, in the case of the event described in paragraph (iii) above, any prospective new Lender to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;d)Each Lender shall promptly upon the request of the Agent supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself) in order for the Agent to carry out and be satisfied it has complied with all necessary "know your customer" or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents.

For the purpose of this Clause 20.10:

"Applicable KYC Procedures" means any applicable "know your customer" checks or similar identification procedures, or equivalent internal policies of a Lender or the Agent, or any equivalent procedures required by applicable law or regulations.

&nbsp;&nbsp;&nbsp;&nbsp;20.11Use of websites

&nbsp;&nbsp;&nbsp;&nbsp;a)The Ultimate Parent may satisfy its obligation under this Agreement to deliver any information in relation to those Finance Parties (the "Website Lenders") who accept this method of communication by posting this information onto an electronic website designated by the Ultimate Parent and the Agent (the "Designated Website") if:

the Agent expressly agrees (after consultation with each of the Finance Parties) that it will accept communication of the information by this method;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i)both the Ultimate Parent and the Agent are aware of the address of and any relevant password specifications for the Designated Website; and

ii)the information is in a format previously agreed between the Ultimate Parent and the Agent.

If any Finance Party (a "Paper Form Lender") does not agree to the delivery of information electronically then the Agent shall notify the Ultimate Parent accordingly and the Ultimate Parent shall supply the information to the Agent (in sufficient copies for each Paper Form Lender) in paper form. In any event the Ultimate Parent shall supply the Agent with at least one copy in paper form of

any information required to be provided by it.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent shall supply each Website Lender with the address of and any relevant password specifications for the Designated Website following designation of that website by the Ultimate Parent and the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;c)The Ultimate Parent shall promptly upon becoming aware of its occurrence notify the Agent if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i)the Designated Website cannot be accessed due to technical failure;

ii)the password specifications for the Designated Website change;

iii)any new information which is required to be provided under this Agreement is posted onto the Designated Website;

iv)any existing information which has been provided under this Agreement and posted onto the Designated Website is amended; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;v)the Ultimate Parent becomes aware that the Designated Website or any information posted onto the Designated Website is or has been infected by any electronic virus or similar software.

If the Ultimate Parent notifies the Agent under paragraph c) i) or paragraph c) v) above, all information to be provided by the Ultimate Parent under this Agreement after the date of that notice shall be supplied in paper form unless and until the Agent and each Website Lender is satisfied that the circumstances giving rise to the notification are no longer continuing.

21FINANCIAL COVENANTS

&nbsp;&nbsp;&nbsp;&nbsp;21.1Financial definitions

Except otherwise explicitly provided for in this Agreement, an accounting term used in this Clause is to be construed in accordance with US GAAP.

For the purposes of this Clause 21, the following definitions shall apply:

"Cash and Cash Equivalents" means, at any date, the aggregate amount of freely available cash and cash equivalents of the Group, in each case reported in accordance with US GAAP, including without limitation:

cash in hand or on freely available deposit with any bank or financial institution;

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&nbsp;&nbsp;&nbsp;&nbsp;c)certificates of deposits or marketable debt securities (including, but not limited to, money market funds) with a maturity of twelve (12) months or less after the relevant date of calculation, issued by an Arranger or a financial institution which has a rating for its long term unsecured and non-credit enhanced debt obligations with A or higher by Standard & Poor's Rating Services or Fitch Ratings Ltd or A2 or higher by Moody's Investor Services Limited or a comparable rating from an internationally recognised credit rating agency; or

&nbsp;&nbsp;&nbsp;&nbsp;d)any other instrument, security or investment approved in writing by the Agent (acting on the instructions of the Majority Lenders), and in each case, to which any of the Obligors is beneficially entitled at that time and which can be promptly realised and applied against the Loan.

"Equity Ratio" means the ratio of Total Equity to Total Assets.

"Liquidity" means, at any given time, the aggregate of (i) Cash and Cash Equivalents and (i) any undrawn amount freely and unconditionally available for drawings under any credit facilities with remaining tenor of at least six (6) months.

"Total Assets" means the aggregate book value of total assets in accordance with US GAAP.

"Total Equity" means the aggregate book value of the equity treated as equity in accordance with US GAAP.

"Working Capital" means current assets less current liabilities (which shall exclude instalments of long term debt due in the next twelve (12) months, capital lease payments and, in respect of the Borrower only, any intra group debt incurred in accordance with Clause 22.10 b)(ii) (*Financial Indebtedness restrictions*).

&nbsp;&nbsp;&nbsp;&nbsp;21.2Financial testing

&nbsp;&nbsp;&nbsp;&nbsp;a)The financial covenants set out in this Clause 21 (*Financial Covenants*) shall be calculated in accordance with US GAAP consistently applied, <u>provided always</u>, that lease obligations shall be classified in accordance with applicable account principles prior to 1 January 2019 (for the avoidance of doubt, disregarding any amendments to accounting principles as a result of IFRS 16 or equivalent).

&nbsp;&nbsp;&nbsp;&nbsp;b)The financial covenants shall be tested quarterly, by reference to each of the financial statements delivered pursuant to paragraphs a) and b) of Clause 20.1 (*Financial Statements*) and/or each Compliance Certificate delivered pursuant to Clause 20.2 (*Compliance Certificate*), and, for the financial covenant set out in paragraph b) of Clause 21.3 (*Financial covenants*) below, account statements evidencing the amount held on the Earnings Account shall also be delivered.

&nbsp;&nbsp;&nbsp;&nbsp;21.3Financial covenants

&nbsp;&nbsp;&nbsp;&nbsp;a)The Ultimate Parent shall ensure that it maintains (on a consolidated basis) at all times:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)an Equity Ratio of minimum 0.20 to 1.00;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)a positive Working Capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Liquidity of minimum the higher of:

USD 25,000,000; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)an amount equal to five per cent. (5%) of the Group's total interest bearing Financial Indebtedness on a consolidated basis <u>net</u> of any Cash and Cash Equivalents; and

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower shall ensure that it during the Pre-Commencement Period hold cash on an Earnings Account, in the minimum amount of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)prior to and including the Drawdown Date, Minimum Cash Balance. The Borrower shall use the cash on the Earnings Account or from the Vessel's Earnings to make the first debt service of Interest and amortization on the date falling three (3) months after the Drawdown Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)upon first service of debt and interest under the Facility, the Earnings Account shall be replenished by an amount equal to the lower of (A) the amount required for service of debt and interest under the Facility until the end of any delivery dates notified by the Borrower to the Charterer under the Charterparty (the "Delivery Notice") and (B) the amount required for three (3) months debt and interest service of the Facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)upon second service of debt and interest under the Facility and when delivery has not occurred under paragraph (ii) above, the Earnings Account shall be replenished by an amount equal to the lower of (A) the amount required for service of debt and interest under the Facility until the end of any delivery dates under the Delivery Notice and (B) the amount required for three (3) months debt and interest service of the Facility; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)if the Charter Delivery Date has not yet occurred under paragraph (iii) above, the amount on the Earnings Account shall be replenished to ensure that there is always a sufficient amount to service the Facility for the remaining period until the Charter Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;21.4Change of accounting principles

If the Agent believes that the definitions and/or the financial covenants set out in this Clause 21 (*Financial covenants*) need to be amended as a result of any change of accounting principles, determination or requirement, the Ultimate Parent and the Agent shall negotiate (Agent acting on the instructions of the Lenders) in good faith to amend the existing definitions and/or financial covenants so as to provide the Lenders with substantially the same protections as the definitions and/or financial covenants set out in this Clause 21 (but which are not materially more onerous for the Borrower or the Ultimate Parent).

22GENERAL UNDERTAKINGS

The undertakings set out in this Clause 22 shall remain in force from the date of this Agreement and throughout the Security Period.

&nbsp;&nbsp;&nbsp;&nbsp;22.1Authorisations etc.

The Obligors shall promptly:

&nbsp;&nbsp;&nbsp;&nbsp;a)obtain, comply and do all that is necessary to maintain in full force and effect; and

supply certified copies to the Agent (if so requested) of,

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any Authorisation required under any law or regulation of its jurisdiction of incorporation to enable it to perform its obligations under the Finance Documents and to ensure the legality, validity, enforceability or admissibility in evidence in its jurisdiction of incorporation of any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;22.2Compliance with laws

Each Obligor shall comply in all material respects with all laws to which it may be subject.

&nbsp;&nbsp;&nbsp;&nbsp;22.3Pari passu ranking

Each Obligor shall ensure that its obligations under the Finance Documents do and will rank at least *pari passu* with all its other present and future unsecured and unsubordinated obligations, except for those obligations which are preferred by mandatory law applying to companies generally in the jurisdictions of their incorporation or in the jurisdiction in the ports of calls.

&nbsp;&nbsp;&nbsp;&nbsp;22.4Title – Collateral

&nbsp;&nbsp;&nbsp;&nbsp;22.5Negative Pledge – Collateral

Neither of the Obligors, nor any other member of the Group, shall create or permit to subsist any Security Interest over (i) any asset subject to, or intended to be subject to, Security Interest under the Security Documents, or (ii) any other asset of the Borrower, other than:

&nbsp;&nbsp;&nbsp;&nbsp;a)the Security Interest created under the Security Documents;

&nbsp;&nbsp;&nbsp;&nbsp;b)any Security Interests arising in the ordinary course of business or by operation of law and securing obligations not more than forty-five (45) days overdue; and

&nbsp;&nbsp;&nbsp;&nbsp;c)any Security Interests disclosed in writing to the Agent, and consented to in writing by the Agent (acting upon instructions from the Majority Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;22.6Ownership of the Borrower and the Intermediate Parent

&nbsp;&nbsp;&nbsp;&nbsp;a)The Intermediate Parent shall at all times own directly one hundred per cent. (100.00%) of the shares and voting rights in the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Ultimate Parent shall at all times own directly one hundred per cent. (100.00%) of the shares and voting rights in the Intermediate Parent.

&nbsp;&nbsp;&nbsp;&nbsp;c)Neither of the Obligors shall create or permit to subsist any Security Interest over any existing or future shares issued by the Borrower or the Intermediate Parent, other than the Security Interest created under the Security Documents.

&nbsp;&nbsp;&nbsp;&nbsp;22.7Preservation of assets

Each Obligor shall maintain and preserve all of its assets that are necessary or desirable, in the opinion of the Agent (acting on the instruction of the Majority Lenders), for the conduct of its business, as intended to be conducted at the date of this Agreement, in good working order and condition, ordinary wear and tear excepted.

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&nbsp;&nbsp;&nbsp;&nbsp;22.8Change of business

The Obligors shall ensure that no change is made to the general nature of its business from that carried out at the date of this Agreement without the prior written consent of the Agent (on behalf of the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;22.9No mergers etc.

No Obligor shall enter into any merger, amalgamation, de-merger, split-up, divest, consolidation with or into any other person or be the subject of any reconstruction, name change or change of type of organization without the prior consent of the Agent (on behalf of the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;22.10Financial Indebtedness restrictions

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall not incur, create or permit to subsist any Financial Indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;b)Paragraph a) above does not apply to Financial Indebtedness:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)incurred under the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)incurred under any loans from any Guarantor, provided that any Guarantor's claims under such loans are subject to an Assignment of Intercompany Loan and fully subordinated to the claims of the Finance Parties under the Finance Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)consented to in writing by the Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;22.11Financial support

The Borrower shall not make or grant any loans, guarantees or any other form of financial support to any person, except for:

&nbsp;&nbsp;&nbsp;&nbsp;a)financial support by way of trade credit in the ordinary course of operation of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;b)intra-group loans to a Guarantor, provided always that the obligations of any other Guarantor be fully subordinated to any obligations under the Finance Documents, and the Borrower's claims under such loans are subject to an Assignment of Intercompany Loan.

&nbsp;&nbsp;&nbsp;&nbsp;22.12Distributions from the Borrower

Following the occurrence of an Event of Default which is continuing, the Borrower may not:

&nbsp;&nbsp;&nbsp;&nbsp;(i)declare, make or pay any dividend, charge, fee or other distribution (whether in cash or in kind) on or in respect of its share capital (or any class of its share capital);

&nbsp;&nbsp;&nbsp;&nbsp;(ii)pay any interest or repay any principal amount (or capitalised interest) on any debt to any of its shareholders; or

&nbsp;&nbsp;&nbsp;&nbsp;(iii)redeem, repurchase or repay any of its share capital or resolve to do so, or enter into any transaction or arrangement having a similar effect as described in paragraphs (i) to (iii).

&nbsp;&nbsp;&nbsp;&nbsp;22.13Distributions from the Ultimate Parent

Subject to the limitations listed in paragraph b) below, the Ultimate Parent may:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)declare, make or pay any dividend, charge, fee or other distribution (whether in cash or in kind) on or in respect of its share capital (or any class of its share capital);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)pay any interest or repay any principal amount (or capitalised interest) on any debt to any of its shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)redeem, repurchase or repay any of its share capital or resolve to do so; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)enter into any transaction or arrangement having a similar effect as described in paragraphs (i) to (iii).

&nbsp;&nbsp;&nbsp;&nbsp;c)The distributions described in paragraph a) above can only be carried out and effectuated if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)no Event of Default is existing and is continuing on the time when the distribution is to be made or would result from the making, payment or declaration of the distribution; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)as otherwise consented to in writing by the Agent (on behalf of the Majority Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;22.14Investments

The Borrower shall not make any investments or acquisitions, neither of vessels, companies (or shares in companies) or otherwise, other than:

&nbsp;&nbsp;&nbsp;&nbsp;a)ordinary and scheduled maintenance of the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;b)any other maintenance of the Vessel required in order to be in compliance with the provisions under this Agreement, including, but not limited to, Clause 23.3 (*Classification and repairs*).

&nbsp;&nbsp;&nbsp;&nbsp;22.15Environmental compliance

The Obligors shall comply in all respects with all applicable Environmental Laws subject to the terms and conditions of any applicable Environmental Approval and obtain and maintain any applicable Environmental Approval.

&nbsp;&nbsp;&nbsp;&nbsp;22.16Arm's length transactions

No Obligor shall engage in, directly or indirectly, any transaction with any party (without limitation, the purchase, sale or exchange of assets or the rendering of any service), except pursuant to the reasonable requirement of the Obligor's business and upon fair and reasonable terms that are no less favorable to the Obligor, as the case may be, than those which might be obtained in an arm's length transaction at the time.

&nbsp;&nbsp;&nbsp;&nbsp;22.17Listing

The Ultimate Parent shall remain listed on the Oslo Stock Exchange, New York Stock Exchange or another recognised stock exchange acceptable to the Agent (on behalf of the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;22.18Hedging

The Hedge Provider shall have a first right of refusal in relation to interest hedging relating to the Vessel or the Facility on competitive terms.

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&nbsp;&nbsp;&nbsp;&nbsp;c)No Obligor shall carry out derivative transactions for speculative purposes, and for avoidance of doubt, for any hedging under the Hedging Agreements, the nominal amount hedged shall not exceed the Loan outstanding.

&nbsp;&nbsp;&nbsp;&nbsp;d)The Borrower undertakes to ensure that (i) the Hedging Agreement only documents transactions to hedge interest rate risk under or in connection with the Agreement and (ii) copies of any Hedging Agreement are provided to the Agent once they have been signed.

&nbsp;&nbsp;&nbsp;&nbsp;22.19Earnings Accounts

The Borrower shall open and maintain all its Earnings Accounts with the Account Bank, ensure that all Earnings are paid to the Earnings Accounts, and that the Earnings Accounts remain subject to the Account Pledge(s). The Borrower may freely operate and make withdrawals from the Earnings Accounts until the occurrence of an Event of Default which is continuing.

&nbsp;&nbsp;&nbsp;&nbsp;22.20Vessel employment

&nbsp;&nbsp;&nbsp;&nbsp;a)The Vessel shall be employed under the Charterparty from the Charter Delivery Date. In the event of redelivery under, or cancellation of, the Charterparty prior to its initial expiry, the Borrower shall either (i) prepay the Loan in accordance with Clause 7.3 (*Mandatory* prepayment)) or (ii) within 90 days enter into a new charterparty on terms and conditions acceptable to the Lenders (such acceptance not to be unreasonably withheld or delayed).

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower shall not make or agree to any material change to or waiver under the Charterparty, without the prior written consent of the Majority Lenders which shall not be unreasonably withheld or delayed. In this respect, any changes or waivers relating to the counterparty, the charter period, termination and/or daily charter rate under the Charterparty shall always be considered material.

&nbsp;&nbsp;&nbsp;&nbsp;22.21Taxation

The Obligors shall pay and discharge all Taxes imposed upon it or its assets within the time period allowed without incurring penalties unless and only to the extent that such payment is being contested in good faith or can be lawfully withheld.

&nbsp;&nbsp;&nbsp;&nbsp;22.22Sanctions

&nbsp;&nbsp;&nbsp;&nbsp;a)Each Obligor and their Subsidiaries, and the Obligors shall ensure that their respective directors, officers and employees, agents and representatives shall comply in all respects with Sanctions.

&nbsp;&nbsp;&nbsp;&nbsp;b)No Obligor and their Subsidiaries shall, and the Obligors shall ensure that none of their respective directors, officers or employees will, take any action or make any omission that results, or is reasonably likely to result, in it or any Finance Party becoming a Restricted Party.

