# EDGAR Filing Document

**Accession Number:** 0001959455
**File Stem:** 0001140361-23-010529
**Filing Date:** 2023-3
**Character Count:** 1965744
**Document Hash:** 5dc63e6bd167cfc30afc5830e9532c8a
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001140361-23-010529.hdr.sgml**: 20230307

**ACCESSION NUMBER**: 0001140361-23-010529

**CONFORMED SUBMISSION TYPE**: F-1

**PUBLIC DOCUMENT COUNT**: 135

**FILED AS OF DATE**: 20230307

**DATE AS OF CHANGE**: 20230307

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Himalaya Shipping Ltd.
- **CENTRAL INDEX KEY:** 0001959455
- **STANDARD INDUSTRIAL CLASSIFICATION:** DEEP SEA FOREIGN TRANSPORTATION OF FREIGHT [4412]
- **IRS NUMBER:** 000000000
- **STATE OF INCORPORATION:** D0
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** F-1
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 333-270337
- **FILM NUMBER:** 23713806

**BUSINESS ADDRESS:**
- **STREET 1:** S.E. PEARMAN BLDG., 2ND FLOOR
- **STREET 2:** 9 PAR-LA-VILLE ROAD
- **CITY:** HAMILTON
- **STATE:** D0
- **ZIP:** HM 11
- **BUSINESS PHONE:** 441-737-0152

**MAIL ADDRESS:**
- **STREET 1:** S.E. PEARMAN BLDG., 2ND FLOOR
- **STREET 2:** 9 PAR-LA-VILLE ROAD
- **CITY:** HAMILTON
- **STATE:** D0
- **ZIP:** HM 11

#### **TABLE OF CONTENTS**

#### As filed with the U.S. Securities and Exchange Commission on March 7, 2023.

#### Registration No. 333-

#### UNITED STATES<br>

#### SECURITIES AND EXCHANGE COMMISSION<br>

#### Washington, D.C. 20549

### FORM F-1<br>

### REGISTRATION STATEMENT <br>

### UNDER <br>

### THE SECURITIES ACT OF 1933

### Himalaya Shipping Ltd. <br>

### (Exact name of Registrant as specified in its charter)

---

| | | |
|:---|:---|:---|
| **Bermuda** | **4412** | **N/A** |
| (State or other jurisdiction of<br>incorporation or organization) | (Primary Standard Industrial<br>Classification Code Number) | (I.R.S. Employer<br>Identification Number) |

---

S.E. Pearman Bldg., 2<sup>nd</sup> floor, 9 Par-la-Ville Road, Hamilton HM 11, Bermuda

+1 (441) 542-4577<br>

(Address, Including Zip Code, and Telephone Number, Including Area Code, of Registrant's Principal Executive Offices)

#### Puglisi & Associates<br>

#### 850 Library Avenue, Suite 204<br>

#### Newark, Delaware 19711<br>

#### +1 (302) 738-6680
(Name, address, including zip code, and telephone number, including area code, of agent for service)

#### Copies to:

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| | |
|:---|:---|
| **James A. McDonald**<br>**Skadden, Arps, Slate, Meagher & Flom (UK) LLP**<br>**40 Bank Street, Canary Wharf**<br>**London, E14 5DS**<br>**United Kingdom**<br>**+44 20 7519-7000** | **John R. Vetterli** <br>**Jessica Y. Chen** <br>**White & Case LLP**<br>**1221 Avenue of the Americas**<br>**New York, NY 10020**<br>**United States**<br>**+1 (212) 819-8200** |

---

#### Approximate date of commencement of proposed sale to the public: As soon as practicable after the effective date of this registration statement.
If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, check the following box. ☐

If this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933.

Emerging growth 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 7(a)(2)(B) of the Securities Act. ☒

†<br> 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.

**The Registrant hereby amends this registration statement on such date or dates as may be necessary to delay its effective date until the Registrant shall file a further amendment which specifically states that this registration statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933, or until the registration statement shall become effective on such date as the Commission, acting pursuant to such Section 8(a), may determine.**

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#### **TABLE OF CONTENTS**

**The information in this prospectus is not complete and may be changed. We may not sell these securities until the registration statement filed with the Securities and Exchange Commission is effective. This prospectus is not an offer to sell these securities and it is not soliciting an offer to buy these securities in any jurisdiction where the offer or sale is not permitted.SUBJECT TO COMPLETION, DATED , 2023**

#### PRELIMINARY PROSPECTUS

### &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common Shares
![](ny20006357x6_logo.jpg)<br>

## Himalaya Shipping Ltd.

### $ per common share
This is our initial public offering of common shares. We are offering a total of common shares, $1.00 par value, of Himalaya Shipping Ltd.

Prior to this offering, our common shares have not been listed in a United States stock exchange. Our shares have traded on the Euronext Growth Oslo and, since April 29, 2022, our shares have traded on the Euronext Expand. Our common shares are listed on the Euronext Expand, operated by the Oslo Stock Exchange, under the symbol "HSHIP" and have been approved for listing on the New York Stock Exchange (the "Stock Exchange") under the symbol "HSHP." On , 2023, the closing price of our Common shares on the Euronext Expand was Norwegian Kroner, or NOK, per common share, which was equivalent to approximately $ per common share, based upon the noon buying rate of the Federal Reserve Bank of New York for NOK on , 2023, which was NOK to $1.00. We expect the initial public offering price will be substantially similar to the trading price for our common shares on the Euronext Expand. The initial public offering price will be determined based on the bookbuilding process and the closing price of our common shares on the Euronext Expand on the pricing date of the offering.

We are an "emerging growth company" under the U.S. federal securities laws and will be subject to reduced public company reporting requirements. Investing in our common shares involves risks. See "*Risk Factors*" beginning on page [15](#tRF) of this prospectus.

---

| | | |
|:---|:---|:---|
|  | **Per** <br>**Common Share** | **Total** |
| Public offering price | &nbsp;&nbsp;&nbsp;$ | $|
| Underwriting discounts and commissions | &nbsp;&nbsp;&nbsp;$ | $|
| Proceeds, before expenses, to us<sup>(1)</sup> | &nbsp;&nbsp;&nbsp;$ | $|

---

(1) ***See "Underwriting (Conflicts of Interest)" for additional information regarding the total underwriters' compensation.***

We have also granted the underwriters an option for a period of 30 days to purchase up to an additional common shares on the same terms as set forth above to cover over-allotments, if any. See "*Underwriting (Conflicts of Interest)*."

Neither the U.S. Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or determined if this prospectus is truthful or complete. Any representation to the contrary is a criminal offense.

No offer or invitation to subscribe for common shares may be made to the public in Bermuda.

The underwriters expect to deliver the common shares to purchasers on or about , 2023 through the book-entry facilities of The Depositary Trust Company.

### DNB Markets<br>

### &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br>

### Clarksons Securities
*Prospectus dated , 2023.*

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#### **TABLE OF CONTENTS**

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| | |
|:---|:---|
| [PRESENTATION OF FINANCIAL AND OTHER INFORMATION](#tPRES) | &nbsp;&nbsp;[iii](#tPRES) |
| [MARKET AND INDUSTRY DATA](#tMARK) | &nbsp;&nbsp;[iv](#tMARK) |
| [TRADEMARKS](#tTRD) | &nbsp;&nbsp;[iv](#tTRD) |
| [EXCHANGE CONTROL](#tEXCH) | &nbsp;&nbsp;[iv](#tEXCH) |
| [SUMMARY](#tSUM) | &nbsp;&nbsp;&nbsp;[1](#tSUM) |
| &nbsp;&nbsp;[THE OFFERING](#tTO) | &nbsp;&nbsp;[10](#tTO) |
| [SUMMARY FINANCIAL INFORMATION](#tSFI) | &nbsp;&nbsp;[13](#tSFI) |
| [RISK FACTORS](#tRF) | &nbsp;&nbsp;[15](#tRF) |
| [CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS](#tCSR) | &nbsp;&nbsp;[45](#tCSR) |
| [USE OF PROCEEDS](#tUOP) | &nbsp;&nbsp;[47](#tUOP) |
| [DIVIDENDS AND DIVIDEND POLICY](#tDAD) | &nbsp;&nbsp;[48](#tDAD) |
| [CAPITALIZATION](#tCAP) | &nbsp;&nbsp;[49](#tCAP) |
| [DILUTION](#tDIL) | &nbsp;&nbsp;[50](#tDIL) |
| &nbsp;&nbsp;&nbsp;[MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND](#tMDA)<br>[RESULTS OF OPERATIONS](#tMDA) | &nbsp;&nbsp;[51](#tMDA) |
| [INDUSTRY OVERVIEW](#tOVER) | &nbsp;&nbsp;[66](#tOVER) |
| [BUSINESS](#tBUS) | &nbsp;&nbsp;[88](#tBUS) |
| [REGULATION](#tREG) | [101](#tREG) |
| [MANAGEMENT](#tMAN) | [111](#tMAN) |
| [PRINCIPAL SHAREHOLDERS](#tPS) | [116](#tPS) |
| [CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS](#tCRA) | [117](#tCRA) |
| &nbsp;&nbsp;[DESCRIPTION OF SHARE CAPITAL](#tDOS) | [119](#tDOS) |
| [CERTAIN BERMUDA COMPANY CONSIDERATIONS](#tCBC) | [125](#tCBC) |
| [COMMON SHARES ELIGIBLE FOR FUTURE SALE](#tCSE) | [132](#tCSE) |
| [TAX CONSIDERATIONS](#tTC) | [134](#tTC) |
| [UNDERWRITING (CONFLICTS OF INTEREST)](#tUND) | [138](#tUND) |
| [EXPENSES OF THE OFFERING](#tEOT) | [145](#tEOT) |
| [LEGAL MATTERS](#tLM) | [146](#tLM) |
| [EXPERTS](#tEXP) | [147](#tEXP) |
| [SERVICE OF PROCESS AND ENFORCEMENT OF CIVIL LIABILITIES](#tSOP) | [148](#tSOP) |
| [WHERE YOU CAN FIND MORE INFORMATION](#tWYC) | [149](#tWYC) |
| [GLOSSARY OF SHIPPING TERMS](#tGOS) | [150](#tGOS) |
| [INDEX TO CONSOLIDATED FINANCIAL STATEMENTS](#tITF) | [F-1](#tITF) |

---

We are responsible for the information contained in this prospectus and in any free writing prospectus we prepare or authorize. We have not, and the underwriters have not, authorized anyone to provide any information other than that contained in this prospectus or in any free writing prospectus prepared by or on behalf of us or to which we may have referred you. We and the underwriters take no responsibility for, and can provide no assurance as to the reliability of, any other information that others may give you. Neither we nor the underwriters are making an offer to sell the common shares in any jurisdiction where the offer or sale is not permitted. This offering is being made in the United States and elsewhere solely on the basis of the information contained in this prospectus. You should assume that the information appearing in this prospectus is accurate only as of the date on the front cover of this prospectus, regardless of the time of delivery of this prospectus or any sale of the common shares. Our business, financial condition, results of operations and prospects may have changed since the date on the front cover of this prospectus.

Certain market data and forecasts used throughout this prospectus were obtained from internal company surveys, market research, consultant surveys, reports of governmental and international agencies and industry publications and surveys. Unless otherwise indicated, information contained in this prospectus concerning our industry and the markets in which we will operate, including our general expectations and market position, market opportunity and market size, is based on industry publications and other published industry sources prepared by third parties, including Clarkson Research Services Limited ("Clarksons Research"), as well as publicly available information. Industry publications and third-party research, surveys and reports generally indicate that their information has been

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obtained from sources believed to be reliable. We believe the data from third-party sources to be reliable based upon our management's knowledge of the industry, but have not independently verified such data. In some cases, we do not expressly refer to the sources from which this data is derived. In that regard, when we refer to one or more sources of this type of data in any paragraph, you should assume that other data of this type appearing in the same paragraph is derived from the same sources, unless otherwise expressly stated or the context otherwise requires. Our estimates involve risks and uncertainties and are subject to change based on various factors, including those discussed under the heading "*Risk Factors*" in this prospectus. Because this information involves a number of assumptions and limitations, you are cautioned not to give undue weight to such information.

For investors outside the United States: neither we nor any of the underwriters has done anything that would permit this offering or possession or distribution of this prospectus or any free writing prospectus we may provide to you in connection with this offering in any jurisdiction where action for that purpose is required, other than in the United States. You are required to inform yourselves about and to observe any restrictions relating to this offering and the distribution of this prospectus and any such free writing prospectus outside of the United States.

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#### PRESENTATION OF FINANCIAL AND OTHER INFORMATION
We prepare and report our consolidated financial statements in accordance with U.S. GAAP (the "Consolidated Financial Statements"). We maintain our books and records in U.S. dollars.

We have made rounding adjustments to some of the figures included in this prospectus. Accordingly, numerical figures shown as totals in some tables may not be an arithmetic aggregation of the figures that precede them.

Unless otherwise indicated, all references to "U.S. dollars," "dollars," "U.S. $" and "$" in this prospectus are to the lawful currency of the United States of America, and references to "Norwegian Kroner" and "NOK" are to the lawful currency of Norway.

Unless otherwise indicated, information presented in this prospectus which forms part of this registration statement on Form F-1 (i) assumes that the underwriters' option to purchase additional common shares is not exercised and (ii) assumes that the initial public offering price of the common shares will be $ per common share (which is the closing price of our common shares on the Euronext Expand on , 2023, converted at an exchange rate equal to NOK per $1.00, which is the noon buying rate of the Federal Reserve Bank of New York for Norwegian Kroner on , 2023).

Throughout this prospectus, unless the context otherwise requires, (i) references to "Himalaya Shipping Ltd.," "Himalaya Shipping," "Himalaya," the "Company," the "Registrant," "we," "us," "Group," "our" and words of similar import refer to Himalaya Shipping Ltd. and its consolidated subsidiaries, (ii) references to "our vessels" and "our newbuilding vessels" refer to the 12 Newcastlemax dry bulk vessels we have agreed to purchase, of which one vessel was delivered on March 2, 2023 and is currently in operation, and 11 are under construction at New Times Shipyard in China, (iii) references to "Magni" or "Magni Partners" refers to Magni Partners (Bermuda) Limited, (iv) references to "Drew Holdings" refer to Drew Holdings Limited, (v) references to "New Times" or "New Times Shipyard" refer to New Times SB Jingjiang shipyard in China, (vi) references to "1-4 Shipbuilding Contracts" refer to the shipbuilding contracts with New Times relating to four vessels with hull numbers 0120833, 0120834, 0120835 and 0120836, (vii) references to "5-8 Shipbuilding Contracts" refer to the shipbuilding contracts with New Times relating to four vessels with hull numbers 0120837, 0120838, 0120839 and 0120840, (viii) references to "9-12 Shipbuilding Contracts" refer to the shipbuilding contracts with New Times relating to four additional vessels with hull numbers 0120841, 0120842, 0120843 and 0120844, (ix) references to "Shipbuilding Contracts" refer to 1-4 Shipbuilding Contracts, 5-8 Shipbuilding Contracts and 9-12 Shipbuilding Contracts, as the context requires, (x) references to "Avic Leasing Arrangement" or "Avic Leasing" refer to agreements with subsidiaries of Avic International Leasing Co. Ltd. ("Avic"), which is the provider of pre-delivery financing and sale and leaseback financings in relation to the four vessels under our 1-4 Shipbuilding Contracts, (xi) references to "CCBFL Leasing Arrangement" or "CCBFL Leasing" refer to the agreements with subsidiaries of CCB Financial Leasing Company Limited ("CCBFL"), which is the provider of pre-delivery financing and sale and leaseback financings in relation to six vessels under our 5-8 Shipbuilding Contract and 9-12 Shipbuilding Contracts, (xii) references to "Jiangsu Leasing Arrangement," or " Jiangsu Leasing," refer to the agreements with subsidiaries of Jiangsu Financial Leasing Co. Ltd. ("Jiangsu") in relation to vessels with hull numbers 0120839 and 0120840, originally financed under the CCBFL Leasing, (xiii) references to "Leasing Providers" refer to Avic, CCBFL, and Jiangsu, and their subsidiaries, (xiv) references to the "Sale and Leaseback Agreements" refer to the Avic Leasing, the CCBFL Leasing, and the Jiangsu Leasing, (xv) references to our "Drew Holdings Revolving Credit Facility" or "Drew Holdings RCF" refer to our revolving credit facility with Drew Holdings Limited, (xvi) references to our "Bridge Facility" refer to our bridge facility agreement with DNB Bank ASA, DNB Markets and other lender parties from time to time, (xvii) references to our "Financing Arrangements" refer to our Avic Leasing, CCBFL Leasing, the Jiangsu Leasing, the Drew Holdings RCF, and the Bridge Facility, (xviii) references to "Corporate Support Agreement" refer to our corporate services agreement with Magni Partners, (xix) references to "Management Agreement" refer to our management agreement with 2020 Bulkers Management AS ("2020 Bulkers" or "Manager"), (xx) references to the "Supervision Agreement" refer to the building supervision agreement of our vessels with SeaQuest Marine S.A. ("SeaQuest"), (xxi) references to the "Ship Management Agreements" refer to management agreements with respect to each vessel in our fleet, with either Wilhelmsen Ship Management (Norway) AS, or "Wilhemsen," or OSM Bergen Dry AS, or "OSM," each a " Ship Manager," (xxii) references to "Address Commission" refer to the commissions that may be deducted from each of the final delivery installments to be paid under the Shipbuilding Contracts, (xxiii) references to the "SEC" refer to the United States Securities and Exchange Commission, (xxiv) references to our "Board" or "Board of Directors" refer to the board of directors of Himalaya Shipping Ltd., as constituted at any point in time and "Director" or "Directors" refers to a member or members of the Board, as applicable, (xxv) references to "Hell and High Water Terms" refer to our absolute obligation to pay the hire rates irrespective of any contingency under the bareboat charters in each of the Sale and Leaseback

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#### **TABLE OF CONTENTS**
Agreements, (xxvi) references to the "Norwegian FSA" refer to the Financial Supervisory Authority of Norway, (xxvii) references to the "Norwegian Prospectus" refer to the prospectus we intend to file before the Norwegian FSA for the admission to listing and trading of the common shares offered in this public offering on Euronext Expand, upon which will be published in Norway and (xxviii) references to "U.S. GAAP" refer to the generally accepted accounting principles in the United States as in effect at any point in time.

For references to certain terms used in this prospectus that are commonly used in the shipping industry, see the "*Glossary of Shipping Terms*" beginning on page [150](#tGOS) of this prospectus.

#### MARKET AND INDUSTRY DATA
Unless otherwise indicated, information contained in this prospectus concerning our industry and the markets in which we will operate, including our general expectations and market position, market opportunity and market size, is based on industry publications and other published industry sources prepared by third parties, including Clarksons Research, as well as publicly available information. In some cases, we do not expressly refer to the sources from which this data is derived. In that regard, when we refer to one or more sources of this type of data in any paragraph, you should assume that other data of this type appearing in the same paragraph is derived from the same sources, unless otherwise expressly stated or the context otherwise requires. Because this information involves a number of assumptions and limitations, you are cautioned not to give undue weight to such information. We believe the data from third-party sources to be reliable based upon our management's knowledge of the industry, but have not independently verified such data.

The discussion contained under this "Industry Overview" section has been compiled from Clarksons Research's database and other industry sources. Clarksons Research compiles and publishes data for the benefit of its clients. In connection therewith, Clarksons Research has advised that: (i) certain information in Clarksons Research' database is derived from estimates or subjective judgments, (ii) the information in the databases of other shipping data collection agencies may differ from the information in Clarksons Research's database and (iii) while Clarksons Research has taken reasonable care in the compilation of the statistical and graphical information and believes it to be accurate and correct, data compilation is subject to limited audit and validation procedures. Although data is taken from the most recently available published sources, these sources do revise figures and forecasts from time to time. Market data and statistics are inherently predictive and subject to uncertainty and do not, necessarily, reflect actual market conditions. Such statistics are based on market research, which, itself, is based on sampling and subjective judgments by both the researchers and the respondents, including judgments about what types of products, services and transactions should be included in the relevant market.

Forward-looking information obtained from third-party sources is subject to the same qualifications and the uncertainties regarding the other forward-looking statements in this prospectus. See the sections entitled "*Risk Factors*" and "*Cautionary Statement Regarding Forward-Looking Statements*."

#### TRADEMARKS
We own or have the rights to use various trademarks, service marks and trade names that we use in connection with the operation of our business, including Himalaya Shipping Ltd. and our logos. This prospectus may also contain trademarks, service marks and trade names of third parties, which are the property of their respective owners. Our use or display of third-parties' trademarks, service marks, trade names or products in this prospectus is not intended to, and does not, imply a relationship with, or endorsement or sponsorship by, us.

#### EXCHANGE CONTROL
Consent under the Exchange Control Act 1972 (and its related regulations) has been obtained from the Bermuda Monetary Authority for the issue and transfer of our common shares to and between non-residents of Bermuda for exchange control purposes provided our common shares remain listed on an appointed stock exchange, which includes the Stock Exchange. In granting such consent, the Bermuda Monetary Authority accepts no responsibility for our financial soundness or the correctness of any of the statements made or opinions expressed in this prospectus.

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#### **TABLE OF CONTENTS**

#### SUMMARY
*This summary highlights information contained elsewhere in this prospectus. This summary may not contain all the information that may be important to you, and we urge you to read this entire prospectus carefully, including the "Risk Factors," "Cautionary Statement Regarding Forward-Looking Statements," "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections and our Consolidated Financial Statements and notes to those statements, included elsewhere in this prospectus, before deciding to invest in our common shares. For the definition of certain terms used in this prospectus that are commonly used in the shipping industry, see the "Glossary of Shipping Terms" beginning on page [150](#tGOS) of this prospectus.*

We are an independent bulk carrier company with contracts to acquire 12 Newcastlemax dry bulk vessels, of which one vessel was delivered on March 2, 2023 and is in operation and 11 are under construction. We were founded in March 2021 for the purpose of operating high-quality dry bulk vessels in the range of 210,000 dwt.

We have agreements to acquire 12 Newcastlemax dry bulk vessels with an aggregate carrying capacity of 2.5 million dwt, of which one vessel has been delivered and is in operation and 11 are under construction at New Times Shipyard in China. These vessels will be equipped with the latest generation dual fuel LNG technology, with fuel-saving devices, exhaust gas cleaning systems or "scrubbers", and ammonia ready engines, which we believe will make our vessels more fuel efficient, more cost effective, and environmentally friendly as compared to older dry bulk vessels without these features, which we believe will make our fleet more attractive to charterers.

We expect the dual fuel capability to be a benefit when LNG is economical to use.

The estimated delivery of our vessels is between March 2023 and August 2024. Pursuant to agreements with the Leasing Providers, upon delivery from New Times, each acquired vessel will be sold to a special purpose vehicle ("SPV") owned by the Leasing Providers, and each SPV has agreed to charter back the vessels under bareboat charters, under Hell and High Water Terms, subject to the effective transfer of ownership of the vessels to the SPVs. Each of the vessels will be flagged in Liberia. Accordingly, the first vessel recently delivered by New Times was sold to an Avic SPV and immediately thereafter chartered back to us under a bareboat charter.

Pursuant to the Shipbuilding Contracts, we agreed to acquire 12 vessels for an average purchase price of $69.3 million per vessel to be paid in four pre-delivery installments for each vessel, in the amount equal to approximately 5%, 5%, 10% and 10% of the initial purchase price of each vessel, respectively, with the remaining delivery installments, in the amount of approximately 70% of the initial purchase price payable upon the delivery of each vessel. The total average purchase price, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on each of our vessels is $71.6 million.

The total purchase price payable for the vessels is $859.7 million, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on all our vessels. As of March 6, 2023, we have paid $206.8 million for certain pre-delivery installments under the Shipbuilding Contracts and the delivery installments on one vessel (including amounts paid by our Leasing Providers and Magni on our behalf), with the remaining installments totaling $652.9 million, and we have financing for substantially all of the remaining payments under the Shipbuilding Contracts other than the cost of scrubbers we are installing on our vessels with respect to eight vessels under the 5-8 and 9-12 Shipbuilding Contracts. We have entered into agreements for pre-delivery financing and delivery financing with Avic, CCBFL, and Jiangsu to provide the financing for a substantial portion of the installments under the newbuilding program for our vessels, other than the cost of scrubbers we are installing on our vessels with respect to eight vessels under the 5-8 and 9-12 Shipbuilding Contracts.

We have agreements in place with New Times to install scrubbers on all of our vessels for a cost of $2.4 million per vessel. We have secured financing for a substantial portion of this cost for the four vessels under the 1-4 Shipbuilding Contracts and we intend to finance (i) the remaining cost of scrubbers (a) for the second vessel with hull numbers 0120834 under the 1-4 Shipbuilding Contracts with funds available to the Company under the Drew Holdings RCF or the Bridge Facility and (b) for the third and fourth vessel with hull numbers 0120835 and 0120836 under the 1-4 Shipbuilding Contract, respectively, with the net proceeds from this offering; and (ii) the respective cost of scrubbers for the eight vessels under the 5-8 and 9-12 Shipbuilding Contracts with the net proceeds of this offering or through debt financing with our existing lenders, or a combination thereof. In case we decide to finance these scrubbers through debt financing, there is no assurance that we will be able to execute this scrubber financing.

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#### **TABLE OF CONTENTS**
We are planning to raise financing through the offering contemplated by this prospectus. Assuming additional equity financing, based on our track record in terms of raising equity, and/or completion of debt financing for scrubber installation, we believe we will be able to meet anticipated liquidity requirements for our business for at least the next twelve months.

The vessels will operate worldwide, with key trades for our Newcastlemax vessels expected to be Brazil to China and Australia to China. Our vessels are expected to transport a broad range of major bulk commodities, including iron ore, coal, and bauxite. We plan to employ our vessels on index-linked rate time charters, fixed rate time charters or voyage charters, with counterparties that are expected to typically be large dry bulk operators, commodity traders and end users. Currently, six of our vessels under construction have been chartered out on index-linked rate time charters for periods of between 24 to 38 months, plus certain extension options, and we have chartered the first vessel with hull number 0120833 on a fixed-rate time charter at $30,000 per day, gross, for two years. We expect to charter the remaining vessels prior to their respective delivery from New Times.

Our Manager, 2020 Bulkers, has experience operating in the dry bulk shipping industry. Our Chief Executive Officer, Mr. Herman Billung, who is contracted from 2020 Bulkers under the Management Agreement, has extensive experience in the dry bulk shipping industry including overseeing newbuilding projects, sales and purchase activities and commercial and chartering activities. During his career, Mr. Billung has gained deep experience in and insight into the dry bulk market.

In April 2022, our common shares began trading on the Euronext Expand under the symbol "HSHIP."

The dry bulk shipping industry is highly cyclical and experiences volatility in profitability, vessel values and freight rates. Freight rates are strongly influenced by the supply of dry bulk vessels and the demand for dry bulk seaborne transportation.

We plan to maximize shareholder returns from our fleet of 12 Newcastlemax vessels. We plan to charter the vessels to strong counterparties and will focus on returning capital to the shareholders in the form of monthly dividends, subject to available cash and capital requirements, including requirements under capital expenditure programs, market prospects, contractual restrictions under our Financing Arrangements, and other considerations. See "*Dividends and Dividend Policy,*" "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital.*"

We may consider growth and acquisition opportunities if we believe they are in the best interest of our shareholders; however, our primary focus is the 12 newbuilding vessels we have agreed to acquire (one of which has already been delivered).

#### Our Fleet
We have one dual fueled Newcastlemax 210,000 dwt (delivered in March 2023) in operation and 11 newbuildings of the same type under construction at New Times Shipyard in China, which are expected to be delivered between March 2023 and August 2024. A significant part of the purchase price of these vessels will be financed under the Sale and Leaseback Agreements and, upon delivery to us, these vessels will be sold to SPVs owned by our Leasing Providers and then leased back to us under bareboat charters. These vessels will comprise our fleet when delivered, and we expect the majority of our fleet to be contracted on index-linked charters.

In connection with the IMO sulfur cap regulations that came into force in January 2020, which limits the emission of sulfur content to 0.5% m/m, all of our vessels will have scrubbers installed upon delivery to us. We believe that having scrubbers on all of our vessels will distinguish us from Capesize vessel owners that do not have scrubbers on their vessels and therefore will not be able to consume less expensive bunker fuel with higher sulfur content. Approximately 47.9% of the Capesize fleet in the market has installed scrubbers.

We estimate that each incremental $50 per tonne increase in the Very Low Sulphur Fuel Oil ("VLSFO") – High Sulfur Fuel Oil ("HSFO") fuel spread would yield a potential scrubber-driven saving for the Company of around $1.0 thousand per day for a scrubber-fitted dual fuel Newcastlemax vessel, assuming 27.4 tonnes per day fuel consumption and 75% retention of the scrubber premium by the Company. Between 2018 and 2022, the VLSFO–HSFO spread has been approximately $121 per tonne, while the 2023, 2024, and 2025 forward curves imply approximately $142, $110, and $93 per tonne, respectively.

Although LNG is not currently economical to use for dual fuel vessels at current LNG market prices, we expect the dual fuel capability to be a benefit in the future. Once LNG becomes economical to use, we estimate that each $50 per tonne increase in the VLSFO – LNG fuel spread would yield a potential LNG-driven saving of around

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$1.4 thousand per day for a scrubber-fitted dual fuel Newcastlemax vessel, assuming 27.4 tonnes per day VLSFO fuel consumption and 22.7 tonnes per day LNG fuel consumption where the spread differential is driven by increasing VLSFO prices.

Between 2014 and 2022, the VLSFO–LNG spread has been approximately $75 per tonne while the 2026, 2027, and 2028 forward curves imply approximately $72, $97, and $84 per tonne, respectively.

The following table summarizes key information about the 12 newbuilding vessels we have agreed to purchase under the Shipbuilding Contracts (one of which has already been delivered).

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Vessel Name<sup>(1)</sup>** | **Hull No.** | **Type** | **Delivery Date** <br>**or Estimated** <br>**Delivery Date** | **Size** <br>(dwt) | **Intended** <br>**Flag** | **Shipyard** | **Type of** <br>**Employment** |
| Mount Norefjell | 0120833 | Newcastlemax dry bulk carrier | March 2, 2023 | 210000 | Liberia | New Times | Fixed-time<br>charter |
| Mount Ita | 0120834 | Newcastlemax dry bulk carrier | March 9, 2023 | 210000 | Liberia | New Times | Index-linked<br>time charter<sup>(2)</sup> |
| Mount Etna | 0120835 | Newcastlemax dry bulk carrier | April 10, 2023 | 210000 | Liberia | New Times | Index-linked<br>time charter<sup>(2)</sup> |
| Mount Blanc | 0120836 | Newcastlemax dry bulk carrier | June 5, 2023 | 210000 | Liberia | New Times | Index-linked<br>time charter<sup>(2)</sup> |
| Mount Matterhorn | 0120837 | Newcastlemax dry bulk carrier | July 24, 2023 | 210000 | Liberia | New Times | Index-linked<br>time charter<sup>(2)</sup> |
| Mount Neblina | 0120838 | Newcastlemax dry bulk carrier | September 7, 2023 | 210000 | Liberia | New Times | Index-linked<br>time charter<sup>(2)</sup> |
| Mount Bandeira | 0120839 | Newcastlemax dry bulk carrier | January 3, 2024 | 210000 | Liberia | New Times | Index-linked<br>time charter<sup>(2)</sup> |
| Mount Hua | 0120840 | Newcastlemax dry bulk carrier | January 10, 2024 | 210000 | Liberia | New Times |  |
| Mount Elbrus | 0120841 | Newcastlemax dry bulk carrier | February 19, 2024 | 210000 | Liberia | New Times |  |
| Mount Denali | 0120842 | Newcastlemax dry bulk carrier | June 10, 2024 | 210000 | Liberia | New Times |  |
| Mount Aconcagua | 0120843 | Newcastlemax dry bulk carrier | July 23, 2024 | 210000 | Liberia | New Times |  |
| Mount Emai | 0120844 | Newcastlemax dry bulk carrier | August 2, 2024 | 210000 | Liberia | New Times |  |

---

(1) All our vessels are subject to Sale and Leaseback Agreements, effective upon delivery and effective transfer of ownership to the SPV owned by the Leasing Providers, as further described in "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Financing Arrangements*". 

(2)<br> These charters will be effective upon delivery.

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#### Charter Agreements
In October 2022, we entered into charter agreements for six of our vessels on index-linked time charters for periods of between 24 to 38 months, plus certain extension options. In addition, in December 2022, we entered into a fixed-rate time charter on a seventh vessel for a two-year charter at a fixed-rate of $30,000 per day gross. Each such agreement will commence and be effective upon the delivery of the respective vessel.

---

| | | | |
|:---|:---|:---|:---|
| **Vessel Name** | **Hull No.** | **Delivery Date** <br>**or Estimated** <br>**Delivery Date<sup>(1)</sup>** | **Rate (in U.S, dollars)** |
| Mount Norefjell<br>| 0120833 | March 2, 2023 | 30,000 per day gross<br> 24 months<sup>(3)</sup> |
| Mount Ita | 0120834 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 32-38 months<sup>(4)</sup> |
| Mount Etna | 0120835 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 32-38 months<sup>(4)</sup> |
| Mount Blanc | 0120836 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(5)</sup> |
| Mount Matterhorn | 0120837 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(5)</sup> |
| Mount Neblina | 0120838 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(5)</sup> |
| Mount Bandeira | 0120839 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(5)</sup> |

---

(1)<br> The estimated delivery dates to our charterers are expected to be one to two business days after the vessels are delivered to us by New Times. See "Delivery Date or Estimated Delivery Dates" under the table summarizing key information about the 12 newbuilding vessel under "—Our Fleet".

(2) We will earn revenues based on the Baltic 5TC Capesize Index published by the Baltic Exchange plus a premium which will vary depending on contract terms. In addition, we will earn a scrubber benefit based on the spread between high sulphur fuel oil and very low sulphur fuel oil or the spread between liquified natural gas and very low sulphur fuel oil, as applicable depending upon the type of fuel the vessel is using.

(3)<br> Minimum of 24 months to a maximum of 26 months with an evergreen structure thereafter.

(4)<br> Extension options for 11-13 months.

(5)<br> Minimum of 24 months with an evergreen structure thereafter.

For more details of our charter agreements and certain terms and conditions thereunder see "*Business—Charter Agreements*".

#### Ship Management Agreements
We have outsourced technical management of our vessels to third party ship managers OSM and Wilhemsen. The Ship Managers provide services including, ship maintenance, repairs, alterations and the upkeep of the vessel, appointing surveyors and technical consultants, including arranging the transportation of shore personnel when servicing the vessel, technical support, arranging supervisory visits to the vessel, and maintaining a safety management system and related services to us.

#### Management of Our Business
Our Board of Directors is responsible for determining the strategic vision and ultimate direction of our business, determining the principles of our business strategy and policies and promoting our long-term interests. Our Board of Directors exercises oversight authority over our business and, subject to our governing documents and applicable law, generally delegates day-to-day operational and commercial management of the Company to our contracted senior management team.

The contracted senior management team responsible for the day-to-day operational and commercial management has extensive experience in the dry bulk shipping market. Management of our business services, including the services of our contracted Chief Executive Officer and contracted Chief Financial Officer, are provided to us by 2020 Bulkers under the Management Agreement. The services provided include negotiating contracts related to the vessels, negotiating terms of employment of the vessels, making all necessary arrangements for the proper employment of the vessels and negotiating the terms of all contracts for the purchase or sale of the vessels, in each

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case subject to the express limitations and guidelines imposed by us, as well as newbuilding supervision, assistance with delivery of vessels and supervising SeaQuest, among others. Our Manager, 2020 Bulkers, which has experience operating in the dry bulk shipping industry, is a subsidiary of 2020 Bulkers Ltd., a company incorporated in Bermuda and listed on the Oslo Stock Exchange. Our contracted Chief Executive Officer, Mr. Herman Billung, has extensive experience in the dry bulk shipping industry including overseeing newbuilding projects, sales and purchase activities and commercial and chartering activities. During his career, Mr. Billung has gained deep experience in and insight into the dry bulk market.

In addition, pursuant to the Corporate Support Agreement, Magni, an affiliate of our largest shareholder, Drew Holdings, sources and advises on strategic opportunities for our Board of Directors' consideration, and has a key role in identifying and pursuing business opportunities to the Company. For more information on management and related parties, see the sections entitled "*Management—Board of Directors & Board Practices*" and "*Certain Relationships and Related Party Transactions*."

#### Our Competitive Strengths

#### High quality fleet of vessels to be newly delivered in 2023 and 2024
Our fleet will initially consist of 12 dual fuel Newcastlemax dry bulk vessels currently under construction with estimated deliveries between March 2023 and August 2024, of which one vessel was delivered on March 2, 2023 and is currently in operation. Once delivered, we will have a young fleet in the market where the average age of the Capesize fleet is 9.9 years. These new and modern vessels will offer technically advanced, operationally flexible, safe and reliable contracting, including optimized hull lines, fuel-saving devices to improve propeller efficiency, advanced but robust machinery, and other features that offer relatively low fuel consumption and CO<sub>2</sub> emission per tonne-mile. We believe that owning a young, high-quality, well-maintained fleet will afford us significant benefits, including reduced operating costs, improved quality of service and a competitive advantage in securing favorable charters with high-quality counterparties.

Our modern vessels will also benefit from dual fueled LNG technology and be installed with fuel-saving devices, scrubbers, and ammonia ready engines, which we believe will assist us in chartering our vessels, enhance our operating performance by reducing voyage costs, allow us to adhere to increasingly stringent environmental standards and make our vessels more environmentally friendly than vessels without these features. Although LNG is not currently economical to use for dual fuel vessels at current LNG market prices, we expect the dual fuel capability to be a benefit in the future. Since charterers pay for bunker fuel, they benefit from efficiency savings on our vessels, which makes our vessels more attractive to charterers than less efficient vessels.

In addition, all of our fleet will belong to the same size segment (Newcastlemax), with identical specifications and capabilities, which will help us market our fleet together with the support and collaboration of our Manager and Ship Managers.

Further, in light of the relatively low fuel consumption of our vessels and their dual fueled capability, we will be one of the only fleets in the market which will be capable of doing full-round routes in the key trade of Brazil to China and other similar long-haul routes without the need for rebunkering, providing our customers additional flexibility. We believe this capability makes our fleet more attractive to charterers and will enable us to focus on the most profitable routes with our customers.

#### Demonstrated access to capital and financing for substantially all of the remaining payments for our 11 newbuildings
Our 11 newbuildings on order and the newbuild that has been delivered are substantially funded by our equity financings completed prior to this offering and the debt financing (including the Sale and Leaseback Agreements) we have entered into to finance our pre-delivery and delivery installments under each Shipbuilding Contract up to the delivery date of our newbuilding vessels, from which time we expect to start to generate cash flows from operations. We have not yet secured financing for (i) remaining cost of scrubbers relating to the third and fourth vessels with hull numbers 0120835 and 0120836, respectively, under the 1-4 Shipbuilding Contract, (ii) the costs to install scrubbers on eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts, expected to be $19.2 million in the aggregate, and (iii) our working capital requirements in the upcoming months, and we intend to use a portion of the proceeds of this offering to fund a certain part of the costs to install scrubbers as described in (i) and (ii), as well as our working capital requirements.

We are planning to raise financing through the offering contemplated by this prospectus. We have financing in place for a substantial portion of the pre-delivery and delivery installments to be paid under the Shipbuilding

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Contracts (other than for the financing of the scrubbers for eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts). Assuming additional equity financing, based on our track record in terms of raising equity, and/or completion of debt financing for scrubber installation, we believe we will be able to meet anticipated liquidity requirements for our business for at least the next twelve months.

#### Management team with extensive experience in the dry bulk shipping industry
Our contracted management team has extensive experience and a strong operational track record of over 33 years in the dry bulk shipping industry. The members of our management team (contracted to us from 2020 Bulkers) have held and currently hold leadership positions at prominent dry bulk companies, including Golden Ocean Group Limited, 2020 Bulkers Ltd., Torvald Klaveness Group, Star Bulk Norway AS, among others, and have solid and long-term relationships with companies in the industry which complement one another and have assisted, and continue to assist, in our development. Since our inception, we have been able to capitalize on the 2020 Bulkers team's track record in the dry bulk shipping industry and more specifically in the Newcastlemax segment, having chartered a total of 15 Newcastlemax vessels to different customers, including seven of our vessels. We believe the experience of our management team will help us in securing charters and in successfully operating our business.

#### Commitment to safety and the environment
We are focused on developing a strong Quality, Health, Safety and Environment ("QHSE") culture and operations. We believe that the combination of quality vessels and experienced and skilled management coordinating our business will contribute to the safety and effectiveness of our operations. Our commitment to strong QHSE culture and performance is reflected in our fleet of modern, dual fuel vessels with scrubbers and ammonia ready engines. We believe that our vessels, particularly when running on LNG (when economical, which will depend upon LNG market prices), will have lower emissions of CO<sub>2</sub> compared to a standard Capesize and that by installing scrubbers we will further mitigate our vessels' environmental impact. We believe that these features of our vessels and our commitment to QHSE will enhance our growth prospects as we work toward becoming one of the preferred providers in the industry.

#### Our Strategy

#### Maximize shareholder returns
Our strategy is to maximize shareholder returns from our fleet of 12 Newcastlemax vessels once the vessels are delivered by New Times Shipyard. We plan to return capital to the shareholders in the form of monthly dividends, subject to cash requirements and availability and other considerations. We may consider growth and acquisition opportunities if we believe in the best interest of our shareholders; however, our primary focus is the 12 newbuilding vessels we have agreed to acquire (one of which has already been delivered).

#### Establish a high-quality, modern, and young Newcastlemax dry bulk fleet
All of our newbuildings on order are Newcastlemax vessels with a capacity of 210,000 dwt. We believe that Newcastlemax vessels present the most attractive value and upside potential in the current market, and as such, our management has focused on this vessel type.

As all of our vessels are newbuildings, we will have a young fleet in the market upon delivery. We intend to leverage our young and modern fleet to become a preferred provider to the industry and we have already secured charters for seven of our 12 vessels.

#### Leverage dual fuel LNG technology, fuel-saving technology and lower environmental impact of our fleet
All of our newbuildings on order are Newcastlemax vessels with dual fuel capability, scrubbers, ammonia ready engines, fuel-saving devices and improved propeller efficiency, which offer relatively low fuel consumption and CO<sub>2</sub> emission per tonne-mile. We believe these capabilities present a very attractive opportunity for our charterers when compared to less efficient and environmental vessels in the industry, and we believe this will help us to capture additional business opportunities, as these features will enhance our operating performance by reducing voyage costs, while allowing our charterers to benefit from efficiency savings on our vessels, as they pay for less bunker fuel.

Although the price of LNG is volatile and it might not always be economical to use, we believe that LNG is a good alternative fuel in the shipping industry at this time. We see this fuel as the most suitable environmentally friendly alternative for the dry bulk vessel industry during the worldwide transition to carbon neutral fuels.

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We will have one of the most fuel-efficient fleets in the market upon delivery, whether used under LNG or traditional bunkers. We intend to leverage our efficient, modern fleet to become a preferred provider to the industry, while having at the same time a lower environmental impact than older vessels without the dual fuel LNG capability and/or scrubbers and/or ammonia ready engines.

#### Pursue our simple business model with a focus on the Newcastlemax segment
Our primary focus is the 12 newbuilding we have agreed to acquire from New Times (one of which has already been delivered), all of which belong to the same size segment (Newcastlemax), with the same characteristics and capabilities. We believe this is a fairly simple business model and easy to operate given the synergies and efficiencies of managing a fleet of vessels with identical specifications in the market together with the support and collaboration of our Manager and Ship Managers.

#### Dividend Policy
We have not paid any dividends to our shareholders since our incorporation. Our Board of Directors has adopted a dividend policy to distribute monthly dividends to our shareholders once our vessels generate sufficient cash flow to allow for such payments. Any dividends will be subject to the discretion of our Board of Directors, requirements of Bermuda law and other applicable laws, our results of operation, financial condition, cash requirements and availability, including requirements under capital expenditure programs, market prospects, contractual restrictions under our Financing Arrangements, the ability of our subsidiaries to distribute funds to us and other factors deemed relevant by our Board of Directors. See "*Dividends and Dividend Policy*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital*." We cannot assure that we will be able to pay regular dividends as intended. We have not adopted a separate written dividend policy to reflect our Board's policy.

#### Conflicts of Interest
As described in "*Use of Proceeds*," we intend to use the net proceeds from this offering to repay a portion of the Bridge Facility, for which DNB Markets is acting as arranger and DNB Bank ASA is acting as the lender and as agent. Because DNB Markets, Inc. is expected to receive 5% or more of the net proceeds of this offering, not including underwriting compensation, DNB Markets, Inc., an underwriter participating in this offering, is deemed to have a "conflict of interest" within the meaning of Rule 5121 of the Financial Industry Regulatory Authority, Inc. or Rule 5121. Accordingly, this offering will be made in compliance with the applicable provisions of Rule 5121, which requires that a qualified independent underwriter, or QIU, participate in the preparation of this prospectus and perform the usual standards of due diligence with respect thereto. Clarksons Securities, Inc. has agreed to act as the QIU for this offering. Clarksons Securities, Inc. will not receive any additional compensation for acting as the QIU. We have agreed to indemnify Clarksons Securities, Inc. against certain liabilities incurred in connection with acting as a QIU, including liabilities under the Securities Act. In accordance with Rule 5121, DNB Markets, Inc. will not confirm sales to discretionary accounts without the prior written approval of the customer. Please see "*Underwriting (Conflicts of Interest)*" for more information.

#### Corporate Information
We were incorporated in Bermuda on March 17, 2021.

Our principal executive offices are located at S. E. Pearman Building, 2<sup>nd</sup> Floor, 9 Par-la-Ville Road, Hamilton HM11, Bermuda and our telephone number is +1 (441) 542-4577. Our principal website is https://himalaya-shipping.com/. The information contained on our website is not a part of this prospectus, and the inclusion of our website address in this prospectus is an inactive textual reference only.

We maintain a registered office in Bermuda at S. E. Pearman Building, 2<sup>nd</sup> Floor, 9 Par-la-Ville Road, Hamilton HM11, Bermuda. The telephone number of our registered office is +1 (441) 542-4577.

#### Risk Factors Summary
We face a number of risks associated with our business and industry and must overcome a variety of challenges to utilize our strengths and implement our business strategies, including those described in "*Risk Factors*" immediately following this Prospectus summary. These risks include, but are not limited to, the following:

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&nbsp;&nbsp;&nbsp;&nbsp;• changes in the international shipping industry, including charter hire rates and related volatility;

&nbsp;&nbsp;&nbsp;&nbsp;• the current state of the global financial markets and economic conditions;

&nbsp;&nbsp;&nbsp;&nbsp;• political instability, possible acts of piracy, terrorist or other attacks, war and international hostilities in countries where vessels may be employed;

&nbsp;&nbsp;&nbsp;&nbsp;• outbreaks of epidemic and pandemic diseases, including COVID-19, and governmental responses thereto;

&nbsp;&nbsp;&nbsp;&nbsp;• an over-supply of dry bulk vessel capacity which may lead to reductions in current charter rates, vessel values and profitability;

&nbsp;&nbsp;&nbsp;&nbsp;• the environmental regulatory landscape relating to ballast water discharge;

&nbsp;&nbsp;&nbsp;&nbsp;• high prices of fuel, or bunker, may adversely affect our profits;

&nbsp;&nbsp;&nbsp;&nbsp;• inherent operational risks of the shipping industry;

&nbsp;&nbsp;&nbsp;&nbsp;• risks with respect to our counterparties on contracts, and failure of such counterparties to meet their obligations;

&nbsp;&nbsp;&nbsp;&nbsp;• not being successful in finding employment for all of our vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• dependency on the ability of our subsidiaries to distribute or loan funds to us in order to make dividend payments;

&nbsp;&nbsp;&nbsp;&nbsp;• potential conflicts of interests between us and 2020 Bulkers;

&nbsp;&nbsp;&nbsp;&nbsp;• a decrease in the level of China's export of goods;

&nbsp;&nbsp;&nbsp;&nbsp;• our dependency upon a limited number of significant customers for a large part of our revenues and the loss of one or more of these customers;

&nbsp;&nbsp;&nbsp;&nbsp;• our inability to make required payment under certain of our Financing Arrangements if our vessel charters do not provide sufficient revenue to service our debt service obligations;

&nbsp;&nbsp;&nbsp;&nbsp;• restrictive covenants in our existing Credit Arrangements imposing financial and other restrictions on us;

&nbsp;&nbsp;&nbsp;&nbsp;• potential inability to comply with the financial covenants in our CCBFL Leasing;

&nbsp;&nbsp;&nbsp;&nbsp;• inability to successfully take delivery of and employ our newbuilding vessels; and

&nbsp;&nbsp;&nbsp;&nbsp;• other factors described under "Risk Factors" in this prospectus.

You should carefully consider all of the information set forth in this prospectus and, in particular, those risks described in "*Risk Factors*" and the other information in this prospectus before deciding whether to invest in our common shares. These risks could, among other things, prevent us from successfully executing our strategies and could have a material adverse effect on our business, financial condition and results of operations.

#### Implications of Being an Emerging Growth Company
As a company with less than $1.235 billion in revenue during our last fiscal year, we qualify as an "emerging growth company" as defined in the Jumpstart Our Business Startups Act ("JOBS Act"). An emerging growth company may take advantage of specified reduced reporting and other burdens that are otherwise applicable generally to public companies. These provisions include an exemption from the auditor attestation requirement in the auditor assessment of our internal control over financial reporting pursuant to the Sarbanes-Oxley Act.

We may take advantage of these provisions for up to five years or such earlier time that we are no longer an emerging growth company. We would cease to be an emerging growth company (i) upon the last day of the fiscal year (A) in which we had more than $1.235 billion in annual revenue, or (B) we are deemed to be a "large accelerated filer" under the rules of the SEC, which means the market value of our common shares held by non-affiliates exceeds $700.0 million as of the prior June 30<sup>th</sup>, or (ii) upon the date on which we have issued more than $1.0 billion of non-convertible debt over a three-year period. We may choose to take advantage of some but not all of these reduced burdens. To the extent that we take advantage of these reduced reporting burdens, the information that we provide shareholders may be different than you might obtain from other public companies in which you hold equity interests.

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The JOBS Act permits an "emerging growth company" like us to take advantage of an extended transition period to comply with new or revised accounting standards applicable to public companies. We are choosing to "opt out" of this provision and, as a result, we will comply with new or revised accounting standards as required when they are adopted. Our decision to opt out of the extended transition period is irrevocable.

#### Implications of Being a Foreign Private Issuer
In general, under the Stock Exchange corporate governance standards, foreign private issuers, as defined under the Exchange Act, are permitted to follow home country corporate governance practices instead of the corporate governance practices of the Stock Exchange. Accordingly, we intend to follow certain corporate governance practices of our home country, Bermuda, in lieu of certain of the corporate governance requirements of the Stock Exchange. A brief summary of those differences is provided as follows:

&nbsp;&nbsp;&nbsp;&nbsp;• Our by-laws do not require shareholder approval for the issuance of shares (i) in connection with the acquisition of stock or assets of another company; (ii) when it would result in a change of control; (iii) when a share option or purchase plan is to be established or materially amended or other equity compensation arrangement made or materially amended, pursuant to which shares may be acquired by officers, directors, employees, or consultants; or (iv) in connection with a transaction (other than a public offering) involving the sale, issuance or potential issuance of shares at a price less than market value.

In addition, as a foreign private issuer, we will not be subject to the following requirements under US securities laws applicable to domestic issuers:

&nbsp;&nbsp;&nbsp;&nbsp;• The requirement to file quarterly reports on Form 10-Q, from filing proxy solicitation materials on Schedule 14A or 14C in connection with annual or special meetings of shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;• The requirement to file reports on Form 8-K disclosing significant events within four business days of their occurrence;

&nbsp;&nbsp;&nbsp;&nbsp;• The requirements of Regulation FD;

&nbsp;&nbsp;&nbsp;&nbsp;• Section 16 rules regarding sales of common shares by insiders, which will provide less data in this regard than shareholders of U.S. companies that are subject to the Exchange Act;

If at any time we cease to be a "foreign private issuer" under the rules of the Stock Exchange and the Exchange Act, as applicable, our Board of Directors will take all action necessary to comply with the Stock Exchange corporate governance rules.

Due to our status as a foreign private issuer and our intent to follow certain home country corporate governance practices, our shareholders will not have the same protections afforded to shareholders of companies that are subject to all the Stock Exchange corporate governance standards. See "*Description of Share Capital*."

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#### THE OFFERING

#### Issuer
Himalaya Shipping Ltd.

#### Offering
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;common shares (assuming the underwriters exercise in full their option to purchase additional common shares).

#### Voting rights
Our common shares have one vote per share.

#### Over-allotment option
We have granted the underwriters the right to purchase up to an additional common shares from us within 30 days of the date of this prospectus, to cover over-allotments, if any, in connection with the offering.

#### Share capital before and after offering
Our issued and outstanding share capital before the offering consists of 32,152,857 common shares.<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>

Immediately after the offering, we will have common shares outstanding, assuming no exercise of the underwriter's over-allotment option.

#### Use of proceeds
We expect to receive total estimated net proceeds of approximately $ million (or $ million if the underwriters exercise in full their option to purchase additional common shares), assuming an initial public offering price of $ per common share, which is the closing price of our common shares on the Euronext Expand on , 2023, converted at an exchange rate equal to NOK per $1.00, which is the noon buying rate of the Federal Reserve Bank of New York for Norwegian Kroner on , 2023, after deducting estimated underwriting discounts and commissions and expenses of the offering that are payable by us. <br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>

We intend to use the net proceeds from this offering for general corporate purposes, which may include funding acquisitions or maintaining liquidity, funding the cost of scrubber installations, repayment of indebtedness, and funding our working capital needs. We will have broad discretion in allocating the net proceeds from this offering. In particular we intend to use the proceeds of the offering primarily to (i) repay $1.7 million drawn under our Drew Holdings RCF, drawn to fund working capital requirements and fees payable to lenders, (ii) repay $7.5 million drawn under our Bridge Facility to fund working capital requirements, (iii) repay $2.2 million to our Ship Managers relating to advanced short-term funding provided to us to cover actual costs and expenses arising from or in connection with the Ship Management Agreements, (iv) pay the remaining cost of scrubbers relating to the third and fourth vessels with hull numbers 0120835 and 0120836, respectively, under the 1-4 Shipbuilding Contract, (v) pay the costs to install scrubbers on eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts, and (vi) pay $ of loan fees to be paid to the Leasing Providers. See "*Use of Proceeds*".

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#### Conflicts of Interest
As described in "*Use of Proceeds*," we intend to use the net proceeds from this offering to repay a portion of the Bridge Facility, for which DNB Markets is acting as arranger and DNB Bank ASA is acting as the lender and as agent. Because DNB Markets, Inc. is expected to receive 5% or more of the net proceeds of this offering, not including underwriting compensation, DNB Markets, Inc., an underwriter participating in this offering, is deemed to have a "conflict of interest" within the meaning of Rule 5121. Accordingly, this offering will be made in compliance with the applicable provisions of Rule 5121, which requires that a QIU participate in the preparation of this prospectus and perform the usual standards of due diligence with respect thereto. Clarksons Securities, Inc. has agreed to act as the QIU for this offering. Clarksons Securities, Inc. will not receive any additional compensation for acting as the QIU. We have agreed to indemnify Clarksons Securities, Inc. against certain liabilities incurred in connection with acting as a QIU, including liabilities under the Securities Act. In accordance with Rule 5121, DNB Markets, Inc. will not confirm sales to discretionary accounts without the prior written approval of the customer. Please see "*Underwriting (Conflicts of Interest)*" for more information.

#### Dividend policy
Our Board of Directors has not declared or paid any dividends to shareholders since our incorporation. Our Board of Directors has adopted a dividend policy to distribute monthly dividends to our shareholders once our vessels generate sufficient cash flow allowing such payments. Any dividends will be subject to the discretion of our Board of Directors, requirements of Bermuda law and other applicable laws, our results of operations, financial condition, cash requirements and availability, including requirements under capital expenditure programs, contractual restrictions under our Financing Arrangements, the ability of our subsidiaries to distribute funds to us and other factors deemed relevant by our Board of Directors. See "*Dividends and Dividend Policy*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements" and "Description of Share Capital.*"

#### Lock-up agreements
We have agreed with the underwriters, subject to certain exceptions, not to offer, sell, or dispose of any shares of our share capital or securities convertible into or exchangeable or exercisable for any shares of our share capital during the 180-day period following the date of this prospectus, subject to certain exceptions. Members of our Board of Directors and our contracted executive officers, comprising an aggregate of 1.2% of our outstanding share capital as of the date of this prospectus, have agreed to substantially similar lock-up provisions, subject to certain exceptions.

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#### Risk factors
See "*Risk Factors*" and the other information included in this prospectus for a discussion of factors you should consider before deciding to invest in our common shares.

#### Listing
We have applied to list our common shares on the Stock Exchange under the symbol "HSHP." Our previously issued common shares will remain listed on the Euronext Expand and we intend to file the Norwegian Prospectus before the Norwegian FSA for the admission to listing and trading of the common shares offered in this public offering on Euronext Expand, upon which approval the Company intends to publish the Norwegian Prospectus and our common shares will be tradeable from the Stock Exchange to the Euronext Expand.

Unless otherwise indicated, all information contained in this prospectus assumes no exercise of the option granted to the underwriters to purchase up to additional common shares to cover over-allotments, if any, in connection with the offering.

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#### SUMMARY FINANCIAL INFORMATION
We were incorporated in Bermuda on March 17, 2021 and all financial information for the period ended December 31, 2021 is from this date. The following table sets forth our selected consolidated financial data. The selected financial data as of and for the year ended December 31, 2022 and as of and for the period ended December 31, 2021 of Himalaya Shipping Ltd. has been derived from our Consolidated Financial Statements included elsewhere in this prospectus, which have been prepared in accordance with U.S. GAAP. This financial information should be read in conjunction with the sections entitled "Capitalization," "Presentation of Financial and Other Information," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and our Consolidated Financial Statements, including the notes thereto, included elsewhere in this prospectus.

#### Selected Statements of Operation Data:

---

| | | |
|:---|:---|:---|
| **(in millions of U.S. dollars except share and per share data)** | **Year ended** <br>**December 31,**<br>**2022** | **Period from** <br>**March 17**<br>(Inception) <br>**to December 31,**<br>**2021** |
| **Operating expenses**<br>|  |  |
| &nbsp;&nbsp;&nbsp;**Total operating expenses** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Operating loss** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| Interest, expense, net of capitalized interest | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| **Net loss attributable to shareholders of Himalaya Shipping** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Loss per share**<br>|  |  |
| Basic and diluted loss per share | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) |
| Weighted average shares outstanding | 32152857 | &nbsp;&nbsp;18316970 |

---

#### Selected Balance Sheet Data:

---

| | | |
|:---|:---|:---|
| **(in millions of U.S.$)** | **As of**<br>**December 31,**<br>**2022** | **As of**<br>**December 31,**<br>**2021** |
| **ASSETS**<br>|  |  |
| **Current Assets**<br>|  |  |
| Cash and cash equivalents | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| Other current assets | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4 |  |
| &nbsp;&nbsp;**Total current assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| **Non-current assets**<br>|  |  |
| Newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;176.1 | &nbsp;&nbsp;&nbsp;&nbsp;83.5 |
| Other non-current assets | &nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 |
| **Total non-current assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;176.1 | &nbsp;&nbsp;&nbsp;&nbsp;83.9 |
| &nbsp;&nbsp;**Total assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;177.8 | &nbsp;&nbsp;&nbsp;&nbsp;95.2 |
| **LIABILITIES AND SHAREHOLDERS' EQUITY**<br>|  |  |
| **Current liabilities**<br>|  |  |
| Current portion of long-term debt | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.0 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Account payable | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.9 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.8 |
| Amounts due to related parties | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Accrued expenses | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| &nbsp;&nbsp;Other current liabilities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Total current liabilities** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.8 |

---

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---

| | | |
|:---|:---|:---|
| **(in millions of U.S.$)** | **As of**<br>**December 31,**<br>**2022** | **As of**<br>**December 31,**<br>**2021** |
| **Non-current liabilities**<br>|  |  |
| Long-term debt | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;60.5 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Amounts due to related parties | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 |
| **Total non-current liabilities** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 |
| **Total liabilities** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;87.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 |
| **Commitments and contingencies**<br>|  |  |
| **Shareholders' equity**<br>|  |  |
| Common shares of par value $1.0 per share: authorized at December 31, 2022 and 2021: 140,010,000 shares, issued and outstanding at December 31, 2022 and 2021: 32,152,857 shares | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;32.2 | &nbsp;&nbsp;&nbsp;&nbsp;32.2 |
| Additional paid-in capital | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61.1 | &nbsp;&nbsp;&nbsp;&nbsp;60.7 |
| Retained loss | &nbsp;&nbsp;&nbsp;&nbsp;(3.0) | &nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Total shareholders' equity** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;90.3 | &nbsp;&nbsp;&nbsp;&nbsp;91.9 |
| **Total liabilities and shareholders' equity** | &nbsp;&nbsp;&nbsp;&nbsp;177.8 | &nbsp;&nbsp;&nbsp;&nbsp;95.2 |

---

#### Selected Cash Flow Data:

---

| | | |
|:---|:---|:---|
| **(in millions of U.S.$)** | **Year ended** <br>**December 31,** <br>**2022** | **Period from** <br>**March 17** <br>(Inception) to <br>**December 31,** <br>**2021** |
| **Cash flows from operating activities**<br>|  |  |
| **Net loss for the period** | &nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| Shared based compensation | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Other current assets | &nbsp;&nbsp;&nbsp;&nbsp;(0.5) | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Account payables | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 |
| &nbsp;&nbsp;Other current liabilities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.1 |
| **Net cash used in operating activities** | &nbsp;&nbsp;&nbsp;&nbsp;(1.4) | &nbsp;&nbsp;&nbsp;&nbsp;(0.5) |
| **Cash flows from investing activities**<br>|  |  |
| Additions to newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;(78.3) | &nbsp;&nbsp;&nbsp;&nbsp;(68.8) |
| **Net cash used in investing activities** | &nbsp;&nbsp;&nbsp;&nbsp;(78.3) | &nbsp;&nbsp;&nbsp;&nbsp;(68.8) |
| **Cash flows from financing activities**<br>|  |  |
| Proceeds, net of deferred loan costs paid to lender, from issuance of long term debt | &nbsp;&nbsp;&nbsp;&nbsp;69.6 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Other deferred loan costs paid | &nbsp;&nbsp;&nbsp;&nbsp;(1.4) | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Proceeds from issuance of long-term debt from related parties | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Proceeds from the issuance of common shares, net of paid issuance costs | &nbsp;&nbsp;&nbsp;&nbsp;(0.5) | &nbsp;&nbsp;&nbsp;&nbsp;80.6 |
| **Net cash provided by financing activities** | &nbsp;&nbsp;&nbsp;&nbsp;68.7 | &nbsp;&nbsp;&nbsp;&nbsp;80.6 |
| Net increase (decrease) in cash and cash equivalents and restricted cash | &nbsp;&nbsp;&nbsp;&nbsp;(11.0) | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| Cash and cash equivalents and restricted cash at beginning of period | &nbsp;&nbsp;&nbsp;&nbsp;11.3 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Cash and cash equivalents and restricted cash at end of period** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| **Supplemental disclosure of cash flow information**<br>|  |  |
| &nbsp;&nbsp;Non-cash settlement of debt | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;(13.6) |
| &nbsp;&nbsp;Non-cash share issuance | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;13.6 |
| &nbsp;&nbsp;Non-cash additions in respect of newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;(13.7) | &nbsp;&nbsp;&nbsp;&nbsp;(13.6) |
| Issuance of liabilities for newbuilding installments | &nbsp;&nbsp;&nbsp;&nbsp;13.7 | &nbsp;&nbsp;&nbsp;&nbsp;13.6 |
| &nbsp;&nbsp;Interest paid, net of capitalized interest | &nbsp;&nbsp;&nbsp;&nbsp;(0.4) | &nbsp;&nbsp;&nbsp;&nbsp;— |

---

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#### RISK FACTORS
*You should carefully consider the risks and uncertainties described below and the other information in this prospectus before making an investment in our common shares. Our business, financial condition or results of operations could be materially and adversely affected if any of these risks occurs, and as a result, the market price of our common shares could decline and you could lose all or part of your investment. Additional risks and uncertainties not currently known to us, or which we currently deem immaterial, may also adversely affect our business, financial condition or results of operations. This prospectus also contains forward-looking statements that involve risks and uncertainties. See "Cautionary Statement Regarding Forward-Looking Statements." Our actual results could differ materially and adversely from those anticipated in these forward-looking statements as a result of certain factors, including the risks facing our Company described below and elsewhere in this prospectus.*

#### Risks Related to Our Industry
***Charter hire rates for dry bulk vessels are volatile, have fluctuated significantly over the past years, and may continue to decrease below our cash break-even rates in the future, which may adversely affect our business, results of operations and financial condition.***

The dry bulk shipping industry is cyclical and charter hire rates and profitability are volatile. Time charter and spot market rates for dry bulk vessels have in the recent past declined below operating costs of vessels. When we charter our vessels pursuant to time charters, we will be exposed to changes in charter rates for dry bulk carriers and such changes may adversely affect our earnings and the value of our dry bulk carriers at any given time.

Fluctuations in charter rates result from changes in the supply of and demand for vessel capacity for the major commodities carried on water internationally and the degree of charter hire rate volatility among different types of dry bulk vessels has varied widely. Volatility in charter rates in the dry bulk market affects our earnings and results of operations and also affects the value of our dry bulk vessels, which follows the trends of dry bulk charter rates. The Baltic Dry Index, or the BDI, a daily average of charter rates for key dry bulk routes published by the Baltic Exchange Limited, has long been viewed as the main benchmark to monitor the movements of the dry bulk vessel charter market and the performance of the entire dry bulk shipping market and has been very volatile. The BDI declined from a peak of 11,793 in May 2008 to a low of 663 in December 2008 and has remained volatile since then, reaching a record low of 290 in February 2016. In 2020, the BDI ranged from a low of 393 in May to a high of 2,097 in October, increased to a high of 5,650 in October 2021, and dropped to 2,217 in December 2021. The BDI further increased to a high of 3,369 in May 2022, further dropped to 965 in August 2022 and as of December 14, 2022 slightly increased to 1,357. Because the volatility in the dry bulk carrier charter and 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, and may continue to have an adverse consequences for our industry, including an absence of financing for vessels, charterers seeking to renegotiate the rates for existing time charters, and widespread loan covenant defaults in the dry bulk shipping industry. Volatility and low charter rates could also cause the value of our common shares to be substantially reduced or eliminated.

In January 2022, spot rates fell to low levels, following normal seasonal patterns as well as the impact of the Winter Olympic games in China, which reduced industrial activity in the region. The rates were volatile during 2022 and on March 6, 2023 are at $11,026 per day for the standard BCI vessel. In addition, there are many uncertainties in the market and rates could also decline as a result of the hostilities between Russia and Ukraine or for any other reason. We may not be able to successfully charter our vessels when they are delivered at rates sufficient to allow us to break even, meet our obligations or pay any dividends in the future. See "*—Our future results of operations will be subject to seasonal fluctuations, which may adversely affect our financial condition*."

Factors that influence demand for dry bulk vessel capacity include:

&nbsp;&nbsp;&nbsp;&nbsp;• supply of and demand for, changes in the exploration or production of, and the location of consuming regions for energy resources, commodities, and semi-finished and finished consumer and industrial products;

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

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

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&nbsp;&nbsp;&nbsp;&nbsp;• global and regional economic and political conditions, armed conflicts, terrorist activities, embargoes, strikes, tariffs and "trade wars," including the war in Ukraine, developments in international trade and fluctuations in industrial and agricultural production;

&nbsp;&nbsp;&nbsp;&nbsp;• economic slowdowns caused by public health events such as the COVID-19 outbreak and other diseases and viruses, affecting livestock and humans;

&nbsp;&nbsp;&nbsp;&nbsp;• disruptions and developments in international trade;

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

&nbsp;&nbsp;&nbsp;&nbsp;• environmental and other regulatory developments; and

&nbsp;&nbsp;&nbsp;&nbsp;• currency exchange rates.

Demand for dry bulk vessels is dependent upon economic growth in the world's economies, seasonal and regional changes in demand and changes to the capacity of the global dry bulk fleet and the sources and supply of dry bulk cargo transported by sea. Continued adverse economic, political or social conditions or other developments could negatively impact charter rates and have a material adverse effect on our business, results of operations and financial condition.

Factors that influence the supply of dry bulk vessel capacity include:

&nbsp;&nbsp;&nbsp;&nbsp;• the number of newbuilding orders and deliveries, including delays in deliveries;

&nbsp;&nbsp;&nbsp;&nbsp;• the number of shipyards and ability of shipyards to deliver vessels;

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

&nbsp;&nbsp;&nbsp;&nbsp;• port and canal congestion;

&nbsp;&nbsp;&nbsp;&nbsp;• the degree of scrapping of older vessels, depending, among other things, on recycling rates and international recycling regulations;

&nbsp;&nbsp;&nbsp;&nbsp;• disruption of shipping routes due to accidents or political events;

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

&nbsp;&nbsp;&nbsp;&nbsp;• vessel casualties;

&nbsp;&nbsp;&nbsp;&nbsp;• the number of vessels that are out of service, namely those that are laid-up, dry docked, awaiting repairs or otherwise not available for hire;

&nbsp;&nbsp;&nbsp;&nbsp;• sanctions (in particular, sanctions on Russia, Iran, and Venezuela, among others);

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

&nbsp;&nbsp;&nbsp;&nbsp;• changes in national or international regulations that may limit the useful life of vessels or effectively cause reductions in the carrying capacity of vessels or early obsolescence of tonnage and encourage the construction of vessels; and

&nbsp;&nbsp;&nbsp;&nbsp;• changes in environmental and other regulations that may limit the useful lives of vessels.

In addition to the prevailing and anticipated freight rates, factors that affect the level of newbuilding, scrapping and laying-up include newbuilding prices, second-hand vessel values in relation to scrap prices, costs of bunker and other operating costs, costs associated with classification society surveys, normal maintenance costs and insurance coverage costs, the efficiency and age profile of the existing dry bulk 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 dry bulk 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.

We anticipate that the future demand for our dry bulk vessels will be dependent upon economic growth in the world's economies, including China and India, seasonal and regional changes in demand, changes in the capacity of the global dry bulk fleet and the sources and supply of dry bulk cargo to be transported by sea. While there has been a general decrease in new dry bulk carrier ordering since 2014, the capacity of the global dry bulk carrier fleet could

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increase and economic growth may not resume in areas that have experienced a recession or continue in other areas. In addition, adverse economic, political, social or other developments could have a material adverse effect on our business, results of operations and financial condition. Further, the dry bulk market may fluctuate widely based on a variety of factors including changes in overall market movements, political and economic events, wars, acts of terrorism, natural disasters (including disease, epidemics and pandemics) and changes in interest rates or inflation rates.

***The current state of the global financial markets and current economic conditions may adversely impact our business, results of operation, financial condition and our ability to obtain additional financing.***

Global financial markets and economic conditions have been, and continue to be, volatile. Beginning in February 2020, due in part to fears associated with the spread of COVID-19, global financial markets, and starting in late February 2022, financial markets in the U.S., experienced even greater relative volatility which may continue as the COVID-19 pandemic and governmental responses to it continue to develop. On February 24, 2022, Russian troops invaded Ukraine starting a military conflict, the length and breadth of which remains highly unpredictable. Coupled with existing supply disruptions and changes in U.S. Federal Reserve policies on interest rates, this war has exacerbated, and may continue to exacerbate, inflation and significant volatility in commodity prices, credit and capital markets, as well as supply chain disruptions. The U.S., the members of the European Union, and other countries, as well as other public and private actors and companies have imposed sanctions and other penalties on Russia including removing Russian-based financial institutions from the Society for Worldwide Interbank Financial Telecommunication payment system and restricting imports of Russian oil, liquefied natural gas and coal. These sanctions have caused supply disruptions in the oil and gas markets and could continue to cause significant volatility in energy prices, which could have a material effect on inflation and may trigger a recession in the U.S. and China, among other areas. These factors may result in the weakening of the financial condition of our charterers, suppliers, counterparties and other agents in the shipping industry. As a result, our financial condition and results of operations may be negatively affected since our operations are dependent on the success and economic viability of our counterparties. In addition, the U.S. government has warned of the potential for Russian cyberattacks. The risk of Russian cyberattacks may also create market volatility and economic uncertainty particularly if these attacks occur and spread to a broad array of countries and networks.

These and other sanctions that may be imposed as well as the ongoing conflict could further adversely affect the global economy and financial markets and cause further instability, negatively impacting liquidity in the capital markets and potentially making it more difficult for us to access additional debt or equity financing on attractive terms in the future, to the extent needed. Credit markets and the debt and equity capital markets have been distressed and the uncertainty surrounding the future of the global credit markets has resulted in reduced access to credit worldwide, particularly for the shipping industry. These issues, along with significant write-offs in the financial services sector, the repricing of credit risk and the current economic conditions, may make it difficult to obtain financing in the future. The current state of global financial markets and current economic conditions might adversely impact our ability to issue additional equity at prices that will not be dilutive to our shareholders or preclude us from issuing equity at all. Economic conditions may also adversely affect the market price of our common shares.

As a result of concerns about the stability of financial markets generally and the solvency of counterparties specifically, as well as interest rate increases by central banks across the world, the availability and cost of obtaining money from the public and private equity and debt markets has become more difficult. Many lenders have increased interest rates, enacted tighter lending standards, refused to refinance existing debt at all or on terms similar to current debt and reduced, and in some cases ceased to provide funding to borrowers and other market participants, including equity and debt investors, and some have been unwilling to invest on attractive terms or even at all. Due to these factors, we cannot be certain that additional financing will be available if needed and to the extent required, on acceptable terms or at all. If financing or refinancing is not available when needed, or is available only on unfavorable terms, we may be unable to meet our obligations as they come due or we may be unable to meet our obligations as they come due or we may be unable to enhance our existing business, complete additional vessel acquisitions or otherwise take advantage of business opportunities as they arise.

Credit markets in the United States and Europe have in the past experienced significant contraction, deleveraging and reduced liquidity, and there is a risk that the U.S. federal government and state governments and European authorities continue to implement a broad variety of governmental action and/or new regulation of the financial markets. Global financial markets and economic conditions have been, and continue to be, disrupted and volatile. We face risks attendant to changes in economic environments, changes in interest rates, and instability in the

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banking and securities markets around the world, among other factors, which may have a material adverse effect on our business, results of operations and financial condition.

***We may be adversely affected by political instability, terrorist or other attacks, war and international hostilities and global public health threats can affect the seaborne transportation industry, which could adversely affect our business, results of operations and financial condition.***

We may be adversely affected by changing economic, political and government conditions in the countries and regions where our vessels will be employed or registered. Moreover, the dry bulk shipping industry is likely to be adversely impacted by the effects of political conflicts.

Currently, the world economy faces a number of challenges, including the war in Ukraine, tensions between the United States and Iran, 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 recent occurrences in the Middle East and in other geographic areas and countries, including hostilities between the United States and North Korea which may lead to armed conflict or acts of terrorism around the world, as well as the impact of the ongoing COVID-19 outbreak, which may contribute to further economic instability in the global financial markets, and international commerce.

In the past, 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 most recently in the Black Sea in connection with the recent conflicts between Russia and Ukraine. Acts of terrorism and piracy have also affected vessels trading in regions such as the South China Sea and the Gulf of Aden off the coast of Somalia. Any of these occurrences could have a material adverse impact on our business, results of operations, and financial condition.

Furthermore, the continuing war in Ukraine may also adversely impact our business and may lead to further regional and international conflicts or armed action. Such conflict could further disrupt supply chains and cause instability in the global economy. Additionally, Brexit, or similar events in other jurisdictions, could impact global markets, including foreign exchange and securities markets; any resulting changes in currency exchange rates, tariffs, treaties and other regulatory matters could in turn adversely impact our business and operations. Any violations of sanctions by our charter parties, any extension or worsening of the conflict in these regions, as well as any significant sanctions resulting from the conflicts that affect, among other things, the performance of our charter party agreements specifically or the dry bulk industry more generally, may have a material adverse effect on our business, results of operations and financial condition.

#### Outbreaks of epidemic and pandemic diseases, including COVID-19, and governmental responses thereto could adversely affect our business, results of operations and financial condition.
Global public health threats, such as COVID-19 (as described more fully below), influenza and other highly communicable diseases or viruses, outbreaks of which have from time to time occurred in various parts of the world in which we will operate, including China, could adversely impact our operations, the timing of completion of our outstanding or future newbuilding projects, as well as the operations of our charterers, upon delivery of our vessels. The ongoing COVID-19 pandemic has, among other things, caused delays and uncertainties relating to newbuildings, dry dockings and other functions of shipyards.

The ongoing outbreak of the COVID-19 has already caused severe global disruptions and may continue to negatively affect economic conditions regionally as well as globally and otherwise impact our operations and the operations of our charterers and suppliers. Certain governments in affected countries continue to impose travel bans, quarantines and other emergency public health measures. Companies are also taking precautions, such as requiring employees to work remotely, imposing travel restrictions and temporarily closing businesses. These restrictions, and future prevention and mitigation measures, are likely to continue to have an adverse impact on global economic conditions, which could materially and adversely affect our future operations. Uncertainties regarding the economic impact of the COVID-19 outbreak is likely to result in sustained market turmoil, which could also negatively impact our business, financial condition and cash flows. As a result of these measures, our vessels may not be able to call on ports, or may be restricted from disembarking from ports, located in regions affected by the outbreak. In addition we may experience severe operational disruptions and delays, unavailability of normal port infrastructure and services including limited access to equipment, critical goods and personnel, disruptions to crew change, quarantine of ships and/or crew, counterparty solidity, closure of ports and custom offices, as well as disruptions in the supply chain and industrial production, which may lead to reduced cargo demand, among other potential consequences attendant to epidemic and pandemic diseases.

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The COVID-19 pandemic and measures to contain its spread have negatively impacted regional and global economies and trade patterns in markets in which we will operate, the way we operate our business, and the businesses of our charterers and suppliers. These negative impacts could continue or worsen, even after the pandemic itself diminishes or ends. Companies, including us, have also taken precautions, such as requiring employees to work remotely and imposing travel restrictions, while some other businesses have been required to close entirely. Moreover, we face significant risks to our personnel and operations due to the COVID-19 pandemic. Our crews face risk of exposure to COVID-19 as a result of travel to ports in which cases of COVID-19 have been reported.

Measures against COVID-19 in a number of countries have restricted crew rotations in the vessel industry, which may continue. As a result, in 2022, although to a lesser extent than in 2021, vessel operators experienced and may continue to experience disruptions to normal vessel operations caused by increased deviation time associated with positioning vessels to countries in which they can undertake a crew rotation in compliance with such measures. Delays in crew rotations have led to issues with crew fatigue, physical health, and the safe operation of vessels, and may continue to do so, which may result in delays or other operational issues. We expect to incur increased expenses due to incremental fuel consumption and days in which our vessels are unable to earn revenue if our vessels are required to deviate to certain ports on which we would ordinarily not call during a typical voyage. We may also incur additional expenses associated with testing, personal protective equipment, quarantines, and travel expenses such as airfare costs in order to perform crew rotations in the current environment.

The COVID-19 pandemic and measures in place against the spread of the virus have led to a highly difficult environment in which to dispose of vessels given the difficulty of physically inspecting vessels. The impact of COVID-19 has also resulted in reduced industrial activity in China with temporary closures of factories and other facilities, labor shortages and restrictions on travel. We believe these disruptions along with other seasonal factors, including lower demand for some of the cargoes we carry such as iron ore and coal, contributed to lower dry bulk rates in 2020.

Although the Chinese economy has been recovering steadily from the impact of COVID-19 since the second half of 2020, any recurrence of the COVID-19 outbreak in China, such as the recurrence of COVID-19 toward the end of 2020 and in early 2022, or continuance of the outbreak in other parts of the world with the spread of the highly contagious new variants could, upon delivery of our vessels, adversely impact our company's business operations or the business operations of our company's charterers, provides and counterparties thus in turn having an adverse impact on our business, results of operations and financial condition. In the first quarter of 2022, the Omicron variant became the dominant variant and led to a new wave of COVID-19 recurrence in China, causing local outbreaks in a number of areas. To achieve "Dynamic zero COVID-19 cases," the Chinese government has adopted strict disease containment measures, including lock-down in certain cities and areas with rapidly rising COVID-19 cases and infection risks (e.g., Shanghai, Shenzhen, Xi'an and a number of cities in Jilin province), epidemiological investigations on infection sources and close contacts, large-scale nucleic acid testing, travel restrictions, and continuous booster vaccination measures. Although the Chinese government has recently announced a relaxation of its strict containment measures, failure to contain the further spread of COVID-19 in China or strict measures taken to address the outbreak in China may prolong and exacerbate the general economic downturn. Our business operations could be disrupted, as the vessels we agreed to purchase are being constructed in China, and, once delivered, our vessels will be chartered for commercial routes to China. Although there has been no impact on the construction of our newbuildings to date, it remains possible that the impact of COVID-19 could affect the construction and therefore the delivery of our vessels and could also impact the expected trade of our vessels with China following delivery.

The occurrence of any of the foregoing events or other epidemics or an increase in the severity or duration of the COVID-19 or other epidemics could have a material adverse effect on our business, results of operations and financial condition

The extent of the COVID-19 outbreak's effect on our operational and financial performance will depend on future developments, including the duration, spread and intensity of the outbreak, any resurgence or mutation of the virus, the continued availability of vaccines and their global deployment, the development of effective treatments, the imposition of effective public safety and other protective measures and the public's response to such measures. There continues to be certain level of uncertainty relating to how the pandemic will evolve and how governments and consumers will react, all of which are uncertain and difficult to predict considering the rapidly evolving landscape.

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As a result, the ultimate severity of the COVID-19 outbreak is uncertain at this time and therefore we cannot predict the impact it may have on our future operations upon delivery of our vessels, which impact could be material and adverse, particularly if the pandemic continues to evolve into a severe worldwide health crisis.

***The fair market values of our vessels, which are under construction, may decline, and we may incur a loss if we sell vessels following a decline in their market value.***

The market values of dry bulk vessels are related to prevailing freight charter rates, which have fluctuated significantly in recent years. While the market values of vessels and the freight charter market have a very close relationship as the charter market moves from trough to peak, the time lag between the effect of charter rates on market values of ships can vary.

The market values of dry bulk vessels have generally experienced high volatility, and you should expect the market values of our vessels, once delivered, to fluctuate depending on a number of factors including:

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

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

&nbsp;&nbsp;&nbsp;&nbsp;• types, sizes and ages of vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• supply of and demand for vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• the need to upgrade vessels as a result of charterer requirements;

&nbsp;&nbsp;&nbsp;&nbsp;• technological advances in vessel design or equipment or otherwise;

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

&nbsp;&nbsp;&nbsp;&nbsp;• applicable governmental or other regulations;

&nbsp;&nbsp;&nbsp;&nbsp;• distressed asset sales, including the Shipbuilding Contract sales below acquisition costs due to lack of financing; and

&nbsp;&nbsp;&nbsp;&nbsp;• competition from other shipping companies and other modes of transportation.

Furthermore, if we sell any of the 12 vessels, after exercising any of our options to repurchase any such vessels under the Avic Leasing, CCBFL Leasing and Jiangsu Leasings, at a time when prices are depressed and before we have recorded an impairment adjustment to our financial statements, the sale may be less than the vessel's carrying value on our financial statements, resulting in a loss and a reduction in earnings, and may have a material adverse impact on our business, results of operations and financial condition.

#### An over-supply of dry bulk vessel capacity may lead to reductions in current charter rates, vessel values and profitability.
The market supply of dry bulk carriers increased materially between 2009 and 2013 due to a high level of new deliveries. Although dry bulk newbuilding deliveries have tapered off since 2014, newbuildings continue to be delivered. While vessel supply will continue to be affected by the delivery of new vessels and the removal of vessels from the global fleet, either through scrapping or accidental losses, an over-supply of dry bulk carrier capacity could result in low charter rates for an extended period of time.

***A significant decrease of the market values of our vessels could cause us to incur an impairment loss and could have a material adverse effect on our business, results of operations, financial condition and our ability to obtain additional financing.***

We will review for impairment of our vessels held and used whenever events or changes in circumstances indicate that the carrying amount of the vessels has deteriorated significantly and may not be recoverable. Such indicators include declines in the fair market value of vessels, decreases in market charter rates, vessel sale and purchase considerations, fleet utilization, regulatory changes in the dry bulk shipping industry or changes in business plans or overall market conditions that may adversely affect our financial condition. We may be required to record an impairment charge with respect to our vessels and any such impairment charge resulting from a decline in the market value of our vessels or a decrease in charter rates may have a material adverse effect on our business, results of operations, financial condition and our ability to obtain additional financing.

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#### Regulations relating to ballast water discharge may adversely affect our revenues and profitability.
Although the 2013 Vessel General Permit ("VGP") program and U.S. National Invasive Species Act ("NISA") are currently in effect to regulate ballast discharge, exchange and installation, the Vessel Incidental Discharge Act ("VIDA"), which was signed into law on December 4, 2018, requires that the Environmental Protection Agency ("EPA") develop national standards of performance for approximately 30 discharges, similar to those found in the VGP, within two years of enactment. By approximately 2023, the U.S. Coast Guard ("USCG") must develop corresponding implementation, compliance, and enforcement regulations regarding ballast water. On October 26, 2020, the EPA published a Notice of Proposed Rulemaking for Vessel Incidental Discharge National Standards of Performance under VIDA, and in November 2020, held virtual public meetings. The new regulations, which are not yet finalized, could require the installation of new equipment, which may cause us to incur substantial costs. Under VIDA, all provisions of the VGP and USCG ballast water regulations remain in force and effect as currently written until the EPA publishes standards and the corresponding Coast Guard regulations are published. The EPA will regulate these ballast water discharges and other discharges incidental to the normal operation of certain vessels within United States waters pursuant to VIDA. Several U.S. states have added specific requirements to the Vessel General Permit and, in some cases, may require vessels to install ballast water treatment technology to meet biological performance standards.

#### We are subject to complex laws and regulations, including environmental regulations that can adversely affect the cost, manner or feasibility of doing business.
Our business is and the operations of our vessels will be subject to numerous environmental regulations in the form of international conventions, national, state and local laws and regulations in force in the jurisdictions in which our vessels will operate, as well as in the country or countries where we plan to register them, including those governing the storage, management and disposal of hazardous and non-hazardous substances and wastes, the cleanup of oil spills and other contamination, air emissions (including greenhouse gases), water discharges and ballast water management, liability for damage to natural resources and occupational health and safety. These regulations include European Union regulations, the U.S. Oil Pollution Act of 1990 ("OPA"), requirements of the USCG and the U.S. EPA, the U.S. Clean Air Act of 1970 (including its amendments of 1977 and 1990), the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"), the U.S. Clean Water Act, the U.S. Maritime Transportation Security Act of 2002, regulations of the IMO, including the International Convention on Civil Liability for Oil Pollution Damage of 1969, the International Convention for the Prevention of Pollution from Ships of 1973, as modified by the Protocol of 1978, collectively referred to as MARPOL 73/78 or MARPOL, including designations of Emission Control Areas, thereunder, International Convention for the Safety of Life at Sea of 1974 ("SOLAS Convention"), the International Convention on Load Lines of 1966, the International Convention of Civil Liability for Bunker Oil Pollution Damage, the IMO's International Safety Management Code (the "ISM Code"), and regulations established by flag state administrations. Because such conventions, laws, and regulations are often revised, we cannot predict the ultimate cost of complying with such requirements or the impact thereof on the resale price or useful life of any vessel that we own or will acquire. Additional conventions, laws and regulations may be adopted that could limit our ability to do business or increase the cost of our doing business and which may materially adversely affect our operations. Government regulation of vessels, particularly in the areas of safety and environmental requirements, continue to change, which may require us to incur significant capital expenditures on our vessels currently which are under construction, to keep them in compliance, or even to scrap or sell certain vessels altogether. In addition, we may incur significant costs in meeting new maintenance and inspection requirements, in developing contingency arrangements for potential environmental violations and in obtaining insurance coverage.

Certain environmental laws impose strict and joint and several liability for remediation of spills, discharges of oil and releases of hazardous substances, which could subject us to liability without regard to whether we were negligent or at fault. Under the OPA, for example, owners and operators are jointly and severally strictly liable for the discharge of oil within the 200-mile exclusive economic zone around the United States.

In addition, we are required by various governmental and quasi-governmental agencies to obtain certain permits, licenses, certificates, approvals and financial assurances with respect to our operations, and satisfy insurance and financial responsibility requirements for potential oil (including marine fuel) spills and other pollution incidents. Our failure to maintain necessary permits, licenses, certificates, approvals or financial assurances could require us to incur substantial costs or temporarily suspend operation of one or more of the vessels in our fleet, or lead to the invalidation

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or reduction of our insurance coverage. We have not entered into agreements with insurers for coverage of our vessels to be delivered. Any insurance we obtain may not be sufficient to cover all such risks and any claims may have a material adverse effect on our business, results of operations and financial condition.

Environmental requirements can also affect the resale value or useful lives of our vessels, require a reduction in cargo capacity, ship modifications or operational changes or restrictions, lead to decreased availability of insurance coverage for environmental matters or result in the denial of access to certain jurisdictional waters or ports, or detention in certain ports. Under local, national and foreign laws, as well as international treaties and conventions, we could incur material liabilities, including for cleanup obligations and natural resource damages, in the event that there is a release of petroleum or hazardous substances from our vessels or otherwise in connection with our operations. We could also become associated with our existing or historic operations. Violations of, or liabilities under, environmental requirements can result in substantial penalties, fines and other sanctions, including in certain instances, seizure or detention of our vessels.

The operation of our vessels will also be affected by other safety regulations in the form of international conventions, including the Maritime Labor Convention of 2006 ("MLC"), and national, state and local laws and regulations in force in the jurisdictions in which the vessels operate, as well as in the country or countries of their registration, including those established by flag state administrations. Such conventions, laws, and regulations are often revised, and could increase the ultimate cost of compliance which could impact 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. Please see "*Regulation*" for a discussion of the environmental and other regulations applicable to us.

***We will be subject to requirements and standards imposed by charterers and the failure to comply with these may subject us to increased costs and adversely affect our operations.***

Certain of our charterers may apply the Rightship rating system to our vessels. Rightship is the ship vetting service owned by Rio Tinto and BHP-Billiton, which has become the major vetting service in the dry bulk shipping industry, Rightship rates vessels based on certain criteria for seaworthiness. We may be required to incur costs to ensure that our vessels achieve adequate Rightship ratings or otherwise meet the standards set by our charterers. While our newbuilding vessels under construction are expected to meet such standards, if any of our vessels fail to meet these standards in the future, our ability to operate these vessels may be limited.

***If our vessels fail to maintain their class certification imposed by classification societies and/or fail any annual survey, intermediate survey, dry docking or special survey, those vessels would be unable to carry cargo, thereby reducing our revenues and profitability and violating certain covenants in our credit agreements.***

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, the IMO and the SOLAS Convention. Most insurance underwriters make it a condition for insurance coverage and lending that a vessel be certified "in class" by a classification society which is a member of the International Association of Classification Societies, the IACS. The IACS has adopted harmonized Common Structural Rules, or "the Rules," which apply to oil tankers and bulk carriers contracted for construction on or after July 1, 2015. The Rules attempt to create a level of consistency between IACS Societies.

Additionally, a vessel must undergo annual surveys, intermediate surveys, dry dockings 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 will also undergo two underwater hull surveys during a five-year classification cycle. The intermediate survey at approximately every 36 months may, in lieu of a full drydocking, be credited by classification society, by conducting a diving survey, propeller inspection, tails shaft bearing clearance and overall hull condition, all of which to be verified in the presence of a class surveyor. If any vessel does not maintain its class and/or fails any annual survey, intermediate survey, dry docking or special survey, the vessel will be unable to carry cargo between ports and will be unemployable and uninsurable. Any such inability to carry cargo or be employed could have a material adverse effect on our business, results of operations and financial condition.

Compliance with the above requirements may require significant additional investments by us. If any vessel does not maintain its class or fails any annual, intermediate or special survey or dry docking, the vessel will be unable

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to trade between ports and will be unemployable and uninsurable, which could cause us to be in violation of certain covenants in our credit agreements. Any such inability to carry cargo or be employed, or any such violation of covenants, could have a material adverse effect on our business, results of operations and financial condition.

#### Our operations may be adversely impacted by severe weather, including as a result of climate change.
Tropical storms, hurricanes, typhoons and other severe maritime weather events could result in the suspension of operations at the planned ports of call for our vessels and require significant deviations from our vessels' routes. In addition, climate change could result in an increase in the frequency and severity of these extreme weather events. The closure of ports, rerouting of vessels, damage of mining sites and productive facilities, as well as other delays caused by increasing frequency of severe weather, could stop operations or shipments for indeterminate periods and have a material adverse effect on our business, results of operations and financial condition.

#### Climate change and greenhouse gas restrictions may be imposed.
Due to concern over the risk of climate change, a number of countries and the IMO have adopted, or are considering the adoption of, regulatory frameworks to reduce greenhouse gas emissions. These regulatory measures may include, among others, the adoption of cap and trade regimes, carbon taxes, increased efficiency standards and incentives or mandates for renewable energy. For instance, the IMO imposed a global 0.5% sulfur cap on marine fuels that came into force on January 1, 2020. In addition, the IMO has adopted an initial strategy which identifies "levels of ambition" toward reducing greenhouse gas emissions, including (1) decreasing the carbon intensity from ships; (2) reducing carbon dioxide emissions per transport work, as an average across international shipping, by at least 40% by 2030, pursuing efforts towards 70% by 2050, compared to 2008 emission levels; and (3) reducing the total annual greenhouse emissions by at least 50% by 2050 compared to 2008 while pursuing efforts towards phasing them out entirely. These regulations and any additional regulations addressing similar goals could cause us to incur additional substantial expenses. See "Regulation" for a discussion of these and other environmental regulations applicable to our operations.

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 (as this task was delegated under the Kyoto Protocol to the IMO for action), which required adopting countries to implement national programs to reduce emissions of certain gases, 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 could increase our costs related to operating and maintaining our vessel and other vessels we may acquire 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 consequences of 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 coal in the future, one of the primary cargoes carried by dry bulk vessels and other vessels we may acquire. In addition, the physical effects of climate change, including changes in weather patterns, extreme weather events, rising sea levels and scarcity of water resources may negatively impact our operations. Any long-term economic consequences of climate change could have a significant financial and operational adverse impact on our business that we cannot predict with certainty at this time.

#### Increased scrutiny of environmental, social and governance matters may impact our business and reputation.
In addition to the importance of their financial performance, companies are increasingly being judged by their performance on a variety of environmental, social and governance matters, or "ESG", which are considered to contribute to the long-term sustainability of companies' performance.

A variety of organizations measure the performance of companies on such ESG topics, and the results of these assessments are widely publicized. In addition, investment in funds that specialize in companies that perform well in such assessments are increasingly popular, and major institutional investors have publicly emphasized the importance of such ESG measures to their investment decisions. Topics taken into account in such assessments include, among others, the company's efforts and impacts on climate change and human rights, ethics and compliance with law, and the role of the company's board of directors in supervising various sustainability issues.

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In light of investors' increased focus on ESG matters, there can be no certainty that we will manage such issues successfully, or that we will successfully meet society's expectations as to our proper role. Any failure or perceived failure by us in this regard could have a material adverse effect on our reputation and on our business, share price, financial condition, or results of operations, including the sustainability of our business over time.

***Natural or man-made disasters and other similar events may significantly disrupt our business and could have an adverse effect on our business, results of operations and financial condition.***

Natural or man-made disasters, including earthquakes, power outages, fires, floods, nuclear disasters, terrorist attacks or other criminal activities or acts of crew malfeasance, may render it difficult or impossible for us to operate our business for some period of time. Any disruptions in our operations related to the repair or replacement of our vessels or disruption of or reduced demand for shipping could have a material adverse impact on our business, results of operations and financial condition. In addition, we may not carry business insurance sufficient to compensate for losses that may occur.

#### Political decisions may affect our vessels' trading patterns and could have an adverse effect on our business, results of operations and financial condition.
Our vessels are planned to trade globally, and the operation of our vessels will be therefore exposed to political risks that might result in a closure of major waterways. For instance, political disturbances in Egypt, Iran and the Middle East in general may potentially result in a closure of the Suez Canal and prevailing economic and political conditions in Panama, though currently stable, could, in the future, result in a closure of the Panama Canal. Geopolitical risks are outside of our control, could potentially limit or disrupt our access to markets and operations and could have a material adverse effect on our business, results of operations and financial condition.

#### Acts of piracy on ocean-going vessels may have an adverse effect on our business, results of operations and financial condition.
Acts of piracy have historically affected ocean-going vessels trading in regions of the world such as the South China Sea, Strait of Malacca, Arabian Sea, Red Sea, the Indian Ocean, the Gulf of Aden off the coast of Somalia, Sulu Sea, Celebes Sea and in the Gulf of Guinea. Sea piracy incidents continue to occur, particularly in the South China Sea, the Indian Ocean, in the Gulf of Guinea and the Strait of Malacca, with dry bulk vessels particularly vulnerable to such attacks. Although the frequency of sea piracy worldwide has generally decreased since 2013, sea piracy incidents continue to occur, with dry bulk vessels particularly vulnerable to such attacks. Acts of piracy could result in harm or danger to the crews that man our vessels. If these piracy attacks result in regions in which our vessels are deployed being characterized as "war risk" zones by insurers or Joint War Committee "war and strikes" listed areas, premiums payable for such coverage could increase significantly and such insurance coverage may be more difficult to obtain. In addition, crew costs, including due to employing on-board security guards, could increase in such circumstances. Furthermore, while we believe the charterer remains liable for charter payments when a vessel is seized by pirates, the charterer may dispute this and withhold charter hire until the vessel is released. A charterer may also claim that a vessel seized by pirates was not "on-hire" for a certain number of days and is therefore entitled to cancel the charter party, a claim that we would dispute. Although we plan to obtain insurance to cover risks associated with piracy acts, we may not be adequately insured to cover losses from these incidents, which could have a material adverse effect on us. In addition, any detention or hijacking as a result of an act of piracy against our vessels, or an increase in cost, or unavailability, of insurance for our vessels, could have a material adverse effect on our business, results of operations and financial condition.

***If our vessels call on ports located in countries that are subject to restrictions imposed by the U.S., the European Union, the United Nations or other governments, this could lead to monetary fines or penalties and adversely affect our reputation and the market for our common shares and trading price.***

If our vessels call on ports or operate in countries subject to sanctions and embargoes imposed by the U.S. government or other governmental authorities ("Sanctioned Jurisdictions") in violation of sanctions or embargoes laws, such activities may result in a sanctions violation and we could be subject to monetary fines, penalties, or other sanctions, and our reputation and the market for our common shares could adversely affected. Although we will endeavor to take precautions reasonably designed to mitigate such risks, it is possible for example that, in the future, our vessels may call on ports located in Sanctioned Jurisdictions on charterer's instructions and/or without our consent. If such activities result in a violation of sanctions or embargo laws, we could be subject to

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monetary fines, penalties, or other sanctions, and our reputation and the market for our securities could be adversely affected. As another example, charterers or other parties that we enter into contracts with may be affiliated with persons or entities that are the subject of sanctions imposed by the U.S., the EU or other applicable jurisdictions as a result of the Russian invasion of Ukraine. If the Company determines that such sanctions require it to terminate contracts, there would be risk of loss and periods of off-hire and there is a connected risk of reputational harm.

U.S. and other sanctions and embargo laws and regulations vary in their application, as they do not all apply to the same covered persons or proscribe the same activities, and such sanctions and embargo laws affiliated with persons or entities that are or may be in the future the subject of sanctions or embargoes may be imposed by the governments of the U.S., the U.K., the EU, 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.

We intend to comply with the applicable sanctions laws and regulations. However, the regulatory landscape is rapidly changing and is subject to changing interpretations, thus we cannot guarantee that our business will not be affected by the situation and the related sanctions regimes or be in compliance with applicable sanctions, laws, regulations and orders. Any such violation could result in fines, penalties or other sanctions that could negatively impact our ability to access U.S. capital markets and conduct our business, and could result in some investors deciding, or being required, to divest their interest, or not to invest, in us. A failure to comply with applicable laws and regulations may result in administrative and civil penalties, criminal sanctions or the suspension or termination of our operations, which in turn could have an adverse effect on our results.

In addition, certain institutional investors may have investment policies or restrictions that prevent them from holding securities of companies that have contracts with countries 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 common shares may adversely affect the price at which our common 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 not 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. We outsource various functions to carry out certain screening procedures on our charterers and other third parties, including confirmation that such counterparties are compliant with sanctions laws and not included in sanctions lists, including sanctions administered by the Office of Foreign Assets Control ("OFAC") of the U.S. Department of the Treasury, and therefore our ability to implement our related sanctions policies is more difficult, which can increase such risks. Investor perception of the value of our common shares may be adversely affected by the consequences of war, the effects of terrorism, civil unrest and governmental actions in the countries or territories in which we will operate.

***Any failure to comply with the U.S. Foreign Corrupt Practices Act could result in fines, criminal penalties, contract terminations and an adverse effect on our business, results of operations and financial condition.***

We expect to operate our vessels in a number of countries, such as China, Brazil, Singapore and in some developing economies, including countries known to have a reputation for corruption, which can involve inherent risks associated with fraud, bribery and corruption and where strict compliance with anti-corruption laws may conflict with local customs and practices. As a result, we may be subject to risks under the U.S. Foreign Corrupt Practices Act, as amended, or the FCPA, the U.K. Bribery Act 2010, the Bermuda Bribery Act 2016 and similar laws in other jurisdictions that generally prohibit companies and their intermediaries from making, offering or authorizing improper payments to government officials for the purpose of obtaining or retaining business.

We are committed to doing business in accordance with applicable anti-corruption laws and have policies and procedures, including a code of business conduct and ethics, which are designed to promote legal and regulatory compliance with such laws and regulations. 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 FCPA. Any such violation could result in substantial fines, sanctions, civil and/or criminal penalties and curtailment of operations in certain jurisdictions, and might adversely affect our business, results of operations or financial condition. Our customers in relevant jurisdictions could seek to impose penalties or

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take other actions adverse to our interests. 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 contracted senior management.

#### Increased inspection procedures, tighter import and export controls and security standards could increase costs and disrupt our business.
International shipping is subject to various security and customs inspection and related procedures in countries of origin and destination and trans-shipment points. In addition, pursuant to the SOLAS Convention, dry bulk vessels and the ports in which we plan to operate are subject to the International Ship and Port Facility Security Code ("ISPS Code"), which is designed to enhance the security of ports and ships against terrorism. Inspection procedures may result in the seizure of contents of our vessels, delays in the loading, offloading, trans-shipment or delivery and the levying of customs duties, fines or other penalties against us.

It is possible that changes to inspection procedures and security standards could impose additional financial and legal obligations on us. Changes to inspection procedures could also impose additional costs and obligations on our customers and may, in certain cases, render the shipment of certain types of cargo uneconomical or impractical. Any such changes or developments may have a material adverse effect on our business results, results of operations and financial condition.

#### Our future results of operations will be subject to seasonal fluctuations, which may adversely affect our financial condition.
We plan to operate our dry bulk vessels in markets that have historically exhibited seasonal variations in demand, particularly in the Capesize segment given its share of the iron ore trade, and, as a result, in charter hire rates. As China is the most significant market for dry bulk shipping, the public holidays in relation to the Chinese New Year during the first quarter usually results in a decrease in market activity during this period. In addition, unpredictable and adverse weather conditions and patterns in the Southern Hemisphere, which often occur during the first quarter, in the past have had a negative impact on iron ore exports from Australia and from Brazil. Further, certain of the largest iron ore producers in Brazil usually schedule maintenance works on their plants in the first quarter, which also results in a decrease in iron ore export from Brazil. This seasonality may affect our business, results of operations, financial condition, and could affect our ability to pay dividends, if any, in the future.

#### High prices of fuel, or bunker, may adversely affect our profits.
While we generally will not bear the cost of fuel or bunker for vessels operating on time charters, fuel is a significant factor in negotiating charter rates. As a result, an increase in the price of fuel beyond our expectations may adversely affect our profitability at the time of charter negotiation. Fuel is also a significant, if not the largest, expense in shipping when vessels are under voyage charter. The price and supply of fuel is unpredictable and fluctuates based on events outside our control, particularly economic developments in emerging markets such as China and India, the US-China trade war, concerns related to the global recession and financial turmoil, geopolitical developments, supply of and demand for oil and gas, actions by the Organization of Petroleum Exporting Countries, or OPEC, and other oil and gas producers and production cuts, war and unrest in oil producing countries and regions, regional production patterns and environmental concerns and regulations. Particularly, bunker price moves in close interdependence with crude oil prices which are dependent on such events and which prices in the third quarter of 2022 averaged approximately $100 per barrel compared to approximately $113 per barrel in the second quarter of 2022, and the price decreasing below $80 on December 7, 2022 for the first time since January 2022, compared to approximately $130.0 per barrel reached on March 7, 2022. However, fuel prices may continue to increase in the future, including as a result of the continuing impact of the regulations mandating a reduction in sulfur emissions to 0.5% from the previous threshold of 3.5% as of January 2020. The current conflict in Ukraine and the response of the international community to such conflict is also having a significant impact on the price of oil and, as result, is resulting in significant increases in the cost of fuel for bunker for the shipping industry as a whole. Our vessels will be equipped with the latest generation dual fuel LNG technology, with fuel-saving devices and improved propeller efficiency, which will allow us to operate with low fuel consumption. Although LNG is not currently economical to use for dual fuel vessels at current LNG market prices, we expect the dual fuel capability to be a benefit in the future; however, we are still subject to the volatility of international fuel prices. In addition, further increases in fuel prices in the future may reduce the profitability and competitiveness of our business versus other forms of transportation, such as truck or rail. Other future regulations may have a similar impact.

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#### We will operate dry bulk vessels worldwide and our business has inherent operational risks, which may reduce our revenue or increase our expenses.
The international shipping industry is an inherently risky business involving global operations. Our vessels and their cargoes will be at risk of being damaged or lost because of events such as marine disasters, bad weather, mechanical failures, human error, environmental accidents, war, terrorism, piracy and other circumstances or events. In addition, transporting cargoes across a wide variety of international jurisdictions creates a risk of business interruptions due to political circumstances in foreign countries, hostilities, labor strikes and boycotts, the potential for changes in tax rates or policies, and the potential for government expropriation of our vessels. Any of these events may result in loss of revenues, increased costs and decreased cash flows to our customers, which could impair their ability to make payments to us under our charters.

Furthermore, the operation of certain vessels, such as dry bulk carriers, has certain unique risks. With a dry bulk carrier, the cargo itself and its interaction with the vessel can be an operational risk. By their nature, dry bulk cargoes are often heavy, dense, easily shifted, and react badly to water exposure. In addition, dry bulk carriers are often subjected to battering treatment during unloading operations with grabs, jackhammers (to pry encrusted cargoes out of the hold) and small bulldozers. This treatment may cause damage to the vessel. Vessels damaged due to treatment during unloading procedures may be more susceptible to breach at sea. Hull breaches in dry bulk carriers may lead to the flooding of the vessels' holds.

If a dry bulk carrier suffers flooding in its forward holds, the bulk cargo may become so dense and waterlogged that its pressure may buckle the vessel's bulkheads, leading to the loss of a vessel. If we are unable to adequately repair our vessels after such damages, we may be unable to prevent these events. Any of these circumstances or events may have a material adverse effect on our business, results of operations and financial condition, if any, in the future, on our common shares. In addition, the loss of any of our vessels could harm our reputation as a safe and reliable shipping company.

***If our vessels suffer damage due to the inherent operational risks of the shipping industry, we may experience unexpected dry docking costs and delays or total loss of our vessels, which may adversely affect our business, results of operations and financial condition.***

The operation of an ocean-going vessel carries inherent risks. The 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 and other circumstances or events. 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. 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 dry docking facility. The costs of dry dock repairs are unpredictable and may be substantial. We may have to pay dry docking costs that our insurance does not cover 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 dry docking facilities is sometimes limited and not all dry docking facilities are conveniently located. We may be unable to find space at a suitable dry docking facility or our vessels may be forced to travel to a dry docking facility that is not conveniently located to our vessels' positions. The loss of earnings while these vessels are forced to wait for space or to travel or be towed to more distant dry docking facilities, as well as the cost of such repositioning, may adversely affect our business, results of operations and financial condition. Further, the total loss of any of our vessels could harm our reputation as a safe and reliable vessel owner and operator. If we are unable to adequately maintain or safeguard our vessels, we may be unable to prevent any such damage, costs, or loss, which could negatively impact our business, results of operations and financial condition.

#### Maritime claimants could arrest or attach one or more of our vessels, which could interrupt our cash flows.
Crew members, suppliers of goods and services to a vessel, shippers of cargo, lenders, 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.

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The arrest or attachment of one or more of our vessels could interrupt the cash flows of the charterer and/or our cash flow and require us to pay large sums of money to have the arrest or attachment lifted, which would have an adverse effect on our business, results of operations and financial condition. In addition, in some jurisdictions, such as South Africa, under the "sister ship" theory of liability, a claimant may arrest both 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. Claimants could attempt to assert "sister ship" liability against one vessel in our fleet for claims relating to another of our vessels.

#### Governments could requisition our vessels during a period of war or emergency, which could negatively impact our business, results of operations and financial condition.
A government could requisition one or more of our vessels for title or for hire and any such requisition could give the Leasing Providers the right to terminate our Sale and Leaseback Agreements. Requisition for title occurs when a government takes control of a vessel and becomes its owner, while requisition for hire occurs when a government takes control of a vessel and effectively becomes its charterer at dictated charter rates. Generally, requisitions occur during periods of war or emergency, although governments may elect to requisition vessels in other circumstances. Although we would be entitled to compensation in the event of a requisition of one or more of our vessels, the amount and timing of payment would be uncertain. Government requisition of one or more of our vessels may negatively impact our business, results of operations and financial condition, and reduce the amount of cash we may have available for distribution as dividends to our shareholders, if any such dividends are declared.

#### The smuggling of drugs or other contraband onto our vessels may lead to governmental claims against us.
Our vessels, when delivered, may call in ports in areas where smugglers may attempt to hide drugs and other contraband on vessels, with or without the knowledge of crew members. To the extent our vessels are found with contraband, whether inside or attached to the hull of our vessel and whether with or without the knowledge of any of our crew, we may face governmental or other regulatory claims which could have a material adverse effect on our business, results of operations and financial condition.

#### Risks Related to Our Business

#### We are a recently incorporated company with a limited operating history upon which investors can evaluate our future prospects.
We were incorporated in March 2021 and our most significant assets are agreements to acquire 12 vessels for delivery in 2023 and 2024, of which one vessel was delivered on March 2, 2023 and is in operation. We have a limited performance record, operating history and limited historical financial statements upon which an evaluation of our business, operations, prospects and our ability to implement and achieve our business strategy can be made. Our business and prospects must be considered in the light of risks and potential problems, delays, uncertainties and complications encountered in connection with a newly established business, and these factors may make evaluating an investment in the Company difficult. Such risks include, but are not limited to, risks of delays, the failure of New Times, our counterparty under our Shipbuilding Contracts, to deliver the remaining 11 newbuilding dry bulk carriers as scheduled and the possibility that we will not successfully manage our fleet once delivered to us. We cannot assure you that we will be successful in addressing these challenges and in implementing our business strategy.

#### Liquidity risk could impair our ability to fund operations and jeopardize our financial condition, growth and prospects.
We are largely dependent on cash generated by our future operations, cash on hand, borrowings under our Financing Arrangements and the proceeds of this offering to cover our operating expenses, service our indebtedness and fund our other liquidity needs. The level of cash available to us depends on numerous factors, including the rates we are paid by our customers, the price of oil, current global economic conditions, rising bunker prices, demand for our services, our ability to control and reduce costs, our access to capital markets and amounts available to us under our Financing Arrangements. One or more of such factors could be negatively impacted and our sources of liquidity could be insufficient to fund our operations and service our obligations such that we may require capital in excess of the amount available from those sources. Our access to funding sources in amounts adequate to finance our operations and planned capital expenditures and repay our indebtedness on terms that are acceptable could be impaired by factors such as negative views and expectations about us, the oil and gas industry or the economy in general and disruptions in the financial markets.

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Our financial flexibility will be severely constrained if we experience a significant decrease in cash generated from our operations once we start chartering our vessels upon delivery, or are unable to maintain our access to or secure new sources of financing. If additional financing sources are unavailable, or not available on reasonable terms, our financial condition, results of operations, growth and future prospects could be materially adversely affected, and we may be unable to continue as a going concern. As such, we cannot assure you that cash flow generated from our business and other sources of cash, including future borrowings under Financing Arrangements and debt financings and new debt and equity financings, will be sufficient to enable us to pay our indebtedness and to fund our other liquidity needs. For the substantial doubt over our ability to continue as a going concern, please refer to Note 3 – Basis of Preparation and Significant Accounting Policies to our Consolidated Financial Statements included herein.

***We charter and will charter our vessels on time charters in a volatile shipping industry and a decline in charter hire rates could affect our business, results of operations and financial condition.***

While the number of vessels in our fleet that participate in the time charter market will vary from time to time, we anticipate that a significant portion of our fleet will be chartered out on index-linked time charters to large dry bulk operators, commodity traders and end users. The time charter market is highly competitive and spot market charter hire rates (which affect time charter rates) may fluctuate significantly based upon available charters and the supply of, and demand for, seaborne shipping capacity. While the time charter market may enable us to benefit in periods of increasing charter hire rates, we must consistently renew our charters in a volatile dry bulk market, which makes us vulnerable to declining charter rates. As a result of the volatility in the dry bulk carrier charter market, we may not be able to employ our vessels upon the termination of their existing charters at their current charter hire rates or at all. We cannot assure you that future charter hire rates will enable us to operate our vessels profitably, or to pay dividends.

#### Rising crew costs, inflation, and connected increase in wages could adversely affect our results of operations.
Due to an increase in the size of the global shipping fleet, the limited supply of and increased demand for crew has created upward pressure on crew costs. Continued higher crew costs or further increases in crew costs coupled with a persistent inflationary environment and the connected increase in crew wages could adversely affect our results of operations.

***The aging of our fleet may result in increased operating costs in the future, which could adversely affect our business, results of operations and financial condition.***

In general, the cost of maintaining a vessel in good operating condition increases with the age of the vessel. We have a newbuilding program for 12 newbuilding dry bulk carriers scheduled to be delivered in 2023 and 2024, with the first ship delivered on March 2, 2023. Upon delivery of such vessels and as they start aging, typically the vessels will become less fuel-efficient and more costly to maintain than more recently constructed vessels due to improvements in engine technology. Cargo insurance rates increase with the age of a vessel, making older vessels less desirable to charterers. Governmental regulations and safety or other equipment standards related to the age of vessels may also require expenditures for alterations or the addition of new equipment to our vessels and may restrict the type of activities in which our vessels may engage. As our vessels age, market conditions may not justify those expenditures or enable us to operate our vessels profitably during the remainder of their useful lives.

***We are subject to risks with respect to our counterparties on contracts, and failure of such counterparties to meet their obligations could cause us to suffer losses or negatively impact our business, results of operations and financial condition.***

We have entered, and plan to enter, into various contracts, including charter parties with our customers, newbuilding contracts (with related refund guarantees), vessel management, the Avic Leasing, CCBFL Leasing and Jiangsu Leasing (our Sale and Leaseback Agreements), and other agreements. Such agreements subject us to counterparty risks. Such risk may be relevant for the contracts which we currently have entered into, including the Shipbuilding Contracts with New Times and the related refund guarantees, the Avic Leasing, CCBFL Leasing and Jiangsu Leasing, the Supervision Agreement, the Management Agreement and the Corporate Support Agreement. The ability of each of our counterparties to perform their obligations under a contract with us 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 maritime industry, the overall financial condition of the counterparty, charter rates received for our Newcastlemax dry bulk carriers, the supply and demand for commodities and various expenses. In addition, in the

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event New Times does not perform under its contracts, and we are unable to enforce certain refund guarantees with third-party lenders that have provided the refund guarantees for any reason, we may lose all or part of our investment, and we may not be able to operate the vessels we ordered in accordance with our business plan. Should our counterparties fail to honor their obligations under agreements with us, in particular, the Shipbuilding Contracts and the related refund guarantees and the Avic Leasing and CCBFL Leasing, we could sustain significant losses, which could have a material adverse effect on our business, results of operations and financial condition.

Charterers are sensitive to the commodity markets and may be impacted by market forces affecting commodities. In addition, in depressed market conditions, charterers may no longer need a vessel that is currently under charter or may be able to obtain a comparable vessel at lower rates. As a result, charterers may have incentive to renegotiate their charters or default on their obligations under charters. Should a charterer in the future fail to honor its obligations under agreements with us, it may be difficult to secure substitute employment for such vessel, and any new charter arrangements we secure on the spot market or on charters may be at lower rates, depending on the then existing charter rate levels, compared to the rates currently being charged for our vessels. If our charterers fail to meet their obligations to us or attempt to renegotiate our charter agreements, we could sustain significant losses which could have a material adverse effect on our business, results of operations and financial condition. The Company will seek to mitigate such consequences for example through re-negotiation of terms with its lenders, and strive to re-charter or seek remedies from defaulting charterers, however such efforts may not be successful and may lead to negative reactions from its lenders which may be detrimental for the Company's business.

#### Newbuilding projects are subject to risks that could cause delays, cost overruns or cancellation of the Shipbuilding Contracts.
We are party to the Shipbuilding Contracts with New Times for the construction of 12 newbuilding dry bulk carriers, which are estimated to be delivered between March 2023 and August 2024, of which one vessel was delivered on March 2, 2023. Risks of delays and failure of New Times to deliver exist until the vessels are delivered. Vessel construction projects are generally subject to risks of delay or cost overruns inherent in any large construction project from numerous factors, including shortages of equipment, materials or skilled labor, unscheduled delays in the delivery of ordered materials and equipment or shipyard construction, failure of equipment to meet quality and/or performance standards, financial or operating difficulties experienced by equipment vendors or the shipyard, unanticipated actual or purported change orders, inability to obtain required permits or approvals, unanticipated cost increases between order and delivery, design or engineering changes and work stoppages and other labor disputes, adverse weather conditions or any other events of force majeure. Many of these factors, including, for example, movement of equipment, materials and labor forces, have been increasingly relevant during the COVID-19 pandemic, with border and travel restrictions and lock-downs. The lock-downs, shortage of personnel, quarantine restrictions and other issues caused by the COVID-19 pandemic may also cause delays and challenges for the newbuilding program for New Times. Although there has been no impact on the construction of our newbuildings to date, it remains possible that the impact of COVID-19 could affect the construction and therefore the delivery of our vessels and could also impact the expected trade of our vessels with China following delivery. The Chinese government has recently announced an easing of COVID-19 related restrictions, but we remain subject to risks of the impact of strict containment measures.

Significant cost overruns or delays could adversely affect our results of operations, cash flows and financial condition. Additionally, failure to complete a project on time may result in the delay of revenue from that vessel, and we may continue to incur costs and expenses related to delayed vessels, such as supervision expense and interest expense on the Company's pre-delivery Financing Arrangements. Failure by New Times to complete and deliver the vessels to us will impact our ability to achieve our ambitions or result in increased costs in connection with relocation and completion of the construction elsewhere. Our rights to claim a refund of pre-delivery installments are guaranteed by reputable financial institutions, but failure of any guarantor to make payment to us of any claim made under these refund guarantees would result in a financial loss to the Company or us losing all or part of our investment, which would adversely affect our overall financial position and have a material adverse effect on our business, results of operations and financial condition. Relatedly, a refund guarantor and/or New Times may dispute our entitlement to a refund, and the refund guarantor's obligation to pay may become subject to lengthy arbitral or court proceedings, which could have a material adverse impact on our business and our financial conditions.

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***In the highly competitive international shipping industry, we may not be able to compete for charters with new entrants or established companies with greater resources, and as a result, we may be unable to employ our vessels profitably.***

Our vessels will be employed in a highly competitive market that is capital intensive and highly fragmented. Competition arises primarily from other vessel owners, some of whom have substantially greater resources than we do. Competition for the transportation of dry bulk cargo 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 dry bulk market is highly fragmented. Due in part to the highly fragmented market, competitors with greater resources could enter the dry bulk shipping industry and operate larger fleets through consolidations or acquisitions and may be able to offer lower charter rates and higher quality vessels than we are able to offer. If we are unable to successfully compete with other dry bulk shipping companies and to successfully find continued timely employment of our existing vessel, our business, results of operations and financial condition would be adversely impacted.

#### We may not be successful in finding employment for all of our vessels.
Our fleet of 12 vessels will have an aggregate capacity of approximately 2.5 million dwt. We intend to employ our vessels primarily in the index-linked time charter market to large dry bulk operators, commodity traders and end users. We have chartered out six vessels on index linked charters and one on a fixed-rate time charter. However, we may not be successful in finding employment for the rest of our fleet prior to or upon their deliveries to us and any such employment may not be at profitable rates, and we may not be able to maintain continued timely employment of all of our vessels.

***We expect we will depend upon a limited number of significant customers for a large part of our revenues and the loss of one or more of these customers could adversely affect our business, results of operations and financial condition.***

We expect we will derive a significant part of our revenues from a limited number of charterers. If one or more of our charterers chooses not to charter our vessels or is unable to perform under one or more charters with us and we are not able to find a replacement charter, we could suffer a loss of revenues that could have a material adverse effect on our business, results of operations and financial condition.

***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 our business, results of operations and financial condition.***

We may be, from time to time, involved in various litigation matters. These matters may include, among other things, contract disputes, 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. 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 business, results of operations and financial condition.

***We are a holding company, and we depend on the ability of our subsidiaries to distribute or loan funds to us in order to make dividend payments.***

We are a holding company and our subsidiaries, which are all wholly owned by us, conduct all of our operations and will own all of our operating assets. As a result, our ability to satisfy our financial obligations and make dividend payments depends on our subsidiaries and their ability to distribute funds to us. In addition, pursuant to the Avic Leasing Arrangement, a dividend or cash or other distributions by our subsidiaries is only allowed if immediately following such payment or distribution there will be maintained in the relevant subsidiary's account a total amount no less than the higher of (a) $3.6 million, and (b) the aggregate of approximately $2.8 million and the operating expenses for the relevant vessel that are payable within the next six months on a pro forma basis after such payment distribution; and the obligation of each of our subsidiaries to maintain a minimum cash balance in its account equivalent to three months' charter hire under the applicable CCBFL Leasing and Jiangsu Leasing, which amounts to approximately $1.5 million.

The ability of a subsidiary to make these distributions could be affected by a claim or other action by a third-party, including a creditor, and the laws of the Republic of Liberia, where our subsidiaries are incorporated,

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which may in the future regulate the payment of dividends by companies. For a description of the restrictions under the Avic Leasing, CCBFL Leasing and Jiangsu Leasing, see "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Financing Arrangements*." If we are unable to obtain funds from our subsidiaries, our Board of Directors may exercise its discretion not to declare or pay dividends.

#### A decrease in the level of China's export of goods could have a material adverse effect on our business.
The key trades for our vessels will be Brazil to China and Australia to China and therefore our business depends to some extent on the level of imports and exports to and from China. As China exports considerably more goods than it imports, any reduction in or hindrance to China-based exports, whether due to decreased demand from the rest of the world, an economic slowdown in China, seasonal decrease in manufacturing levels due to the Chinese New Year holiday or other factors, could have a material adverse effect on our business. For instance, the Chinese government has recently implemented economic policies aimed at increasing domestic consumption of Chinese-made goods and national security measures for Hong Kong, which may have the effect of reducing the supply of goods available for export and may, in turn, result in decreased demand for cargo shipping. In recent years, China has experienced an increasing level of economic autonomy and a gradual shift toward a "market economy" and enterprise reform. However, many of the reforms implemented, particularly some price limit reforms, are unprecedented or experimental and may be subject to revision, change or abolition. The level of imports to and exports from China could be adversely affected by changes to these economic reforms by the Chinese government, as well as by changes in political, economic and social conditions or other relevant policies of the Chinese government. Changes in laws and regulations, including with regard to tax matters, and their implementation by local authorities could affect our vessels calling on Chinese ports and could have a material adverse effect on our business, financial condition and results of operations.

#### We may be subject to United States federal income tax on United States source income, which may reduce our earnings.
In general, under Section 883 of the Code, certain non-U.S. corporations, such as us, are not subject to U.S. federal income tax or branch profits tax on U.S. source income derived from, or incidental to, the international operation of a ship or ships. Applicable U.S. Treasury Regulations generally provide that a non-U.S. corporation will qualify for the benefits of Section 883 if, in relevant part, (i) the country in which the non-U.S. corporation is organized grants an equivalent exemption to corporations organized in the United States in respect of each category of shipping income for which an exemption is being claimed under Section 883 and (ii), for more than half of the days of the year for which the non-U.S. corporation claims the benefits of Section 883, shares of stock of the non-U.S. corporation are primarily and regularly traded on one or more established securities markets.

Whether we qualify for the benefits of Section 883 after this offering may, in certain circumstances, depend on a specified percentage of our common shares being owned, directly or indirectly, by shareholders who meet certain tests, including being resident in the United States or certain other countries. In such circumstances, we would be required to satisfy certain substantiation and reporting requirements to establish that we so qualify, which in turn would require such shareholders (and certain intermediaries through which they indirectly own our common shares) to provide us with certain documentation. The ownership of our common shares may not allow us to so qualify for the benefits of Section 883, or, even if the ownership of our common shares would allow us to so qualify, we may not be able to satisfy the substantiation and reporting requirements that we would need to meet to establish that we so qualify. As a result, there can be no assurance that we will qualify for the benefits of Section 883 for 2023 taxable year or any subsequent taxable year.

If we do not qualify for the benefits of Section 883 for any taxable year, we could be subject to a 4% U.S. federal income tax on the shipping income we derive during the year, on a gross income basis, that is attributable to the transport of cargoes to or from the United States. The imposition of this tax may adversely affect our business and would result in decreased earnings available for distribution to our shareholders. See the "Tax Considerations" section of this prospectus for a more comprehensive discussion of U.S. federal income tax considerations.

***There can be no assurance that we will not be classified as a "passive foreign investment company," which could result in adverse U.S. federal income tax consequences to U.S. Holders.***

A non-U.S. corporation, such as us, will be classified as a passive foreign investment company ("PFIC") for U.S. federal income tax purposes for any taxable year if either (i) 75% or more of its gross income consists of passive income (the "income test") or (ii) 50% or more of its assets (determined on the basis of a quarterly average) is

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attributable to assets that produce or are held for the production of passive income (the "asset test"). PFIC status is a factual determination that must be made annually after the close of each taxable year. This determination will depend on, among other things, the composition of our income, assets and operations, as well as the value of our assets (which may be determined, in part, by reference to the public price of our common shares, which may fluctuate significantly), from time to time. Although not free from doubt, we intend to take the position that the contracts entered into to acquire dry bulk vessels that are currently under construction are "active" assets for purposes of the asset test.

Based on the current composition of our income and assets, our expected income and operations and the application of the start-up exception, we believe that we were not a PFIC for our most recent taxable year ending December 31, 2022. There can be no assurance, however, that we will not be classified as a PFIC for the current taxable year or for future taxable years. If we are treated as a PFIC for any taxable year during which a U.S. Holder (as defined below) holds our common shares, such U.S. Holder could be subject to adverse U.S. federal income tax consequences. See "*Tax Considerations—U.S. Federal Income Tax Considerations—General—Passive Foreign Investment Company Considerations*."

***A change in tax laws in any country in which we operate or loss of a major tax dispute or a successful tax challenge to our operating structure, intercompany pricing policies or the taxable presence of our subsidiaries in certain countries could adversely affect us.***

Tax laws, treaties and regulations are highly complex and subject to interpretation. Consequently, we and our subsidiaries are subject to changing laws, treaties and regulations in and between the countries in which we operate. Our tax expense is based on our interpretation of the tax laws in effect at the time the expense was incurred. A change in tax laws, treaties or regulations, or in the interpretation thereof, could result in a materially higher tax expense or a higher effective tax rate on our earnings. Such changes may include measures enacted in response to the ongoing initiatives in relation to fiscal legislation at an international level such as the Action Plan on Base Erosion and Profit Shifting of the Organization for Economic Co-Operation and Development.

In addition, if any tax authority successfully challenges positions we may take in tax filings, our operational structure, intercompany pricing policies, the taxable presence of our subsidiaries in certain countries or any other situation, or if the terms of certain income tax treaties are interpreted in a manner that is adverse to our structure, or if we lose a material tax dispute in any country, our effective tax rate on our worldwide earnings could increase substantially and our earnings and cash flows from operations could be materially adversely affected.

#### As an exempted company incorporated under Bermuda law, our operations may be subject to economic substance requirements.
The Economic Substance Act 2018 and the Economic Substance Regulations 2018 of Bermuda (the "Economic Substance Act" and the "Economic Substance Regulations" respectively) 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. Relevant activities for the purposes of the Economic Substance Act are 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 Bermuda 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 Bermuda Economic Substance Act to file a declaration in the prescribed form (the "Declaration") with the Registrar of Companies (the "Registrar") on an annual basis.

If we fail to comply with our obligations under the Bermuda 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, results of operations and financial condition.

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***We rely on our information technology, and if we are unable to protect against service interruptions, data corruption, cyber-based attacks or network security breaches, our operations could be disrupted and our business could be negatively affected.***

We rely on information technology systems and networks in our operations and administration of our business. The safety and security of our vessels and efficient operation of our business, including processing, transmitting and storing electronic and financial information, will 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, results of operations and financial condition.

Our vessels will 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 plan to have in place safety and security measures on our vessels and onshore operations to secure our vessels against cybersecurity 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 and propulsion failure.

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.

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 and financial condition.

Additionally, due to Russia's invasion of Ukraine, we may be subject to elevated cybersecurity risk. Cyberattacks against the Ukrainian government and other countries in the region have been reported in connection with the aforementioned invasion. To the extent such attacks have collateral effects on global critical infrastructure or financial institutions, such developments could adversely affect our business, operating results and financial condition. At this time, it is difficult to assess the likelihood of such threat and any potential impact.

***We are subject to data privacy laws, including the European Union's General Data Protection Regulation, and any failure by us to comply could result in proceedings or actions against us and subject us to significant fines, penalties, judgments and negative publicity.***

We are subject to numerous data privacy laws, in particular the European Union's General Data Protection Regulation (2016/679), or the GDPR, which relates to the collection, use, retention, security, processing and transfer of personally identifiable information about our customers and employees in the countries where we operate. The EU data protection regime expands the scope of the EU data protection law to all companies processing data of EEA individuals, imposes a stringent data protection compliance regime, including administrative fines of up to the greater of 4% of worldwide turnover or €20 million (as well as the right to compensation for financial or non-financial damages claimed by any individuals), and includes new data subject rights such as the "portability" of personal data.

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Although we are generally a business that serves other businesses, we still process and obtain certain personal information relating to individuals, and any failure by us to comply with the GDPR or other data privacy laws where applicable could result in proceedings or actions against us, which could subject us to significant fines, penalties, judgments and negative publicity.

***The shipping industry has inherent operational risks that may not be adequately covered by our insurances. Further, because we obtain some of our insurances through protection and indemnity associations, we may also be retrospectively subject to calls or premiums in amounts based not only on our own claim records, but also on the claim records of all other members of the protection and indemnity associations.***

We procure insurance for our fleet against risks commonly insured against by vessel owners and operators. Our current insurances include hull and machinery insurance, war risks insurance, demurrage and defense insurance and protection and indemnity insurance (which includes environmental damage and pollution insurance). We do not expect to maintain for our vessels and other vessels we may acquire insurance against loss of hire, which covers business interruptions that result from the loss of use of a vessel, except in cases when our vessel transits through or call at high risk areas. We may not be adequately insured against all risks or our insurers may not pay a particular claim. Even if our insurance coverage is adequate to cover our losses, we may not be able to timely obtain a replacement vessel in the event of a loss. Furthermore, in the future, we may not be able to obtain adequate insurance coverage at reasonable rates for our fleet. Our insurance policies also contain deductibles, limitations and exclusions which, although we believe are standard in the shipping industry, may nevertheless increase our costs. If our insurances are not enough to cover claims that may arise, the deficiency may have a material adverse effect on our financial condition and results of operations. We may also be retrospectively subject to calls, or premiums, in amounts based not only on our own claim records but also the claim records of all other members of the protection and indemnity associations through which we receive indemnity insurance coverage for tort liability, including pollution-related liability. Our payment of these calls could result in significant expenses to us.

#### Risks Related to Our Relationship with 2020 Bulkers and our Ship Managers
***We depend on our Manager to operate our business and our business could be harmed if our Manager or the Ship Managers fail to perform their services satisfactorily.***

Pursuant to our Management Agreement, our Manager provides us with certain operational, commercial and management services, including newbuilding supervision and assistance with delivery of vessels, supervising SeaQuest, who is in charge of the supervision of the building process at New Times pursuant to the Supervision Agreement, liaising with flag states and classification societies, finding technical and operational management services for the vessels, and assisting us with procuring insurances for our vessels and operations.

Our operational success depends in part upon our Manager's satisfactory performance of these services and upon our Manager's relationships within the industry. Our business would be harmed if our Manager failed to perform these services satisfactorily or if our Manager suffered reputational harm. The Management Agreement has an indefinite duration and may be terminated by either party with one-month written notice. If the Management Agreement were to be terminated or if its terms were to be altered, our business could be adversely affected, as we may not be able to immediately replace the services provided under this agreement, and even if replacement services were immediately available, the terms offered could be less favorable than those under the existing agreements.

Our ability to compete for and enter into charters and to expand our relationships with our existing charterers will depend largely on our relationship with our Manager and its reputation and relationships in the shipping industry. If our Manager suffers material damage to their reputation or relationships, it may harm our ability to:

&nbsp;&nbsp;&nbsp;&nbsp;• renew existing charters upon their expiration;

&nbsp;&nbsp;&nbsp;&nbsp;• obtain new charters;

&nbsp;&nbsp;&nbsp;&nbsp;• successfully interact with shipyards during periods of shipyard construction contracts;

&nbsp;&nbsp;&nbsp;&nbsp;• obtain financing on commercially acceptable terms;

&nbsp;&nbsp;&nbsp;&nbsp;• maintain satisfactory relationships with our charterers and suppliers; and

&nbsp;&nbsp;&nbsp;&nbsp;• successfully execute our business strategies.

If our ability to do any of the things described above is impaired, it could have a material adverse effect on our business results, results of operations and financial condition.

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In addition, we will rely on the Ship Managers to provide technical management of our vessels, and any failure by such managers to perform such services satisfactorily could impact our operations and our customers.

#### Management fees are payable to our Manager and Ship Managers regardless of our profitability or whether our vessels are employed.
Pursuant to the Management Agreement, we pay our Manager a management fee based on annual estimates which are calculated based on, among other things, the payroll and infrastructure costs incurred by the Manager in providing its services to the Company in the respective year, adjusted by an applicable mark-up, and payable quarterly in four equal tranches. The management fee will be adjusted annually to account for the difference between estimated and actual costs incurred in such year. Pursuant to the Ship Management Agreements for vessels to be delivered in 2023, we expect to pay to our Ship Managers an average annual fee for each vessel of $150,000, to be revised annually with an expected increase between 2% and 5% per annum, once the vessels have been delivered and are under operation. The fees under the Management Agreement and Ship Management Agreements are payable whether or not our vessels are employed, and regardless of our profitability, and we have no ability to require our Manager and Ship Managers to reduce the fees under such agreements if our profitability decreases.

***We are dependent on our Ship Managers and their ability to hire and retain key personnel, as well as on our Manager to obtain higher charter rates to compensate crew cost increases.***

We have entered into Ship Management Agreements to outsource the technical management of our vessels to Wilhemsen and OSM. There may be conflicts of interest between us and the Ship Managers that may not be resolved in our favor. Our success depends to a significant extent upon the abilities and efforts of our Ship Managers and their ability to hire and retain key members to perform their activities under the Ship Management Agreements. The loss of any of these individuals could adversely affect our business prospects and financial condition.

Our continued success will also depend upon our Ship Managers' ability to hire and retain key personnel. In crewing our vessels, we require technically skilled employees with specialized training who can perform physically demanding work. Competition to attract and retain qualified crew members is intense due to the increase in the size of the global shipping fleet. If our Manager is not able to obtain higher charter rates to compensate for any crew cost increases, it could have a material adverse effect on our business, results of operations, cash flows and financial condition. As the vessels in our fleet are delivered, we will also need to expand our operational and financial systems and hire new shoreside staff and seafarers to crew our vessels; if our Ship Managers cannot expand these systems or recruit suitable employees, it may have an adverse effect on our results of operations.

***Our contracted Chief Executive Officer and Chief Financial Officer pursuant to the Management Agreement do not devote all of their time to our business, which may hinder our ability to operate successfully and we may face conflicts of interest as our Manager's parent is also engaged in the operation of dry bulk vessels.***

Our contracted Chief Executive Officer and Chief Financial Officer, part of the Manager team pursuant to the Management Agreement, participate in other business activities not associated with us, including serving as members of the management team of 2020 Bulkers Ltd., and are not required to work full-time on our affairs. As a result, such contracted executive officers may devote less time to us than if they were not engaged in other business activities and may owe fiduciary duties to the shareholders of both us as well as shareholders of other companies which they may be affiliated with, including 2020 Bulkers Ltd. In addition, we and 2020 Bulkers Ltd. operate dry bulk vessels. This may create conflicts of interest in matters involving or affecting us and our customers and it is not certain that any of these conflicts of interest will be resolved in our favor. Any of the foregoing could have a material adverse effect on our business, results of operations and financial condition.

#### We face risks in connection with our dependence on 2020 Bulkers who provide management services to us.
Our key management functions are carried out by 2020 Bulkers and its ability to render management services will depend in part on its own financial strength. Circumstances beyond our control could impair its financial strength, and because it is a privately held company, information about its financial strength is not fully available, although its parent company, 2020 Bulkers Ltd. is listed on the Oslo Stock Exchange. As a result, we and our shareholders might have little advance warning of financial or other problems affecting our Manager even though any financial or other problems affecting 2020 Bulkers could have a material adverse effect on our business, results of operations and financial condition.

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#### Risks Relating to Our Indebtedness
***If our vessel charters do not provide sufficient revenue to service our obligations under our Sale and Leaseback Agreement, we may be unable to make required payment thereunder, which may have a material adverse effect on our business, results of operations and financial condition.***

For the substantial financing required for installments under the newbuilding program for the dry bulk carriers, we have entered into the Sale and Leaseback Agreements, which includes pre-delivery financing of the third and fourth installment and certain delivery financing under each Shipbuilding Contract for an estimated amount of $757.6 million. For the four vessels under the 1-4 Shipbuilding Contracts, we have entered into the Avic Leasing for pre-delivery and delivery financing by way of a sale and leaseback financing for a substantial part of the remaining payment obligations. Pursuant to the Avic Leasing, we shall receive financing for the third and fourth pre-delivery installments and the fifth installments under the 1-4 Shipbuilding Contracts. In addition, upon delivery of the relevant vessels from New Times, each buyer (a vessel owning subsidiary of Himalaya Shipping) has agreed to sell its vessel to a special purpose vehicle (SPV) owned by Avic, and the SPVs have agreed to charter the vessel back to its respective buyer subsidiary, under bareboat charters, under which we have the absolute obligation to pay the hire rates irrespective of any contingency (the Hell and High Water Terms), subject to the effective transfer of ownership of the vessels to the SPVs.

In addition to the Avic Leasing, the Company has entered into the CCBFL Leasing (for six vessels) and Jiangsu Leasing (for two vessels), two similar sale and leaseback arrangements to the Avic Leasing that will cover a substantial part of the remaining payment obligations for the eight vessels under the 5-8 and 9-12 Shipbuilding Contracts.

We will be required to pay our Leasing Providers an aggregate amount of lease payments under the lease agreements of approximately $76.2 million per year. If our vessel charters do not provide sufficient revenue to pay the corresponding hire (in addition to our operative, administrative and other expenses), we may be unable to make required payment under our leases which may result in events of default under such arrangements, and eventually, the leasing providers to take control of the vessels. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Financing Arrangements*." which provides an overview of such installments, how they have been financed and how they are intended to be financed going forward.

If we are unable to meet our lease obligations or if some other default occurs under our Sale and Leaseback Agreements or other Financing Arrangements, our lenders could exercise remedies under our Financing Arrangements. We will seek to mitigate such consequences (for example, through re-negotiation of terms), and strive to re-charter or seek remedies from defaulting charterers. However, we have no guarantees that such efforts will be successful to avoid such negative reactions from our lenders, which may have a material adverse effect on our business results, results of operations 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, the value of our assets and expenditures for any new projects, we may need additional funds. We may not be able to obtain additional financing at all or on terms acceptable to us. If adequate funds are not available, it could prevent us from realizing potential revenues from prior investments and have a material adverse effect on our business, results of operations and financial condition.

***Restrictive covenants in our existing Credit Arrangements impose, and any future credit facilities, leasing and financing agreements may impose, financial and other restrictions on us, and any breach of these covenants could result in the acceleration of our indebtedness and foreclosure on our vessels.***

Our existing Credit Arrangements impose, and any future credit facility, financing and leasing agreement may impose, customary operating and financial restrictions on us. These restrictions generally require us to maintain, among other things, minimum cash balance requirements, and limit our ability to incur new indebtedness, among other things, pay dividends. Pursuant to the Bridge Facility, (which we intend to repay with the proceeds of this offering), we may not declare, make or pay any dividends. Under the Avic Leasing, a dividend or other distribution by our subsidiaries is only allowed if immediately following such payment or distribution there will be maintained in the relevant subsidiary's account a total amount no less than the higher of (i) $3.6 million, and (ii) the aggregate of approximately $2.8 million and the operating expenses for the relevant vessel that are payable within the next six

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months on a pro forma basis after such distribution. This may also limit our ability to pay dividends to our stockholders, finance our future operations or pursue business opportunities.

A failure to meet our payment and other obligations or to maintain compliance with the applicable financial covenants could lead to defaults under our Credit Arrangements. Upon an event of default, our Leasing Providers could declare default under our bareboat charters, terminate such arrangements, and any outstanding amounts and unpaid charter hire shall become payable, including other amounts representing the Leasing Providers' losses as a result for the early termination, as applicable (the "Termination Sum"), upon which payment the vessel will be transferred to our respective subsidiary. If the outstanding amounts are not paid, the vessel may be redelivered to the Leasing Provider, which will also have the right to lease the vessel to any other parties or have absolute discretion to enter into any sale of the relevant vessel and apply the net sale proceeds against the Termination Sum and claim from us for any shortfall. The loss of these vessels would have a material adverse effect on our business, results of operations and financial condition.

***Because we expect to generate all of our revenues in U.S. dollars but incur certain expenses in other currencies, exchange rate fluctuations could adversely affect our results of operations.***

We expect to generate all of our revenues in U.S. dollars and the majority of our expenses are also expected to be in U.S. dollars. However, certain limited expenses are currently incurred and expected to be in other currencies. Changes in the value of the U.S. dollar relative to the other currencies or the amount of expenses we incur in other currencies could cause fluctuations in our net income.

#### Risks Relating to Our Common Shares and the Offering
***We do not know whether a market for our common shares will develop in the U.S. If our stock price fluctuates after this offering, you could lose a significant part of your investment.***

Prior to this offering, our common shares have not been listed in a United States stock exchange and have traded on Euronext Growth Oslo and, since April 29, 2022, on the Euronext Expand. We have applied to list our common shares on the Stock Exchange. An active trading market may not develop in the U.S. and, if it does, it may not persist. If an active trading market does not develop, you may have difficulty selling any of our common shares that you buy. We cannot predict the extent to which investor interest in our company will lead to the development of an active trading market on the stock exchange, or otherwise or how liquid that market might become. The initial public offering price for the common shares will be determined by negotiations between us and the underwriters and may not be indicative of prices that will prevail in the open market following this offering. Consequently, you may not be able to sell our common shares at prices equal to or greater than the price paid by you in this offering.

In addition to the risks described above, the market price of our common shares may be influenced by many factors, some of which are beyond our control, including:

&nbsp;&nbsp;&nbsp;&nbsp;• actual or anticipated variations in our operating results;

&nbsp;&nbsp;&nbsp;&nbsp;• whether or not financial analysts cover our common shares after this offering;

&nbsp;&nbsp;&nbsp;&nbsp;• changes in financial estimates by financial analysts, or any failure by us to meet or exceed any of these estimates, or changes in the recommendations of any financial analysts that elect to follow our common shares or the shares of our competitors;

&nbsp;&nbsp;&nbsp;&nbsp;• changes in market valuations of similar companies;

&nbsp;&nbsp;&nbsp;&nbsp;• announcements by us or our competitors of significant contracts, acquisitions, strategic partnerships or joint ventures;

&nbsp;&nbsp;&nbsp;&nbsp;• future sales of our common shares by us or our shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;• investor perceptions of us and the industry in which we operate;

&nbsp;&nbsp;&nbsp;&nbsp;• general economic, industry or market conditions; and

&nbsp;&nbsp;&nbsp;&nbsp;• the other factors described in this "*Risk Factors*" section.

In addition, the stock markets in general have experienced substantial price and volume fluctuations that have often been unrelated or disproportionate to the operating performance of particular companies affected. These broad market and industry factors may materially harm the market price of our common shares, regardless of our operating

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performance. In the past, following periods of volatility in the market price of certain companies' securities, securities class action litigation has been instituted against these companies. This litigation, if instituted against us, could have a material adverse effect on our business, results of operations and financial condition.

***Our common shares offered in this public offering will not be immediately tradeable between the Stock Exchange and Euronext Expand. We intend to file the Norwegian Prospectus before the Norwegian FSA for the admission to listing and trading of such common shares on Euronext Expand, but we cannot assure such prospectus and listing will be approved and therefore, that a market for these shares will develop in Norway.***

Our common shares issued in this initial public offering will not be immediately tradeable between the Stock Exchange and Euronext Expand and investors who purchase our common shares in this offering will not be able to trade their shares between these stock exchanges at the time of the settlement of this offering. To allow for trades of the shares issued in this offering on the Euronext Expand, we intend to file the Norwegian Prospectus before the Norwegian FSA for the admission to listing and trading of such common shares on Euronext Expand, and upon which approval the Company intends to publish the Norwegian Prospectus and our common shares will be tradeable from the Stock Exchange to the Euronext Expand. Until such approval and publication, there will be no ability to settle trades in shares offered in this offering on the Euronext Expand. The Norwegian FSA's approval is expected before the end of March and publication of the Norwegian prospectus immediately thereafter; however, we cannot assure that the Norwegian Prospectus and the corresponding listing and trading on Euronext Expand will be approved in such timeframe or at all, and we cannot assure that a market for the common shares offered in this offering will develop in Norway which may adversely affect the trading price for our common shares.

***Sales of substantial amounts of our common shares in the public market, or the perception that these sales may occur, could cause the market price of our common shares to decline, and any additional capital raised by us through the sale of equity or convertible securities may dilute your ownership in us.***

Sales of substantial amounts of our common shares in the public market, or the perception that these sales may occur, could cause the market price of our common shares to decline. This could also impair our ability to raise additional capital through the sale of our equity securities. Under our authorized share capital, we are authorized to issue up to 140,010,000 common shares, of which common shares will be outstanding following this offering. We and our directors and officers comprising an aggregate of 1.2% of our outstanding share capital as of the date of this prospectus have agreed with the underwriters, subject to certain exceptions, not to offer, sell, or dispose of any shares of our share capital or securities convertible into or exchangeable or exercisable for any shares of our share capital during the 180-day period following the date of this prospectus. Certain of the underwriters may, in their sole discretion and without notice, release all or any portion of the common shares from the restrictions in any of the lock-up agreements described above. Sales of common shares by our shareholders could have a material adverse effect on the trading price of our common shares.

In addition, following the expiration of the lock-up period, certain of our existing shareholders will have the right to demand that we file a registration statement covering the offer and sale of their securities under the Securities Act of 1933 (the "Securities Act"), and such shares will be eligible for sale in the United States at various times after the date of this prospectus under the provisions of Rule 144 under the Securities Act ("Rule 144") or in offshore transactions in accordance with Regulation S under the Securities Act. Any sales of securities by these shareholders pursuant to a registration statement or otherwise could have a material adverse effect on the trading price of our common shares. We cannot predict the size of future issuances of our common shares or the effect, if any, that future sales and issuances of shares would have on the market price of our common shares.

Future issuances and sales of common shares or other equity securities may have a negative impact on the market price of our common shares. In particular, sales of substantial amounts of our common shares (including shares issued in connection with an acquisition), or the perception that such sales could occur, may adversely affect prevailing market prices of our common shares.

#### New investors in our common shares will experience immediate and substantial book value dilution after this offering.
The initial public offering price of our common shares will be substantially higher than the as adjusted net tangible book value per share of the outstanding common shares immediately after the offering. Based on an assumed initial public offering price of $ per share (which is the closing price of our common shares on the Euronext Expand on , 2023, converted at an exchange rate equal to NOK per $1.00, which is the noon buying

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rate of the Federal Reserve Bank of New York for Norwegian Kroner on , 2023, after deducting estimated underwriting discounts and commissions and expenses of the offering that are payable by us) and our net tangible book value as of December 31, 2022, if you purchase our common shares in this offering, you will pay more for your common shares than the amounts paid by our existing shareholders for their shares and you will suffer immediate dilution of approximately $ per share in as adjusted net tangible book value. As a result of this dilution, investors purchasing shares in this offering may receive significantly less than the full purchase price that they paid for the shares purchased in this offering in the event of a liquidation. For additional information on the dilution that you will experience immediately after this offering, see the section titled "*Dilution*."

#### Transformation into a U.S. public company will increase our costs and may disrupt the regular operations of our business.
This offering will have a significant transformative effect on us. We expect to incur significant additional legal, accounting, reporting and other expenses as a result of having U.S. publicly traded common shares. We will also incur costs which we have not incurred previously, including, but not limited to, costs and expenses for directors' fees, increased directors and officers insurance, investor relations, and various other costs of a U.S. public company.

We also anticipate that we will incur costs associated with corporate governance requirements, including requirements under the Sarbanes-Oxley Act of 2002, as amended (the "Sarbanes-Oxley Act"), as well as rules implemented by the SEC and the Stock Exchange. We expect these rules and regulations to increase our legal and financial compliance costs and make some management and corporate governance activities more time-consuming and costly, particularly after we are no longer an "emerging growth company." These rules and regulations may make it more difficult and more expensive for us to obtain director and officer liability insurance, and we may be required to accept reduced policy limits and coverage or incur substantially higher costs to obtain the same or similar coverage.

The additional demands associated with being a public company may disrupt regular operations of our business by diverting the attention of some of our contracted senior management team away from revenue producing activities to management and administrative oversight, adversely affecting our ability to attract and complete business opportunities and increasing the difficulty in both retaining professionals and managing and growing our businesses. Any of these effects could harm our business, financial condition and results of operations.