&nbsp;&nbsp;&nbsp;&nbsp;c)No Obligor shall use any revenue or benefit derived from any activity or dealing with a Restricted Party in discharging any obligation due or owing to the Finance Parties;

&nbsp;&nbsp;&nbsp;&nbsp;d)Each Obligor shall procure that no proceeds from any activity or dealing with a Restricted Party are credited to any bank account held with any Finance Party in its name;

Each Obligor shall to the extent permitted by law promptly upon becoming aware of them supply to the Agent details of any claim, action, suit, proceedings or investigation against it with respect to

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Sanctions by any Sanctions Authority, and provide information on what steps are being taken with regards to answer or oppose such claim, action, suit, proceedings or investigation;

&nbsp;&nbsp;&nbsp;&nbsp;e)No Obligor shall permit or authorise any other person to, directly or indirectly use the proceeds of the Loan, or lend, make payments of or contribute or otherwise make available all or any part of such proceeds, or permit services provided by any Finance Party to such Obligor under the Finance Documents to be used (i) to or for the benefit of any Restricted Party or (ii) in any other manner that would result in a violation of Sanctions by any person (including any person participating in the Loan hereunder, whether as a Finance Party or otherwise) or any such person becoming a Restricted Party; and

&nbsp;&nbsp;&nbsp;&nbsp;f)Each Obligor shall ensure that the Vessel is not or does not become the target of any Sanctions (by way of the Vessel being designated under any Sanctions or Sanctions List).

&nbsp;&nbsp;&nbsp;&nbsp;22.23EU Bail-In

In the event that any Finance Document (other than Hedging Agreements) will be governed by the laws of a non-EEA Member Country, then to the extent the Agent determines it is necessary such Finance Document shall either prior to its entry, or if already in force be amended to, contain the current form of EU bail-in provisions recommended by the Loan Market Association.

23VESSEL COVENANTS

The undertakings set out in this Clause 23 shall remain in force from the date of this Agreement and throughout the Security Period.

&nbsp;&nbsp;&nbsp;&nbsp;23.1Insurance

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall maintain or ensure that the Vessel is insured against such risks, including but not limited to, Hull and Machinery, Protection & Indemnity (including maximum cover for pollution liability with a club within the International Group of P&I Clubs), Hull Interest and/or Freight Interest and War Risk (including acts of terrorism, hijacking, confiscation and piracy) insurances, in such amounts, on such terms and with such brokers, clubs and/or insurers as the Agent (acting on the instruction of the Majority Lenders) from time to time shall approve (such approval not to be unreasonably withheld).

&nbsp;&nbsp;&nbsp;&nbsp;b)The insurance value (to be on agreed value basis) for Hull and Machinery combined with Hull Interest and/or Freight Interest, and for War Risk, shall cover the higher of (i) the Market Value of the Vessel, and (ii) to one hundred and twenty per cent (120.00%) of the Loan under the Facility.

&nbsp;&nbsp;&nbsp;&nbsp;c)The insured value for the Hull and Machinery insurance shall cover at least eighty per cent (80.00%) of the Market Value of the Vessel. The remaining cover may be taken out as Hull Interest and/or Freight Interest.

Each Obligor shall procure that the Security Agent (on behalf of the Finance Parties) is noted as first priority mortgagee in the insurance contracts, together with the confirmation from the underwriters to the Agent thereof that the notice of assignment with regards to the Insurances and the loss payable clauses are noted in the insurance contracts and that standard letters of undertaking are executed by the insurers and/or brokers (as applicable).

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&nbsp;&nbsp;&nbsp;&nbsp;d)Not later than fourteen (14) days prior to the expiry date of the relevant Insurances the Borrower shall procure the delivery to the Agent of a certificate from the insurance broker(s) through whom the Insurances referred to in paragraph a) above have been renewed and taken out in respect of the Vessel with insurance values as required by paragraph b) above, that such Insurances are in full force and effect and that the Security Agent (on behalf of the Finance Parties) have been noted by the relevant insurers.

&nbsp;&nbsp;&nbsp;&nbsp;e)The Borrower shall, at the request of the Agent (if requested by a Lender), for the account of the Borrower, take out a Mortgagee's Interest Insurance ("MII") and/or a Mortgagee's Interest – Additional Perils Pollution Insurance ("MAPI") covering up to one hundred and twenty per cent (120.00%) of the Total Commitments.

&nbsp;&nbsp;&nbsp;&nbsp;f)If any of the Insurances referred to in paragraph a) form part of a fleet cover, the Borrower shall procure that the insurers and/or brokers (as applicable) shall undertake to the Agent that they shall neither set-off against any claims in respect of the Vessel any premiums due in respect of other vessels under such fleet cover or any premiums due for other insurances, nor cancel this Insurance for reason of non-payment of premiums for other vessels under such fleet cover or of premiums for such other insurances, and shall undertake to issue a separate policy in respect of the Vessel if and when so requested by the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;g)The Borrower shall procure that any person named as assured or co-assured in any insurance policy assigns such insurances to the Security Agent or provides other satisfactory undertakings as the Security Agent may require. Further, the Borrower shall procure that the Security Agent shall have the right to appoint an insured party.

&nbsp;&nbsp;&nbsp;&nbsp;h)The Borrower shall procure that the Vessel always are employed in conformity with the terms of the instruments of Insurances (including any warranties expressed or implied therein) and comply with such requirements as to extra premium or otherwise as the insurers may prescribe.

&nbsp;&nbsp;&nbsp;&nbsp;i)No Obligor will make any change to the Insurances described under paragraphs a) and b) above without the prior written consent of the Agent (on behalf of the Lenders).

&nbsp;&nbsp;&nbsp;&nbsp;j)The Agent will obtain an Insurance Report from an independent insurance consultant for the account of the Borrower prior to any utilisation of the Facility, and, if the Agent (acting on the instructions of the Majority Lenders) so requires, on an annual basis thereafter.

&nbsp;&nbsp;&nbsp;&nbsp;k)The Borrower will supply to the Agent from time to time on request such information as the Agent may in its discretion require with regard to the Insurances and the brokers, underwriters, associations or clubs through or with which the Insurances are placed.

&nbsp;&nbsp;&nbsp;&nbsp;l)Each Obligor shall promptly take any steps required, or provide any and all assistance requested by the Agent, to ensure prompt collection of any claims under the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;23.2Loss Payable

Claims related to the Insurances in respect of an actual or constructive or agreed or arranged or compromised Total Loss or requisition for title or other compulsory acquisition of the Vessel and claims payable in respect of a major casualty, that is to say any claim (or the aggregate of which) in excess of USD 3,000,000 shall be payable

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to the Security Agent. Subject thereto all other claims, unless and until the insurers have received notice from the Security Agent of an event of default which is continuing and unremedied under the Agreement in which event all claims shall be payable directly to the Security Agent up to the Finance Parties' mortgage interest, shall be released directly for the repair, salvage or other charges involved or to the Borrower as reimbursement if it has fully repaired the damage and paid all of the salvage or other charges or otherwise in respect of Borrower's actual costs in connection with repair, salvage and/or other charges.

&nbsp;&nbsp;&nbsp;&nbsp;23.3Classification and repairs

The Obligors shall keep the Vessel in a good, safe and efficient condition consistent with first class ownership and management practice and in particular:

&nbsp;&nbsp;&nbsp;&nbsp;a)so as to maintain the highest classification required for the relevant trade with an Approved Classification Society, free of overdue recommendations and conditions; and

&nbsp;&nbsp;&nbsp;&nbsp;b)so as to comply with the laws and regulations (statutory or otherwise) applicable to vessels registered under the flag state of the Vessel or to vessels trading to any jurisdiction to which the Vessel may trade from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;23.4Restrictions on chartering, appointment of managers etc.

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall not without the prior written consent of the Agent (on behalf of the Majority Lenders):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)let the Vessel on bareboat charter for any period other than to another member of the Group (subject to satisfactory Security Interest in favour of the Agent (on behalf of the Finance Parties) with respect to such member of the Group's earnings and charterparty in respect of the Vessel);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)charter in or hire any vessel or tonnage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)appoint a Manager other than any Approved Manager; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)change the class certification of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower shall inform the Agent of any change of management of the Vessel to another Approved Manager, or change of classification society to another Approved Classification Society, and shall inform the Agent as soon as it receives consent from the Charterer for the relevant change.

&nbsp;&nbsp;&nbsp;&nbsp;c)The Borrower shall not without the prior written consent of the Agent (on behalf of the Majority Lenders), such consent not to be unreasonably withheld or delayed, make or agree to any material change to or waiver under the Charterparty. In this respect, any changes or waivers relating to the counterparty, charter period, termination and rate of hire shall be considered material, provided that any increase in rate of hire or receivables by the Borrower under the Charterparty shall not require consent.

&nbsp;&nbsp;&nbsp;&nbsp;23.5Notification of certain events

The Borrower shall immediately notify the Agent of:

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&nbsp;&nbsp;&nbsp;&nbsp;a)any accident to the Vessel involving repairs where the costs will or is likely to exceed USD 3,000,000 (or the equivalent in any other currency);

&nbsp;&nbsp;&nbsp;&nbsp;b)any requirement or recommendation made by any insurer or classification society or by any competent authority which is not, or cannot be, immediately complied with;

&nbsp;&nbsp;&nbsp;&nbsp;c)any exercise or purported exercise of any lien on the Vessel, the Earnings or the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;d)any occurrence as a result of which the Vessel has become or is, by the passing of time or otherwise, likely to become a Total Loss;

&nbsp;&nbsp;&nbsp;&nbsp;e)any claim for a material breach of the ISM Code or the ISPS Code being made against the Borrower, a Manager or otherwise in connection with the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;f)if requested by the Agent at intervals not more frequent than every two months, any short or interim employment contracts entered into in respect of the Vessel in the Pre-Commencement Period, including, but not limited to, the name of the charterer, hire rate and contract duration.

&nbsp;&nbsp;&nbsp;&nbsp;23.6Operation of the Vessel

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall comply, or procure the compliance by any manager, in all material respects with the ISM Code, the ISPS Code, Marpol, all Environmental Laws and all other laws or regulations applicable to the Vessel, their ownership, operation and management or to the business of the Borrower and shall not employ the Vessel nor allow its employment:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)in any manner contrary to law or regulation in any relevant jurisdiction including but not limited to the ISM Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)in U.S. waters contrary to COFR regulations, always ensuring as required that a Certificate of Financial Responsibility is maintained for such purpose; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)in the event of hostilities in any part of the world (whether war is declared or not), in any zone which is declared a war zone by any government or by the war risk insurers of the Vessel unless the Borrower has (at its expense) effected any special, additional or modified insurance cover which shall be necessary or customary for first class shipowners trading vessels within the territorial waters of such country at such time and has provided evidence of such cover to the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;b)Without limitation to the generality of this Clause 23.6, the Borrower shall comply or procure compliance, with, as applicable, all requirements of the International Convention for the Safety of Life at Sea (SOLAS) 1974 as adopted, amended or replaced from time to time including, but not limited to, the STCW 95, the ISM Code or the ISPS Code.

&nbsp;&nbsp;&nbsp;&nbsp;23.7Inspections and class records

The Borrower shall upon the request of the Agent permit, and shall procure that any managers and charterers permit, one person appointed by the Agent to inspect the Vessel, limited to one time per twelve (12) months, at the cost of the Borrower. If the request is made following an Event of Default which is continuing, there shall be no limitation on the number of inspections per year. Unless there

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is an Event of Default, any inspection shall not interfere with the normal operation and trading of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;g)The Borrower shall instruct the classification society to send to the Agent, following a written request from the Agent, copies of all class records held by the classification society in relation to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;23.8Surveys

The Borrower shall submit to or cause the Vessel to be submitted to such periodic or other surveys as may be required for classification purposes and to ensure full compliance with regulations of the flag state of the Vessel and to supply or to cause to be supplied to the Agent copies of all survey reports and confirmations of class issued in respect thereof whenever such is required by the Agent, however limited to once a year.

&nbsp;&nbsp;&nbsp;&nbsp;23.9Arrest

The Borrower shall or shall procure that the charterers (if any) shall, promptly pay and discharge:

&nbsp;&nbsp;&nbsp;&nbsp;a)all liabilities which give or may give rise to maritime or possessory liens on or claims enforceable against the Vessel, the Earnings or the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;b)all tolls, taxes, dues, fines, penalties and other amounts charged in respect of the Vessel, the Earnings or the Insurances; and

&nbsp;&nbsp;&nbsp;&nbsp;c)all other outgoings whatsoever in respect of the Vessel, the Earnings and the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;23.10Total Loss

In the event that the Vessel shall suffer a Total Loss, the Borrower shall, within a period of ninety (90) days after the Total Loss Date, obtain and present to the Agent, a written confirmation from the relevant insurers that the claim relating to the Total Loss has been accepted in full, and the insurance proceeds shall be applied in prepayment of the Loan in accordance with Clause 7.1 (*Mandatory prepayment – Total Loss or sale*).

&nbsp;&nbsp;&nbsp;&nbsp;23.11Dismantling

&nbsp;&nbsp;&nbsp;&nbsp;a)The Borrower shall procure that a Green Passport is in place for the Vessel, which shall be maintained and available throughout the lifespan of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;b)Each Obligor shall ensure that the Vessel or other vessels controlled by it or another member of the Group being scrapped, or sold to an intermediary with the intention of being scrapped, is recycled at a recycling yard which conducts its recycling business in a socially and environmentally responsible manner, in accordance with the provisions of The Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, 2009 or EU Ship Recycling Regulation of 20 November, 2013.

&nbsp;&nbsp;&nbsp;&nbsp;23.12Flag, name and registry

&nbsp;&nbsp;&nbsp;&nbsp;a)The Vessel shall at all times be registered with an Approved Ship Registry.

The Borrower shall not, without the prior written consent of the Agent (on behalf of all Lenders), change the flag, name or registry of the Vessel. Subject to substitution of the Mortgage, and closing arrangements satisfactory to the Agent, the Lenders may not refuse the Borrower's request to

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change the registry of the Vessel from one Approved Ship Registry to another Approved Ship Registry, unless a Default has occurred.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Borrower shall inform the Agent as soon as it receives consent from the Charterer for the relevant change set out in paragraph b) above.

&nbsp;&nbsp;&nbsp;&nbsp;23.13Poseidon Principles

The Borrower shall, upon the request of any Lender and at the cost of the Borrower, on or before 31st July in each calendar year, supply or procure the supply to the Agent (on behalf of the Finance Parties) of all information necessary in order for any Lender to comply with its obligations under the Poseidon Principles in respect of the preceding year, including, without limitation, all ship fuel oil consumption data required to be collected and reported in accordance with Regulation 22A of Annex VI and any Statement of Compliance, in each case relating to the Vessel for the preceding calendar year, and hereby consent to each Lender obtaining such information from third parties, provided always that no Lender shall publicly disclose such information with the identity of the Vessel without the prior written consent of the Borrower but the Borrower acknowledges that, in accordance with the Poseidon Principles, such information will form part of the information published regarding the relevant Lender's portfolio climate alignment.

&nbsp;&nbsp;&nbsp;&nbsp;23.14Quiet Enjoyment Letters

Pursuant to the Charterparty a quiet enjoyment letter will be required from the Lenders for the duration of the charter, subject to form and substance being satisfactory to the Lenders (in their sole discretion, acting reasonably). The letter of quiet enjoyment shall be provided to the Charterer no later than fourteen (14) days after the execution and registration of the security interest in favour of the Security Agent (on behalf of the Finance Parties), however no later than five (5) days if the Vessel has been delivered to the Charterer at such time.

24EVENTS OF DEFAULT

Each of the events or circumstances set out in this Clause 24 is an Event of Default (save for Clause 24.17 (*Acceleration*)).

&nbsp;&nbsp;&nbsp;&nbsp;24.1Non-payment

Any Obligor does not pay on the due date any amount payable pursuant to a Finance Document at the place and in the currency in which it is expressed to be payable unless:

&nbsp;&nbsp;&nbsp;&nbsp;a)its failure to pay is caused by administrative or technical error affecting the transfer of funds despite timely payment instructions by the Obligor; and

&nbsp;&nbsp;&nbsp;&nbsp;b)payment is made within three (3) Business Days of its due date.

&nbsp;&nbsp;&nbsp;&nbsp;24.2Financial covenants, Sanctions, Insurances and Classification

Any requirement in Clauses 21 (*Financial covenants*), 22.20 (*Vessel employment*), 22.22 (*Sanctions*), 23.1 a) to d) (*Insurance*) or 23.3a) (*Classification and repair*) is not satisfied, or the representation in Clause 19.24 (*Sanctions*) is not true.

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&nbsp;&nbsp;&nbsp;&nbsp;24.3Other obligations

&nbsp;&nbsp;&nbsp;&nbsp;a)An Obligor does not comply with any provision of the Finance Documents (other than those referred to in Clause 24.1 (*Non-payment*) and Clause 24.2 (*Financial covenants, Sanctions, Insurances and Classification*)).

&nbsp;&nbsp;&nbsp;&nbsp;b)No Event of Default under paragraph a) above will occur if the failure to comply is capable of remedy and is remedied within ten (10) Business Days of the earlier of (i) the Agent giving notice to the Borrower and (ii) any Obligor becoming aware of the failure to comply.

&nbsp;&nbsp;&nbsp;&nbsp;24.4Misrepresentations

Any representation or statement made or deemed to be made by an Obligor in the Finance Documents or any other document delivered by or on behalf of an Obligor under or in connection with any of the Finance Documents is or proves to have been incorrect or misleading in any material respect when made or deemed to be made.

&nbsp;&nbsp;&nbsp;&nbsp;24.5Cross default

&nbsp;&nbsp;&nbsp;&nbsp;a)Any Financial Indebtedness of any Obligor is not paid when due nor within any originally applicable grace period.

&nbsp;&nbsp;&nbsp;&nbsp;b)Any Financial Indebtedness of any Obligor is declared to be or otherwise becomes due and payable prior to its specified maturity as a result of an event of default (however described).

&nbsp;&nbsp;&nbsp;&nbsp;c)Any commitment for any Financial Indebtedness of any Obligor is cancelled or suspended by a creditor of any Obligor as a result of an event of default (however described).

&nbsp;&nbsp;&nbsp;&nbsp;d)Any creditor of any Obligor becomes entitled to declare any Financial Indebtedness of any Obligor due and payable prior to its specified maturity as a result of an event of default (however described).

&nbsp;&nbsp;&nbsp;&nbsp;e)No Event of Default will occur under this Clause 24.5 if the aggregate amount of the Financial Indebtedness or commitment for Financial Indebtedness falling within paragraph a) to d) above is less than USD 8,000,000 (or its equivalent in any other currency or currencies).

&nbsp;&nbsp;&nbsp;&nbsp;24.6Insolvency

&nbsp;&nbsp;&nbsp;&nbsp;a)An Obligor 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 indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;b)The value of the assets of an Obligor is less than its liabilities (taking into account contingent and prospective liabilities).

&nbsp;&nbsp;&nbsp;&nbsp;24.7Insolvency proceedings

Any corporate action, legal proceedings or other procedure or step is taken in relation to:

the suspension of payments, a moratorium of any indebtedness, winding-up, cessation of business, dissolution, administration, judicial management or reorganisation (by way of voluntary arrangement, scheme or arrangement or otherwise) of an Obligor;

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&nbsp;&nbsp;&nbsp;&nbsp;c)a composition, compromise, assignment or arrangement with any creditor of an Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;d)the appointment of a liquidator, receiver, administrative receiver, administrator, judicial manager or other similar officer in respect of an Obligor; or

&nbsp;&nbsp;&nbsp;&nbsp;e)enforcement of any Security Interest over any assets of an Obligor (excluding enforcement of any share pledge over shares owned by a Guarantor in special purpose vessel owning entities (excluding any Obligor) within the Group).

&nbsp;&nbsp;&nbsp;&nbsp;24.8Creditor's process

Any expropriation, attachment, sequestration, distress or execution affects any asset or assets of an Obligor (excluding shares owned by a Guarantor in special purpose vessel owning entities (excluding any Obligor) within the Group) and is not discharged within thirty (30) days after the Obligor has become aware of it.

&nbsp;&nbsp;&nbsp;&nbsp;24.9Arrest

If an arrest or detention is taken or levied against the Vessel and is not discharged within twenty (20) days (or such longer period as approved in writing by the Lenders) after an Obligor becomes aware of the same.

&nbsp;&nbsp;&nbsp;&nbsp;24.10Cessation of business

Any of the Obligors suspends or ceases to carry on (or threatens to suspend or cease to carry on) all or a substantial part of its business, or otherwise substantially changes the general nature of its business.

&nbsp;&nbsp;&nbsp;&nbsp;24.11Unlawfulness

It is or becomes impossible or unlawful for an Obligor to perform any of its obligations under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;24.12Repudiation

Any Obligor repudiates a Finance Document or evidences an intention to repudiate a Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;24.13Security Documents

Any of the Security Documents for any reason whatsoever becomes invalid, ineffective, illegal or for any other reason ceases to continue in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;24.14Material adverse change

Any event or series of events occur which, in the opinion of the Agent (acting on the instructions of the Lenders), might have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;24.15Permits

Any licence, authorization, consent, permission or approval required in order to enforce, complete or perform any of the Finance Documents is revoked, terminated or modified having a Material Adverse Effect on an Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;24.16Litigation

There is current, pending or threatened any claims, litigation, arbitration or administrative proceedings against an Obligor which might, if adversely determined, have a Material Adverse Effect on that Obligor.

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&nbsp;&nbsp;&nbsp;&nbsp;24.17Acceleration

Upon the occurrence of an Event of Default, the Agent may, and shall if so directed by the Majority Lenders, or, subject to Clause 18.2 (*Security for Hedging Agreements*) and only in respect of c) below the Hedge Provider, by written notice to the Borrower:

&nbsp;&nbsp;&nbsp;&nbsp;a)cancel the Total Commitments whereupon they shall immediately be cancelled;

&nbsp;&nbsp;&nbsp;&nbsp;b)declare that all or part of the Loan together with accrued interest, and all other amounts accrued or outstanding under the Finance Documents (other than the Hedging Agreements), be either immediately due and payable and/or payable upon demand, whereupon they shall become either immediately due and payable or payable on demand; and/or

&nbsp;&nbsp;&nbsp;&nbsp;c)instruct the Security Agent to start enforcement in respect of the Security Interests established by the Security Documents; and/or

&nbsp;&nbsp;&nbsp;&nbsp;d)take any other action, with or without notice to the Borrower, exercise any other right or pursue any other remedy conferred upon the Agent, the Security Agent or the Finance Parties by any of the Finance Documents (other than the Hedging Agreements) or by any applicable law or regulation or otherwise as a consequence of such Event of Default; and/or

exercise or direct the Security Agent to exercise any or all of its rights, remedies, powers or discretions under the Finance Documents (other than the Hedging Agreements).

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SECTION 9 CHANGES TO PARTIES

25CHANGES TO THE PARTIES

&nbsp;&nbsp;&nbsp;&nbsp;25.1No assignment by the Obligors

The Obligors may not assign or transfer or have assumed any part of, or any interest in, its rights and/or obligations under the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;25.2Assignments and transfers by the Lenders

&nbsp;&nbsp;&nbsp;&nbsp;a)A Lender (the "Existing Lender") may at any time assign, transfer or have assumed its rights or obligations under the Finance Documents (a "Transfer") to another bank or financial institution (the "New Lender").

&nbsp;&nbsp;&nbsp;&nbsp;b)The consent of the Obligors will be required (such consent not to be unreasonably withheld or delayed), unless (i) an Event of Default has occurred and is continuing or (ii) in case of Transfer to another Lender, or an Affiliate of the Existing Lender or another Lender. The Obligors will be deemed to have given its consent if no express refusal is received within five (5) Business Days.

&nbsp;&nbsp;&nbsp;&nbsp;c)Unless the Agent otherwise agrees, and excluding an assignment or transfer to an Affiliate of a Lender, the New Lender shall, on the date upon which an assignment or transfer takes effect, pay to the Agent (for its own account) a fee of USD 3,500.

&nbsp;&nbsp;&nbsp;&nbsp;25.3Limitations of responsibility of Existing Lenders

&nbsp;&nbsp;&nbsp;&nbsp;a)Unless expressly agreed to the contrary, an Existing Lender makes no representation or warranty and assumes no responsibility to the New Lender for:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the legality, validity, effectiveness, adequacy or enforceability of the Finance Documents or any other documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the financial condition of an Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the performance and observance by the Obligors of its obligations under the Finance Documents or any other documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)the accuracy of any statements (whether written or oral) made in or in connection with the Finance Documents or any other document.

&nbsp;&nbsp;&nbsp;&nbsp;b)Each New Lender confirms to the Existing Lender and the other Finance Parties that it:

has made (and will continue to make) its own independent investigation and assessment of the financial condition and affairs of the Obligors and its related entities in connection with its participation in this Agreement and has not relied exclusively on any information provided to it by the Existing Lender in connection with any Finance Document; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)will continue to make its own independent appraisal of the creditworthiness of the Obligors and its related entities whilst any amount is or may be outstanding under the Finance Documents or any Commitment is in force.

&nbsp;&nbsp;&nbsp;&nbsp;c)Nothing in any Finance Document obliges an Existing Lender to:

&nbsp;&nbsp;&nbsp;&nbsp;(i)accept a re-transfer from a New Lender of any of the rights and obligations assigned or transferred under this Clause 25; or

&nbsp;&nbsp;&nbsp;&nbsp;(ii)support any losses directly or indirectly incurred by the New Lender by reason of the non-performance by any Obligor of its obligations under the Finance Documents or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;25.4Procedure for transfer

Any Transfer shall be effected as follows:

&nbsp;&nbsp;&nbsp;&nbsp;a)the Existing Lender must notify the Agent of its intention to Transfer all or part of its rights and obligations by delivering a duly completed Transfer Certificate to the Agent duly executed by the Existing Lender and the New Lender;

&nbsp;&nbsp;&nbsp;&nbsp;b)subject to Clause 25.2 (*Assignments and transfers by the Lenders*), the Agent shall, subject to completion of its Applicable KYC Procedures, as soon as reasonable possible after receipt of a Transfer Certificate, execute the Transfer Certificate and deliver a copy of the same to each of the Existing Lender and the New Lender; and

&nbsp;&nbsp;&nbsp;&nbsp;c)subject to Clause 25.2 (*Assignments and transfers by the Lenders*), the Transfer shall become effective on the Transfer Date.

&nbsp;&nbsp;&nbsp;&nbsp;25.5Effects of the Transfer

On the Transfer Date:

&nbsp;&nbsp;&nbsp;&nbsp;a)to the extent that in the Transfer Certificate the Existing Lender seeks to transfer its rights and obligations under the Finance Documents, each of the Obligors and the Existing Lender shall be released from further obligations to one another under the Finance Documents and their respective rights against one another under the Finance Documents shall be cancelled (the "Discharged Rights

and Obligations");

&nbsp;&nbsp;&nbsp;&nbsp;b)each of the Obligors and the New Lender shall assume obligations towards one another and/or acquire rights against one another which differ from the Discharged Rights and Obligations only insofar as that Obligor and the New Lender have assumed and/or acquired the same in place of that Obligor and the Existing Lender;

the Agent, the Arrangers, the New Lender and the other Lenders shall acquire the same rights and assume the same obligations between themselves as they would have acquired and assumed had the New Lender been an original Lender hereunder with the rights and/or obligations acquired or assumed by it as a result of the Transfer and to that extent the Agent, the Arrangers and the Existing Lender shall each be released from further obligations to each other under the Finance Documents; and

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&nbsp;&nbsp;&nbsp;&nbsp;c)the New Lender shall become a Party as a "Lender".

&nbsp;&nbsp;&nbsp;&nbsp;25.6Further assurances

The Borrower undertake to procure that in relation to any Transfer, the Borrower shall (at its own cost) at the request of the Agent execute such documents as may in the discretion of the Agent be necessary to ensure that the New Lender attains the benefit of the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;25.7Disclosure of information

Any Lender may disclose:

&nbsp;&nbsp;&nbsp;&nbsp;a)to any of its Affiliates and a potential assignee;

&nbsp;&nbsp;&nbsp;&nbsp;b)to whom that Lender enters into (or may potentially enter into) any sub-participation in relation to, or any other transaction under which payments are to be made by reference to, this Agreement or the Borrower; and

&nbsp;&nbsp;&nbsp;&nbsp;c)to whom, to the extent that, information is required to be discloses by any applicable law,

such information about the Borrower and the Finance Documents as that Lender shall consider appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;25.8Security over Lenders' rights

In addition to the other rights provided to Lenders under this Clause 25, each Lender may without consulting with or obtaining consent from the Obligors, at any time charge, assign or otherwise create Security Interest in or over (whether by way of collateral or otherwise) all or any of its rights under any Finance Document to secure obligations of that Lender including, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;a)any charge, assignment or other Security Interest to secure obligations to a federal reserve or central bank; and

&nbsp;&nbsp;&nbsp;&nbsp;b)in the case of any Lender which is a fund, any charge, assignment or other Security Interest granted to any holders (or trustee or representatives of holders) of obligations owed, or securities issued, by that Lender as security for those obligations or securities,

except that no such charge, assignment or Security Interest shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)release a Lender from any of its obligations under the Finance Documents or substitute the beneficiary of the relevant charge, assignment or Security Interest for the Lender as a party to any of the Finance Documents; or

require any payments to be made by an Obligor other than or in excess of, or grant to any person any more extensive rights than, those required to be made or granted to the relevant Lender under the Finance Documents.

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SECTION 10

THE FINANCE PARTIES

26ROLE OF THE AGENT, THE SECURITY AGENT AND THE ARRANGER

&nbsp;&nbsp;&nbsp;&nbsp;26.1Appointment of the Agent and the Security Agent

&nbsp;&nbsp;&nbsp;&nbsp;a)Each other Finance Party appoints the Agent to act as its facility agent under and in connection with the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;b)Each other Finance Party appoints the Security Agent to act as its security agent under and in connection with the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;c)Each other Finance Party authorises the Agent and the Security Agent to perform the duties, obligations and responsibilities and to exercise the rights, powers, authorities and discretions specifically given to the Agent and the Security Agent, respectively, under or in connection with the Finance Documents together with any other incidental rights, powers, authorities and discretions.

&nbsp;&nbsp;&nbsp;&nbsp;d)Each other Finance Party authorises the Agent and the Security Agent, as applicable, to execute and enforce each Finance Document (excluding the Hedging Agreements) to be executed and/or enforced by the Agent or the Security Agent, as the case may be, on its behalf in the manner contemplated by the Finance Documents.

&nbsp;&nbsp;&nbsp;&nbsp;e)The Finance Parties shall not have any independent power to enforce, or have recourse to, any of the Security Interest or to exercise any right, power, authority or discretion arising under the Security Documents except through the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;26.2Instructions

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent and the Security Agent shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)unless a contrary indication appears in a Finance Document, exercise or refrain from exercising any right, power, authority or discretion vested in it as Agent or Security Agent, as the case may be, in accordance with any instructions given to it by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)all Lenders if the relevant Finance Document (other than the Hedging Agreements) stipulates the matter is an all Lender decision; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in all other cases, the Majority Lenders; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)not be liable for any act (or omission) if it acts (or refrains from acting) in accordance with paragraph (i) above.

The Agent and the Security Agent shall be entitled to request instructions, or clarification of any instruction, from the Majority Lenders (or, if the relevant Finance Document stipulates the matter is a decision for any other Lender or group of Lenders, from that Lender or group of Lenders) as to whether, and in what manner, it should exercise or refrain from exercising any right, power, authority or discretion. The Agent and the Security Agent may refrain from acting unless and until it receives any such instructions or clarification that it has requested.

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&nbsp;&nbsp;&nbsp;&nbsp;b)Save in the case of decisions stipulated to be a matter for any other Lender or group of Lenders under the relevant Finance Document and unless a contrary indication appears in a Finance Document, any instructions given to the Agent or the Security Agent by the Majority Lenders shall override any conflicting instructions given by any other Parties and will be binding on all Finance Parties.

&nbsp;&nbsp;&nbsp;&nbsp;c)The Agent and the Security Agent may refrain from acting in accordance with any instructions of any Lender or group of Lenders until it has received any indemnification and/or security that it may in its discretion require (which may be greater in extent than that contained in the Finance Documents and which may include payment in advance) for any cost, loss or liability which it may incur in complying with those instructions.

&nbsp;&nbsp;&nbsp;&nbsp;d)In the absence of instructions, the Agent and the Security Agent may act (or refrain from acting) as it considers to be in the best interest of the Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;e)The Agent and the Security Agent is not authorised to act on behalf of a Lender (without first obtaining that Lender's consent) in any legal or arbitration proceedings relating to any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;26.3Duties of the Agent and the Security Agent

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent and the Security Agent's duties under the Finance Documents are solely mechanical and administrative in nature.

&nbsp;&nbsp;&nbsp;&nbsp;b)Subject to paragraph c) below, the Agent shall promptly forward to a Party the original or a copy of any document which is delivered to the Agent for that Party by any other Party.

&nbsp;&nbsp;&nbsp;&nbsp;c)Except where a Finance Document specifically provides otherwise, the Agent is not obliged to review or check the adequacy, accuracy or completeness of any document it forwards to another Party.

&nbsp;&nbsp;&nbsp;&nbsp;d)If the Agent receives notice from a Party referring to this Agreement, describing a Default and stating that the circumstance described is a Default, it shall promptly notify the other Finance Parties.

&nbsp;&nbsp;&nbsp;&nbsp;e)If the Agent is aware of the non-payment of any principal, interest, commitment fee or other fee payable to a Finance Party (other than the Agent or the Arranger) under this Agreement, it shall promptly notify the other Finance Parties.

&nbsp;&nbsp;&nbsp;&nbsp;f)The Agent shall have only those duties, obligations and responsibilities expressly specified in the Finance Documents to which it is expressed to be a party (and no others shall be implied).

&nbsp;&nbsp;&nbsp;&nbsp;26.4Role of the Arranger

Except as specifically provided in the Finance Documents, the Arranger has no obligations of any kind to any other Party under or in connection with any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;26.5Role of the Security Agent

The Security Agent shall not be (except as expressly provided in any Finance Document) a trustee of any Finance Party under or in connection with any Finance Document.

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&nbsp;&nbsp;&nbsp;&nbsp;g)The Security Agent shall hold the benefit of the Security Documents for itself and as agent on behalf of the other Finance Parties and will apply all payments and other benefits received by it under the Security Documents in accordance with the provisions of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;26.6No fiduciary duties

&nbsp;&nbsp;&nbsp;&nbsp;a)Nothing in any Finance Document constitutes the Agent, the Security Agent (except as expressly provided in any Finance Document) or the Arranger as a trustee or fiduciary of any other person.

&nbsp;&nbsp;&nbsp;&nbsp;b)None of the Agent, the Security Agent nor the Arranger shall be bound to account to any Lender for any sum or the profit element of any sum received by it for its own account.