For as long as we are an "emerging growth company" under the recently enacted JOBS Act, our independent registered public accounting firm will not be required to attest to the effectiveness of our internal control over financial reporting pursuant to Section 404 of the Sarbanes-Oxley Act. We could be an emerging growth company for up to five years. See "*Summary—Implications of Being an Emerging Growth Company*." We intend to take advantage of the reduced reporting requirements and exemptions until we are no longer an emerging growth company or we become a large accelerated filer. We have taken advantage of certain reduced reporting and other requirements in this prospectus. Even if our contracted management concludes that our internal controls over financial reporting are effective, our independent registered public accounting firm may still decline to attest to our management's assessment or may issue a report that is qualified if it is not satisfied with our controls or the level at which our controls are documented, designed, operated or reviewed, or if it interprets the relevant requirements differently from us. In addition, in connection with our efforts to develop, implement and maintain the necessary procedures and practices related to internal control over financial reporting, we cannot be certain that will be able to maintain adequate controls over our financial processes and reporting in the future, and we may identify deficiencies that we may not be able to remediate in time to meet the deadline imposed by the Sarbanes-Oxley Act for compliance with the requirements of Section 404. In connection with our efforts to maintain effective internal controls, we will need to hire additional accounting personnel as well as to make additional investments in software and systems. Failure to comply with Section 404 could subject us to regulatory scrutiny and sanctions, impair our ability to raise revenue, cause investors to lose confidence in the accuracy and completeness of our financial reports and negatively affect our share price.

***As a foreign private issuer, we are permitted to, and we will, rely on exemptions from certain Stock Exchange corporate governance standards applicable to U.S. issuers, including the requirement that a majority of an issuer's directors consist of independent directors. This may afford less protection to holders of our common shares.***

As a foreign private issuer, we are not subject to the same disclosure and procedural requirements as domestic U.S. registrants under the Securities Exchange Act of 1934, as amended (the "Exchange Act"). For instance, we are not required to prepare and file periodic reports and financial statements with the SEC as frequently or as promptly

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as U.S. companies whose securities are registered under the Exchange Act, we are not subject to the proxy requirements under Section 14 of the Exchange Act, and we are not generally required to comply with Regulation FD, which restricts the selective disclosure of material nonpublic information. In addition, our officers, directors and principal shareholders are exempt from the reporting and "short-swing" profit recovery provisions of Section 16 of the Exchange Act. Moreover, we will be permitted to disclose compensation information for our executive officers on an aggregate, rather than an individual, basis because individual disclosure is not required under Bermuda law. We do, however, intend to furnish our shareholders with annual reports containing our financial statements audited by our independent auditors and to make available to our shareholders quarterly reports containing unaudited financial information for each of the first three quarters of each fiscal year.

The Stock Exchange corporate governance listing rules require listed companies to have, among other things, a majority of their board members be independent. As a foreign private issuer, however, we are permitted to follow home country practice in lieu of the above requirement, under which there is no requirement that a majority of our directors be independent. See "*Management—Foreign Private Issuer Exemption*."

We will lose our foreign private issuer status if we fail to meet the requirements under U.S. securities laws necessary to avoid loss of foreign private issuer status. The regulatory and compliance costs to us under U.S. securities laws as a U.S. domestic issuer may be significantly higher. We would be required to file periodic reports and registration statements on U.S. domestic issuer forms with the SEC, which are more detailed and extensive than the forms available to a foreign private issuer. We may also be required to modify certain of our policies to comply with good governance practices associated with U.S. domestic issuers. Such conversion and modifications will involve additional costs. In addition, we may lose our ability to rely upon exemptions from certain corporate governance requirements on the Stock Exchange that are available to foreign private issuers.

***We are an "emerging growth company" and we cannot be certain if the reduced disclosure requirements applicable to emerging growth companies will make our common shares less attractive to investors.***

We are an "emerging growth company," as defined in the JOBS Act, and we intend to take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not "emerging growth companies" including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404(b) of the Sarbanes-Oxley Act. We cannot predict if investors will find our common shares less attractive because we will rely on these exemptions. If some investors find our common shares less attractive as a result, there may be a less active trading market for our common shares and our share price may be more volatile.

In addition, under the JOBS Act, our independent registered public accounting firm will not be required to attest to the effectiveness of our internal control over financial reporting pursuant to Section 404 of the Sarbanes-Oxley Act of 2002 ("Sarbanes-Oxley") for so long as we are an emerging growth company.

Also, Section 107 of the JOBS Act also provides that an "emerging growth company" can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933, as amended (the "Securities Act") for complying with new or revised accounting standards. In other words, an "emerging growth company" can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. However, we are choosing to "opt out" of such an extended transition period, and as a result, we will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for non-emerging growth companies. Section 107 of the JOBS Act provides that our decision to opt out of the extended transition period for complying with new or revised accounting standards is irrevocable.

For as long as we take advantage of the reduced reporting obligations, the information that we provide our shareholders may be different from information provided by other public companies.

***Our largest shareholder will continue to have substantial control over us after this offering and could limit your ability to influence the outcome of key transactions, including a change of control.***

Drew Holdings, our largest shareholder, owns 38.7%. As a result, this shareholder may be able to influence matters requiring approval by our shareholders, including the election of directors and the approval of amalgamations, mergers or other extraordinary transactions. It may also have interests that differ from yours and may vote in a way with which you disagree and which may be adverse to your interests. The concentration of ownership may have the effect of delaying, preventing or deterring a change of control of our company, could deprive our

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shareholders of an opportunity to receive a premium for their common shares as part of a sale of our company and might ultimately affect the market price of our common shares.

#### Certain of our major shareholders may have interests that are different from the interests of our other shareholders.
Certain of our major shareholders may have interests that are different from, or are in addition to, the interests of our other shareholders. In particular, Drew Holdings owns approximately 38.7% of our outstanding shares. There may be real or apparent conflicts of interest with respect to matters affecting such shareholders and their affiliates whose interests in some circumstances may be adverse to our interests.

For instance, Drew Holdings is also a principal shareholder of a number of other large publicly traded companies involved in various sectors of the shipping and oil services industries (the "Drew Related Companies"). In addition, certain of our directors, including Carl Steen and Georgina Sousa, also serve on the boards of one or more of the Drew Related Companies, including but not limited to Golar LNG Limited. There may be real or apparent conflicts of interest with respect to matters affecting Drew and other Drew Related Companies whose interests in some circumstances may be adverse to our interests.

For so long as such shareholders continue to own a significant percentage of our common shares, they will be able to significantly influence the composition of our Board of Directors and the approval of actions requiring shareholder approval through their voting power. Accordingly, for such a period of time, they will have significant influence with respect to our management, business plans and policies, including the appointment and removal of our officers. In particular, for so long as such shareholders continue to own a significant percentage of our common shares, they may be able to cause or prevent a change of control of our company or a change in the composition of our Board of Directors and could preclude any unsolicited acquisition of our company. The concentration of ownership could deprive you of an opportunity to receive a premium for your common shares as part of a sale of our company and ultimately might affect the market price of our common shares.

Such shareholders and their affiliates engage in a broad spectrum of activities. In the ordinary course of their business activities, they may engage in activities where their interests conflict with our interests or those of our shareholders. For example, they may pursue acquisition opportunities that may be complementary to our business, and, as a result, those acquisition opportunities may not be available to us. In addition, they may have an interest in our pursuing acquisitions, divestitures and other transactions that, in their judgment, could enhance their investment, even though such transactions might involve risks to us and our shareholders. 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 depend on directors who are associated with affiliated companies, which may create conflicts of interest.
Our principal shareholder is Drew Holdings and certain of our directors are associated with affiliates thereof, including Magni Partners (collectively with Drew Holdings, the "Related Parties"). We maintain commercial relationships with our Related Parties, including the Corporate Support Agreement that is currently in place and under which services continue to be provided to us. Certain of our Related Parties have also provided facilities to us, including our Drew Holdings RCF. Please see the section entitled "*Certain Relationships and Related Party Transactions*" for more information, including information on the commercial arrangements between us and the Related Parties.

#### We cannot assure you that our Board of Directors will declare cash dividends in the foreseeable future.
We have not paid any dividends to our shareholders since incorporation. While our Board of Directors has adopted a dividend policy and we expect to return capital to shareholders through monthly cash dividends, our Board of Directors may not declare dividends in the future. Any dividends will be subject to the discretion of our Board of Directors, requirements of Bermuda law and any other applicable laws, our results of operations, financial condition, cash requirements and availability, including requirements under capital expenditure programs, market prospects, contractual limitations under our Financing Arrangements, the ability of our subsidiaries to distribute funds to us and other factors deemed relevant by our Board of Directors. See "*Dividends and Dividend Policy,*" "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital.*" The international dry bulk shipping industry is highly volatile, and we cannot predict

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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 have not adopted a separate written dividend policy to reflect our Board's policy.

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. If financing is not available to us on acceptable terms, our 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 Bermuda company and it may be difficult for you to enforce judgments against us or our directors and executive officers.
We are a Bermuda exempted company. As a result, the rights of holders of our common shares are governed by Bermuda law and our memorandum of association and bye-laws. The rights of shareholders under Bermuda law may differ from the rights of shareholders of companies incorporated in other jurisdictions. A number of our directors and some of the named experts referred to in this prospectus are not residents of the United States, and a substantial portion of our assets are located outside the United States. As a result, it may be difficult or impossible for investors to bring an action against us or against these individuals in the United States if they believe that their rights have been infringed under securities laws or otherwise, effect service of process on those persons in the United States or to enforce in the United States judgments obtained in U.S. courts against us or those persons based on the civil liability provisions of the U.S. securities laws. Even if you are successful in bringing an action of this kind, it is doubtful whether courts in Bermuda will enforce judgments obtained in other jurisdictions, including the United States, against us or our directors or officers under the securities laws of those jurisdictions or entertain actions in Bermuda against us or our directors or officers under the securities laws of other jurisdictions.

#### Bermuda law differs from the laws in effect in the United States and may afford less protection to holders of our common shares.
We are incorporated under the laws of Bermuda. As a result, our corporate affairs are governed by the Companies Act 1981 of Bermuda, as amended (the "Companies Act"), which differs in some material respects from laws typically applicable to U.S. corporations and shareholders, including the provisions relating to interested directors, amalgamations, mergers and acquisitions, takeovers, shareholder lawsuits and indemnification of directors. Generally, the duties of directors and officers of a Bermuda company are owed to the company only. Shareholders of Bermuda companies typically do not have rights to take action against directors or officers of the company and may only do so in limited circumstances. Class actions are not available under Bermuda law. The circumstances in which derivative actions may be available under Bermuda law are substantially more proscribed and less clear than they would be to shareholders of U.S. corporations. The 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 the 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.

When the affairs of a company are being conducted in a manner that is oppressive or prejudicial to the interests of some 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. Additionally, subject to Section 14 of the Securities Act and Section 29(a) of the Exchange Act, which render void any purported waiver of the provisions of the Securities Act and Exchange Act, respectively, under our bye-laws and as permitted by Bermuda law, each shareholder has waived any claim or right of action against our directors or officers for any action taken by directors or officers in the performance of their duties, except for actions involving fraud or dishonesty. In addition, the rights of holders of our common shares and the fiduciary responsibilities of our directors under Bermuda law are not as clearly established as under statutes or judicial precedent in existence in jurisdictions in the United States, particularly the State of Delaware. Therefore, holders of our common shares may have more difficulty protecting their interests than would shareholders of a corporation incorporated in a jurisdiction within the United States.

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#### Our bye-laws restrict shareholders from bringing legal action against our officers and directors.
Subject to Section 14 of the Securities Act and Section 29(a) of the Exchange Act, which renders void any purported waiver of the provisions of the Securities Act and Exchange Act, respectively, our bye-laws contain a broad waiver by our shareholders of any claim or right of action, both individually and on our behalf, against any of our officers or directors. The waiver applies to any action taken by an officer or director, or the failure of an officer or director to take any action, in the performance of his or her duties, except with respect to any matter involving any fraud or dishonesty on the part of the officer or director. This waiver limits the right of shareholders to assert claims against our officers and directors unless the act or failure to act involves fraud or dishonesty. The waiver would not be effective as a waiver of the right to sue for violations of the Securities Act or the Exchange Act, the waiver of which would be prohibited by Section 14 of the Securities Act and Section 29(a) of the Exchange Act, respectively.

***Our bye-laws provide that the federal district courts of the United States of America are the sole and exclusive forum for the resolution of any complaint asserting a cause of action arising under the U.S. Securities Act. This choice of forum provision could limit the ability of shareholders of the Company to obtain a favorable judicial forum for disputes with directors, officers or employees.***

The choice of forum provision contained in our amended bye-laws may limit a shareholder's ability to bring a claim in a judicial forum that it finds favorable for disputes with the Company or its directors, officers or other employees, which may discourage such lawsuits against the Company and its directors, officers and other employees. However, the enforceability of similar choice of forum provisions in other companies' governing documents has been challenged in recent legal proceedings, and it is possible that a court in the relevant jurisdictions with respect to the Company could find the choice of forum provision contained in our amended bye-laws to be inapplicable or unenforceable. While the Delaware Supreme Court ruled in March 2020 that U.S. federal forum selection provisions purporting to require claims under the Securities Act be brought in a U.S. federal court are "facially valid" under Delaware law, there can be no assurance that the courts in Norway and Bermuda, and other courts within the United States, reach a similar determination regarding the choice of forum provision contained in our amended bye-laws. If the relevant court were to find the choice of forum provision contained in our amended bye-laws to be inapplicable or unenforceable in an action, we may incur additional costs associated with resolving such action in other jurisdictions, which could materially adversely affect our business, financial condition and operating results.

#### We have anti-takeover provisions in our bye-laws that may discourage a change of control.
Our bye-laws contain provisions that could make it more difficult for a third-party to acquire us without the consent of our Board of Directors. These provisions provide for:

&nbsp;&nbsp;&nbsp;&nbsp;• our Board of Directors to determine the powers, preferences and rights of our preference shares and to issue the preference shares without shareholder approval;

&nbsp;&nbsp;&nbsp;&nbsp;• our Board of Directors, with the sanction of a resolution passed by a simple majority of votes cast at a general meeting with the necessary quorum for such meeting of two persons at least holding or representing by proxy 33 <sup>1</sup>∕ 3 % of our issued common shares (or the class, where applicable), to amalgamate or merge us with another company; and

&nbsp;&nbsp;&nbsp;&nbsp;• our Board of Directors to reduce the company's issued share capital selectively with the authority of a resolution of the shareholders.

These provisions could make it more difficult for a third party to acquire us, even if the third party's offer may be considered beneficial by many shareholders. As a result, shareholders may be limited in their ability to obtain a premium for their shares.

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#### CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This prospectus contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this prospectus can be identified by the use of forward-looking words such as "anticipate," "believe," "could," "expect," "should," "plan," "intend," "estimate" and "potential," among others.

Forward-looking statements appear in a number of places in this prospectus and include, but are not limited to, statements regarding our intent, belief or current expectations. Forward-looking statements are based on our management's beliefs and assumptions and on information currently available to our management.

Forward-looking statements include such matters as:

&nbsp;&nbsp;&nbsp;&nbsp;• plans to acquire newbuilding vessels and any associated contracts thereof;

&nbsp;&nbsp;&nbsp;&nbsp;• expectations to maintain existing and secure additional charters;

&nbsp;&nbsp;&nbsp;&nbsp;• expected trends in our industry, including those discussed under "*Industry Overview* ";

&nbsp;&nbsp;&nbsp;&nbsp;• expected trends in the global fleet and demand of Newcastlemax vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• expected market trends and expected impact of sanctions;

&nbsp;&nbsp;&nbsp;&nbsp;• our strategy and plans;

&nbsp;&nbsp;&nbsp;&nbsp;• our planned used of proceeds;

&nbsp;&nbsp;&nbsp;&nbsp;• our plans to meet our liquidity requirements; and

&nbsp;&nbsp;&nbsp;&nbsp;• our dividend policy.

Additionally, such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including, but not limited to, those identified under the section entitled "*Risk Factors*" in this prospectus. These risks and uncertainties include factors relating to:

&nbsp;&nbsp;&nbsp;&nbsp;• general economic, political and business conditions;

&nbsp;&nbsp;&nbsp;&nbsp;• our ability to complete the purchase of the vessels we have agreed to acquire;

&nbsp;&nbsp;&nbsp;&nbsp;• our ability to meet the conditions and covenants in our financing agreements;

&nbsp;&nbsp;&nbsp;&nbsp;• general dry bulk market conditions, including fluctuations in charter hire rates and vessel values;

&nbsp;&nbsp;&nbsp;&nbsp;• changes in demand in the dry bulk shipping industry, including the market for our vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• changes in the supply of dry bulk vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• our ability to successfully employ our dry bulk vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• changes in our operating expenses, including fuel or bunker prices, dry docking and insurance costs;

&nbsp;&nbsp;&nbsp;&nbsp;• compliance with, and our liabilities under, governmental, tax environmental and safety laws and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;• changes in governmental regulation, tax and trade matters and actions taken by regulatory authorities;

&nbsp;&nbsp;&nbsp;&nbsp;• potential disruption of shipping routes due to accidents or political events;

&nbsp;&nbsp;&nbsp;&nbsp;• our expectations regarding the availability of vessel acquisitions and our ability to complete acquisition transactions planned;

&nbsp;&nbsp;&nbsp;&nbsp;• our ability to procure or have access to financing and refinancing;

&nbsp;&nbsp;&nbsp;&nbsp;• our continued borrowing availability under our Sale and Leaseback Agreements and compliance with the financial covenants therein;

&nbsp;&nbsp;&nbsp;&nbsp;• fluctuations in foreign currency exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;• potential conflicts of interest involving members of our board and management and our significant shareholder;

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&nbsp;&nbsp;&nbsp;&nbsp;• our ability to pay dividends; and

&nbsp;&nbsp;&nbsp;&nbsp;• other factors that may affect our financial condition, liquidity and results of operations.

Forward-looking statements speak only as of the date they are made, and we do not undertake any obligation to update them in light of new information or future developments or to release publicly any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events.

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#### USE OF PROCEEDS
We expect to receive total estimated net proceeds of approximately $ million (or $ million if the underwriters exercise in full their option to purchase additional common shares), assuming an initial public offering price of $ per common share, which is the closing price of our common shares on the Euronext Expand on , 2023, converted at an exchange rate equal to NOK per $1.00, which is the noon buying rate of the Federal Reserve Bank of New York for Norwegian Kroner on , 2023, after deducting estimated underwriting discounts and commissions and expenses of the offering that are payable by us.

We intend to use the net proceeds from this offering for general corporate purposes, which may include funding acquisitions or maintaining liquidity, repayment of indebtedness and funding our working capital needs. We will have broad discretion in allocating the net proceeds from this offering. In particular we intend to use the proceeds of the offering primarily to (i) repay $1.7 million drawn under our Drew RCF to fund working capital requirements and fees payable to lenders, (ii) repay $7.5 million drawn under our Bridge Facility to fund working capital requirements, (iii) repay $2.2 million to our Ship Managers relating to advanced short-term funding provided to us to cover actual costs and expenses arising from or in connection with the Ship Management Agreements, (iv) pay the remaining cost of scrubbers relating to the third and fourth vessels with hull numbers 0120835 and 0120836, respectively, under the 1-4 Shipbuilding Contract, (v) pay the costs to install scrubbers on eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts, and (vi) pay $ loan fees to be paid to the Leasing Providers.

The Drew Holdings RCF being repaid matures on December 31, 2024, bears interest of LIBOR for a three-month interest period plus a margin of 8% per annum and has a total outstanding balance of $1.7 million as of March 6, 2023. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements—Drew Holdings Revolving Credit Facility*." The Bridge Facility being repaid matures on September 1, 2023 and bears interest at a rate which is the aggregate of certain margin per annum and SOFR, and has a total outstanding balance of $7.5 million as of the date of this prospectus. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements—Bridge Facility*."

The timing and amount of our actual expenditures will be based on many factors, including cash flows from operations and the anticipated growth of our business and customer base. Pending their use, we intend to invest the net proceeds of this offering in short-term, investment grade, interest-bearing instruments or hold them as cash.

Each $1.00 increase (decrease) in the public offering price per common share would increase (decrease) our net proceeds, after deducting estimated underwriting discounts and commissions and expenses, by approximately $ million, assuming the number of common shares offered by us, as set forth on the cover page of this prospectus, remains the same and after deducting the estimated underwriting discounts and commissions and estimated offering expenses payable by us. Each increase (decrease) of 1.0 million in the number of common shares we are offering would increase (decrease) the net proceeds to us from this offering, after deducting the estimated underwriting discounts and commissions and estimated offering expenses payable by us, by approximately $ million, assuming the assumed initial public offering price stays the same.

Although we currently anticipate that we will use the net proceeds from this offering as described above, there may be circumstances where a reallocation of funds is necessary. The amounts and timing of our actual expenditures will depend upon numerous factors, including the factors described in the section entitled "*Risk Factors*" in this prospectus. Accordingly, our management will have flexibility in applying the net proceeds from this offering.

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#### DIVIDENDS AND DIVIDEND POLICY
Under our bye-laws, our Board of Directors may declare cash dividends or distributions. We are subject to Bermuda legal constraints that may affect our ability to pay dividends on our common shares and make other payments. Under Bermuda law, a company may not declare or pay dividends if there are reasonable grounds for believing that: (i) the company is, or would after the payment be, unable to pay its liabilities as they become due; or (ii) the realizable value of its assets would thereby be less than its liabilities.

Since we are a holding company with no material assets other than the shares of our subsidiaries through which we conduct our operations, our ability to pay dividends will depend on our subsidiaries distributing their earnings and cash flow to us. In addition, certain covenants under our existing Avic Leasing subject dividends to certain conditions which if not met would require the approval of Avic prior to the distribution of any dividend. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Financing Arrangements*."

We have not paid any dividends to our shareholders since our incorporation. Our Board of Directors has adopted a dividend policy to distribute monthly dividends to our shareholders once our vessels generate sufficient cash flow allowing such payments. Any future determination related to our dividend policy will be subject to the discretion of our Board of Directors, requirements of Bermuda law and other applicable laws, our results of operation, financial condition, cash requirements and availability, including requirements under capital expenditure programs, market prospects, contractual restrictions under our Financing Arrangements, the ability of our subsidiaries to distribute funds to us and other factors deemed relevant by our Board of Directors. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital.*" We have not adopted a separate written dividend policy to reflect our Board's policy.

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

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#### CAPITALIZATION
The table below sets forth our cash and cash equivalents and total capitalization as of December 31, 2022:

&nbsp;&nbsp;&nbsp;&nbsp;• on an actual basis; and

&nbsp;&nbsp;&nbsp;&nbsp;• on an as adjusted basis to give effect to (i) the incurrence of debt under our Drew Holdings RCF, Bridge Facility and our Sale and Leaseback Agreements subsequent to December 31, 2022, (ii) the delivery of the first vessel, and (iii) our sale of the    common shares in the offering, and the receipt of approximately $ million in estimated net proceeds from this offering, assuming an initial public offering price as set forth in the section entitled "*Use of Proceeds*" and assuming that the underwriters' option to purchase additional common shares is not exercised.

Investors should read this table in conjunction with the sections titled "*Summary Financial Information*" and "*Management's Discussion and Analysis of Financial Condition and Results of Operations*" and the Consolidated Financial Statements, and the related notes thereto, included in this prospectus.

---

| | |
|:---|:---|
|  | **As of December 31, 2022**  |
|  | **Actual**  |
|  | **(in millions of U.S. dollars)**  |
| **Cash and cash equivalents:** <br>|  |
| Cash and cash equivalents  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 <br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>(2</sup><sup>)</sup><sup>(3)</sup><sup>(4)</sup> |
| **Current Liabilities:** <br>|  |
| &nbsp;&nbsp;&nbsp;Current portion of long-term debt<sup>(5)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.0  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bridge Facility | &nbsp;&nbsp;&nbsp;&nbsp;—<br>&nbsp;&nbsp;&nbsp;&nbsp;—<sup>(2)</sup> |
| &nbsp;&nbsp;&nbsp;Amounts due to related parties<sup>(6)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7  |
| **Non-current liabilities**<br>|  |
| Long-term debt<sup>(5)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;60.5  |
| Amounts due to related parties<sup>(6)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0 |
| **Shareholders' equity:** <br>|  |
| &nbsp;&nbsp;&nbsp;Common shares of par value $1.0 per share: authorized at December 31, 2022 and 2021: 140,010,000 shares, issued and outstanding at December 31, 2022 and 2021: 32,152,857 shares  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;32.2  |
| &nbsp;&nbsp;&nbsp;Additional paid-in capital  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61.1  |
| &nbsp;&nbsp;&nbsp;Retained loss  | &nbsp;&nbsp;(3.0)  |
| &nbsp;&nbsp;**Total shareholders' equity**  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;90.3  |
| **Total capitalization<sup>(7)(8)</sup>**  | &nbsp;&nbsp;&nbsp;&nbsp;161.5 |

---

(1) Reflects the net proceeds of this offering (assuming an offering price of $ per common share, assuming an initial public offering price of $ per common share, which is the closing price of our common shares on the Euronext Expand on , 2023).

(2) Reflects the payment of $7.5 million previously drawn under the Bridge Facility on March 1, 2023.

(3) Reflects the payment of $1.7 million previously drawn under the Drew Holdings RCF.

(4) The repayment of $22 million to our Ship Managers in relation to advanced short-term funding. 

(5)<br> Secured and guaranteed.

(6)<br> Unsecured and unguaranteed.

(7) Each $1.00 increase (decrease) in the offering price per common share would increase (decrease) our as adjusted total capitalization and as adjusted total shareholders' equity by $ million. 

(8) Total capitalization consists of total debt plus total shareholders' equity. 

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#### DILUTION
If you invest in our common shares, your interest will be diluted to the extent of the difference between the initial public offering price per share and the net tangible book value per share after this offering.

After giving effect to the sale by us of the common shares offered by us in the offering, and considering an offering price of $ per common share (the last reported sale price of our common shares on the Euronext Expand), after deducting the estimated underwriting discounts and commissions and estimated offering expenses payable by us, our "as adjusted" net tangible book value estimated at December 31, 2022 would have been approximately $ million, representing $ per share. This represents an immediate increase in net tangible book value of $ per share to existing shareholders and an immediate dilution in net tangible book value of $ per share to new investors purchasing common shares in this offering. Dilution for this purpose represents the difference between the price per common shares paid by these purchasers and net tangible book value per common share immediately after the completion of the offering.

The following table illustrates this dilution to new investors purchasing common shares in the offering.

---

| | |
|:---|:---|
| Assumed initial public offering price per share | $|
| Net tangible book value per share at December 31, 2022 | &nbsp;&nbsp;&nbsp;&nbsp;$2.81 |
| Increase in net tangible book value per share attributable to new investors | $|
| As adjusted net tangible book value per share after the offering | $|
| Dilution per common share to new investors | $|

---

Each $1.00 increase (decrease) in the offering price per common share, respectively, would increase (decrease) the net tangible book value after this offering by $ per common share and the dilution to investors in the offering by $ per common share.

The following table summarizes the total number of common shares purchased from us, the total cash consideration paid to us, and the average price per share paid by existing owners and by investors in this offering. The table below reflects an assumed initial public offering price of $ per share (which is the closing price of our common shares on the Euronext Expand on , 2023, converted at an exchange rate equal to NOK per $1.00, which is the noon buying rate of the Federal Reserve Bank of New York for Norwegian Kroner on , 2023, after deducting estimated underwriting discounts and commissions and expenses of the offering that are payable by us), for common shares purchased in this offering and excludes underwriting discounts and commissions and estimated offering expenses payable by us.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Common Shares** <br>**Purchased** | **Common Shares** <br>**Purchased** | **Total Consideration** | **Total Consideration** | **Average** <br>**Price** <br>**Per** <br>**Share** |
| <br>**(in thousands, except percentages and per share amounts)** | **Number** | **Percent** | **Amount** | **Percent** | **Average** <br>**Price** <br>**Per** <br>**Share** |
| Pre-IPO owners |  |  |  |  |  |
| Investors in this offering |  |  |  |  |  |
| Total |  |  |  |  |  |

---

Each $1.00 increase (decrease) in the offering price per common share, respectively, would increase (decrease) total consideration paid by investors in this offering and total consideration paid by all shareholders by $ million.

The foregoing tables assume no exercise of the underwriters' option to purchase additional common shares. If the underwriters exercise their option to purchase additional common shares, there will be further dilution in the aggregate to new investors.

The dilution information above is for illustrative purposes only. Our as adjusted net tangible book value following the consummation of this offering is subject to adjustment based on the actual initial public offering price of our common shares and other terms of this offering determined at pricing.

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#### MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION<br>

#### AND RESULTS OF OPERATIONS
*The following discussion of our financial condition and results of operations should be read in conjunction with our consolidated financial statements and the notes thereto, included elsewhere in this prospectus, as well as the information presented under "Presentation of Financial and Other Information" and "Summary Financial Information." The following discussion and analysis include forward-looking statements. These forward-looking statements are subject to risks, uncertainties and other factors that could cause our actual results to differ materially from those expressed or implied by the forward-looking statements. Factors that could cause or contribute to these differences include, but are not limited to, those discussed elsewhere in this prospectus. See in particular "Cautionary Statement Regarding Forward-Looking Statements" and "Risk Factors."*

#### Overview
Founded in March 2021, for the purpose of operating high-quality dry bulk vessels in the range of 210,000 dwt, we are a newly formed company with one Newcastlemax dry bulk vessel in operation and contracts to acquire 11 vessels of the same type under construction at New Times Shipyard in China, with dual fuel LNG technology, fuel-saving devices, scrubbers and ammonia ready engines. We believe that the installation of scrubbers on all our vessels, together with dual fuel LNG technology, and ammonia ready engines on our vessels, will make our vessels more fuel efficient, cost effective and environmentally friendly as compared to older dry bulk vessels without these features, and make our fleet more attractive to charterers. The vessels are estimated to be delivered between March 2023 and August 2024 and will have an aggregate carrying capacity of 2.5 million dwt. The acquisition of these vessels has been financed in a substantial portion through a combination of equity capital and sale and leaseback financing.

Our vessels will operate worldwide, with key trades for our Newcastlemax carriers being Brazil to China and Australia to China.

Our vessels will transport a broad range of major bulk commodities, including iron ore, coal, and bauxite, across global shipping routes. We plan to employ our vessels on index-linked rate time charters, fixed rate time charters or voyage charters, with counterparties that will typically be large dry bulk operators, commodity traders and end users.

Currently, six of our vessels under construction have been chartered out on index-linked rate time charters and we have chartered the first vessel with hull number 0120833 on a fixed-rate time charter at $30,000 per day, gross, for two years. We expect to charter the remaining vessels prior to their respective deliveries from New Times.

Our strategy is to maximize shareholder returns from our fleet of 12 Newcastlemax vessels once the vessels are delivered by New Times Shipyard. We plan to return capital to the shareholders in the form of monthly dividends. However, any dividends will be subject to the discretion of our Board of Directors, requirements of Bermuda law and other applicable laws, our results of operation, financial condition, cash requirements and availability, including requirements under capital expenditure programs, market prospects, contractual restrictions under our Financing Arrangements, the ability of our subsidiaries to distribute funds to us and other factors deemed relevant by our Board of Directors. See "*Dividends and Dividend Policy*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital*."

#### Factors that have and are expected to affect our results of operations
Our results of operations will be affected by a range of factors many of which are beyond the Company's control. Our future results may not be comparable to our historical results of operations for the periods presented. In addition, when evaluating our historical results of operations and assessing our prospects in the periods under review, you should consider the factors discussed below.

#### Our Newbuilding Contracts
We have entered into contracts to acquire 12 Newcastlemax dry bulk vessels of which the first vessel was delivered on March 2, 2023. 11 are currently under construction at New Times Shipyard in China and are estimated to be delivered between March 2023 and August 2024. These vessels will have an aggregate carrying capacity of 2.5 million dwt. The Shipbuilding Contracts have had a significant impact on our balance sheet during the periods presented in our Consolidated Financial Statements.

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We depend on New Times' ability to perform its obligations under the Shipbuilding Contracts. As security to all payments made by us prior to the delivery of our vessels, New Times has provided refund guarantees to each of our subsidiaries covering all of the pre-delivery installments paid, or to be paid, under each of the Shipbuilding Contracts, two of which have been provided by Bank of China (Jiangsu Branch) and ten of which have been provided by The Agricultural Bank of China (Jiangsu Branch) (all together, the "Refund Guarantees"). Default or non-performance by New Times of its obligations may have material adverse consequences. See "*Risk Factors—We are subject to risks with respect to our counterparties on contracts, and failure of such counterparties to meet their obligations could cause us to suffer losses or negatively impact our business, results of operations and financial condition."*

#### Vessel construction and chartering
The technical operation of our vessels by third party ship management companies have, or will have, a significant impact on the vessels' economic life. Technical risks will always be present and there can be no guarantee that the ship management companies will perform their duties according to Ship Management Agreements. Failure to adequately maintain the technical operation of a vessel may adversely impact our operating results.

#### Financing Arrangements
The total average purchase price, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on each of our vessels is $71.6 million. As of March 6, 2023, we have paid $206.8 million for certain pre-delivery installments under the Shipbuilding Contracts (including amounts paid by our Leasing Providers and Magni on our behalf), with the remaining installments totaling $652.9 million, and we have financing for substantially all of the remaining payments under the Shipbuilding Contracts, other than the cost of scrubbers we are installing on our vessels with respect to eight vessels under the 5-8 and 9-12 Shipbuilding Contracts.

As of March 6, 2023, the outstanding commitments under the Shipbuilding Contracts for the 12 newbuildings are as follows:

---

| | |
|:---|:---|
|  | **(in millions of**<br>**U.S. dollars)** |
| 2023 | &nbsp;&nbsp;&nbsp;$328.3 |
| 2024 | &nbsp;&nbsp;&nbsp;$324.6 |
| Total | &nbsp;&nbsp;&nbsp;$652.9 |

---

We have entered into Sale and Leaseback Agreements with our Leasing Providers to finance a significant part of the remaining purchase price of our 12 vessels, including the financing of a significant part of the purchase price of the vessel already delivered, equivalent to the pre-delivery financing of the third and fourth installments, at a fixed rate interest rate of 5% per annum (to be paid for each of the third and fourth instalment), and the delivery financing of the fifth installment under each of the Shipbuilding Contracts. Upon delivery, each vessel will be, or has been, sold to an SPV owned by the Leasing Providers, and each SPV has agreed to charter back the vessels back, under bareboat charters, under Hell and High Water Terms, subject to the effective transfer of ownership of the vessels to the SPVs.

In addition, the interest expenses we incur on the outstanding indebtedness under our existing Sale and Leaseback Agreements are included in our financial costs. Financial costs also include amortization of other loan issuance costs incurred in connection with establishing such facilities. We will incur additional interest expenses and other borrowing costs in the future on our outstanding borrowings and under future borrowings, particularly to cover our working capital requirements or payments of the sixth installments under the Shipbuilding Contracts relating to the extra cost for the installation of scrubbers. For additional details of our Financing Arrangements, see "*—Liquidity and Capital Resources—Financing Arrangements*."

#### Other factors affecting our financial statements
*Revenues*

We have started to generate revenues from the first vessel recently delivered to us and we expect to generate more revenues as our remaining contracted newbuilding vessels are delivered in 2023 and 2024 pursuant to their respective Shipbuilding Contracts, which will be driven primarily by the amount of daily charter hire that they earn under time charters (or the amount of time charter equivalent they earn if employed on a voyage basis) and by the number of operating days during which they generate revenues.

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A significant part of our fleet is to be employed on the index-linked rate time charter contracts.

*Nature of our operating and general and administrative expenses*

During 2022 and 2021, we have no vessel operating costs and the majority of our general and administrative costs relate to legal and advisory fees, expenses relating to our listing on Euronext Expand and management fees. When the vessels start being delivered to us, we will incur operating costs as follows:

&nbsp;&nbsp;&nbsp;&nbsp;• vessel operating expenses;

&nbsp;&nbsp;&nbsp;&nbsp;• chartering related expenses;

&nbsp;&nbsp;&nbsp;&nbsp;• technical and commercial management fees;

&nbsp;&nbsp;&nbsp;&nbsp;• voyage expenses and commissions; and

&nbsp;&nbsp;&nbsp;&nbsp;• depreciation.

#### Factors Affecting Our Future Results
The principal factors which will affect our future results of operations include:

&nbsp;&nbsp;&nbsp;&nbsp;• the earnings from our vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• gains (losses) from any sale of vessels;

&nbsp;&nbsp;&nbsp;&nbsp;• vessel operating expenses,

&nbsp;&nbsp;&nbsp;&nbsp;• voyage commissions;

&nbsp;&nbsp;&nbsp;&nbsp;• administrative expenses;

&nbsp;&nbsp;&nbsp;&nbsp;• depreciation; and

&nbsp;&nbsp;&nbsp;&nbsp;• interest expense under our Sale and Leaseback Agreements.

We will derive our earnings from time charters and voyage charters of our vessels. The dry bulk industry has historically been highly cyclical, experiencing volatility in profitability, vessel values and freight rates.

Vessel operating costs are the direct costs associated with running a vessel and include crew costs, vessel supplies, repairs and maintenance, dry dockings, lubricating oils, insurance and management fees.

We may incur impairment losses in the future. An impairment loss on a newbuilding under construction is recognized when the estimated cost of completion, being the aggregate of the carrying value, the remaining installments to be paid, the estimated newbuilding supervision costs and the estimated capitalized interest at the assessment day, exceeds the estimated future net undiscounted cash flows expected to be earned over the estimated useful life of the newbuilding upon its delivery. An impairment loss on a vessel that has been delivered is recognized when the vessel's carrying value exceeds the estimated future net undiscounted cash flows expected to be earned over the remaining estimated useful life of the vessel.

We may also incur losses from uncollectible receivables. Such losses are accrued when information is available before the financial statements are issued that indicates that it is probable that a receivable will not be collected.

Administrative expenses are comprised of general corporate overhead expenses, including personnel costs, property costs, audit fees, legal and professional fees, stock compensation costs and other general administrative expenses. Personnel costs may include, among other things, salaries, pension costs, fringe benefits, travel costs and health insurance. In addition, upon completion of this offering, we expect to incur direct, incremental general and administrative expenses as a result of our being a publicly traded company in the United States, including costs associated with hiring personnel for positions created as a result of our U.S. public company status, costs associated with publishing annual and interim reports to shareholders consistent with SEC and Stock Exchange requirements, expenses relating to compliance with the rules and regulations of the SEC, expenses related to compliance with the listing standards of Stock Exchange and the costs of independent director compensation. These incremental general and administrative expenses related to being a publicly traded company in the United States are not included in our historical consolidated results of operations.

Depreciation, or the periodic costs charged to our income for the reduction in usefulness and long-term value of our vessels, is also related to the number of vessels we will own or lease. We will depreciate the cost of vessels we own or have recorded on the balance sheet in failed sale leaseback transactions, less their estimated residual value,

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over their estimated useful life on a straight-line basis. We will depreciate the cost of vessels held under a finance lease over the term of the lease. No charge is made for depreciation of vessels under construction until they are delivered.

Interest costs are capitalized on all qualifying assets that require a period of time to get them ready for their intended use. Qualifying assets consist of our vessels under construction. The interest capitalized is calculated using our weighted average cost of borrowings, from commencement of the asset development until substantially all the activities necessary to prepare the asset for its intended use are complete. The Company does not capitalize amounts beyond the actual interest expense incurred in the period.

*Impact of COVID-19*

In March 2020, the World Health Organization declared COVID-19 a global pandemic. The COVID-19 outbreak has reached across the globe, resulting in the implementation of significant governmental measures, including lockdowns, closures, quarantines, and travel bans intended to control the spread of the virus. While some of these measures have been relaxed in certain parts of the world, ongoing social distancing measures, and future prevention and mitigation measures, as well as the potential for some of these measures to be reinstituted in the event of repeat waves of the virus and any variants, are likely to have an adverse impact on global economic conditions and consumer confidence and spending, and could materially adversely affect global economic conditions, which could in turn impact demand for dry bulk shipping.

Our newbuilding vessels are being built in China and we expect our trade routes will include China. The Chinese government has pursued "Dynamic zero COVID-19 cases" by adopting strict disease containment measures, including lock-down in certain cities and areas with rapidly rising COVID-19 cases and infection risks. There has been no impact on the construction of our newbuildings to date; however, it remains possible that the impact of COVID-19 could affect the construction and therefore the delivery of our vessels and could also impact the expected trade of our vessels with China following delivery. The Chinese government has recently announced an ease of COVID-19 related restrictions, which are expected to increase economic activity and import demand, but we remain subject to risks of the impact of strict containment measures.

*Sale and Leaseback Arrangements*

We have entered into Sale and Leaseback Agreements with our Leasing Providers to finance a significant part of the remaining purchase price of our 12 vessels, including the financing of a significant part of the purchase price of the vessel already delivered. Upon delivery, each vessel will be, or has been, sold to an SPV owned by the Leasing Providers, and each SPV has agreed to charter back the vessels back, under bareboat charters, which we have the absolute obligation to pay the hire rates irrespective of any contingency (the Hell and High Water Terms), subject to the effective transfer of ownership of the vessels to the SPVs. For more details of our Financing Arrangements and the terms and conditions thereunder, see "*Liquidity and Capital Resources—Financing Arrangements—Sale and Leaseback Agreements*".

Under the Sale and Leaseback Agreements, the average bareboat rate per day is currently $17,408 per vessel.

When a sale and leaseback transaction does not qualify for sale accounting, the transaction is accounted for as a financing transaction by the seller-lessee. To account for a failed sale and leaseback transaction as a financing arrangement, the seller-lessee does not derecognize the underlying asset; the seller-lessee continues depreciating the asset as if it was the legal owner. The sales proceeds received from the buyer-lessor are recognized as a financial liability. A seller-lessee will make rental payments under the leaseback. These payments are allocated between interest expense and principal repayment of the financial liability. The amount allocated to interest expense is determined by the incremental borrowing rate or imputed interest rate.

We expect that the Sale and Leaseback Agreements will be accounted for as financing arrangements.

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#### Results of Operations for the Year Ended December 31, 2022 and the Period Ended December 31, 2021
The following table summarizes our results of operations for the year ended December 31, 2022 and period ended December 31, 2021.

---

| | | |
|:---|:---|:---|
| **(in millions of U.S. dollars except per share data)** | **Year ended** <br>**December 31,** <br>**2022** | **Period from** <br>**March 17** <br>(Inception) to <br>**December 31,** <br>**2021** |
| **Operating expenses**<br>|  |  |
| General and administrative expenses | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Total operating expenses** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Operating loss** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| &nbsp;&nbsp;**Net loss attributable to shareholders' of Himalaya Shipping Ltd.**  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| Basic and diluted loss per share | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) |
| Weighted-average shares outstanding | 32152857 | 18316970 |

---

#### Revenues
We did not have any revenues in the year ended December 31, 2022 and period ended December 31, 2021, as for these periods we did not own any vessels. We expect to generate revenues starting in 2023 upon commencement of the delivery of our newbuilding vessels. Future revenues will be driven primarily by the amount of daily charter hire that such vessels earn under time charters (or the amount of time charter equivalent they earn if employed on a voyage basis) and by the number of operating days during which they generate revenues.

#### General and Administrative (G&A) Expenses
General and administrative expenses were $2.0 million for the year ended December 31, 2022, compared to $1.0 million for the period ended December 31, 2021. Our G&A expenses for both periods reflect the startup nature of our operations and mainly relate to listing expenses in Euronext Growth and Euronext Expand, legal fees, share based compensation expenses and fees payable under our Management Agreement with 2020 Bulkers.

#### Net Financial Expense
Net financial expense was nil for both the year ended December 31, 2022 and the period ended December 31, 2021. We had $74.9 million and nil of outstanding borrowings under our Financing Arrangements at December 31, 2022 and December 31, 2021, respectively. In 2022, interest expense of $1.8 million was capitalized within newbuilding cost.

#### Loss for the Year
Net loss was $(2.0) million for the year ended December 31, 2022 compared to $(1.0) million for the period ended December 31, 2021. This increase is directly a result of the increase in general and administrative expenses described above.

#### Critical Accounting Estimates
Our management's discussion and analysis of our financial condition and results of operations is based on our financial statements, which we have prepared in accordance with U.S. GAAP. The preparation of these financial statements requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported expenses during the reporting periods. Certain accounting policies involve judgments and uncertainties to such an extent that there is a reasonable likelihood that materially different amounts could have been reported under different conditions, or if different assumptions had been used. We evaluate our estimates and assumptions on a regular basis. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

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While our significant accounting policies are more fully described in the notes to our consolidated financial statements appearing elsewhere in this prospectus, we believe that the following accounting policies are the most critical to aid you in fully understanding and evaluating our financial condition and results of operations. For a more complete discussion of our accounting policies, see Note 2—"Basis of Preparation and Significant Accounting Policies" to our Consolidated Financial Statements.

*Impairment of long lived assets*

The carrying values of our newbuilding vessels may not represent their fair market value at any point in time since the cost of newbuildings tends to fluctuate with changes in charter rates. Historically, both charter rates and vessel values tend to be cyclical. The carrying amounts of newbuildings under construction are reviewed for potential impairment 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 spot rates and depressed second-hand vessel values. We assess recoverability of the carrying value of each asset or newbuilding on an individual basis by estimating the future undiscounted cash flows expected to result from the asset, including any remaining construction costs for newbuildings, and eventual disposal. 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 assets' or newbuildings carrying value and fair value. Fair value is estimated based on values achieved for the sale/purchase of similar vessels and appraised valuations. 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.

In developing estimates of future cash flows, we must make assumptions about future performance, with significant assumptions being related to charter rates, ship operating expenses, utilization, dry docking requirements, residual value and the estimated remaining useful lives of the vessels. These assumptions are based on historical trends as well as future expectations. Specifically, in estimating future charter rates, management takes into consideration estimated daily time charter equivalent rates over the estimated remaining lives of each of the vessels. The estimated daily time charter equivalent rates used are based on a combination of (i) trading exchange forecasts for five years and (ii) estimate of implied charter rates based on the broker values received from third-party brokers on a quarterly basis. The implied rate is a calculated rate for each vessel based on the charter rate the vessel would need to achieve, given our expected future operating costs and discount factors that once discounted would equate to the average broker values. We then use the resultant undiscounted cash flows in our model. Recognizing that the transportation of dry bulk cargoes is cyclical and subject to significant volatility based on factors beyond our control, management believes the use of estimates based on the combination of internally forecasted rates and calculated average rates as of the reporting date to be reasonable. We believe that the estimated future undiscounted cash flows expected to be earned by each of our newbuilding vessels over their remaining estimated useful life will exceed the vessels' carrying value as of December 31, 2022, plus estimated costs to complete and accordingly, has not recorded an impairment charge.

Estimated outflows for operating expenses and dry docking requirements are based on estimations and budgeted costs and are adjusted for assumed inflation. Finally, utilization is based on historical levels achieved and estimates of a residual value are consistent with the pattern of scrap rates used in management's evaluation of salvage value.

Significant factors that could impact management's assumptions regarding cash flows include (i) loss or reduction in business from significant customers, (ii) unanticipated changes in demand for transportation of dry bulk cargoes, (iii) greater than anticipated levels of newbuilding orders or lower than anticipated levels of vessel scrappings, and (iv) changes in rules and regulations applicable to the dry bulk industry, including legislation adopted by international organizations such as the IMO and the European Union or by individual countries.

*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 our financial statements and accompanying notes. Actual results could differ from those estimates.

#### Going concern
Our financial statements have been prepared on a going concern basis. We are dependent on debt financing and equity financing to finance the scrubber installation under our Shipbuilding Contracts and working capital

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requirements which raises substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2022, the Company has not commenced operations, has cash and cash equivalents of $0.3 million and a working capital deficit of $24.3 million. The Consolidated Financial Statements do not include any adjustments that might result from the outcome of this uncertainty.

We are planning to raise financing through the offering contemplated by this prospectus. Assuming debt financing for scrubber installation and/or additional equity financing, based on our track record in terms of raising equity, we believe we will be able to meet anticipated liquidity requirements for our business for at least the next twelve months as of the date of our Consolidated Financial Statements for the year ended December 31, 2022. There is no assurance that we will be able to execute this scrubber financing.

#### Liquidity and Capital Resources
We operate in a capital-intensive industry and have substantially financed our purchase of newbuildings through a combination of equity capital, sale and leaseback financing. We have not yet secured financing for (i) the remaining cost of scrubbers relating to the third and fourth vessels with hull numbers 0120835 and 0120836, respectively, under the 1-4 Shipbuilding Contract, (ii) the cost to install scrubbers on eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts, expected to be $19.2 million in the aggregate, and (iii) our working capital requirements in the upcoming months, and we intend to use a portion of the proceeds of this offering to fund a certain part of the costs to install scrubbers as described in (i) and (ii), as well as our working capital requirements.

Our ability to generate adequate cash flows on a short and medium-term basis will depend substantially on the trading performance of our vessels when delivered in the market. Periodic adjustments to the supply of and demand for dry bulk vessels cause the industry to be cyclical in nature.

We expect continued volatility in dry bulk market rates for our vessels in the foreseeable future with a consequent effect on our short and medium-term liquidity.

Our cash and cash equivalents are held in U.S. dollars.

Our short-term liquidity requirements relate to funding working capital requirements, payment of newbuilding installments, and, following the delivery of our vessels, will include lease payments under our Sale and Leaseback Agreements. Sources of short-term liquidity include cash, amounts available under (i) our $15 million Drew RCF, which drawings shall be only allowed until December 31, 2023, (ii) our $15 million Bridge Facility, and (iii) the proceeds of this offering and, following the delivery of our vessels, will include payments from customers under charters. In addition, our Sale and Leaseback Agreements contain debt incurrence covenants which could limit our ability to raise debt financing to meet liquidity or other capital requirements.

As of December 31, 2022, we were in compliance with all of our covenants in each of our Financing Arrangements.

As of December 31, 2022, we had cash and cash equivalents of $0.3 million.

As of March 6, 2023, the remaining required payments for our 12 Shipbuilding Contracts amounted to $652.9 million. Under the Sale and Leaseback Agreements, the Company has committed financing for the pre-delivery and delivery installments under each Shipbuilding Contracts for an estimated amount of $632.7 million to cover its remaining obligations under the Shipbuilding Contracts, other than for the sixth installments under these contracts relating to the extra cost for the installation of scrubbers in eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts.

Our medium and long-term liquidity requirements include lease payments for our vessels and working capital requirements.

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#### Cash Flow Statement
We will not generate cash from operating activities until delivery and chartering of our vessels. The following table summarizes our cash flows from operating, investing and financing activities for the periods indicated:

---

| | | |
|:---|:---|:---|
| **(in millions of US$)** | **Year ended -** <br>**December 31,** <br>**2022** | **March 17** <br>(Inception) to <br>**December 31,** <br>**2021** |
| &nbsp;&nbsp;Net cash used in operating activities | &nbsp;&nbsp;&nbsp;&nbsp;(1.4) | &nbsp;&nbsp;&nbsp;&nbsp;(0.5) |
| Net cash used in investing activities | &nbsp;&nbsp;&nbsp;&nbsp;(78.3) | &nbsp;&nbsp;&nbsp;&nbsp;(68.8) |
| Net cash provided by financing activities | &nbsp;&nbsp;&nbsp;&nbsp;68.7 | &nbsp;&nbsp;&nbsp;&nbsp;80.6 |
| **Net increase (decrease) in cash and cash equivalents and restricted cash** | &nbsp;&nbsp;&nbsp;&nbsp;(11.0) | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| **Cash and cash equivalents and restricted cash at beginning of period** | &nbsp;&nbsp;&nbsp;&nbsp;11.3 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Cash and cash equivalents and restricted cash at end of period** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;11.3  |
| **Supplemental disclosure of cash flow information**<br>|  |  |
| Non-cash settlement of debt | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;(13.6) |
| Non-cash share issuance | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;13.6 |
| Non-cash additions in respect of newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;(13.7) | &nbsp;&nbsp;&nbsp;&nbsp;(13.6) |
| Issuance of liabilities for newbuilding installments | &nbsp;&nbsp;&nbsp;&nbsp;13.7 | &nbsp;&nbsp;&nbsp;&nbsp;13.6 |
| Interest paid, net of capitalized interest | &nbsp;&nbsp;&nbsp;&nbsp;(0.4) | &nbsp;&nbsp;&nbsp;&nbsp;— |

---

#### Net cash used in operating activities
Net cash used in operating activities increased by $0.9 million to $1.4 million for the year ended December 31, 2022 compared to $0.5 million for the period ended December 31, 2021. The increase was primarily due to higher general and administrative expenses for the year ended December 31, 2022 compared to the period ended December 31, 2021.

#### Net cash used in investing activities
Net cash used in investing activities was $78.3 million for the year ended December 31, 2022, reflecting capitalized interest, supervision cost and pre-delivery cost on our vessels under construction. $13.7 million of newbuilding installments have been classified as non-cash additions for the year ended December 31, 2022, based on newbuild liabilities owed to the Shipyard included in accounts payable as of December 31, 2022.

Net cash used in investing activities was $68.8 million for the period ended December 31, 2021, which primarily related to cash used on our newbuilding vessels installments. $13.6 million of newbuilding installments have been classified as non-cash payments in the period ended December 31, 2021 relating to a contribution by Magni as discussed under "*Equity Issuances*" below.

#### Net cash provided by financing activities
Net cash provided by financing activities was $68.7 million for the year ended December 31, 2022 and primarily related to amounts drawn by the Company under our Sale and Leaseback Agreements, in connection with the installments to be paid under our Shipbuilding Contracts.

Net cash provided by financing activities of $80.6 million in the period ended December 31, 2021 related to net proceeds received from the private placements completed during 2021. See "*—Equity Issuances*" below.

#### Equity Issuances
Upon our incorporation on March 17, 2021, we issued 10,000 shares at a subscription price of $1.00 per share.

On June 15, 2021, we issued 15,000,000 common shares to Magni at a subscription price of $1.00 per share in exchange for (i) a contribution by Magni of receivables in the aggregate amount of $13.6 million, which related to receivables due to Magni in connection with a loan made by Magni to pay the first installments under the 1-4 Shipbuilding Contract, and (ii) a capital contribution of $1.4 million in cash from Magni.

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On July 16, 2021, we completed a private placement of 10,000,000 shares at a subscription price of $3.00 per share, raising gross proceeds of $30 million, a significant portion of which was (together with the proceeds of equity financings) used to finance the first and second installments of the Shipbuilding Contracts totaling $82.1 million.

On October 11, 2021, we completed a private placement of 7,142,857 shares at a subscription price of $7.00 per share, raising gross proceeds of $50 million, a significant majority of which was used to finance the first and second installments of the Shipbuilding Contracts totaling $82.1 million.

#### Financing Arrangements

#### Sale and Leaseback Agreements
Pursuant to the Shipbuilding Contracts, we agreed to acquire 12 vessels for an average purchase price of $69.3 million per vessel to be paid in four pre-delivery installments for each vessel, in the amount equal to approximately 5%, 5%, 10% and 10% of the initial purchase price of each vessel, respectively, with the remaining delivery installments, in the amount of approximately 70% of the initial purchase price payable upon the delivery of each vessel. The total average purchase price, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on each of our vessels is $71.6 million.

We have paid (including amounts paid by our Leasing Providers and Magni on our behalf): (i) the four pre-delivery installments on vessels No. 0120833, 0120834, 0120835, and 0120836, under the 1-4 Shipbuilding Contracts, in total amount equal to $81.5 million; (ii) the fifth and six installments on vessel No. 0120833 under the 1-4 Shipbuilding Contracts, in total amount equal to $49.9 million; (iii) the first, second, third and fourth installments on vessel No. 0120837 under the 5-8 Shipbuilding Contract, in total amount equal to $20.5 million; (iv) the first, second and third installments on vessel 0120838 under the 5-8 Shipbuilding Contracts, in total amount equal to $13.7 million; and (v) the first and second installments on vessels No. 0120839, 0120840, 0120841, 0120842, 0120843 and 0120844, under the 5-8 Shipbuilding Contracts and 9-12 Shipbuilding Contracts, as applicable, in total amount equal to $41.2 million. The two first installments on each vessel were financed with equity raised by the Company in 2021 and payment made by Magni (see "—*Equity Issuances*" above) and we subsequently entered into the Avic Leasing Arrangement, CCBFL Leasing Arrangement and Jiangsu Leasing Arrangement to finance the substantial part of the remaining financing required under the Shipbuilding Contracts, which includes pre-delivery financing of the third and fourth installment, at a fixed rate of 5%, and the delivery financing of the fifth installment under each Shipbuilding Contract, and which excludes the cost of scrubbers we are installing on each of our vessels, except for the cost of scrubbers for the first four vessels under the 1-4 Shipbuilding Contracts. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—¬Liquidity and Capital Resources—Financing Arrangements*."

Pursuant to the Sale and Leaseback Agreements, we shall receive pre-delivery financing at a fixed interest rate of 5% per annum for the third and fourth pre-delivery instalments of the Shipbuilding Contracts.

Set forth below is an overview of our Sale and Leaseback Agreements. The aggregate amount of lease payments under the lease agreements for all our vessels is approximately $76.2 million per year.

*Avic Leasing Arrangements*

For the four vessels under the 1-4 Shipbuilding Contracts, we entered into agreements with Avic International Leasing Co. Ltd., which covers a substantial part of the remaining payment obligations. Pursuant to the Avic Leasing, we shall receive financing for the remaining delivery installments under the 1-4 Shipbuilding Contracts, including the financing of 90% of the scrubber costs related to the four vessels under such contracts. As of March 6, 2023, an aggregate amount of $104.4 million was paid by Avic, on behalf of the Company, to New Times for the respective vessels. The sale and leaseback arrangement is accounted for as a financing transaction.

In addition, upon delivery of the relevant vessels from New Times, each buyer (a vessel-owning subsidiary of Himalaya Shipping) shall sell, or have sold, its vessel to a special purpose vehicle (SPV) owned by Avic, and charter the vessel back to our subsidiaries, on bareboat charters, on Hell and High Water Terms, subject to the effective transfer of ownership of the vessels to the SPVs. Accordingly, the first vessel recently delivered by New Times was sold to an Avic SPV and immediately thereafter chartered back to us under a bareboat charter.

Pursuant to the terms of each bareboat charter, we pay a fixed bareboat daily charter hire rate, payable every consecutive three months and we have options to purchase each vessel starting on the third anniversary of such vessel's delivery to us at a pre-determined, amortizing purchase price (see "*—Purchase Options*").

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We have provided security and guarantees for the financing from the Avic Leasing, including assignment of the 1-4 Shipbuilding Contracts, the related Refund Guarantees, a parent company guarantee from Himalaya Shipping, account pledges over the related subsidiaries' bank accounts and a share pledge over the shares in each related subsidiary. In addition, we have entered into an assignment of all rights, title and interest in and to the insurances, requisition compensation and charter earnings, in existence and have unconditionally agreed to assign all such rights to the same property to come into existence in the future. In addition, the subsidiaries shall arrange for a manager's undertaking from each of the managers of the respective vessels.

The Avic Leasing Arrangement contains customary covenants for this type of arrangements, including (i) covenants relating to the vessels, class, flag, compliance with the ISM Code and ISPS Code, including restrictions on sales of the vessels, (ii) general compliance requirements relating to laws and regulations, and environmental protection, (iii) customary information covenants and financial reporting covenants, including requirements to provide our financial statements for each financial year and half year to Avic and to provide a valuation report of each of the vessels at Avic's request, (iv) restrictions on change of control of subsidiaries, (v) restrictions on entering into any corporate restructuring, without the prior written consent of Avic, and (vi) certain financial covenants, as well as limitations to incur in any financial indebtedness or grant any loan without the prior written consent of Avic. In addition, a dividend or other distribution to our shareholders is only allowed if immediately following such payment or distribution there will be maintained in the relevant subsidiary's account a total amount no less than the higher of (a) $3.6 million, and (b) the aggregate of the charter hire payable every consecutive three months and the operating expenses for the relevant vessel that are payable within the next six months on a pro forma basis after such distribution.

The Avic Leasing Arrangement has a charter period of 84 consecutive months and contains customary events of termination, which include non-payment, non-compliance with insurance requirement, any misrepresentation, cross default, insolvency and changes that have or are likely to have a material adverse change on Himalayas or our relevant subsidiary's business, ability to perform its material obligations or undertakings under such arrangement or security documents.

*CCBFL Leasing Arrangements*

In addition to the Avic Leasing, we entered into similar sale and leaseback arrangement with CCBFL, which covers a substantial part of the remaining payment obligations for the eight vessels under the 5-8 Shipbuilding Contracts and the 9-12 Shipbuilding Contracts. We have provided a similar security and guarantee package for the CCBFL Leasing as under the Avic Leasing Arrangement. As of December 31, 2022, an aggregate amount of $20.5 million was paid by CCBFL, on behalf of the Company, to New Times for the respective vessels under such Shipbuilding Contracts. The sale and leaseback arrangement is accounted for as a financing transaction.

Pursuant to the terms of each bareboat charter, we pay a fixed bareboat daily charter hire rate, payable every consecutive three months and we have options to purchase each vessel starting on the third anniversary until the seventh anniversary of such vessel's delivery to us, at a pre-determined, amortizing purchase price (see "*—Purchase Options*"). The CCBFL Leasing Arrangement also contains customary covenants for this type of arrangements, including (i) covenants relating to the vessels, class, flag, compliance with the ISM Code and ISPS Code, including restrictions on sales of the vessels, (ii) general compliance requirements relating to laws and regulations, environmental protection, (iii) customary information covenants and financial reporting covenants, including requirements to provide our financial statements for each financial year and half year to CCBFL and to provide a valuation report of each of the vessels at CCBFL' request, (iv) restrictions on change of control of subsidiaries, (v) restrictions on entering into any corporate restructuring, without the prior written consent of CCBFL, and (vi) certain financial covenants, including limitations to incur any financial indebtedness or grant any loan without the prior written consent of CCBFL, and minimum cash requirements. On the latter, each relevant subsidiary is, beginning six months from the delivery date of its vessel and throughout the remaining lease period, required to maintain a minimum cash balance in its account equivalent to three months' charter hire under each applicable CCBFL Leasing, which amounts to approximately $1.5 million.

The CCFBL Leasing Arrangement has a charter period of 84 consecutive months and contains customary events of termination, which include non-payment, non-compliance with insurance requirement, any misrepresentation, cross default, insolvency and changes that have or are likely to have a material adverse change on Himalayas or our relevant subsidiary's business, ability to perform its material obligations or undertakings under such arrangement or security documents.

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*Jiangsu Financial Leasing Arrangements*

Further, CCBFL, Jiangsu Financial and the Company have entered into novation and assignment agreements, in relation to the vessels with hull numbers No. 0120839 and No. 0120840, pursuant to which CCBFL transferred and assigned all of its rights and obligations to Jiangsu Financial, on the same terms and conditions as contemplated in the corresponding CCBFL Leasing for such two vessels, to be effective in March 2023.

*Purchase Options*

Under the Sale and Leaseback Agreements, we have options to purchase each vessel starting on the third anniversary until the seventh anniversary of such vessel's delivery to us, at the following pre-determined, amortizing purchase prices:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Vessel Name** | **Hull** <br>**No.** | **Third** <br>**Anniversary** | **Fourth** <br>**Anniversary** | **Fifth** <br>**Anniversary** | **Sixth** <br>**Anniversary** | **Seventh** <br>**Anniversary** |
| Mount Norefjell | 0120833 | $56934360 | $54492480 | $52050600 | $49608720 | $47166840 |
| Mount Ita | 0120834 | $56934360 | $54492480 | $52050600 | $49608720 | $47166840 |
| Mount Etna | 0120835 | $56934360 | $54492480 | $52050600 | $49608720 | $47166840 |
| Mount Blanc | 0120836 | $56934360 | $54492480 | $52050600 | $49608720 | $47166840 |
| Mount Matterhorn | 0120837 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| &nbsp;&nbsp;Mount Neblina | 0120838 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| Mount Bandeira | 0120839 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| &nbsp;&nbsp;Mount Hua | 0120840 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| Mount Elbrus | 0120841 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| &nbsp;&nbsp;Mount Denali | 0120842 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| Mount Aconcagua | 0120843 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |
| Mount Emai | 0120844 | $56000000 | $54000000 | $51000000 | $48000000 | $46000000 |

---

Pursuant to the Avic Leasing, if we do not exercise our option to purchase our vessels at the latest of the seventh anniversary date of the relevant vessel's delivery to us, we are required to pay to Avic, on the date falling on the such anniversary, an amount equal to $25 million per vessel for which the option was not exercised on such date. Our CCBFL and Jiangsu Leasing Agreements do not provide for such compensation if we do not exercise any of our options to purchase the vessels.

*Purchase Price of Vessels*

The total average purchase price, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on each of our vessels is $71.6 million. As of March 6, 2023, we have paid $206.8 million for certain pre-delivery installments under the Shipbuilding Contracts (including amounts paid by our Leasing Providers and Magni on our behalf). The remaining installments, totaling $652.9 million, have financing for substantially all of the remaining payments under the Shipbuilding Contracts, other than the cost of scrubbers we are installing on our vessels with respect to eight vessels under the 5-8 and 9-12 Shipbuilding Contracts.

The following table provides an overview of the installments, how they have been financed and how they are intended to be financed going forward:

---

| | | | |
|:---|:---|:---|:---|
| **Vessel Name** | **Hull** <br>**No.** | **Sixth** <br>**Installment** <br>(Scrubbers) | **Purchase** <br>**Price<sup>(18)</sup>**  |
| &nbsp;&nbsp;Mount Norefjell | 0120833<br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(2)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(5)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(7)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(11)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$47541900<sup>(15)(18)</sup> | $2400000<sup>(18)</sup> | $70317000 |
| &nbsp;&nbsp;Mount Ita | 0120834<br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(2)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(5)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(7)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(11)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$47541900<sup>(15)</sup> | $2400000 | $70317000 |
| Mount Etna | 0120835<br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(2)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(5)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(7)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(12)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$47541900<sup>(15)</sup> | $2400000 | $70317000 |
| &nbsp;&nbsp;Mount Blanc | 0120836<br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(2)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3395850<sup>(5)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(8)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6791700<sup>(13)(15)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$47541900<sup>(15)</sup> | $2400000 | $70317000 |
| Mount Matterhorn | 0120837<br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(3)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6841700<sup>(9)(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6841700<sup>(14)(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49241900<sup>(16)</sup> | $2400000 | $72167000 |
| Mount Neblina | 0120838<br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(3)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6841700<sup>(10)(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6841700<sup>(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49241900<sup>(16)</sup> | $2400000 | $72167000 |
| &nbsp;&nbsp;Mount Bandeira | 0120839<br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(3)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6841700<sup>(17)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49241900<sup>(17)</sup> | $2400000 | $72167000 |
| &nbsp;&nbsp;Mount Hua | 0120840<br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(3)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3420850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6841700<sup>(17)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49241900<sup>(17)</sup> | $2400000 | $72167000 |
| Mount Elbrus | 0120841<br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(6)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6891700<sup>(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49591900<sup>(16)</sup> | $2400000 | $72667000 |
| Mount Denali | 0120842<br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(6)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6891700<sup>(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49591900<sup>(16)</sup> | $2400000 | $72667000 |

---

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---

| | | | |
|:---|:---|:---|:---|
| **Vessel Name** | **Hull** <br>**No.** | **Sixth** <br>**Installment** <br>(Scrubbers) | **Purchase** <br>**Price<sup>(18)</sup>**  |
| Mount Aconcagua | 0120843<br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(6)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6891700<sup>(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49591900<sup>(16)</sup> | $2400000 | &nbsp;&nbsp;$72667000 |
| Mount Emai | 0120844<br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$3445850<sup>(6)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6891700<sup>(16)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;$49591900<sup>(16)</sup> | $2400000 | &nbsp;&nbsp;$72667000 |
| **Total aggregate purchase price for the 12 vessels** | **Total aggregate purchase price for the 12 vessels** | **Total aggregate purchase price for the 12 vessels** | $860604000<sup>(18)</sup> |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

(1) Paid installments which have been financed with (i) a loan made by Magni to pay the first installments under the 1-4 Shipbuilding Contract in the aggregate amount of $13.6 million; and (ii) equity raised by the Company in 2021 (see "*—Equity Issuances*").

(2)<br> Payments made on May 5, 2021.

(3)<br> Payments made on July 23, 2021.

(4)<br> Payments made on October 15, 2021, except for Mount Aconcagua, made on October 19, 2021.

(5)<br> Payments made on July 19, 2021.

(6)<br> Payments made on December 2, 2021.

(7)<br> Payments made on March 14, 2022.

(8)<br> Payments made on May 10, 2022.

(9)<br> Payments made on June 28, 2022.

(10)<br> Payments made on September 6, 2022.

(11)<br> Payments made on August 5, 2022.

(12)<br> Payments made on September 28, 2022.

(13)<br> Payments made on November 11, 2022.

(14)<br> Payments made on December 28, 2022.

(15)<br> Installments paid or to be paid substantially with proceeds from the financing available pursuant to the Avic Leasing.

(16)<br> Installments paid or to be paid substantially with proceeds from the financing available pursuant to the CCBFL Leasing.

(17)<br> Installments to be paid substantially with proceeds from the financing available pursuant to the Jiangsu Leasing, effective in March 2023.

(18)<br> Payments made on February 28, 2023.

(19) Does not reflect the variation orders and deductions of the Address Commission to be deducted from the purchase price. The average Address Commission for the vessels is $679,000; whereas the currently anticipated variation orders $606,950 per vessel as further described below. 

(\*)<br> The table indicates the (i) installments that have been paid (in grey), (ii) installments to be paid which have financing secured (in green), and (iii) installment to be paid which are unfinanced (in white).

---

| | |
|:---|:---|
| (\*\*)<br>| The delivery installments are expected to be increased as a consequence of variation orders under the Shipbuilding Contracts, currently anticipated to be $606,950 per vessel, which relate in part to an increase of the size of the Low Sulphur Fuel Oil (LSFO)/Marine Gas Oil (MGO) tanks on each vessel to 4,750 cbm in order to offer maximum flexibility in trading of the ships. |

---

In addition, the Company is required to pay loan fees to Avic, CCBFL and Compass Advisory Services Pte. Ltd. from the date we entered into the Sale and Leaseback Agreements up to the delivery date of the vessels, totaling $15.2 million of which $5.4 million has been paid as of December 31, 2022.

#### Magni Corporate Support Agreement
The Company is obliged to pay Magni a total of $2.7 million in support fees in four equal tranches at delivery of the first four vessels from New Times Shipyard, which equals the aggregate agreed Address Commissions payable to our relevant subsidiaries in connection with the first four vessels, which Address Commissions were agreed with New Times, before we issued shares to external investors, in recognition of our efforts and cooperation in connection with the negotiation, agreement and execution of each Shipbuilding Contract. See "*Certain Relationships and Related Party Transactions-Corporate Support Agreement*."

#### Drew Holdings Revolving Credit Facility
Drew Holdings has provided us with an unsecured revolving credit facility of $15.0 million, which is available to the Company in tranches if it has no other liquid funds available to meet its working capital requirements. The Drew Holdings RCF is an unsecured revolving credit facility, bearing an interest rate of LIBOR for the applicable interest period under the facility, plus a margin of 8% p.a. The Company may select an interest period for each tranche of one, three or six months as specified in each relevant drawdown notice.

As of December 31, 2022, there was $1.0 million outstanding under the Drew Holdings RCF.

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#### **TABLE OF CONTENTS**
As of March [6], 2023, there is $1.7 million outstanding under the Drew Holdings RCF, which shall be repaid in full no later than December 31, 2024, or upon the sale or purchase of a major asset not already contracted for. Any additional amounts not drawn down under the Drew Holdings RCF, and currently available thereunder, will be allowed only until December 31, 2023.

Based on the latest guidance from the applicable LIBOR administrator, the reference rates currently in use are expected to be available until June 30, 2023 and the Company expects to agree alternative reference rates with Drew Holdings before the applicable discontinuation date. In addition, the Company has determined that reference rate reforms will potentially impact any outstanding amount under the Drew Holdings RCF.

#### Bridge Facility
On March 1, 2023, we entered into a $15 million unsecured Bridge Facility with DNB Markets as arranger and DNB Bank ASA as lender and agent, which is available to the Company for general corporate purposes.

Our Bridge Facility has a maturity date on September 1, 2023 and bears interest with a three month interest period at a rate which is the aggregate of (A) the "Margin", being equal to (i) 6% per annum ("p.a.") in respect of the period from March 1, 2023 to the date falling one month after the applicable utilization date, (ii) 7% p.a. in respect of the period from date the date falling one month after the applicable utilization date to the date falling three months after such utilization date; (iii) 8% p.a. in respect of the period from the date falling three months after the applicable utilization date to the date falling five months after the applicable utilization date; (iv) 9% p.a. in respect of the period from the date falling five months after the applicable utilization date to September 1, 2023; and (B) SOFR. The company is also required to pay a fee computed at the rate of 40% of the applicable Margin for any unutilized amounts until August 1, 2023, among other fees.

As of March 6, 2023, the Bridge Facility had been utilized in the amount of $7.5 million, which shall be repaid in full no later than September 1, 2023, and $7.5 million remained unutilized. Any additional amounts unutilized under the Bridge Facility, and currently available thereunder, will be available only until August 1, 2023, and the Company may only submit two additional utilization requests. Our Bridge Facility contains certain financial covenants, including a requirement that we maintain: (i) minimum liquidity of no less than $1 million at all times from April 1, 2023, (ii) a positive working capital from April 1, 2023, and (iii) an aggregate market value of our vessels of at least 105% of the amount of the outstanding debt under the facility. In addition, our Bridge Facility contains a "most favored nation" clause which provides that the financial covenants in this facility shall be amended to reflect any more lender favorable covenants that we agree in any other loan agreement.

The agreement contains various covenants, including, among others, restrictions on incurring additional indebtedness and on making acquisitions or incurring capital expenditures, a prohibition against entering into any merger or corporate reorganization, prohibitions against making or paying any dividend or other distribution on or in respect of the Company's share capital; a prohibition against disposal of any of our vessels or other material assets; and restrictions on the repurchase of our shares and restrictions on changing the general nature of our business.

The agreement also contains customary events of default which include non-payment, cross default, breach of covenants, insolvency and changes which have or are likely to have a material adverse effect on the Company's business and ability to perform its obligations under the Bridge Facility.

Furthermore, a change of control event occurs if (i) Drew Holdings and/or other entities owned by Mr. Tor Olav Trøim ceases to own, directly or indirectly, 33.33% of the shares of the Company or (ii) any person or group of persons (other than those owned by Mr. Tor Olav Trøim owns, directly or indirectly, more than 33.33% of the shares of the Company.

The Bridge Facility agreement provides that if the Company raises capital in the equity or debt capital markets, then the Company shall cancel the commitments under this facility, and if utilized, prepay the outstanding debt, on the date of receipt by it of the proceeds of the corresponding transaction.

As of December 31, 2022, we were in compliance with all of our covenants in each of our Financing Arrangements to the extent applicable.

#### Off-Balance Sheet Arrangements
We do not have any off-balance sheet arrangements as of December 31, 2022.

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#### Key Performance Indicators
We plan to use cash break-even as a key performance indicator. Our management believes cash-break even is useful to investors in evaluating our expected performance, upon delivery of our vessels, because it provides an additional tool to compare our business across companies in the same sector. This measure is used by other companies in our industry who may calculate it differently than we do, limiting its usefulness as a comparative measure. Therefore, cash break-even may have limitations as an analytical tool.

Cash break-even is defined as the minimum amount of cash revenue the Company believes that it needs to generate to achieve neutral cash flow in light of our cash costs. Our cash costs include vessel operating expenses, selling, general and administrative expenses and fixed bareboat rate per day.

The descriptions under "*—Cash-break even*" and "*—Earnings Premium*" are illustrative only and are not historical figures.

<u>Cash-break even</u>

On a fully delivered basis of our 12 scrubber-fitted dual-fuel Newcastlemax vessels, we estimate to have a cash break-even day-rate of approximately $24,440 reflecting a blended bareboat day-rate of approximately $17,400, estimated vessel operational costs of approximately $6,300 per day, and estimated $732 of administrative costs per day.

Further, for comparability, the Company estimates that an equivalent Capesize cash break-even day rate is approximately $13,921, reflecting an average premium of our Newcastlemax vessels to the BCI 5TC of approximately 41% (calculated based upon our 6 index-linked time charters which have rates that are at a 40-42%) premium to the BCI 5TC and approximately $4,800 per day scrubber benefit when sailing (based upon a HSFO – VLSFO spread (being the increased cost of what a vessel with no scrubber pays for bunker, as such vessel must buy a VLSFO, whereas a vessel with a scrubber can buy HSFO) of $236 basis Singapore bunkering average in January, 2023).

The cash-break even estimates, including the related estimated future expenses (the "Cash-break Even Information"), included in this document has been prepared by, and is the responsibility of, the Company's management. PricewaterhouseCoopers AS has not audited, reviewed, examined, compiled nor applied agreed-upon procedures with respect to the accompanying Cash-break Even Information and, accordingly, PricewaterhouseCoopers AS does not express an opinion or any other form of assurance with respect thereto. The PricewaterhouseCoopers AS report included in this document relates to the Company's previously issued financial statements. It does not extend to the Cash-Break Even Information and should not be read to do so.

<u>Earnings Premium</u>

We estimate that our vessels may earn a significant premium to conventional Capesize vessels due to their improved fuel efficiency and flexibility. A Himalaya-built vessel is estimated to have a 205 KT cargo intake (approximately 17% more than is estimated for a comparable 180KT BIMCO BCI 5TC 2014-built Capesize vessel). Furthermore, each of our vessels is estimated to consume 32 m/t bunker fuel at 12 knots laden/13 knots ballast (approximately 26% less than is estimated for a comparable 180KT BIMCO BCI 5TC 2014-built Capesize vessel of 43 m/t at 12 knots laden/13 knots ballast). Including a theoretical scrubber premium of approximately $4,858 per day based on a VLSFO – HSFO spread of $236 basis Singapore bunkering average in January 2023, the Company estimates that a Himalaya-built vessel could earn up to 70% more than a comparable conventional Capesize vessel.

#### Quantitative and Qualitative Disclosures about Market Risk
In addition to the risks inherent in our operations, we are exposed to a variety of financial risks, such as market risk (including interest rate risk and currency risk), liquidity risk and credit risk, and further information can be found in Note 8 to the Consolidated Financial Statements included elsewhere in this prospectus.

#### Emerging Growth Company
As a company with less than $1.235 billion in revenue during our last fiscal year, we qualify as an "emerging growth company" as defined in the JOBS Act. An emerging growth company may take advantage of specified reduced reporting and other burdens that are otherwise applicable generally to public companies. These provisions

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include an exemption from the auditor attestation requirement in the assessment of our internal control over financial reporting pursuant to the Sarbanes-Oxley Act. As an emerging growth company we are also exempt from certain other disclosure requirements applicable to other SEC reporting companies such as the requirement for our auditor to disclose critical audit matters in its audit report, and therefore investors will not benefit from such disclosures as they would if we were not an emerging growth company.

To the extent that we cease to qualify as a foreign private issuer but remain an emerging growth company, we may also take advantage of (i) reduced disclosure obligations regarding executive compensation in our periodic reports, proxy statements (if any) and registration statements and (ii) exemptions from the requirements of holding a non-binding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.

We may take advantage of these provisions for up to five years or such earlier time that we are no longer an emerging growth company. We would cease to be an emerging growth company (i) upon the last day of the fiscal year (A) in which we had more than $1.235 billion in annual revenue, or (B) we are deemed to be a "large accelerated filer" under the rules of the SEC, which means the market value of our common shares held by non-affiliates exceeds $700.0 million as of the prior June 30, or (ii) upon the date on which we have issued more than $1.0 billion of non-convertible debt over a three-year period. We may choose to take advantage of some but not all of these reduced burdens. To the extent that we take advantage of these reduced reporting burdens, the information that we provide shareholders may be different than you might obtain from other public companies in which you hold equity interests.

The JOBS Act permits an "emerging growth company" like us to take advantage of an extended transition period to comply with new or revised accounting standards applicable to public companies. We are choosing to "opt out" of this provision and, as a result, we will comply with new or revised accounting standards as required when they are adopted. Our decision to opt out of the extended transition period is irrevocable.

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#### INDUSTRY OVERVIEW
*The discussion contained under this "Industry Overview" section has been compiled from Clarksons Research from its database and other industry sources. Clarksons Research compiles and publishes data for the benefit of its clients. In connection therewith, Clarksons Research has advised that: (i) certain information in Clarksons Research' database is derived from estimates or subjective judgments, (ii) the information in the databases of other shipping data collection agencies may differ from the information in Clarksons Research's database and (iii) while Clarksons Research has taken reasonable care in the compilation of the statistical and graphical information and believes it to be accurate and correct, data compilation is subject to limited audit and validation procedures. Although data is taken from the most recently available published sources, these sources do revise figures and forecasts from time to time. Market data and statistics are inherently predictive and subject to uncertainty and do not, necessarily, reflect actual market conditions. Such statistics are based on market research, which, itself, is based on sampling and subjective judgments by both the researchers and the respondents, including judgments about what types of products, services and transactions should be included in the relevant market.* 

*We have compiled, extracted and reproduced data from Clarksons Research and confirm that such information has been accurately reproduced and, as far as we are aware and are able to ascertain, no facts have been omitted that would render the reproduced information inaccurate or misleading. Forward-looking information obtained from third-party sources, including Clarksons Research, is subject to the same qualifications and the uncertainties regarding the other forward-looking statements in this prospectus. See the sections entitled "Risk Factors" and "Cautionary Statement Regarding Forward-Looking Statements."*

#### Dry bulk overview
Set forth below is an overview of some of the key industry trends:

&nbsp;&nbsp;&nbsp;&nbsp;• Bulk carriers transport a wide range of essential commodities in bulk form, with the largest vessel classes, Capesize (including Newcastlemax), focused on the transportation of iron ore, coal and bauxite.

&nbsp;&nbsp;&nbsp;&nbsp;• A highly competitive and volatile charter market is driven by the demand for, and supply of, shipping capacity.

&nbsp;&nbsp;&nbsp;&nbsp;• Improved charter rates in 2021 and 2022 were reflective of an initial strong Covid-19 demand recovery, increased congestion limiting available supply and underlying slower rates of fleet growth.

&nbsp;&nbsp;&nbsp;&nbsp;• Global and Chinese economic headwinds and an unwinding of congestion weakened charter rates in the second half of 2022, with seasonal factors leading to further weakness in early 2023.

&nbsp;&nbsp;&nbsp;&nbsp;• Demand outlook highly dependent on global economic trends and, for Capesize in particular, the potential for activity in the Chinese economy and its steel industry to increase as its Covid-19 measures are relaxed.

&nbsp;&nbsp;&nbsp;&nbsp;• Highly favorable supply outlook, with the bulk carrier orderbook at a 25 year low of 7% of the fleet (6% for Capesize) and immediate shipyard availability dominated by the container and LNG shipping sectors.

&nbsp;&nbsp;&nbsp;&nbsp;• Long term reductions in global shipbuilding capacity and uncertainty around propulsion technology are also limiting to an extent newbuilding investment.

&nbsp;&nbsp;&nbsp;&nbsp;• Accelerating emissions regulation and policies may limit effective supply by reducing the speed of vessels, increasing longer term demolition levels and placing older non-eco designed vessels at a disadvantage in the charter market.

#### Dry bulk supply summary
The current dry bulk supply situation stands out from an historical perspective due to several factors, including: the Capesize orderbook-to-fleet ratio is at an historical low of approximately 6%; that shipyard lead-times from order to delivery are at their highest level since 2009, due to stretched shipyard capacity driven by high containership and liquified natural gas ("LNG") vessel ordering in 2021–2022; an ageing Capesize fleet; inflation in newbuilding prices; and uncertainty relating to propulsion technology to satisfy future regulatory emission requirements. The above factors are expected to limit newbuilding ordering in the near-term.

Furthermore, the number of active shipyards globally building vessels larger than 20,000 dwt has shrunk since 2008. Only 131 shipyards are now active, compared to the 321 active shipyards globally during the peak in 2008.

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The limited Capesize yard slots available before 2025 and 2026 provides reasonable supply visibility for Capesize vessels and the reduction in active shipyards constrains new supply of Capesize vessels. In any given year, there is potential for some 'slippage' of delivery schedules to reduce supply growth, while also some 'late reporting' of orders may expand the delivery schedule, particularly in Japan; both of these factors could have some limited impact on the supply outlook.

#### Figure 1.1: Capesize orderbook-to-fleet ratio (in terms of dwt) at historical record low levels
![](ny20006357x6_graphic02.jpg)<br>

*Source: Clarksons Research*

#### Figure 1.2: Limited capacity of shipyards globally
![](ny20006357x6_graphic03.jpg)<br>

Source: Clarksons Research, January 2023. Newbuild yard lead time calculate from shipyard forward cover estimate.

Dry bulk supply is affected by the delivery of new vessels, the scrapping of older vessels, port turnarounds with associated congestion, and average sailing speeds. The latter may be affected by International Maritime Organization ("IMO") regulations, including EEXI and CII which take effect from 2023. EEXI sets minimum ship-by-ship efficiency standards, that may result in limits to some vessel's maximum engine Power, while CII is an ongoing annual efficiency improvement program based on operational performance that may necessitate slower sailing speeds or retrofitting for the least efficient vessels. Older and less-fuel efficient ships may need to undertake retrofitting and incur some capital expenditures and, or, slow-steam at a reduced speed, or potentially be scrapped in the medium term. The IMO is targeting a 40% reduction in the average carbon intensity of the shipping industry by 2030, with a 70% reduction in intensity targeted by 2050. Additionally, the IMO is targeting a reduction of at least 50% in the shipping industry's total annual greenhouse gas emissions by 2050 and is under some pressure to accelerate this target. While there are some uncertainties around the impact of CII/EEXI (e.g. variation in enforcement, regulatory changes at future IMO meetings, policy of charterers, the timing of impacts, etc.), trends towards some speed reductions, the increase of longer term demolition levels and tiering of charter markets seem feasible. Besides IMO regulations, policies from other stakeholders including the EU, financiers and insurers though the Poseidon principles, and charter initiatives (e.g. the Sea Cargo Charter) may also support similar trends going forwards.

The Capesize fleet, including the current orderbook, counts 2,063 vessels, of which 311 vessels or 15% of the fleet were built before 2009 and 1,072 vessels or 52% were built between 2009 and 2015. A further c.1,100 Capesize

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vessels, or over half of fleet capacity, are defined as "non-eco" having mechanical rather than electronic main engines and being less fuel efficient and emissions efficient than their "eco" counterparts. According to Clarksons Research, the current average sailing speed of the dry bulk fleet is 11.2 knots. Based on a port time factor of 30%, a 1 knot reduction in speed scenario would lower effective dry bulk fleet supply by 6%, which is equal to the current dry bulk orderbook. As of December 2022, it has been observed that scrubber fitted Capesize vessels and eco Capesize vessels have held a slightly higher average speed, ranging from 0.3 to 0.4 knots, when compared to Capesize vessels without such technology.

#### Figure 1.3: Regulations to impact fleet efficiency
![](ny20006357x6_graphic04.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_graphic05.jpg)<br>

*Source: Clarksons Research and Company estimates* 

• **Dry bulk demand summary**

After rebounding by 3.1% to 5.4 billion tonnes in 2021 (3.4% in ton-miles), seaborne dry bulk trade is estimated to have eased back by -2.7% in tonnes (1.9% in ton miles) in 2022. Macroeconomic headwinds, weak trends in China's steel industry and impacts from the Russia-Ukraine conflict all dragged on volumes, though trends varied between commodities. Capesize vessel demand was impacted by weaker iron ore trade in 2022, although stronger trends in long-haul bauxite trade and shifting coal trade patterns (including long-haul European imports) provided some elements of support.

Subject to economic assumptions, including some improvements in the Chinese economy, Clarksons Research forecasts a compound annual growth rate ("CAGR") of 2.1% for seaborne dry bulk trade in ton-miles for the period from 2022 to 2024, above the 1.6% growth in tonnes for the same period. The average haul of global seaborne dry bulk trade has risen 5% over the past 10 years to 5.4 thousand miles in 2022, up from 5.0 thousand in 2012 and 5.0 thousand in 2002 and Clarksons Research forecasts this to increase steadily through 2023-24 as trade patterns continue to shift in a number of commodities.

Seaborne iron ore trade is the key driver of Capesize vessel demand, with exports from Australia and Brazil to China accounting for the vast majority of trade volumes globally. Brazilian exports to China, given the much longer distance than Australia-China flows, have a particularly strong impact on Capesize vessel demand. Brazilian iron ore

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exports declined by around 4% to c.344mt in full year 2022, on the back of weaker Chinese demand and pressure on the steel industry in Europe, while volumes remained well below peak 2018 levels (c.390mt) once again following lingering knock-on impacts from the 2019 Brumadinho tailings dam collapse. Brazilian iron ore exports have started 2023 seasonally weakly amid weather disruption, but guidance from miners is for improved volumes across 2023-24 overall. Vale S.A. expects a gradual capacity increase going forwards, with latest iron ore production guidance of 310-320mt for 2023 (2022: 308mt), and is targeting more than 360mt of production by 2030 (Source: Vale Day 2022 in New York). Australian exports increased by c.1.5% in 2022 to c.885mt, a new high, but are currently projected to see only modest growth in 2023-24. Trends in China's property and steel sectors will be a key driver of iron ore demand going forwards; seaborne imports declined in both 2021 and 2022 but could see some improvements if economic trends pick up.

Larger vessels, like Capesize vessels, could benefit from attractive demand drivers such as the following:

&nbsp;&nbsp;&nbsp;&nbsp;• The lifting of quarantine and lockdown restrictions in China may increase economic activity and dry bulk import demand, while property sector trends could also start to benefit from government support

&nbsp;&nbsp;&nbsp;&nbsp;• A global economic "soft landing" followed by global economic recovery should support dry bulk import demand generally

&nbsp;&nbsp;&nbsp;&nbsp;• The easing of traditional first quarter seasonal demand impacts including Chinese New Year and weather disruptions

&nbsp;&nbsp;&nbsp;&nbsp;• Continued energy security concerns encouraging long haul coal trade

#### Figure 1.4: Dry bulk demand growth
![](ny20006357x6_graphic06.jpg)<br>

*Source: Clarksons Research*

• **Drivers for Dry Bulk Shipping**

Demand for seaborne transportation of major and minor bulk is correlated to general economic activity, industrialization/urbanization of developing countries, population growth (including shifts in dietary habits), and regional changes in cargo supply/demand balances.

General economic activity and GDP growth have an indirect impact on demand for raw materials and finished products. The dry bulk trade has grown in part due to global economic growth. However, in developed countries, GDP is traditionally a less strong indicator of dry bulk demand as services generally constitute a larger share of GDP, while the sectors affecting dry bulk demand account for a smaller share of economic activity.

Industrialization and urbanization in developing countries traditionally imply high intensity steel and energy consumption driven by construction of infrastructure, housing, and industrial facilities. In the preliminary phase of industrialization, investment in fixed assets tends to account for a high share of GDP and boost dry bulk demand.

Population growth alone is a driver of dry bulk demand, as the need for necessities such as housing, transportation, and infrastructure increases in line with a growing population. In addition, shifts in dietary habits and rising demand for meat lead to disproportionately higher grain demand due to the need for animal feed grain.

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Furthermore, global disparities in the supply and demand of raw materials affect dry bulk shipping demand. Shipment distances exhibit regional surpluses and deficits in commodities, and shifts occur due to the depletion of local resources or if local demand exceeds local supply.

Seaborne dry bulk trade, as illustrated in figure 1.4 has had a 3.8% CAGR in the period 2000-2022 and ton-miles transported a 4.0% CAGR over the same period due to an increase in longer trade routes.

The figure below shows global seaborne trade volumes of key dry bulk cargoes from 1990 to 2022 million tonnes.

#### Figure 1.5: Global Seaborne Dry Bulk Trade Volumes
![](ny20006357x6_graphic07.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

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The tables below show in greater detail dry bulk shipping demand by key cargoes over the past 10 years:

#### Figure 1.6: Dry bulk shipping demand (mT)
![](ny20006357x6_table01.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

#### Figure 1.7: Dry bulk shipping demand (billion ton-miles)
![](ny20006357x6_table02.jpg)<br>

• **Selected Bulk Commodities**

#### Iron ore
Iron ore accounts for around a third of total seaborne dry bulk demand and is the most transported commodity for Capesize vessels, including Newcastlemax vessels. In the past 10 years, seaborne iron ore trade volume has had a 2.9% CAGR, and while this is a reduction from the previous decade's growth rates, it reflects some increased Chinese demand and available Australian production.

• **Global iron ore importers**

In 2022, Asia (predominantly China) imported approximately 90% of global seaborne iron ore. European imports of global seaborne iron ore accounted for approximately 6% in 2022. This means Chinese economic activity – specifically steel production – largely determines demand for Capesize vessels.

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The table below shows the volume of seaborne iron ore shipped by key region from 2000 to 2022:

#### Figure 1.8: Key seaborne global iron ore importers (mT)
![](ny20006357x6_graphic08.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_table03.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

• **Global iron ore exporters**

Iron ore is the main ingredient in steelmaking, and major producers include Vale, Rio Tinto Group, BHP Billiton, FMG, and Roy Hill. The main exporting countries of iron ore are Australia and Brazil. In 2022, Brazil exported approximately 23% of global seaborne iron ore and it accounted for around 43% of total iron ore vessel demand in ton-mile terms because of the long distance between Brazil and China. Others (predominantly Australia) exported approximately 77% of global seaborne iron ore export volume in 2022.

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The table below shows the volume of iron ore shipped from key export regions from 2000 to 2022:

#### Figure 1.9: Key seaborne global iron exporters (mT)
![](ny20006357x6_graphic09.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_table05.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

#### Chinese steel production
Chinese steel production expanded rapidly between 2000 and 2020, though growth has moderated somewhat more recently, with approximately 3.8% CAGR in the past five years. The industry is responsible for 10–20% of the country's carbon emissions and government policy means that a more moderate growth phase likely lies ahead, with debate around the timing of a potential 'peak steel' in China. Chinese domestic iron ore production is usually associated with higher production costs because of generally lower iron content in ores compared to Brazilian and Australian exported iron ore's iron content. The production of iron from iron ore involves an oxidation-reduction reaction usually carried out in a blast furnace. As iron ore contains vast quantities of impurities, iron must first be separated from the impurities before it is converted to pure iron. The process involves a method called pyrometallurgy, a process requiring high temperatures. Lower iron content increases the required energy in the refining process, making steel production less profitable with domestic ore than with imported ore.

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The figure below shows Chinese steel production volumes from 1996 to 2022.

#### Figure 1.10: Chinese steel production volumes (1996 to 2022)
![](ny20006357x6_graphic10.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research, \*2022 basis latest estimate*

There is a push from iron ore miners to increase production as the iron ore price in July 2021 hit a 10-year high at $214/per ton. It had fallen by around 48% by December 31, 2022 to around $112/per ton, but was still above the 10-year average of approximately $98/per ton. Brazil's iron ore production was suppressed in 2019–2020 by the collapse of the Brumadinho dam, maintenance of mines, COVID-19 pandemic, and bad weather. The Brazil iron ore export industry has historically been a strong driver of Capesize and hence also Newcastlemax rates.

#### Coal
Coal is the second most transported bulk cargo (after iron ore) and is used primarily: for electricity and heat generation (thermal coal); and in blast furnace steel making (coking coal). The coal market has experienced average growth over the past decade (approximately 1.0% CAGR), but with year-to-year volatility, and the longer-term outlook is likely to be impacted by the energy transition.

• **Global coal importers** 

Historically, the largest importers of coal were Europe and Japan, but the thermal coal market has evolved and grown in recent decades, with Europe shifting its energy mix away from coal to reduce carbon emissions, whereas Asia is increasing its coal-fired power plant capacity. The drivers of coal market growth since 2009 have been China, India, Malaysia, the Philippines, Thailand, and Vietnam. This growth is particularly apparent when looking at Chinese coal imports across this period, which have increased substantially to become the world's number one importer. Chinese imports have fluctuated though, with a notable decline in 2015 caused by economic restructuring in China and import demand coming under pressure at times more recently from increasing domestic production. The trend of moving away from coal-fuelled power generation could spread to developing countries as well over time.

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The figure below shows volumes of coal shipped from 2000 to 2022 to key importers.

#### Figure 1.11: Key seaborne coal importers (mT)
![](ny20006357x6_graphic11.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_table07.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

• **Global coal exporters**

The figures below show how Indonesia has grown to become the world's largest seaborne coal exporter, providing approximately 38% of the total seaborne coal trade in 2022. Australia was the second-largest coal exporter in 2022, with approximately 27% of global seaborne coal exports. Russia is also a large exporter of coal and the war in Ukraine is likely to affect the coal market in the future. Due to decreasing European coal production and tightness in the coal market, alternatives to Russian coal are likely to be intercontinental imports. The increased shipping distance could drive dry bulk ton-miles, while reduced European imports of Russian coal have led Russia to export more coal to Asia, further supporting dry bulk ton-miles. There is, however, a risk of demand destruction from increased coal prices and weaker economic trends in some key regions.

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The figure below shows coal export volumes shipped from key exporters from 2000 to 2022.

#### Figure 1.12: Key seaborne coal exporters (mT)
![](ny20006357x6_graphic12.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_table09.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

#### Grain
'Grain' is the collective term for wheat, coarse grains (maize, rye, oats, barley, and sorghum) and soybeans. Together with iron ore and coal, grain is a major bulk. In 2022, the seaborne trade in grain was 505m tonnes, generating nearly 3,660bn ton-miles in demand. Grain is not typically moved on Capesize vessels but is an overall influence on bulk carrier demand.

Transportation demand for grain has increased steadily in recent decades, albeit outpaced by iron ore and coal growth across much of the 2000s and 2010s. Nevertheless, growth in seaborne grain transportation volumes has been high over the past decade with a 3.8% CAGR compared to 2.9% for seaborne iron ore trade volumes. Beneficial crop conditions in the Americas and Australia combined with continued shifts in East-Asian dietary habits have supported this trend.

Long-term demand for the transportation of grains is largely reflected in dietary habits, which are dependent on economic growth in different countries and regions. In an improving economy, food intake tends to rise, increasing demand for feed grain required for animals.

In the short term, grain represents a significant source of volatility in the freight market. This volatility is substantiated by the seasonal nature of crops and different harvesting times in the northern and southern hemispheres.

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Another important factor is the weather, which has a significant impact on crops. Therefore, fluctuating weather conditions can shift trading patterns from one year to the next.

#### Global grain importers
Asia, Europe, the Middle East and Africa are the primary grain import markets, with China being a key market accounting for approximately 45% of total imports in 2022. China's impact on imports is particularly evident in soybean trades, with imports increasing from approximately 128m tonnes in 2012 to approximately 228m tonnes in 2022. Most of China's imports are sourced from the Americas, and the considerable transportation distance has contributed strongly to demand and the rise in ton-miles. Grains are usually shipped in Handysize-Panamax bulk carriers.

The table below shows seaborne grain import volumes from key import regions from 2000 to 2022.

#### Figure 1.13: Key seaborne grain importers (mT)
![](ny20006357x6_graphic13.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_table11.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research* 

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• **Global grain exporters** 

The two largest exporters of grains and soybeans are the U.S. and Brazil, which together account for nearly 75% of total seaborne grain exports. Soybeans constitute of approximately 29% of exports of the three major grain categories, where Brazil, the U.S. and Argentina are the key producers and exporters.

The figure below shows grain export volumes, or expected volumes, from key exporters from 2000 to 2022:

#### Figure 1.14: Key seaborne grain exporters (mT)
![](ny20006357x6_graphic14.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

![](ny20006357x6_table13.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

#### Bauxite
Bauxite is a sedimentary rock with a high aluminium content used as a primary source in the production of aluminium and gallium. Aluminium is a strategic resource used across manufacturing and industrial sectors such as cars, defense, transportation, energy, aerospace, consumer durables and many others. In 2022, the global seaborne bauxite trade reached 147 million tonnes, growing 5.5% from 2021. The global seaborne bauxite trade has had a CAGR of 6.8% in the past 10 years, reflecting continued growth in Chinese aluminium production and increasing

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availability of bauxite. The global seaborne trade in bauxite is dominated by China's imports, reflecting China's importance in global aluminium production. Global bauxite supply has experienced significant disruption, with Indonesia banning bauxite exports in January 2014 to support the domestic refining industries, and Malaysia banning open-pit bauxite mining in January 2016. China has sought to diversify its bauxite supply and has invested heavily in infrastructure and mining projects in West Africa, with Guinea becoming one of the largest suppliers of bauxite to China in recent years. Guinea's importance in dry bulk trade has become so important that Port Kamsar has given its name to the 'Kamsarmax' design, the largest bulk carrier that can be handled at Guinea's main bauxite port. However, rising exports from Guinea have also provided opportunities for Capesize vessels, via barge-to-ship trans-shipments, which now account for the majority of long-haul exports

The figure below shows global seaborne bauxite trade from 2000 to 2022:

#### Figure 1.15: Seaborne bauxite trade (mT)
![](ny20006357x6_graphic15.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

• **Fleet** 

Dry bulk carriers are single-decked ships that transport dry bulk commodities that are either free-flowing (such as iron ore, bauxite, grain and coal) or unitized (such as steel). Free-flowing cargoes are carried "loose", i.e. put in the hold without any bags, nets, or even crates. Unitized cargoes can be bundled (such as steel beams or logs) or loose. The carriage of unitized commodities often requires the cargo to be secured by 'dunnage' to avoid shifting during the voyage.

Dry bulk vessels differ in size and characteristics, with large vessels benefiting from economies of scale and being best-suited for long hauls between large ports, and small vessels able to enter smaller ports. The largest vessels also require substantial point-to-point transportation demand, resulting in a focus on transporting major bulks. Smaller vessels have greater flexibility in cargo and ports and are often equipped with loading and discharging equipment.

The dry bulk carrier fleet consists of approximately 13,126 vessels at year end 2022. If measured in dwt capacity, the dry bulk carrier fleet has around 972 million dwt capacity.

The fleet can be divided into four main segments, with generic names, as set out in section 7.8.2 to 7.86.

#### Handysize
*Handysize denotes bulk carrier vessels with carrying capacity of 10,000–c.45,000 dwt. They are widely used to transport a broad range of minor bulk cargoes on short-haul routes, serving small ports and routes with moderate demand. Some vessels are also designed specifically to transport specialized cargoes, such as logs, woodchips, or cement. The configuration of cargo holds and cranes depends on the vessel's purpose. They are usually equipped with four to five cargo hulls and four cranes.*

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#### Handymax
*Handymax denotes bulk carrier vessels with carrying capacity of typically between 40,000–69,999 dwt. They are widely used to transport minor bulk cargoes and some major bulks on short-haul routes. There is less variety in their design and configuration than Handysizes.*

*Supramax is a subcategory of Handymax, with carrying capacity of 50,000–59,999 dwt, while Ultramax vessels of c.63-65,000 dwt are now the most commonly built vessels in the sector. They are often equipped with cargo gear for loading and discharging independent of port facilities, making them flexible enough to carry all major and minor bulks.*

#### Panamax
*Panamax are bulk carrier vessels with carrying capacity of 65,000–99,999 dwt. The name refers to the traditional maximum size of vessels that can transit the Panama Canal, though changing vessel and lock dimensions have widened this definition. They are used for all major and some minor bulks, and They are generally gearless vessels (not equipped with cranes or conveyors) and rely on port facilities for loading and discharging.*

*Kamsarmax is a subcategory of Panamax, with carrying capacity of 80,000–88,999 dwt. This is the maximum size that can enter the world's largest bauxite port, Port Kamsar in the Republic of Guinea. Kamsarmax vessels are now the dominant designs in the Panamax sector and trade on the full range of Panamax sector trade routes.*

#### Capesize (and larger, including Newcastlemax)
*Capesize denotes bulk carrier vessels with carrying capacities of over 100,000 dwt. The name is derived from the fact that such vessels are typically too large to transit the Suez or Panama canals and hence have to pass the Cape of Good Hope on their transit East. They are nearly always gearless and are primarily used to carry iron ore as well as coal and – to a much lesser extent – grain, primarily on long-haul routes.*

*Newcastlemax is a subcategory of Capesize and are the largest vessels that can enter the Port of Newcastle (east coast of Australia, a major coal export port facility). They are limited by a beam of 50m and length of 300m, resulting in carrying capacity of around 210,000 dwt.* 

The figure below shows the global dry bulk fleet (in m dwt) and number of vessels from 2000 to 2022.

#### Figure 1.16: Global dry bulk fleet and number of vessels (2000-2022), start year
![](ny20006357x6_graphic16.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

#### Fleet Composition
The dry bulk carrier fleet consists of approximately 13,126 vessels at year end 2022, with a total capacity of around 972m dwt. The Capesize fleet including orderbook counts 2,063 vessels, with a total capacity of around 408m dwt having grown by a below trend 2% in 2022.

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• **Supply of dry bulk vessels and dynamics**

Orderbook size and demolitions are the two main factors determining the supply-side dynamics of dry bulk shipping. The underlying drivers of these factors are the current fleet size, fleet age, government and international shipping regulations, future market expectations, access to financing, and other factors that can affect the shipping cycle such as congestion in ports.

The figure below shows deliveries and demolitions of dry bulk vessels since 2000.

#### Figure 1.17: Deliveries and demolitions of dry bulk vessels (2000-2022)
![](ny20006357x6_graphic17.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

Deliveries peaked between 2010 and 2012, following record high dry bulk rates and ordering in the period from 2007 to 2010. A rise in new shipbuilding capacity, particularly in China, was also an important driver of the rapid increase in deliveries of new tonnage in the period. In 2008, approximately 26 million dwt was delivered, fairly in line with the preceding three years. However, in 2009, around 47 million dwt was delivered, followed by 82 million dwt in 2010 and just over 100 million dwt in both 2011 and 2012. Significant net fleet growth caused freight markets to drop and the contracting of new tonnage to tick down, leading to fewer deliveries between 2013 and 2015. With lower rates from 2012 to 2022, demolitions increased as many older vessels were no longer profitable.

#### Fleet additions
The dry bulk orderbook has been low in a historical context since 2017, and as of the end of 2022 was around 72 million dwt or approximately 7% of the fleet (even lower for Capesize fleet at approximately 6%, and at 9%, 8% and 7% for Panamax, Handymax and Handysize, respectively).

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The figure below shows the dry bulk fleet from 1996 to 2023, including specific data for the Capesize fleet:

#### Figure 1.18: Historical development of the dry bulk orderbook (1996-2023), start year
![](ny20006357x6_graphic18.jpg)<br>

*Source: Clarksons Research*

#### Figure 1.19: Historical development of the Capesize bulker orderbook (1996-2023), start year
![](ny20006357x6_graphic19.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

The figure below shows dry bulk orderbooks by segment from 2010 to 2023:

#### FIGURE 1.20: START OF YEAR ORDERBOOK BY SEGMENT (DWTM)
![](ny20006357x6_table15.jpg)<br>

*Source: Clarksons Research (Handysize includes some vessels up to 45k dwt)*

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As of January 2023, the dry bulk carrier orderbook as a percentage of the existing fleet was among its lowest level in the past 25 years (as shown above) despite above average earnings for the last two years. There are several factors contributing to this:

1. Shipowners are hesitant to order new vessels due to uncertainty about propulsion technology and emissions regulations, among other factors. Ammonia, hydrogen, and battery electric propulsion are considered long-term alternatives for greener shipping, but none are currently available and / or commercially feasible due to technological maturity, energy density, bunkering availability, energy costs and fuel production capabilities. These alternatives also require significant investment and may be expensive due to energy-intensive fuel production, among others. There are also health and safety concerns to be addressed, with ammonia being toxic and hydrogen being explosive. In addition, current options such as LNG, methanol, LPG, and biofuels reduce emissions but may not comply with IMO 2050 regulations. There is also a risk in investing in a propulsion technology that may not become the dominant alternative.

2. Limited shipyard capacity. Several unprofitable years characterized by shipyard overcapacity have resulted in a long-term trends of reduced yard capacity. The number of shipyards yards actively building vessels above 20,000 dwt has fallen from 321 in 2008 to 131 today, although the drop in capacity terms is estimated at around 40%. 

3.<br> High earnings in the container and LNG markets have resulted in owners ordering new buildings for these sectors, adding more than 75m dwt contracted orders in 2021–2022 combined. This leaves fewer available slots for other shipping sectors, such as dry bulk.

#### Demolition
Bulker demolition rates have been low for the past three years, averaging around 8 million dwt per year. The low rate can be explained by freight rates partially recovering in 2017, resulting in more vessels operating profitably. Furthermore, the least profitable vessels were demolished in 2012–2016 when dry bulk freight rates were lower.

While demolition currently remains modest despite softer market conditions recently, a changing regulatory environment and ageing fleet may see demolition rates increase over the next decade. As part of the IMO 2030 "short term" measures, EEXI/CII regulations come into effect in January 2023. Over 60% of Capesize fleet capacity is 'non-eco' and is likely to require some form of corrective action in order to comply with EEXI/CI. To manage this, some of the existing fleet would have to operate at reduced engine capacity, reducing speeds and impacting negatively effective fleet capacity. This engine power limitation is likely only a temporary solution as efficiency requirements are gradually increased. Retrofitting vessels could be required, but for older vessels this is generally not economically viable.

The traditional useful lifetime of a dry bulk vessel is 20–25 years, but shipowners may choose to retain vessels for longer when dry bulk earnings are strong. The introduction of EEXI regulation may impact this decision, as a larger share of vessels will face non-compliance by 2030 which may result in an increase in early demolitions.

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The figure below shows how the average age of demolition by ship varied between 2017 and 2022 by segment. For the entire fleet, the average age of demolition was stable at around 28 years for the past three years. However, there has been an increase in the average age for Handymax and Panamax vessels.

#### Figure 1.21: Average age of demolition by ship (2017-2022)
![](ny20006357x6_graphic20.jpg)<br>

*Source: Clarksons Research*

The decision to scrap a vessel is normally reactive instead of proactive. This implies that owners tend to scrap vessels during a period of weak market conditions when a short-term market pick-up is unlikely. In addition, a vessel might require a special survey, which involves costs for the owners (which typically increase as a vessel ages), potentially impacting the decision to scrap a vessel when expectations of market improvements are low. The average age of the Capesize fleet today is 9.9 years, compared to 7.8 years five years ago.

#### Charter contracts
Chartering of bulk carriers can take various forms. The key difference between chartering contracts is the distribution of risk between owner and charterer. The most important forms of charter contracts are:

#### Voyage charter
The owner and charterer agree to carry out a single voyage. They further agree on loading and discharging ports, cargo and quantity, loading and discharging speed and the dates for loading. The charterer pays the owner a freight rate, traditionally in $/tonne cargo quantity loaded. During a voyage charter, the owner is liable for all voyage-related costs including the cost of bunkers, harbor costs and any canal costs, in addition to operating costs (insurance, staffing, repair and maintenance, among others) and capital costs. Also, the owner carries the risk of delays at sea (bad weather) and shifts in voyage-related costs. On the other hand, the charterer carries the risk of prolonged loading and discharging times.

#### Contracts of affreightment (COA)
The owner and charterer agree on the conditions of carrying a certain amount of cargo from one location to another, or any combination of ports, in a specified period. The cargoes are usually transported at regular intervals. Under a COA, the name of the vessel is usually not stipulated in the contract and the owner appoints vessels for each lifting according to agreed procedures. A freight rate is usually paid in $/tonne, and a COA is otherwise similar to a voyage charter with similar rights and obligations. COAs can cover a few cargoes in a short period up to dozens of cargoes annually for several years.

#### Time charters
A time charter contract involves the use of a vessel at specified daily rate for a fixed period. During a standard time charter, the shipowner provides crew and other services in relation to operating the vessel, for which the costs are included in the daily rate, and the charterer is responsible for essentially all vessel costs related to the voyage.

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When the vessel is off-hire, the shipowner is usually responsible for all costs, meaning the customer is normally not obliged to pay the hire. Furthermore, the time and place of delivery and re-delivery are agreed upon in advance. The charterer is commercially responsible for the use of the vessel, and unlike a voyage charter the charterer assumes all risk for delays at sea and voyage-related costs. The charterer usually chooses a time charter if they want a dedicated vessel, and the duration of the contract can be up to several years.

#### Bareboat charters
A bareboat charter is essentially a lease. Similar to a time charter, the charterer is provided a vessel by the owner for a fixed period at a specified daily rate. However, the customer is responsible for crewing and all required services to operate the vessel, in addition to voyage-related costs. In reality, the customer acts as a shipowner without holding ownership rights to the ship. Over the charter period, a charterer must pay hire regardless of whether or not the vessel is in service, and operational risk is allocated to the charterer.

• **Charter rates** 

The balance, or imbalance, of supply and demand determines the freight rates for charter contracts. This balance can be split roughly into two parts: first, the global demand and supply balance that governs global market conditions; and; second, the short-term regional balance that can cause rates to temporarily fluctuate.

Clarksons Research's average Capesize spot earnings series for a scrubber-fitted, 'eco' vessel averaged c.$24,666/day in 2022, down from c.$35,000/day seen in 2021, though representing a premium on non-scrubber-fitted, non-'eco' vessels which averaged just c.$12,000/day last year. The Capesize market has started 2023 on a weak note, in part reflecting typical seasonal trends as well as continued demand headwinds and lower levels of port congestion, but looking ahead, earnings could benefit from both a seasonal improvement in demand through the year as well as an improvement in economic trends in China as Covid pressures potentially start to ease, also against a backdrop of a gradual easing of macroeconomic headwinds globally.

The chart below shows average time charter trip earnings for Handysize, Supramax, Panamax, and Capesize vessels from 2017 to 2022:

#### Figure 1.22: Average time charter trip earnings for Handysize, Supramax, Panamax,<br>

#### and Capesize vessels (2017-2022)
![](ny20006357x6_graphic21.jpg)<br>

*Source: Clarksons Research, on basis of non-eco vessels – eco and scrubber vessels would earn a premium to the above.* 

The dry bulk market can also be illustrated by showing 12-month time charter rates, which are typically less volatile than voyage rates, and also convey some information about forwards market sentiment amongst market participants.

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#### Figure 1.23: 12-month time charter rates (2000-2022)
![](ny20006357x6_graphic22.jpg)<br>

&nbsp;&nbsp;&nbsp;&nbsp;<br>

*Source: Clarksons Research*

#### Asset values
The shipping market differs from other markets in that the market for buying and selling the production assets (vessels) is highly liquid and often seen as an important part of most shipowners' business plans.

The price of new buildings is determined by the balance of supply and demand for new buildings, in addition to changes in production costs, currency exchange rates, and interest rates. Price differences between shipyards are often a result of the quality of their vessels in terms of design and workmanship.

The value of second-hand vessels is influenced by several factors. When shipowners think about ordering new vessels, they often consider modern second-hand vessels (usually less than five years old). Their decision is affected by pricing and short-term market trends. For instance, if the resale price of a newbuilding (a vessel ready for delivery from the shipyard within a few months) is considerably higher than a newbuilding contract and short-term expectations in the freight market are poor, shipowners could opt for a newbuilding contract. If short-term freight expectations are positive, owners could still consider it worthwhile to pay a premium for a resale/modern vessel to have an operational ship sooner.

The value of a vessel older than about five years is more likely to be affected by trends in the freight market. Prices tend to rise when the spot market is expected to be strong, and vice versa. The older a vessel, the more its value will be affected (in percentage terms) by fluctuating freight conditions, though pricing is also generally much lower and can also be influenced by demolition value.

To summarize, second-hand values are mainly influenced by actual and expected earnings, the replacement cost of new buildings (in relation to modern second-hand vessels) and demolition value for old vessels. For a single transaction, class position (when the next special survey is due) and technical conditions play an essential role in determining the value.

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The figure below shows resale values for Capesize vessels of 180k dwt from 2006 to 2022:

#### Figure 1.24: Capesize resale values (2006-2022)
![](ny20006357x6_graphic23.jpg)<br>

*Source: Clarksons Research, please note historically the assumed vessel size was slightly smaller.*

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#### BUSINESS

#### Our Business
We are an independent bulk carrier company with contracts to acquire 12 Newcastlemax dry bulk vessels, of which one vessel was delivered on March 2, 2023 and is in operation and 11 are under construction. We were founded in March 2021 for the purpose of operating high-quality dry bulk vessels in the range of 210,000 dwt.

We have agreements to acquire 12 Newcastlemax dry bulk vessels, of which one vessel has been delivered and is in operation and 11 are under construction at New Times Shipyard in China with an aggregate carrying capacity of 2.5 million dwt. These vessels will be equipped with the latest generation dual fuel LNG technology, with fuel-saving devices, exhaust gas cleaning systems, or "scrubbers", and ammonia ready engines, which we believe will make our vessels more fuel efficient, more cost effective, and more environmentally friendly compared to older dry bulk vessels without these features which we believe will make our fleet more attractive to charterers.

Although LNG is not currently economical to use for dual fuel vessels at current LNG market prices, we expect the dual fuel capability to be a benefit in the future.

The estimated delivery of our vessels under construction is between March 2023 and August 2024. Pursuant to agreements with the Leasing Providers, upon delivery from New Times, each acquired vessel will be sold to a special purpose vehicle (SPV) owned by the Leasing Providers, and each SPV has agreed to charter back the vessels under bareboat charters, under Hell and High Water Terms, subject to the effective transfer of ownership of the vessels to the SPVs. Each of the vessels will be flagged in Liberia. Accordingly, the first vessel recently delivered by New Times was sold to an Avic SPV and immediately thereafter chartered back to us under a bareboat charter.

Pursuant to the Shipbuilding Contracts, we agreed to acquire 12 vessels for an initial average purchase price of $69.3 million per vessel to be paid in four pre-delivery installments for each vessel, in the amount equal to approximately 5%, 5%, 10% and 10% of the initial purchase price of each vessel, respectively, with the remaining delivery installments, in the amount of approximately 70% of the initial purchase price payable upon the delivery of each vessel. The total average purchase price, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on each of our vessels is $71.6 million.

The total purchase price payable for all the vessels is $859.7 million, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on all our vessels. As of March 6, 2023, we have paid $206.8 million for certain pre-delivery installments under the Shipbuilding Contracts and the delivery installments on one vessel (including amounts paid by our Leasing Providers and Magni on our behalf), with the remaining installments totaling $652.9 million. We have entered into agreements for pre-delivery financing and delivery financing with Avic, CCBFL, and Jiangsu to provide the financing for substantially all of the remaining installments under the newbuilding program for our vessels, other than the cost of scrubbers we are installing on our vessels with respect to eight vessels under the 5-8 and 9-12 Shipbuilding Contracts.

We have agreements in place with New Times to install scrubbers on all of our vessels for a cost of $2.4 million per vessel and we have secured financing for a substantial portion of this cost for the four vessels under the 1-4 Shipbuilding Contracts and we intend to finance (i) the remaining cost of scrubbers (a) for the second vessel with hull number 0120834 under the 1-4 Shipbuilding Contracts with funds available to the Company under the Drew Holdings RCF and Bridge Facility, and (b) for the third and fourth vessel with hull numbers 0120835 and 0120836 under the 1-4 Shipbuilding Contract, respectively, with the net proceeds from this offering; and (ii) the respective cost of scrubbers for the eight vessels under the 5-8 and 9-12 Shipbuilding Contracts with the net proceeds of this offering or through debt financing with our existing lenders, or a combination thereof. There is no assurance that we will be able to execute this scrubber financing.

We are planning to raise financing through the offering contemplated by this prospectus. Assuming additional equity financing based on our track record in terms of raising equity, and/or completion of debt financing for scrubber installation, we believe we will be able to meet anticipated liquidity requirements for our business for at least the next twelve months.

Our vessels will operate worldwide, with key trades expected to be Brazil to China and Australia to China. Our vessels are expected to transport a broad range of major bulk commodities, including iron ore, coal, and bauxite. We plan to employ our vessels on index-linked rate time charters, fixed rate time charters or voyage charters, with counterparties that are expected to typically be large dry bulk operators, commodity traders and end users. Currently, six of our vessels under construction have been chartered out on index-linked rate time charters and we have

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chartered the first vessel with hull number 0120833 on a fixed-rate time charter at $30,000 per day, gross, for two years, and we expect to charter the remaining vessels prior to their respective delivery from New Times.

Our Manager, 2020 Bulkers, has experience operating in the dry bulk shipping industry. Our contracted Chief Executive Officer, Mr. Herman Billung, has extensive experience in the dry bulk shipping industry including overseeing newbuilding projects, sales and purchase activities and commercial and chartering activities. During his career, Mr. Billung has gained deep experience in and insight into the dry bulk market. Mr. Billung became the Chief Executive Officer of our Manager at the same time he assumed the role as our contracted Chief Executive Officer in February 2022.

In April 2022, our common shares began trading on the Euronext Expand under the symbol "HSHIP."

We plan to maximize shareholder returns from the 12 Newcastlemax vessels once the vessels are complete and delivered by New Times Shipyard. We plan to charter the vessels to strong counterparties and will focus on returning capital to the shareholders in the form of monthly dividends, subject to available cash and capital requirements, including requirements under capital expenditure programs, market prospects, contractual restrictions under our Financing Arrangements, and other considerations. See "*Dividends and Dividend Policy*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital*."

We may consider growth and acquisition opportunities if we believe in the best interest of our shareholders; however, our primary focus is to maximize shareholder returns for the 12 newbuilding vessels we have agreed to acquire (one of which has already been delivered).

#### Our Fleet
We have one newbuilding dual fueled Newcastlemax 210,000 dwt dry bulk vessel in operation and 11 of the same type under construction at New Times Shipyard in China, which are estimated to be delivered between March 2023 and August 2024. A significant part of the purchase price of these vessels will be financed under the Sale and Leaseback Agreements, and upon delivery to us, these vessels will be sold to SPVs owned by our Leasing Providers and then leased back to us under bareboat charters. These vessels will comprise our fleet when delivered, and we expect the majority to be contracted on index-linked time charters.

In connection with the IMO sulfur cap regulations that came into force in January 2020, which limits emission of sulfur content to 0.5% m/m, all of our vessels will have scrubbers installed upon delivery to us. We believe that having scrubbers on all of our vessels will distinguish us from Capesize vessel owners that do not have scrubbers on their vessels and therefore will not be able to consume less expensive bunker fuel with higher sulfur content. Approximately 47.9% of the Capesize fleet in the market has installed scrubbers.

We estimate that each incremental $50 per tonne increase in the Very Low Sulphur Fuel Oil ("VLSFO") – High Sulfur Fuel Oil ("HSFO") fuel spread would yield a potential scrubber-driven saving of around $1.0 thousand per day for a scrubber-fitted dual fuel Newcastlemax vessel, assuming 27.4 tonnes per day fuel consumption and 75% retention of the scrubber premium by the Company. Between 2018 and 2022, the VLSFO–HSFO spread has been approximately $121 per tonne, while the 2023, 2024, and 2025 forward curves imply approximately $142, $110, and $93 per tonne, respectively.

Although LNG is not currently economical to use for dual fuel vessels at current LNG market price, we expect the dual fuel capability to be a benefit in the future. Once LNG becomes economical to use, we estimate that each incremental $50 per tonne increase in the VLSFO – LNG fuel spread would yield a potential LNG-driven saving of around $1.4 thousand per day for a scrubber-fitted dual fuel Newcastlemax vessel, assuming 27.4 tonnes per day VLSFO fuel consumption and 22.7 tonnes per day LNG fuel consumption where the spread differential is driven by increasing VLSFO prices.

Between 2014 and 2022, the VLSFO–LNG spread has been approximately $75 per tonne while the 2026, 2027, and 2028 forward curves imply approximately $72, $97, and $84 per tonne, respectively.

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The following table summarizes key information about the 12 newbuilding vessels we have agreed to purchase under the Shipbuilding Contracts (one of which has already been delivered).

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Vessel Name<sup>(1)</sup>** | **Hull** <br>**No.** | **Type** | **Delivery Date or**<br>**Estimated** <br>**Delivery Date** | **Size** <br>(dwt) | **Intended** <br>**Flag** | **Shipyard** | **Type of** <br>**Employment** |
| Mount Norefjell | 0120833 | Newcastlemax <br>dry bulk <br>carrier | March 2, 2023 | 210000 | Liberia | New <br>Times | Fixed-time <br>charter |
| Mount Ita | 0120834 | Newcastlemax <br>dry bulk <br>carrier | March 9, 2023 | 210000 | Liberia | New <br>Times | Index-linked time <br>charter<sup>(2)</sup> |
| Mount Etna | 0120835 | Newcastlemax <br>dry bulk <br>carrier | April 10, 2023 | 210000 | Liberia | New <br>Times | Index-linked time <br>charter<sup>(2)</sup> |
| Mount Blanc | 0120836 | Newcastlemax <br>dry bulk <br>carrier | June 5, 2023 | 210000 | Liberia | New <br>Times | Index-linked time <br>charter<sup>(2)</sup> |
| Mount <br>Matterhorn | 0120837 | Newcastlemax <br>dry bulk <br>carrier | July 24, 2023 | 210000 | Liberia | New <br>Times | Index-linked time <br>charter<sup>(2)</sup> |
| Mount Neblina | 0120838 | Newcastlemax <br>dry bulk <br>carrier | September 7, 2023 | 210000 | Liberia | New <br>Times | Index-linked time <br>charter<sup>(2)</sup> |
| Mount Bandeira | 0120839 | Newcastlemax <br>dry bulk <br>carrier | January 3, 2024 | 210000 | Liberia | New <br>Times | Index-linked time <br>charter<sup>(2)</sup> |
| Mount Hua | 0120840 | Newcastlemax <br>dry bulk <br>carrier | January 10, 2024 | 210000 | Liberia | New <br>Times |  |
| Mount Elbrus | 0120841 | Newcastlemax <br>dry bulk <br>carrier | February 19, 2024 | 210000 | Liberia | New <br>Times |  |
| Mount Denali | 0120842 | Newcastlemax <br>dry bulk <br>carrier | June 10, 2024 | 210000 | Liberia | New <br>Times |  |
| Mount <br>Aconcagua | 0120843 | Newcastlemax <br>dry bulk <br>carrier | July 23, 2024 | 210000 | Liberia | New <br>Times |  |
| Mount Emai | 0120844 | Newcastlemax <br>dry bulk <br>carrier | August 2, 2024 | 210000 | Liberia | New <br>Times |  |

---

(1) All our vessels are subject to Leaseback Agreements, effective upon delivery and effective transfer of ownership to the SPV owned by the Leasing Providers, as further described in "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Financing Arrangements*".

(2)<br> *These charters will be effective upon delivery.*

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#### Charter Agreements
In October 2022, we entered into charter agreements for six of our vessels on index-linked time charters for periods of between 24 to 38 months, plus certain extension options. In addition, in December 2022, we entered into a fixed-rate time charter on a seventh vessel for a two-year charter at a fixed-rate of $30,000 per day gross. Each such agreement will commence and be effective upon the delivery of the respective vessel.

---

| | | | |
|:---|:---|:---|:---|
| **Vessel Name** | **Hull No.** | **Estimated Delivery** <br>**Date<sup>(1)</sup>** | **Rate (in U.S, dollars)** |
| Mount Norefjell | 0120833 | March 2, 2023 | 30,000 per day gross<br> 24 months<sup>(4)</sup> |
| Mount Ita | 0120834 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)(3)</sup><br> 32-38 months<sup>(5)</sup> |
| Mount Etna | 0120835 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)(3)</sup><br> 32-38 months<sup>(5)</sup> |
| Mount Blanc | 0120836 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(6)</sup> |
| Mount Matterhorn | 0120837 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(6)</sup> |
| Mount Neblina | 0120838 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(6)</sup> |
| Mount Bandeira | 0120839 |  | BCI 5TC plus premium, <br>scrubber benefit<sup>(2)</sup><br> 24 months<sup>(6)</sup> |

---

(1)<br> The estimated delivery dates to our charterers are expected to be one to two business days after the vessels are delivered to us by New Times. See "Delivery Date or Estimated Delivery Dates" under the table summarizing key information about the 12 newbuilding vessel under "-Our Fleet".

(2) We will earn revenues based on the Baltic 5TC Capesize Index published by the Baltic Exchange plus a premium which will vary depending on each contract terms. This index-linked rate is based on actual charter hire rates under charters entered into by market participants, as well as daily assessments provided to the Baltic Exchange by a panel of major shipbrokers. In addition, we will earn a scrubber benefit based on the spread between high sulphur fuel oil and very low sulphur fuel oil or the spread between liquified natural gas and very low sulphur fuel oil as applicable depending upon the type of fuel the vessel is using.

(3)<br> Contain a conversion provision which allows us to convert this index-linked time charters to fixed-rate charters, subject to certain conditions.

(4)<br> Minimum of 24 months to a maximum of 26 months with an evergreen structure thereafter pursuant to which the charters roll over automatically and indefinitely until one party gives the other notice to terminate it with a minimum 6-month notice period .

(5)<br> Extension options for 11-13 months to be exercised with a 30-day minimum period prior to the redelivery date of the vessels to us under the respective charter agreement.

(6)<br> Minimum of 24 months with an evergreen structure thereafter with a minimum 6-month notice period from either party to terminate it.

Under our time charters, the charterers pay us an average hire rate for 15 days in advance of each period and bear all voyage expenses, including the cost of bunker (fuel oil) and canal and port charges. We remain responsible for paying the chartered vessels' operating expenses, including the cost of crewing, insuring, repairing and maintaining the vessels.

The charter agreements contain customary events of termination in charter agreements, such as Himalaya being subject to sanctions, which prohibit or render unlawful any performance under these agreements, an event of insolvency, among others.

The minimum future undiscounted minimum lease payments to be received under our fixed rate contracts as of December 31, 2022 are as follows:

---

| | |
|:---|:---|
|  | **(in millions of** <br>**U.S. dollars)** |
| 2023 | &nbsp;&nbsp;&nbsp;&nbsp;$8.7 |
| 2024 | &nbsp;&nbsp;&nbsp;&nbsp;$10.6 |
| 2025 | &nbsp;&nbsp;&nbsp;&nbsp;$1.8 |
| Total | &nbsp;&nbsp;&nbsp;&nbsp;$21.1 |

---

We intend to employ the rest of the vessels, or any other of such vessels upon the expiration of their respective time charters, primarily in the index-linked time charter, fixed rate time charter or voyage charter markets.

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#### Our History and Development
We were incorporated in Bermuda on March 17, 2021 under the Companies Act. We and our subsidiaries have contracts to acquire 12 dry bulk vessels under construction, and upon delivery of the vessels will engage in the operation of dry bulk carriers, to provide worldwide seaborne transportation solutions. Our common shares have traded on the Euronext Growth Oslo and, since April 29, 2022, our shares have traded on the Euronext Expand, under the symbol "HSHIP."

Our principal executive offices are located at S. E. Pearman Building, 2<sup>nd</sup> Floor, 9 Par-la-Ville Road, Hamilton HM11, Bermuda and our telephone number is +1 (441) 542-4577.

The SEC maintains an internet site that contains reports, proxy and information statements and other information regarding issuers that file electronically with the SEC, which can be found at http://www.sec.gov. Our internet address is https://himalaya-shipping.com/. The information contained on our website is not incorporated by reference and does not form part of this prospectus.

#### Acquisition of Vessels from New Times
In March 2021, through subsidiaries we entered into shipbuilding agreements to purchase four Newcastlemax dry bulk vessels from New Times, for an initial purchase price of $67.9 million per vessel, to be paid in five installments (the "1-4 Shipbuilding Contracts"). In addition, we entered into an option for an additional 4+4 identical Newcastlemax dry bulk vessels.

In June 2021, pursuant to an exercise of the option described above, we entered into shipbuilding agreements to purchase four additional Newcastlemax dry bulk vessels from New Times, for an initial purchase price of $69.8 million per vessel, to be paid in five installments (the "5-8 Shipbuilding Contracts").

On June 22, 2021, we entered into shipbuilding agreements to purchase four additional Newcastlemax dry bulk vessels from New Times, for an initial purchase price of $70.3 million per vessel, to be paid in five installments. (the "9-12 Shipbuilding Contracts"). As a result of the Shipbuilding Contracts described above, each of our 12 subsidiaries is party to a Shipbuilding Contract with New Times relating to the building of a Newcastlemax vessel, each with an aggregate capacity of 210,000 dwt.

In November 2022, we entered into amendments to our Shipbuilding Contracts to install scrubbers on all of our vessels, with an extra cost of $2.4 million per vessel, which constitutes the sixth installment of the contract price for each vessel, payable upon delivery.

The average purchase price for each vessel is $71.6 million, including estimated variation orders, Address Commissions and scrubber installation. The following table sets out the purchase price and the contracted and estimated delivery date for each vessel:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Vessel Name** | **Hull No.** | **Contractual Delivery Date<sup>(3)</sup>** | **Estimated Delivery Date** | **Purchase Price<sup>(1)(2)</sup>** |
| Mount Norefjell | 0120833 | April 8, 2023 | March 2, 2023 | $70317000 |
| Mount Ita | 0120834 | May 28, 2023 | March 9, 2023 | $70317000 |
| Mount Etna | 0120835 | July 18, 2023 | April 10, 2023 | $70317000 |
| Mount Blanc | 0120836 | September 8, 2023 | June 5, 2023 | $70317000 |
| Mount Matterhorn | 0120837 | September 18, 2023 | July 24, 2023 | $72167000 |
| Mount Neblina | 0120838 | October 31, 2023 | September 7, 2023 | $72167000 |
| Mount Bandeira | 0120839 | February 8, 2024 | January 3, 2024 | $72167000 |
| Mount Hua | 0120840 | February 28, 2024 | January 10, 2024 | $72167000 |
| Mount Elbrus | 0120841 | April 22, 2024 | February 19, 2024 | $72667000 |
| Mount Denali | 0120842 | July 8, 2024 | June 10, 2024 | $72667000 |
| Mount Aconcagua | 0120843 | August 28, 2024 | July 23, 2024 | $72667000 |
| Mount Emai | 0120844 | September 23, 2024 | August 2, 2024 | $72667000 |

---

(1) Includes cost of scrubbers: $2.4 million per vessel. 

(2) Does not reflect the variation orders and the deduction of the Address Commission to be deducted from the purchase price. The average Address Commission for the vessels is $679,000; whereas the currently anticipated variation orders $606,950 per vessel as further described below. 

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(3)<br> In the event of delays in the construction of the vessels, or any performance required under the Shipbuilding Contracts due to certain causes that permit extension of the time for delivery, the contractual delivery dates shall be extended accordingly.

Pursuant to the Shipbuilding Contracts, we agreed to acquire 12 vessels for an initial average purchase price of $69.3 million per vessel to be paid in four pre-delivery installments for each vessel, in the amount equal to approximately 5%, 5%, 10% and 10% of the initial purchase price of each vessel, respectively, with the remaining delivery installments, in the amount of approximately 70% of the initial purchase price payable upon the delivery of each vessel. The total average purchase price, including estimated variation orders, Address Commissions and the cost of scrubbers we are installing on each of our vessels is $71.6 million.

Each delivery installment is expected to be increased as a consequence of variation orders under the Shipbuilding Contracts, currently expected to be approximately $606,950 per vessel. This additional cost primarily relates to an increase of the size of the Low Sulphur Fuel Oil (LSFO)/Marine Gas Oil (MGO) tanks on each vessel to 4,750 cbm, in order to offer maximum flexibility in trading of the ships.

In addition, New Times has agreed to pay an Address Commission to each our subsidiaries for its efforts and cooperation in connection with the negotiation, agreement and execution of each Shipbuilding Contract, which will be deducted from each of the final delivery installments, thus decreasing the purchase price payable for each vessel as follows:

---

| | | |
|:---|:---|:---|
| **Vessel Name** | **Hull No.** | **Address Commission** |
| Mount Norefjell | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120833 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$674000<sup>(1)</sup> |
| Mount Ita | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120834 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$674000 |
| Mount Etna | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120835 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$674000 |
| Mount Blanc | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120836 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$674000 |
| Mount Matterhorn | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120837 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$679000 |
| Mount Neblina | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120838 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$679000 |
| Mount Bandeira | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120839 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$679000 |
| Mount Hua | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120840 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$679000 |
| Mount Elbrus | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120841 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$684000 |
| Mount Denali | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120842 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$684000 |
| Mount Aconcagua | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120843 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$684000 |
| Mount Emai | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0120844 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$684000 |

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(1)<br> Address commission was deducted from the final delivery instalments corresponding to the vessel "Mount Norefjell".

We have paid (including amounts paid by our Leasing Providers and Magni on our behalf): (i) the four pre-delivery installments on vessels No. 0120833, 0120834, 0120835, and 0120836, under the 1-4 Shipbuilding Contracts, in total amount equal to $81.5 million; (ii) the fifth and six installments on vessel No. 0120833 under the 1-4 Shipbuilding Contracts, in total amount equal to $49.9 million; (iii) the first, second, third and fourth installments on vessel No. 0120837 under the 5-8 Shipbuilding Contract, in total amount equal to $20.5 million; (iv) the first, second and third installments on vessel 0120838 under the 5-8 Shipbuilding Contracts, in total amount equal to $13.7 million; and (v) the first and second installments on vessels No. 0120839, 0120840, 0120841, 0120842, 0120843 and 0120844, under the 5-8 Shipbuilding Contracts and 9-12 Shipbuilding Contracts, as applicable, in total amount equal to $41.2 million. The two-first installments on each vessel were financed with equity raised by the Company in 2021 and payments made by Magni on our behalf (see the section entitled "*Description of Share Capital—History of Equity Issuances.*") on our behalf, and with funds made available under the Avic Leasing and CCBFL Leasing. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Financing Arrangements*." for an overview of the installments under the Shipbuilding Contracts, how they have been financed, and how they are intended to be financed going forward.

#### Ship Management Agreements
We have outsourced technical management of our vessels to third party ship managers, OSM and Wilhemsen. The Ship Managers provide services including, ship maintenance, repairs, alterations and the upkeep of the vessel, appointing surveyors and technical consultants, including arranging the transportation of shore personnel when servicing the vessel, technical support, arranging supervisory visits to the vessel, and maintaining a safety management system and related services to us.

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#### Management of Our Business
Our Board of Directors is responsible for determining the strategic vision and ultimate direction of our business, determining the principles of our business strategy and policies and promoting our long-term interests. Our Board of Directors exercises oversight authority over our business and, subject to our governing documents and applicable law, generally delegates day-to-day operational and commercial management of the Company to our contracted senior management team.

The contracted senior management team responsible for the day-to-day operational and commercial management has extensive experience in the dry bulk shipping market. Management of our business services, including the services of our contracted Chief Executive Officer and contracted Chief Financial Officer, are provided to us by 2020 Bulkers under the Management Agreement. The services provided include negotiating contracts related to the vessels, negotiating terms of employment of the vessels, making all necessary arrangements for the proper employment of the vessels and negotiating the terms of all contracts for the purchase or sale of the vessels, in each case subject to the express limitations and guidelines imposed by us, as well as newbuilding supervision, assistance with delivery of vessels and supervising SeaQuest, among others. Our Manager, 2020 Bulkers, which has experience operating in the dry bulk shipping industry, is a subsidiary of 2020 Bulkers Ltd., a company incorporated in Bermuda and listed on the Oslo Stock Exchange. Our contracted Chief Executive Officer, Mr. Herman Billung, has extensive experience in the dry bulk shipping industry including overseeing newbuilding projects, sales and purchase activities and commercial and chartering activities. During his career, Mr. Billung has gained deep experience in and insight into the dry bulk market.

In addition, pursuant to the Corporate Support Agreement, Magni, an affiliate of our largest shareholder, Drew Holdings, sources and advises on strategic opportunities for our Board of Directors' consideration, and has a key role in identifying and pursuing business opportunities to the Company. For more information on management and related parties, see the sections entitled "*Management—Board of Directors & Board Practices*" and "Certain Relationships and Related Party Transactions."

#### Our Competitive Strengths

#### High quality fleet of vessels to be newly delivered in 2023 and 2024
Our fleet will initially consist of 12 dual fuel Newcastlemax dry bulk vessels currently under construction with estimated deliveries between March 2023 and August 2024, of which one vessel was delivered on March 2, 2023 and is currently in operation. Once delivered, we will have a young fleet where the average age of the Capesize fleet is 9.9 years. These new and modern vessels will offer technically advanced, operationally flexible, safe and reliable contracting, including optimized hull lines, fuel-saving devices to improve propeller efficiency, advanced but robust machinery, and other features that offer relatively low fuel consumption and CO<sub>2</sub> emission per tonne-mile. We believe that owning a young, high-quality, well-maintained fleet will afford us significant benefits, including reduced operating costs, improved quality of service and a competitive advantage in securing favorable charters with high-quality counterparties.

Our modern vessels will also benefit from dual fueled LNG technology and be installed with fuel-saving devices, scrubbers, and ammonia ready engines, which we believe will assist us in chartering our vessels, enhance our operating performance by reducing voyage costs, allow us to adhere to increasingly stringent environmental standards and make our vessels more environmentally friendly than vessels without these features. Although LNG is not currently economical to use for dual fuel vessels at current LNG market prices, we expect the dual fuel capability to be a benefit in the future. Since charterers pay for bunker fuel, they benefit from efficiency savings on our vessels, which makes our vessels more attractive to charterers than less efficient vessels.

In addition, all of our fleet will belong to the same size segment (Newcastlemax), with identical specifications and capabilities, which will help us market our fleet together with the support and collaboration of our Manager and Ship Managers.

Further, in light of the relatively low fuel consumption of our vessels and their dual fueled capability, we will be one of the only fleets in the market which will be capable of doing full-round routes in the key trade of Brazil to China and other similar long-haul routes without the need for rebunkering, providing our customers additional flexibility. We believe this capability makes our fleet more attractive to charterers and will enable us to focus on the most profitable routes with our customers.

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#### Demonstrated access to capital and financing for substantially all of the remaining payments for our 11 newbuildings on order
Our 11 newbuildings on order and the newbuilding that has been delivered are substantially funded by our equity financings completed prior to this offering and the debt financing (including the Sale and Leaseback Agreements) we have entered into to finance our pre-delivery and delivery installments under each Shipbuilding Contract up to the delivery date of our newbuilding vessels, from which time we expect to start to generate cash flows from operations. We have not yet secured financing for (i) the remaining cost of scrubbers relating to the third and fourth vessels with hull numbers 0120835 and 0120836, respectively, under the 1-4 Shipbuilding Contract, (ii) the cost to install scrubbers on eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts, expected to be $19.2 million in the aggregate, and (iii) our working capital requirements in the upcoming months, and we intend to use a portion of the proceeds of this offering to fund a certain part of the costs to install scrubbers as described in (i) and (ii), as well as our working capital requirements.

We are planning to raise financing through the offering contemplated by this prospectus. We have financing in place for the pre-delivery and delivery installments to be paid under the Shipbuilding Contracts (other than for the financing of the scrubbers for eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts). Assuming additional equity financing, based on our track record in terms of raising equity, and/or debt financing for scrubber installation, we believe we will be able to meet anticipated liquidity requirements for our business for at least the next twelve months.

#### Management team with extensive experience in the dry bulk shipping industry
Our contracted management team has extensive experience and a strong operational track record of over 33 years in the dry bulk shipping industry. The members of our management team (contracted to us from 2020 Bulkers) have held and currently hold leadership positions at prominent dry bulk companies, including Golden Ocean Group Limited, 2020 Bulkers Ltd., Torvald Klaveness Group, Star Bulk Norway AS, among others, and have solid and long-term relationships with companies in the industry which complement one another and have assisted, and continue to assist, in our development. Since our inception, we have been able to capitalize such extensive experience together with the 2020 Bulkers team's track record in the dry bulk shipping industry and more specifically in the Newcastlemax' segment, having chartered a total of 15 Newcastlemax vessels to different customers, including seven of our vessels. We believe the experience of our management team will help us in securing charters and in successfully operating our business. Commitment to safety and the environment

We are focused on developing a strong Quality, Health, Safety and Environment ("QHSE") culture and operations. We believe that the combination of quality vessels and experienced and skilled management coordinating our business will contribute to the safety and effectiveness of our operations. Our commitment to strong QHSE culture and performance is reflected in our fleet of modern, dual fuel vessels with scrubbers and ammonia ready engines. We believe that our vessels, particularly when running on LNG (when economical, which will depend upon LNG market prices), will have lower emissions of sulfur, CO<sub>2</sub> and NO<sub>x</sub> compared to a standard Capesize and that by installing scrubbers we will further mitigate our vessels' environmental impact. We believe that these features of our vessels and our commitment to QHSE will enhance our growth prospects as we work toward becoming one of the preferred providers in the industry.

#### Our Strategy

#### Maximize shareholder returns
Our strategy is to maximize shareholder returns from our fleet of 12 Newcastlemax vessels once the vessels are delivered by New Times Shipyard. We intend to charter the vessels to strong counterparties and we have already secured charters for seven of our 12 vessels. We plan to return capital to the shareholders in the form of monthly dividends, subject to available cash and capital requirements and availability and other considerations. We may consider growth and acquisition opportunities if we believe in the best interest of our shareholders, however our primary focus is to maximize shareholder returns for the 12 newbuilding vessels we have agreed to acquire (one of which has already been delivered).

#### Establish a high-quality, modern, and young Newcastlemax dry bulk fleet
All of our newbuildings vessels on order are Newcastlemax with a capacity of 210,000 dwt. We believe that Newcastlemax vessels present the most attractive value and upside potential in the current market, and as such, our management has focused on this vessel type.

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As all of our vessels are newbuildings, we will have a young fleet in the market upon delivery. We intend to leverage our young and modern fleet to become a preferred provider to the industry and we have already secured charters for seven of our 12 vessels.

#### Leverage dual fuel LNG technology, fuel-saving technology and lower environmental impact of our fleet
All of our newbuildings on order are Newcastlemax vessels with dual fuel capability, scrubbers, ammonia ready engines, fuel-saving devices and improved propeller efficiency, which offer relatively low fuel consumption and CO<sub>2</sub> emission per tonne mile. We believe these capabilities present a very attractive opportunity for our charterers when compared to less efficient and environmental vessels in the industry, and we believe this will help us to capture additional business opportunities, as these features will enhance our operating performance by reducing voyage costs, while allowing our LNG charterers, who pay for bunker fuel, to benefit from efficiency savings on our vessels .

Although the price of LNG is volatile, it might not always be economical to use. We believe that LNG is a good alternative fuel in the shipping industry at this time. We see this fuel as the most suitable environmentally friendly alternative for the dry bulk vessel industry during the worldwide transition to carbon neutral fuels.

We will have what we believe to be one of the most fuel-efficient fleets in the market upon delivery, whether used under LNG or traditional bunkers. We intend to leverage our efficient, modern fleet to become a preferred provider to the industry, while having at the same time a lower environmental impact than older vessels without dual fuel LNG capability and/or scrubbers and/or ammonia ready engines.

#### Pursue our simple business model with a focus on the Newcastlemax segment
Our primary focus is the 12 newbuilding vessels we have agreed to acquire from New Times (one of which has already been delivered), all of which belong to the same segment (Newcastlemax), with the same characteristics and capabilities. We believe this is a fairly simple business model and easy to operate given the synergies and efficiencies we can take advantage of by managing a fleet of the vessels with identical specifications in the market together with the support and collaboration of our Manager and Ship Managers.

#### Additional Features of our vessels

#### Environmental Savings
A Newcastlemax dry bulk vessel is also expected to be more environmentally friendly than a 180k dwt 2014/15-built Capesize vessel, with 43% lower CO<sub>2</sub> mT per day (78 mT for a Himalaya Newcastlemax LNG propelled vessel versus a 138 mT for a Capesize vessel).

We have not yet secured financing for the costs to install scrubbers on eight of our vessels under the 5-8 and 9-12 Shipbuilding Contracts, expected to be $19.2 million in the aggregate. We intend to substantially finance this cost with the net proceeds of this offering or through debt financing with our existing lenders, or a combination thereof; however, there is no assurance that we will be able to execute this scrubber financing.

#### LNG prices and seasonality
LNG might not always be economical to use for dual fuel vessels at certain market prices. It is not currently economical to use at current LNG market prices; however, this could change in the future considering the volatility of the LNG market prices. LNG prices are determined by buyers and sellers, depending on what part of the world the fuel is being purchased in and moves in close interdependence with certain natural gas prices and benchmarks. For instance, average LNG prices in Japan in the fourth quarter of 2020 averaged approximately $6.90 per Metric Million British Thermal Unit (mmbtu) compared to approximately $20.15 per mmbtu in January 2023. Similarly, natural gas prices in Europe in the 2020 averaged approximately $3.24 per mmbtu compared to approximately $20.18 per mmbtu in January 2023.

Further, seasonality in LNG markets may offer an opportunity to bunker our vessels with LNG. For instance, future carbon taxes are likely to make LNG a more appealing alternative with prices expected to be at a discount to VLSFO by 2026.

#### Dividend Policy
We have not paid any dividends to our shareholders since our incorporation. Our Board of Directors has adopted a dividend policy to distribute monthly dividends to our shareholders once our vessels generate sufficient cash flow to allow for such payments. Any dividends will be subject to the discretion of our Board of Directors, requirements

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of Bermuda law and other applicable laws, our results of operation, financial condition, cash requirements and availability, including requirements under capital expenditure programs, market prospects, contractual restrictions under our Financing Arrangements, the ability of our subsidiaries to distribute funds to us and other factors deemed relevant by our Board of Directors. See "*Dividends and Dividend Policy*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations—Financing Arrangements*" and "*Description of Share Capital*." We cannot assure that we will be able to pay regular dividends as intended. We have not adopted a separate written dividend policy to reflect our Board's policy.

#### Employment of Our Fleet
One of our vessels was delivered on March 2, 2023 and is in operation. The remaining vessels we have agreed to purchase are estimated to be delivered between March 2023 and August 2024. In October 2022, we entered into charter agreements for six of these vessels on index-linked time charters for periods of between 24 to 38 months, plus certain extension options, to commence upon their delivery. In addition, in December 2022, we entered into a fixed-rate time charter on a seventh vessel for a two year charter. We intend to employ the rest of our vessels, or any other of such vessels upon the expiration of their respective time charters, primarily in the index-linked time charter, fixed rate time charter or voyage charter markets.

#### Our Customers
Our current and potential customers are major commodity companies and will also include regional and international companies, including large dry bulk operators and end users.

Under our time charters, the charterer typically pays us an average hire rate for 15 days and bears all voyage expenses, including the cost of bunker (fuel oil) and canal and port charges. We remain responsible for paying the chartered vessel's operating expenses, including the cost of crewing, insuring, repairing and maintaining the vessel. Our time charters are for fixed terms and charter-hire is generally paid every 15 days in advance of each period.

A prospective charterer's financial condition, creditworthiness, reliability and track record are important factors in negotiating our vessels' employment.

We monitor developments in the dry bulk shipping industry on a regular basis and, subject to market demand, will seek to adjust the charter hire periods for our vessels according to prevailing market conditions. We will continuously evaluate the duration of our charters and extend or reduce the charter hire periods of the vessels in our fleet according to the developments in the dry bulk shipping industry.

#### Our Competition
We will operate in markets that are highly competitive and based primarily on supply and demand. We compete for charters on the basis of price, vessel location, size, age and condition of the vessel, as well as on our reputation and that of our manager. We compete primarily with other independent and state-owned dry bulk vessel-owners. Ownership of dry bulk vessels is highly fragmented.

Further, our relevant competitors are owners of VLOC, Newcastlemax and Capesize vessels, counting around 1,912 vessels in December 2022. The current Capesize orderbook stands at an historically low level of approximately 6.1% for vessels larger than 100,000 dwt, and with the new emission regulations commencing in 2023, the potential advantage of offering dual fuel LNG propelled Newcastlemaxes, which may give a significant benefit to the calculated CO<sub>2</sub> emission per tonne-mile, may give us further competitive advantage over the average Capesize fleet. In addition, our vessels will include fuel-saving devices with improved propeller efficiency that will save fuel, and other ship systems that offer relatively low fuel consumption, which are increasingly preferred by customers.