&nbsp;&nbsp;&nbsp;&nbsp;26.7Rights and discretions

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent and the Security Agent may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)rely on any representation, communication, notice or document believed by it to be genuine, correct and appropriately authorised;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)assume that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any instructions received by it from the Majority Lenders, any Lenders or any group of Lenders are duly given in accordance with the terms of the Finance Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)unless it has received notice of revocation, that those instructions have not been revoked; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)rely on a certificate from any person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)as to any matter of fact or circumstance which might reasonably be expected to be within the knowledge of that person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)to the effect that such person approves of any particular dealing, transaction, step, action or thing,

as sufficient evidence that that is the case and, in the case of paragraph (A) above, may assume the truth and accuracy of that certificate.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent and the Security Agent may assume (unless it has received notice to the contrary in its capacity as agent for the Lenders) that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)no Default has occurred (unless it has actual knowledge of a Default arising under Clause

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;24.1 (*Non-payment*));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any right, power, authority or discretion vested in any Party or any group of Lenders has not been exercised; and

any notice or request made by the Borrower (other than a Drawdown Notice or Selection Notice) is made on behalf of and with the consent and knowledge of all the Obligors.

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&nbsp;&nbsp;&nbsp;&nbsp;c)The Agent and/or Security Agent may engage and pay for the advice or services of any lawyers, accountants, tax advisers, surveyors or other professional advisers or experts.

&nbsp;&nbsp;&nbsp;&nbsp;d)Without prejudice to the generality of paragraph c) above or paragraph e) below, the Agent and/or the Security Agent may at any time engage and pay for the services of any lawyers to act as independent counsel to the Agent (and so separate from any lawyers instructed by the Lenders) if the Agent in its reasonable opinion deems this to be necessary.

&nbsp;&nbsp;&nbsp;&nbsp;e)The Agent and the Security Agent may rely on the advice or services of any lawyers, accountants, tax advisers, surveyors or other professional advisers or experts (whether obtained by the Agent and/or the Security Agent or by any other Party) and shall not be liable for any damages, costs or losses to any person, any diminution in value or any liability whatsoever arising as a result of its so relying.

&nbsp;&nbsp;&nbsp;&nbsp;f)The Agent and the Security Agent may act in relation to the Finance Documents through its officers, employees and agents.

&nbsp;&nbsp;&nbsp;&nbsp;g)Unless a Finance Document expressly provides otherwise the Agent may disclose to any other Party any information it reasonably believes it has received as agent under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;h)Notwithstanding any other provision of any Finance Document to the contrary, neither the Agent, the Security Agent nor the Arranger is obliged to do or omit to do anything if it would, or might in its reasonable opinion, constitute a breach of any law or regulation or a breach of a fiduciary duty or duty of confidentiality.

&nbsp;&nbsp;&nbsp;&nbsp;i)Notwithstanding any provision of any Finance Document to the contrary, the Agent and the Security Agent is not obliged to expend or risk its own funds or otherwise incur any financial liability in the performance of its duties, obligations or responsibilities or the exercise of any right, power, authority or discretion if it has grounds for believing the repayment of such funds or adequate indemnity against, or security for, such risk or liability is not reasonably assured to it

&nbsp;&nbsp;&nbsp;&nbsp;26.8Responsibility for documentation

Neither the Agent, the Security Agent nor the Arranger is responsible or liable for:

&nbsp;&nbsp;&nbsp;&nbsp;a)the adequacy, accuracy or completeness of any information (whether oral or written) supplied by the Agent, the Arranger, the Obligors or any other person in or in connection with any Finance Document or the transactions contemplated in the Finance Documents or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document;

&nbsp;&nbsp;&nbsp;&nbsp;b)the legality, validity, effectiveness, adequacy or enforceability of any Finance Document or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document; or

any determination as to whether any information provided or to be provided to any Finance Party is non-public information the use of which may be regulated or prohibited by applicable law or regulation relating to insider dealing or otherwise.

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&nbsp;&nbsp;&nbsp;&nbsp;26.9No duty to monitor

Neither the Agent not the Security Agent shall not be bound to enquire:

&nbsp;&nbsp;&nbsp;&nbsp;a)whether or not any Default has occurred;

&nbsp;&nbsp;&nbsp;&nbsp;b)as to the performance, default or any breach by any Party of its obligations under any Finance Document; or

&nbsp;&nbsp;&nbsp;&nbsp;c)whether any other event specified in any Finance Document has occurred

&nbsp;&nbsp;&nbsp;&nbsp;26.10Exclusion of liability

&nbsp;&nbsp;&nbsp;&nbsp;a)Without limiting paragraph b) below (and without prejudice to any other provision of any Finance Document excluding or limiting the liability of the Agent and the Security Agent), the Agent and the Security Agent will not be liable for:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any damages, costs or losses to any person, any diminution in value, or any liability whatsoever arising as a result of taking or not taking any action under or in connection with any Finance Document, unless directly caused by its gross negligence or wilful misconduct;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)exercising, or not exercising, any right, power, authority or discretion given to it by, or in connection with, any Finance Document or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with, any Finance Document, other than by reason of its gross negligence or wilful misconduct; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)without prejudice to the generality of paragraphs (i) and (ii) above, any damages, costs or losses to any person, any diminution in value or any liability whatsoever (including, without limitation, for negligence or any other category of liability whatsoever but not including any claim based on the fraud of the Agent or the Security Agent) arising as a result of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)any act, event or circumstance not reasonably within its control; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)the general risks of investment in, or the holding of assets in, any jurisdiction,

including (in each case and without limitation) such damages, costs, losses, diminution in value or liability arising as a result of: nationalisation, expropriation or other governmental actions; any regulation, currency restriction, devaluation or fluctuation; market conditions affecting the execution or settlement of transactions or the value of assets (including any Disruption Event); breakdown, failure or malfunction of any third party transport, telecommunications, computer services or systems; natural disasters or acts of God; war, terrorism, insurrection or revolution; or strikes or industrial action.

No Party (other than the Agent or Security Agent) may take any proceedings against any officer, employee or agent of the Agent or Security Agent in respect of any claim it might have against the Agent or the Security Agent or in respect of any act or omission of any kind by that officer, employee

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or agent in relation to any Finance Document and any officer, employee or agent of the Agent or the Security Agent may rely on this Clause.

&nbsp;&nbsp;&nbsp;&nbsp;b)Neither the Agent nor the Security Agent will not be liable for any delay (or any related consequences) in crediting an account with an amount required under the Finance Documents to be paid by it if it has taken all necessary steps as soon as reasonably practicable to comply with the regulations or operating procedures of any recognised clearing or settlement system used by it for that purpose.

&nbsp;&nbsp;&nbsp;&nbsp;c)Nothing in this Agreement shall oblige the Agent, the Security Agent or the Arranger to carry out:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any "know your customer" or other checks in relation to any person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any check on the extent to which any transaction contemplated by this Agreement might be unlawful for any Lender,

on behalf of any Lender and each Lender confirms to the Agent, the Security Agent and the Arranger that it is solely responsible for any such checks it is required to carry out and that it may not rely on any statement in relation to such checks made by the Agent, the Security Agent or the Arranger.

&nbsp;&nbsp;&nbsp;&nbsp;d)Without prejudice to any provision of any Finance Document excluding or limiting the Agent's liability, any liability of the Agent or the Security Agent arising under or in connection with any Finance Document shall be limited to the amount of actual loss which has been suffered (as determined by reference to the date of default of the Agent and the Security Agent or, if later, the date on which the loss arises as a result of such default) but without reference to any special conditions or circumstances known to the Agent and the Security Agent at any time which increase the amount of that loss. In no event shall the Agent or Security Agent be liable for any loss of profits, goodwill, reputation, business opportunity or anticipated saving, or for special, punitive, indirect or consequential damages, whether or not the Agent or Security Agent has been advised of the possibility of such loss or damages.

&nbsp;&nbsp;&nbsp;&nbsp;26.11Lenders' indemnity to the Agent and Finance Parties' indemnity to the Security Agent

&nbsp;&nbsp;&nbsp;&nbsp;a)Each Lender shall (in proportion to its share of the Total Commitments or, if the Total Commitments are then zero, to its share of the Total Commitments immediately prior to their reduction to zero) indemnify the Agent, within three (3) Business Days of demand, against any cost, loss or liability (including, without limitation, for negligence or any other category of liability whatsoever) incurred by the Agent (otherwise than by reason of the Agent's gross negligence or wilful misconduct, in acting as Agent under the Finance Documents (unless the Agent has been reimbursed by the Obligors pursuant to a Finance Document).

Each other Finance Party shall (in proportion to its share of all amounts outstanding and/or available for drawing under the Finance Documents) indemnify the Security Agent, within three (3) Business Days of demand, against any cost, loss or liability incurred by the Security Agent (otherwise than by reason of the Security Agent's gross negligence or wilful misconduct) in acting as Security Agent under the Finance Documents (unless it has been reimbursed by the Obligors pursuant to a Finance Document).

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&nbsp;&nbsp;&nbsp;&nbsp;26.12Resignation of the Agent or the Security Agent

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent or the Security Agent may resign and appoint one of its Affiliates as successor by giving notice to the Lenders and the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;b)Alternatively, the Agent or the Security Agent may resign by giving thirty (30) days' notice to the Lenders and the Borrower, in which case the Majority Lenders (after consultation with the Borrower) may appoint a successor Agent, or as the case may be, a successor Security Agent.

&nbsp;&nbsp;&nbsp;&nbsp;c)If the Majority Lenders have not appointed a successor Agent or as the case may be, a successor Security Agent in accordance with paragraph b) above within twenty (20) days after notice of resignation was given, the retiring Agent or Security Agent (after consultation with the Borrower) may appoint a successor Agent or as the case may be, a successor Security Agent.

&nbsp;&nbsp;&nbsp;&nbsp;d)The retiring Agent shall, or, as the case may be, the Security Agent make available to the successor Agent, or, as the case may be, the successor Security Agent such documents and records and provide such assistance as the successor Agent or, as the case may be, the successor Security Agent may reasonably request for the purposes of performing its functions under the Finance Documents. The Borrower shall, within three Business Days of demand, reimburse the retiring Agent for the amount of all costs and expenses (including legal fees) properly incurred by it in making available such documents and records and providing such assistance.

&nbsp;&nbsp;&nbsp;&nbsp;e)The Agent's, or, as the case may be, the Security Agent's, resignation notice shall only take effect upon the appointment of a successor.

&nbsp;&nbsp;&nbsp;&nbsp;f)Upon the appointment of a successor, the retiring Agent or Security Agent shall be discharged from any further obligation in respect of the Finance Documents (other than its obligations under paragraph e) above) but shall remain entitled to the benefit of Clause 14.4 (*Indemnity to the Agent*), Clause 14.5 (*Indemnity to the Security Agent*) and this Clause 26 (and any agency fees for the account of the retiring Agent shall cease to accrue from (and shall be payable on) that date). Any successor and each of the other Parties shall have the same rights and obligations amongst themselves as they would have had if such successor had been an original Party.

&nbsp;&nbsp;&nbsp;&nbsp;g)After consultation with the Borrower, the Majority Lenders may, by notice to the Agent, require it to resign in accordance with paragraph b) above. In this event, the Agent shall resign in accordance with paragraph b) above.

&nbsp;&nbsp;&nbsp;&nbsp;h)The Agent shall resign in accordance with paragraph b) above (and, to the extent applicable, shall use reasonable endeavours to appoint a successor Agent pursuant to paragraph c) above) if on or after the date which is three (3) months before the earliest FATCA Application Date relating to any payment to the Agent under the Finance Documents, either:

the Agent fails to respond to a request under Clause 12.7 (*FATCA Information*) and the Borrower or a Lender reasonably believes that the Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the information supplied by the Agent pursuant to Clause 12.7 (*FATCA Information*) indicates that the Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Agent notifies the Borrower and the Lenders that the Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date;

and (in each case) the Borrower or a Lender reasonably believes that a Party will be required to make a FATCA Deduction that would not be required if the Agent were a FATCA Exempt Party, and the Borrower or that Lender, by notice to the Agent, requires it to resign.

&nbsp;&nbsp;&nbsp;&nbsp;26.13Confidentiality

&nbsp;&nbsp;&nbsp;&nbsp;a)In acting as agent for the Finance Parties, the Agent shall be regarded as acting through its agency division which shall be treated as a separate entity from any other of its divisions or departments.

&nbsp;&nbsp;&nbsp;&nbsp;b)If information is received by another division or department of the Agent, it may be treated as confidential to that division or department and the Agent shall not be deemed to have notice of it.

&nbsp;&nbsp;&nbsp;&nbsp;26.14Relationship with the Lenders

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent may treat the person shown in its records as Lender at the opening of business (in the place of the Agent's principal office as notified to the Finance Parties from time to time) as the Lender:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)entitled to or liable for any payment due under any Finance Document on that day; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)entitled to receive and act upon any notice, request, document or communication or make any decision or determination under any Finance Document made or delivered on that day,

unless it has received not less than five (5) Business Days' prior notice from that Lender to the contrary in accordance with the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;b)Any Lender may by notice to the Agent appoint a person to receive on its behalf all notices, communications, information and documents to be made or despatched to that Lender under the Finance Documents. Such notice shall contain the address and e-mail address and/or any other information required to enable the transmission of information by that means (and, in each case, the department or officer, if any, for whose attention communication is to be made) and be treated as a notification of a substitute address, e-mail address (or such other information), department and officer by that Lender for the purposes of Clause 31.2 (*Addresses*) and the Agent shall be entitled to treat such person as the person entitled to receive all such notices, communications, information and documents as though that person were that Lender.

&nbsp;&nbsp;&nbsp;&nbsp;26.15Credit appraisal by the Lenders

Without affecting the responsibility of each Obligor for information supplied by it or on its behalf in connection with any Finance Document, each Lender confirms to the Agent and the Arranger that it has been, and will continue to be, solely responsible for making its own independent appraisal and investigation of all risks arising under or in connection with any Finance Document including but not limited to:

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&nbsp;&nbsp;&nbsp;&nbsp;a)the financial condition, status and nature of the Obligors;

&nbsp;&nbsp;&nbsp;&nbsp;b)the legality, validity, effectiveness, adequacy or enforceability of any Finance Document and any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document;

&nbsp;&nbsp;&nbsp;&nbsp;c)whether that Lender has recourse, and the nature and extent of that recourse, against any Party or any of its respective assets under or in connection with any Finance Document, the transactions contemplated by the Finance Documents or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document; and

&nbsp;&nbsp;&nbsp;&nbsp;d)the adequacy, accuracy or completeness of any information provided by the Agent, any Party or by any other person under or in connection with any Finance Document, the transactions contemplated by any Finance Document or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Finance Document.

&nbsp;&nbsp;&nbsp;&nbsp;26.16Agent's and Security Agent's management time

Any amount payable to the Agent or the Security Agent under Clause 14.4 (*Indemnity to the Agent*), Clause 14.5 (*Indemnity to the Security Agent*) and Clause 16 (*Costs and expenses*) shall include the cost of utilising the Agent's or the Security Agent's management time or other resources and will be calculated on the basis of such reasonable daily or hourly rates as the Agent or the Security Agent may notify to the Borrower and the Lenders, and is in addition to any fee paid or payable to the Agent or the Security Agent under Clause 11 (*Fees*).

&nbsp;&nbsp;&nbsp;&nbsp;26.17Deduction from amounts payable by the Agent or the Security Agent

If any Party owes an amount to the Agent or the Security Agent under the Finance Documents the Agent or the Security Agent may, after giving notice to that Party, deduct an amount not exceeding that amount from any payment to that Party which the Agent or the Security Agent (as the case may be) would otherwise be obliged to make under the Finance Documents and apply the amount deducted in or towards satisfaction of the amount owed. For the purposes of the Finance Documents that Party shall be regarded as having received any amount so deducted.

&nbsp;&nbsp;&nbsp;&nbsp;26.18No responsibility to perfect Security Interest

Neither the Agent nor the Security Agent shall be liable for any failure to:

&nbsp;&nbsp;&nbsp;&nbsp;a)require the deposit with it of any deed or document certifying, representing or constituting the title of any Obligor to any of the assets subject to or intended to be subject to the Security Interest under the Security Documents;

&nbsp;&nbsp;&nbsp;&nbsp;b)obtain any licence, consent or other authority for the execution, delivery, legality, validity, enforceability or admissibility in evidence of any Finance Document or the Security Interest;

register, file or record or otherwise protect any of the Security Interest under the Security Documents (or the priority of any of those Security Interest) under any law or regulation or to give notice to any person of the execution of any Finance Document or of the Security Interest under the Security Documents;

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&nbsp;&nbsp;&nbsp;&nbsp;c)take, or to require any Obligor to take, any step to perfect its title to any of the assets subject to or intended to be subject to the Security Interest under the Security Documents or to render those Security Interest effective or to secure the creation of any ancillary Security Interest under any law or regulation; or

&nbsp;&nbsp;&nbsp;&nbsp;d)require any further assurance in relation to any Security Document.

27CONDUCT OF BUSINESS OF THE FINANCE PARTIES

No provision of this Agreement will:

&nbsp;&nbsp;&nbsp;&nbsp;a)interfere with the right of any Finance Party to arrange its affairs (tax or otherwise) in whatever manner it thinks fit;

&nbsp;&nbsp;&nbsp;&nbsp;b)oblige any Finance Party to investigate or claim any credit, relief, remission or repayment available to it or to the extent, order or manner of any claim; or

&nbsp;&nbsp;&nbsp;&nbsp;c)oblige any Finance Party to disclose any information relating to its affairs (tax or otherwise) or any computations in respect of Tax.