#### Seasonality
We will operate our vessels in markets that have historically exhibited seasonal variations in demand, particularly in the Capesize segment given its share of the iron ore trade, and, as a result, in charter hire rates. As China is the most significant market for dry bulk shipping, the public holidays in relation to the Chinese New Year during the first quarter usually results in a decrease in market activity during this period. In addition, unpredictable and adverse weather conditions and patterns in the Southern Hemisphere, which often occur during the first quarter, in the past have had a negative impact on iron ore exports from Australia and from Brazil. Further, certain of the largest iron ore producers in Brazil usually schedule maintenance works on their plants in the first quarter which also results in a decrease on iron ore export from Brazil. This seasonality may materially affect our operating results and cash available for dividends.

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#### Employees
We had no employees as of the date of this prospectus. We are planning to hire a limited number of employees to perform some of the roles currently contracted. See "*Management*" for additional information.

#### Organizational Structure
Himalaya Shipping Ltd. is incorporated under the laws of Bermuda. We will operate our vessels through separate wholly owned subsidiaries incorporated in Liberia. A full list of our subsidiaries is shown below.

![](ny20006357x6_chart01.jpg)<br>

The Company has recently incorporated Himalaya Shipping Management (UK) Limited, a wholly-owned limited liability company incorporated under the laws of England and Wales. The intended purpose of this company is to employ certain management functions and provide certain accounting functions to the Company and its subsidiaries. However, the Company has, as of the date of this prospectus, neither employed any employees in this subsidiary, nor entered into any intra-group agreements with it.

#### Property, plants and equipment
Other than our contracts to acquire vessels under construction, we do not own or lease any material property.

#### Environmental and Other Regulation
Governmental regulation and other regulations significantly affect the ownership and operation of our fleet. See "*Regulation*" for additional information.

#### Risk of Loss and Liability Insurance
The operation of any dry bulk vessel includes risks such as mechanical and structural failure, hull damage, collision, property loss, cargo loss or damage and business interruption due to political circumstances in foreign countries, piracy, hostilities and labor strikes. In addition, there is always an inherent possibility of marine disaster,

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including oil spills and other environmental incidents, and the liabilities arising from owning and operating vessels in international trade. OPA, which imposes virtually unlimited liability upon owners, operators and demise charterers of vessels trading in the United States exclusive economic zone for certain oil pollution accidents in the United States, has made liability insurance more expensive for ship owners and operators trading in the United States market.

We will maintain hull and machinery marine risks insurance, hull and machinery, war risks insurance and protection and indemnity insurance for our fleet in amounts that we believe to be prudent to cover normal risks in our operations. However, we may not be able to achieve or maintain this level of coverage throughout a vessel's useful life. In addition, while we believe that the insurance coverage that we have obtained is adequate, not all risks can be insured, and there can be no guarantee that any specific claim will be paid, or that we will always be able to obtain adequate insurance coverage at reasonable rates.

#### Hull & Machinery and War Risks Insurance
We maintain hull and machinery marine risks insurance and hull and machinery war risks insurance on the first vessel delivered to us, and upon delivery of the 11 vessels currently under construction we will maintain such insurances, which will cover loss of or damage to a ship due to marine perils such a collision, fire or lightning, and loss of or damage to a ship due to war perils such as acts of war, terrorism or piracy. We also maintain on such first vessel, or will maintain upon the delivery of such 11 vessels, hull disbursements and increased value insurance policies covering each of our ships, which provide, or will provide, additional coverage in the event of the total or constructive loss of a ship. Our marine risks insurance policies contain, and are expected to contain for the 11 vessels to be delivered to us, deductible amount of $200,000 for which we will be responsible. However, there are no, or we do not expect to have with respect to such 11 vessels, deductible amounts under the war risk policies or our total loss policies. Our first vessel delivered to us is covered up to at least fair market value and we expect the same for such 11 vessels upon delivery.

#### Protection and Indemnity Insurance
The first vessel delivered to us carries protection and indemnity insurance and each of the 11 vessels currently under construction will maintain such insurance ("P&I insurance"), which insures liabilities to third-parties in connection with our current and future shipping activities. This includes third-party liability and other related expenses resulting from the injury or death of crew, passengers and other third-parties, the loss or damage to cargo, claims arising from collisions with other vessels, damage to other third-party property, pollution arising from oil or other substances and salvage, towing and other related costs, including wreck removal.

Protection and indemnity insurance is a form of mutual indemnity insurance, extended by protection and indemnity mutual associations ("P&I Clubs"). Our current P&I insurance is provided by a P&I Club that is a member of the International Group of Protection and Indemnity Clubs, and we expect to obtain a P&I insurance from one or more P&I Clubs that are members of such clubs for the remaining 11 vessels currently under construction. Our P&I insurance is currently subject to customary limits in the range of $3 billion per ship per event in respect of liability to passengers and seamen and $1 billion per ship per event in respect of liability for oil pollution, and the P&I insurance to be obtained for the remaining 11 vessels to be delivered will be subject to the same customary limits.

The 13 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 $10 million up to, currently, approximately $8.9 billion. As 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 members of the shipping pool of P&I Associations comprising the International Group. Each vessel comprising our fleet, upon delivery, may be subject to supplemental calls, which are based on estimates of premium income and anticipated and paid claims. Such estimates are adjusted each year by the Board of Directors of the P&I Association until the closing of the relevant policy year, which generally occurs within three years from the end of the policy year. Supplemental calls, if any, are expensed when they are announced and according to the period they relate to.

#### Loss of Hire Insurance
We plan to carry a loss of hire insurance for our fleet totaling between $30,000 and $35,000, with a deductible of 14 days, and, depending on a particular situation, we may decide to arrange loss of hire insurance covering certain ships.

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#### 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 kinds of permits, licenses and certificates 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 a vessel. 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.

#### Legal Proceedings
To our knowledge, we are not currently a party to any legal proceeding that would have a material adverse effect on our financial position, results of operations or liquidity, nor are we aware of any pending proceedings that may have a material adverse effect on our financial position, results of operations or liquidity. From time to time in the future, in the ordinary course of conducting our business, we may become involved in various legal actions and other claims. Litigation is subject to many uncertainties, the outcome of individual litigated matters is not predictable with assurance, and it is reasonably possible that some of these matters may be decided unfavorably to the Company.

#### Bermuda Exchange Control
We have been designated by the Bermuda Monetary Authority as a non-resident for Bermuda exchange control purposes. This designation allows us to engage in transactions in currencies other than the Bermuda dollar, and there are no restrictions on our ability to transfer funds (other than funds denominated in Bermuda dollars) in and out of Bermuda or to pay dividends to U.S. residents who are holders of our common shares. The Bermuda Monetary Authority has given its consent for the issue and free transferability of all of the common shares that are the subject of this offering to and between non-residents of Bermuda for exchange control purposes, provided our common shares remain listed on an appointed stock exchange, which includes the Stock Exchange. Approvals or permissions given by the Bermuda Monetary Authority do not constitute a guarantee by the Bermuda Monetary Authority as to our performance or our creditworthiness. Accordingly, in giving such consent or permissions, the Bermuda Monetary Authority shall not be liable for the financial soundness, performance or default of our business or for the correctness of any opinions or statements expressed in this prospectus. Certain issues and transfers of common shares involving persons deemed resident in Bermuda for exchange control purposes require the specific consent of the Bermuda Monetary Authority.

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#### REGULATION

#### 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 expected to be 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 will be required to maintain operating standards for all of our vessels that emphasize operational safety, quality maintenance, continuous training of our officers and crews to be hired and compliance with United States and international regulations. We believe that the operation of our vessels will be in substantial compliance with applicable environmental laws and regulations and that our vessels will 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 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. Finally, we are subject, in connection with our international activities, to laws, directives, decisions and orders in various countries around the world that prohibit or restrict trade with certain countries, individuals and entities.

#### International Maritime Organization
The International Maritime Organization, the United Nations agency for maritime safety and the prevention of pollution by vessels (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 International Convention for the Safety of Life at Sea of 1974 ("SOLAS Convention"), and the International Convention on Load Lines of 1966 (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 dry bulk, 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 and 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.

*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 from 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. We will ensure that upon delivery of our vessels, all will be compliant in all material respects with these regulations.

The Marine Environment Protection Committee, or "MEPC," adopted amendments to Annex VI regarding emissions of sulfur oxide, nitrogen oxide, particulate matter and ozone depleting substances, which entered into force

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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, at its 70th session, the MEPC agreed to implement a global 0.5% m/m sulfur oxide emissions limit (reduced from 3.5%) 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 ("IAPP") Certificates from their flag states that specify sulfur content. Additionally, at MEPC 73, amendments to Annex VI to prohibit the carriage of bunker above 0.5% sulfur on ships were adopted and took effect March 1, 2020, with the exception of vessels fitted with "Exhaust Gas Cleaning System" (EGCS), or scrubbers, which can operate using fuel of higher sulfur content. 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 "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. Amended Annex VI establishes procedures for designating new ECAs. Currently, the IMO has designated four ECAs, including specified portions of the Baltic Sea area, North Sea area, North American area and United States 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 December 2021, the member states of the Convention for the Protection of the Mediterranean Sea Against Pollution ("Barcelona Convention") agreed to support the designation of a new ECA in the Mediterranean. 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 U.S. Environmental Protection Agency ("EPA") or the states where we operate, compliance with these regulations could entail significant capital expenditures or otherwise increase the costs of our operations.

Amended Annex VI also establishes new tiers of stringent nitrogen oxide emissions standards for marine diesel engines, depending on their date of installation. At the MEPC meeting held from March to April 2014, amendments to Annex VI were adopted which address the date on which Tier III Nitrogen Oxide (NO<sub>x</sub>) standards in ECAs will go into effect. Under the amendments, Tier III NO<sub>x</sub> standards apply to ships that operate in the North American and U.S. Caribbean Sea ECAs designed for the control of NO<sub>x</sub> produced by vessels with a marine diesel engine installed and constructed on or after January 1, 2016. Tier III requirements could apply to areas that will be designated for Tier III NO<sub>x</sub> in the future. 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. For the moment, this regulation relates to newbuilding vessels and has no retroactive application to existing fleet. The EPA promulgated equivalent (and in some senses stricter) emissions standards in 2010. As a result of these designations or similar future designations, we may be required to incur additional operating or other costs.

As determined at the MEPC 70, the new 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 intends to use such data as the first step in its roadmap (through 2023) for developing its strategy to reduce greenhouse gas emissions from ships, as discussed further below.

As of January 1, 2013, MARPOL made mandatory certain measures relating to energy efficiency for ships. All ships are now required to develop and implement Ship Energy Efficiency Management Plans ("SEEMPs"), and new ships must be designed in compliance with minimum energy efficiency levels per capacity mile as defined by the Energy Efficiency Design Index ("EEDI"). Under these measures, by 2025, all new ships built will be 30% more energy efficient than those built in 2014. Additionally, MEPC 75 adopted amendments to MARPOL Annex VI which brought 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.

MEPC 75 also introduced draft amendments to Annex VI which 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 EEXI, and (2) operational carbon intensity reduction requirements, based on a new operational carbon intensity indicator ("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. Additionally, MEPC 75 proposed draft amendments requiring that, on or before

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January 1, 2023, all ships above 400 gross tonnage must have an approved SEEMP on board. For ships above 5,000 gross tonnage, the SEEMP would need to include certain mandatory content. MEPC 75 also approved draft amendments to MARPOL Annex I to prohibit the use and carriage for use as fuel of heavy fuel oil ("HFO") by ships in Arctic waters on and after July 1, 2024. The draft amendments introduced at MEPC 75 were adopted at the MEPC 76 session held in June 2021 and entered into force on November 1, 2022, with the requirements for EEXI and CII certification coming into effect from January 1, 2023.

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.

*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 (the "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 substantial 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 describing procedures for responding to emergencies. We will rely upon the safety management system that we aim to develop for compliance with the ISM Code together with the technical management team from our Ship Managers. 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 will obtain 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 documents of compliance and safety management certificate will be renewed as required.

The SOLAS Convention regulation II-1/3-10 on goal-based ship construction standards for bulk carriers and 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 shipbuilding 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.

The IMO has also adopted the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers ("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 the SOLAS Convention and STCW generally employ the classification societies, which have incorporated the SOLAS Convention and STCW requirements into their class rules, to undertake surveys to confirm compliance.

The IMO's Maritime Safety Committee and MEPC, respectively, each adopted relevant parts of the International Code for Ships Operating in Polar Water (the "Polar Code"). The Polar Code, which entered into force on January 1,

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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, recent action by the IMO's Maritime Safety Committee and United States agencies indicates that cybersecurity regulations for the maritime industry are likely to be further developed in the near future in an attempt to combat cybersecurity threats. For example, by 2021 it became mandatory for ship-owners and managers to incorporate cyber-risk management systems. The impact of such regulations is still hard to predict at this time as may be causing some companies to create additional procedures for monitoring cybersecurity, which could require additional expenses and/or capital expenditures.

*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, (the "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.

On December 4, 2013, the IMO Assembly passed a resolution revising the application dates of the BWM Convention so that the dates are triggered by the entry into force date and not the dates originally in the BWM Convention. This, in effect, makes all vessels delivered before the entry into force date "existing vessels" and allows for the installation of ballast water management systems on such vessels at the first International Oil Pollution Prevention ("IOPP") renewal survey following entry into force of the convention. The MEPC adopted updated guidelines for approval of ballast water management systems (G8) at MEPC 70. At MEPC 71, the schedule regarding the BWM Convention's implementation dates was also discussed and amendments were introduced to extend the date existing vessels are subject to certain ballast water standards. Those changes were adopted at MEPC 72. Ships over 400 gross tonnes 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. Depending on the date of the IOPP renewal survey, existing vessels must comply with the D-2 standard on or after September 8, 2019. For most ships, compliance with the D-2 standard will involve 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). As of October 13, 2019, MEPC 72's amendments to the BWM Convention took effect, making the Code for Approval of Ballast Water Management Systems, which governs assessment of ballast water management systems, mandatory rather than permissive, and formalized an implementation schedule for the D-2 standard. Under these amendments, all ships must meet the D-2 standard by September 8, 2024, and all of our vessels will be fitted with the D-2 standard water treatment system. Costs of compliance with these regulations may be substantial for dry bulk carriers. Additionally, in November 2020, MEPC 75 adopted amendments to the BWM Convention which 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 entered into force on June 1, 2022.

Once mid-ocean exchange ballast water treatment requirements become mandatory under the BWM Convention, the cost of compliance could increase for ocean carriers and may have a material effect on our operations. However, 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 U.S., 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.

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The IMO also adopted the International Convention on Civil Liability for Bunker Oil Pollution Damage (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. The Bunker Convention requires registered owners of ships over 1,000 gross tonnes 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 bunker 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 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. Upon delivery, our vessels will comply with the Bunker Convention and maintain such certificate.

*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 tonnes 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, or "IAFS Certificate," is issued for the first time; and subsequent surveys when the anti-fouling systems are altered or replaced.

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 anti-fouling 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 anti-fouling 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.

We will ensure that upon delivery of our vessels, we will have obtained Anti-fouling System Certificates for all of our vessels that are subject to the Anti-fouling Convention.

*Compliance Enforcement*

Non-compliance 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 European Union authorities have indicated that vessels not in compliance with the ISM Code by applicable deadlines will be prohibited from trading in U.S. and European Union ports, respectively. We will ensure that upon delivery of our vessels, each of them will be 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 Comprehensive Environmental Response, Compensation and Liability Act*

The U.S. Oil Pollution Act of 1990 ("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 U.S., its territories and possessions or whose vessels operate in U.S. waters, which includes the U.S.'s territorial sea and its 200 nautical mile exclusive economic zone around the U.S. The U.S. has also enacted the Comprehensive Environmental Response, Compensation and Liability Act ("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 will impact our operations.

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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 cleanup costs and other damages arising from discharges or threatened discharges of oil from their vessels, including bunker (fuel). OPA defines these other damages broadly to include:

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

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

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

&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;• 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;• 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. Effective November 12, 2019, the USCG adjusted the limits of OPA liability for non-tank vessels, edible oil tank vessels, and any oil spill response vessels, to the greater of $1,200 per gross ton or $997,100 (subject to periodic adjustment for inflation). 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, (e)) or the Intervention on the High Seas Act.

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 willful 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 refuses 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.

The 2010 Deepwater Horizon oil spill in the Gulf of Mexico resulted in additional regulatory initiatives or statutes, including higher liability caps under OPA, new regulations regarding offshore oil and gas drilling, and a pilot inspection program for offshore facilities. However, several of these initiatives and regulations have been or may be revised. For example, the U.S. Bureau of Safety and Environmental Enforcement's ("BSEE") revised Production Safety Systems Rule ("PSSR"), effective December 27, 2018, modified and relaxed certain environmental and safety protections under the 2016 PSSR. Additionally, the BSEE amended the Well Control Rule, effective July 15, 2019, which rolled back certain reforms regarding the safety of drilling operations, and the former U.S. President Trump had proposed leasing new sections of U.S. waters to oil and gas companies for offshore drilling. The effects of these

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proposals and changes are currently unknown, and recently, current U.S. President Biden signed an executive order temporarily blocking new leases for oil and gas drilling in federal waters. However, attorney generals from 13 states filed suit in March 2021 to lift the executive order, and in June 2021, a federal judge in Louisiana granted a preliminary injunction against the Biden administration, stating that the power to pause offshore oil and gas leases "lies solely with Congress." With these rapid changes, compliance with any new requirements of OPA and future legislation or regulations applicable to the operation of our vessels, once delivered, could impact the cost of our operations and adversely affect our business.

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 and some states have enacted legislation providing for unlimited liability for oil spills. 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. These laws may be more stringent than U.S. federal law. 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. We intend to comply with all applicable state regulations in the ports where our vessels call.

Title VII of the Coast Guard and Maritime Transportation Act of 2004, or CGMTA, amended OPA 90 to require the owner or operator of any non-tank vessel of 400 gross tonnes or more that carries oil of any kind as a fuel for main propulsion, including bunker fuel, to prepare and submit a response plan for each vessel. These vessel response plans include detailed information on actions to be taken by vessel personnel to prevent or mitigate any discharge or substantial threat of such a discharge of oil from the vessel due to operational activities or casualties.

Upon delivery of our vessels, we plan to obtain pollution liability coverage insurance in the range 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. In addition, we carry hull and machinery and P&I insurance to cover the risks of collision, grounding and machinery breakdown. Although our vessels only carry bunker fuel, a spill of oil from one of our vessels could be catastrophic under certain circumstances. While we believe that our present insurance coverage is adequate, not all risks can be insured, and if the damages from a catastrophic spill exceeded our insurance coverage, the payment of those damages could have an adverse effect on our business or the results of our operations. For additional information about our insurance policies, see "*Business—Risk of Loss and Liability Insurance*."

*Other U.S. Environmental Initiatives*

The U.S. Clean Air Act of 1970 (including its amendments of 1977 and 1990) ("CAA") requires the EPA to promulgate standards applicable to emissions of volatile organic compounds and other air contaminants. The CAA requires states to adopt State Implementation Plans, or SIPs, some of which regulate emissions resulting from vessel loading and unloading operations which may affect our vessels.

The U.S. Clean Water Act ("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. In 2015, the EPA expanded the definition of "waters of the United States" ("WOTUS"), thereby expanding federal authority under the CWA. Following litigation on the revised WOTUS rule, in December 2018, the EPA and Department of the Army proposed a revised, limited definition of WOTUS. In 2019 and 2020, the agencies repealed the prior WOTUS Rule and promulgated the Navigable Waters Protection Rule ("NWPR") which significantly reduced the scope and oversight of EPA and the Department of the Army in traditionally non-navigable waterways. On August 30, 2021, a federal district court in Arizona vacated the NWPR and directed the agencies to replace the rule. On December 7, 2021, the EPA and the Department of the Army proposed a rule that would reinstate the pre-2015 definition. On February 24, 2022, the EPA announced ten roundtables to facilitate discussion on the implementation of WOTUS, which met in Spring and Summer of 2022. On January 24, 2022, the U.S. Supreme Court granted certiorari for Sackett v. EPA, for which oral arguments were held in October 2022, and addressed the scope of WOTUS and this may impact the rulemaking in the upcoming months.

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

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implementation of other port facility disposal arrangements or procedures at potentially substantial costs, and/or otherwise restrict our vessels from entering U.S. Waters. The EPA will regulate these ballast water discharges and other discharges incidental to the normal operation of certain vessels within United States waters pursuant to the Vessel Incidental Discharge Act ("VIDA"), which was signed into law on December 4, 2018 and replaces the 2013 Vessel General Permit ("VGP") program (which authorizes discharges incidental to operations of commercial vessels and contains numeric ballast water discharge limits for most vessels to reduce the risk of invasive species in U.S. waters, stringent requirements for exhaust gas scrubbers, and requirements for the use of environmentally acceptable lubricants) and current Coast Guard ballast water management regulations adopted under the U.S. National Invasive Species Act ("NISA"), such as mid-ocean ballast exchange programs and installation of approved USCG technology for all vessels equipped with ballast water tanks bound for U.S. ports or entering U.S. waters. 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. 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 ("NOI") or retention of a PARI form and submission of annual reports. We will ensure that upon delivery of our vessels, we will have submitted NOIs 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.

#### European Union 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 EU 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 EU imposed a 0.1% maximum sulfur requirement for fuel used by ships at berth in the Baltic, the North Sea and the English Channel (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. On July 14, 2021, the European Parliament formally proposed its plan, which would involve gradually including the maritime sector from 2023 and phasing the sector in over a three-year period. This will require ship-owners to buy permits to cover these emissions. Contingent on negotiations and a formal approval vote, these proposed regulations may not enter into force for another year or two.

#### International Labor Organization
The International Labor Organization (the "ILO") is a specialized agency of the UN that has adopted the Maritime Labor Convention 2006 ("MLC 2006"). A Maritime Labor Certificate and a Declaration of Maritime Labor

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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 will ensure that upon delivery of our vessels, all will be in substantial compliance with and 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, which entered into force in 2005 and pursuant to which adopting countries have been required to implement national programs to reduce greenhouse gas emissions with targets extended through 2020. 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 U.S. 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 U.S. initially entered into the agreement, but on June 1, 2017, the former U.S. President Trump announced that the United States intends to withdraw from the Paris Agreement, and the withdrawal became effective on November 4, 2020. On January 20, 2021, U.S. President Biden signed an executive order to rejoin the Paris Agreement, which the U.S. officially rejoined on February 19, 2021.

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 reducing greenhouse gas emissions, including (1) decreasing the carbon intensity from ships through implementation of further phases of the EEDI for new ships; (2) reducing carbon dioxide emissions per transport work, as an average across international shipping, by at least 40% by 2030, pursuing efforts towards 70% by 2050, compared to 2008 emission levels; and (3) reducing the total annual greenhouse emissions by at least 50% by 2050 compared to 2008 while pursuing efforts towards phasing them out entirely. The initial strategy notes that technological innovation, alternative fuels and/or energy sources for international shipping will be integral to achieve the overall ambition. These regulations could cause us to incur additional substantial expenses.

The EU made a unilateral commitment to reduce overall greenhouse gas emissions from its member states from 20% of 1990 levels by 2020. The EU also committed to reduce its emissions by 20% under the Kyoto Protocol's second period from 2013 to 2020. Starting in 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. As previously discussed, regulations relating to the inclusion of greenhouse gas emissions from the maritime sector in the European Union's carbon market are also forthcoming.

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 former U.S. President Trump signed an executive order to review and possibly eliminate the EPA's plan to cut greenhouse gas emissions, and in August 2019, the Administration announced plans to weaken regulations for methane 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. However, U.S. President Biden recently directed the EPA to publish a proposed rule suspending, revising, or rescinding certain of these rules. The EPA or individual U.S. states could enact environmental regulations that would affect our operations.

Any passage of climate control legislation or other regulatory initiatives by the IMO, the EU, the U.S. 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 ("MTSA"). To

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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 International Ship and Port Facility Security Code ("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 ("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 various requirements, some of which are found in the SOLAS Convention, include, for example, on-board installation of automatic identification systems to provide a means for the automatic transmission of safety-related information from among similarly equipped ships and shore stations, including (i) information on a ship's identity, position, course, speed and navigational status; (ii) on-board installation of ship security alert systems, which do not sound on the vessel but only alert the authorities on shore; (iii) the development of vessel security plans; (iv) ship identification number to be permanently marked on a vessel's hull; (v) a continuous synopsis record kept on-board showing a vessel's history including the name of the ship, the state whose flag the ship is entitled to fly, the date on which the ship was registered with that state, the ship's identification number, the port at which the ship is registered and the name of the registered owner(s) and their registered address; and (vi) compliance with flag state security certification requirements.

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. Upon delivery of our vessels, 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 in the industry 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 may be 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 Flag Administration and 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 the SOLAS Convention. Most insurance underwriters make it a condition for insurance coverage and lending that a vessel be certified "in class" by a classification society which is a member of the International Association of Classification Societies, the IACS. The IACS has adopted harmonized Common Structural Rules, or "the Rules," which apply to oil tankers and bulk carriers contracted for construction on or after July 1, 2015. The Rules attempt to create a level of consistency between IACS Societies. All of our vessels will be certified as being "in class" by all the applicable Classification Societies (e.g., American Bureau of Shipping, Lloyd's Register of Shipping).

A vessel must undergo annual surveys, intermediate surveys, dry dockings 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 is also required to be dry docked every 30 to 36 months for inspection of the underwater parts of the vessel. In all cases, the interval between any two such examinations is not to exceed 36 months. If any vessel does not maintain its class and/or fails any annual survey, intermediate survey, dry docking or special survey, the vessel will be unable to carry cargo between ports and will be unemployable and uninsurable and could prevent us from obtaining secured financing on that vessel. 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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#### MANAGEMENT

#### Directors and Executive Officers
The following table sets forth information regarding our directors and executive officers:

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| | | |
|:---|:---|:---|
| **Directors and Executive Officers** | **Age** | **Position/Title** |
| Bjørn Isaksen | 38 | Director |
| Jehan Mawjee | 35 | Director |
| Georgina Sousa | 72 | Director |
| Carl Steen | 73 | Director |
| Mi Hong Yoon | 52 | Director and Company Secretary |
| Herman Billung | 64 | Chief Executive Officer<sup>(1)</sup> |
| Vidar Hasund | 45 | Chief Financial Officer<sup>(1)</sup> |

---

(1)<br> Contracted by 2020 Bulkers Management AS.

The business address of the directors and officers is S. E. Pearman Building, 2nd Floor, 9 Par-la-Ville Road, Hamilton HM11, Bermuda.

#### Biographies
The following is a brief biography of each of our directors and executive officers (members of the Manager's management team):

***Bjørn Isaksen has been a member of our Board of Directors since June 2, 2021. Mr. Isaksen was employed by ABG Sundal Collier Ltd. as a partner from 2005 until 2014 and has been employed by Magni Partners as a partner since 2014. Magni Partners is wholly owned by Tor Olav Trøim. See "Certain Relationships and Related Party Transactions."***

The founder and sole shareholder of Magni Partners (Bermuda) Ltd. is Mr. Tor Olav Trøim. Drew Holdings Limited is wholly owned by Drew Trust, a trust established in Bermuda for the benefit of Mr. Trøim and his immediate family, controlling approximately 38.7% of the common shares of the Company.

***Jehan Mawjee has been a member of our Board of Directors since December 19, 2022. Ms. Mawjee has been employed as Chief Accounting Officer of Borr Drilling Limited since April 2021. She previously served in various accounting roles at Golar LNG Limited from 2015 to 2021 and at KPMG from 2012 to 2015. Ms. Mawjee is a Chartered Accountant and holds a Master of Professional Accounting degree from the University of Saskatchewan.***

***Georgina Sousa has been a member of our Board of Directors since June 2, 2021, and currently serves on our Audit Committee. She is also a Director of Golar LNG Limited, a company listed on NASDAQ. Ms. Sousa was employed by Golar Management (Bermuda) Limited ("GMBL") as Managing Director and Golar LNG Limited's company secretary from January 2019 until March 11, 2022. She previously served as a director and secretary of both Borr Drilling Limited and 2020 Bulkers Ltd., from February 2019 to February 2022. Prior to joining GMBL, Ms. Sousa was employed by Frontline Ltd. as Head of Corporate Administration from February 2007 until December 2018. She previously served as a director of Frontline from April 2013 until December 2018, North Atlantic Drilling Ltd. from September 2013 until June 2018, Sevan Drilling Limited from August 2016 until June 2018, Northern Drilling Ltd. from March 2017 until December 2018, and FLEX LNG LTD. from June 2017 until December 2018. Ms. Sousa also served as a Director of Seadrill Limited from November 2015 until July 2018. Ms. Sousa served as Secretary for all of the above-mentioned companies at various times during the period between 2005 and 2018. She served as secretary of Archer Limited from 2011 until December 2018 and Seadrill Partners LLC from 2012 until 2017.***

***Carl Steen has been a member of our Board of Directors since November 1, 2021 and currently serves on our Audit Committee. Mr. Steen graduated in 1975 from ETH Zurich Switzerland with a M.Sc. in Industrial and Management Engineering. After working for a number of high profile companies, Mr. Steen joined Nordea Bank from January 2001 to February 2011 as head of the bank's Shipping, Oil Services & International Division. Mr. Steen holds directorship positions in various Norwegian and international companies including Golar LNG Limited, Wilhelmsen Holding ASA and Belships ASA. is chairman of the Board of Directors of Wilhelm Wilhelmsen Holding ASA and Euronav NV, and is a director at Golar LNG Limited and Belships ASA.***

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***Mi Hong Yoon has served as Company Secretary and been a member of our Board of Directors since May 23 2022. Ms. Yoon has served as Managing Director of Golar Management (Bermuda) Limited since February 2022. Prior to this role, she was employed by Digicel Bermuda as Chief Legal, Regulatory and Compliance Officer from March 2019 until February 2022 and also served as Senior Legal Counsel of Telstra Corporation Limited's global operations in Hong Kong and London from 2009 to 2019. She has extensive international legal and regulatory experience. Ms. Yoon graduated from the University of New South Wales with a Bachelor of Law degree (LLB) and earned a Masters degree (LLM) in international economic law from the Chinese University of Hong Kong. She is a member of the Institute of Directors and has held several director positions over the years. From March 2022 to August 2022, Ms. Yoon was a Director and Secretary of 2020 Bulkers Ltd. Current directorships and management positions include Cool Company Ltd. (Director and Secretary) and Borr Drilling Ltd. (Director and Secretary).***

***Herman Billung has been Chief Executive Officer of the Manager since February 1, 2022. Mr. Billung has an extensive shipping experience. He was the Chief Executive Officer of Golden Ocean, from 2005 to 2016, Managing Director of Maritime Services, responsible for the Commercial management of the Torvald Klaveness Group's dry bulk pools, Bulkhandling and Baumarine, from 1998 to 2005, Managing Director of the dry bulk operating company, Frapaco Shipping Ltd, from 1994 to 1998, held various positions within chartering in the Torvald Klaveness Group from 1989 to 1994 and was with the Royal Norwegian Navy from 1978 to 1989. Mr. Billung currently is the Chief Executive Officer of 2020 Bulkers Ltd., parent company of our Manager and Managing Director of Star Bulk Norway AS. For the last five years, Mr. Billung also held the positions of Senior Vice President of Star Bulk Carriers, Chief Executive Officer of Songa Bulk Management ASA, and Chief Executive Officer of Golden Ocean Management AS.***

***Vidar Hasund has been Chief Financial Officer of the Manager since January 1, 2019. Mr. Hasund was previously the Chief Accounting Officer of Borr Drilling during 2017-2018; other positions he held previously include being Financial Officer and International Tax Accounting Manager at PGS during 2008-2017, financial controller at BW Gas ASA during 2005-2007 and Auditor at KPMG during 2002-2004. He is a Norwegian state authorized public accountant and holds a Master of Accounting and Auditing degree from Norwegian School of Economics.***

#### Board of Directors & Board Practices
Our Board of Directors is composed of five directors. A director is not required to hold any shares in our Company by way of qualification. A director who is in any way, whether directly or indirectly, interested in a contract or proposed contract with our Company is required to declare the nature of his interest at a meeting of our directors. A director may vote in respect of any contract, proposed contract, or arrangement notwithstanding that he or she may be interested therein, and if he or she does so, their vote shall be counted and may be counted in the quorum at any meeting of our directors at which any such contract or proposed contract or arrangement is considered. The directors may exercise all of our powers to borrow money, mortgage our undertaking, property and uncalled capital, and issue debentures or other securities whenever money is borrowed or as security for any of our obligations or of any third party.

In addition, under Bermuda common law, members of the board of directors of a Bermuda company owe a fiduciary duty to the company to act in good faith in their dealings with or on behalf of the company and exercise their powers and fulfill the duties of their office honestly. This duty includes the following essential elements:

&nbsp;&nbsp;&nbsp;&nbsp;• a duty to act in good faith in the best interests of the company;

&nbsp;&nbsp;&nbsp;&nbsp;• a duty not to make a personal profit from opportunities that arise from the office of director;

&nbsp;&nbsp;&nbsp;&nbsp;• a duty to avoid conflicts of interest; and

&nbsp;&nbsp;&nbsp;&nbsp;• a duty to exercise powers for the purpose for which such powers were intended.

The Companies Act imposes a duty on directors of a Bermuda company to act honestly and in good faith with a view to the best interests of the company, and to exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances. In addition, the Companies Act imposes various duties on directors and officers of a company with respect to certain matters of management and administration of the company. Directors and officers generally owe fiduciary duties to the company, and not to the company's individual shareholders.

Our Board of Directors is elected annually by a vote of a majority of the common shares represented at the meeting at which at least two shareholders, present in person or by proxy, and entitled to vote (whatever the number

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of shares held by them) constitutes a quorum. In addition, the maximum and minimum number of directors is determined by a resolution of our shareholders, but no less than two directors shall serve at any given time. Each director shall hold office until the next annual general meeting following his or her election or until his or her successor is elected.

There are no service contracts between us and any member of our Board of Directors providing for the accrual of benefits, compensation or otherwise, upon termination of their employment or service.

Our Board of Directors has determined that a majority of our directors are considered "independent" under the Stock Exchange independence standards.

#### Committees

#### Audit Committee
The audit committee, which consists of Jehan Mawjee, Carl Steen and Georgina Sousa, assists the Board of Directors in overseeing our accounting and financial reporting processes and the audits of our Consolidated Financial Statements. In addition, the audit committee is directly responsible for the appointment, compensation, retention and oversight of the work of our independent registered public accounting firm. The audit committee is also responsible for reviewing and determining whether to approve certain transactions with related parties. See "*Certain Relationships and Related Party Transactions*." The Board of Directors has determined that Jehan Mawjee qualifies as "audit committee financial expert," as such term is defined in the rules of the SEC, and that Carl Steen is independent, as independence is defined under the rules of the SEC and the Stock Exchange applicable to foreign private issuers. Jehan Mawjee is chairperson of our audit committee.

#### Compensation Committee
In lieu of a compensation committee, our Board is responsible for establishing the executive officers' compensation and benefits including our equity compensation plan.

#### Nominating and Corporate Governance Committee
The nominating and corporate governance committee, which consists of Carl Steen, Bjørn Isaksen and Mi Hong Yoon, develops and recommends to the Board of Directors a set of corporate governance principles applicable to our company, oversees the evaluation of our Board of Directors and identifies and nominates candidates for election to the Board of Directors. Carl Steen has been appointed to act as chairperson of our nominating and corporate governance committee.

#### Management of the Company
Our Board of Directors is responsible for determining the strategic vision and ultimate direction of our business, determining the principles of our business strategy and policies and promoting our long-term interests. Our Board of Directors possesses and exercises oversight authority over our business and, subject to our governing documents and applicable law, generally delegates day-to-day operational and commercial management of the Company to our senior management team. Viewed from this perspective, our Board of Directors generally oversees risk management and our senior management team generally manages the material risks that we face. The Board of Directors must, however, be consulted on all matters of material importance and/or of an unusual nature and all commercial chartering decisions, and for such matters, will provide specific authorization to personnel in our senior management to act on its behalf.

The senior management team responsible for the day-to-day operational and commercial management has extensive experience in the dry bulk shipping services. The Board of Directors has defined the scope and terms of the services to be provided by our senior management. Management services are provided to us by 2020 Bulkers, a subsidiary of 2020 Bulkers Ltd. 2020 Bulkers Ltd. is listed on the Oslo Stock Exchange. For more information on management practice and related parties, please see the sections entitled "*—Board of Directors & Board Practices*" and "*Certain Relationships and Related Party Transactions*."

#### Code of Business Conduct and Ethics
We have a Code of Business Conduct and Ethics, applicable to our employees, directors and officers, which is designed to promote legal and regulatory compliance with applicable anti-corruption laws as well as sanctions and embargo laws and regulations (including U.S. Department of the Treasury Office of Foreign Assets Control

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requirements). Our Code of Business Conduct and Ethics covers a range of matters including the handling of conflicts of interest, compliance with applicable laws, rules and regulations of the countries where we do business, and the reporting of misconduct, as well as other corporate values such as transparency, fairness and equal opportunity, and will be available on our website upon consummation of this offering. Any amendments to the code, or any waivers of its requirements, may be made by our Board of Directors and will be promptly disclosed as required by applicable U.S. federal securities laws and the corporate governance rules of the Stock Exchange.

#### Compensation of Directors and Officers
The aggregate cash compensation, including benefits in kind, accrued or paid to our directors with respect to the year ended December 31, 2022, for services in all capacities was $95,000.

Each of our contracted executive officers is an employee of 2020 Bulkers, our Manager. Our contracted executive officers are compensated by our Manager and, except as described below in connection with our long-term incentive plan, do not receive any compensation directly from us. Other than through the fees we pay the Manager as set out in the Management Agreement, we do not reimburse our Manager or any of its affiliates for the compensation of any of our executive officers and do not make any decisions regarding the compensation of our executive officers. For a description of our Manager's compensation, please refer to the section entitled "*Certain Relationships and Related Party Transactions—Management Agreement with 2020 Bulkers*."

Our contracted Chief Executive Officer, Herman Billung and our contracted Chief Financial Officer, Vidar Hasund devote a substantial portion of their time to our affairs as is required for their performance of the duties of our Manager to us under the Management Agreement, although they have not exclusively provided services to us since inception. As a result, our contracted executive officers from time to time are not exclusively dedicated to performing services to us.

#### Equity Incentive Plan
We have adopted a long-term incentive plan and have authorized the issuance of up to 800,000 options pursuant to awards under our long-term incentive program (the "LTI Plan"), of which 180,000 options remain unallocated for further awards and recruitments. Any person who is contracted to work at least 20 hours per week in our service, the members of our Board and any person who is a member of the board of any of our subsidiaries and an individual who is employed by a regular service provider to the Company provided such individual participates in the team providing such services on a regular basis are eligible to participate in our LTI plan. The purpose of our LTI Plan is to align the long-term financial interests of our employees, contracted officers and directors with those of our shareholders, to attract and retain those individuals by providing compensation opportunities that are competitive with other companies, and to provide incentives to those individuals who contribute significantly to our long-term performance and growth. To accomplish this, our LTI Plan permits the issuance of our common shares.

In December 2021, our Board of Directors granted 500,000 share options under the LTI Plan to members of our contracted management team, key human resources, including to members of our manager's team performing services for us but who are not considered to be performing executive management functions, and the Board of Directors.

In March 2022, our Board of Directors granted 120,000 share options under the LTI Plan under substantially the same terms as the grant in December 2021 described in the preceding paragraph.

For further details on share options please refer to Note 14 – Share Based Compensation of our Consolidated Financial Statements included herein.

#### Foreign Private Issuer Exemption
In general, under the Stock Exchange corporate governance standards, foreign private issuers, as defined under the Exchange Act, are permitted to follow home country corporate governance practices instead of the corporate governance practices of the Stock Exchange. Accordingly, we intend to follow certain corporate governance practices of our home country, Bermuda, in lieu of certain of the corporate governance requirements of the Stock Exchange. A brief summary of those differences is provided as follows:

&nbsp;&nbsp;&nbsp;&nbsp;• Our bye-laws do not require shareholder approval for the issuance of shares (i) in connection with the acquisition of stock or assets of another company; (ii) when it would result in a change of control; (iii) when

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a share option or purchase plan is to be established or materially amended or other equity compensation arrangement made or materially amended, pursuant to which shares may be acquired by officers, directors, employees, or consultants; or (iv) in connection with a transaction (other than a public offering) involving the sale, issuance or potential issuance of shares at a price less than market value.

In addition, as a foreign private issuer, we will not be subject to the following requirements under US securities laws applicable to domestic issuers:

&nbsp;&nbsp;&nbsp;&nbsp;• The requirement to file quarterly reports on Form 10-Q, from filing proxy solicitation materials on Schedule 14A or 14C in connection with annual or special meetings of shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;• The requirement to file reports on Form 8-K disclosing significant events within four business days of their occurrence;

&nbsp;&nbsp;&nbsp;&nbsp;• The requirements of Regulation FD; and

&nbsp;&nbsp;&nbsp;&nbsp;• Section 16 rules regarding sales of common shares by insiders, which will provide less data in this regard than shareholders of U.S. companies that are subject to the Exchange Act.

If at any time we cease to be a "foreign private issuer" under the rules of the Stock Exchange and the Exchange Act, as applicable, our Board of Directors will take all action necessary to comply with the Stock Exchange corporate governance rules.

Due to our status as a foreign private issuer and our intent to follow certain home country corporate governance practices, our shareholders will not have the same protections afforded to shareholders of companies that are subject to all the Stock Exchange corporate governance standards. See "*Description of Share Capital*."

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#### PRINCIPAL SHAREHOLDERS
The following table and accompanying footnotes sets forth information relating to the beneficial ownership of our common shares by (i) each person, or group of affiliated persons, known by us to beneficially own 5% or more of our issued and outstanding common shares; (ii) each of our directors and executive officers; and (iii) all of our directors and executive officers as a group. Unless otherwise indicated below, the address for each beneficial owner listed is c/o Himalaya Shipping Ltd., S.E. Pearman Bldg., 2nd floor, 9 Par-la-Ville Road, Hamilton HM 11, Bermuda.

The calculations in the table below are based on 32,152,857 common shares outstanding and common shares outstanding immediately after the completion of this offering (common shares assuming the underwriters exercise their option to purchase additional shares in full). All of our shareholders, including the shareholders listed in the table below, are entitled to one vote for each common share held.

The number of common shares beneficially owned by each entity, person, director or executive officer is determined in accordance with the rules of the SEC, and the information is not necessarily indicative of beneficial ownership for any other purpose. Under such rules, beneficial ownership includes any shares over which the individual has sole or shared voting power or investment power as well as any shares that the individual has the right to acquire within 60 days, including through the exercise of any option, warrant or other right or the conversion of any other security. Except as otherwise indicated, and subject to applicable community property laws, the persons named in the table below have sole voting and investment power with respect to all common shares held by that person.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Common Shares Beneficially Owned** | **Common Shares Beneficially Owned** | **Common Shares Beneficially Owned** | **Common Shares Beneficially Owned** | **Common Shares Beneficially Owned** | **Common Shares Beneficially Owned** |
| | **Prior to this offering** | **Prior to this offering** | **After Giving Effect** <br>**to this offering** <br>**Assuming** <br>**Underwriters'** <br>**Option is Not** <br>**Exercised** | **After Giving Effect** <br>**to this offering** <br>**Assuming** <br>**Underwriters'** <br>**Option is Not** <br>**Exercised** | **After Giving** <br>**Effect** <br>**to this offering** <br>**Assuming** <br>**Underwriters'** <br>**Option is** <br>**Exercised** <br>**in Full** |
| <br>**Name of Beneficial Owner** | **Number** | **Percent** | **Number** | **Percent** | **Percent** |
| **Directors and Executive Officers**<br>|  |  |  |  |  |
| Herman Billung | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;\* | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;\* |  |  |  |
| Vidar Hasund | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;\* | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;\* |  |  |  |
| Bjørn Isaksen | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;\* | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;\* |  |  |  |
| Jehan Mawjee | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— |  |  |  |
| Georgina Sousa | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— |  |  |  |
| Carl Steen | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— |  |  |  |
| Mi Hong Yoon | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— |  |  |  |
| All executive officers and directors as a group (seven persons)<sup>(1)(2)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;380000 | &nbsp;&nbsp;1.2% |  |  |  |
| **5% Equity holders**<br>|  |  |  |  |  |
| Drew Holdings Ltd.<sup>(3)</sup> | 12446185 | 38.7% |  |  |  |
| Affinity Shipholdings I LLP | &nbsp;&nbsp;3228096 | 10.0% |  |  |  |
| J.P. Morgan Securities LLC | &nbsp;&nbsp;2095238 | &nbsp;&nbsp;6.5% |  |  |  |
| Citibank, N.A. | &nbsp;&nbsp;1952380 | &nbsp;&nbsp;6.1% |  |  |  |

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\* Represents beneficial ownership of less than 1.0% of total outstanding shares, including share options granted under the LTI Plan. 

(1)<br> On December 8, 2021, our Board of Directors approved the award of 500,000 share options under the LTI Plan to our executive officers and directors to vest within a period of three years of the grant, all of which are not included for purposes of this table.

(2)<br> On March 10, 2022, our Board of Directors approved the award of 120,000 share options under the LTI Plan to our executive officers and directors to vest within a period of three years of the grant, all of which are not included for purposes of this table.

(3) Drew Holdings Ltd. is wholly owned by Drew Trust, a trust established in Bermuda for the benefit of Mr. Trøim and his immediate family.

As of March 5, 2023, 2,150,073 common shares, representing 6.7% of our issued and outstanding common shares, were held by five U.S. record holders.

We are not aware of any arrangement that may, at a subsequent date, result in a change of control of our company. See the section entitled "*Description of Share Capital—History of Securities Issuances*" for historical changes in our shareholding structure.

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#### CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
Himalaya Shipping and its affiliates are party to a number of significant contractual arrangements with related parties. In addition to the information contained in this section, you should carefully review the notes to our Consolidated Financial Statements included in this prospectus.

In addition to the director and executive officer compensation arrangements discussed in the section entitled "*Management—Compensation of Directors and Officers*," the following is a description of transactions since inception to which we have been a party and in which any of our directors, executive officers, beneficial owners of more than 5% of our common shares, or their immediate family members or entities affiliated with them, had or will have a direct or indirect material interest.

#### Agreements and Other Arrangements with Magni Partners Limited and Drew Holdings
The founder and sole shareholder of Magni Partners (Bermuda) Ltd. is Mr. Tor Olav Trøim. Drew Holdings Limited is wholly owned by Drew Trust, a trust established in Bermuda for the benefit of Mr. Trøim and his immediate family, controlling approximately 38.7% of the common shares of the Company.

#### Corporate Support Agreement
Magni is party to a Corporate Support Agreement with Himalaya Shipping pursuant to which it is providing support the Company's business development through assisting with the pre-financing and post-financing of the Company's newbuilding program, including previous private placements made by the Company, in finding employment for the vessels, assistance in sourcing business opportunities, in recruiting suitable individuals to the Company's organization and with general high-level administrative support, etc. This agreement was formalized on September 15, 2021.

The Company has agreed to pay to Magni $2.7 million in support fees, which shall be paid by the Company in four equal tranches. Such amount equals the aggregate agreed Address Commissions payable to our relevant subsidiaries in connection with the first four vessels, which Address Commissions were agreed with New Times, before we issued shares to external investors, in recognition of our efforts and cooperation in connection with the negotiation, agreement and execution of each Shipbuilding Contract. The effect of these transactions is that the Company will deduct from the purchase price payable for the 12 vessels under construction $8.1 million in Address Commissions corresponding to the 12 vessels from the payment of the fifth installment under the Shipbuilding Contracts and will pay $2.7 million in support fees to Magni.

The Company has not paid any amounts to Magni and such support fees will be paid when the fifth delivery installment for the first four vessels is paid under the 1-4 Shipbuilding Contracts. In the event, the Company requests Magni to provide additional services, Magni will be entitled to additional compensation.

#### Drew Holdings Revolving Credit Facility
Drew Holdings has provided us with an unsecured revolving credit facility of $15.0 million, which is available to the Company in tranches if it has no other liquid funds available to meet its working capital requirements. The Drew Holdings RCF is an unsecured revolving credit facility, bearing an interest rate of LIBOR for the applicable interest period under the facility, plus a margin of 8% p.a. The Company may select an interest period for each tranche of 1, 3 or 6 months as specified in each relevant drawdown notice.

As of December 31, 2022, there was $1.0 million outstanding under the Drew Holdings RCF.

As of February 2, 2023, we have drawn down $1.7 million under the Drew Holdings RCF, which is required to repaid in full no later than December 31, 2024, or upon the sale or purchase of a major asset not already contracted for. Any additional amounts not drawn down under the Drew Holdings RCF, and currently available thereunder, will be allowed only until December 31, 2023.

Based on the latest guidance from the applicable LIBOR administrator, the reference rates currently in use are expected to be available until June 30, 2023 and the Company expects to agree alternative reference rates with Drew Holdings before the applicable discontinuation date. In addition, the Company has determined that reference rate reforms will potentially impact any outstanding amount under the Drew Holdings RCF.

The Drew Holdings RCF replaces a similar facility that had been provided by Magni.

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#### Registration Rights Agreement
In connection with the closing of this offering, we intend to enter into a registration rights agreement with Drew Holdings, pursuant to which we will grant certain rights to Drew Holdings and certain of its transferees, including the right, under certain circumstances and subject to certain restrictions, to require us to register under the Securities Act our common shares held by them. Drew Holdings will have certain demand registration rights, including the right to require us to file a shelf registration statement registering secondary sales of our common shares held by Drew Holdings and its affiliates if such form is available to us, as well as certain piggyback registration rights in respect of common shares held by them in connection with registered offerings requested by other registration rights holders, if any, or initiated by us.

One of our directors, Bjorn Isaksen, is employed by Magni Partners, an affiliate of Drew Holdings.

#### Agreements with Wilhelmsen
One of our directors, Carl Steen, sits on the board of directors of Wilhelmsen Holding ASA, the parent company of Wilhemsen, with whom we have signed Ship Management Agreements for certain of our vessels. In addition, Wilhelmsen has agreed to advance short-term funding in relation to actual costs and expenses arising from or in connection with the Ship Management Agreement relating to the vessel Mount Etna.

#### Other
On May 5, 2021, in connection with the payment of the first installments under the 1-4 Shipbuilding Contracts, Magni paid $13.6 million to the shipyard, New Times, on behalf of our vessel owning subsidiaries (MOUNT NOREFJELL INC., MOUNT ETNA INC., MOUNT ITA INC. and MOUNT BLANC INC.), creating a receivable owing by these subsidiaries. On June 15, 2021, these receivables were assigned to the Company pursuant to an assignment of a promissory note issued by each of such subsidiaries to Magni. The assignment of these receivables from Magni to the Company was made in exchange for 13,583,400 common shares of the Company issued to Magni on June 15, 2021.

#### Management Agreement with 2020 Bulkers
In February 2023, we entered into a new Management Agreement with our Manager, 2020 Bulkers, replacing a similar management agreement entered into in October 2021. The Manager is a wholly owned subsidiary of 2020 Bulkers Ltd, whereas of the date of the previous management agreement, Drew Holdings held a substantial part of the shares in 2020 Bulkers Ltd. Following a reduction of Drew Holdings' ownership in 2020 Bulkers Ltd. to approximately 3.5%, 2020 Bulkers is no longer considered a related party to the Company.

Pursuant to the Management Agreement, our Manager provides us with certain operational, commercial and management services, including newbuilding supervision, assistance with delivery of vessels and supervising SeaQuest, our on-site supervisor of the construction of our vessels, liaising with flag state and classification society, oversight of technical and operational management services for our vessels, and assisting us with procuring insurances for our vessels and operations.

Since our inception until December 31, 2022, our Manager has charged us $1.0 million. Pursuant to the Management Agreement, the Company shall pay to the Manager a management fee subject to annual estimates and calculated, based on, among other things, expected activity level of the Company and the expected scope of services to be provided by 2020 Bulkers in relation to the Company in the such year, and payable quarterly, in four equal tranches. Such management fee shall equal certain marked-up costs, based on the sum of (i) the direct payroll costs for the Manager allocated to the performance of the services under the Management Agreement and (ii) certain shared costs corresponding to the Manager's infrastructure costs in such year related to the performance of such services as allocated between the Manager and the Company, such sum to be marked-up by a margin of 13%. The management fee will be adjusted annually to account for the difference between estimated and actual costs incurred in such year. The Management Agreement is for an indefinite period and can be terminated by either party upon one month's notice.

Also see Note 13—"Related Party Transactions" to our Consolidated Financial Statements for a discussion of our related party transactions. In addition, Magni and Drew Holdings have invested in our shares. See the section entitled "Description of Share Capital—History of Equity Issuances."

#### Agreements with Affinity
Affinity Shipholdings I LLP ("Affinity") controls approximately 10.0% of the common shares of the Company. Affinity is the broker between New Times and the company for the Shipbuilding Contracts. No consideration has or will be paid from Himalaya Shipping to Affinity. Affinity is also the broker on the fixed time charter agreement the Company has entered into. Affinity will receive 1.25% of the charter hire of US$30,000 per day.

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#### DESCRIPTION OF SHARE CAPITAL
*The following description of our share capital summarizes certain provisions of our memorandum of association and our bye-laws that will become effective as of the closing of this offering. Such summaries do not purport to be complete and are subject to, and are qualified in their entirety by reference to, all of the provisions of our memorandum of association and bye-laws, copies of which have been filed as exhibits to the registration statement of which this prospectus forms a part. Prospective investors are urged to read the exhibits for a complete understanding of our memorandum of association and bye-laws.*

#### General
We are an exempted company incorporated under the laws of Bermuda. We are registered with the Registrar of Companies in Bermuda (the "Registrar") under registration number 56490. We were incorporated on March 17, 2021 under the name Himalaya Shipping Ltd. Our registered office is located at S.E. Pearman Bldg., 2<sup>nd</sup> floor, 9 Par-la-Ville Road, Hamilton HM 11, Bermuda.

The objects of our business are unrestricted, and the company has the capacity of a natural person. We can therefore undertake activities without restriction on our capacity.

Since our incorporation there have been no mergers, amalgamations or consolidations of us or any of our subsidiaries, no material changes in the mode of conducting our business, no material changes in the types of products produced or services rendered and no name changes. There have been no bankruptcy, receivership or similar proceedings with respect to us or our subsidiaries.

There have been no public takeover offers by third-parties for our common shares nor any public takeover offers by us for the shares of another company which have occurred during the last or current financial years.

We have applied to list our common shares on the Stock Exchange under the symbol "HSHP."

Initial settlement of our common shares will take place on the closing date of this offering through The Depository Trust Company ("DTC") in accordance with its customary settlement procedures for equity securities registered through DTC's book-entry transfer system. Each person beneficially owning common shares registered through DTC must rely on the procedures thereof and on institutions that have accounts therewith to exercise any rights of a holder of the common shares.

#### Share Capital
Immediately following the completion of this offering, our authorized share capital of $140,010,000 will consist of common shares, par value $1.00 per share. Upon completion of this offering, there will be common shares issued and outstanding. All of our issued and outstanding common shares prior to completion of this offering are and will be fully paid, and all of our common shares to be issued in this offering will be issued fully paid.

Pursuant to our bye-laws, our Board of Directors is authorized to issue any of our authorized but unissued shares. Under our bye-laws, no shares shall be issued until they are fully paid except as may be prescribed by a resolution of the shareholders. There are no limitations on the right of non-Bermudians or non-residents of Bermuda to hold or vote our common shares.

#### Common Shares
Holders of common shares have no pre-emptive, redemption, conversion or sinking fund rights. Holders of common shares are entitled to one vote per share on all matters submitted to a vote of holders of common shares. Unless a different majority is required by law or by our bye-laws, resolutions to be approved by holders of common shares require approval by a simple majority of votes cast at a meeting at which a quorum is present.

In the event of our liquidation, dissolution or winding up, the holders of common shares are entitled to share equally and ratably in our assets, if any, remaining after the payment of all of our debts and liabilities, subject to any liquidation preference on any issued and outstanding preference shares.

#### Preference Shares
Pursuant to Bermuda law and our bye-laws, our Board of Directors may, by resolution, establish one or more series of preference shares having such number of shares, designations, dividend rates, relative voting rights, conversion or exchange rights, redemption rights, liquidation rights and other relative participation, optional or other

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special rights, qualifications, limitations or restrictions as may be fixed by the Board of Directors without any further shareholder approval. Such rights, preferences, powers and limitations, as may be established, could have the effect of discouraging an attempt to obtain control of the company.

#### Dividend Rights
Under Bermuda law, a company may not declare or pay dividends if there are reasonable grounds for believing that (i) the company is, or would after the payment be, unable to pay its liabilities as they become due; or (ii) that the realizable value of its assets would thereby be less than its liabilities. Under our bye-laws, each common share is entitled to dividends if, as and when dividends are declared by our Board of Directors, subject to any preferred dividend right of the holders of any preference shares.

Any cash dividends payable to holders of our common shares listed on Stock Exchange will be paid to Broadridge Financial Solutions, our paying agent in the United States for disbursement to those holders.

#### Variation of Rights
If at any time we have more than one class of shares, the rights attaching to any class, unless otherwise provided for by the terms of issue of the relevant class, may be varied either (i) with the consent in writing of the holders of 75% of the issued shares of that class; or (ii) with the sanction of a resolution passed by a majority of the votes cast at a general meeting of the relevant class of shareholders at which a quorum consisting of at least two persons holding or representing by proxy any of the issued shares of the relevant class is present. Our bye-laws specify that the creation or issue of shares ranking equally with existing shares will not, unless expressly provided by the terms of issue of existing shares, vary the rights attached to existing shares.

#### Transfer of Shares
Our Board of Directors may, in its absolute discretion and without assigning any reason, refuse to register the transfer of a share that it is not fully paid. Our Board of Directors may also refuse to recognize an instrument of transfer of a share unless it is accompanied by the relevant share certificate and such other evidence of the transferor's right to make the transfer as our Board of Directors shall reasonably require. Subject to these restrictions, a holder of common shares may transfer the title to all or any of his common shares by completing a form of transfer in the usual common form or in any other form which our Board of Directors may approve. The instrument of transfer must be signed by the transferor and transferee, although in the case of a fully paid share our Board of Directors may accept the instrument signed only by the transferor.

Where our common shares are listed or admitted to trading on any appointed stock exchange, such as the Stock Exchange, they will be transferred in accordance with the rules and regulations of such exchange.

#### Meetings of Shareholders
Under Bermuda law, a company is required to convene at least one general meeting of shareholders each calendar year (the "annual general meeting"). However, the shareholders may by resolution waive this requirement, either for a specific year or period of time, or indefinitely. When the requirement has been so waived, any shareholder may, on notice to the company, terminate the waiver, in which case an annual general meeting must be called. We have chosen not to waive the convening of an annual general meeting.

Bermuda law provides that a special general meeting of shareholders may be called by the Board of Directors of a company and must be called upon the request of shareholders holding not less than 10% of the paid-up capital of the company carrying the right to vote at general meetings. Bermuda law also requires that shareholders be given at least five days' advance notice of a general meeting, but the accidental omission to give notice to any person does not invalidate the proceedings at a meeting. Our bye-laws provide that our Board of Directors shall convene an annual general meeting and the Board of Directors may convene a special general meeting. Under our bye-laws, at least 7 days' notice of an annual general meeting or a special general meeting must be given to each shareholder entitled to vote at such meeting. The notice shall be exclusive of the day on which it is served or deemed to be served and of the day for which it is given, and shall specify the place, day and time of the meeting, and, in the case of a special general meeting, the general nature of the business to be considered. This notice requirement is subject to the ability to hold such meetings on shorter notice if such notice is agreed: (i) in the case of an annual general meeting by all of the shareholders entitled to attend and vote at such meeting; or (ii) in the case of a special general meeting by a

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majority in number of the shareholders entitled to attend and vote at the meeting holding not less than 95% in nominal value of the shares entitled to vote at such meeting. The quorum required for a general meeting of shareholders is two or more shareholders either present in person or represented by proxy, holding shares carrying voting rights entitled to be exercised at such meeting.

#### Access to Books and Records and Dissemination of Information
Members of the general public have a right to inspect the public documents of a company available at the office of the Registrar. These documents include the company's memorandum of association, including its objects and powers, and certain alterations to the memorandum of association. The shareholders have the additional right to inspect the bye-laws of the company, minutes of general meetings and the company's audited financial statements, which must be presented in the annual general meeting. The register of members of a company is also open to inspection by shareholders and by members of the general public without charge. The register of members is required to be open for inspection for not less than two hours in any business day (subject to the ability of a company to close the register of members for not more than thirty days in a year). A company is required to maintain its share register in Bermuda but may, subject to the provisions of the Companies Act 1981 of Bermuda, as amended (the "Companies Act"), establish a branch register outside of Bermuda. A company is required to keep at its registered office a register of directors and officers that is open for inspection for not less than two hours in any business day by members of the public without charge. A company is also required to file with the Registrar a list of its directors to be maintained on a register, which register will be available for public inspection subject to such conditions as the Registrar may impose and on payment of such fee as may be prescribed. Bermuda law does not, however, provide a general right for shareholders to inspect or obtain copies of any other corporate records.

#### Election and Removal of Directors
Our bye-laws provide that our Board of Directors shall consist of a minimum of two directors or such greater number as the shareholders may from time to time determine.

In accordance with our bye-laws, a director may be removed by the shareholders, provided notice of the shareholders meeting convened to remove the director is given to the director. The notice must be served on the director not less than 14 days before the meeting. The director is entitled to attend the meeting and be heard on the motion for his removal.

#### Proceedings of Board of Directors
Our bye-laws provide that our business is to be managed by our Board of Directors. Bermuda law permits individual and corporate directors and there is no requirement in our bye-laws or Bermuda law that directors hold any of our common shares. There is also no requirement in our bye-laws or Bermuda law that our directors must retire at a certain age.

The compensation of our directors is determined by the shareholders, and there is no requirement that a specified number or percentage of "independent" directors must approve any such determination. Our directors may also be paid all travel, hotel and other reasonable out-of-pocket expenses properly incurred by them in connection with our business or their duties as directors.

Provided a director discloses a direct or indirect interest in any contract or arrangement with us as required by Bermuda law, such director is entitled to vote in respect of any such contract or arrangement in which he or she is interested.

#### Indemnification of Directors and Officers
Section 98 of the Companies Act provides generally that a Bermuda company may indemnify its directors, officers and auditors against any liability which by virtue of any rule of law would otherwise be imposed on them in respect of any negligence, default, breach of duty or breach of trust, except in cases where such liability arises from fraud or dishonesty of which such director, officer or auditor may be guilty in relation to the company. Section 98 further provides that a Bermuda company may indemnify its directors, officers and auditors against any liability incurred by them in defending any proceedings, whether civil or criminal, in which judgment is awarded in their favor or in which they are acquitted or granted relief by the Supreme Court of Bermuda pursuant to section 281 of the Companies Act.

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Our bye-laws provide that we shall indemnify our officers and directors in respect of their actions and omissions, except in respect of their fraud or dishonesty, and that we shall advance funds to our officers and directors for expenses incurred in their defense upon receipt of an undertaking to repay the funds if any allegation of fraud or dishonesty is proven. Subject to Section 14 of the Securities Act and Section 29(a) of the Exchange Act, which render void any purported waiver of the provisions of the Securities Act and the Exchange Act, respectively, our bye-laws provide that the shareholders waive all claims or rights of action that they might have, individually or in right of the company, against any of the company's directors or officers for any act or failure to act in the performance of such director's or officer's duties, except in respect of any fraud or dishonesty of such director or officer. Section 98A of the Companies Act permits us to purchase and maintain insurance for the benefit of any officer or director in respect of any loss or liability attaching to him in respect of any negligence, default, breach of duty or breach of trust, whether or not we may otherwise indemnify such officer or director. We are planning to purchase and maintain a directors' and officers' liability policy for such purpose. The waiver would not be effective as a waiver of the right to sue for violations of the Securities Act or the Exchange Act, the waiver of which would be prohibited by Section 14 of the Securities Act and Section 29(a) of the Exchange Act, respectively.

#### Amendment of Memorandum of Association and Bye-laws
Bermuda law provides that the memorandum of association of a company may be amended by a resolution passed at a general meeting of shareholders. Our bye-laws provide that our bye-laws may be amended from time to time in the manner provided for in the Companies Act, provided that any such amendment shall only become operative to the extent that it has been confirmed by a resolution of our shareholders, which includes the affirmative vote of a majority of all votes cast on the resolution.

Under Bermuda law, the holders of an aggregate of not less than 20% in par value of a company's issued share capital or any class thereof have the right to apply to the Supreme Court of Bermuda for an annulment of any amendment of the memorandum of association adopted by shareholders at any general meeting, other than an amendment that alters or reduces a company's share capital as provided in the Companies Act. Where such an application is made, the amendment becomes effective only to the extent that it is confirmed by the Supreme Court of Bermuda. An application for an annulment of an amendment of the memorandum of association must be made within 21 days after the date on which the resolution altering the company's memorandum of association is passed and may be made on behalf of persons entitled to make the application by one or more of their number as they may appoint in writing for the purpose. No application may be made by shareholders voting in favor of the amendment.

#### Amalgamations, Mergers and Business Combinations
The amalgamation or merger of a Bermuda company with another company or corporation (other than certain affiliated companies) requires the amalgamation or merger agreement to be approved by the company's Board of Directors and by its shareholders. Unless the company's bye-laws provide otherwise, the approval of 75% of the shareholders voting at such meeting is required to approve the amalgamation or merger agreement, and the quorum for such meeting must be two or more persons holding or representing more than one-third of the issued shares of the company. Our bye-laws provide that our Board of Directors may, with the sanction of a resolution passed by a simple majority of votes cast at a general meeting of our shareholders with the necessary quorum for such meeting of two persons at least holding or representing 33 1/3% of our issued shares (or the class, where applicable) amalgamate or merge with another company.

Under Bermuda law, in the event of an amalgamation or merger of a Bermuda company with another company or corporation, a shareholder of the Bermuda company who did not vote in favor of the amalgamation or merger and who is not satisfied that fair value has been offered for such shareholder's shares may, within one month of notice of the shareholders meeting, apply to the Supreme Court of Bermuda to appraise the fair value of those shares.

#### Shareholder Suits
Class actions and derivative actions are generally not available to shareholders under Bermuda law. The 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 the 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.

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When the affairs of a company are being conducted in a manner that 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.

Subject to Section 14 of the Securities Act and Section 29(a) of the Exchange Act, which render void any purported waiver of the provisions of the Securities Act and Exchange Act, respectively, our bye-laws contain a provision by virtue of which our shareholders waive any claim or right of action that they have, both individually and on our behalf, against any director or officer in relation to any action or failure to take action by such director or officer, except in respect of any fraud or dishonesty of such director or officer. The waiver would not be effective as a waiver of the right to sue for violations of the Securities Act or the Exchange Act, the waiver of which would be prohibited by Section 14 of the Securities Act and Section 29(a) of the Exchange Act, respectively.

#### Capitalization of Profits and Reserves
Pursuant to our bye-laws, our Board of Directors may recommend to the shareholders to approve a resolution to (i) capitalize any part of the amount of our share premium or other reserve accounts or any amount credited to our profit and loss account or otherwise available for distribution by applying such sum in paying up unissued shares to be allotted as fully paid bonus shares pro rata to the shareholders; or (ii) capitalize any sum standing to the credit of a reserve account or sums otherwise available for dividend or distribution by paying up in full, partly paid or nil paid shares of those shareholders who would have been entitled to such sums if they were distributed by way of dividend or distribution.

#### Registrar or Transfer Agent
The transfer agent and registrar for our common shares is Broadridge Corporate Issuer Solutions, LLC. The transfer agent's address is 51 Mercedes Way, Edgewood, NY 11717, and its telephone number is +1 800 353 0103.

#### Untraced Shareholders
Our bye-laws provide that our Board of Directors may forfeit any dividend or other monies payable in respect of any shares that remain unclaimed for six years from the date when such monies became due for payment.

#### Certain Provisions of Bermuda Law
We have been designated by the Bermuda Monetary Authority as a non-resident for Bermuda exchange control purposes. This designation allows us to engage in transactions in currencies other than the Bermuda dollar, and there are no restrictions on our ability to transfer funds (other than funds denominated in Bermuda dollars) in and out of Bermuda or to pay dividends to U.S. residents who are holders of our common shares.

The Bermuda Monetary Authority has given its consent for the issue and free transferability of all of the common shares that are the subject of this offering to and between non-residents of Bermuda for exchange control purposes, provided our common shares remain listed on an appointed stock exchange, which includes the Stock Exchange. Approvals or permissions given by the Bermuda Monetary Authority do not constitute a guarantee by the Bermuda Monetary Authority as to our performance or our creditworthiness. Accordingly, in giving such consent or permissions, neither the Bermuda Monetary Authority nor the Registrar shall be liable for the financial soundness,

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performance or default of our business or for the correctness of any opinions or statements expressed in this prospectus. Certain issues and transfers of common shares involving persons deemed resident in Bermuda for exchange control purposes require the specific consent of the Bermuda Monetary Authority.

In accordance with Bermuda law, share certificates are only issued in the names of companies, partnerships or individuals. In the case of a shareholder acting in a special capacity (for example as a trustee), certificates may, at the request of the shareholder, record the capacity in which the shareholder is acting. Notwithstanding such recording of any special capacity, we are not bound to investigate or see to the execution of any such trust.

#### History of Securities Issuances
The following is a summary of our securities issuances from our inception through the date of this prospectus:

&nbsp;&nbsp;&nbsp;&nbsp;• Upon our incorporation on March 17, 2021, we issued 10,000 common shares at a subscription price of $1.00 per share.

&nbsp;&nbsp;&nbsp;&nbsp;• On June 15, 2021, we issued 15,000,000 common shares to Magni at a subscription price of $1.00 per share in exchange for (i) a contribution by Magni of receivables in the aggregate amount of $13.6 million, which related to receivables due from our subsidiaries to Magni in connection with a loan made by Magni to pay the first installments under the 1-4 Shipbuilding Contract, and (ii) a capital contribution of $1.4 million in cash from Magni.

&nbsp;&nbsp;&nbsp;&nbsp;• On July 16, 2021, we completed a private placement of 10,000,000 shares at a subscription price of $3.00 per share, raising gross proceeds of $30 million, a significant portion of which was (together with the proceeds of equity financings) used to pay the first and second installments of the Shipbuilding Contracts totaling $82.1 million.

&nbsp;&nbsp;&nbsp;&nbsp;• On October 11, 2021, we completed a private placement of 7,142,857 common shares at a subscription price of $7.00 per share, raising gross proceeds of $50 million, a significant majority of which was to finance the first and second installments of the Shipbuilding Contracts totaling $82.1 million.

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#### CERTAIN BERMUDA COMPANY CONSIDERATIONS
Our corporate affairs are governed by our memorandum of association and bye-laws and by the corporate law of Bermuda. The provisions of the Companies Act, which applies to us, differ in certain material respects from laws generally applicable to U.S. companies incorporated in the State of Delaware and their stockholders. The following is a summary of significant differences between the Companies Act (including modifications adopted pursuant to our bye-laws) and Bermuda common law applicable to us and our shareholders and the provisions of the Delaware General Corporation Law applicable to U.S. companies organized under the laws of Delaware and their stockholders.

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| | |
|:---|:---|
| **Bermuda** | **Delaware** |
| ***Shareholder meetings*** | ***Shareholder meetings*** |
| May be called by the Board of Directors and must be called upon the request of shareholders holding not less than 10% of the paid-up capital of the company carrying the right to vote at general meetings. | May be held at such time or place as designated in the certificate of incorporation or the bylaws, or if not so designated, as determined by the board of directors. |
| May be held in or outside Bermuda. | May be held in or outside of Delaware. |
| Notice: | Notice: |
| Shareholders must be given at least seven clear days' advance notice of a general meeting, but the accidental omission to give notice to any person does not invalidate the proceedings at a meeting. | Written notice shall be given not less than 10 nor more than 60 days before the meeting. |
| Notice of general meetings must specify the place, the day and time of the meeting and in the case of special general meetings, the general nature of the business to be considered. | Whenever stockholders are required to take any action at a meeting, a written notice of the meeting shall be given which shall state the place, if any, date and hour of the meeting, and the means of remote communication, if any. |
| ***Shareholder's voting rights*** | ***Shareholder's voting rights*** |
| Shareholders may act by written consent to elect directors or appoint an auditor. Shareholders may not act by written consent to remove a director or auditor. | With limited exceptions, stockholders may act by written consent to elect directors. |
| Generally, except as otherwise provided in the bye-laws, or the Companies Act, any action or resolution requiring approval of the shareholders may be passed by a simple majority of the shareholders being all of the Shareholders who at the date of the resolution in writing represent the majority of votes that would be entitled to attend a meeting and vote on the resolution. Any person authorized to vote may authorize another person or persons to act for him or her by proxy, provided the instrument appointing the proxy is in any common form or such other form as the board of directors may determine. | Any person authorized to vote may authorize another person or persons to act for him or her by proxy |
| The voting rights of shareholders are regulated by the company's bye-laws and, in certain circumstances, by the Companies Act. The bye-laws may specify the number to constitute a quorum and if the bye-laws permit, a general meeting of the shareholders of a company may be held with only one individual present if the requirement for a quorum is satisfied. | For stock corporations, the certificate of incorporation or bylaws may specify the number to constitute a quorum, but in no event shall a quorum consist of less than one-third of shares entitled to vote at a meeting. In the absence of such specifications, a majority of shares entitled to vote shall constitute a quorum.  |

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| | |
|:---|:---|
| **Bermuda** | **Delaware** |
|  | When a quorum is once present to organize a meeting, it is not broken by the subsequent withdrawal of any stockholders. |
| The bye-laws may provide for cumulative voting, although our bye-laws do not. | The certificate of incorporation may provide for cumulative voting. |
| The amalgamation or merger of a Bermuda company with another company or corporation (other than certain affiliated companies) requires the amalgamation or merger agreement to be approved by the company's board of directors and by its shareholders. Unless the company's bye-laws provide otherwise, the approval of 75% of the shareholders voting at such meeting is required to approve the amalgamation or merger agreement, and the quorum for such meeting must be two or more persons holding or representing more than one-third of the issued shares of the company. Our bye-laws provide that the Board may, with the sanction of a resolution passed by a simple majority of votes cast at a general meeting with the necessary quorum for such meeting of two persons at least holding or representing 33<sup>1</sup>∕3% of our issued common shares (or the class, where applicable), amalgamate or merge us with another company. | Any two or more corporations existing under the laws of the state may merge into a single corporation pursuant to a board resolution and upon the majority vote by stockholders of each constituent corporation at an annual or special meeting. |
| Subject to its bye-laws, a company may at any meeting of its Board of Directors sell, lease or exchange all or substantially all of its property and assets as its Board of Directors deems expedient and in the best interests of the company to do so. | Every corporation may at any meeting of the board sell, lease or exchange all or substantially all of its property and assets as its board deems expedient and for the best interests of the corporation when so authorized by a resolution adopted by the holders of a majority of the outstanding stock of a corporation entitled to vote. |
| Any company which is the wholly owned subsidiary of a holding company, or one or more companies which are wholly owned subsidiaries of the same holding company, may amalgamate or merge without the vote or consent of shareholders in accordance with the Companies Act, provided that the approval of the Board of Directors is obtained and that a director or officer of each such company signs a statutory solvency declaration in respect of the relevant company. | Any corporation owning at least 90% of the outstanding shares of each class of another corporation may merge the other corporation into itself and assume all of its obligations without the vote or consent of stockholders; however, in case the parent corporation is not the surviving corporation, the proposed merger shall be approved by a majority of the outstanding stock of the parent corporation entitled to vote at a duly called stockholder meeting. |
| Any mortgage, charge or pledge of a company's property and assets may be authorized without the consent of shareholders subject to any restrictions under the bye-laws. | Any mortgage or pledge of a corporation's property and assets may be authorized without the vote or consent of stockholders, except to the extent that the certificate of incorporation otherwise provides. |

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| | |
|:---|:---|
| **Bermuda** | **Delaware** |
| ***Transactions with Significant Shareholders*** | ***Transactions with Significant Shareholders*** |
| A company may enter into certain business transactions with its significant shareholders, including asset sales, in which a significant shareholder receives, or could receive, a financial benefit that is greater than that received, or to be received, by other shareholders with prior approval from our board of directors but without obtaining prior approval from our shareholders. | Subject to certain exceptions and conditions, a corporation may not enter into a business combination with an interested shareholder for a period of three years from the time the person became an interested shareholder without prior approval from shareholders holding at least 66<sup>2</sup>∕3% of the corporation's outstanding voting stock which is not owned by such interested shareholder. |
| ***Directors*** | ***Directors*** |
| The Board of Directors must consist of at least one director. Our bye-laws provide that our Board of Directors shall consist of a minimum of two directors or such greater number as the Board of Directors may determine. | The board of directors must consist of at least one member. |
| The number of directors is fixed by the bye-laws, and any changes to such number must be approved by the Board of Directors and/or the shareholders in accordance with the company's bye-laws. | Number of board members shall be fixed by the bylaws, unless the certificate of incorporation fixes the number of directors, in which case a change in the number shall be made only by amendment of the certificate of incorporation. |
| Removal: | Removal: |
| Under our bye-laws, any or all directors may be removed by the holders of a majority of the shares entitled to vote at a special meeting convened and held in accordance with the bye-laws for the purpose of such removal. | Any or all of the directors may be removed, with or without cause, by the holders of a majority of the shares entitled to vote unless the certificate of incorporation otherwise provides. |
|  | In the case of a classified board, stockholders may effect removal of any or all directors only for cause. |

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| | | | | |
|:---|:---|:---|:---|:---|
| **Bermuda** | **Bermuda** | **Bermuda** | **Delaware** | **Delaware** |
| ***Duties of directors*** | ***Duties of directors*** | ***Duties of directors*** | ***Duties of directors*** | ***Duties of directors*** |
| - | The Companies Act authorizes the directors of a company, subject to its bye-laws, to exercise all powers of the company except those that are required by the Companies Act or the company's bye-laws to be exercised by the shareholders of the company. Our bye-laws provide that our business is to be managed by our Board of Directors. At common law, members of a Board of Directors owe a fiduciary duty to the company to act in good faith in their dealings with or on behalf of the company and exercise their powers and fulfill the duties of their office honestly. This duty includes the following essential elements: | The Companies Act authorizes the directors of a company, subject to its bye-laws, to exercise all powers of the company except those that are required by the Companies Act or the company's bye-laws to be exercised by the shareholders of the company. Our bye-laws provide that our business is to be managed by our Board of Directors. At common law, members of a Board of Directors owe a fiduciary duty to the company to act in good faith in their dealings with or on behalf of the company and exercise their powers and fulfill the duties of their office honestly. This duty includes the following essential elements: | - | Under Delaware law, the business and affairs of a corporation are managed by or under the direction of its board of directors. In exercising their powers, directors are charged with a fiduciary duty of care to protect the interests of the corporation and a fiduciary duty of loyalty to act in the best interests of its stockholders. The duty of care requires that a director act in good faith, with the care that an ordinarily prudent person would exercise under similar circumstances. Under this duty, a director must inform himself of, and disclose to stockholders, all material information reasonably available regarding a significant transaction. The duty of loyalty requires that a director act in a manner he reasonably believes to be in the best interests of the corporation. He must not use his corporate position for personal gain or advantage. This duty prohibits self-dealing by a director and mandates that the best interest of the corporation and its stockholders take precedence over any interest possessed by a director, officer or controlling shareholder and not shared by the stockholders generally. |
|  | - | a duty to act in good faith in the best interests of the company; | - | Under Delaware law, the business and affairs of a corporation are managed by or under the direction of its board of directors. In exercising their powers, directors are charged with a fiduciary duty of care to protect the interests of the corporation and a fiduciary duty of loyalty to act in the best interests of its stockholders. The duty of care requires that a director act in good faith, with the care that an ordinarily prudent person would exercise under similar circumstances. Under this duty, a director must inform himself of, and disclose to stockholders, all material information reasonably available regarding a significant transaction. The duty of loyalty requires that a director act in a manner he reasonably believes to be in the best interests of the corporation. He must not use his corporate position for personal gain or advantage. This duty prohibits self-dealing by a director and mandates that the best interest of the corporation and its stockholders take precedence over any interest possessed by a director, officer or controlling shareholder and not shared by the stockholders generally. |
|  | - | a duty not to make a personal profit from opportunities that arise from the office of director; | - | Under Delaware law, the business and affairs of a corporation are managed by or under the direction of its board of directors. In exercising their powers, directors are charged with a fiduciary duty of care to protect the interests of the corporation and a fiduciary duty of loyalty to act in the best interests of its stockholders. The duty of care requires that a director act in good faith, with the care that an ordinarily prudent person would exercise under similar circumstances. Under this duty, a director must inform himself of, and disclose to stockholders, all material information reasonably available regarding a significant transaction. The duty of loyalty requires that a director act in a manner he reasonably believes to be in the best interests of the corporation. He must not use his corporate position for personal gain or advantage. This duty prohibits self-dealing by a director and mandates that the best interest of the corporation and its stockholders take precedence over any interest possessed by a director, officer or controlling shareholder and not shared by the stockholders generally. |
|  | - | a duty to avoid conflicts of interest; and | - | Under Delaware law, the business and affairs of a corporation are managed by or under the direction of its board of directors. In exercising their powers, directors are charged with a fiduciary duty of care to protect the interests of the corporation and a fiduciary duty of loyalty to act in the best interests of its stockholders. The duty of care requires that a director act in good faith, with the care that an ordinarily prudent person would exercise under similar circumstances. Under this duty, a director must inform himself of, and disclose to stockholders, all material information reasonably available regarding a significant transaction. The duty of loyalty requires that a director act in a manner he reasonably believes to be in the best interests of the corporation. He must not use his corporate position for personal gain or advantage. This duty prohibits self-dealing by a director and mandates that the best interest of the corporation and its stockholders take precedence over any interest possessed by a director, officer or controlling shareholder and not shared by the stockholders generally. |
|  | - | a duty to exercise powers for the purpose for which such powers were intended.<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | Under Delaware law, the business and affairs of a corporation are managed by or under the direction of its board of directors. In exercising their powers, directors are charged with a fiduciary duty of care to protect the interests of the corporation and a fiduciary duty of loyalty to act in the best interests of its stockholders. The duty of care requires that a director act in good faith, with the care that an ordinarily prudent person would exercise under similar circumstances. Under this duty, a director must inform himself of, and disclose to stockholders, all material information reasonably available regarding a significant transaction. The duty of loyalty requires that a director act in a manner he reasonably believes to be in the best interests of the corporation. He must not use his corporate position for personal gain or advantage. This duty prohibits self-dealing by a director and mandates that the best interest of the corporation and its stockholders take precedence over any interest possessed by a director, officer or controlling shareholder and not shared by the stockholders generally. | Under Delaware law, the business and affairs of a corporation are managed by or under the direction of its board of directors. In exercising their powers, directors are charged with a fiduciary duty of care to protect the interests of the corporation and a fiduciary duty of loyalty to act in the best interests of its stockholders. The duty of care requires that a director act in good faith, with the care that an ordinarily prudent person would exercise under similar circumstances. Under this duty, a director must inform himself of, and disclose to stockholders, all material information reasonably available regarding a significant transaction. The duty of loyalty requires that a director act in a manner he reasonably believes to be in the best interests of the corporation. He must not use his corporate position for personal gain or advantage. This duty prohibits self-dealing by a director and mandates that the best interest of the corporation and its stockholders take precedence over any interest possessed by a director, officer or controlling shareholder and not shared by the stockholders generally. |
| - | The Companies Act imposes a duty on directors and officers of a Bermuda company: | The Companies Act imposes a duty on directors and officers of a Bermuda company: | - | In general, actions of a director are presumed to have been made on an informed basis, in good faith and in the honest belief that the action taken was in the best interests of the corporation. However, this presumption may be rebutted by evidence of a breach of one of the fiduciary duties. Should such evidence be presented concerning a transaction by a director, a director must prove the procedural fairness of the transaction, and that the transaction was of fair value to the corporation. |
|  | - | to act honestly and in good faith with a view to the best interests of the company; and | - | In general, actions of a director are presumed to have been made on an informed basis, in good faith and in the honest belief that the action taken was in the best interests of the corporation. However, this presumption may be rebutted by evidence of a breach of one of the fiduciary duties. Should such evidence be presented concerning a transaction by a director, a director must prove the procedural fairness of the transaction, and that the transaction was of fair value to the corporation. |
|  | - | to exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances. | - | In general, actions of a director are presumed to have been made on an informed basis, in good faith and in the honest belief that the action taken was in the best interests of the corporation. However, this presumption may be rebutted by evidence of a breach of one of the fiduciary duties. Should such evidence be presented concerning a transaction by a director, a director must prove the procedural fairness of the transaction, and that the transaction was of fair value to the corporation. |
| - | The Companies Act also imposes various duties on directors and officers of a company with respect to certain matters of management and administration of the company. Under Bermuda law, directors and officers generally owe fiduciary duties to the company itself, not to the company's individual shareholders, creditors or any class thereof. Our shareholders may not have a direct cause of action against our directors. | The Companies Act also imposes various duties on directors and officers of a company with respect to certain matters of management and administration of the company. Under Bermuda law, directors and officers generally owe fiduciary duties to the company itself, not to the company's individual shareholders, creditors or any class thereof. Our shareholders may not have a direct cause of action against our directors. | In general, actions of a director are presumed to have been made on an informed basis, in good faith and in the honest belief that the action taken was in the best interests of the corporation. However, this presumption may be rebutted by evidence of a breach of one of the fiduciary duties. Should such evidence be presented concerning a transaction by a director, a director must prove the procedural fairness of the transaction, and that the transaction was of fair value to the corporation. | In general, actions of a director are presumed to have been made on an informed basis, in good faith and in the honest belief that the action taken was in the best interests of the corporation. However, this presumption may be rebutted by evidence of a breach of one of the fiduciary duties. Should such evidence be presented concerning a transaction by a director, a director must prove the procedural fairness of the transaction, and that the transaction was of fair value to the corporation. |

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| | |
|:---|:---|
| **Bermuda** | **Delaware** |
| ***Takeovers*** | ***Takeovers*** |
| An acquiring party is generally able to acquire compulsorily the common shares of minority holders of a company in the following ways: | Delaware law provides that a parent corporation, by resolution of its board of directors and without any stockholder vote, may merge with any subsidiary of which it owns at least 90% of each class of its capital stock. Upon any such merger, and in the event the parent corporate does not own all of the stock of the subsidiary, dissenting stockholders of the subsidiary are entitled to certain appraisal rights.  |
| by a procedure under the Companies Act known as a "scheme of arrangement." A scheme of arrangement could be effected by obtaining the agreement of the company and of holders of common shares, representing in the aggregate a majority in number and at least 75% in value of the common shareholders present and voting at a court ordered meeting held to consider the scheme of arrangement. The scheme of arrangement must then be sanctioned by the Bermuda Supreme Court. If a scheme of arrangement receives all necessary agreements and sanctions, upon the filing of the court order with the Registrar, all holders of common shares could be compelled to sell their shares under the terms of the scheme of arrangement; | Delaware law provides that a parent corporation, by resolution of its board of directors and without any stockholder vote, may merge with any subsidiary of which it owns at least 90% of each class of its capital stock. Upon any such merger, and in the event the parent corporate does not own all of the stock of the subsidiary, dissenting stockholders of the subsidiary are entitled to certain appraisal rights.  |
| if the acquiring party is a company, it may compulsorily acquire all the shares of the target company by acquiring pursuant to a tender offer 90% of the shares or class of shares not already owned by, or by a nominee for, the acquiring party (the offeror), or any of its subsidiaries. If an offeror has, within four months after the making of an offer for all the shares or class of shares not owned by, or by a nominee for, the offeror, or any of its subsidiaries, obtained the approval of the holders of 90% or more of all the shares to which the offer relates, the offeror may, at any time within two months beginning with the date on which the approval was obtained, by notice compulsorily acquire the shares of any nontendering shareholder on the same terms as the original offer unless the Supreme Court of Bermuda (on application made within a one-month period from the date of the offeror's notice of its intention to acquire such shares) orders otherwise. | Delaware law also provides, subject to certain exceptions, that if a person acquires 15% of voting stock of a company, the person is an "interested stockholder" and may not engage in "business combinations" with the company for a period of three years from the time the person acquired 15% or more of voting stock. |
| ***Dissenter's rights of appraisal*** | ***Dissenter's rights of appraisal*** |
| A dissenting shareholder (that did not vote in favor of the amalgamation or merger and who is not satisfied that the fair value has been offered for his shares) of a Bermuda exempted company may, within one month of notice of the shareholders' meeting, apply to the Bermuda Supreme Court to appraise the fair value of those shares. Note that each share of an amalgamating or merging company carries this right to vote in respect of the amalgamation or merger whether or not it otherwise carries the right to vote. | With limited exceptions, appraisal rights shall be available for the shares of any class or series of stock of a corporation in a merger or consolidation. |

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| | |
|:---|:---|
| **Bermuda** | **Delaware** |
|  | The certificate of incorporation may provide that appraisal rights are available for shares as a result of an amendment to the certificate of incorporation, any merger or consolidation or the sale of all or substantially all of the assets. |
|  | The certificate of incorporation may provide that appraisal rights are available for shares as a result of an amendment to the certificate of incorporation, any merger or consolidation or the sale of all or substantially all of the assets. |
| ***Dissolution*** | ***Dissolution*** |
| Under Bermuda law, a solvent company may be wound up by way of a shareholders' voluntary liquidation. Prior to the company entering liquidation, a majority of the directors shall each make a statutory declaration, which states that the directors have made a full enquiry into the affairs of the company and have formed the opinion that the company will be able to pay its debts within a period of 12 months of the commencement of the winding up and must file the statutory declaration with the Registrar. The general meeting must be held within five weeks of the making of the declaration and will be convened primarily for the purposes of passing a resolution that the company be wound up voluntarily and appointing a liquidator. The winding up of the company is deemed to commence at the time of the passing of the resolution. | Under Delaware law, a corporation may voluntarily dissolve (i) if a majority of the board of directors adopts a resolution to that effect and the holders of a majority of the issued and outstanding shares entitled to vote thereon vote for such dissolution; or (ii) if all stockholders entitled to vote thereon consent in writing to such dissolution. |
|  | Under Delaware law, a corporation may voluntarily dissolve (i) if a majority of the board of directors adopts a resolution to that effect and the holders of a majority of the issued and outstanding shares entitled to vote thereon vote for such dissolution; or (ii) if all stockholders entitled to vote thereon consent in writing to such dissolution. |

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|:---|:---|:---|:---|
| **Bermuda** | **Bermuda** | **Delaware** | **Delaware** |
| ***Shareholder's derivative actions*** | ***Shareholder's derivative actions*** | ***Shareholder's derivative actions*** | ***Shareholder's derivative actions*** |
| - | Class actions and derivative actions are generally not available to shareholders under Bermuda law. 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 the 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. | - | In any derivative suit instituted by a stockholder of a corporation, it shall be averred in the complaint that the plaintiff was a stockholder of the corporation at the time of the transaction of which he complains or that such stockholder's stock thereafter devolved upon such stockholder by operation of law. |
| - | Class actions and derivative actions are generally not available to shareholders under Bermuda law. 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 the 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. | - | In any derivative suit instituted by a stockholder of a corporation, it shall be averred in the complaint that the plaintiff was a stockholder of the corporation at the time of the transaction of which he complains or that such stockholder's stock thereafter devolved upon such stockholder by operation of law.  |
| ***Indemnification of Directors and Officers*** | ***Indemnification of Directors and Officers*** | ***Indemnification of Directors and Officers*** | ***Indemnification of Directors and Officers*** |
| - | A company's bye-laws may contain provisions excluding personal liability of a director, alternate director, officer, member of a committee authorized under the company's bye-laws, resident representative or their respective heirs, executors or administrators to the company for any loss arising or liability attaching to him by virtue of any rule of law in respect of any negligence, default, breach of duty or breach of trust of which the officer or person may be guilty. Companies also have the power, generally, to indemnify directors, alternate directors and officers of a company and any member of a committee authorized under the company's bye-laws, resident representatives or their respective heirs, executors or administrators if any such person was or is a party or threatened to be made a party to a threatened, pending or completed action, suit or proceeding by reason of the fact that he or she is or was a director, alternate director or officer of the company or member of a committee authorized under the company's bye-laws, resident representative or their respective heirs, executors or administrators or was serving in a similar capacity for another entity at the company's request. | - | A corporation may indemnify a director or officer of the corporation against expenses (including attorneys' fees), judgments, fines and amounts paid in settlement actually and reasonably incurred in defense of an action, suit or proceeding by reason of such position if (i) such director or officer acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the corporation and (ii) with respect to any criminal action or proceeding, such director or officer had no reasonable cause to believe his conduct was unlawful. |

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#### COMMON SHARES ELIGIBLE FOR FUTURE SALE
Future sales of substantial amounts of our common shares in the public market could adversely affect market prices prevailing from time to time. Furthermore, because only a limited number of shares will be available for sale shortly after this offering due to existing contractual and legal restrictions on resale as described below, there may be sales of substantial amounts of our common shares in the public market after the restrictions lapse. This may adversely affect the prevailing market price and our ability to raise equity capital in the future.

Upon completion of this offering, we will have common shares outstanding, or common shares outstanding assuming the exercise of the underwriters' over-allotment option. Of these shares, the shares, or shares if the underwriters exercise their over-allotment option in full, sold in this offering will be freely transferable without restriction or registration under the Securities Act, except for any shares purchased by one of our existing "affiliates," as that term is defined in Rule 144 under the Securities Act, which may be resold under Rule 144 or Regulation S under the Securities Act. Moreover, other common shares that have been acquired by a person who is not an affiliate of ours on the Euronext Expand or otherwise in the public market prior to this offering and that will be outstanding upon completion of this offering are not "restricted securities" as that term is defined in Rule 144 under the Securities Act and will be eligible for resale immediately upon consummation of this offering without restriction. As a result of the contractual -day lock-up period described below and the provisions of Rule 144, these shares will be available for sale in the public market as follows:

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| | |
|:---|:---|
| **Number of Shares** | **Date** |
| 32,152,857 | On the date of this prospectus. |
|  | After days from the date of this prospectus. |

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#### Lock-up Agreements
We and our executive officers and directors comprising an aggregate of 1.2% of our outstanding share capital as of the date of this prospectus have agreed not to sell or transfer any common shares or securities convertible into, exchangeable for, exercisable for, or repayable with common shares, for 180 days after the date of this prospectus without first obtaining the written consent of DNB Markets, Inc. Specifically, we and these other persons have agreed, with certain limited exceptions, not to directly or indirectly:

&nbsp;&nbsp;&nbsp;&nbsp;• offer, sell, contract to sell, pledge, grant any option to purchase, lend or otherwise dispose of any common shares, or any options or warrants to purchase any common shares, or any securities convertible into, exchangeable for or that represent the right to receive common shares;

&nbsp;&nbsp;&nbsp;&nbsp;• enter into any swap or other agreement that transfers, in whole or in part, the economic consequence of ownership of any common shares whether any such swap or transaction is to be settled by delivery of shares or other securities, in cash or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;• otherwise publicly announce any intention to engage in or cause any action or activity described in the foregoing.

This lock-up provision applies to common shares and to securities convertible into or exchangeable or exercisable for or that represent the right to receive common shares. It also applies to common shares owned now or acquired later by the person executing the agreement or for which the person executing the agreement later acquires the power of disposition. See "*Underwriting (Conflicts of Interest)*."

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#### Rule 144
In general, a person who has beneficially owned restricted shares of our common shares for at least six months would be entitled to sell such securities, provided that (i) such person is not deemed to have been one of our affiliates at the time of, or at any time during the 90 days preceding, a sale and (ii) we are subject to the Exchange Act periodic reporting requirements for at least 90 days before the sale. Persons who have beneficially owned restricted shares of our common shares for at least six months but who are our affiliates at the time of, or any time during the 90 days preceding, a sale, would be subject to additional restrictions, by which such person would be entitled to sell within any three-month period only a number of securities that does not exceed the greater of either of the following:

&nbsp;&nbsp;&nbsp;&nbsp;• 1% of the number of shares of our common shares then outstanding, which will equal approximately   shares immediately after this offering, assuming no exercise of the underwriters' option to purchase additional shares; or

&nbsp;&nbsp;&nbsp;&nbsp;• the average weekly trading volume of our common shares on the Stock Exchange during the four calendar weeks preceding the filing of a notice on Form 144 with respect to the sale;

provided, in each case, that we are subject to the Exchange Act periodic reporting requirements for at least 90 days before the sale. Such sales both by affiliates and by non-affiliates must also comply with the manner of sale, current public information and notice provisions of Rule 144 to the extent applicable.

#### Regulation S
Regulation S under the Securities Act ("Regulation S") provides from registration requirements in the United States for offers and sales of securities that occur outside the United States. Rule 903 of Regulation S provides the conditions to the exemption for a sale by an issuer, a distributor, their respective affiliates or anyone acting on their behalf, while Rule 904 of Regulation S provides the conditions to the exemption for a resale by persons other than those covered by Rule 903. In each case, any sale must be completed in an offshore transaction, as that term is defined in Regulation S, and no directed selling efforts, as that term is defined in Regulation S, may be made in the United States.

We are a foreign issuer as defined in Regulation S. As a foreign issuer, securities that we sell outside the United States pursuant to Regulation S are not considered to be restricted securities under the Securities Act, and, subject to any applicable distribution compliance period under Regulation S, are freely tradable without registration or restrictions under the Securities Act, unless the securities are held by our affiliates.

Subject to certain limitations, holders of our securities who are our affiliates solely by virtue of their status as an officer or director of Himalaya, may, under Regulation S, resell their restricted shares in an "offshore transaction" if none of the seller, its affiliate or any person acting on their behalf engages in directed selling efforts in the United States and, in the case of a sale of our restricted securities by an officer or director who is our affiliate solely by virtue of holding such position, no selling concession, fee or other remuneration is paid in connection with the offer or sale other than the usual and customary broker's commission that would be received by a person executing such transaction as agent. Additional restrictions are applicable to a holder of our restricted securities who is our affiliate other than by virtue of his or her status as an officer or director of Himalaya Shipping.

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#### TAX CONSIDERATIONS
*The following is a description of the material Bermuda, Liberian and U.S. federal income tax considerations relevant to an investment decision by a potential investor with respect to our common shares. This discussion does not address all of the tax consequences that may be relevant in light of the investor's particular circumstances. Potential investors should consult their tax advisers regarding the U.S. federal, state, local and non-U.S. tax consequences of owning and disposing of our common shares in their particular circumstances.*

#### Bermuda Tax Considerations
At the present time, there is no Bermuda income or profits tax, withholding tax, capital gains tax, capital transfer tax, estate duty or inheritance tax payable by us or by our shareholders in respect of our common shares. We have obtained an assurance from the Minister of Finance of Bermuda under the Exempted Undertakings Tax Protection Act 1966 that, in the event that any legislation is enacted in Bermuda imposing any tax computed on profits or income, or computed on any capital asset, gain or appreciation or any tax in the nature of estate duty or inheritance tax, such tax shall not, until March 31, 2035, be applicable to us or to any of our operations or to our common shares, debentures or other obligations except insofar as such tax applies to persons ordinarily resident in Bermuda or is payable by us in respect of real property owned or leased by us in Bermuda.

#### Liberian Tax Considerations
Our Liberian subsidiaries are non-resident Liberian corporations which, under the Liberia Revenue Code of 2000, as amended (including by the Consolidated Tax Amendments Act of 2011), are exempt from Liberian taxation.

#### U.S. Federal Income Tax Considerations

#### General
The following is a summary of U.S. federal income tax considerations generally applicable to the ownership and disposition of our common shares. This discussion addresses only U.S. Holders (as defined below) who acquire our common shares in this offering and hold our common shares as "capital assets" (generally, property held for investment) for U.S. federal income tax purposes. This summary is based on the U.S. Internal Revenue Code of 1986, as amended (the "Code"), U.S. Treasury Regulations promulgated thereunder ("Regulations"), administrative pronouncements, judicial decisions and other relevant authorities, all as in effect as of the date hereof and all of which are subject to change, possibly with retroactive effect.

This summary does not address U.S. federal estate, gift or other non-income tax considerations, the alternative minimum tax, the Medicare tax on certain net investment income, or any state, local or non-U.S. tax considerations, relating to the ownership or disposition of our common shares, nor does it address all aspects of U.S. federal income taxation that may be relevant to a particular U.S. Holder in light of its particular circumstances or that may be relevant to U.S. Holders subject to special rules under U.S. federal income tax law, such as

&nbsp;&nbsp;&nbsp;&nbsp;• banks and other financial institutions;

&nbsp;&nbsp;&nbsp;&nbsp;• real estate investment trusts;

&nbsp;&nbsp;&nbsp;&nbsp;• regulated investment companies;

&nbsp;&nbsp;&nbsp;&nbsp;• insurance companies;

&nbsp;&nbsp;&nbsp;&nbsp;• dealers in securities;

&nbsp;&nbsp;&nbsp;&nbsp;• traders in securities that elect to use a mark-to-market method of accounting;

&nbsp;&nbsp;&nbsp;&nbsp;• persons holding our common shares as part of a hedge, straddle, conversion, constructive sale or other integrated transaction;

&nbsp;&nbsp;&nbsp;&nbsp;• persons whose functional currency is not the U.S. dollar;

&nbsp;&nbsp;&nbsp;&nbsp;• tax-exempt entities;

&nbsp;&nbsp;&nbsp;&nbsp;• persons who acquire our common shares pursuant to any employee share option or otherwise as compensation; or

&nbsp;&nbsp;&nbsp;&nbsp;• persons who actually or constructively own ten percent or more of our common shares by vote or value.

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For purposes of this summary, a "U.S. Holder" means a beneficial owner of our common shares, that is, for U.S. federal income tax purposes:

&nbsp;&nbsp;&nbsp;&nbsp;• a citizen or individual resident of the United States.;

&nbsp;&nbsp;&nbsp;&nbsp;• a corporation (or other entity treated as a corporation for U.S. federal income tax purposes) that is created or organized in or under the laws of United States, any state thereof of the District of Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;• an estate the income of which is subject to U.S. federal income tax regardless of its source; or

&nbsp;&nbsp;&nbsp;&nbsp;• a trust if (i) a U.S. court is able to exercise primary supervision over its administration and one or more U.S. Persons have the authority to control all of its substantial decisions or (ii) it has a valid election in effect under applicable Regulations to be treated as a U.S. person.

If a partnership (including any entity or arrangement treated as a partnership for U.S. federal income tax purposes) is the beneficial owner of our common shares, the U.S. federal income tax treatment of a partner in such partnership will generally depend upon the status of the partner and the activities of the partnership. Partnerships that hold our common shares and partners in such partnerships should consult their tax advisors regarding an investment in our common shares.

Prospective investors should consult their tax advisors with respect to the U.S. federal, state, local and non-U.S. income and other tax considerations relevant to the ownership and disposition of our common shares in light of their particular circumstances.

*Distributions*

Subject to the discussion below under the heading "*—Passive Foreign Investment Company Considerations*," the gross amount of any distributions with respect to our common shares will generally be subject to tax 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, and will be includible in the gross income of a U.S. Holder on the day actually or constructively received. Distributions in excess of our current or accumulated earnings and profits will first be treated as a tax-free return of capital to the extent of the U.S. Holder's adjusted tax basis in our common shares, and thereafter generally as capital gain. Any such dividend will not be eligible for the dividends-received deduction generally available to U.S. corporations. Because we do not intend to determine our earnings and profits on the basis of U.S. federal income tax principles, any distributions we pay will generally be treated as dividends for U.S. federal income tax purposes.

Individuals and other non-corporate U.S. Holders will generally be subject to tax on any such dividends at the lower capital gains rate applicable to "qualified dividend income," provided that (i) certain holding period requirements are met, (ii) shares of our common stock on which dividends are paid are readily traded on an established securities market in the United States, and (ii) we are neither a PFIC (defined below) nor treated as such with respect to the U.S. Holder (as discussed below) for the taxable year in which the dividend is paid. Our common shares have been approved for listing on the Stock Market, so we expect our common shares to be considered readily tradable on an established securities market in the United States, although there can be no assurance in this regard. U.S. Holders should consult their tax advisors regarding the availability of the preferential tax rates on dividends in their particular circumstances.

*Sale or Other Disposition of Our Common Shares*

Subject to the discussion below under the heading "*—Passive Foreign Investment Company Considerations*," a U.S. Holder will generally recognize gain or loss on the sale or other disposition of our common shares in an amount equal to the difference between (i) the amount of cash and the fair market value of any property received on the disposition and (ii) the U.S. Holder's adjusted tax basis in our common shares. Any such gain or loss will generally be long-term capital gain or loss if the U.S. Holder's holding period in our common shares exceeds one year at the time of the disposition. Long-term capital gains recognized by individuals and certain other non-corporate U.S. Holders are generally subject to a reduced rate of taxation. The deductibility of capital losses is subject to limitations.

In general, a non-U.S. corporation, such as us, will be classified as a passive foreign investment company ("PFIC") for U.S. federal income tax purposes for any taxable year if either (i) 75% or more of its gross income consists of passive income (the "income test") or (ii) 50% or more of its assets (determined on the basis of a quarterly

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average) is attributable to assets that produce or are held for the production of passive income (the "asset test"). Passive income generally includes dividends, interest, annuities, certain royalties and rents not derived in the active conduct of a business, and net gains from the sale or exchange of property that produces such income. Cash is generally treated as a passive asset for these purposes, and our goodwill and other unbooked intangibles are taken into account and may be classified as active or passive generally depending upon the relative amounts of our income in each category. We will be treated as owning a proportionate share of the assets and earning a proportionate share of the income of any other corporation in which we own, directly or indirectly, 25% or more (by value) of the stock.

Pursuant to a start-up exception, a non-U.S. corporation will not be treated as a PFIC for the first taxable year the corporation has gross income, if (1) no predecessor of such corporation was a PFIC, (2) the corporation satisfies the IRS that it will not be a PFIC for either of the first two taxable years following the start-up year, and (3) the corporation is not in fact a PFIC for either of those two years.

We believe that the income we will earn from our time charters and voyage charters should not be treated as passive income for purposes of the income test. Although not free from doubt, we intend to take the position that the contracts entered into to acquire dry bulk vessels that are currently under construction are "active" assets for purposes of the asset test. Accordingly, based on the current composition of our income and assets, our expected income and operations and the application of the start-up exception, we believe that we were not a PFIC for our most recent taxable year ending December 31, 2022 (the "Start-Up Year").

Although we likely met the income test for the Start-Up Year, the start-up exception only applies to prevent us from being treated as a PFIC for the Start-Up Year if we do not meet either of the income test or the asset test in the two taxable years subsequent to the Start-Up Year. Based on our expected income and operations, we do not expect to meet either of the income test or the asset test in the current taxable year or foreseeable future taxable years. PFIC status is a factual determination, however, and must be made annually after the close of each taxable year. The composition of our income and assets may change over the course of the year or from year to year, and the value of our unbooked intangibles will generally be determined by reference to the public price of our common shares. Therefore, there can be no assurance that we will not be classified as a PFIC for the current taxable year or for future taxable years.

Additionally, if we are a PFIC for any taxable year during which a U.S. Holder holds our common shares, we will generally continue to be treated as a PFIC with respect to such holder for subsequent taxable years during which such holder holds our common shares, whether or not we continue to be a PFIC.

If we are treated as a PFIC for any taxable year included in the holding period of a U.S. Holder, the U.S. Holder will generally be subject to special rules (the "Default PFIC Regime") with respect to (i) any gain realized by such U.S. Holder on the sale or other disposition, including an indirect distribution such as a pledge, of our common shares and (ii) any "excess distribution" made to the U.S. Holder (which generally means any distribution paid during a taxable year to such U.S. Holder that is greater than 125% of the average annual distributions paid to such U.S. Holder in respect of our common shares during the three preceding taxable years of such U.S. Holder, or, if shorter, such U.S. Holder's holding period for our common shares). Under the PFIC rules:

&nbsp;&nbsp;&nbsp;&nbsp;• the excess distribution or gain will be allocated ratably over the U.S. Holder's holding period for our common shares;

&nbsp;&nbsp;&nbsp;&nbsp;• amounts allocated to the current taxable year and any taxable years in the U.S. Holder's holding period prior to the first taxable year in which we are classified as a PFIC (each, a "pre-PFIC year"), will be taxable as ordinary income; and

&nbsp;&nbsp;&nbsp;&nbsp;• amounts allocated to each prior taxable year, other than a pre-PFIC year, will be subject to tax at the highest marginal tax rate in effect for individuals or corporations, as appropriate, for that year, and such amounts will be increased by an additional tax equal interest on the resulting tax deemed deferred with respect to such years.

A U.S. Holder owning shares in a PFIC that are treated as marketable securities may be able to avoid the Default PFIC Regime by making a "mark-to-market" election. If the U.S. Holder makes a valid mark-to-market election for the first year in its holding period in which we are treated as a PFIC (the "First PFIC Holding Year"), such holder will generally not be subject to the Default PFIC Regime in respect of its common shares as long as such shares continue to be treated as marketable shares. Instead, the U.S. Holder will generally include as ordinary income for each year in its holding period that we are treated as a PFIC the excess, if any, of the fair market value of its common

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shares at the end of its taxable year over the adjusted basis in its common shares. The U.S. Holder also will be allowed to take an ordinary loss in respect of the excess, if any, of the adjusted basis of its common shares over the fair market value of its common shares at the end of its taxable year (but only to the extent of the net amount of previously included income as a result of the mark-to-market election). The U.S. Holder's basis in its common shares will be adjusted to reflect any such income or loss amounts, and any further gain recognized on a sale or other taxable disposition of the common shares in a taxable year in which we are treated as a PFIC will be treated as ordinary income. Special tax rules may also apply if a U.S. Holder makes a mark-to-market election for a taxable year after such holder's First PFIC Holding Year.

The mark-to-market election is available only for stock that is regularly traded on a national securities exchange that is registered with the Securities and Exchange Commission, including the Stock Market. U.S. Holders should consult their tax advisors regarding the availability and tax consequences of a mark-to-market election in respect of our common shares under their particular circumstances.

If we are a PFIC and, at any time, have a foreign subsidiary that is classified as a PFIC, U.S. Holders would be deemed to own a portion of the shares of such lowertier PFIC, and could incur liability for the deferred tax and interest charge described above if we receive a distribution from, or dispose of all or part of our interest in, the lower-tier PFIC or the U.S. Holders otherwise were deemed to have disposed of an interest in the lower-tier PFIC. A mark-to-market election would not be available with respect to such lower-tier PFIC. U.S. Holders should consult their tax advisors regarding the tax issues raised by lower-tier PFICs. .

We do not intend to prepare or provide the information necessary for a U.S. Holder to make and maintain a qualified electing fund election. U.S. Holders should consult their tax advisors regarding the potential tax consequences to such holder if we are or become a PFIC and the possibility of making certain PFIC elections.

#### Information with Respect to Foreign Financial Assets
A U.S. Holder that holds certain foreign financial assets (which may include our common shares) other than in IRS. Failure to report such information, if required, may result in substantial penalties. U.S. Holders should consult their tax advisors regarding the application of these reporting requirements, and the penalties for non-compliance.

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#### UNDERWRITING (CONFLICTS OF INTEREST)
Under the terms and subject to the conditions in an underwriting agreement dated the date of this prospectus, the underwriters named below, for whom DNB Markets, Inc. is acting as representative, have severally and not jointly agreed to purchase, and we have agreed to sell to them, severally and not jointly, the number of common shares indicated below:

---

| | |
|:---|:---|
| **Name** | **Number of** <br>**Common Shares** |
| DNB Markets, Inc. |  |
| Clarksons Securities, Inc. |  |
| Total: |  |

---

Subject to the terms and conditions set forth in the underwriting agreement, the underwriters have agreed, severally and not jointly, to purchase all of the common shares sold under the underwriting agreement if any of these common shares are purchased. If an underwriter defaults, the underwriting agreement provides that the purchase commitments of the non defaulting underwriters may be increased or the underwriting agreement may be terminated.

We have agreed to indemnify the underwriters against certain liabilities, including liabilities under the Securities Act, or to contribute to payments the underwriters may be required to make in respect of those liabilities.

The underwriters are offering the common shares, subject to prior sale, when, as and if issued to and accepted by them, subject to approval of legal matters by their counsel, including the validity of the common shares, and other conditions contained in the underwriting agreement, such as the receipt by the underwriters of officer's certificates and legal opinions. The underwriters reserve the right to withdraw, cancel or modify offers to the public and to reject orders in whole or in part.

#### Commissions and Discounts
The underwriters initially propose to offer part of common shares directly to the public at the offering price listed on the cover page of this prospectus and part to certain dealers at a price that represents a concession not in excess of $ per common share under the public offering price. After the initial offering of the common shares, the offering price and other selling terms may from time to time be varied by the representatives. The offering of the common shares by the underwriters is subject to receipt and acceptance and subject to the underwriters' right to reject any order in whole or in part.

We have granted to the underwriters an option, exercisable for 30 days from the date of this prospectus, to purchase up to additional common shares at the public offering price listed on the cover page of this prospectus, less underwriting discounts and commissions. The underwriters may exercise this option solely for the purpose of covering over-allotments, if any, made in connection with the offering of the common shares offered by this prospectus. To the extent the option is exercised, each underwriter will become obligated, subject to certain conditions, to purchase about the same percentage of the additional common shares as the number listed next to the underwriter's name in the preceding table bears to the total number of common shares listed next to the names of all underwriters in the preceding table.

The following table shows the per common share and total public offering price, underwriting discounts and commissions, and proceeds before expenses payable to us in connection with this offering. These amounts are shown assuming both no exercise and full exercise of the underwriters' option to purchase up to an additional common shares.

---

| | | | |
|:---|:---|:---|:---|
|  | **Per Common**<br>**Share**  | **Total** | **Total** |
|  | **Per Common**<br>**Share**  | **No Exercise** | **Full Exercise** |
| Public offering price | &nbsp;&nbsp;$ | $| &nbsp;&nbsp;$ |
| Underwriting discounts and commissions to be paid by us: | &nbsp;&nbsp;$ | $| &nbsp;&nbsp;$ |
| Proceeds, before expenses, to us | &nbsp;&nbsp;$ | $| &nbsp;&nbsp;$ |

---

The estimated offering expenses payable by us, exclusive of the underwriting discounts and commissions, are approximately $. We have agreed to reimburse the underwriters for expenses relating to clearance of this offering with the Financial Industry Regulatory Authority up to $.

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#### No Sales of Similar Securities
We and our executive officers and directors comprising an aggregate of 1.2% of our outstanding share capital as of the date of this prospectus have agreed not to sell or transfer any common shares or securities convertible into, exchangeable for, exercisable for, or repayable with common shares, for 180 days after the date of this prospectus without first obtaining the written consent of DNB Markets, Inc. Specifically, we and these other persons have agreed, with certain limited exceptions, not to directly or indirectly

&nbsp;&nbsp;&nbsp;&nbsp;• offer, sell, contract to sell, pledge, grant any option to purchase, lend or otherwise dispose of any common shares, or any options or warrants to purchase any common shares, or any securities convertible into, exchangeable for or that represent the right to receive common shares;

&nbsp;&nbsp;&nbsp;&nbsp;• enter into any swap or other agreement that transfers, in whole or in part, the economic consequence of ownership of any common shares whether any such swap or transaction is to be settled by delivery of shares or other securities, in cash or otherwise; or

&nbsp;&nbsp;&nbsp;&nbsp;• otherwise publicly announce any intention to engage in or cause any action or activity described in the foregoing.

This lock-up provision applies to common shares and to securities convertible into or exchangeable or exercisable for or repayable with common shares. It also applies to common shares owned now or acquired later by the person executing the agreement or for which the person executing the agreement later acquires the power of disposition.

#### Stock Exchange Listing
We expect the common shares to be approved for listing on the Stock Exchange under the symbol "HSHP."

Prior to this offering, common shares have not been listed in a United States stock exchange and have traded only on the Euronext Expand, operated by the Oslo Stock Exchange, under the symbol "HSHIP." We expect the initial public offering price will be substantially similar to the trading price of our common shares on the Euronext Expand.

An active trading market for the common shares in the United States may not develop. It is also possible that after the offering the common shares will not trade in the public market in the United States at or above the initial public offering price.

The underwriters do not expect to sell more than 5% of the common shares in the aggregate to accounts over which they exercise discretionary authority.

#### Stabilization
Until the distribution of the common shares is completed, SEC rules may limit underwriters and selling group members from bidding for and purchasing our common shares. However, the representative may engage in transactions that stabilize the price of the common shares, such as bids or purchases to peg, fix or maintain that price.

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a portion of the underwriting discount received by it because the representative has repurchased common shares sold by or for the account of such underwriter in stabilizing or short covering transactions.

Similar to other purchase transactions, the underwriters' purchases to cover the syndicate short sales may have the effect of raising or maintaining the market price of our common shares or preventing or retarding a decline in the market price of our common shares. As a result, the price of our common shares may be higher than the price that might otherwise exist in the open market. The underwriters may conduct these transactions on the Stock Exchange, in the over-the-counter market or otherwise.

Neither we nor any of the underwriters make any representation or prediction as to the direction or magnitude of any effect that the transactions described above may have on the price of our common shares. In addition, neither we nor any of the underwriters make any representation that the representative will engage in these transactions or that these transactions, once commenced, will not be discontinued without notice.

#### Electronic Offer, Sale and Distribution of Common Shares
A prospectus in electronic format may be made available on websites maintained by one or more underwriters. The representative may agree to allocate a number of common shares to underwriters for sale to their online brokerage account holders. Internet distributions will be allocated by the representative to underwriters that may make Internet distributions on the same basis as other allocations.

#### Conflicts of Interest
As described in "*Use of Proceeds*," we intend to use the net proceeds from this offering to repay a portion of the Bridge Facility, for which DNB Markets is acting as arranger and DNB Bank ASA is acting as the lender and agent. Because DNB Markets, Inc. is expected to receive 5% or more of the net proceeds of this offering, not including underwriting compensation, DNB Markets, Inc., an underwriter participating in this offering, is deemed to have a "conflict of interest" within the meaning of Rule 5121. Accordingly, this offering will be made in compliance with the applicable provisions of Rule 5121, which requires that a QIU participate in the preparation of this prospectus and perform the usual standards of due diligence with respect thereto. Clarksons Securities, Inc. has agreed to act as the QIU for this offering and is undertaking the legal responsibilities and liabilities of an underwriter under the Securities Act, which specifically include those inherent in Section 11 thereunder. Clarksons Securities, Inc. will not receive any additional compensation for acting as the QIU. We have agreed to indemnify Clarksons Securities, Inc. against certain liabilities incurred in connection with acting as a QIU, including liabilities under the Securities Act. In accordance with Rule 5121, DNB Markets, Inc. will not confirm sales to discretionary accounts without the prior written approval of the customer.

#### Other Relationships
The underwriters and their respective affiliates are full service financial institutions engaged in various activities, which may include securities trading, commercial and investment banking, financial advisory, investment management, investment research, principal investment, hedging, financing and brokerage activities. Clarkson Research Services Limited, an affiliate of Clarksons Securities, Inc. has performed research and published industry publications relating to us and consented to the use and compilation of their database included under the "Industry Overview" section. Certain of the underwriters and their respective affiliates have, from time to time, performed, and may in the future perform, various financial advisory and investment banking services for us, for which they received or will receive customary fees and expenses.

In addition, in the ordinary course of their various business activities, the underwriters and their respective affiliates may make or hold a broad array of investments and actively trade debt and equity securities (or related derivative securities) and financial instruments (including bank loans) for their own account and for the accounts of their customers and may at any time hold long and short positions in such securities and instruments. Such investment and securities activities may involve our securities and instruments. The underwriters and their respective affiliates may also make investment recommendations and/or publish or express independent research views in respect of such securities or instruments and may at any time hold, or recommend to clients that they acquire, long or short positions in such securities and instruments.

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#### Selling Restrictions

#### European Economic Area
In relation to each Member State of the European Economic Area (each a "Relevant State"), no common shares have been offered or will be offered pursuant to this offering to the public in that Relevant State prior to the publication of a prospectus in relation to the common shares which has been approved by the competent authority in that Relevant State or, where appropriate, approved in another Relevant State and notified to the competent authority in that Relevant State, all in accordance with the Prospectus Regulation, except that offers of common shares may be made to the public in that Relevant State at any time under the following exemptions under the Prospectus Regulation:

a.<br> to any legal entity which is a qualified investor as defined under the Prospectus Regulation;

b.<br> to fewer than 150 natural or legal persons (other than qualified investors as defined under the Prospectus Regulation), subject to obtaining the prior consent of the representative for any such offer; or

c. in any other circumstances falling within Article 1(4) of the Prospectus Regulation, provided that no such offer of common shares shall require us or the representative to publish a prospectus pursuant to Article 3 of the Prospectus Regulation or supplement a prospectus pursuant to Article 23 of the Prospectus Regulation.

Each person in a Relevant State who initially acquires any common shares or to whom any offer is made will be deemed to have represented, acknowledged and agreed to and with us and the representative that it is a qualified investor within the meaning of the Prospectus Regulation.

In the case of any common shares being offered to a financial intermediary as that term is used in Article 5(1) of the Prospectus Regulation, each such financial intermediary will be deemed to have represented, acknowledged and agreed that the common shares acquired by it in the offer have not been acquired on a non-discretionary basis on behalf of, nor have they been acquired with a view to their offer or resale to, persons in circumstances which may give rise to an offer to the public other than their offer or resale in a Relevant State to qualified investors, in circumstances in which the prior consent of the representative has been obtained to each such proposed offer or resale.

We, the representative and its affiliates will rely upon the truth and accuracy of the foregoing representations, acknowledgements and agreements.

For the purposes of this provision, the expression an "offer to the public" in relation to any common shares in any Relevant State means the communication in any form and by any means of sufficient information on the terms of the offer and any common shares to be offered so as to enable an investor to decide to purchase or subscribe for any common shares, and the expression "Prospectus Regulation" means Regulation (EU) 2017/1129.

The above selling restriction is in addition to any other selling restrictions set out below.

In connection with the offering, the underwriters are not acting for anyone other than the issuer and will not be responsible to anyone other than the issuer for providing the protections afforded to their clients nor for providing advice in relation to the offering.

#### United Kingdom
In relation to the United Kingdom ("UK"), no common shares have been offered or will be offered pursuant to the offering to the public in the UK prior to the publication of a prospectus in relation to the common shares which has been approved by the Financial Conduct Authority in the UK in accordance with the UK Prospectus Regulation and the FSMA, except that offers of common shares may be made to the public in the UK at any time under the following exemptions under the UK Prospectus Regulation and the FSMA:

a.<br> to any legal entity which is a qualified investor as defined under the UK Prospectus Regulation;

b.<br> to fewer than 150 natural or legal persons (other than qualified investors as defined under the UK Prospectus Regulation), subject to obtaining the prior consent of the representative for any such offer; or

c.<br> at any time in other circumstances falling within section 86 of the FSMA,

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provided that no such offer of common shares shall require us or the representative to publish a prospectus pursuant to Section 85 of the FSMA or Article 3 of the UK Prospectus Regulation or supplement a prospectus pursuant to Article 23 of the UK Prospectus Regulation.

Each person in the UK who initially acquires any common shares or to whom any offer is made will be deemed to have represented, acknowledged and agreed to and with us and the representative that it is a qualified investor within the meaning of the UK Prospectus Regulation.

In the case of any common shares being offered to a financial intermediary as that term is used in Article 5(1) of the UK Prospectus Regulation, each such financial intermediary will be deemed to have represented, acknowledged and agreed that the common shares acquired by it in the offer have not been acquired on a non-discretionary basis on behalf of, nor have they been acquired with a view to their offer or resale to, persons in circumstances which may give rise to an offer to the public other than their offer or resale in the UK to qualified investors, in circumstances in which the prior consent of the representative has been obtained to each such proposed offer or resale.

We, the representative and its affiliates will rely upon the truth and accuracy of the foregoing representations, acknowledgements and agreements.

For the purposes of this provision, the expression an "offer to the public" in relation to any common shares in the UK means the communication in any form and by any means of sufficient information on the terms of the offer and any common shares to be offered so as to enable an investor to decide to purchase or subscribe for any common shares, the expression "UK Prospectus Regulation" means Regulation (EU) 2017/1129 as it forms part of domestic law by virtue of the European Union (Withdrawal) Act 2018, and the expression "FSMA" means the Financial Services and Markets Act 2000.

In connection with the offering, the underwriters are not acting for anyone other than the issuer and will not be responsible to anyone other than the issuer for providing the protections afforded to their clients nor for providing advice in relation to the offering.

This document is for distribution only to persons who (i) have professional experience in matters relating to investments and who qualify as investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended, the "Financial Promotion Order"), (ii) are persons falling within Article 49(2)(a) to (d) ("high net worth companies, unincorporated associations etc.") of the Financial Promotion Order, (iii) are outside the United Kingdom, or (iv) are persons to whom an invitation or inducement to engage in investment activity (within the meaning of Section 21 of the Financial Services and Markets Act 2000, as amended ("FSMA")) in connection with the issue or sale of any securities may otherwise lawfully be communicated or caused to be communicated (all such persons together being referred to as "relevant persons"). This document is directed only at relevant persons and must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this document relates is available only to relevant persons and will be engaged in only with relevant persons.

#### Canada
The common shares may be sold only to purchasers purchasing, or deemed to be purchasing, as principal that are accredited investors, as defined in National Instrument 45-106 *Prospectus Exemptions* or subsection 73.3(1) of the *Securities Act* (Ontario), and are permitted clients, as defined in National Instrument 31-103 *Registration Requirements, Exemptions and Ongoing Registrant Obligations*. Any resale of the common shares must be made in accordance with an exemption from, or in a transaction not subject to, the prospectus requirements of applicable securities laws.

Securities legislation in certain provinces or territories of Canada may provide a purchaser with remedies for rescission or damages if this prospectus (including any amendment thereto) contains a misrepresentation, provided that the remedies for rescission or damages are exercised by the purchaser within the time limit prescribed by the securities legislation of the purchaser's province or territory. The purchaser should refer to any applicable provisions of the securities legislation of the purchaser's province or territory for particulars of these rights or consult with a legal advisor.

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Pursuant to section 3A.3 (or, in the case of securities issued or guaranteed by the government of a non-Canadian jurisdiction, section 3A.4) of National Instrument 33-105 *Underwriting Conflicts* (**NI 33-105**), the underwriters are not required to comply with the disclosure requirements of NI 33-105 regarding underwriter conflicts of interest in connection with this offering.

#### Hong Kong
The common shares have not been offered or sold and will not be offered or sold in Hong Kong, by means of any document, other than (a) to "professional investors" as defined in the Securities and Futures Ordinance (Cap. 571) of Hong Kong and any rules made under that Ordinance; or (b) in other circumstances which do not result in the document being a "prospectus" as defined in the Companies Ordinance (Cap. 32) of Hong Kong or which do not constitute an offer to the public within the meaning of that Ordinance. No advertisement, invitation or document relating to the common shares has been or may be issued or has been or may be in the possession of any person for the purposes of issue, whether in Hong Kong or elsewhere, which is directed at, or the contents of which are likely to be accessed or read by, the public of Hong Kong (except if permitted to do so under the securities laws of Hong Kong) other than with respect to common shares which are or are intended to be disposed of only to persons outside Hong Kong or only to "professional investors" as defined in the Securities and Futures Ordinance and any rules made under that Ordinance.

#### Singapore
This prospectus has not been registered as a prospectus with the Monetary Authority of Singapore. Accordingly, the common shares were not offered or sold or caused to be made the subject of an invitation for subscription or purchase and will not be offered or sold or caused to be made the subject of an invitation for subscription or purchase, and this prospectus or any other document or material in connection with the offer or sale, or invitation for subscription or purchase, of the common shares, has not been circulated or distributed, nor will it be circulated or distributed, whether directly or indirectly, to any person in Singapore other than (i) to an institutional investor (as defined in Section 4A of the Securities and Futures Act (Chapter 289) of Singapore, as modified or amended from time to time (the "SFA")) pursuant to Section 274 of the SFA, (ii) to a relevant person (as defined in Section 275(2) of the SFA) pursuant to Section 275(1) of the SFA, or any person pursuant to Section 275(1A) of the SFA, and in accordance with the conditions specified in Section 275 of the SFA, or (iii) otherwise pursuant to, and in accordance with the conditions of, any other applicable provision of the SFA.

Where the common shares are subscribed or purchased under Section 275 of the SFA by a relevant person which is:

(a) a corporation (which is not an accredited investor (as defined in Section 4A of the SFA)) the sole business of which is to hold investments and the entire share capital of which is owned by one or more individuals, each of whom is an accredited investor; or

(b)<br> a trust (where the trustee is not an accredited investor) whose sole purpose is to hold investments and each beneficiary of the trust is an individual who is an accredited investor,

securities or securities-based derivatives contracts (each term as defined in Section 2(1) of the SFA) of that corporation or the beneficiaries' rights and interest (howsoever described) in that trust shall not be transferred within six months after that corporation or that trust has acquired the common shares pursuant to an offer made under Section 275 of the SFA except:

(c)<br> to an institutional investor or to a relevant person, or to any person arising from an offer referred to in Section 275(1A) or Section 276(4)(i)(B) of the SFA;

(d)<br> where no consideration is or will be given for the transfer;

(e)<br> where the transfer is by operation of law; or

(f)<br> as specified in Section 276(7) of the SFA.

#### Japan
The common shares have not been and will not be registered under the Financial Instruments and Exchange Law of Japan (Law No. 25 of 1948, as amended) and, accordingly, will not be offered or sold, directly or indirectly, in Japan, or for the benefit of any Japanese Person or to others for re-offering or resale, directly or indirectly, in Japan

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or to any Japanese Person, except in compliance with all applicable laws, regulations and ministerial guidelines promulgated by relevant Japanese governmental or regulatory authorities in effect at the relevant time. For the purposes of this paragraph, "Japanese Person" shall mean any person resident in Japan, including any corporation or other entity organized under the laws of Japan.

#### Australia
No placement document, prospectus, product disclosure statement or other disclosure document has been lodged with the Australian Securities and Investments Commission ("ASIC"), in relation to the offering. This prospectus does not constitute a prospectus, product disclosure statement or other disclosure document under the Corporations Act 2001 (the "Corporations Act"), and does not purport to include the information required for a prospectus, product disclosure statement or other disclosure document under the Corporations Act.

Any offer in Australia of the common shares may only be made to persons (the "Exempt Investors") who are "sophisticated investors" (within the meaning of section 708(8) of the Corporations Act), "professional investors" (within the meaning of section 708(11) of the Corporations Act) or otherwise pursuant to one or more exemptions contained in section 708 of the Corporations Act so that it is lawful to offer the common shares without disclosure to investors under Chapter 6D of the Corporations Act.

The common shares applied for by Exempt Investors in Australia must not be offered for sale in Australia in the period of 12 months after the date of allotment under the offering, except in circumstances where disclosure to investors under Chapter 6D of the Corporations Act would not be required pursuant to an exemption under section 708 of the Corporations Act or otherwise or where the offer is pursuant to a disclosure document which complies with Chapter 6D of the Corporations Act. Any person acquiring common shares must observe such Australian on-sale restrictions.

This prospectus contains general information only and does not take account of the investment objectives, financial situation or particular needs of any particular person. It does not contain any securities recommendations or financial product advice. Before making an investment decision, investors need to consider whether the information in this prospectus is appropriate to their needs, objectives and circumstances, and, if necessary, seek expert advice on those matters.

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#### **TABLE OF CONTENTS**

#### EXPENSES OF THE OFFERING
We estimate that our expenses in connection with this offering, other than underwriting discounts and commissions, will be as follows:

---

| | |
|:---|:---|
| **Expenses** | **Amount** |
| &nbsp;&nbsp;SEC registration fee | $|
| Stock Exchange listing fee | $|
| FINRA filing fee | $|
| &nbsp;&nbsp;Printing and engraving expenses | $95000 |
| Legal fees and expenses | $|
| Accounting fees and expenses | $|
| Transfer agent and registrar fees and expenses | &nbsp;&nbsp;$5000 |
| Miscellaneous costs | $|
| &nbsp;&nbsp;&nbsp;**Total** | $|

---

All amounts in the table are estimates except the U.S. Securities and Exchange Commission registration fee, the Stock Exchange listing fee and the FINRA filing fee. The Company will pay all of the expenses of this offering.

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#### **TABLE OF CONTENTS**

#### LEGAL MATTERS
The validity of the common shares and certain other matters of Bermuda law will be passed upon for us by MJM Limited, our special Bermuda counsel. Certain matters of U.S. federal and New York State law will be passed upon for us by Skadden, Arps, Slate, Meagher & Flom (UK) LLP, and for the underwriters by White & Case LLP, both of which may rely upon MJM Limited with respect to matters governed by Bermuda law.

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#### **TABLE OF CONTENTS**

#### EXPERTS
The Consolidated Financial Statements as of December 31, 2022 and 2021 and for the year ended December 31, 2022 and the period from March 17, 2021 to December 31, 2021 included in this prospectus have been so included in reliance on the report (which contains an explanatory paragraph relating to the Company's ability to continue as a going concern as described in Note 2 to the Consolidated Financial Statements) of PricewaterhouseCoopers AS, an independent registered public accounting firm, given on the authority of said firm as experts in auditing and accounting. PricewaterhouseCoopers AS is a member of Den norske Revisorforening.

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#### SERVICE OF PROCESS AND ENFORCEMENT OF CIVIL LIABILITIES
We are a Bermuda exempted company. As a result, the rights of holders of our common shares will be governed by Bermuda law and our memorandum of association and bye-laws. The rights of shareholders under Bermuda law may differ from the rights of shareholders of companies incorporated in other jurisdictions. A number of our directors and some of the named experts referred to in this prospectus are not residents of the United States, and a substantial portion of our assets are located outside the United States. As a result, it may be difficult for investors to effect service of process on those persons in the United States or to enforce in the United States judgments obtained in U.S. courts against us or those persons based on the civil liability provisions of the U.S. securities laws. It is doubtful whether courts in Bermuda will enforce judgments obtained in other jurisdictions, including the United States, against us or our directors or officers under the securities laws of those jurisdictions or entertain actions in Bermuda against us or our directors or officers under the securities laws of other jurisdictions.

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#### **TABLE OF CONTENTS**

#### WHERE YOU CAN FIND MORE INFORMATION
We have filed with the U.S. Securities and Exchange Commission a registration statement (including amendments and exhibits to the registration statement) on Form F-1 under the Securities Act. This prospectus, which is part of the registration statement, does not contain all of the information set forth in the registration statement and the exhibits and schedules to the registration statement. For further information, we refer you to the registration statement and the exhibits and schedules filed as part of the registration statement. If a document has been filed as an exhibit to the registration statement, we refer you to the copy of the document that has been filed. Each statement in this prospectus relating to a document filed as an exhibit is qualified in all respects by the filed exhibit.

Upon completion of this offering, we will become subject to the reporting requirements of the Exchange Act. Accordingly, we will be required to file and furnish reports and other information with the SEC, including annual reports on Form 20-F and reports on Form 6-K. The SEC maintains an Internet website that contains reports and other information about issuers, like us, that file electronically with the SEC. The address of that website is <u>www.sec.gov</u>.

As a foreign private issuer, we are exempt under the Exchange Act from, among other things, the rules prescribing the furnishing and content of proxy statements, and our executive officers, directors and principal shareholders are exempt from the reporting and short-swing profit recovery provisions contained in Section 16 of the Exchange Act. In addition, we will not be required under the Exchange Act to file periodic reports and financial statements with the SEC as frequently or as promptly as U.S. companies whose securities are registered under the Exchange Act.

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#### **TABLE OF CONTENTS**

#### GLOSSARY OF SHIPPING TERMS
The following are definitions of certain terms that are commonly used in the shipping industry.

*Annual survey. The inspection of a vessel pursuant to international conventions, by a classification society surveyor, on behalf of the flag state or the classification society, that takes place every year.*

*Ballast. Heavy weight, often sea water, necessary for the stability and safety of a ship at sea which is not carrying cargo. Such a ship is said to steaming in ballast. It is also a voyage that positions a vessel from the last discharging port to the next port of loading with no cargo on board.*

*Baltic Exchange, The. The shipping industry's widely acknowledged independent source of maritime market information for the trading and settlement of physical and derivative shipping contracts. Producer of the Baltic Indices.*

*Baltic Indices. Indices and assessments produced by The Baltic Exchange used as a settlement tool for freight derivative trades for benchmarking physical contracts and as a general indicator of the bulk market's performance.*

*Bunker. Fuel oil used to operate a vessel's engines, generators and boilers.*

*BWM Convention. The International Convention for the Control and Management of Ships' Ballast Water and Sediments, adopted by the IMO in February 2004. The BWM Convention entered into force on September 8, 2017.*

*Capesize vessel. Capesize vessels refer to dry bulk vessels larger than 100,000 deadweight tonnes.* 

*CERCLA. Comprehensive Environmental Response, Compensation and Liability Act.*

*Charter. The hiring of a vessel, or use of its carrying capacity, for either (1) a specified period of time or (2) to carry a cargo for a fixed fee from a loading port to a discharging port. The contract for a charter is called a charterparty.*

*Charterer. The party that hires a vessel pursuant to a charter.*

*Charter rate. The amount of money agreed between the charterer and the vessel-owner accrued on a daily or monthly basis.*

*Charter hire. Money paid to the vessel-owner by a charterer for the use of a vessel under a time charter or bareboat charter. Such payments are usually made during the course of the charter every 15 or 30 days in advance or in arrears by multiplying the daily charter rate times the number of days and, under a time charter only, subtracting any time the vessel was deemed to be off-hire. Under a bareboat charter, such payments are usually made monthly and are calculated on a 360- or 365-day calendar year basis.*

*Classification society. A non-governmental independent society that certifies that a vessel has been built and maintained according to the society's and Flag administration's rules for that type of vessel and complies with the applicable rules and regulations of the society as well as the country in which the vessel is registered, as well as the international conventions which that country has ratified. A vessel that receives its certification is referred to as being "in class" as of the date of issuance.*

*Deadweight ton or "dwt." A unit of a vessel's capacity for cargo, fuel oil, stores and crew, measured in metric tonnes of 1,000 kilograms. A vessel's dwt or total deadweight is the total weight necessary to submerge the vessel to its maximum permitted draft. We use this term in describing the size of our vessels.*

*Demolition. See the definition of "Scrapping."*

*Dry bulk vessel. Vessel designed for the carriage of free-flowing raw materials in bulk or unitized commodities and semi-finished goods. Dry bulk vessels carry a variety of products such as iron ore, coal, grains, fertilizers and steel products, among others.*

*Dry docking. The removal of a ship from the water for periodic inspection, maintenance and/or repair of submerged parts.*

*Flag administration. The Government of a State whose flag the ship is entitled to fly.*

*IMO. International Maritime Organization, a United Nations agency that issues international regulations and standards for seaborne transportation.*

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#### **TABLE OF CONTENTS**
*Intermediate survey. The inspection of a ship by a classification society surveyor that takes place between special surveys and is carried out concurrently with the second or the third annual survey after the last special survey.*

*ISM Code. International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention, which, among other things, requires vessel-owners to obtain a safety management certification for each vessel they manage.*

*ISPS Code. International Security Code for Ports and Ships, which enacts measures to detect and prevent security threats to vessels and ports.*

*Laden. Loaded.*

*MARPOL Convention. The International Convention for the Prevention of Pollution from Ships.*

*Metric ton or metric tonne. A unit of weight equal to 1,000 kilograms.*

*Newcastlemax vessel. Newcastlemax vessels are dry bulk vessels ranging in size between 200,000 and 220,000 deadweight tonnes and can be considered as a category within the Capesize segment. See the definition of "Capesize vessel."*

*Off-hire. The period a vessel is unable to perform the services for which it is required under a time charter. Off-hire periods typically include days spent undergoing repairs and dry docking, whether or not scheduled.*

*OPA. Oil Pollution Act of 1990 of the United States (as amended).*

*Pools. Revenue sharing arrangements, including RSAs.*

*Scrapping. The disposal of old or damaged vessel tonnage by way of sale as scrap metal.*

*Sister ship. Vessels constructed by the same shipyards with the same construction drawings and which have similar characteristics.*

*SOLAS Convention. The International Convention for the Safety of Life at Sea 1974, as amended, adopted under the auspices of the IMO.*

*Special survey. An extensive inspection of a vessel by classification society surveyors that must be carried out at intervals not exceeding five years. Special surveys require a vessel to be dry docked.*

*Spot charter. A spot charter is an industry term referring to both voyage and trip time charters. These charters are referred to as spot charters or spot market charters due to their short-term duration, consisting mostly of a single voyage between one load port and one discharge port.*

*Spot market. The market for the immediate chartering of a vessel, whether on a time charter or voyage charter.*

*Spot market-related time charters or index-linked charters. A time charter with a variable rate over the term of the time charter agreement typically based on published Baltic Indices.*

*Time charter. A time charter is a contract under which a charterer pays a fixed daily hire rate on a semi-monthly or monthly basis for a fixed period of time for use of the vessel. Subject to any restrictions in the charter, the charterer decides the type and quantity of cargo to be carried and the ports of loading and unloading. The charterer pays the voyage related expenses such as fuel, canal tolls, and port charges. The vessel-owner pays all vessel operating expenses such as the management expenses and crew costs as well as for the capital costs of the vessel. Any delays at port or during the voyages are the responsibility of the charterer, except for certain specific exceptions such as loss of time arising from vessel breakdown and routine maintenance.*

*Time Charter Equivalent (TCE). A measure of the average daily revenue performance of a vessel. TCE is calculated by dividing net allocated revenues by total available days for the fleet. Net allocated revenues are vessel revenues minus voyage expenses. In case the vessels are employed in RSAs, net allocated revenues also take into consideration any positive or negative RSA adjustment.*

*Ton or tonne. See the definition of "Metric ton or metric tonne."*

*Total available days. Ownership days less aggregate off-hire days associated with scheduled maintenance, which includes major repairs, dry dockings, vessel upgrades or special intermediate surveys.*

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*Very Large Ore Carriers or "VLOC." VLOCs are dry bulk vessels ranging in size between 220,000 and 400,000 deadweight and can be considered as a category within the Capesize segment. See the definition of "Capesize vessel."*

*Vessel operating expenses. The costs of operating a vessel, primarily consisting of crew wages and associated costs, technical management fees, insurance premiums, lubricants and spare parts, and repair and maintenance costs. Vessel operating expenses exclude fuel and port charges, which are known as "voyage expenses." For a time charter, the vessel-owner pays vessel operating expenses. For a bareboat charter, the charterer pays vessel operating expenses.*

*Voyage charter. A voyage charter involves the carriage of a specific amount and type of cargo from specific load port(s) to specific discharge port(s), subject to various cargo handling terms. Most of these charters are of a single voyage nature between two specific ports. The owner of the vessel receives one payment derived by multiplying the tonnes of cargo loaded on board by the cost per cargo ton, as agreed to transport that cargo between the specific ports. The owner is responsible for the payment of all expenses including voyage, operating and capital costs of the vessel. The charterer is typically responsible for any delay at the loading or discharging ports.*

*Voyage expenses. Expenses incurred due to a vessel's traveling from a loading port to a discharging port, such as fuel (bunker) cost, port expenses, agent's fees, canal dues and extra war risk insurance, as well as commissions.*

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#### INDEX TO CONSOLIDATED FINANCIAL STATEMENTS

#### Consolidated Financial Statements - Himalaya Shipping Ltd.

---

| | |
|:---|:---|
| [Report of Independent Registered Public Accounting Firm](#tRIR) | [F-2](#tRIR) |
| [Consolidated Statements of Operations for the year ended December 31, 2022 and for the period from March 17, 2021 (inception) to December 31, 2021](#tCSO) | [F-3](#tCSO) |
| [Consolidated Balance Sheets as of December 31, 2022 and 2021](#tCBS) | [F-4](#tCBS) |
| [Consolidated Statements of Cash Flows for the year ended December 31, 2022 and for the period from March 17, 2021 (inception) to December 31, 2021](#tCSC) | [F-5](#tCSC) |
| [Consolidated Statements of Changes in Shareholders' Equity for the year ended December 31, 2022 and for the period from March 17, 2021 (inception) to December 31, 2021](#tCSS) | [F-6](#tCSS) |
| [Notes to the Consolidated Financial Statements](#tNCF) | [F-7](#tNCF) |

---

F-1<br>

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#### **TABLE OF CONTENTS**

#### Report of Independent Registered Public Accounting Firm
To the Board of Directors and Shareholders of Himalaya Shipping Ltd.

#### Opinion on the Financial Statements
We have audited the accompanying consolidated balance sheets of Himalaya Shipping Ltd. and its subsidiaries (the "Company") as of December 31, 2022 and December 31, 2021, and the related consolidated statements of operations, of changes in shareholders' equity and of cash flows for the year ended December 31, 2022 and the period from March 17, 2021 to December 31, 2021, including 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 as of December 31, 2022 and December 31, 2021, and the results of its operations and its cash flows for the year ended December 31, 2022 and the period from March 17, 2021 to December 31, 2021 in conformity with accounting principles generally accepted in the United States of America.

*Substantial Doubt about the Company's Ability to Continue as a Going Concern*

The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 2 to the consolidated financial statements, the Company is dependent on debt financing and equity financing to finance the scrubber installation under the current newbuilding contracts for the vessels and working capital requirements that raise substantial doubt about its ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 2. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

#### Basis for Opinion
These consolidated financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's consolidated financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (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 of these consolidated financial statements 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 consolidated 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 consolidated 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 consolidated 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 consolidated financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ PricewaterhouseCoopers AS

Oslo, Norway<br>

January 27, 2023

We have served as the Company's auditor since 2021.

F-2<br>

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#### **TABLE OF CONTENTS**

#### Himalaya Shipping Ltd.

#### Consolidated Statements of Operations <br>

#### For the year ended December 31, 2022 and for the period from March 17, 2021 (inception) to December 31, 2021<br>

#### (In $ millions, except share and per share data)

---

| | | |
|:---|:---|:---|
|  | **Year ended** <br>**December 31,** <br>**2022** | **Period from** <br>**March 17 to** <br>**December 31,** <br>**2021** |
| **Operating expenses**<br>|  |  |
| General and administrative expenses | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Total operating expenses** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Operating loss** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(2.0)** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(1.0)** |
| Interest expense, net of capitalized interest | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| **Net loss attributable to shareholders' of Himalaya Shipping Ltd.** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(2.0)** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(1.0)** |
| **Loss per share:**<br>|  |  |
| Basic and diluted loss per share | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) |
| Weighted average shares outstanding | 32152857 | 18316970 |

---

The accompanying notes are an integral part of these Consolidated Financial Statements.<br>

F-3<br>

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#### **TABLE OF CONTENTS**

#### Himalaya Shipping Ltd.

#### Consolidated Balance Sheets <br>

#### As of December 31, 2022 and 2021 (In $ millions, except share data)

---

| | | |
|:---|:---|:---|
|  | **December 31,** <br>**2022** | **December 31,** <br>**2021** |
| **ASSETS**<br>|  |  |
| **Current assets**<br>|  |  |
| Cash and cash equivalents | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| Other current assets | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Total current assets** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| **Non-current assets**<br>|  |  |
| Newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;176.1 | &nbsp;&nbsp;&nbsp;&nbsp;83.5 |
| Other non-current assets | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 |
| **Total non-current assets** | &nbsp;&nbsp;&nbsp;&nbsp;176.1 | &nbsp;&nbsp;&nbsp;&nbsp;83.9 |
| **Total assets** | &nbsp;&nbsp;&nbsp;&nbsp;177.8 | &nbsp;&nbsp;&nbsp;&nbsp;95.2 |
| **LIABILITIES AND SHAREHOLDERS' EQUITY**<br>|  |  |
| **Current liabilities**<br>|  |  |
| Current portion of long-term debt | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.0 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Accounts payable | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.9 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.8 |
| Amounts due to related parties | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Accrued expenses | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Other current liabilities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Total current liabilities** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.8 |
| **Non-current liabilities**<br>|  |  |
| Long-term debt | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;60.5 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Amounts due to related parties | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 |
| **Total non-current liabilities** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 |
| **Total liabilities** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;87.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 |
| **Commitments and contingencies**<br>|  |  |
| **Shareholders' equity**<br>|  |  |
| Common shares of par value $1.0 per share: authorized at December 31, 2022 and 2021: 140,010,000 shares, issued and outstanding at December 31, 2022 and 2021: 32,152,857 shares | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;32.2 | &nbsp;&nbsp;&nbsp;&nbsp;32.2 |
| Additional paid-in capital | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61.1 | &nbsp;&nbsp;&nbsp;&nbsp;60.7 |
| Retained loss | &nbsp;&nbsp;&nbsp;&nbsp;(3.0) | &nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| **Total shareholders' equity** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;90.3 | &nbsp;&nbsp;&nbsp;&nbsp;91.9 |
| **Total liabilities and shareholders' equity** | &nbsp;&nbsp;&nbsp;&nbsp;177.8 | &nbsp;&nbsp;&nbsp;&nbsp;95.2 |

---

The accompanying notes are an integral part of these Consolidated Financial Statements.<br>

F-4<br>

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#### **TABLE OF CONTENTS**

#### Himalaya Shipping Ltd.

#### Consolidated Statements of Cash Flows <br>

#### For the year ended December 31, 2022 and for the period from March 17, 2021 (inception) to December 31, 2021 (In $ millions)

---

| | | |
|:---|:---|:---|
|  | **Year ended** <br>**December 31,** <br>**2022** | **Period from** <br>**March 17 to** <br>**December 31,** <br>**2021** |
| CASH FLOWS FROM OPERATING ACTIVITIES:<br>|  |  |
| &nbsp;&nbsp;Net loss for the period | &nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| Adjustments to reconcile net loss to net cash used in operating activities:<br>|  |  |
| &nbsp;&nbsp;Share based compensation | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Changes in assets and liabilities:<br>|  |  |
| Other current assets | &nbsp;&nbsp;&nbsp;&nbsp;(0.5) | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Accounts payable | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 |
| Other current liabilities | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.1 |
| **Net cash used in operating activities** | &nbsp;&nbsp;&nbsp;&nbsp;**(1.4)** | &nbsp;&nbsp;&nbsp;&nbsp;**(0.5)** |
| CASH FLOWS FROM INVESTING ACTIVITIES:<br>|  |  |
| &nbsp;&nbsp;Additions to newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;(78.3) | &nbsp;&nbsp;&nbsp;&nbsp;(68.8) |
| **Net cash used in investing activities** | &nbsp;&nbsp;&nbsp;&nbsp;**(78.3)** | &nbsp;&nbsp;&nbsp;&nbsp;**(68.8)** |
| CASH FLOWS FROM FINANCING ACTIVITIES:<br>|  |  |
| Proceeds, net of deferred loan costs paid to lender, from issuance of long-term debt | &nbsp;&nbsp;&nbsp;&nbsp;69.6 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Other deferred loan costs paid | &nbsp;&nbsp;&nbsp;&nbsp;(1.4) | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Proceeds from issuance of long-term debt from related parties | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Proceeds from the issuance of common shares, net of paid issuance costs | &nbsp;&nbsp;&nbsp;&nbsp;(0.5) | &nbsp;&nbsp;&nbsp;&nbsp;80.6 |
| **Net cash provided by financing activities** | &nbsp;&nbsp;&nbsp;&nbsp;68.7 | &nbsp;&nbsp;&nbsp;&nbsp;80.6 |
| **Net increase in cash and cash equivalents and restricted cash** | &nbsp;&nbsp;&nbsp;&nbsp;**(11.0)** | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| &nbsp;&nbsp;Cash and cash equivalents and restricted cash at the beginning of the period | &nbsp;&nbsp;&nbsp;&nbsp;11.3 | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Cash and cash equivalents and restricted cash at the end of the period** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| **Supplemental disclosure of cash flow information**<br>|  |  |
| Non-cash settlement of debt | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;(13.6) |
| Non-cash share issuance | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;13.6 |
| Non-cash additions in respect of newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;(13.7) | &nbsp;&nbsp;&nbsp;&nbsp;(13.6) |
| Issuance of liabilities for newbuilding instalments | &nbsp;&nbsp;&nbsp;&nbsp;13.7 | &nbsp;&nbsp;&nbsp;&nbsp;13.6 |
| Interest paid, net of capitalized interest | &nbsp;&nbsp;&nbsp;&nbsp;(0.4) | &nbsp;&nbsp;&nbsp;&nbsp;— |

---

The accompanying notes are an integral part of these Consolidated Financial Statements.<br>

F-5<br>

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#### **TABLE OF CONTENTS**

#### Himalaya Shipping Ltd.

#### Consolidated Statements of Changes in Shareholders' Equity <br>

#### For the year ended December 31, 2022 and for the period from March 17, 2021 (inception) to December 31, 2021<br>

#### (In $ millions, except share data)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Number of** <br>**shares** | **Share** <br>**capital** | **Additional** <br>**paid-in** <br>**capital** | **Retained** <br>**earnings** <br>(deficit) | **Total** |
| **Incorporation March 17, 2021** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10000** | &nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;**—** |  |  |
| Issue of common shares | 32142857 | 32.2 | &nbsp;&nbsp;&nbsp;&nbsp;62.8 | &nbsp;&nbsp;— | 95.0 |
| Equity issuance costs | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;(2.1) | &nbsp;&nbsp;— | (2.1) |
| Total loss for the period | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;(1.0) | (1.0) |
| **Balance as of December 31, 2021** | **32152857** | 32.2 | &nbsp;&nbsp;&nbsp;&nbsp;60.7 | &nbsp;&nbsp;**(1.0)** | 91.9 |
| Share based compensation | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.4 | &nbsp;&nbsp;— | &nbsp;&nbsp;0.4 |
| Total loss for the period | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;(2.0) | (2.0) |
| **Balance as of December 31, 2022** | **32152857** | 32.2 | &nbsp;&nbsp;&nbsp;&nbsp;61.1 | &nbsp;&nbsp;**(3.0)** | 90.3 |

---

The accompanying notes are an integral part of these Consolidated Financial Statements.<br>

F-6<br>

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#### **TABLE OF CONTENTS**

#### Himalaya Shipping Ltd.<br>

#### &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br>

#### Notes to Consolidated Financial Statements
1. General Information

Himalaya Shipping Ltd. was incorporated in Bermuda on March 17, 2021. The Company has been listed on the Euronext Expand since April 2022 under the ticker "HSHIP". The Company was founded for the purpose of owning high-quality dry bulk vessels in the range of 210,000 dead weight tonnes ("dwt") and has agreements to acquire twelve dual fueled Newcastlemax dry bulk vessels, which are currently under construction. The twelve vessels are expected to be delivered between March 2023 and August 2024. The Company has entered into sale leaseback financing arrangements for its newbuildings as described in Note 10.

As used herein, and unless otherwise required by the context, the term "Himalaya Shipping" refers to Himalaya Shipping Ltd. and the terms "Company", "we", "Group", "our" and words of similar import refer to Himalaya Shipping and its consolidated companies. The use herein of such terms as "group", "organization", "we", "us", "our" and "its" or references to specific entities, is not intended to be a precise description of corporate relationships.

2. Basis of Preparation and Significant Accounting Policies

*Basis of Preparation* 

The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Amounts are presented in United States Dollar ("US dollar or $") rounded to the nearest million, unless otherwise stated.

The accounting policies set out below have been applied consistently to all periods in these consolidated financial statements.

The principal accounting policies are set out below.

#### Principle of Consolidation
The consolidated financial statements include the assets and liabilities of us and our wholly owned subsidiaries. All intercompany balances and transactions 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 our financial statements and accompanying notes. Actual results could differ from those estimates.

#### Going concern
The financial statements have been prepared on a going concern basis. The Group is dependent on debt financing and equity financing to finance the scrubber installation under the current newbuilding contracts for the vessels and working capital requirements which raises substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2022, the Company has not commenced operations, has cash and cash equivalents of US$0.3 million and a working capital deficit of US$24.3 million. The Consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

The Company is planning to raise financing through a public offering of the Company's shares. Given management expects completion of the planned debt financing for scrubber installation and our track record in terms of raising equity, we believe we will be able to meet our anticipated liquidity requirements for our business for at least the next twelve months as of the date of these consolidated financial statements. There is no assurance that the Himalaya Shipping group will be able to execute this financing.

#### Fair value measurement
We have determined the estimated fair value amounts presented in these consolidated financial statements using available market information and appropriate methodologies. However, considerable judgment is required in interpreting market data to develop the estimates of fair value. The estimates presented in these consolidated financial statements are not necessarily indicative of the amounts that we could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

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#### **TABLE OF CONTENTS**
We account for fair value measurement in accordance with the accounting standards guidance using fair value to measure assets and liabilities. The guidance provides a single definition for fair value, together with a framework for measuring it, and requires additional disclosure about the use of fair value to measure assets and liabilities.

#### Reporting and functional currency
The Company and its subsidiaries use the U.S dollar as their functional currency as the majority of their expenses and financing are denominated in U.S. dollars. Accordingly, the Company's reporting currency is also U.S. dollars. Transactions in foreign currencies are translated into U.S dollars at the rates of exchange in effect at the date of transaction. Gains and losses on foreign currency transactions are included in "Other financial expenses" in the Consolidated Statements of Operations.

#### Revenue recognition
Our shipping revenues will primarily be generated from time charters. In a time charter voyage, the vessel is hired by the charterer for a specified period of time in exchange for consideration which is based on a daily hire rate. The charterer has the full discretion over the ports visited, shipping routes and vessel speed. In a time charter contract, we are responsible for all the costs incurred for running the vessel such as crew costs, vessel insurance, repairs and maintenance and lubes. Costs incurred by the Company in connection with time charters are recognized on an accruals basis. The charterer bears the voyage related costs such as bunker expenses, port charges and canal tolls during the hire period. The performance obligations in a time charter contract will be satisfied over the term of the contract beginning when the vessel is delivered to the charterer until it is redelivered back to the Group. The time charter contracts will be considered operating leases and therefore will not fall under the scope of ASC 606 Revenue from Contracts with Customers because (i) the vessel is an identifiable asset (ii) we do not have substantive substitution rights and (iii) the charterer has the right to control the use of the vessel during the term of the contract and derives the economic benefits from such use. Time charter contracts will be accounted for as operating leases in accordance with ASC 842 Leases and related interpretations. For arrangements where the Company is the lessor, we intend to elect the practical expedient which allows the Company to treat the lease and non-lease components as a single lease component for the leases where the timing and pattern of transfer for the non-lease component and the associated lease component to the lessees are the same and the lease component, if accounted for separately, would be classified as an operating lease.

Income from time charter voyages will be recognized on a straight-line basis over the period of the time charter contract (or lease contract) and at the prevailing rate for the relevant assessment period for variable or index-linked time charter contracts.

As of December 31, 2022 Himalaya Shipping has entered into six index-linked time charters and one fixed time charter for the first seven newbuildings to be delivered from New Times Shipyard.

#### Share-based compensation
The cost of equity settled transactions is measured by reference to the fair value at the date on which the share options are granted. The fair value of the share options issued under the Company's employee share option plans is determined at the grant date taking into account the terms and conditions upon which the options are granted, and using a valuation technique that is consistent with generally accepted valuation methodologies for pricing financial instruments, and that incorporates all factors and assumptions that knowledgeable, willing market participants would consider in determining fair value. The fair value of the share options is recognized in General and administrative expense in the Consolidated Statements of Operations, with a corresponding increase in equity over the period during which the employees become unconditionally entitled to the options. Compensation cost is initially recognized based upon options expected to vest, excluding forfeitures, with appropriate adjustments to reflect actual forfeitures.

#### Newbuildings
The carrying value of the vessels under construction ("Newbuildings") represents the accumulated costs to the balance sheet date which we have had to pay by way of purchase installments and other capital expenditures plus capitalized interest. Capitalization ceases and depreciation commences once the asset is completed and available for its intended use.

#### Impairment of newbuildings
The carrying values of the Company's newbuildings 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

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#### **TABLE OF CONTENTS**
charter rates. Historically, both charter rates and vessel values tend to be cyclical. The carrying amounts of newbuildings under construction are reviewed for potential impairment 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 spot rates and depressed second-hand vessel values. The Company assesses recoverability of the carrying value of each asset or newbuilding on an individual basis by estimating the future undiscounted cash flows expected to result from the asset, including any remaining construction costs for newbuildings and disposal. 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 or newbuildings carrying value and fair value. The Company believes that the estimated future undiscounted cash flows expected to be earned by each of its vessels over their remaining estimated useful life will exceed the vessels' carrying value as of December 31, 2022, plus estimated costs to complete the vessels and accordingly, has not recorded an impairment charge.

#### Interest cost capitalized
Interest costs are capitalized on all qualifying assets that require a period of time to get them ready for their intended use. Qualifying assets consist of Newcastlemax dry bulk vessels under construction. The interest capitalized is calculated using our weighted average cost of borrowings, from commencement of the asset development until substantially all the activities necessary to prepare the asset for its intended use are complete. The Company does not capitalize amounts beyond the actual interest expense incurred in the period.

#### Sale lease-back transactions
When a sale and leaseback transaction does not qualify for sale accounting, the transaction is accounted for as a financing transaction by the seller-lessee. To account for a failed sale and leaseback transaction as a financing arrangement, the seller-lessee does not derecognize the underlying asset; the seller-lessee continues depreciating the asset as if it was the legal owner. The sales proceeds received from the buyer-lessor are recognized as a financial liability. A seller-lessee will make rental payments under the leaseback. These payments are allocated between interest expense and principal repayment of the financial liability. The amount allocated to interest expense is determined by the incremental borrowing rate or imputed interest rate.

#### Deferred charges
Costs associated with long-term financing, including debt arrangement fees, are deferred and amortized over the term of the relevant loan using the straight-line method as this approximates the effective interest method. Amortization of loan costs will be included in "Other financial expenses" in the Consolidated Statements of Operations. If a loan is repaid early, any unamortized portion of the related deferred charge is charged against "Other financial expenses" in the period in which the loan is repaid. Deferred charges are presented as either a gross asset or as a deduction from the corresponding liability in the Consolidated Balance Sheet.

#### Drydocking
Maintenance of class certification requires expenditure and can require taking a vessel out of service from time to time for survey, repairs or modifications to meet class requirements. When delivered, the Group's vessels can generally be expected to have to undergo a class survey once every five years. The Group's vessels are being built to the classification requirements of ABS and the Liberian Ship Register. Normal vessel repair and maintenance costs will be expensed when incurred. We will recognize the cost of a drydocking at the time the drydocking takes place. The Group will capitalize a substantial portion of the costs incurred during drydocking, including the survey costs and depreciates those costs on a straight-line basis from the time of completion of a drydocking or intermediate survey until the next scheduled drydocking or intermediate survey.

#### Earnings per share
Basic earnings per share ("EPS") is computed based on the income available to common stockholders and the weighted average number of shares outstanding. Diluted earnings per share includes the effect of the assumed conversion of potentially dilutive instruments, which for the Company includes share options. The determination of dilutive EPS may require us to make adjustments to net loss and the weighted average shares outstanding used to compute basic EPS unless anti-dilutive.

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#### **TABLE OF CONTENTS**

#### Cash and cash equivalents
All demand and time deposits and highly liquid, low risk investments with original maturities of three months or less at the date of purchase are considered equivalent to cash.

#### Current and long-term classification
Assets and liabilities are classified as current assets and liabilities respectively, if their maturity is within one year of the balance sheet date. Otherwise, they are classified as non-current assets and liabilities.

#### Related parties
Parties are related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also related if they are subject to common control or common significant influence.

#### Equity issuance costs
Equity issuance costs are recorded as a reduction of additional paid-in-capital when the equity offering is effective. Prior to the effective date of an equity offering, specific incremental costs directly attributable to a proposed or actual offering of securities are deferred and recorded as "Other current assets" in the Consolidated balance sheets. Should the Company cancel the planned equity offering, these costs will be charged to the Consolidated statements of operations as an expense. US$0.9 million has been deferred as of December 31, 2022 to the proposed equity offering.

3. Recently issued accounting standards

*Adoption of new accounting standards*

In May 2021, the FASB issued ASU 2021-04 Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity's Own Equity (Subtopic 815-40).

The amendments clarify the issuer's recognition and measurement considerations resulting from exchanges or modifications to freestanding instruments (written call options) classified in equity. Such exchanges or modifications are treated as adjustments to the cost to raise debt, to the cost to raise equity or as share based payments (ASC 718) when issued to compensate for goods or services. If not treated as costs of debt funding, equity funding or share-based payments, it results in an adjustment to EPS/net income (loss). These amendments are effective from January 1, 2022. The amendments did not have a material impact on the consolidated financial statements.

ASU 2020-04 (ASC 848 Reference Rate Reform)

In March 2020, the FASB issued ASU 2020-04 (ASC 848 Reference Rate Reform), which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. In January 2021, the FASB issued ASU 2021-01, which clarified the scope of Topic 848 in relation to derivative instruments and contract modifications. The amendments in these updates are elective and apply to all entities, subject to meeting certain criteria, that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in these updates are effective for all entities as of March 12, 2020 through December 31, 2022. The Company has determined that reference rate reforms will potentially impact any outstanding amount under the revolving credit facility to which it is a party. Based on the latest guidance from the applicable LIBOR administrator, the reference rates currently in use are expected to be available until June 30, 2023. The Company expects to agree alternative reference rates with its counterparties before the applicable discontinuation date. We expect to take advantage of the expedients and exceptions for applying GAAP provided by the updates to the extent reference rates currently in use are replaced with alternative reference rates before December 31, 2022. In December 2022, the FASB issued ASU 2022-06 Reference Rate Reform (Topic 848) which defer the sunset date of Topic 848 from December 31 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief of Topic 848.

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#### **TABLE OF CONTENTS**
4. Income taxes

*Bermuda*

Himalaya Shipping Ltd. is incorporated in Bermuda. Under current Bermuda law, the Company is not required to pay taxes in Bermuda on either income or capital gains. Himalaya Shipping Ltd. 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.

*Liberia*

The vessel owning companies are not subject to tax on international shipping income.

5. Segment information

Our chief operating decision maker, or the CODM, being our Board of Directors, measures performance based on our overall return to shareholders based on consolidated net income. The CODM does not review a measure of operating result at a lower level than the consolidated group and we only have one reportable segment. Himalaya Shipping currently has twelve newbuildings under construction at New Times Shipyard in China.

6. Loss Per Share

The computation of basic loss per share is based on the weighted average number of shares outstanding during the period.

---

| | | |
|:---|:---|:---|
|  | **Year ended** <br>**December 31,** <br>**2022** | **Period from** <br>**March 17 to** <br>**December 31,** <br>**2021** |
| Net loss available to common shareholders | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1.0) |
| Weighted average number of shares, basic and diluted | 32152857 | 18316970 |
| Loss per share in U.S. Dollars, basic and diluted | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(0.06) |

---

Diluted loss per share excludes the potential effect of conversion of 620,000 of share options outstanding issued to management resources and directors as the share options are anti-dilutive.

7. Interest expense

---

| | | |
|:---|:---|:---|
|  | **Year ended** <br>**December 31,** <br>**2022** | **Period from** <br>**March 17 to** <br>**December 31,** <br>**2021** |
| Interest expense, gross | &nbsp;&nbsp;&nbsp;&nbsp;(1.8) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| &nbsp;&nbsp;Capitalized interest on newbuildings | &nbsp;&nbsp;&nbsp;&nbsp;1.8 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| &nbsp;&nbsp;Interest expense, net | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |

---

F-11<br>

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8. Leases

*Lessor*

The Company has entered into time charter contracts for seven of its vessels that will commence upon their respective deliveries to the Company under the sale and leaseback arrangements. One of the charters is a fixed rate contract, while the remaining six are variable rates as set out in the following table of operating lease contracts:

---

| | | | |
|:---|:---|:---|:---|
| **Ship name** | **Targeted** <br>**delivery** | **Rate US$<sup>(3)</sup>** | **Charter period** |
| Mount Norefjell | Mar. 2023 | 30000 | 24 months  |
| Mount Ita | Mar. 2023 | BCI 5TC plus premium, scrubber benefit | 32-38 months<sup>(1)</sup> |
| Mount Etna | Apr. 2023 | BCI 5TC plus premium, scrubber benefit | 32-38 months<sup>(2)</sup> |
| Mount Blanc | June 2023 | BCI 5TC plus premium, scrubber benefit | 24 months  |
| Mount Matterhorn | July 2023 | BCI 5TC plus premium, scrubber benefit | 24 months  |
| Mount Neblina | Sep. 2023 | BCI 5TC plus premium, scrubber benefit | 24 months  |
| Mount Bandeira | Jan. 2024 | BCI 5TC plus premium, scrubber benefit | 24 months |

---

(1)<br> Option for 11-13 months

(2)<br> Option for 11-13 months

(3) The Company will earn revenues based on the Capesize Index published by the Baltic Exchange plus a premium which will vary depending on contract terms. In addition, the Company will earn a scrubber benefit based on the spread between high sulphur fuel oil and very low sulphur fuel oil or the spread between liquified natural gas and very low sulphur fuel oil.

The minimum future undiscounted minimum lease payments to be received under our fixed rate contract as of December 31, 2022 are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;2023 | &nbsp;&nbsp;8.7 |
| &nbsp;&nbsp;2024 | 10.6 |
| &nbsp;&nbsp;2025 | &nbsp;&nbsp;1.8 |
| Total | 21.1 |

---

9. Newbuildings

Movements in the period ended December 31, 2021 and year ended December 31, 2022 are summarized below:

---

| | |
|:---|:---|
| **Balance at March 17, 2021**<br>| &nbsp;&nbsp;&nbsp;&nbsp;— |
| Installment payments | &nbsp;&nbsp;82.1 |
| &nbsp;&nbsp;Other capitalized costs including newbuilding supervision costs | &nbsp;&nbsp;&nbsp;1.4 |
| **Balance at December 31, 2021** | &nbsp;&nbsp;83.5 |
| Installment payments | &nbsp;&nbsp;88.6 |
| Capitalized interest | &nbsp;&nbsp;&nbsp;1.8 |
| &nbsp;&nbsp;Other capitalized costs including newbuilding supervision costs | &nbsp;&nbsp;&nbsp;2.2 |
| **Balance at December 31, 2022** | 176.1 |

---

*2021*

Installment payments in the period ended December 31, 2021 include expenditures associated with the first and second installment payments to New Times Shipyard for the 12 dual fueled Newcastlemax dry bulk carriers including the non-cash payment of US$13.6 million paid by Magni on behalf of the Company, see note 13.

Other capitalized costs in the period ended December 31, 2021 include US$1.1 million in fees to Magni under the Corporate support agreement which was not paid as of December 31, 2022 and 2021 (see note 13) and expenditures associated with supervision of the newbuilding program.

F-12<br>

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*2022*

Installment payments in the year ended December 31, 2022 include US$74.9 million of non-cash payments associated with the third and fourth installment payments to New Times Shipyard for newbuildings "Mount Norefjell", "Mount Ita", "Mount Etna", "Mount Blanc" and "Mount Matterhorn" and the third instalment for newbuilding "Mount Neblina". The Company has drawn US$74.9 million on the sale leaseback financing to fund these instalments and the instalment payments were executed by AVIC and CCBFL on behalf of the Company during 2022. In December 2022, the Company agreed with New Times Shipyard to defer payments of the third instalment on newbuildings "Mount Hua" and "Mount Bandeira" of US$13.7 million from December 2022 until March 31, 2023. This amount has been capitalized as "Installment payments" as progress was made as agreed under the newbuilding contracts and recorded as "Accounts payable" in the "Consolidated balance sheets".

Other capitalized costs in the year ended December 31, 2022 include US$0.8 million in pre-delivery cost of which US$0.5 million was not paid as of December 31, 2022, and US$1.4 million in expenditures associated with supervision of the newbuilding program of which US$0.1 million was not paid as of December 31, 2022.

There were no indications of impairment of newbuildings as of December 31, 2022 and 2021.

10. Long-Term Debt

---

| | | |
|:---|:---|:---|
|  | **December 31, 2022** | **December 31, 2021** |
| *Other long-term debt*<br>|  |  |
| Vessel financing (Mount Norefjell) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.6 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| Vessel financing (Mount Ita) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.6 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| Vessel financing (Mount Etna) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.6 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| Vessel financing (Mount Blanc) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.6 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| Vessel financing (Mount Matterhorn) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.7 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| Vessel financing (Mount Neblina) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| **Total long-term debt, gross** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;74.9 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** |
| Less current portion | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7.0) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| Less deferred loan costs | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7.4) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— |
| **Total long-term debt** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;60.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** |

---

The outstanding debt as of December 31, 2022, is repayable as follows:

---

| | |
|:---|:---|
| 2023 | &nbsp;&nbsp;7.0 |
| 2024 | 11.0 |
| 2025 | 11.7 |
| 2026 | 12.4 |
| 2027 | 13.4 |
| Thereafter | 19.4 |
| **Total** | 74.9 |

---

*Avic International Leasing Co., Ltd. ("AVIC") – Sale leaseback financing* 

The Company has entered into sale lease back transactions accounted for as financing transactions. In February 2022, the Company entered into sale lease back arrangements with AVIC for the first four newbuildings "Mount Norefjell", "Mount Ita", "Mount Etna", "Mount Blanc" to be delivered from New Times Shipyard. Pursuant to the lease financing, Himalaya Shipping shall receive pre-delivery financing at a fixed interest rate of 5% per annum for the third and fourth pre-delivery instalments ($6,791,700 to be paid for each of the third and fourth instalment). As security for the pre-delivery financing, the Company has entered into an agreement to assign in favor of AVIC the first four newbuilding contracts (Carrying value of Newbuildings financed by AVIC is US$84.8 million as of December 31, 2022) and the related refund Guarantees, as well as a parent company guarantee from the Company, share pledges over the related Subsidiaries, account pledges over the related subsidiaries' bank accounts and a share pledge over the shares in each related Subsidiary. In addition, upon delivery of the relevant vessels from New Times Shipyard, the vessels will be sold to companies owned and designated by AVIC. The financing amount is the lower

F-13<br>

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of 90% of the newbuilding contract price and US$63.0 million. The vessels will be chartered back on seven-year bareboat charters which include purchase options each year from year 3 until the end of the bareboat period. The first purchase option in year 3 is US$56,934,360 and then declining to US$47,166,840 after year 7.

Payment of dividends or making of other distributions from each subsidiary to the Company will only be allowed if immediately following such payment or distribution there will be maintained in the bank account an amount no less than the higher of (a) US$3.6 million and (b) the aggregate of the hire and the operating expenses for the vessel that are payable within the next six months.

During 2022, the Company has drawn US$54.4 million on the financing to pay scheduled pre-delivery instalments for the first four newbuildings. The fixed price purchase options and a cash penalty of US$25 million per vessel for not exercising any of the purchase options under the sale leaseback transaction results in a failed sale leaseback and the transaction is accounted for as a financing transaction.

*CCB Financial Leasing Co., Ltd. ("CCBFL") – Sale leaseback financing*

In April 2022, the Company entered into sale lease back arrangements with CCBFL for newbuildings "Mount Matterhorn", "Mount Neblina", "Mount Bandeira", "Mount Hua", "Mount Elbrus", "Mount Denali", "Mount Aconcagua" and "Mount Emai" to be delivered from New Times Shipyard. Pursuant to the lease financing, Himalaya Shipping shall receive pre-delivery financing at a fixed interest rate of 5% per annum for the third and fourth pre-delivery instalments (US$6,841,700 and US$6,891,700 to be paid for each of the third and fourth instalment for newbuildings "Mount Matterhorn", "Mount Neblina", "Mount Bandeira", "Mount Hua" and "Mount Elbrus", "Mount Denali", "Mount Aconcagua" and "Mount Emai", respectively. As security for the pre-delivery financing, the Company has entered into an agreement to assign in favor of CCBFL the first four newbuilding contracts (Carrying value of Newbuildings financed by CCBFL is US$91.3 million as of December 31, 2022) and the related refund guarantees, as well as a parent company guarantee from the Company, share pledges over the related subsidiaries, account pledges over the related subsidiaries' bank accounts and a share pledge over the shares in each related subsidiary. In addition, upon delivery of the relevant vessels from New Times Shipyard, the vessels will be sold to companies owned and designated by CCBFL. The financing amount is the lower of 90% of the newbuilding contract price and US$63.0 million. The vessels will be chartered back on seven-year bareboat charters which include purchase options each year from year 3 until the end of the bareboat period. The first purchase option in year 3 is US$56.0 million declining to US$46.0 million after year 7.

During 2022, the Company has drawn US$20.5 million on the financing to pay scheduled pre-delivery instalments. The fixed price purchase options under the sale leaseback transaction results in a failed sale leaseback and the transaction is accounted for as a financing transaction.

Each subsidiary under the CCFL sale leaseback arrangement shall procure that at any time during the period from the date falling 180 days from the delivery of each newbuilding, there is maintained in the bank account an amount not less than the bareboat hire that will accrue within the next three months which amounts to approximately US$1.5 million.

The bareboat rate per day under both sale leaseback arrangements is fixed for the bareboat period and the average bareboat rate per day for the sale leaseback arrangements with AVIC and CCBFL is US$16,567. The Company has classified the estimated amortization of the bareboat payments due in 2023 as "Current portion of long-term debt" on the "Consolidated Balance sheet".

In December 2022, the Company signed an agreement to transfer the sale leaseback arrangement for newbuildings "Mount Bandeira" and "Mount Hua" from CCBFL to Jiangsu Financial Leasing. The transfer will be effective in March, 2023. The terms under the sale leaseback arrangement remain unchanged.

*Drew Holdings Ltd. ("Drew") – Revolving Credit facility*

In December 2022, the Company drew US$1.0 million on the Revolving Credit Facility with Drew. The amount is recorded as "Amounts due to related parties" in the consolidated balance sheets, see note 13.

F-14<br>

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11. Financial Instruments

#### Foreign exchange risk management
The majority of our transactions, assets and liabilities are denominated in United States dollars. However, we incur expenditure in currencies other than United States dollars, mainly in Norwegian Kroner. There is a risk that currency fluctuations in transactions incurred in currencies other than the functional currency will have a negative effect on the value of our cash flows. We are then exposed to currency fluctuations and we may enter into foreign currency swaps to mitigate such risk exposures. The company has not entered into derivative agreements to mitigate the risk of these fluctuations.

#### Concentrations of risk
There is a concentration of credit risk with respect to cash and cash equivalents to the extent that all of the amounts are carried with DNB. However, we believe this risk is remote, as DNB is an established financial institution.

There is a concentration of supplier risk with respect to our newbuilding as all newbuildings are being built by New Times Shipyard. However, we believe the risk is remote, as New Times Shipyard is an established shipyard.

#### Guarantees
The Bank of China Limited, Jiangsu Branch, has given letters of guarantee to two, and the Agricultural Bank of China, Jiangsu Branch to ten, of the twelve Liberian subsidiaries of the group for all installment payments made prior to delivery of the vessels under each of their respective newbuilding contracts.

The Company has issued guarantees to New Times Shipyard for payment of instalments on all the newbuilding contracts.

#### Fair values
The carrying value and estimated fair value of the Company's financial instruments were as follows:

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

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **December 31,** <br>**2022** | **December 31,** <br>**2022** | **December 31,** <br>**2021** | **December 31,** <br>**2021** |
|  | <br>**Hierarchy** | **Fair** <br>**value** | **Carrying** <br>**value** | **Fair** <br>**value** | **Carrying** <br>**value** |
| **Assets**<br>|  |  |  |  |  |
| Cash and cash equivalents | &nbsp;&nbsp;&nbsp;&nbsp;1 | &nbsp;&nbsp;0.3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0.3 | 11.3 | &nbsp;&nbsp;&nbsp;&nbsp;11.3 |
| **Liabilities**<br>|  |  |  |  |  |
| Current portion of long-term debt<sup>(1)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;2 | &nbsp;&nbsp;7.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.0 | &nbsp;&nbsp;— | &nbsp;&nbsp;— |
| Related party liabilities - current<sup>(2)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;1 | &nbsp;&nbsp;2.7 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 | &nbsp;&nbsp;— | &nbsp;&nbsp;— |
| Long term debt<sup>(1)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;2 | 66.9 | &nbsp;&nbsp;&nbsp;&nbsp;60.5 | &nbsp;&nbsp;— | &nbsp;&nbsp;— |
| Related party liabilities – non-current<sup>(3)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;1 | &nbsp;&nbsp;1.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.0 | &nbsp;&nbsp;2.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 |

---

(1) Fair value of long-term debt is estimated at US$66.9 million and have been corroborated using discounted cash flow model and market interest rate as of December 31, 2022. 

(2)<br> The carrying value approximates the fair value due to their near term expected payment of cash, see description of Corporate Support Agreement in note 12.

(3)<br> The carrying value approximates the fair value due to their near term expected payment of cash, see description of Revolving Credit Facility in note 12.

There have been no transfers between different levels in the fair value hierarchy during the periods presented.

F-15<br>

------

#### **TABLE OF CONTENTS**
12. Commitments and Contingencies

As of December 31, 2022, the Company had twelve vessels under construction. In addition, in August 2022, the Company entered into agreements with New Times Shipyard to install exhaust gas cleaning systems on the twelve vessels under construction for a total cost of $28.8 million payable at delivery of the vessels. As of December 31, 2022, the outstanding commitments under the twelve newbuilding contracts, including the installation of the exhaust gas cleaning systems, are as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;2023 | 377.8 |
| &nbsp;&nbsp;2024 | 324.1 |
| Total | 701.9 |

---

To the best of our knowledge, there are no legal or arbitration proceedings existing or pending which have had or may have significant effects on our financial position or profitability and no such proceedings are pending or known to be contemplated.

13. Related Party Transactions

*Drew Holdings Ltd ("Drew") and Magni Partners (Bermuda) Ltd.("Magni")*

Drew is considered a related party due to its significant ownership in the Company and Magni is considered a related party since it is an affiliate of Drew.

In May 2021, Magni paid a total of US$13,583,400 in instalment payments to New Times Shipyard, on the Company's behalf, which was structured as a loan. The loan was interest free. On June 15, 2021, the loan from Magni was converted and a payment of US$1,416,600 was made for issuance of 15,000,000 shares at par value US$1 to Magni.

In March 2022, the Company entered into a US$15.0 million revolving credit facility agreement with Magni. The facility is an unsecured revolving credit facility, which is interest-bearing at a rate of LIBOR for the applicable interest periods under the facility, plus a margin of 8% p.a. The Magni Facility is available to the Company until December 31, 2023 and must be repaid latest on December 31, 2024. In December 2022 the revolving credit facility was cancelled and a new revolving credit facility with Drew was entered into on same terms. US$1.0 million was drawn on December 19, 2022 and US$1.0 million was outstanding as of December 31, 2022.

Drew subscribed for 1,000,000 shares and 714,285 shares at a price of US$3 per share and US$7 per share in the private placements in July 2021 and October 2021, respectively. Both subscriptions were paid in cash.

*Management agreement*

In October 2021, the Company signed an agreement with 2020 Bulkers Management AS to purchase certain management services (this agreement replaced the agreement signed in June 2021). The contracted management of Himalaya Shipping are all employees of 2020 Bulkers Management AS. 2020 Bulkers Management AS was considered a related party at the time of the transaction. For the period from incorporation on March 17, 2021, until December 31, 2021, 2020 Bulkers Management AS charged Himalaya Shipping Ltd. and its subsidiaries US$0.3 million (US$0.1 million was recorded as general and administrative expenses in the Consolidated statements of operations and US$0.2 million was capitalized to "Newbuildings" on the Consolidated balance sheets) and US$0.09 million (included in Trade payables in the Consolidated balance sheet) was outstanding as of December 31, 2021. As of December 31, 2022, 2020 Bulkers Management AS is no longer considered a related party due to Drew's reduced ownership in 2020 Bulkers Ltd.

*Corporate support agreement*

The Company's incorporator and initial, sole shareholder, Magni has been the key initiator of the Himalaya project and has provided corporate and financial assistance throughout the process, including extensive assistance in connection with the financing of the instalments to date as well as the private placements. The Company has entered into a corporate support agreement with Magni whereby Magni is compensated for its services to the Group since the inception of the Company, and for its key role in identifying and pursuing business opportunities for the Group (the "Corporate Support Agreement"). As Magni indirectly held a controlling interest at the time the Corporate Support Agreement was entered into, the Company has treated the Corporate Support Agreement as a related party

F-16<br>

------

agreement. Pursuant to the Corporate Support Agreement, Magni shall continue to support the Company's business development through assisting with the pre-financing and post-financing of the Company's newbuilding program, in finding employment for the vessels, in recruiting suitable individuals to the Company's organization and with general high-level administrative support. The parties agreed in 2021 a compensation in the amount of US$2.7 million which shall be paid by the Company in four equal tranches.

The tranches will be split equally on each of the first four newbuildings to be delivered from New Times Shipyard in 2023, so that US$0.674 million is payable on each such delivery. Such amount equals the address commission to be received on the first 4 vessels, which was agreed with the yard before the project opened to external investors.

As of December 31, 2022, the Company has recorded the total fee of US$2.7 million (US$2.5 million as of December 31, 2021) as related party liabilities for services provided since inception of the Company. The fee has been allocated to services provided in relation to the newbuilding contracts: US$1.1 million (2021:US$1.1 million) capitalized to "Newbuildings" in the consolidated balance sheets, the private placements: US$0.9 million (2021: US$0.9 million) recorded as a reduction in Additional paid-in capital in the Consolidated Statements of Changes in Shareholders' Equity), the sale and leaseback arrangements: US$0.6 million (2021: US$0.4 million recorded as "Other non-current assets" which was transferred to deferred loan cost under "Long term debt" in 2022 when the Company drew on the sale leaseback financing) recorded as deferred loan cost to "Long term debt" in the Consolidated balance sheets) and other administration support: US$0.1 million (2021: US$0.1 million) recorded as "General and administrative expenses in the Consolidated Statements of Operations.

*Affinity Shipholdings I LLP and affiliated companies ("Affinity")*

Affinity is considered a related party due to being a principal shareholder.

Affinity is the broker between New Times Shipyard and Himalaya Shipping for the twelve newbuilding contracts. No consideration has or will be paid from Himalaya Shipping to Affinity.

Affinity subscribed for 166,667 shares and 71,429 shares at a price of US$3 per share and US$7 per share in the private placements in July 2021 and October 2021, respectively. Both subscriptions were paid in cash.

Affinity is the broker on the fixed time charter agreement the Company has entered into. Affinity will receive 1.25% of the charter hire of US$30,000 per day.

14. Share based compensation

In September 2021, the Board of Directors established a long-term incentive plan and 800,000 of the Company's authorized but unissued share capital was allocated for this purpose. In December 2021, the Board approved a grant of 500,000 share options to management resources (employees from 2020 Bulkers Management AS providing management services) and directors. In March 2022 the Board approved a further grant of 120,000 share options to management resources with the same terms. The share options granted to date have a five-year term and cliff vest three years from the date of grant. The exercise price is US$8.0 and will be reduced by any dividends and cash distributions paid. Stock compensation expense of US$0.4 million was expensed in 2022 (2021: US$0.03 million). and is recognized in "General and administrative expenses" in the Consolidated Statements of Operations.

F-17<br>

------

The table below sets forth the number of share options, weighted average remaining life, weighted average exercise price and weighted average grant date fair value price for the years ended December 31, 2021 and 2022, respectively:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Outstanding** <br>**share** <br>**options** | **Weighted** <br>**Average** <br>**remaining** <br>**life** | **Weighted** <br>**Average** <br>**exercise** <br>**price (in US$)** | **Weighted** <br>**Average** <br>**grant** <br>**date fair** <br>**value (in US$)** |
| Outstanding at March 17, 2021 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— |
| Granted | &nbsp;&nbsp;500000 | &nbsp;&nbsp;&nbsp;&nbsp;4.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 |
| &nbsp;&nbsp;Exercisable | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— |
| &nbsp;&nbsp;Forfeited | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Outstanding at December 31, 2021 – unvested** | &nbsp;&nbsp;**500000** | &nbsp;&nbsp;&nbsp;&nbsp;4.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 |
| **Outstanding at December 31, 2021 – exercisable** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;&nbsp;**—** |
| Granted | &nbsp;&nbsp;120000 | &nbsp;&nbsp;&nbsp;&nbsp;4.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.0 | &nbsp;&nbsp;&nbsp;&nbsp;1.95 |
| &nbsp;&nbsp;Exercisable | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— |
| &nbsp;&nbsp;Forfeited | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;— |
| **Outstanding at December 31, 2022 – unvested** | &nbsp;&nbsp;**620000** | &nbsp;&nbsp;&nbsp;&nbsp;3.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.0 | &nbsp;&nbsp;&nbsp;&nbsp;2.15 |
| **Outstanding at December 31, 2022 – exercisable** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** | &nbsp;&nbsp;&nbsp;&nbsp;**—** |

---

The fair value of the share options granted in March 2022 and December 2021 was calculated using the Black-Scholes option pricing model using the following inputs:

---

| | | |
|:---|:---|:---|
|  | **2022** | **2021** |
| Grant date | March 10 | December 8 |
| &nbsp;&nbsp;Risk-free rate | 2% | 1.52% |
| Expected life | 4 years | 4 years |
| Expected future volatility | 56% | 57% |

---

In 2022 and 2021 the expected future volatility was based on peer group volatility due to the short lifetime of the Company. As of December 31, 2022 and 2021, there was no intrinsic value for both vested and unvested outstanding awards.

15. Share Capital

The authorized share capital of the Company as of December 31, 2022 and 2021 is $140,010,000 represented by 140,010,000 authorized common shares of par value $1.00 each.

The Company's issued and outstanding share capital is as follows:

---

| | | |
|:---|:---|:---|
| *(number of shares of US$1.00 each)* | **2022** | **2021** |
| **Balance at the start of the year/period** | **32152857** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**—** |
| Shares issued<br>|  |  |
| &nbsp;&nbsp;&nbsp;March 17, 2021 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10000 |
| &nbsp;&nbsp;&nbsp;June 15, 2021 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | 15000000 |
| &nbsp;&nbsp;&nbsp;July 16, 2021 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | 10000000 |
| &nbsp;&nbsp;&nbsp;October 11, 2021 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;— | &nbsp;&nbsp;7142857 |
| **Balance at the end of the year/period** | **32152857** | **32152857** |

---

Changes in the Company's issued and outstanding share capital are described below:

&nbsp;&nbsp;&nbsp;&nbsp;• Issuance of 10,000 common shares at inception at a purchase price of US$1.00 per common share;

&nbsp;&nbsp;&nbsp;&nbsp;• Issuance of 15,000,000 common shares at US$1.00 per share on June 15, 2021 in a conversion of debt of US$13,583,400 and payment cash of US$1,416,600;

F-18<br>

------

&nbsp;&nbsp;&nbsp;&nbsp;• Issuance of 10,000,000 common shares at US$3.00 per share on July 16, 2021 in a private placement, for gross proceeds of US$30.0 million before issuance costs of US$0.8 million. US$0.4 million of the issuance costs relate to the Corporate support agreement and was not paid as of December 31, 2021 and 2022, respectively, see note 13.

&nbsp;&nbsp;&nbsp;&nbsp;• Issuance of 7,142,857 common shares at US$7.00 per share on October 11, 2021 in a private placement, for gross proceeds of US$50.0 million before issuance costs of US$1.3 million. US$0.5 million of the issuance costs was paid in 2022. US$0.5 million of the issuance costs relating to the Corporate support agreement (see note 13) was not paid as of December 31, 2021 and 2022, respectively.

16. Subsequent Events

Subsequent events have been evaluated through January 27, 2023, the date these consolidated financial statements were available to be issued.

F-19<br>

------

#### Common Shares
![](ny20006357x6_logox1.jpg)<br>

### PROSPECTUS

#### DNB Markets<br>

#### Clarksons Securities

#### &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; , 2023
***Until , 2023 (the 25<sup>th</sup> day after the date of this prospectus), all dealers that effect transactions in these securities, whether or not participating in this offering, may be required to deliver a prospectus. This is in addition to the dealers' obligation to deliver a prospectus when acting as underwriters and with respect to their unsold allotments or subscriptions.***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

------

#### **TABLE OF CONTENTS**

#### PART II<br>

#### &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br>

#### INFORMATION NOT REQUIRED IN THE PROSPECTUS

---

| | |
|:---|:---|
| **Item 6.**<br>| **Indemnification of Directors and Officers** |

---

Section 98 of the Companies Act provides generally that a Bermuda company may indemnify its directors, officers and auditors against any liability which by virtue of any rule of law would otherwise be imposed on them in respect of any negligence, default, breach of duty or breach of trust, except in cases where such liability arises from fraud or dishonesty of which such director, officer or auditor may be guilty in relation to the company. Section 98 further provides that a Bermuda company may indemnify its directors, officers and auditors against any liability incurred by them in defending any proceedings, whether civil or criminal, in which judgment is awarded in their favor or in which they are acquitted or granted relief by the Supreme Court of Bermuda pursuant to section 281 of the Companies Act.

We have adopted provisions in our bye-laws that provide that we shall indemnify our officers and directors in respect of their actions and omissions, except in respect of their fraud or dishonesty. Subject to Section 14 of the Securities Act, which renders void any purported waiver of the provisions of the Securities Act, our bye-laws provide that the shareholders waive all claims or rights of action that they might have, individually or in right of the company, against any of the company's directors or officers for any act or failure to act in the performance of such director's or officer's duties, except in respect of any fraud or dishonesty of such director or officer. Section 98A of the Companies Act permits us to purchase and maintain insurance for the benefit of any officer or director in respect of any loss or liability attaching to him in respect of any negligence, default, breach of duty or breach of trust, whether or not we may otherwise indemnify such officer or director. We are planning to purchase and maintain a directors' and officers' liability policy for such a purpose.

---

| | |
|:---|:---|
| **Item 7.**<br>| **Recent Sales of Unregistered Securities** |

---

Set forth below is information regarding all securities issued by us since inception without registration under the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;• After our incorporation on March 19, 2021, we issued 10,000 common shares at a subscription price of $1.00 per share.

&nbsp;&nbsp;&nbsp;&nbsp;• On June 15, 2021, we issued 15,000,000 common shares to Magni at a subscription price of $1.00 per share in exchange for (i) a contribution by Magni of receivables in the aggregate amount of $13.6 million, which related to receivables due an outstanding from our subsidiaries to Magni in connection with a loan made by Magni to pay the first installments under the 1-4 Shipbuilding Contract, and (ii) a capital contribution of $1.4 million in cash from Magni.

&nbsp;&nbsp;&nbsp;&nbsp;• On July 16, 2021, we completed a private placement of 10,000,000 shares at a subscription price of $3.00 per share, raising gross proceeds of $30 million, a significant portion of which was (together with the proceeds of equity financings) used to pay the first and second installments of the Shipbuilding Contracts totaling $82.1 million.

&nbsp;&nbsp;&nbsp;&nbsp;• On October 11, 2021, we completed a private placement of 7,142,857 common shares at a subscription price of $7.00 per share, raising gross proceeds of $50 million, a significant majority of which was to finance the first and second installments of the Shipbuilding Contracts totaling $82.1 million.

We believe the offers, sales and issuances of the securities described above are deemed to be exempt from registration under the Securities Act as transactions not involving a public offering or in reliance on Regulation S under the Securities Act regarding sales by an issuer in offshore transactions. All recipients had adequate access, through their relationships with us, to information about us.

II-1<br>

------

#### **TABLE OF CONTENTS**

---

| | |
|:---|:---|
| **Item 8.**<br>| **Exhibits**  |

---

(a)<br> The following documents are filed as part of this registration statement:

---

| | |
|:---|:---|
| 1.1 | Form of Underwriting Agreement\* |
| [3.1](ny20006357x6_ex3-1.htm) | Certificate of Incorporation† |
| [3.2](ny20006357x6_ex3-2.htm) | Memorandum of Association of Himalaya Shipping† |
| [3.3](ny20006357x6_ex3-3.htm) | Amended and Restated Bye-laws† |
| [5.1](ny20006357x6_ex5-1.htm) | Form of opinion of MJM Limited as to the validity of the common shares† |
| [10.1](ny20006357x6_ex10-1.htm) | Form of Registration Rights Agreement† |
| [10.2](ny20006357x6_ex10-2.htm) | Shipbuilding Contract for Construction of One 210,000 dwt Bulk Carrier between New Times Shipbuilding Co. Ltd. and MOUNT NOREFJELL INC. (formerly known as LHOTSE INC.), for vessel with hull number 0120833, dated March 10, 2021, as amended on November 16, 2022†,\*\*,# |
| [10.3](ny20006357x6_ex10-3.htm) | Amended and Restated Memorandum of Agreement and Bareboat Charter, dated February 22, 2023, between MOUNT NOREFJELL INC., a wholly owned subsidiary of Himalaya Shipping, and Great Lhotse Limited, providing for the sale and leaseback of the Mount Norefjell vessel, with hull number 0120833 (Avic Leasing)†,\*\*\*,# |
| [10.4](ny20006357x6_ex10-4.htm) | Memorandum of Agreement and Bareboat Charter, dated April 20, 2022, between MOUNT MATTERHORN INC. (formerly known as EVEREST INC.), a wholly owned subsidiary of Himalaya Shipping, and Jianxin Jinjiushiwu Leasing (Tianjin) Co. Ltd., providing for the sale and leaseback of the Mount Matterhorn vessel, with hull number 0120837 (CCBFL Leasing)†,\*\*\*\*,#  |
| [10.5](ny20006357x6_ex10-5.htm)  | Novation Agreement, dated December 14, 2022, between MOUNT BANDEIRA INC., a wholly owned subsidiary of Himalaya Shipping, Jianxin Jinjiushiqui Leasing (Tianjin) Co. Ltd., as original buyer, and Huinuo (Tianjin) Shipping Leasing Co. Ltd., in respect of Mount Bandeira vessel, with hull number 0120839 (Jiangsu Leasing)†,\*\*\*\*,\*\*\*\*\*,#  |
| [10.6](ny20006357x6_ex10-6.htm) | Revolving Credit Facility Agreement between Himalaya Shipping Ltd. and Drew Holdings Limited. dated December 14, 2022†,# |
| [10.7](ny20006357x6_ex10-7.htm) | Management Agreement between Himalaya Shipping Ltd. and 2020 Bulkers Management AS, dated February 27, 2023† |
| [10.8](ny20006357x6_ex10-8.htm) | Corporate Support Agreement between Himalaya Shipping Ltd. and Magni Partners (Bermuda) Limited, dated September 15, 2021†, # |
| [21.1](ny20006357x6_ex21-1.htm) | List of subsidiaries of Himalaya Shipping† |
| [23.1](ny20006357x6_ex23-1.htm) | Consent of PricewaterhouseCoopers AS† |
| [23.2](ny20006357x6_ex5-1.htm) | Consent of MJM Limited (included in Exhibit 5.1) |
| [24.1](#tSIG) | Powers of Attorney (included on signature page to the registration statement) |
| [99.1](ny20006357x6_ex99-1.htm) | Consent of Clarkson Research Services Limited†  |
| [107.1](ny20006357x6_ex107.htm) | Filing Fee Table† |

---

†<br> Filed herewith

\*<br> To be filed by amendment.

\*\*<br> The other Shipbuilding Contracts with New Times are substantially the same as this one.

\*\*\*<br> The other Sale and Leaseback Agreements with Avic are substantially the same as this one.

\*\*\*\*<br> The other Sale and Leaseback Agreements with CCBFL, including the Sale and Leaseback Agreements transferred and assigned to Jiangsu Financial in the Jiangsu Leasing are substantially the same as this one.

\*\*\*\*\*<br> The other Novation Agreement with Jiangsu Financial is substantially the same as this one.

#<br> Portions of this exhibit have been omitted because such portions are not material and is the type of information that the registrant treats as private or confidential. The omissions have been indicated by Asterisks ("[\*\*\*]").

(b)<br> Consolidated Financial Statements Schedules

None.

II-2<br>

------

---

| | |
|:---|:---|
| **Item 9.**<br>| **Undertakings** |

---

The undersigned hereby undertakes:

(a) Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be permitted to directors, officers and controlling persons of the registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the U.S. Securities and Exchange Commission such indemnification is against public policy as expressed in the Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the registrant of expenses incurred or paid by a director, officer, or controlling person of the registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question of whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue.

(b)<br> The undersigned registrant hereby undertakes that:

(1) For purposes of determining any liability under the Securities Act of 1933, the information omitted from the form of prospectus filed as part of this registration statement in reliance upon Rule 430A and contained in a form of prospectus filed by the Registrant pursuant to Rule 424(b)(1) or (4) or 497(h) under the Securities Act shall be deemed to be part of this registration statement as of the time it was declared effective.

(2) For the purpose of determining any liability under the Securities Act of 1933, each post-effective amendment that contains a form of prospectus shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.

II-3<br>

------

#### SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the registrant certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form F-1 and has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized, in Oslo, Norway on March 7, 2023.

---

| | |
|:---|:---|
| Himalaya Shipping Ltd.  | Himalaya Shipping Ltd.  |
| By: | /s/ Herman Billung |
| Name: Herman Billung | Name: Herman Billung |
| Title: Chief Executive Officer | Title: Chief Executive Officer |

---

#### POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Herman Billung and Mi Hong Yoon, their attorney-in-fact, with the power of substitution, for them in any and all capacities, to sign any amendment or post-effective amendment to this registration statement on Form F-1, including, without limitation, any additional registration statement filed pursuant to Rule 462 under the Securities Act with respect hereto and to file the same, with exhibits thereto and other documents in connection therewith, with the SEC, hereby ratifying and confirming all that said attorney-in-fact, or his substitute or substitutes, may do or cause to be done by virtue hereof.

Pursuant to the requirements of the Securities Act of 1933, as amended, this registration statement has been signed by the following persons in the capacities and on the dates indicated.

---

| | | |
|:---|:---|:---|
| **Name** | **Title** | **Date** |
| /s/ Herman Billung | Chief Executive Officer <br>(principal executive officer) | March 7, 2023 |
| Herman Billung | Chief Executive Officer <br>(principal executive officer) |  |
| /s/ Vidar Hasund | Chief Financial Officer <br>(principal financial officer) | March 7, 2023 |
| Vidar Hasund | Chief Financial Officer <br>(principal financial officer) |  |
| /s/ Bjørn Isaksen | Director | March 7, 2023 |
| Bjørn Isaksen |  |  |
| /s/ Jehan Mawjee | Director | March 7, 2023 |
| Jehan Mawjee |  |  |
| /s/ Georgina Sousa | Director | March 7, 2023 |
| Georgina Sousa |  |  |
| /s/ Carl Steen | Director | March 7, 2023 |
| Carl Steen |  |  |
| /s/ Mi Hong Yoon | Director | March 7, 2023 |
| Mi Hong Yoon |  |  |

---

------

#### **TABLE OF CONTENTS**

#### SIGNATURE OF AUTHORIZED REPRESENTATIVE IN THE UNITED STATES
Pursuant to the Securities Act of 1933, as amended, the undersigned, the duly authorized representative in the United States of Himalaya Shipping Ltd. has signed this registration statement in Newark, Delaware on March 7, 2023.

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| | |
|:---|:---|
| **Authorized U.S. Representative**  | **Authorized U.S. Representative**  |
| By: | /s/ Donald J. Puglisi  |
| Name: Donald J. Puglisi | Name: Donald J. Puglisi |
| Title: Authorized Representative | Title: Authorized Representative |

---

## Exhibit 3.1

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**Exhibit 3.1**<br>

![](ny20006357x6_ex3-1img1.jpg)

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## Exhibit 3.2

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**Exhibit 3.2**

**Exhibit B**

**FORM No. 2**

**BERMUDA**

**THE COMPANIES ACT 1981**

**MEMORANDUM OF ASSOCIATION OF COMPANY LIMITED BY SHARES<br> Section 7(1) and (2)**

**MEMORANDUM OF ASSOCIATION**

**OF**

**Himalaya Shipping Ltd.**

(hereinafter referred to as "the Company")

1. The liability of the members of the Company is limited to the amount (if any) for the time being unpaid on the shares respectively held by them.

2. We, the undersigned, namely,

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| | | | |
|:---|:---|:---|:---|
| Name and Address | Bermudian Status <br> (Yes or No) | Nationality<br>| Number of Shares<br> Subscribed |
| Deanna Didyk<br> 19 Par-la-Ville Road<br> 1st Floor <br> Hamilton HM 11, Bermuda | No | Canadian | 1 Common Share |
| Barbara Patterson | No | Canadian | 1 Common Share |

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19 Par-la-Ville Road

1st Floor

Hamilton HM 11, Bermuda

do hereby respectively agree to take such number of shares of the Company as may be allotted to us respectively by the provisional directors of the Company, not exceeding the number of shares for which we have respectively subscribed, and to satisfy such calls as may be made by the directors, provisional directors or promoters of the Company in respect of the shares allotted to us respectively.

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3. The Company is to be an exempted Company as defined by the Companies Act 1981.

4. The Company, with the consent of the Minister of Finance, has power to hold land situate in Bermuda not exceeding ___ in
 all, including the following parcels:-

Not Applicable

5. The authorised share capital of the Company is US$10,000.00 divided into 10,000 shares of US$1.00 each.

6. The objects for which the Company is formed and incorporated are unrestricted.

7. The following are provisions regarding the powers of the Company.

The Company has the capacity, rights, powers and privileges of a natural person

Signed by each subscriber in the presence of at least one witness attesting the signature thereof:-

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| | |
|:---|:---|
| /s/ Deanna Didyk | /s/ Mairi Redmond |
| Deanna Didyk |  |
| /s/ Barbara Patterson | /s/ Mairi Redmond |
| Barbara Patterson |  |
| (Subscribers) | (Witnesses) |

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Subscribed this 17 day of March, 2021

## Exhibit 3.3

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#### Exhibit 3.3

#### AMENDED BYE-LAWS

#### OF

#### HIMALAYA SHIPPING LTD.

I HEREBY CERTIFY that the within-written Bye-laws are a true copy of the Bye-laws of **HIMALAYA SHIPPING LTD.** as adopted at the Statutory General Meeting on the 19<sup>th</sup> day of March 2021, amended by the sole member by way of written resolution adopted on the 15<sup>th</sup> day of June, 2021 and amended by the Shareholders at the 2022 Annual General Meeting on the 10<sup>th</sup> day of August 2022**.**

Secretary

i

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#### **TABLE OF CONTENTS**

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| | |
|:---|:---|
| ***DEFINITIONS*** | ***1*** |
| ***CONSTRUCTION*** | ***3*** |
| ***REGISTERED OFFICE*** | ***4*** |
| ***SHARES*** | ***4*** |
| ***POWER TO PURCHASE OWN SHARES*** | ***5*** |
| ***MODIFICATION OF RIGHTS*** | ***5*** |
| ***CERTIFICATES*** | ***6*** |
| ***LIEN*** | ***6*** |
| ***CALLS ON SHARES*** | ***7***<br>|
| ***FORFEITURE OF SHARES*** | ***8***<br>|
| ***TRANSFER OF SHARES*** | ***8***<br>|
| ***TRANSMISSION OF SHARES*** | ***10***<br>|
| ***REGISTERED HOLDERS AND THIRD PARTY INTERESTS*** | ***10*** |
| ***REGISTER OF SHAREHOLDERS*** | ***11*** |
| ***INCREASE OF CAPITAL*** | ***11*** |
| ***ALTERATION OF CAPITAL*** | ***11*** |
| ***REDUCTION OF CAPITAL*** | ***12*** |
| ***GENERAL MEETINGS AND WRITTEN RESOLUTIONS*** | ***12*** |
| ***NOTICE OF GENERAL MEETINGS*** | ***13*** |
| ***PROCEEDINGS AT GENERAL MEETINGS*** | ***13*** |
| ***VOTING*** | ***14*** |
| ***PROXIES AND CORPORATE REPRESENTATIVES*** | ***16***<br>|
| ***APPOINTMENT AND RETIREMENT OF DIRECTORS*** | ***17***<br>|
| ***PROCEEDINGS OF DIRECTORS*** | ***17***<br>|
| ***RESIGNATION AND DISQUALIFICATION OF DIRECTORS*** | ***17***<br>|
| ***ALTERNATE DIRECTORS*** | ***18***<br>|
| ***DIRECTORS' FEES AND ADDITIONAL REMUNERATION AND EXPENSES*** | ***18***<br>|
| ***DIRECTORS' INTERESTS*** | ***18***<br>|
| ***POWERS AND DUTIES OF THE BOARD*** | ***19***<br>|

---

ii

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| | |
|:---|:---|
| ***DELEGATION OF THE BOARD'S POWERS*** | ***20*** |
| ***PROCEEDINGS OF THE BOARD*** | ***20*** |
| ***OFFICERS*** | ***21*** |
| ***REGISTER OF DIRECTORS AND OFFICERS*** | ***22*** |
| ***MINUTES*** | ***22*** |
| ***SECRETARY AND RESIDENT REPRESENTATIVE*** | ***22*** |
| ***THE SEAL*** | ***22*** |
| ***DIVIDENDS AND OTHER PAYMENTS*** | ***23*** |
| ***RESERVES*** | ***24***<br>|
| ***CAPITALISATION OF PROFITS*** | ***24***<br>|
| ***RECORD DATES*** | ***24***<br>|
| ***ACCOUNTING RECORDS*** | ***24***<br>|
| ***AUDIT*** | ***25*** |
| ***SERVICE OF NOTICES AND OTHER DOCUMENTS*** | ***25*** |
| ***ELECTRONIC COMMUNICATION*** | ***25***<br>|
| ***WINDING UP*** | ***26*** |
| ***INDEMNITY*** | ***26***<br>|
| ***CONTINUATION*** | ***27*** |
| ***ALTERATION OF BYE-LAWS*** | ***27*** |
| ***REQUIREMENT TO SUPPLY INFORMATION TO THE COMPANY*** | ***28***<br>|
| ***REMOVAL OF VOTING RIGHTS WHERE DEFAULT*** | ***28*** |

---

iii

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#### Bye-laws

#### of

#### Himalaya Shipping Ltd.

#### DEFINITIONS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1. In these Bye-laws, and any Schedule, unless the context otherwise requires:

"**Alternate Director**" means such person or persons as shall be appointed from time to time pursuant to Bye-law 103;

"**Annual General Meeting**" means a meeting convened by the Company pursuant to Section 71(1) of the Principal Act;

"**Associate**" means:

(a) in respect of an individual, such individual's spouse, former spouse, sibling, aunt, uncle, nephew, niece or lineal ancestor or descendant, including any step-child and adopted child and their issue and step parents and adoptive parents and their issue or lineal ancestors;

<br> (b) in respect of an individual, such individual's partner and such partner's relatives (within the categories set out in (a) above);

<br> (c) in respect of an individual or body corporate, an employer or employee (including, in relation to a body corporate, any of its directors or officers);

(d) in respect of a body corporate, any person who controls such body corporate, and any other body corporate if the same person has control of both or if a person has control of one and persons who are his Associates, or such person and persons who are his Associates, have control of the other, or if a group of two or more persons has control of each body corporate, and the groups either consist of the same persons or could be regarded as consisting of the same persons by treating (in one or more cases) a member of either group as replaced by a person of whom he is an Associate. For the purposes of this paragraph, a person has control of a body corporate if either (i) the directors of the body corporate or of any other body corporate which has control of it (or any of them) are accustomed to acting in accordance with his instructions or (ii) he is entitled to exercise, or control the exercise of, one-third or more of the votes attaching to all of the issued shares of the body corporate or of another body corporate which has control of it (provided that where two or more persons acting in concert satisfy either of the above conditions, they are each to be taken as having control of the body corporate);

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"**Bermuda**" means the Islands of Bermuda;

"**Board**" means the Board of Directors of the Company or the Directors present at a meeting of Directors at which there is a quorum;

"**Branch Register**" means a branch of the Register for the shares which is maintained by a Registrar pursuant to the terms of an agreement with the Company;

"**Business Day**" means a day on which banks are open for the transaction of general banking business in each of London, United Kingdom and Hamilton, Bermuda;

"**Bye-laws**" means these Bye-laws in their present form or as they may be amended from time to time;

"**the Companies Acts**" means every Bermuda statute from time to time in force concerning companies insofar as the same applies to the Company including, without limitation, the Principal Act;

"**Company**" means the company incorporated in Bermuda under the name of **Himalaya Shipping Ltd.** on the 17<sup>th</sup> day of March 2021;

"**Company Website**" means the website of the Company established pursuant to Bye-law 159;

"**Director**" means such person or persons as shall be elected or appointed to the Board from time to time pursuant to these Bye-laws, or the Companies Acts;

**"Electronic Record"** means a record created, stored, generated, received or communicated by electronic means and includes any electronic code or device necessary to decrypt or interpret such a record;

"**Electronic Transactions Act**" means the Electronic Transactions Act 1999;

**"Finance Officer"** means such person or persons other than the Resident Representative appointed from time to time by the Board pursuant to Bye-law 119 and 131 to act as the Finance Officer of the Company;

**"General Meeting"** means an Annual General Meeting or a Special General Meeting;

"**Listing Exchange**" means any stock exchange or quotation system upon which the shares are listed from time to time;

"**Officer**" means such person or persons as shall be appointed from time to time by the Board pursuant to Bye-law 131;

"**paid up**" means paid up or credited as paid up;

"**Principal Act**" means the Companies Act 1981;

"**Register**" means the Register of Shareholders of the Company and except in the definitions of "Branch Register" and "Registration Office" in this Bye-law and except in Bye-law 52, includes any Branch Register;

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"**Registered Office**" means the registered office for the time being of the Company;

"**Registrar**" means such person or body corporate who may from time to time be appointed by the Board as registrar of the Company with responsibility to maintain a Branch Register;

"**Registration Office**" means the place where the Board may from time to time determine to keep the Register and/or the Branch Register and where (except in cases where the Board otherwise directs) the transfer and documents of title are to be lodged for registration;

"**Resident Representative**" means any person appointed to act as the resident representative of the Company and includes any deputy or assistant resident representatives;

"**Resolution**" means a resolution of the Shareholders or, where required, of a separate class or separate classes of Shareholders, adopted either in a General Meeting or by written resolution, in accordance with the provisions of these Bye-laws;

"**Seal**" means the common seal of the Company, if any, and includes any duplicate thereof;

"**Secretary**" means the person appointed to perform any or all of the duties of the secretary of the Company and includes a temporary or assistant Secretary and any person appointed by the Board to perform any of the duties of the Secretary;

"**Shareholder**" means a shareholder or member of the Company;

"**Special General Meeting**" means a general meeting, other than the Annual General Meeting;

"**Treasury Shares**" means any share that was acquired and held by the Company, or as treated as having been acquired and held by the Company, which has been held continuously by the Company since it was acquired and which has not been cancelled; and

"**VPS**" means Verdipapirsentralen ASA, a Norwegian corporation maintaining a computerised central share registry in Oslo, Norway, for bodies corporate and shall include any successor registry.

#### CONSTRUCTION

1.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; In these Bye-laws, unless the contrary intention appears:

<br> (a) Words importing only the singular number include the plural number and vice versa;

(b) Without prejudice to the generality of paragraph (a), during periods when the Company has elected or appointed only one (1) Director as permitted by the Principal Act references to "**the Directors**" shall be construed as if they are references to the sole Director of the Company;

<br> (c) Words importing only the masculine gender include the feminine and neuter genders respectively;

<br> (d) Words importing persons include companies or associations or bodies of persons, whether corporate or un-incorporate wherever established;

<br> (e) For the purposes of these Bye-laws a corporation shall be deemed to be present in person if its representative duly authorised pursuant to the Companies Acts is present;

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<br> (f) References to a meeting will not be taken as requiring more than one person to be present if the relevant quorum requirement can be satisfied by one person;

(g) References to writing shall include typewriting, printing, lithography, facsimile, photography and other modes of reproducing or reproducing words in a legible and non-transitory form including electronic transfers by way of e-mail or otherwise and shall include any manner permitted or authorized by the Electronic Transactions Act;

<br> (h) Unless otherwise defined herein, any words or expressions defined in the Principal Act in force on the date when these Bye-Laws or any part thereof are adopted shall bear the same meaning in these Bye-Laws or such part (as the case may be);

<br> (i) Any reference in these Bye-Laws to any statute or section thereof shall, unless expressly stated, be deemed to be a reference to such statute or section as amended, restated or re-enacted from time to time; and

<br> (j) Headings in these Bye-Laws are inserted for convenience of reference only and shall not affect the construction thereof.

#### REGISTERED OFFICE

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The Registered Office shall be at such place in Bermuda as the Board shall from time to time appoint.

#### SHARES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. At the time these Bye-laws are adopted, the share capital of the Company is divided into one class of 140,010,000 common shares of par value USD 1.00 each.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Subject to the provisions of these Bye-laws, the unissued shares of the Company (whether forming part of the original capital or any increased capital) shall be at the disposal of the Board, which may offer, allot, grant warrants,
 options or other securities with rights to convert such securities into shares of the Company over any unissued shares of the Company or otherwise dispose of the Company's unissued shares to such persons at such times and for such
 consideration and upon such terms and conditions as the Board may determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The Board may, in connection with the issue of any shares, exercise all powers of paying commission and brokerage conferred or permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. No shares shall be issued until they are fully paid except as may be prescribed by an Resolution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. The holders of the Shares shall, subject to the provisions of these Bye-laws:

(a) be entitled to one vote per share;

<br> (b) be entitled to such dividends or distributions as the Board may from time to time declare;

<br> (c) in the event of a winding up or dissolution of the Company, whether voluntary or involuntary or for the purpose of a reorganisation or otherwise or upon any distribution of capital, be entitled to the surplus assets of the Company;

<br> (d) generally be entitled to enjoy all the rights attaching to shares.

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#### POWER TO PURCHASE OWN SHARES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. The Company shall have the power to purchase shares for cancellation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. The Company shall have the power to acquire shares to be held as Treasury Shares. The Board may exercise all of the powers of the Company to purchase or acquire shares, whether for cancellation or to be held as Treasury Shares in
 accordance with the Principal Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. The Board may exercise all powers of the Company to (i) divide its shares into several classes and attach thereto respectively any preferential, deferred, qualified or special rights, privileges or conditions; (ii) consolidate and divide
 all or any of its share capital into shares of larger amount than its existing shares; (iii) subdivide its shares, or any of them, into shares of smaller amount than is fixed by the memorandum, so, however, that in the subdivision the
 proportion between the amount paid and the amount, if any, unpaid on each reduced share shall be the same as it was in the case of the share from which the reduced share is derived; and (iv) make provision for the issue and allotment of
 shares which do not carry any voting rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. At any time that the Company holds Treasury Shares, all of the rights attaching to the Treasury Shares shall be suspended and shall not be exercised by the Company. Without limiting the generality of the foregoing, if the Company holds
 Treasury Shares, the Company shall not have any right to attend and vote at a General Meeting including a meeting under Section 99 of the Principal Act or sign written resolutions and any purported exercise of such a right is void.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. The Company may not by virtue of any Treasury Shares held by it participate in any offer by the Company to Shareholders or receive any distribution (including in a winding up) but without prejudice to the right of the Company to sell or
 dispose of the Treasury Shares for cash or other consideration or to receive an allotment of shares as fully paid bonus shares in respect of the Treasury Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. Except where required by the Principal Act, Treasury Shares shall be excluded from the calculation of any percentage or fraction of the share capital, or shares, of the Company.

#### MODIFICATION OF RIGHTS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. Subject to the Companies Acts, all or any of the special rights for the time being attached to any class of shares for the time being issued may from time to time (whether or not the Company is being wound up) be altered or abrogated
 with the consent in writing of the holders of not less than seventy five percent of the issued shares of that class or with the sanction of a resolution passed at a separate general meeting of the holders of such shares voting in person or
 by proxy. To any such separate general meeting, all the provisions of these Bye-laws as to general meetings of the Company shall mutatis mutandis apply, but so that the necessary quorum shall be two or more persons holding or representing
 by proxy any of the shares of the relevant class, that every holder of shares of the relevant class shall be entitled on a poll to one vote for every such share held by him and that any holder of shares of the relevant class present in
 person or by proxy may demand a poll; provided, however, that if the Company or a class of Shareholders shall have only one Shareholder, one Shareholder present in person or by proxy shall constitute the necessary quorum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. The special rights conferred upon the holders of any shares or class of shares shall not, unless otherwise expressly provided in the rights attaching to or the terms of issue of such shares, be deemed to be altered by the creation or
 issue of further shares ranking pari passu therewith.

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#### CERTIFICATES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. Subject to the Companies Acts, no share certificates shall be issued by the Company unless the Board has either for all or for some holders of such shares (who may be determined in such manner as the Board thinks fit) determined that the
 holder of such shares may be entitled to share certificates. In the case of a share held jointly by several persons, delivery of a certificate to one of several joint holders shall be sufficient delivery to all.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. Subject to being entitled to a share certificate under the provisions of Bye-law 16, the Company shall be under no obligation to complete and deliver a share certificate unless specifically called upon to do so by the person to whom the
 shares have been allotted. If a share certificate is defaced, lost or destroyed it may be replaced without fee but on such terms (if any) as to evidence and indemnity and to payment of the costs and out of pocket expenses of the Company in
 investigating such evidence and preparing such indemnity as the Board may think fit and, in case of defacement, on delivery of the old certificate to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. All certificates for share or loan capital or other securities of the Company (other than letters of allotment, scrip certificates and other like documents) shall, except to the extent that the terms and conditions for the time being
 relating thereto otherwise provide, be issued under the Seal or bearing the signature of at least one person who is a Director or Secretary of the Company or a person expressly authorized to sign such certificates on behalf of the Company.
 The Board may by resolution determine, either generally or in any particular case, that any signatures on any such certificates need not be autographic but may be affixed to such certificates by some mechanical means or may be printed
 thereon.

19.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Notwithstanding any provisions of these Bye-laws:

(a) the Board shall, subject always to the Companies Acts and any other applicable laws and regulations and the facilities and requirements of any relevant system concerned, have power to implement any arrangements it may, in its absolute discretion, think fit in relation to the evidencing of title to and transfer of uncertificated shares by means of the system maintained by VPS or any other relevant system, and to the extent such arrangements are so implemented, no provision of these Bye-laws shall apply or have effect to the extent that it is in any respect inconsistent with the holding or transfer of shares in uncertificated form; and

(b) unless otherwise determined by the Board and as permitted by the Companies Acts and any other applicable laws and regulations, no person shall be entitled to receive a certificate in respect of any share for so long as the title to that share is evidenced otherwise than by a certificate and for so long as transfers of that share may be made otherwise than by a written instrument.

#### LIEN

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. The Company shall have a first and paramount lien on every share (not being a fully paid share) for all moneys, whether presently payable or not, called or payable, at a date fixed by or in accordance with the terms of issue of such
 share in respect of such share, and the Company shall also have a first and paramount lien on every share (other than a fully paid share) standing registered in the name of a Shareholder, whether singly or jointly with any other person, for
 all the debts and liabilities of such Shareholder or his estate to the Company, whether the same shall have been incurred before or after notice to the Company of any interest of any person other than such Shareholder, and whether the time
 for the payment or discharge of the same shall have actually arrived or not, and notwithstanding that the same are joint debts or liabilities of such Shareholder or his estate and any other person, whether a Shareholder or not. The
 Company's lien on a share shall extend to all dividends payable thereon. The Board may at any time, either generally or in any particular case, waive any lien that has arisen or declare any share to be wholly or in part exempt from the
 provisions of this Bye-law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. The Company may sell, in such manner as the Board may think fit, any share on which the Company has a lien but no sale shall be made unless some sum in respect of which the lien exists is presently payable nor until the expiration of
 fourteen days after a notice in writing, stating and demanding payment of the sum presently payable and giving notice of the intention to sell in default of such payment, has been served on the holder for the time being of the share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. The net proceeds of sale by the Company of any shares on which it has a lien shall be applied in or towards payment or discharge of the debt or liability in respect of which the lien exists so far as the same is presently payable, and
 any residue shall (subject to a like lien for debts or liabilities not presently payable as existed upon the share prior to the sale) be paid to the holder of the share immediately before such sale. For giving effect to any such sale the
 Board may authorise some person to transfer the share sold to the purchaser thereof. The purchaser shall be registered as the holder of the share and he shall not be bound to see to the application of the purchase money, nor shall his
 title to the share be affected by any irregularity or invalidity in the proceedings relating to the sale.

#### CALLS ON SHARES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23. The Board may from time to time make calls upon the Shareholders (for the avoidance of doubt excluding the Company in respect of any nil or partly paid shares held by the Company as treasury shares) in respect of any moneys unpaid on
 their shares (whether on account of the par value of the shares or by way of premium) and not by the terms of issue thereof made payable at a date fixed by or in accordance with such terms of issue, and each Shareholder shall (subject to
 the Company serving upon him at least fourteen days' notice specifying the time or times and place of payment) pay to the Company at the time or times and place so specified the amount called on his shares. A call may be revoked or
 postponed as the Board may determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;24. A call may be made payable by installments and shall be deemed to have been made at the time when the resolution of the Board authorizing the call was passed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;25. The joint holders of a share shall be jointly and severally liable to pay all calls in respect thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26. If a sum called in respect of the share shall not be paid before or on the day appointed for payment thereof the person from whom the sum is due shall pay interest on the sum from the day appointed for the payment thereof to the time of
 actual payment at such rate as the Board may determine, but the Board shall be at liberty to waive payment of such interest wholly or in part.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;27. Any sum which, by the terms of issue of a share, becomes payable on allotment or at any date fixed by or in accordance with such terms of issue, whether on account of the nominal amount of the share or by way of premium, shall for all
 the purposes of these Bye-laws be deemed to be a call duly made, notified and payable on the date on which, by the terms of issue, the same becomes payable and, in case of non-payment, all the relevant provisions of these Bye-laws as to
 payment of interest, forfeiture or otherwise shall apply as if such sum had become payable by virtue of a call duly made and notified.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;28. The Board may on the issue of shares differentiate between the allottees or holders as to the amount of calls to be paid and the times of payment.

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#### FORFEITURE OF SHARES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;29. If a Shareholder fails to pay any call or installment of a call on the day appointed for payment thereof, the Board may at any time thereafter during such time as any part of such call or installment remains unpaid serve a notice on him
 requiring payment of so much of the call or installment as is unpaid, together with any interest which may have accrued.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;30. The notice shall name a further day (not being less than 14 days from the date of the notice) on or before which, and the place where, the payment required by the notice is to be made and shall state that, in the event of non-payment on
 or before the day and at the place appointed, the shares in respect of which such call is made or installment is payable will be liable to be forfeited. The Board may accept the surrender of any share liable to be forfeited hereunder and,
 in such case, references in these Bye-laws to forfeiture shall include surrender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;31. If the requirements of any such notice as aforesaid are not complied with, any share in respect of which such notice has been given may at any time thereafter, before payment of all calls or installments and interest due in respect
 thereof has been made, be forfeited by a resolution of the Board to that effect. Such forfeiture shall include all dividends declared in respect of the forfeited shares and not actually paid before the forfeiture.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;32. When any share has been forfeited, notice of the forfeiture shall be served upon the person who was before forfeiture the holder of the share; but no forfeiture shall be in any manner invalidated by any omission or neglect to give such
 notice as aforesaid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;33. A forfeited share shall be deemed to be the property of the Company and may be sold, re-offered or otherwise disposed of either to the person who was, before forfeiture, the holder thereof or entitled thereto or to any other person upon
 such terms and in such manner as the Board shall think fit, and at any time before a sale, re-allotment or disposition the forfeiture may be cancelled on such terms as the Board may think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;34. A person whose shares have been forfeited shall thereupon cease to be a Shareholder in respect of the forfeited shares but shall, notwithstanding the forfeiture, remain liable to pay to the Company all moneys which at the date of
 forfeiture were presently payable by him to the Company in respect of the shares with interest thereon at such rate as the Board may determine from the date of forfeiture until payment, and the Company may enforce payment without being
 under any obligation to make any allowance for the value of the shares forfeited.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;35. An affidavit in writing that the deponent is a Director or the Secretary and that a share has been duly forfeited on the date stated in the affidavit shall be conclusive evidence of the facts therein stated as against all persons
 claiming to be entitled to the share. The Company may receive the consideration (if any) given for the share on the sale, re-allotment or disposition thereof and the Board may authorise some person to transfer the share to the person to
 whom the same is sold, re-allotted or disposed of, and he shall thereupon be registered as the holder of the share and shall not be bound to see to the application of the purchase money (if any) nor shall his title to the share be affected
 by any irregularity or invalidity in the proceedings relating to the forfeiture, sale, re-allotment or disposal of the share.

#### TRANSFER OF SHARES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;36. Subject to the Companies Acts and to such of the restrictions contained in these Bye-Laws as may be applicable, any Shareholder may transfer all or any of his shares .

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;37. Except where the Company's shares are listed or admitted to trading on a Listing Exchange, shares shall be transferred by an instrument of transfer in the usual common form or in any other form which
 the Board may approve. No such instrument shall be required on the redemption of a share or not the purchase by the Company of a share. The instrument of transfer of a share shall be signed by or on behalf of
 the transferor and, where any share is not fully-paid, the transferee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;38. The Board may, in its absolute discretion, decline to register any transfer of any share which is not a fully-paid share. The Board may also decline to register any transfer unless:

(a) the instrument of transfer is duly stamped (if required) and lodged with the Company, accompanied by the certificate (if any) for the shares to which it relates, and such other evidence as the Board may reasonably require to show the right of the transferor to make the transfer,

<br> (b) the instrument of transfer is in respect of only one class of share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;39. Subject to any directions of the Board from time to time in force, the Secretary may exercise the powers and discretions of the Board under Bye-laws 37 and 38.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;40. Where the Company's shares are listed or admitted to trading on a Listing Exchange Bye-laws 37 and 38 shall not apply, and shares may be transferred in accordance with the rules and regulations of the
 Listing Exchange. Where applicable, all transfers of uncertificated shares shall be made in accordance with and be subject to the facilities and requirements of the transfer of title to shares in that class by means of any
 relevant system concerned and, subject thereto, in accordance with any arrangements made by the Board pursuant to Bye-law 18. The Board may also make such additional regulations as it considers appropriate
 from time to time in connection with the transfer of the Company's publicly traded shares and other securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;41. Where the shares are not listed or admitted to trading on a Listing Exchange and are traded over-the-counter, shares may be transferred in accordance with the Companies Acts and where appropriate, with the
 permission of the Bermuda Monetary Authority. The Board shall decline to register the transfer of any shares unless the permission of the Bermuda Monetary Authority has been obtained.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;42. The transferor shall be deemed to remain the holder of the share until the name of the transferee is entered in the Register in respect thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;43.  **<u>DELETED</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;44. If the Board declines to register a transfer it shall, within three months after the date on which the instrument of transfer was lodged, send to the transferee notice of such refusal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;45. No fee shall be charged by the Company for registering any transfer, probate, letters of administration, certificate of death or marriage, power of attorney, distringas or stop notice, order of court or other instrument relating to or
 affecting the title to any share , or otherwise making an entry in the Register relating to any share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;46. Notwithstanding anything contained in these Bye-laws (save for Bye-law 41) the Directors shall not decline to register any transfer of shares, nor may they suspend registration thereof where such transfer is executed by any bank or other
 person to whom such shares have been charged by way of security, or by any nominee or agent of such bank or person, and whether the transfer is effected for the purpose of perfecting any mortgage or
 charge of such shares or pursuant to the sale of such shares under such mortgage or charge, and a certificate signed by any officer of such bank or by such person that such Ordinary Shares were so
 mortgaged or charged and the transfer was so executed shall be conclusive evidence of such facts.

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#### TRANSMISSION OF SHARES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;47. In the case of the death of a Shareholder, the survivor or survivors, where the deceased was a joint holder, and the estate representative, where he was sole holder, shall be the only person recognised by the Company as having any title
 to his shares; but nothing herein contained shall release the estate of a deceased holder (whether the sole or joint) from any liability in respect of any share held by him solely or jointly with other persons. For the purpose of this
 Bye-law, estate representative means the person to whom probate or letters of administration has or have been granted in Bermuda or, failing any such person, such other person as the Board may in its absolute discretion determine to be the
 person recognised by the Company for the purpose of this Bye-law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;48. Any person becoming entitled to a share in consequence of the death of a Shareholder or otherwise by operation of applicable law may, subject as hereafter provided and upon such evidence being produced as may from time to time be
 required by the Board as to his entitlement, either be registered himself as the holder of the share or elect to have some person nominated by him registered as the transferee thereof. If the person so becoming entitled elects to be
 registered himself, he shall deliver or send to the Company a notice in writing signed by him stating that he so elects. If he shall elect to have his nominee registered, he shall signify his election by signing an instrument of transfer
 of such share in favour of his nominee. All the limitations, restrictions and provisions of these Bye-laws relating to the right to transfer and the registration of transfer of shares shall be applicable to any such notice or instrument of
 transfer as aforesaid as if the death of the Shareholder or other event giving rise to the transmission had not occurred and the notice or instrument of transfer was an instrument of transfer signed by such Shareholder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;49. A person becoming entitled to a share in consequence of the death of a Shareholder or otherwise by operation of applicable law shall (upon such evidence being produced as may from time to time be required by the Board as to his
 entitlement) be entitled to receive and may give a discharge for any dividends or other moneys payable in respect of the share, but he shall not be entitled in respect of the share to receive notices of or to attend or vote at general
 meetings of the Company or, save as aforesaid, to exercise in respect of the share any of the rights or privileges of a Shareholder until he shall have become registered as the holder thereof. The Board may at any time give notice requiring
 such person to elect either to be registered himself or to transfer the share and if the notice is not complied with within sixty days the Board may thereafter withhold payment of all dividends and other moneys payable in respect of the
 shares until the requirements of the notice have been complied with.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;50. Subject to any directions of the Board from time to time in force, the Secretary may exercise the powers and discretions of the Board under Bye-laws 47, 48 and 49.

#### REGISTERED HOLDERS AND THIRD PARTY INTERESTS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;51. Except as ordered by a court of competent jurisdiction or as required by law, no person shall be recognised by the Company as holding any share upon trust and the Company shall not be bound by or required in any way to recognise (even
 when having notice thereof) any equitable, contingent, future or partial interest in any share or any interest in any fractional part of a share or (except only as otherwise provided in these Bye-laws or by law) any other right in respect
 of any share except an absolute right to the entirety thereof in the registered holder.

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#### REGISTER OF SHAREHOLDERS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;52. The Secretary shall establish and maintain the Register in the manner prescribed by the Companies Acts. Unless the Board otherwise determines, the Register and any Branch Register shall be open to inspection in the manner prescribed by
 the Companies Acts between 10.00 a.m. and 12.00 noon on every working day. Unless the Board otherwise determines, no Shareholder or intending Shareholder shall be entitled to have entered in the Register or any Branch Register any
 indication of any trust or any equitable, contingent, future or partial interest in any share or any interest in any fractional part of a share and if any such entry exists or is permitted by the Board it shall not be deemed to abrogate any
 of the provisions of Bye-law 51.

Subject to the provisions of the Companies Acts, the Board may resolve that the Company may keep one or more Branch Registers in any place in or outside of Bermuda, and the Board may make, amend and revoke any such regulations as it may think fit respecting the keeping of such Branch Registers. The Board may authorise any share on the Register to be included in a Branch Register or any share registered on a Branch Register to be registered on another Branch Register, provided that at all times the Register and each Branch Register is maintained in accordance with the Companies Acts.

#### INCREASE OF CAPITAL

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;53. The Company may from time to time increase its capital by such sum to be divided into shares of such par value as the Company by Resolution shall prescribe.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;54. The Company may, by the Resolution increasing the capital, direct that the new shares or any of them shall be offered in the first instance either at par or at a premium or (subject to the provisions of the Companies Acts) at a discount
 to all the holders for the time being of shares of any class or classes in proportion to the number of such shares held by them respectively or make any other provision as to the issue of the new shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;55. The new shares shall be subject to all the provisions of these Bye-laws with reference to lien, the payment of calls, forfeiture, transfer, transmission and otherwise.

#### ALTERATION OF CAPITAL

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;56. The Company may from time to time by Resolution:

(a) cancel shares which, at the date of the passing of the Resolution in that behalf, have not been taken or agreed to be taken by any person, and diminish the amount of its share capital by the amount of the shares so cancelled; and

<br> (b) change the currency denomination of its share capital.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;57. Where any difficulty arises in regard to any division, consolidation, or sub-division of shares, the Board may settle the same as it thinks expedient and, in particular, may arrange for the sale of the shares representing fractions and
 the distribution of the net proceeds of sale in due proportion amongst the Shareholders who would have been entitled to the fractions, and for this purpose the Board may authorise some person to transfer the shares representing fractions to
 the purchaser thereof, who shall not be bound to see to the application of the purchase money nor shall his title to the shares be affected by any irregularity or invalidity in the proceedings relating to the sale.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;58. Subject to the Companies Acts and to any confirmation or consent required by law or these Bye-laws, the Company may by Resolution from time to time convert any preference shares into redeemable preference shares.

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#### REDUCTION OF CAPITAL

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;59. Subject to the Companies Acts, its memorandum of association and any confirmation or consent required by law or these Bye-laws, the Company may from time to time by Resolution authorise the reduction of its issued share capital or any
 capital redemption reserve fund or any share premium or contributed surplus account in any manner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;60. In relation to any such reduction, the Company may by Resolution determine the terms upon which such reduction is to be effected including in the case of a reduction of part only of a class of shares, those shares to be affected.

#### GENERAL MEETINGS AND WRITTEN RESOLUTIONS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61. The Board shall convene and the Company shall hold General Meetings as Annual General Meetings in accordance with the requirements of the Companies Acts at such times and places as the Board shall appoint. The Board may, whenever it
 thinks fit, and shall, when required by the Companies Acts, convene General Meetings other than Annual General Meetings which shall be called Special General Meetings. Any such Annual or Special General
 Meeting shall be held at the Registered Office of the Company in Bermuda or such other location suitable for such purpose.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;62. Except in the case of the removal of auditors and Directors and subject to these Bye-laws, anything which may be done by resolution of the Company in general meeting or by resolution of a meeting of any class of the Shareholders of the
 Company may, without a meeting be done by resolution in writing, signed by a simple majority of all of the Shareholders (or such greater majority as is required by the Companies Acts or these Bye-laws) or their proxies, or in the case of a
 Shareholder that is a corporation (whether or not a company within the meaning of the Companies Acts) on behalf of such Shareholder, being all of the Shareholders of the Company who at the date of the resolution in writing represent the
 majority of votes that would be entitled to attend a meeting and vote on the resolution. Such resolution in writing may be signed by, or in the case of a Shareholder that is a corporation (whether or not a company within the meaning of the
 Companies Acts), on behalf of such Shareholder, in as many counterparts as may be necessary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;63. Notice of any resolution to be made under Bye-law 62 shall be given, and a copy of the resolution shall be circulated, to all Shareholders who would be entitled to attend a meeting and vote on the resolution in the same manner as that
 required for a notice of a meeting of members at which the resolution could have been considered, provided that the length of the period of notice of any resolution to be made under Bye-law 62 shall not apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;64. A resolution in writing is passed when it is signed by, or, in the case of a member that is a corporation (whether or not a company within the meaning of the Companies Acts) on behalf of, such number of the Shareholders of the Company
 who at the date of the notice represent a majority of votes as would be required if the resolution had been voted on at a meeting of Shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;65. A resolution in writing made in accordance with Bye-law 62 is as valid as if it had been passed by the Company in general meeting or, if applicable, by a meeting of the relevant class of Shareholders of the Company, as the case may be. 
 A resolution in writing made in accordance with Bye-law 62 shall constitute minutes for the purposes of the Companies Acts and these Bye-laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;66. The accidental omission to give notice to, or the non-receipt of a notice by, any person entitled to receive notice of a resolution does not invalidate the passing of a resolution.

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#### NOTICE OF GENERAL MEETINGS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;67. An Annual General Meeting shall be called by not less than 7 days' notice in writing and a Special General Meeting shall be called by not less than 7 days' notice in writing. The notice shall be exclusive of the day on which it is
 served or deemed to be served and of the day for which it is given, and shall specify the place, day and time of the meeting, and, in the case of a Special General Meeting, the general nature of the business to be considered. Notice of
 every General Meeting shall be given in any manner permitted by these Bye-laws. Shareholders other than those required to be given notice under the provisions of these Bye-laws or the terms of issue of the shares they hold, are not
 entitled to receive such notice from the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;68. Notwithstanding that a meeting of the Company is called by shorter notice than that specified in this Bye-law, it shall be deemed to have been duly called if it is so agreed:

(a) in the case of a meeting called as an Annual General Meeting, by all the Shareholders entitled to attend and vote thereat;

(b) in the case of any other meeting, by a majority in number of the Shareholders having the right to attend and vote at the meeting, being a majority together holding not less than 95 percent in nominal value of the shares giving that right;

provided that notwithstanding any provision of these Bye-Laws, no Shareholder shall be entitled to attend any general meeting unless notice in writing of the intention to attend and vote in person or by proxy signed by or on behalf of the Shareholder (together with the power of attorney or other authority, if any, under which it is signed or a notarially certified copy thereof) addressed to the Secretary is deposited (by post, courier, facsimile transmission or other electronic means) at the Registered Office at least 48 hours before the time appointed for holding the general meeting or adjournment thereof. The accidental omission to give notice of a meeting or (in cases where instruments of proxy are sent out with the notice) the accidental omission to send such instrument of proxy to, or the non-receipt of notice of a meeting or such instrument of proxy by, any person entitled to receive such notice shall not invalidate the proceedings at that meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;69. The Board may convene a Special General Meeting whenever it thinks fit. A Special General Meeting shall also be convened by the Board on the written requisition of Shareholders holding at the date of the deposit
 of the requisition not less than one tenth in nominal value of the paid-up capital of the Company which as at the date of the deposit carries the right to vote at a general meeting of the Company. The requisition must state the purposes of
 the meeting and must be signed by the requisitionists and deposited at the registered office of the Company, and may consist of several documents in like form each signed by one or more of the requisitionists.

#### PROCEEDINGS AT GENERAL MEETINGS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;70. No business shall be transacted at any general meeting unless a quorum is present when the meeting proceeds to business, but the absence of a quorum shall not preclude the appointment, choice or election of a chairman, which shall not be
 treated as part of the business of the meeting. Save as otherwise provided by these Bye-Laws, the quorum at any general meeting shall be constituted by two or more Shareholders, either present in person or
 represented by proxy, holding shares carrying voting rights entitled to be exercised at such meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;71. If within five minutes (or such longer time as the chairman of the meeting may determine to wait) after the time appointed for the meeting, a quorum is not present, the meeting, if convened on the requisition of Shareholders, shall be
 dissolved. In any other case, it shall stand adjourned to such other day and such other time and place as the chairman of the meeting may determine and at such adjourned meeting two Shareholders present in person or by proxy (whatever the
 number of shares held by them) shall be a quorum provided that if the Company shall have only one Shareholder, one Shareholder present in person or by proxy shall constitute the necessary quorum. The Company shall give not less than 5
 days' notice of any meeting adjourned through want of a quorum and such notice shall state that the sole Shareholder or, if more than one, two Shareholders present in person or by proxy (whatever the number of shares held by them) shall be
 a quorum.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;72. A meeting of the Shareholders or any class thereof may be held by means of such telephone, electronic or other communication facilities as permit all persons participating in the meeting to communicate with each other simultaneously and
 instantaneously and participation in such a meeting shall constitute presence in person at such meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;73. Each Director shall be entitled to attend and speak at any general meeting of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;74. The Chairman (if any) of the Board or in his absence the Director who has been appointed as the head of the Board shall preside as chairman at every general meeting. If there is no such Chairman or such Director, or if at any meeting
 neither the Chairman nor such Director is present within five (5) minutes after the time appointed for holding the meeting, or if neither of them is willing to act as chairman, the Directors present shall choose one of their number to act
 or if one Director only is present he shall preside as chairman if willing to act. If no Director is present, or if each of the Directors present declines to take the chair, the persons present and entitled to vote on a poll shall elect
 one of their number to be chairman.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;75. The chairman of the meeting may, with the consent of any meeting at which a quorum is present (and shall if so directed by the meeting), adjourn the meeting from time to time and from place to place but no business shall be transacted at
 any adjourned meeting except business which might lawfully have been transacted at the meeting from which the adjournment took place. When a meeting is adjourned for three months or more, notice of the adjourned meeting shall be given as
 in the case of an original meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;76. Save as expressly provided by these Bye-laws, it shall not be necessary to give any notice of an adjournment or of the business to be transacted at an adjourned meeting.

#### VOTING

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;77. Save where a greater majority is required by the Companies Acts or these Bye-laws, any question proposed for consideration at any general meeting shall be decided on by a simple majority of votes cast, provided that any resolution to
 approve an amalgamation or merger shall be decided on by a simple majority of votes cast and the quorum necessary for such meeting shall be two persons at least holding or representing by proxy 33 1/3% of the issued shares of the Company (or the class, where applicable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;78. At any General Meeting, a resolution put to the vote of the meeting shall be decided on a show of hands or by a count of votes received in the form of electronic records unless (before or on the declaration of the result of the show of
 hands or on the withdrawal of any other demand for a poll) a poll is demanded by:

<br> (a) the chairman of the meeting; or

(b) any Shareholder or Shareholders present in person or represented by proxy and holding between them not less than one tenth of the total voting rights of all the Shareholders having the right to vote at such meeting; or

(c) a Shareholder or Shareholders present in person or represented by proxy holding shares conferring the right to vote at such meeting, being shares on which an aggregate sum has been paid up equal to not less than one tenth of the total sum paid up on all such shares conferring such right.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;79. Unless a poll is so demanded and the demand is not withdrawn, a declaration by the chairman that a resolution has, on a show of hands or on a count of votes received in the form of electronic records, been carried or carried unanimously
 or by a particular majority or not carried by a particular majority or lost shall be final and conclusive, and an entry to that effect in the minute book of the Company shall be conclusive evidence of the fact without proof of the number of
 votes recorded for or against such resolution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;80. If a poll is duly demanded, the result of the poll shall be deemed to be the resolution of the meeting at which the poll is demanded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;81. A poll demanded on the election of a chairman, or on a question of adjournment, shall be taken forthwith. A poll demanded on any other question shall be taken in such manner and either forthwith or at such time (being not later than
 three months after the date of the demand) and place as the chairman shall direct. It shall not be necessary (unless the chairman otherwise directs) for notice to be given of a poll.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;82. The demand for a poll shall not prevent the continuance of a meeting for the transaction of any business other than the question on which the poll has been demanded and it may be withdrawn at any time before the close of the meeting or
 the taking of the poll, whichever is the earlier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;83. On a poll, votes may be cast either personally or by proxy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;84. A person entitled to more than one vote on a poll need not use all his votes or cast all the votes he uses in the same way.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;85. In the case of an equality of votes at a general meeting, whether on a show of hands, a count of votes received in the form of electronic records or on a poll, the chairman of such meeting shall not be entitled to a second or casting
 vote.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;86. In the case of joint holders of a share, the vote of the senior who tenders a vote, whether in person or by proxy, shall be accepted to the exclusion of the votes of the other joint holders, and for this purpose seniority shall be
 determined by the order in which the names stand in the Register in respect of the joint holding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;87. A Shareholder who is a patient for any purpose of any statute or applicable law relating to mental health or in respect of whom an order has been made by any Court having jurisdiction for the protection or management of the affairs of
 persons incapable of managing their own affairs may vote, whether on a show of hands or on a poll, by his receiver, committee, curator bonis or other person in the nature of a receiver, committee or curator bonis appointed by such Court and
 such receiver, committee, curator bonis or other person may vote on a poll by proxy, and may otherwise act and be treated as such Shareholder for the purpose of general meetings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;88. No Shareholder shall, unless the Board otherwise determines, be entitled to vote at any general meeting unless all calls or other sums presently payable by him in respect of shares in the Company have been paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;89. If (i) any objection shall be raised to the qualification of any voter or (ii) any votes have been counted which ought not to have been counted or which might have been rejected or (iii) any votes are not counted which ought to have been
 counted, the objection or error shall not vitiate the decision of the meeting or adjourned meeting on any resolution unless the same is raised or pointed out at the meeting or, as the case may be, the adjourned meeting at which the vote
 objected to is given or tendered or at which the error occurs. Any objection or error shall be referred to the chairman of the meeting and shall only vitiate the decision of the meeting on any resolution if the chairman decides that the
 same may have affected the decision of the meeting. The decision of the chairman on such matters shall be final and conclusive.

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#### PROXIES AND CORPORATE REPRESENTATIVES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;90. The instrument appointing a proxy shall be in writing under the hand of the appointor or of his attorney authorised by him in writing or, if the appointor is a corporation, either under its seal or under the hand of an officer, attorney
 or other person authorised to sign the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;91. Any Shareholder may appoint a standing proxy or (if a corporation) representative by depositing at the Registered Office a proxy or (if a corporation) an authorisation and such proxy or authorisation shall be valid for all general
 meetings and adjournments thereof or, resolutions in writing, as the case may be, until notice of revocation is received at the Registered Office which if permitted by the Principal Act may be in the form of an electronic record. Where a
 standing proxy or authorisation exists, its operation shall be deemed to have been suspended at any general meeting or adjournment thereof at which the Shareholder is present or in respect to which the Shareholder has specially appointed a
 proxy or representative. The Board may from time to time require such evidence as it shall deem necessary as to the due execution and continuing validity of any such standing proxy or authorisation and the operation of any such standing
 proxy or authorisation shall be deemed to be suspended until such time as the Board determines that it has received the requested evidence or other evidence satisfactory to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;92. Subject to Bye-law 91, the instrument appointing a proxy together with such other evidence as to its due execution as the Board may from time to time require, shall be delivered at the Registered Office which if permitted by the
 Principal Act may be in the form of an electronic record (or at such place as may be specified in the notice convening the meeting or in any notice of any adjournment or, in either case or the case of a written resolution, in any document
 sent therewith) prior to the holding of the relevant meeting or adjourned meeting at which the person named in the instrument proposes to vote or, in the case of a poll taken subsequently to the date of a meeting or adjourned meeting,
 before the time appointed for the taking of the poll, or, in the case of a written resolution, prior to the effective date of the written resolution and in default the instrument of proxy shall not be treated as valid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;93. Instruments of proxy shall be in any common form or in such other form as the Board may approve and the Board may, if it thinks fit, send out with the notice of any meeting or any written resolution forms of instruments of proxy for use
 at that meeting or in connection with that written resolution. The instrument of proxy shall be deemed to confer authority to demand or join in demanding a poll and to vote on any amendment of a written resolution or amendment of a
 resolution put to the meeting for which it is given as the proxy thinks fit. The instrument of proxy shall unless the contrary is stated therein be valid as well for any adjournment of the meeting as for the meeting to which it relates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;94. A vote given in accordance with the terms of an instrument of proxy shall be valid notwithstanding the previous death or insanity of the principal, or revocation of the instrument of proxy or of the authority under which it was executed,
 provided that no intimation in writing of such death, insanity or revocation shall have been received by the Company at the Registered Office which if permitted by the Principal Act may be in the form of an electronic record (or such other
 place as may be specified for the delivery of instruments of proxy in the notice convening the meeting or other documents sent therewith) one hour at least before the commencement of the meeting or adjourned meeting, or the taking of the
 poll, or the day before the effective date of any written resolution at which the instrument of proxy is used.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;95. Subject to the Companies Acts, the Board may at its discretion waive any of the provisions of these Bye-laws related to proxies or authorisations and, in particular, may accept such verbal or other assurances as it thinks fit as to the
 right of any person to attend and vote on behalf of any Shareholder at general meetings or to sign written resolutions.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;96. Notwithstanding any other provision of these Bye-laws, any Shareholder may appoint an irrevocable proxy by depositing at the Registered Office an irrevocable proxy and such irrevocable proxy shall be valid for all general meetings and
 adjournments thereof, or resolutions in writing, as the case may be, until terminated in accordance with its own terms, or until written notice of termination is received at the Registered Office signed by the proxy. The instrument
 creating the irrevocable proxy shall recite that it is constituted as such and shall confirm that it is granted with an interest. The operation of an irrevocable proxy shall not be suspended at any general meeting or adjournment thereof at
 which the Shareholder who has appointed such proxy is present and the Shareholder may not specially appoint another proxy or vote himself in respect of any shares which are the subject of the irrevocable proxy.

#### APPOINTMENT AND RETIREMENT OF DIRECTORS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;97. The number of Directors shall be such number not less than two as the Company by Resolution may from time to time determine and each Director shall, subject to the Companies Acts and these Bye-laws, hold office until the next Annual
 General Meeting following his election or until his successor is elected.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;98. The Company shall, at the Annual General Meeting and may in a general meeting by Resolution, determine the minimum and the maximum number of Directors and may by Resolution determine that one or more vacancies in the Board shall be
 deemed casual vacancies for the purpose of these Bye-laws. Without prejudice to the power of the Company in any general meeting in pursuance of any of the provisions of these Bye-laws to appoint any person to be a Director, the Board, so
 long as a quorum of Directors remains in office, shall have power at any time and from time to time to appoint any individual to be a Director so as to fill a casual vacancy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;99. The Company may in a Special General Meeting called for that purpose remove a Director provided notice of any such meeting shall be served upon the Director concerned not less than fourteen days before the meeting and he shall be

 of any such election by the Board.

#### PROCEEDINGS OF DIRECTORS

100.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The quorum for the transaction for the business of the Directors shall be two.

#### RESIGNATION AND DISQUALIFICATION OF DIRECTORS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;101. The office of a Director shall be vacated upon the happening of any of the following events:

<br> (a) if he resigns his office by notice in writing delivered to the Registered Office or tendered at a meeting of the Board;

<br> (b) if he becomes of unsound mind or a patient for any purpose of any statute or applicable law relating to mental health and the Board resolves that his office is vacated;

<br> (c) if he becomes bankrupt or compounds with his creditors;

<br> (d) if he is prohibited by law from being a Director;

<br> (e) if he ceases to be a Director by virtue of the Companies Acts or is removed from office pursuant to these Bye-laws.

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#### ALTERNATE DIRECTORS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;102. Director may at any time, by notice in writing signed by him delivered to the Registered Office of the Company or at a meeting of the Board, appoint any person (including another Director) to act as Alternate
 Director in his place during his absence and may in like manner at any time determine such appointment. If such person is not another Director such appointment unless previously approved by the Board shall have effect only upon and subject
 to being so approved. The appointment of an Alternate Director shall determine on the happening of any event which, were he a Director, would cause him to vacate such office or if his appointor ceases to be a Director.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;103. An Alternate Director shall be entitled to receive notices of all meetings of Directors, to attend, be counted in the quorum and vote at any such meeting at which any Director to whom he is alternate is not personally present, and
 generally to perform all the functions of any Director to whom he is alternate in his absence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;104. Every person acting as an Alternate Director shall (except as regards powers to appoint an alternate and remuneration) be subject in all respects to the provisions of these Bye-laws relating to Directors and shall alone be responsible to
 the Company for his acts and defaults and shall not be deemed to be the agent of or for any Director for whom he is alternate. An Alternate Director may be paid expenses and shall be entitled to be indemnified by the Company to the same
 extent mutatis mutandis as if he were a Director. Every person acting as an Alternate Director shall have one vote for each Director for whom he acts as alternate (in addition to his own vote if he is also a Director). The signature of an
 Alternate Director to any resolution in writing of the Board or a committee of the Board shall, unless the terms of his appointment provides to the contrary, be as effective as the signature of the Director or Directors to whom he is
 alternate.

#### DIRECTORS' FEES AND ADDITIONAL REMUNERATION AND EXPENSES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;105. The amount, if any, of Directors' fees shall from time to time be determined by the Company by Resolution and in the absence of a determination to the contrary in general meeting, such fees shall be deemed to accrue from day to day. Each
 Director may be paid his reasonable travelling, hotel and incidental expenses in attending and returning from meetings of the Board or committees constituted pursuant to these Bye-laws or general meetings and shall be paid all expenses
 properly and reasonably incurred by him in the conduct of the Company's business or in the discharge of his duties as a Director. Any Director who, by request, goes or resides abroad for any purposes of the Company or who performs services
 which in the opinion of the Board go beyond the ordinary duties of a Director may be paid such extra remuneration (whether by way of salary, commission, participation in profits or otherwise) as the Board may determine, and such extra
 remuneration shall be in addition to any remuneration provided for by or pursuant to any other Bye-law.

#### DIRECTORS' INTERESTS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;106. A Director may hold any other office or place of profit with the Company (except that of auditor) in conjunction with his office of Director for such period and upon such terms as the Board may determine, and may be paid such extra
 remuneration therefor (whether by way of salary, commission, participation in profits or otherwise) as the Board may determine, and such extra remuneration shall be in addition to any remuneration provided for by or pursuant to any other
 Bye-law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;107. A Director may act by himself or his firm in a professional capacity for the Company (otherwise than as auditor) and he or his firm shall be entitled to remuneration for professional services as if he were not a Director.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;108. Subject to the Companies Acts, a Director may notwithstanding his office be a party to, or otherwise interested in, any transaction or arrangement with the Company or in which the Company is otherwise interested; and be a Director or
 other officer of, or employed by, or a party to any transaction or arrangement with, or otherwise interested in, any body corporate promoted by the Company or in which the Company is interested. The Board may also cause the voting power
 conferred by the shares in any other company held or owned by the Company to be exercised in such manner in all respects as it thinks fit, including the exercise thereof in favour of any resolution appointing the Directors or any of them to
 be directors or officers of such other company, or voting or providing for the payment of remuneration to the directors or officers of such other company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;109. So long as, where it is necessary, he declares the nature of his interest at the first opportunity at a meeting of the Board or by writing to the Directors as required by the Companies Acts, a Director shall not by reason of his office
 be accountable to the Company for any benefit which he derives from any office or employment to which these Bye-laws allow him to be appointed or from any transaction or arrangement in which these Bye-laws allow him to be interested, and no
 such transaction or arrangement shall be liable to be avoided on the ground of any interest or benefit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;110. Subject to the Companies Acts and any further disclosure required thereby, a general notice to the Directors by a Director or officer declaring that he is a director or officer or has an interest in a person and is to be regarded as
 interested in any transaction or arrangement made with that person, shall be a sufficient declaration of interest in relation to any transaction or arrangement so made.

#### POWERS AND DUTIES OF THE BOARD

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;111. Subject to the provisions of the Companies Acts and these Bye-laws the Board shall manage the business of the Company and may pay all expenses incurred in promoting and incorporating the Company and may exercise all the powers of the
 Company. No alteration of these Bye-laws shall invalidate any prior act of the Board which would have been valid if that alteration had not been made. The powers given by this Bye-law shall not be limited by any special power given to the
 Board by these Bye-laws and a meeting of the Board at which a quorum is present shall be competent to exercise all the powers, authorities and discretions for the time being vested in or exercisable by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;112. The Board may exercise all the powers of the Company to borrow money and to mortgage or charge all or any part of the undertaking, property and assets (present and future) and uncalled capital of the Company and to issue debentures and
 other securities, whether outright or as collateral security for any debt, liability or obligation of the Company or of any other persons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;113. All cheques, promissory notes, drafts, bills of exchange and other instruments, whether negotiable or transferable or not, and all receipts for money paid to the Company shall be signed, drawn, accepted, endorsed or otherwise executed,
 as the case may be, in such manner as the Board shall from time to time by resolution determine.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;114. The Board on behalf of the Company may provide benefits, whether by the payment of gratuities or pensions or otherwise, for any person including any Director or former Director who has held any executive office or employment with the
 Company or with any body corporate which is or has been a subsidiary or affiliate of the Company or a predecessor in the business of the Company or of any such subsidiary or affiliate, and to any member of his family or any person who is or
 was dependent on him, and may contribute to any fund and pay premiums for the purchase or provision of any such gratuity, pension or other benefit, or for the insurance of any such person.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;115. The Board may from time to time appoint one or more of its body to hold any other employment or executive office with the Company for such period and upon such terms as the Board may determine and may revoke or terminate any such
 appointments. Any such revocation or termination as aforesaid shall be without prejudice to any claim for damages that such Director may have against the Company or the Company may have against such Director for any breach of any contract
 of service between him and the Company which may be involved in such revocation or termination. Any person so appointed shall receive such remuneration (if any) (whether by way of salary, commission, participation in profits or otherwise)
 as the Board may determine, and either in addition to or in lieu of his remuneration as a Director.

#### DELEGATION OF THE BOARD'S POWERS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;116. The Board may by power of attorney appoint any company, firm or person or any fluctuating body of persons, whether nominated directly or indirectly by the Board, to be the attorney or attorneys of the Company for such purposes and with
 such powers, authorities and discretions (not exceeding those vested in or exercisable by the Board under these Bye-laws) and for such period and subject to such conditions as it may think fit, and any such power of attorney may contain
 such provisions for the protection and convenience of persons dealing with any such attorney and of such attorney as the Board may think fit, and may also authorise any such attorney to sub-delegate all or any of the powers, authorities and
 discretions vested in him.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;117. The Board may entrust to and confer upon any Director or officer any of the powers exercisable by it upon such terms and conditions with such restrictions as it thinks fit, and either collaterally with, or to the exclusion of, its own
 powers, and may from time to time revoke or vary all or any of such powers but no person dealing in good faith and without notice of such revocation or variation shall be affected thereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;118. The Board may delegate any of its powers, authorities and discretions to any person or to committees, consisting of such person or persons (whether a member or members of its body or not) as it thinks fit . Any committee so formed shall, in the exercise of the powers, authorities and discretions so delegated, conform to any regulations which may be imposed upon it by the Board. Further, the Board may authorize any company, firm, person
 or body of persons to act on behalf of the Company for any specific purpose and in connection therewith to execute any deed, agreement, document or instrument on behalf of the Company.

#### PROCEEDINGS OF THE BOARD

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;119. The Board may meet for the despatch of business, adjourn and otherwise regulate its meetings as it thinks fit. Questions arising at any meeting shall be determined by a majority of votes. In the case of an equality of votes the motion
 shall be deemed to have been lost. A Director may, and the Secretary on the requisition of a Director shall, at any time summon a meeting of the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;120. Notice of a meeting of the Board shall be deemed to be duly given to a Director if it is given to him personally or by word of mouth or sent to him by post, cable, telex, telecopier, electronic means or other mode of representing or
 reproducing words in a legible and non-transitory form at his last known address or any other address given by him to the Company for this purpose. Written notice of Board meetings shall be given with
 reasonable notice being not less than 24 hours whenever practicable. A Director may waive notice of any meeting either prospectively or retrospectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;121. The quorum necessary for the transaction of the business of the Board may be fixed by the Board and, unless so fixed at any other number, shall be a majority of the Board present in person or by proxy. Any

 Director who ceases to be a Director at a meeting of the Board may continue to be present and to act as a Director and be counted in the quorum until the termination of the meeting if no other Director objects and if otherwise a quorum of
 Directors would not be present.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;122. A Director who to his knowledge is in any way, whether directly or indirectly, interested in a contract or proposed contract, transaction or arrangement with the Company and has complied with the provisions of the Companies Acts and
 these Bye-laws with regard to disclosure of his interest shall be entitled to vote in respect of any contract, transaction or arrangement in which he is so interested and if he shall do so his vote shall be counted, and he shall be taken
 into account in ascertaining whether a quorum is present.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;123. So long as a quorum of Directors remains in office, the continuing Directors may act notwithstanding any vacancy in the Board but, if no such quorum remains, the continuing Directors or a sole continuing Director may act only for the
 purpose of calling a general meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;124. The Chairman (if any) of the Board or, his absence the Director who has been appointed as the head of the Board shall preside as chairman at every meeting of the Board. If there is no such Chairman or Director or if at any meeting the
 Chairman or Director is not present within five (5) minutes after the time appointed for holding the meeting, or is not willing to act as chairman, the Directors present may choose one of their number to be chairman of the meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;125. The meetings and proceedings of any committee consisting of two or more members shall be governed by the provisions contained in these Bye-laws for regulating the meetings and proceedings of the Board so far as the same are applicable
 and are not superseded by any regulations imposed by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;126. A resolution in writing signed by all the Directors for the time being entitled to receive notice of a meeting of the Board or by all the members of a committee for the time being shall be as valid and effectual as a resolution passed at
 a meeting of the Board or, as the case may be, of such committee duly called and constituted . Such resolution may be contained in one document or in several documents in the like form each signed by
 one or more of the Directors (or their Alternate Directors) or members of the committee concerned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;127. A meeting of the Board or a committee appointed by the Board may be held by means of such telephone, electronic or other communication facilities as permit all persons participating in the meeting to communicate with each other
 simultaneously and instantaneously and participation in such a meeting shall constitute presence in person at such meeting. A meeting of the Board or committee appointed by the Board held in the foregoing
 manner shall be deemed to take place at the place where the largest group of participating Directors or committee members has assembled or, if no such group exists, at the place where the chairman of the meeting participates which place
 shall, so far as reasonably practicable, be at the Registered Office of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;128. All acts done by the Board or by any committee or by any person acting as a Director or member of a committee or any person duly authorised by the Board or any committee, shall, notwithstanding that it is afterwards discovered that there
 was some defect in the appointment of any member of the Board or such committee or person acting as aforesaid or that they or any of them were disqualified or had vacated their office, be as valid as if every such person had been duly
 appointed and was qualified and had continued to be a Director, member of such committee or person so authorised.

#### OFFICERS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;129. The Board may appoint any person whether or not he is a Director to hold such office as the Board may from time to time determine. Any person elected or appointed pursuant to this Bye-law shall hold office for such period and upon such
 terms as the Board may determine and the Board may revoke or terminate any such election or appointment. Any such revocation or termination shall be without prejudice to any claim for damages that such officer may have against the Company
 or the Company may have against such officer for any breach of any contract of service between him and the Company which may be involved in such revocation or termination. Save as provided in the Companies Acts or these Bye-laws, the
 powers and duties of the officers of the Company shall be such (if any) as are determined from time to time by the Board.

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#### REGISTER OF DIRECTORS AND OFFICERS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;130. The Secretary shall establish and maintain a register of the Directors and Officers of the Company as required by the Companies Acts. Every officer that is also a Director and the Secretary must be listed officers of the Company in the
 Register of Directors and Officers. The register of Directors and Officers shall be open to inspection in the manner prescribed by the Companies Acts between 10.00 a.m. and 12.00 noon on every working day.

#### MINUTES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;131. The Directors shall cause minutes to be made and books kept for the purpose of recording:

<br> (a) all appointments of officers made by the Directors;

<br> (b) the names of the Directors and other persons (if any) present at each meeting of Directors and of any committee;

<br> (c) of all proceedings at meetings of the Company, of the holders of any class of shares in the Company, and of committees;

<br> (d) of all proceedings of managers (if any).

#### SECRETARY AND RESIDENT REPRESENTATIVE

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;132. The Secretary and Resident Representative, if necessary, shall be appointed by the Board at such remuneration (if any) and upon such terms as it may think fit and any Secretary so appointed may be removed by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;133. The duties of the Secretary shall be those prescribed by the Companies Acts together with such other duties as shall from time to time be prescribed by the Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;134. A provision of the Companies Acts or these Bye-laws requiring or authorising a thing to be done by or to a Director and the Secretary shall not be satisfied by its being done by or to the same person acting both as Director and as, or in
 the place of, the Secretary.

#### THE SEAL

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;135. The Company may, but need not, have a Seal and one or more duplicate Seals for use in any place in or outside Bermuda.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;136. If the Company has a Seal it shall consist of a circular metal device with the name of the Company around the outer margin thereof and the country and year of incorporation across the centre thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;137. The Board shall provide for the custody of every Seal, if any. A Seal shall only be used by authority of the Board or of a committee constituted by the Board. Subject to these Bye-laws, any instrument to which a Seal is affixed shall
 be signed by at least one Director or the Secretary, or by any person (whether or not a Director or the Secretary), who has been authorised either generally or specifically to attest to the use of a Seal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;138. The Secretary, a Director or the Resident Representative may affix a Seal attested with his signature to certify the authenticity of any copies of documents.

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#### DIVIDENDS AND OTHER PAYMENTS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;139. The Board may from time to time declare cash dividends or distributions out of contributed surplus to be paid to the Shareholders according to their rights and interests including such interim dividends as appear to the Board to be
 justified by the position of the Company. The Board may also pay any fixed cash dividend which is payable on any shares of the Company half yearly or on such other dates, whenever the position of the Company, in the opinion of the Board,
 justifies such payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;140. Except insofar as the rights attaching to, or the terms of issue of, any share otherwise provide:

(a) all dividends or distributions out of contributed surplus may be declared and paid according to the amounts paid up on the shares in respect of which the dividend or distribution is paid, and an amount paid up on a share in advance of calls may be treated for the purpose of this Bye-law as paid-up on the share;

(b) dividends or distributions out of contributed surplus may be apportioned and paid pro rata according to the amounts paid-up on the shares during any portion or portions of the period in respect of which the dividend or distribution is paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;141. The Board may deduct from any dividend, distribution or other moneys payable to a Shareholder by the Company on or in respect of any shares all sums of money (if any) presently payable by him to the Company on account of calls or
 otherwise in respect of shares of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;142. No dividend, distribution or other moneys payable by the Company on or in respect of any share shall bear interest against the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;143. Any dividend, distribution, interest or other sum payable in cash to the holder of shares may be paid through the system maintained by VPS or any other relevant system for such payments, by cheque or warrant sent through the post
 addressed to the holder at his address in the Register or, in the case of joint holders, addressed to the holder whose name stands first in the Register in respect of the shares at his registered address as appearing in the Register or
 addressed to such person at such address as the holder or joint holders may in writing direct. Every such cheque or warrant shall, unless the holder or joint holders otherwise direct, be made payable to the order of the holder or, in the
 case of joint holders, to the order of the holder whose name stands first in the Register in respect of such shares, and shall be sent at his or their risk and payment of the cheque or warrant by the bank on which it is drawn shall
 constitute a good discharge to the Company. Any one of two or more joint holders may give effectual receipts for any dividends, distributions or other moneys payable or property distributable in respect of the shares held by such joint
 holders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;144. Any dividend or distribution out of contributed surplus unclaimed for a period of six years from the date of declaration of such dividend or distribution shall be forfeited and shall revert to the Company and the payment by the Board of
 any unclaimed dividend, distribution, interest or other sum payable on or in respect of the share into a separate account shall not constitute the Company a trustee in respect thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;145. The Board may direct payment or satisfaction of any dividend or distribution out of contributed surplus wholly or in part by the distribution of specific assets, and in particular of paid-up shares or debentures of any other company, and
 where any difficulty arises in regard to such distribution or dividend the Board may settle it as it thinks expedient, and in particular, may authorise any person to sell and transfer any fractions or may ignore fractions altogether, and
 may fix the value for distribution or dividend purposes of any such specific assets and may determine that cash payments shall be made to any Shareholders upon the footing of the values so fixed in order to secure equality of distribution
 and may vest any such specific assets in trustees as may seem expedient to the Board. The Board may appoint any person to sign on behalf of the persons entitled to participate in the distribution any contract necessary or desirable for
 giving effect thereto and such appointment shall be effective and binding upon the Shareholders.

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#### RESERVES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;146. The Board may, before recommending or declaring any dividend or distribution out of contributed surplus, set aside such sums as it thinks proper as reserves which shall, at the discretion of the Board, be applicable for any purpose of
 the Company and pending such application may, also at such discretion, either be employed in the business of the Company or be invested in such investments as the Board may from time to time think fit. The Board may also without placing
 the same to reserve carry forward any sums which it may think it prudent not to distribute.

#### CAPITALISATION OF PROFITS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;147. The Company may, upon the recommendation of the Board, at any time and from time to time pass a Resolution to the effect that it is desirable to capitalise all or any part of any amount for the time being standing to the credit of any
 reserve or fund which is available for distribution or to the credit of any share premium account or any capital redemption reserve fund and accordingly that such amount be set free for distribution amongst the Shareholders or any class of
 Shareholders who would be entitled thereto if distributed by way of dividend and in the same proportions, on the footing that the same be not paid in cash but be applied either in or towards paying up amounts for the time being unpaid on
 any shares in the Company held by such Shareholders respectively or in payment up in full of unissued shares, debentures or other obligations of the Company, to be allotted and distributed credited as fully paid amongst such Shareholders,
 or partly in one way and partly in the other, and the Board shall give effect to such Resolution, provided that for the purpose of this Bye-law, a share premium account and a capital redemption reserve fund may be applied only in paying up
 of unissued shares to be issued to such Shareholders credited as fully paid and provided further that any sum standing to the credit of a share premium account may only be applied in crediting as fully paid shares of the same class as that
 from which the relevant share premium was derived.

#### RECORD DATES

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;148. Notwithstanding any other provision of these Bye-Laws, the Directors may fix any date as the record date for:

<br> (a) determining the Shareholders entitled to receive any dividend or other distribution;

(b) determining the Shareholders entitled to receive notice of and to vote at any general meeting of the Company.

#### ACCOUNTING RECORDS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;149. The Board shall cause to be kept accounting records sufficient to give a true and fair view of the state of the Company's affairs and to show and explain its transactions, in accordance with the Companies Acts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;150. The records of account shall be kept at the Registered Office or at such other place or places as the Board thinks fit, and shall at all times be open to inspection by the Directors: PROVIDED that if the records of account are kept at
 some place outside Bermuda, there shall be kept at an office of the Company in Bermuda such records as will enable the Directors to ascertain with reasonable accuracy the financial position of the Company at the end of each three month
 period. No Shareholder (other than an officer of the Company) shall have any right to inspect any accounting record or book or document of the Company except as conferred by law or authorised by the Board or by Resolution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;151. A copy of every balance sheet and statement of income and expenditure, including every document required by law to be annexed thereto, which is to be laid before the Company in general meeting, together with a copy of the auditors'
 report, shall be sent to each person entitled thereto in accordance with the requirements of the Companies Acts. Pursuant to Bye-law 116, the Board may delegate to the Finance Officer responsibility for the proper maintenance and safe
 keeping of all of the accounting records of the Company and (subject to the terms of any resolution from time to time passed by the Board relating to the extent of the duties of the Finance Officer) the Finance Officer shall have primary
 responsibility for (a) the preparation of proper management accounts of the Company (at such intervals as may be required) and (b) the periodic delivery of such management accounts to the Registered Office in accordance with the Companies
 Acts.

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#### AUDIT

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;152. Save and to the extent that an audit is waived in the manner permitted by the Companies Acts, auditors shall be appointed and their duties regulated in accordance with the Companies Acts, any other applicable law and such requirements
 not inconsistent with the Companies Acts as the Board may from time to time determine.

#### SERVICE OF NOTICES AND OTHER DOCUMENTS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;153. Any notice or other document (including a share certificate) may be served on or delivered to any Shareholder by the Company either personally or by sending it through the post (by airmail where applicable) in a pre-paid letter addressed
 to such Shareholder at his address as appearing in the Register or by delivering it to or leaving it at such registered address. In the case of joint holders of a share, service or delivery of any notice or other document on or to one of
 the joint holders shall for all purposes be deemed as sufficient service on or delivery to all the joint holders. Any notice or other document if sent by post shall be deemed to have been served or delivered two days after it was put in the
 post, and in proving such service or delivery, it shall be sufficient to prove that the notice or document was properly addressed, stamped and put in the post.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;154. Any notice of a general meeting of the Company shall be deemed to be duly given to a Shareholder if it is sent to him by cable, telex, telecopier or other mode of representing or reproducing words in a legible and non-transitory form at
 his address as appearing in the Register or any other address given by him to the Company for this purpose. Any such notice shall be deemed to have been served twenty-four hours after its despatch.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;155. Any notice or other document shall be deemed to be duly given to a Shareholder if it is delivered to such Shareholder by means of an electronic record in accordance with Section 2A of the Principal Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;156. Any notice or other document delivered, sent or given to a Shareholder in any manner permitted by these Bye-laws shall, notwithstanding that such Shareholder is then dead or bankrupt or that any other event has occurred, and whether or
 not the Company has notice of the death or bankruptcy or other event, be deemed to have been duly served or delivered in respect of any share registered in the name of such Shareholder as sole or joint holder unless his name shall, at the
 time of the service or delivery of the notice or document, have been removed from the Register as the holder of the share, and such service or delivery shall for all purposes be deemed as sufficient service or delivery of such notice or
 document on all persons interested (whether jointly with or as claiming through or under him) in the share.

#### ELECTRONIC COMMUNICATION

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;157. It shall be a term of issue of each share in the Company that each Shareholder shall provide the secretary or the registrar of the Branch Register with an email address for electronic
 communications by and with the Company and any notice or other document shall be deemed to be duly given to a Shareholder if it is delivered to such Shareholder by means of an electronic record in accordance with Section 2A of the Principal
 Act. A Shareholder may change such Shareholder's address for electronic communications by sending a notice to the Secretary.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;158. The Company may establish an extranet or other similar facility (the "**Company Website**") and publish on the Company
 Website the Company's memorandum of association and Bye-laws, Register, register of directors and officers, notices of annual general meeting and special general meeting, proxy and voting forms, Shareholder resolutions in writing proposed
 for execution by voting shareholders, financial statements, prospectuses and circulars and any other documents of the Company required by the Principal Act to be provided to or accessible by Shareholders or which the Board wishes to make
 applicable to Shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;159. An email sent to a Shareholder at the email address for such Shareholder provided pursuant to Bye-law 158 above notifying the Shareholder that the Company has published a document on the Company Website and which is otherwise in
 compliance with the provisions of Section 2A of the Principal Act shall constitute notice of publication of the document and the Company shall be deemed to have delivered the documents referred in the email to the Shareholder.

#### WINDING UP

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;160. If the Company shall be wound up, the liquidator may, with the sanction of a Resolution of the Company and any other sanction required by the Companies Acts, divide amongst the Shareholders in specie or kind the whole or any part of the
 assets of the Company (whether they shall consist of property of the same kind or not) and may for such purposes set such values as he deems fair upon any property to be divided as aforesaid and may determine how such division shall be
 carried out as between the Shareholders or different classes of Shareholders. The liquidator may, with the like sanction, vest the whole or any part of such assets in trustees upon such trust for the benefit of the contributories as the
 liquidator, with the like sanction, shall think fit, but so that no Shareholder shall be compelled to accept any shares or other assets upon which there is any liability.

#### INDEMNITY

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;161. Subject to the provisions of Bye-law 171, no Director, Alternate Director, Officer, person or member of a committee authorised under Bye-law 119, Resident Representative of the Company or his heirs, executors or
 administrators shall be liable for the acts, receipts, neglects, or defaults of any other such person or any person involved in the formation of the Company, or for any loss or expense incurred by the Company through the insufficiency or
 deficiency of title to any property acquired by the Company, or for the insufficiency of deficiency of any security in or upon which any of the monies of the Company shall be invested, or for any loss or damage arising from the bankruptcy,
 insolvency, or tortious act of any person with whom any monies, securities, or effects shall be deposited, or for any loss occasioned by any error of judgment, omission, default, or oversight on his part, or for any other loss, damage or
 misfortune whatever which shall happen in relation to the execution of his duties, or supposed duties, to the Company or otherwise in relation thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;162. Subject to the provisions of Bye-law 169, every Director, Alternate Director, Officer, person or member of a committee authorised under Bye-law 119, Resident Representative of the Company and their
 respective heirs, executors or administrators shall be indemnified and held harmless out of the funds of the Company to the fullest extent permitted by Bermuda law against all liabilities, loss, damage or expense (including but not
 limited to liabilities under contract, tort and statute or any applicable foreign law or regulation and all reasonable legal and other costs and expenses properly payable) incurred or suffered by him as such Director, Alternate Director,
 Officer, person or committee member or Resident Representative and the indemnity contained in this Bye-law shall extend to any person acting as such Director, Alternate Director, Officer, person or committee member or Resident
 Representative in the reasonable belief that he has been so appointed or elected notwithstanding any defect in such appointment or election.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;163. Every Director, Alternate Director, Officer, person or member of a committee duly authorised under Bye-law 119, Resident Representative of the Company and their respective heirs, executors or administrators shall be indemnified out of the funds of the Company against all liabilities incurred by him as such Director, Alternate Director, Officer, person or committee member or Resident Representative in defending any proceedings, whether civil or
 criminal, in which judgment is given in his favour, or in which he is acquitted, or in connection with any application under the Companies Acts in which relief from liability is granted to him by the court.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;164. To the extent that any Director, Alternate Director, Officer, person or member of a committee duly authorised under Bye-law 119, Resident Representative of the Company or any of their respective heirs,
 executors or administrators is entitled to claim an indemnity pursuant to these Bye-laws in respect of amounts paid or discharged by him, the relative indemnity shall take effect as an obligation of the Company to reimburse the
 person making such payment or effecting such discharge.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;165. The Board may arrange for the Company to be insured in respect of all or any part of its liability under the provision of these Bye-laws and may also purchase and maintain insurance for the benefit of any Directors, Alternate Directors,
 Officers, person or member of a committee authorised under Bye-law 119, employees or Resident Representatives of the Company in respect of any liability that may be incurred by them or any of them howsoever arising in connection with their
 respective duties or supposed duties to the Company. This Bye-law shall not be construed as limiting the powers of the Board to effect such other insurance on behalf of the Company as it may deem appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;166. Notwithstanding anything contained in the Principal Act, the Company may advance moneys to an Officer or Director for the costs, charges and expenses incurred by the Officer or Director in defending any civil or criminal proceedings
 against them on the condition that the Director or Officer shall repay the advance if any allegation of fraud or dishonesty is proved against them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;167. Each Member agrees to waive any claim or right of action he might have, whether individually or by or in the right of the Company, against any Director , Alternate Director, Officer of the Company, person or
 member of a committee authorised under Bye-law 118, Resident Representative of the Company or any of their respective heirs, executors or administrators on account of any action taken by any such person, or the failure of any such
 person to take any action in the performance of his duties, or supposed duties, to the Company or otherwise in relation thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;168. The restrictions on liability, indemnities and waivers provided for in Bye-laws 161 to 168 inclusive shall not extend to any matter which would render the same void pursuant to the Companies Acts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;169. The restrictions on liability, indemnities and waivers contained in Bye-laws 161 to 168 inclusive shall be in addition to any rights which any person concerned may otherwise be entitled by contract or as a matter
 of applicable Bermuda law.

#### CONTINUATION

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;170. Subject to the Companies Acts, the Company may with the approval of the Board by resolution adopted by a majority of Directors then in office, approve the discontinuation of the Company in Bermuda and the
 continuation of the Company in a jurisdiction outside Bermuda.

#### ALTERATION OF BYE-LAWS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;171. These Bye-laws may be amended from time to time in the manner provided for in the Companies Acts, provided that any such amendment shall only become operative to the extent that it has been confirmed by
 Resolution.

------

#### REQUIREMENT TO SUPPLY INFORMATION TO THE COMPANY

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;172. (1) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; It shall be a term of issue of any share in the Company that the Company may by notice in writing requires any registered shareholder to give such further
 information as may be required in accordance with Bye-law 172(2).

<br> (2) A notice under this Bye-law 172 may require the person to whom it is addressed:-

<br> (a) to give particulars of his own past or present interest in shares comprised in relevant share capital of the Company;

<br> (b) where the interest is a present interest and any other interest in the shares subsists to give (so far as lies within his knowledge) such particulars with respect to that other interest as may be required by the notice;

<br> (c) where his interest is a past interest, to give (so far as lies within his knowledge) particulars of the identity of the person who held that interest immediately upon his ceasing to hold it.

<sup>(3)</sup> The particulars referred to in Bye-laws 172(2)(a) and 172(2)(b) include particulars of the identity of persons interested in the shares in question and of whether person interested in the same shares are or were parties to any agreement or arrangement relating to the exercise of any rights conferred by the holding of the shares.<br>

<br> (4) A notice under this Bye-law 172 must require any information given in response to the notice to be given in writing within such reasonable time as may be specified in the notice.

#### REMOVAL OF VOTING RIGHTS WHERE DEFAULT

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;173. If any shareholder of the Company, or any other person appearing to be interested in shares held by such shareholder, has been duly served with a notice under Bye-law 172 and is in default for the prescribed
 period in supplying to the Company the information thereby required, then (unless the Board otherwise determines) in respect of:-

(a) the shares comprising the shareholding account in the register of members of the Company (including any branch register) which comprises or includes the shares in relation to which the default occurred (all or the relevant number as appropriate of such shares being the "default shares", which expression shall include any further shares which are issued in respect of such shares); and

<br> (b) any other shares in the Company held by the shareholder;

the shareholder shall not (for so long as the default continues) nor shall any transferee to whom any of such shares are transferred be entitled to vote either personally or by proxy at a shareholders' meeting or to exercise any other right conferred by virtue of being a shareholder in relation to shareholders' meetings of the Company.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;174. (a) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Deemed interest where not the registered holder** 

A person is taken to have an interest in shares of:-

<br> (i) he enters into a contract for their purchase by him (whether for cash or other consideration); or

<br> (ii) not being the registered holder, he is entitled to exercise any right conferred by the holding of the shares or is entitled to control the exercise of any such right.

(b) **Further deemed interests**

A person is taken to have an interest in shares if, otherwise than by virtue of having an interest under a trust:-

<br> (i) he has a right to call for delivery of the shares to himself or to his order; or

<br> (ii) he has a right to acquire an interest in shares or is under an obligation to take an interest in shares,

whether in any case the right or obligation is conditional or absolute.

(c) **Entitlement to exercise rights**

For purposes of Bye-law 174 (a)(ii), a person is entitled to exercise or control the exercise of any right conferred by the holding of shares if he:-

<br> (a) has a right (whether subject to conditions or not) the exercise of which would make him so entitled; or

<br> (b) is under an obligation (whether so subject or not) the fulfillment of which would make him so entitled.

(d) **Joint interests**

Persons having a joint interest are taken each of them to have that interest.

(e) **Unidentifiable interests**

It is immaterial that shares in which a person has an interest are unidentifiable.

(f) **Restrictions on the exercise of rights ignored**

A reference to an interest in shares is to be read as including an interest of any kind whatsoever in the shares; and accordingly there are to be disregarded any restraints or restrictions to which the exercise of any right attached to the interest is or may be subject.

(g) A transfer of shares is an approved transfer if the Board is satisfied that the transfer is made pursuant to a bona fide sale of the whole of the beneficial ownership of the shares to a party unconnected with the shareholder or with any person appearing to be interested in such shares including any such sale made through the Listing Exchange.

------

#### REGISTER OF BENEFICIAL OWNERS

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| | | |
|:---|:---|:---|
| 175&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | (1)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | Subject to Bye-law 175(2), the Company shall establish a beneficial ownership register and shall enter therein the information required by the Companies Acts (the "statutorily required information") and shall keep the statutorily required information up-to-date, correct and complete as required by the Companies Acts. |

---

---

| | | |
|:---|:---|:---|
| 175&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | (2)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | Bye-laws 175 (1) and 176 shall not apply when the Company's shares are admitted to listing on an appointed stock exchange or if the Company is otherwise exempt under the Companies Acts from the requirement to maintain a register of beneficial ownership. |

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#### WARNING NOTICES AND DECISION NOTICES

---

| | | |
|:---|:---|:---|
| 176&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | (1)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | In any case where the Company has served a notice on a Shareholder, beneficial owner or relevant legal entity requesting that such Shareholder, beneficial owner or relevant legal entity confirm, correct or provide any statutorily required information and such Shareholder, beneficial owner or relevant legal entity fails, without reasonable excuse, to confirm, correct or provide the information requested in the notice within the time limit specified by the Company in the notice, then the Company may (a) issue a warning notice to Shareholder, beneficial owner or relevant legal entity advising of the Company's intentions to impose restrictions on the relevant shares or (b) issue a decision notice to Shareholder, beneficial owner or relevant legal entity advising of the imposition of restrictions on the relevant shares or (c) apply to the court for an order directing that the shares in question be subject to restriction. |

---

---

| | | |
|:---|:---|:---|
| 176&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | (2)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; | In this Bye-law 176, the expressions **"beneficial owner"** and **"relevant legal entity"** shall bear the same meaning as in the Companies Acts. |

---

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## Exhibit 5.1

------

---

| | |
|:---|:---|
|  | **Exhibit 5.1** |
| ![](ny20006357x6_ex5-1img2.jpg) | &nbsp;&nbsp;&nbsp;&nbsp; ![](ny20006357x6_ex5-1img1.jpg) <br>|

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2023 Ref. 36098.0002

#### By Email and by Hand

Himalaya Shipping Ltd.

S.E. Pearman Building,

2<sup>nd</sup> floor, 9 Par-la-Ville Road

Hamilton HM 11

Bermuda

Dear Sirs,

**<u>Himalaya Shipping Ltd. (</u>**<u>the</u> **<u>"Company"</u>**<u>)</u>

**1.**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Subject of Opinion**

We are lawyers duly qualified to practise in Bermuda. This opinion as to the laws of Bermuda is addressed to you in connection with the preparation of a registration statement on Form F-l, as thereafter amended or supplemented, (File No. 333-) (the "**Registration Statement**", which term does not include any other document or agreement whether or not specifically referred to therein or attached as an exhibit or schedule thereto) filed with the Securities and Exchange Commission (the "**Commission**") on&nbsp;&nbsp;&nbsp;&nbsp; 2023 under the Securities Act of 1933, as amended (the "**Securities Act**"), with regard to the registration of&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; common shares in the share capital of the Company, having a par value of US$1.00 each (the "**Shares**"), including the underwriters' overallotment option. The Shares are to be offered in the Company's initial public offering (the "**Offering**") pursuant to an underwriting agreement to be entered into between DNB Markets, Inc. acting on behalf of itself and the several underwriters named therein, and the Company (the "**Underwriting Agreement**").

**2.**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Documents Examined**

For the purposes of this opinion we have examined and relied upon the following (collectively, the "**Documents**"):

<br> 2.1. a copy of the Registration Statement;

<br> 2.2. a copy of the latest draft of the Underwriting Agreement;

<br> 2.3. a copy of the following documents of the Company, as certified by the Secretary thereof on&nbsp;&nbsp;&nbsp;&nbsp; 2023:

<br> (a) Certificate of Incorporation;

&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)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Memorandum of Association;

------

&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)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Bye-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;(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Certificate of Deposit of Memorandum of Increase of Share Capital;

(e) Resolutions passed by the Board of Directors of the Company on&nbsp;&nbsp;&nbsp;&nbsp; 2023 (the "**Resolutions**");

<br> (f) Tax Assurance; and

<br> (g) Register of Directors and Officers;

<br> 2.4. a Certificate of Compliance issued by the Bermuda Registrar of Companies in respect of the Company dated&nbsp;&nbsp;&nbsp;&nbsp; 2023; and

<br> 2.5. such other documents as we have deemed necessary in order to render this opinion

(together, the "**Documents**").

A reference to a document does not include any other instrument or agreement whether or not specifically referred to therein or attached as an exhibit or schedule thereto. Except as stated in this paragraph 2, we have not examined any contract, instrument or other document entered into by, or affecting, the Company or any corporate records of the Company and have not made any other enquiries concerning the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.** **Opinion Limited to Bermuda Law** 

We have made no investigation of the laws of any jurisdiction other than Bermuda and this opinion is given only with respect to Bermuda law as applied by the courts of Bermuda at the date hereof and is governed by, and should be construed in accordance with, those laws. This opinion is limited to the matters stated herein and does not extend to, and is not intended to be extended by implication to, any other matters. This opinion is issued solely for the purposes of the filing of the Registration Statement by the Company and the issuance of the Shares pursuant to the Offering and may not be relied upon in respect of any other matter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.** **Assumptions** 

In giving this opinion we have assumed:

---

| | |
|:---|:---|
| 5.1. | the authenticity, accuracy and completeness of all Documents (including, without limitation, public records) submitted to us as originals and the conformity to authentic original documents of all Documents submitted to us as certified, conformed, notarised or photo static copies; |

---

<br> 5.2. the genuineness of all seals, signatures and markings on the Documents;

------

Page 3<br>

<br> 5.3. the authority, capacity and power of each of the persons signing the Documents (other than the Company);

<br> 5.4. that any representation, warranty or statement of fact or law, other than the laws of Bermuda, made in any of the Documents, is true, accurate and complete;<br>

<br> 5.5. that each of the Documents which was received by electronic means is complete, intact and in conformity with the transmission as sent;<br>

<br> 5.6. that there are no provisions of the laws or regulations of any jurisdiction other than Bermuda which would have any implication in relation to the opinions expressed herein;

---

| | |
|:---|:---|
| 5.7. | that the Resolutions certified as being true and accurate and provided to us in connection with the giving of this opinion were duly adopted by the duly elected or appointed directors of the Company or any duly constituted committee thereof; that any provisions contained in the Companies Act 1981 of Bermuda, as amended (the "**Companies Act**"), or the bye-laws of the Company relating to the declaration of directors' interests and the convening of, the quorum required for, and voting at the meetings of the directors and the adopting of written resolutions of the directors were duly observed; and that such Resolutions have not been amended or rescinded, either in whole or in part, and are in full force and effect; |

---

<br> 5.8. that at the time the Shares are issued, the common shares of the Company will be listed on an "appointed stock exchange" as defined in the Companies Act;

<br> 5.9. that upon issue of any Shares the Company will receive consideration for the full issue price thereof which shall be equal to at least the par value thereof;

<br> 5.10. that, when executed and delivered, the Underwriting Agreement will be in a form which does not differ in any material respects from the draft thereof which we have examined for the purposes of this opinion; and

<br> 5.11. that all Shares have been issued in compliance with all matters of, and the validity and enforceability thereof under, applicable U.S. federal and state securities laws and other laws (other than the laws of Bermuda, in respect of which we are opining).<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.** **Opinion** 

Based upon and subject to the foregoing, and further subject to the reservations mentioned below and to any matters not disclosed to us, we are of the opinion that, as at today's date, the Shares have been duly authorised and, when issued, sold and paid for as contemplated in the Underwriting Agreement and the prospectus included in the Registration Statement, will be duly and validly issued, fully paid and non-assessable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.** **Reservations** 

We have the following reservation:

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| | |
|:---|:---|
| 7.1. | any reference in this opinion to shares being "non-assessable" means, in relation to fully-paid shares of the Company and subject to any contrary provision in any agreement in writing between the Company and the holder of shares, that: no shareholder shall be obliged to contribute further amounts to the capital of the Company, either in order to complete payment for their shares, to satisfy claims of creditors of the Company, or otherwise; and no shareholder shall be bound by an alteration of the Memorandum of Association or Bye-Laws of the Company after the date on which he became a shareholder, if and so far as the alteration requires him to take, or subscribe for additional shares, or in any way increases his liability to contribute to the share capital of, or otherwise to pay money to, the Company.<br>|

---

------

Page 4<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.** **Disclosure** 

We hereby consent to the filing of this opinion as Exhibit 5.1 to the Registration Statement and to the reference to our firm under the caption "Legal Matters" in the prospectus attached to the Registration Statement, without admitting that we are "experts" within the meaning of the Securities Act or the rules and regulations of the Commission thereunder, with respect to any part of the Registration Statement. In giving such consent, we do not hereby admit that we are in the category of persons whose consent is required under section 7 of the Securities Act.

This opinion speaks as of its date and is strictly limited to the matters stated in it and we assume no obligation to review or update this opinion if applicable law or the existing facts or circumstances should change.

Yours faithfully,

#### MJM LIMITED

------

## Exhibit 10.1

**Exhibit 10.1**

**REGISTRATION RIGHTS AGREEMENT**

**BETWEEN:**

1) **Himalaya Shipping Ltd.**, an exempted company limited by shares, registered with the Registrar of Companies in Bermuda (the "**Company**"); and

2) **Drew Holdings Limited**, an exempted company limited by shares, registered with the Registrar of Companies in Bermuda (the "**Shareholder**"),

(the Company and the Shareholder each a "**Party**" and, together, the "**Parties**").

**BACKGROUND:**

A. The Company is a bulk carrier company that is intending to register its outstanding common shares
 under the U.S. Securities Act of 1933 (the "**Securities Act** "), with the U.S. Securities and Exchange Commission (the "**Commission**") and list them for trading on the New York Stock Exchange ()"**NYSE**") under the symbol "HSHP".

B. Unless the context otherwise requires, capitalized terms used and not otherwise defined herein shall
 have the meanings ascribed in Section 1 of this Agreement.

C. The Shareholder expects owns Common Shares, constituting approximately 38.7% of the Common Shares
 outstanding prior to the IPO and expects to remain a significant shareholder upon completion of the IPO.

D. The Parties intend that the registration rights set forth in this Agreement be applicable to all
 outstanding Common Shares which are or may be owned by the Shareholder and by any of its Affiliates at any time during the term of this Agreement, and to all of the Common Shares that may be issued or granted at any time in the future on
 account or by virtue of such Common Shares, as set out in the definition of Registrable Securities herein.

**NOW, THEREFORE, IN CONSIDERATION** of the mutual covenants and agreements contained in this Agreement, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the Parties hereby agree as follows.

------

**Table of Contents**

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| | | | |
|:---|:---|:---|:---|
| 1. | Definitions | Definitions | 3 |
| 2. | Registration | Registration | 5 |
|  | 2.1 | Demand Registration | 5 |
|  | 2.2 | Piggyback Registration | 9 |
|  | 2.3 | Registration Rights | 10 |
|  | 2.4 | Holdback Agreement | 11 |
| 3. | Registration Procedures | Registration Procedures | 12 |
| 4. | Registration Expenses | Registration Expenses | 15 |
| 5. | Indemnification | Indemnification | 15 |
| 6. | Facilitations of Sales Pursuant to Rule 144 | Facilitations of Sales Pursuant to Rule 144 | 17 |
| 7. | Miscellaneous | Miscellaneous | 17 |
|  | 7.1 | Remedies | 17 |
|  | 7.2 | Discontinued Disposition | 17 |
|  | 7.3 | Amendments and Waivers | 17 |
|  | 7.4 | Notices | 17 |
|  | 7.5 | Successors and Assigns | 18 |
|  | 7.6 | Third Party Beneficiaries | 19 |
|  | 7.7 | Execution and Counterparts | 19 |
|  | 7.8 | Governing law | 19 |
|  | 7.9 | Cumulative Remedies | 20 |
|  | 7.10 | Severability | 20 |
|  | 7.11 | Entire Agreement | 20 |

---

------

**1.** **Definitions** 

1.1 As used in this Agreement, the following terms shall have the respective meanings set forth in this
 Section 1:

"**Affiliate**" of any specified Person means any other person which, directly or indirectly, is in control of, is controlled by, or is under common control with, such specified Person. For purposes of this definition, control of a Person means the power, direct or indirect, to direct or cause the direction of the management and policies of such Person, whether through ownership of voting securities, by contract or otherwise; and the terms "controlling" and "controlled" have meanings correlative to the foregoing.

"**Agreement**" has the meaning set forth in the preamble.

"**Automatic Shelf Registration Statement**" means an "automatic shelf registration statement" as defined under Rule 405.

"**Business Day**" means any day other than a Saturday, a Sunday or a day on which commercial banks in New York City (New York State, USA) are required or authorized to be closed.

"**Commission**" has the meaning set forth in the recitals.

"**Common Shares**" means common shares of the Company, par value $1.00 per share.

"**Company**" has the meaning set forth in the preamble, and includes any successor of the Company.

"**Demand Notice**" has the meaning set forth in Section 2.1.

"**Demand Registration**" has the meaning set forth in Section 2.1.

"**Effective Date**" means the time and date that a Registration Statement is first declared effective by the Commission or otherwise becomes effective.

"**Effectiveness Period**" has the meaning set forth in Section 2.1.

"**Exchange Act**" means the Securities Exchange Act of 1934, as amended and supplemented.

"**Indemnified Persons**" has the meaning set forth in Section 5.

"**IPO**" means the initial public offering and sale of the Company's common shares by the Company in its initial public offering in the United States.

"**Losses**" has the meaning set forth in Section 5.

"**NYSE**" has the meaning set forth in the recitals.

"**Parties**" has the meaning set forth in the preamble.

"**Person**" means an individual or group, corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

"**Piggyback Notice**" has the meaning set forth in Section 2.2.

"**Piggyback Registration**" has the meaning set forth in Section 2.2.

"**Piggyback Request**" has the meaning set forth in Section 2.2.

------

"**Pledge Holder**" has the meaning set forth in Section 7.5.2.

"**Proceeding**" means any action, claim, suit, proceeding or investigation (including a preliminary investigation or partial proceeding, such as a deposition) pending or known to the Company to be threatened.

"**Prospectus**" means the prospectus included in a Registration Statement (including a prospectus that includes any information previously omitted from a prospectus filed as part of an effective Registration Statement in reliance upon Rule 430A promulgated under the Securities Act), as amended or supplemented by any prospectus supplement, with respect to the terms of the offering of any portion of the Registrable Securities covered by a Registration Statement and all other amendments and supplements to the Prospectus, including post-effective amendments, and all material incorporated by reference or deemed to be incorporated by reference in such Prospectus.

"**Registrable Securities**" means (i) any Common Shares owned by the Shareholder or its Affiliates during the term of this Agreement, and (ii) any shares issued or issuable with respect to such Common Shares as a result of any share split, share dividend, rights offering, recapitalization, merger, de-merger, exchange or similar event, transaction, or otherwise until the earliest to occur of (i) a Registration Statement covering such securities has been declared effective by the SEC and such securities have been disposed of by the Shareholder pursuant to such Registration Statement, (ii) such securities have been disposed of by the Shareholder or its Affiliates pursuant to Rule 144, or (iii) on the date a Shareholder, together with its, his or her Affiliates, beneficially owns less than the Threshold Percentage and all of such securities held by such Shareholder are eligible for sale by such Shareholder free of any volume limitation under Rule 144.

"**Registration Expenses**" has the meaning set forth in Section 4.

"**Registration Statement**" means a registration statement in the form required to register the resale of the Registrable Securities under the Securities Act and other applicable law (other than pursuant to a registration statement on Form S-4, F-4 or S-8 or any similar or successor form), and including any Prospectus, amendments and supplements to each such registration statement or Prospectus, including pre- and post-effective amendments, all exhibits thereto, and all material incorporated by reference or deemed to be incorporated by reference in such registration statement.

"**Rule 144**" means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

"**Rule 405**" means Rule 405 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

"**Rule 415**" means Rule 415 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

"**Rule 424**" means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule

"**Securities Act**" has the meaning set forth in the recitals.

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"**Selling Expenses**" means all underwriting discounts, selling commissions (including underwriting fees) and share transfer taxes applicable to the sale of Registrable Securities and fees and disbursements of counsel for the Shareholder.

"**Shareholder**" has the meaning set forth in the recitals, and includes any transferee or assignee to whom the Shareholder assigns its rights, in whole or in part, and any transferee or assignee thereof to whom a transferee or assignee assigns its rights, in each case in accordance with Section 7.5.

"**Shelf Registration Statement**" has the meaning set forth in Section 2.1.4.

"**Suspension Period**" has the meaning set forth in Section 2.1.4.

"**Threshold Percentage**" means 5.0% of the outstanding Common Shares of the Company.

"**Trading Day**" means a day during which trading in the Common Shares generally occurs on the NYSE.

"**Unaffiliated Board Members**" has the meaning set forth in Section 2.1.4.

"**Underwritten Offering**" means a registration with the Commission of the offer and sale to the public of Common Shares under a registration statement under the Securities Act in which the Common Shares are sold to an underwriter or underwriters for reoffering to the public on the Company's or the Shareholder's behalf.

"**WKSI**" means a "**well known seasoned issuer**" as defined under Rule 405.

1.2 The headings in this Agreement are for convenience of reference only and shall not limit or
 otherwise affect the meaning hereof. Unless otherwise stated, references to Sections, Schedules and Exhibits are to the Sections, Schedules and Exhibits of this Agreement.