28SHARING AMONG THE FINANCE PARTIES

&nbsp;&nbsp;&nbsp;&nbsp;28.1Payment to Finance Parties

If a Finance Party (a "Recovering Finance Party") receives or recovers any amount from an Obligor other than in accordance with Clause 29 (*Payment mechanics*) (a "Recovered Amount") and applies that amount to a payment due under the Finance Documents (other than Hedging Agreements) then:

&nbsp;&nbsp;&nbsp;&nbsp;a)the Recovering Finance Party shall promptly, within three (3) Business Days, notify details of the receipt or recovery to the Agent;

&nbsp;&nbsp;&nbsp;&nbsp;b)the Agent shall determine whether the receipt or recovery is in excess of the amount the Recovering Finance Party would have been paid had the receipt or recovery been received by or made by the Agent and distributed in accordance with Clause 29 (*Payment mechanics*), without taking account of Tax which would be imposed on the Agent in relation to the receipt, recovery or distribution; and

&nbsp;&nbsp;&nbsp;&nbsp;c)the Recovering Finance Party shall, within three (3) Business Days of demand by the Agent, pay to the Agent an amount (the "Sharing Payment") equal to such receipt or recovery less any amount which the Agent determines may be retained by the Recovering Finance Party as its share of any payment to be made, in accordance with Clause 29.6 (*Partial payments*).

&nbsp;&nbsp;&nbsp;&nbsp;28.2Redistribution of payments

The Agent shall treat the Sharing Payment as if it had been paid by the relevant Obligor and distribute it between the Finance Parties (other than the Recovering Finance Party) (the "Sharing Finance Parties") in accordance with Clause 29.6 (*Partial payments*) towards the obligations of that Obligor to the Sharing Finance Parties.

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&nbsp;&nbsp;&nbsp;&nbsp;28.3Recovering Finance Party's rights

On a distribution by the Agent under Clause 28.2 (*Redistribution of payments*), of a payment received by a Recovering Finance Party from an Obligor, as between the relevant Obligor and the Recovering Finance Party, an amount of the Recovered Amount equal to the Sharing Payment will be treated as not having been paid by that Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;28.4Reversal of redistribution

If any part of the Sharing Payment received or recovered by a Recovering Finance Party becomes repayable and is repaid by that Recovering Finance Party, then:

&nbsp;&nbsp;&nbsp;&nbsp;a)each Sharing Finance Party shall, upon request of the Agent, pay to the Agent for the account of that Recovering Finance Party an amount equal to the appropriate part of its share of the Sharing Payment (together with an amount as is necessary to reimburse that Recovering Finance Party for its proportion of any interest on the Sharing Payment which that Recovering Finance Party is required to pay) (the "Redistributed Amount"); and

&nbsp;&nbsp;&nbsp;&nbsp;b)as between the relevant Obligor and each relevant Sharing Finance Party, an amount equal to the relevant Redistributed Amount will treated as not having been paid by that Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;28.5Exceptions

&nbsp;&nbsp;&nbsp;&nbsp;a)This Clause 28 shall not apply to the extent that the Recovering Finance Party would not, after making any payment pursuant to this Clause, have a valid and enforceable claim against the relevant Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;b)A Recovering Finance Party is not obliged to share with any other Finance Party any amount which the Recovering Finance Party has received or recovered as a result of taking legal or arbitration proceedings, if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)it notified that other Finance Party of the legal or arbitration proceedings; and

that other Finance Party had an opportunity to participate in those legal or arbitration proceedings but did not do so as reasonably practicable having received notice and did not take separate legal or arbitration proceedings.

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SECTION 11 ADMINISTRATION

29PAYMENT MECHANICS

&nbsp;&nbsp;&nbsp;&nbsp;29.1Payments to the Agent

All payments by an Obligor or a Lender under the Finance Documents (other than Hedging Agreements, save in connection with the realisation or enforcement of any Security Documents) shall be made:

&nbsp;&nbsp;&nbsp;&nbsp;a)to the Agent to its account with such office or bank as the Agent may from time to time designate in writing to the Obligor or a Lender for this purpose; and

&nbsp;&nbsp;&nbsp;&nbsp;b)for value on the due date at such times and in such funds as the Agent may specify to the Party concerned as being customary at the time for settlement of transactions in the relevant currency in the place of payment.

&nbsp;&nbsp;&nbsp;&nbsp;29.2Distributions by the Agent

Each payment received by the Agent under the Finance Documents for another Party shall, subject to Clause

&nbsp;&nbsp;&nbsp;&nbsp;29.4 (*Distributions to the Obligors*), 29.5 (*Clawback*) and 29.10 (*Payments to the Security Agent*), be made available by the Agent as soon as practicable after receipt to the Party entitled to receive payment in accordance with this Agreement, to such account as that Party may notify to the Agent by not less than five (5) Business Days' notice.

&nbsp;&nbsp;&nbsp;&nbsp;29.3Amounts paid in error

&nbsp;&nbsp;&nbsp;&nbsp;a)If the Agent pays an amount to another Party and within 15 Business Days of the date of payment the Agent notifies that Party that such payment was an Erroneous Payment then the Party to whom that amount was paid by the Agent shall on demand refund the same to the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;b)Neither:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the obligations of any Party to the Agent; nor

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the remedies of the Agent,

(whether arising under this Clause 29.3 or otherwise) which relate to an Erroneous Payment will be affected by any act, omission, matter or thing which, but for this paragraph b), would reduce, release or prejudice any such obligation or remedy (whether or not known by the Agent or any other Party).

&nbsp;&nbsp;&nbsp;&nbsp;c)All payments to be made by a Party to the Agent (whether made pursuant to this Clause 29.3 or otherwise) which relate to an Erroneous Payment shall be calculated and be made without (and free and clear of any deduction for) set-off or counterclaim.

In this Agreement, "Erroneous Payment" means a payment of an amount by the Agent to another Party which the Agent determines (in its sole discretion) was made in error.

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&nbsp;&nbsp;&nbsp;&nbsp;29.4Distributions to an Obligor

The Agent may (with the consent of the Obligor or in accordance with Clause 30 (*Set-off*)), apply any amount received by it for that Obligor in or towards payment (on the date and in the currency and funds of receipt) of any amount due from that Obligor under the Finance Documents or in or towards purchase of any amount of currency to be so applied.

&nbsp;&nbsp;&nbsp;&nbsp;29.5Clawback and pre-funding

&nbsp;&nbsp;&nbsp;&nbsp;a)Where a sum is to be paid to the Agent under the Finance Documents for another Party, the Agent is not obliged to pay that sum to that other Party (or to enter into or perform any related exchange contract) until it has been able to establish to its satisfaction that it has actually received that sum.

&nbsp;&nbsp;&nbsp;&nbsp;b)Unless paragraph c) below applies, if the Agent pays an amount to another Party and it proves to be the case that the Agent had not actually received that amount, then the Party to whom that amount (or the proceeds of any related exchange contract) was paid by the Agent shall on demand refund the same amount to the Agent together with interest on that amount from the date of payment to the date of receipt by the Agent, calculated by the Agent to reflect its cost of funds.

&nbsp;&nbsp;&nbsp;&nbsp;c)If the Agent has notified the Lenders that it is willing to make available amounts for the account of the Borrower before receiving funds from the Lenders, then if and to the extent that the Agent does so but it proves to be the case that it does not then receive funds from a Lender in respect of a sum which it paid to the Borrower:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Agent shall notify the Borrower of that Lender's identity and the Borrower shall on demand refund it to the Agent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Lender by whom those funds should have been made available or, if that Lender fails to do so, the Borrower shall on demand pay to the Agent the amount (as certified by the Agent) which will indemnify the Agent against any funding cost incurred by it as a result of paying out that sum before receiving those funds from that Lender.

&nbsp;&nbsp;&nbsp;&nbsp;29.6Partial payments

&nbsp;&nbsp;&nbsp;&nbsp;a)![image_21.jpg](image_21.jpg)If the Agent (or the Security Agent, as applicable) receives a payment or an amount is recovered by the Security Agent pursuant to the terms of any Security Document in connection with the realisation or enforcement of all or any part of the Security Interest that is insufficient to discharge all the amounts then due and payable by an Obligor under the Finance Documents, the Agent shall apply that payment towards the obligations of that Obligor under the Finance Documents in the following order:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)<u>firstly</u>, in or towards payment *pro rata* of any unpaid fees, costs and expenses of the Agent and the Security Agent under the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)<u>secondly</u>, in or towards payment *pro rata* of any accrued interest (including default interest), fee or commissions due but unpaid under this Agreement;

<u>thirdly</u>, in or towards payment *pro rata* of any principal due but unpaid under this Agreement; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)<u>fourthly</u>, in or towards payment *pro rata* of any other sum due but unpaid under the Finance Documents (excluding the Hedging Agreements); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)<u>fifthly,</u> in or towards payment *pro rata* of any other sum due but unpaid under the Hedging Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent shall, if so directed by the Lenders, vary the order set out in paragraphs (ii) to (v) above.

&nbsp;&nbsp;&nbsp;&nbsp;c)This Clause 29.6 will override any appropriation made by an Obligor.

&nbsp;&nbsp;&nbsp;&nbsp;29.7No set-off by the Obligors

All payments to be made by an Obligor under the Finance Documents (save as may otherwise be allowed under Hedging Agreements) shall be calculated and be made without (and free and clear of any deduction for) set-off or counterclaim.

&nbsp;&nbsp;&nbsp;&nbsp;29.8Business Days

&nbsp;&nbsp;&nbsp;&nbsp;a)Any payment under the Finance Documents (other than the Hedging Agreements) which is due to be made on a day that is not a Business Day shall be made on the next Business Day in the same calendar month (if there is one) or the preceding Business Day (if there is not).

&nbsp;&nbsp;&nbsp;&nbsp;b)During any extension of the due date for payment of any principal or Unpaid Sum under this Agreement interest is payable on the principal or Unpaid Sum at the rate payable on the original due date.

&nbsp;&nbsp;&nbsp;&nbsp;29.9Currency of account

The Obligors shall pay:

&nbsp;&nbsp;&nbsp;&nbsp;a)any amount payable under the Finance Documents (other than the Hedging Agreements), except as otherwise provided for herein, in USD; and

&nbsp;&nbsp;&nbsp;&nbsp;b)all payments of costs and Taxes in the currency in which the same were incurred.

&nbsp;&nbsp;&nbsp;&nbsp;29.10Payments to the Security Agent

&nbsp;&nbsp;&nbsp;&nbsp;a)any Obligor to pay all sums due under any Finance Document; or

&nbsp;&nbsp;&nbsp;&nbsp;b)the Agent to pay all sums received or recovered from an Obligor under any Finance Document,

in each case as the Security Agent may direct for application in accordance with the terms of the relevant Security Document.

30SET-OFF

A Finance Party may, to the extent permitted by applicable law, set off any obligation due from an Obligor under the Finance Documents (to the extent beneficially owned by that Finance Party) against any obligations owed by that Finance Party to that Obligor, regardless of the place of payment,

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booking branch or currency of either obligation. If the obligations are in different currencies, the Finance Party may convert either obligation at a market rate of exchange in its usual course of business for the purpose of the set-off.

&nbsp;&nbsp;&nbsp;&nbsp;c)The provisions in a) above does not apply to Hedging Agreements, as specific set-off provisions will be set out therein.

31NOTICES

&nbsp;&nbsp;&nbsp;&nbsp;31.1Communication in writing

&nbsp;&nbsp;&nbsp;&nbsp;a)Any communication to be made under or in connection with the Finance Documents shall be made in writing and, unless otherwise stated, may be made by e-mail or letter.

&nbsp;&nbsp;&nbsp;&nbsp;b)Any such notice or communication addressed as provided in Clause 31.2 (*Addresses*) will be deemed to be given or made as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)if by letter, when delivered at the address of the relevant Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if by email, when received in legible form.

&nbsp;&nbsp;&nbsp;&nbsp;c)However, a notice given in accordance with the above but received on a day which is not a Business Day or after 16:00 hours in the place of receipt will only be deemed to be given at 9:00 hours on the next Business Day in that place.

&nbsp;&nbsp;&nbsp;&nbsp;d)Any communication or document to be made or delivered to the Agent will be effective only when actually received by the Agent and then only if it is expressly marked for the attention of the department or officer identified with the Agent's signature below (or any substitute department or officer as the Agent shall specify for this purpose).

&nbsp;&nbsp;&nbsp;&nbsp;31.2Addresses

Any communication or document to be made under or in connection with the Finance Documents shall be made or delivered to the address and email address of each Party and marked for the attention of the department or persons set out below and, in case of any New Lender, to the address notified to the Agent:

If to the Agent or the Security Agent:

![image_25.jpg](image_25.jpg)![image_23.jpg](image_23.jpg)![image_24.jpg](image_24.jpg)

For credit and documentation matters:

![image_25.jpg](image_25.jpg)![image_23.jpg](image_23.jpg)![image_27.jpg](image_27.jpg)![image_28.jpg](image_28.jpg)

For loan operations matters:

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![image_25.jpg](image_25.jpg)

![image_23.jpg](image_23.jpg)![image_31.jpg](image_31.jpg)![image_32.jpg](image_32.jpg)

If to any of the Obligors:

FLEX LNG MANAGEMENT AS

Bryggegata 3

0250 Oslo, Norway

Att: Chief Financial Officer

E-mail: finance@flexlng.com

or any substitute address and/or email address and/or marked for such other attention as the Party may notify to the other Agent (or the Agent may notify the other Parties if a change is made by the Agent) by not less than five (5) Business Days' prior notice.

&nbsp;&nbsp;&nbsp;&nbsp;31.3Communication with the Obligors

All communication from or to an Obligor shall be sent through the Agent.

&nbsp;&nbsp;&nbsp;&nbsp;31.4Language

Communication to be given by one Party to another under the Finance Documents shall be given in the English language or, if not in English and if so required by the Agent, be accompanied by a certified English translation and, in this case, the English translation shall prevail unless the document is a statutory or other official document.

32CALCULATIONS AND CERTIFICATES

&nbsp;&nbsp;&nbsp;&nbsp;32.1Certificates and Determinations

Any certification or determination by a Finance Party of a rate or amount under any Finance Document is, in the absence of manifest error, conclusive evidence of the matters to which it relates.

&nbsp;&nbsp;&nbsp;&nbsp;32.2Day count convention

&nbsp;&nbsp;&nbsp;&nbsp;a)Any interest, commission or fee accruing under a Finance Document will accrue from day-to-day and the amount of any such interest, commission or fee is calculated:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)on the basis of the actual number of days elapsed and a year of 360 days (or, in any case where the practice in the Relevant Market differs, in accordance with that market practice); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)subject to paragraph b) below, without rounding.

&nbsp;&nbsp;&nbsp;&nbsp;b)The aggregate amount of any accrued interest, commission or fee which is, or becomes, payable by an Obligor under a Finance Document shall be rounded to 2 decimal places.

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33PARTIAL INVALIDITY

If, at any time, any provision of a Finance Document is or becomes illegal, invalid or unenforceable in any respect under any law of any jurisdiction, neither the legality, validity or enforceability of the remaining provisions nor the legality, validity or enforceability of such provisions under any law of any other jurisdiction will in any way be affected or impaired. This provision does not apply to Hedging Agreements, as the specific provisions set out therein will apply.

34REMEDIES AND WAIVERS

No failure to exercise, nor any delay in exercising on the part of any Finance Party, any right or remedy under the Finance Documents shall operate as a waiver, of any such right or remedy any of the Finance Documents. No single or partial exercise of any other right or remedy shall prevent any further or other exercise of any other right or remedy. The rights and remedies provided in each Finance Document are cumulative and not exclusive of any rights or remedies provided by law. This provision does not apply to Hedging Agreements, as the specific provisions set out therein will apply.

35AMENDMENTS AND WAIVERS

&nbsp;&nbsp;&nbsp;&nbsp;35.1Required consents

&nbsp;&nbsp;&nbsp;&nbsp;a)Subject to Clause 35.2 (*All Lender matters*) and 35.3 (*Other exceptions*), any term of the Finance Documents may be amended or waived only with the consent of the Majority Lenders and the Obligors and any such amendment will be binding on all Parties.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent may effect, on behalf of any Finance Party, any amendment or waiver permitted by this Clause.

&nbsp;&nbsp;&nbsp;&nbsp;35.2All Lender matters

An amendment to or waiver of any term of any Finance Document that has the effect of changing or which relates to:

&nbsp;&nbsp;&nbsp;&nbsp;a)the definition of "Majority Lenders" in Clause 1.1 (*Definitions*);

&nbsp;&nbsp;&nbsp;&nbsp;b)an extension of the date of any payment of any amount under the Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;c)a reduction in Margin or a reduction in the amount of any payment of principal, interest, fees or commission payable;

&nbsp;&nbsp;&nbsp;&nbsp;d)an increase in or extension of any Commitment or an extension of the Availability Period or any requirement that a cancellation of Commitments reduces the Commitments of the Lenders rateably under the Facility;

&nbsp;&nbsp;&nbsp;&nbsp;e)a term of the Finance Documents which expressly requires the consent of all the Lenders;

&nbsp;&nbsp;&nbsp;&nbsp;f)a proposed substitution or replacement of the Borrower or a Guarantor;

the definitions of "Restricted Party", "Sanctions", "Sanctions Authority" or "Sanctions List", any Clause in which such term is used in this Agreement, or any other provision or other matters relating to

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Sanctions, including without limitation 7.3 (*Mandatory prepayment – Illegality*), 19.24 (*Sanctions*) and Clause 22.22 (*Sanctions*).