1.3 The language used in this Agreement will be deemed to be the language chosen by the Parties to
 express their mutual intent and no rules of strict construction will be applied against any Party.

**2.** **Registration** 

2.1 **Demand Registration** 

2.1.1 The Shareholder shall have the option and right, exercisable by delivering a written notice to the
 Company (each such notice, a "**Demand Notice** "), to require the Company to, pursuant to the terms of and subject to the limitations contained in this Agreement, prepare and file with the Commission a Registration Statement registering the
 offering and sale of the number and type of Registrable Securities on the terms and conditions specified in the Demand Notice in accordance with the intended timing and method or methods of distribution thereof specified in the Demand Notice,
 which may include sales on a delayed or continuous basis pursuant to Rule 415 (the "**Demand Registration** "). Notwithstanding, the Shareholder shall not have the option and right to deliver a Demand Notice within six calendar months after
 the effective date of the registration statement relating to the IPO.

2.1.2 Following receipt of a Demand Notice, the Company shall file a Registration Statement as promptly as
 practicable covering all of the Registrable Securities that the Shareholder requests on such Demand Notice to be included in such Demand Registration in accordance with the terms and conditions of this Agreement and shall use its reasonable
 best efforts to cause such Registration Statement to become effective under the Securities Act and remain effective under the Securities Act for not less than the period set forth in clauses (i) to (iii) of this Section 2.1.2 (the "**Effectiveness Period** "); provided, however, that the Company shall not be required to effect the registration of Registrable Securities pursuant to this Section 2.1 unless the Registrable Securities are offered at an aggregate proposed offering price of
 not less than $20 million:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Company shall use commercially reasonable efforts to keep any Shelf Registration Statement filed
 on Form F-3 continuously effective under the Securities Act to permit the Prospectus forming a part of it to be usable by the Shareholder until the earlier of: (A) the date as of which all Registrable Securities have been sold pursuant to that
 Shelf Registration Statement or another Registration Statement filed under the Securities Act (but in no event prior to the applicable period referred to in Section 4(a)(3) of the Securities Act and Rule 174 thereunder); (B) the date as of
 which the Shareholder whose Registrable Securities are registered on such Form F-3 holds Registrable Securities; (C) any date reasonably determined by the board of Directors to be appropriate, excluding any date that is fewer than two years
 after the effectiveness of the Registration Statement; and (D) the third anniversary of the effectiveness of the Registration Statement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If the Registration Statement filed is a Shelf Registration Statement on any form other than Form
 F-3 and such Registration Statement was not filed in connection with an Underwritten Offering, the Company shall use commercially reasonable efforts to keep the Registration Statement continuously effective under the Securities Act until such
 time as the Company is eligible to file a Shelf Registration Statement on Form F-3 covering the Registrable Securities thereon or such shorter period during which all Registrable Securities included in the Registration Statement have actually
 been sold.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) If the Registration Statement filed is a Shelf Registration Statement on any form other than Form
 F-3 and such Registration Statement was filed in connection with an Underwritten Offering, the Company shall use commercially reasonable efforts to keep the Registration Statement continuously effective under the Securities Act, for a period of
 at least 180 days after the effective date thereof or such other period as the underwriters for any Underwritten Offering may determine to be appropriate, or such shorter period during which all Registrable Securities included in the
 Registration Statement have actually been sold; provided that such period shall be extended for a period of time equal to the period the Shareholder of Registrable Securities may be required to refrain from selling any securities included in
 the Registration Statement at either the request of the Company or an underwriter of the Company pursuant to the provisions of this Agreement.

In addition, the Effectiveness Period shall be extended by one (1) day for each additional day during any Suspension Period in effect following the Effective Date applicable thereto pursuant to 2.1.4.

2.1.3 Subject to the other limitations contained in this Agreement, the Company is not obligated hereunder
 to effect more than two (2) Demand Registrations in any twelve (12) month period. Furthermore, a registration will not count as a requested registration under this Section 2.1 until the Registration Statement relating to such registration has
 been declared effective by the Commission and unless the Shareholder was able to register all the Registrable Securities requested by it to be included in such registration.

2.1.4 Notwithstanding any other provision of this Section 2.1, the Company shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) not be required to file a Registration Statement pursuant to this Section 2.1 during the period
 starting with the date thirty (30) days prior to a good faith estimate by the majority of the members of the board of directors of the Company (excluding any members of the board of directors that are employees or Affiliates of the Shareholder
 (other than directors that are "independent" under NYSE standards)) (the "**Unaffiliated Board Members** "), of the date of filing of, and ending on a date ninety (90) days after the effective date of, a Company initiated registration;
 provided that the Company is actively employing its reasonable best efforts to cause such registration statement to become effective;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) not be required to effect a registration or file a Registration Statement for a period of up to one
 hundred twenty (120) days after the date of a Demand Notice for registration pursuant to this Section 2.1 if at the time of such request:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) the Company is engaged, or has plans to engage, within thirty (30) days of the time of such Demand
 Notice, in an Underwritten Offering; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) the Company is currently engaged in a self-tender or exchange offer and the filing of a Registration
 Statement would cause a violation of the Exchange Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) not be required to effect a registration or file a Registration Statement for a period of up to
 ninety (90) days, if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) the Unaffiliated Board Members determine such registration would render the Company unable to comply
 with applicable securities laws; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) the Unaffiliated Board Members determine such registration would require premature disclosure of
 material information that the Company has a bona fide business purpose for preserving as confidential; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) if the Company has filed a "shelf" registration statement pursuant to a Demand Notice under this
 Section 2.1 and has included Registrable Securities therein (each such Registration Statement, a "**Shelf Registration Statement** "), it shall be entitled to suspend, for no more than two occasions in a 12-month period and for a reasonable
 period of time not in excess of 90 consecutive days and in the aggregate not more than 90 days in any 12-month period (except as a result of a review of any post-effective amendment by the Commission before declaring any post-effective
 amendment to the Registration Statement effective; provided, that the Company has used its reasonable best efforts to cause such post-effective amendment to be declared effective), the offer or sale of Registrable Securities pursuant to such
 registration statement by any holder of Registrable Securities if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) a "road show" is not then in progress with respect to a proposed offering of Registrable Securities
 by such holder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) either:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A) the Unaffiliated Board Members, in good faith, determine 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;i. the offer or sale of any shares of Common Shares would materially impede, delay or interfere with a
 significant transaction under negotiation by the Company, including any proposed financing, offer or sale of securities, acquisition, merger, tender offer, business combination, corporate reorganization, or consolidation;

&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. after the advice of counsel, the sale of Common Shares covered by the Shelf Registration Statement
 would require disclosure of non-public material information not otherwise required to be disclosed under applicable law; 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;iii. either: (x) the Company has a bona fide business purpose for preserving the confidentiality of the
 proposed transaction, (y) disclosure would have a material adverse effect on the Company or the Company's ability to consummate the proposed transaction, or (z) the proposed transaction renders the Company unable to comply with requirements of
 the Commission; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B) the Unaffiliated Board Members, in good faith, determine that the Company is required by law, rule
 or regulation to supplement the Shelf Registration Statement or file a post-effective amendment to the Shelf Registration Statement in order to incorporate information into the Shelf Registration Statement for the purpose 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;i. including in the Shelf Registration Statement any Prospectus required under Section 10(a)(3) of the
 Securities Act; 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;ii. reflecting in the Prospectus included in the Shelf Registration Statement any facts or events
 arising after the effective date of the Shelf Registration Statement (or the most recent post-effective amendment) that, individually or in the aggregate, represents a fundamental change in the information set forth in the Prospectus (any such
 period referred to in this Section 2.1.4, a "**Suspension Period** "); provided, however, that in the event the Company postpones, defers or suspends any Demand Registration pursuant to Section 2.1.4(iii)a) or b) or Section 2.1.4(iv), then
 during such Suspension Period, the Company shall not engage in any transaction involving the offer, issuance, sale, or purchase of Common Shares (whether for the benefit of the Company or a third Person), except transactions involving the
 issuance or purchase of Common Shares as contemplated by Company employee benefit plans or employee or director arrangements or the transactions set out in Section 2.1.4(iv)b)A)i.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) In order to suspend the use of the Shelf Registration Statement pursuant to this Section 2.1.4(iv),
 the Company shall promptly upon determining to seek such suspension, deliver to the holders of Registrable Securities included in such registration statement, a certificate signed by the Chief Executive Officer of the Company stating that the
 Company is suspending use of such registration statement pursuant to Section 2.1.4(iv), the basis therefor in reasonable detail and a good faith estimate as to the anticipated duration of such suspension.

2.1.5 The Company may include in any such Demand Registration other Common Shares for sale for its own
 account or for the account of any other Person; provided that if the managing underwriter for the offering determines that the number of Common Shares proposed to be offered in such offering would likely have an adverse effect in any material
 respect on the price, timing or distribution of the Common Shares proposed to be included in such offering or the market for the Common Shares, then the Registrable Securities to be sold by the Shareholder shall be included in such registration
 before any Common Shares proposed to be sold for the account of the Company or any other Person.

2.1.6 Subject to the limitations contained in this Agreement, the Company shall effect any Demand
 Registration on Form F-3 (except if the Company is not then eligible to register for resale the Registrable Securities on Form F-3, in which case such Demand Registration shall be effected on another appropriate form for such purpose pursuant
 to the Securities Act) and if the Company becomes, and is at the time of its receipt of a Demand Notice, a WKSI, the Demand Registration for any offering and selling of Registrable Securities through a firm commitment underwriting shall be
 effected pursuant to an Automatic Shelf Registration Statement, which shall be on Form F-3 or any equivalent or successor form under the Securities Act (if available to the Company); provided, however, that if at any time a Registration
 Statement on Form F-3 is effective and the Shareholder provides written notice to the Company that it intends to effect an offering of all or part of the Registrable Securities included on such Registration Statement, the Company will amend or
 supplement such Registration Statement as may be necessary in order to enable such offering to take place.

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2.1.7 Without limiting Section 2.4, in connection with any Demand Registration pursuant to and in
 accordance with this Section 2.1, the Company shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) promptly prepare and file or cause to be prepared and filed:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) such additional forms, amendments, supplements, prospectuses, certificates, letters, opinions and
 other documents, as may be necessary or advisable to register or qualify the Registrable Securities subject to such Demand Registration, including under the securities laws of such states as the Shareholder shall reasonably request; provided,
 however, that no such qualification shall be required in any jurisdiction where, as a result thereof, the Company would become subject to general service of process or to taxation or qualification to do business in such jurisdiction solely as a
 result of registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) such forms, amendments, supplements, prospectuses, certificates, letters, opinions and other
 documents as may be necessary to apply for listing or to list the Registrable Securities subject to such Demand Registration on the NYSE;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) do any and all other acts and things that may be necessary or appropriate or reasonably requested by
 the Shareholder to enable the Shareholder to consummate a public sale of such Registrable Securities in accordance with the intended timing and method or methods of distribution thereof; and

2.2 **Piggyback Registration** 

2.2.1 If the Company shall at any time propose to file a registration statement under the Securities Act,
 other than pursuant to any Demand Registration, for an offering of Common Shares for cash (whether in connection with a public offering of Common Shares by the Company, a public offering of Common Shares by shareholders, or both, but excluding
 an offering relating solely to an employee benefit plan, an offering relating to a transaction on Form F-4 or an offering on any registration statement form that does not permit secondary sales), the Company shall promptly notify the
 Shareholder of such proposal reasonably in advance of (and in any event at least five (5) Business Days before) the anticipated filing date (the "**Piggyback Notice** "). The Piggyback Notice shall offer the Shareholder the opportunity to
 include for registration in such registration statement the number of Registrable Securities as it may request (a "**Piggyback Registration** "). The Company shall include in each such Piggyback Registration such Registrable Securities for
 which the Company has received written request within five (5) days after delivery to the Shareholder of the Piggyback Notice ()"**Piggyback Request**") for inclusion therein. If the Shareholder decides not to include all of its Registrable
 Securities in any registration statement thereafter filed by the Company, the Shareholder shall nevertheless continue to have the right to include any Registrable Securities in any subsequent registration statement or registration statements as
 may be filed by the Company with respect to offerings of Common Shares, all upon the terms and conditions set forth herein.

2.2.2 If the registration statement under which the Company gives notice under this Section 2.2 is for an
 Underwritten Offering, the Company shall so advise the Shareholder. In such event, the right of the Shareholder to be included in a registration pursuant to this Section 2.2 shall be conditioned upon the Shareholder participation in such
 Underwritten Offering and the inclusion of the Registrable Securities in the Underwritten Offering to the extent provided herein. In the event the Shareholder proposes to distribute its Registrable Securities through such Underwritten Offering,
 it shall enter into an underwriting agreement in customary form with the underwriter or underwriters selected for such Underwritten Offering by the Company. If the managing underwriter or managing underwriters of such offering advise the
 Company and the Shareholder in writing that in their reasonable opinion that the inclusion of all of the Registrable Securities in the subject registration statement (or any other Common Shares proposed to be included in such offering) would
 likely have an adverse effect in any material respect on the price, timing or distribution of the Common Shares proposed to be included in such offering or the market for the Common Shares, the Company shall include in such offering only that
 number or amount, if any, of Common Shares proposed to be included in such offering that, in the reasonable opinion of the managing underwriter or managing underwriters, will not have such effect, with such number to be allocated as follows:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) first, to the Company or the Person or Persons demanding such Underwritten Offering; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if there remains availability for additional Common Shares to be included in such registration,
 second, to all other holders of Common Shares (including the Shareholder) who are contractually entitled to "piggyback" registration rights that are equivalent to those described in this Section 2.2 and who may be seeking to register such
 Common Shares, pro-rata among them, based on the number of Common Shares such other holders are entitled to include in such registration. If the Shareholder disapproves of the terms of any such Underwritten Offering, it may elect to withdraw
 therefrom by written notice to the Company and the managing underwriter(s) delivered on or prior to the time of pricing of such offering. Any Registrable Securities withdrawn from such Underwritten Offering shall be excluded and withdrawn from
 the registration.

2.2.3 Without prejudice to Section 2.2.2 above, insofar as permissible in the circumstances, the Parties
 agree and acknowledge that any cutbacks applied to Persons (other than the Company) participating in an offering for which a Piggyback Request is made will be allocated pro rata to the Shareholder based on the number of Registrable Securities
 of the Company owned by the same at the time of any such Piggyback Request. For the avoidance of doubt, the Company will have priority over the Shareholder in any such offering initiated by the Company.

2.2.4 The Company shall have the right to terminate or withdraw any registration initiated by it under
 this Section 2.2 prior to the Effective Date of such registration statement whether or not the Shareholder has elected to include Registrable Securities in such Registration Statement. The registration expenses of such withdrawn registration
 shall be borne by the Company in accordance with Section 4 hereof.

2.3 **Registration Rights** 

2.3.1 Subject to Section 2.1.2, all registration rights granted under this Section 2 shall continue to be
 applicable with respect to the Shareholder for so long as may be required for the Shareholder to sell all of the Registrable Securities held by the Shareholder (without any limitation on volume, timing, recipients or intended method or methods
 of distribution, including through the use of an underwriter, that would not be applicable with a registration under the Securities Act).

2.3.2 Any Demand Notice or Piggyback Request shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) specify the Registrable Securities intended to be offered and sold by the Shareholder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) express the Shareholder's present intent to offer such Registrable Securities for distribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) describe the nature or method of the proposed offer and sale of Registrable Securities, which may
 include sales on a delayed or continuous basis; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) contain the undertaking of the Shareholder to provide all such information and materials and take
 all action as may reasonably be required in order to permit the Company to comply with all applicable requirements in connection with the registration of such Registrable Securities.

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2.3.3 The Shareholder shall not have any right to obtain or seek an injunction restraining or otherwise
 delaying any such registration as the result of any controversy that might arise with respect to the interpretation or implementation of this Section 2.

2.3.4 The Company will not enter into any agreement during the term of this Agreement which would allow
 any holder of Common Shares to include Common Shares in any Registration Statement filed by the Company in a manner that would violate or restrict in any material respect the rights granted to the Shareholder hereunder.

2.3.5 Any Registrable Security will cease to be a Registrable Security when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) it has been sold or otherwise transferred by the Shareholder (other than a transfer by the
 Shareholder to an Affiliate or in conjunction with an assignment of this Agreement permitted under Section 7.5); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (A) the holder of such registrable securities holds less than the Threshold Percentage, and (B) it
 is eligible for sale pursuant to Rule 144 (or any successor provision) under the Securities Act without restriction pursuant to such rule on the volume of securities that may be sold in any single transaction.

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| | |
|:---|:---|
| 2.4 | **Holdback Agreement** |

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| | |
|:---|:---|
| 2.4.1 | The Shareholder agrees with the Company, upon notice from the managing underwriter or underwriters in connection with any Underwritten Offering of the Common Shares or other securities of the Company (other than pursuant to a registration statement on Form F-4, Form S-4 or any similar or successor form or pursuant to a registration solely relating to an offering and sale to employees or directors of the Company pursuant to any employee stock plan or other employee benefit plan arrangement), not to offer for sale, sell, including, but not limited to, any sale pursuant to Rule 144, pledge or otherwise dispose of (or enter into transactions or device that is designed to, or could be expected to, result in the disposition by any person at any time in the future of), any Registrable Securities, any other equity securities of the Company without the prior written consent of the managing underwriters or underwriters (as applicable) during such period as reasonably requested by such managing underwriters or underwriters (as applicable, but in no event longer than the seven days before and the 90 (ninety) days after the pricing of such Underwritten Offering), provided, that such restrictions shall not apply in any circumstance to: |

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(i)<br> Registrable Securities that are offered for sale as part of such Underwritten Offering;<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Registrable Securities acquired by the Shareholder in the public market subsequent to the IPO; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) distributions-in-kind to a Shareholder's limited or other partners, members, shareholders or other equity holders.

2.4.2 Notwithstanding the foregoing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the restrictions contemplated in this Section 2.4 shall not be applicable and required to the
 Shareholder unless each of the Company's directors and officers agrees to be bound by a substantially identical holdback agreement for at least the same period of time; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) neither the Company nor the underwriters in respect of such Underwritten Offering shall grant any
 discretionary waiver or termination of the restrictions of any or all of such agreements unless such waiver or termination shall apply, on a pro rata basis, to the Registrable Securities held by the Shareholder.

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**3.** **Registration Procedures** 

The procedures to be followed by the Company and the Shareholder in a Registration Statement pursuant to this Agreement, and the respective rights and obligations of the Company and the Shareholder, with respect to the preparation, filing and effectiveness of such Registration Statement, are as follows.

3.1 The Company will, at least five (5) Business Days prior to the anticipated filing of a Registration
 Statement or any related Prospectus or any amendment or supplement thereto (other than amendments and supplements that do nothing more than name the Shareholder and provide information with respect thereto):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) unless available to the Shareholder through public filings with the Commission, furnish to the
 Shareholder and its underwriters, if any, copies of all such documents proposed to be filed; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) use its reasonable efforts to address in each such document when so filed with the Commission such
 comments as the Shareholder reasonably shall propose within three (3) Business Days of the delivery of such copies to the Shareholder.

3.2 The Company will use reasonable best efforts to as promptly as reasonably possible:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) prepare and file with the Commission such amendments, including post-effective amendments, and
 supplements to each Registration Statement and the Prospectus used in connection therewith as may be necessary under applicable law to keep such Registration Statement continuously effective with respect to the disposition of all Registrable
 Securities covered thereby for its Effectiveness Period and, subject to the limitations contained in this Agreement, prepare and file with the Commission such additional Registration Statements in order to register for resale under the
 Securities Act all of the Registrable Securities held by the Shareholder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) cause the related Prospectus to be amended or supplemented by any required prospectus supplement,
 and as so supplemented or amended to be filed pursuant to Rule 424; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) respond to any comments received from the Commission with respect to each Registration Statement or
 any amendment thereto and, as promptly as reasonably possible provide the Shareholder true and complete copies of all correspondence from and to the Commission relating to such Registration.

3.3 The Company will comply in all material respects with the provisions of the Securities Act and the
 Exchange Act with respect to the Registration Statements and the disposition of all Registrable Securities covered by each Registration Statement.

3.4 The Company will notify the Shareholder as promptly as reasonably practicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) when:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) a Prospectus or any prospectus supplement or post-effective amendment to a Registration Statement is
 proposed to be filed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) the Commission notifies the Company whether there will be a "review" of such Registration Statement
 and whenever the Commission comments in writing on such Registration Statement; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) with respect to each Registration Statement or any post-effective amendment thereto, when the same
 has been declared effective.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) of any request by the Commission or any other federal or state governmental authority for amendments
 or supplements to a Registration Statement or Prospectus or for additional information that pertains to the Shareholder as sellers of Registrable Securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) of the issuance by the Commission of any stop order suspending the effectiveness of a Registration
 Statement covering any or all of the Registrable Securities or the initiation of any Proceedings for that purpose;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) of the receipt by the Company of any notification with respect to the suspension of the
 qualification or exemption from qualification of any of the Registrable Securities for sale in any jurisdiction, or the initiation or threatening of any Proceeding for such purpose; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) of the occurrence of (but not the nature or details concerning) any event or passage of time that
 makes any statement made in such Registration Statement or Prospectus or any document incorporated or deemed to be incorporated therein by reference untrue in any material respect or that requires any revisions to such Registration Statement,
 Prospectus or other documents so that, in the case of such Registration Statement or the Prospectus, as the case may be, it will not contain any untrue statement of a material fact or omit to state any material fact required to be stated
 therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading (provided, however, that no notice by the Company shall be required pursuant to this clause (v) in the event that
 the Company either promptly files a prospectus supplement to update the Prospectus or a Form 6-K or other appropriate Exchange Act report that is incorporated by reference into the Registration Statement, which in either case, contains the
 requisite information that results in such Registration Statement no longer containing any untrue statement of material fact or omitting to state a material fact necessary to make the statements therein, in the light of the circumstances under
 which they were made, not misleading).

3.5 The Company will use its reasonable best efforts to avoid the issuance of, or, if issued, obtain the
 withdrawal of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any order suspending the effectiveness of a Registration Statement, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any suspension of the qualification (or exemption from qualification) of any of the Registrable
 Securities for sale in any jurisdiction, at the earliest practicable moment, or if any such order or suspension is made effective during any Suspension Period, at the earliest practicable moment after the Suspension Period is over.

3.6 During the Effectiveness Period, the Company will furnish to the Shareholder and its underwriter(s),
 if any, without charge, at least one conformed copy of each Registration Statement and each amendment thereto and all exhibits to the extent requested by the Shareholder (including those incorporated by reference) promptly after the filing of
 such documents with the Commission; provided, that the Company will not have any obligation to provide any document pursuant to this clause that is available on the Commission's Electronic Data Gathering Analysis and Retrieval System ("EDGAR").

3.7 The Company will promptly deliver to the Shareholder and its underwriter(s), if any, without charge,
 as many copies of each Prospectus or Prospectuses (including each form of prospectus) and each amendment or supplement thereto as the Shareholder and its underwriter(s), if any, may reasonably request during the Effectiveness Period, provided,
 that the Company will not have any obligation to provide any document pursuant to this clause that is available on EDGAR. The Company consents to the use of such Prospectus and each amendment or supplement thereto by the Shareholder in
 connection with the offering and sale of the Registrable Securities covered by such Prospectus and any amendment or supplement thereto.

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3.8 The Company will provide the Company's transfer agent and registrar for such Registrable Securities
 and deliver to such transfer agent and registrar such customary forms, agreements and other documentation as such transfer agent and/or registrar so request in connection with a sale of Registrable Securities by the Shareholder hereunder. If
 required by the Company's transfer agent, the Company will promptly, after the Effective Date of the Registration Statement, cause to be delivered to and maintained with its transfer agent any other authorizations, certificates and directions
 required by the transfer agent which authorize and direct the transfer agent to issue such Registrable Securities without any legend indicating that the Registrable Securities are unregistered or unqualified for resale under the Securities Act,
 Exchange Act or other applicable securities laws, upon sale by the Shareholder of such Registrable Securities under the Registration Statement.

3.9 Upon the occurrence of any event contemplated by Section 3.4(v), subject to Section 2.1.4, as
 promptly as reasonably possible, the Company will prepare a supplement or amendment, including a post-effective amendment, if required by applicable law, to the affected Registration Statement or a supplement to the related Prospectus or any
 document incorporated or deemed to be incorporated therein by reference, and file any other required document so that, as thereafter delivered, no Registration Statement nor any Prospectus will contain an untrue statement of a material fact or
 omit to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading.

3.10 The Shareholder may distribute the Registrable Securities by means of an Underwritten Offering,
 subject to the provisions of this Agreement; provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Shareholder provide written notice to the Company of its intention to distribute Registrable
 Securities by means of an Underwritten Offering;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the managing underwriter or managing underwriters thereof shall be designated by the Shareholder in
 the case of a Demand Registration (provided, however, that such designated managing underwriter or managing underwriters shall be reasonably acceptable to the Company) or by the Company in the case of a registration initiated by the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Shareholder agrees to enter into an underwriting agreement in customary form and sell the
 Registrable Securities on the basis provided in any underwriting arrangements approved by the Persons entitled to select the managing underwriter or managing underwriters hereunder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Shareholder will complete and execute all questionnaires, powers of attorney, indemnities and
 other documents reasonably required under the terms of such underwriting arrangements. The Company hereby agrees with the Shareholder that, in connection with any Underwritten Offering in accordance with the terms hereof, it will negotiate in
 good faith and execute all indemnities, underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements, including using all reasonable best efforts to procure customary legal opinions and
 auditor "comfort" letters at the Company's expense.

3.11 In the event the Shareholder seeks to complete an Underwritten Offering, for a reasonable period
 prior to the filing of any Registration Statement and throughout the Effectiveness Period, the Company will make available upon reasonable notice at the Company's principal place of business or such other reasonable place for inspection by the
 managing underwriter or managing underwriters selected in accordance with Section 3.10, including virtual data rooms, such financial and other information and books and records of the Company, and cause the officers, employees, counsel and
 independent certified public accountants of the Company to respond to such inquiries, as shall be reasonably necessary (and in the case of counsel, not violate an attorney-client privilege in such counsel's reasonable belief) to conduct a
 reasonable investigation within the meaning of Section 11 of the Securities Act.

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3.12 In connection with any registration of Registrable Securities pursuant to this Agreement, the
 Company will take all commercially reasonable actions as are necessary or advisable in order to expedite or facilitate the disposition of Registrable Securities by the Shareholder, including causing appropriate officers and employees to be
 available, on a customary basis and upon reasonable notice, to meet with prospective investors in presentations, meetings and road shows.

**4.** **Registration Expenses** 

4.1 All reasonable Registration Expenses incident to the Parties' performance of or compliance with
 their respective obligations under this Agreement or otherwise in connection with any Demand Registration or Piggyback Registration (excluding any Selling Expenses) shall be borne by the Company, whether or not any Registrable Securities are
 sold pursuant to a Registration Statement. "**Registration Expenses**" shall include, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all registration and filing fees, including fees and expenses:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) with respect to filings required to be made with the NYSE; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) in compliance with applicable state securities or "Blue Sky" laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) printing expenses (including printing prospectuses if the printing of prospectuses is reasonably
 requested by the Shareholder);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) messenger, telephone and delivery expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) fees and disbursements of counsel, auditors and accountants for the Company (as applicable) and fees
 and disbursements of one counsel (and local counsel, if applicable) for the Shareholder, in each case which counsel shall be reasonably acceptable to the Shareholder if the Shareholder is participating in the offer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Securities Act liability insurance, if the Company so desires such insurance; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) fees and expenses of all other Persons retained by the Company in connection with the consummation
 of the transactions contemplated by this Agreement. In addition, the Company shall be responsible for all of its expenses incurred in connection with the consummation of the transactions contemplated by this Agreement (including expenses
 payable to third parties and including all salaries and expenses of their officers and employees performing legal or accounting duties), the expense of any annual audit and the fees and expenses incurred in connection with the listing of the
 Registrable Securities on the NYSE.

4.2 The Shareholder or its Affiliates, as applicable, shall bear all Selling Expenses with respect to
 any Registrable Securities sold by it, except with respect to fees and disbursements of counsel for the Shareholder or its Affiliate as provided herein.

**5.** **Indemnification** 

5.1 If requested by the Shareholder, the Company shall indemnify and hold harmless each underwriter, if
 any, engaged in connection with any registration referred to in Section 2 and provide representations, covenants, opinions and other assurances to any underwriter in form and substance reasonably satisfactory to such underwriter and the
 Company.

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5.2 Further, the Company shall indemnify and hold harmless the Shareholder, its Affiliates and each of
 their respective officers and directors and any Person who controls the Shareholder (within the meaning of the Securities Act) and any agent thereof (collectively, "**Indemnified Persons** "), to the fullest extent permitted by applicable
 law, from and against any and all losses, claims, damages, liabilities, joint or several, costs (including reasonable costs of preparation and reasonable attorneys' fees) and expenses, judgments, fines, penalties, interest, settlements or other
 amounts arising from any and all claims, demands, actions, suits or proceedings, whether civil, criminal, administrative or investigative, in which any Indemnified Person may be involved, or is threatened to be involved, as a party or
 otherwise, under the Securities Act or otherwise (collectively, "**Losses** "), as incurred, arising out of or relating to any untrue or alleged untrue statement of a material fact contained in any Registration Statement under which any
 Registrable Securities were registered, in any preliminary prospectus (if used prior to the Effective Date of such Registration Statement), or in any summary or final prospectus or free writing prospectus or in any amendment or supplement
 thereto (if used during the period the Company is required to keep the Registration Statement current), or arising out of, based upon or resulting from the omission or alleged omission to state therein a material fact required to be stated
 therein or necessary to make the statements made therein, in the light of the circumstances in which they were made, not misleading; provided, however, that the Company shall not be liable to any Indemnified Person to the extent that any such
 claim arises out of, is based upon or results from an untrue or alleged untrue statement or omission or alleged omission made in such Registration Statement, such preliminary, summary or final prospectus or free writing prospectus or such
 amendment or supplement, in reliance upon and in conformity with written information furnished to the Company by or on behalf of such Indemnified Person specifically for use in the preparation thereof. The Company shall notify the Shareholder
 promptly of the institution, threat or assertion of any Proceeding of which the Company is aware in connection with the transactions contemplated by this Agreement. Notwithstanding anything to the contrary herein, this Section 5 shall survive
 any termination or expiration of this Agreement indefinitely.

5.3 Promptly after receipt by any Indemnified Persons under this Section 5 of notice of the commencement
 of any action or proceeding (including any governmental action or proceeding) involving a Loss, such Indemnified Persons shall, if a Loss in respect thereof is to be claimed against any indemnifying party under this Section 5, deliver to the
 indemnifying party a written notice of the commencement thereof, and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly
 noticed, to assume control of the defense thereof with counsel mutually satisfactory to the indemnifying party and the Indemnified Persons; provided, however, that the Indemnified Persons shall have the right to retain their own counsel with
 the fees and expenses of not more than one counsel for such Indemnified Persons to be paid by the indemnifying party if the representation by such counsel of the Indemnified Persons and the indemnifying party would be inappropriate due to
 actual or potential differing interests between such Indemnified Persons and any other party represented by such counsel in such proceeding. In the case of Indemnified Persons, legal counsel referred to in the immediately preceding sentence
 shall be selected by Shareholder. The Indemnified Persons shall cooperate with the indemnifying party in connection with any negotiation or defense of any such Losses by the indemnifying party and shall furnish to the indemnifying party all
 information reasonably available to the Indemnified Persons which relates to such Losses. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action shall not relieve such
 indemnifying party of any liability to the Indemnified Persons under this Section 5, except to the extent that the indemnifying party is prejudiced in its ability to defend such action but the omission to so notify the indemnifying party will
 not relieve such indemnifying party of any liability that it may have to any Indemnified Persons otherwise than under this Section 5.

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**6.** **Facilitations of Sales Pursuant to Rule 144** 

To the extent it shall be required to do so under the Exchange Act, the Company shall timely file the reports required to be filed by it under the Exchange Act or the Securities Act (including the reports under Sections 13 and 15(d) of the Exchange Act referred to in subparagraph (c)(1) of Rule 144), and shall take such further action as the Shareholder may reasonably request, all to the extent required from time to time to enable the Shareholder to sell Registrable Securities without registration under the Securities Act within the limitations of the exemption provided by Rule 144. Upon the request the Shareholder in connection with the Shareholder's sale pursuant to Rule 144, the Company shall deliver to the Shareholder a written statement as to whether it has complied with such requirements.

**7.** **Miscellaneous** 

7.1 **Remedies** 

In the event of a breach by the Company of any of its obligations under this Agreement, the Shareholder, in addition to being entitled to exercise all rights granted by law and under this Agreement, including recovery of damages, will be entitled to specific performance of its rights under this Agreement. The Company agrees that monetary damages would not provide adequate compensation for any losses incurred by reason of a breach by it of any of the provisions of this Agreement and further agrees that, in the event of any action for specific performance in respect of such breach, it shall waive the defense that a remedy at law would be adequate.

7.2 **Discontinued Disposition** 

The Shareholder agrees that upon receipt of a notice from the Company of the occurrence of any Suspension Period or any event of the kind described in clauses (ii) through (v) of Section 3.4, the Shareholder will forthwith discontinue disposition of such Registrable Securities under the Registration Statement until the Shareholder's receipt of the copies of the supplemental Prospectus or amended Registration Statement or until it is advised in writing by the Company that the use of the applicable Prospectus may be resumed, and, in either case, has received copies of any additional or supplemental filings that are incorporated or deemed to be incorporated by reference in such Prospectus or Registration Statement. The Company may provide appropriate stop orders to enforce the provisions of this Section 7.2.

7.3 **Amendments and Waivers** 

No provision of this Agreement may be waived or amended except in a written instrument signed by the Company and the Shareholder. No waiver of any default with respect to any provision, condition or requirement of this Agreement shall be deemed to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other provision, condition or requirement hereof, nor shall any delay or omission of any Party to exercise any right hereunder in any manner impair the exercise of any such right.

7.4 **Notices** 

7.4.1 Any and all notices or other communications or deliveries required or permitted to be provided
 hereunder shall be in writing and shall be deemed given and effective on the earliest of:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the date of transmission, if such notice or communication is delivered via facsimile or electronic
 mail as specified in this Section 7.4 prior to 5:00 p.m. (Eastern Standard Time) on a Business Day;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Business Day after the date of transmission, if such notice or communication is delivered via
 facsimile or electronic mail as specified in this Agreement later than 5:00 p.m. (Eastern Standard Time) on any date and earlier than 11:59 p.m. (Eastern Standard Time) on such date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Business Day following the date of mailing, if sent by nationally recognized overnight courier
 service:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) upon actual receipt by the Party to whom such notice is required to be given.

7.4.2 The address for such notices and communications shall be as follows:

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| |
|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;if to the Company: |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;if to the Shareholder or any of its Affiliates: |

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7.5 **Successors and Assigns** 

7.5.1 This Agreement shall be binding upon and inure to the benefit of the Parties hereto and their heirs,
 executors, administrators, successors, legal representatives and permitted assigns. Except as provided below in Section 7.5.2 and any transfers to Affiliates of the Shareholder, this Agreement, and any rights or obligations hereunder, may not
 be assigned without the prior written consent of the Company and the Shareholder.

7.5.2 The rights under this Agreement shall be freely assignable by the Shareholder, in whole or in part
 at any time and from time to time during the term of this Agreement, to any transferee or recipient of all or any portion of the Registrable Securities if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the transferee or recipient is, or will become immediately following the transfer from the
 Shareholder, the holder of at least five percent (5%) of the Company's issued and outstanding share capital at that time; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Shareholder agrees in writing with the transferee or recipient to assign such rights and the
 transferee or recipient agrees in writing with the Company to be bound by all of the provisions contained in this Agreement in the form attached as <u>Schedule 1</u> hereto.

7.5.3 In order to assign any number of Demand Registrations, the holder of the right to such Demand
 Registrations shall expressly assign any number of Demand Registrations that it may hold pursuant to an agreement in the form attached as <u>Schedule 1</u> hereto and such assignment shall correspondingly reduce the number of Demand
 Registrations held by the Shareholder or any other assignor.

------

7.5.4 At the transferee's or recipient's request, the Company shall promptly prepare and file any required
 prospectus supplement under Rule 424(b)(3) of the Securities Act or other applicable provision of the Securities Act to appropriately amend the list of selling shareholders thereunder to include such transferee or recipient.

7.5.5 In the event the Shareholder transfers Registrable Securities included on a Registration Statement
 in connection with the foreclosure of a pledge of such Registrable Securities and, following the transfer, such Registrable Securities would not be eligible for sale pursuant to Rule 144 (or any successor provision) under the Securities Act
 without restriction pursuant to such rule on the volume of securities that may be sold in any single transaction then:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) at the request of the new holder of such Registrable Securities (the "**Pledge Holder** "), the
 Company shall amend or supplement such Registration Statement as may be necessary in order to enable such Pledge Holder to offer and sell such Registrable Securities pursuant to such Registration Statement; provided that in no event shall the
 Company be required to file a post-effective amendment to the Registration Statement unless (x) such Registration Statement includes only Registrable Securities held by the Pledge Holder, Affiliates of the Pledge Holder or transferees of the
 Pledge Holder or (y) the Company has received a written consent therefor from every Person for whom Common Shares have been registered on (but not yet sold under) such Registration Statement, other than the Pledge Holder, Affiliates of the
 Pledge Holder or transferees of the Pledge Holder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) all of the rights and obligations of the Company and the Pledge Holder with respect to such
 Registrable Securities granted under Sections 2, 4, 5, 6 and 7 shall continue to be applicable with respect to such Registrable Securities until the earlier of (x) the time required for the Pledge Holder to sell all of the Registrable
 Securities held by the Pledge Holder or (y) the end of the Effectiveness Period of the Registration Statement relating to such Registrable Securities.

7.6 **Third Party Beneficiaries** 

This Agreement is intended for the benefit of the Parties hereto and their respective successors and permitted assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other person.

7.7 **Execution and Counterparts** 

This Agreement may be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same Agreement. In the event that any signature is delivered by facsimile or electronic mail transmission, such signature shall create a valid binding obligation of the Party executing (or on whose behalf such signature is executed) the same with the same force and effect as if such signature delivered by facsimile or electronic mail transmission were the original thereof.

7.8 **Governing law** 

This Agreement shall be governed by and construed in accordance with the laws of the State of New York. Each party hereby irrevocably submits to the exclusive jurisdiction of the courts of the State of New York located in New York County and the United States District Court for the Southern District of New York for the purpose of any suit, action, proceeding or judgment relating to or arising out of this Agreement and the Transactions contemplated hereunder. **EACH OF THE PARTIES HERETO WAIVES ANY RIGHT TO REQUEST A TRIAL BY JURY IN ANY LITIGATION WITH RESPECT TO THE AGREEMENT.**

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7.9 **Cumulative Remedies** 

The remedies provided herein are cumulative and not exclusive of any remedies provided by law. Failure of any party to exercise any right or remedy under this Agreement or otherwise, or delay by a party in exercising such right or remedy, shall not operate as a waiver thereof.

7.10 **Severability** 

If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the Parties shall use their reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the Parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be hereafter declared invalid, illegal, void or unenforceable.

7.11 **Entire Agreement** 

This Agreement constitutes the entire agreement among the Parties with respect to the subject matter hereof and supersede all prior contracts or agreements with respect to the subject matter hereof and the matters addressed or governed hereby, whether oral or written.

[*REMAINDER OF PAGE LEFT INTENTIONALLY BLANK*]

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\* \* \*

If the foregoing correctly sets forth your understanding, please reproduce the content of this Agreement in its entirety in a new letter, which should be returned to us duly signed in a sign of full and unconditional acceptance.

**Himalaya Shipping Ltd.**

By: Vidar Hasund

Title: Contracted Chief Financial Officer

**Drew Holdings Limited**

By:

Title:

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**Schedule 1<br> Form of Transfer and Amendment Agreement**

This transfer and amendment agreement (the "**Transfer Agreement**") is made on this [●] day of [●] by and between [●] (the "**New Shareholder**"), Himalaya Shipping Ltd. (the "**Company**"), and [●] (the "**Transferor**" and, together with the New Shareholder and the Company, the "**Parties**") and is supplemental to and an amendment of the Registration Rights Agreement (the "**Agreement**") dated February [●], 2023, as amended from time to time, and made by and between the Company and the Shareholder.

1. The Parties agree and acknowledge that capitalized terms used and not defined herein shall have the
 same meaning as ascribed to them in the Agreement.

2. The New Shareholder hereby confirms that it has been supplied with a copy of the Agreement and
 hereby covenants with the Company to observe, perform and be bound by all the terms of the Agreement which are capable of applying to the Transferor as a holder of Registrable Securities (as defined in the Agreement) and which have not been
 performed at the date of this Transfer Agreement to the intent and effect that the New Shareholder shall be deemed with effect from the date hereof to be a Party to the Agreement.

3. The Transferor hereby confirms that it has transferred [● percent (●%)] of the Company's issued and outstanding share capital to the New Shareholder (the "**Share Transfer**") and thereby also wishes to and hereby does assign to the New Shareholder an equal pro-rata share of its rights as a holder of Registrable Securities under the Agreement (the "**Assignment of Rights** ").

4. The Transferor hereby expressly assigns [●] number of Demand Registrations in any twelve (12) month period to the New Shareholder and agrees that this assignment shall correspondingly decrease the number of Demand Registrations in any twelve (12) month period available to the Transferor under the Agreement.

5. The Company hereby confirms and acknowledges the Share Transfer and Assignment of Rights on the
 terms set forth herein.

6. The New Shareholder confirms that its details for Section 7.4 (Notices) are as follows: [●].

7. This Transfer Agreement shall be governed by and construed in accordance with the laws of the State
 of New York, without regard to the choice of law principles thereof.

[*REMAINDER OF PAGE LEFT INTENTIONALLY BLANK*]

------

IN WITNESS WHEREOF, the Parties have executed this Agreement on the date first above written.

**[NEW SHAREHOLDER]**

By:

Title:

**Himalaya Shipping Ltd.**

By:

Title:

**[TRANSFEROR]**

By:

Title:

## Exhibit 10.2

**Exhibit 10.2**

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAIN PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

CONTRACT NO. NTS-BC 0120833

SHIPBUILDING CONTRACT

FOR

CONSTRUCTION OF ONE 210,000 DWT BULK CARRIER

CONTRACT NO. NTS-BC0120833

(HULL NO. 0120833)

PRELIMINARY NAME: 210K-DF I

BETWEEN

LHOTSE INC. (under incorporation)<br>

as BUYER

and

NEW TIMES SHIPBUILDING CO., LTD.

As BUILDER and SELLER

Date: March 10, 2021

[\*\*\*]

------

CONTRACT NO. NTS-BC 0120833

CONTENTS

ARTICLE

PAGE NO.

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| | |
|:---|:---|
| **ARTICLE I - DESCRIPTION AND CLASS** | **2** |
| 1. DESCRIPTION | 2 |
| 2. CLASS AND RULES | 2 |
| 3. PRINCIPAL PARTICULARS AND DIMENSIONS OF THE VESSEL | 3 |
| 4. GUARANTEED SPEED | 4 |
| 5. GUARANTEED FUEL CONSUMPTION | 4 |
| 6. GUARANTEED DEADWEIGHT | 5 |
| 8. SUBCONTRACTING: | 5 |
| 9. STANDARD OF CONSTRUCTION: | 6 |
| 10. REGISTRATION: | 6 |
| **ARTICLE II - CONTRACT PRICE & TERMS OF PAYMENT** | **7** |
| 1. CONTRACT PRICE: | 7 |
| 2. CURRENCY: | 7 |
| 3. TERMS OF PAYMENT: | 7 |
| 4. METHOD OF PAYMENT: | 8 |
| 5. PREPAYMENT; | 10 |
| 6. SECURITY FOR PAYMENT OF INSTALMENTS BEFORE DELIVERY: | 10 |
| 7. REFUNDS | 10 |
| **ARTICLE III- ADJUSTMENT OF THE CONTRACT PRICE** | **12** |
| 1. DELIVERY | 12 |
| 2. SPEED | 13 |
| 3. EXCESSIVE FUEL CONSUMPTION | 14 |
| 4. DEADWEIGHT | 16 |
| 5. EFFECT OF RESCISSION | 16 |
| **ARTICLE IV - SUPERVISION AND INSPECTION** | **17** |
| 1. APPOINTMENT OF THE BUYER'S SUPERVISOR | 17 |
| 2. COMMENTS TO PLANS AND DRAWINGS | 17 |
| 3. SUPERVISION AND INSPECTION BY THE SUPERVISOR | 18 |
| 4. LIABILITY OF THE SELLER | 19 |
| 5. SALARIES AND EXPENSES | 19 |
| 6. REPLACEMENT OF SUPERVISOR | 19 |
| **ARTICLE V- MODIFICATION, CHANGES AND EXTRAS** | **21** |
| 1. HOW EFFECTED | 21 |
| 2. CHANGES IN RULES AND REGULATIONS, ETC | 21 |
| 3. SUBSTITUTION OF MATERIALS AND/OR EQUIPMENT | 23 |
| 4. BUYER'S SUPPLIED ITEMS | 23 |
| **ARTICLE VI - TRIALS** | **25** |
| 1. NOTICE | 25 |
| 2. HOW CONDUCTED | 26 |
| 3. TRIAL LOAD DRAFT | 26 |
| 4. METHOD OF ACCEPTANCE OR REJECTION | 26 |
| 5. DISPOSITION OF SURPLUS CONSUMABLE STORES | 27 |
| 6. EFFECT OF ACCEPTANCE | 28 |

---

Date: March 10, 2021

[\*\*\*]

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Shipbuilding Contract

Hull No. 0120833

SHIPBUILDING CONTRACT

FOR

CONSTRUCTION OF ONE 210,000 DWT BULK CARRIER

CONTRACT NO. NTS-BC0120833<br> HULL NO.0120833

This CONTRACT, entered into this 10th day of March 2021 between LHOTSE INC., a corporation organized and existing under the Laws of Liberia, having its registered office at 80 Broad Street, Monrovia, Liberia (hereinafter called the "BUYER") and NEW TIMES SHIPBUILDING CO., LTD., a corporation organized and existing under the laws of the People's Republic of China, having its registered office at Dan Hua Gang Port, Jingjiang City, Jiangsu Province, the People's Republic of China 214518 (hereinafter called the "BUILDER" and/or the "SELLER").

WITNESSETH

In consideration of the mutual covenants contained herein, the SELLER agrees to build, launch, equip and complete at the BUILDER's Shipyard and to sell and deliver to the BUYER after completion and successful trial one (1) LNG DUAL FUEL 210,000 DWT Bulk Carrier as more fully described in Article I hereof, (hereinafter called the "VESSEL") to be registered under the flag of Liberia or Marshall Islands (to be declared by the BUYER within 30 days after signing of this Contract, failure of such declaration Liberia shall be deemed as the final flag) and the BUYER agrees to purchase and take delivery of the aforesaid VESSEL from the SELLER and to pay for the same in accordance with the terms and conditions hereinafter set forth.

[\*\*\*]

1/65

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Shipbuilding Contract

Hull No. 0120833

ARTICLE I - DESCRIPTION AND CLASS

1. DESCRIPTION

The VESSEL is a 210,000 DWT Bulk carrier, at scantling draft moulded of 18.48 meters of the class described below. The VESSEL shall have the BUILDER's Hull No. 0120833 preliminary Name "210K-DF I" and shall be constructed, equipped and completed in accordance with the following "Specifications":

&nbsp;&nbsp;&nbsp;&nbsp;(1) Specification for 210,000 DWT BULK CARRIER (Ref No. BC-2065-FS Dated 10<sup>th</sup> March, 2021)

&nbsp;&nbsp;&nbsp;&nbsp;(2) General Arrangement (Drawing No. BC-2065-G Dated 10<sup>th</sup> March, 2021)

&nbsp;&nbsp;&nbsp;&nbsp;(3) Makers list (Ref. No. NTS-210K-MK Dated 10<sup>th</sup> March, 2021)

&nbsp;&nbsp;&nbsp;&nbsp;(4) Meeting Memorandum (Ref.No.Himalaya-210K-MEMO-001) dated 10<sup>th</sup> of March 2021

attached hereto and signed by each of the parties to this Contract (hereinafter collectively called the "Specifications"), making an integral part hereof.

2. CLASS AND RULES

The VESSEL, including its machinery, equipment and outfittings, shall be constructed in accordance with the rules and regulations issued and having become effective and compulsorily applicable to the VESSEL up to the date of signing this Contract of American Bureau of Shipping ("ABS") (hereinafter called the "Classification Society") without any reservation of any kind and classified and registered to the symbol of:

![](ny20006357x6_ex10-2image01.jpg)A1, (E), Bulk Carrier, CSR, AB-CM, BC-A (Holds 2, 4, 6 & 8 may be empty), ESP, GRAB [35], BWT, BWE, RW, IHM, CPS, UWILD, ENVIRO, PMA, GFS(DFD), ![](ny20006357x6_ex10-2image01.jpg)AMS, ![](ny20006357x6_ex10-2image01.jpg)ACCU, TCM, RRDA<br>

The requirements of the authorities as fully described in the Specifications including that of the Classification Society are to include additional rules or circulars thereof issued and become effective and compulsorily applicable to the VESSEL up to the date of signing this Contract.

Upon delivery, the Vessel shall also comply with the rules, regulations and requirements of other regulatory bodies as specifically described in the Specifications, all the foregoing rules, regulations and requirements and amendments thereto including those of the

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rules, regulations and requirements and amendments thereto including those of the Classification Society and other regulatory bodies (as specified in the Specifications) applicable to the Vessel shall be those which entered into force on or before the date of signing this Contract. Decisions of the Classification Society as to compliance or non-compliance with their rules and regulations shall be final and binding upon the Parties hereto.

Any amendments, variations or modifications to any of the above standards, rules or regulations in force and compulsively applicable to the VESSEL issued and having become effective up to and on the date of signing this Contract shall be complied with in addition to the above standards, rules and regulations with no adjustment to the Contract price.

The SELLER shall arrange with the Classification Society for assignment by the said society a representative or representatives (hereinafter called the "Classification Surveyor") to the BUILDER's Shipyard for supervision of the construction of the VESSEL.

All fees and charges incidental to Classification and to comply with the rules, regulations and requirements of this Contract as described in the Specification issued, in effect and compulsorily applicable up to the date of signing this Contract as well as royalties, if any, payable on account of the construction of the VESSEL shall be for the account of the SELLER, except as otherwise provided and agreed herein. The key plans, materials and workmanship entering into the construction of the VESSEL shall at all times be subject to inspections and tests in accordance with the rules and regulations of the Classification Society.

The facilities, labour and materials necessary for the safe and convenient conduct of such inspections and tests, shall be furnished by the BUILDER without charges.

Decisions of the Classification Society as to compliance or non-compliance with Classification rules and regulations shall be final and binding upon the parties hereto.

Communications between the BUILDER and the Classification Society on all matters relating to the construction of the VESSEL, plan approval and any modifications shall be made available to the BUYER whenever requested.

3. PRINCIPAL PARTICULARS AND DIMENSIONS OF THE VESSEL

The following are the Principal Particulars and Dimension of the VESSEL for Hull and Machinery as excerpted from the Specifications attached hereto:

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&nbsp;&nbsp;&nbsp;&nbsp;(a) Hull:

Length overall

Length between perpendiculars

Breadth moulded

Depth moulded

Design Draft moulded

Scantling Draft moulded

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&nbsp;&nbsp;&nbsp;&nbsp;(b) Propelling Machinery:

The VESSEL shall be equipped, in accordance with the Specifications, with one (1) set of MAN B&W 6G70ME-C10.5-GI-HPSCR Tier III, type Main Engine developing a specific maximum continuous rating of 15,840 KW x 70.8 rpm and a normal continuous rating (NCR) of 12,450 kW x 65.43 rpm.

All necessary auxiliary machinery in the engine room, steering gear, deck machinery, etc., shall be supplied and installed according to the Specifications.

4. GUARANTEED SPEED

The SELLER guarantees that the service speed at design draught (18.40m) and NCR 12,450 kW of main engine with 15% sea margin including 1100kW engine power for shaft generator with clean bottom on calm and deep open sea (no wind, no wave and no current) shall not be less than 13.75 nautical miles per hour.

The service speed shall be verified by corrected trail speed under the calm weather (no wind, no wave and no current) and deep sea condition.

5. GUARANTEED FUEL AND GAS CONSUMPTION

The SELLER guarantees that the fuel oil consumption of the main engine shall not exceed tolerance of +6% as determined by the shop test to be SFOC 160.2 g/kWh **at NCR (78.6%SMCR)** running at Tier II mode as stipulated in the Specification (hereinafter called the **"*Guaranteed Fuel Consumption").*** Shop test shall be based on diesel oil having a lower calorific value of 42,700kJ/kg at ISO standard reference condition. If the fuel oil used at shop test has a calorific value other than 42,700kJ/kg and/or the surrounding shop test condition is different from the above ISO standard condition, the fuel oil consumption

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shall be adjusted accordingly based on the conversion formula issued by MAN B&W and shall be subject to a tolerance of +6%.

The SELLER guarantees that the gas consumption of the main engine shall not exceed tolerance of +6% as determined by the shop test to be 129.1 g/kWh + Pilot Fuel with tolerance of +25% as 1.02 g/kWh at **NCR (78.6%SMCR)** running at Tier II mode as stipulated in the Specification (hereinafter called the ***"Guaranteed Gas Consumption").*** Shop test shall be based on gas having a lower calorific value of 50,000kJ/kg at ISO standard reference condition. If the gas used at shop test has a calorific value other than 50,000kJ/kg and/or the surrounding shop test condition is different from the above ISO standard condition, the gas consumption shall be adjusted accordingly based on the conversion formula issued by MAN B&W and shall be subject to a tolerance of +6%.

6. GUARANTEED DEADWEIGHT

The SELLER guarantees that the VESSEL is to have a total deadweight tonnage of about 209,800 metric tons at the scantling draft moulded of 18.48 meters in seawater of 1.025 specific gravity (hereinafter called the "Guaranteed Deadweight").

The term, "Deadweight", as used in this Contract, shall be as defined in the Specifications.

The actual deadweight of the VESSEL expressed in metric tons shall be based on calculations made by the BUILDER and checked by the BUYER, and all measurements necessary for such calculations shall be performed in the presence of the BUYER's supervisors) or the representative(s) authorized by the BUYER.

Should there be any dispute between the BUILDER and the BUYER in such calculations and/or measurements, the decision of the Classification Society shall be final and binding upon the parties hereto.

8. SUBCONTRACTING:

The SELLER may, at its sole discretion and responsibility, subcontract any portion of the construction work of the VESSEL to experienced sub-contractors, but delivery and final assembly into the VESSEL of any such work subcontracted shall be at the BUILDER's Shipyard. However, the important works such as large blocks, installation of main engine, accommodation etc. shall be sub-contracted only with BUYER's prior written approval

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which will not be unreasonably withheld. Notwithstanding any sub-contracting the SELLER shall remain fully responsible for the due performance of such subcontracted work.

9. STANDARD OF CONSTRUCTION:

The VESSEL's construction materials, equipment and workmanship shall be carried out in a sound and workmanlike manner according to proper first Chinese class shipbuilding practice for a new vessel of such type and Classification rules and regulations, and as defined in the Specifications.

10. REGISTRATION:

The VESSEL shall be registered by the BUYER at its own cost and expenses under the laws of Liberia or Marshall Islands (in accordance with the Buyer's final declaration of Flag) at the time of delivery and acceptance thereof.

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ARTICLE II - CONTRACT PRICE & TERMS OF PAYMENT

1. CONTRACT PRICE:

The purchase price of the VESSEL is United States Dollars Sixty Seven Million Nine Hundred Seventeen Thousand Only (US$67,917,000.00), net receivable by the SELLER (hereinafter called the "Contract Price"), which is exclusive of the cost for the BUYER's Supplies as provided in Article V hereof, and shall be subject to upward or downward adjustment, if any, as hereinafter set forth in this Contract.

2. CURRENCY:

Any and all payments by the BUYER to the SELLER under this Contract shall be made in United States Dollars.

3. TERMS OF PAYMENT:

The Contract Price shall be paid by the BUYER to the SELLER in instalments as follows:

(a) 1<sup>st</sup> Instalment:

The sum of United States Dollars Three Million Three Hundred and Ninety Five Thousand Eight Hundred and Fifty (US$3,395,850.00) shall become due and payable and be paid by the BUYER within Three (3) banking days from the date on which the BUYER receives (by authenticated SWIFT via its bank) the Refund Guarantee covering 1<sup>st</sup>, 2<sup>nd</sup>, 3<sup>rd</sup>, and 4<sup>th</sup> installments, as provided for in Paragraph 7 of this Article. The SELLER shall send to the BUYER by telefax or email demand for payment of this instalment.

(b) 2<sup>nd</sup> Instalment:

The sum of United States Dollars Three Million Three Hundred and Ninety Five Thousand Eight Hundred and Fifty (US$3,395,850.00) shall become due and payable and be paid by the Buyer no later than three (3) months after the Effective Date of the CONTRACT.

(c) 3<sup>rd</sup> Instalment:

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The sum of United States Dollars Six Million Seven Hundred and Ninety One Thousand Seven Hundred (US$6,791,700.00) shall become due and payable and be paid within five (5) banking days from the date of cutting of the first steel plate for the VESSEL.

The BUILDER shall notify the BUYER by an email or a telefax that cutting of the first steel plate for the VESSEL has been undertaken, together with a statement/verification of the classification society confirming that the steel cutting has commenced and shall send an email demand for payment of this installment. In no event shall this instalment become payable earlier than 15 months prior to the delivery of the Vessel.

(d) 4<sup>th</sup> instalment

The sum of United States Dollars Six Million Seven Hundred and Ninety One Thousand Seven Hundred (US$6,791,700.00) shall become due and payable and be paid within five (5) banking days from the date of keel laying for the VESSEL.

The BUILDER shall notify the BUYER by an email or a telefax that keel-laying for the VESSEL has been undertaken, together with a statement/verification of the classification society confirming that the keel laying has been carried out and shall send an email demand for payment of this installment. In no event shall this instalment become payable earlier than 11 months prior to the delivery of the Vessel.

(e) 5<sup>th</sup> Instalment: **(Payment upon Delivery of the VESSEL):**

The sum of United States Dollars Forty Seven Million Five Hundred and Forty One Thousand Nine Hundred (US$47,541,900.00), with any increase or decrease thereto due to modifications and/or adjustments of the Contract Price in accordance with the provisions hereof, shall become due and payable and be paid by the BUYER concurrently with the delivery of the VESSEL.

The SELLER shall send to the BUYER an email or a telefax demand for this installment at least five (5) banking days prior to the scheduled date of delivery of the VESSEL.

4. METHOD OF PAYMENT:

(a) 1st Installment:

Subject always to the BUYER having received the Refund Guarantee (as defined in paragraph 7. below) via its bank an authenticated SWIFT from the SELLER'S bank the BUYER shall remit the amounts of the installment in accordance with clause 3(a) of Article

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II, by telegraphic transfer to the bank as stated in the Refund Guarantee for credit to the account of SELLER.

(b) 2nd Installment:

The BUYER shall remit the amount of this installment in accordance with clause 3(b) of Article II, by telegraphic transfer to the bank as stated in the Refund Guarantee for credit to the account of SELLER.

(c) 3rd Installment:

The BUYER shall remit the amount of this installment in accordance with clause 3(c) of Article II, by telegraphic transfer to the bank as stated in the Refund Guarantee for credit to the account of SELLER .

(d) 4th Installment:

The BUYER shall remit the amount of this installment in accordance with clause 3(d) of Article II, by telegraphic transfer to the bank as stated in the Refund Guarantee for credit to the account of SELLER.

**(e) 5th Installment:** (Payable upon Delivery of the VESSEL) :

The SELLER shall notify the BUYER Twenty (20) days prior to the scheduled delivery date. The BUYER shall, at least three (3) business days prior to the scheduled date of delivery of the VESSEL, make an irrevocable cash deposit in the name of the BUYER with the bank to be nominated by the SELLER, for a period of seven(7) days and covering the amount of this installment (as adjusted in accordance with the provisions of this Contract), with an irrevocable instruction that the said amount shall be released to the SELLER against presentation by the SELLER to the said bank nominated by the SELLER, of a fax or email copy of the Protocol of Delivery and Acceptance signed by the BUYER's authorized representative and the SELLER. Interest accrued from such deposit, shall be for the benefit of the BUYER. If the BUYER's bank will not effect a conditional payment for remittance of the 5<sup>th</sup> installment the parties will mutually agree another mechanism for payment.

If the delivery of the VESSEL is not effected on or before the expiry of the aforesaid seven (7) days deposit period, the BUYER shall have the right to withdraw the said deposit plus accrued interest upon the expiry date. However, when the new scheduled delivery date has been agreed and notified to the BUYER by the SELLER, the BUYER shall make a cash deposit in accordance with the same terms and conditions as set out above.

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5.&nbsp;&nbsp;&nbsp;&nbsp; PREPAYMENT:

The BUYER shall have the right to make prepayment of any and all instalments before delivery of the VESSEL, by giving to the SELLER at least Thirty (30) days prior written notice, without any price adjustment of the VESSEL for such prepayment.

6. SECURITY FOR PAYMENT OF INSTALMENTS BEFORE DELIVERY:

The BUYER shall, within Three (3) New York business days after receipt of the Refund Guarantee covering the 1<sup>st</sup>, 2<sup>nd</sup>, 3 <sup>rd</sup>, and 4<sup>th</sup> instalment as per Paragraph 7 of this Article, deliver to the SELLER an irrevocable and unconditional Letter of Guarantee ("Corporate Guarantee") in the form annexed hereto as Exhibit "B" in favour of SELLER issued by HIMALAYA SHIPPING LIT (hereinafter called the "Corporate Guarantor"). This guarantee shall secure the BUYER's obligations for the payment of the 2<sup>nd</sup>, 3<sup>rd</sup> and 4<sup>th</sup> instalments of the Contract Price.

7. REFUNDS

All payments made by the BUYER prior to delivery of the VESSEL shall be in the nature of advance payments to the SELLER, and in the event this Contract is rescinded and/or cancelled by the BUYER, in accordance with the specific terms of this Contract permitting such rescission and/or cancellation, the SELLER shall refund to the BUYER in United States Dollars the full amount of all sums already paid by the BUYER to the SELLER under this Contract, together with interest (at the rate set out in the respective provision thereof) from the respective payment date(s) to the date of remittance by telegraphic transfer of such refund, together with interest as applicable, to the account specified by the BUYER.

As security to the BUYER, the BUILDER shall prior to the 1<sup>st</sup> instalment falling due, provide to the BUYER, a Refund Guarantee (the "Refund Guarantee") covering the 1st, 2nd, 3rd and 4th instalments to be issued by, a branch of either China Construction Bank or Bank of China or Exim Bank of China or Bank of Communications, or Agricultural Bank of China, or Industrial & Commercial Bank of China, or China Merchant Bank, or Sinosure (Jiangsu Branch),or such other bank acceptable to the BUYER (the "Refund Guarantor") at the BUILDER's option and subject to BUYER's approval, which shall not be unreasonably withheld.

However, in the event of any dispute between the SELLER and the BUYER with regard to the SELLER's obligation to repay the instalment or instalments paid by the BUYER and to

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the BUYER's right to demand payment from the SELLER'S bank, under its guarantee, and such dispute is submitted either by the SELLER or by the BUYER for arbitration in accordance with Article XIII hereof, the SELLER'S bank shall withhold and defer payment until the arbitration award between the SELLER and the BUYER is published. The SELLER'S bank shall not be obligated to make any payment unless the arbitration award orders the SELLER to make repayment. If the SELLER fails to honour the award, then the SELLER'S bank shall refund to the extent the arbitration award orders without delay according to normal international bank practice.

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ARTICLE III - ADJUSTMENT OF THE CONTRACT PRICE

The Contract Price of the VESSEL shall be subject to adjustments as hereinafter set forth. It is hereby understood by all parties that any reduction of the Contract Price is by way of liquidated damages and not by way of penalty.

1. DELIVERY

(a) No adjustment shall be made, and the Contract Price shall remain unchanged for the first Thirty (30) days of delay in delivery of the VESSEL beyond the Delivery Date as defined in Article VII hereof ending as of twelve o'clock midnight of the
 thirtieth (30th) day of delay.

(b) If the delivery of the VESSEL is delayed more than thirty (30) days from the Delivery Date, the Contract Price of the VESSEL shall be reduced by deducting therefrom the sum of United States Dollars Fifteen Thousand Five Hundred (US$15,500) per
 day from the thirty-first (31st) day till twelve o'clock midnight of the two hundred and tenth (210th) day after the Delivery Date, subject to a maximum deduction in any event (including in the event the BUYER consents to take the VESSEL at a
 date after the expiration of Two Hundred and ten (210) days delay of delivery in accordance with clause 1(c) of this Article or Two Hundred and Ten (210) days delay of delivery in accordance with clause 3 of Article VIII) not more than One
 Hundred Eighty (180) days at the above specified rate of reduction after the thirty (30) days' allowance, amounting to a maximum of United States Dollars Two Million Seven Hundred and Ninety Thousand only (US$2,790,000).

Unless the parties hereto agree otherwise, the total reduction in the Contract Price shall be deducted from the fifth installment of the Contract Price.

(c) If the delay in the delivery of the VESSEL continues for a period of Two Hundred and Ten (210) days after the Delivery Date, the BUYER may, at its option, rescind or cancel this Contract in accordance with the provisions of Article X of this
 Contract. The SELLER may at any time after the expiration of the aforementioned Two Hundred and Ten (210) days, if the BUYER has not served notice of cancellation pursuant to Article X of this Contract, notify the BUYER in writing of the date
 upon which the SELLER estimates the VESSEL will be ready for delivery and demand in writing that the BUYER make an election, <u>in</u> which case the BUYER shall, within Ten(10) business days after such demand is received by the BUYER, either
 notify the SELLER of its decision to rescind this Contract, or consent to take delivery of the VESSEL at a mutually agreed future date, it being understood and agreed by the parties hereto that, if the VESSEL is not delivered by such future date,
 the BUYER shall have the same right of cancellation upon the same terms, as herein provided.

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(d) For the purpose of this Article, the delivery of the VESSEL shall not be deemed delayed and the Contract Price shall not be adjusted or reduced when and if the Delivery Date of the VESSEL is extended by reason of causes and provisions of
 Articles V, VI, XI, XII and XIII hereof. The Contract Price shall not be adjusted or reduced if the delivery of the VESSEL is delayed by reason of permissible delays as defined in Article VIII hereof.

(e) In the event that the SELLER is unable to deliver the Vessel on the newly planned delivery date as declared, the VESSEL can, nevertheless, be delivered by the SELLER at a date after such declared newly planned date.

In such circumstances, and for the purpose of determining the liquidated damages to the BUYER (according to the provisions of Paragraph 1(b) of this Article) and the BUYER's right to cancel or rescind this Contract (according to the provisions of Paragraph 1(c) of this Article), the newly planned delivery date declared by the SELLER shall be treated or taken as having substituted the original Delivery Date as defined in Article VII. The BUYER's aforesaid right for liquidated damages and to cancel or rescind this Contract shall not be accrued.

2. SPEED

(a) The Contract Price of the VESSEL shall not be affected nor changed by reason of the actual speed (as determined by the Trial Run after correction according to the Specifications) being less than three tenth (3/10) of one knot below the Guaranteed Speed as specified in clause 4, Article I of this Contract.

(b) However, commencing with and including a deficiency of three tenth (3/10) of one knot in actual speed (as determined by the Trial Run after correction according to the Specifications) below the Guaranteed Speed, the Contract Price shall be reduced as follows:

In case of deficiency of less than 0.30 knot US$0.00

In case of deficiency at or above 0.3 but below 0.4 knot US$42,500

at or above 0.4 but below 0.5 knot US$95,000

at or above 0.5 but below 0.6 knot US$145,000

at or above 0.6 but below 0.7 knot US$200,000

at or above 0.7 but below 0.8 knot US$265,000

at or above 0.8 but below 0.9 knot US$350,000

at or above 0.9 but below 1.0 knot US$435,000

(c) If the deficiency in actual speed (as determined by the Trial Run after correction according to the Specifications) of the VESSEL upon the Trial Run, is more than a knot below the

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Guaranteed Speed, the BUYER may at its option reject the VESSEL and rescind this Contract in accordance with provisions of Article X of this Contract, or may accept the VESSEL at a reduction of up to United States Dollars Four Hundred and Thirty Five Thousand only (US$435,000) in the Contract Price being the maximum.

3. EXCESSIVE FUEL CONSUMPTION

(a) The Contract Price of the VESSEL shall not be affected nor changed if the actual fuel consumption of the main engine, as determined by shop test in manufacturer's works, as per the Specifications, is greater than the Guaranteed Fuel Consumption
 as specified in clause 5, Article I of this Contract if such actual excess is equal to or less than Six percent (6%).

(b) However, if the actual fuel consumption as determined by shop trial is greater than Six percent (6%) above the Guaranteed Fuel Consumption, the Contract Price shall be reduced by the sum of United States Dollars Forty Two Thousand Five Hundred
 only (US$42,500) for each full one percent (1%) increase in fuel consumption in excess of the above said Six percent (6%) (fractions of one percent to be prorated).

(c) If as determined by shop trial such actual fuel consumption of the main engine is more than ten percent (10%) in excess of the Guaranteed Fuel Consumption, the BUYER may, subject to the BUILDER's right to effect replacement of a substitute
 engine or alterations of corrections as specified in the following sub-clause of Article III 3 (c) hereof, at its option, reject the VESSEL and rescind this Contract, in accordance with the provisions of Article X of this Contract or may accept
 the VESSEL at a reduction of up to United States Dollars One Hundred and Seventy Thousand only (US$170,000) in the Contract Price being the maximum.

If as determined by shop trial such actual fuel consumption of the Main Engine is more than ten percent (10%) in excess of the Guaranteed Fuel Consumption, the BUILDER may investigate the cause of the non-conformity and the proper steps may promptly be taken to remedy the same and to make whatever corrections and alterations and *I* or re-shop trial test or tests as may be necessary to correct such non-conformity without extra cost to the BUYER. Upon completion of such alterations or corrections of such nonconformity, the BUILDER shall promptly perform such further shop trials or any other tests, as may be deemed necessary to prove the fuel consumption of the Main Engine's conformity with the requirement of this Contract and the Specifications and if found to be satisfactory, give the BUYER notice by telefax and / or telex confirmed in writing of such correction and as appropriate, successful completion accompanied by copies of such results, and the BUYER shall, within Three(3) business days after receipt of such notice, notify the BUILDER by telefax and / or telex confirmed in writing of its acceptance or reject the re-shop trial together with the reasons therefor. If the BUYER fails to notify the

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BUILDER by telefax and / or telex confirmed in writing of its acceptance or rejection of the re-shop trial together with the reasons therefor within Three(3) business days period as provided herein, the BUYER shall be deemed to have accepted the shop trial.

(d) The Contract Price of the VESSEL shall not be affected nor changed if the actual gas consumption of the main engine, as determined by shop test in manufacturer's works, as per the Specifications, is greater than the Guaranteed Gas Consumption
 as specified in clause 5, Article I of this Contract if such actual excess is equal to or less than Six percent (6%).

(e) However, if the actual gas consumption as determined by shop trial is greater than Six percent (6%) above the Guaranteed Gas Consumption, the Contract Price shall be reduced by the sum of United States Dollars Forty-Two Thousand Five Hundred
 only (US$42,500) for each full one percent (1%) increase in gas consumption in excess of the above said Six percent (6%) (fractions of one percent to be prorated).

(f) If as determined by shop trial such actual gas consumption of the main engine is more than ten percent (10%) in excess of the Guaranteed Gas Consumption, the BUYER may, subject to the BUILDER's right to effect replacement of a substitute engine
 or alterations of corrections as specified in the following sub-clause of Article III 3 (f) hereof, at its option, reject the VESSEL and rescind this Contract, in accordance with the provisions of Article X of this Contract or may accept the
 VESSEL at a reduction of up to United States Dollars One Hundred and Seventy only (US$170,000) in the Contract Price being the maximum.

If as determined by shop trial such actual gas consumption of the Main Engine is more than ten percent (10%) in excess of the Guaranteed Gas Consumption, the BUILDER may investigate the cause of the non-conformity and the proper steps may promptly be taken to remedy the same and to make whatever corrections and alterations and / or re-shop trial test or tests as may be necessary to correct such non-conformity without extra cost to the BUYER. Upon completion of such alterations or corrections of such nonconformity, the BUILDER shall promptly perform such further shop trials or any other tests, as may be deemed necessary to prove the gas consumption of the Main Engine's conformity with the requirement of this Contract and the Specifications and if found to be satisfactory, give the BUYER notice by telefax and / or telex confirmed in writing of such correction and as appropriate, successful completion accompanied by copies of such results, and the BUYER shall, within Three(3) business days after receipt of such notice, notify the BUILDER by telefax and / or telex confirmed in writing of its acceptance or reject the re-shop trial together with the reasons therefor. If the BUYER fails to notify the BUILDER by telefax and / or telex confirmed in writing of its acceptance or rejection of the re-shop trial together with the reasons therefor within Three(3) business days period as provided herein, the BUYER shall be deemed to have accepted the shop trial.

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4. DEADWEIGHT

(a) In the event that there is a deficiency in the actual deadweight of the VESSEL determined as provided in the Specifications, the Contract Price shall not be decreased if such deficiency is Two Thousand and One Hundred (2,100) metric tons or less below the Guaranteed Deadweight as specified in clause 6 (a), Article I of this Contract.

(b) However, the Contract Price shall be decreased by the sum of United States Dollars Five Hundred only (US$500) for each full metric ton of such deficiency in excess of Two Thousand and One Hundred (2,100) metric tons.

(c) In the event of a deficiency in the VESSEL's actual deadweight in excess of Four Thousand Two Hundred (4,200) metric tons below the Guaranteed Deadweight, the BUYER may, at its option, reject the VESSEL and rescind this Contract in accordance with the provisions of Article X of this Contract, or may accept the VESSEL at a reduction of up to United States Dollars One Million Fifty Thousand (US$1,050,000) in the Contract Price being the maximum.

5. EFFECT OF RESCISSION

It is acknowledged and agreed by the parties hereto that if the BUYER rescinds this Contract pursuant to any provision under this Article, the BUYER, subject to the provisions of Article X hereof, shall not be entitled to any liquidated damage or compensation.

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ARTICLE IV - SUPERVISION AND INSPECTION

1. APPOINTMENT OF THE BUYER'S SUPERVISOR

The BUYER shall send in good time to and maintain at the BUILDER's Shipyard, at the BUYER's own cost and expense, one or more representative(s) who shall be duly accredited in writing by the BUYER (such representative(s) being hereinafter collectively and individually called the "Supervisor") to supervise and survey the construction by the BUILDER of the VESSEL, her engines and accessories. The SELLER hereby warrants that, the necessary visa for the Supervisor to enter China will be issued in order on demand and without delay provided that the Supervisor meets with the rules, regulations and laws of the People's Republic of China. The BUYER undertakes to give the SELLER adequate notice for the application of visas.

The Supervisor shall, within the limits of the authority conferred upon the Supervisor by the BUYER, make decisions or give advice to the BUILDER on behalf of the BUYER without undue delay on all matters arising out of, or in connection with, the construction of the VESSEL. The decision, approval or advice of the Supervisor shall be deemed to have been given by the BUYER if given within his authority.

2. COMMENTS TO PLANS AND DRAWINGS

The parties hereto shall, within Thirty (30) days after signing of this Contract, mutually agree a list of all the plans and drawings, which are to be sent to the BUYER (herein below called "the LIST").The plans and drawings specified in the LIST shall be sent to the BUYER at a reasonable rate in soft copy (PDF format), and the BUYER shall, within Twenty-one (21) days after receipt thereof, return such plans and drawings to the SELLER in soft copy (PDF format) with BUYER's approval signature or comments, if any.

Concurrently with the arrival of the Supervisor at the BUILDER's Shipyard, the BUYER shall notify the BUILDER in writing, stating the authority which the said Supervisor shall have, with regard to what the Supervisor can, on behalf of the BUYER, give comments to, as the case may be, including the plans and drawings specified in the LIST which have not yet been sent to the BUYER, but always in line with the Supervisor's authority. The Supervisor shall, within Five (5) days after receipt thereof, return those plans and drawings with comments, if any.

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If the BUYER or BUYER's representative fails to return plans and/or to send any comments in soft copy (PDF format), or other format accepted by the Builder, to the Builder within the said period, the Builder shall deem that these plans have been automatically approved.

Unless notification is given to the BUILDER by the Supervisor or the BUYER of the comments to any plans and drawings within the above designated period of time for each case, the said plans and drawings shall be implemented for construction by the BUILDER.

3. SUPERVISION AND INSPECTION BY THE SUPERVISOR

The necessary inspection of the VESSEL, its machinery, equipment and outfittings shall be carried out by the Classification Society, and/or inspection team of the BUILDER throughout the entire period of construction in order to ensure that the construction of the VESSEL is duly performed in accordance with the Contract and Specifications.

The Supervisor shall have, at all times until delivery of the VESSEL, the right to attend tests according to the mutually agreed test list and inspect the VESSEL, her engines, accessories and materials at the BUILDER's Shipyard, its subcontractors or any other place where work is done or materials stored in connection with the VESSEL. In the event that the Supervisor discovers any construction or material or workmanship which does not or will not conform to the requirements of this Contract and the Specifications, the Supervisor shall promptly give the BUILDER a notice in writing as to such nonconformity, upon receipt of which the BUILDER shall correct such nonconformity if the BUILDER agrees with the BUYER. In any circumstances, the SELLER shall be entitled to proceed with the construction of the VESSEL even if there exists discrepancy in the opinion between the BUYER and the SELLER, without prejudice however to the BUYER's right to submit the issue for determination by the Classification Society or arbitration in accordance with the provisions hereof. However the BUYER undertakes and assures the SELLER that the Supervisor shall carry out his inspections in accordance with the agreed inspection procedure and schedule and usual shipbuilding practice and in a way as to minimize any increase in building costs and delays in the construction of the VESSEL. Once a test has been witnessed and approved by the BUYER or the Supervisor, the same test should not have to be repeated, provided it has been carried out in compliance with the requirements of the Classification Society and Specifications.

The BUILDER agrees to furnish free of charge the Supervisor with office space, and other reasonable facilities according to BUILDER's practice at, or in the immediate vicinity of the shipyard, but the cost for the communication by telephone, telefax and email, whether for

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Chinese domestic or international communication and/or for any communication outside the shipyard, shall be borne by the BUYER . At all times, during the construction of the VESSEL until delivery thereof, the Supervisor shall be given free and ready access to the VESSEL, her engines and accessories, and to any other place where the work is being done, or the materials are being processed or stored, in connection with the construction of the VESSEL, including the yards, workshops, stores of the BUILDER, and the premises of subcontractors of the BUILDER, who are doing work, or storing materials in connection with the VESSEL's construction. The travel expenses for the said access to SELLER's subcontractors outside of Jingjiang shall be at BUYER's account. The transportation, of any nature whatsoever, shall be provided to the Supervisor by the BUYER.

4. LIABILITY OF THE SELLER

The Supervisor engaged by the BUYER under this Contract shall at all times be deemed to be in the employ of the BUYER. The SELLER shall be under no liability whatsoever to the BUYER, or to the Supervisor or the BUYER's employees or agents for personal injuries, including death, during the time when they, or any of them, are on the VESSEL, or within the premises of either the SELLER or its subcontractors, or are otherwise engaged in and about the construction of the VESSEL, unless, however, such personal injuries, including death, were caused by gross negligence of the SELLER, or of any of the SELLER's employees or agents or subcontractors of the SELLER. Nor shall the SELLER be under any liability whatsoever to the BUYER for damage to, or loss or destruction of property in China of the BUYER or of the Supervisor, or of the BUYER's employees or agents, unless such damage, loss or destruction was caused by gross negligence of the SELLER, or of any of the employees, or agents or subcontractors of the SELLER.

5. SALARIES AND EXPENSES

All salaries and expenses of the Supervisor, or any other employees employed by the BUYER under this Article, shall be for the BUYER's account.

6. REPLACEMENT OF SUPERVISOR

The SELLER has the right to request the BUYER in writing to replace any Supervisor who is reasonably deemed unsuitable and unsatisfactory for the proper progress of the VESSEL's construction together with reasons. The BUYER shall investigate the situation by sending its representative to the BUILDER's shipyard, if necessary, and if the BUYER considers that such

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SELLER's request is justified, the BUYER shall effect the replacement as soon as conveniently arrangable.

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ARTICLE V - MODIFICATION, CHANGES AND EXTRAS

1. HOW EFFECTED

The Specifications and Plans in accordance with which the VESSEL is constructed, may be modified and/or changed at any time hereafter by written agreement of the parties hereto, provided that such modifications and/or changes or an accumulation thereof will not, in the BUILDER's reasonable judgment, adversely affect the BUILDER's other commitments and provided further that the BUYER shall assent to adjustment of the Contract Price, time of delivery of the VESSEL and other terms of this Contract, if any, as hereinafter provided. Subject to the above, the SELLER hereby agrees to use the SELLER's best efforts to accommodate such reasonable requests by the BUYER so that the said changes and/or modifications may be made at a reasonable cost and within the shortest period of time which is reasonable and possible. Any such agreement for modifications and/or changes shall include an agreement as to the increase or decrease, if any, in the Contract Price of the VESSEL together with an agreement as to any extension or reduction in the time of delivery, or any other amendments to tins Contract, or the Specifications or Plans occasioned by such modifications and/or changes. The aforementioned agreement to modify and/or to change the Specifications and/or Plans may be effected by an exchange of duly letters, which can be sent by telefax or email, evidencing such agreement. The letters and telefax and emails exchanged by the parties hereto pursuant to the foregoing shall constitute an amendment of the Specifications and/or Plans under which the VESSEL shall be built, and such letters and telefax and emails shall be deemed to be incorporated into this Contract and the Specifications and/or Plans by reference and made a part hereof. Upon consummation of the agreement to modify and/or to change the Specifications and/or Plans, the SELLER shall alter the construction of the VESSEL in accordance therewith, including any additions to, or deductions from, the work to be performed in connection with such construction. If due to whatever reasons, the parties hereto shall fail to agree on the adjustment of the Contract Price or extension of time of delivery or modification of any terms of this Contract which are necessitated by such modifications and/or changes, then the SELLER shall have no obligation to comply with the BUYER's request for any modification and/or changes.

2. CHANGES IN RULES AND REGULATIONS, ETC.

(1) If, after the date of signing this Contract, any requirements as to the rules and regulations as specified in this Contract and the Specifications to which the construction of the VESSEL is required to conform, are altered or changed (as
 provided for in paragraph 2 of Article 1) by the Classification Society or the other regulatory bodies authorized to make

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such alterations or changes, the SELLER and/or the BUYER, upon receipt of the notice thereof, shall transmit such information in full to each other in writing, whereupon within Fifteen (15) days after receipt of the said notice by the BUYER from the SELLER or vice versa, the BUYER shall instruct the SELLER in writing as to the alterations or changes, if any, to be made in the VESSEL which the BUYER, in its sole discretion, shall decide. The SELLER shall promptly comply with such alterations or changes, if any, in the construction of the VESSEL, provided that the BUYER shall first agree:

&nbsp;&nbsp;&nbsp;&nbsp;(a) As to any increase or decrease in the Contract Price of the VESSEL that is occasioned by the cost for such compliance; and/or

&nbsp;&nbsp;&nbsp;&nbsp;(b) As to any extension in the time for delivery of the VESSEL that is necessary due to such compliance; and/or

&nbsp;&nbsp;&nbsp;&nbsp;(c) As to any increase or decrease in the guaranteed speed and/or cubic capacity and/or deadweight of the VESSEL, if such compliance results in increased or reduced speed and/or deadweight; and/or

&nbsp;&nbsp;&nbsp;&nbsp;(d) As to any other alterations in the terms of this Contract or of Specifications or both, if such compliance makes such alterations of the terms necessary.

Agreement as to such alterations or changes under this Paragraph shall be made in the same manner as provided above for modifications and/or changes of the Specifications and/or Plans.

(2) If, due to whatever reasons, the parties shall fail to agree on the adjustment of the Contract Price or extension of the time for delivery or increase or decrease of the guaranteed speed and cubic capacity and deadweight or providing additional
 security to the SELLER or any alteration of the terms of this Contract, if any, then the SELLER shall be entitled to proceed with the construction of the VESSEL in accordance with, and the BUYER shall continue to be bound by, the terms of this
 Contract and Specifications without making any such alterations or changes.

However, if the alterations or changes are compulsorily required to be made by Class or IMO Rules for successful delivery of the VESSEL to the BUYER, then, notwithstanding any dispute between the parties relating to the adjustment of the Contract Price or extension of the time for delivery or decrease of the guaranteed speed and deadweight or any other respect, the SELLER shall promptly comply with such alterations or changes. The BUYER shall, in any event, bear the reasonable costs and expenses for such alterations or changes (and, in the absence of mutual agreement, the amount thereof and/or any other discrepancy

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such as but not limited to the extension of Delivery Date, etc. to be determined by arbitration in accordance with Article XIII of this Contract).

3. SUBSTITUTION OF MATERIALS AND/OR EQUIPMENT

In the event that any of the materials and/or equipment required by the Specifications or otherwise under this Contract for the construction of the VESSEL cannot be procured in time to effect delivery of the VESSEL, the SELLER may, provided the SELLER shall provide adequate evidence and the BUYER so agrees in writing, supply other materials and/or equipment of the equivalent quality, capable of meeting the requirements of the Classification Society and of the rules, regulations, requirements and recommendations with which the construction of the VESSEL must comply.

4. BUYER'S SUPPLIED ITEMS

The BUYER shall deliver to the BUILDER at its shipyard the items as specified in the Specifications which the BUYER shall supply on BUYER's account by the time designated by the SELLER.

Should the BUYER fail to deliver to the BUILDER such items within the time specified, the delivery of the VESSEL shall automatically be extended for a period of such delay, provided such delay in delivery of the BUYER's supplied items shall affect the delivery of the VESSEL. In such event, the BUYER shall (subject to the SELLER's obligation to mitigate any loss or damage) pay to the SELLER all losses and damages sustained and properly evidenced by the SELLER due to such delay in the delivery of the BUYER's supplied items and such payment shall be made upon delivery of the VESSEL Provided that the BUYER shall not, in any circumstances, be liable for any consequential loss or special loss, or expenses arising from such delay including, without limitation, loss of time, loss of profit or earnings.

Furthermore, if the delay in delivery of the BUYER's supplied items should exceed Fifteen (15) days, the SELLER shall be entitled to proceed with construction of the VESSEL without installation of such items in or onto the VESSEL, without prejudice to the SELLER's right hereinabove provided, and the BUYER shall (subject to the terms of the Contract) accept the VESSEL so completed, provided it otherwise being in compliance with the Contract and the Specifications.

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The BUILDER shall be responsible for storing and handling of the BUYER's supplies as specified in the Specifications after delivery to the BUILDER and shall install them on board the VESSEL at the SELLER's cost and expense.

Upon arrival of such shipment of the BUYER's supplied items, the BUILDER and the BUYER shall undertake a joint unpacking inspection. If any damages are found so that the BUYER's supplied items are not suitable for installation, the BUILDER shall be entitled to refuse to accept the BUYER's supplied items.

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ARTICLE VI - TRIALS

1. NOTICE

The BUYER and the Supervisor shall receive from the SELLER at least Twenty (20) days' notice in advance and Seven (7) days definite notice in advance by notification sent by telefax or email, of the time and place of the VESSEL's sea trial as described in the Specifications (hereinafter referred to as "the Trial Run") and the BUYER and the Supervisor shall promptly acknowledge receipt of such notice. The BUYER's representatives and/or the Supervisor shall be on board the VESSEL to witness such Trial Run, and to check upon the performance of the VESSEL during the same. Failure of the BUYER's representatives to be present at the Trial Run of the VESSEL, after due notice to the BUYER and the Supervisor as provided above, shall have the effect to extend the date for delivery of the VESSEL by the period of delay caused by such failure to be present. However, if the Trial Run is delayed more than Seven (7) days by reason of the failure of the BUYER's representatives to be present after receipt of due notice as provided above, then in such event, the BUYER shall be deemed to have waived its right to have its representatives on board the VESSEL during the Trial Run, and the BUILDER may conduct such Trial Run without the BUYER's representatives being present, and in such case the BUYER shall be obliged to accept the VESSEL on the basis of a certificate jointly signed by the BUILDER and the Classification Society certifying that the VESSEL, after Trial Run subject to minor alterations and corrections as provided in this Article, if any, is found to conform to the Contract and Specifications. The SELLER hereby warrants that the necessary Invitation Letter for the BUYER's representatives to enter China will be issued in order on demand and without delay and if not the Trial Run shall be postponed until after the BUYER's representatives have arrived at the BUILDER's shipyard, and any delays as a result thereof shall not count as a permissible delay under Article VIII hereof. However, should the nationalities and other personal particulars of the BUYER's representatives be not acceptable to the SELLER in accordance with its best understanding of the relevant rules, regulations and/or Laws of the People's Republic of China then prevailing, then the BUYER shall, on the receipt of the SELLER's telefax or email demand, effect replacement of all or any of them immediately. Otherwise the Delivery Date as stipulated in Article VII hereof shall be extended by the delays so caused by the BUYER. In the event of unfavourable weather on the date specified for the Trial Run, the same shall take place on the first available day thereafter that the weather conditions permit. The parties hereto recognize that the weather conditions in Chinese waters in which the Trial Run is to take place are such that great changes in weather may arise momentarily and without warning and, therefore, it is agreed that if during the Trial Run of the VESSEL, the weather should suddenly become unfavourable, as would have precluded the continuance of the Trial Run, the Trial Run of the VESSEL shall be discontinued and postponed until the first favourable day next following,

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unless the BUYER shall assent by telefax or email and confirm in writing of its acceptance of the VESSEL on the basis of the Trial Run made prior to such sudden change in weather conditions. In the event that the Trial Run is postponed because of unfavourable weather conditions, such delay shall be regarded as a permissible delay, as specified in Article VIII hereof.

2. HOW CONDUCTED

&nbsp;&nbsp;&nbsp;&nbsp;(a) All expenses in connection with Trial Run of the VESSEL are to be for the account of the BUILDER, who, during the Trial Run and when subjecting the VESSEL to Trial Run, is to provide, at its own expense, the necessary crew to comply with
 conditions of safe navigation. The Trial Run shall be conducted in the manner prescribed in the Specifications and shall prove fulfilment of the performance required for the Trial Rim as set forth in the Specifications.

The course of Trial Run shall be determined by the BUILDER and shall be conducted within the trial basin equipped with speed measuring facilities.

&nbsp;&nbsp;&nbsp;&nbsp;(b) The BUILDER shall provide the VESSEL with the required quantities of water, fuel oil and greases with exception of lubrication oil and hydraulic oil which shall be supplied by the BUYER for the conduct of the Trial Run or Trial Runs as
 prescribed in the Specifications. The fuel oil and greases supplied by the SELLER, and lubricating oil and hydraulic oil supplied by the BUYER shall be in accordance with the applicable engine specifications, and the cost of the quantities of
 water, fuel oil, lubricating oil, hydraulic oil and greases consumed during the Trial Run or Trial Runs shall be for the account of the BUILDER.

3. TRIAL LOAD DRAFT

In addition to the supplies provided by the BUYER in accordance "with sub-paragraph (b) of the preceding Paragraph 2 hereof the BUILDER shall provide the VESSEL with the required quantity of fresh water and other stores necessary for the conduct of the Trial Run. The necessary ballast (fresh and sea water and such other ballast as may be required) to bring the VESSEL to the trial load draft as specified in the Specifications, shall be for the BUILDER's account.

4. METHOD OF ACCEPTANCE OR REJECTION

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(a) As soon as practicable after satisfactory completion of the Trial Run, the BUILDER shall provide to the BUYER a written report thereof and notice that the BUILDER considers that the results of the Trial Run indicate conformity of the VESSEL to
 this Contract and the Specifications. The BUILDER's notice can be sent by email with the report attached confirmed in writing. The BUYER or the BUYER's Supervisor shall within Six (6) days after receipt by them of the BUILDER's report and notice
 referred to above, notify the BUILDER by telefax or email confirmed in writing of its acceptance of the VESSEL or of its rejection of the VESSEL together with the reasons therefor.

(b) However, should the result of the Trial Run indicate that the VESSEL or any part thereof including its equipment does not conform to the requirements of this Contract and Specifications, then the BUILDER shall investigate with the Supervisor
 the cause of failure and the proper steps shall be taken to remedy the same and shall make whatever corrections and alterations and/or reTrial Run or Runs as may be necessary without extra cost to the BUYER, and upon notification by the BUILDER
 of completion of such alterations or corrections and/or re-trial or re-trials, the BUYER shall, within Six (6) days thereafter, notify the SELLER by letter sent by telefax or email of its acceptance of the VESSEL or of the rejection of the VESSEL
 together with the reason therefor on the basis of the alterations and corrections and/or re-trial or re-trials by the BUILDER.

(c) In the event that the BUYER fails to notify the SELLER by letter sent by telefax or email of its acceptance or rejection of the VESSEL together with the reason therefor within the Six (6) days period as provided for in the above sub-paragraphs
 (a) and (b), the BUYER shall be deemed to have accepted the VESSEL.

(d) Any dispute arising among the parties hereto as to the result of any Trial Run or further tests or trials, as the case may be, of the VESSEL shall be solved by reference to arbitration as provided in Article XIII hereof.

(e) Nothing herein shall preclude the BUYER from accepting the VESSEL with its qualifications and/or remarks following the Trial Run and/or further tests or trials as aforesaid and the SELLER shall be obliged to comply with and/or remove such
 qualifications and/or remarks (if such qualifications and/or remarks are acceptable to the SELLER) at the time before effecting delivery of the VESSEL to the BUYER under this Contract.

5. DISPOSITION OF SURPLUS CONSUMABLE STORES

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Should any amount of fuel oil, fresh water, or other unbroached consumable stores furnished by the BUILDER for the Trial Run or Trial Runs remain on board the VESSEL at the time of acceptance thereof by the BUYER, the BUYER agrees to buy the same from the SELLER at the current market price (including VAT if any) at the port of delivery thereof, and payment by the BUYER shall be effected as provided in Article II 3 (e) and 4 (e) of this Contract.

The BUYER shall supply lubricating oil and hydraulic oil for the purpose of Trial Runs at its own expenses and the SELLER will reimburse for the amount of lubricating oil and hydraulic oil actually consumed for the said Trial Run or Trial Runs at the original price incurred by the BUYER and payment by the SELLER shall be effected as provided in Article II 3(e) and 4(e) of this Contract.

6. EFFECT OF ACCEPTANCE

The BUYER's acceptance of the VESSEL by letter sent by telefax or email notification sent to the SELLER, in accordance with the provisions set out above, shall be final and binding so far as conformity of the VESSEL to this Contract and the Specifications is concerned, and shall preclude the BUYER from refusing formal delivery by the SELLER of the VESSEL, as hereinafter provided, if the SELLER complies with all other procedural requirements for delivery as hereinafter set forth.

If, at the time of delivery of the VESSEL, there are deficiencies in the VESSEL, such deficiencies should be resolved in such way that if the deficiencies are of minor importance, and do not in any way affect the safety or the operation of the VESSEL, its crew, passengers or cargo and provided that the Classification Society has received all requested and necessary information or documents from the BUYER so as to be able to issue all certificates under Article VII, Clause 3(f) and the Classification Society has issued all certificates under Article VII, Clause 3(f) the SELLER shall be nevertheless entitled to tender the VESSEL for delivery and the BUYER shall be nevertheless obliged to take delivery of the VESSEL.

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ARTICLE VII - DELIVERY

1. TIME AND PLACE

The VESSEL shall be delivered safely afloat by the SELLER to the BUYER at the BUILDER's Shipyard in accordance with the Specifications and with all Classification and Statutory Certificates free of recommendation and/or remarks provided that the Buyer has already provided to the extent applicable all necessary information or documents in accordance with the requirement of Classification Society and Statutory and after completion of Trial Run (or, as the case may be, reTrial or reTrials) and acceptance by the BUYER in accordance with the provisions of Article VI hereof on or before April 8, 2023, provided that, in the event of delays in the construction of the VESSEL or any performance required under this Contract due to causes which under the terms of the Contract permit extension of the time for delivery, the aforementioned time for delivery of the VESSEL shall be extended accordingly, but if the time for delivery falls after 1 December and before 5 January the delivery shall be postponed a date after 6 January at no additional cost to the BUYER.

The aforementioned date or such later date to which delivery is extended pursuant to the terms of this Contract is hereinafter called the "Delivery Date".

2. WHEN AND HOW EFFECTED

Provided that the BUYER and the SELLER shall each have fulfilled all of their respective obligations as stipulated in this Contract, delivery of the VESSEL shall be effected forthwith by the concurrent delivery by each of the SELLER and the BUYER, one to the other, of the Protocol of Delivery and Acceptance, acknowledging delivery of the VESSEL by the SELLER and acceptance thereof by the BUYER, which Protocol shall be prepared in quadruplicate and executed by duly authorised representatives of each of the parties hereto.

3. DOCUMENTS TO BE DELIVERED TO THE BUYER

The SELLER shall provide to the BUYER, at least Twenty (20) days prior to the Delivery, drafts of the documents listed below. Upon acceptance of the VESSEL by the BUYER, the SELLER shall deliver to the BUYER the following authenticated documents (subject to the provision contained in Article V 2 hereof) which shall accompany the aforementioned Protocol of Delivery and Acceptance:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) PROTOCOL OF TRIALS of the VESSEL made by the BUILDER pursuant to the Specifications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) PROTOCOL OF INVENTORY of the equipment of the VESSEL including spare parts and the like, all as
 specified in the Specifications, made by the BUILDER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) PROTOCOL OF STORES OF CONSUMABLE NATURE made by the BUILDER referred to under Paragraph 5 of Article
 VI hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) FINISHED DRAWINGS AND PLANS pertaining to the VESSEL as stipulated in the Specifications, made by
 the BUILDER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) PROTOCOL OF DEADWEIGHT AND INCLINING EXPERIMENT, made by the BUILDER

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) ALL CERTIFICATES required to be furnished upon delivery of the VESSEL pursuant to the
 Specifications.

Certificates shall be issued by relevant Authorities or Classification Society. The VESSEL shall comply with the above rules and regulations which are in force at the time of signing this Contract. All the certificates shall be delivered in One (1) original to the VESSEL and Two (2) copies to the BUYER.

If the full term certificate or certificates are unable to be issued at the time of delivery by the Classification Society or any third party other than the BUILDER, then the provisional certificate or certificates as issued by the Classification Society or the third party other than the BUILDER with the full term certificates to be furnished by the BUILDER as soon as possible after delivery of the VESSEL and in any event before the expiry of the provisional certificates shall be acceptable to the BUYER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) DECLARATION OF WARRANTY issued by the SELLER that the VESSEL is delivered to the BUYER free and
 clear of any liens, charges, claims, mortgages, or other encumbrances upon the BUYER's title thereto, and in particular, that the VESSEL is absolutely free of all burdens in the nature of imposts, taxes or charges imposed by the province or
 country of the port of delivery, as well as of all liabilities of the SELLER to its sub-contractors, employees and crews and/or all liabilities arising from the operation of the VESSEL in Trial Run or Trial Runs, or otherwise, prior to
 delivery.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) COMMERCIAL INVOICE made by the SELLER.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) BILL OF SALE made by the SELLER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Builder's Certificate made by the BUILDER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Non-registration Certificate made by the BUILDER.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Any other documents reasonably required by the flag authority and/or the financial institutions or
 banks providing financing to the BUYER.

4. TITLE AND RISK

Title to and risk of the VESSEL shall pass to the BUYER only upon delivery thereof, as stated above, it being expressly understood that, until such delivery is effected, title to the VESSEL, and her equipment, shall remain at all times with the SELLER and are at the entire risk of the SELLER.

5. REMOVAL OF VESSEL

The BUYER shall take possession of the VESSEL immediately upon delivery and acceptance thereof and shall remove the VESSEL from the premises of the BUILDER within Seven (7) days after delivery and acceptance thereof is effected. If the BUYER does not remove the VESSEL from the premises of the BUILDER within the aforesaid Seven (7) days, then, in such event, without prejudice to the SELLER's right to require the BUYER to remove the VESSEL immediately at any time thereafter, the BUYER shall pay to the SELLER the reasonable mooring charge of the VESSEL.

6. TENDER OF THE VESSEL

If the BUYER fails to take delivery of the VESSEL after completion thereof according to this Contract and the Specifications without justified reason, the SELLER shall have the right to tender the VESSEL for delivery after compliance with all procedural requirements as above provided.

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ARTICLE VIII - DELAYS & EXTENSION OF TIME FOR DELIVERY AND SELLER'S INSOLVENCY

1. CAUSE OF DELAY

If, at any time before actual delivery, either the construction of the VESSEL, or any performance required hereunder as a prerequisite of delivery of the VESSEL, is delayed due to war, blockade, revolution, insurrection, mobilization, civil commotions, riots, strikes (but not strikes or industrial disputes at the BUILDER's Shipyard or between the SELLER and its employees or any of the SELLER'S subcontractors and their employees), sabotage, lockouts, local temperature higher than 35 degrees centigrade, Acts of God or the public enemy, terrorism, plague or other epidemics, quarantines, prolonged failure or restriction of electric current from an outside source but only if of a general nature and not limited solely to the SELLER, freight embargoes, earthquakes, tidal waves, typhoons, hurricanes, storms or other causes beyond the control of the SELLER or of its sub-contractors, as the case may be, or by other causes, events or circumstances beyond control of the SELLER,, whether of nature indicated by the forgoing or not, or by destruction of the BUILDER's works or the works of its sub-contractors, or of the VESSEL or any part thereof, by fire, flood, or other causes beyond the control of the SELLER or its sub-contractors as the case may be, or due to the bankruptcy of the equipment and/or material supplier or suppliers provided the SELLER has exercised due diligence in its choice of supplier, then, in the event of delay due to the happening of any of the aforementioned contingencies, the SELLER shall not be liable for such delay and the time for delivery of the VESSEL under this Contract shall be extended without any reduction in the Contract Price for a period of time which shall not exceed the total accumulated time of all such delays, subject nevertheless to the BUYER's right of rescission and/or cancellation under Paragraph 3 of this Article and subject however to all relevant provisions of this Contract which authorize and permit extension of the time of delivery of the VESSEL.

Should the physical delivery of the VESSEL, or the fulfilment of any of the BUYER's obligations, become impossible due to an official prohibition or travel restrictions imposed by any relevant (including crew's nationality) local or national government related to COVID-19 and/or its variants provided that the BUYER has already exercise their best endeavours to minimize the impact or affection of such COVID-19 and/or its variants, it shall not be considered a breach under this CONTRACT.

In addition, should the exercise of any of the BUYER's rights during VESSEL's construction including but not limited to, failure or inability of BUYER's REPRESENTATIVE's to be present or attend during sea trials, inspections and tests, become impossible due to an official prohibition

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or travel restrictions imposed by the local or national government related to COVID-19 and/or its variants Provided that the BUYER has already exercise their best endeavours to minimize the impact or affection of COVID-19, it shall not be considered as a waiver of BUYER's rights under this CONTRACT.

The BUILDER shall keep the BUYER closely posted of any local restrictions relating to COVID-19 and/or its variants including, but not limited to, quarantines of crew and local and international travel restrictions to allow the BUYER to plan accordingly. The BUYER shall exercise their best endeavours to comply with all local regulations and restrictions to allow them to perform all their obligations under the CONTRACT. All relevant cost for above mentioned quarantines of crew and BUYER's representatives should be borne by the BUYER.

However, it is understood that in the event of new regulations or tightening or re-imposition of regulations relating to COVID-19 and/or its variants, any specific non-performance by the BUYER as a direct result of such tightening or re-imposition of COVID-19 regulations shall not be considered a breach under this CONTRACT, provided that the BUYER shall prove with evidence of that any such non-performance is as a consequence of such tightening or re-imposition of COVID-19 regulations and shall exercise their best endeavours to minimize the impact and duration of any such non-performance to the minimum extent possible. However any delay in delivery of the VESSEL caused by any such non-performance shall be treated as a permissible delay under Article VIII of the CONTRACT.

It is also understood that in the event of a total lockdown imposed by the local or national government related to COVID-19 and/or its variants which will have as a direct effect the stoppage of all works and the complete suspension of the VESSEL's construction, then same will be the sole reason for which such suspension of works will be considered as a permissible delay in accordance with the respective Article VIII of the CONTRACT.

2. NOTICE OF DELAY

Within Seven (7) days from the date of commencement of any delay on account of which the SELLER claims that it is entitled under this Contract to an extension of the time for delivery of the VESSEL, the SELLER shall advise the BUYER by letter sent by telefax or email, of the date such delay commenced, and the reasons therefor. A failure to so notify the BUYER shall bar the SELLER from an extension of the Delivery Date.

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Likewise within Seven (7) days after such delay ends, the SELLER shall advise the BUYER in writing or by letter sent by telefax or email, of the date such delay ended, and also shall specify the maximum period of the time by which the date for delivery of the VESSEL is extended by reason of such delay. Failure of the BUYER to acknowledge the SELLER's notification of any claim for extension of the Delivery Date within Ten (10) days after receipt by the BUYER of such notification, shall be deemed to be a waiver by the BUYER of its right to object to such extension.

3. RIGHT TO RESCIND AND/OR CANCEL FOR EXCESSIVE DELAY

If the total accumulated time of all delays on account of the causes specified in Paragraph 1 of the Article aggregate to Two Hundred and Twenty Five (225) days or more, or if the total accumulated time of all delays on account of the causes specified in Paragraph 1 of the Article and non-permissible delays as described in Paragraph 1 of Article III aggregate to Two Hundred and Seventy (270) days or more, in any circumstances, excluding delays due to arbitration as provided for in Article XIII hereof or due to default in performance by the BUYER, or due to delays in delivery of the BUYER's supplied items, and excluding delays due to causes which, under Article V, VI, XI and XII hereof, permit extension or postponement of the time for delivery of the VESSEL, then in such event, the BUYER may in accordance with the provisions set out herein rescind and/or cancel this Contract by serving upon the SELLER notice of rescission and/or cancellation in accordance with the provisions of Article X of this Contract. The SELLER may, at any time, after the accumulated time of the aforementioned delays justifying rescission and/or cancellation by the BUYER as above provided for, demand in writing that the BUYER shall make an election, in which case the BUYER shall, within Twenty (20) days after such demand is received by the BUYER either notify the SELLER of its intention to rescind and/or cancel, or consent to an extension of the time for delivery to a mutually agreed future date, it being understood and agreed by the parties hereto that, if any further delay occurs on account of causes justifying rescission and/or cancellation as specified in this Contract, the BUYER shall have the same right of rescission and/or cancellation upon the same terms as hereinabove provided.

4. DEFINITION OF PERMISSIBLE DELAY

Delays on account of such causes as provided for in Paragraph 1 of this Article excluding any other extensions of a nature which under the terms of this Contract permit postponement of the Delivery Date, shall be understood to be (and are herein referred to as) permissible delays, and are to be distinguished from non-permissible delays on account of which the Contract Price of the VESSEL is subject to adjustment as provided for in Article III hereof. Such delays must be continuous for a period of at least One (1) day (based on a full Eight (8) hour

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working day), otherwise the BUILDER cannot claim an extension to the Delivery Date for such individual events.

Delays on account of such causes as provided for in Paragraph 1 of this Article shall not count as permissible delays if the events were caused by the error, neglect, act or omission of the BUILDER or its sub-contractors. The BUILDER shall use all reasonable efforts to avoid and minimise the effects such events have on the delivery of the VESSEL.

5. RIGHT TO RESCIND AND/OR CANCEL FOR SELLER'S INSOLVENCY

If an order is made by any competent court or resolutions are passed by the Board of Directors and/or shareholders of the SELLER or proceedings are commenced for the appointment of a liquidator, receiver or trustee, or similar officer, or in the case of the SELLER'S bankruptcy, suspension of payments or similar events or if proceedings are commenced for a winding-up, dissolution or reorganisation of the SELLER (otherwise than in connection with a solvent reorganisation) the BUYER shall be entitled to rescind and/or cancel this Contract by serving upon the SELLER notice of rescission and/or cancellation in accordance with the provisions of Article X of this Contract.

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ARTICLE IX - WARRANTY OF QUALITY

1. GUARANTEE OF MATERIAL AND WORKMANSHIP

The SELLER, for a period of Twelve (12) months following delivery to the BUYER of the VESSEL, guarantees the VESSEL, her hull and machinery and all parts and equipment thereof that are manufactured or furnished or supplied by the SELLER and/or its sub-contractors under this Contract including material, equipment (however excluding any parts for the Vessel which have been supplied by or on behalf of the BUYER) against all defects which are due to defective materials, and/or poor workmanship.

If, as a result of the guarantee works, the VESSEL has been lying idle continuously for a period in excess of Thirty (30) days, the guarantee period shall be extended by the total number of such days (counting from the first day the VESSEL is idle) that fall within the guarantee period, whether or not other work was carried out during such period.

In the event that within the guarantee period of twelve (12) months any repairs are carried out or replacements are provided by the Builder or its subcontractors, the guarantee period in respect of such repairs or replacements shall be extended for a period of twelve (12) months from the date upon which same are effected but the maximum Guarantee Period in total shall be in no circumstances beyond eighteen (18) months from the delivery of the Vessel.

2. NOTICE OF DEFECTS

The BUYER shall notify the SELLER by letter sent by telefax or email, as promptly as possible, after discovery of any defect or deviations for which a claim is made under this guarantee. The BUYER's written notice shall describe the nature of the defect and the extent of the damage caused thereby. The SELLER shall have no obligation under this guarantee for any defects discovered prior to the expiry date of the guarantee, unless notice of such defects, is received by the SELLER not later than Thirty (30) days after such expiry date. Telefax or emailed advice with brief details explaining the nature of such defect and extent of damage within Thirty (30) days after such expiry date and that a claim is forthcoming will be sufficient compliance with the requirements as to time.

3. REMEDY OF DEFECTS

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The SELLER shall remedy at its expense any defects, against which the VESSEL or any part of the equipment thereof is guaranteed under this Article by making all necessary repairs and/or replacement. Such repairs and/or replacement will be made by the SELLER.

However, if it is impractical to make the repair by the SELLER, and if forwarding by the SELLER of replacement parts, and materials cannot be accomplished without impairing or delaying the operation or working of the VESSEL, then, in any such event, the BUYER shall, cause the necessary repairs or replacements to be made elsewhere at the discretion of the BUYER provided that the BUYER shall first and in all circumstances, as soon as possible, give the SELLER notice by telefax or email of the time and place such repairs will be made and, if the VESSEL is not thereby delayed, or her operation or working is not thereby delayed, or her operation or working is not thereby impaired, the SELLER shall have the right to verify by its own representative(s) or that of Classification Society the nature and extent of the defects complained of. The SELLER shall, in such cases, promptly advise the BUYER, by telefax or email, after such examination has been completed, of its acceptance or rejection of the defects as ones that are subject to the guarantee herein provided. In all minor cases, the Guarantee Engineer, as hereinafter provided for, will act for and on behalf of the SELLER.

In any circumstances as set out below, the SELLER shall immediately pay to the BUYER in United States Dollars by telegraphic transfer the actual cost for such repairs or replacements including forwarding charges, or at the average cost for making similar repairs or replacements including forwarding charges as quoted by a leading shipyard each in China, South Korea and Singapore whichever is lower:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Upon the SELLER's acceptance of the defects as justifying remedy under this Article, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the SELLER neither accepts nor rejects the defects as above provided, nor requests arbitration
 within Thirty (30) days after its receipt of the BUYER's notice of defects.

Any dispute shall be referred to arbitration in accordance with the provisions of Article XIII hereof.

4. EXTENT OF THE SELLER'S LIABILITY

The SELLER shall have no obligation and/or liabilities with respect to defects discovered after the expiration of the period of guarantee specified above.

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The SELLER shall be liable to the BUYER for defects and damages caused by any of the defects specified in Paragraph 1 of this Article provided that such liability of the SELLER shall be limited to damage occasioned within the guarantee period specified in Paragraph 1 above. The SELLER shall not be obligated to repair, or to be liable for, damages to the VESSEL, or to any part of the equipment thereof, due to ordinary wear and tear or caused by the defects other than those specified in Paragraph 1 above, nor shall there be any SELLER's liability hereunder for defects in the VESSEL, or any part of the equipment thereof, caused by fire or accidents at sea or elsewhere, or mismanagement, accidents, negligence, or wilful neglect, on the part of the BUYER, its employees or agents including the VESSEL's officers, crew and passengers, or any persons on or doing work on the VESSEL other than the SELLER, its employees, agents or sub-contractors. Likewise, the SELLER shall not be liable for defects in the VESSEL, or the equipment or any part thereof, due to repairs or replacement which were made by those other than the SELLER and/or their sub-contractors.

Upon delivery of the VESSEL to the BUYER, in accordance with the terms of the Contract, the SELLER shall thereby and thereupon be released of all responsibility and liability whatsoever and howsoever arising under or by virtue of this Contract (save in respect of those obligations to the BUYER expressly provided for in this Article IX) including without limitation, any responsibility or liability for defective workmanship, materials or equipment, design or in respect of any other defects whatsoever and any loss or damage resulting from any act, omission or default of the SELLER. The SELLER shall not, in any circumstances, be liable for any consequential loss or special loss, or expenses arising from any cause whatsoever including, without limitation, loss of time, loss of profit or earnings or demurrage directly from any commitments of the BUYER in connection with the VESSEL.

The guarantee of material and workmanship provided in this Article and the obligations and the liabilities of the SELLER under this Article are exclusive and in lieu of and the BUYER hereby waives all other remedies, warranties, guarantees or liabilities, express or implied, arising by law or otherwise (including without limitation any obligations of the SELLER with respect to fitness, merchantability and consequential damages) or whether or not occasioned by the SELLER's negligence. This guarantee shall not be extended, altered or varied except by a written instrument signed by the duly authorized representatives of the SELLER, and the BUYER.

5. GUARANTEE ENGINEER

If requested by the Buyer, however such request shall be made at least three months prior to the scheduled Delivery Date of the VESSEL, the BUILDER shall appoint one Guarantee

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Engineer to serve the VESSEL as the BUILDER's representative(s) for a period of Six (6) months from the delivery of the VESSEL. The BUYER, and its employees, shall give such Guarantee Engineer(s) full co-operation in carrying out his/their duties as the representative(s) of the BUILDER on board the VESSEL. The BUYER shall accord the Guarantee Engineer(s) the treatment comparable to the VESSEL's Chief Engineer, and shall provide him with accommodation and subsistence at no cost to the BUILDER and/or the Guarantee Engineer(s).

The BUYER shall pay to the Guarantee Engineer(s) the sum of United States Dollars Three Thousand Five Hundred only (US$3,500.00) per month per person to cover his/their miscellaneous expenses including wages and also the BUYER shall pay the expense of repatriation to Jingjiang, the People's Republic of China by air upon termination of his/their service, the expense of his/their communications with the BUILDER when made in performance of his/their duties as the Guarantee Engineer(s) and the expenses, if any, of his/their medical and hospital care. The BUYER, its successor(s) and/or assign(s), shall be liable to and indemnify the BUILDER and/or the Guarantee Engineer(s) and/or the SELLER for personal injuries, including death and damages to, or loss or destruction of property of the Guarantee Engineer(s), if such death, injuries, damages, loss and/or destruction were caused by gross negligence or wilful misconduct of the BUYER, its successor(s) and/or assign(s) or its employees and/or agents.

Pertaining to the detailed particulars of this Paragraph, an agreement will be made according to this effect between the parties hereto upon delivery of the VESSEL.

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ARTICLE X - CANCELLATION, REJECTION AND RESCISSION BY THE BUYER

1. All payments made by the BUYER prior to the delivery of the VESSEL shall be in the nature of advance
 to the SELLER. In the event the BUYER shall exercise its right of rescission and/or cancellation of this Contract under and pursuant to any of the provisions of this Contract specifically permitting the BUYER to do so, then the BUYER shall
 notify the SELLER in writing or by letter sent by telefax or email confirmed in writing, and such rescission and/or cancellation shall be effective as of the date the notice thereof is received by the SELLER.

2. Thereupon the SELLER shall refund in United States Dollars immediately to the BUYER the full amount
 of all sums paid by the BUYER to the SELLER on account of the VESSEL, unless the SELLER disputes the BUYER's rescission and/or cancellation by instituting arbitration in accordance with Article XIII. If the BUYER's cancellation and/or
 rescission of this Contract is disputed by the SELLER by instituting arbitration as aforesaid, then no refund shall be made by the SELLER, and the BUYER shall not be entitled to demand repayment from the SELLER's Refund Guarantee bank under its
 guarantee until the arbitration award, which shall be in favour of the BUYER, declaring the BUYER's rescission and/or cancellation justified, is made and delivered to the SELLER and the BUYER by the arbitration tribunal. In the event the SELLER
 is obligated to make refundment, the SELLER shall pay the BUYER interest in United States Dollars at the rate of Four point five percent (4.5%) per annum, on the amount required herein to be refunded to the BUYER computed from the respective
 dates when such sums were received by the SELLER's bank, from the BUYER to the date of remittance by telegraphic transfer of such refund to the BUYER by the SELLER.

3. Upon such refund by the SELLER to the BUYER all obligations, duties and liabilities of each of the
 parties hereto to the other under this Contract shall be forthwith completely discharged.

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ARTICLE XI - BUYER'S DEFAULT

1. DEFINITION OF DEFAULT

The BUYER shall be deemed in default of its obligation under the Contract if any of the following events occurs:

&nbsp;&nbsp;&nbsp;&nbsp;(a) The BUYER fails to pay the First or Second or Third or Fourth instalment to the SELLER when any such
 instalment becomes due and payable under the provisions of Article II hereof provided the BUYER shall have received the SELLER's demand for payment in accordance with Article II hereof and the Refund Guarantee for the instalment; or

&nbsp;&nbsp;&nbsp;&nbsp;(b) The BUYER fails to pay the Fifth instalment to the SELLER in accordance with Paragraph 3(e) and 4(e)
 of Article II hereof provided the BUYER shall have received the SELLER's demand for payment in accordance with Article II hereof; or

&nbsp;&nbsp;&nbsp;&nbsp;(c) The BUYER fails to deliver to the SELLER irrevocable and unconditional Letter of Guarantee to be
 issued by HIMALAYA SHIPPING LTD within the time specified in accordance with Paragraph 6 of Article II hereof; or

&nbsp;&nbsp;&nbsp;&nbsp;(d) The BUYER fails to take delivery of the VESSEL, when the VESSEL is duly tendered for delivery by the
 SELLER in accordance with the Contract and under the provisions of Article VII hereof.

2. NOTICE OF DEFAULT

If the BUYER is in default of payment or in performance of its obligations as provided hereinabove, the SELLER shall notify the BUYER to that effect by letter sent by telefax or email by no later than Ten (10) days after the date of occurrence of the default as provided by Paragraph 1 of this Article and the BUYER shall forthwith acknowledge by telefax or email to the SELLER that such notification has been received. In case the BUYER does not give the aforesaid telefax or email acknowledgment to the SELLER within Five (5) days it shall be deemed that such notification has been duly received by the BUYER.

3. INTEREST AND CHARGE

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&nbsp;&nbsp;&nbsp;&nbsp;(a) If the BUYER is in default of payment as to any instalment as provided in Paragraph 1 (a) and/or 1 (b) of this
 Article, the BUYER shall pay interest on such instalment at the rate of Four point five percent (4.5%) per annum until the date of the payment of the full amount, including all aforesaid interest. In case the BUYER shall fail to take delivery
 of the VESSEL when required to as provided in Paragraph 1 (d) of this Article, the BUYER shall be deemed in default of payment of the Fifth instalment and shall pay interest thereon at the same rate as aforesaid from and including the day on
 which the VESSEL is tendered for delivery by the SELLER, as provided in Article VII Paragraph 6 hereof.

&nbsp;&nbsp;&nbsp;&nbsp;(b) In any event of default by the BUYER under 1 (a) or 1 (b) or 1 (c) or 1 (d) above, the BUYER shall
 also pay all reasonable costs, charges and expenses incurred by the SELLER in consequence of such default.

4. DEFAULT BEFORE DELIVERY OF THE VESSEL

&nbsp;&nbsp;&nbsp;&nbsp;(a) If any default by the BUYER occurs as defined in Paragraph 1 (a) or 1 (b) or 1 (c) or 1 (d) of this
 Article, the Delivery Date shall, at the SELLER's option, be postponed for a period of continuance of such default by the BUYER.

&nbsp;&nbsp;&nbsp;&nbsp;(b) If any such default as defined in Paragraph 1 (a) or 1 (b) or 1 (c) or 1 (d) of this Article
 committed by the BUYER continues for a period of Twenty (20) days after the date of the SELLER's notice of default as provided for in Paragraph 2 above, then, the SELLER shall have all following rights and remedies:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The SELLER may, at its option, rescind and/or cancel this Contract, provided that the SELLER has
 notified the BUYER of such default pursuant to Paragraph 2 of this Article, by giving notice of such effect to the BUYER by letter sent by telefax or email. Upon receipt by the BUYER of such telefax or email notice of rescission and/or
 cancellation, all of the BUYER's Supplies shall forthwith become the sole property of the SELLER, and the VESSEL and all its equipment and machinery shall be at the sole disposal of the SELLER for sale or otherwise; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) In the event of such rescission and/or cancellation of this Contract, the SELLER shall be entitled
 to retain any instalment or instalments of the Contract Price paid by the BUYER to the SELLER on account of this Contract; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) (Applicable to any BUYER's default defined in 1(a) of this Article) the SELLER shall, without
 prejudice to the SELLER'S right to recover from the BUYER the 5th instalment, interest, costs and/or expenses by applying the proceeds to be obtained by sale of the VESSEL in accordance with the provisions set out in this Contract, have the
 right to declare all unpaid 2<sup>nd</sup>, 3<sup>rd</sup> and 4<sup>th</sup> instalments to be forthwith due and payable, and upon such declaration, the SELLER shall have the right to immediately demand the payment of the aggregate amount of all unpaid 2<sup>nd</sup>, 3<sup>rd</sup> and 4<sup>th</sup> instalments from the Corporate Guarantor in accordance with the terms and conditions of the guarantee issued by the Corporate Guarantor.

5. SALE OF THE VESSEL

&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event of rescission and/or cancellation of this Contract as provided for
 above, the SELLER shall have full right and power either to complete or not to complete the VESSEL as it deems fit, and to sell the
 VESSEL at a public or private sale on such terms and conditions as the SELLER thinks fit without being answerable for any loss or damage occasioned to the BUYER thereby.

In the case of sale of the VESSEL, the SELLER shall give telefax, or email, or written notice to the BUYER.

&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event of the sale of the VESSEL in its completed state, the proceeds of sale
 received by the SELLER shall be applied firstly to payment of all expenses attending such sale and otherwise incurred by the SELLER as a result of the BUYER's default, and then to payment of all unpaid instalments and/or unpaid balance of the
 Contract Price and interest on such instalment at the interest rate as specified in the relevant provisions set out above from the respective due dates thereof to the date of application.

&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event of the sale of the VESSEL in its incomplete state, the proceeds of sale
 received by the SELLER shall be applied firstly to all expenses attending such sale and otherwise incurred by the SELLER as a result of the BUYER's default, and then to payment of all costs of construction of the VESSEL (such costs of
 construction, as herein mentioned, shall include but are not limited to all costs of labour and/or prices paid or to be paid by the BUILDER for the equipment and/or technical design and/or materials purchased or to be purchased, installed
 and/or to be installed on the VESSEL) and/or any fees, charges, expenses and/or royalties incurred and/or to be incurred for the VESSEL less the instalments so retained by the SELLER, and compensation to the

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SELLER for a reasonable sum of loss of profit due to the rescission and/or cancellation of this Contract.

&nbsp;&nbsp;&nbsp;&nbsp;(d) In either of the above events of sale, if the proceed of sale exceeds the total of the amounts to
 which such proceeds are to be applied as aforesaid, the SELLER shall promptly pay the excesses to the BUYER without interest, provided, however that the amount of each payment to the BUYER shall in no event exceed the total amount of
 instalments already paid by the BUYER and the cost of the BUYER's supplies, if any.

&nbsp;&nbsp;&nbsp;&nbsp;(e) If the proceed of sale are insufficient to pay such total amounts payable as aforesaid, the BUYER
 shall promptly pay the deficiency to the SELLER upon request.

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ARTICLE XII - INSURANCE

1. EXTENT OF INSURANCE COVERAGE

From the time of keel laying of the first section of the VESSEL until the same is completed, delivered to and accepted by the BUYER, the SELLER shall, at its own cost and expense, keep the VESSEL and all machinery, materials, equipment, appurtenances and outfit, delivered to the BUILDER for the VESSEL or built into, or installed in or upon the VESSEL, including the BUYER's Supplies, fully insured with Chinese insurance companies for BUILDER's risk.

The amount of such insurance coverage shall, up to the date of delivery of the VESSEL, be in an amount at least equal to, but not limited to, the aggregate of the payments made by the BUYER to the SELLER including the value of maximum amount of United States Dollars Two Hundred Thousand (US$200,000.00)of tire BUYER's Supplies. The policy referred to hereinabove shall be taken out in the name of the SELLER and all losses under such policy shall be payable to the SELLER.

2. APPLICATION OF RECOVERED AMOUNT

&nbsp;&nbsp;&nbsp;&nbsp;(a) Partial Loss:

In the event the VESSEL shall be damaged by any insured cause whatsoever prior to acceptance and delivery thereof by the BUYER and in the further event that such damage shall not constitute an actual or a constructive total loss of the VESSEL, the SELLER shall apply the amount recovered under the insurance policy referred to in Paragraph 1 of this Article to the repair of such damage (including repair or replacement of lost or damaged BUYER's supplied items) satisfactory to the Classification Society and other institutions or authorities as described in the Specifications without additional expenses to the BUYER, and the BUYER shall accept the VESSEL under this Contract if completed in accordance with this Contract and Specifications and not make any claim for any consequential loss or depreciation.

&nbsp;&nbsp;&nbsp;&nbsp;(b) Total Loss:

However, in the event that the VESSEL is determined to be an actual or constructive total loss, the SELLER shall either:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) By the mutual agreement between the parties hereto, proceed in accordance with terms of this
 Contract, in which case the amount recovered under said insurance policy shall be applied to the reconstruction and/or repair of the VESSEL's damages and/or reinstallation of BUYER's supplies, provided the parties hereto shall have first agreed
 in writing as to such reasonable extension of the Delivery Date and adjustment of other terms of this Contract including the Contract Price as may be necessary for the completion of such reconstruction; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If due to whatever reasons the parties fail to agree on the above, then the SELLER shall refund
 immediately to the BUYER the amount of all instalments paid to the SELLER under this Contract with interest at the rate of Four point five percent (4.5%) per annum computed from the respective dates when such sums were received by the SELLER's
 bank from the BUYER to the date of remittance by telegraphic transfer of such refund to the BUYER by the SELLER, whereupon this Contract shall be deemed to be cancelled and all rights, duties, liabilities and obligations of each of the parties
 to the other shall terminate forthwith.

Within Thirty (30) days after receiving telefax or email notice of any damage to the VESSEL constituting an actual or a constructive total loss, the BUYER shall notify the SELLER by letter sent by telefax or email of its agreement or disagreement under this sub-paragraph. In the event the BUYER fails to so notify the SELLER, then such failure shall be construed as a disagreement on the part of the BUYER and this Contract shall be deemed as rescinded and/or cancelled and the BUYER shall receive the refund as hereinabove provided for in sub-paragraph (ii).

3. TERMINATION OF THE SELLER'S OBLIGATION TO INSURE

The SELLER's obligation to insure the VESSEL hereunder shall cease and terminate forthwith upon delivery thereof to and acceptance by the BUYER.

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ARTICLE XIII - DISPUTES AND ARBITRATION

1. PROCEEDINGS

In the event of any dispute between the parties hereto as to any matter arising out of or relating to this Contract or any stipulation herein or with respect thereto which cannot be settled by the parties themselves, such dispute shall be resolved by arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the extent necessary to give effect to the provisions of this Article. The arbitration shall be conducted in accordance with the London Maritime Arbitrators Association ("LMAA") Terms current at the time when the arbitration proceedings are commenced. Either the SELLER or the BUYER may demand arbitration of any such disputes by giving written notice to the other party. Any demand for arbitration by either the SELLER or the BUYER hereto shall state the name of the arbitrator appointed by such party and shall also state specifically the question or questions as to which such party is demanding arbitration. Within Twenty (20) days after receipt of notice of such demand for arbitration, the other party shall in turn appoint a second arbitrator. The two arbitrators thus appointed shall thereupon select a third arbitrator, and the three arbitrators so named shall constitute the board of arbitration (hereinafter called the "Arbitration Board") for the settlement of such dispute.

In the event however, that said other party should fail to appoint a second arbitrator as aforesaid within Twenty (20) days following receipt of notice of demand of arbitration, it is agreed that such party shall thereby be deemed to have accepted and appointed as its own arbitrator the one already appointed by the party demanding arbitration, and the arbitration shall proceed forthwith before this sole arbitrator, who alone, in such event, shall constitute the Arbitration Board. And in the further event that the two arbitrators appointed respectively by the parties hereto as aforesaid should be unable to reach agreement on the appointment of the third arbitrator within Twenty (20) days from the date on which the second arbitrator is appointed, either party of the said two arbitrators may apply to the President for the time being of the London Maritime Arbitrators Association or other official organization in England having jurisdiction in such matter to appoint the third arbitrator. The award of the arbitration, made by the sole arbitrator or by the majority of the three arbitrators as the case may be, shall be final, conclusive and binding upon the parties hereto.

2. ALTERNATIVE ARBITRATION BY AGREEMENT

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Notwithstanding the preceding provisions of this Article, it is recognized that in the event of any dispute or difference of opinion arising in regard to the construction of the VESSEL, her machinery and equipment, or concerning the quality of materials or workmanship thereof or thereon, such dispute may be referred to the Classification Society upon mutual agreement of the parties hereto. In such case, the opinion of the Classification Society shall be final and binding on the parties hereto.

3. NOTICE OF AWARD

Notice of any award shall immediately be given in writing or by telefax or email confirmed in writing to the SELLER and the BUYER.

4. EXPENSES

The arbitrator(s) shall determine which party shall bear the expenses of the arbitration or the proportion of such expenses which each party shall bear.

5. AWARD OF ARBITRATION

Award of arbitration shall be final and binding upon the parties concerned or in the event of an appeal against such award, the final judgment.

6. ENTRY IN COURT

Judgment on any award may be entered in any court of competent jurisdiction.

7. ALTERATION OF DELIVERY TIME

In the event of reference to arbitration of any dispute arising out of matters occurring prior to delivery of the VESSEL, the BUILDER shall not be entitled to extend the Delivery Date as defined in Article VII hereof and the BUYER shall not be entitled to postpone its acceptance of the VESSEL on the Delivery Date or on such newly planned time of delivery of the VESSEL as declared by the BUILDER. However, if the construction of the VESSEL is affected by any arbitration, the BUILDER shall then be permitted to extend the Delivery Date as defined in Article VII and the decision or the award shall include a finding as to what extent the BUILDER shall be permitted to extend the Delivery Date.

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ARTICLE XIV - RIGHT OF ASSIGNMENT

Subject to the second Paragraph below, none of the parties hereto shall assign this Contract to any other individual, firm, company or corporation unless prior consent of the other party is given in writing, such consent should however not be unreasonably withheld.

The BUYER may assign the benefit of this Contract to any bank or other financial or other institution which is financing the BUYER's purchase of the VESSEL provided that such assignment is approved and acknowledged by the SELLER, such acknowledgement not to be unreasonably withheld or delayed by the SELLER, it being understood and acknowledged by the SELLER that the BUYER expects to assign the benefit of the Contract to bank(s) or financial or other institutions financing the purchase of the VESSEL. On any such assignment of this Contract the SELLER will procure that the Refund Guarantor bank shall issue an acknowledgement and consent to the assignment and confirm the continued validity of the Refund Guarantees.

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ARTICLE XV - TAXES AND DUTIES

1. TAXES

All costs for taxes including stamp duties, if any, incurred in connection with this Contract in the People's Republic of China shall be borne by the SELLER. Any taxes and/or duties imposed upon those items or services procured by the SELLER in the People's Republic of China or elsewhere for the construction of the VESSEL shall be borne by the SELLER.

2. DUTIES

The SELLER shall indemnify the BUYER for, and hold it harmless against, any duties imposed in the People's Republic of China upon materials and equipment which under the terms of this Contract and/or the Specifications will, or may be, supplied by the BUYER from abroad for installation in the VESSEL as well as any duties imposed in the People's Republic of China upon running stores, provisions and supplies furnished by the BUYER from abroad to be stocked on board the VESSEL and also from the payment of export duties, if any, to be imposed upon the VESSEL as a whole or upon any of its parts or equipment.

Any tax or duty other than those described hereinabove, if any, shall be borne by the BUYER.

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ARTICLE XVI - PATENTS, TRADEMARKS AND COPYRIGHTS

The machinery and equipment of the VESSEL may bear the patent number, trademarks or trade names of the manufacturers. The SELLER shall defend and save harmless the BUYER from patent liability or claims of patent infringement of any nature or kind, including costs and expenses for, or on account of any patented or patentable invention made or used in the performance of this Contract and also including cost and expense of litigation, if any.

Nothing contained herein shall be construed as transferring any patent or trademark rights or copyright in equipment covered by this Contract, and all such rights are hereby expressly reserved to the true and lawful owners thereof. Notwithstanding any provisions contained herein to the contrary, the SELLER's obligation under this Article should not be terminated by the passage of any specified period of time.

The SELLER's indemnity hereunder does not extend to equipment or parts supplied by the BUYER to the BUILDER, if any.

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ARTICLE XVII - NOTICE

Any and all notices and communications in connection with this Contract shall be addressed as follows:

To the BUYER: LHOTSE INC.

Address: c/o HIMALAYA SHIPPING LTD.

19 PAR-LA-VILLE, FIRST FLOOR, HAMILTON HM11, BERMUDA

Attn: [\*\*\*]

Tel: [\*\*\*]

E-mail: [\*\*\*]

To the SELLER/ BUILDER: New Times Shipbuilding Co., Ltd

Address : Dan Hua Gang Port, Jing Jiang City, Jiangsu <br> Province, P.R of China 214518

Telefax No.: [\*\*\*]

Email: [\*\*\*]

Any change of address shall be communicated in writing by telefax or email by the party making such change to the other parties and in the event of failure to give such notice of change, communications addressed to the parties at their last known address shall be deemed sufficient.

Notices can be given by registered airmail, courier or letter sent by telefax or email. Any and all notices, requests, demands, instructions, advice and communications in connection with this Contract shall be deemed to be given at, and shall become effective from, the time when the same is delivered to the address of the party to be served, provided, however, that registered airmail shall be deemed to be delivered Ten (10) days after the date of dispatch, express courier

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service shall be deemed to be delivered Five (5) days after the date of dispatch, and if sent by telefax or email shall be deemed to be delivered on sending.

Any and all notices, communications, Specifications and drawings in connection with this Contract shall be written in the English language and no party hereto shall have any obligation to translate them into any other language.

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ARTICLE XIX - INTERPRETATION

1. LAW APPLICABLE

The parties hereto agree that the validity and interpretation of this Contract and of each Article and part hereof be governed by and interpreted in accordance with English law.

2. DISCREPANCIES

All general language or requirements embodied in the Specifications are intended to amplify, explain and implement the requirements of this Contract. However, in the event that any language or requirements so embodied in the Specifications permit an interpretation inconsistent with any provision of this Contract, then in each and every such event the applicable provisions of this Contract shall govern. The Specifications and plans are also intended to explain each other, and anything shown on the plans and not stipulated in the Specifications or stipulated in the Specifications and not shown on the plans, shall be deemed and considered as if embodied in both. In the event of conflict between the Specifications and plans, the Specifications shall govern.

However, with regard to such inconsistency or contradiction between this Contract and the Specifications as may later occur by any change or changes in the Specifications agreed upon by and among the parties hereto after execution of this Contract, then such change or changes shall govern.

3. DEFINITION

In absence of stipulation of "banking day(s)" or "business day(s)", the term "day" or "days" shall be taken as "calendar day" or "calendar days". Unless otherwise stated in this Contract a reference to "banking day(s)" or "business day(s)" shall be days on which commercial banks are open for business in Jiangsu Province, the People's Republic of China, London, New York and Oslo.

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In WITNESS WHEREOF, the parties hereto have caused this Contract to be duly executed on the day and year first above written.

THE BUYER, On behalf of LHOTSE INC - under incorporation.

By: [\*\*\*]

Name: [\*\*\*]

Title: [\*\*\*]

THE SELLER/BUILDER: NEW TIMES SHIPBUILDING CO., LTD.

By: [\*\*\*]

Name: [\*\*\*]

Title: [\*\*\*]

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EXHIBIT "A"

**FORM OF REFUND GUARANTEE FOR THE 1<sup>st</sup> ,2<sup>nd</sup>,3<sup>rd</sup>, and 4<sup>th</sup> INSTALLMENTS** <br> **(Subject to Approval of BUYER's bank and Seller's Bank)**

Dear Sirs,

Irrevocable Letter of Guarantee No.

1. At the request of New Times Shipbuilding Co., Ltd. (hereinafter called "the SELLER") and in consideration of your agreeing to pay and paying to the SELLER the instalments before delivery of the VESSEL under the Contract No. NTS-BC0120833 dated ________(hereinafter called "the CONTRACT") for the SELLER's construction and delivery to you of one (1) 210,000 DWT Bulk Carrier to be designated as Hull No. 0120833 (hereinafter called "the VESSEL"), we, xxx, do hereby irrevocably guarantee repayment to you by the SELLER of an amount up to but not exceeding a total amount of United States Dollars[●] (US$[●]), plus interest in accordance with paragraph 2 below, comprising of

a) US$ [●](Say United States Dollars [●]), representing the first instalment of the Contract Price of the VESSEL, and

b) US$ [●](Say United States Dollars [●]), representing the second instalment of the Contract Price of the VESSEL, and

c) US$ [●](Say United States Dollars [●]), representing the third instalment of the Contract Price of the VESSEL, and

d) US$ [●](Say United States Dollars [●]), representing the fourth instalment of the Contract Price of the VESSEL, and

as you may have paid to the SELLER under the Contract prior to the delivery of the VESSEL, if and when the same or any part thereof becomes repayable to you from the SELLER in accordance with the terms of the Contract.

2. Should the SELLER fail to make such repayment, we shall pay you the amount the SELLER ought to pay,
 or together with interest at the rate of four point five percent (4.5%) per annum from the respective payment date(s) to the date of remittance by telegraphic transfer of such refund to the account specified by the Buyer if the cancellation of
 the Contract is exercised by you in accordance with the provisions of

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Article III of the Contract, within Thirty (30) business days after our receipt of the relevant written demand from you for repayment.

Your written repayment demand should be accompanied 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;a) your calculation of the amount (and any interest) repayable to you; 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;b) your statement that the amount so calculated is due and payable by the SELLER under the terms of the Contract; 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;c) the bank account into which payment from us shall be made; 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;d) your statement that you have demanded the refund to the seller, but you have not received the repayment from the SELLER.

Such demand ("an authenticated demand") may be made by you in writing by any one or any of the following means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 by you through your bank and duly authenticated by your bank, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 by your bank on your behalf through authenticated SWIFT notification to [set in SELLER'S bank name and swift code],

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 by delivery to us at our address as stated in paragraph 13 below.

3. However, in the event of our receipt, before your demand or within fifteen (15) business days after such demand has been received by us, of a notice made by the SELLER that there is a dispute between you and the SELLER in relation to (i) whether the SELLER shall be liable to repay the instalment paid by you, and (ii) consequently whether you shall have the right to demand payment from us, then we shall be entitled to withhold and defer payment for a period after receipt by us of such notice of dispute and the following provisions will apply:

3.1. if such dispute is submitted for arbitration in accordance with Article XIII of the Contract within Twenty (20) days' period after receipt of notice of dispute by us and the SELLER provides us with a copy of the SELLER's notice to you stating the name of the arbitrator appointed by the SELLER and the question or questions as to which the SELLER is demanding arbitration as required pursuant to Article XIII of the Contract (a copy of such SELLER's notice will be forwarded promptly by us to you), we shall be entitled to withhold and defer payment until the final arbitration award or final court judgement is published. We shall not be obligated to make any payment to you unless such final arbitration award or final court judgement orders the SELLER to make repayment. If the SELLER fails to honour the award, then we shall make payment to you to the extent the final arbitration award or final court judgement orders but not exceeding the aggregate amount of this guarantee plus the interest described above within eighteen (18) Chinese business days after your submitting to us a further demand (being an authenticated demand, as aforesaid) in substitution for the demand previously submitted specifying:

3.1.1. the final arbitration award or final court judgement has been published, and

3.1.2. the amount the SELLER is obliged to pay you pursuant to such award or court judgement, and

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3.1.3. that you have not received from the SELLER the amount payable by the SELLER to you in satisfaction of such award, and

3.1.4. accordingly, the amount demanded by you under this letter of guarantee.

A copy of such final arbitration award or final court judgement shall be sent to us at [add banks address for sending – not possible to accompany the demand if demand is send by SWIFT]

3.2. If no such copy notice of arbitration is received by us within such Twenty (20) days' period, we shall forthwith pay to you the amount specified in your demand.

4. The said payment shall be made by us in United States Dollars by telegraphic transfer to the account
 specified in the notice of demand.

5. Our liability under this Letter of Guarantee will be reduced automatically in accordance with any
 repayment made by the SELLER or ourselves to you.

(1) This Letter of Guarantee shall become effective from the time of the actual receipt of the first instalment by the SELLER at its Account No._____ *(to be filled by our bank)* with us quoting the reference number of this Letter of Guarantee first above written, and the amounts
 effective under this Letter of Guarantee shall correspond to the total payment actually made by you from time to time under the Contract prior to the delivery of the VESSEL. However, the available amount under this Letter of Guarantee shall
 in no event exceed the above mentioned amount actually paid to the SELLER, with interest at the rate of four point five percent (4.5%), for the period commencing with the date of receipt by the SELLER of the first instalment to the date of
 repayment thereof.

7. This Letter of Guarantee shall remain in force until the VESSEL has been delivered to and accepted by you or full refund has been made to you by the SELLER or ourselves, whichever occurs earlier. However, in the event that there exist arbitration proceedings between you and the SELLER for any such matter as described above, then the validity of this guarantee shall be automatically extended until the date falling on the thirtieth (30<sup>th</sup>) calendar day after the final arbitration award is published.

8. Our liabilities under this Letter of Guarantee are continuing and shall not be discharged, impaired or diminished by any period of time, grace period or indulgence granted by you to the SELLER, or by any modification or novation of or amendment or supplement to the Contract (whether or not made with our acknowledgement or consent), or by any illegality, invalidity, irregularity, unenforceability of any of the terms of the Contract, or by any act, omission, fact or circumstances of whatsoever kind which could or might otherwise in any way discharge any of our liabilities or influence the performance of our obligations hereunder, or by any insolvency, bankruptcy or liquidation of the SELLER.

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9. All payments by us under this Letter of Guarantee shall be made without any set-off or counterclaim and without any reduction or deduction or withholding for or on account of any taxes, duties, or charges, or other governmental or public payment imposed by the laws of any jurisdiction from which or through which payment is made, whatsoever, unless we are compelled by law to deduct or withhold the same. In the latter event we shall make the minimum deduction or withholding permitted and will pay such additional amounts as may be necessary in order that the net amount received by you after such deductions or withholdings shall equal the amount which would have been received had no such deduction or withholding been required to be made.

10. Your rights under this Letter of Guarantee may be assigned by you to any commercial bank or financial or other institution providing financing facilities to you or your parent company with the exception of the right of making demand for payment which shall remain with yourself.

In case of any above assignment, you are obliged to send a notice of assignment signed by you and assignee to us via courier.

11. With regard to rules, regulations and requirements of foreign exchanges by State Administration of Foreign Exchange (SAFE) of the People's Republic of China, we confirm that we have the necessary authorization to transfer funds out of the People's Republic of China and effect payment in United States Dollars as necessary under this Letter of Guarantee. We also confirm that this Letter of Guarantee is valid in accordance with Chinese law and regulations. We undertake to maintain all authorisation and regulation requirements to maintain this Letter of Guarantee and any assignment thereof as valid, effective and enforceable as long as this Letter of Guarantee remains in force.

11. This Letter of Guarantee shall be construed in accordance with and governed by the Laws of England.

We hereby submit to arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the extent necessary to give effect to the provisions of this paragraph. The arbitration shall be conducted in accordance with the rules of the London Maritime Arbitrators Association (LMAA) Terms current at the time when the arbitration proceedings are commenced. All arbitration proceedings shall be conducted in English. The arbitration tribunal shall consist of three arbitrators, one to be appointed by you, one to be appointed by us, and one to be appointed by the first two so appointed.

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13. Any notices in connection with this Letter of Guarantee shall be sent to us at the following address: [ADDRESS]

Very truly yours

For and on behalf of the SELLER's bank

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EXHIBIT "B"

**FORM OF IRREVOCABLE LETTER OF GUARANTEE**<br> **FOR THE 2<sup>nd</sup>, 3<sup>rd</sup>, and 4<sup>th</sup> INSTALLMENTS**

(_______________) Company

Date: (______________)

NEW TIMES SHIPBUILDING CO., LTD

Dan Hua Gang Port, JingJiang City

Jiangsu Province, P.R. of China 214518

Dear Sirs,

(2) In consideration of your entering into a Shipbuilding Contract dated_____2021 ("the Shipbuilding Contract") entered into between you and \*\*\*_______a corporation organized and existing under the________, having its registered office at _____ as the buyer (the " BUYER") for the construction of one (1) 210,000 Metric Tons Deadweight Bulk Carrier bearing New Times's Hull <u>No.0120833</u> (the "VESSEL"), we, __________________, hereby IRREVOCABLY, ABSOLUTELY and UNCONDITIONALLY guarantee, as the primary obligor and not merely as the surety, the due and punctual payment by the BUYER of the 2<sup>nd</sup> 3<sup>rd</sup>, 4<sup>th</sup> and 5<sup>th</sup> installments of the Contract Price amounting to a total sum of United States Dollars [●] Only (US$ [●]) as specified in (2) below.

(3) The installments guaranteed hereunder, payable by the BUYER to you pursuant to the terms of the novated Shipbuilding Contract, comprise the 2<sup>nd</sup> installment in the amount of United States Dollars [●]) (US$ [●]), the 3<sup>rd</sup>installment in the amount of United States Dollars [●](US$ [●]) , the 4<sup>th</sup> installment in the amount of United States Dollars [●]) (US$ [●])and the 5<sup>th</sup> installment in the amount of United States Dollars [●] (US$ [●]).

(3) We also IRREVOCABLY, ABSOLUTELY and UNCONDITIONALLY guarantee, as primary obligor and not merely as
 surety, the due and punctual payment by the BUYER of interest on each installment guaranteed hereunder at the rate of four point five percent (4.5%) per annum from and including the first day after the date of installment in default until the
 date of full payment by us of such amount guaranteed hereunder.

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(4) In the event that the BUYER fails to punctually pay the installment guaranteed hereunder or the
 BUYER fails to pay any interest thereon in accordance with the terms of the novated Shipbuilding Contract, and any such default continues for a period of thirty (30) days, then, upon receipt by us of your first written demand, we shall
 immediately pay to you all the unpaid installments, together with the interest as specified in paragraph (3) hereof, without requesting you to take any or further action, procedure or step against the BUYER or with respect to any other security
 which you may hold.

However, in the event of any dispute between you and the BUYER in relation to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) whether the BUYER shall be liable to make payment to you, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) consequently whether you shall have the right to demand payment from us,

and such dispute is submitted either by the BUYER or by you for arbitration in London in accordance with Article XIII of the novated Shipbuilding Contract, we shall be entitled to withhold and defer payment until the arbitration award is published or in the event of an appeal against such award, judgment is determined. We shall not be obligated to make any payment to you unless the arbitration award orders the BUYER to make payment. If the BUYER fails to honour the award then we shall pay to you to the extent the arbitration award orders but not exceeding the aggregate amount of this guarantee plus the interest described above, without requiring you to take any further enforcement action against the BUYER. Payment shall be made to you upon receipt by us of a further written demand, together with a copy of the final arbitration award or judgment to be sent to us by courier.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Your rights under this Letter of Guarantee may be assigned by you to any commercial bank or providing financing facilities to you with the exception of the right of making demand for payment which shall remain with yourself. In case of any such assignment, you are obliged to send a notice of assignment signed by you and assignee to us via courier., and the assignee shall provide a copy of agreement of assignment to us. The assignment shall not become effective without written acknowledgment from us which shall not be unreasonably withheld or delayed.

(5) Any payment by us under this Guarantee shall be made in the Unites States Dollars by
 telegraphic transfer to [ *&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (bank) ]* as receiving bank nominated by you, for credit to the account of you with [&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *(bank) ]* or through other receiving bank to be nominated by you from time to time, in favour of you or your assignee.

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(6) Any claim or demand shall be in writing signed by one of your officers and may be
 served on us either by hand or by post and if sent by post to ____________________________________ (or such other address as we may notify to you in writing.

(6) This Letter of Guarantee shall come into full force and effect upon delivery to you
 of this Guarantee and shall continue in force and effect until the VESSEL is delivered to and accepted by the BUYER and the BUYER shall have performed all its obligations for taking delivery thereof or until the full payment of the
 installmentshereby guaranteed, together with the aforesaid interest (if any) by the BUYER or us, whichever first occurs.

(7) The maximum amount, however, that we are obliged to pay to you under this Guarantee
 shall not exceed the aggregate amount of U.S. Dollars____________________________________ being an amount equal to the sum of:-

(a) The 2<sup>nd</sup>, 3<sup>rd</sup>, and 4<sup>th</sup> installments guaranteed hereunder in the total amount of United States Dollars[●]Only (US$ [●]); and

&nbsp;&nbsp;&nbsp;&nbsp;(b) Interest at the rate of Four point five percent (4.5%) per annum on the installment
 for a period of sixty (60) days in the amount of United States Dollars __________________ (US$ __________).

(8) All payments by us under this Guarantee shall be made without any set-off or
 counterclaim and without deduction or withholding for or on account of any taxes, duties, or charges whatsoever unless we are compelled by law to deduct or withhold the same. In the latter event we shall make the minimum deduction or
 withholding permitted and will pay such additional amounts as may be necessary in order that the net amount received by you after such deductions or withholdings shall equal the amount which would have been received had no such deduction or
 withholding been required to be made.

(9) This Letter of Guarantee shall be construed in accordance with and governed by the
 Laws of England. We hereby submit to arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the extent necessary to give effect to the provisions of this paragraph. The
 arbitration shall be conducted in accordance with the rules of the London Maritime Arbitrators Association (LMAA) Terms current at the time when the arbitration proceedings are commenced. All arbitration proceedings shall be conducted in
 English. The arbitration tribunal shall

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consist of three arbitrators, one to be appointed by you, one to be appointed by us, and one to be appointed by the first two so appointed.

(10) This Letter of Guarantee shall have expired as aforesaid, you will return the same to us without any request or demand
 from us.

(11) IN WITNESS WHEREOF, we have caused this Letter of Guarantee to be executed and delivered by our
 duly authorized representative the day and year above written.