&nbsp;&nbsp;&nbsp;&nbsp;g)the release of any guarantee and indemnity granted under Clause 17 (*Guarantee and indemnity*) or of any Security Interest granted under any of the Security Documents unless permitted under this Agreement or any other Finance Document or relating to a sale or disposal of an asset which is the subject to Security Interest where such sale or disposal is expressly permitted under this Agreement or any other Finance Document; or

&nbsp;&nbsp;&nbsp;&nbsp;h)Clauses 2.2 (*Finance party's rights and obligations*), 7.3 (*Mandatory prepayment – Illegality*) 18 (*Security*), 25 (*Changes to the Parties*), 28 (*Sharing among the Finance Parties*), 29.6 (*Partial payments*), this Clause 35.2, Clause 40.1 (*Governing law*) and 40.2 (*Jurisdiction*),

shall not be made without the prior written consent of all the Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;35.3Other exceptions

An amendment or waiver which relates to the rights or obligations of the Agent, the Hedge Provider, the Security Agent or the Arranger (each in their capacity as such) may not be effected without the consent of the Agent, the Hedge Provider, the Security Agent or, as the case may be, the Arranger.

36CONFIDENTIAL INFORMATION

&nbsp;&nbsp;&nbsp;&nbsp;36.1Confidentiality

Each Finance Party agrees to keep all Confidential Information confidential and not to disclose it to anyone, save to the extent permitted by Clause 36.2 (*Disclosure of Confidential Information*), and to ensure that all Confidential Information is protected with security measures and a degree of care that would apply to its own confidential information. This Clause 36 (*Confidential information*) does not apply to Hedging Agreements, as the specific provisions set out therein will apply.

&nbsp;&nbsp;&nbsp;&nbsp;36.2Disclosure of Confidential Information

&nbsp;&nbsp;&nbsp;&nbsp;a)Any Finance Party may disclose to any of its Affiliates and any of its or their officers, directors, employees, professional advisers, auditors, partners, insurance and reinsurance brokers, insurers and reinsurers and representatives such Confidential Information as that Finance Party shall consider appropriate if any person to whom the Confidential Information is to be given pursuant to this paragraph a) is informed in writing of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of the information or is otherwise bound by requirements of confidentiality in relation to the Confidential Information;

&nbsp;&nbsp;&nbsp;&nbsp;b)Any Finance Party and any of that Finance Party's Affiliates may disclose to any person:

to (or through) whom it transfers (or may potentially transfer) all or any of its rights and/or obligations under one or more Finance Documents or which succeeds (or which may potentially succeed) it as Agent and, in each case, to any of that person's Affiliates and professional advisers;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)with (or through) whom it enters into (or may potentially enter into), whether directly or indirectly, any sub-participation in relation to, or any other transaction under which payments are to be made or may be made by reference to, one or more Finance Documents and the Borrower and to any of that person's Affiliates and professional advisers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)appointed by any Finance Party or any of that Finance Party's Affiliates or by a person to whom paragraph b)(i) or (ii) above applies to receive communications, notices, information or documents delivered pursuant to the Finance Documents on its behalf (including, without limitation, any person appointed under paragraph c) of Clause 26.14 (*Relationship with the Lenders*));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)appointed by any Finance Party or any of that Finance Party's Affiliates or by a person to whom paragraph (b)(ii) above applies to act as a verification agent in respect of any transaction referred to in paragraph b(ii) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)who invests in or otherwise finances (or may potentially invest in or otherwise finance), directly or indirectly, any transaction referred to in paragraph b)(i) or b)(ii) above;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)to whom information is required or requested to be disclosed by any court of competent jurisdiction or any governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)to whom information is required to be disclosed in connection with, and for the purposes of, any litigation, arbitration, administrative or other investigations, proceedings or disputes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)to whom or for whose benefit that Finance Party charges, assigns or otherwise creates Security Interest (or may do so) pursuant to Clause 25.8 (*Security over Lenders' rights*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)who is a Party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)with the consent of the Borrower;

in each case, such Confidential Information as that Finance Party shall consider appropriate if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A)in relation to paragraphs b)(i), b)(ii), b)(iii) and b)(iv) above, the person to whom the Confidential Information is to be given has entered into a confidentiality undertaking substantially in a recommended form of the Loan Market Association from time to time or in any other form agreed between the Borrower and the relevant Finance Party (a "Confidentiality Undertaking") except that there shall be no requirement for a Confidentiality Undertaking if

the recipient is a professional adviser and is subject to professional obligations to maintain the confidentiality of the Confidential Information or if the recipient is a potential transferee, assignee or sub-participant under the Facility;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B)in relation to paragraph b)(v) above, the person to whom the Confidential Information is to be given has entered into a Confidentiality Undertaking or is otherwise bound by requirements of confidentiality in relation to the Confidential Information they receive and is informed that some or all of such Confidential Information may be price-sensitive information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C)in relation to paragraphs b)(vi), b)(vii) and b)(viii) above, the person to whom the Confidential Information is to be given is informed of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no requirement to so inform if, in the opinion of that Finance Party, it is not practicable so to do in the circumstances; and

&nbsp;&nbsp;&nbsp;&nbsp;c)to any person appointed by that Finance Party or by a person to whom paragraph b)(i) or b)(ii) above applies to provide administration or settlement services in respect of one or more of the Finance Documents including without limitation, in relation to the trading of participations in respect of the Finance Documents, such Confidential Information as may be required to be disclosed to enable such service provider to provide any of the services referred to in this paragraph c) if the service provider to whom the Confidential Information is to be given has entered into a confidentiality agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Borrower and the relevant Finance Party; and

&nbsp;&nbsp;&nbsp;&nbsp;d)to any rating agency (including its professional advisers) such Confidential Information as may be required to be disclosed to enable such rating agency to carry out its normal rating activities in relation to the Finance Documents and/or the Obligors if the rating agency to whom the Confidential Information is to be given is informed of its confidential nature and that some or all of such Confidential Information may be price-sensitive information.

&nbsp;&nbsp;&nbsp;&nbsp;36.3Disclosure to numbering service providers

&nbsp;&nbsp;&nbsp;&nbsp;a)Notwithstanding any other term of any Finance Document or any other agreement between the Parties to the contrary (whether express or implied), any Finance Party may disclose to any national or international numbering service provider appointed by that Finance Party to provide identification numbering services in respect of this Agreement, the Facility and/or one or more Obligors the following information:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)names of Obligors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)country of domicile of Obligors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)place of incorporation of Obligors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)date of the Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)governing law of the Agreement;

names of the Agent and the Arrangers;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)date of each amendment and restatement of the Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)amounts of, and names of, the Facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)amount of Total Commitments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)currencies of the Facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)type of Facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)ranking of the Facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)Final Maturity Date for the Facility;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)changes to any of the information previously supplied pursuant to sub-clauses (i) to (xii) above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)such other information agreed between such Finance Party and the Ultimate Parent,

to enable such numbering service provider to provide its usual syndicated loan numbering identification services.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Parties acknowledge and agree that each identification number assigned to the Agreement, the Facility and/or one or more Obligors by a numbering service provider and the information associated with each such number may be disclosed to users of its services in accordance with the standard terms and conditions of that numbering service provider.

&nbsp;&nbsp;&nbsp;&nbsp;c)Each Obligor represents that none of the information set out in sub-paragraphs (i) to (xiv) of paragraph a) above is, nor will at any time be, unpublished price-sensitive information.

&nbsp;&nbsp;&nbsp;&nbsp;d)The Agent shall notify the Ultimate Parent and the other Finance Parties of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the name of any numbering service provider appointed by the Agent in respect of this Agreement, the Facility and/or one or more Obligors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the number or, as the case may be, numbers assigned to the Agreement, the Facility and/or one or more Obligors by such numbering service provider.

&nbsp;&nbsp;&nbsp;&nbsp;36.4Disclosure to administration/settlement services providers

Notwithstanding any other term of any Finance Document or any other agreement between the Parties to the contrary (whether express or implied), any Finance Party may disclose to any person appointed by:

&nbsp;&nbsp;&nbsp;&nbsp;a)that Finance Party;

a person to (or through) whom that Finance Party assigns or transfers (or may potentially assign or transfer) all or any of its rights and/or obligations under one or more Finance Documents or which succeeds (or which may potentially succeed) it as Agent or Security Agent under the Agreement; and/or

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&nbsp;&nbsp;&nbsp;&nbsp;b)a person with (or through) whom that Finance Party enters into (or may potentially enter into) any sub-participation in relation to, or any other transaction under which payments are to be made, or may be made, by reference to, one or more Finance Documents and/or one or more Obligors,

to provide administration or settlement services in respect of one or more of the Finance Documents including without limitation, in relation to the trading of participations in respect of the Finance Documents, such Confidential Information as may be required to be disclosed to enable such service provider to provide any of the services referred to in this clause 36.4 if the service provider to whom the Confidential Information is to be given has entered into a confidentiality agreement substantially in the form of the LMA Master Confidentiality Undertaking for use with Administration/ Settlement Services Providers or such other form of confidentiality undertaking agreed between the Ultimate Parent and the relevant Finance Party.

&nbsp;&nbsp;&nbsp;&nbsp;36.5Entire agreement

This Clause 36 constitutes the entire agreement between the Parties in relation to the obligations of the Finance Parties under the Finance Documents regarding Confidential Information and supersedes any previous agreement, whether express or implied, regarding Confidential Information.

&nbsp;&nbsp;&nbsp;&nbsp;36.6Inside information

Each of the Finance Parties acknowledges that some or all of the Confidential Information is or may be price-sensitive information and that the use of such information may be regulated or prohibited by applicable legislation including securities law relating to insider dealing and market abuse and each of the Finance Parties undertakes not to use any Confidential Information for any unlawful purpose.

&nbsp;&nbsp;&nbsp;&nbsp;36.7Notification of disclosure

Each of the Finance Parties agrees (to the extent permitted by law and regulation) to inform the Borrower:

&nbsp;&nbsp;&nbsp;&nbsp;a)of the circumstances of any disclosure of Confidential Information made pursuant to paragraph b)(v) of Clause 36.2 (*Disclosure of Confidential Information*), except where such disclosure is made to any of the persons referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and

&nbsp;&nbsp;&nbsp;&nbsp;b)upon becoming aware that Confidential Information has been disclosed in breach of this Clause 36.

&nbsp;&nbsp;&nbsp;&nbsp;36.8Continuing obligations

The obligations in this Clause 36 are continuing and, in particular, shall survive and remain binding on each Finance Party for a period of twelve (12) months from the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;a)the date on which all amounts payable by the Obligors under or in connection with this Agreement have been paid in full and all Commitments have been cancelled or otherwise cease to be available; and

the date on which such Finance Party otherwise ceases to be a Finance Party.

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37CONFIDENTIALITY OF FUNDING RATES

&nbsp;&nbsp;&nbsp;&nbsp;37.1Confidentiality and disclosure

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent and each Obligor agree to keep each Funding Rate confidential and not to disclose it to anyone, save to the extent permitted by paragraphs b) and c) below.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent may disclose:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any Funding Rate to the Borrower pursuant to Clause 8.4 (*Notifications*); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any Funding Rate to any person appointed by it to provide administration services in respect of one or more of the Finance Documents to the extent necessary to enable such service provider to provide those services if the service provider to whom that information is to be given has entered into a confidentiality agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Agent and the relevant Lender.

&nbsp;&nbsp;&nbsp;&nbsp;c)The Agent and each Obligor may disclose any Funding Rate to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)any of its Affiliates and any of its or their officers, directors, employees, professional advisers, auditors, partners and Representatives if any person to whom that Funding Rate is to be given pursuant to this paragraph (i) is informed in writing of its confidential nature and that it may be price-sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of that Funding Rate or is otherwise bound by requirements of confidentiality in relation to it;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)any person to whom information is required or requested to be disclosed by any court of competent jurisdiction or any governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation if the person to whom that Funding Rate is to be given is informed in writing of its confidential nature and that it may be price-sensitive information except that there shall be no requirement to so inform if, in the opinion of the Agent or the relevant Obligor, as the case may be, it is not practicable to do so in the circumstances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any person to whom information is required to be disclosed in connection with, and for the purposes of, any litigation, arbitration, administrative or other investigations, proceedings or disputes if the person to whom that Funding Rate is to be given is informed in writing of its confidential nature and that it may be price-sensitive information except that there shall be no requirement to so inform if, in the opinion of the Agent or the relevant Obligor, as the case may be, it is not practicable to do so in the circumstances; and

any person with the consent of the relevant Lender.

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&nbsp;&nbsp;&nbsp;&nbsp;37.2Related obligations

&nbsp;&nbsp;&nbsp;&nbsp;a)The Agent and each Obligor acknowledge that each Funding Rate is or may be price-sensitive information and that its use may be regulated or prohibited by applicable legislation including securities law relating to insider dealing and market abuse and the Agent and each Obligor undertake not to use any Funding Rate for any unlawful purpose.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Agent and each Obligor agree (to the extent permitted by law and regulation) to inform the relevant Lender:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)of the circumstances of any disclosure made pursuant to paragraph c)(ii) of Clause 37.1 (*Confidentiality and disclosure*) except where such disclosure is made to any of the persons referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)upon becoming aware that any information has been disclosed in breach of this Clause 37.

&nbsp;&nbsp;&nbsp;&nbsp;37.3No Event of Default

No Event of Default will occur under Clause 24.3 (*Other obligations*) by reason only of an Obligor's failure to comply with this Clause 37.

38COUNTERPARTS

Each Finance Document may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were on a single copy of the Finance Document.

39CONTRACTUAL RECOGNITION OF BAIL-IN

Notwithstanding any other term of any Finance Document or any other agreement, arrangement or understanding between the Parties, each Party acknowledges and accepts that any liability of any Party to any other Party under or in connection with the Finance Documents may be subject to Bail-In Action by the relevant Resolution Authority and acknowledges and accepts to be bound by the effect of:

&nbsp;&nbsp;&nbsp;&nbsp;a)any Bail-In Action in relation to any such liability, including (without limitation):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a reduction, in full or in part, in the principal amount, or outstanding amount due (including any accrued but unpaid interest) in respect of any such liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)a conversion of all, or part of, any such liability into shares or other instruments of ownership that may be issued to, or conferred on, it; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)a cancellation of any such liability; and

&nbsp;&nbsp;&nbsp;&nbsp;b)a variation of any term of any Finance Document to the extent necessary to give effect to any Bail-In Action in relation to any such liability.

This clause does not apply to Hedging Agreements, as the specific provisions set out therein will apply.

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SECTION 12

GOVERNING LAW AND ENFORCEMENT

40GOVERNING LAW AND ENFORCEMENT

&nbsp;&nbsp;&nbsp;&nbsp;40.1Governing law

This Agreement shall be governed by Norwegian law.

&nbsp;&nbsp;&nbsp;&nbsp;40.2Jurisdiction

&nbsp;&nbsp;&nbsp;&nbsp;a)For the benefit of each Finance Party, each Obligor agrees that the courts of Oslo, Norway, have jurisdiction to settle any disputes arising out of or in connection with the Finance Documents (other than the Hedging Agreements) including a dispute regarding the existence, validity or termination of this Agreement, and the Obligors accordingly submits to the non-exclusive jurisdiction of the Oslo District Court (*Oslo tingrett*).

&nbsp;&nbsp;&nbsp;&nbsp;b)Nothing in this Clause 40.2 shall limit the right of the Finance Parties to commence proceedings against an Obligor in any other court of competent jurisdiction. To the extent permitted by law, the Finance Parties may take concurrent proceedings in any number of jurisdictions.

&nbsp;&nbsp;&nbsp;&nbsp;40.3Service of process

Without prejudice to any other mode of service, each Obligor:

&nbsp;&nbsp;&nbsp;&nbsp;a)appoints Flex LNG Management AS (company no. 920 626 289), PO Box 1327 Vika, 0112 Oslo (mail address) and Bryggegata 3, 0250 Oslo, Norway (visiting address) as its agent for the service of process and/or any other writ, notice, order or judgment in respect of this Agreement, any other Finance Document governed by Norwegian law and/or the matters arising here from; and

&nbsp;&nbsp;&nbsp;&nbsp;b)agrees that failure by such process agent to notify an Obligor of the process will not invalidate the proceedings concerned.

If any process agent appointed pursuant to this Clause 40.3 (*Service of process*) (or any successor thereto) shall cease to exist for any reason where process may be served, the Obligor will forthwith appoint another process agent with an office in Norway where process may be served and will forthwith notify the Agent thereof.

\* \* \*

This Agreement has been entered into on the date stated at the beginning of this Agreement.

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**SCHEDULE** 1

**THE ORIGINAL LENDERS AND COMMITMENTS**

---

| | |
|:---|:---|
| **Name** of **Original** Lender | Commitment<br>USD 180,000,000 |
|  | Commitment<br>USD 180,000,000 |
| Total Commitments | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**USO 180,000,000** |

---

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SCHEDULE 2 CONDITIONS PRECEDENT

PART I

CONDITIONS PRECEDENT TO SIGNING

1Corporate authorisations

&nbsp;&nbsp;&nbsp;&nbsp;a)A copy of each Obligor's constitutional documents;

&nbsp;&nbsp;&nbsp;&nbsp;b)A copy of resolutions passed by each Obligor's board of directors evidencing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the approval of the terms of, and the transactions contemplated by, the Finance Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the authorisation of its appropriate officer or officers or other representatives to execute the Finance Documents and any other documents necessary for the transactions contemplated by the Finance Documents, on its behalf.

&nbsp;&nbsp;&nbsp;&nbsp;c)To the extent required in the relevant jurisdictions, a copy of resolutions passed by the shareholders of each Obligor ratifying the resolutions of its board of directors;

&nbsp;&nbsp;&nbsp;&nbsp;d)To the extent not covered by resolutions, any powers of attorney (notarised, if required) granted by an Obligor to execute any Finance Documents;

&nbsp;&nbsp;&nbsp;&nbsp;e)A copy of a certificate of goodstanding (or equivalent) in respect of each Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;f)If required by the Agent, a specimen of the signature (which can be by way of copy of passport) of each person signing the Finance Documents on behalf of each Obligor

&nbsp;&nbsp;&nbsp;&nbsp;g)A certificate of an authorised signatory of each Obligor certifying that each copy document relating to it specified in this Schedule 2 is correct, complete and in full force and effect and has not been amended or superseded as at a date no earlier than the date of this Agreement and confirming that borrowing or guaranteeing or securing, as appropriate, the Total Commitments would not cause any borrowing, guarantee, security or similar binding limit to be exceeded.