Very Truly Yours

By:_________________________

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PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAIN PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

**ADDENDUM NO.2**

**TO SHIPBUILDING CONTRACT NO. NTS-BC0120833**

**(HULL NO.0120833)**

**THIS ADDENDUM NO.2** ("**the Addendum**") to shipbuilding contract no. NTS-BC0120833 (Hull No. 0120833) is made on 16<sup>th</sup> November, 2022 **BY AND BETWEEN**:

(1) **MOUNT NOREFJELL INC.** (formerly 'LHOTSE INC.' as changed by a name change letter effective on
 27<sup>th</sup> September 2022) a corporation incorporated in Liberia whose registered office is at 80 Broad Street, Monrovia, Liberia (hereinafter called the "**BUYER** "),

 and

(2) **NEW TIMES SHIPBUILDING CO., LTD.**, a corporation incorporated in the People's Republic of
 China whose registered office is at Dan Hua Gang Port, Jingjiang City, Jiangsu Province, the People's Republic of China 214518 (hereinafter called the "**SELLER**" and/or the "**BUILDER** ").

The BUYER and the SELLER are hereinafter referred to each as a "Party" and collectively the "Parties".

***WHEREAS:***

(1) The BUYER and the SELLER entered into a shipbuilding contract with contract No. NTS-BC0120833 (Hull
 No. 0120833) dated 10 March, 2021 concluded between the SELLER and the BUYER (as confirmed and supplemented pursuant to a memorandum of understanding dated 23 February 2022, and amended and supplemented by an Addendum No.1 dated 31 August 2022,
 hereinafter called the "**Contract**") for the construction of one unit of LNG DUAL FUEL 210,000 DWT Bulk Carrier with Hull No. 0120833 (the "**Vessel** ").

(2) The BUYER has requested and confirmed the installation of an Open Loop Scrubber manufactured by ZEME
 (the "EGCS"). The extra cost of US$2,400,000 arising from the installation of EGCS shall constitute the 6<sup>th</sup> instalment of the Contract Price, therefore, the
 Contract Price of the Vessel shall be increased by an amount of US$2,400,000, i.e. the Contract Price of the Vessel shall be changed to US$70,317,000 (however subject to the set off agreed in the Fee Agreement dated 29 September 2021).

The installation of EGCS shall be completed in accordance with the technical description annexed hereto.

For various considerations, receipt and sufficiency thereof being hereby expressly acknowledged by each of the Parties hereto, the Parties hereto do mutually agree to amend the terms of the Contract on the term and conditions set out below:

(A) Clause 6 of Article I of the Contract shall be deleted and replaced as follows:

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**"6. GUARANTEED DEADWEIGHT**

The SELLER guarantees that the VESSEL is to have a total deadweight tonnage of about 209,650 metric tons at the scantling draft moulded of 18.48 meters in seawater of 1.025 specific gravity (hereinafter called the "Guaranteed Deadweight").

The term, "Deadweight", as used in this Contract, shall be as defined in the Specifications.

The actual deadweight of the VESSEL expressed in metric tons shall be based on calculations made by the BUILDER and checked by the BUYER, and all measurements necessary for such calculations shall be performed in the presence of the BUYER's supervisor(s) or the representative(s) authorized by the BUYER.

Should there be any dispute between the BUILDER and the BUYER in such calculations and/or measurements, the decision of the Classification Society shall be final and binding upon the parties hereto."

(B) Clause 1 of Article II of the Contract shall be deleted and replaced as follows:

**"1. CONTRACT PRICE**

The purchase price of the VESSEL is United States Dollars Seventy Million Three Hundred and Seventeen Thousand Only (US$70,317,000.00), net receivable by the SELLER (hereinafter called the "Contract Price"), which is exclusive of the cost for the BUYER's supplies as provided in Article V hereof, and shall be subject to upward or downward adjustment, if any, as hereinafter set forth in this Contract."

(C) The following new Clause 3(f) shall be inserted into Article II of the Contract:

"**3. TERMS OF PAYMENT**

&nbsp;&nbsp;&nbsp;&nbsp;(f) 6<sup>th</sup>Installment: (Payment upon Delivery of the VESSEL):

The sum of United States Dollars Two Million Four Hundred Thousand (US$2,400,000.00), shall become due and payable and be paid by the BUYER concurrently with the delivery of the VESSEL.

The SELLER shall send to the BUYER an email or a telefax demand for this installment at least five (5) banking days prior to the scheduled date of delivery of the VESSEL."

(D) Clause 4(e) of Article II of the Contract shall continue to apply to the 5<sup>th</sup> Installment. In addition, Clause 4(e) of Article II of the Contract shall apply (*mutatis mutandis*) to the 6<sup>th</sup>Installment as if it were set out in full with references to the 6<sup>th</sup> Installment substituted for references to the
 5<sup>th</sup> Installment.

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It is specially agreed by both Parties that the modification of Main Engine including but not limited to the installation of LDCL shall be carried out by the BUYER after delivery of the Vessel and accordingly the function test of EGCS shall be also carried out by the BUYER after delivery of the Vessel.

The Addendum No.1 to the Contract dated 31 August 2022 shall be deemed null and void, and shall in all respects be replaced by this Addendum.

Save as amended by this Addendum, the Contract shall remain unaltered and in full force and effect. In case of conflict between the provisions of the Contract and this Addendum, the provisions of this Addendum shall prevail.

This Addendum shall become effective upon its duly execution of this Addendum by both Parties.

This Addendum shall be governed by and construed in accordance with English law. The arbitration provisions as set out in Article XIII of the Contract shall be incorporated by reference to this Addendum as if the terms thereof had been set out herein.

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**IN WITNESS WHEREOF** the Parties hereto have caused this Addendum to be signed by their duly authorized attorneys the day and year first above written.

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| | |
|:---|:---|
| For and on behalf of the SELLER: | For and on behalf of the SELLER: |
| MOUNT NOREFJELL INC. | NEW TIMES SHIPBUILDING CO., LTD. |
| [\*\*\*] | [\*\*\*] |
| Name: [\*\*\*] | Name: [\*\*\*] |
| Title: [\*\*\*] | Title: [\*\*\*] |

---

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**Attachment -Technical Description:**

**Technical Requirements for Open loop EGCS--NTS 210,000DWT Bulk Carrier Hull number 0120833~0120844**

**1. Particulars**

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| | |
|:---|:---|
| No of set | One (1) |
| System type | Single inlet ,S.W wet cleaning , Open loop <sup>see note1</sup> |
| Fuel used | FO with max. 3.5% sulphur content<br> Viscosity:Max.380cst@50°C |
| Performace | Treated exhaust gas equivalent to 0.5% m/m sulphur fuel in global and 0.1% m/m sulphur fuel in SECA |
| Design condition | -Inlet sea water temperature : 0-32<sup>o</sup>C<br> - Minimum alkalinity of the inlet sea water :<br> min.2200μmol/l or maker's standard |
| Exhaust gas amount | The exhaust gas amount for design of SOx scrubber shall be based on following at ISO condition: <br> -&nbsp;&nbsp;&nbsp;&nbsp; One (1) main engine at SMCR<br> -&nbsp;&nbsp;&nbsp;&nbsp; No connection with Diesel Generators and Boiler  |
| <br> Note : <br> 1) The open loop shall not be used in ecologically sensitive areas , estuaries , harbors ,area of low alkalinity and area where no discharge is allowed. <br>2) US VGP area compliant is not considered. | <br> Note : <br> 1) The open loop shall not be used in ecologically sensitive areas , estuaries , harbors ,area of low alkalinity and area where no discharge is allowed. <br>2) US VGP area compliant is not considered. |

---

The exhaust gas cleaning system shall be designed in accordance with the selected maker's standard and IMO Res. MEPC. 340(77).

The proposed open loop type SOx scrubber shall be operated follows :

<u>Open loop mode</u>

- &nbsp;&nbsp;&nbsp;&nbsp; S.W supply from sea chest to SOx scrubber and directly discharge overboard after cleaning

**2.** **Accessories and fittings**

The following accessories and fittings to be provided for the EGCS.

1)&nbsp;&nbsp;&nbsp;&nbsp; One (1) scrubber tower with connection to main engine

2)&nbsp;&nbsp;&nbsp;&nbsp; Two (2) scrubbing S.W pumps according to maker's standard.

3)&nbsp;&nbsp;&nbsp;&nbsp; One (1) continuous emission monitoring unit for SO<sub>2</sub>/CO<sub>2</sub>

1/2

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4)&nbsp;&nbsp;&nbsp;&nbsp; Two (2) water monitoring devices, one is for scrubber water inlet and the other is for discharging water

5)&nbsp;&nbsp;&nbsp;&nbsp; Two (2) sealing air fans

6)&nbsp;&nbsp;&nbsp;&nbsp; One remote control panel in ECR

7)&nbsp;&nbsp;&nbsp;&nbsp; Others as per manufacturer's standard.

**3.&nbsp;&nbsp;&nbsp;&nbsp; PTO and Diesel Generator Capacity** 

The following design condition shall be applied.

1)&nbsp;&nbsp;&nbsp;&nbsp; PTO capacity

PTO power capacity: keep as original.

**Clarification:** ship elec.load with open loop EGCS will be increased , the PTO load will be less than 90% , the requirement of the Specification **MEMO 391**(load abt.85%) will not be considered.

2)&nbsp;&nbsp;&nbsp;&nbsp; Diesel Generator capacity

Diesel Generator power capacity: keep as original.

**Clarification:** ship elec.load with open loop EGCS will be increased , the DG load will be less than 90% , the requirement of the Specification **MEMO 398**(load abt.87%) will not be considered.

3)&nbsp;&nbsp;&nbsp;&nbsp; S.W Cross pipe size

Keep existing main cross pipe normal diameter 1000mm.

**Clarification:** The maximum velocity of flow is about 3.3m/s for main cross pipe when considering two ballasting pumps running at normal sea going.

4) Keep the M/E auxiliary system to remain unchanged (such as Jacket cooling water pump capacity etc.)

**4.** **SFOC / Dead weight** 

SFOC/ SGC *I POC* of Main engine to be adjusted as per contract changes.

Dead weight to be deducted 150 metric tons.

[\*\*\*] [\*\*\*]

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## Exhibit 10.3

**Exhibit 10.3**

![](ny20006357x6_ex10-3img001.jpg)

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![](ny20006357x6_ex10-3img009a.jpg)

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**<u>Execution version</u>**

**MOUNT NOREFJELL INC.**

(AS SELLERS)

**GREAT LHOTSE LIMITED**

(AS BUYERS)

MEMORANDUM OF AGREEMENT

IN RESPECT OF

ONE (1) BULK CARRIER

WITH BUILDER'S HULL NUMBER 0120833

![](ny20006357x6_ex10-3img010.jpg)

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**TABLE OF CONTENTS**

**1.** **DEFINITIONS AND INTERPRETATIONS** **4** 

**2.** **SALE AND PURCHASE** **10** 

**3.** **PURCHASE PRICE** **11** 

**4.** **CURRENCY OF PAYMENT** **11** 

**5.** **PAYMENT NOTICE** **11** 

**6.** **DIRECT PAYMENTS AND DEFERRED PAYMENTS** **12** 

**7.** **PRE-POSITION OF DELIVERY INSTALMENT** **12** 

**8.** **CONDITIONS PRECEDENT AND SUBSEQUENT** **13** 

**9.** **CANCELLATION AND REFUND** **16** 

**10.** **REBATE** **16** 

**11.** **REBATE PERIODS** **17** 

**12.** **FEES** **17** 

**13.** **SELLERS' UNDERTAKINGS** **18** 

**14.** **MOA TERMINATION EVENTS** **19** 

**15.** **BUYERS' POWERS FOLLOWING** **19** 

**16.** **CHANGES TO PARTIES** **20** 

**17.** **CUMULATIVE RIGHTS** **20** 

**18.** **NO WAIVER** **21** 

**19.** **ENTIRE AGREEMENT AND AMENDMENTS** **21** 

**20.** **INVALIDITY** **21** 

**21.** **ENGLISH LANGUAGE** **21** 

**22.** **NO PARTNERSHIP** **21** 

**23.** **NOTICES** **21** 

**24.** **COUNTERPARTS** **22** 

**25.** **THIRD PARTIES ACT** **23** 

**26.** **SPARES, BUNKERS AND OTHER ITEMS** **23** 

**27.** **ENCUMBRANCES** **23** 

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**28.** **TAXES, COSTS AND EXPENSES** **23** 

**29.** **DELIVERY UNDER CHARTER** **23** 

**30.** **INDEMNITIES** **24** 

**31.** **CALCULATIONS AND CERTIFICATES** **24** 

**32.** **LAW AND ARBITRATION** **25** 

---

| | |
|:---|:---|
| **SCHEDULE 1 CONDITIONS PRECEDENT AND SUBSEQUENT** | **26** |

---

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| | |
|:---|:---|
| **SCHEDULE 2 FORM OF PAYMENT NOTICE** | **34** |

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(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**THIS AGREEMENT** dated 25 February 2022 (the "**Original MOA Date**") as amended and restated pursuant to the amendment and restatement agreement dated 22 February 2023 and made between the Owners, the Charterers and the other parties thereto (the "**Amendment and Restatement Agreement**")

**BETWEEN:**

(1) **MOUNT NOREFJELL INC.** (formerly known as **LHOTSE INC.**), a company incorporated under the laws of The Republic of Liberia whose registered address is 80, Broad Street, Monrovia, Liberia (the "**Sellers** ");

 and

(2) **GREAT LHOTSE LIMITED**, a company incorporated under the laws of the Republic of the Marshall
 Islands whose registered address is Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960 (the "**Buyers** ").

**BACKGROUND:**

(A) Pursuant to a building contract dated 10 March 2021, as confirmed, amended and supplemented pursuant to a memorandum of understanding dated 23 February 2022 and addendum no. 2 dated 16 November 2022 ()"**Building Contract Addendum No. 2**") (as may be further amended, supplemented, novated or replaced from time to time, the "**Building Contract** "), on the terms and subject to the conditions of which the Builder has agreed to design, engineer,
 build, launch, equip, complete, deliver and sell, and the Sellers have agreed to purchase, one (1) new 210,000 DWT bulk carrier as further described in the Building Contract and bearing the Builder's hull number 0120833, along with all her
 appurtenances, associated equipment, materials, stores, spare parts and documentation (including, without limitation, the Scrubber) (the "**Vessel** "), upon the terms and conditions therein.

(B) The Sellers have agreed to sell the Vessel to the Buyers upon the terms and conditions set forth in this Agreement.

(C) The Buyers have agreed to (a) take delivery of the Vessel from the Sellers immediately upon the delivery of the Vessel by the Builder under the Building Contract to the Sellers and (b) pay the Purchase Price (as
 defined below) in instalments upon the terms and conditions set forth in this Agreement.

(D) The Buyers (as owners) have agreed to let the Vessel to the Sellers (as bareboat charterers) and the Sellers have agreed to hire the Vessel from the Buyers immediately upon the acceptance of the Vessel by the Buyers
 from the Sellers under this Agreement, pursuant to the terms and conditions set forth in a bareboat charter agreement dated 25 February 2022 and entered into between the Buyers (as owners) and the Sellers (as bareboat charterers), as amended,
 supplemented and restated pursuant to the Amendment and Restatement Agreement (as may be further amended, supplemented, novated or replaced from time to time) (the "**Charter** ").

**IT IS AGREED as follows:**

**1.** **Definitions and interpretations** 

**1.1** **Definitions** 

Words and expressions having defined meanings in the Charter shall, except where otherwise defined herein, have the same meanings when used in this Agreement, and in this Agreement:

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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"**Actual Delivery Date**" has the meaning given to such term in Clause 2.2(b) (*Delivery*).

"**Bill of Sale**" means the bill of sale in respect of the Vessel to be executed by the Sellers (in a form acceptable to the Buyers and the Flag State, transferring title of the Vessel to the Buyers and stating that the Vessel is free from all Security Interests or any other debts whatsoever).

"**Builder**" means New Times Shipbuilding Co., Ltd., a corporation organized and existing under the laws of the People's Republic of China having its registered office at Dan Hua Gang Port, Jingjiang City, Jiangsu Province, the People's Republic of China 214518.

"**Builder Banking Day**" means a day on which commercial banks are open for business in Jiangsu Province, the People's Republic of China, London, New York and Oslo.

"**Builder's Account**" means the bank account (account number 478058226787) in the name of the Builder opened with the Builder's Bank, or such other bank account acceptable to the Buyers and the Sellers.

"**Builder's Bank**" means Bank of China Limited, Jingjiang Sub-Branch or such other first-class bank acceptable to the Buyers and the Sellers.

"**Builder's PDA**" means the protocol of delivery and acceptance in respect of the Vessel to be executed by the Builder and the Sellers (evidencing the unconditional physical delivery of the Vessel by the Builder to the Sellers pursuant to the Building Contract).

"**Cancellation Date**" means the date specified in the Cancellation Notice.

"**Cancellation Notice**" has the meaning given to such term in Clause 9 (*Cancellation and refund*).

"**Charterers**" means the Sellers in their capacities as bareboat charterers under the Charter.

"**Commitment Fee**" means the Commitment Fee (Vessel), the Commitment Fee (Scrubber) or the combination of them.

"**Commitment Fee (Vessel)**" means the commitment fee payable and calculated in accordance with Clause 12(a)(i).

"**Commitment Fee (Scrubber)**" means the commitment fee payable and calculated in accordance with Clause 12(a)(ii).

"**Contractual Delivery Date**" means 8 April 2023, being the date referred to in paragraph 1 (*Time and Place*) of article VII (*Delivery*) of the Building Contract as of the Original MOA Date.

"**Contractual Purchase Price**" means the price in respect of the Vessel as stipulated in paragraph 1 (*Contract Price*) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract which, as at the Effective Date, is seventy million three hundred and seventeen thousand US Dollars (US$70,317,000), as the same may be subject to adjustment in accordance with the terms of the Building Contract.

"**Deferred Payment**" means, in respect of an Instalment and to the extent applicable, the payment of such Instalment by the Buyers to the Sellers (or the Sellers' Account, as applicable) for the purpose of reimbursing the Sellers after the Sellers have (whether utilising their own funds or from whatever source of funds they may select) settled the corresponding instalment of the Contractual Purchase Price under the Building Contract directly with the Builder.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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"**Delivery Instalment**" means the combination of the Fifth Instalment and the Sixth Instalment.

"**Delivery Location**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Builder's shipyard; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) such other location as the Sellers and the Buyers may mutually agree prior to the Actual Delivery Date following consultation with the Builder and which is in a jurisdiction without any interference to the operation
 of the Vessel and which would not give rise to the payment of any Tax in respect of the transfer of the Vessel's title.

"**Direct Payment**" means, in respect of an Instalment and to the extent applicable, the payment of such Instalment by the Buyers at the request of the Sellers towards direct settlement with the Builder of the corresponding instalment of the Contractual Purchase Price under the Building Contract.

"**Flag State**" means The Republic of Liberia or such other flag state as may be nominated by the Sellers and acceptable to the Buyers, acting reasonably.

"**Fifth Instalment**" means an amount:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) which is payable by the Buyers under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) which relates to (and shall be no more than) the fifth instalment of the Contractual Purchase Price (as the same may be subject to adjustment in accordance with the terms of the
 Building Contract, including, without limitation, any adjustment as a result of the maker's list, plan approval and fuel tanks agreed with the Builder in relation to the Building Contract or the Vessel) which the Sellers (as buyer) are obliged to
 pay to the Builder pursuant to paragraph 3(e) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) which shall (when aggregating with the Pre-Delivery Instalments and the Sixth Instalment) not exceed the lower of (i) sixty-four million five hundred thousand US Dollars (US$64,500,000) and (ii) ninety per cent.
 (90%) of the Contractual Purchase Price.

"**Fourth Instalment**" means an amount which:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is payable by the Buyers under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) relates to (and shall be no more than) the fourth instalment of the Contractual Purchase Price which the Sellers (as buyer) are obliged to pay to the Builder pursuant to paragraph 3(d) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) is no more than six million seven hundred and ninety-one thousand seven hundred US Dollars (US$6,791,700).

"**Hull Instalment**" means any of the Third Instalment, the Fourth Instalment and Fifth Instalment.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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"**Instalment**" means each of the Pre-Delivery Instalments and the Delivery Instalment, and "**Instalments**" means any two (2) or more of them.

"**Long Stop Date**" means the earlier of (i) the Actual Delivery Date and (ii) 31 December 2023.

"**MOA Termination Event**" means each of the events specified in paragraph (a) of Clause 14 (*MOA Termination Events*).

"**Owners**" means the Buyers in their capacities as owners under the Charter.

"**Payment Date**" means, in respect of each Instalment, the date specified as such in the relevant Payment Notice or, if different, on which such Instalment is actually paid by the Buyers.

"**Payment Notice**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in relation to each Pre-Delivery Instalment, an irrevocable notice of the relevant amount payable by the Buyers under this Agreement to be issued by the Sellers to the Buyers at such time as the Sellers may notify
 the Buyers (but in any event no later than three (3) Builder Banking Days before the proposed payment date and no later than the Long Stop Date);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in relation to the Delivery Instalment, the irrevocable notice of the amount payable by the Buyers under this Agreement to be issued by the Sellers to the Buyers:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) for the purpose of effecting the relevant Direct Payment, at least three (3) Business Days prior to the anticipated payment date or the Pre-positioning Date (as applicable); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) for the purpose of effecting the relevant Deferred Payment, at such time as the Sellers may notify the Buyers (but in any event no later than three (3) Business Days before the proposed payment date and no later than
 the Long Stop Date),

in each case such Payment Notice shall be in substantially the form set out in Schedule 2 (*Form of Payment Notice*) hereto (or such other form as the Buyers and the Sellers may agree).

"**Potential MOA Termination Event**" means, an event or circumstance which would, with the giving of any notice, the lapse of time, a determination of the Buyers or any combination of the foregoing, be an MOA Termination Event.

"**Pre-Delivery Assignment**" means the deed of assignment dated 25 February 2022 and executed by the Sellers (as assignor) in favour of the Security Trustee (as assignee) in relation to the Sellers' rights, title and interests in and to, and all benefits accruing to it under or pursuant to the Building Contract and the Refund Guarantee.

"**Pre-Delivery Instalment**" means either of the Third Instalment and the Fourth Instalment, and "**Pre-Delivery Instalments**" means both of them.

"**Pre-Delivery Period**" means the period commencing from the Original MOA Date up to the Actual Delivery Date and acceptance of the Vessel by the Buyers.

"**Pre-positioning Date**" means, in relation the Delivery Instalment and the relevant Payment Notice, the date specified in such Payment Notice as the date on which the Buyers shall pre-position the relevant amounts into the Builder's Bank, which shall not be earlier than six (6) Builder Banking Days prior to the Scheduled Delivery Date.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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"**Purchase Price**" means the amount which is the aggregate of the following amounts which the Buyers shall pay or be deemed to have paid in accordance with this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Third Instalment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Fourth Instalment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Fifth Instalment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Sixth Instalment.

"**Rebate**" means each amount payable by the Sellers in accordance with Clause 10 (*Rebate*).

"**Rebate Payment Date**" has the meaning given to such term in Clause 10.2 (*Payment of Rebate*).

"**Rebate Period**" means each period determined in accordance with Clause 11 (*Rebate Periods*) and, in relation to an Unpaid Sum, each period determined in accordance with Clause 10.3 (*Default interest*).

"**Refund Guarantee**" means the refund guarantee numbered GC0713921001000, dated 23 April 2021 and issued by the Refund Guarantor in favour of the Sellers in relation to the Building Contract, the rights and interests pursuant to which will be or has been assigned in favour of the Buyers in accordance with the Pre-Delivery Assignment.

"**Refund Guarantor**" means Bank of China Limited, Jiangsu Branch.

"**Repeating Representations**" means the representations and warranties referred to in clause 48(b) of the Charter.

"**Scheduled Delivery Date**" means the date on which the Builder is ready to deliver and the Sellers are ready to accept delivery of the Vessel in accordance with the terms of the Building Contract, and in any event not later than the Long Stop Date, which the Sellers shall notify to the Buyers in the Payment Notice in respect of the Delivery Instalment.

"**Scrubber**" means the open loop scrubber installed into the Vessel by the Builder, which for the avoidance of any doubt, will be paid for by the Buyers with the Sixth Instalment of the Purchas Price. <br>

"**Sellers' Account**" means the US Dollar account in the name of the Sellers opened with their account bank.

"**Sellers' PDA**" means the protocol of delivery and acceptance in respect of the Vessel to be executed by the Sellers and the Buyers pursuant to this Agreement.

"**Sixth Instalment**" means an amount:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) which is payable by the Buyers under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) which relates to (and shall be no more than) the sixth instalment of the Contractual Purchase Price which the Sellers (as buyer) are obliged to pay to the Builder pursuant to paragraph 3(f) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract ;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) which is no more than two million one hundred and sixty thousand US Dollars (US$2,160,000); and <br>

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) which shall (when aggregating with the Pre-Delivery Instalments and the Fifth Instalment) not exceed the lower of (i) sixty-four million five hundred thousand US
 Dollars (US$64,500,000) and (ii) ninety per cent. (90%) of the Contractual Purchase Price. <br>

"**Supervisor**" means SeaQuest Marine S.A. or its Affiliate.

"**Third Instalment**" means an amount which:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is payable by the Buyers under this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) relates to (and shall be no more than) the third instalment of the Contractual Purchase Price which the Sellers (as buyer) are obliged to pay to the Builder pursuant to paragraph 3(c) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) is no more than six million seven hundred and ninety-one thousand seven hundred US Dollars (US$6,791,700).

"**Unpaid Sum**" means any sum due and payable but unpaid by the Sellers under this Agreement.

**1.2** **Interpretations** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In this Agreement, unless the context otherwise requires, any reference to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to this Agreement include the Schedules hereto and references to Clauses and Schedules are, unless otherwise specified, references to Clauses of and Schedules to this Agreement and, in the case of a Schedule, to such
 Schedule as incorporated in this Agreement as substituted from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any statutory or other legislative provision shall be construed as including any statutory or legislative modification or re-enactment thereof, or any substitution therefor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the term "**Vessel**" includes any part of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the "**Buyers** ", the "**Sellers** ", any "**Obligor**" or any other person include any of their respective successors, permitted assignees and permitted transferees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any agreement, instrument or document include such agreement, instrument or document as the same may from time to time be amended, modified, supplemented, novated or substituted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) "**control**" over a particular company means 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;(A) cast, or control the cast of, more than fifty per cent. (50%), of the maximum number of votes that might be cast at a general meeting of such company;

&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) appoint or remove all, or the majority of the directors or other equivalent officers of such company; 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;(A) give directions with respect to the operating and financial policies of such company with which the directors or other equivalent officers of such company are obliged to comply;

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) "**hereof** ", "**herein**" and "**hereunder**" and other words of similar import means this Agreement as a whole (including the Schedules) and not any particular part hereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "**law**" includes common or customary law and any constitution, decree, judgment, legislation, order, ordinance, regulation, rule, statute, treaty or other legislative measure in any jurisdiction or any present
 or future directive, regulation, request or requirement, or official or judicial interpretation of any of the foregoing, in each case having the force of law and, if not having the force of law, in respect of which compliance is generally
 customary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) "**month**" means, save as otherwise provided, a period starting on one day in a calendar month and ending on the numerically corresponding day in the next calendar month, except that 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 day in that calendar month;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) the word "**person**" or "**persons**" or to words importing persons include, without limitation, any state, divisions of a state, government, individuals, partnerships, corporations, ventures, government
 agencies, committees, departments, authorities and other bodies, corporate or unincorporated, whether having distinct legal personality or not;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) a Potential MOA Termination Event or an MOA Termination Event which is "**continuing**" is a reference to a Potential MOA Termination Event or an MOA Termination Event which is not remedied or waived; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) words denoting the plural number include the singular and vice versa.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Headings are for the purpose of reference only, have no legal or other significance, and shall be ignored in the interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A time of day (unless otherwise specified) is a reference to Beijing time.

**2.** **Sale and purchase** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.1** **Agreement for sale and purchase** 

The Sellers hereby irrevocably agree to sell and the Buyers hereby irrevocably agree to purchase the Vessel on the terms and conditions hereinafter set forth.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.2** **Delivery** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) At the time of delivery of the Vessel by the Sellers to the Buyers, the Vessel shall be located at the Delivery Location.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Vessel shall be delivered by the Sellers, with full title guarantee, to the Buyers on the Scheduled Delivery Date, (or such later date which is notified by the Sellers to the Buyers no less than 3 days in advance
 (in each case the "**Actual Delivery Date** ")), free and clear of all Security Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) On the Actual Delivery Date, the following events are to occur in the following order and one immediately after another:

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) delivery of the Vessel by the Builder to the Sellers pursuant to the Building Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) delivery of the Vessel by the Sellers to the Buyers pursuant to this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) delivery of the Vessel by the Buyers (as owners under the Charter) to the Sellers (as bareboat charterers under the Charter) pursuant to the Charter (such date being, for the avoidance of doubt, the "Actual Delivery
 Date" as defined under the Charter).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) On the Actual Delivery Date, the Sellers shall deliver to the Buyers an executed Bill of Sale and other documents set out in paragraph (g) below, whereupon all of the title to, interest in and all ownership rights
 with respect to the Vessel shall pass from the Sellers to the Buyers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Buyers shall accept the Vessel on an "as is where is" basis in exactly the same form, state and condition as the Vessel is delivered by the Builder to the Sellers pursuant to the Building Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Upon delivery of the Vessel, the Sellers and the Buyers shall execute the Sellers' PDA, whereupon the Sellers shall be deemed to have given, and the Buyers shall be deemed to have received and accepted, possession of
 the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Upon delivery of the Vessel, the Sellers shall provide the Buyers with all the documents and other evidence listed in Part IV (*Delivery Date conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto.

**3.** **Purchase Price** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The purchase price of the Vessel payable by the Buyers to the Sellers under this Agreement shall be an amount equal to the Purchase Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the avoidance of doubt, the purchase price referred to in paragraph (a) above shall cover the purchase of the Vessel and, to the extent owned by the Sellers, everything then belonging to her on board.

**4.** **Currency of payment** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to the remaining provisions of this Clause 4, USD is the currency of account and payment for any sum due from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Buyers to the Sellers under this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) an Obligor to the Buyers under any Transaction Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each payment in respect of costs, expenses or Taxes shall be made in the currency in which the costs, expenses or Taxes are incurred.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any amount expressed to be payable in a currency other than USD shall be paid in that currency.

**5.** **Payment Notice** 

**5.1** **Delivery of a Payment Notice** 

The Sellers may request the Buyers to make a payment in respect of an Instalment by delivery to the Buyers of a duly completed Payment Notice not fewer than the number of days required in respect of such Instalment or any other period as may be agreed by the Sellers and the Buyers.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**5.2** **Completion of a Payment Notice** 

Each Payment Notice is irrevocable and will not be regarded as having been duly completed or valid unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) it is delivered by the Sellers and received by the Buyers before the Long Stop Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) it clearly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) identifies (A) the Instalment(s) to which such Payment Notice relates, and (B) the proposed date of payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) sets out the precise amount of the Instalment(s) to which such Payment Notice relates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) it is signed by an authorised signatory of the Sellers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the currency of the proposed Instalment(s) to be paid is US Dollars;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the proposed date of payment is a Business Day and is no later than the relevant Long Stop Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) for any Direct Payment in relation to a Pre-Delivery Instalment, the Builder's Account is designated to receive such Direct Payment.

**6.** **Direct Payments and Deferred Payments** 

**6.1** **Sellers' election to pay Builder directly** 

Notwithstanding any other provision of this Agreement, the Sellers may elect to settle any instalment of the Contractual Purchase Price that has not been paid as at the Original MOA Date (whether utilising their own funds or from whatever source of funds they may select) directly with the Builder by making the relevant payment to the Builder in accordance with the Building Contract.

**6.2** **Deemed satisfaction of Buyers' Instalment payment obligations** 

The obligation of the Buyers to pay the relevant Instalment under this Agreement shall be deemed to have been satisfied to the extent of (and in each case as applicable):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Buyers' settling of the corresponding amount by way of a Deferred Payment; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Buyers' (acting on the instructions of the Sellers) direct deposit of the corresponding amount to the Builder's Bank by way of a Direct Payment.

**7.** **Pre-position of Delivery Instalment** 

**7.1** **Pre-position** 

Subject always to the conditions in this Clause 7 and the other terms of this Agreement, the Sellers may request the Buyers to pre-position the Delivery Instalment to the Builder's Bank in accordance with the relevant Payment Notice.

**7.2** **Conditions to pre-position** 

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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The Buyers will only be obliged to pre-position the Delivery Instalment in accordance with Clause 7.1 (*Pre-position*) if, on or before the Pre-positioning Date, the Buyers have received:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in relation to the Delivery Instalment, the additional documents and other evidence listed in Part III (*Pre-position conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) (or
 evidence satisfactory to the Buyers that they shall, on the Pre-positioning Date, receive such documents or evidence);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) evidence (in such form and subject to such terms and conditions as the Buyers may specify) in writing (electronically or otherwise) on or before the proposed Pre-positioning Date that such amounts will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) be held by the Builder's Bank in suspense to the order of the Buyers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) only be released to the Builder upon presentation to the Builder's Bank of a copy (transmitted by fax, email or otherwise) of the duly executed, dated and timed Builder's PDA, which 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;(A) signed by a duly authorised officer, signatory, attorney-in-fact or other representative of the Builder and the Sellers (as original buyers under the Building Contract), whose details shall be communicated to the
 Builder's Bank in writing (electronically by SWIFT message or otherwise) on or before the proposed Pre-positioning 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;(B) countersigned by a duly authorised officer, signatory, attorney-in-fact or other representative of (1) the Buyers and, (2) if requested by a Finance Party and acceptable to the Builder, such Finance Party, whose
 details shall (in each case as applicable) be communicated to the Builder's Bank in writing (electronically or otherwise) on or before the proposed Pre-positioning Date.

**7.3** **Deemed payment of Delivery Instalment** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) A transfer of funds by the Buyers to the Builder's Bank in accordance with Clauses 7.1 (*Pre-position*) and 7.2 (*Conditions to pre-position*) above shall constitute payment of the Delivery Instalment for
 the purposes of this Agreement and shall, as from the date of such transfer, constitute a valid and binding obligation upon the Sellers in respect of the refund of the Delivery Instalment and any other amount payable in relation thereto, each in
 accordance with and in the manner contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any repayment by the Builder's Bank to the Buyers or their bank of any part of the Delivery Instalment shall constitute (in each case as applicable), to the extent of such repayment, a refund of such part of the
 Delivery Instalment by the Sellers.

**8.** **Conditions precedent and subsequent** 

**8.1** **Initial conditions precedent** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Sellers may not deliver the first Payment Notice unless the Buyers have received all the documents and other evidence listed in Part I (*Initial conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Buyers shall only be obliged to make a payment in respect of the Payment Notice referred to in paragraph (a) above if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no Potential MOA Termination Event or MOA Termination Event has occurred and is continuing or would result from such payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Repeating Representations are true in all material respects as if made on the date of the relevant Payment Notice and the actual date of payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Buyers shall, no later than 5 Business Days after the Original MOA Date, provide the Sellers with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) evidence that all necessary corporate, shareholder and other action has been taken by the Buyers to authorise the execution, delivery and performance of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if applicable, power of attorney of the Buyers appointing one or more representatives to act on behalf of the Buyers in the performance of this Agreement, duly notarially attested and legalised or apostilled (as
 applicable).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Buyers shall, on or before the Scheduled Delivery Date, provide the Sellers with any documents as may be required by the Flag State for the purpose of registering the title of the Vessel in the name of the
 Buyers.

**8.2** **Instalment conditions precedent** 

The Buyers will only be obliged to make a payment in respect of a Pre-Delivery Instalment if:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) on or before the Sellers' delivery of the relevant Payment Notice, the Buyers have received all the documents and other evidence listed in Part II (*Instalment conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers (or evidence satisfactory to the Buyers that they shall, on the date of such payment, receive such documents or evidence);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) no Potential MOA Termination Event or MOA Termination Event has occurred and is continuing or would result from the payment of that Instalment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Repeating Representations are true in all material respects as if made on the date of the relevant Payment Notice and the actual date of payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) no event of default (however described) has occurred under the Building Contract or the Refund Guarantee entitling the non-defaulting party to terminate the Building Contract or the Refund Guarantee.

**8.3** **Further conditions precedent to a Deferred Payment** 

The Buyers will only be obliged to make a payment in respect of an Instalment for the purpose of effecting a Deferred Payment if the Buyers have received evidence of full payment to the Builder's Account of the corresponding instalment of the Contractual Purchase Price under the Building Contract, in form and substance satisfactory to the Buyers.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**8.4** **Delivery Instalment conditions precedent** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Buyers will only be obliged to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) make a payment in respect of the Delivery Instalment and accept the Vessel under this Agreement on the Actual Delivery Date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (if the Sellers elect for the Delivery Instalment to be pre-positioned under Clause 7 (*Pre-position of Delivery Instalment)*) countersign the Builder's PDA, agree to the release of the pre-positioned Delivery
 Instalment and accept the Vessel under this Agreement on the Actual Delivery Date;

if, in each applicable case:

&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 the Actual Delivery Date, the Buyers have 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;&nbsp;&nbsp;&nbsp;&nbsp;(1) all the documents and other evidence listed in Part III (*Pre-position conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers
 (to the extent that such documents and other evidence have not already been provided to the Buyers prior to the Actual Delivery 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;(2) all the documents and other evidence listed in Part IV (*Delivery Date conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers;
 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;(B) no Potential MOA Termination Event or MOA Termination Event has occurred and is continuing or would result from the payment or (as applicable) release of the Delivery Instalment; 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;(C) the Repeating Representations are true in all material respects as if made on the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For the avoidance of doubt, the Sellers must, on the Actual Delivery Date, deliver to the Buyers all the documents and other evidence listed in Part III (*Pre-position conditions precedent*) and Part IV (*Delivery Date conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers.

**8.5** **Conditions subsequent** 

The Sellers undertake to deliver or caused to be delivered to the Buyers the documents and evidence listed in Part V (*Conditions subsequent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto within the relevant time periods stipulated therein.

**8.6** **No waiver** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The conditions set out in this Clause 8 are for the sole benefit of the Buyers and may be waived or deferred by the Buyers in whole or in part and with or without conditions. The foregoing is without prejudice to the
 Buyers' rights to require fulfilment of any such conditions by the Sellers in whole or in part at any time after the date of payment or release of the Purchase Price.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Buyers in their sole discretion agree to advance all or any part of the Purchase Price to the Sellers before all of the documents and evidence required by this Clause 8 have been delivered to the Buyers, the
 Sellers undertake to deliver all outstanding documents and evidence to the Buyers no later than the date specified by the Buyers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any of the original documents required under Part IV (*Delivery Date conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) cannot be delivered to the Buyers on or prior to the
 Actual Delivery Date, the Buyers will rely on a scanned copy of such document to proceed with the delivery of the Vessel as long as such original document is promptly couriered to the Buyers by the Sellers on or after the Actual Delivery Date and
 evidence of such courier is provided to the Buyers by the Sellers.

**8.7** **Form and content** 

All documents and evidence delivered to the Buyers under this Clause 8 shall be in form and substance acceptable to the Buyers.

**9.** **Cancellation and refund** 

If an MOA Termination Event occurs, the Buyers may by notice in writing to the Sellers (such notice being the "**Cancellation Notice**") cancel this Agreement, whereupon the Buyers' purchase of the Vessel under this Agreement shall be cancelled on the applicable Cancellation Date, and the Buyers shall be relieved from any further obligation to pay any part of the Purchase Price (or any other amount) under this Agreement from the Cancellation Date, and the Sellers shall upon demand:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) refund to the Buyers the full amount of all the Instalments which the Buyers have already paid up to and including the Cancellation Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) pay the Buyers all accrued but unpaid Rebate, Commitment Fees and documented legal costs, and other reasonably incurred and documented out-of-pocket expenses and liabilities of the Buyers suffered or incurred by the
 Buyers in connection with the transactions contemplated by this Agreement and the other Transaction Documents,

in each case together with Break Costs (if any) if the relevant payment made by the Sellers under this Clause 9 (*Cancellation and refund*) does not fall on a Rebate Payment Date and Swap Losses (if any) directly attributable to the payments being made under this Clause 9 (*Cancellation and refund*).

**10.** **Rebate** 

**10.1** **Calculation of Rebate** 

The rate of Rebate to accrue and be payable over each Instalment for each Rebate Period is five per cent. (5%) per annum.

**10.2** **Payment of Rebate** 

The Sellers shall pay to the Buyers accrued Rebate over each Instalment on the first day of each Rebate Period (each a "**Rebate Payment Date**").

**10.3** **Default interest** 

If the Sellers fail to pay any amount payable by them under this Agreement on its due date, interest shall accrue on the Unpaid Sum from the due date to the date of actual payment (both before and after judgment) at a rate of ten per cent. (10%) per annum. Any interest accruing under this Clause 10.3 shall be immediately payable by the Sellers on demand by the Buyers. Default interest (if unpaid) arising on an Unpaid Sum will be compounded with the Unpaid Sum at the end of each period selected by the Buyers but will remain immediately due and payable.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**11.** **Rebate Periods** 

**11.1** **Duration of Rebate Periods** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to the other provisions of this Agreement, each Rebate Period for each Instalment shall have a duration of three (3) months.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No Rebate Period shall extend beyond the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Rebate Period for each Instalment shall start on the Payment Date in respect of that Instalment or (if that Instalment is already paid) on the last day of the preceding Rebate Period and end on the date which
 numerically corresponds to the Payment Date in respect of that Instalment or the last day of the preceding Rebate Period in the relevant calendar month (as the case may be), except that, if there is no numerically corresponding date in that
 calendar month, the Rebate Period shall end on the last Business Day in that month.

**11.2** **Non-Business Days** 

If any payment or transfer of funds to be made under the MOA shall be due on a day which is not a Business Day, that payment shall be made on the immediately preceding Business Day.

**11.3** **Subsequent Instalments** 

If any subsequent Instalment is made otherwise than on the first day of a Rebate Period in respect of the first Instalment, there shall be a separate initial Rebate Period for that subsequent Instalment commencing on the Payment Date of that subsequent Instalment and expiring on the final date of the then current Rebate Period in respect of the first Instalment.

**12.** **Fees** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Sellers shall pay to the Buyers:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a commitment fee computed and accruing on a daily basis, at the rate of zero point five per cent. (0.5%) per annum on the Assumed Financing Amount (Vessel) (as reduced by the payment of any Hull Instalment) on each
 day during the period commencing from Original MOA Date up to and including the Relevant Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a commitment fee computed and accruing on a daily basis, at the rate of zero point five per cent. (0.5%) per annum on the amount of two million one hundred and sixty thousand US Dollars (US$2,160,000) on each day
 during the period commencing from the Effective Date up to and including the Relevant Date.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The accrued Commitment Fee (Vessel) is payable on the last day of each successive period of three months from the Original MOA Date and on the Relevant Date and the accrued Commitment Fee (Scrubber) is payable on the
 last day of each successive period of three months from the Effective Date and on the Relevant Date. The accrued Commitment Fee shall be made to the Buyers' designated account as may be notified by the Buyers to the Sellers in writing from time
 to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For the purpose of this Clause 12, "**Relevant Date**" means the Long Stop Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Sellers agree that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Commitment Fee shall be non-refundable and made in full without any deduction, set-off or counterclaim and in immediately available cleared funds on the due date for payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Sellers are liable for the payment of the Commitment Fee which shall be payable without deduction or withholding of any nature, or if such deduction or withholding are required by law, the
 amount of the Commitment Fee shall be increased by the amount necessary to ensure that the Buyers receive and retain a net amount which, after the tax deduction or withholding, is equal to the full amount they would otherwise have received.

**13.** **Sellers' undertakings** 

In addition to the undertakings made by the Sellers (as charterers) under the Charter, the Sellers hereby undertake to the Buyers that they will comply in full and procure compliance (where applicable) with the following undertakings throughout the Pre-Delivery Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Notification of MOA Termination Event*** The Sellers shall promptly, upon becoming aware of the same, inform the Buyers in writing of the occurrence of any MOA Termination Event (and
 the steps, if any, being taken to remedy this) and, upon receipt of a written request to that effect from the Buyers, confirm to the Buyers that, save as previously notified to the Buyers or as notified in such confirmation, no MOA Termination
 Event is continuing or if an MOA Termination Event is continuing specifying the steps, if any, being taken to remedy it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Pre-delivery and delivery costs and expenses*** Prior to the Actual Delivery Date, the Sellers shall at their own costs and expenses pay to the Builder the difference between the total
 amount due and payable by the Sellers under the Building Contract and the Purchase Price and shall pay for all other pre-delivery and delivery costs in relation to the Vessel including but not limited to any supervision cost to be paid under any
 supervision agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Refund of pre-positioned amount*** If the Buyers have made a transfer of funds to the Builder's Bank in accordance with Clauses 7.1 (*Pre-position*) and 7.2 (*Conditions to pre-position*) but delivery of the Vessel does not occur on the Actual Delivery Date, then the Sellers shall procure the refund of the Delivery Instalment and any other amount so transferred by the Buyers in accordance with the instructions
 from the Buyers to the Builder's Bank, **provided that** the Sellers' obligations under this sub-paragraph (c) shall be deemed to be complied by any repayment (but only to the extent and amount of such repayment) by the Builder's Bank to the
 Buyers or their bank of any part of the Delivery Instalment and any other amount so transferred by the Buyers in connection with Clauses 7.1 (*Pre-position*) and 7.2 (*Conditions to pre-position*).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Construction reports*** The Sellers shall promptly deliver to the Buyers copies of all reports by the Supervisor on the construction of the Vessel.

**14.** **MOA Termination Events** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each of the following events shall constitute an MOA Termination Event:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Conditions precedent and subsequent*** 

&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 of the conditions set out in Clause 8 (*Conditions precedent and subsequent*) is not satisfied by the date specified by the Buyers pursuant to Clause 8.6(b) (*No waiver*); 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;(B) any of the conditions referred to in Clause 8.5 (*Conditions subsequent*) is not satisfied by the relevant time or such other time period specified by the Buyers in their discretion; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)  ***Charter and Related MOA termination events*** there occurs any event or circumstance referred to 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;(A) paragraph (a) of clause 52 (*Termination Events*) of the Charter; 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;(B) paragraph (a) of clause 14 (*MOA Termination Events*) of a Related MOA; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)  ***Late delivery of Vessel*** the Vessel is not delivered 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;(A) the Builders to the Sellers under the Building Contract by the Long Stop Date; 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;(B) the Sellers to the Buyers under this Agreement by the earlier of (1) the Long Stop Date and (2) the Scheduled Delivery Date (in each case, including, without limitation, by reason of failure by the Sellers to satisfy
 any of their obligations under Clause 8 (*Conditions precedent and subsequent*)); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)  ***Building Contract and Refund Guarantee*** either the Building Contract or the Refund Guarantee is terminated, rescinded, cancelled, repudiated, suspended or otherwise ceases to remain in full force and
 effect, or is transferred, assigned, novated or otherwise disposed of to any person (other than pursuant to the relevant Transaction Documents).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Upon the occurrence of an MOA Termination Event which is continuing, and without prejudice to the generality of the powers and remedies vested in the Buyers under this Agreement, the Buyers may exercise their rights
 and powers referred to under Clause 9 (*Cancellation and refund*) and, in respect of an MOA Termination Event which is continuing, 15 (*Buyers' powers following cancellation*).

**15.** **Buyers' powers following cancellation** 

**15.1** **Powers following cancellation** 

Without prejudice to the generality of the powers and remedies vested in the Buyers under this Agreement and the other Transaction Documents, at any time after the occurrence of an MOA Termination Event which is continuing, and if the Buyers have not received in full the amounts payable under Clause 9 (*Cancellation and refund*), the Buyers shall become immediately entitled:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to implement the Building Contract or to agree with the Builder to terminate the Building Contract on such terms and conditions as the Buyers and the Builder may mutually agree;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) subject to the terms of the Building Contract, to assign all rights, title, interest and benefits in and under the Building Contract or to sell the Vessel in her then state of construction or after her delivery under
 the Building Contract or otherwise and upon such terms as the Buyers shall in their absolute discretion determine;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to undertake the further supervision of construction of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) to take over or institute (if necessary using the names of the Sellers) all such proceedings as the Buyers in their sole and absolute discretion think fit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) where any money under the Refund Guarantee becomes refundable, to make a demand, or to request the Sellers to promptly make a demand, for payment under the Refund Guarantee and to direct payment of the funds to an
 account designated by the Buyers and to the extent that any money so refunded exceeds all amounts owed to the Buyers under the Transaction Documents, the Buyers shall refund an amount equal to such excess to an account designated by the Sellers
 within seven (7) Business Days of receiving such money under the Refund Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) to recover from the Sellers on demand all documented costs and expenses (including legal fees) incurred or paid by the Buyers in connection with the exercise of the powers (or any of them) referred to in this Clause
 15.1; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) to not make any payment in relation to any Payment Notice.

**15.2** **Delegation** 

The Buyers may delegate in any manner to any person any rights exercisable by the Buyers under this Agreement. Any such delegation may be made upon such terms and conditions (including power to sub-delegate) as the Buyers think fit.

**15.3** **Survival of Sellers' obligations** 

The termination of this Agreement for any cause whatsoever shall not affect the right of the Buyers to recover from the Sellers any money due to the Owners in consequence thereof and all other rights of the Owners (including but not limited to any rights, benefits or indemnities which are expressly provided to continue after the termination of this Agreement) are reserved hereunder.

**15.4** **Other matters** 

If and to the extent the Buyers have received any amounts under or in connection with the Transaction Documents exceeding the total amounts owed by the Obligors under the Transaction Documents, such surplus shall be refunded to the Sellers.

**16.** **Changes to parties** 

The Sellers may not assign or transfer any or all of their rights or obligations under this Agreement.

**17.** **Cumulative rights** 

The rights, powers and remedies provided in this Agreement are cumulative and not exclusive of any rights, powers or remedies at law or in equity unless specifically otherwise stated.

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**18.** **No waiver** 

No delay, failure or forbearance by a party to exercise (in whole or in part) any right, power or remedy under, or in connection with, this Agreement will operate as a waiver. No waiver of any breach of any provision of this Agreement will be effective unless that waiver is in writing and signed by the party against whom that waiver is claimed. No waiver of any breach will be, or be deemed to be, a waiver of any other or subsequent breach.

**19.** **Entire agreement and amendments** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The written terms of this Agreement comprise the entire agreement between the Buyers and the Sellers in relation to the sale and purchase of the Vessel and supersede all previous agreements whether oral or written
 between the parties in this Agreement in relation thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of the parties to this Agreement acknowledges that in entering into this Agreement, it has not relied on and shall have no right or remedy in respect of any statement, representation, assurance or warranty
 (whether or not made negligently) other than as expressly set out in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any terms implied into this Agreement by the Sale of Goods Act 1979 are hereby excluded to the extent that such exclusion can legally be made. Nothing in this Clause shall limit or exclude any liability for fraud.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) This Agreement may not be amended, altered or modified except by a written instrument executed by each of the parties to this Agreement.

**20.** **Invalidity** 

If any term or provision of this Agreement or the application thereof to any person or circumstances shall to any extent be invalid or unenforceable the remainder of this Agreement or application of such term or provision to persons or circumstances (other than those as to which it is already invalid or unenforceable) shall (to the extent that such invalidity or unenforceability does not materially affect the operation of this Agreement) not be affected thereby and each term and provision of this Agreement shall be valid and be enforceable to the fullest extent permitted by law.

**21.** **English language** 

All notices, communications and financial statements and reports under or in connection with this Agreement and the other Transaction Documents shall be in English language or, if in any other language, shall be accompanied by a translation into English. In the event of any conflict between the English text and the text in any other language, the English text shall prevail.

**22.** **No partnership** 

Nothing in this Agreement creates, constitutes or evidences any partnership, joint venture, agency, trust or employer/employee relationship between the parties, and neither party may make, or allow to be made any representation that any such relationship exists between the parties. Neither party shall have the authority to act for, or incur any obligation on behalf of, the other party, except as expressly provided in this Agreement.

**23.** **Notices** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any communication to be made under or in connection with this Agreement shall be made in writing and, unless otherwise stated, may be made by fax, letter or email.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The address, fax number and email address (and the department or officer, if any, for whose attention the communication is to be made) of each party to this Agreement for any communication or document to be made or
 delivered under or in connection with this Agreement are:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the case of the Sellers:

**MOUNT NOREFJELL INC.** 

Address: c/o 2020 Bulkers Management AS,

Tjuvholmen allé 3, 0252 Oslo,

Norway

Email: [\*\*\*]

Attention: [\*\*\*]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of the Buyers:

**GREAT LHOTSE LIMITED** 

---

| | |
|:---|:---|
| Address: | c/o AVIC International Leasing Co., Ltd, 18/F, Hangrong |
|  | Mansion, 1481 Guozhan Road, Pudong, Shanghai, China, |
|  | 200126 |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

or any substitute address, fax number, email address, department or officer as either party may notify to the other by not less than five (5) Business Days' notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any communication or document made or delivered by one party to this Agreement to the other under or in connection with this Agreement will only be effective:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if by way of fax or email, when sent with no error message received; or

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

and, if a particular department or officer is specified as part of its address details provided under paragraph (b) above, if addressed to that department or officer.

Any communication or document which becomes effective, in accordance with this paragraph (c), after 5.00 pm in the place of receipt shall be deemed only to become effective on the following day.

**24.** **Counterparts** 

This Agreement may be executed in any number of counterparts and any single counterpart or set of counterparts signed, in either case, by all the parties hereto shall be deemed to constitute a full and original agreement for all purposes.

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**25.** **Third Parties Act** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any person which is an Indemnitee or a Finance Party from time to time and is not a party to this Agreement shall be entitled to enforce such terms of this Agreement as provided for in this Agreement in relation to
 the obligations of the Sellers to such Indemnitee or (as the case may be) Finance Party, subject to the provisions of Clause 32 (*Law and arbitration*) and the Third Parties Act. The Third Parties Act applies to this Agreement as set out in
 this Clause 25.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Save as provided above, a person who is not a party to this Agreement has no right under the Third Parties Act to enforce or to enjoy the benefit of any term of this Agreement.

**26.** **Spares, bunkers and other items** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the extent owned by the Sellers, the Sellers shall deliver the Vessel to the Buyers with everything belonging to her on board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All spare parts and spare equipment including spare tail-end shaft(s) and/or spare propeller(s)/propeller blade(s), if any, belonging to the Vessel at the time of delivery used or unused, whether on board or not
 shall become the Buyers' property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Concurrent with the delivery of the Vessel under this Agreement, the Buyers shall obtain title and ownership to the classification certificate(s) as well as all plans, drawings and manuals, which are on board the
 Vessel and shall remain on board the Vessel. If requested by the Buyers, the Sellers shall provide copies of all plans, drawings and manuals to the Buyers delivered to the Sellers by the Builder under the Building Contract by electronic means
 within thirty (30) days from the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Copies of other technical documentation which may be in the Sellers' possession shall promptly after delivery be forwarded to the Buyers at the Sellers' expense, if the Buyers so request.

**27.** **Encumbrances** 

The Sellers warrant that the Vessel, at the time of delivery, is free from all charters (other than the Charter and any Sub-Charter), any Security Interest or any other debts whatsoever, and is absolutely free of all burdens in the nature of imposts, taxes or charges imposed by the governmental authorities of the People's Republic of China (whether national or local). The Sellers hereby undertake to indemnify the Buyers against all consequences of claims made against the Vessel which have been incurred prior to the time of delivery.

**28.** **Taxes, costs and expenses** 

Any Taxes, costs and expenses in connection with the purchase and registration in the Flag State shall be for the Sellers' account.

**29.** **Delivery under Charter** 

Upon the delivery of the Vessel under this Agreement, the Vessel shall simultaneously be delivered to the Sellers (as bareboat charterers) pursuant the Charter.

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**30.** **Indemnities** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Whether or not any of the transactions contemplated hereby are consummated, the Sellers shall indemnify, protect, defend and hold harmless the Buyers and their respective officers, directors, agents and employees
 (collectively, the "**Indemnitees**") throughout the Pre-Delivery Period from, against and in respect of, any and all liabilities, obligations, losses, damages, penalties, fines, taxes (save for any taxes levied on the Buyers by competent tax
 authorities in their domicile and by reference to the overall income or assets in general of the Buyers), fees (including but not limited to any vessel registration, tonnage, reasonable legal fees, any fees incurred or to be incurred in
 registering and maintaining the Buyers as a foreign maritime entity with any registry of ships), claims, actions, proceedings, judgement, order or other sanction, lien, salvage, general average, suits, costs, expenses and disbursements, including
 reasonable legal fees and expenses, of whatsoever kind and nature (collectively, the "**Expenses**") imposed on, suffered or incurred by or asserted against any Indemnitee, in any way relating to, resulting from or arising out of or in
 connection with, in each case, directly or indirectly, any one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the delivery (including the Vessel not being delivered on the Scheduled Delivery Date after the Sellers have informed the Buyers of the Scheduled Delivery Date), registration and purchase of the Vessel by the Buyers
 whether prior to, during or after termination of this Agreement and whether or not the Vessel is in the possession or the control of the Sellers or otherwise in relation to any non-delivery to or acceptance by the Sellers (as bareboat charterers)
 of the Vessel under the Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any breach of or failure to perform or observe, or any other non-compliance with, any covenant or agreement or other obligation to be performed by the Sellers under any Transaction Document to which they are a party
 or the falsity of any representation or warranty of the Sellers in any Transaction Document to which they are a party or the occurrence of any MOA Termination Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a failure by an Obligor to pay any amount due under a Transaction Document on its due date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) funding, or making arrangements to fund, an amount required to be paid by the Buyers pursuant to a Payment 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 of the Buyers).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything to the contrary herein, the indemnities provided by the Sellers in favour of the Buyers shall continue in full force and effect notwithstanding any breach of the terms of this Agreement or
 termination of this Agreement pursuant to the terms hereof.

**31.** **Calculations and certificates** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In any litigation or arbitration proceedings arising out of or in connection with a Transaction Document, the entries made in the accounts maintained by the Buyers are prima facie evidence of the
 matters to which they relate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any certification or determination by the Buyers of a rate or amount under any Transaction Document is, in the absence of manifest error, conclusive evidence of the matters to which it relates.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any Rebate, interest, commission or fee accruing under a Transaction Document will accrue from day to day and is calculated 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.

**32.** **Law and arbitration** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement shall be governed by and construed in accordance with English law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any dispute arising out of or in connection with this Agreement shall be referred to arbitration in London in accordance with the Arbitration Act 1996 or any statutory modification or re-enactment thereof save to the
 extent necessary to give effect to the provisions of this Clause.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The arbitration shall be conducted in accordance with the London Maritime Arbitrators Association (LMAA) Terms current at the time when the arbitration proceedings are commenced.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The reference shall be to three arbitrators, one to be appointed by each party and the third, subject to the provisions of the LMAA Terms, by the two so appointed. A party wishing to refer a dispute to arbitration
 shall appoint its arbitrator and send notice of such appointment in writing to the other party requiring the other party to appoint its own arbitrator within 14 calendar days of that notice and stating that it will appoint its arbitrator as sole
 arbitrator unless the other party appoints its own arbitrator and gives notice that it has done so within the 14 days specified. If the other party does not appoint its own arbitrator and give notice that it has done so within the 14 days
 specified, the party referring a dispute to arbitration may, without the requirement of any further prior notice to the other party, appoint its arbitrator as sole arbitrator and shall advise the other party accordingly. The award of a sole
 arbitrator shall be binding on both parties as if he had been appointed by agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Nothing herein shall prevent the parties agreeing in writing to vary these provisions to provide for the appointment of a sole arbitrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) In cases where neither the claim nor any counterclaim exceeds the sum of US$100,000 (or such other sum as the parties may agree) the arbitration shall be conducted in accordance with the LMAA Small Claims Procedure
 current at the time when the arbitration proceedings are commenced.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The seat of the arbitration shall be England, even where any hearing takes place outside England.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The language of any and all arbitration proceedings shall be English.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The law governing this Clause32 (*Law and arbitration*) shall be English law.

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**Schedule 1**

**Conditions precedent and subsequent**

**Part I – Initial conditions precedent**

1. **Obligors** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Constitutional documents** Certified true copies of the memorandum and articles of association (or equivalent documents) (and all amendments thereto) of each Obligor and any other documents required to be filed
 or registered or issued under the laws of its jurisdiction of incorporation to establish its incorporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Written resolutions** Certified true copies of written resolutions or (as the case may be) resolutions passed at meetings of the board of directors of each Obligor, each evidencing the relevant Obligor's
 respective approval of the Transaction Documents and authorising appropriate officers, directors or attorneys to execute the same and to sign all notices required to be given hereunder or thereunder on their behalf or other evidence of such
 approvals and authorisations as shall be acceptable to the Buyers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **Certificate of good standing** A certified true copy of a certificate of good standing of each Obligor issued no earlier than ten (10) days prior to its provision to the Buyers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **Powers of attorney** If applicable, the original power of attorney of each Obligor under which any document (including the Transaction Documents) are to be executed or transactions undertaken by them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **Other approvals** If applicable, copies (certified true where possible) of all Authorisations as may be necessary to authorise the performance by each of the Obligors of its obligations under the Transaction
 Documents to which it is or (as the case may be) will be a party, and the execution, validity and enforceability of such Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) **Officer's certificates** An original certificate of a duly authorised representative of each Obligor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) certifying that each copy document relating to it specified in this Part I of Schedule 1 is correct, complete and in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) setting out the names of the directors, officers and shareholders of that Obligor and the proportion of shares held by each shareholder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) confirming that guaranteeing or securing, as appropriate, the respective indebtedness or obligations would not cause any guarantee, security or similar limit binding on that Obligor to be exceeded.

2. **Transaction Documents and related documents** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Vessel-related documents** Photocopies, certified as true, accurate and complete by a duly authorised representative of the Sellers, of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Building Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Refund Guarantee;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any Sub-Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) written confirmation from the Builder it approves the assignment by the Sellers of the Building Contract pursuant to the Pre-Delivery Assignment (in the form of the acknowledgment to the notice of assignment served
 pursuant to the Pre-Delivery Assignment duly signed by the Builder); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) written confirmation from the Refund Guarantor that it approves the assignment by the Sellers of the Refund Guarantee pursuant to the Pre-Delivery Assignment (in the form of the acknowledgment to the notice of
 assignment served pursuant to the Pre-Delivery Assignment duly signed by the Refund Guarantor).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Transaction Documents** A duly executed original of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Charter; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the other Transaction Documents (other than the Account Pledge, the Charterers' Assignment and the Manager's Undertakings),

in each case together with all other documents required by any of them according to their terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **No disputes** The written confirmation of the Sellers that to the best of its knowledge there is no dispute under any of the Building Contract or Refund Guarantee as between the parties to any such document
 which, if adversely determined, might reasonably be expected to have a material adverse effect on the business, assets, financial condition or creditworthiness of the Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **Sellers' contribution** Evidence of full payment to the Builder of any part of the Contractual Purchase Price which is due and payable on or before the Payment Date and which is not being financed by the
 Buyers.

3. **Legal opinions** A legal opinion of the legal advisers to the Buyers in each relevant jurisdiction, or confirmation satisfactory to the Buyers that such an opinion will be given.

4. **Other documents and evidence** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Other authorisation** Such other authorisation or other document, opinion or assurance which the Buyers reasonably consider to be necessary in connection with their entry into and performance of the
 transactions contemplated by any of the Transaction Documents or for the validity and enforceability thereof which, at the Original MOA Date, the Buyers are not aware of, and the Buyers shall, to the extent any authorisation becomes necessary
 after the Original MOA Date, provide reasonable notice to the Sellers of such required authorisation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Fees** Evidence that the Rebate, Commitment Fee and any other fees, costs and expenses due from the Sellers to the Buyers under Clauses 10 (*Rebate*), 12 (*Fees*), 28 (*Taxes, costs and expenses*)
 and 30 (*Indemnities*) have been paid in accordance with the terms of such Clauses and the Handling Fee under clause 59 (*Fees and expense*) of the Charter has been paid in accordance with such clause.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **"Know your customer" documents** Such documentation and other evidence as is reasonably requested by the Buyers or the Finance Parties in order for the Buyers or the Finance Parties to comply with all necessary
 "know your customer" or similar identification procedures in relation to the transactions contemplated in the Transaction Documents.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**Part II – Instalment conditions precedent**

1. **Notice/invoice** The notice and/or invoice issued by the Builder evidencing the obligation of the Sellers to
 pay the relevant instalment of the Contractual Purchase Price (that corresponds to the relevant Instalment) under the Building Contract on a date no later than the proposed Payment Date as specified in the relevant Payment Notice.

2. **Sellers' equity contribution** Evidence of full payment to the Builder's Account of any part of the
 Contractual Purchase Price which is due and payable on or before the Payment Date and which is not being financed by the Buyers.

3. **Fees** Evidence that the Rebate, Commitment Fee and any other fees, costs and expenses due from the Sellers
 to the Buyers under Clauses 10 (*Rebate*), 12 (*Fees*), 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*) have been paid in accordance with the terms of such Clauses and the Handling Fee under clause 59 (*Fees and expense*) of the Charter has been paid in accordance with such clause.

4. **Classification Certificate / evidence of construction progress** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. (in respect of the Third Instalment) a copy of notice from the Builder together with a statement/verification of
 the classification society confirming that the steel cutting has commenced, as referred to in paragraph 3(c) (*3<sup>rd</sup> Instalment*) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. (in respect of the Fourth Instalment) a copy of notice from the Builder together with a statement/verification of
 the classification society confirming that the keel laying has been carried out, as referred to in paragraph 3(d) (*4<sup>th</sup> Instalment*) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**Part III – Pre-position conditions precedent**

1. **Officer's certificate** A certificate signed by a duly authorised representative of the Sellers confirming
 that none of the documents and evidence delivered to the Buyers pursuant to Clauses 8.1 (*Initial conditions precedent*) and 8.2 (*Instalment conditions subsequent*) has been amended, modified or revoked in any way since its delivery
 to the Buyers.

2. **Vessel-related documents** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Title transfer documents** Agreed forms or drafts of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the builder's certificate and/or bill of sale transferring title in the Vessel from the Builder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Bill(s) of Sale, duly notarially attested and legalised or apostilled, as required by the Flag State;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Sellers' PDA; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Builder's PDA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Notice/invoice** The notice and/or invoice issued by the Builder evidencing the obligation of the Sellers to
 pay under the Building Contract on a date no later than the proposed Payment Date as specified in the relevant Payment Notice the relevant instalment of the Contractual Purchase Price (that corresponds to the relevant Instalment) (as the same
 may be subject to adjustment in accordance with the terms of the Building Contract, including, without limitation, any adjustment as a result of the maker's list, plan approval and fuel tanks agreed with the Builder in relation to the Building
 Contract or the Vessel).

3. **Sellers' equity contribution** Evidence of full payment to the Builder's Account of any part of the
 Contractual Purchase Price which is due and payable on or before the Payment Date and which is not being financed by the Buyers.

4. **Fees** Evidence that the Rebate, the Commitment Fee and any other fees, costs and expenses due from the
 Sellers to the Buyers under Clauses 10 (*Rebate*), 12 (*Fees*), 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*) have been paid in accordance with the terms of such Clauses and the Handling Fee under clause 59 (*Fees and expense*) of the Charter has been paid in accordance with such clause.

5. **Other authorisation** Such other authorisation or other document, opinion or assurance which the Buyers
 reasonably consider to be necessary in connection with their entry into and performance of the transactions contemplated by any of the Transaction Documents or for the validity and enforceability thereof (including, without limitation in
 relation to or for the purposes of any financing by the Buyers), provided that reasonable notice is given to the Sellers of the same.

6. **Transaction Documents** A duly executed original of the Account Pledge, the Charterers' Assignment and the
 Manager's Undertakings, in each case together with all other documents required by any of them according to their terms (other than the acknowledgement (duly executed by the Account Bank) to the notice of charge required under the Account
 Pledge and the letters of undertaking in respect of the Insurances and copies of the relevant policies or cover notes or entry certificates in respect of the Insurances duly endorsed with the interest of the Owners required under the
 Charterers' Assignment).

7. **Legal opinions** A legal opinion of the legal advisers to the Buyers in each relevant jurisdiction, or
 confirmation satisfactory to the Buyers that such an opinion will be given.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**Part IV – Delivery Date conditions precedent**

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| | |
|:---|:---|
| 1 | **Vessel-related documents** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Title transfer documents** Originals of the following duly executed documents:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the builder's certificate and/or bill of sale transferring title in the Vessel from the Builder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Bill(s) of Sale, duly notarially attested and legalised or apostilled, as required by the Flag State;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Sellers' PDA; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Builder's PDA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Technical documents** Copies of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Vessel's current Safety Management Certificate (as such term is defined pursuant to the ISM Code);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Approved Managers' current Document of Compliance (as such term is defined pursuant to the ISM Code);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Vessel's current ISSC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Vessel's current IAPPC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Vessel's current tonnage certificate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the Vessel's classification certificate evidencing that it is free of all recommendations and requirements from
 the Classification Society,

in each case (A) together with all addenda, amendments or supplements, and (B) in respect of any of the Safety Management Certificate, ISSC, IAPPC and classification certificate, such document may be in provisional form (where applicable) or if such provisional form is not available on or prior to the Actual Delivery Date, in final draft form.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **Evidence of Buyers' title** Evidence that any prior registration of the Vessel in the ownership of the
 Builder and any Security Interest registered against that ownership have been cancelled (or confirmation from the Builder that there was no such prior registration) and evidence that on the Actual Delivery Date the Vessel will be at least
 provisionally registered under the Flag State in the ownership of the Buyers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **Evidence of insurance** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Evidence that the Vessel will on the Actual Delivery Date be insured in the manner required by the Transaction
 Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If required by the Buyers, the written approval of the Insurances by an insurance adviser appointed by the Buyers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **Sellers' equity contribution** Evidence of full payment to the Builder's Account of any part of the
 Contractual Purchase Price which is due and payable on or before the Actual Delivery Date and which is not being financed by the Buyers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) **Scrubber** Evidence that the EGCS (as described in Building Contract Addendum No. 2) has been installed onto
 the Vessel.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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| | |
|:---|:---|
| 2 | **Other authorisation** Such other authorisation or other document, opinion or assurance which the Buyers reasonably consider to be necessary in connection with their entry into and performance of the transactions contemplated by any of the Transaction Documents or for the validity and enforceability thereof (including, without limitation in relation to or for the purposes of any financing by the Buyers) provided that reasonable notice is given to the Sellers of the same. |

---

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| | |
|:---|:---|
| 3 | **Conditions precedent under the Charter** Evidence that all the documents and evidence required as conditions precedent under clause 36 (*Conditions precedent*) of the Charter have been or will be received by the Buyers (as owners under the Charter) on the Actual Delivery Date. |

---

---

| | |
|:---|:---|
| 4 | **Fees** Evidence that the Rebate, the Commitment Fee and any other fees, costs and expenses due from the Sellers to the Buyers under Clauses 10 (*Rebate*), 12 (*Fees*), 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*) have been paid in accordance with the terms of such Clauses and the Handling Fee under clause 59 (*Fees and expense*) of the Charter has been paid in accordance with such clause. |

---

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**Part V – Conditions subsequent**

The Sellers undertake to deliver or cause to be delivered to the Buyers the following documents and evidence within the relevant time period as specified below:

**1.** **Security registrations** If applicable, evidence that the prescribed particulars of the relevant Transaction
 Documents have been delivered to the relevant Registrar of Companies within the statutory time limit.

**2.** **Technical documents** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the extent that any certificate received by the Buyers and referred to in paragraph 1(b) of Part IV (*Delivery Date conditions precedent*) of this Schedule was in final draft form at the time of the receipt, deliver or cause to be delivered to the Buyers the corresponding provisional certificate within five (5) Business Days of the Actual Delivery
 Date, with the formal certificate to follow as soon as possible after the Sellers' receipt of the same from the relevant persons, and in any event prior to the expiry of the validity period of such provisional certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the extent that any certificate received by the Buyers and referred to in paragraph 1(b) of Part IV (*Delivery Date conditions precedent*) of this Schedule was in provisional form at the time of the receipt, deliver or cause to be delivered to the Buyers the corresponding formal certificate as soon as possible after the Sellers' receipt of the same
 from the relevant persons, and in any event prior to the expiry of the validity period of such provisional certificate.

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**Schedule 2**

**Form of Payment Notice**

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| | |
|:---|:---|
| To: | **GREAT LHOTSE LIMITED** |
| From: | **MOUNT NOREFJELL INC.** |

---

20[●]&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Dear Sirs

**Hull No. 0120833– memorandum of agreement dated (the "MOA")**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. We refer to the MOA. This is a Payment Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Terms defined in the MOA shall have the same meaning in this Payment Notice unless given a different meaning in
 this Payment Notice.

3. Pursuant to clause 5.2 (*Completion of a Payment Notice*) of the MOA we irrevocably request that you advance US$[●], being the [aggregate of] [Third Instalment]/[Fourth Instalment]/[Fifth Instalment and Sixth Instalment] in respect of the Vessel, to us on _________ 20[●], which is a Business Day, by paying the advance in accordance with the MOA to the following account:

Beneficiary Bank: [●]

Swift Code: [●]

Account #: [●]

Name on Account: [●]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. We warrant that:

(a) we are not aware that any Potential MOA Termination Event or MOA Termination Event has occurred or would result from the payment of the [●] Instalment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Repeating Representations are true in all material respects on the date of this Payment Notice and the actual
 date of payment; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) we are not aware that any of the parties to either of the Building Contract and the Refund Guarantee is in default
 under its terms where such default would entitle the non-defaulting party to terminate the Building Contract or the Refund Guarantee.

5. The Scheduled Delivery Date is [●].

Yours faithfully

For and on behalf of

**MOUNT NOREFJELL INC.**

Name:

Title:

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**IN WITNESS** of which the parties to this Agreement have executed this Agreement the day and year first before written.

---

| |
|:---|
| **<u>SELLERS</u>** |
| **Signed** by) |
| as) |
| for and on behalf of) |
| **MOUNT NOREFJELL INC.**) |
| **<u>BUYERS</u>** |
| **Signed** by) |
| as) |
| for and on behalf of) |
| **GREAT LHOTSE LIMITED**) |

---

(exe) AVIC/Himalaya – Amended and Restated MOA – LHOTSE

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**Schedule 4**

**Form of Amended and Restated Charter**

(exe) AVIC – Himalaya – Amendment and Restatement Agreement – MOUNT NOREFJEL

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![](ny20006357x6_ex10-3img012.jpg)

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![](ny20006357x6_ex10-3img013.jpg)

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![](ny20006357x6_ex10-3img014.jpg)

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![](ny20006357x6_ex10-3img015.jpg)

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![](ny20006357x6_ex10-3img016.jpg)

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![](ny20006357x6_ex10-3img017.jpg)

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![](ny20006357x6_ex10-3img018.jpg)

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![](ny20006357x6_ex10-3img019.jpg)

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![](ny20006357x6_ex10-3img020.jpg)

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![](ny20006357x6_ex10-3img021.jpg)

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![](ny20006357x6_ex10-3img022.jpg)

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![](ny20006357x6_ex10-3img023.jpg)

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![](ny20006357x6_ex10-3img024.jpg)

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![](ny20006357x6_ex10-3img025.jpg)

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![](ny20006357x6_ex10-3img026.jpg)

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**<u>Execution version</u>**

**CONTENTS**

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| | | |
|:---|:---|:---|
|  |  | **Page** |
| **32.** | **Definitions** | **1** |
| **33.** | **Interpretations** | **18** |
| **34.** | **Background** | **20** |
| **35.** | **Delivery** | **20** |
| **36.** | **Conditions precedent** | **22** |
| **37.** | **Bunkers and luboils** | **25** |
| **38.** | **Further maintenance and operation** | **25** |
| **39.** | &nbsp;&nbsp;&nbsp; **Structural changes and alterations** | **26** |
| **40.** | **Hire** | **26** |
| **41.** | **Increased Costs** | **31** |
| **42.** | **Insurance** | **33** |
| **43.** | **Inspection** | **39** |
| **44.** | **Redelivery** | **40** |
| **45.** | **Redelivery conditions** | **41** |
| **46.** | **Survey on redelivery** | **41** |
| **47.** | **Owners' mortgage** | **42** |
| **48.** | **Charterers' representations and warranties** | **42** |
| **49.** | **Charterers' undertakings** | **45** |
| **50.** | **Poseidon Principles covenant** | **51** |
| **51.** | **Transfer by the Owners** | **52** |
| **52.** | **Termination Events** | **52** |
| **53.** | **Sub-chartering** | **56** |
| **54.** | **Name of Vessel** | **56** |
| **55.** | **Purchase Option** | **56** |
| **56.** | **Purchase Obligation and transfer of title** | **57** |
| **57.** | **Total Loss** | **59** |
| **58.** | **Appointment of Approved Manager** | **59** |
| **59.** | **Fees and expenses** | **60** |
| **60.** | &nbsp;&nbsp;&nbsp; **Stamp duties** | **61** |
| **61.** | **Operational notifiable events** | **61** |
| **62.** | **Further indemnities** | **62** |
| **63.** | **Set-off** | **64** |
| **64.** | **Further assurances and undertakings** | **64** |
| **65.** | **Cumulative rights** | **64** |
| **66.** | **No waiver** | **64** |
| **67.** | **Entire agreement** | **64** |

---

(exe) AVIC/Himalaya – Amended and Restated BBC Additional Clauses - MOUNT NOREFJELL

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| | | |
|:---|:---|:---|
| **68.** | **Amendments** | **64** |
| **69.** | **Invalidity** | **64** |
| **70.** | **English language** | **65** |
| **71.** | **No partnership** | **65** |
| **72.** | **Disclosure of information** | **65** |
| **73.** | **Notices** | **65** |
| **74.** | **Survival of Charterers' obligations** | **66** |
| **75.** | **Counterparts** | **67** |
| **76.** | **Third Parties Act** | **67** |
| **77.** | **Waiver of immunity** | **67** |
| **78.** | **FATCA** | **67** |
| **79.** | **EEXI** | **68** |
| **80.** | **Conflicts** | **69** |
| **SCHEDULE 1 FORM OF PROTOCOL OF DELIVERY AND ACCEPTANCE** | **SCHEDULE 1 FORM OF PROTOCOL OF DELIVERY AND ACCEPTANCE** | **70** |
| **SCHEDULE 2 FORM OF TITLE RE-TRANSFER PROTOCOL OF DELIVERY AND ACCEPTANCE** | **SCHEDULE 2 FORM OF TITLE RE-TRANSFER PROTOCOL OF DELIVERY AND ACCEPTANCE** | **71** |
| **SCHEDULE 3 LIST OF RELATED VESSELS AND RELEVANT INFORMATION** | **SCHEDULE 3 LIST OF RELATED VESSELS AND RELEVANT INFORMATION** | **72** |
| **SCHEDULE 4 TERMINATION CORE AMOUNT SCHEDULE** | **SCHEDULE 4 TERMINATION CORE AMOUNT SCHEDULE** | **73** |
| **SCHEDULE 5 PURCHASE OPTION CORE AMOUNT SCHEDULE** | **SCHEDULE 5 PURCHASE OPTION CORE AMOUNT SCHEDULE** | **74** |
| **SIGNATURE PAGE** | **SIGNATURE PAGE** | **75** |

---

(exe) AVIC/Himalaya – Amended and Restated BBC Additional Clauses - MOUNT NOREFJELL

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**<u>ADDITIONAL CLAUSES</u>**

**<u>TO BAREBOAT CHARTER DATED 25 FEBRUARY 2022 (THE "ORIGINAL CHARTER DATE") FOR THE 210,000 DWT BULK CARRIER BEARING BUILDER'S HULL NUMBER 0120833</u>**

**<u>as amended and restated pursuant to the amendment and restatement agreement dated</u>**<u>22 February**2023 and made between the Owners, the Charterers and the other parties thereto (the "Amendment and Restatement Agreement")**</u>

**32.** **Definitions** 

In this Charter:

"**2018 Withdrawal Act**" means the European Union (Withdrawal) Act 2018.

"**2020 Withdrawal Act**" means the European Union (Withdrawal Agreement) Act 2020.

"**Account Bank**" means DNB Bank ASA (or such other bank or financial institution as selected or designated by the Charterers (with the consent of the Owners) from time to time).

"**Account Pledge**" means the pledge over the Earnings Account and all amounts from time to time standing to the credit to the Earnings Account from the Charterers in favour of the Security Trustee.

"**Actual Delivery Date**" means the date of delivery of the Vessel by the Owners to the Charterers under this Charter.

"**Actual Owners' Cost**" means the "Purchase Price" as defined in the MOA.

"**Actual Owners' Cost (Scrubber)**" means the "Sixth Instalment" as defined in the MOA.

"**Actual Owners' Cost (Vessel)**" means the combination of the "Third Instalment", the "Fourth Instalment" and the "Fifth Instalment" as defined in the MOA.

"**Additional Handling Fee**" means the non-refundable handling fee in the amount of three hundred and fifteen thousand US Dollars (US$315,000).

"**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 Term**" means the period commencing on the Original Charter Date and terminating on the later of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the expiration of the Charter Period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the date on which all money of any nature owed by the Obligors to the Owners under the Transaction Documents or otherwise in connection with the Vessel have been paid in full to the Owners and no obligations of the
 Obligors of any nature to the Owners or otherwise in connection with the Transaction Documents or with the Vessel remain unperformed or undischarged (whether or not following (i) the occurrence of a Termination Event or (ii) the exercise of the
 Purchase Option in accordance with the terms of this Charter).

"**AML Laws**" means as to any Obligor and in relation to money laundering or terrorism, any treaty, law (including the common law), statute, ordinance, code, rule, regulation, guidelines, license, permit requirement, order or determination of any Governmental Agency, and the interpretation or administration thereof, in each case applicable to or binding upon such Obligor.

(exe) AVIC/Himalaya – Amended and Restated BBC Additional Clauses - MOUNT NOREFJELL

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"**Anniversary Dates**" means the Third Anniversary Date, the Fourth Anniversary Date, the Fifth Anniversary Date, the Sixth Anniversary Date and the Seventh Anniversary Date and "**Anniversary Date**" means any one of them.

"**Applicable Rate**" means (subject to Clause 40(q) (*Cost of funds*)):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) for any Hire Period commencing prior to the Rate Switch Date, LIBOR; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) for any Hire Period commencing on or after the Rate Switch Date, the percentage rate per annum which is the aggregate of (i) the Reference Rate applicable to that Hire Period and (ii) the Credit Adjustment Spread.

"**Approved Broker**" means such firm or firms of insurance brokers as the Charterers may appoint from time to time and in each case approved by the Owners.

"**Approved Commercial Manager**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) 2020 Bulkers Management AS; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any other first-class internationally recognized and reputable management company appointed by the Charterers with the prior written consent of the Owners for the commercial management of the Vessel.

"**Approved Manager**" means either the Approved Commercial Manager or, as the context may require, the Approved Technical Manager.

"**Approved Technical Manager**" means any first-class internationally recognized and reputable management company appointed by the Charterers with the prior written consent of the Owners for the technical management of the Vessel.

"**Approved Valuer**" means each of (a) Arrow Shipbroking, (b) Nordic Shipping, (c) Clarksons Platou, (d) Fearnleys AS, (e) Simpson Spence Young, (f) Affinity and any other reputable and independent ship brokers proposed by the Charterers and approved by the Owners.

"**Assumed Financing Amount (Vessel)**" means sixty-tree million US Dollars (US$63,000,000).

"**Authorisation**" means an authorisation, consent, approval, resolution, licence, exemption, filing, notarisation, lodgement or registration.

"**Break Costs**" means all costs, losses, premiums or penalties incurred by the Owners (including, without limitation, but without double-counting, all costs, losses, premiums or penalties incurred by the Owners under the Finance Documents) as a result of the receipt by the Owners of any payment under or in relation to the Transaction Documents on a day other than the due date for payment of the sum in question, or as a result of the Termination Payment Date not falling on a Hire Payment Date, or as a result of the relevant payment made by the Charterers under clause 9 of the MOA not falling on a Rebate Payment Date (as defined in the MOA).

"**Builder**" has the meaning given to such term in the MOA.

"**Building Contract**" has the meaning given to such term in the MOA.

(exe) AVIC/Himalaya – Amended and Restated BBC Additional Clauses - MOUNT NOREFJELL

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"**Business Day**" means a day (other than a Saturday or Sunday) on which banks and financial markets are open for general business in London, New York, Shanghai and Oslo and (on and after the Rate Switch Date and in relation to the fixing of an interest rate or in relation to the fixing of any Reference Rate) which is a US Government Securities Business Day.

"**Chargor**" means the Guarantor in its capacity as the share chargor.

"**Charter Period**" means, subject to paragraph (k) (*Illegality*) of Clause 40 (*Hire*), Clauses 52 (*Termination Events*), 55 (*Purchase Option*), 56 (*Purchase Obligation and transfer of title*) and 57 (*Total Loss*), the period of eighty four (84) consecutive months commencing from the Actual Delivery Date.

"**Charterers' Assignment**" means the deed of assignment executed or to be executed (as the case may be) by the Charterers in favour of the Security Trustee in relation to certain of the Charterers' rights and interest in and to (among other things):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Requisition Compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any Sub-Charter which has a duration (taking into account any option to renew or extend) of more than twenty four (24) months; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any Vessel Management Agreement.

"**Classification Society**" means the vessel classification society referred to in Box 10 (*Classification Society*) of this Charter, or such other member of the International Association of Classification Societies (IACS) as the Charterers may select and the Owners may approve from time to time.

"**Credit Adjustment Spread**" means zero point two six one six one per cent. (0.26161%) per annum.

"**Daily Charter Rate**" means in respect of the Charter Period, a rate in the sum [\*\*\*]

"**Default Termination**" means a Termination pursuant to the provisions of Clause 52 (*Termination Events*).

"**Earnings**" means all hires, freights, pool income and other sums payable to or for the account of the Charterers and/or the Sub-Charterers in respect of the Vessel including (without limitation) all earnings received or to be received from each Sub-Charter, all remuneration for salvage and towage services, demurrage and detention moneys, contributions in general average, compensation in respect of any requisition for hire, and damages and other payments (whether awarded by any court or arbitral tribunal or by agreement or otherwise) for breach, termination or variation of any contract for the operation, employment or use of the Vessel.

"**Earnings Account**" means, in relation to the Vessel, the US Dollar account in the name of the Charterers (with account number 1251.05.48041) opened with the Account Bank, and includes any sub-account thereof and such account which is designated by the Owners as the earnings account for the purposes of this Charter.

"**Effective Date**" means the "Effective Date" as defined in the Amendment and Restatement Agreement.

"**Environmental Approvals**" means any present or future permit, licence, approval, ruling, variance, exemption or other Authorisation required under the applicable Environmental Law.

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"**Environmental Claim**" means any claim, proceeding, formal notice or investigation by any governmental, judicial or regulatory authority or any other person which arises out of an Environmental Incident or an alleged Environmental Incident or which relates to any Environmental Law and, for this purpose, "claim" includes a claim for damages, compensation, contribution, injury, fines, losses and penalties or any other payment of any kind, including in relation to clean-up and removal, 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; and any form of enforcement or regulatory action, including the arrest or attachment of any asset.

"**Environmental Incident**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any release, emission, spill or discharge into the Vessel or into or upon the air, sea, land or soils (including the seabed) or surface water of Environmentally Sensitive Material within or from the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or upon the air, sea, land or soils (including the seabed) or surface water from a vessel other than the
 Vessel and which involves a collision between the Vessel and such other vessel or some other incident of navigation or operation, in either case, in connection with which the Vessel is actually or reasonably likely to be potentially liable to be
 arrested, attached, detained or injuncted and/or the Vessel and/or any Obligor and/or any operator or manager of the Vessel is at fault or allegedly at fault or otherwise reasonably likely to be liable to any legal or administrative action; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any other incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or upon the air, sea, land or soils (including the seabed) or surface water otherwise than from the
 Vessel and in connection with which the Vessel is actually or reasonably likely to be potentially liable to be arrested and/or where any Obligor and/or any operator or manager of the Vessel is at fault or allegedly at fault or otherwise
 reasonably likely to be liable to any legal or administrative action, other than in accordance with an Environmental Approval.

"**Environmental Law**" means any present or future law or regulation relating to pollution or protection of human health or the environment, to conditions in the workplace, to the carriage, generation, handling, storage, use, release or spillage of Environmentally Sensitive Material or to actual or threatened releases of Environmentally Sensitive Material.

"**Environmentally Sensitive Material**" means and includes all contaminants, oil, oil products, toxic substances and any other substance (including any chemical, gas or other hazardous or noxious substance) which is (or is capable of being or becoming) polluting, toxic or hazardous.

"**Fair Market Value**" means the fair market value of the Vessel as ascertained in accordance with the latest Valuation Report.

"**FATCA Deduction**" has the meaning given to such term in Clause 78 (*FATCA*).

"**Fifth Anniversary Date**" means the date falling on the fifth (5<sup>th</sup>) anniversary of the Actual Delivery Date.

"**Finance Document**" means any facility agreement, security document, fee letter and any other document designated as such by the Finance Parties and the Owners and which have been or may be (as the case may be) entered into between the Finance Parties and the Owners for the purpose of, among other things, financing or (as the case may be) refinancing the Actual Owners' Cost.

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"**Finance Party**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Affiliate of the Owners which is party to a Finance Document (other than the Owners and other entities which may have agreed or be intended as debtors and/or obligors thereunder); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any bank or financial institution which is party to a Finance Document (other than the Owners and other entities which may have agreed or be intended as debtors and/or obligors thereunder),

and "**Finance Parties**" means two or more of them.

"**Financial Indebtedness**" means any indebtedness for or in respect of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) moneys borrowed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any amount raised by acceptance under any acceptance credit facility or dematerialised equivalent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or similar instrument;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with GAAP, be treated as a balance sheet liability;

&nbsp;&nbsp;&nbsp;&nbsp;&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;&nbsp;&nbsp;&nbsp;&nbsp;(f) any amount raised under any other transaction (including any forward sale or hire purchase agreement) of a type not referred to in any other paragraph of this definition having the commercial effect of a borrowing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any derivative transaction protecting against or benefit from fluctuations 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;&nbsp;&nbsp;&nbsp;&nbsp;(h) 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;(i) the amount of any liability in respect of any guarantee or indemnity for any of the items referred to in paragraphs (a) to (h) above.

"**Flag State**" means, in relation to the Vessel, The Republic of Liberia or such other state and/or registry as the Charterers shall nominate and as may be approved in writing by the Owners.

"**Fourth Anniversary Date**" means the date falling on the fourth (4<sup>th</sup>) anniversary of the Actual Delivery Date.

"**GAAP**" means generally accepted accounting principles in the United States of America including IFRS.

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"**Governmental Agency**" means any government or any governmental agency, semi-governmental or judicial entity or authority (including any stock exchange or any self-regulatory organisation established under statute).

"**Group**" means the Guarantor and its Subsidiaries from time to time.

"**Guarantee**" means the guarantee made or to be made by the Guarantor in favour of the Owners in respect of the Charterers' obligations under the MOA, this Charter and the other Transaction Documents.

"**Guarantor**" means Himalaya Shipping Ltd., an exempted company incorporated according to the laws of Bermuda (with registration number 56490) whose registered address is at 2nd Floor, S.E. Pearman Building, 9 Par-la-Ville Road, Hamilton HM11, Bermuda.

"**Handling Fee**" means the Initial Handling Fee, the Additional Handling Fee, the Handling Fee (Scrubber) or the combination of them.

"**Handling Fee (Scrubber)**" means the non-refundable handling fee in the amount of twenty-one thousand six hundred US Dollars (US$21,600).

"**Hire**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in respect of each Hire Payment Date, the aggregate amount calculated by multiplying (a) the Daily Charter Rate by (b) the number of days in the relevant Hire Period (being each day from that Hire Payment Date
 (including that date) until, in respect of the Hire Payment Date of the final Hire Period, the last day of such Hire Period (including that day), and, in respect of all other Hire Payment Dates, the next Hire Payment Date (not including that
 date)); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in respect of each of the Scrubber Hire Payment Dates, each or any combination or aggregate of (as the context may require) the relevant Scrubber Fixed Hire and the relevant Scrubber Variable Hire.

"**Hire Payment Date**" means the first day of each and any Hire Period, it being understood that there are altogether twenty-eight (28) Hire Payment Dates in the Agreed Charter Period.

"**Hire Period**" means each and every consecutive three (3)-month period during the Charter Period, the first Hire Period to commence on the Actual Delivery Date and each and any successive Hire Period to commence on the last day of the preceding Hire Period, **provided that** if a Hire Period would otherwise extend beyond the last day of the Charter Period, then such Hire Period shall end on the last day of the Charter Period.

"**Holding Company**" means, in relation to a person, any other person in respect of which it is a Subsidiary.

"**Hong Kong**" means the Hong Kong Special Administrative Region of The People's Republic of China.

"**IAPPC**" means a valid international air pollution prevention certificate for the Vessel issued under Annex VI (Regulations for the Prevention of Air Pollution from Ships) to the International Convention for the Prevention of Pollution from Ships 1973 (as modified in 1978 and 1997).

"**IFRS**" means international accounting standards within the meaning of the IAS Regulation 1606/2002 to the extent applicable to the relevant financial statements

"**Indemnitee**" has the meaning given to such term in Clause 62 (*Further indemnities*).

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"**Initial Handling Fee**" means the non-refundable handling fee in the amount of three hundred and fifteen thousand US Dollars (US$315,000).

"**Innocent Owners' Interest Insurances**" means all policies and contracts of innocent owners' interest insurance and innocent owners' additional perils (oil pollution) from time to time taken out by the Owners in relation to the Vessel.

"**Insurances**" means all policies and contracts of insurance (including all entries in protection and indemnity or war risks associations) which are from time to time taken out or entered into by the Charterers in respect of or in connection with the Vessel or her increased value or her earnings and (where the context permits) all benefits under such contracts and policies, including all claims of any nature and returns of premium.

"**Interpolated Term SOFR**" means, in relation to a Hire Period, the rate (rounded to the same number of decimal places as Term SOFR) which results from interpolating on a linear basis between:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) either

&nbsp;&nbsp;&nbsp;&nbsp;&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 applicable Term SOFR (as of the Variable Hire Determination Date (prior to 5:00 p.m. (New York time)) in respect of that Hire Period) for the longest period (for which Term SOFR is available) which is less than
 three (3) months; 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;(B) if no such Term SOFR is available for a period which is less than three (3) months, Overnight SOFR for the day which is two (2) US Government Securities Business Days before the Variable Hire Determination Date in
 respect of that Hire Period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the applicable Term SOFR (as of the Variable Hire Determination Date (prior to 5:00 p.m. (New York time)) in respect of that Hire Period) for the shortest period (for which Term SOFR is available) which exceeds three
 (3) months.

"**ISM Code**" means the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention adopted by the International Maritime Organisation, as the same may be amended, supplemented or superseded from time to time (and the terms "safety management system", "Safety Management Certificate" and "Document of Compliance" 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 Organisation (as the same may be amended, supplemented or superseded from time to time).

"**ISSC**" means a valid and current International Ship Security Certificate issued under the ISPS Code.

"**Legal Reservations**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the principle that equitable remedies may be granted or refused at the discretion of a court and the limitation of enforcement by laws relating to insolvency, reorganisation and other laws generally affecting the
 rights of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the time barring of claims under the Limitation Acts, the possibility that an undertaking to assume liability for, or indemnify a person against, non-payment of United Kingdom stamp duty may be void and defences of
 set-off or counterclaim;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) similar principles, rights and defences under the laws of any Relevant Jurisdiction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any reservations as to matters of law (but excluding at all times any reservations or qualifications as to matters of fact) referred to in the legal opinions delivered to the Owners under Clause 36 (*Conditions precedent*) of this Charter.

"**LIBOR**" means the applicable Screen Rate at or about 11:00 am (London time) on the relevant Scrubber Variable Hire Determination Date for the offering of deposits in US Dollars for a period of 3 months and, if any such rate is below zero, LIBOR will be deemed to be zero.

"**Limitation Acts**" means the Limitation Act 1980 and the Foreign Limitation Periods Act 1984.

"**Long Stop Date**" has the meaning given to such term in the MOA.

"**Major Casualty Amount**" means one million US Dollars (US$1,000,000) or the equivalent in any other currency or currencies.

"**Manager's Undertaking**" means a written undertaking and confirmation of an Approved Commercial Manager or (as the case may be) an Approved Technical Manager executed or to be executed in favour of the Owners and the Security Trustee.

"**Margin**" means four point five per cent. (4.5%) per annum.

"**MARPOL**" means the International Convention for the Prevention of Pollution from Ships adopted by the International Maritime Organisation (as the same may be amended, supplemented or superseded from time to time).

"**Material Adverse Effect**" means a material adverse effect on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the business, operations, property or condition (financial or otherwise) of any Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the ability of any Obligor to perform its obligations under the Transaction Documents to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the validity, legality or enforceability of any Transaction Document or the rights or remedies of the Owners under the Transaction Documents.

"**MOA**" has the meaning given to such term in Clause 34 (*Background*).

"**Mortgagees' Interest Insurances**" means all policies and contracts of mortgagees' interest insurance and mortgagees' additional perils (oil pollution) insurance from time to time taken out by any Finance Party in relation to the Vessel.

"**Net Sale Proceeds**" means the proceeds of a sale of the Vessel received, net of any fees, commissions, costs, disbursements or other expenses incurred by the Owners as a result of the Owners arranging the proposed sale.

"**Obligors**" means, together, the Charterers, the Guarantor, the Chargor and "**Obligor**" means any one (1) of them.

"**Owners' Account**" has the meaning given to such term in paragraph (f) (*Payment account information*) of Clause 40 (*Hire*).

"**Owners' Bank**" has the meaning given to such term in paragraph (f) (*Payment account information*) of Clause 40 (*Hire*).

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"**Overnight SOFR**" means 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 (before any correction, recalculation or republication by the administrator) by the Federal Reserve Bank of New York (or any other person which takes over the publication of that rate).

"**Party**" means a party to this Charter and "**Parties**" means both of them.

"**PDA**" means the protocol of delivery and acceptance in relation to the Vessel to be executed between the Owners and the Charterers, substantially in the form of Schedule 1 (*Form of Protocol of Delivery and Acceptance*) hereto.

"**Permitted Mortgagee**" means a Finance Party holding a mortgage over the Vessel in accordance with Clause 47 (*Owners' mortgage*).

"**Permitted Security Interest**" means any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) unless a Termination Event has occurred and is continuing, any ship repairer's or outfitter's possessory lien for an amount not exceeding the Major Casualty Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any lien arising by operation of law in the ordinary course of her trading and securing obligations not more than thirty (30) days overdue;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any lien for salvage; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Security Interest the creation of which has been otherwise expressly permitted in writing by the Owners.

"**Potential Termination Event**" means an event or circumstance which would, with the expiry of any permitted grace period, the giving of any notice, the lapse of time, or a determination of the Owners (or any combination of the foregoing) be a Termination Event.

"**Pre-Delivery Assignment**" has the meaning given to such term in the MOA.

"**Project Documents**" means, together, the Transaction Documents, the Building Contract, the Refund Guarantee and the Vessel Management Agreements.

"**Purchase Obligation**" means the Charterers' obligation to purchase the Vessel at the applicable Purchase Obligation Price in accordance with Clause 56 (*Purchase Obligation and transfer of title*).

"**Purchase Obligation Date**" means the date specified as such in the Purchase Obligation Notice on which the Charterers are obliged to or cause their nominee to purchase the Vessel for the applicable Purchase Obligation Price.

"**Purchase Obligation Notice**" means the notice served by the Owners on the Charterers pursuant to paragraph (b) (*Purchase Obligation - outbreak of war*) of Clause 56 (*Purchase Obligation and transfer of title*).

"**Purchase Obligation Price**" means the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an amount equal to the Termination Core Amount applicable to the Hire Payment Date immediately prior to the Purchase Obligation Date, as set out in the Termination Core Amount Schedule (and for the avoidance of
 doubt, if the Purchase Obligation Date falls on the first Hire Payment Date, any reference to the Termination Core Amount shall be a reference to the Actual Owners' Cost (Vessel));

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an amount equal to the then current Scrubber Cost Balance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all Hire due and payable, but unpaid, under this Charter up to (and including) the Purchase Obligation Date together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*)
 from the due date for payment thereof to the date of actual payment, provided that, to the extent that there is no such Hire which is due and payable but unpaid, the Charterers will receive a credit for any part of Hire (as defined in (a) of the
 definition of "Hire") and any Scrubber Variable Hire paid in advance by the Charterers on account of the period between the day (including that day) immediately following the Purchase Obligation Date and the last day (not including that day) of
 the Hire Period within which the Purchase Obligation Date falls;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) all other Unpaid Sums due and payable together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the due date for payment thereof up to the date of
 actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Break Costs (if any), but only if and as a result of the Purchase Obligation Date not falling on a Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any legal costs incurred by the Owners in respect of the implementation of the Purchase Obligation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any other reasonable costs and expenses incurred by the Owners in connection with any Finance Document as a result of the implementation of the Purchase Obligation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Swap Losses (if any) directly attributable to the Purchase Obligation Price being paid.

"**Purchase Option**" means the option to purchase the Vessel at the applicable Purchase Option Price which the Charterers may exercise in accordance with Clause 55 (*Purchase Option*).

"**Purchase Option Core Amount**" means each of the figures set out in the column headed "Purchase Option Core Amount" in the Purchase Option Core Amount Schedule.

"**Purchase Option Core Amount Schedule**" means the schedule as set out in Schedule 5 (*Purchase Option Core Amount Schedule*) to this Charter (it being agreed that the Purchase Option Core Amount Schedule as of the Original Charter Date is prepared based on the assumption that the Actual Owners' Cost (Vessel) equals the Assumed Financing Amount (Vessel) and accordingly, the Owners shall, if the Actual Owners' Cost (Vessel) does not equal the Assumed Financing Amount (Vessel), deliver to the Charterers, prior to, on or after the Actual Delivery Date, an amended Purchase Option Core Amount Schedule reflecting the exact Actual Owners' Cost (Vessel) and such amended Purchase Option Core Amount Schedule shall, from the date the same is delivered to the Charterers, be deemed to be incorporated into this Charter and shall thereafter constitute the current Purchase Option Core Amount Schedule).

"**Purchase Option Date**" means the date indicated in the Purchase Option Notice, being a day on which the Charterers may complete the exercise of the Purchase Option in accordance with Clause 55 (*Purchase Option*).

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"**Purchase Option Notice**" means a written notice (in such form as the Owners and the Charterers may agree) which the Charterers may deliver to the Owners for the purpose of the Charterers exercising the Purchase Option.

"**Purchase Option Price**" means the amount due and payable by the Charterers to the Owners pursuant to Clause 55 (*Purchase Option*), being the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an amount equal to the Purchase Option Core Amount applicable to the Purchase Option Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an amount equal to the then current Scrubber Cost Balance (if any);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all Hire due and payable, but unpaid, under this Charter up to (and including) the Purchase Option Date together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*)
 from the due date for payment thereof to the date of actual payment, provided that, to the extent that there is no such Hire which is due and payable but unpaid, the Charterers will receive a credit for any part of Hire (as defined in (a) of the
 definition of "Hire") and any Scrubber Variable Hire paid in advance by the Charterers on account of the period between the day (including that day) immediately following the Purchase Option Date and the last day (not including that day) of the
 Hire Period within which the Purchase Option Date falls;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) all other Unpaid Sums due and payable together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the due date for payment thereof up to the date of
 actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Break Costs (if any), but only if and as a result of the Purchase Option Date not falling on a Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any legal costs incurred by the Owners in respect of the exercise of the Purchase Option;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any other reasonable costs and expenses incurred by the Owners in connection with any Finance Document as a result of the Charterers' exercise of the Purchase Option;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the Swap Losses (if any) directly attributable to the Purchase Option Price being paid (but not in any event in case the Purchase Option is exercised on the Seventh Anniversary Date).

"**Quiet Enjoyment Letter**" means the quiet enjoyment letter to be entered into between the Owners, any Permitted Mortgagee and the Charterers, in a form acceptable to all parties and, in particular, containing language to the effect that the Permitted Mortgagee (i) (in the absence of any Termination Event) allows the Charterers unfettered use and quiet enjoyment without interruption of the Vessel in accordance with the terms and conditions of this Charter and (ii) acknowledges that the Charterers shall have the right to purchase the Vessel at the Purchase Option Price or the Termination Sum in accordance with the terms and conditions of this Charter.

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"**Rate Switch Date**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) 1 July 2023 if it falls on a Hire Payment Date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (if 1 July 2023 does not fall on a Hire Payment Date) the first Hire Payment Date which falls immediately after 1 July 2023.

"**Reference Rate**" means, in relation to a Hire Period,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a rate which is the applicable Term SOFR as of the Variable Hire Determination Date (prior to 5:00 p.m. (New York time)) in respect of that Hire Period and for a period of three (3) months; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) as otherwise determined pursuant to Clause 40(o) (*Unavailability of Term SOFR*),

and if, in either case, the aggregate of that rate and the Credit Adjustment Spread is less than zero, the Reference Rate shall be deemed to be such a rate that the aggregate of the Reference Rate and the Credit Adjustment Spread is zero.

"**Refund Guarantee**" has the meaning given to such term in the MOA.

"**Related Charter**" means, in relation to each Related Vessel, a bareboat charter (as the same may be amended, supplemented, extended, replaced and/or novated from time to time) entered into between the relevant Related Owners (as owners) and the relevant Related Charterers (as bareboat charterers), as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Charterers**" means, in relation to each Related Vessel, her charterers as listed under the column headed "Related Charterers", as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Document**" means any document entered into by the Charterers which provides loan financing or lease financing to the Charterers.

"**Related MOA**" means, in relation to each Related Vessel, a memorandum of agreement entered or to be entered into between the relevant Related Owners (as buyers) and the relevant Related Charterers (as sellers), as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Obligor**" means any "Obligor" as defined in any Related Charter.

"**Related Owners**" means, in relation to each Related Vessel, her owner as listed under the column headed "Related Owners", as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Vessel**" means each of the vessels listed in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Relevant Jurisdictions**" means, in relation to an Obligor:-

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) its jurisdiction of incorporation;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any jurisdiction where it conducts its business, or where its centre of main interest is situated or where its central management and control is or has recently been exercised; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the jurisdiction whose laws govern the perfection of any of the Security Documents entered into by it.

"**Requisition Compensation**" means all compensation or other money which may from time to time be payable to the Charterers as a result of the Vessel being requisitioned for title or in any other way compulsorily acquired (other than by way of requisition for hire).

"**Restricted Party**" means a person or entity that is (i) listed on, or owned or controlled by a person listed on, any Sanctions List; (ii) a national of, located in, incorporated under the laws of, or owned or (directly or indirectly) controlled by, a person located in or organised under the laws of a country or territory that is the target of country-wide or territory-wide Sanctions; or (iii) otherwise a target of Sanctions ("target of Sanctions" signifying a person with whom a US person or other national of Sanctions Authority would be prohibited or restricted by law from engaging in trade, business or other activities).

"**Sanctions**" means the economic sanction laws, regulations, embargoes or restrictive measures administered, enacted or enforced by: (i) the United States government; (ii) the United Nations; (iii) the European Union; (iv) the United Kingdom; (v) the People's Republic of China or (vi) the respective governmental institutions and agencies of any of the foregoing, including, without limitation, the Office of Foreign Assets Control of the US Department of Treasury ("**OFAC**"), the United States Department of State and His Majesty's Treasury ("**HMT**") (together, the "**Sanctions Authorities**").

"**Sanctions List**" means the "Specially Designated Nationals and Blocked Persons" list maintained by the OFAC, the Consolidated List of Financial Sanctions Targets and the Investment Ban List maintained by HMT, or any similar list maintained by, or public announcement of Sanctions designation made by, any of the Sanctions Authorities.

"**Screen Rate**" means the London interbank offered rate administered by ICE Benchmark Administration Limited (or any other person which takes over the administration of that rate) for US Dollars for the relevant period displayed (before any correction, recalculation or republication by the administrator) on page LIBOR01 or LIBOR02 of the Thomson Reuters screen (or any replacement Thomson Reuters page which displays that rate) or on the appropriate page of such other information service which publishes that rate from time to time in place of Thomson Reuters. If such page or service ceases to be available, the Owners may specify another page or service displaying the relevant rate after consultation with the Charterers.

"**Scrubber Cost Balance**" means at any time during the Agreement Term, an amount equal to the Actual Owners' Cost (Scrubber) as may be reduced by payment of any Scrubber Fixed Hire.

"**Scrubber Fixed Hire**" has the meaning given to such term in sub-paragraph (a)(ii) of Clause 40 (*Hire*).

"**Scrubber Hire Payment Date**" has the meaning given to such term in sub-paragraph (a)(ii) of Clause 40 (*Hire*).

"**Scrubber Variable Hire**" has the meaning given to such term in sub-paragraph (a)(iii) of Clause 40 (*Hire*).

"**Scrubber Variable Hire Determination Date**" means (a) in relation to a Hire Period which commences prior to the Rate Switch Date, the date falling five (5) Business Days prior to the first day of such Hire Period and (b) in relation to a Hire Period which commences on or after the Rate Switch Date, the date falling five (5) US Government Securities Business Days prior to the first day of such Hire Period.

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"**Security Documents**" means, in relation to the Vessel, collectively the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Account Pledge;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Charterers' Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) each Manager's Undertaking;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Pre-Delivery Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Share Charge;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the Security Trust Deed; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any other document that may at any time be executed by any person guaranteeing, creating, evidencing or perfecting any Security Interest to secure all or part of all the Obligors' obligations under or in connection
 with the Transaction Documents,

and "**Security Document**" means any one of them.

"**Security Interest**" means a 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.

"**Security Trust Deed**" means the deed executed or to be executed by the Security Trustee, the Owners, the Related Owners, the Charterers, the Related Charterers, the Chargor and the Approved Commercial Manager.

"**Security Trustee**" means GREAT LHOTSE LIMITED.

"**Sellers**" means the Charterers in their capacity as sellers under the MOA.

"**Settlement Date**" means, following a Total Loss of the Vessel, the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the date which falls on 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;(i) ninety (90) days after the date of occurrence of the Total Loss; 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;(ii) eighty four (84) months after the Actual Delivery Date,

in each case, if such date is not a Business Day, the immediately preceding Business Day; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the date on which the Owners receive the Total Loss Proceeds in respect of the Total Loss.

"**Seventh Anniversary Date**" means the date falling on the seventh (7<sup>th</sup>) anniversary of the Actual Delivery Date.

"**Share Charge**" means the charge over the entire issued share capital of the Charterers executed or (as the case may be) to be executed by the Chargor in favour of the Security Trustee.

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"**Shareholder Funding**" means any funding provided or to be provided by the Guarantor to the Charterers (and which shall be subordinated (to the satisfaction to the Owners) in all respects to any and all amounts owing by the Charterers to the Owners under the Transaction Documents).

"**Side Letter**" means a side letter to this Charter of even date herewith made between the Owners and the Charterers.

"**Sixth Anniversary Date**" means the date falling on the sixth (6<sup>th</sup>) anniversary of the Actual Delivery Date.

"**Sub-Charter**" means any charterparty or contract of employment in respect of the Vessel entered into between the Charterers as disponent owners and any Sub-Charterers.

"**Sub-Charterers**" means any sub-charterers which are or will be parties to the relevant Sub-Charter.

"**Subsidiary**" means a subsidiary undertaking within the meaning of section 1162 of the Companies Act 2006.

"**Swap Losses**" means the amount (if any) of any claim, expense, liability or loss incurred by the Owners in terminating (as a result of (i) the Charterers exercising the Purchase Option on the Third Anniversary Date, Fourth Anniversary Date, Fifth Anniversary Date or Sixth Anniversary Date, (ii) the Charterers fulfilling the Purchase Obligation or (iii) the Termination Sum being paid) swap transactions entered into to hedge any interest rate exposure of the Owners in respect of the financing or refinancing of the Actual Owners' Cost, excluding any such swap transactions entered into to hedge interest rate exposure for a period which matures after the Seventh Anniversary Date and excluding any such swap transactions entered into to hedge interest rate exposure in respect of the financing or refinancing of the Actual Owners' Cost (Scrubber) only for a period which matures after the Third Anniversary Date.

"**Tax**" or "**tax**" means any present and future tax (including, without limitation, value added tax, consumption tax or any other tax in respect of added value or any income), levy, impost, duty or other charge or withholding of any nature (including any penalty or interest payable in connection with any failure to pay or any delay in paying any of the same); and "**Taxes**", "**taxes**", "**Taxation**" and "**taxation**" shall be construed accordingly.

"**Term SOFR**" means the term SOFR reference rate administered by CME Group Benchmark Administration Limited (or any other person which takes over the administration of that rate) for the relevant period published (before any correction, recalculation or republication by the administrator) by CME Group Benchmark Administration Limited (or any other person which takes over the publication of that rate).

"**Termination**" means the termination at any time of the chartering of the Vessel under this Charter.

"**Termination Core Amount**" means each of the figures set out in the column headed "Termination Core Amount" in the Termination Core Amount Schedule.

"**Termination Core Amount Schedule**" means the schedule as set out in Schedule 4 (T*ermination Core Amount Schedule*) to this Charter (it being agreed that the Termination Core Amount Schedule as of the Original Charter Date is prepared based on the assumption that the Actual Owners' Cost (Vessel) equals the Assumed Financing Amount (Vessel) and accordingly, the Owners shall, if the Actual Owners' Cost (Vessel) does not equal the Assumed Financing Amount (Vessel), deliver to the Charterers, prior to, on or after the Actual Delivery Date, an amended Termination Core Amount Schedule reflecting the exact Actual Owners' Cost (Vessel) and such amended Termination Core Amount Schedule shall, from the date the same is delivered to the Charterers, be deemed to be incorporated into this Charter and shall thereafter constitute the current Termination Core Amount Schedule).

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"**Termination Event**" means each of the events specified in paragraph (a) (*Termination Events*) of Clause 52 (*Termination Events*).

"**Termination Notice**" means the termination notice referred to in (as the context may require):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) paragraph (k) (*Illegality*) of Clause 40 (*Hire*); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) paragraph (c) (*Owners' options after occurrence of a Termination Event*) of Clause 52 (*Termination Events*).

"**Termination Payment Date**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in respect of a Termination in accordance with paragraph (k) (*Illegality*) of Clause 40 (*Hire*), the date specified in the Termination Notice served on the Charterers pursuant to that Clause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in respect of a Default Termination, the date specified in the Termination Notice served on the Charterers pursuant to paragraph (c) (*Owners' options after occurrence of a Termination Event*) of Clause 52 (*Termination Events*) in respect of such Default Termination; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in respect of a Total Loss Termination, the Settlement Date in respect of the Total Loss which gives rise to such Total Loss Termination.

"**Termination Sum**" means an amount representing the Owners' losses as a result of a Termination prior to the expiry of the Agreed Charter Period (other than by virtue of the Charterers exercising the Purchase Option in accordance with Clause 55 (*Purchase Option*) or by virtue of the Owners delivering a Purchase Obligation Notice in accordance with paragraph (b) (*Purchase Obligation – outbreak of war*) of Clause 56 (*Purchase Obligation and transfer of title*), which both parties acknowledge as a genuine and reasonable pre-estimate of the Owners' losses in the event of such Termination and shall consist of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) only if the Actual Owners' Cost (Vessel) has been paid by the Owners to the Charterers under the MOA, an amount equivalent to the Termination Core Amount applicable to the Hire Payment Date immediately prior to the
 Termination Payment Date, as set out in the Termination Core Amount Schedule (and for the avoidance of doubt, if the Termination Payment Date falls on the first Hire Payment Date, any reference to the Termination Core Amount shall be a reference
 to the Actual Owners' Cost (Vessel));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) only if the Actual Owners' Cost (Scrubber) has been paid by the Owners to the Charterers under the MOA, an amount equivalent to the then current Scrubber Cost Balance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all Hire due and payable, but unpaid, under this Charter up to (and including) the relevant Termination Payment Date together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of
 Clause 40 (*Hire*) from the due date for payment thereof to the date of actual payment, provided that, to the extent that there is no such Hire which is due and payable but unpaid, the Charterers will receive a credit for any part of Hire
 (as defined in (a) of the definition of "Hire") and any Scrubber Variable Hire paid in advance by the Charterers on account of the period between the day (including that day) immediately following that Termination Payment Date and the last day
 (not including that day) of the Hire Period within which that Termination Payment Date falls;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) all other Unpaid Sums due and payable together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the due date for payment thereof up to the date of
 actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Break Costs (if any), but only if and as a result of the Termination Payment Date not falling on a Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) so long as the Vessel is not being transferred to the Charterers, all liabilities, costs and expenses so incurred in recovering possession of, and in repositioning, berthing, insuring and maintaining the Vessel for
 carrying out any works or modifications required to cause the Vessel to conform with the provisions of Clauses 44 (*Redelivery*) and 45 (*Redelivery conditions*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any legal costs incurred by the Owners in respect of the Termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any other reasonable costs and expenses incurred by the Owners in connection with any Finance Document as a result of the Termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any reasonable prepayment fee incurred by the Owners in connection with any Finance Document as a result of a Termination Event or any non-compliance by any Obligor of any provision of the Transaction Documents to
 which such Obligor is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) the Swap Losses (if any) directly attributable to the Termination Sum being paid.

"**Third Anniversary Date**" means the date falling on the third (3<sup>rd</sup>) anniversary of the Actual Delivery Date.

"**Third Parties Act**" means the Contracts (Rights of Third Parties) Act 1999.

"**Title Re-Transfer PDA**" means the protocol of delivery and acceptance in relation to the re-transfer of the Vessel to be executed between the Owners and the Charterers, substantially in the form of Schedule 2 (*Form of Title Re-Transfer Protocol of Delivery and Acceptance*) hereto upon expiration of the Charter Period.

"**Total Loss**" means, during the Charter Period:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) actual or constructive or compromised or agreed or arranged total loss of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the requisition for title or compulsory acquisition of the Vessel by any Governmental Agency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, confiscation or forfeiture of the Vessel (not falling within (b) above), unless the Vessel is released and returned to the possession
 of the Owners or the Charterers within sixty (60) days after the capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, confiscation or forfeiture in question,

and for the purpose of this Charter, (i) an actual Total Loss of the Vessel shall be deemed to have occurred at the date and time when the Vessel was lost but if the date of the loss is unknown the actual Total Loss shall be deemed to have occurred on the date on which the Vessel was last reported, (ii) a constructive Total Loss shall be deemed to have occurred at the date and time at which a notice of abandonment of the Vessel is given to the insurers of the Vessel, and (iii) a compromised, agreed or arranged Total Loss shall be deemed to have occurred on the date of the relevant compromise, agreement or arrangement.

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"**Total Loss Proceeds**" means the proceeds of the Insurances or any other compensation of any description in respect of a Total Loss unconditionally received and retained by or on behalf of the Owners in respect of a Total Loss.

"**Total Loss Termination**" means a Termination pursuant to the provisions of paragraph (a) (*Total Loss Termination*) of Clause 57 (*Total Loss*).

"**Transaction Documents**" means, together, this Charter, the MOA, the Security Documents, the Side Letter and such other documents as may be designated as such by the Owners and the Charterers from time to time.

"**Unpaid Sum**" means any sum due and payable but unpaid by any Obligor under the Transaction Documents.

"**US Dollars**", "**Dollars**", "**USD**", "**US$**" and "**$**" each means available and freely transferable and convertible funds in lawful currency of the United States of America.

"**US Government Securities Business Day**" means a day other than:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a Saturday or Sunday; and

&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.

"**US Tax Obligor**" means**:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an obligor which is resident for tax purposes in the United States of America; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an obligor some or all of whose payments under the Transaction Documents to which it is a party are from sources within the United States for US federal income tax purposes.

"**Valuation Report**" means, in relation to the Vessel, a desktop valuation report (without physical inspection) addressed to the Owners from an Approved Valuer on the basis of a charter-free sale for prompt delivery for cash at arm's length on normal commercial terms as between a willing seller and a willing buyer.

"**Vessel**" means the 210,000 DWT bulk carrier with the Builder's hull number 0120833 as more particularly described in Boxes 5 (*Vessel's name, call sign and flag*) to 10 (*Classification Society*) of this Charter, along with all her appurtenances, associated equipment, materials, stores, spare parts and documentation (including, without limitation, the Scrubber (as described in the MOA)).

"**Vessel Management Agreement**" means, in relation to the Vessel, each technical or commercial management agreement executed or to be executed (as the case may be) between (a) an Approved Manager (as technical or commercial manager (as the case may be)), and (b) the Charterers (as demise owners).

**33.** **Interpretations** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In this Charter, unless the context otherwise requires, any reference to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Charter include the Schedules hereto and references to Clauses and Schedules are, unless otherwise specified, references to Clauses of and Schedules to this Charter and, in the case of a Schedule, to such
 Schedule as incorporated in this Charter as substituted from time to time;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any statutory or other legislative provision shall be construed as including any statutory or legislative modification or re-enactment thereof, or any substitution therefor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the term "**Vessel**" includes any part of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "**assets**" includes present and future properties, revenues and rights of every description;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the "**Owners** ", the "**Charterers** ", the "**Guarantor** ", the "**Chargor** ", any "**Obligor** ", the "**Related Owners** ", the "**Related Charterers** ", any "**Sub-Charterers**" or any other
 person include any of their respective successors, permitted assignees and permitted transferees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) a "**Project Document**" or any other agreement, instrument or document include such Project Document or other agreement, instrument or document as the same may from time to time by amended, modified,
 supplemented, novated or substituted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) the "**equivalent**" in one currency (the "**first currency**") as at any date of an amount in another currency (the "**second currency**") shall be construed as a reference to the amount of the first
 currency which could be purchased with such amount of the second currency at the spot rate of exchange quoted by the Owners' Bank at or about 11:00 a.m. (Shanghai time) two (2) business days (being a day other than Saturday or Sunday on which
 banks and foreign exchange markets are generally open for business in Shanghai) prior to such date for the purpose of the first currency with the second currency for delivery and value on such date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) "**hereof** ", "**herein**" and "**hereunder**" and other words of similar import means this Charter as a whole (including the Schedules) and not any particular part hereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) "**law**" includes common or customary law and any constitution, decree, judgment, legislation, order, ordinance, regulation, rule, statute, treaty or other legislative measure in any jurisdiction or any present
 or future directive, regulation, request or requirement, or official or judicial interpretation of any of the foregoing, in each case having the force of law and, if not having the force of law, in respect of which compliance is generally
 customary;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) "**month**" means, save as otherwise provided, a period starting on one day in a calendar month and ending on the numerically corresponding day in the next calendar month, except that 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 day in that calendar month;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) the word "**person**" or "**persons**" or to words importing persons include, without limitation, any state, divisions of a state, government, individuals, partnerships, corporations, ventures, government
 agencies, committees, departments, authorities and other bodies, corporate or unincorporated, whether having distinct legal personality or not;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) the "**winding-up** ", "**dissolution** ", "**administration** ", "**liquidation** ", "**insolvency** ", "**reorganisation** ", "**readjustment of debt** ", "**suspension of payments** ", "**moratorium** "
 or "**bankruptcy "** (and their derivatives and cognate expressions) of any person shall each be construed so as to include the others and any equivalent or analogous proceedings or event under the
 laws of any jurisdiction in which such person is incorporated or any jurisdiction in which such person carries on business;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) "**protection and indemnity risks**" means the usual risks covered by a protection and indemnity association which is a member of the International Group of P&I Clubs, including pollution risks, extended
 passenger cover and the proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable under the hull and machinery policies by reason of the incorporation in them of clause 6 of the
 International Hull Clauses (1/11/02 or 1/11/03), clause 8 of the Institute Time Clauses (Hull)(1/10/83) or clause 8 of the Institute Time Clauses (Hulls)(1/11/1995) or the Institute Amended Running Down Clause (1/10/71) or any equivalent
 provision;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) a Potential Termination Event or Termination Event is "**continuing**" if it has not been remedied or waived; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) words denoting the plural number include the singular and vice versa.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Headings are for the purpose of reference only, have no legal or other significance, and shall be ignored in the interpretation of this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A time of day (unless otherwise specified) is a reference to Shanghai time.

**34.** **Background** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***The MOA*** By a memorandum of agreement (the "**MOA**") of even date herewith made between the Owners (as buyers thereunder) and the Sellers (as sellers thereunder), the Owners have agreed to purchase
 and the Sellers have agreed to sell the Vessel subject to the terms and conditions therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Transfer of ownership pursuant to MOA*** Accordingly the parties hereby agree that the Owners' obligations to charter the Vessel to the Charterers under this Charter are subject to the effective transfer
 of ownership of the Vessel to the Owners pursuant to the MOA.

**35.** **Delivery** 

As at the Effective Date, the Vessel is under construction by the Builder pursuant to the terms of the Building Contract and the Owners have (on the Original Charter Date) entered into the MOA with the Sellers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Conditions to delivery*** The obligation of the Owners to charter the Vessel to the Charterers pursuant to this Charter shall be subject to the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) delivery of the Vessel by the Charterers to the Owners pursuant to the terms of the MOA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Owners obtaining full title to the Vessel pursuant to the terms of the MOA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) no Termination Event having occurred which is continuing on or prior to the Actual Delivery Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the representations and warranties referred to in Clause 48 (*Charterers' representations and warranties*) being true and correct on the Original Charter Date, the Effective Date and the Actual Delivery Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Actual Delivery Date falling on or before the Long Stop Date (or such later date as may be agreed between the Owners (as buyer under the MOA) and the Sellers);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the Owners having received, or being satisfied that they will receive, the documents and evidence referred to in paragraph (a) (*Owners' conditions precedent*) of Clause 36 (*Conditions precedent*), in each
 case in all respects in form and substance satisfactory to them on or before the Actual Delivery Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) delivery of the Vessel to the Sellers by the Builder under the Building Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Delivery and acceptance*** Provided that the conditions referred to in paragraph (a) (*Conditions to delivery*) above have been fulfilled or waived to the satisfaction of the Owners (which shall be
 evidenced in writing by the Owners), the Owners and the Charterers agree that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Charterers shall, at their own expense, upon the Actual Delivery Date arrange for the Vessel to be registered under the laws and flag of the Flag State and in the name of the Owners as legal owner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Charterers shall take delivery of the Vessel from the Owners under this Charter (such delivery to be conclusively evidenced by a duly executed PDA) immediately following the acceptance of delivery of the Vessel
 by the Owners from the Sellers pursuant to the MOA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Charterers will accept 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;(A) on an "as is where is" basis in exactly the same form and state as the Vessel is delivered by the Sellers to the Owners pursuant to the MOA;

&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 such form and state with any faults, deficiencies and errors of description; 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;(C) for the avoidance of doubt, no underwater inspection shall be performed at the time of commencement of this Charter on the basis that any repairs required at the next scheduled dry-docking are the responsibility of
 the Charterers; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Charterers shall have no right to refuse acceptance of delivery of the Vessel into this Charter if the Vessel is delivered to the Owners pursuant to the MOA and, notwithstanding and without prejudice to the
 foregoing, the Owners and the Charterers nonetheless agree to enter into and execute the PDA on delivery of the Vessel under this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***No representation or warranty from Owners*** The Charterers acknowledge and agree that the Owners are not the manufacturer or original supplier of the Vessel which
 has been purchased by the Owners pursuant to the MOA, and have therefore made no representations or warranties in respect of the Vessel or any part thereof, and hereby waive all their rights in respect of any
 warranty or condition implied (whether statutory or otherwise) on the part of the Owners and all claims against the Owners howsoever the same might arise at any time in respect of the Vessel, or arising out of the construction,
 operation or performance of the Vessel and the chartering thereof under this Charter (including, without limitation, in respect of the seaworthiness or otherwise of the Vessel).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***No liability from Owners*** In particular, and without prejudice to the generality of paragraph (c) (*No representation or warranty from Owners*) above, the Owners shall be under no liability
 whatsoever, howsoever arising, in respect of the injury, death, loss, damage or delay of or to or in connection with the Vessel or any person or property whatsoever, whether onboard the Vessel or elsewhere, and irrespective of whether such
 injury, death, loss, damage or delay shall arise from the unseaworthiness of the Vessel. For the purpose of this paragraph (d), "delay" shall include delay to the Vessel (whether in respect of delivery under this Charter or thereafter and any
 other delay whatsoever).

**36.** **Conditions precedent** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Owners' conditions precedent*** Notwithstanding anything to the contrary in this Charter, the obligations of the Owners to charter the Vessel to the Charterers under this Charter are subject to and
 conditional upon the Owners' receipt of following documents and evidence (in each case in form and substance acceptable to the Owners) on or before the Actual Delivery Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) an original of each 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;(A) the duly executed 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;(B) the duly executed Security Documents together with all documents required by any of them (other than the acknowledgement (duly executed by the Account Bank) to the notice of charge required under the Account Pledge
 and the letters of undertaking in respect of the Insurances and copies of the relevant policies or cover notes or entry certificates in respect of the Insurances duly endorsed with the interest of the Owners required under the Charterers'
 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;(C) the duly executed MOA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) certified true copies of the memorandum and articles of association (or equivalent documents) (and all amendments thereto) of each Obligor and any other documents required to be filed or registered or issued under
 the laws of its jurisdiction of incorporation to establish its incorporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) certified true copies of written resolutions or (as the case may be) resolutions passed at meetings of the board of directors of each Obligor, each evidencing the relevant Obligor's respective approval of the
 Transaction Documents and authorising appropriate officers, directors or attorneys to execute the same and to sign all notices required to be given hereunder or thereunder on their behalf or other evidence of such approvals and authorisations as
 shall be acceptable to the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) a certified true copy of a certificate of good standing of each Obligor issued no earlier than ten (10) days prior to the Actual Delivery Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) an original certificate of an authorised signatory of each Obligor certifying that each copy document relating to it specified in this paragraph (a) is correct, complete and in full force and effect;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) if applicable, the original power of attorney of each Obligor under which any document (including the Transaction Documents) are to be executed or transactions undertaken by them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) if applicable, copies (certified true where possible) of all Authorisations as may be necessary to authorise the performance by each of the Obligors of its obligations under the Transaction Documents to which it is
 or (as the case may be) will be a party, and the execution, validity and enforceability of such Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) copies or, where applicable, electronic copies 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;(A) *intentionally left blank* 

&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) each duly executed Vessel 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;(C) the Vessel's current Safety Management Certificate (as such term is defined pursuant to 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;(D) each applicable Approved Technical Manager's current Document of Compliance (as such term is defined pursuant to 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;(E) the Vessel's current ISSC;

&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 Vessel's current IAPPC;

&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 Vessel's classification certificate evidencing that she is free of all conditions of class from the 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;(H) any Sub-Charter,

in each case (and where applicable) together with all addenda, amendments or supplements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) evidence 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;(A) all the conditions precedents under clause 8 (*Conditions precedent and subsequent*) of the MOA have been, or, in the Owners' opinion, will be satisfied on the Actual Delivery 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;(B) the Charterers have paid (1) the Commitment Fee (as defined under the MOA) due from the Charterers under the MOA on or before the Actual Delivery Date, (2) the Handling Fee and (3) all other payable fees, costs and
 expenses, in each case in accordance with Clause 59 (*Fees and expenses*);

&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) on or immediately after the Actual Delivery Date, the Vessel will be registered (or at least provisionally registered, if applicable) under the laws and flag of the Flag State and in the name of the Owners with all
 associated costs and expenses paid by the Charterers in accordance with paragraph (b)(vii) (*Other costs and expenses*) of Clause 59 (*Fees and expenses*);

&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 Vessel is insured in the manner required by the Transaction Documents (including, in particular, evidence that Innocent Owners' Interest Insurances have been arranged and that the Owners have been or will be
 reimbursed by the Charterers for all costs, premiums and expenses paid or incurred by the Owners in connection therewith), together with:

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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;(1) an insurance report (in form and substance acceptable to the Owners) in respect of the Insurances issued by an insurance adviser appointed by the Owners or confirmation satisfactory to the Owners that such an
 insurance report will be issued;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) evidence that the relevant loss payable clause (in a form as the Owners may approve) has been or will be endorsed on or attached to the policies, the cover notes or certificates of entry relating to the Insurances;
 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;(3) evidence that letters of undertaking (each in a form as the Owners may approve) will be issued;

&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) any process agent referred to in any Transaction Document has accepted its appointment; 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;(F) the Owners have received the Hire which is due and payable on the first Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) a legal opinion of the legal advisers to the Owners in each of the following relevant jurisdictions:

&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) England and Wales;

&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) 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;(C) The Republic of Liberia;

&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) Norway; 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;(E) jurisdiction in which the Approved Technical Manager is incorporated;

or confirmation satisfactory to the Owners that such an opinion will be given; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) a copy of any other Authorisation or other document, opinion or assurance which the Owners reasonably consider to be necessary or desirable in connection with the entry into and performance of the transactions
 contemplated by any Transaction Document or for the validity and enforceability of any Transaction Document (including, without limitation in relation to or for the purposes of any financing by the Owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Owners' discretion regarding conditions precedent*** If the Owners in their sole discretion agree at the request of the Charterers to deliver the Vessel under this Charter to
 the Charterers before all of the documents and evidence required under paragraph (a) (*Owners' conditions precedent*) above have been delivered to or to the order of the Owners, the Charterers undertake to deliver all outstanding
 documents and evidence to or to the order of the Owners no later than seven (7) Business Days after the Actual Delivery Date (or such later date as the Owners may agree in writing, acting in their sole discretion). The delivery of the Vessel by
 the Owners to the Charterers under this Charter shall not, unless otherwise notified by the Owners (acting in their sole discretion) to the Charterers in writing, be taken as a waiver of the Owners' right to require production of all the
 documents and evidenced required by this Clause 36.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Certified true copies*** Each certified true copy document referred to this Clause 36 must be certified by a director, company secretary or duly authorised representative of the relevant Obligor as being
 true and complete as at a date no later than the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Original document*** If any of the original documents required under paragraph (a) (*Owners' conditions precedent*) above cannot be delivered to the Owners on or prior to the Actual Delivery Date,
 the Owners will rely on a scanned copy of such document to proceed with the delivery of the Vessel as long as evidence that such original document is in transit to the Owners by courier is provided by the Charterers.

**37.** **Bunkers and luboils** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) At delivery the Charterers shall take over all bunkers, lubricating oil, water and unbroached provisions in the Vessel without cost.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the extent that Clause 44 (*Redelivery*) applies, at redelivery the Owners shall take over without cost all bunkers, unused lubricating oil, water and unbroached provisions and other consumable stores in the
 Vessel.

**38.** **Further maintenance and operation** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Maintenance*** The good commercial maintenance practice under Clause 10 (*Maintenance and Operation*) (Part II) of this Charter shall be deemed to include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the maintenance and operation of the Vessel by the Charterers in accordance 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;(A) the relevant regulations, requirements and recommendations of the 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;(B) the relevant regulations, requirements and recommendations of the country and flag of the Vessel's registry;

&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 applicable IMO regulations (including, without limitation, the ISM Code, the ISPS Code and 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;(D) all other applicable regulations, requirements and recommendations; 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;(E) the Charterers' operations and maintenance manuals;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the maintenance and operation of the Vessel by the Charterers taking into account:

&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) engine manufacturers' recommended maintenance and service 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;(B) builder's operations and maintenance manuals; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) recommended maintenance and service schedules of all installed equipment and pipework.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Access to class records*** The Charterers covenant with the Owners to arrange (at the Charterers' costs) access to class records and inspection records for the Owners as available to the Charterers.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Extra equipment*** Any equipment that is found not to be required on board as a result of regulation or operational experience is either to be, at the Charterers' option, removed at the Charterers'
 expense or to be maintained in operable condition.

**39.** **Structural changes and alterations** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Charterers shall make no structural changes in the Vessel or changes in the machinery, engines, appurtenances or spare parts thereof without in each instance first securing the Owners' consent thereto except
 where any such change:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) does not have a material adverse effect on the Vessel's certification or the Vessel's fitness for purpose; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) will not materially diminish the value of the Vessel and/or have a material adverse effect on the safety, performance, value or marketability of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Upon the occurrence of any Termination Event which is continuing, and if the Vessel is not being transferred to the Charterers pursuant to and in accordance with paragraph (g) (*Transfer of title*) of Clause 52
 (*Termination Events*) and the Owners decide to retake possession of the Vessel pursuant to paragraph (d) of Clause 52 (*Termination Events*), then the Charterers shall, in each case at their expense, restore the Vessel to its former
 condition unless the changes made are carried out:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) with the prior written consent of the Owners; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to improve the performance, operation or marketability of the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) as a result of a regulatory compliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any improvement, structural changes or new equipment becoming necessary for the continued operation of the Vessel by reason of new class requirements or by compulsory legislation shall be for the Charterers' account
 and the Charterers shall not have any right to recover from the Owners any part of the cost for such improvements, changes or new equipment either during the Charter Period, or at redelivery of the Vessel. Unless otherwise requested by the
 Owners, the Charterers shall not remove any such improvement structural changes or new equipment at redelivery of the Vessel. The Charterers shall upon request give written notice to the Owners of any such improvement, structural changes or new
 equipment.

**40.** **Hire** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Hire during Charter Period*** In consideration of the Owners' agreement to charter the Vessel to the Charterers during the Charter Period pursuant to the terms hereof, the Charterers shall pay to the
 Owners:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) on each and every Hire Payment Date the aggregate amount calculated by multiplying (a) the Daily Charter Rate by (b) the number of days in the relevant Hire Period (being each day from that Hire Payment Date
 (including that date) until, in respect of the Hire Payment Date of the final Hire Period, the last day of such Hire Period (including that day), and, in respect of all other Hire Payment Dates, the next Hire Payment Date (not including that
 date));

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) on each and every of the first twelve (12) Hire Payment Dates (each a "**Scrubber Hire Payment Date** "), by way of fixed hire (each a "**Scrubber Fixed Hire**") an amount equal to 1/12<sup>th</sup> of the Actual Owners' Cost (Scrubber); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) on each and every Scrubber Hire Payment Date, by way of variable hire (each a "**Scrubber Variable Hire**") an amount calculated in accordance with the following formula:

A x B x C

whereby

A =&nbsp;&nbsp;&nbsp;&nbsp; (in relation to the first Scrubber Hire Payment Date) the Actual Owners' Cost (Scrubber) or (in relation to any other Scrubber Hire Payment Date) the Scrubber Cost Balance immediately prior to that Scrubber Hire Payment Date

B =&nbsp;&nbsp;&nbsp;&nbsp; the aggregate of (i) the Margin and (ii) the Applicable Rate for the relevant Hire Period commencing on that Scrubber Hire Payment Date

C =&nbsp;&nbsp;&nbsp;&nbsp; a fraction whose denominator is three hundred and sixty (360) and numerator is the number of days which will elapse from that Scrubber Hire Payment Date (including that date) until, (i) in respect of the twelfth (12<sup>th</sup>) Scrubber Hire Payment Date, the last day (including that day) of the Hire Period commencing on the twelfth (12<sup>th</sup>) Scrubber Hire Payment Date, and (ii) in respect of all other Scrubber Hire Payment Dates, the next Scrubber Hire Payment Date (not including that date).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Payment of Hire*** Each Hire payment shall be made in advance on each relevant Hire Payment Date (Shanghai time) (in respect of which time is of the essence) with the first Hire Payment Date falling on
 the Actual Delivery Date. Each Hire shall be received by the Owners no later than 4:00 p.m. (Shanghai time) on the relevant Hire Payment Date (in respect of which time is of the essence).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Non-Business Day*** Any payment under this Charter which is due to be made on a day that is not a Business Day shall be made on the preceding Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Payment account information*** All payments under this Charter shall be made to the account opened in the name of the Owners with such bank as the Owners may choose (the "**Owners' Bank** "), the
 details of which shall be notified by the Owners to the Charterers at least five (5) Business Days prior to the first Hire Payment Date (or such other account as the Owners may from time to time notify the Charterers in writing at least five (5)
 Business Days before the due date for payment) (the "**Owners' Account**") for credit to the account of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Charterers' Hire payment obligation absolute*** Following delivery of the Vessel to, and acceptance by, the Charterers under this Charter, the Charterers' obligation to pay Hire in accordance with this
 Clause 40 shall be absolute irrespective of any contingency whatsoever including but not limited to:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any set-off, counterclaim, recoupment, defence or other right which either party to this Charter may have against the other;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any unavailability of the Vessel, for any reason, including but not limited to any action or inaction by any Sub-Charterers, seaworthiness, condition, design, operation, merchantability or fitness for use or purpose
 of the Vessel or any apparent or latent defects in the Vessel or its machinery and equipment or the ineligibility of the Vessel for any particular use or trade or for registration of documentation under the laws of any relevant jurisdiction or
 lack of registration or the absence or withdrawal of any consent required under the applicable law of any relevant jurisdiction for the ownership, chartering, use or operation of the Vessel or any damage to the Vessel or any dry-docking of the
 Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any lack or invalidity of title or any other defect in title, provided such lack or invalidity of title or defect does not affect the quiet and peaceful use, possession and enjoyment of the Vessel;

&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 either party to this Charter, whether with or without fault on its part, in performing or complying with any of the terms, conditions or other provisions of this Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any insolvency, bankruptcy, reorganisation, arrangement, readjustment of debt, dissolution, administration, liquidation or similar proceedings by or against the Owners, any Obligor or Sub-Charterers, or any change in
 the constitution of the Owners, any Obligor or Sub-Charterers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any invalidity or unenforceability or lack of due authorisation of or any defect in this Charter or any Sub-Charter; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any other cause which would but for this provision have the effect of terminating or in any way affecting the obligations of the Charterers hereunder,

it being the intention of the parties that the provisions of this Clause 40, and the obligation of the Charterers to pay Hire and make any payments under this Charter, shall (save as expressly provided in this Clause 40) survive any frustration and that, save as expressly provided in this Charter, no moneys paid under this Charter by the Charterers to the Owners shall in any event or circumstance be repayable to the Charterers. For the avoidance of doubt, the obligation of Charterers to pay Hire under this Charter shall not be affected by any breach of this Charter by the Owners, it being understood that the Charterers shall, in the event of such breach, be entitled to claim compensation for their losses, documented damages or expenses (excluding Hire paid under this Charter).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***All payments free from deductions*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) All payments of Hire and all other Unpaid Sums to the Owners pursuant to this Charter and the other relevant Transaction Documents shall be made in immediately available funds in US Dollars and free and clear of, and
 without deduction for or on account of, any bank charges and any Taxes (including a FATCA Deduction).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) In the event that the Charterers are required by any law or regulation to make any deduction or withholding (including a FATCA Deduction) on account of any taxes which arise as a consequence of any payment due under
 this Charter, then:

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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;(A) the Charterers shall notify the Owners promptly after they become aware of such requirement;

&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 Charterers shall remit the amount of such taxes to the appropriate taxation authority within any applicable time limits and in any event prior to the date on which penalties attach thereto; 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;(C) such payment shall be increased by such amount as may be necessary to ensure that the Owners receive a net amount which, after deducting or withholding such taxes, is equal to the full amount which the Owners would
 have received had such payment not been subject to such taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Charterers shall forward to the Owners evidence reasonably satisfactory to the Owners that any such taxes have been remitted to the appropriate taxation authority within thirty (30) days of the expiry of any time
 limit within which such taxes must be so remitted or, if earlier, the date on which such taxes are so remitted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)  ***Mitigation*** The Owners shall, subject to sub-paragraph (v) (*Limitation of liability*) below and in consultation with the Charterers, take all reasonable steps to mitigate any circumstances which
 arise and which would result in any amount becoming payable under or pursuant to any of this paragraph (h) or Clause 41 (*Increased Costs*), including (but not limited to) transferring their rights and obligations under the Transaction
 Documents to an Affiliate (in accordance with Clause 47 (*Owners' mortgage*). The above does not in any way limit the obligations of any Obligor under the Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Limitation of liability*** The Charterers shall promptly indemnify the Owners for all costs and expenses reasonably incurred by the Owners as a result of steps taken by the Owners under sub-paragraph (iv)
 (*Mitigation*) above. The Owners are not obliged to take any steps under sub-paragraph (iv) (*Mitigation*) above if, in their opinion (acting reasonably), to do so might be prejudicial to them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Default interest*** Subject to paragraph (a)(i) (*Non-payment*) of Clause 52 (*Termination Events*), if the Charterers fail to pay any amount payable by it under a Transaction Document on its
 due date, interest shall accrue on a daily basis on the Unpaid Sum from the due date up to the date of actual payment (both before and after judgment) at a rate of ten per cent. (10%) per annum over the amount of such Unpaid Sum for the period of
 such non-payment. Any interest accruing under this paragraph (i) shall be immediately payable by the Charterers on demand by the Owners. Default interest (if unpaid) arising on an Unpaid Sum will be compounded with the Unpaid Sum at the end of
 each period selected by the Owners but will remain immediately due and payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Hire payment obligation to survive termination*** In the event that this Charter is terminated for whatever reason, the Charterers' obligation to pay Hire and such other Unpaid Sum which (in each case)
 has accrued due before, and which remains unpaid, at the date of such termination shall continue notwithstanding such termination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Illegality*** In the event that it becomes unlawful or it is prohibited for the Owners to charter the Vessel to the Charterers pursuant to this Charter, then the Owners shall notify the Charterers of the
 relevant event and negotiate in good faith with the Charterers for a period of thirty (30) days from the date of the receipt of the relevant notice by the Charterers to agree an alternative. If such agreement is not reached within such thirty
 (30) -day period, the Parties agree that, in such circumstances, the Owners shall have the right to terminate this Charter by delivering to the Charterers a termination notice specifying a Termination Payment Date, whereupon the Charterers shall
 be obliged to pay to the Owners the Termination Sum on the Termination Payment Date and comply with such other terms and conditions as may be specified in such termination notice.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)  ***Break Costs*** The Charterers shall, within three (3) Business Days of the Owners' demand, pay to the Owners the Break Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)  ***Certificates and determinations*** Any certification or determination by the Owners of a rate or amount under any Transaction Document is, in the absence of fraud or manifest error, conclusive evidence of
 the matters to which it relates. If the Owners receive a payment that is insufficient to discharge all the amounts then due and payable by the Charterers under the Transaction Documents, the Owners shall apply that payment towards the obligations
 of the Charterers under the Transaction Documents in the order determined by the Owners in their discretion and this will override any appropriation made by the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)  ***Day count convention*** Any Scrubber Variable Hire, interest, commission or fee accruing under an Transaction Document will accrue from day to day and is calculated on the basis of the actual number of
 days that will elapse or have elapsed and a year of 360 days (or, where the amount is payable in a currency other than US Dollars, such period as is customary for such currency).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)  ***Unavailability of Term SOFR*** On and after the Rate Switch Date, if no Term SOFR is available for three (3) months, the applicable Reference Rate shall be the Interpolated Term SOFR.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)  ***Market disruption*** 

If before close of business in Shanghai on the Scrubber Variable Hire Determination Date for the relevant Hire Period commencing prior to the Rate Switch Date, no Screen Rate is available, then Clause 40(q) (*Cost of funds*) shall apply to the Scrubber Cost Balance for the relevant Hire Period.

If before close of business in Shanghai on the Scrubber Variable Hire Determination Date for the relevant Hire Period commencing on or after the Rate Switch Date, no Reference Rate is available, then Clause 40(q) (*Cost of funds*) shall apply to the Scrubber Cost Balance for the relevant Hire Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)  ***Cost of funds*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) If this Clause 40(q) applies for any Hire Period, then the Applicable Rate on the Scrubber Cost Balance for that Hire Period shall be the rate notified to the Charterers by the Owners as soon as practicable, and in
 any event before the first day of that Hire Period, to be that which expresses as a percentage rate per annum the cost to the Owners of funding the Scrubber Cost Balance from whatever source they may reasonably select and if such rate is less
 than zero then it shall be deemed to be zero.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If this Clause 40(q) applies and the Owners or the Charterers so require, the Owners and the Charterers shall enter into negotiations (for a period of not more than thirty days) with a view to agreeing a substitute
 basis for determining the Applicable Rate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Any alternative basis agreed pursuant to sub-paragraph (ii) above shall be binding on all Parties.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) If an alternative basis is not agreed pursuant to sub-paragraph (ii) above, the Applicable Rate
 shall continue to be determined in accordance with sub-paragraph (i) above.

**41.** **Increased Costs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Increased Costs*** Subject to paragraph (c) (*Exceptions*) below, the Charterers
 shall, within three (3) Business Days of a demand by the Owners, pay to the Owners the amount of any Increased Costs incurred by the Owners 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;

&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 Original Charter Date; or

&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, CRR or CRD IV or any other law or
 regulation which implements Basel III, CRR or CRD IV (whether such implementation, application or compliance is by a government, regulator or the Owners).

In this Charter:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "**Basel III**" means:

&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 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 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any further guidance or standards published by the Basel Committee on Banking Supervision relating
 to "Basel III".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "**CRD IV**" means EU CRD IV and UK CRD IV.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "**EU CRD IV**" means:

&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) 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; 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;(B) 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 Directives 2006/48/EC and 2006/49/EC.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "**UK CRD IV**" means:

&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) 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 as it forms part of domestic law of the United Kingdom by virtue of the 2018 Withdrawal Act;

&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 law of the United Kingdom or any part of it, which immediately before IP Completion Day (as
 defined in the 2020 Withdrawal Act) implemented 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 Directives 2006/48/EC and 2006/49/EC and its implementing measures; 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;(C) direct EU legislation (as defined in the 2018 Withdrawal Act), which immediately before IP
 Completion Day (as defined in the 2020 Withdrawal Act) implemented EU CRD IV as it forms part of domestic law of the United Kingdom by virtue of the 2018 Withdrawal Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) "**Increased Costs**" means:

&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 reduction in the rate of return from the Hire or on the Owners' overall
 capital;

&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) an additional or increased cost; 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;(C) a reduction of any amount due and payable under any Transaction Document,

which is incurred or suffered by the Owners to the extent that it is attributable to the Owners having entered into any Transaction Document or funding or performing its obligations under any Transaction Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Increased Cost claims*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Owners shall promptly notify the Charterers of any claim arising from paragraph (a) (*Increased Costs*) above and of the event giving rise to such claim.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Owners shall, as soon as practicable after having made a demand in respect of such claim,
 confirm the amount of their Increased Costs, such confirmation to include (in reasonable detail) an explanation and calculations regarding such Increased Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Exceptions*** Paragraph (a) (*Increased Costs*) above does not apply to the extent
 that any Increased Cost is:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) compensated for by a payment made under sub-paragraph (h)(ii)(C) (*All payments free from deductions*) of Clause 40 (*Hire*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) compensated for by a payment made under Clause 60 (*Stamp duties*);

&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 either Party, an Obligor or a Finance Party
 (if applicable);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) attributable to the wilful breach by the Owners of any law or regulation; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) 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 Original Charter Date (but excluding any amendment arising out of
 Basel III) ()"**Basel II**") or any other law or regulation which implements Basel II (whether such implementation, application or compliance is by a government, regulator or the Owners).