&nbsp;&nbsp;&nbsp;&nbsp;h)Such documentation and other evidence needed for the Finance Parties to carry out and be satisfied with the results of all necessary "know your customer" or similar checks (including sanctions) under all applicable laws and regulations and internal policies in respect of each Obligor and the Group and this Agreement.

2Authorisations

All approvals, authorisations and consents required by any government or other authorities for the Obligors to enter into and perform their obligations under this Agreement and/or any of the Finance Documents to which they are respective parties.

Finance Documents

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&nbsp;&nbsp;&nbsp;&nbsp;a)The Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;b)The Fee Letters; and

&nbsp;&nbsp;&nbsp;&nbsp;c)The letter in respect of effective interest pursuant to Clause 8.1b) (*Effective Interest*).

3Miscellaneous

&nbsp;&nbsp;&nbsp;&nbsp;a)Evidence that all fees referred to in Clause 11 (*Fees*) that are due have or will be paid on its due date;

&nbsp;&nbsp;&nbsp;&nbsp;b)Copy of the Original Financial Statements;

&nbsp;&nbsp;&nbsp;&nbsp;c)Evidence that all process agent appointments required by the Finance Documents listed in item 3 above have been duly accepted; and

&nbsp;&nbsp;&nbsp;&nbsp;d)Any other documentation authorization, opinion or assurance reasonably required by the Agent.

6&nbsp;&nbsp;&nbsp;&nbsp;Legal opinions

&nbsp;&nbsp;&nbsp;&nbsp;a)Draft legal opinions to be obtained from local counsels.

PART II

CONDITIONS PRECEDENT TO DRAWDOWN NOTICE

1Finance Documents

&nbsp;&nbsp;&nbsp;&nbsp;a)the Account Pledge, and deliverables thereunder, including an acknowledgement from the Account Bank confirming no other security over the Earnings Account and that it will not exercise any right of set-off;

&nbsp;&nbsp;&nbsp;&nbsp;b)the Assignment of Earnings and Charterparties, and deliverables thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;c)if applicable, the Assignment of Hedging Claims, and deliverables thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;d)the Assignment of Insurances, and deliverables thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;e)the Assignment of Intercompany Loans, and deliverables thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;f)the Share Pledge, and deliverables thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;g)the Mortgage in respect of the Vessel (agreed form only);

*All of the above Security Documents in agreed form and, if possible, with signatures in escrow.*

&nbsp;&nbsp;&nbsp;&nbsp;h)the Trust Agreement in respect of the Vessel;

The Drawdown Notice at least three (3) Business Days prior to the Drawdown Date;

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&nbsp;&nbsp;&nbsp;&nbsp;i)Any Hedging Agreements; and

&nbsp;&nbsp;&nbsp;&nbsp;j)Any subordination statements required pursuant to the Agreement.

2Vessel Documents

In respect of the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;a)evidence (by way of email confirmation from the Approved Ship Registry) that the Vessel is ready to be registered in the name of the Borrower in an Approved Ship Registry, and that the Mortgage is registered with its intended first priority against the Vessel latest on the Drawdown Date;

&nbsp;&nbsp;&nbsp;&nbsp;b)copies of insurance policies/cover notes documenting that insurance cover has been taken out in respect of the Vessel in accordance with Clause 23.1 (*Insurance*), and evidencing that the Security Agent's (on behalf of the Finance Parties) Security Interest in the insurance policies have been noted in accordance with the relevant notices as required under the Assignment of Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;c)the Insurance Report, with no outstanding pre-delivery action points;

&nbsp;&nbsp;&nbsp;&nbsp;d)a copy of the Management Agreements;

&nbsp;&nbsp;&nbsp;&nbsp;e)the technical manager's current DOC;

&nbsp;&nbsp;&nbsp;&nbsp;f)each Manager's Undertaking;

&nbsp;&nbsp;&nbsp;&nbsp;g)to the extent required, any quiet enjoyment letter with the charterer, in agreed or signed form, acceptable to the Finance Parties;

&nbsp;&nbsp;&nbsp;&nbsp;h)a copy of the Charterparty; and

&nbsp;&nbsp;&nbsp;&nbsp;i)evidence of the Market Value of the Vessel dating not more thirty (30) days prior to the proposed Drawdown Date.

3Miscellaneous

&nbsp;&nbsp;&nbsp;&nbsp;a)Evidence that all fees referred to in Clause 11 (*Fees*), and costs and expenses referred to in 16 (*Costs and expenses*) that are due have or will be paid on its due date;

&nbsp;&nbsp;&nbsp;&nbsp;b)a Compliance Certificate in the form set out in <u>Schedule 4</u> and confirming that the Obligors are in compliance with the financial covenants as set out in Clause 21 (*Financial covenants*), together with the latest consolidated financial statements of the Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;c)bank statement evidencing the placement of the Minimum Cash Balance on the Earnings Account;

&nbsp;&nbsp;&nbsp;&nbsp;d)evidence that all process agent appointments required by the Finance Documents have been duly accepted;

documentation evidencing all shareholder loans to any Obligor, as well as any intra-group loans or receivables to which any Obligor is a party;

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&nbsp;&nbsp;&nbsp;&nbsp;e)a copy of the interim or permanent class certificate related to the Vessel from the relevant classification society, confirming that the Vessel is classed with the highest class in accordance with Clause 23.3 (*Classification and repairs*), free of overdue recommendations and conditions;

&nbsp;&nbsp;&nbsp;&nbsp;f)a copy of the Vessel's SMC and ISPS Certificates;

&nbsp;&nbsp;&nbsp;&nbsp;g)such documentation and other evidence needed for the Finance Parties to carry out and be satisfied with the results of all necessary "know your customer" or similar checks (including sanctions) under all applicable laws and regulations and internal policies in respect of each Obligor and the Group and this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;h)a closing memorandum, in form and substance satisfactory to the Agent; and

&nbsp;&nbsp;&nbsp;&nbsp;i)any other documentation authorization, opinion or assurance reasonably required by the Agent.

4Legal opinions

The following legal opinions in agreed form:

&nbsp;&nbsp;&nbsp;&nbsp;a)A legal opinion regarding Norwegian law issued by Advokatfirmaet Thommessen AS;

&nbsp;&nbsp;&nbsp;&nbsp;b)A legal opinion regarding Bermuda law issued by Appleby (Bermuda) Limited;

&nbsp;&nbsp;&nbsp;&nbsp;c)A legal opinion regarding Marshall Islands law and New York law issued by Watson Farley & Williams LLP;

&nbsp;&nbsp;&nbsp;&nbsp;d)A legal opinion regarding English law issued by Holman Fenwick Willan LLP; and

Any such other favourable legal opinions in form and substance satisfactory to the Agent from lawyers appointed by the Agent on matters concerning all relevant jurisdictions, including the jurisdiction of the Approved Ship Registry in which the Vessel is registered.

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SCHEDULE 3

FORM OF DRAWDOWN NOTICE

![image_33.jpg](image_33.jpg)To:

From:&nbsp;&nbsp;&nbsp;&nbsp;FLEX LNG CONSTELLATION LIMITED

Date:&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*]

USD 180,000,000 TERM LOAN FACILITY AGREEMENT DATED 15 JULY 2025 (THE "AGREEMENT")

We refer to Clause 5.1 (*Delivery of the Drawdown Notice*) of the Agreement. Terms defined in the Agreement shall have the same meaning when used in this Drawdown Notice.

&nbsp;&nbsp;&nbsp;&nbsp;a)You are hereby irrevocably notified that we wish to make the following drawdown on the following terms:

Proposed Drawdown Date:&nbsp;&nbsp;&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;&nbsp;]

---

| | | | |
|:---|:---|:---|:---|
| Principal Amount: | &nbsp;&nbsp;&nbsp;USD | &nbsp;&nbsp;[ | ] |
| Interest Period: | | &nbsp;&nbsp;[ | ] |

---

&nbsp;&nbsp;&nbsp;&nbsp;b)The purpose of the Loan is the part financing of the Vessel and/or for our general corporate purpose, and all proceeds shall applied accordingly.

&nbsp;&nbsp;&nbsp;&nbsp;c)The proceeds of the Loan shall be credited to [\*\*] [*insert details of account*].

&nbsp;&nbsp;&nbsp;&nbsp;d)We confirm that, as of the date hereof (i) each condition specified in Clause 4 (*Conditions Precedent*) of the Agreement is satisfied; (ii) each of the Repeating Representations set out in Clause 19 (*Representations and warranties*) of the Agreement is true and correct; and (iii) no event or circumstances has occurred and is continuing which constitute or may constitute an Event of Default.

Yours sincerely

for and on behalf of

FLEX LNG CONSTELLATION LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title: [*authorised officer*]

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**SCHEDULE 4**

**FORM OF COMPLIANCE CERTIFICATE**

![image_34.jpg](image_34.jpg)To:

From:&nbsp;&nbsp;&nbsp;&nbsp;FLEX LNG Ltd.

Date:&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] *[To be delivered no later than 120/60 days after each Reporting Date]*

**USO 180,000,000 TERM LOAN FACILITY AGREEMENT DATED 15 JULY 2025 (THE "AGREEMENT")**

We refer to the Agreement. Terms defined in the Agreement have their defined meanings when used in this Compliance Certificate.

We hereby represent and warrant that at the date of this Compliance Certificate, we are in compliance with Clause 21 *(Financial covenants),* that no Event of Default has occurred and that the Repeating Representations contained in Clause 19 *(Representations and warranties)* of the Agreement are true and correct at thedate hereof asif made with respect to the facts and circumstances existing at this date.

2Without limiting the generality of paragraph 1 *above,* we hereby further represent and warrant as follows:

---

| | |
|:---|:---|
| ***Equity Ratio***<br>*For the purpose of Clause 21.3 a)(i) we confirm asfollows:* | ***Equity Ratio***<br>*For the purpose of Clause 21.3 a)(i) we confirm asfollows:* |
| Total Assets Total Liabilities<br>Equity (Total Assets less Total Liabilities)<br>**Equity Ratio** *Requirement: Compliance:* | USD [•]<br>USD [•]<br>USD [•]<br>[&nbsp;&nbsp;&nbsp;&nbsp;**J:1.00**<br>*Not lower than 0.20\*:1.00 [Yes/No]* |
| ***Working Capital***<br>*For the purpose of Clause 21.3 a)(ii) we confirm asfollows:* | ***Working Capital***<br>*For the purpose of Clause 21.3 a)(ii) we confirm asfollows:* |
| **Working Capital:** *Requirement: Compliance:* | **USO C•J**<br>Working Capital > *0 [Yes/No]* |
| ***Liquidity***<br>*For the purpose of Clause 21.3 a)(iii) we confirm asfollows:* | ***Liquidity***<br>*For the purpose of Clause 21.3 a)(iii) we confirm asfollows:* |

---

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---

| | |
|:---|:---|
| **Liquidity:**<br>of which Cash and Cash Equivalents is:<br>Group's total interest bearing Financial Indebtedness on a consolidated basis <u>ne</u><u>t</u> of Cash and Cash Equivalents.<br>*Requirement:*<br>*Compliance:* | ***USO [•J***<br>*USO f•J*<br>*USO f•J("N/80'?*<br>5% *of which is USO f•J*<br>Liquidity> Higher of (i) USD 25,000,000 and<br>(ii) 5% of NIBD<br>*[Yes/No]* |
| ***Cash on Earnings Account of the Borrower in the Pre-Commencement Period1***<br>*For the purpose of Clause 21.3 b) we confirm asfollows:* | ***Cash on Earnings Account of the Borrower in the Pre-Commencement Period1***<br>*For the purpose of Clause 21.3 b) we confirm asfollows:* |
| **Cash on Earnings Account:**<br>***Requirement:***<br>*Compliance:* | **USO[•]**<br>*[Prior to and including the Drawdown Date: Minimum Cash Balance, equivalent to first six*<br>*(6) months service of debt and Interest]*<br>*[upon first service of debt and interest under the Facility, the Earnings Account shall be replenished by an amount equal to the lower of {A) the amount required for service of debt and interest under the Facility until the end of any delivery dates notified by the Borrower to the Charterer under the Charterparty (the "Delivery Notice'? and (B) the amount required for three (3) months debt and interest service of the Facility]*<br>*[upon second service of debt and interest under the Facility and when delivery has not occurred under paragraph (ii) above, the Earnings Account shall be replenished by an amount equal to the lower of (A) the amount required for service of debt and interest under the Facility until the end of any delivery dates under the Delivery Notice and (B) the amount required for three (3) months debt and interest service of the Facility]and*<br>*[if the Charter Delivery Date has not yet occurred under paragraph (iii) above, the*<br>*amount on the Earnings Account shall be* |

---

![image_35.jpg](image_35.jpg)

1 Financial covenant only applicable during the Pre-Commencement Period.

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---

| | |
|:---|:---|
|  | *replenished to ensure that there is always a sufficient amount to service the Facility for the remaining period until the Charter Delivery Date]*<br>*[Yes/No]* |
| ***Collateral Maintenance Test***<br>*For the purpose of Clause 7.1 (Collateral Maintenance Test) we confirm asfollows:* | ***Collateral Maintenance Test***<br>*For the purpose of Clause 7.1 (Collateral Maintenance Test) we confirm asfollows:* |
| Market Values\* |  |
| Flex Constellation | USD[•J |
| <br>**(A) Aggregate Market Value:** | **USO[•J** |
| **(B) Aggregate Loan:** | **USO[•J** |
| <br>Ratio (A/B): | <br>[&nbsp;&nbsp;&nbsp;&nbsp;]% |
| *Requirement:* | > *100%* |
| <br>*Compliance:* | *[Yes/No]* |
| \* Evidence of Market Values <u>a</u><u>tt</u><u>ached</u> hereto |  |

---

3This Compliance Certificate shall be governed by and construed in accordance with Norwegian law.

Yours sincerely

for and on behalf of FLEX LNG Ltd.

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>_ Name:

Title: CFO

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SCHEDULE 5

FORM OF TRANSFER CERTIFICATE

![image_33.jpg](image_33.jpg)To:

From:&nbsp;&nbsp;&nbsp;&nbsp;[\*\*] (the "Existing Lender" and [\*\*] (the "New Lender") Date:&nbsp;&nbsp;&nbsp;&nbsp;[\*\*]

USD 180,000,000 TERM LOAN FACILITY AGREEMENT DATED 15 JULY 2025 (THE "AGREEMENT")

We refer to the Agreement. Terms defined in the Agreement have the same meaning in this Transfer Certificate unless given a different meaning in this Transfer Certificate.

With reference to Clause 25 (*Changes to the Parties*):

&nbsp;&nbsp;&nbsp;&nbsp;a)The Existing Lender, in its capacity as Lender under the Agreement, confirms that it participates with [&nbsp;&nbsp;&nbsp;&nbsp;] per cent of the Total Commitments.

&nbsp;&nbsp;&nbsp;&nbsp;b)The Existing Lender hereby transfers to the New Lender [ ] per cent of the Total Commitments as specified in the Schedule hereto, and of the equivalent rights and interest in all Finance Documents (other than Hedging Agreements), and the New Lender hereby accepts such transfer from the Existing Lender in accordance with the terms set out herein and Clause 25 (*Changes to the Parties*) of the Agreement and assumes the same obligations to the other Finance Parties as it would have been under if it was an original Lender.

&nbsp;&nbsp;&nbsp;&nbsp;c)The proposed Transfer Date is [&nbsp;&nbsp;&nbsp;&nbsp;], as from which date the Transfer of such portion of the Total Commitments shall take full legal effect.

&nbsp;&nbsp;&nbsp;&nbsp;d)The New Lender confirms that it has received a copy of the Agreement, together with such other information as it has required in connection with this transaction. The New Lender expressly acknowledges and agrees to the limitations on the Existing Lender's responsibility set out in Clause

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;25.3 (*Limitations of responsibility of Existing Lenders*) of the Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;e)The New Lender hereby undertakes to the Existing Lender and the Borrower that it will perform in accordance with the terms and conditions of the Agreement all those obligations which will be assumed by it upon execution of this Transfer Certificate.

&nbsp;&nbsp;&nbsp;&nbsp;f)The address, telefax number and attention details for notices, as well as the account details of the New Lender, are set out in the Schedule.

This Transfer Certificate is governed by Norwegian law, with Oslo City Court (*Oslo tingrett*) as legal venue.