**42.** **Insurance** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Charterers' obligation to place insurance*** During the Agreement Term (starting from the Actual Delivery Date), the Charterers
 shall at their expense keep the Vessel insured against fire and usual marine risks (including hull and machinery and excess risks), oil pollution liability risks, war (including, if applicable, "War Risks" as defined in paragraph (a) of Clause
 26 (*War*)), protection and indemnity risks (and any risks against which it is compulsory to insure for the operation for the Vessel and (provided that such insurance is customary for the type of the Vessel) any other risks against which
 the Owners consider it would be necessary to insure):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in US Dollars; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the Nordic/UK/French/German/Japan/Korean/USA insurance market customary to 2020 Bulkers
 Management AS (which is the Approved Commercial Manager) on shipping industry market terms as the Owners shall approve in writing (such approval not to be unreasonably withheld).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Beneficiaries of insurances*** Such insurances shall be arranged by the Charterers to
 protect the interests of the Owners, the Charterers and (if any) the Finance Parties, and the Charterers shall be at liberty to protect under such insurances the interests of any Approved Manager and the interest of any other named assured or
 co-assured provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the interest of such Approved Manager, other named assured or co-assured 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;(A) 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;(1) to any provable out-of-pocket expenses that they have 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;(2) 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 such claims made specifically against 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;(B) in respect of any insurances for protection and indemnity risks, to any recoveries they are entitled
 to make by way of reimbursement following discharge of any third party liability claims made specifically against them; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if required by the Owners and/or the Finance Parties, each such Approved Manager, other named
 assured or co-assured shall execute an undertaking in favour of the Owners and/or the Finance Parties confirming paragraph (i) above, each in form and substance acceptable to the Owners and/or the Finance Parties.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Scope of insurance*** The policies of Insurance shall cover the Owners, the Charterers
 and (if any) the Finance Parties according to their respective interests. Subject to the approval of the Owners (acting on the instructions or with the approval of the Finance Parties (in each case if applicable)) and the insurers, the
 Charterers shall effect all insured repairs and shall undertake settlement and reimbursement from the insurers of all costs in connection with such repairs as well as insured charges, expenses and liabilities to the extent of coverage under the
 insurances herein provided for.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Repairs etc. not covered by Insurances*** The Charterers shall also remain responsible
 for and to effect repairs and settlement of costs and expenses incurred thereby in respect of all other repairs not covered by the Insurance and/or not exceeding any possible franchise(s) or deductibles provided for in the Insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***H&M and war risks coverage*** The Charterers shall arrange that, at any time during
 the Agreement Term (starting from the Actual Delivery Date), the hull and machinery and war risks insurance (including increased value insurance) shall be:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in an amount not less than the greater 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;(A) one hundred and ten per cent. (110%) of the combination of (1) the Termination Core Amount
 applicable to the immediately prior Hire Payment Date and (2) the then current Scrubber Cost Balance; 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;(B) the latest Fair Market Value of the Vessel ascertained prior to such time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) effected through first class international insurers or underwriter acceptable to the Owners; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) on industry standard terms applicable at the time or otherwise on terms acceptable to the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Protection and indemnity coverage*** The Vessel shall be entered in Skuld or other
 protection and indemnity association which is a member of the International Group of P&I Clubs (the "**IG**") acceptable to the Owners on customary terms and shall be covered against liability for pollution claims in an amount not less
 than one thousand million US Dollars (US$1,000,000,000) or the maximum amount of cover from time to time provided by members of the IG (if such maximum amount of cover is higher than one thousand million US Dollars (US$1,000,000,000)). The
 P&I cover shall include freight, demurrage and defence cover. All insurances shall include customary protection in favour of the Owners and (if any) the Finance Parties such as notice of cancellation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Placing of Insurances*** Without prejudice to paragraph (e) (*H&M and war risks coverage*) or (f) (*Protection and indemnity coverage*) above, the Charterers undertake to place the Insurances in such markets, in such currency, on such terms and conditions, and (unless any Insurances are placed directly and not
 through a broker) with an Approved Broker or such other first class and reputable brokers as the Owners shall have approved in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***No alteration to terms of Insurances*** The Charterers shall not materially alter the
 terms of any of the Insurances nor allow any person to be co-assured under any of the Insurances without the prior written consent of the Owners (such consent not to be unreasonably withheld or delayed). The Charterers shall, (A) no later than
 seven (7) days before the Actual Delivery Date and (B) at any other time upon request of the Owners, supply the Owners with such information as the Owners may in their discretion require with regard to the terms of the Insurances and the
 brokers, underwriters or associations through or with which the Insurances are placed.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Insurance report*** The Charterers shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) reimburse the Owners on demand all reasonable costs and expenses incurred by the Owners in obtaining
 a report on the adequacy of the Insurances from an insurance adviser instructed by the Owners which report may be obtained no more than once per calendar year provided that if the terms of any of the Insurances are altered subsequent to a
 report being obtained, the Owners may obtain a further report in that calendar year and the Charterers shall reimburse the Owners on demand all costs and expenses incurred by the Owners in obtaining such further report; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) procure that there is delivered to such insurance adviser all such information in relation to the
 Insurances as such insurance adviser may reasonably require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Payment of premiums etc.*** The Charterers undertake duly and punctually to pay all
 premiums, calls and contributions, and all other sums at any time payable in connection with the Insurances, and, at their own expense, to arrange and provide any guarantees from time to time required by any underwriters, protection and
 indemnity or war risks association. From time to time at the Owners' request, the Charterers will provide the Owners with evidence satisfactory to the Owners that such premiums, calls, contributions and other sums have been duly and punctually
 paid; that any such guarantees have been duly given; and that all declarations and notices required by the terms of any of the Insurances to be made or given by or on behalf of the Charterers to brokers, underwriters or associations have been
 duly and punctually made or given.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Compliance with Insurances*** The Charterers will comply in all respects with all terms
 and conditions of the Insurances and will make all such declarations to brokers, underwriters and associations as may be required to enable the Vessel to operate in accordance with the terms and conditions of the Insurances. The Charterers will
 not do, nor permit to be done, any act, nor make, nor permit to be made, any omission, as a result of which any of the Insurances may become liable to be suspended, cancelled or avoided, or may become unenforceable, or as a result of which any
 sums payable under or in connection with any of the Insurances may be reduced or become liable to be repaid or rescinded in whole or in part. In particular, but without limitation, the Charterers will not permit the Vessel to be employed other
 than in conformity with the Insurances without first taking out additional insurance cover in respect of that employment in all respects to the satisfaction of the Owners, and the Charterers will promptly notify the Owners of any new material
 requirement imposed by any broker, underwriter or association in relation to any of the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)  ***Renewal of Insurances*** The Charterers will no later than seven (7) days before the
 expiry of any of the Insurances renew them and shall immediately give the Owners and, if applicable, the Finance Parties such details of those renewals as the Owners and, if applicable, the Finance Parties may require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)  ***Delivery of documents relating to Insurances*** The Charterers shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) deliver to the Owners and, if applicable, the Finance Parties, copies of all policies, certificates
 of entry (endorsed with the appropriate loss payable clauses as may be required by the Owners and, if applicable, the Finance Parties from time to time) and such other documents relating to the Insurances as may be required by the Owners and,
 if applicable, the Finance Parties;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) procure that a loss payable clause (substantially in the form attached to the Charterers'
 Assignment) or, in the case of entries in a protection and indemnity association, a note of the Owners' interest in such form as the Owners may approve (acting reasonably in line with applicable market standard), shall be endorsed on or
 attached to the policies, cover notes or certificates of entry relating to the Insurances; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) procure that letters of undertaking (in such form as the Owners and, if applicable, the Finance
 Parties may approve) shall be issued to the Owners and, if applicable, the Finance Parties by the brokers, underwriters or associations through which the Insurances are placed (or, in the case of protection and indemnity or war risks
 associations, by their managers).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)  ***Fleet cover*** If the Vessel is at any time during the Agreement Term (starting from the
 Actual Delivery Date) insured under any form of fleet cover (other than in relation to the Vessel's entry in a protection and indemnity association or war risks associations (if applicable)), the Charterers shall procure that those letters of
 undertaking contain confirmation that the brokers, underwriters or association (as the case may be) will not set-off claims relating to the Vessel against premiums, calls or contributions in respect of any other vessel or other insurance, and
 that the insurance cover of the Vessel will not be cancelled by reason of non-payment of premiums, calls or contributions relating to any other vessel or other insurance. Failing receipt of those confirmations, the Charterers will instruct the
 brokers, underwriters or association concerned to issue a separate policy or certificate for the Vessel in the sole name of the Charterers or of the Charterers' brokers as agents for the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)  ***Provision of information on casualty, accident or damage*** The Charterers shall promptly provide the Owners and, if applicable,
 the Finance Parties with full information regarding any casualty or other accident or damage to the Vessel the repair costs of which (whether before or after adjudication) would reasonably be expected to exceed the Major Casualty Amount
 including, without limitation, any communication with all parties involved in case of a claim under any of the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)  ***Step-in rights of Owners and Finance Parties*** The Charterers agree that, on and at any
 time after the occurrence of a Termination Event which is continuing, the Owners and, if applicable, the Finance Parties shall be entitled to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) collect, sue for, recover and give a good discharge for all claims in respect of any of the
 Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) pay collecting brokers the customary commission on all sums collected in respect of those claims;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) compromise all such claims or refer them to arbitration or any other form of judicial or
 non-judicial determination; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) otherwise deal with such claims in such manner as the Owners and, if applicable, the Finance Parties
 shall in their discretion think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)  ***Total loss insurance proceeds*** Whether or not a Termination Event shall have occurred,
 the proceeds of any claim under any of the Insurances in respect of a Total Loss shall be paid and applied in accordance with Clause 57 (*Total Loss*).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) *Intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)  ***Payment of insurance proceeds*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Owners agree that any amounts which may become due under any protection and indemnity entry or
 insurance shall be paid to the Charterers to reimburse the Charterers for, and in discharge of, the loss, damage or expense in respect of which they shall have become due, unless, at the time the amount in question becomes due, a Termination
 Event shall have occurred and is continuing, in which event the Owners shall be entitled to receive the amounts in question and to apply them either:

&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 reduction of the Termination Sum owed by the Charterers pursuant to paragraph (e) of Clause 52 (*Termination Events*); 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;(B) at the option of the Owners, to the Charterers and/or other third parties in discharge of the
 liability in respect of which they were paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Without prejudice to the foregoing and subject to the terms of the Finance Documents (if any), all
 other claims in relation to the Insurances (other than in respect of a Total Loss), shall, unless and until the occurrence of a Termination Event which is continuing, in which event all claims under the relevant policy shall be payable directly
 to the Owners, be payable 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;(A) a claim in respect of any one casualty where the aggregate claim against all insurers does not
 exceed the Major Casualty Amount, prior to adjustment for any franchise or deductible under the terms of the relevant policy, shall be paid directly to the Charterers (as agent for the Owners) for the repair, salvage or other charges involved
 or as a reimbursement if the Charterers fully repaired the damage to the satisfaction of the Owners and paid all of the salvage or other charges; 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;(B) a claim in respect of any one casualty where the aggregate claim against all insurers exceeds the
 Major Casualty Amount prior to adjustment for any franchise or deductible under the terms of the relevant policy shall, subject to the prior written consent of the Owners, be paid to the Charterers as and when the Vessel is restored to her
 former state and condition and the liability in respect of which the insurance loss is payable is discharged, and provided that the insurers may with such consent make payment on account of repairs in the course of being effected but, in the
 absence of such prior written consent shall be payable directly to the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)  ***Settlement, compromise or abandonment of claims*** The Charterers shall not settle, compromise or abandon any claim under or in
 connection with any of the Insurances (other than a claim of less than the Major Casualty Amount arising other than from a Total Loss) without the prior written consent of the Owners and, if applicable, the Finance Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u)  ***Owners' rights to maintain Insurances*** If the Charterers fail to effect or keep in
 force the Insurances, the Owners may (but shall not be obliged to) effect and/or keep in force such insurances on the Vessel and such entries in protection and indemnity or war risks associations as the Owners in their discretion consider
 desirable, and the Owners may (but shall not be obliged to) pay any unpaid premiums, calls or contributions. The Charterers will reimburse the Owners from time to time on demand for all such premiums, calls or contributions paid by the Owners,
 together with interest calculated in accordance with paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the date of payment by the Owners until the date of reimbursement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Environmental protection issues*** The Charterers shall comply strictly with the
 requirements of any legislation relating to pollution or protection of the environment which may from time to time be applicable to the Vessel in any jurisdiction in which the Vessel shall trade and in particular the Charterers 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). Before any such trade is commenced and
 during the entire period during which such trade is carried on, the Charterers shall:

&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 Charterers for the Vessel in the market;

&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, and promptly deliver to the Owners copies of such declarations;

&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 Owners 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;(iv) implement any recommendations contained in the reports issued following the surveys referred to in
 sub-paragraph (v)(iii) above within the shorter of (x) the relevant time limits contained in such reports, or (y) ten (10) Business Days, and provide evidence satisfactory to the Owners 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;(v) in addition to the foregoing (if such trade is in the United States of America and Exclusive
 Economic Zone):

&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 retain a certificate of financial responsibility under the Act in form and substance
 satisfactory to the United States Coast Guard and provide the Owners 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;(B) procure that the protection and indemnity insurances do not contain a US Trading Exclusion Clause or
 any other analogous provision and provide the Owners 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;(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;(w)  ***Innocent Owners' Interest Insurance and Mortgagees' Interest Insurance*** The Owners shall be at liberty to, at any time during the
 Agreement Term (starting from the Actual Delivery Date), take out an Innocent Owners' Interest Insurance in relation to the Vessel for such amounts and on such terms and conditions as the Owners may from time to time decide and any Finance
 Party shall be at liberty to take out a Mortgagees' Interest Insurance in relation to the Vessel for such amounts and on such terms and conditions as that Finance Party may from time to time decide.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)  ***Reimbursement in respect of the Innocent Owners' Interest Insurance and Mortgagees' Interest Insurance*** The Charterers shall from time to time upon the Owners' demand:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) reimburse the Owners for all costs, premiums and expenses paid or incurred by the Owners in
 connection with any Innocent Owners' Interest Insurance, provided that (for the purpose of such reimbursement only) the costs, premiums and expenses in connection with the Innocent Owners' Interest Insurances shall be no more than such costs,
 premiums and expenses if the insured amount of the Innocent Owners' Interest Insurances does not exceed one hundred and ten per cent. (110%) of the combination of (1) the Termination Core Amount applicable to the immediately prior Hire Payment
 Date and (2) the then current Scrubber Cost Balance; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) reimburse the Owners or any Finance Party for all costs, premiums and expenses paid or incurred by
 the Owners or that Finance Party in connection with any Mortgagees' Interest Insurance, provided that (for the purpose of such reimbursement only) the costs, premiums and expenses in connection with the Mortgagees' Interest Insurances shall be
 no more than such costs, premiums and expenses if the insured amount of the Mortgagees' Interest Insurances does not exceed one hundred and ten per cent. (110%) of the combination of (1) the Termination Core Amount applicable to the immediately
 prior Hire Payment Date and (2) the then current Scrubber Cost Balance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)  ***Cooperation by the Charterers*** The Charterers agree and undertake that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the event that the Charterers receive any payment in relation to the
 Insurances in contravention of this Charter, the Charterers will hold such payment on trust and on behalf of the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Charterers will not refuse, withhold (or otherwise delay giving) consent to the payment of any
 amount which becomes payable to the Owners under the Insurances (to the extent that such payment is payable to the Owners in accordance with terms of this Charter);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) at the request of the Owners and at the cost of the Charterers, place any other insurance in line
 with international industry standards as may be requested by the Owners and/or the Finance Parties (if any), acting reasonably and subject to the opinion(s) of international reputable and independent insurance consultants; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) from time to time on the written request of the Owners, the Charterers will promptly execute and
 deliver to the Owners all documents which the Owners may require for the purpose of obtaining any payment in relation to the Insurances (to the extent that such payment is payable to the Owners in accordance with the terms of this Charter).

**43.** **Inspection** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Owners' right to inspect*** For so long as no Termination Event has occurred and is
 continuing, the Owners shall exercise the inspection rights under Clause 8 (*Inspection*):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) during normal business hours and upon reasonable written notice; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) so as not to disrupt the commercial operation of the Vessel, and, in each case, the Charterers must
 grant or procure that the Owners and/or their representatives are given access to the Vessel.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Inspection costs generally*** All reasonable, properly incurred and documented
 out-of-pocket costs and expenses of any such visit, inspection or survey carried out in accordance with Clause 8 (*Inspection*), paragraph (a) (*Owners' right to inspect*) above and paragraph (c) (*Inspection during dry-docking*)
 below shall be for the account of the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Inspection during dry-docking*** The Charterers must give the Owners not less than two
 (2) months' prior notice of any dry-docking of the Vessel to be performed during the Charter Period, and must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) permit and/or procure permission for, the Owners and/or any person designated by the Owners to
 inspect and survey the Vessel during such dry-docking (so long as such inspection is during normal business hours, is upon reasonable written notice and does not disrupt the dry-docking of the Vessel); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) provide, or procure the provision of, proper facilities for such inspection.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***No liability upon Owners regarding inspection*** The Owners shall not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) have any duty or liability to make any visit, inspection or survey pursuant to this Charter; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) incur any liability or obligations by not making any inspection or have any liability arising out of
 any visit, inspection or survey.

**44.** **Redelivery** 

Upon:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the occurrence of any Termination Event which is continuing and if the Owners
 decide to retake possession of the Vessel pursuant to paragraph (d) of Clause 52 (*Owners' options after occurrence of Termination Event*); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the expiry of the Agreed Charter Period (and subject to no Total Loss having occurred, no Purchase
 Option being exercised and no Purchase Obligation being fulfilled); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Owners deliver a Purchase Obligation Notice to the Charterers under paragraph

&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) (*Purchase Obligation - outbreak of war*) of Clause 56 (*Purchase Obligation and transfer of title*) but the Charterers fail to pay the relevant Purchase Obligation Price on the Purchase Obligation Date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Owners deliver a Termination Notice to the Charterers under paragraph (k) (*Illegality*) of
 Clause 40 (*Hire*) but the Charterers fail to pay the relevant Termination Sum on the Termination Payment Date,

the Charterers shall, at their own cost and expense, redeliver or cause to be redelivered the Vessel to the Owners at a safe, ice free port as the Owners may designate where the Vessel would be afloat at all times in a ready safe berth or anchorage, in accordance with Clauses 45 (*Redelivery conditions*) and 46 (*Survey on redelivery*).

If the Vessel is to be redelivered pursuant to paragraph (b) above, the Charterers shall give the Owners not less than forty five (45) running days' preliminary notice of expected date of redelivery and not less than thirty (30) running days' definite notice of expected date of redelivery and port of redelivery.

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**45.** **Redelivery conditions** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Redelivery conditions*** If the Vessel is to be redelivered pursuant to Clause 44 (*Redelivery*),

 in addition to what has been agreed in Clause 44 (*Redelivery*), the condition of the Vessel shall at redelivery be as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Vessel shall be free of any class conditions, recommendations and/or statutory breaches
 affecting the validity of its trading certificates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Vessel must be redelivered with all equipment and spares or replacement items which were on
 board at the time of the delivery under the MOA (save for any spare part or spare equipment which has been consumed in the course of operating the Vessel) and transferred to the Owners pursuant to the MOA and the log book (or a certified copy
 if the original cannot be provided) and other technical documentation which may be in the Charterers' possession shall promptly be forwarded to the Owners at the Charterers' expense;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Vessel must be redelivered with all national and international trading certificates and
 hull/machinery survey positions for both class and statutory surveys free of any recommendation and qualifications valid and un-extended for a period of at least three (3) months beyond the redelivery date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Vessel shall have passed any flag or class surveys or inspections due within three (3) months
 after the date of redelivery and have its continuous survey system up to date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Vessel shall be free and clear of all liens; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) without prejudice to any of the foregoing, the Vessel shall be in the same or as good structure,
 state, condition and class as she was when she was delivered to the Charterers under this Charter on the Actual Delivery Date, fair wear and tear excepted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Obligation to pay Hire to continue*** Unless and until such time as the Vessel has been
 redelivered by the Charterers to the Owners, or the title to the Vessel has been transferred to the Charterers pursuant to the fulfilment of the Purchase Obligation, the exercise of the Purchase Option or upon payment of the Termination Sum, in
 each case in accordance with the terms of this Charter, the Charterers shall continue to pay Hire in accordance with the terms of this Charter.

**46.** **Survey on redelivery** 

If the Vessel is not sold or transferred in accordance with this Charter (including pursuant to the exercise of a Purchase Option or fulfilment of the Purchase Obligation or any other reason whatsoever), and provided that it has not become a Total Loss, the Owners shall be entitled to appoint (at the cost of the Charterers) one independent surveyor for the purpose of determining in writing the condition of the Vessel at redelivery. If the Vessel is not in the condition or does not meet the performance criteria required by Clause 45 (*Redelivery conditions*), a list of deficiencies together with the costs of repairing/remedying such deficiencies shall be prepared by the surveyor and the Charterers shall be obligated to, at their costs, repair/remedy all deficiencies identified in such list prior to redelivery.

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**47.** **Owners' mortgage** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Owners' funding arrangements*** The Charterers:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) acknowledge that the Owners may enter into certain funding arrangements with the Finance Parties in
 order to finance part of the Actual Owners' Cost, which funding arrangements may be secured, inter alia, by ship mortgages over the Vessel and (along with other related matters) the relevant Finance Documents, provided 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;(A) simultaneous with the Owners' execution of any such ship mortgages, the relevant Permitted Mortgagee
 shall issue a Quiet Enjoyment Letter in favour of the Charterers; 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;(B) other than pursuant to the Finance Documents, the Owners shall not use the Vessel as collateral for
 any other funding arrangements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) irrevocably consent to any assignment in favour of the Finance Parties by the Owners of their rights
 under any Transaction Documents pursuant to the relevant Finance Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) without limiting the generality of paragraph (o) (*Further assurance (Finance Parties)*) of
 Clause 49 (*Charterers' undertak* ing *s*), undertake to execute or provide (as the case may be), and use reasonable commercial efforts to procure the execution or provision (as the case may be) by any third party of, such further
 information or document as in the opinion of the Owners and/or the Finance Parties are reasonably necessary to effect the assignment referred to in sub-paragraph (ii) above and any assignment (by way of security) by the Owners of their rights
 in the Transaction Documents in favour of any Finance Party.

**48.** **Charterers' representations and warranties** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Charterers make the representations and warranties set out in this Clause 48 to the Owners on
 the Original Charter Date and on the Effective Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Status*** each Obligor:

&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 a company or corporation (as applicable), duly incorporated in good standing and validly existing
 under the laws of its jurisdiction of incorporation; 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;(B) has the power to own its assets and carry on its business as it is being conducted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)  ***Binding obligations*** the obligations expressed to be assumed by each Obligor in the
 Transaction Documents to which it is a party are legal, valid, binding and enforceable obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)  ***Non-conflict with other obligations*** the entry into and performance by each Obligor of, and the transactions contemplated by, the
 Transaction Documents to which it is a party do not and will not conflict 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;(A) any law or regulation 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;(B) its constitutional 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;(C) any material agreement or instrument binding on it or any of its assets;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)  ***Power and authority*** each Obligor has the power to enter into, perform and deliver,
 and have taken all necessary action to authorise its entry into, performance and delivery of, the Transaction Documents to which it is a party and the transactions contemplated thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Validity and admissibility in evidence*** all Authorisations required:

&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 each Obligor to lawfully enter into, exercise its rights and comply with its obligations
 in the Transaction 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;(B) to make each Transaction Document to which each Obligor is a party admissible in
 evidence in its Relevant Jurisdiction; 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;(C) for each Obligor to carry on its business,

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;(vi)  ***Governing law and enforcement*** subject to the Legal Reservations:

&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 choice of English law as the governing law of the Transaction Documents will be recognised and
 enforced in the Relevant Jurisdiction of each Obligor;

&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 judgment obtained in England in relation to any Transaction Document will, in each case, be
 recognised and enforced in the Relevant Jurisdiction of each Obligor; 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;(C) any arbitral award granted in relation to any other Transaction Document will be recognised and
 enforced in the Relevant Jurisdiction of each Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)  ***Deduction of Tax*** subject to the Legal Reservations, it is not required under the laws
 of any Relevant Jurisdiction of any Obligor to make any deduction for or on account of Tax from any payment any Obligor may make under any Transaction Document (including a FATCA Deduction);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)  ***No filing or stamp taxes*** subject to the Legal Reservations, under the laws of each
 Relevant Jurisdiction of each Obligor, it is not necessary that any Transaction Document to which such Obligor is a party be filed, recorded or enrolled with any court or other authority in that jurisdiction or that any stamp, registration or
 similar tax be paid on or in relation thereto or the transactions contemplated thereby;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)  ***No Potential Termination 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;(A) no Potential Termination Event or Termination Event is continuing or might reasonably be expected to
 result from any Obligor's entry into, or performance of the transactions contemplated by any Transaction Document to which such Obligor 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;(B) no other event or circumstance is outstanding which constitutes a default under any other agreement
 or instrument which is binding on any Obligor or to which such Obligor's assets are subject and which might have a Material Adverse Effect;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)  ***No misleading 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;(A) any factual information provided by or on behalf of the Charterers to the Owners was true and
 accurate in all material respects as at the date it was provided or as the date (if any) at which such information was stated; 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;(B) nothing has occurred or been omitted from the information so provided and no information has been
 given by or on behalf of the Charterers or withheld that results in the information provided by or on behalf of the Charterers being untrue or misleading in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) *Intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)  ***Pari passu ranking*** the payment obligations of each Obligor under each Transaction
 Document to which it is a party rank at least *pari passu* with the claims of all other unsecured and unsubordinated creditors of such Obligor, except for obligations mandatorily preferred by law applying to companies 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;(xiii)  ***No proceedings pending or threatened*** no litigation, arbitration or administrative
 proceedings of or before any court, arbitral body or agency have (to the best of the Charterers' knowledge) been started or threatened which, if adversely determined, might reasonably be expected to have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)  ***No immunity*** none of the Obligors nor any of its assets has any right to immunity from
 set-off, legal proceedings, attachment prior to judgment, other attachment or execution of judgment on the grounds of sovereign immunity or otherwise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)  ***Tax compliance and no tax claims:*** save as disclosed to the Owners, each Obligor has
 complied with all Tax laws and regulations applicable to it and its business and there are no tax claims commenced or threatened to commence against any Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)  ***No insolvency*** none of the Obligors is insolvent or in liquidation or administration
 or subject to any other formal or informal insolvency procedure, and no receiver, administrative receiver, administrator, liquidator, trustee or analogous officer has been appointed in respect of the Charterers or all or any part of their
 assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)  ***No breach of AML Laws*** none of the Obligors is, or will be, directly or indirectly,
 and whether knowingly or otherwise, involved in any transaction (including any sale and leaseback transaction):

&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) which is contrary to any AML 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;(B) the proceeds of which have been used for any purpose that would breach any anti-bribery or
 anti-corruption legislation in jurisdictions in which any Obligor conduct its business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii)  ***No Restricted Party*** none of the Obligors is a Restricted Party, nor have they or any
 of their directors, officers or employees received notice or are aware of any claim, action, suit, proceeding or investigation against them with respect to Sanctions by a Sanctions Authority;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix)  ***US tax status*** none of the Obligors is a US Tax Obligor, nor has it established a
 place of business or is otherwise conducting business in the United States of America;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx)  ***Copies of Project Documents*** the copies of the Project Documents provided by the
 Charterers to the Owners in accordance with Clause 36 (*Conditions precedent*) are true and accurate copies of the originals and represent the full agreement between the parties to those Project Documents in relation to the subject matter
 of those Project Documents and there are no commissions, rebates, premiums or other payments due or to become due in connection with the subject matter of those Project Documents other than in the ordinary course of business or as disclosed to,
 and approved in writing by, the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each representation and warranty in sub-paragraphs (a)(ii) (*Binding obligations*) to (iv) (*Power and authority*), (x) (*No misleading information*) to (xiv) (*No immunity*) and (xvii) (*No breach of AML Laws*) to (xx) (*Copies of Project Documents*) above is deemed to be repeated by the Charterers by reference to the facts and circumstances then
 existing on (i) the Actual Delivery Date, and (ii) each Hire Payment Date.

**49.** **Charterers' undertakings** 

The Charterers hereby undertake to the Owners that they will comply in full and procure compliance (where applicable) with the following undertakings throughout the Agreement Term:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Corporate status*** each Obligor will maintain its corporate existence as a body
 corporate duly organised and validly existing under the laws of its jurisdiction of incorporation and will maintain the power to own its assets and carry on its business as it is being conducted on the Original Charter Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Authorisations*** each Obligor shall promptly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) obtain, comply with 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;(ii) supply certified copies to the Owners of,

any Authorisation required by any applicable 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;(A) to enable that Obligor to lawfully enter into, exercise its rights and comply with its obligations
 in the Transaction 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;(B) to make each Transaction Document to which that Obligor is a party admissible in evidence in its
 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;(C) for that Obligor to carry on 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;(D) to ensure the legality, validity or enforceability of any Transaction Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Compliance with laws*** each Obligor shall comply in all respects with all laws in all
 material respects to which it may be subject in its jurisdiction of incorporation, the Flag State and any jurisdiction in which the Vessel is employed, if failure so to comply would have a Material Adverse Effect;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Manager's Undertaking*** the Charterers will procure that each Approved Manager shall
 enter into a Manager's Undertaking upon the appointment of such Approved Manager by the Charterers for the management of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Negative pledge*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Charterers must not create or allow to exist any Security Interest on any of its rights, title
 and interest in and to, and all benefits accruing to it under or pursuant to (A) the Transaction Documents, (B) the Vessel, (C) the Insurances, (D) the Requisition Compensation, or (E) any of its other asset or undertaking;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) without prejudice to paragraph (f) (*Disposals*) below, the Charterers 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;(A) sell, transfer or otherwise dispose of any of its assets on terms whereby that asset is or may be
 leased to, or re-acquired by, the Guarantor or any other member of the Group;

&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) sell, transfer, factor or otherwise dispose of any of its receivables on recourse 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;(C) enter into any arrangement under which money or the benefit of a bank or other account may be
 applied, set off or made subject to a combination of accounts (other than for Permitted Security Interest); 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;(D) enter into any other preferential arrangement having a similar effect,

in circumstances where the arrangement or transaction is entered into primarily as a method of raising Financial Indebtedness or of financing the acquisition of an asset;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) sub-paragraphs (i) and (ii) above do not apply to any Permitted Security Interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Disposals*** the Charterers shall not enter into a single transaction or a series of
 transactions, whether related or not and whether voluntarily or involuntarily, to dispose of any asset except for any of the following disposals:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) disposals permitted by the Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) disposals of assets made in (and on terms reflecting) the ordinary course of trading of the
 disposing entity and on an arm's length basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) disposals of obsolete, damaged, worn-out, used or surplus assets, or assets which are no longer
 required in the ordinary course of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) dealings with trade creditors with respect to book debts in the ordinary course of trading;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the application of cash or cash equivalents in the acquisition of assets or services in the ordinary
 course of their business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the unwinding of any derivative or similar transaction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any surrender or waiver of contractual rights or the settlement, release, recovery on or surrender
 of contractual rights or other claims of any kind in accordance with the terms of this Charter;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Merger*** the Charterers shall not enter into any amalgamation, demerger, merger or
 corporate restructuring without prior written consent of the Owners; and shall procure that the Guarantor shall not enter into any amalgamation, demerger, merger or corporate restructuring which is likely to have a Material Adverse Effect
 without prior written consent of the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***Change of control*** the Charterers shall remain a direct wholly-owned Subsidiary of the
 Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Financial Indebtedness*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Charterers shall not, without the prior written consent of the Owners, incur or permit to remain
 outstanding any Financial Indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) sub-paragraph (i) above does not apply to any Financial Indebtedness:

&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) incurred pursuant to any Shareholder Funding;

&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) incurred pursuant to any Transaction Document; 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;(C) any trade debt occurring in the ordinary course of the Charterers' business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;&nbsp;&nbsp;&nbsp; ***Loans and guarantees*** the Charterers shall not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) make or allow to subsist any loan, grant any credit; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) give or allow to remain outstanding any guarantee or indemnity to or for the benefit of any person
 or otherwise voluntarily assume any liability, whether actual or contingent, in respect of any obligation of any person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Financial statements*** the Charterers will supply or cause to be supplied to the
 Owners:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) as soon as the same become available, but in any event within one hundred and eighty (180) days
 after the end of each financial year of the Charterers and the Guarantor, the unaudited management accounts of the Charterers and the audited financial statements of the Guarantor for that financial year in English language (consolidated, if
 relevant, in the case of the Guarantor); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) as soon as the same become available, but in any event within ninety (90) days after the end of each
 half-year of the Charterers and the Guarantor, the unaudited semi-annual management accounts of the Charterers and the Guarantor for that financial half-year in English language (consolidated, if relevant, in the case of the Guarantor);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;&nbsp;&nbsp;&nbsp; ***Requirements as to financial statements*** the Charterers shall procure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) each set of financial statements delivered by the Charterers pursuant to paragraph (k) (*Financial statements*) above in relation to the Charterers and the Guarantor (each a "**Notifying Party**") shall be certified by an officer of the relevant Notifying Party, as giving a true and fair view of the financial condition and operations
 of that Notifying Party as at the date at which, and for the period in relation to which those financial statements were drawn up; 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;(ii) each set of financial statements delivered pursuant to paragraph (k) (*Financial statements*) above is prepared
 using the applicable GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)  ***Notifications: miscellaneous*** the Charterers shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) notify the Owners as soon as the Charterers become aware of, and shall procure the Guarantor to notify the Owners as soon as the Guarantor is
 aware of, the occurrence of any Potential Termination Event or any Termination Event (including any Termination Event set out in paragraph (a) (xii) (*Related Document termination event*) of Clause 52 (*Termination Events*)) and in
 each case, shall keep the Owners fully informed of all developments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) notify the Owners in writing promptly upon becoming aware of (A) any Environmental Claim against the
 Charterers in respect of an amount in excess of ten per cent. (10%) of the value of the Vessel as at the date of such Environmental Claim against the Charterers (or any Sub-Charterers or any Approved Manager) which is current, or pending in
 relation to the Vessel or (B) any Environmental Incident or alleged Environmental Incident in relation to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) notify the Owners in writing promptly upon becoming aware of any Project Document being terminated,
 repudiated, cancelled or otherwise ceasing to remain in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) notify the Owners in writing immediately upon becoming aware of any event of circumstance which may
 entitle any party to the Building Contract to exercise its rights to terminate the Building Contract;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) notify the Owners in writing immediately if the Charterers fail to obtain any Earnings for the
 Vessel for a period of twelve (12) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) disclose all information in relation to any Sub-Charter, including (but not limited to) the main
 commercial terms of such Sub-Charter, any information in relation to any Sub-Charterers' fulfilment of their obligations pursuant to the relevant Sub-Charter and any other information which the Owners may request; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) supply or cause to be supplied to the Owners, written information on the budget, the actual
 operating expense and overall performance and maintenance of the Vessel every twelve (12) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)  ***Further assurance (Finance Parties)*** the Charterers will from time to time, do and
 perform such other and further acts and execute and deliver any and all such other agreements, instruments and documents as may be reasonably necessary for the Owners or the Finance Parties (as the case may be) to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) maintain and protect the existing rights and remedies of the Owners and/or the Finance Parties (as
 the case may be); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) carry out and effect the intent and purpose of this Charter and the other Transaction Documents,

in each case to the extent not inconsistent with the terms of this Charter;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)  ***Cessation of business*** the Charterers shall not cease or threaten
 to cease to carry on all or, in the opinion of the Owners, any material part of the Charterers' business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)  ***Environmental matters*** the Charterers shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) comply with, and procure each Approved Manager to comply with, all Environmental
 Law applicable to and in relation to using and operating the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) obtain, maintain and ensure compliance with all applicable Environmental Permits
 in relation to using and operating the Vessel; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) implement procedures to monitor compliance with and to prevent liability under
 any Environmental Law applicable to the use and operation of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r)  ***Compliance with international convention etc.*** the Charterers
 shall procure that the Charterers and each Approved Manager shall comply with all applicable international conventions, codes and regulations (including, without limitation, the ISM Code (or any replacement thereof) and the ISPS Code (or any
 replacement thereof)) applicable to each of them respectively;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)  ***Delivery details of employment status of the Vessel*** the Charterers will procure the Guarantor to publish from time to time on
 the Guarantor's website (currently https://himalaya-shipping.com/fleet/) the employment status of the Vessel, and will, if requested by the Owners, deliver, or procure the delivery to the Owners of, the employment status together with (if
 requested by the Owners) the relevant contract of employment in respect of the Vessel every six (6) months during the Charter Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)  ***No dealings with Restricted Party or breach of Sanctions*** the Charterers will not, and will not permit or authorise any other
 person to directly utilise or employ the Vessel or to use, lend, make payments of, contribute or otherwise make available, all or any part of the proceeds of any transaction(s) contemplated by the Transaction Documents to fund any trade,
 business or other activities:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) with a Restricted Party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in any other manner that would result in any Obligor or the Owners (if applicable) being in breach of any Sanctions or becoming a Restricted
 Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u)  ***Change of business*** the Charterers shall not change the nature and
 scope of their business from that carried on at the Original Charter Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Project Documents*** the Charterers shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) comply with all their obligations under the Project Documents to which they are
 a party, and will procure that each other party (where that party is a member of the Group) shall comply with its obligations under the Project Documents to which it is a party; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) except with the prior written consent of the Owners, the Charterers shall not,
 and shall use their reasonable endeavours to procure that no other party (where that party is a member of the Group) shall, amend, cancel, vary, novate, supplement, supersede, waive or terminate any Project Document to which it is a party;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) *intentionally left blank*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)  ***Valuations*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Fair Market Value shall be determined from, and shall reflect, the most recent Valuation Report
 provided to the Owners, provided 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;(A) in the absence of a Termination Event, the Charterers shall arrange, deliver to the Owners and bear
 the cost of the issuance of each such Valuation Report once every twelve (12) months during the Agreement Term (starting from the Actual Delivery 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;(B) upon the occurrence of a Termination Event, the Charterers shall arrange, deliver to the Owners and
 bear the cost of the issuance of all Valuation Reports as may be required by the Owners (acting in their sole discretion);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) each Valuation Report to be provided for the purpose of above shall be delivered to the Owners
 within forty five (45) days from the day on which the Owners make a request for valuation of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) if the Charterers fail to deliver such Valuation Reports pursuant to this paragraph, the Owners
 shall be entitled to arrange such Valuation Reports at the Charterers' cost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) if an Approved Valuer determines that the Fair Market Value shall fall within a range, the valuation
 as determined by such Approved Valuer should be the lower value of such range; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) each valuation shall be provided by an Approved Valuer in US Dollars;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)  ***Conditions subsequent*** the Charterers shall deliver or cause to be delivered to the
 Owners (in each case in form and substance acceptable to the Owners):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to the extent that any certificate received by the Owners pursuant to paragraph (a)(x) of Clause 36
 (*Conditions precedent*) was in provisional form at the time of the receipt, the corresponding formal certificate as soon as possible after the Charterers' receipt of the same from the relevant persons, and in any event prior to the expiry
 of the validity period of such provisional certificate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) within one (1) Business Day from the Actual Delivery Date, the Vessel's certificate of registry and
 a certificate of ownership and encumbrance, both dated the Actual Delivery Date (evidencing that the Owners' ownership of the Vessel and that the Vessel is free from registered encumbrances and mortgages);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) within ten (10) Business Days from the Actual Delivery Date, the acknowledgement (duly executed by
 the Account Bank) to the notice of charge required under the Account Pledge; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) within fifteen (15) Business Days from the Actual Delivery Date, letters of undertaking in respect
 of the Insurances as required by the Transaction Documents, together with copies of the relevant policies or cover notes or entry certificates in respect of the Insurances duly endorsed with the interest of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z)  ***Classification*** the Charterers shall ensure that the Vessel maintains the highest
 classification required for the purpose of the relevant trade of the Vessel which shall be with the Vessel's Classification Society, in each case, free from any overdue recommendations and conditions; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa)  ***Dividends and Earnings Account*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Charterers shall only pay dividends or make any other distributions to their shareholders
 subject to Clause 49 (aa) (ii) below and subject to no Termination Event having occurred and being continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) payment of dividends or making of other distributions to the shareholders by the Charterers will
 only be allowed if immediately following such payment or distribution there will be maintained in the Earnings Account an amount no less than the higher of (a) three million six hundred thousand US Dollars (US$3,600,000) and (b) the aggregate
 of the Hire and the operating expenses for the Vessel that are payable within the next six (6) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) on the day of the Charterers paying dividends or making other distributions to their shareholders,
 the Charterers shall provide evidence in form and substance acceptable to the Owners that immediately following such payment or distribution there is maintained in the Earnings Account an amount no less than the higher of (a) three million six
 hundred thousand US Dollars (US$3,600,000) and (b) the aggregate of the Hire and the operating expenses for the Vessel that are payable within the next six (6) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Charterers shall, from the Actual Delivery Date, procure that all Earnings shall be paid into
 the Earnings Account, free and clear of any costs, fees, expenses, disbursements, withholdings or deductions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Charterers shall provide to the Owners, no less frequently than three calendar months during the
 Agreement Term (starting from the Actual Delivery Date), written statements of account showing all entries made to the credit and debit of the Earnings Account during the immediately preceding three calendar months.

**50.** **Poseidon Principles covenant** 

The Charterers shall, upon the request of the Owners and at the cost of the Charterers, on or before 31 July in each calendar year, supply or procure the supply to the Owners (for transmission to the applicable Relevant Finance Party) of all information necessary in order for any Relevant Finance Party 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.

For the purposes of this Clause:

"**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.

"**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.

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"**Relevant Finance Party**" means a Finance Party which has, at any time during the Agreement Term, 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.

**51.** **Transfer by the Owners** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Following the Actual Delivery Date, the Owners may (subject to the Charterers' prior written
 consent, such consent not to be unreasonably withheld) change the registered ownership of the Vessel and transfer by novation (or otherwise) their rights and obligations under this Charter at any time to an affiliate or another lessor or
 financial institution or trust, fund, leasing company or other entity which is regularly engaged in or is established for the purpose of making, purchasing or investing in loans, securities or other financial assets or to any other party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding such change and transfer, this Charter would continue on identical terms (save for
 logical, consequential or mutually agreed amendments), and the Charterers hereby agree that they shall be liable to the aforesaid new owner of the Vessel for their performance of all obligations pursuant to this Charter after such change and
 transfer and shall procure that the Obligors shall execute security documents in favour of the new owner for, *inter alia*, the obligations of the Charterers under this Charter as novated, in substantially the same form as the Security
 Documents (or such other form as the Obligors and the new owner may agree).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Charterers agree and undertake to enter into any such usual documents as the Owners shall
 require to complete or perfect the change in the registered ownership of the Vessel and transfer by novation above, at no cost to the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Owners shall give the Charterers prior written notice of any potential transfer of shares in the
 Owners.

**52.** **Termination Events** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Termination Events*** Each of the following events shall constitute a Termination Event:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Non-payment*** any Obligor fails to pay on the due date any sum payable pursuant to the
 Transaction Document to which it is a party at the place and in the currency in which it is expressed to be payable 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;(A) its failure to pay is caused by administrative or technical error; 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;(B) payment is made within three (3) Business Days of its due date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)  ***Non-compliance with insurance requirements*** 

the Charterers fail to obtain and/or maintain the Insurances required under Clause 42 (*Insurance*) in accordance with the provisions thereof or any insurer in respect of such Insurances cancels the Insurances or disclaims liability with respect thereto for reasons attributable to the Charterers; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)  ***Other obligations*** any Obligor does not comply with any provision of the Transaction
 Documents to which it is a party (other than those referred to in sub-paragraphs (a)(i) (*Non-payment*) and (a)(ii) (*Non-compliance with insurance requirements*) above, each of which shall, for the avoidance of doubt and for
 the purpose of this sub-paragraph (a)(iii), be a default which is not capable of remedy) and such non-compliance is not remedied by such Obligor to the Owners' satisfaction within ten (10) Business Days of the earlier of (A) the Owners giving
 notice of the breach to the relevant Obligor, and (B) the date that any responsible officer of the relevant Obligor has actual knowledge of the breach, provided that any failure to provide information or document shall be capable of remedy;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)  ***Misrepresentation*** any representation or statement made or deemed to be made by any
 Obligor in or pursuant to a Transaction Document to which it is a party or any other document delivered by or on behalf of an Obligor under or in connection with any Transaction Document to which it is a party is or proves to have been
 incorrect or misleading in any material respect when made or repeated, or deemed to be made or repeated;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Cross default*** 

&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 Financial Indebtedness of any of the Obligors is not paid when due, taking into account any
 originally applicable grace 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;(B) any Financial Indebtedness of any Obligor is declared to be otherwise becomes due and payable prior
 to its specified maturity as a result of an event of default (however described);

&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 commitment for any Financial Indebtedness of any Obligor is cancelled or suspended by a creditor
 of that Obligor as a result of an event of default (however described); 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;(D) any enforcement of any Security Interest over any assets of any Obligor in respect of any Financial
 Indebtedness,

**provided that** no Termination Event will occur under this sub-paragraph (a)(v) if, in respect of the Guarantor, the aggregate amount of Financial Indebtedness or commitment for Financial Indebtedness falling within sub-sub-paragraphs (A) to (D) above is equal to or less than two million US Dollars (US$2,000,000) (or its equivalent in any other currency or currencies);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)  ***Insolvency*** 

&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 Obligor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) is unable or admits 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;&nbsp;&nbsp;&nbsp;&nbsp;(2) suspends making payments on any of its debts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) by reason of actual financial difficulties, commences negotiations with one or more of its creditors
 (excluding the Owners in their capacities as such) with a view to rescheduling 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;(B) a moratorium is declared in respect of any indebtedness of any Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)  ***Insolvency proceedings*** any corporate action, legal proceedings or other procedure or
 step is taken in relation to:

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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;(A) the suspension of payments, a moratorium of any indebtedness, winding-up, liquidation, dissolution,
 bankruptcy, administration, provisional supervision or reorganisation (by way of voluntary arrangement, scheme of arrangement or otherwise) of an Obligor other than as part of a solvent reorganisation;

&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 composition, assignment or arrangement with the creditors of an Obligor; 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;(C) the appointment of a liquidator, receiver, administrator or other similar officer in respect of an
 Obligor or any of its assets,

or any analogous procedure or step is taken in any jurisdiction, **provided that** this sub-paragraph (a)(vii) above shall not apply to any winding-up petition which is frivolous or vexatious and is discharged, stayed or dismissed within thirty (30) Business Days of commencement;

&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)  ***Repudiation, termination or cancellation etc. of Project Documents*** any Project
 Document is terminated, cancelled, repudiated or otherwise ceases to remain in full force and effect and this 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;(ix)  ***Material adverse change*** any other event or events (whether related or not) occurs
 which is a material adverse change from the position applicable as at the Original Charter Date in the business, operations, property, financial condition of any Obligor, the effect of which is to impair or prevent the due fulfilment by any
 Obligor of any of its material obligations or undertakings contained in a Transaction Document to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)  ***Change of control*** except with the prior written consent of the Owners the Charterers
 cease to be a direct wholly-owned Subsidiary of the Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)  ***MOA Termination Event*** any "MOA Termination Event" (as such term is defined in the
 MOA) occurs under the MOA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)  ***Related Document termination event*** any event of default, default or termination event
 (however described) occurs under any Related Document and this 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;(xiii)  ***Unlawfulness and invalidity*** it is or becomes unlawful for an Obligor to perform any
 of its obligations under the Transaction Documents, or any Transaction Document ceases to be in full force and effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)  ***Termination Event under a Related Charter*** any "Termination Event" (as such term is
 defined in each Related Charter) occurs under any of the Related Charters; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)  ***Similar event in relation to the Builder*** any event which, under the laws of any jurisdiction, has a similar or analogous effect
 to any of those events mentioned in sub-paragraphs (vi) (*Insolvency*) or (vii) (*Insolvency proceedings*) above occurs (mutatis mutandis) in relation to the Builder provided that it shall not be a Termination Event under this
 sub-paragraph (xv) if, during the period an event which, under the laws of any jurisdiction, has a similar or analogous effect to any of those events mentioned in sub-paragraphs (vi) (*Insolvency*) or (vii) (*Insolvency proceedings*)
 above has occurred (mutatis mutandis) in relation to the Builder, the Refund Guarantee remains (in the opinion of an independent and reputable leading maritime law firm) legal, valid, binding, enforceable and effective and the Builder continues
 to perform its obligations under Building Contract to the Buyers' satisfaction (acting reasonably).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Effect of a Termination Event*** A Termination Event shall constitute (as the case may
 be) either a repudiatory breach of, or breach of condition by the Charterers under, this Charter or an agreed terminating event the occurrence of which will (in any such case) entitle the Owners to exercise all or any of the remedies set out
 below in this Clause 52.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Owners' options after occurrence of Termination Event*** Without prejudice to the foregoing or to any other rights of the Owners
 under the Charter, at any time after a Termination Event shall have occurred and be continuing following the lapse of any applicable grace period as specified in paragraph (a) (*Termination Events*) above, the Owners may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) at their option and by delivering to the Charterers a Termination Notice, terminate this Charter on
 the date specified in such Termination Notice; and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) enforce any Security Interest created pursuant to the relevant Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Owners' right to repossess*** On or at any time after a Termination in accordance with
 paragraph (c) (*Owners' options after occurrence of Termination Event*) above, **and provided that** the Charterers have failed to pay the Termination Sum in accordance with paragraph (e) (*Payment of Termination Sum*) below, the
 Owners may (but without prejudice to the Charterers' obligations under Clause 44 (*Redelivery*) and Clause 45 (*Redelivery conditions*)) retake possession of the Vessel and, the Charterers agree that the Owners, for such purpose, may
 put into force and exercise all their rights and entitlements at law and may enter upon any premises belonging to or in the occupation or under the control of the Charterers where the Vessel may be located as well as giving instructions to the
 Charterers' servants or agents for this purpose.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Payment of Termination Sum*** On the Termination Payment Date in respect of any
 Termination in accordance with paragraph (c) (*Owners' options after occurrence of Termination Event*) above, the Charterers shall pay to the Owners an amount equal to the Termination Sum. For the avoidance of doubt, the Charterers'
 obligation to pay the Termination Sum (and any of their other obligations under the Transaction Documents) shall not be affected irrespective of the Owners' ability to complete the sale of the Vessel referred to in paragraph (h) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Owners' application of Termination Sum*** Following any termination to which this Clause 52 applies, all sums payable in
 accordance with paragraph (e) above shall be paid to such account or accounts as the Owners may direct and shall be applied in the Owners' sole discretion towards sums owed by the Obligors under the Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Transfer of title*** If the chartering of the Vessel or, as the case may be, the
 obligation of the Owners to deliver and charter the Vessel to the Charterers is terminated in accordance with the terms of this Charter, the obligation of the Charterers to pay Hire shall cease once the Charterers have made the payment in full
 pursuant to paragraph (e) (*Payment of Termination Sum*) above to the satisfaction of the Owners, whereupon the Owners shall, in exchange of such payment, arrange for title of the Vessel to be transferred to the Charterers in accordance
 with paragraphs (d) (*Title transfer*) to (f) (*Charterers' letter of indemnity*) of Clause 56 (*Purchase Obligation and transfer of title*).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***Owners' right to sell the Vessel*** Following any termination to which this Clause 52
 applies, if the Charterers have not paid to the Owners the Termination Sum in full by the applicable Termination Payment Date (and consequently the Owners have not transferred title to the Vessel to the Charterers (or their nominee) in
 accordance with paragraph (g) above), the Owners shall be entitled (but not obliged) to sell the Vessel and apply the Net Sale Proceeds against the Termination Sum and claim from the Charterers for any shortfall.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Charterers have no right to termination*** Save as otherwise expressly provided in this Charter, the Charterers shall not have the
 right to terminate this Charter any time prior to the expiration of the Agreement Term for any reason whatsoever, including (without limitation) in exercise of any right in law or equity that they would, but for this provision, have to
 terminate, whether because of a breach of a condition, a repudiatory breach of an intermediate term, a renunciation or impossibility or on any other ground.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Owners' rights cumulative*** The rights conferred upon the Owners by the provisions of
 this Clause 52 are cumulative and in addition to any rights which they may otherwise have in law or in equity or by virtue of the provisions of this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Surplus of sale proceeds*** Upon completion of the sale of the Vessel in accordance with
 paragraph (h) above:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if the Charterers have not paid to the Owners the Termination Sum in full at the time when the
 Owners have received in full the Net Sale Proceeds and such Net Sale Proceeds exceed the Termination Sum; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Charterers have paid to the Owners the Termination Sum in full at the time when the Owners have
 received in full the Net Sale Proceeds,

then any part of such Net Sale Proceeds which exceeds the Termination Sum (in the case of (i) above) or such Net Sale Proceeds (in the case of (ii) above) shall be paid by the Owners to the Charterers.

**53.** **Sub-chartering** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Charterers shall not, without the prior written consent of the Owners:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) let the Vessel on any demise charter for any period; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) assign their rights under this Charter.

**54.** **Name of Vessel** 

The Charterers may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) choose the initial name of the Vessel, but may only change the initial name of the Vessel with the
 prior consent of the Owners (such consent not to be unreasonably withheld or delayed); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) paint the Vessel in the colours, display the funnel insignia and fly the house flag as required by
 the Charterers from time to time.

**55.** **Purchase Option** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Purchase Option*** Subject to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no Total Loss under Clause 57 (*Total loss*) having occurred;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) no Termination Event under Clause 52 (*Termination Events*) having occurred which is continuing and no Potential Termination Event having occurred which is continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the Owners having not delivered a Purchase Obligation Notice in accordance with paragraph (b) (*Purchase Obligation – outbreak of war*) of Clause 56;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the Charterers' delivery of the Purchase Option Notice to the Owners at least ninety (90) days prior to the proposed Purchase Option Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Purchase Option Date falling on an Anniversary Date,

the Charterers may purchase the Vessel on the Purchase Option Date for the applicable Purchase Option Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Title transfer upon exercise of Purchase Option** In exchange for payment by the Charterers of the applicable Purchase Option Price on the relevant Purchase Option Date, the Owners shall be obliged to arrange
 for title of the Vessel to be transferred to the Charterers in accordance with paragraphs (d) *(Title transfer*) to (f) (*Charterers' letter of indemnity*) of Clause 56 (*Purchase Obligation and transfer of title*).

56. Purchase Obligation and transfer of title

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Intentionally left blank*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Purchase Obligation - outbreak of war*** In the event of a declaration of war by any of the following countries to any of the other following countries: the United States of America, Russia, the United
 Kingdom, France and the People's Republic of China, the Owners may at their option, if such declaration of war has or is reasonably likely to have a Material Adverse Effect, request the Charterers to purchase the Vessel by delivering to the
 Charterers a notice requiring the Charterers to purchase the Vessel and the Charterers shall be obliged to or cause their nominee to purchase the Vessel on the Purchase Obligation Date for the applicable Purchase Obligation Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) intentionally left blank .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Title transfer*** In exchange of full payment by the Charterers of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in each case as 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;(A) (in the case of the circumstances described in Clause 55 (*Purchase Option*) the applicable Purchase Option Price;

&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 the case of the circumstances described in paragraph (b) (*Purchase Obligation - outbreak of war*) the applicable Purchase Obligation Price; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any other sums payable by the Charterers to the Owners under this Charter and subject to compliance with the other conditions set out in this Clause 56,

the Owners 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;(A) transfer title to and ownership of the Vessel to the Charterers (or their nominee) by delivering to the Charterers (in each case at the Charterers' costs):

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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;(1) a duly executed and notarised, legalised and/or apostilled (as applicable) bill of sale; 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;(2) the Title Re-Transfer PDA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) any other documents required by the Flag State to effectively transfer title; 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;(B) procure the deletion of any mortgage or prior Security Interest in relation to the Vessel at the Owners' costs,

**provided always** that prior to such transfer or deletion (as the case may be), the Owners shall have received the letter of indemnity as referred to in paragraph (f) (*Charterers' letter of indemnity*) below from the Charterers, and the Charterers shall have performed all their obligations in connection with this Charter and with the Vessel, including without limitation the full payment of all Unpaid Sums, taxes, charges, duties, costs and disbursements (including legal fees) in relation to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "As is, where is" title transfer

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The transfer in accordance with paragraph (d) (*Title transfer*) above shall be made in all respects at the Charterers' expense on an "as is, where is" basis and the Owners shall give the Charterers (or their
 nominee) no representations, warranties, agreements or guarantees whatsoever concerning or in connection with the Vessel, the Insurances, the Vessel's condition, state or class or anything related to the Vessel, expressed or implied, statutory or
 otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Without prejudice to sub-paragraph (i) above, the Charterers confirm 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;(A) as the Vessel will at all relevant times be in their physical possession and use pursuant to this Charter, they do not require any inspection 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;(B) they will accept unconditionally the Vessel and its classification records for the purpose of any transfer under this Clause 56.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The place of documentary closing shall be at such place or places as may be agreed by the parties in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Charterers' letter of indemnity*** The Charterers shall, immediately prior to the receipt of the bill of sale, furnish the Owners with a letter of indemnity (in a form satisfactory to the Owners (acting
 reasonably)) duly executed by the Charterers and the Guarantor and which shall provide (among other things) that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Owners and/or the Finance Parties (if any) have, and will have, no interest, concern or connection with the Vessel after the date of such letter; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Charterers and the Guarantor shall jointly and severally indemnify the Owners and keep the Owners indemnified against any claims made by any person arising in connection with the Vessel other than a claim arising
 out of or in connection with the Finance Documents that is not 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;(A) a Termination Event; 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;(B) any non-compliance by any Obligor of any provision of the Transaction Documents to which such Obligor is a party.

57. Total Loss

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Total Loss Termination*** If circumstances exist giving rise to a Total Loss, the Charterers shall promptly notify the Owners of the facts of such Total Loss. If the Charterers wish to proceed on the basis
 of a Total Loss and advise the Owners thereof, the Owners shall agree to the Vessel being treated as a Total Loss for all purposes of this Charter. The Owners shall thereupon abandon the Vessel to the Charterers and/or execute such documents as
 may be required to enable the Charterers to abandon the Vessel to insurers and claim a Total Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Occurrence of Total Loss*** If the Vessel becomes a Total Loss during the Charter Period, the Charterers shall, on the Settlement Date, pay to the Owners the amount calculated in accordance with paragraph
 (c) (*Payment on Settlement Date*) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Payment on Settlement Date*** On the Settlement Date, the Charterers shall pay to the Owners an amount equal to the Termination Sum as at the Termination Payment Date. The foregoing obligations of the
 Charterers under this paragraph (c) shall apply regardless of whether or not any moneys are payable under any Insurances in respect of the Vessel, regardless of the amount payable thereunder, regardless of the cause of the Total Loss and
 regardless of whether or not any of the said compensation shall become payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Payment of Total Loss Proceeds*** All Total Loss Proceeds shall be paid to such account or accounts as the Owners may direct and shall be applied towards satisfaction of the Termination Sum and any other
 sums due and payable under the Transaction Documents. To the extent that there is any surplus after such application, such surplus shall be returned to the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Constructive Total Loss*** The Charterers shall, at the Owners' request, provide evidence satisfactory to the Owners (acting reasonably) as to the date on which the constructive total loss of the Vessel
 occurred pursuant to the definition of Total Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Payment unconditional*** The Charterers shall continue to pay Hire on the days and in the amounts required under this Charter notwithstanding that the Vessel shall become a Total Loss **provided always that** no further instalments of Hire shall become due and payable after the Charterers have made the payment required by paragraph (c) above.

58. Appointment of Approved Manager

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to the other provisions of this Charter, the Owners confirm their consent to the proposed appointment by the Charterers of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) 2020 Bulkers Management AS to be the Approved Commercial Manager, it being understood that such appointment shall take effect on or before the Actual Delivery Date; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any customary trading entity or Affiliate of OSM Ship Management (Singapore/Bergen), Wilhelmsen Ship Management (Singapore/Oslo), Anglo-Eastern Ship Management (Hong Kong/Singapore) or Thome Ship Management
 (Singapore/Hamburg) to be the Approved Technical Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Charterers covenant not to appoint anyone other than an Approved Manager as manager of the Vessel without the prior written consent of the Owners (such consent not to be unreasonably withheld or delayed).

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59. Fees and expenses

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Handling Fee

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Charterers shall pay to the Owners the Initial Handling Fee and provide documentary evidence of such payment within five (5) Business Days of the Original Charter Date and in any event before the date of payment
 of the first Instalment (as defined in the MOA) under the MOA and in any event before the Actual Delivery Date, **provided that** if this Charter is terminated or cancelled on or before the fifth (5<sup>th</sup>) Business Day after the Original Charter Date, the Initial Handling Fee shall become immediately due and payable upon such termination and cancellation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Charterers shall pay to the Owners the Additional Handling Fee and provide documentary evidence of such payment on the date of payment of the first Instalment (as defined in the MOA) under the MOA and in any
 event before the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Charterers shall pay to the Owners the Handling Fee (Scrubber) and provide documentary evidence of such payment within five (5) Business Days of the Effective Date and in any event before the Actual Delivery
 Date, **provided that** if this Charter is terminated or cancelled on or before the fifth (5<sup>th</sup>) Business Day after the Effective Date, the Handling Fee
 (Scrubber) shall become immediately due and payable upon such termination and cancellation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Other costs and expenses*** The Charterers shall bear all reasonably incurred and properly documented costs, fees (including legal fees) and disbursements incurred by the Owners and the Charterers in
 connection with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the negotiation, preparation and execution of this Charter and the other Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the sale, purchase and delivery of the Vessel under the MOA and this Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any amendment, waiver or consent under this Charter or any other Transaction Documents requested by the Charterers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) preparation or procurement of any survey, inspection, valuation, tax or insurance advice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the exercise of the Purchase Option pursuant to Clause 55 (*Purchase Option*) or the fulfilment of the Purchase Obligation pursuant to Clause 56 (*Purchase Obligation and transfer of title*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the occurrence of a Termination Event or a Total Loss;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) (if applicable) the registration of the Owners as a foreign maritime entity (or its equivalent) in the Flag State;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) the registration of the Vessel under the laws and flag of the Flag State; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) such other events or circumstances for which this Charter or any other Transaction Document expressly provides that the costs shall be borne by the Charterers,

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but excluding, in each case, costs and expenses in respect of the winding-up or liquidation of the Owners.

60. Stamp duties

The Charterers shall pay promptly all stamp, documentary or other like duties and Taxes to which the Charter, the MOA and the other Transaction Documents may be subject or give rise and shall indemnify the Owners on demand against any and all liabilities with respect to or resulting from any delay on the part of the Charterers to pay such duties or taxes.

61. Operational notifiable events

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Notifiable events*** The Owners are to be advised as soon as possible after the occurrence of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) when a material condition of class is applied by the Classification Society;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) whenever the Vessel is arrested, confiscated, seized, requisitioned, impounded, forfeited or detained by any government or other competent authorities or any other persons;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) whenever a class or flag authority refuses to issue or withdraw trading certification;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) in the event of a fire requiring the use of fixed fire systems or collision / grounding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) whenever the Vessel is planned for dry-docking, whether in accordance with paragraph (g) of Clause 10 (*Maintenance and Operation*) or any Sub- Charter, and whether routine or emergency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) the Vessel is taken under tow;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) any death or serious injury on board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) any damage to the Vessel the repair costs of which (whether before or after adjudication) exceed the Major Casualty Amount; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) when any material alteration is proposed to be made to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the generality of paragraph (a) (*Notifiable events*) above, the Charterers shall, on the Actual Delivery Date and then every three (3) months thereafter until the expiry of the Agreement Term,
 supply (or cause to be supplied) to the Owners a ship management report containing the following information in respect of the Vessel:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any casualty or other accident or damage to the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the crew retention rate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) results of any port state control inspections and any flag state control inspections carried out over the past three (3) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) results of any inspections carried out over the past three (3) months by any technical and marine superintendents; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) all other material information (including copies where available) relating to the Vessel's operation requested by the Owners.

62. Further indemnities

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Further indemnities*** Whether or not any of the transactions contemplated hereby are consummated, the Charterers shall, in addition to the provisions under Clause 17 (*Indemnity*)(Part II) of this
 Charter and subject to sub-clause (b) below, indemnify, protect, defend and hold harmless the Owners and their officers, directors, agents and employees (collectively, the "**Indemnitees**") throughout the Agreement Term from, against and in
 respect of, any and all liabilities, obligations, losses, damages, penalties, fines, fees, claims, actions, proceedings, judgement, order or other sanction, lien, salvage, general average, suits, costs, expenses and disbursements, including
 reasonable legal fees and expenses, of whatsoever kind and nature (collectively, the "**Expenses** "), imposed on, suffered or incurred by or asserted against any Indemnitee, in any way relating to, resulting from or arising out of or in
 connection with, in each case, directly or indirectly, any one or more of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Charter and any other Transaction Documents and any amendment, supplement or modification thereof or thereto requested by the Charterers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Vessel or any part thereof, including 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;(A) the manufacture, design, possession, use or non-use, operation, maintenance, testing, repair, overhaul, condition, alteration, modification, addition, improvement, storage, seaworthiness, replacement, repair of the
 Vessel or any part (including, in each case, latent or other defects, whether or not discoverable and any claim for patent, trademark, or copyright infringement and all liabilities, obligations, losses, damages and claims in any way relating to
 or arising out of spillage of cargo or fuel, out of injury to persons, properties or the environment or strict liability in tort);

&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 claim or penalty arising out of violations by any Obligor, Approved Commercial Manager, Approved Technical Manager, Sub-Charterers or any other person of any applicable law (including any law relating to safety
 at sea, the ISM Code, any Environmental Law or any 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;(C) any Environmental Claim;

&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) death or property damage of shippers or others;

&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) any liens in respect of the Vessel or any part thereof unless arising under or in connection with the Finance 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;(F) any registration and/or tonnage fees (whether periodic or not) in respect of the Vessel payable to any registry of ships and any service fees payable to any service provider in relation to maintaining such
 registration at any registry of ships, including, without limitation, any registration fees and annual registration fees in connection with registering and maintaining the Owners as a foreign maritime entity (or its equivalent) in the relevant
 Flag State (or such other flag state as the Owners may consent to in writing) for the purpose of registering and maintaining the Owners' title with the relevant flag;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any breach of or failure to perform or observe, or any other non-compliance with, any covenant or agreement or other obligation to be performed by the Charterers under any Transaction Document to which it is a party
 or the falsity of any representation or warranty of the Charterers in any Transaction Document to which it is a party or the occurrence of any Termination Event which is continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) 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;(A) preventing or attempting to prevent the arrest, confiscation, seizure, taking and execution, requisition, impounding, forfeiture or detention 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;(B) securing or attempting to secure the release of the Vessel,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) incurred or suffered by the Owners 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;(A) procuring the delivery of the Vessel to the Charterers under Clause 35 (*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;(B) recovering possession of the Vessel following termination of this Charter under Clause 52 (*Termination Events*); 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;(C) arranging for a transfer of the Vessel's title in accordance with paragraph (b) (*Title transfer upon exercise of Purchase Option*) of Clause 55 (*Purchase Option*), or paragraph (d) (*Title transfer*)
 of Clause 56 (*Purchase Obligation and transfer of title*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) arising from the Master or officers of the Vessel or the Charterers' agents signing bills of lading or other documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) 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;(A) the arrest, seizure, taking into custody or other detention of the Vessel by any court or other tribunal or by any governmental entity (including any prevention or attempt to prevent such arrest, seizure, taking into
 custody or other detention); 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;(B) subjection to distress by reason of any process, claim, exercise of any rights conferred by a lien or by any other action whatsoever,

of the Vessel which are expended, suffered or incurred as a result of or in connection with any claim or against, or liability of, the Charterers or any other member of the Group, together with any costs and expenses or other outgoings which may be paid or incurred by the Owners in releasing the Vessel from any such arrest, seizure, custody, detention or distress.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Cost indemnities*** The Charterers shall pay to the Owners promptly on the Owners' written demand the amount of all costs and expenses (including legal fees) incurred by the Owners in connection with the
 enforcement of, or the preservation of any rights under, any Transaction Document including (without limitation) any losses, costs and expenses which the Owners may from time to time sustain, incur or become liable for by reason of the Owners
 being deemed by any court or authority to be an operator, or in any way concerned in the operation, of the Vessel.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Run-off indemnities*** Without prejudice to any right to damages or other claim which either party may, at any time, have against the other hereunder, it is hereby agreed and declared that the indemnities
 of the Owners by the Charterers contained in this Charter shall continue in full force and effect for a period of six (6) months after the Agreement Term.

63. Set-off

The Owners may set off any matured and/or contingent obligation due from the Charterers under the Transaction Documents against any obligation (whether matured or not) owed by the Owners to the Charterers, regardless of the place of payment or currency of either obligation. If the obligations are in different currencies, the Owners may convert either obligation at a market rate of exchange in their usual course of business for the purpose of the set-off.

64. Further assurances and undertakings

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Party shall make all applications and execute all other documents and do all other acts and things as may be necessary to implement and to carry out their obligations under, and the intent of, this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Parties shall act in good faith to each other in respect of any dealings or matters under, or in connection with, this Charter.

65. Cumulative rights

The rights, powers and remedies provided in this Charter are cumulative and not exclusive of any rights, powers or remedies at law or in equity unless specifically otherwise stated.

66. No waiver

No delay, failure or forbearance by a party to exercise (in whole or in part) any right, power or remedy under, or in connection with, this Charter will operate as a waiver. No waiver of any breach of any provision of this Charter will be effective unless that waiver is in writing and signed by the party against whom that waiver is claimed. No waiver of any breach will be, or be deemed to be, a waiver of any other or subsequent breach.

67. Entire agreement

This Charter contains all the understandings and agreements of whatsoever kind and nature existing between the parties in respect of this Charter, the rights, interests, undertakings agreements and obligations of the parties to this Charter and shall supersede all previous and contemporaneous negotiations and agreements.

68. Amendments

This Charter may not be amended, altered or modified except by a written instrument executed by each of the parties to this Charter.

69. Invalidity

If any term or provision of this Charter or the application thereof to any person or circumstances shall to any extent be invalid or unenforceable the remainder of this Charter or application of such term or provision to persons or circumstances (other than those as to which it is already invalid or unenforceable) shall (to the extent that such invalidity or unenforceability does not materially affect the operation of this Charter) not be affected thereby and each term and provision of this Charter shall be valid and be enforceable to the fullest extent permitted by law.

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70. English language

All notices, communications and financial statements and reports under or in connection with this Charter and the other Transaction Documents shall be in English language or, if in any other language, shall be accompanied by a translation into English. In the event of any conflict between the English text and the text in any other language, the English text shall prevail.

71. No partnership

Nothing in this Charter creates, constitutes or evidences any partnership, joint venture, agency, trust or employer/employee relationship between the parties, and neither party may make, or allow to be made any representation that any such relationship exists between the parties. Neither party shall have the authority to act for, or incur any obligation on behalf of, the other party, except as expressly provided in this Charter.

72. Disclosure of information

At any time after the Original Charter Date and during the Agreement Term, each of the Owners and the Charterers shall keep confidential and shall not, without the prior written consent of the other, disclose to any person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the financial details of, or the transactions contemplated by, the Transaction Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any information provided pursuant to any of the Transaction Documents,

**provided that** the Parties may disclose any such information without consent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to any person to the extent required for the purpose of any litigation, arbitration or regulatory proceedings or procedure;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to any person to whom, and to the extent that, information is required to be disclosed by any applicable law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to any investor, potential investor, purchaser or potential purchaser of or in any member of the Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) to any other member of the Group and, if required, to the financiers of such member of the Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to any Governmental Agency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) to the Finance Parties or any party to any of the Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) to the auditors, legal, financial or insurance advisors, underwriters or brokers of the Owners, the Charterers or of any of the persons listed in the paragraphs above or the lenders or financiers of or to the Group
 who shall, in each case, be instructed or under a professional obligation to maintain the confidentiality of any information supplied to them; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) in any manner contemplated by any of the Transaction Documents.

73. Notices

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any communication to be made under or in connection with this Charter shall be made in writing and, unless otherwise stated, may be made by fax, letter or email.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The address, fax number and email address (and the department or officer, if any, for whose attention the communication is to be made) of each party to this Charter for any communication or document to be made or
 delivered under or in connection with this Charter are:

---

| | | |
|:---|:---|:---|
| (i) | in the case of the Charterers: | in the case of the Charterers: |
|  | **MOUNT NOREFJELL INC.** | **MOUNT NOREFJELL INC.** |
|  | Address: | c/o 2020 Bulkers Management AS,<br> Tjuvholmen allé 3, 0252 Oslo,<br> Norway |
|  | Email: | [\*\*\*] |
|  | Attention: | [\*\*\*] |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of the Owners:

**GREAT LHOTSE LIMITED**

---

| | |
|:---|:---|
| Address: | c/o AVIC International Leasing Co., Ltd, 18/F, Hangrong Mansion, 1481 Guozhan Road, Pudong, Shanghai, China, 200126 |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

or any substitute address, fax number, email address, department or officer as either party may notify to the other by not less than five (5) Business Days' notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any communication or document made or delivered by one party to this Charter to the other under or in connection with this Charter will only be effective:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if by way of fax or email, when sent with no error message received; or

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

and, if a particular department or officer is specified as part of its address details provided under paragraph (b) above, if addressed to that department or officer.

Any communication or document which becomes effective, in accordance with this paragraph (c), after 5.00 pm in the place of receipt shall be deemed only to become effective on the following day.

74. Survival of Charterers' obligations

The termination of this Charter for any cause whatsoever shall not affect the right of the Owners to recover from the Charterers any money due to the Owners in consequence thereof and all other rights of the Owners (including but not limited to any rights, benefits or indemnities which are expressly provided to continue after the termination of this Charter) are reserved hereunder.

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75. Counterparts

This Charter may be executed in any number of counterparts and any single counterpart or set of counterparts signed, in either case, by all the parties hereto shall be deemed to constitute a full and original agreement for all purposes.

76. Third Parties Act

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any person which is an Indemnitee or a Finance Party from time to time and is not a party to this Charter shall be entitled to enforce such terms of this Charter as provided for in this Charter in relation to the
 obligations of the Charterers to such Indemnitee or (as the case may be) Finance Party, subject to the Third Parties Act. The Third Parties Act applies to this Charter as set out in this Clause 76.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Save as provided above, a person who is not a party to this Charter has no right under the Third Parties Act to enforce or to enjoy the benefit of any term of this Charter.

77. Waiver of immunity

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the extent that any Party may in any jurisdiction claim for itself or its assets or revenues immunity from any proceedings, suit, execution, attachment (whether in aid of execution, before judgment or otherwise)
 or other legal process and to the extent that such immunity (whether or not claimed) may be attributed in any such jurisdiction to such Party or its assets or revenues, each Party agrees, to the extent permitted by any applicable law, not to
 claim and irrevocably waive, to the extent permitted by any applicable law, such immunity to the full extent permitted by the laws of such jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Party consents generally in respect of any proceedings to the giving of any relief and the issue of any process in connection with such proceedings 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 is made or given in such proceedings. Each Party agrees that in any proceedings in England this waiver shall have the fullest scope
 permitted by the English State Immunity Act 1978 and that this waiver is intended to be irrevocable for the purposes of such Act.

78. FATCA

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) For the purpose of this Clause 78, the following terms shall have the following meanings:

"**Code**" means the United States Internal Revenue Code of 1986, as amended.

"**FATCA**" means:

&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) sections 1471 through 1474 of the Code and any associated 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;(ii) any treaty, law, regulation or other official guidance enacted in any other jurisdiction, or relating to an intergovernmental agreement between the US and any other jurisdiction, which (in either case) facilitates
 the implementation of paragraph (i) above; 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;(iii) any agreement pursuant to the implementation of paragraphs (i) or (ii) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction.

"**FATCA Deduction**" means a deduction or withholding from a payment under this Charter or the other Transaction Documents required by or under FATCA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Charterers shall procure that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if an Obligor is required to make a FATCA Deduction, that Obligor shall make that FATCA Deduction and any payment required in connection with that FATCA Deduction within the time allowed and in the minimum amount
 required by FATCA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if a FATCA Deduction is required 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 FATCA Deduction) leaves an amount equal to the
 payment which would have been due if no FATCA Deduction had been required; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) within thirty (30) days of making either a FATCA Deduction or any payment required in connection with that FATCA Deduction, the Obligor making that FATCA Deduction or payment shall deliver to the Owners evidence
 satisfactory to the Owners that the FATCA Deduction has been made or (as applicable) any appropriate payment has been paid to the relevant governmental or taxation authority.

79. EEXI

Notwithstanding any other provision in this Charter and without prejudice to Clause 39 (*Structural changes and alterations*), the Parties agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Parties acknowledge and accept that the Vessel is required to comply with the EEXI Regulations from the Relevant Date and that this may require EEXI Modifications.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event that EEXI Modifications are required, these shall be completed by the Charterers prior to the Relevant Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) This subclause (c) shall only apply where the EEXI Modifications are limited to an Engine Power Limitation (EPL) or Shaft Power Limitation (SHAPOLI):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The specification of such modifications and the estimated new maximum speed and corresponding consumption figures of the Vessel shall be determined by the Charterers and the Owners shall be informed in writing by the
 Charterers without undue delay.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Charterers shall be responsible for and bear the cost of such modifications including procurement, purchase, payment, installation and any trials associated therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) As soon as reasonably possible following the implementation of such modifications, the Charterers shall notify the Owners in writing of the new maximum speed and corresponding consumption figures of the Vessel and
 other consequential changes to the Vessel's description. The Charterers shall as soon as practicably possible notify the Owners in writing of the date from which the Vessel's power is certified to be limited.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) EEXI Modifications other than or in addition to EPL or SHAPOLI shall be subject to the Owners' prior agreement and approval (such approval not to be unreasonably withheld or delayed).

For the purposes of this Clause:

"**EEXI**" means the Energy Efficiency Existing Ships Index as set out in MARPOL Annex VI (as amended from time to time).

"**EEXI Regulations**" means RESOLUTION MEPC.328(76) - AMENDMENTS TO MARPOL ANNEX VI (2021 REVISED MARPOL ANNEX VI) implementing EEXI and associated guidelines and/or any subsequent amendments.

"**EEXI Modifications**" means any physical or technical modifications required to bring the Vessel in compliance with the EEXI Regulations.

"**Relevant Date**" means, following the Actual Delivery Date, the Vessel's next annual, intermediate or renewal survey, whichever comes first, on or after 1 January 2023.

80. Conflicts

Unless stated otherwise, in the event of there being any conflict between the provisions of Clauses 1 (*Definitions*) (Part II) to 31 (*Notices*) (Part II) and the provisions of Clauses 32 (*Definitions*) to 80 (*Conflicts*), the provisions of Clauses 32 (*Definitions*) to 80 (*Conflicts*) shall prevail.

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**SCHEDULE 1**

**FORM OF PROTOCOL OF DELIVERY AND ACCEPTANCE**

**<u>PROTOCOL OF DELIVERY AND ACCEPTANCE</u>**

It is hereby certified that pursuant to a bareboat charter dated 25 February 2022 and made between **GREAT LHOTSE LIMITED** (the "**Owners**") as owners and **MOUNT NOREFJELL INC.** (formerly known as **LHOTSE INC.**) (the "**Bareboat Charterers**") as bareboat charterers, as amended, supplemented and restated pursuant to an amendment and restatement agreement dated 2022 (as may be further amended and supplemented from time to time, the "**Bareboat Charter**") in respect of one (1) 210,000 DWT bulk carrier named "[ ]" and registered under the laws and flag of The Republic of Liberia with IMO number [ ] (the "**Vessel**"), the Vessel is delivered for charter by the Owners to the Bareboat Charterers, and accepted by the Bareboat Charterers from the Owners at&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; hours (Shanghai time) on the date hereof in accordance with the terms and conditions of the Bareboat Charter.

IN WITNESS WHEREOF, the Owners and the Bareboat Charterers have caused this PROTOCOL OF DELIVERY AND ACCEPTANCE to be executed by their duly authorised representative on this &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; day 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; 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; .

---

| | |
|:---|:---|
| THE OWNERS | THE BAREBOAT CHARTERERS |
| **GREAT LHOTSE LIMITED** | **MOUNT NOREFJELL INC.** |
| by: | by: |
| Name: | Name: |
| Title: | Title: |
| Date: | Date: |

---

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**SCHEDULE 2**

**FORM OF TITLE RE-TRANSFER PROTOCOL OF DELIVERY AND ACCEPTANCE**

**<u>PROTOCOL OF DELIVERY AND ACCEPTANCE</u>**

**m.v. "[ ]"**

**GREAT LHOTSE LIMITED** of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960 (the "**Owners**") deliver to **MOUNT NOREFJELL INC.** whose registered address is 80, Broad Street, Monrovia, Liberia (the "**Bareboat Charterers**") the Vessel described below and the Bareboat Charterers accept delivery of, title and risk to the Vessel pursuant to the terms and conditions of the bareboat charter dated 25 February 2022 and made between (1) the Owners and (2) the Bareboat Charterers as amended, supplemented and restated pursuant to an amendment and restatement agreement dated<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> 2022 (as may be further amended and supplemented from time to time).

Name of Vessel: [ ]

Flag: The Republic of Liberia

Place of Registration: The Republic of Liberia

IMO Number: [ ]

Gross Registered Tonnage: [ ] tons

Net Registered Tonnage: [ ] tons

---

| | |
|:---|:---|
| Dated: | 20 |

---

At: hours (Shanghai time)

Place of delivery:

---

| | |
|:---|:---|
| THE OWNERS | THE BAREBOAT CHARTERERS |
| **GREAT LHOTSE LIMITED** | **MOUNT NOREFJELL INC.** |
| by: | by: |
| Name: | Name: |
| Title: | Title: |
| Date: | Date: |

---

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**SCHEDULE 3**

**LIST OF RELATED VESSELS AND RELEVANT INFORMATION**

---

| | | | |
|:---|:---|:---|:---|
| **Name of Vessel** | **Builder** | **Related Owners** | **Related Charterers** |
| Hull number 0120834 | NEW TIMES SHIPBUILDING CO., LTD. | GREAT MAKALU LIMITED | MOUNT ITA INC. |
| Hull number 0120835 | NEW TIMES SHIPBUILDING CO., LTD. | GREAT MANASIU LIMITED | MOUNT ETNA INC. |
| Hull number 0120836 | NEW TIMES SHIPBUILDING CO., LTD. | GREAT NUPTSE LIMITED | MOUNT BLANC INC. |

---

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**SCHEDULE 4<br> TERMINATION CORE AMOUNT SCHEDULE**

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Each Hire Payment Date during the Charter Period** | &nbsp;&nbsp;**Termination Core Amount (US$)** | &nbsp;&nbsp;**Termination Core Amount (US$)** | &nbsp;&nbsp;**Termination Core Amount (US$)** |
| &nbsp;&nbsp;1<sup>st</sup> | &nbsp;&nbsp;63000000.00 &nbsp;&nbsp;11<sup>th</sup> | &nbsp;&nbsp;58121323.45 &nbsp;&nbsp;21<sup>st</sup> | &nbsp;&nbsp;52417938.68 |
| &nbsp;&nbsp;2<sup>nd</sup> | &nbsp;&nbsp;62547935.22 &nbsp;&nbsp;12<sup>th</sup> | &nbsp;&nbsp;57586404.98 &nbsp;&nbsp;22<sup>nd</sup> | &nbsp;&nbsp;51798772.20 |
| &nbsp;&nbsp;3<sup>rd</sup> | &nbsp;&nbsp;62083685.68 &nbsp;&nbsp;13<sup>th</sup> | &nbsp;&nbsp;57054761.08 &nbsp;&nbsp;23<sup>rd</sup> | &nbsp;&nbsp;51162916.97 |
| &nbsp;&nbsp;4<sup>th</sup> | &nbsp;&nbsp;61612024.60 &nbsp;&nbsp;14<sup>th</sup> | &nbsp;&nbsp;56508814.82 &nbsp;&nbsp;24<sup>th</sup> | &nbsp;&nbsp;50516910.59 |
| &nbsp;&nbsp;5<sup>th</sup> | &nbsp;&nbsp;61138042.25 &nbsp;&nbsp;15<sup>th</sup> | &nbsp;&nbsp;55948153.36 &nbsp;&nbsp;25<sup>th</sup> | &nbsp;&nbsp;49874858.81 |
| &nbsp;&nbsp;6<sup>th</sup> | &nbsp;&nbsp;60656575.23 &nbsp;&nbsp;16<sup>th</sup> | &nbsp;&nbsp;55378541.18 &nbsp;&nbsp;26<sup>th</sup> | &nbsp;&nbsp;49215534.46 |
| &nbsp;&nbsp;7<sup>th</sup> | &nbsp;&nbsp;60162130.95 &nbsp;&nbsp;17<sup>th</sup> | &nbsp;&nbsp;54812415.95 &nbsp;&nbsp;27<sup>th</sup> | &nbsp;&nbsp;48538438.96 |
| &nbsp;&nbsp;8<sup>th</sup> | &nbsp;&nbsp;59659793.09 &nbsp;&nbsp;18<sup>th</sup> | &nbsp;&nbsp;54231060.74 &nbsp;&nbsp;28<sup>th</sup> | &nbsp;&nbsp;47850533.93 |
| &nbsp;&nbsp;9<sup>th</sup> | &nbsp;&nbsp;59160530.35 &nbsp;&nbsp;19<sup>th</sup> | &nbsp;&nbsp;53634035.93 |  |
| &nbsp;&nbsp;10<sup>th</sup> | &nbsp;&nbsp;58647836.37 &nbsp;&nbsp;20<sup>th</sup> | &nbsp;&nbsp;53027479.88 |  |

---

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**SCHEDULE 5**

**PURCHASE OPTION CORE AMOUNT SCHEDULE**

---

| | |
|:---|:---|
| **Anniversary Date** | **Purchase Option Core Amount (US$)** |
| the Third Anniversary Date | 56934360 |
| the Fourth Anniversary Date | 54492480 |
| the Fifth Anniversary Date | 52050600 |
| the Sixth Anniversary Date | 49608720 |
| the Seventh Anniversary Date | 47166840 |

---

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**SIGNATURE PAGE**

**<u>TO BAREBOAT CHARTER FOR THE 210,000 DWT BULK CARRIER BEARING BUILDER'S HULL NUMBER 0120833</u>**

---

| | |
|:---|:---|
| **THE OWNERS** | **THE CHARTERERS** |
| **GREAT LHOTSE LIMITED** | **MOUNT NOREFJELL INC.** |
| by: | by: |
| Name: | Name: |
| Title: | Title: |
| Date: | Date: |

---

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![](ny20006357x6_ex10-3img027.jpg)

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![](ny20006357x6_ex10-3img028.jpg)

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![](ny20006357x6_ex10-3img029.jpg)

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![](ny20006357x6_ex10-3img030.jpg)

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## Exhibit 10.4

------

****

<br> **Exhibit 10.4**

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAIN PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

202236910010001742

**<u>Execution version</u>**

**EVEREST inc.**<br> (as SellerS)

<br> **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) <br> CO., LTD.)**<br> (AS BUYERS)

memorandum of agreement<br> IN RESPECT OF<br> one (1) BULK CARRIER<br> with builder's hull number 0120837

![](ny20006357x6_ex10-4image01.jpg)

**TABLE OF CONTENTS**

**1.** **Definitions and interpretations** **4** 

**2.** **Sale and purchase** **9** 

**3.** **Purchase Price** **10** 

**4.** **Currency of payment** **10** 

**5.** **Payment Notice** **11** 

**6.** **Direct Payments and Deferred Payments** **11** 

**7.** **Pre-position of Delivery Instalment** **12** 

**8.** **Conditions precedent and subsequent** **13** 

**9.** **Cancellation and refund** **15** 

**10.** **Intentionally left blank** **16** 

**11.** **Rebate Periods** **16** 

**12.** **Termination on sale of Vessel/Building Contract** **16** 

**13.** **Sellers' undertakings** **17** 

**14.** **MOA Termination Events** **18** 

**15.** **Buyers' powers following cancellation** **19** 

**16.** **Changes to parties** **20** 

**17.** **Cumulative rights** **20** 

**18.** **No waiver** **20** 

**19.** **Entire agreement and amendments** **20** 

**20.** **Invalidity** **20** 

**21.** **English language** **21** 

**22.** **No partnership** **21** 

**23.** **Notices** **21** 

**24.** **Counterparts** **22** 

**25.** **Third Parties Act** **22** 

**26.** **Spares, bunkers and other items** **22** 

**27.** **Encumbrances** **23** 

---

| | | |
|:---|:---|:---|
| **28.** | **Taxes, costs and expenses** | **23** |
| **29.** | **Delivery under Charter** | **23** |
| **30.** | **Indemnities** | **23** |
| **31.** | **Calculations and certificates** | **24** |
| **32.** | **Law and arbitration** | **24** |
| **Schedule 1 Conditions precedent and subsequent** | **Schedule 1 Conditions precedent and subsequent** | **26** |
| **Schedule 2 Form of Payment Notice** | **Schedule 2 Form of Payment Notice** | **34** |

---

**THIS AGREEMENT** is made on 20 April 2022

**BETWEEN:**

(1) **EVEREST INC.**, a company incorporated under the laws of The Republic of Liberia whose
 registered address is 80, Broad Street, Monrovia, Liberia (the "**Sellers** "); and

(2) **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)**, a company incorporated under the laws of The People's Republic of China whose registered address is Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone,
 Tianjin Pilot Free Trade Zone, the People's Republic of China (the "**Buyers** ").

**BACKGROUND:**

(A) Pursuant to a building contract dated 22 June 2021, as amended and supplemented pursuant to addendum no. 1 dated 22 June 2021 and addendum no. 2
 dated 29 June 2021, as may be further amended, supplemented, novated or replaced from time to time, the "**Building Contract** "), on the terms and subject to the conditions of which the Builder has agreed to design, engineer, build, launch,
 equip, complete, deliver and sell, and the Sellers have agreed to purchase, one (1) new 210,000 DWT bulk carrier as further described in the Building Contract and bearing the Builder's hull number 0120837, along with all her appurtenances,
 associated equipment, materials, stores, spare parts and documentation (the "**Vessel** "), upon the terms and conditions therein.

(B) The Sellers have agreed to sell the Vessel to the Buyers upon the terms and conditions set forth in this Agreement.

(C) The Buyers have agreed to (a) take delivery of the Vessel from the Sellers immediately upon the delivery of the Vessel by the Builder under the Building
 Contract to the Sellers and (b) pay the Purchase Price (as defined below) in instalments upon the terms and conditions set forth in this Agreement.

(D) The Buyers (as owners) have agreed to let the Vessel to the Sellers (as bareboat charterers) and the Sellers have agreed to hire the Vessel from the Buyers
 immediately upon the acceptance of the Vessel by the Buyers from the Sellers under this Agreement, pursuant to the terms and conditions set forth in a bareboat charter agreement (as amended and or supplemented from time to time) (the "**Charter** ")

 entered or to be entered into between the Buyers (as owners) and the Sellers (as bareboat charterers) on or about the date of this Agreement.

**IT IS AGREED as follows:<u> </u>**

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|:---|:---|
| **1.** | **Definitions and interpretations** |
| **1.1** | **Definitions** |
|  | Words and expressions having defined meanings in the Charter shall, except where otherwise defined herein, have the same meanings when used in this Agreement, and in this Agreement: |
|  | "**Actual Delivery Date**" has the meaning given to such term in Clause 2.2(b) (*Delivery*). |

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|:---|
| "**Bill of Sale**" means the bill of sale in respect of the Vessel to be executed by the Sellers (in a form acceptable to the Buyers and the Flag State, transferring title of the Vessel to the Buyers and stating that the Vessel is free from all Security Interests or any other debts whatsoever). |
| "**Builder**" means New Times Shipbuilding Co., Ltd., a corporation organized and existing under the laws of the People's Republic of China having its registered office at Dan Hua Gang Port, Jingjiang City, Jiangsu Province, the People's Republic of China 214518. |
| "**Builder Banking Day**" means a day on which commercial banks are open for business in Jiangsu Province, the People's Republic of China, London, New York and Oslo. |
| "**Builder's Account**" means the bank account (account number 10221614040001050) in the name of the Builder opened with the Builder's Bank, or such other bank account acceptable to the Buyers and the Sellers. |
| "**Builder's Bank**" means Agricultural Bank of China Limited, Jiangsu Branch or such other first-class bank acceptable to the Buyers and the Sellers. |
| "**Builder's PDA**" means the protocol of delivery and acceptance in respect of the Vessel to be executed by the Builder and the Sellers (evidencing the unconditional physical delivery of the Vessel by the Builder to the Sellers pursuant to the Building Contract). |
| "**Cancellation Date**" means the date specified in the Cancellation Notice. |
| "**Cancellation Notice**" has the meaning given to such term in Clause 9 (*Cancellation and refund*). |
| "**Charterers**" means the Sellers in their capacity as bareboat charterers under the Charter. |
| "**Contractual Delivery Date**" means 18 September 2023, being the date referred to in paragraph 1 (*Time and Place*) of article VII (*Delivery*) of the Building Contract as of the date of this Agreement. |
| "**Contractual Purchase Price**" means the price in respect of the Vessel as stipulated in paragraph 1 (*Contract Price*) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract which, as at the date of this Agreement, is sixty-nine million seven hundred and sixty-seven thousand US Dollars (US$69,767,000), as the same may be subject to adjustment in accordance with the terms of the Building Contract. |
| "**Deferred Payment**" means, in respect of an Instalment and to the extent applicable, the payment of such Instalment by the Buyers to the Sellers (or the Sellers' Account, as applicable) for the purpose of reimbursing the Sellers after the Sellers have (whether utilising their own funds or from whatever source of funds they may select) settled the corresponding instalment of the Contractual Purchase Price under the Building Contract directly with the Builder. |
| "**Delivery Instalment**" means the Fifth Instalment. |
| "**Delivery Location**" means: |

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(a) the Builder's shipyard, as further set out in the Building Contract; or

(b) such other location as the Sellers and the Buyers may mutually agree prior to the Actual Delivery Date following consultation with the Builder
 and which is in a jurisdiction without any interference to the operation of the Vessel and which would not give rise to the payment of any Tax in respect of the transfer of the Vessel's title.

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|:---|
| "**Direct Payment**" means, in respect of an Instalment and to the extent applicable, the payment of such Instalment by the Buyers (either directly or through an Escrow Agent) at the request of the Sellers towards direct settlement with the Builder of the corresponding instalment of the Contractual Purchase Price under the Building Contract. |
| "**Escrow Agent**" means Stephenson Harwood, Hong Kong or any other person (acceptable to the Sellers and the Buyers) acting as escrow agent in relation to any Direct Payment. |
| "**Escrow Agreement**" means any escrow agreement entered or to be entered into by the Sellers, the Buyers and the Escrow Agent in relation to any Direct Payment. |
| "**Flag State**" means The Republic of Liberia or such other flag state as may be nominated by the Sellers and acceptable to the Buyers, acting reasonably. |
| "**Fifth Instalment**" means an amount: |

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(a) which is payable by the Buyers under this Agreement;

(b) which relates to (and shall be no more than) the fifth instalment of the Contractual Purchase Price (as the same may be subject to adjustment in
 accordance with the terms of the Building Contract, including, without limitation, any adjustment as a result of the maker's list, plan approval and fuel tanks agreed with the Builder in relation to the Building Contract or the Vessel) which
 the Sellers (as buyer) are obliged to pay to the Builder pursuant to paragraph 3(e) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract; and

(c) which shall (when aggregating with the Pre-Delivery Instalments) not exceed the lower of (i) sixty-three million US Dollars (US$63,000,000) and
 (ii) ninety per cent. (90%) of the Contractual Purchase Price.

"**Fourth Instalment**" means an amount which:

(a) is payable by the Buyers under this Agreement;

(b) relates to (and shall be no more than) the fourth instalment of the Contractual Purchase Price which the Sellers (as buyer) are obliged to pay
 to the Builder pursuant to paragraph 3(d) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract; and

(c) is no more than six million eight hundred and forty one thousand seven hundred US Dollars (US$6,841,700).

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|:---|
| "**Instalment**" means each of the Pre-Delivery Instalments and the Delivery Instalment, and "**Instalments**" means any two (2) or more of them. |
| "**Long Stop Date**" means the earlier of (i) the Actual Delivery Date and (ii) 15 April 2024. **** |
| "**MOA Termination Event**" means each of the events specified in paragraph (a) of Clause 14 (*MOA Termination Events*). |
| "**Owners**" means the Buyers in their capacities as owners under the Charter. |
| "**Payment Date**" means, in respect of each Instalment, the date specified as such in the relevant Payment Notice or, if different, on which such Instalment is actually paid by the Buyers. |
| "**Payment Notice**" means: |

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(a) in relation to each Pre-Delivery Instalment, an irrevocable notice of the relevant amount payable by the Buyers under this Agreement
 to be issued by the Sellers to the Buyers at such time as the Sellers may notify the Buyers (but in any event no later than three (3) Builder Banking Days before the proposed payment date and no later than the Long Stop Date);

(b) in relation to the Delivery Instalment, the irrevocable notice of the amount payable by the Buyers under this Agreement to be issued by the
 Sellers to the Buyers:

(i) for the purpose of effecting the relevant Direct Payment, at least three (3) Business Days prior to the anticipated payment date or
 the Pre-positioning Date (as applicable); or

(ii) for the purpose of effecting the relevant Deferred Payment, at such time as the Sellers may notify the Buyers (but in any event no later than
 three (3) Business Days before the proposed payment date and no later than the Long Stop Date),

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|:---|
| in each case such Payment Notice shall be in substantially the form set out in Schedule 2 (*Form of Payment Notice*) hereto (or such other form as the Buyers and the Sellers may agree). |
| "**Potential MOA Termination Event**" means, an event or circumstance which would, with the giving of any notice, the lapse of time, a determination of the Buyers or any combination of the foregoing, be an MOA Termination Event. |
| "**Pre-Delivery Assignment**" means the deed of assignment dated on or about the date of this Agreement and executed by the Sellers (as assignor) in favour of the Buyers (as assignee) in relation to the Sellers' rights, title and interests in and to, and all benefits accruing to it under or pursuant to the Building Contract and the Refund Guarantee. |
| "**Pre-Delivery Instalment**" means either of the Third Instalment and the Fourth Instalment, and "**Pre-Delivery Instalments**" means both of them. |
| "**Pre-Delivery Period**" means the period commencing from the date of this Agreement up to the Actual Delivery Date and acceptance of the Vessel by the Buyers. |
| "**Pre-positioning Date**" means, in relation the Delivery Instalment and the relevant Payment Notice, the date specified in such Payment Notice as the date on which the Buyers shall pre-position the relevant amounts into the Builder's Bank, which shall not be earlier than six (6) Builder Banking Days prior to the Scheduled Delivery Date. |
| "**Purchase Price**" means the amount which is the aggregate of the following amounts which the Buyers shall pay or be deemed to have paid in accordance with this Agreement: |

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(a) the Third Instalment;

(b) the Fourth Instalment; and

(c) the Fifth Instalment.

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|:---|
| "**Rebate Period**" means each period determined in accordance with Clause 11 (*Rebate Periods*) and, in relation to an overdue amount, each period determined in accordance with clause 79(c) (*Default interest*) of the Charter. |
| "**Refund Guarantee**" means the refund guarantee numbered 102216DG21000025, dated 21 July 2021 and issued by the Refund Guarantor in favour of the Sellers in relation to the |

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|:---|
| Building Contract, the rights and interests pursuant to which will be or has been assigned in favour of the Buyers in accordance with the Pre-Delivery Assignment. |
| "**Refund Guarantor**" means Agricultural Bank of China Limited, Jiangsu Branch. |
| "**Repeating Representations**" means the representations and warranties referred to in clause 48(b) of the Charter. |
| "**Scheduled Delivery Date**" means the date on which the Builder is ready to deliver and the Sellers are ready to accept delivery of the Vessel in accordance with the terms of the Building Contract, and in any event not later than the Long Stop Date, which the Sellers shall notify to the Buyers in the Payment Notice in respect of the Delivery Instalment. |
| "**Sellers' Account**" means the US Dollar account in the name of the Sellers opened with their account bank. |
| "**Sellers' PDA**" means the protocol of delivery and acceptance in respect of the Vessel to be executed by the Sellers and the Buyers pursuant to this Agreement. |
| "**Supervisor**" means SeaQuest Marine S.A. or its Affiliate. |
| "**Third Instalment**" means an amount which: |

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(a) is payable by the Buyers under this Agreement;

(b) relates to (and shall be no more than) the third instalment of the Contractual Purchase Price which the Sellers (as buyer) are obliged to pay to the Builder pursuant to paragraph 3(c) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the Building Contract; and

(d) is no more than six million eight hundred and forty one thousand seven hundred US Dollars (US$6,841,700).

**1.2** **Interpretations** 

(a) In this Agreement, unless the context otherwise requires, any reference to:

(i) to this Agreement include the Schedules hereto and references to Clauses and Schedules are, unless otherwise specified, references to Clauses of and
 Schedules to this Agreement and, in the case of a Schedule, to such Schedule as incorporated in this Agreement as substituted from time to time;

(ii) any statutory or other legislative provision shall be construed as including any statutory or legislative modification or re-enactment thereof, or any
 substitution therefor;

(iii) the term "**Vessel**" includes any part of the Vessel;

(iv) the "**Buyers** ", the "**Sellers** ", any "**Obligor**" or any other person include any of their respective successors, permitted assignees and
 permitted transferees;

(v) any agreement, instrument or document include such agreement, instrument or document as the same may from time to time be amended, modified, supplemented,
 novated or substituted;

(vi) "**control**" over a particular company means the power (whether by way of

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|:---|:---|
| ownership of shares, proxy, contract, agency or otherwise) to: | ownership of shares, proxy, contract, agency or otherwise) to: |
| (A) | cast, or control the cast of, more than fifty per cent. (50%), of the maximum number of votes that might be cast at a general meeting of such company; |
| (B) | appoint or remove all, or the majority of the directors or other equivalent officers of such company; or |
| (A) | give directions with respect to the operating and financial policies of such company with which the directors or other equivalent officers of such company are obliged to comply; |

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(vii) "**hereof** ", "**herein**" and "**hereunder**" and other words of similar import means this Agreement as a whole (including the Schedules)
 and not any particular part hereof;

(viii) "**law**" includes common or customary law and any constitution, decree, judgment, legislation, order, ordinance, regulation, rule, statute, treaty or other
 legislative measure in any jurisdiction or any present or future directive, regulation, request or requirement, or official or judicial interpretation of any of the foregoing, in each case having the force of law and, if not having the force of
 law, in respect of which compliance is generally customary;

(ix) "**month**" means, save as otherwise provided, a period starting on one day in a calendar month and ending on the numerically corresponding day in the next
 calendar month, except that 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 day in that calendar month;

(x) the word "**person**" or "**persons**" or to words importing persons include, without limitation, any state, divisions of a state, government,
 individuals, partnerships, corporations, ventures, government agencies, committees, departments, authorities and other bodies, corporate or unincorporated, whether having distinct legal personality or not;

(xi) a Potential MOA Termination Event or an MOA Termination Event which is "**continuing**" is a reference to a Potential MOA Termination Event or an MOA
 Termination Event which is not remedied or waived; and

(xii) words denoting the plural number include the singular and vice versa.

(b) Headings are for the purpose of reference only, have no legal or other significance, and shall be ignored in the interpretation of this Agreement.

(c) A time of day (unless otherwise specified) is a reference to Beijing time.

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|:---|:---|
| ***2.*** | ***Sale and purchase*** |
| **2.1** | **Agreement for sale and purchase** |
|  | The Sellers hereby irrevocably agree to sell and the Buyers hereby irrevocably agree to purchase the Vessel on the terms and conditions hereinafter set forth. |
| **2.2** | **Delivery** |

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(a) At the time of delivery of the Vessel by the Sellers to the Buyers, the Vessel shall be located at the Delivery Location.

(b) The Vessel shall be delivered by the Sellers, with full title guarantee, to the Buyers on the Scheduled Delivery Date, (or such later date which is notified by the Sellers to the
 Buyers no less than 3 days in advance (in each case the "**Actual Delivery Date** ")), free and clear of all Security Interests.

(c) On the Actual Delivery Date, the following events are to occur in the following order and one immediately after another:

(i) delivery of the Vessel by the Builder to the Sellers pursuant to the Building Contract;

(ii) delivery of the Vessel by the Sellers to the Buyers pursuant to this Agreement; and

(iii) delivery of the Vessel by the Buyers (as owners under the Charter) to the Sellers (as bareboat charterers under the Charter) pursuant to the Charter (such date being, for the
 avoidance of doubt, the "Actual Delivery Date" as defined under the Charter).

(d) On the Actual Delivery Date, the Sellers shall deliver to the Buyers an executed Bill of Sale and other documents set out in paragraph (g) below, whereupon all of the
 title to, interest in and all ownership rights with respect to the Vessel shall pass from the Sellers to the Buyers.

(e) The Buyers shall accept the Vessel on an "as is where is" basis in exactly the same form, state and condition as the Vessel is delivered by the Builder to the Sellers pursuant to
 the Building Contract.

(f) Upon delivery of the Vessel, the Sellers and the Buyers shall execute the Sellers' PDA, whereupon the Sellers shall be deemed to have given, and the Buyers shall be deemed to have
 received and accepted, possession of the Vessel.

(g) Upon delivery of the Vessel, the Sellers shall provide the Buyers with all the documents and other evidence listed in Part IV (*Delivery Date conditions precedent*) of Schedule
 1 (*Conditions precedent and subsequent*) hereto.

***3.*** ***Purchase Price*** 

(a) The purchase price of the Vessel payable by the Buyers to the Sellers under this Agreement shall be an amount equal to the Purchase Price.

(b) For the avoidance of doubt, the purchase price referred to in paragraph (a) above shall cover the purchase of the Vessel and, to the extent owned by the
 Sellers, everything then belonging to her on board.

***4.*** ***Currency of payment*** 

(a) Subject to the remaining provisions of this Clause 4, USD is the currency of account and payment for any sum due from:

(i) the Buyers to the Sellers under this Agreement; and

(ii) an Obligor to the Buyers under any Transaction Document.

(b) Each payment in respect of costs, expenses or Taxes shall be made in the currency

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|  | in which the costs, expenses or Taxes are incurred. |
| (c) | Any amount expressed to be payable in a currency other than USD shall be paid in that currency. |

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| ***5.*** | ***Payment Notice*** |
| **5.1** | **Delivery of a Payment Notice** |
|  | The Sellers may request the Buyers to make a payment in respect of an Instalment by delivery to the Buyers of a duly completed Payment Notice not fewer than the number of days required in respect of such Instalment or any other period as may be agreed by the Sellers and the Buyers. |

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|:---|:---|
| **5.2** | **Completion of a Payment Notice** |
|  | Each Payment Notice is irrevocable and will not be regarded as having been duly completed or valid unless: |

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(a) it is delivered by the Sellers and received by the Buyers before the Long Stop Date;

(b) it clearly:

(i) identifies (A) the Instalment(s) to which such Payment Notice relates, and (B) the proposed date of payment; and

(ii) sets out the precise amount of the Instalment(s) to which such Payment Notice relates;

(c) it is signed by an authorised signatory of the Sellers;

(d) the currency of the proposed Instalment(s) to be paid is US Dollars;

(e) the proposed date of payment is a Business Day and is no later than the relevant Long Stop Date;

(f) for any Direct Payment in relation to a Pre-Delivery Instalment, the Builder's Account is designated to receive such Direct Payment (either directly or through an Escrow Agent); and

(g) for any Direct Payment, unless the Buyers inform the Sellers in advance that the Direct Payment may be effected by the Buyers directly without involving any Escrow Agent,

(i) an Escrow Agreement is entered into in relation to that Delivery Payment; and

(ii) the relevant Escrow Agent's account is designated to receive such Direct Payment for onward payment.

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| ***6.*** | ***Direct Payments and Deferred Payments*** |
| **6.1** | **Sellers' election to pay Builder directly** |
|  | Notwithstanding any other provision of this Agreement, the Sellers may elect to settle any instalment of the Contractual Purchase Price that has not been paid as at the date of this Agreement (whether utilising their own funds or from whatever source of funds they may |

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|:---|:---|
|  | select) directly with the Builder by making the relevant payment to the Builder in accordance with the Building Contract. |
| **6.2** | **Deemed satisfaction of Buyers' Instalment payment obligations** |
|  | The obligation of the Buyers to pay the relevant Instalment under this Agreement shall be deemed to have been satisfied to the extent of (and in each case as applicable): |

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(a) the Buyers' settling of the corresponding amount by way of a Deferred Payment; or

(b) the Buyers' (acting on the instructions of the Sellers) deposit of the corresponding amount to the Builder's Bank by way of a Direct Payment.

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|:---|:---|
| **6.3** | **Deemed payment of Pre-Delivery Instalment** |
|  | A transfer of funds by the Buyers to the Builder's Account or the Escrow Agent of any Pre-Delivery Instalment in accordance with this Agreement shall constitute payment of that Pre-Delivery Instalment for the purposes of this Agreement and shall, as from the date of such transfer, constitute a valid and binding obligation upon the Sellers in respect of the refund of that Pre-Delivery Instalment and any other amount payable in relation thereto, each in accordance with and in the manner contemplated by this Agreement. |
| ***7.*** | ***Pre-position of Delivery Instalment*** |
| **7.1** | **Pre-position** |
|  | Subject always to the conditions in this Clause 7 and the other terms of this Agreement, the Sellers may request the Buyers to pre-position the Delivery Instalment to the Builder's Bank in accordance with the relevant Payment Notice by way of a Direct Payment. |
| **7.2** | **Conditions to pre-position** |
|  | The Buyers will only be obliged to pre-position the Delivery Instalment in accordance with Clause 7.1 (*Pre-position*) if, on or before the Pre-positioning Date, the Buyers have not received any notice referred to under Clause 12 and the Buyers have received: |

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(a) in relation to the Delivery Instalment, the additional documents and other evidence listed in Part III (*Pre-position conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) (or evidence satisfactory to the Buyers that they shall, on the Pre-positioning Date, receive such documents or evidence);

(b) evidence (in such form and subject to such terms and conditions as the Buyers may specify) in writing (electronically or otherwise) on or before the proposed Pre-positioning Date that such amounts
 will:

(i) be held by the Builder's Bank in suspense to the order of the Buyers; and

(ii) only be released to the Builder upon presentation to the Builder's Bank of a copy (transmitted by fax, email or otherwise) of the duly executed, dated and timed Builder's PDA, which is:

(A) signed by a duly authorised officer, signatory, attorney-in-fact or other representative of the Builder and the Sellers (as original buyers under the Building Contract), whose details
 shall be communicated to the Builder's Bank in writing (electronically by

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|:---|:---|
|  | SWIFT message or otherwise) on or before the proposed Pre-positioning Date; and |
| (B) | countersigned by a duly authorised officer, signatory, attorney-in-fact or other representative of (1) the Buyers and, (2) if requested by a Finance Party and acceptable to the Builder, such Finance Party, whose details shall (in each case as applicable) be communicated to the Builder's Bank in writing (electronically or otherwise) on or before the proposed Pre-positioning Date. |

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**7.3** **Deemed payment of Delivery Instalment** 

(a) A transfer of funds by the Buyers to the Builder's Bank or the Escrow Agent in accordance with Clauses 7.1 (*Pre-position*) and 7.2 (*Conditions to pre-position*)
 above shall constitute payment of the Delivery Instalment for the purposes of this Agreement and shall, as from the date of such transfer, constitute a valid and binding obligation upon the Sellers in respect of the refund of the Delivery
 Instalment and any other amount payable in relation thereto, each in accordance with and in the manner contemplated by this Agreement.

(b) Any repayment by the Builder's Bank to the Buyers or their bank of any part of the Delivery Instalment shall constitute (in each case as applicable), to the extent of such
 repayment, a refund of such part of the Delivery Instalment by the Sellers.

***8.*** ***Conditions precedent and subsequent*** 

**8.1** **Initial conditions precedent** 

(a) The Sellers may not deliver the first Payment Notice unless the Buyers have received all the documents and other evidence listed in Part I (*Initial conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers.

(b) The Buyers shall only be obliged to make a payment in respect of the Payment Notice referred to in paragraph (a) above if:

(i) no Potential MOA Termination Event or MOA Termination Event has occurred and is continuing or would result from such payment;

(ii) the Repeating Representations are true in all material respects as if made on the date of the relevant Payment Notice and the actual date of payment; and

(iii) the Buyers have not received any notice referred to under Clause 12.

(c) The Buyers shall, no later than 3 Business Days after the date of this Agreement, provide the Sellers with:

(i) evidence that all necessary corporate, shareholder and other action has been taken by the Buyers to authorise the execution, delivery and performance of this Agreement; and

(ii) if applicable, power of attorney of the Buyers appointing one or more representatives to act on behalf of the Buyers in the performance of this Agreement, duly notarially attested and legalised or
 apostilled (as applicable).

(d) The Buyers shall, on or before the Scheduled Delivery Date, provide the Sellers with any documents as may be required by the Flag State for the purpose of registering the title of the
 Vessel in the name of the Buyers.

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|:---|:---|
| **8.2** | **Instalment conditions precedent** |
|  | The Buyers will only be obliged to make a payment in respect of a Pre-Delivery Instalment if: |

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(a) on or before the Sellers' delivery of the relevant Payment Notice, the Buyers have received all the documents and other evidence listed in Part II (*Instalment conditions precedent*)
 of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers (or evidence satisfactory to the Buyers that they shall, on the date of such payment, receive such documents or evidence);

(b) no Potential MOA Termination Event or MOA Termination Event has occurred and is continuing or would result from the payment of that Instalment;

(c) the Repeating Representations are true in all material respects as if made on the date of the relevant Payment Notice and the actual date of payment;

(d) no event of default (however described) has occurred under the Building Contract or the Refund Guarantee entitling the non-defaulting party to terminate the Building Contract or the Refund Guarantee;
 and

(e) the Buyers have not received any notice referred to under Clause 12.

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|:---|:---|
| **8.3** | **Further conditions precedent to a Deferred Payment** |
|  | The Buyers will only be obliged to make a payment in respect of an Instalment for the purpose of effecting a Deferred Payment if the Buyers have received evidence of full payment to the Builder's Account of the corresponding instalment of the Contractual Purchase Price under the Building Contract, in form and substance satisfactory to the Buyers. |
| **8.4** | **Delivery Instalment conditions precedent** |

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(a) The Buyers will only be obliged to:

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|:---|:---|
| (i) | make a payment in respect of the Delivery Instalment and accept the Vessel under this Agreement on the Actual Delivery Date; or |
| (ii) | (if the Sellers elect for the Delivery Instalment to be pre-positioned under Clause 7 (*Pre-position of Delivery Instalment)*) countersign the Builder's PDA, agree to the release of the pre-positioned Delivery Instalment and accept the Vessel under this Agreement on the Actual Delivery Date; |
| if, in each applicable case: | if, in each applicable case: |

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(A) on the Actual Delivery Date, the Buyers have received:

(1) all the documents and other evidence listed in Part III (*Pre-position conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance
 satisfactory to the Buyers (to the extent that such documents and other evidence have not already been provided to the Buyers prior to the Actual Delivery Date); and

(2) all the documents and other evidence listed in Part IV (*Delivery Date conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory
 to the Buyers; and

(B) no Potential MOA Termination Event or MOA Termination Event has occurred and is continuing or would result from the payment or (as applicable) release of the Delivery Instalment;

(C) the Repeating Representations are true in all material respects as if made on the Actual Delivery Date; and

(D) the Buyers have not received any notice referred to under Clause 12.

(b) For the avoidance of doubt, the Sellers must, on the Actual Delivery Date, deliver to the Buyers all the documents and other evidence listed in Part III (*Pre-position conditions precedent*) and Part IV (*Delivery Date conditions precedent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto in form and substance satisfactory to the Buyers.

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|:---|:---|
| **8.5** | **Conditions subsequent** |
|  | The Sellers undertake to deliver or caused to be delivered to the Buyers the documents and evidence listed in Part V (*Conditions subsequent*) of Schedule 1 (*Conditions precedent and subsequent*) hereto within the relevant time periods stipulated therein. |
| **8.6** | **No waiver** |

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(a) The conditions set out in this Clause 8 are for the sole benefit of the Buyers and may be waived or deferred by the Buyers in whole or in part and with or without conditions. The
 foregoing is without prejudice to the Buyers' rights to require fulfilment of any such conditions by the Sellers in whole or in part at any time after the date of payment or release of the Purchase Price.

(b) If the Buyers in their sole discretion agree to advance all or any part of the Purchase Price to the Sellers before all of the documents and evidence required by this Clause 8 have been delivered to
 the Buyers, the Sellers undertake to deliver all outstanding documents and evidence to the Buyers no later than the date specified by the Buyers.

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| | |
|:---|:---|
| **8.7** | **Form and content** |
|  | All documents and evidence delivered to the Buyers under this Clause 8 shall be in form and substance acceptable to the Buyers. |
| ***9.*** | ***Cancellation and refund*** |

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| | |
|:---|:---|
| If an MOA Termination Event occurs, the Buyers may by notice in writing to the Sellers (such notice being the "**Cancellation Notice**") cancel this Agreement, whereupon the Buyers' purchase of the Vessel under this Agreement shall be cancelled on the applicable Cancellation Date, and the Buyers shall be relieved from any further obligation to pay any part of the Purchase Price (or any other amount) under this Agreement from the Cancellation Date, and the Sellers shall upon demand: | If an MOA Termination Event occurs, the Buyers may by notice in writing to the Sellers (such notice being the "**Cancellation Notice**") cancel this Agreement, whereupon the Buyers' purchase of the Vessel under this Agreement shall be cancelled on the applicable Cancellation Date, and the Buyers shall be relieved from any further obligation to pay any part of the Purchase Price (or any other amount) under this Agreement from the Cancellation Date, and the Sellers shall upon demand: |
| (a) | refund to the Buyers the full amount of all the Instalments which the Buyers have already paid up to and including the Cancellation Date; and |
| (b) | pay the Buyers all accrued but unpaid Rebate and documented legal costs, and other reasonably incurred and documented out-of-pocket expenses and liabilities of the Buyers suffered or incurred by the Buyers in connection with the transactions contemplated by this Agreement and the other Transaction Documents, |
| in each case together with Break Costs (if any) if the relevant payment made by the Sellers under this Clause 9 (*Cancellation and refund*) does not fall on a Rebate Payment Date and Swap Losses (if any) directly attributable to the payments being made under this Clause 9 (*Cancellation and refund*). | in each case together with Break Costs (if any) if the relevant payment made by the Sellers under this Clause 9 (*Cancellation and refund*) does not fall on a Rebate Payment Date and Swap Losses (if any) directly attributable to the payments being made under this Clause 9 (*Cancellation and refund*). |

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***10.*** ***Intentionally left blank*** 

***11.*** ***Rebate Periods*** 

**11.1** **Duration of Rebate Periods** 

(a) Subject to the other provisions of this Agreement, each Rebate Period for each Instalment shall have a duration of three (3) months.

(b) No Rebate Period shall extend beyond the Actual Delivery Date.

(c) Each Rebate Period for each Instalment shall start on the Payment Date in respect of that Instalment or (if that Instalment is already paid) on the last day of the preceding Rebate Period and end on
 the date which numerically corresponds to the Payment Date in respect of that Instalment or the last day of the preceding Rebate Period in the relevant calendar month (as the case may be), except that, if there is no numerically corresponding
 date in that calendar month, the Rebate Period shall end on the last Business Day in that month.

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| | |
|:---|:---|
| **11.2** | **Non-Business Days** |
|  | If any payment or transfer of funds to be made under the MOA by the Sellers shall be due on a day which is not a Business Day, that payment or transfer shall be made on the immediately preceding Business Day. |
| ***12.*** | ***Termination on sale of Vessel/Building Contract*** |
| **12.1** | The Sellers shall, regardless of the other provisions set out herein and the other Transaction Documents, be entitled to sell the Vessel and/or the Building Contract to a third party prior to the Actual Delivery Date (and thereby be released in full from all of their obligations and liabilities under the Transaction Documents (with the exception of Clauses 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*) of this Agreement and clauses 17 (*Indemnity*) (Part II), 59 (*Fees and expenses*) and clause 62 (*Further indemnities*) of the Charter)) on the condition that: |

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(a) if the sale is scheduled to complete prior to the Payment Date in respect of the first Instalment and prior to the Actual Delivery Date:

(i) no MOA Termination Event has occurred which is continuing and no Potential MOA Termination Event has occurred which is continuing;

(ii) the Sellers have given the Buyers not less than 30 days' prior notice of the sale;

(iii) the Initial Upfront Fee and the Additional Upfront Fee have been received in full by the Buyers; and

(iv) all documented legal costs, and other reasonably incurred and documented out-of-pocket expenses and liabilities of the Buyers suffered or incurred by the Buyers in connection with the sale have been
 received in full by the Buyers; and

(b) if the sale is scheduled to complete on or after the Payment Date in respect of the first Instalment and prior to the Actual Delivery Date:

(i) no MOA Termination Event has occurred which is continuing and no Potential MOA Termination Event has occurred which is continuing;

(ii) the Sellers have given the Buyers not less than 30 days' prior notice of the sale;

(iii) the Initial Upfront Fee and the Additional Upfront Fee have been received in full by the Buyers;

(iv) a break fee of [\*\*\*] has been received in full by the Buyers;

(v) the full amount of all the Instalments which the Buyers have already paid and all accrued but unpaid Rebate (to and including the date of the completion of the sale) have been received in full by the
 Buyers; and

(vi) all documented legal costs, and other reasonably incurred and documented out-of-pocket expenses and liabilities of the Buyers suffered or incurred by the Buyers in connection with the sale have been
 received in full by the Buyers.

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| | |
|:---|:---|
| **12.2** | Upon completion of such sale of the Vessel and/or the Building Contract and subject to the compliance with Clause 12.1, all Security Documents shall be released and/re-assigned (as appropriate) at the cost of the Sellers. |
| ***13.*** | ***Sellers' undertakings*** |
|  | In addition to the undertakings made by the Sellers (as charterers) under the Charter, the Sellers hereby undertake to the Buyers that they will comply in full and procure compliance (where applicable) with the following undertakings throughout the Pre-Delivery Period. |

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(a)  ***Notification of MOA Termination Event*** The Sellers shall promptly, upon becoming aware of the same, inform the Buyers in writing of
 the occurrence of any MOA Termination Event (and the steps, if any, being taken to remedy this) and, upon receipt of a written request to that effect from the Buyers, confirm to the

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| | |
|:---|:---|
|  | Buyers that, save as previously notified to the Buyers or as notified in such confirmation, no MOA Termination Event is continuing or if an MOA Termination Event is continuing specifying the steps, if any, being taken to remedy it. |
| (b) | ***Pre-delivery and delivery costs and expenses*** Prior to the Actual Delivery Date, the Sellers shall at their own costs and expenses pay to the Builder the difference between the total amount due and payable by the Sellers under the Building Contract and the Purchase Price and shall pay for all other pre-delivery and delivery costs in relation to the Vessel including but not limited to any supervision cost to be paid under any supervision agreement. |
| (c) | ***Refund of pre-positioned amount*** If the Buyers have made a transfer of funds to the Builder's Bank in accordance with Clauses 7.1 (*Pre-position*) and 7.2 (*Conditions to pre-position*) but delivery of the Vessel does not occur on the Actual Delivery Date, then the Sellers shall procure the refund of the Delivery Instalment and any other amount so transferred by the Buyers in accordance with the instructions from the Buyers to the Builder's Bank, **provided that** the Sellers' obligations under this sub-paragraph (c) shall be deemed to be complied by any repayment (but only to the extent and amount of such repayment) by the Builder's Bank to the Buyers or their bank of any part of the Delivery Instalment and any other amount so transferred by the Buyers in connection with Clauses 7.1 (*Pre-position*) and 7.2 (*Conditions to pre-position*). |
| (d) | ***Construction reports*** The Sellers shall promptly deliver to the Buyers copies of all reports by the Supervisor on the construction of the Vessel. |

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***14.*** ***MOA Termination Events*** 

(a) Each of the following events shall constitute an MOA Termination Event:

(i)  ***Conditions precedent and subsequent*** 

(A) any of the conditions set out in Clause 8 (*Conditions precedent and subsequent*) is not satisfied by the date specified by the Buyers pursuant
 to Clause 8.6(b) (*No waiver*); or

(B) any of the conditions referred to in Clause 8.5 (*Conditions subsequent*) is not satisfied by the relevant time or such other time period specified by the
 Buyers in their discretion; or

(ii)  ***Charter and Related MOA termination events*** there occurs any event or circumstance referred to in:

(A) paragraph (a) of clause 52 (*Termination Events*) of the Charter; or

(B) paragraph (a) of clause 14 (*MOA Termination Events*) of a Related MOA; or

(iii)  ***Late delivery of Vessel*** the Vessel is not delivered by:

(A) the Builders to the Sellers under the Building Contract by the Long Stop Date; or

(B) the Sellers to the Buyers under this Agreement by the earlier of (1) the Long Stop Date and (2) the Scheduled Delivery Date (in each case, including, without
 limitation, by reason of failure by the Sellers to satisfy any of their obligations under Clause 8 (*Conditions precedent and subsequent*)); or

(iv)  ***Building Contract and Refund Guarantee*** either the Building Contract or the Refund Guarantee is terminated, rescinded, cancelled,
 repudiated, suspended or otherwise ceases to remain in full force and effect, or is transferred, assigned, novated or otherwise disposed of to any person (other than pursuant to the relevant Transaction Documents).

(b) Upon the occurrence of an MOA Termination Event which is continuing, and without prejudice to the generality of the powers and remedies vested in
 the Buyers under this Agreement, the Buyers may exercise their rights and powers referred to under Clause 9 (*Cancellation and refund*) and, in respect of an MOA Termination Event which is continuing, 15 (*Buyers' powers following cancellation*).

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| | |
|:---|:---|
| ***15.*** | ***Buyers' powers following cancellation*** |
| **15.1** | **Powers following cancellation** |
|  | Without prejudice to the generality of the powers and remedies vested in the Buyers under this Agreement and the other Transaction Documents, at any time after the occurrence of an MOA Termination Event which is continuing, and if the Buyers have not received in full the amounts payable under Clause 9 (*Cancellation and refund*), the Buyers shall become immediately entitled: |

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(a) to implement the Building Contract or to agree with the Builder to terminate the Building Contract on such terms and conditions as the Buyers and the Builder may mutually agree;

(b) subject to the terms of the Building Contract, to assign all rights, title, interest and benefits in and under the Building Contract or to sell the Vessel in her then state of construction or after
 her delivery under the Building Contract or otherwise and upon such terms as the Buyers shall in their absolute discretion determine;

(c) to undertake the further supervision of construction of the Vessel;

(d) to take over or institute (if necessary using the names of the Sellers) all such proceedings as the Buyers in their sole and absolute discretion think fit;

(e) where any money under the Refund Guarantee becomes refundable, to make a demand, or to request the Sellers to promptly make a demand, for payment under the Refund Guarantee and to direct payment of
 the funds to an account designated by the Buyers and to the extent that any money so refunded exceeds all amounts owed to the Buyers under the Transaction Documents, the Buyers shall refund an amount equal to such excess to an account designated
 by the Sellers within seven (7) Business Days of receiving such money under the Refund Guarantee;

(f) to recover from the Sellers on demand all documented costs and expenses (including legal fees) incurred or paid by the Buyers in connection with the exercise of the powers (or any of them) referred
 to in this Clause 15.1; and

(g) to not make any payment in relation to any Payment Notice.

**15.2** **Delegation** 

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| | |
|:---|:---|
|  | The Buyers may delegate in any manner to any person any rights exercisable by the Buyers under this Agreement. Any such delegation may be made upon such terms and conditions (including power to sub-delegate) as the Buyers think fit. |
| **15.3** | **Survival of Sellers' obligations** |
|  | The termination of this Agreement for any cause whatsoever shall not affect the right of the Buyers to recover from the Sellers any money due to the Owners in consequence thereof and all other rights of the Owners (including but not limited to any rights, benefits or indemnities which are expressly provided to continue after the termination of this Agreement) are reserved hereunder. |
| **15.4** | **Other matters** |
|  | If and to the extent the Buyers have received any amounts under or in connection with the Transaction Documents exceeding the total amounts owed by the Obligors under the Transaction Documents, such surplus shall be refunded to the Sellers. |
| ***16.*** | ***Changes to parties*** |
|  | The Sellers may not assign or transfer any or all of their rights or obligations under this Agreement. |
| ***17.*** | ***Cumulative rights*** |
|  | The rights, powers and remedies provided in this Agreement are cumulative and not exclusive of any rights, powers or remedies at law or in equity unless specifically otherwise stated. |
| ***18.*** | ***No waiver*** |
|  | No delay, failure or forbearance by a party to exercise (in whole or in part) any right, power or remedy under, or in connection with, this Agreement will operate as a waiver. No waiver of any breach of any provision of this Agreement will be effective unless that waiver is in writing and signed by the party against whom that waiver is claimed. No waiver of any breach will be, or be deemed to be, a waiver of any other or subsequent breach. |
| ***19.*** | ***Entire agreement and amendments*** |

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(a) The written terms of this Agreement comprise the entire agreement between the Buyers and the Sellers in relation to the sale and purchase of the
 Vessel and supersede all previous agreements whether oral or written between the parties in this Agreement in relation thereto.

(b) Each of the parties to this Agreement acknowledges that in entering into this Agreement, it has not relied on and shall have no right or remedy in respect of
 any statement, representation, assurance or warranty (whether or not made negligently) other than as expressly set out in this Agreement.

(c) Any terms implied into this Agreement by the Sale of Goods Act 1979 are hereby excluded to the extent that such exclusion can legally be made. Nothing in this
 Clause shall limit or exclude any liability for fraud.

(d) This Agreement may not be amended, altered or modified except by a written instrument executed by each of the parties to this Agreement.

***20.*** ***Invalidity*** 

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| | |
|:---|:---|
|  | If any term or provision of this Agreement or the application thereof to any person or circumstances shall to any extent be invalid or unenforceable the remainder of this Agreement or application of such term or provision to persons or circumstances (other than those as to which it is already invalid or unenforceable) shall (to the extent that such invalidity or unenforceability does not materially affect the operation of this Agreement) not be affected thereby and each term and provision of this Agreement shall be valid and be enforceable to the fullest extent permitted by law. |
| ***21.*** | ***English language*** |
|  | All notices, communications and financial statements and reports under or in connection with this Agreement and the other Transaction Documents shall be in English language or, if in any other language, shall be accompanied by a translation into English. In the event of any conflict between the English text and the text in any other language, the English text shall prevail. |
| ***22.*** | ***No partnership*** |
|  | Nothing in this Agreement creates, constitutes or evidences any partnership, joint venture, agency, trust or employer/employee relationship between the parties, and neither party may make, or allow to be made any representation that any such relationship exists between the parties. Neither party shall have the authority to act for, or incur any obligation on behalf of, the other party, except as expressly provided in this Agreement. |
| ***23.*** | ***Notices*** |

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(a) Any communication to be made under or in connection with this Agreement shall be made in writing and, unless otherwise stated, may be made by fax,
 letter or email.

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

(i) in the case of the Sellers:

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| | |
|:---|:---|
| **EVEREST** **INC.** | **EVEREST** **INC.** |
| Address: | c/o 2020 Bulkers Management AS, |
|  | Tjuvholmen allé 3, 0252 Oslo, |
|  | Norway |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

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(ii) in the case of the Buyers:

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| | |
|:---|:---|
| **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)** | **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)** |
| Address: | 11th Floor, Building 4, ChangAnXingRong Center, No.1 Naoshikou Street, Xicheng District, Beijing, China 100031 |
| Email: | [\*\*\*] |

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Attention: [\*\*\*] <br>

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| | |
|:---|:---|
|  | or any substitute address, fax number, email address, department or officer as either party may notify to the other by not less than five (5) Business Days' notice. |
| (c) | Any communication or document made or delivered by one party to this Agreement to the other under or in connection with this Agreement will only be effective: |

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| | |
|:---|:---|
| (i) | if by way of fax or email, when sent with no error message received; or |
| (ii) | if by way of letter, when it has been left at the relevant address or five (5) Business Days after being deposited in the post postage prepaid in an envelope addressed to it at that address; |
| and, if a particular department or officer is specified as part of its address details provided under paragraph (b) above, if addressed to that department or officer. | and, if a particular department or officer is specified as part of its address details provided under paragraph (b) above, if addressed to that department or officer. |
| Any communication or document which becomes effective, in accordance with this paragraph (c), after 5.00 pm in the place of receipt shall be deemed only to become effective on the following day. | Any communication or document which becomes effective, in accordance with this paragraph (c), after 5.00 pm in the place of receipt shall be deemed only to become effective on the following day. |

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| | |
|:---|:---|
| ***24.*** | ***Counterparts*** |
|  | This Agreement may be executed in any number of counterparts and any single counterpart or set of counterparts signed, in either case, by all the parties hereto shall be deemed to constitute a full and original agreement for all purposes. |
| ***25.*** | ***Third Parties Act*** |

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(a) Any person which is an Indemnitee or a Finance Party from time to time and is not a party to this Agreement shall be entitled to enforce such terms
 of this Agreement as provided for in this Agreement in relation to the obligations of the Sellers to such Indemnitee or (as the case may be) Finance Party, subject to the Third Parties Act. The Third Parties Act applies to this Agreement as set
 out in this Clause 25.

(b) Save as provided above, a person who is not a party to this Agreement has no right under the Third Parties Act to enforce or to enjoy the benefit of any term of
 this Agreement.

***26.*** ***Spares, bunkers and other items*** 

(a) To the extent owned by the Sellers, the Sellers shall deliver the Vessel to the Buyers with everything belonging to her on board.

(b) All spare parts and spare equipment including spare tail-end shaft(s) and/or spare propeller(s)/propeller blade(s), if any, belonging to the Vessel at the time
 of delivery used or unused, whether on board or not shall become the Buyers' property.

(c) Concurrent with the delivery of the Vessel under this Agreement, the Buyers shall obtain title and ownership to the classification certificate(s) as well as all
 plans, drawings and manuals, which are on board the Vessel and shall remain on board the Vessel. If requested by the Buyers, the Sellers shall provide copies of all plans, drawings and manuals to the Buyers delivered to the Sellers by the Builder
 under the Building Contract by electronic means within thirty (30) days from the Actual Delivery Date.

(d) Copies of other technical documentation which may be in the Sellers' possession shall promptly after delivery be forwarded to the Buyers at the
 Sellers' expense, if the Buyers so request.

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| | |
|:---|:---|
| ***27.*** | ***Encumbrances*** |
|  | The Sellers warrant that the Vessel, at the time of delivery, is free from all charters (other than the Charter and any Sub-Charter), any Security Interest or any other debts whatsoever, and is absolutely free of all burdens in the nature of imposts, taxes or charges imposed by the governmental authorities of the People's Republic of China (whether national or local). The Sellers hereby undertake to indemnify the Buyers against all consequences of claims made against the Vessel which have been incurred prior to the time of delivery. |
| ***28.*** | ***Taxes, costs and expenses*** |
|  | Any Taxes, costs and expenses in connection with the purchase and registration in the Flag State shall be for the Sellers' account. |
| ***29.*** | ***Delivery under Charter*** |
|  | Upon the delivery of the Vessel under this Agreement, the Vessel shall simultaneously be delivered to the Sellers (as bareboat charterers) pursuant to the Charter. |
| ***30.*** | ***Indemnities*** |

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(a) Whether or not any of the transactions contemplated hereby are consummated, the Sellers shall indemnify, protect, defend and hold harmless the
 Buyers and their respective officers, directors, agents and employees (collectively, the "**Indemnitees**") throughout the Pre-Delivery Period from, against and in respect of, any and all liabilities, obligations, losses, damages, penalties,
 fines, taxes (save for any taxes levied on the Buyers by competent tax authorities in their domicile and by reference to the overall income or assets in general of the Buyers), fees (including but not limited to any vessel registration, tonnage,
 reasonable legal fees, any fees incurred or to be incurred in registering and maintaining the Buyers as a foreign maritime entity with any registry of ships), claims, actions, proceedings, judgement, order or other sanction, lien, salvage,
 general average, suits, costs, expenses and disbursements, including reasonable legal fees and expenses, of whatsoever kind and nature (collectively, the "**Expenses**") imposed on, suffered or incurred by or asserted against any Indemnitee,
 in any way relating to, resulting from or arising out of or in connection with, in each case, directly or indirectly, any one or more of the following:

(i) the delivery (including the Vessel not being delivered on the Scheduled Delivery Date after the Sellers have informed the Buyers of the Scheduled
 Delivery Date), registration and purchase of the Vessel by the Buyers whether prior to, during or after termination of this Agreement and whether or not the Vessel is in the possession or the control of the Sellers or otherwise in relation to any
 non-delivery to or acceptance by the Sellers (as bareboat charterers) of the Vessel under the Charter;

(ii) any breach of or failure to perform or observe, or any other non-compliance with, any covenant or agreement or other obligation to be performed by the Sellers
 under any Transaction Document to which they are a party or the falsity of any representation or warranty of the Sellers in any Transaction Document to which they are a party or the occurrence of any MOA Termination Event;

(iii) a failure by an Obligor to pay any amount due under a Transaction Document on its due date; or

(iv) funding, or making arrangements to fund, an amount required to be paid by the Buyers pursuant to a Payment 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 of the Buyers).

(b) *Intentionally left blank* 

(c) Notwithstanding anything to the contrary herein, the indemnities provided by the Sellers in favour of the Buyers shall continue in full force and effect
 notwithstanding any breach of the terms of this Agreement or termination of this Agreement pursuant to the terms hereof.

***31.*** ***Calculations and certificates*** 

(a) In any litigation or arbitration proceedings arising out of or in connection with a Transaction Document, the entries made in the accounts
 maintained by the Buyers are prima facie evidence of the matters to which they relate.

(b) Any certification or determination by the Buyers of a rate or amount under any Transaction Document is, in the absence of manifest error, conclusive evidence of
 the matters to which it relates.

(c) Any Rebate, interest, commission or fee accruing under a Transaction Document will accrue from day to day and is calculated 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.

***32.*** ***Law and arbitration*** 

(a) This Agreement and any non-contractual obligations arising from or in connection with it are in all respects governed by and shall be interpreted in
 accordance with English law.

(b) Any dispute, controversy, difference or claim arising out of or relating to this Agreement, including the existence, validity, interpretation, performance,
 breach or termination thereof or any dispute regarding non-contractual obligations arising out of or relating to it (a "**Dispute**") shall be referred to and finally resolved by arbitration in Hong Kong administered by the Hong Kong
 International Arbitration Centre ()"**HKIAC**") under the HKIAC Administered Arbitration Rules in force when the Notice of Arbitration is submitted.

(c) The seat of arbitration shall be Hong Kong.

(d) The number of arbitrators shall be three. A Party wishing to refer a dispute to arbitration shall appoint its arbitrator and send notice of such appointment in
 writing to the other Party requiring the other Party to appoint its own arbitrator within fourteen calendar days of that notice and stating that it will appoint its arbitrator as sole arbitrator unless the other Party appoints its own arbitrator
 and gives notice that it has done so within the fourteen days specified. If the other Party does not appoint its own arbitrator and give notice that it has done so within the fourteen days specified, the Party referring a dispute to arbitration
 may, without the requirement of any further prior notice to the other Party, appoint its arbitrator as sole arbitrator and shall advise the other party accordingly. The award of a sole arbitrator shall be binding on both Parties as if the sole
 arbitrator had been appointed by agreement. If each Party appoints its own arbitrator those two

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| | |
|:---|:---|
|  | arbitrators shall (within 30 days of the appointment of the last of the two appointments) nominate the third arbitrator. If they cannot agree on a third arbitrator, then the chairperson of the HKIAC must be chosen as the third arbitrator. |
| (e) | The arbitration proceedings shall be conducted in English. |
| (f) | The law governing this Clause 32 (*Law and arbitration*) shall be English law. |

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**Schedule 1**<br> **Conditions precedent and subsequent**

**Part I – Initial conditions precedent**

1. **Obligors**

(a) **Constitutional documents** Certified true copies of the memorandum and articles of association (or equivalent documents) (and all amendments thereto) of
 each Obligor and any other documents required to be filed or registered or issued under the laws of its jurisdiction of incorporation to establish its incorporation.

(b) **Written resolutions** Certified true copies of written resolutions or (as the case may be) resolutions passed at meetings of the board of directors of each
 Obligor, each evidencing the relevant Obligor's respective approval of the Transaction Documents and authorising appropriate officers, directors or attorneys to execute the same and to sign all notices required to be given hereunder or thereunder
 on their behalf or other evidence of such approvals and authorisations as shall be acceptable to the Buyers.

(c) **Specimen signatures and copy passports** A specimen of the signature and a copy of the passport of each person actually executing any of the Transaction
 Documents pursuant to the resolutions referred to in (b).

(d) **Certificate of good standing** A certified true copy of a certificate of good standing of each Obligor issued no earlier than ten (10) days prior to its
 provision to the Buyers;

(e) **Powers of attorney** If applicable, the original power of attorney of each Obligor under which any document (including the Transaction Documents) are to be
 executed or transactions undertaken by them.

(f) **Other approvals** If applicable, copies (certified true where possible) of all Authorisations as may be necessary to authorise the performance by each of
 the Obligors of its obligations under the Transaction Documents to which it is or (as the case may be) will be a party, and the execution, validity and enforceability of such Transaction Documents.

(g) **Officer's certificates** An original certificate of a duly authorised representative of each Obligor:

(i) certifying that each copy document relating to it specified in this Part I of Schedule 1 is correct, complete and in full force and effect;

(ii) setting out the names of the directors, officers and shareholders of that Obligor and the proportion of shares held by each shareholder; and

(iii) confirming that guaranteeing or securing, as appropriate, the respective indebtedness or obligations would not cause any guarantee, security or similar limit
 binding on that Obligor to be exceeded.

2. **Transaction Documents and related documents**

(a) **Vessel-related documents** Photocopies, certified as true, accurate and complete by a duly authorised representative of the Sellers, of:

(i) the Building Contract;

(ii) the Refund Guarantee;

(iii) any Sub-Charter;

(iv) written confirmation from the Builder it approves the assignment by the Sellers of the Building Contract pursuant to the Pre-Delivery Assignment (in the form of
 the acknowledgment to the notice of assignment served pursuant to the Pre-Delivery Assignment duly signed by the Builder) and documentary evidence demonstrating that the Builder has authorised the execution and dispatch of such acknowledgement,
 to the extent that the Buyers have acted reasonably in requesting for such documentary evidence; and

(v) written confirmation from the Refund Guarantor that it approves the assignment by the Sellers of the Refund Guarantee pursuant to the Pre-Delivery Assignment
 (in the form of the acknowledgment to the notice of assignment served pursuant to the Pre-Delivery Assignment duly acknowledged by the Refund Guarantor, it being accepted that such acknowledgement may be served by SWIFT messages (or other means
 acceptable to the Buyers and the Sellers, each acting reasonably)) and (in the case that such acknowledgement is served other than by SWIFT messages) copies of such documentary evidence demonstrating that such acknowledgement has been executed by
 an authorised signatory of the Refund Guarantor, to the extent that the Buyers have acted reasonably in requesting for such documentary evidence.

(b) **Transaction Documents** A duly executed original of:

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| | |
|:---|:---|
| (i) | this Agreement; |
| (ii) | the Charter; and |
| (iii) | the other Transaction Documents (other than the Account Pledge, the Charterers' Assignment and the Manager's Undertakings), |
| in each case together with all other documents required by any of them according to their terms. | in each case together with all other documents required by any of them according to their terms. |

---

(c) **No disputes** The written confirmation of the Sellers that to the best of its knowledge there is no dispute under any of the Building Contract
 or Refund Guarantee as between the parties to any such document.

(d) **Sellers' contribution** Evidence of full payment to the Builder of any part of the Contractual Purchase Price which is due and payable on or before the
 Payment Date and which is not being financed by the Buyers.

3. **Legal opinions** A legal opinion of the legal advisers to the Buyers in each relevant jurisdiction, or confirmation satisfactory to the Buyers
 that such an opinion will be given.

4. **Other documents and evidence** 

(a) **Other authorisation** Such other authorisation or other document, opinion or assurance which the Buyers reasonably consider to be necessary in
 connection with their entry into and performance of the transactions contemplated by any of the Transaction Documents or for the validity and enforceability thereof which, at the date of this Agreement, the Buyers are not aware of, and the Buyers
 shall, to the extent any authorisation becomes necessary after the date of this Agreement, provide reasonable notice to the Sellers of such required authorisation.

(b) **Fees** Evidence that any fees, costs and expenses due from the Sellers to the Buyers under Clauses 28 (*Taxes, costs and expenses*) and
 30 (*Indemnities*) have been paid in accordance with the terms of such Clauses and the Upfront Fee under clause 59 (*Fees and expenses*) of the Charter and the Rebate under clause 79 (*Rebate*) of the Charter have been paid in
 accordance with such clauses.

(c) **"Know your customer" documents** Such documentation and other evidence as is reasonably requested by the Buyers or the Finance Parties in order for the
 Buyers or the Finance Parties to comply with all necessary "know your customer" or similar identification procedures in relation to the transactions contemplated in the Transaction Documents.

**Part II – Instalment conditions precedent**

1. **Notice/invoice** The notice and/or invoice issued by the Builder evidencing the obligation of the Sellers to pay the relevant instalment of
 the Contractual Purchase Price (that corresponds to the relevant Instalment) under the Building Contract on a date no later than the proposed Payment Date as specified in the relevant Payment Notice.

2. **Sellers' equity contribution** Evidence of full payment to the Builder's Account of any part of the Contractual Purchase Price which is due and payable on
 or before the Payment Date and which is not being financed by the Buyers.

3. **Fees** Evidence that any fees, costs and expenses due from the Sellers to the Buyers under Clauses 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*)
 have been paid in accordance with the terms of such Clauses, the Upfront Fee under clause 59 (*Fees and expenses*) of the Charter and the Rebate under clause 79 (*Rebate*) of the Charter have been paid in accordance with such clauses
 and any Escrow Agent's fees in relation to any Escrow Agreement concerning the relevant Instalment have been paid.

4. **Classification Certificate / evidence of construction progress** 

a. (in respect of the Third Instalment) a copy of notice from the Builder together with a statement/verification of the classification society
 confirming that the steel cutting has commenced, as referred to in paragraph 3(c) (*3<sup>rd</sup> Instalment*) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*)
 of the Building Contract.

b. (in respect of the Fourth Instalment) a copy of notice from the Builder together with a statement/verification of the classification society confirming that the
 keel laying has been carried out, as referred to in paragraph 3(d) (*4<sup>th</sup> Instalment*) of article II (*CONTRACT PRICE & TERMS OF PAYMENT*) of the
 Building Contract.

**Part III – Pre-position conditions precedent**

1. **Officer's certificate** A certificate signed by a duly authorised representative of the Sellers confirming that none of the documents and
 evidence delivered to the Buyers pursuant to Clauses 8.1 (*Initial conditions precedent*) and 8.2 (*Instalment conditions subsequent*) has been amended, modified or revoked in any way since its delivery to the Buyers.

2. **Vessel-related documents** 

(a) **Title transfer documents** Agreed forms or drafts of the following:

(i) the builder's certificate and/or bill of sale transferring title in the Vessel from the Builder;

(ii) the Bill(s) of Sale, duly notarially attested and legalised or apostilled, as required by the Flag State;

(iii) the Sellers' PDA; and

(iv) the Builder's PDA.

(b) **Notice/invoice** The notice and/or invoice issued by the Builder evidencing the obligation of the Sellers to pay under the Building Contract
 on a date no later than the proposed Payment Date as specified in the relevant Payment Notice the relevant instalment of the Contractual Purchase Price (that corresponds to the relevant Instalment) (as the same may be subject to adjustment in
 accordance with the terms of the Building Contract, including, without limitation, any adjustment as a result of the maker's list, plan approval and fuel tanks agreed with the Builder in relation to the Building Contract or the Vessel).

3. **Sellers' equity contribution** Evidence of full payment to the Builder's Account of any part of the Contractual Purchase Price which is due
 and payable on or before the Payment Date and which is not being financed by the Buyers.

4. **Fees** Evidence that any fees, costs and expenses due from the Sellers to the Buyers under Clauses 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*)
 have been paid in accordance with the terms of such Clauses, the Upfront Fee under clause 59 (*Fees and expenses*) of the Charter and the Rebate under clause 79 (*Rebate*) of the Charter have been paid in accordance with such clauses
 and any Escrow Agent's fees in relation to any Escrow Agreement concerning the relevant Instalment have been paid.

5. **Other authorisation** Such other authorisation or other document, opinion or assurance which the Buyers reasonably consider to be necessary in connection
 with their entry into and performance of the transactions contemplated by any of the Transaction Documents or for the validity and enforceability thereof (including, without limitation in relation to or for the purposes of any financing by the
 Buyers), provided that reasonable notice is given to the Sellers of the same.

6. **Transaction Documents** A duly executed original of the Account Pledge, the Charterers' Assignment and the Manager's Undertakings, in each case together
 with all other documents required by any of them according to their terms (other than the letters of undertaking in respect of the Insurances and copies of the relevant policies or cover notes or entry certificates in respect of the Insurances
 duly endorsed with the interest of the Owners required under the Charterers' Assignment).

7. **Legal opinions** A legal opinion of the legal advisers to the Buyers in each relevant jurisdiction, or confirmation satisfactory to the Buyers that such
 an opinion will be given.

**Part IV – Delivery Date conditions precedent**

---

| | |
|:---|:---|
| 1 | **Vessel-related documents** |

---

(a) **Title transfer documents** Originals of the following duly executed documents:

(i) the builder's certificate and/or bill of sale transferring title in the Vessel from the Builder;

(ii) the Bill(s) of Sale, duly notarially attested and legalised or apostilled, as required by the Flag State;

(iii) the Sellers' PDA; and

(iv) the Builder's PDA.

(b) **Technical documents** Copies of the following:

---

| | |
|:---|:---|
| (i) | the Vessel's current Safety Management Certificate (as such term is defined pursuant to the ISM Code); |
| (ii) | the Approved Managers' current Document of Compliance (as such term is defined pursuant to the ISM Code); |
| (iii) | the Vessel's current ISSC; |
| (iv) | the Vessel's current IAPPC; |
| (v) | the Vessel's current tonnage certificate; and |
| (vi) | the Vessel's classification certificate evidencing that it is free of all recommendations and requirements from the Classification Society, |
| in each case (A) together with all addenda, amendments or supplements, and (B) in respect of any of the Safety Management Certificate, ISSC, IAPPC and classification certificate, such document may be in provisional form (where applicable) or if such provisional form is not available on or prior to the Actual Delivery Date, in final draft form. | in each case (A) together with all addenda, amendments or supplements, and (B) in respect of any of the Safety Management Certificate, ISSC, IAPPC and classification certificate, such document may be in provisional form (where applicable) or if such provisional form is not available on or prior to the Actual Delivery Date, in final draft form. |

---

(c) **Evidence of Buyers' title** Evidence that any prior registration of the Vessel in the ownership of the Builder and any Security Interest
 registered against that ownership have been cancelled (or confirmation from the Builder that there was no such prior registration) and evidence that on the Actual Delivery Date the Vessel will be at least provisionally registered under the Flag
 State in the ownership of the Buyers.

(d) **Evidence of insurance** 

(i) Evidence that the Vessel will on the Actual Delivery Date be insured in the manner required by the Transaction Documents.

(ii) If required by the Buyers, the written approval of the Insurances by an insurance adviser appointed by the Buyers.

(e) **Sellers' equity contribution** Evidence of full payment to the Builder's Account of any part of the Contractual Purchase Price which is due and
 payable on or before the Actual Delivery Date and which is not being financed by the Buyers.

---

| | |
|:---|:---|
| 2 | **Other authorisation** Such other authorisation or other document, opinion or assurance |

---

---

| | |
|:---|:---|
|  | which the Buyers reasonably consider to be necessary in connection with their entry into and performance of the transactions contemplated by any of the Transaction Documents or for the validity and enforceability thereof (including, without limitation in relation to or for the purposes of any financing by the Buyers) provided that reasonable notice is given to the Sellers of the same. |
| 3.0 | **Conditions precedent under the Charter** Evidence that all the documents and evidence required as conditions precedent under clause 36 (*Conditions precedent*) of the Charter have been or will be received by the Buyers (as owners under the Charter) on the Actual Delivery Date. |
| 4.0 | **Fees** Evidence that any fees, costs and expenses due from the Sellers to the Buyers under Clauses 28 (*Taxes, costs and expenses*) and 30 (*Indemnities*) have been paid in accordance with the terms of such Clauses, the Upfront Fee under clause 59 (*Fees and expenses*) of the Charter and the Rebate under clause 79 (*Rebate*) of the Charter have been paid in accordance with such clauses and any Escrow Agent's fees in relation to any Escrow Agreement concerning the relevant Instalment have been paid. |

---

**Part V – Conditions subsequent**

---

| | |
|:---|:---|
|  | The Sellers undertake to deliver or cause to be delivered to the Buyers the following documents and evidence within the relevant time period as specified below: |
| **1.** | **Security registrations** If applicable, evidence that the prescribed particulars of the relevant Transaction Documents have been delivered to the relevant Registrar of Companies within the statutory time limit. |
| **2.** | **Technical documents** |

---

(a) To the extent that any certificate received by the Buyers and referred to in paragraph 1(b) of Part IV (*Delivery Date conditions precedent*)
 of this Schedule was in final draft form at the time of the receipt, deliver or cause to be delivered to the Buyers the corresponding provisional certificate within five (5) Business Days of the Actual Delivery Date, with the formal certificate
 to follow as soon as possible after the Sellers' receipt of the same from the relevant persons, and in any event prior to the expiry of the validity period of such provisional certificate.