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The Schedule Commitments/rights and obligations to be transferred

---

| | |
|:---|:---|
| I&nbsp;&nbsp;&nbsp;&nbsp;Existing Lender: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[ ] |
| II&nbsp;&nbsp;&nbsp;&nbsp;New Lender: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[ ] |
| III&nbsp;&nbsp;&nbsp;&nbsp;Total Commitments of Existing Lender: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;USD [ |
| IV&nbsp;&nbsp;&nbsp;&nbsp;Aggregate amount transferred: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;USD [ |
| V&nbsp;&nbsp;&nbsp;&nbsp;Total Commitments of New Lender | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;USD [ |
| VI&nbsp;&nbsp;&nbsp;&nbsp;Transfer Date: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;&nbsp;] |

---

Administrative Details / Payment Instructions of New Lender

Notices to New Lender:

[&nbsp;&nbsp;&nbsp;&nbsp;]

[&nbsp;&nbsp;&nbsp;&nbsp;]

Att:&nbsp;&nbsp;&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;&nbsp;]

Fax no:&nbsp;&nbsp;&nbsp;&nbsp;+ [&nbsp;&nbsp;&nbsp;&nbsp;]

[*Insert relevant office address, telefax number and attention details for notices and payments to the New Lender*] Account details of New Lender: [*Insert relevant account details of the New Lender*]

---

| | | |
|:---|:---|:---|
| Existing Lender: [\*\*] |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;New Lender: [\*\*] |
| By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name: | &nbsp;&nbsp;By: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>Name: |
| Title: |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: |

---

![image_37.jpg](image_37.jpg)

This Transfer Certificate is accepted and agreed by the Agent and the Transfer Date is confirmed as [

].

Agent:

![image_38.jpg](image_38.jpg)

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By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title:

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**SCHEDULE6 VESSEL**

---

| | | |
|:---|:---|:---|
| **Vessel name** | **Owner** | **IMO No.** |
| FLEX CONSTELLATION | FLEX LNG CONSTELLATION LIMITED | 9825427 |

---

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SCHEDULE 7 REPAYMENT SCHEDULE

![image_39.jpg](image_39.jpg)

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SCHEDULE 8 REFERENCE RATE TERMS

***Currency&nbsp;&nbsp;&nbsp;&nbsp;***US Dollars.

***Cost of funds as a fallback***

Cost of funds will apply as a fallback.

***Definitions***

Additional Business Day:&nbsp;&nbsp;&nbsp;&nbsp;An RFR Banking Day.

Break Costs:&nbsp;&nbsp;&nbsp;&nbsp;None specified.

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Business Day Conventions (definition of "Month" and Clause

&nbsp;&nbsp;&nbsp;&nbsp;9.2 (***Non-Business Day***)):

&nbsp;&nbsp;&nbsp;&nbsp;a)If any period is expressed to accrue by reference to a Month or any number of Months then, in respect of the last Month of that period:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)subject to paragraph (iii) below, if the numerically corresponding day is not a Business Day, that period shall end on the next Business Day in that calendar month in which that period is to end if there is one, or if there is not, on the immediately preceding Business Day;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)if there is no numerically corresponding day in the calendar month in which that period is to end, that period shall end on the last Business Day in that calendar month; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)if an Interest Period begins on the last Business Day of a calendar month, that Interest Period shall end on the last Business Day in the calendar month in which that Interest Period is to end.

&nbsp;&nbsp;&nbsp;&nbsp;b)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).

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Central Bank Rate:&nbsp;&nbsp;&nbsp;&nbsp;a)&nbsp;&nbsp;&nbsp;&nbsp;The short-term interest rate target set by the US Federal

Open Market Committee as published by the Federal Reserve Bank of New York from time to time; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)if that target is not a single figure, the arithmetic mean of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the upper bound of the short-term interest rate target range set by the US Federal Open Market Committee and published by the Federal Reserve Bank of New York; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the lower bound of that target range.

Central Bank Rate Adjustment: In relation to the Central Bank Rate prevailing at close of business

on any RFR Banking Day, the 20 per cent. trimmed arithmetic mean (calculated by the Agent) of the Central Bank Rate Spread for the five most immediately preceding RFR Banking Days for which the RFR is available.

For this purpose the Central Bank Rate Spread means, in relation to a RFR Banking Day, the difference expressed as a percentage rate (per annum) calculated by the Agent between:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a)the RFR for that RFR Banking Day; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)the Central Bank Rate prevailing at close of business on that RFR Banking Day.

Daily Rate:&nbsp;&nbsp;&nbsp;&nbsp;The "Daily Rate" for any RFR Banking Day is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a)the RFR for that RFR Banking Day; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)if the RFR for that RFR Banking Day is not available, the Historic RFR for that RFR banking Day;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c)if paragraph b) above applies but the Historic RFR for that RFR Banking Day is not available, the percentage rate per annum which is the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Central Bank Rate for that RFR Banking Day; and

the applicable Central Bank Rate Adjustment; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d)if paragraph b) above applies but the Central Bank Rate for that RFR Banking Day is not available, the percentage rate per annum which is the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the most recent Central Bank Rate for a day which is no more than five (5) RFR Banking Days before that RFR Banking Day; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the applicable Central Bank Rate Adjustment,

rounded, in either case, to five (5) decimal places and if, in either case, that rate is less than zero, the Daily Rate shall be deemed to be zero.

Lookback Period:&nbsp;&nbsp;&nbsp;&nbsp;Five (5) RFR Banking Days.

Market Disruption Rate:&nbsp;&nbsp;&nbsp;&nbsp;The Cumulative Compounded RFR Rate for the Interest Period of

the Loan.

Relevant Market:&nbsp;&nbsp;&nbsp;&nbsp;The market for overnight cash borrowing collateralised by US

Government securities.

Reporting Day:&nbsp;&nbsp;&nbsp;&nbsp;The Business Day which follows the day which is the Lookback Period prior to the last day of the Interest Period.

RFR:&nbsp;&nbsp;&nbsp;&nbsp;The secured overnight financing rate (SOFR) administered by the Federal Reserve Bank of New York (or any other person which takes over the administration of that rate) published by the Federal Reserve Bank of New York (or any other person which takes over

the publication of that rate).

RFR Banking Day:&nbsp;&nbsp;&nbsp;&nbsp;A day other than:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a)a Saturday or Sunday; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)a day on which the Securities Industry and Financial Markets Association (or any successor organisation) recommends that the fixed income departments of its members be closed for the entire day for purposes of trading in US Government securities.

***Interest Periods***

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Periods capable of selection as Interest Periods (paragraph b) of Clause 9.1 (*Selection of Interest Periods*)):

<br>The Borrower may select an Interest Period of three (3) months or such other period agreed between the Borrower and the Agent (on behalf of the Lenders).

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***Reporting Times***

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Deadline for Lenders to report market disruption in accordance with Clause 10.2 (*Market disruption*):

<br>Close of business in London on the Reporting Day for the Loan.

Deadline for Lenders to report their cost of funds in accordance with Clause 10.3 (*Cost of funds*):

<br>Close of business on the date falling five (5) Business Days after the Reporting Day for the Loan (or, if earlier, on the date falling five (5) Business Days before the date on which interest is due to be paid in respect of the Interest Period for the Loan).

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SCHEDULE 9

DAILY NON-CUMULATIVE COMPOUNDED RFR RATE

The "Daily Non-Cumulative Compounded RFR Rate" for any RFR Banking Day "i" during an Interest Period for the Loan is the percentage rate per annum (without rounding, to the extent reasonably practicable for the Finance Party performing the calculation, taking into account the capabilities of any software used for that purpose) calculated as set out below:

(𝑈𝐶𝐶𝐷𝑅 - 𝑈𝐶𝐶𝐷𝑅&nbsp;&nbsp;&nbsp;&nbsp;)𝐴? 𝑑𝑐𝑐

![image_40.jpg](image_40.jpg)

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𝑖&nbsp;&nbsp;&nbsp;&nbsp;𝑖-1

<br>𝑛𝑖

where:

"UCCDRi" means the Unannualised Cumulative Compounded Daily Rate for that RFR Banking Day "i";

"UCCDRi-1" means, in relation to that RFR Banking Day "i", the Unannualised Cumulative Compounded Daily Rate for the immediately preceding RFR Banking Day (if any) during that Interest Period;

"dcc" means 360 or, in any case where market practice in the Relevant Market is to use a different number for quoting the number of days in a year, that number;

"ni" means the number of calendar days from, and including, that RFR Banking Day "i" up to, but excluding, the following RFR Banking Day; and

the "Unannualised Cumulative Compounded Daily Rate" for any RFR Banking Day (the "Cumulated RFR Banking Day") during that Interest Period is the result of the below calculation (without rounding, to the extent reasonably practicable for the Finance Party performing the calculation, taking into account the capabilities of

any software used for that purpose):

𝑡𝑛𝑖

![image_41.jpg](image_41.jpg)𝐴𝐶𝐶𝐷𝑅𝐴? 𝑑𝑐𝑐

where:

"ACCDR" means the Annualised Cumulative Compounded Daily Rate for that Cumulated RFR Banking Day;

"tni" means the number of calendar days from, and including, the first day of the Cumulation Period to, but excluding, the RFR Banking Day which immediately follows the last day of the Cumulation Period;

"Cumulation Period" means the period from, and including, the first RFR Banking Day of that Interest Period to, and including, that Cumulated RFR Banking Day;

"dcc" has the meaning given to that term above; and

the "Annualised Cumulative Compounded Daily Rate" for that Cumulated RFR Banking Day is the percentage rate per annum (rounded to five (5) decimal places) calculated as set out below:

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![image_42.jpg](image_42.jpg)

where:

"d0" means the number of RFR Banking Days in the Cumulation Period; "Cumulation Period" has the meaning given to that term above;

"i" means a series of whole numbers from one to d0, each representing the relevant RFR Banking Day in chronological order in the Cumulation Period;

"DailyRatei-LP" means, for any RFR Banking Day "i" in the Cumulation Period, the Daily Rate for the RFR Banking Day which is the Lookback Period prior to that RFR Banking Day "i";

"ni" means, for any RFR Banking Day "i" in the Cumulation Period, the number of calendar days from, and including, that RFR Banking Day "i" up to, but excluding, the following RFR Banking Day;

"dcc" has the meaning given to that term above; and "tni" has the meaning given to that term above.

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SCHEDULE 10 CUMULATIVE COMPOUNDED RFR RATE

The "Cumulative Compounded RFR Rate" for any Interest Period for the Loan is the percentage rate per annum (rounded to the same number of decimal places as is specified in the definition of "Annualised Cumulative Compounded Daily Rate" in <u>Schedule 9</u> (*Daily Non-Cumulative Compounded RFR Rate*)) calculated as set out below:

![image_43.jpg](image_43.jpg)

where:

"d0" means the number of RFR Banking Days during the Interest Period;

"i" means a series of whole numbers from one to d0, each representing the relevant RFR Banking Day in chronological order during the Interest Period;

"DailyRatei-LP" means for any RFR Banking Day "i" during the Interest Period, the Daily Rate for the RFR Banking Day which is the Lookback Period prior to that RFR Banking Day "i";

"ni" means, for any RFR Banking Day "i", the number of calendar days from, and including, that RFR Banking Day "i" up to, but excluding, the following RFR Banking Day;

"dcc" means 360 or, in any case where market practice in the Relevant Market is to use a different number for quoting the number of days in a year, that number; and

"d" means the number of calendar days during that Interest Period.

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------

**SIGNATORIES**

**Borrower:**

FLEX LNG CONSTELLATION LIMITED

![image_44.jpg](image_44.jpg)By:

Na

Title: Attorney-in-Fact

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**Guarantor and Intermediate Parent:**

![image_45.jpg](image_45.jpg)FLEX LNG FLEET LIMITED

By:

Na

Title: Authorised Signatory

**Guarantor and Ultimate Parent:**

FLEX LNG LTD.

![image_46.jpg](image_46.jpg)

Title: Authorised Signatory

**Agent:&nbsp;&nbsp;&nbsp;&nbsp;Security Agent:**

![image_47.jpg](image_47.jpg)![image_48.jpg](image_48.jpg)![image_49.jpg](image_49.jpg)

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title:

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title:

![image_50.jpg](image_50.jpg)**Arranger:&nbsp;&nbsp;&nbsp;&nbsp;Lender:**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title:

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title:

![image_51.jpg](image_51.jpg)**Hedge Provider:**

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> Name:

Title:

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**SIGNATORIES**

**Borrower:**

FLEX LNG CONSTELLATION LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>_

Name: Title:

10127241/1

125

------

**Guarantor and Intermediate Parent:**

FLEX LNG FLEET LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>_

Name: Title:

**Guarantor and Ultimate Parent:**

FLEX LNG LTD.

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>_

Name: Title:

![image_52.jpg](image_52.jpg)

**Arranger:&nbsp;&nbsp;&nbsp;&nbsp;Lender:**

![image_53.jpg](image_53.jpg)

---

| | |
|:---|:---|
| By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> |
| Name:<br>Title: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name:<br>Title: |
| **Hedge Provider:** |  |

---

![image_54.jpg](image_54.jpg)

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

10127241/1

125

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**SIGNATORIES**

**Borrower:**

FLEX LNG CONSTELLATION LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

10127241/1

125

------

**Guarantor and Intermediate Parent:**

FLEX LNG FLEET LIMITED

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:

Title:

**Guarantor and Ultimate Parent:**

FLEX LNG LTD.

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name: Title:

![image_55.jpg](image_55.jpg)

By:&nbsp;&nbsp;&nbsp;&nbsp;By: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

![image_56.jpg](image_56.jpg)

Name:&nbsp;&nbsp;&nbsp;&nbsp;Name:

Title:&nbsp;&nbsp;&nbsp;&nbsp;Title:

![image_57.jpg](image_57.jpg)**Arranger:&nbsp;&nbsp;&nbsp;&nbsp;Lender:**

**Hedge Provider:**

![image_58.jpg](image_58.jpg)

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## Exhibit 8.1

**Exhibit 8.1**

Significant Subsidiaries at February 27, 2026

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Company** | **Country of registration** | **Main operations** | **Ownership share** | **Voting share** |
| Flex LNG Management AS | Norway | Management services | 100% | 100% |
| Flex LNG Bermuda Management Limited | Bermuda | Management services | 100% | 100% |
| Flex LNG Management Limited | Isle of Man | Management services | 100% | 100% |
| Flex LNG UK Management Limited | United Kingdom | Management services | 100% | 100% |
| Flex LNG Fleet Limited | Bermuda | Holding company | 100% | 100% |
| Flex LNG Endeavour Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Enterprise Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Ranger Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Rainbow Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Constellation Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Courageous Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Aurora Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Amber Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Resolute Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Reliance Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex Freedom Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex Vigilant Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex Volunteer Limited | Marshall Islands | Shipping | 100% | 100% |
| Flex LNG Shipping (Bermuda) Limited | Bermuda | Shipping | 100% | 100% |

---

## Exhibit 12.1

**Exhibit 12.1**

**CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER**

I, Halfdan Marius Foss, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this annual report on Form 20-F of FLEX LNG Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The Company's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Evaluated the effectiveness of the Company's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Disclosed in this report any change in the Company's internal control over financial reporting that occurred during the period covered by the annual report that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The Company's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company's auditors and the audit committee of the Company's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: | February 27, 2026 |
| /s/ Halfdan Marius Foss | /s/ Halfdan Marius Foss |
| Halfdan Marius Foss | Halfdan Marius Foss |
| Principal Executive Officer | Principal Executive Officer |

---

## Exhibit 12.2

**Exhibit 12.2**

**CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER**

I, Knut Traaholt, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this annual report on Form 20-F of FLEX LNG Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The Company's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Evaluated the effectiveness of the Company's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Disclosed in this report any change in the Company's internal control over financial reporting that occurred during the period covered by the annual report that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The Company's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company's auditors and the audit committee of the Company's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: | February 27, 2026 |
| /s/ Knut Traaholt | /s/ Knut Traaholt |
| Knut Traaholt | Knut Traaholt |
| Principal Financial Officer | Principal Financial Officer |

---

## Exhibit 13.1

**Exhibit 13.1**

**PRINCIPAL EXECUTIVE OFFICER CERTIFICATION**

**PURSUANT TO 18 U.S.C. SECTION 1350**

In connection with this Annual Report of FLEX LNG Ltd. (the "Company") on Form 20-F for the year ended December 31, 2025 as filed with the Securities and Exchange Commission (the "SEC") on or about the date hereof (the "Report"), I, Halfdan Marius Foss, Principal Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

A signed original of this written statement has been provided to the Company and will be retained by the Company and furnished to the SEC or its staff upon request.

---

| | |
|:---|:---|
| Date: | February 27, 2026 |
| /s/ Halfdan Marius Foss | /s/ Halfdan Marius Foss |
| Halfdan Marius Foss | Halfdan Marius Foss |
| Principal Executive Officer | Principal Executive Officer |

---

## Exhibit 13.2

**Exhibit 13.2**

**PRINCIPAL FINANCIAL OFFICER CERTIFICATION**

**PURSUANT TO 18 U.S.C. SECTION 1350**

In connection with this Annual Report of FLEX LNG Ltd. (the "Company") on Form 20-F for the year ended December 31, 2025 as filed with the Securities and Exchange Commission (the "SEC") on or about the date hereof (the "Report"), I, Knut Traaholt, Principal Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

A signed original of this written statement has been provided to the Company and will be retained by the Company and furnished to the SEC or its staff upon request.

---

| | |
|:---|:---|
| Date: | February 27, 2026 |
| /s/ Knut Traaholt | /s/ Knut Traaholt |
| Knut Traaholt | Knut Traaholt |
| Principal Financial Officer | Principal Financial Officer |

---

## Exhibit 15.1

**Consent of Independent Registered Public Accounting Firm**

We consent to the incorporation by reference in the following Registration Statements: &nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)Registration Statement (Form F-3ASR No. 333-282473) of Flex LNG Ltd., and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)Registration Statement (Form S-8 No. 333-275460) pertaining to the Flex LNG Ltd. Share Option Scheme of Flex LNG Ltd.;

of our reports dated February 27, 2026, with respect to the consolidated financial statements of Flex LNG Ltd. and the effectiveness of internal control over financial reporting of Flex LNG Ltd. included in this Annual Report Form (Form 20-F) of Flex LNG Ltd. for the year ended December 31, 2025.

/s/ Ernst & Young AS

Oslo, Norway

February 27, 2026

<br>