(b) To the extent that any certificate received by the Buyers and referred to in paragraph 1(b) of Part IV (*Delivery Date conditions precedent*) of this
 Schedule was in provisional form at the time of the receipt, deliver or cause to be delivered to the Buyers the corresponding formal certificate as soon as possible after the Sellers' receipt of the same from the relevant persons, and in any
 event prior to the expiry of the validity period of such provisional certificate.

**Schedule 2**<br> **Form of Payment Notice**

 20[●]

Dear Sirs

**Hull No. 0120837– memorandum of agreement dated&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(the "MOA")**

1. We refer to the MOA. This is a Payment Notice.

2. Terms defined in the MOA shall have the same meaning in this Payment Notice unless given a different meaning in this Payment Notice.

3. Pursuant to clause 5.2 (*Completion of a Payment Notice*) of the MOA we irrevocably request that you advance US$[●], being the [aggregate of] [Third Instalment]/[Fourth Instalment]/[Fifth
 Instalment] in respect of the Vessel, to us on _________ 20[●], which is a Business Day, by paying the advance in accordance with the MOA to the following account:

[Beneficiary Bank: [●]

Swift Code: [●]

Account #: [●]

Name on Account: [●]]

/ 

[Beneficiary Bank: [●]

Swift Code: [●]

Account #: [●]

Name on Account: [ *Name of Escrow Agent* ]

For onward payment to the following account: 

Beneficiary Bank: [●]

Swift Code: [●]

Account #: [●]

Name on Account: [●]]

4. We warrant that:

(a) we are not aware that any Potential MOA Termination Event or MOA Termination Event has occurred or would result from the payment of the [●] Instalment;

(b) the Repeating Representations are true in all material respects on the date of this Payment Notice and the actual date of payment; and

(c) we are not aware that any of the parties to either of the Building Contract and the Refund Guarantee is in default under its terms where such default would entitle the non-defaulting party to terminate the Building Contract or the Refund Guarantee.

5. The Scheduled Delivery Date is [●].

---

| |
|:---|
| Yours faithfully |
| For and on behalf of |
| **EVEREST inc.** |
| Name: |
| Title: |

---

**IN WITNESS** of which the parties to this Agreement have executed this Agreement the day and year first before written.

---

| | |
|:---|:---|
| <u>**<u>SELLERS</u>**</u> |  |
| **Signed** by) | [\*\*\*] |
| as) | [\*\*\*] |
| for and on behalf of) | [\*\*\*] |
| **EVEREST inc.**) | [\*\*\*] |
| <u>**<u>BUYERS</u>**</u> |  |
| **Signed** by) |  |
| as) |  |
| for and on behalf of) |  |
| **建信津九十五租赁（天津）有限公司**) |  |
| **(JIANXIN JINJIUSHIWU LEASING**) |  |
| **(TIANJIN) CO., LTD.)** |  |

---

**IN WITNESS** of which the parties to this Agreement have executed this Agreement the day and year first before written.

---

| | |
|:---|:---|
| <u>**<u>SELLERS</u>**</u> |  |
| **Signed** by) |  |
| as) |  |
| for and on behalf of) |  |
| **EVEREST inc.**) |  |
| <u>**<u>BUYERS</u>**</u> |  |
| **Signed** by) | [\*\*\*] |
| as) | [\*\*\*] |
| for and on behalf of) | [\*\*\*] |
| **建信津九十五租赁（天津）有限公司**) | [\*\*\*] |
| **(JIANXIN JINJIUSHIWU LEASING**) | [\*\*\*] |
| **(TIANJIN) CO., LTD.)** | [\*\*\*] |

---

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**Execution version**

**CONTENTS**

---

| | | |
|:---|:---|:---|
|  |  | **Page** |
| **32.** | **Definitions** | **1** |
| **33.** | **Interpretations** | **16** |
| **34.** | **Background** | **17** |
| **35.** | **Delivery** | **18** |
| **36.** | **Conditions precedent** | **19** |
| **37.** | **Bunkers and luboils** | **22** |
| **38.** | **Further maintenance and operation** | **22** |
| **39.** | **Structural changes and alterations** | **23** |
| **40.** | **Hire** | **23** |
| **41.** | **Increased Costs** | **26** |
| **42.** | **Insurance** | **29** |
| **43.** | **Inspection** | **35** |
| **44.** | **Redelivery** | **36** |
| **45.** | **Redelivery conditions** | **37** |
| **46.** | **Survey on redelivery** | **37** |
| **47.** | **Owners' mortgage** | **37** |
| **48.** | **Charterers' representations and warranties** | **38** |
| **49.** | **Charterers' undertakings** | **41** |
| **50.** | **Poseidon Principles covenant** | **47** |
| **51.** | **Transfer by the Owners** | **47** |
| **52.** | **Termination Events** | **48** |
| **53.** | **Sub-chartering** | **52** |
| **54.** | **Name of Vessel** | **52** |
| **55.** | **Purchase Option** | **52** |
| **56.** | **Purchase Obligation and transfer of title** | **53** |
| **57.** | **Total Loss** | **55** |
| **58.** | **Appointment of Approved Manager** | **55** |
| **59.** | **Fees and expenses** | **56** |
| **60.** | **Stamp duties** | **56** |
| **61.** | **Operational notifiable events** | **57** |
| **62.** | **Further indemnities** | **57** |
| **63.** | **Set-off** | **59** |
| **64.** | **Further assurances and undertakings** | **60** |
| **65.** | **Cumulative rights** | **60** |
| **66.** | **No waiver** | **60** |
| **67.** | **Entire agreement** | **60** |

---

---

| | | |
|:---|:---|:---|
| **68.** | **Amendments** | **60** |
| **69.** | **Invalidity** | **60** |
| **70.** | **English language** | **60** |
| **71.** | **No partnership** | **61** |
| **72.** | **Disclosure of information** | **61** |
| **73.** | **Notices** | **61** |
| **74.** | **Survival of Charterers' obligations** | **62** |
| **75.** | **Counterparts** | **62** |
| **76.** | **Third Parties Act** | **63** |
| **77.** | **Waiver of immunity** | **63** |
| **78.** | **FATCA** | **63** |
| **79.** | **Rebate** | **64** |
| **80.** | **Conflicts** | **64** |
| **81.** | **Law and arbitration** | **64** |
| **SCHEDULE 1 FORM OF PROTOCOL OF DELIVERY AND ACCEPTANCE** | **SCHEDULE 1 FORM OF PROTOCOL OF DELIVERY AND ACCEPTANCE** | **66** |
| **SCHEDULE 2 FORM OF TITLE RE-TRANSFER PROTOCOL OF DELIVERY AND ACCEPTANCE** | **SCHEDULE 2 FORM OF TITLE RE-TRANSFER PROTOCOL OF DELIVERY AND ACCEPTANCE** | **67** |
| **SCHEDULE 3 List of Related Vessels and relevant information** | **SCHEDULE 3 List of Related Vessels and relevant information** | **68** |
| **SCHEDULE 4 TERMINATION CORE AMOUNT SCHEDULE** | **SCHEDULE 4 TERMINATION CORE AMOUNT SCHEDULE** | **69** |
| **SCHEDULE 5 PURCHASE OPTION CORE AMOUNT SCHEDULE** | **SCHEDULE 5 PURCHASE OPTION CORE AMOUNT SCHEDULE** | **70** |
| **SIGNATURE PAGE** | **SIGNATURE PAGE** | **71** |

---

**<u>ADDITIONAL CLAUSES</u>**

**<u>TO BAREBOAT CHARTER FOR THE 210,000 DWT BULK CARRIER<br> BEARING BUILDER'S HULL NUMBER 0120837</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**32.** **Definitions** 

In this Charter:

"**2018 Withdrawal Act**" means the European Union (Withdrawal) Act 2018.

"**2020 Withdrawal Act**" means the European Union (Withdrawal Agreement) Act 2020.

"**Account Bank**" means DNB Bank ASA (or such other bank or financial institution as selected or designated by the Charterers (with the consent of the Owners) from time to time).

"**Account Pledge**" means the pledge over the Earnings Account and all amounts from time to time standing to the credit to the Earnings Account from the Charterers in favour of the Owners.

"**Actual Delivery Date**" means the date of delivery of the Vessel by the Owners to the Charterers under this Charter.

"**Actual Owners' Cost**" means the "Purchase Price" as defined in the MOA.

"**Additional Upfront Fee**" means the non-refundable upfront fee in the amount of five hundred and thirty thousand US Dollars (US$530,000).

"**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 Term**" means the period commencing on the date of this Charter and terminating on the later of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the expiration of the Charter Period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the date on which all money of any nature owed by the Obligors to the Owners under the Transaction Documents or otherwise in connection with the Vessel have been paid in full to the Owners and no obligations of the
 Obligors of any nature to the Owners or otherwise in connection with the Transaction Documents or with the Vessel remain unperformed or undischarged (whether or not following (i) the occurrence of a Termination Event or (ii) the exercise of the
 Purchase Option in accordance with the terms of this Charter).

"**AML Laws**" means as to any Obligor and in relation to money laundering or terrorism, any treaty, law (including the common law), statute, ordinance, code, rule, regulation, guidelines, license, permit requirement, order or determination of any Governmental Agency, and the interpretation or administration thereof, in each case applicable to or binding upon such Obligor.

"**Anniversary Dates**" means the Third Anniversary Date, the Fourth Anniversary Date, the Fifth Anniversary Date, the Sixth Anniversary Date and the Seventh Anniversary Date and "**Anniversary Date**" means any one of them.

"**Approved Broker**" means such firm or firms of insurance brokers as the Charterers may

appoint from time to time and in each case approved by the Owners.

"**Approved Commercial Manager**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) 2020 Bulkers Management AS; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any other reputable management company appointed by the Charterers with the prior written consent of the Owners for the commercial management of the Vessel.

"**Approved Manager**" means either the Approved Commercial Manager or, as the context may require, the Approved Technical Manager.

"**Approved Technical Manager**" means any reputable management company appointed by the Charterers with the prior written consent of the Owners for the technical management of the Vessel.

"**Approved Valuer**" means each of (a) Arrow Shipbroking, (b) Nordic Shipping, (c) Clarksons Platou, (d) Fearnleys AS, (e) Simpson Spence Young, (f) Affinity and any other reputable and independent ship brokers proposed by the Charterers and approved by the Owners.

"**Assumed Financing Amount**" means sixty-tree million US Dollars (US$63,000,000).

"**Authorisation**" means an authorisation, consent, approval, resolution, licence, exemption, filing, notarisation, lodgement or registration.

"**Break Costs**" means all costs, losses, premiums or penalties incurred by the Owners (including, without limitation, but without double-counting, all costs, losses, premiums or penalties incurred by the Owners under the Finance Documents) as a result of the receipt by the Owners of any payment under or in relation to the Transaction Documents on a day other than the due date for payment of the sum in question, or as a result of the Termination Payment Date not falling on a Hire Payment Date, or as a result of the relevant payment made by the Charterers under clause 9 of the MOA not falling on a Rebate Payment Date.

"**Builder**" has the meaning given to such term in the MOA.

"**Building Contract**" has the meaning given to such term in the MOA.

"**Business Day**" means a day (other than a Saturday or Sunday) on which banks and financial markets are open for general business in London, New York, Beijing and Oslo.

"**CCB Group**" means China Construction Bank and its Subsidiaries from time to time.

"**Chargor**" means the Guarantor in its capacity as the share chargor.

"**Charter Period**" means, subject to paragraph (k) (*Illegality*) of Clause 40 (*Hire*), Clauses 52 (*Termination Events*), 55 (*Purchase Option*), 56 (*Purchase Obligation and transfer of title*) and 57 (*Total Loss*), the period of eighty four (84) consecutive months commencing from the Actual Delivery Date.

"**Charterers' Assignment**" means the deed of assignment executed or to be executed (as the case may be) by the Charterers in favour of the Owners in relation to certain of the Charterers' rights and interest in and to (among other things):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Insurances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Requisition Compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any Sub-Charter which has a duration (taking into account any option to renew or extend) of more than twenty four (24) months; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Earnings.

"**Classification Society**" means the vessel classification society referred to in Box 10 (*Classification Society*) of this Charter, or such other member of the International Association of Classification Societies (IACS) as the Charterers may select and the Owners may approve from time to time.

"**Daily Charter Rate**" means in respect of the Charter Period, a rate in the sum of [\*\*\*].

"**Default Termination**" means a Termination pursuant to the provisions of Clause 52 (*Termination Events*).

"**Earnings**" means all hires, freights, pool income and other sums payable to or for the account of the Charterers and/or the Sub-Charterers in respect of the Vessel including (without limitation) all earnings received or to be received from each Sub-Charter, all remuneration for salvage and towage services, demurrage and detention moneys, contributions in general average, compensation in respect of any requisition for hire, and damages and other payments (whether awarded by any court or arbitral tribunal or by agreement or otherwise) for breach, termination or variation of any contract for the operation, employment or use of the Vessel.

"**Earnings Account**" means, in relation to the Vessel, the US Dollar account in the name of the Charterers (with account number 1251.05.52103) opened with the Account Bank, and includes any sub-account thereof and such account which is designated by the Owners as the earnings account for the purposes of this Charter.

"**Environmental Approvals**" means any present or future permit, licence, approval, ruling, variance, exemption or other Authorisation required under the applicable Environmental Law.

"**Environmental Claim**" means any claim, proceeding, formal notice or investigation by any governmental, judicial or regulatory authority or any other person which arises out of an Environmental Incident or an alleged Environmental Incident or which relates to any Environmental Law and, for this purpose, "claim" includes a claim for damages, compensation, contribution, injury, fines, losses and penalties or any other payment of any kind, including in relation to clean-up and removal, 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; and any form of enforcement or regulatory action, including the arrest or attachment of any asset.

"**Environmental Incident**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any release, emission, spill or discharge into the Vessel or into or upon the air, sea, land or soils (including the seabed) or surface water of Environmentally Sensitive Material within or from the Vessel; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or upon the air, sea, land or soils (including the seabed) or surface water from a vessel other than the
 Vessel and which involves a collision between the Vessel and such other vessel or some other incident of navigation or operation, in either case, in connection with which the Vessel is actually or reasonably likely to be potentially liable to be
 arrested, attached, detained or injuncted and/or the Vessel and/or any Obligor and/or any operator or manager of the Vessel is at fault or allegedly at fault or otherwise reasonably likely to be liable

to any legal or administrative action; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any other incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or upon the air, sea, land or soils (including the seabed) or surface water otherwise than from the
 Vessel and in connection with which the Vessel is actually or reasonably likely to be potentially liable to be arrested and/or where any Obligor and/or any operator or manager of the Vessel is at fault or allegedly at fault or otherwise
 reasonably likely to be liable to any legal or administrative action, other than in accordance with an Environmental Approval.

"**Environmental Law**" means any present or future law or regulation relating to pollution or protection of human health or the environment, to conditions in the workplace, to the carriage, generation, handling, storage, use, release or spillage of Environmentally Sensitive Material or to actual or threatened releases of Environmentally Sensitive Material.

"**Environmentally Sensitive Material**" means and includes all contaminants, oil, oil products, toxic substances and any other substance (including any chemical, gas or other hazardous or noxious substance) which is (or is capable of being or becoming) polluting, toxic or hazardous.

"**Fair Market Value**" means the fair market value of the Vessel as ascertained in accordance with the latest Valuation Report.

"**FATCA Deduction**" has the meaning given to such term in Clause 78 (*FATCA*).

"**Fifth Anniversary Date**" means the date falling sixty (60) months after the Actual Delivery Date.

"**Finance Document**" means any facility agreement, security document, fee letter and any other document designated as such by the Finance Parties and the Owners and which have been or may be (as the case may be) entered into between the Finance Parties and the Owners for the purpose of, in all material respects, financing or (as the case may be) refinancing the Actual Owners' Cost and the "Actual Owners' Cost" (as defined in any Related Charter) under that Related Charter.

"**Finance Party**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any Affiliate of the Owners which is party to a Finance Document (other than the Owners and other entities which may have agreed or be intended as debtors and/or obligors thereunder); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any bank or financial institution which is party to a Finance Document (other than the Owners and other entities which may have agreed or be intended as debtors and/or obligors thereunder),

and "**Finance Parties**" means two or more of them.

"**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;(a) moneys borrowed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any amount raised by acceptance under any acceptance credit facility or dematerialised equivalent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or similar instrument;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with GAAP, be treated as a balance sheet liability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any amount raised under any other transaction (including any forward sale or hire purchase agreement) of a type not referred to in any other paragraph of this definition having the commercial effect of a borrowing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any derivative transaction protecting against or benefit from fluctuations 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) 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;(i) the amount of any liability in respect of any guarantee or indemnity for any of the items referred to in paragraphs (a) to (h) above.

"**Flag State**" means, in relation to the Vessel, The Republic of Liberia or such other state and/or registry as the Charterers shall nominate and as may be approved in writing by the Owners.

"**Fourth Anniversary Date**" means the date falling forty eight (48) months after the Actual Delivery Date.

"**GAAP**" means generally accepted accounting principles in the United States of America including IFRS.

"**Governmental Agency**" means any government or any governmental agency, semi-governmental or judicial entity or authority (including any stock exchange or any self-regulatory organisation established under statute).

"**Group**" means the Guarantor and its Subsidiaries from time to time.

"**Guarantee**" means the guarantee made or to be made by the Guarantor in favour of the Owners in respect of the Charterers' obligations under the MOA, this Charter and the other Transaction Documents.

"**Guarantor**" means Himalaya Shipping Ltd., an exempted company incorporated according to the laws of Bermuda (with registration number 56490) whose registered address is at 2nd Floor, S.E. Pearman Building, 9 Par-la-Ville Road, Hamilton HM11, Bermuda.

"**Hire**" means, in respect of each Hire Payment Date, the aggregate amount calculated by multiplying (a) the Daily Charter Rate by (b) the number of days in the relevant Hire Period (being each day from (in respect of the first Hire Payment Date) the Actual Delivery Date (including that date) to the first Hire Payment Date (not including that date), (in respect of all other Hire Payment Dates except the final Hire Payment Date) the immediately preceding Hire Payment Date (including that date) to that Hire Payment Date (not including that date) and (in respect of the final Hire Payment Date) the immediately preceding Hire Payment Date (including that date) to the final Hire Payment Date (including that date)).

"**Hire Payment Date**" means the last day of each and any Hire Period, it being understood that there are altogether twenty-eight (28) Hire Payment Dates in the Agreed Charter Period.

"**Hire Period**" means each and every consecutive three (3)-month period during the Charter Period, the first Hire Period to commence on the Actual Delivery Date and each and any successive Hire Period to commence on the last day of the preceding Hire Period, **provided that** if a Hire Period would otherwise extend beyond the last day of the Charter Period, then such Hire Period shall end on the last day of the Charter Period.

"**Holding Company**" means, in relation to a person, any other person in respect of which it is a Subsidiary.

"**Hong Kong**" means the Hong Kong Special Administrative Region of The People's Republic of China.

"**IAPPC**" means a valid international air pollution prevention certificate for the Vessel issued under Annex VI (Regulations for the Prevention of Air Pollution from Ships) to the International Convention for the Prevention of Pollution from Ships 1973 (as modified in 1978 and 1997).

"**IFRS**" means international accounting standards within the meaning of the IAS Regulation 1606/2002 to the extent applicable to the relevant financial statements

"**Indemnitee**" has the meaning given to such term in Clause 62 (*Further indemnities*).

"**Initial Upfront Fee**" means the non-refundable upfront fee in the amount of one hundred thousand US Dollars (US$100,000).

"**Innocent Owners' Interest Insurances**" means all policies and contracts of innocent owners' interest insurance and innocent owners' additional perils (oil pollution) from time to time taken out by the Owners in relation to the Vessel.

"**Instalment**" has the meaning given to such term in the MOA.

"**Insurances**" means all policies and contracts of insurance (including all entries in protection and indemnity or war risks associations) which are from time to time taken out or entered into by the Charterers in respect of or in connection with the Vessel or her increased value or her earnings and (where the context permits) all benefits under such contracts and policies, including all claims of any nature and returns of premium.

"**ISM Code**" means the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention adopted by the International Maritime Organisation, as the same may be amended, supplemented or superseded from time to time (and the terms "safety management system", "Safety Management Certificate" and "Document of Compliance" 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 Organisation (as the same may be amended, supplemented or superseded from time to time).

"**ISSC**" means a valid and current International Ship Security Certificate issued under the ISPS Code.

"**Legal Reservations**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the principle that equitable remedies may be granted or refused at the discretion of a court and the limitation of enforcement by laws relating to insolvency, reorganisation and other laws generally affecting the
 rights of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the time barring of claims under the Limitation Acts, the possibility that an undertaking to assume liability for, or indemnify a person against, non-payment of

United Kingdom stamp duty may be void and defences of set-off or counterclaim;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) similar principles, rights and defences under the laws of any Relevant Jurisdiction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any reservations as to matters of law (but excluding at all times any reservations or qualifications as to matters of fact) referred to in the legal opinions delivered to the Owners under Clause 36 (*Conditions precedent*) of this Charter.

"**Limitation Acts**" means the Limitation Act 1980 and the Foreign Limitation Periods Act 1984.

"**Long Stop Date**" has the meaning given to such term in the MOA.

"**Major Casualty Amount**" means one million US Dollars (US$1,000,000) or the equivalent in any other currency or currencies.

"**Manager's Undertaking**" means a written undertaking and confirmation of an Approved Commercial Manager or (as the case may be) an Approved Technical Manager executed or to be executed in favour of the Owners.

"**MARPOL**" means the International Convention for the Prevention of Pollution from Ships adopted by the International Maritime Organisation (as the same may be amended, supplemented or superseded from time to time).

"**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;(a) the business, operations, property or condition (financial or otherwise) of any Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the ability of any Obligor to perform its obligations under the Transaction Documents to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the validity, legality or enforceability of any Transaction Document or the rights or remedies of the Owners under the Transaction Documents.

"**MOA**" has the meaning given to such term in Clause 34 (*Background*).

"**Mortgagees' Interest Insurances**" means all policies and contracts of mortgagees' interest insurance and mortgagees' additional perils (oil pollution) insurance from time to time taken out by any Finance Party in relation to the Vessel.

"**Net Sale Proceeds**" means the proceeds of a sale of the Vessel received, net of any fees, commissions, costs, disbursements or other expenses incurred by the Owners as a result of the Owners arranging the proposed sale.

"**Obligors**" means, together, the Charterers, the Guarantor, the Chargor and "**Obligor**" means any one (1) of them.

"**Owners' Account**" has the meaning given to such term in paragraph (f) (*Payment account information*) of Clause 40 (*Hire*).

"**Owners' Bank**" has the meaning given to such term in paragraph (f) (*Payment account information*) of Clause 40 (*Hire*).

"**Party**" means a party to this Charter and "**Parties**" means both of them.

"**PDA**" means the protocol of delivery and acceptance in relation to the Vessel to be

executed between the Owners and the Charterers, substantially in the form of Schedule 1 (*Form of Protocol of Delivery and Acceptance*) hereto.

"**Permitted Mortgagee**" means a Finance Party holding a mortgage over the Vessel in accordance with Clause 47 (*Owners' mortgage*).

"**Permitted Security Interest**" means any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) unless a Termination Event has occurred and is continuing, any ship repairer's or outfitter's possessory lien for an amount not exceeding the Major Casualty Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any lien arising by operation of law in the ordinary course of her trading and securing obligations not more than thirty (30) days overdue;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any lien for salvage; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Security Interest the creation of which has been otherwise expressly permitted in writing by the Owners.

"**Potential Termination Event**" means an event or circumstance which would, with the expiry of any permitted grace period, the giving of any notice, the lapse of time, or a determination of the Owners (or any combination of the foregoing) be a Termination Event.

"**Pre-approved PRC Leasing Company**" means any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) CITIC Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Everbright Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Taiping & Sinopec Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) China Merchants Commerce Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) ICBC Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) CMB Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Bank of Communications Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) China Development Bank Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) AVIC International Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) BOC Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) ABC Financial Leasing Co., Ltd.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) Huarong Financial Leasing Co., Ltd.; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) Jiangsu Financial Leasing Co., Ltd.

"**Pre-Delivery Assignment**" has the meaning given to such term in the MOA.

"**Project Documents**" means, together, the Transaction Documents, the Building Contract, the Refund Guarantee and the Vessel Management Agreements.

"**Purchase Obligation**" means the Charterers' obligation to purchase the Vessel at the applicable Purchase Obligation Price in accordance with Clause 56 (*Purchase Obligation and transfer of title*).

"**Purchase Obligation Date**" means the date specified as such in the Purchase Obligation Notice on which the Charterers are obliged to purchase the Vessel for the applicable Purchase Obligation Price.

"**Purchase Obligation Notice**" means the notice served by the Owners on the Charterers pursuant to paragraph (b) (*Purchase Obligation - outbreak of war*) of Clause 56 (*Purchase Obligation and transfer of title*).

"**Purchase Obligation Price**" means the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an amount equal to the Termination Core Amount applicable to the Hire Payment Date immediately prior to the Purchase Obligation Date, as set out in the Termination Core Amount Schedule (and for the avoidance of
 doubt, if there is no prior Hire Payment Date, any reference to the Termination Core Amount shall be a reference to the Actual Owners' Cost);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all Hire accrued, but unpaid, under this Charter up to (and including) the Purchase Obligation Date together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*)
 from the due date for payment thereof to the date of actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all other Unpaid Sums due and payable together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the due date for payment thereof up to the date of
 actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Break Costs (if any), but only if and as a result of the Purchase Obligation Date not falling on a Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any legal costs incurred by the Owners in respect of the implementation of the Purchase Obligation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any other reasonable costs and expenses incurred by the Owners in connection with any Finance Document as a result of the implementation of the Purchase Obligation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the Swap Losses (if any) directly attributable to the Purchase Obligation Price being paid.

"**Purchase Option**" means the option to purchase the Vessel at the applicable Purchase Option Price which the Charterers may exercise in accordance with Clause 55 (*Purchase Option*).

"**Purchase Option Core Amount**" means each of the figures set out in the column headed "Purchase Option Core Amount" in the Purchase Option Core Amount Schedule.

"**Purchase Option Core Amount Schedule**" means the schedule as set out in Schedule 5 (*Purchase Option Core Amount Schedule*) to this Charter (it being agreed that the Purchase Option Core Amount Schedule as of the date of this Charter is prepared based on the assumption that the Actual Owners' Cost equals the Assumed Financing Amount and accordingly, the Owners shall, if the Actual Owners' Cost does not equal the Assumed Financing Amount, deliver to the Charterers, prior to, on or after the Actual Delivery Date, an amended Purchase Option Core Amount Schedule reflecting the exact Actual Owners' Cost and such amended Purchase Option Core Amount Schedule shall, from the date the same is delivered to the Charterers, be deemed to be incorporated into this Charter and shall

thereafter constitute the current Purchase Option Core Amount Schedule).

"**Purchase Option Date**" means the date indicated in the Purchase Option Notice, being a day on which the Charterers may complete the exercise of the Purchase Option in accordance with Clause 55 (*Purchase Option*).

"**Purchase Option Notice**" means a written notice (in such form as the Owners and the Charterers may agree) which the Charterers may deliver to the Owners for the purpose of the Charterers exercising the Purchase Option.

"**Purchase Option Price**" means the amount due and payable by the Charterers to the Owners pursuant to Clause 55 (*Purchase Option*), being the aggregate of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an amount equal to the Purchase Option Core Amount applicable to the Purchase Option Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all Hire accrued, but unpaid, under this Charter up to (and including) the Purchase Option Date together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*)
 from the due date for payment thereof to the date of actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all other Unpaid Sums due and payable together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the due date for payment thereof up to the date of
 actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Break Costs (if any), but only if and as a result of the Purchase Option Date not falling on a Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any legal costs incurred by the Owners in respect of the exercise of the Purchase Option;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any other reasonable costs and expenses incurred by the Owners in connection with any Finance Document as a result of the Charterers' exercise of the Purchase Option;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) the Swap Losses (if any) directly attributable to the Purchase Option Price being paid (but not in any event in case the Purchase Option is exercised on the Seventh Anniversary Date).

"**Quiet Enjoyment Letter**" means the quiet enjoyment letter to be entered into between the Owners, any Permitted Mortgagee and the Charterers, in a form acceptable to all parties and, in particular, containing language to the effect that the Permitted Mortgagee (i) (in the absence of any Termination Event) allows the Charterers unfettered use and quiet enjoyment without interruption of the Vessel in accordance with the terms and conditions of this Charter and (ii) acknowledges that the Charterers shall have the right to purchase the Vessel at the Purchase Option Price, the Purchase Obligation Price or the Termination Sum in accordance with the terms and conditions of this Charter.

"**Rebate**" means each amount payable by the Charterers (as sellers under the MOA) in accordance with Clause 79 (*Rebate*).

"**Rebate Payment Date**" has the meaning given to such term in Clause 79(b) (*Payment of Rebate*).

"**Rebate Period**" has the meaning given to such term in the MOA.

"**Refund Guarantee**" has the meaning given to such term in the MOA.

"**Related Charter**" means, in relation to each Related Vessel, a bareboat charter (as the same may be amended, supplemented, extended, replaced and/or novated from time to time) entered into between the relevant Related Owners (as owners) and the relevant Related Charterers (as bareboat charterers), as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Charterers**" means, in relation to each Related Vessel, her charterers as listed under the column headed "Related Charterers", as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Document**" means any document entered into by the Charterers which provides loan financing or lease financing to the Charterers.

"**Related MOA**" means, in relation to each Related Vessel, a memorandum of agreement entered or to be entered into between the relevant Related Owners (as buyers) and the relevant Related Charterers (as sellers), as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Obligor**" means any "Obligor" as defined in any Related Charter.

"**Related Owners**" means, in relation to each Related Vessel, her owner as listed under the column headed "Related Owners", as more particularly set out in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Related Vessel**" means each of the vessels listed in Schedule 3 (*List of Related Vessels and relevant information*) hereto.

"**Relevant Jurisdictions**" means, in relation to an Obligor:-

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) its jurisdiction of incorporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any jurisdiction where it conducts its business, or where its centre of main interest is situated or where its central management and control is or has recently been exercised; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the jurisdiction whose laws govern the perfection of any of the Security Documents entered into by it.

"**Requisition Compensation**" means all compensation or other money which may from time to time be payable to the Charterers as a result of the Vessel being requisitioned for title or in any other way compulsorily acquired (other than by way of requisition for hire).

"**Restricted Party**" means a person or entity that is (i) listed on, or owned or controlled by a person listed on, any Sanctions List; (ii) a national of, located in, incorporated under the laws of, or owned or (directly or indirectly) controlled by, a person located in or organised under the laws of a country or territory that is the target of country-wide or territory-wide Sanctions; or (iii) otherwise a target of Sanctions ("target of Sanctions" signifying a person with whom a US person or other national of Sanctions Authority would be prohibited or restricted by law from engaging in trade, business or other activities).

"**Sanctions**" means the economic sanction laws, regulations, embargoes or restrictive measures administered, enacted or enforced by: (i) the United States government; (ii) the United Nations; (iii) the European Union; (iv) the United Kingdom; (v) the People's Republic of China or (vi) the respective governmental institutions and agencies of any of the foregoing, including, without limitation, the Office of Foreign Assets Control of the US

Department of Treasury ("**OFAC**"), the United States Department of State and Her Majesty's Treasury ("**HMT**") (together, the "**Sanctions Authorities**").

"**Sanctions List**" means the "Specially Designated Nationals and Blocked Persons" list maintained by the OFAC, the Consolidated List of Financial Sanctions Targets and the Investment Ban List maintained by HMT, or any similar list maintained by, or public announcement of Sanctions designation made by, any of the Sanctions Authorities.

"**Security Documents**" means, in relation to the Vessel, collectively the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Account Pledge;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Charterers' Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Guarantee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) each Manager's Undertaking;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the Pre-Delivery Assignment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the Share Charge; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any other document that may at any time be executed by any person guaranteeing, creating, evidencing or perfecting any Security Interest to secure all or part of all the Obligors' obligations under or in connection
 with the Transaction Documents,

and "**Security Document**" means any one of them.

"**Security Interest**" means a 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.

"**Sellers**" means the Charterers in their capacity as sellers under the MOA.

"**Settlement Date**" means, following a Total Loss of the Vessel, the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the date which falls on 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;(i) one hundred and twenty (120) days after the date of occurrence of the Total Loss; 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;(ii) eighty four (84) months after the Actual Delivery Date,

in each case, if such date is not a Business Day, the immediately preceding Business Day; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the date on which the Owners receive the Total Loss Proceeds in respect of the Total Loss.

"**Seventh Anniversary Date**" means the date falling eighty four (84) months after the Actual Delivery Date.

"**Share Charge**" means the charge over the entire issued share capital of the Charterers executed or (as the case may be) to be executed by the Chargor in favour of the Owners.

"**Shareholder Funding**" means any funding provided or to be provided by the Guarantor

to the Charterers (and which shall be subordinated (to the satisfaction to the Owners) in all respects to any and all amounts owing by the Charterers to the Owners under the Transaction Documents).

"**Sixth Anniversary Date**" means the date falling seventy two (72) months after the Actual Delivery Date.

"**Sub-Charter**" means any charterparty or contract of employment in respect of the Vessel entered into between the Charterers as disponent owners and any Sub-Charterers.

"**Sub-Charterers**" means any sub-charterers which are or will be parties to the relevant Sub-Charter.

"**Subsidiary**" means a subsidiary undertaking within the meaning of section 1162 of the Companies Act 2006.

"**Swap Losses**" means the amount (if any) of any claim, expense, liability or loss incurred by the Owners in terminating (as a result of (i) the Charterers exercising the Purchase Option on the Third Anniversary Date, Fourth Anniversary Date, Fifth Anniversary Date or Sixth Anniversary Date, (ii) the Charterers fulfilling the Purchase Obligation or (iii) the Termination Sum being paid) swap transactions entered into to hedge any interest rate exposure of the Owners in respect of the financing or refinancing of the Actual Owners' Cost, excluding any such swap transactions entered into to hedge interest rate exposure for a period which matures after the Seventh Anniversary Date.

"**Tax**" or "**tax**" means any present and future tax (including, without limitation, value added tax, consumption tax or any other tax in respect of added value or any income), levy, impost, duty or other charge or withholding of any nature (including any penalty or interest payable in connection with any failure to pay or any delay in paying any of the same); and "**Taxes**", "**taxes**", "**Taxation**" and "**taxation**" shall be construed accordingly.

"**Termination**" means the termination at any time of the chartering of the Vessel under this Charter.

"**Termination Core Amount**" means each of the figures set out in the column headed "Termination Core Amount" in the Termination Core Amount Schedule.

"**Termination Core Amount Schedule**" means the schedule as set out in Schedule 4 (T*ermination Core Amount Schedule*) to this Charter (it being agreed that the Termination Core Amount Schedule as of the date of this Charter is prepared based on the assumption that the Actual Owners' Cost equals the Assumed Financing Amount and accordingly, the Owners shall, if the Actual Owners' Cost does not equal the Assumed Financing Amount, deliver to the Charterers, prior to, on or after the Actual Delivery Date, an amended Termination Core Amount Schedule reflecting the exact Actual Owners' Cost and such amended Termination Core Amount Schedule shall, from the date the same is delivered to the Charterers, be deemed to be incorporated into this Charter and shall thereafter constitute the current Termination Core Amount Schedule).

"**Termination Event**" means each of the events specified in paragraph (a) (*Termination Events*) of Clause 52 (*Termination Events*).

"**Termination Notice**" means the termination notice referred to in (as the context may require):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) paragraph (k) (*Illegality*) of Clause 40 (*Hire*); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) paragraph (c) (*Owners' options after occurrence of a Termination Event*) of Clause 52 (*Termination Events*).

"**Termination Payment Date**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in respect of a Termination in accordance with paragraph (k) (*Illegality*) of Clause 40 (*Hire*), the date specified in the Termination Notice served on the Charterers pursuant to that Clause;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in respect of a Default Termination, the date specified in the Termination Notice served on the Charterers pursuant to paragraph (c) (*Owners' options after occurrence of a Termination Event*) of Clause 52 (*Termination Events*) in respect of such Default Termination; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in respect of a Total Loss Termination, the Settlement Date in respect of the Total Loss which gives rise to such Total Loss Termination.

"**Termination Sum**" means an amount representing the Owners' losses as a result of a Termination prior to the expiry of the Agreed Charter Period (other than by virtue of the Charterers exercising the Purchase Option in accordance with Clause 55 (*Purchase Option*) or by virtue of the Owners delivering a Purchase Obligation Notice in accordance with paragraph (b) (*Purchase Obligation – outbreak of war*) of Clause 56 (*Purchase Obligation and transfer of title*), which both parties acknowledge as a genuine and reasonable pre-estimate of the Owners' losses in the event of such Termination and shall consist of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) only if the Actual Owners' Cost has been paid by the Owners to the Charterers under the MOA, an amount equal to the Termination Core Amount applicable to the Hire Payment Date immediately prior to the Termination
 Payment Date, as set out in the Termination Core Amount Schedule (and for the avoidance of doubt, if there is no prior Hire Payment Date, any reference to the Termination Core Amount shall be a reference to the Actual Owners' Cost);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) all Hire accrued, but unpaid, under this Charter up to (and including) the relevant Termination Payment Date together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*)
 from the due date for payment thereof to the date of actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) all other Unpaid Sums due and payable together with interest accrued thereon pursuant to paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from the due date for payment thereof up to the date of
 actual payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Break Costs (if any), but only if and as a result of the Termination Payment Date not falling on a Hire Payment Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) so long as the Vessel is not being transferred to the Charterers, all liabilities, costs and expenses so incurred in recovering possession of, and in repositioning, berthing, insuring and maintaining the Vessel for
 carrying out any works or modifications required to cause the Vessel to conform with the provisions of Clauses 44 (*Redelivery*) and 45 (*Redelivery conditions*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any legal costs incurred by the Owners in respect of the Termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any other reasonable costs and expenses incurred by the Owners in connection with any Finance Document as a result of the Termination;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any reasonable prepayment fee incurred by the Owners in connection with any Finance Document as a result of a Termination Event or any non-compliance by any Obligor of any provision of the Transaction Documents to
 which such Obligor is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Swap Losses (if any) directly attributable to the Termination Sum being paid.

"**Third Anniversary Date**" means the date falling thirty six (36) months after the Actual Delivery Date.

"**Third Parties Act**" means the Contracts (Rights of Third Parties) Act 1999.

"**Title Re-Transfer PDA**" means the protocol of delivery and acceptance in relation to the re-transfer of the Vessel to be executed between the Owners and the Charterers, substantially in the form of Schedule 2 (*Form of Title Re-Transfer Protocol of Delivery and Acceptance*) hereto upon expiration of the Charter Period.

"**Total Loss**" means, during the Charter Period:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) actual or constructive or compromised or agreed or arranged total loss of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the requisition for title or compulsory acquisition of the Vessel by any Governmental Agency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, confiscation or forfeiture of the Vessel (not falling within (b) above), unless the Vessel is released and returned to the possession
 of the Owners or the Charterers within sixty (60) days after the capture, seizure, arrest, detention, hijacking, theft, condemnation as prize, confiscation or forfeiture in question,

and for the purpose of this Charter, (i) an actual Total Loss of the Vessel shall be deemed to have occurred at the date and time when the Vessel was lost but if the date of the loss is unknown the actual Total Loss shall be deemed to have occurred on the date on which the Vessel was last reported, (ii) a constructive Total Loss shall be deemed to have occurred at the date and time at which a notice of abandonment of the Vessel is given to the insurers of the Vessel, and (iii) a compromised, agreed or arranged Total Loss shall be deemed to have occurred on the date of the relevant compromise, agreement or arrangement.

"**Total Loss Proceeds**" means the proceeds of the Insurances or any other compensation of any description in respect of a Total Loss unconditionally received and retained by or on behalf of the Owners in respect of a Total Loss.

"**Total Loss Termination**" means a Termination pursuant to the provisions of paragraph (a) (*Total Loss Termination*) of Clause 57 (*Total Loss*).

"**Transaction Documents**" means, together, this Charter, the MOA, the Security Documents and such other documents as may be designated as such by the Owners and the Charterers from time to time.

"**Unpaid Sum**" means any sum due and payable but unpaid by any Obligor under the Transaction Documents.

"**Upfront Fee**" means the Initial Upfront Fee, the Additional Upfront Fee or the combination of them.

"**US Dollars**", "**Dollars**", "**USD**", "**US$**" and "**$**" each means available and freely transferable and convertible funds in lawful currency of the United States of America.

"**US Tax Obligor**" means**:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an obligor which is resident for tax purposes in the United States of America; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an obligor some or all of whose payments under the Transaction Documents to which

it is a party are from sources within the United States for US federal income tax purposes.

"**Valuation Report**" means, in relation to the Vessel, a desktop valuation report (without physical inspection) addressed to the Owners from an Approved Valuer on the basis of a charter-free sale for prompt delivery for cash at arm's length on normal commercial terms as between a willing seller and a willing buyer.

"**Vessel**" means the 210,000 DWT bulk carrier with the Builder's hull number 0120837 as more particularly described in Boxes 5 (*Vessel's name, call sign and flag*) to 10 (*Classification Society*) of this Charter.

"**Vessel Management Agreement**" means, in relation to the Vessel, each technical or commercial management agreement executed or to be executed (as the case may be) between (a) an Approved Manager (as technical or commercial manager (as the case may be)), and (b) the Charterers (as demise owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**33.** **Interpretations** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In this Charter, unless the context otherwise requires, any reference 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;(i) this Charter include the Schedule hereto and references to Clauses and Schedules are, unless otherwise specified, references to Clauses of and Schedules to this Charter and, in the case of a Schedule, to such
 Schedule as incorporated in this Charter as substituted 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;(ii) any statutory or other legislative provision shall be construed as including any statutory or legislative modification or re-enactment thereof, or any substitution 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;(iii) the term "**Vessel**" includes any part 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;(iv) "**assets**" includes present and future properties, revenues and rights of every description;

&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 "**Owners** ", the "**Charterers** ", the "**Guarantor** ", the "**Chargor** ", any "**Obligor** ", the "**Related Owners** ", the "**Related Charterers** ", any "**Sub-Charterers**" or any other
 person include any of their respective successors, permitted assignees and permitted transferees;

&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 "**Project Document**" or any other agreement, instrument or document include such Project Document or other agreement, instrument or document as the same may from time to time by amended, modified,
 supplemented, novated or substituted;

&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 "**equivalent**" in one currency (the "**first currency**") as at any date of an amount in another currency (the "**second currency**") shall be construed as a reference to the amount of the first
 currency which could be purchased with such amount of the second currency at the spot rate of exchange quoted by the Owners' Bank at or about 11:00 a.m. (Beijing time) two (2) business days (being a day other than a Saturday or Sunday on which
 banks and foreign exchange markets are generally open for business in Beijing) prior to such date for the purpose of the first currency with the second currency for delivery and value on such 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;(viii) "**hereof** ", "**herein**" and "**hereunder**" and other words of similar import means this Charter as a whole (including the Schedules) and not any particular part hereof;

&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) "**law**" includes common or customary law and any constitution, decree, judgment, legislation, order, ordinance, regulation, rule, statute, treaty or other legislative measure in any jurisdiction or any present
 or future directive, regulation, request or requirement, or official or judicial interpretation of any of the foregoing, in each case having the force of law and, if not having the force of law, in respect of which compliance is generally
 customary;

&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) "**month**" means, save as otherwise provided, a period starting on one day in a calendar month and ending on the numerically corresponding day in the next calendar month, except that 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 day in that calendar month;

&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) the word "**person**" or "**persons**" or to words importing persons include, without limitation, any state, divisions of a state, government, individuals, partnerships, corporations, ventures, government
 agencies, committees, departments, authorities and other bodies, corporate or unincorporated, whether having distinct legal personality or 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;(xii) the "**winding-up** ", "**dissolution** ", "**administration** ", "**liquidation** ", "**insolvency** ", "**reorganisation** ", "**readjustment of debt** ", "**suspension of payments** ", "**moratorium** "
 or "**bankruptcy**" (and their derivatives and cognate expressions) of any person shall each be construed so as to include the others and any equivalent or analogous proceedings or event under the laws of any jurisdiction in which such person
 is incorporated or any jurisdiction in which such person carries on business;

&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) "**protection and indemnity risks**" means the usual risks covered by a protection and indemnity association which is a member of the International Group of P&I Clubs, including pollution risks, extended
 passenger cover and the proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable under the hull and machinery policies by reason of the incorporation in them of clause 6 of the
 International Hull Clauses (1/11/02 or 1/11/03), clause 8 of the Institute Time Clauses (Hull)(1/10/83) or clause 8 of the Institute Time Clauses (Hulls)(1/11/1995) or the Institute Amended Running Down Clause (1/10/71) or any equivalent
 provision;

&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) a Potential Termination Event or Termination Event is "**continuing**" if it has not been remedied or waived; 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;(xv) words denoting the plural number include the singular and vice versa.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Headings are for the purpose of reference only, have no legal or other significance, and shall be ignored in the interpretation of this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A time of day (unless otherwise specified) is a reference to Beijing time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**34.** **Background** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***The MOA*** By a memorandum of agreement (the "**MOA**") of even date herewith made between the Owners (as buyers thereunder) and the Sellers (as sellers thereunder), the Owners have agreed to purchase
 and the Sellers have agreed to sell the Vessel subject to the terms and conditions therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Transfer of ownership pursuant to MOA*** Accordingly the parties hereby agree that the Owners' obligations to charter the Vessel to the Charterers under this

Charter are subject to the effective transfer of ownership of the Vessel to the Owners pursuant to the MOA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**35.** **Delivery** 

As at the date of this Charter, the Vessel is under construction by the Builder pursuant to the terms of the Building Contract and the Owners have entered into the MOA with the Sellers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Conditions to delivery*** The obligation of the Owners to charter the Vessel to the Charterers pursuant to this Charter shall be subject to the following conditions:

&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) delivery of the Vessel by the Charterers to the Owners pursuant to the terms of the MOA;

&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 obtaining full title to the Vessel pursuant to the terms of the MOA;

&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 Termination Event having occurred which is continuing on or prior to the Actual Delivery 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;(iv) the representations and warranties referred to in Clause 48 (*Charterers' representations and warranties*) being true and correct on the date of this Charter and the Actual Delivery 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;(v) the Actual Delivery Date falling on or before the Long Stop Date (or such later date as may be agreed between the Owners (as buyer under the MOA) and the Sellers);

&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) the Owners having received, or being satisfied that they will receive, the documents and evidence referred to in paragraph (a) (*Owners' conditions precedent*) of Clause 36 (*Conditions precedent*), in each
 case in all respects in form and substance satisfactory to them on or before the Actual Delivery 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;(vii) delivery of the Vessel to the Sellers by the Builder under the Building Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Delivery and acceptance*** Provided that the conditions referred to in paragraph (a) (*Conditions to delivery*) above have been fulfilled or waived to the satisfaction of the Owners (which shall be
 evidenced in writing by the Owners), the Owners and the Charterers agree 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;(i) the Charterers shall, at their own expense, upon the Actual Delivery Date arrange for the Vessel to be registered under the laws and flag of the Flag State and in the name of the Owners as legal 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;(ii) the Charterers shall take delivery of the Vessel from the Owners under this Charter (such delivery to be conclusively evidenced by a duly executed PDA) immediately following the acceptance of delivery of the Vessel
 by the Owners from the Sellers pursuant to the MOA;

&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 Charterers will accept 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;(A) on an "as is where is" basis in exactly the same form and state as the Vessel is delivered by the Sellers to the Owners pursuant to the MOA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 such form and state with any faults, deficiencies and errors of description; 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;(C) for the avoidance of doubt, no underwater inspection shall be performed at the time of commencement of this Charter on the basis that any repairs required at the next scheduled dry-docking are the responsibility of
 the Charterers; 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;(iv) the Charterers shall have no right to refuse acceptance of delivery of the Vessel into this Charter if the Vessel is delivered to the Owners pursuant to the MOA and, notwithstanding and without prejudice to the
 foregoing, the Owners and the Charterers nonetheless agree to enter into and execute the PDA on delivery of the Vessel under this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***No representation or warranty from Owners*** The Charterers acknowledge and agree that the Owners are not the manufacturer or original supplier of the Vessel which has been purchased by the Owners pursuant
 to the MOA, and have therefore made no representations or warranties in respect of the Vessel or any part thereof, and hereby waive all their rights in respect of any warranty or condition implied (whether statutory or otherwise) on the part of
 the Owners and all claims against the Owners howsoever the same might arise at any time in respect of the Vessel, or arising out of the construction, operation or performance of the Vessel and the chartering thereof under this Charter (including,
 without limitation, in respect of the seaworthiness or otherwise of the Vessel).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***No liability from Owners*** In particular, and without prejudice to the generality of paragraph (c) (*No representation or warranty from Owners*) above, the Owners shall be under no liability
 whatsoever, howsoever arising, in respect of the injury, death, loss, damage or delay of or to or in connection with the Vessel or any person or property whatsoever, whether onboard the Vessel or elsewhere, and irrespective of whether such
 injury, death, loss, damage or delay shall arise from the unseaworthiness of the Vessel. For the purpose of this paragraph (d), "delay" shall include delay to the Vessel (whether in respect of delivery under this Charter or thereafter and any
 other delay whatsoever).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**36.** **Conditions precedent** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Owners' conditions precedent*** Notwithstanding anything to the contrary in this Charter, the obligations of the Owners to charter the Vessel to the Charterers under this Charter are subject to and
 conditional upon the Owners' receipt of following documents and evidence (in each case in form and substance acceptable to the Owners) on or before the Actual Delivery 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;(i) an original of each 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;(A) the duly executed 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) the duly executed Security Documents together with all documents required by any of them (other than the letters of undertaking in respect of the Insurances and copies of the relevant policies or cover notes or entry
 certificates in respect of the Insurances duly endorsed with the interest of the Owners required under the Charterers' 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;(C) the duly executed MOA;

&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) certified true copies of the memorandum and articles of association (or equivalent documents) (and all amendments thereto) of each Obligor and

any other documents required to be filed or registered or issued under the laws of its jurisdiction of incorporation to establish its incorporation;

&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) certified true copies of written resolutions or (as the case may be) resolutions passed at meetings of the board of directors of each Obligor, each evidencing the relevant Obligor's respective approval of the
 Transaction Documents and authorising appropriate officers, directors or attorneys to execute the same and to sign all notices required to be given hereunder or thereunder on their behalf or other evidence of such approvals and authorisations as
 shall be acceptable 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;(iv) a specimen of the signature and a copy of the passport of each person actually executing any of the Transaction Documents pursuant to the resolutions referred to in (iii);

&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) a certified true copy of a certificate of good standing of each Obligor issued no earlier than ten (10) days prior to the Actual Delivery 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;(vi) an original certificate of an authorised signatory of each Obligor certifying that each copy document relating to it specified in this paragraph (a) is correct, complete and 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;(vii) if applicable, the original power of attorney of each Obligor under which any document (including the Transaction Documents) are to be executed or transactions undertaken by 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;(viii) if applicable, copies (certified true where possible) of all Authorisations as may be necessary to authorise the performance by each of the Obligors of its obligations under the Transaction Documents to which it is
 or (as the case may be) will be a party, and the execution, validity and enforceability of such Transaction 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;(ix) *intentionally left blank* 

&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) copies or, where applicable, electronic copies 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;(A) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) each duly executed Vessel 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;&nbsp;&nbsp;&nbsp;&nbsp;(C) the Vessel's current Safety Management Certificate (as such term is defined pursuant to 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;(D) each applicable Approved Technical Manager's current Document of Compliance (as such term is defined pursuant to 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;(E) the Vessel's current ISSC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Vessel's current IAPPC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Vessel's classification certificate evidencing that she is free of all conditions of class from the 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;&nbsp;&nbsp;&nbsp;&nbsp;(H) any Sub-Charter,

in each case (and where applicable) together with all addenda, amendments or supplements;

&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) evidence 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) all the conditions precedents under clause 8 (*Conditions precedent and subsequent*) of the MOA have been, or, in the Owners' opinion, will be satisfied on the Actual Delivery 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) the Charterers have paid (1) the Upfront Fee and (2) all other payable fees, costs and expenses, in each case in accordance with Clause 59 (*Fees and expenses*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) on or immediately after the Actual Delivery Date, the Vessel will be registered (or at least provisionally registered, if applicable) under the laws and flag of the Flag State and in the name of the Owners with all
 associated costs and expenses paid by the Charterers in accordance with paragraph (b)(vii) (*Other costs and expenses*) of Clause 59 (*Fees and expenses*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Vessel is insured in the manner required by the Transaction Documents (including, in particular, evidence that Innocent Owners' Interest Insurances have been arranged and that the Owners have been or will be
 reimbursed by the Charterers for all costs, premiums and expenses paid or incurred by the Owners in connection therewith), together 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;(1) an insurance report (in form and substance acceptable to the Owners) in respect of the Insurances issued by an insurance adviser appointed by the Owners or confirmation satisfactory to the Owners that such an
 insurance report will be issued;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) evidence that the relevant loss payable clause (in a form as the Owners may approve) has been or will be endorsed on or attached to the policies, the cover notes or certificates of entry relating to the Insurances;
 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;(3) evidence that letters of undertaking (each in a form as the Owners may approve) will be issued;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) any process agent referred to in any Transaction Document has accepted its appointment; 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;(F) the Owners have received the Rebate which is due and payable;

&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) a legal opinion of the legal advisers to the Owners in each of the following relevant jurisdictions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) England and Wales;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) 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;(C) The Republic of Liberia.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) Norway;

or confirmation satisfactory to the Owners that such an opinion will be given; 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;(xiii) a copy of any other Authorisation or other document, opinion or assurance which the Owners reasonably consider to be necessary or desirable in connection with the entry into and performance of the transactions
 contemplated by any Transaction Document or for the validity and enforceability of any Transaction Document (including, without limitation in relation to or for the purposes of any financing by the Owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Owners' discretion regarding conditions precedent*** If the Owners in their sole discretion agree at the request of the Charterers to deliver the Vessel under this Charter to the Charterers before all of
 the documents and evidence required under paragraph (a) (*Owners' conditions precedent*) above have been delivered to or to the order of the Owners, the Charterers undertake to deliver all outstanding documents and evidence to or to the
 order of the Owners no later than seven (7) Business Days after the Actual Delivery Date (or such later date as the Owners may agree in writing, acting in their sole discretion). The delivery of the Vessel by the Owners to the Charterers under
 this Charter shall not, unless otherwise notified by the Owners (acting in their sole discretion) to the Charterers in writing, be taken as a waiver of the Owners' right to require production of all the documents and evidenced required by this
 Clause 36.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Certified true copies*** Each certified true copy document referred to this Clause 36 must be certified by a director, company secretary or duly authorised representative of the relevant Obligor as being
 true and complete as at a date no later than the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**37.** **Bunkers and luboils** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) At delivery the Charterers shall take over all bunkers, lubricating oil, water and unbroached provisions in the Vessel without cost.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the extent that Clause 44 (*Redelivery*) applies, at redelivery the Owners shall take over without cost all bunkers, unused lubricating oil, water and unbroached provisions and other consumable stores in the
 Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**38.** **Further maintenance and operation** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Maintenance*** The good commercial maintenance practice under Clause 10 (*Maintenance and Operation*) (Part II) of this Charter shall be deemed to include:

&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 maintenance and operation of the Vessel by the Charterers in accordance 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;(A) the relevant regulations, requirements and recommendations of the 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) the relevant regulations, requirements and recommendations of the country and flag of the Vessel's registry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 applicable IMO regulations (including, without limitation, the ISM Code, the ISPS Code and 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;&nbsp;&nbsp;&nbsp;&nbsp;(D) all other applicable regulations, requirements and recommendations; 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;(E) the Charterers' operations and maintenance manuals;

&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 maintenance and operation of the Vessel by the Charterers taking into account:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) engine manufacturers' recommended maintenance and service 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) builder's operations and maintenance manuals; 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;(iii) recommended maintenance and service schedules of all installed equipment and pipework.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Access to class records*** The Charterers covenant with the Owners to arrange (at the Charterers' costs) access to class records and inspection records for the Owners as available to the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Extra equipment*** Any equipment that is found not to be required on board as a result of regulation or operational experience is either to be, at the Charterers' option, removed at the Charterers' expense
 or to be maintained in operable condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**39.** **Structural changes and alterations** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Charterers shall make no structural changes in the Vessel or changes in the machinery, engines, appurtenances or spare parts thereof without in each instance first securing the Owners' consent thereto except
 where any such 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;(i) does not have a material adverse effect on the Vessel's certification or the Vessel's fitness for purpose; 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;(ii) will not materially diminish the value of the Vessel and/or have a material adverse effect on the safety, performance, value or marketability of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Upon the occurrence of any Termination Event which is continuing, and if the Vessel is not being transferred to the Charterers pursuant to and in accordance with paragraph (g) (*Transfer of title*) of Clause 52
 (*Termination Events*) and the Owners decide to retake possession of the Vessel pursuant to paragraph (d) of Clause 52 (*Termination Events*), then the Charterers shall, in each case at their expense, restore the Vessel to its former
 condition unless the changes made are carried out:

&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) with the prior written consent of the Owners; 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;(ii) to improve the performance, operation or marketability 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;(iii) as a result of a regulatory compliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any improvement, structural changes or new equipment becoming necessary for the continued operation of the Vessel by reason of new class requirements or by compulsory legislation shall be for the Charterers' account
 and the Charterers shall not have any right to recover from the Owners any part of the cost for such improvements, changes or new equipment either during the Charter Period, or at redelivery of the Vessel. Unless otherwise requested by the
 Owners, the Charterers shall not remove any such improvement structural changes or new equipment at redelivery of the Vessel. The Charterers shall upon request give written notice to the Owners of any such improvement, structural changes or new
 equipment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**40.** **Hire** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Hire during Charter Period*** In consideration of the Owners' agreement to charter the Vessel to the Charterers during the Charter Period pursuant to the terms hereof, the Charterers shall pay to the
 Owners on each and every Hire Payment Date the

aggregate amount calculated by multiplying (a) the Daily Charter Rate by (b) the number of days in the relevant Hire Period (being each day from (in respect of the first Hire Payment Date) the Actual Delivery Date (including that date) to the first Hire Payment Date (not including that date), (in respect of all other Hire Payment Dates except the final Hire Payment Date) the immediately preceding Hire Payment Date (including that date) to that Hire Payment Date (not including that date) and (in respect of the final Hire Payment Date) the immediately preceding Hire Payment Date (including that date) to the final Hire Payment Date (including that date)).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Payment of Hire*** Each Hire payment shall be made in arrears on each Hire Payment Date (Beijing time) (in respect of which time is of the essence). Each Hire shall be received by the Owners no later than
 4:00 p.m. (Beijing time) on the relevant Hire Payment Date (in respect of which time is of the essence).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Non-Business Day*** Any payment under this Charter which is due to be made on a day that is not a Business Day shall be made on the preceding Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Payment account information*** All payments under this Charter shall be made to the account opened in the name of the Owners with such bank as the Owners may choose (the "**Owners' Bank** "), the details
 of which shall be notified by the Owners to the Charterers at least five (5) Business Days prior to the first Hire Payment Date (or such other account as the Owners may from time to time notify the Charterers in writing at least five (5) Business
 Days before the due date for payment) (the "**Owners' Account**") for credit to the account of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Charterers' Hire payment obligation absolute*** Following delivery of the Vessel to, and acceptance by, the Charterers under this Charter, the Charterers' obligation to pay Hire in accordance with this
 Clause 40 shall be absolute irrespective of any 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;(i) any set-off, counterclaim, recoupment, defence or other right which either party to this Charter may have against the other;

&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 unavailability of the Vessel, for any reason, including but not limited to any action or inaction by any Sub-Charterers, seaworthiness, condition, design, operation, merchantability or fitness for use or purpose
 of the Vessel or any apparent or latent defects in the Vessel or its machinery and equipment or the ineligibility of the Vessel for any particular use or trade or for registration of documentation under the laws of any relevant jurisdiction or
 lack of registration or the absence or withdrawal of any consent required under the applicable law of any relevant jurisdiction for the ownership, chartering, use or operation of the Vessel or any damage to the Vessel or any 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;(iii) any lack or invalidity of title or any other defect in title, provided such lack or invalidity of title or defect does not affect the quiet and peaceful use, possession and enjoyment 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;(iv) any failure or delay on the part of either party to this Charter, whether with or without fault on its part, in performing or complying with any of the terms, conditions or other provisions of this 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;(v) any insolvency, bankruptcy, reorganisation, arrangement, readjustment of

debt, dissolution, administration, liquidation or similar proceedings by or against the Owners, any Obligor or Sub-Charterers, or any change in the constitution of the Owners, any Obligor or Sub-Charterers;

&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 invalidity or unenforceability or lack of due authorisation of or any defect in this Charter or any Sub-Charter; 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;(vii) any other cause which would but for this provision have the effect of terminating or in any way affecting the obligations of the Charterers hereunder,

it being the intention of the parties that the provisions of this Clause 40, and the obligation of the Charterers to pay Hire and make any payments under this Charter, shall (save as expressly provided in this Clause 40) survive any frustration and that, save as expressly provided in this Charter, no moneys paid under this Charter by the Charterers to the Owners shall in any event or circumstance be repayable to the Charterers. For the avoidance of doubt, the obligation of Charterers to pay Hire under this Charter shall not be affected by any breach of this Charter by the Owners, it being understood that the Charterers shall, in the event of such breach, be entitled to claim compensation for their losses, documented damages or expenses (excluding Hire paid under this Charter).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***All payments free from deductions*** 

&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 payments of Hire and all other Unpaid Sums to the Owners pursuant to this Charter and the other relevant Transaction Documents shall be made in immediately available funds in US Dollars and free and clear of, and
 without deduction for or on account of, any bank charges and any Taxes (including a FATCA 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;(ii) In the event that the Charterers are required by any law or regulation to make any deduction or withholding (including a FATCA Deduction) on account of any taxes which arise as a consequence of any payment due under
 this Charter, 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) the Charterers shall notify the Owners promptly after they become aware of such requirement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Charterers shall remit the amount of such taxes to the appropriate taxation authority within any applicable time limits and in any event prior to the date on which penalties attach thereto; 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;(C) such payment shall be increased by such amount as may be necessary to ensure that the Owners receive a net amount which, after deducting or withholding such taxes, is equal to the full amount which the Owners would
 have received had such payment not been subject to such taxes.

&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 Charterers shall forward to the Owners evidence reasonably satisfactory to the Owners that any such taxes have been remitted to the appropriate taxation authority within thirty (30) days of the expiry of any time
 limit within which such taxes must be so remitted or, if earlier, the date on which such taxes are so remitted.

&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)  ***Mitigation*** **  The Owners shall, subject to sub-paragraph (v) (*Limitation of liability*) below and in consultation with the Charterers, take all reasonable steps to mitigate any circumstances
 which arise and which would result in any amount becoming payable under or pursuant to any of this paragraph

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) or Clause 41 (*Increased Costs*), including (but not limited to) transferring their rights and obligations under the Transaction Documents to an Affiliate (in accordance with Clause 47 (*Owners' mortgage*). The above does not in any way limit the obligations of any Obligor under the Transaction 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;(v)  ***Limitation of liability*** The Charterers shall promptly indemnify the Owners for all costs and expenses reasonably incurred by the Owners as a result of steps taken by the Owners under sub-paragraph (iv)
 (*Mitigation*) above. The Owners are not obliged to take any steps under sub-paragraph (iv) (*Mitigation*) above if, in their opinion (acting reasonably), to do so might be prejudicial to them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Default interest*** Subject to paragraph (a)(i) (*Non-payment*) of Clause 52 (*Termination Events*) and without prejudice to paragraph (c) of Clause 79 (*Rebate*), if the Charterers fail to
 pay any amount payable by it under a Transaction Document on its due date, interest shall accrue on a daily basis on the Unpaid Sum from the due date up to the date of actual payment (both before and after judgment) at a rate of six per cent.
 (6%) per annum over the amount of such Unpaid Sum for the period of such non-payment. Any interest accruing under this paragraph (i) shall be immediately payable by the Charterers on demand by the Owners. Default interest (if unpaid) arising on
 an Unpaid Sum will be compounded with the Unpaid Sum at the end of each period selected by the Owners but will remain immediately due and payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Hire payment obligation to survive termination*** In the event that this Charter is terminated for whatever reason, the Charterers' obligation to pay Hire and such other Unpaid Sum which (in each case) has
 accrued due before, and which remains unpaid, at the date of such termination shall continue notwithstanding such termination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Illegality*** In the event that it becomes unlawful or it is prohibited for the Owners to charter the Vessel to the Charterers pursuant to this Charter, then the Owners shall notify the Charterers of the
 relevant event and negotiate in good faith with the Charterers for a period of thirty (30) days from the date of the receipt of the relevant notice by the Charterers to agree an alternative. If such agreement is not reached within such thirty
 (30)-day period, the Parties agree that, in such circumstances, the Owners shall have the right to terminate this Charter by delivering to the Charterers a termination notice specifying a Termination Payment Date, whereupon the Charterers shall
 be obliged to pay to the Owners the Termination Sum on the Termination Payment Date and comply with such other terms and conditions as may be specified in such termination notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)  ***Break Costs*** The Charterers shall, within three (3) Business Days of the Owners' demand, pay to the Owners the Break Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)  ***Certificates and determinations*** Any certification or determination by the Owners of a rate or amount under any Transaction Document is, in the absence of fraud or manifest error, conclusive evidence of
 the matters to which it relates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)  ***Day count convention*** Any Hire, interest, commission or fee accruing under an Transaction Document will accrue from day to day and is calculated on the basis of the actual number of days that will elapse
 or have elapsed and a year of 360 days (or, where the amount is payable in a currency other than US Dollars, such period as is customary for such currency).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**41.** **Increased Costs** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Increased Costs*** Subject to paragraph (c) (*Exceptions*) below, the Charterers shall, within three (3) Business Days of a demand by the Owners, pay to the Owners the amount of any Increased Costs
 incurred by the Owners 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;(i) the introduction of or any change in (or in the interpretation, administration or application of) any law or regulation;

&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) compliance with any law or regulation made after the date of this Charter.; 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;(iii) the implementation or application of or compliance with Basel III, CRR or CRD IV or any other law or regulation which implements Basel III, CRR or CRD IV (whether such implementation, application or compliance is by
 a government, regulator or the Owners).

In this 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;(i) "**Basel III**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 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 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any further guidance or standards published by the Basel Committee on Banking Supervision relating to "Basel III".

&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) "**CRD IV**" means EU CRD IV and UK CRD 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;(iii) "**EU CRD IV**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) 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; 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) 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 Directives 2006/48/EC and 2006/49/EC.

&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) "**UK CRD IV**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) 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 as it forms
 part of domestic law of the United

Kingdom by virtue of the 2018 Withdrawal Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 law of the United Kingdom or any part of it, which immediately before IP Completion Day (as defined in the 2020 Withdrawal Act) implemented 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 Directives 2006/48/EC and 2006/49/EC and its implementing measures;
 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;(C) direct EU legislation (as defined in the 2018 Withdrawal Act), which immediately before IP Completion Day (as defined in the 2020 Withdrawal Act) implemented EU CRD IV as it forms part of domestic law of the United
 Kingdom by virtue of the 2018 Withdrawal Act.

&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) "**Increased Costs**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 reduction in the rate of return from the Hire or on the Owners' overall capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) an additional or increased cost; 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) a reduction of any amount due and payable under any Transaction Document,

which is incurred or suffered by the Owners to the extent that it is attributable to the Owners having entered into any Transaction Document or funding or performing its obligations under any Transaction Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Increased Cost claims*** 

&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 Owners shall promptly notify the Charterers of any claim arising from paragraph (a) (*Increased Costs*) above and of the event giving rise to such claim.

&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, as soon as practicable after having made a demand in respect of such claim, confirm the amount of their Increased Costs, such confirmation to include (in reasonable detail) an explanation and
 calculations regarding such Increased Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Exceptions*** Paragraph (a) (*Increased Costs*) above does not apply to the extent that any Increased Cost 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;(i) compensated for by a payment made under sub-paragraph (h)(ii)(C) (*All payments free from deductions*) of Clause 40 (*Hire*);

&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) compensated for by a payment made under Clause 60 (*Stamp duties*);

&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) attributable to a FATCA Deduction required to be made by either Party, an Obligor or a Finance Party (if 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;(iv) attributable to the wilful breach by the Owners of any law or regulation; 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;(v) 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 Charter (but excluding any amendment arising out of Basel III) ("**Basel II**") or any other law or regulation which implements Basel II (whether such implementation, application or compliance is by a government, regulator or the Owners).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**42.** **Insurance** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Charterers' obligation to place insurance*** During the Agreement Term (starting from the Actual Delivery Date), the Charterers shall at their expense keep the Vessel insured against fire and usual marine
 risks (including hull and machinery and excess risks), oil pollution liability risks, war (including, if applicable, "War Risks" as defined in paragraph (a) of Clause 26 (*War*)), protection and indemnity risks (and any risks against which
 it is compulsory to insure for the operation for the Vessel and (provided that such insurance is customary for the type of the Vessel) any other risks against which the Owners consider it would be necessary to insure):

&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 US Dollars; 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;(ii) in the Nordic/UK/French/German/Japan/Korean/USA insurance market customary to 2020 Bulkers Management AS (which is the Approved Commercial Manager) on shipping industry market terms as the Owners shall approve in
 writing (such approval not to be unreasonably withheld).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Beneficiaries of insurances*** Such insurances shall be arranged by the Charterers to protect the interests of the Owners, the Charterers and (if any) the Finance Parties, and the Charterers shall be at
 liberty to protect under such insurances the interests of any Approved Manager and the interest of any other named assured or co-assured provided 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;(i) the interest of such Approved Manager, other named assured or co-assured 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) to any provable out-of-pocket expenses that they have 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) 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 such claims made specifically against 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) in respect of any insurances for protection and indemnity risks, to any recoveries they are entitled to make by way of reimbursement following discharge of any third party liability claims made specifically against
 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;(ii) if required by the Owners and/or the Finance Parties, each such Approved Manager, other named assured or co-assured shall execute an undertaking in favour of the Owners and/or the Finance Parties confirming paragraph
 (i) above, each in form and substance acceptable to the Owners and/or the Finance Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Scope of insurance*** The policies of Insurance shall cover the Owners, the Charterers and (if any) the Finance Parties according to their respective interests.

Subject to the approval of the Owners (acting on the instructions or with the approval of the Finance Parties (in each case if applicable)) and the insurers, the Charterers shall effect all insured repairs and shall undertake settlement and reimbursement from the insurers of all costs in connection with such repairs as well as insured charges, expenses and liabilities to the extent of coverage under the insurances herein provided for.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Repairs etc. not covered by Insurances*** The Charterers shall also remain responsible for and to effect repairs and settlement of costs and expenses incurred thereby in respect of all other repairs not
 covered by the Insurance and/or not exceeding any possible franchise(s) or deductibles provided for in the Insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***H&M and war risks coverage*** The Charterers shall arrange that, at any time during the Agreement Term (starting from the Actual Delivery Date), the hull and machinery and war risks insurance
 (including increased value insurance) shall 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;(i) in an amount not less than the greater 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) one hundred and twenty per cent. (120%) of the Termination Core Amount applicable to the immediately prior Hire Payment Date (and for the avoidance of doubt, if there is no prior Hire Payment Date, any reference to
 the Termination Core Amount shall be a reference to the Actual Owners' Cost); 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) the latest Fair Market Value of the Vessel ascertained prior to 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;(ii) effected through first class international insurers or underwriter acceptable to 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;(iii) on industry standard terms applicable at the time or otherwise on terms acceptable to the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Protection and indemnity coverage*** The Vessel shall be entered in Skuld or other protection and indemnity association which is a member of the International Group of P&I Clubs (the "**IG** ")
 acceptable to the Owners on customary terms and shall be covered against liability for pollution claims in an amount not less than one thousand million US Dollars (US$1,000,000,000) or the maximum amount of cover from time to time provided by
 members of the IG (if such maximum amount of cover is higher than one thousand million US Dollars (US$1,000,000,000)). The P&I cover shall include freight, demurrage and defence cover. All insurances shall include customary protection in
 favour of the Owners and (if any) the Finance Parties such as notice of cancellation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Placing of Insurances*** Without prejudice to paragraph (e) (*H&M and war risks coverage*) or (f) (*Protection and indemnity coverage*) above, the Charterers undertake to place the Insurances
 in such markets, in such currency, on such terms and conditions, and (unless any Insurances are placed directly and not through a broker) with an Approved Broker or such other first class and reputable brokers as the Owners shall have approved in
 writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***No alteration to terms of Insurances*** The Charterers shall not materially alter the terms of any of the Insurances nor allow any person to be co-assured under any of the Insurances without the prior
 written consent of the Owners (such consent not to be unreasonably withheld or delayed). The Charterers shall, (A) no later than seven (7) days before the Actual Delivery Date and (B) at any other time upon request of the Owners, supply the
 Owners with such information as the Owners may in their discretion require with regard to the terms of the Insurances and the brokers,

underwriters or associations through or with which the Insurances are placed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Insurance report*** The Charterers 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;(i) reimburse the Owners on demand all reasonable costs and expenses incurred by the Owners in obtaining a report on the adequacy of the Insurances from an insurance adviser instructed by the Owners which report may be
 obtained no more than once per calendar year provided that if the terms of any of the Insurances are altered subsequent to a report being obtained, the Owners may obtain a further report in that calendar year and the Charterers shall reimburse
 the Owners on demand all costs and expenses incurred by the Owners in obtaining such further report; 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;(ii) procure that there is delivered to such insurance adviser all such information in relation to the Insurances as such insurance adviser may reasonably require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Payment of premiums etc.*** The Charterers undertake duly and punctually to pay all premiums, calls and contributions, and all other sums at any time payable in connection with the Insurances, and, at
 their own expense, to arrange and provide any guarantees from time to time required by any underwriters, protection and indemnity or war risks association. From time to time at the Owners' request, the Charterers will provide the Owners with
 evidence satisfactory to the Owners that such premiums, calls, contributions and other sums have been duly and punctually paid; that any such guarantees have been duly given; and that all declarations and notices required by the terms of any of
 the Insurances to be made or given by or on behalf of the Charterers to brokers, underwriters or associations have been duly and punctually made or given.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Compliance with Insurances*** The Charterers will comply in all respects with all terms and conditions of the Insurances and will make all such declarations to brokers, underwriters and associations as may
 be required to enable the Vessel to operate in accordance with the terms and conditions of the Insurances. The Charterers will not do, nor permit to be done, any act, nor make, nor permit to be made, any omission, as a result of which any of the
 Insurances may become liable to be suspended, cancelled or avoided, or may become unenforceable, or as a result of which any sums payable under or in connection with any of the Insurances may be reduced or become liable to be repaid or rescinded
 in whole or in part. In particular, but without limitation, the Charterers will not permit the Vessel to be employed other than in conformity with the Insurances without first taking out additional insurance cover in respect of that employment in
 all respects to the satisfaction of the Owners, and the Charterers will promptly notify the Owners of any new material requirement imposed by any broker, underwriter or association in relation to any of the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)  ***Renewal of Insurances*** The Charterers will no later than seven (7) days before the expiry of any of the Insurances renew them and shall immediately give the Owners and, if applicable, the Finance
 Parties such details of those renewals as the Owners and, if applicable, the Finance Parties may require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m)  ***Delivery of documents relating to Insurances*** The Charterers 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;(i) deliver to the Owners and, if applicable, the Finance Parties, copies of all policies, certificates of entry (endorsed with the appropriate loss payable clauses as may be required by the Owners and, if applicable,
 the Finance Parties from time to time) and such other documents relating to the Insurances as may be required by the Owners and, if applicable, 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;(ii) procure that a loss payable clause (substantially in the form attached to the Charterers' Assignment) or, in the case of entries in a protection and indemnity association, a note of the Owners' interest in such form
 as the Owners may approve (acting reasonably in line with applicable market standard), shall be endorsed on or attached to the policies, cover notes or certificates of entry relating to the Insurances; 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;(iii) procure that letters of undertaking (in such form as the Owners and, if applicable, the Finance Parties may approve) shall be issued to the Owners and, if applicable, the Finance Parties by the brokers, underwriters
 or associations through which the Insurances are placed (or, in the case of protection and indemnity or war risks associations, by their managers).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)  ***Fleet cover*** If the Vessel is at any time during the Agreement Term (starting from the Actual Delivery Date) insured under any form of fleet cover (other than in relation to the Vessel's entry in a
 protection and indemnity association or war risks associations (if applicable)), the Charterers shall procure that those letters of undertaking contain confirmation that the brokers, underwriters or association (as the case may be) will not
 set-off claims relating to the Vessel against premiums, calls or contributions in respect of any other vessel or other insurance, and that the insurance cover of the Vessel will not be cancelled by reason of non-payment of premiums, calls or
 contributions relating to any other vessel or other insurance. Failing receipt of those confirmations, the Charterers will instruct the brokers, underwriters or association concerned to issue a separate policy or certificate for the Vessel in the
 sole name of the Charterers or of the Charterers' brokers as agents for the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)  ***Provision of information on casualty, accident or damage*** The Charterers shall promptly provide the Owners and, if applicable, the Finance Parties with full information regarding any casualty or other
 accident or damage to the Vessel the repair costs of which (whether before or after adjudication) would reasonably be expected to exceed the Major Casualty Amount including, without limitation, any communication with all parties involved in case
 of a claim under any of the Insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)  ***Step-in rights of Owners and Finance Parties*** The Charterers agree that, on and at any time after the occurrence of a Termination Event which is continuing, the Owners and, if applicable, the Finance
 Parties shall be entitled 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;(i) collect, sue for, recover and give a good discharge for all claims in respect of any 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;(ii) pay collecting brokers the customary commission on all sums collected in respect of those claims;

&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) compromise all such claims or refer them to arbitration or any other form of judicial or non-judicial determination; 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;(iv) otherwise deal with such claims in such manner as the Owners and, if applicable, the Finance Parties shall in their discretion think fit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)  ***Total loss insurance proceeds*** Whether or not a Termination Event shall have occurred, the proceeds of any claim under any of the Insurances in respect of a Total Loss shall be paid and applied in
 accordance with Clause 57 (*Total Loss*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) *Intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)  ***Payment of insurance proceeds*** 

&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 Owners agree that any amounts which may become due under any protection and indemnity entry or insurance shall be paid to the Charterers to reimburse the Charterers for, and in discharge of, the loss, damage or
 expense in respect of which they shall have become due, unless, at the time the amount in question becomes due, a Termination Event shall have occurred and is continuing, in which event the Owners shall be entitled to receive the amounts in
 question and to apply them either:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 reduction of the Termination Sum owed by the Charterers pursuant to paragraph (e) of Clause 52 (*Termination Events*); 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) at the option of the Owners, to the Charterers and/or other third parties in discharge of the liability in respect of which they were 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;(ii) Without prejudice to the foregoing and subject to the terms of the Finance Documents (if any), all other claims in relation to the Insurances (other than in respect of a Total Loss), shall, unless and until the
 occurrence of a Termination Event which is continuing, in which event all claims under the relevant policy shall be payable directly to the Owners, be payable 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) a claim in respect of any one casualty where the aggregate claim against all insurers does not exceed the Major Casualty Amount, prior to adjustment for any franchise or deductible under the terms of the relevant
 policy, shall be paid directly to the Charterers (as agent for the Owners) for the repair, salvage or other charges involved or as a reimbursement if the Charterers fully repaired the damage to the satisfaction of the Owners and paid all of the
 salvage or other charges; 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) a claim in respect of any one casualty where the aggregate claim against all insurers exceeds the Major Casualty Amount prior to adjustment for any franchise or deductible under the terms of the relevant policy
 shall, subject to the prior written consent of the Owners, be paid to the Charterers as and when the Vessel is restored to her former state and condition and the liability in respect of which the insurance loss is payable is discharged, and
 provided that the insurers may with such consent make payment on account of repairs in the course of being effected but, in the absence of such prior written consent shall be payable directly to the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)  ***Settlement, compromise or abandonment of claims*** The Charterers shall not settle, compromise or abandon any claim under or in connection with any of the Insurances (other than a claim of less than the
 Major Casualty Amount arising other than from a Total Loss) without the prior written consent of the Owners and, if applicable, the Finance Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u)  ***Owners' rights to maintain Insurances*** If the Charterers fail to effect or keep in force the Insurances, the Owners may (but shall not be obliged to) effect and/or keep in force such insurances on the
 Vessel and such entries in protection and indemnity or war risks associations as the Owners in their discretion consider desirable, and the Owners may (but shall not be obliged to) pay any unpaid premiums, calls or contributions. The Charterers
 will reimburse the Owners from time to time on demand for all such premiums, calls or contributions paid by the Owners, together with interest calculated in accordance with paragraph (i) (*Default interest*) of Clause 40 (*Hire*) from
 the date of payment by the Owners until the date of reimbursement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Environmental protection issues*** The Charterers shall comply strictly with the requirements of any legislation relating to pollution or protection of the environment which may from time to time be
 applicable to the Vessel in any jurisdiction in which the Vessel shall trade and in particular the Charterers 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). Before any such trade is commenced and during the entire period during which such trade is carried on, the Charterers 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;(i) pay any additional premiums required to maintain protection and indemnity cover for oil pollution up to the limit available to the Charterers 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;(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, and promptly deliver to the Owners
 copies of such declarations;

&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 Owners 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;(iv) implement any recommendations contained in the reports issued following the surveys referred to in sub-paragraph (v)(iii) above within the shorter of (x) the relevant time limits contained in such reports, or (y) ten
 (10) Business Days, and provide evidence satisfactory to the Owners 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;(v) in addition to the foregoing (if such trade is in the United States of America and Exclusive Economic Zone):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 retain a certificate of financial responsibility under the Act in form and substance satisfactory to the United States Coast Guard and provide the Owners 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;(B) procure that the protection and indemnity insurances do not contain a US Trading Exclusion Clause or any other analogous provision and provide the Owners 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;(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;(w)  ***Innocent Owners' Interest Insurance and Mortgagees' Interest Insurance*** The Owners shall be at liberty to, at any time during the Agreement Term (starting from the Actual Delivery Date), take out an
 Innocent Owners' Interest Insurance in relation to the Vessel for such amounts and on such terms and conditions as the Owners may from time to time decide and any Finance Party shall be at liberty to take out a Mortgagees' Interest Insurance in
 relation to the Vessel for such amounts and on such terms and conditions as that Finance Party may from time to time decide.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)  ***Reimbursement in respect of the Innocent Owners' Interest Insurance and Mortgagees' Interest Insurance*** The Charterers shall from time to time upon the Owners' demand:

&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) reimburse the Owners for all costs, premiums and expenses paid or incurred by the Owners in connection with any Innocent Owners' Interest Insurance, provided that (for the purpose of such reimbursement only) the
 costs, premiums and expenses in connection with the Innocent Owners' Interest Insurances shall be no more than such costs, premiums and expenses if the insured amount of the Innocent Owners' Interest Insurances does not exceed one hundred and
 twenty per cent. (120%) of the Termination Core Amount applicable to the immediately prior Hire Payment Date (and for the avoidance of doubt, if there is no prior Hire Payment Date, any reference to the Termination Core Amount shall be a
 reference to the Actual Owners' Cost); 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;(ii) reimburse the Owners or any Finance Party for all costs, premiums and expenses paid or incurred by the Owners or that Finance Party in connection with any Mortgagees' Interest Insurance, provided that (for the
 purpose of such reimbursement only) the costs, premiums and expenses in connection with the Mortgagees' Interest Insurances shall be no more than such costs, premiums and expenses if the insured amount of the Mortgagees' Interest Insurances does
 not exceed one hundred and twenty per cent. (120%) of the Termination Core Amount applicable to the immediately prior Hire Payment Date (and for the avoidance of doubt, if there is no prior Hire Payment Date, any reference to the Termination Core
 Amount shall be a reference to the Actual Owners' Cost).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)  ***Cooperation by the Charterers*** The Charterers agree and undertake 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;(i) in the event that the Charterers receive any payment in relation to the Insurances in contravention of this Charter, the Charterers will hold such payment on trust and on behalf of 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;(ii) the Charterers will not refuse, withhold (or otherwise delay giving) consent to the payment of any amount which becomes payable to the Owners under the Insurances (to the extent that such payment is payable to the
 Owners in accordance with terms of this 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;(iii) at the request of the Owners and at the cost of the Charterers, place any other insurance in line with international industry standards as may be requested by the Owners and/or the Finance Parties (if any), acting
 reasonably and subject to the opinion(s) of international reputable and independent insurance consultants; 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;(iv) from time to time on the written request of the Owners, the Charterers will promptly execute and deliver to the Owners all documents which the Owners may require for the purpose of obtaining any payment in relation
 to the Insurances (to the extent that such payment is payable to the Owners in accordance with the terms of this Charter).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**43.** **Inspection** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Owners' right to inspect*** For so long as no Termination Event has occurred and is continuing, the Owners shall exercise the inspection rights under Clause 8 (*Inspection*):

&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) during normal business hours and upon reasonable written notice; 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;(ii) so as not to disrupt the commercial operation of the Vessel,

and, in each case, the Charterers must grant or procure that the Owners and/or their representatives are given access to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Inspection costs generally*** All reasonable, properly incurred and documented out-of-pocket costs and expenses of any such visit, inspection or survey carried out in accordance with Clause 8 (*Inspection*),
 paragraph (a) (*Owners' right to inspect*) above and paragraph (c) (*Inspection during dry-docking*) below shall be for the account of the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Inspection during dry-docking*** The Charterers must give the Owners not less than two (2) months' prior notice of any dry-docking of the Vessel to be performed during the Charter Period, and must:

&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) permit and/or procure permission for, the Owners and/or any person designated by the Owners to inspect and survey the Vessel during such dry-docking (so long as such inspection is during normal business hours, is
 upon reasonable written notice and does not disrupt the dry-docking 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;(ii) provide, or procure the provision of, proper facilities for such inspection.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) *Intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***No liability upon Owners regarding inspection*** The Owners 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;(i) have any duty or liability to make any visit, inspection or survey pursuant to this Charter; 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;(ii) incur any liability or obligations by not making any inspection or have any liability arising out of any visit, inspection or survey.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**44.** **Redelivery** 

Upon:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the occurrence of any Termination Event which is continuing and if the Owners decide to retake possession of the Vessel pursuant to paragraph (d) of Clause 52 (*Owners' options after occurrence of Termination Event*);

 or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the expiry of the Agreed Charter Period (and subject to no Total Loss having occurred, no Purchase Option being exercised and no Purchase Obligation being fulfilled); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Owners deliver a Purchase Obligation Notice to the Charterers under paragraph (b) (*Purchase Obligation - outbreak of war*) of Clause 56 (*Purchase Obligation and transfer of title*) but the Charterers
 fail to pay the relevant Purchase Obligation Price on the Purchase Obligation Date; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the Owners deliver a Termination Notice to the Charterers under paragraph (k) (*Illegality*) of Clause 40 (*Hire*) but the Charterers fail to pay the relevant Termination Sum on the Termination Payment
 Date,

the Charterers shall, at their own cost and expense, redeliver or cause to be redelivered the Vessel to the Owners at a safe, ice free port as the Owners may designate where the Vessel would be afloat at all times in a ready safe berth or anchorage, in accordance with Clauses 45 (*Redelivery conditions*) and 46 (*Survey on redelivery*).

If the Vessel is to be redelivered pursuant to paragraph (b) above, the Charterers shall give

the Owners not less than forty five (45) running days' preliminary notice of expected date of redelivery and not less than thirty (30) running days' definite notice of expected date of redelivery and port of redelivery.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**45.** **Redelivery conditions** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Redelivery conditions*** If the Vessel is to be redelivered pursuant to Clause 44 (*Redelivery*), in addition to what has been agreed in Clause 44 (*Redelivery*), the condition of the Vessel
 shall at redelivery be 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;(i) the Vessel shall be free of any class conditions, recommendations and/or statutory breaches affecting the validity of its trading certificates;

&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 Vessel must be redelivered with all equipment and spares or replacement items which were on board at the time of the delivery under the MOA (save for any spare part or spare equipment which has been consumed in
 the course of operating the Vessel) and transferred to the Owners pursuant to the MOA and the original log book and other technical documentation which may be in the Charterers' possession shall promptly be forwarded to the Owners at the
 Charterers' 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;(iii) the Vessel must be redelivered with all national and international trading certificates and hull/machinery survey positions for both class and statutory surveys free of any recommendation and qualifications valid and
 un-extended for a period of at least three (3) months beyond the redelivery 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;(iv) the Vessel shall have passed any flag or class surveys or inspections due within three (3) months after the date of redelivery and have its continuous survey system up to 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;(v) the Vessel shall be free and clear of all liens; 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;(vi) without prejudice to any of the foregoing, the Vessel shall be in the same or as good structure, state, condition and class as she was when she was delivered to the Charterers under this Charter on the Actual
 Delivery Date, fair wear and tear excepted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Obligation to pay Hire to continue*** Unless and until such time as the Vessel has been redelivered by the Charterers to the Owners, or the title to the Vessel has been transferred to the Charterers
 pursuant to the fulfilment of the Purchase Obligation, the exercise of the Purchase Option or upon payment of the Termination Sum, in each case in accordance with the terms of this Charter, the Charterers shall continue to pay Hire in accordance
 with the terms of this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**46.** **Survey on redelivery** 

If the Vessel is not sold or transferred in accordance with this Charter (including pursuant to the exercise of a Purchase Option or fulfilment of the Purchase Obligation or any other reason whatsoever), and provided that it has not become a Total Loss, the Owners shall be entitled to appoint (at the cost of the Charterers) one independent surveyor for the purpose of determining in writing the condition of the Vessel at redelivery. If the Vessel is not in the condition or does not meet the performance criteria required by Clause 45 (*Redelivery conditions*), a list of deficiencies together with the costs of repairing/remedying such deficiencies shall be prepared by the surveyor and the Charterers shall be obligated to, at their costs, repair/remedy all deficiencies identified in such list prior to redelivery.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**47.** **Owners' mortgage** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Owners' funding arrangements*** The Charterers:

&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) acknowledge that the Owners may enter into certain funding arrangements with the Finance Parties in order to finance part of the Actual Owners' Cost, which funding arrangements may be secured, inter alia, by ship
 mortgages over the Vessel and (along with other related matters) the relevant Finance Documents, provided 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) simultaneous with the Owners' execution of any such ship mortgages, the relevant Permitted Mortgagee shall issue a Quiet Enjoyment Letter in favour of the Charterers; 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) other than pursuant to the Finance Documents, the Owners shall not use the Vessel as collateral for any other funding arrangements;

&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) irrevocably consent to any assignment in favour of the Finance Parties by the Owners of their rights under any Transaction Documents pursuant to the relevant 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;(iii) without limiting the generality of paragraph (o) (*Further assurance (Finance Parties)*) of Clause 49 (*Charterers' undertak* ing *s*), undertake to execute or provide (as the case may be), and use
 reasonable commercial efforts to procure the execution or provision (as the case may be) by any third party of, such further information or document as in the opinion of the Owners and/or the Finance Parties are reasonably necessary to effect the
 assignment referred to in sub-paragraph (ii) above and any assignment (by way of security) by the Owners of their rights in the Transaction Documents in favour of any Finance Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**48.** **Charterers' representations and warranties** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Charterers make the representations and warranties set out in this Clause 48 to the Owners on the date of this 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;(i)  ***Status*** each Obligor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 a company or corporation (as applicable), duly incorporated in good standing and validly existing under the laws of its jurisdiction of incorporation; 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) has the power to own its assets and carry on its business as it is being conducted;

&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)  ***Binding obligations*** the obligations expressed to be assumed by each Obligor in the Transaction Documents to which it is a party are 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;(iii)  ***Non-conflict with other obligations*** the entry into and performance by each Obligor of, and the transactions contemplated by, the Transaction Documents to which it is a party do not and will not conflict
 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;(A) any law or regulation 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) its constitutional 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;(C) any material agreement or instrument binding on it or any 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;(iv)  ***Power and authority*** each Obligor has the power to enter into, perform and deliver, and have taken all necessary action to authorise its entry into, performance and delivery of, the Transaction
 Documents to which it is a party and the transactions contemplated 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;(v)  ***Validity and admissibility in evidence*** all Authorisations required:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 each Obligor to lawfully enter into, exercise its rights and comply with its obligations in the Transaction 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) to make each Transaction Document to which each Obligor is a party admissible in evidence in its Relevant Jurisdiction; 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;(C) for each Obligor to carry on its business,

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;(vi)  ***Governing law and enforcement*** subject to the Legal Reservations:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 choice of English law as the governing law of the Transaction Documents will be recognised and enforced in the Relevant Jurisdiction of each Obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 judgment obtained in England in relation to any Transaction Document will, in each case, be recognised and enforced in the Relevant Jurisdiction of each Obligor; 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;(C) any arbitral award granted in relation to any other Transaction Document will be recognised and enforced in the Relevant Jurisdiction of each Obligor;

&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)  ***Deduction of Tax*** subject to the Legal Reservations, it is not required under the laws of any Relevant Jurisdiction of any Obligor to make any deduction for or on account of Tax from any payment any
 Obligor may make under any Transaction Document (including a FATCA 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;(viii)  ***No filing or stamp taxes*** subject to the Legal Reservations, under the laws of each Relevant Jurisdiction of each Obligor, it is not necessary that any Transaction Document to which such Obligor is a
 party be filed, recorded or enrolled with any court or other authority in that jurisdiction or that any stamp, registration or similar tax be paid on or in relation thereto 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;(ix)  ***No Potential Termination 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) no Potential Termination Event or Termination Event is continuing or might reasonably be expected to result from any Obligor's entry into, or performance of the transactions contemplated by any Transaction Document
 to which such Obligor 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;(B) no other event or circumstance is outstanding which constitutes a default under any other agreement or instrument which is binding on any Obligor or to which such Obligor's assets are subject and which might 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;(x)  ***No misleading 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;(A) any factual information provided by or on behalf of the Charterers to the Owners was true and accurate in all material respects as at the date it was provided or as the date (if any) at which such information was
 stated; 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) nothing has occurred or been omitted from the information so provided and no information has been given by or on behalf of the Charterers or withheld that results in the information provided by or on behalf of the
 Charterers being untrue or misleading in any material 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;(xi) *Intentionally left blank* 

&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)  ***Pari passu ranking*** the payment obligations of each Obligor under each Transaction Document to which it is a party rank at least *pari passu* with the claims of all other unsecured and
 unsubordinated creditors of such Obligor, except for obligations mandatorily preferred by law applying to companies 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;(xiii)  ***No proceedings pending or threatened*** no litigation, arbitration or administrative proceedings of or before any court, arbitral body or agency have (to the best of the Charterers' knowledge) been started
 or threatened which, if adversely determined, might reasonably be expected 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;(xiv)  ***No immunity*** none of the Obligors nor any of its assets has any right to immunity from set-off, legal proceedings, attachment prior to judgment, other attachment or execution of judgment on the grounds
 of sovereign immunity 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;(xv)  ***Tax compliance and no tax claims:*** save as disclosed to the Owners, each Obligor has complied with all Tax laws and regulations applicable to it and its business and there are no tax claims commenced or
 threatened to commence against any Obligor;

&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)  ***No insolvency*** none of the Obligors is insolvent or in liquidation or administration or subject to any other formal or informal insolvency procedure, and no receiver, administrative receiver,
 administrator, liquidator, trustee or analogous officer has been appointed in respect of the Charterers or all or any part of their 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;(xvii)  ***No breach of AML Laws*** none of the Obligors is, or will be, directly or indirectly, and whether knowingly or otherwise, involved in any transaction (including any sale and leaseback transaction):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) which is contrary to any AML 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) the proceeds of which have been used for any purpose that would breach any anti-bribery or anti-corruption legislation in jurisdictions in which any Obligor conduct its business;

&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)  ***No Restricted Party*** none of the Obligors is a Restricted Party, nor have they or any of their directors, officers or employees received notice or are aware of any claim, action, suit, proceeding or
 investigation against them with respect to Sanctions by a Sanctions 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;(xix)  ***US tax status*** none of the Obligors is a US Tax Obligor, nor has it established a place of business or is otherwise conducting business in the

United States of America;

&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)  ***Copies of Project Documents*** the copies of the Project Documents provided by the Charterers to the Owners in accordance with Clause 36 (*Conditions precedent*) are true and accurate copies of the
 originals and represent the full agreement between the parties to those Project Documents in relation to the subject matter of those Project Documents and there are no commissions, rebates, premiums or other payments due or to become due in
 connection with the subject matter of those Project Documents other than in the ordinary course of business or as disclosed to, and approved in writing by, the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each representation and warranty in sub-paragraphs (a)(ii) (*Binding obligations*) to (iv) (*Power and authority*), (x) (*No misleading information*) to (xiv) (*No immunity*) and (xvii) (*No breach of AML Laws*) to (xx) (*Copies of Project Documents*) above is deemed to be repeated by the Charterers by reference to the facts and circumstances then existing on (i) the Actual Delivery Date, and (ii) each Hire Payment Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**49.** **Charterers' undertakings** 

The Charterers hereby undertake to the Owners that they will comply in full and procure compliance (where applicable) with the following undertakings throughout the Agreement Term:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Corporate status*** each Obligor will maintain its corporate existence as a body corporate duly organised and validly existing under the laws of its jurisdiction of incorporation and will maintain the
 power to own its assets and carry on its business as it is being conducted on the date of this Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Authorisations*** each Obligor shall promptly:

&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) obtain, comply with 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;(ii) supply certified copies to the Owners of,

any Authorisation required by any applicable 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) to enable that Obligor to lawfully enter into, exercise its rights and comply with its obligations in the Transaction 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) to make each Transaction Document to which that Obligor is a party admissible in evidence in its 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;&nbsp;&nbsp;&nbsp;&nbsp;(C) for that Obligor to carry on 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;(D) to ensure the legality, validity or enforceability of any Transaction Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Compliance with laws*** each Obligor shall comply in all respects with all laws in all material respects to which it may be subject in its jurisdiction of incorporation, the Flag State and any jurisdiction
 in which the Vessel is employed, if failure so to comply would have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Manager's Undertaking*** the Charterers will procure that each Approved Manager shall enter into a Manager's Undertaking upon the appointment of such Approved

Manager by the Charterers for the management of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Negative pledge*** 

&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 Charterers must not create or allow to exist any Security Interest on any of its rights, title and interest in and to, and all benefits accruing to it under or pursuant to (A) the Transaction Documents, (B) the
 Vessel, (C) the Insurances, (D) the Requisition Compensation, or (E) any of its other asset or undertaking;

&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) without prejudice to paragraph (f) (*Disposals*) below, the Charterers 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;(A) sell, transfer or otherwise dispose of any of its assets on terms whereby that asset is or may be leased to, or re-acquired by, the Guarantor or any other member of the Group;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) sell, transfer, factor or otherwise dispose of any of its receivables on recourse 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;(C) enter into any arrangement under which money or the benefit of a bank or other account may be applied, set off or made subject to a combination of accounts (other than for Permitted Security Interest); 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;(D) enter into any other preferential arrangement having a similar effect,

in circumstances where the arrangement or transaction is entered into primarily as a method of raising Financial Indebtedness or of financing the acquisition of an asset;

&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) sub-paragraphs (i) and (ii) above do not apply to any Permitted Security Interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Disposals*** the Charterers shall not enter into a single transaction or a series of transactions, whether related or not and whether voluntarily or involuntarily, to dispose of any asset except for any of
 the following disposals:

&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) disposals permitted by the Transaction 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;(ii) disposals of assets made in (and on terms reflecting) the ordinary course of trading of the disposing entity and on an arm's length basis;

&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) disposals of obsolete, damaged, worn-out, used or surplus assets, or assets which are no longer required in the ordinary course of business;

&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) dealings with trade creditors with respect to book debts in the ordinary course of trading;

&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 application of cash or cash equivalents in the acquisition of assets or services in the ordinary course of their business;

&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) the unwinding of any derivative or similar transaction; 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;(vii) any surrender or waiver of contractual rights or the settlement, release, recovery on or surrender of contractual rights or other claims of any kind in accordance with the terms of this Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Merger*** the Charterers shall not enter into any amalgamation, demerger, merger or corporate restructuring without prior written consent of the Owners; and shall procure that the Guarantor shall not
 enter into any amalgamation, demerger, merger or corporate restructuring which is likely to have a Material Adverse Effect without prior written consent of the Owners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***Change of control*** the Charterers shall remain a direct wholly-owned Subsidiary of the Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Financial Indebtedness*** 

&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 Charterers shall not, without the prior written consent of the Owners, incur or permit to remain outstanding any Financial Indebtedness.

&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) sub-paragraph (i) above does not apply to any Financial Indebtedness:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) incurred pursuant to any Shareholder Funding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) incurred pursuant to any Transaction Document; 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;(C) any trade debt occurring in the ordinary course of the Charterers' business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Loans and guarantees*** the Charterers 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;(i) make or allow to subsist any loan, grant any credit; 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;(ii) give or allow to remain outstanding any guarantee or indemnity to or for the benefit of any person or otherwise voluntarily assume any liability, whether actual or contingent, in respect of any obligation of any
 person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Financial statements*** the Charterers will supply or cause to be supplied 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;(i) as soon as the same become available, but in any event within one hundred and eighty (180) days after the end of each financial year of the Charterers and the Guarantor, the unaudited management accounts of the
 Charterers and the audited financial statements of the Guarantor for that financial year in English language (consolidated, if relevant, in the case of the Guarantor); 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;(ii) as soon as the same become available, but in any event within ninety (90) days after the end of each half-year of the Charterers and the Guarantor, the unaudited semi-annual management accounts of the Charterers and
 the Guarantor for that financial half-year in English language (consolidated, if relevant, in the case of the Guarantor);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)  ***Requirements as to financial statements*** the Charterers shall procure 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;(i) each set of financial statements delivered by the Charterers pursuant to paragraph (k) (*Financial statements*) above in relation to the Charterers and the Guarantor (each a "**Notifying Party**") shall be
 certified by an officer of the relevant Notifying Party, as giving a true and fair view of the financial condition and operations of that Notifying Party as at the date at which, and for the period in relation to which those financial statements
 were drawn up; 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;(ii) each set of financial statements delivered pursuant to paragraph (k)

(*Financial statements*) above is prepared using the applicable GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) *intentionally left blank* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n)  ***Notifications: miscellaneous*** the Charterers 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;(i) notify the Owners as soon as the Charterers become aware of, and shall procure the Guarantor to notify the Owners as soon as the Guarantor is aware of, the occurrence of any Potential Termination Event or any
 Termination Event (including any Termination Event set out in paragraph (a) (xii) (*Related Document termination event*) of Clause 52 (*Termination Events*)) and in each case, shall keep the Owners fully informed of all developments;

&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) notify the Owners in writing promptly upon becoming aware of (A) any Environmental Claim against the Charterers in respect of an amount in excess of ten per cent. (10%) of the value of the Vessel as at the date of
 such Environmental Claim against the Charterers (or any Sub-Charterers or any Approved Manager) which is current, or pending in relation to the Vessel or (B) any Environmental Incident or alleged Environmental Incident in relation 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;(iii) notify the Owners in writing promptly upon becoming aware of any Project Document being terminated, repudiated, cancelled or otherwise ceasing 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;(iv) notify the Owners in writing immediately upon becoming aware of any event of circumstance which may entitle any party to the Building Contract to exercise its rights to terminate the Building Contract;

&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) notify the Owners in writing immediately if the Charterers fail to obtain any Earnings for the Vessel for a period of twelve (12) months;

&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) disclose all information in relation to any Sub-Charter, including (but not limited to) the main commercial terms of such Sub-Charter, any information in relation to any Sub-Charterers' fulfilment of their
 obligations pursuant to the relevant Sub-Charter and any other information which the Owners may request; 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;(vii) supply or cause to be supplied to the Owners, written information on the budget, the actual operating expense and overall performance and maintenance of the Vessel every twelve (12) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o)  ***Further assurance (Finance Parties)*** the Charterers will from time to time, do and perform such other and further acts and execute and deliver any and all such other agreements, instruments and documents
 as may be reasonably necessary for the Owners or the Finance Parties (as the case may be) 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;(i) maintain and protect the existing rights and remedies of the Owners and/or the Finance Parties (as the case may be); 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;(ii) carry out and effect the intent and purpose of this Charter and the other Transaction Documents,

in each case to the extent not inconsistent with the terms of this Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p)  ***Cessation of business*** the Charterers shall not cease or threaten to cease to carry on all or, in the opinion of the Owners, any material part of the Charterers' business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q)  ***Environmental matters*** the Charterers 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;(i) comply with, and procure each Approved Manager to comply with, all Environmental Law applicable to and in relation to using and operating 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;(ii) obtain, maintain and ensure compliance with all applicable Environmental Permits in relation to using and operating 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;(iii) implement procedures to monitor compliance with and to prevent liability under any Environmental Law applicable to the use and operation of the Vessel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r)  ***Compliance with international convention etc.*** the Charterers shall procure that the Charterers and each Approved Manager shall comply with all applicable international conventions, codes and
 regulations (including, without limitation, the ISM Code (or any replacement thereof) and the ISPS Code (or any replacement thereof)) applicable to each of them respectively;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s)  ***Delivery details of employment status of the Vessel*** the Charterers will procure the Guarantor to publish from time to time on the Guarantor's website (currently https://himalaya-shipping.com/fleet/) the
 employment status of the Vessel, and will, if requested by the Owners, deliver, or procure the delivery to the Owners of, the employment status together with (if requested by the Owners) the relevant contract of employment in respect of the
 Vessel every six (6) months during the Charter Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t)  ***No dealings with Restricted Party or breach of Sanctions*** the Charterers will not, and will not permit or authorise any other person to directly utilise or employ the Vessel or to use, lend, make
 payments of, contribute or otherwise make available, all or any part of the proceeds of any transaction(s) contemplated by the Transaction Documents to fund any trade, business or other activities:

&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) with a Restricted 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;(ii) in any other manner that would result in any Obligor or the Owners (if applicable) being in breach of any Sanctions or becoming a Restricted Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u)  ***Change of business*** the Charterers shall not change the nature and scope of their business from that carried on at the date of this Charter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)  ***Project Documents*** the Charterers 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;(i) comply with all their obligations under the Project Documents to which they are a party, and will procure that each other party (where that party is a member of the Group) shall comply with its obligations under the
 Project 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;(ii) except with the prior written consent of the Owners, the Charterers shall not, and shall use their reasonable endeavours to procure that no other party (where that party is a member of the Group) shall, amend,
 cancel, vary, novate, supplement, supersede, waive or terminate any Project Document to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) *intentionally left blank*;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)  ***Valuations*** 

&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 Fair Market Value shall be determined from, and shall reflect, the most recent Valuation Report provided to the Owners, provided 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) in the absence of a Termination Event, the Charterers shall arrange, deliver to the Owners and bear the cost of the issuance of each such Valuation Report once every twelve (12) months during the Agreement Term
 (starting from the Actual Delivery 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;(B) upon the occurrence of a Termination Event, the Charterers shall arrange, deliver to the Owners and bear the cost of the issuance of all Valuation Reports as may be required by the Owners (acting in their sole
 discretion);

&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 Valuation Report to be provided for the purpose of above shall be delivered to the Owners within forty five (45) days from the day on which the Owners make a request for valuation 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;(iii) if the Charterers fail to deliver such Valuation Reports pursuant to this paragraph, the Owners shall be entitled to arrange such Valuation Reports at the Charterers' 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;(iv) if an Approved Valuer determines that the Fair Market Value shall fall within a range, the valuation as determined by such Approved Valuer should be the lower value of such range; 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;(v) each valuation shall be provided by an Approved Valuer in US Dollars;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y)  ***Conditions subsequent*** the Charterers shall deliver or cause to be delivered to the Owners (in each case in form and substance acceptable 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;(i) to the extent that any certificate received by the Owners pursuant to paragraph (a)(x) of Clause 36 (*Conditions precedent*) was in provisional form at the time of the receipt, the corresponding formal
 certificate as soon as possible after the Charterers' receipt of the same from the relevant persons, and in any event prior to the expiry of the validity period of such provisional 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;(ii) on the Actual Delivery Date, the Vessel's provisional certificate of registry and a certificate of ownership and encumbrance, both dated the Actual Delivery Date (evidencing that the Owners' ownership of the Vessel
 and that the Vessel is free from registered encumbrances and mortgages);

&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) *intentionally left blank* 

&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) within three (3) Business Days from the Actual Delivery Date, letters of undertaking in respect of the Insurances as required by the Transaction Documents, together with copies of the relevant policies or cover notes
 or entry certificates in respect of the Insurances duly endorsed with the interest of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z)  ***Classification*** the Charterers shall ensure that the Vessel maintains the highest classification required for the purpose of the relevant trade of the Vessel which shall be with the Vessel's
 Classification Society, in each case, free from any overdue recommendations and conditions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa)  ***Earnings Account*** 

&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 Charterers shall, from the Actual Delivery Date, procure that all Earnings shall be paid into the Earnings Account, free and clear of any costs, fees, expenses, disbursements, withholdings or deductions;

&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 Charterers shall procure that at any time during the period from the date falling 180 days from the Actual Delivery Date, there is maintained in the Earnings Account an amount not less than the Hire that will
 accrue within the next three (3) months; 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;(iii) the Charterers shall provide to the Owners, no less frequently than three calendar months during the Agreement Term (starting from the Actual Delivery Date), written statements of account showing all entries made to
 the credit and debit of the Earnings Account during the immediately preceding three calendar months.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**50.** **Poseidon Principles covenant** 

The Charterers shall, upon the request of the Owners and at the cost of the Charterers, on or before 31 July in each calendar year, supply or procure the supply to the Owners (for transmission to the applicable Relevant Finance Party) of all information necessary in order for any Relevant Finance Party 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.

For the purposes of this Clause:

"**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.

"**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 Finance Party**" means a Finance Party which has, at any time during the Agreement Term, 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.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**51.** **Transfer by the Owners** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Following the Actual Delivery Date, the Owners may (subject to the Charterers' prior written consent, such consent not to be unreasonably withheld) change the registered ownership of the Vessel and transfer by
 novation (or otherwise) their rights and obligations under this Charter at any time in favour of any Chinese leasing company, except that no consent is required from the Charterers in respect of any change or transfer in favour of (x) any member
 of the CCB Group or (y) any Pre-approved PRC Leasing Company or its Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding such change and transfer, this Charter would continue on identical terms (save for logical, consequential or mutually agreed amendments), and the Charterers hereby agree that they shall be liable to
 the aforesaid new owner of the Vessel for their performance of all obligations pursuant to this Charter after such

change and transfer and shall procure that the Obligors shall execute security documents in favour of the new owner for, *inter alia*, the obligations of the Charterers under this Charter as novated, in substantially the same form as the Security Documents (or such other form as the Obligors and the new owner may agree).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Charterers agree and undertake to enter into any such usual documents as the Owners shall require to complete or perfect the change in the registered ownership of the Vessel and transfer by novation above, at no
 cost to the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Owners' shareholders shall have the right, subject to the Charterers' prior written consent (such consent not to be unreasonably withheld by the Charterers), to transfer their shares in the Owners to any Chinese
 leasing company (if ownership of such shares is its normal course of business), except that no consent is required from the Charterers in respect of any transfer of any shares in the Owners to any Pre-approved PRC Leasing Company or its
 Subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Parties acknowledge that, if, as a result of circumstances existing at the date of the transfer or sale referred to in paragraph (a) above, the Charterers would be obliged to make a payment to the new registered
 owner of the Vessel under Clause 40(h)(ii) or Clause 41 (*Increased Costs*), then the new registered owner of the Vessel is only entitled to receive payment under those Clauses to the same extent as the Owners would have been if the transfer
 or sale had not occurred (and the same shall apply in the event of a transfer of shares in accordance with paragraph (d) above).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**52.** **Termination Events** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Termination Events*** Each of the following events shall constitute a Termination 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;(i)  ***Non-payment*** any Obligor fails to pay on the due date any sum payable pursuant to the Transaction Document to which it is a party at the place and in the currency in which it is expressed to be payable
 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;(A) its failure to pay is caused by administrative or technical error; 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) payment is made within three (3) Business Days of its due 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;(ii)  ***Non-compliance with insurance requirements*** 

the Charterers fail to obtain and/or maintain the Insurances required under Clause 42 (*Insurance*) in accordance with the provisions thereof or any insurer in respect of such Insurances cancels the Insurances or disclaims liability with respect thereto for reasons attributable to the Charterers; 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;(iii)  ***Other obligations*** any Obligor does not comply with any provision of the Transaction Documents to which it is a party (other than those referred to in sub-paragraphs (a)(i) (*Non-payment*) and
 (a)(ii) (*Non-compliance with insurance requirements*) above, each of which shall, for the avoidance of doubt and for the purpose of this sub-paragraph (a)(iii), be a default which is not capable of remedy) and such non-compliance is not
 remedied by such Obligor to the Owners' satisfaction within ten (10) Business Days of the earlier of (A) the Owners giving notice of the breach to the relevant Obligor, and (B) the date that any responsible officer of the relevant Obligor has
 actual knowledge of the breach, provided that any failure to provide information or document shall be capable of remedy;

&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)  ***Misrepresentation*** any representation or statement made or deemed to be made by any Obligor in or pursuant to a Transaction Document to which it is a party or any other document delivered by or on behalf
 of an Obligor under or in connection with any Transaction Document to which it is a party is or proves to have been incorrect or misleading in any material respect when made or repeated, or deemed to be made or repeated;

&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)  ***Cross default*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Financial Indebtedness of any of the Obligors is not paid when due, taking into account any originally applicable grace 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;(B) any Financial Indebtedness of any Obligor is declared to be otherwise becomes due and payable prior to its specified maturity as a result of an event of default (however described);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 commitment for any Financial Indebtedness of any Obligor is cancelled or suspended by a creditor of that Obligor as a result of an event of default (however described); 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;(D) any enforcement of any Security Interest over any assets of any Obligor in respect of any Financial Indebtedness,

**provided that** no Termination Event will occur under this sub-paragraph (a)(v) if, in respect of the Guarantor, the aggregate amount of Financial Indebtedness or commitment for Financial Indebtedness falling within sub-sub-paragraphs (A) to (D) above is equal to or less than two million US Dollars (US$2,000,000) (or its equivalent in any other currency or currencies);

&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)  ***Insolvency*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 Obligor:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) is unable or admits 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) suspends making payments on any of its debts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) by reason of actual financial difficulties, commences negotiations with one or more of its creditors (excluding the Owners in their capacities as such) with a view to rescheduling 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) a moratorium is declared in respect of any indebtedness of any Obligor;

&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)  ***Insolvency proceedings*** any corporate action, legal proceedings or other procedure or step is taken in relation 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;(A) the suspension of payments, a moratorium of any indebtedness, winding-up, liquidation, dissolution, bankruptcy, administration, provisional supervision or reorganisation (by way of voluntary arrangement, scheme of
 arrangement or otherwise) of an Obligor other than as part of a solvent reorganisation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 composition, assignment or arrangement with the creditors of an Obligor; 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) the appointment of a liquidator, receiver, administrator or other similar officer in respect of an Obligor or any of its assets,

or any analogous procedure or step is taken in any jurisdiction, **provided that** this sub-paragraph (a)(vii) above shall not apply to any winding-up petition which is frivolous or vexatious and is discharged, stayed or dismissed within thirty (30) Business Days of commencement;

&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)  ***Repudiation, termination or cancellation etc. of Project Documents*** any Project Document is terminated, cancelled, repudiated or otherwise ceases to remain in full force and effect and this 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;(ix)  ***Material adverse change*** any other event or events (whether related or not) occurs which is a material adverse change from the position applicable as at the date of this Charter in the business,
 operations, property, financial condition of any Obligor, the effect of which is to impair or prevent the due fulfilment by any Obligor of any of its material obligations or undertakings contained in a Transaction Document 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;(x)  ***Change of control*** except with the prior written consent of the Owners, the Charterers cease to be a direct wholly-owned Subsidiary of the 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;(xi)  ***MOA Termination Event*** any "MOA Termination Event" (as such term is defined in the MOA) occurs under the MOA;

&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)  ***Related Document termination event*** any event of default, default or termination event (however described) occurs under any Related Document and this 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;(xiii)  ***Unlawfulness and invalidity*** it is or becomes unlawful for an Obligor to perform any of its obligations under the Transaction Documents, or any Transaction Document ceases to be 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;(xiv)  ***Termination Event under a Related Charter*** any "Termination Event" (as such term is defined in each Related Charter) occurs under any of the Related Charters; 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;(xv)  ***Similar event in relation to the Builder*** any event which, under the laws of any jurisdiction, has a similar or analogous effect to any of those events mentioned in sub-paragraphs (vi) (*Insolvency*)
 or (vii) (*Insolvency proceedings*) above occurs (mutatis mutandis) in relation to the Builder provided that it shall not be a Termination Event under this sub-paragraph (xv) if, during the period an event which, under the laws of any
 jurisdiction, has a similar or analogous effect to any of those events mentioned in sub- paragraphs (vi) (*Insolvency*) or (vii) (*Insolvency proceedings*) above has occurred (mutatis mutandis) in relation to the Builder, the Refund
 Guarantee remains (in the opinion of an independent and reputable leading maritime law firm) legal, valid, binding, enforceable and effective and the Builder continues to perform its obligations under Building Contract to the Buyers' satisfaction
 (acting reasonably).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Effect of a Termination Event*** A Termination Event shall constitute (as the case may be) either a repudiatory breach of, or breach of condition by the Charterers under, this Charter or an agreed
 terminating event the occurrence of which will (in any such case) entitle the Owners to exercise all or any of the remedies set out below in this Clause 52.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Owners' options after occurrence of Termination Event*** Without prejudice to the foregoing or to any other rights of the Owners under the Charter, at any time after a Termination Event shall have occurred
 and be continuing following the lapse of any applicable grace period as specified in paragraph (a) (*Termination Events*) above, the Owners 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;(i) at their option and by delivering to the Charterers a Termination Notice, terminate this Charter on the date specified in such Termination Notice; 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;(ii) enforce any Security Interest created pursuant to the relevant Transaction 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;(iii) replace any manager of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Owners' right to repossess*** On or at any time after a Termination in accordance with paragraph (c) (*Owners' options after occurrence of Termination Event*) above, **and provided that** the
 Charterers have failed to pay the Termination Sum in accordance with paragraph (e) (*Payment of Termination Sum*) below, the Owners may (but without prejudice to the Charterers' obligations under Clause 44 (*Redelivery*) and Clause 45 (*Redelivery conditions*)) retake possession of the Vessel and, the Charterers agree that the Owners, for such purpose, may put into force and exercise all their rights and entitlements at law and may enter upon any premises belonging to or in the
 occupation or under the control of the Charterers where the Vessel may be located as well as giving instructions to the Charterers' servants or agents for this purpose.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Payment of Termination Sum*** On the Termination Payment Date in respect of any Termination in accordance with paragraph (c) (*Owners' options after occurrence of Termination Event*) above, the
 Charterers shall pay to the Owners an amount equal to the Termination Sum. For the avoidance of doubt, the Charterers' obligation to pay the Termination Sum (and any of their other obligations under the Transaction Documents) shall not be
 affected irrespective of the Owners' ability to complete the sale of the Vessel referred to in paragraph (h) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Owners' application of Termination Sum*** Following any termination to which this Clause 52 applies, all sums payable in accordance with paragraph (e) above shall be paid to such account or accounts as
 the Owners may direct and shall be applied in the Owners' sole discretion towards sums owed by the Obligors under the Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)  ***Transfer of title*** If the chartering of the Vessel or, as the case may be, the obligation of the Owners to deliver and charter the Vessel to the Charterers is terminated in accordance with the terms of
 this Charter, the obligation of the Charterers to pay Hire shall cease once the Charterers have made the payment in full pursuant to paragraph (e) (*Payment of Termination Sum*) above to the satisfaction of the Owners, whereupon the Owners
 shall, in exchange of such payment, arrange for title of the Vessel to be transferred to the Charterers in accordance with paragraphs (d) (*Title transfer*) to (f) (*Charterers' letter of indemnity*) of Clause 56 (*Purchase Obligation and transfer of title*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)  ***Owners' right to sell the Vessel*** Following any termination to which this Clause 52 applies, if the Charterers have not paid to the Owners the Termination Sum in full by the applicable Termination
 Payment Date (and consequently the Owners have not transferred title to the Vessel to the Charterers in accordance with paragraph (g) above), the Owners shall be entitled (but not obliged) to sell the Vessel and apply the Net Sale Proceeds
 against the Termination Sum and claim from the Charterers for any shortfall.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)  ***Charterers have no right to termination*** Save as otherwise expressly provided in this Charter, the Charterers shall not have the right to terminate this Charter any time prior to the expiration of the
 Agreement Term for any reason whatsoever, including (without limitation) in exercise of any right in law or equity that they would, but for this provision, have to terminate, whether because of a breach of a condition, a repudiatory breach of an
 intermediate term, a renunciation or impossibility or on any other ground.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)  ***Owners' rights cumulative*** The rights conferred upon the Owners by the provisions of this Clause 52 are cumulative and in addition to any rights which they may otherwise have in law or in equity or by
 virtue of the provisions of this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)  ***Surplus of sale proceeds*** Upon completion of the sale of the Vessel in accordance with paragraph (h) 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;(i) if the Charterers have not paid to the Owners the Termination Sum in full at the time when the Owners have received in full the Net Sale Proceeds and such Net Sale Proceeds exceed the remaining unpaid Termination
 Sum; 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;(ii) the Charterers have paid to the Owners the Termination Sum in full at the time when the Owners have received in full the Net Sale Proceeds,

then any part of such Net Sale Proceeds which exceeds the remaining unpaid Termination Sum (in the case of (i) above) or such Net Sale Proceeds (in the case of (ii) above) shall vest in the Owners free and clear of any interest of the Charterers or any other third person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**53.** **Sub-chartering** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Charterers shall not, without the prior written consent of 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;(i) let the Vessel on any demise charter for any 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;(ii) assign their rights under this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**54.** **Name of Vessel** 

The Charterers may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) choose the initial name of the Vessel, but may only change the initial name of the Vessel with the prior consent of the Owners (such consent not to be unreasonably withheld or delayed); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) paint the Vessel in the colours, display the funnel insignia and fly the house flag as required by the Charterers from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**55.** **Purchase Option** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Purchase Option*** Subject 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;(i) no Total Loss under Clause 57 (*Total loss*) having 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;(ii) no Termination Event under Clause 52 (*Termination Events*) having occurred which is continuing and no Potential Termination Event having occurred which is 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;(iii) the Owners having not delivered a Purchase Obligation Notice in accordance with paragraph (b) (*Purchase Obligation – outbreak of war*) of Clause 56;

&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 Charterers' delivery of the Purchase Option Notice to the Owners at least (x) thirty (30) days prior to the proposed Purchase Option Date (if such Purchase Option Date falls on an Anniversary Date (other than the
 Seventh Anniversary Date) and (y) two hundred and seventy (270) days prior to the proposed Purchase Option Date (if such Purchase Option Date falls on the Seventh Anniversary 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;(v) the Purchase Option Date falling on an Anniversary Date,

the Charterers may purchase the Vessel on the Purchase Option Date for the applicable Purchase Option Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Title transfer upon exercise of Purchase Option** In exchange for payment by the Charterers of the applicable Purchase Option Price on the relevant Purchase Option Date, the Owners shall be obliged to arrange
 for title of the Vessel to be transferred to the Charterers in accordance with paragraphs (d) *(Title transfer*) to (f) (*Charterers' letter of indemnity*) of Clause 56 (*Purchase Obligation and transfer of title*).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**56.** **Purchase Obligation and transfer of title** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Intentionally left blank*** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Purchase Obligation - outbreak of war*** In the event of a declaration of war by any of the following countries to any of the other following countries: the United States of America, the United Kingdom,
 France and the People's Republic of China, the Owners may at their option, if such declaration of war has or is reasonably likely to have a Material Adverse Effect, request the Charterers to purchase the Vessel by delivering to the Charterers a
 notice requiring the Charterers to purchase the Vessel and the Charterers shall be obliged to purchase the Vessel on the Purchase Obligation Date for the applicable Purchase Obligation Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***intentionally left blank*** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Title transfer*** **  In exchange of full payment by the Charterers 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;(i) in each case as 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) (in the case of the circumstances described in Clause 55 (*Purchase Option*) the applicable Purchase Option Price;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 the case of the circumstances described in paragraph (b) (*Purchase Obligation - outbreak of war*) the applicable Purchase Obligation Price; 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;(ii) any other sums payable by the Charterers to the Owners under this Charter and subject to compliance with the other conditions set out in this Clause 56,

the Owners 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;(A) transfer title to and ownership of the Vessel to the Charterers by delivering to the Charterers (in each case at the Charterers' costs):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) a duly executed and notarised, legalised and/or apostilled (as applicable) bill of sale; 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;(2) the Title Re-Transfer PDA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) any other documents required by the Flag State to effectively transfer title; 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) procure the deletion of any mortgage or prior Security Interest in relation to the Vessel at the Owners' costs,

**provided always** that prior to such transfer or deletion (as the case may be), the Owners shall have received the letter of indemnity as referred to in paragraph (f) (*Charterers' letter of indemnity*) below from the Charterers, and the Charterers shall have performed all their obligations in connection with this Charter and with the Vessel, including without limitation the full payment of all Unpaid Sums, taxes, charges, duties, costs and disbursements (including legal fees) in relation to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***"As is, where is" title transfer*** 

&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 transfer in accordance with paragraph (d) (*Title transfer*) above shall be made in all respects at the Charterers' expense on an "as is, where is" basis and the Owners shall give the Charterers no
 representations, warranties, agreements or guarantees whatsoever concerning or in connection with the Vessel, the Insurances, the Vessel's condition, state or class or anything related to the Vessel, expressed or implied, statutory 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;(ii) Without prejudice to sub-paragraph (i) above, the Charterers confirm 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) as the Vessel will at all relevant times be in their physical possession and use pursuant to this Charter, they do not require any inspection 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;&nbsp;&nbsp;&nbsp;&nbsp;(B) they will accept unconditionally the Vessel and its classification records for the purpose of any transfer under this Clause 56.

&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 place of documentary closing shall be at such place or places as may be agreed by the parties in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Charterers' letter of indemnity*** The Charterers shall, immediately prior to the receipt of the bill of sale, furnish the Owners with a letter of indemnity (in a form satisfactory to the Owners (acting
 reasonably)) duly executed by the Charterers and the Guarantor and which shall provide (among other things) 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;(i) the Owners and/or the Finance Parties (if any) have, and will have, no interest, concern or connection with the Vessel after the date of such letter; 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;(ii) the Charterers and the Guarantor shall jointly and severally indemnify the Owners and keep the Owners indemnified against any claims made by any person arising in connection with the Vessel other than a claim arising
 out of or in connection with the Finance Documents that is not 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) a Termination 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;(B) any non-compliance by any Obligor of any provision of the

Transaction Documents to which such Obligor is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**57.** **Total Loss** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Total Loss Termination*** If circumstances exist giving rise to a Total Loss, the Charterers shall promptly notify the Owners of the facts of such Total Loss. If the Charterers wish to proceed on the basis
 of a Total Loss and advise the Owners thereof, the Owners shall agree to the Vessel being treated as a Total Loss for all purposes of this Charter. The Owners shall thereupon abandon the Vessel to the Charterers and/or execute such documents as
 may be required to enable the Charterers to abandon the Vessel to insurers and claim a Total Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Occurrence of Total Loss*** If the Vessel becomes a Total Loss during the Charter Period, the Charterers shall, on the Settlement Date, pay to the Owners the amount calculated in accordance with paragraph
 (c) (*Payment on Settlement Date*) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Payment on Settlement Date*** On the Settlement Date, the Charterers shall pay to the Owners an amount equal to the Termination Sum as at the Termination Payment Date. The foregoing obligations of the
 Charterers under this paragraph (c) shall apply regardless of whether or not any moneys are payable under any Insurances in respect of the Vessel, regardless of the amount payable thereunder, regardless of the cause of the Total Loss and
 regardless of whether or not any of the said compensation shall become payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)  ***Payment of Total Loss Proceeds*** **  All Total Loss Proceeds shall be paid to such account or accounts as the Owners may direct and shall be applied towards satisfaction of the Termination Sum and any
 other sums due and payable under the Transaction Documents. To the extent that there is any surplus after such application, such surplus shall be returned to the Charterers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)  ***Constructive Total Loss*** The Charterers shall, at the Owners' request, provide evidence satisfactory to the Owners (acting reasonably) as to the date on which the constructive total loss of the Vessel
 occurred pursuant to the definition of Total Loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)  ***Payment unconditional*** The Charterers shall continue to pay Hire on the days and in the amounts required under this Charter notwithstanding that the Vessel shall become a Total Loss **provided always that** no further instalments of Hire shall become due and payable after the Charterers have made the payment required by paragraph (c) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**58.** **Appointment of Approved Manager** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to the other provisions of this Charter, the Owners confirm their consent to the proposed appointment by the Charterers 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;(i) 2020 Bulkers Management AS to be the Approved Commercial Manager, it being understood that such appointment shall take effect on or before the Actual Delivery 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;(ii) any customary trading entity or Affiliate of OSM Ship Management (Singapore/Bergen), Wilhelmsen Ship Management (Singapore/Oslo), Anglo-Eastern Ship Management (Hong Kong/Singapore) or Thome Ship Management
 (Singapore/Hamburg) to be the Approved Technical Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Charterers covenant not to appoint anyone other than an Approved Manager as manager of the Vessel without the prior written consent of the Owners (such

consent not to be unreasonably withheld or delayed).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**59.** **Fees and expenses** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Upfront Fee*** 

&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 Charterers shall pay to the Owners the Initial Upfront Fee and provide documentary evidence of such payment within three (3) Business Days of the date of this Charter and in any event before the date of payment
 of the first Instalment (as defined in the MOA) under the MOA and in any event before the Actual Delivery Date, **provided that** if this Charter is terminated or cancelled on or before the third (3<sup>rd</sup>) Business Day after the date of this Charter, the Initial Upfront Fee shall become immediately due and payable upon such termination and cancellation.

&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 Charterers shall pay to the Owners the Additional Upfront Fee and provide documentary evidence of such payment before the date of payment of the first Instalment (as defined in the MOA) under the MOA and in any
 event before the Actual Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Other costs and expenses*** The Charterers shall bear all reasonably incurred and properly documented costs, fees (including legal fees) and disbursements incurred by the Owners and the Charterers 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;(i) the negotiation, preparation and execution of this Charter and the other Transaction 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;(ii) the sale, purchase and delivery of the Vessel under the MOA and this 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;(iii) any amendment, waiver or consent under this Charter or any other Transaction Documents requested by the Charterers;

&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) preparation or procurement of any survey, inspection, valuation, tax or insurance advice;

&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 exercise of the Purchase Option pursuant to Clause 55 (*Purchase Option*) or the fulfilment of the Purchase Obligation pursuant to Clause 56 (*Purchase Obligation and transfer of title*);

&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) the occurrence of a Termination Event or a Total 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;(vii) (if applicable) the registration of the Owners as a foreign maritime entity (or its equivalent) 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;(viii) the registration of the Vessel under the laws and flag of the Flag State; 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;(ix) such other events or circumstances for which this Charter or any other Transaction Document expressly provides that the costs shall be borne by the Charterers,

but excluding, in each case, costs and expenses in respect of the winding-up or liquidation of the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**60.** **Stamp duties** 

The Charterers shall pay promptly all stamp, documentary or other like duties and Taxes to which the Charter, the MOA and the other Transaction Documents may be subject or give rise and shall indemnify the Owners on demand against any and all liabilities with respect to or resulting from any delay on the part of the Charterers to pay such duties or taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**61.** **Operational notifiable events** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Notifiable events*** The Owners are to be notified as soon as possible after the occurrence of any 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;(i) when a material condition of class is applied by the 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;(ii) whenever the Vessel is arrested, confiscated, seized, requisitioned, impounded, forfeited or detained by any government or other competent authorities or any other persons;

&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) whenever a class or flag authority refuses to issue or withdraws any trading certification;

&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 event of a fire requiring the use of fixed fire systems or collision / grounding;

&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) whenever the Vessel is planned for dry-docking, whether in accordance with paragraph (g) of Clause 10 (*Maintenance and Operation*) or any Sub-Charter, and whether routine or emergency;

&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) the Vessel is taken under tow;

&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 death or serious injury on board;

&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 damage to the Vessel the repair costs of which (whether before or after adjudication) exceed the Major Casualty Amount; 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;(ix) when any material alteration is proposed to be made to the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the generality of paragraph (a) (*Notifiable events*) above, the Charterers shall, on the Actual Delivery Date and then every three (3) months thereafter until the expiry of the Agreement Term,
 supply (or cause to be supplied) to the Owners a ship management report containing the following information 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;(i) any casualty or other accident or damage 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;(ii) the crew retention rate;

&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) results of any port state control inspections and any flag state control inspections carried out over the past three (3) months;

&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) results of any inspections carried out over the past three (3) months by any technical and marine superintendents; 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;(v) all other material information (including copies where available) relating to the Vessel's operation requested by the Owners.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**62.** **Further indemnities** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)  ***Further indemnities*** Whether or not any of the transactions contemplated hereby are consummated, the Charterers shall, in addition to the provisions under Clause

17 (*Indemnity*)(Part II) of this Charter and subject to sub-clause (b) below, indemnify, protect, defend and hold harmless the Owners and their respective officers, directors, agents and employees (collectively, the "**Indemnitees**") throughout the Agreement Term from, against and in respect of, any and all liabilities, obligations, losses, damages, penalties, fines, fees, claims, actions, proceedings, judgement, order or other sanction, lien, salvage, general average, suits, costs, expenses and disbursements, including reasonable legal fees and expenses, of whatsoever kind and nature (collectively, the "**Expenses**"), imposed on, suffered or incurred by or asserted against any Indemnitee, in any way relating to, resulting from or arising out of or in connection with, in each case, directly or indirectly, any 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;(i) this Charter and any other Transaction Documents and any amendment, supplement or modification thereof or thereto requested by the Charterers;

&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 Vessel or any part thereof, including 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;&nbsp;&nbsp;&nbsp;&nbsp;(A) the manufacture, design, possession, use or non-use, operation, maintenance, testing, repair, overhaul, condition, alteration, modification, addition, improvement, storage, seaworthiness, replacement, repair of the
 Vessel or any part (including, in each case, latent or other defects, whether or not discoverable and any claim for patent, trademark, or copyright infringement and all liabilities, obligations, losses, damages and claims in any way relating to
 or arising out of spillage of cargo or fuel, out of injury to persons, properties or the environment or strict liability in tort);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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 claim or penalty arising out of violations by any Obligor, Approved Commercial Manager, Approved Technical Manager, Sub-Charterers or any other person of any applicable law (including any law relating to safety
 at sea, the ISM Code, any Environmental Law or any 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;&nbsp;&nbsp;&nbsp;&nbsp;(C) any Environmental Claim;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) death or property damage of shippers or others;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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) any liens in respect of the Vessel or any part thereof unless arising under or in connection with the Finance 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;(F) any registration and/or tonnage fees (whether periodic or not) in respect of the Vessel payable to any registry of ships and any service fees payable to any service provider in relation to maintaining such
 registration at any registry of ships, including, without limitation, any registration fees and annual registration fees in connection with registering and maintaining the Owners as a foreign maritime entity (or its equivalent) in the relevant
 Flag State (or such other flag state as the Owners may consent to in writing) for the purpose of registering and maintaining the Owners' title with the relevant flag;

&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 breach of or failure to perform or observe, or any other non-compliance with, any covenant or agreement or other obligation to be performed by the Charterers under any Transaction Document to which it is a party
 or the falsity of any representation or warranty of the Charterers in any Transaction Document to which it is a party or the occurrence of any Termination Event which is 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;(iv) 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;(A) preventing or attempting to prevent the arrest, confiscation, seizure, taking and execution, requisition, impounding, forfeiture or detention 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;(B) securing or attempting to secure the release 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;(v) incurred or suffered by the Owners 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;(A) procuring the delivery of the Vessel to the Charterers under Clause 35 (*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;(B) recovering possession of the Vessel following termination of this Charter under Clause 52 (*Termination Events*); 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) arranging for a transfer of the Vessel's title in accordance with paragraph (b) (*Title transfer upon exercise of Purchase Option*) of Clause 55 (*Purchase Option*), or paragraph (d) (*Title transfer*)
 of Clause 56 (*Purchase Obligation and transfer of title*);

&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) arising from the Master or officers of the Vessel or the Charterers' agents signing bills of lading or other 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;(vii) 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;(A) the arrest, seizure, taking into custody or other detention of the Vessel by any court or other tribunal or by any governmental entity (including any prevention or attempt to prevent such arrest, seizure, taking into
 custody or other detention); 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) subjection to distress by reason of any process, claim, exercise of any rights conferred by a lien or by any other action whatsoever,

of the Vessel which are expended, suffered or incurred as a result of or in connection with any claim or against, or liability of, the Charterers or any other member of the Group, together with any costs and expenses and other outgoings which may be paid or incurred by the Owners in releasing the Vessel from any such arrest, seizure, custody, detention or distress.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)  ***Cost indemnities*** The Charterers shall pay to the Owners promptly on the Owners' written demand the amount of all costs and expenses (including legal fees) incurred by the Owners in connection with the
 enforcement of, or the preservation of any rights under, any Transaction Document including (without limitation) any losses, costs and expenses which the Owners may from time to time sustain, incur or become liable for by reason of the Owners
 being deemed by any court or authority to be an operator, or in any way concerned in the operation, of the Vessel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)  ***Run-off indemnities*** Without prejudice to any right to damages or other claim which either party may, at any time, have against the other hereunder, it is hereby agreed and declared that the indemnities
 of the Owners by the Charterers contained in this Charter shall continue in full force and effect for a period of six (6) months after the Agreement Term.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**63.** **Set-off** 

The Owners may set off any matured and/or contingent obligation due from the Charterers under the Transaction Documents against any obligation (whether matured or not) owed by the Owners to the Charterers, regardless of the place of payment or currency of either obligation. If the obligations are in different currencies, the Owners may convert either obligation at a market rate of exchange in their usual course of business for the purpose of the set-off.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**64.** **Further assurances and undertakings** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Party shall make all applications and execute all other documents and do all other acts and things as may be necessary to implement and to carry out their obligations under, and the intent of, this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Parties shall act in good faith to each other in respect of any dealings or matters under, or in connection with, this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**65.** **Cumulative rights** 

The rights, powers and remedies provided in this Charter are cumulative and not exclusive of any rights, powers or remedies at law or in equity unless specifically otherwise stated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**66.** **No waiver** 

No delay, failure or forbearance by a party to exercise (in whole or in part) any right, power or remedy under, or in connection with, this Charter will operate as a waiver. No waiver of any breach of any provision of this Charter will be effective unless that waiver is in writing and signed by the party against whom that waiver is claimed. No waiver of any breach will be, or be deemed to be, a waiver of any other or subsequent breach.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**67.** **Entire agreement** 

This Charter contains all the understandings and agreements of whatsoever kind and nature existing between the parties in respect of this Charter, the rights, interests, undertakings agreements and obligations of the parties to this Charter and shall supersede all previous and contemporaneous negotiations and agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**68.** **Amendments** 

This Charter may not be amended, altered or modified except by a written instrument executed by each of the parties to this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**69.** **Invalidity** 

If any term or provision of this Charter or the application thereof to any person or circumstances shall to any extent be invalid or unenforceable the remainder of this Charter or application of such term or provision to persons or circumstances (other than those as to which it is already invalid or unenforceable) shall (to the extent that such invalidity or unenforceability does not materially affect the operation of this Charter) not be affected thereby and each term and provision of this Charter shall be valid and be enforceable to the fullest extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**70.** **English language** 

All notices, communications and financial statements and reports under or in connection with this Charter and the other Transaction Documents shall be in English language or, if in any other language, shall be accompanied by a translation into English. In the event of any conflict between the English text and the text in any other language, the English text shall prevail.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**71.** **No partnership** 

Nothing in this Charter creates, constitutes or evidences any partnership, joint venture, agency, trust or employer/employee relationship between the parties, and neither party may make, or allow to be made any representation that any such relationship exists between the parties. Neither party shall have the authority to act for, or incur any obligation on behalf of, the other party, except as expressly provided in this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**72.** **Disclosure of information** 

At any time after the date of this Charter and during the Agreement Term, each of the Owners and the Charterers shall keep confidential and shall not, without the prior written consent of the other, disclose to any person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the financial details of, or the transactions contemplated by, the Transaction Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any information provided pursuant to any of the Transaction Documents,

**provided that** the Parties may disclose any such information without 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;(i) to any person to the extent required for the purpose of any litigation, arbitration or regulatory proceedings or procedure;

&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) to any person to whom, and to the extent that, information is required to be disclosed by any applicable 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;(iii) to any investor, potential investor, purchaser or potential purchaser of or in any member of the Group or any member of the CCB Group;

&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) to any other member of the Group and, if required, to the financiers of such member of the Group;

&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) to any other member of the CCB Group and, if required, to the financiers of such member of the CCB Group;

&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) to any Governmental Agency;

&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) to the Finance Parties or any party to any of the Transaction 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;(viii) to the auditors, legal, financial or insurance advisors, underwriters or brokers of the Owners, the Charterers or of any of the persons listed in the paragraphs above or the lenders or financiers of or to the Group
 or the CCB Group who shall, in each case, be instructed or under a professional obligation to maintain the confidentiality of any information supplied to them; 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;(ix) in any manner contemplated by any of the Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**73.** **Notices** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any communication to be made under or in connection with this Charter shall be made in writing and, unless otherwise stated, may be made by fax, letter or email.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The address, fax number and email address (and the department or officer, if any, for whose attention the communication is to be made) of each party to this Charter for any communication or document to be made or
 delivered under or in connection with this Charter are:

&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 the Charterers:

**EVEREST** **INC.**

---

| | |
|:---|:---|
| Address: | c/o 2020 Bulkers Management AS, |
|  | Tjuvholmen allé 3, 0252 Oslo, |
|  | Norway |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

&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 case of the Owners:

**建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)**

---

| | |
|:---|:---|
| Address: | 11th Floor, Building 4, ChangAnXingRong Center, No.1 Naoshikou Street, Xicheng District, Beijing, China 100031 |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

or any substitute address, fax number, email address, department or officer as either party may notify to the other by not less than five (5) Business Days' notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any communication or document made or delivered by one party to this Charter to the other under or in connection with this Charter will only be effective:

&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 by way of fax or email, when sent with no error message received; 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;(ii) if by way of letter, when it has been left at the relevant address or five (5) Business Days after being deposited in the post postage prepaid in an envelope addressed to it at that address;

and, if a particular department or officer is specified as part of its address details provided under paragraph (b) above, if addressed to that department or officer.

Any communication or document which becomes effective, in accordance with this paragraph (c), after 5.00 pm in the place of receipt shall be deemed only to become effective on the following day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**74.** **Survival of Charterers' obligations** 

The termination of this Charter for any cause whatsoever shall not affect the right of the Owners to recover from the Charterers any money due to the Owners under this Charter and all other rights of the Owners (including but not limited to any rights, benefits or indemnities which are expressly provided to continue after the termination of this Charter) are reserved hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**75.** **Counterparts** 

This Charter may be executed in any number of counterparts and any single counterpart or set of counterparts signed, in either case, by all the parties hereto shall be deemed to constitute a full and original agreement for all purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**76.** **Third Parties Act** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any person which is an Indemnitee or a Finance Party from time to time and is not a party to this Charter shall be entitled to enforce such terms of this Charter as provided for in this Charter in relation to the
 obligations of the Charterers to such Indemnitee or (as the case may be) Finance Party, subject to the Third Parties Act. The Third Parties Act applies to this Charter as set out in this Clause 76.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Save as provided above, a person who is not a party to this Charter has no right under the Third Parties Act to enforce or to enjoy the benefit of any term of this Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**77.** **Waiver of immunity** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the extent that any Party may in any jurisdiction claim for itself or its assets or revenues immunity from any proceedings, suit, execution, attachment (whether in aid of execution, before judgment or otherwise)
 or other legal process and to the extent that such immunity (whether or not claimed) may be attributed in any such jurisdiction to such Party or its assets or revenues, each Party agrees, to the extent permitted by any applicable law, not to
 claim and irrevocably waive, to the extent permitted by any applicable law, such immunity to the full extent permitted by the laws of such jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Party consents generally in respect of any proceedings to the giving of any relief and the issue of any process in connection with such proceedings 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 is made or given in such proceedings. Each Party agrees that in any proceedings in England this waiver shall have the fullest scope
 permitted by the English State Immunity Act 1978 and that this waiver is intended to be irrevocable for the purposes of such Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**78.** **FATCA** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) For the purpose of this Clause 78, the following terms shall have the following meanings:

"**Code**" means the United States Internal Revenue Code of 1986, as amended.

"**FATCA**" means:

&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) sections 1471 through 1474 of the Code and any associated 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;(ii) any treaty, law, regulation or other official guidance enacted in any other jurisdiction, or relating to an intergovernmental agreement between the US 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;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any agreement pursuant to the implementation of paragraphs (i) or (ii) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction.

"**FATCA Deduction**" means a deduction or withholding from a payment under this Charter or the other Transaction Documents required by or under FATCA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Charterers shall procure 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;(i) if an Obligor is required to make a FATCA Deduction, that Obligor shall make that FATCA Deduction and any payment required in connection with that FATCA Deduction within the time allowed and in the minimum amount
 required by FATCA;

&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 a FATCA Deduction is required 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 FATCA Deduction) leaves an amount equal to the
 payment which would have been due if no FATCA Deduction had been 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;(iii) within thirty (30) days of making either a FATCA Deduction or any payment required in connection with that FATCA Deduction, the Obligor making that FATCA Deduction or payment shall deliver to the Owners evidence
 satisfactory to the Owners that the FATCA Deduction has been made or (as applicable) any appropriate payment has been paid to the relevant governmental or taxation authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**79.** **Rebate** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **Calculation of Rebate** 

The rate of Rebate to accrue and be payable over each Instalment for each Rebate Period is five per cent. (5%) per annum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **Payment of Rebate** 

The Charterers (as sellers under the MOA) shall pay to the Owners (as buyers under the MOA) accrued Rebate over each Instalment on the last day of each Rebate Period (each a "**Rebate Payment Date**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **Default interest** 

If the Charterers (as sellers under the MOA) fail to pay any amount payable by them under this Clause on its due date, interest shall accrue on the overdue amount from the due date to the date of actual payment (both before and after judgment) at a rate of seven per cent. (7%) per annum. Any interest accruing under this Clause 79(c) shall be immediately payable by the Charterers (as sellers under the MOA) on demand by the Owners (as buyers under the MOA). Default interest (if unpaid) arising on an overdue amount will be compounded with the overdue amount at the end of each period selected by the Owners (as buyers under the MOA) but will remain immediately due and payable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**80.** **Conflicts** 

Unless stated otherwise, in the event of there being any conflict between the provisions of Clauses 1 (*Definitions*) (Part II) to 31 (*Notices*) (Part II) and the provisions of Clauses 32 (*Definitions*) to 81 (*Law and arbitration*), the provisions of Clauses 32 (*Definitions*) to 81 (*Law and arbitration*) shall prevail.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**81.** **Law and arbitration** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Charter and any non-contractual obligations arising from or in connection with it are in all respects governed by and shall be interpreted in accordance with English law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any dispute, controversy, difference or claim arising out of or relating to this Charter, including the existence, validity, interpretation, performance, breach or termination thereof or any dispute regarding
 non-contractual obligations arising out of or relating to it (a "**Dispute**") shall be referred to and finally resolved by arbitration in Hong Kong administered by the Hong Kong International Arbitration Centre ()"**HKIAC**") under the
 HKIAC Administered Arbitration Rules in force when the Notice of Arbitration is submitted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The seat of arbitration shall be Hong Kong.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The number of arbitrators shall be three. A Party wishing to refer a dispute to arbitration shall appoint its arbitrator and send notice of such appointment in writing to the other Party requiring the other Party to
 appoint its own arbitrator within fourteen calendar days of that notice and stating that it will appoint its arbitrator as sole arbitrator unless the other Party appoints its own arbitrator and gives notice that it has done so within the fourteen
 days specified. If the other Party does not appoint its own arbitrator and give notice that it has done so within the fourteen days specified, the Party referring a dispute to arbitration may, without the requirement of any further prior notice
 to the other Party, appoint its arbitrator as sole arbitrator and shall advise the other party accordingly. The award of a sole arbitrator shall be binding on both Parties as if the sole arbitrator had been appointed by agreement. If each Party
 appoints its own arbitrator those two arbitrators shall (within 30 days of the appointment of the last of the two appointments) nominate the third arbitrator. If they cannot agree on a third arbitrator, then the chairperson of the HKIAC must be
 chosen as the third arbitrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The arbitration proceedings shall be conducted in English.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The law governing this Clause 81 (*Law and arbitration*) shall be English law.

**SCHEDULE 1<br> FORM OF PROTOCOL OF DELIVERY AND ACCEPTANCE**

**<u>PROTOCOL OF DELIVERY AND ACCEPTANCE</u>**

It is hereby certified that pursuant to a bareboat charter dated and made between **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)** (the "**Owners**") as owners and **EVEREST inc.** (the "**Bareboat Charterers**") as bareboat charterers (as may be amended and supplemented from time to time, the "**Bareboat Charter**") in respect of one (1) 210,000 DWT bulk carrier named "[ ]" and registered under the laws and flag of The Republic of Liberia with IMO number [ ] (the "**Vessel**"), the Vessel is delivered for charter by the Owners to the Bareboat Charterers, and accepted by the Bareboat Charterers from the Owners at&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;hours (Beijing time) on the date hereof in accordance with the terms and conditions of the Bareboat Charter.

IN WITNESS WHEREOF, the Owners and the Bareboat Charterers have caused this PROTOCOL OF DELIVERY AND ACCEPTANCE to be executed by their duly authorised representative on this&nbsp;&nbsp;&nbsp;&nbsp; day of&nbsp;&nbsp;&nbsp;&nbsp; in&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;.

---

| | |
|:---|:---|
| THE OWNERS | THE BAREBOAT CHARTERERS |
| **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)** | **EVEREST** **INC.**<br>|
| by: | by: |
| Name: | Name: |
| Title: | Title: |
| Date: | Date: |

---

**SCHEDULE 2<br> FORM OF TITLE RE-TRANSFER PROTOCOL OF DELIVERY AND ACCEPTANCE**

**<u>PROTOCOL OF DELIVERY AND ACCEPTANCE</u>**

**m.v. "[ ]"**

**建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)** of [Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China] (the "**Owners**") deliver to **EVEREST INC.** whose registered address is 80, Broad Street, Monrovia, Liberia (the "**Bareboat Charterers**") the Vessel described below and the Bareboat Charterers accept delivery of, title and risk to the Vessel pursuant to the terms and conditions of the bareboat charter dated&nbsp;&nbsp;&nbsp;&nbsp; (as may be amended and supplemented from time to time) and made between (1) the Owners and (2) the Bareboat Charterers.

---

| | |
|:---|:---|
| Name of Vessel: | [ ] |
| Flag: | The Republic of Liberia |
| Place of Registration: | The Republic of Liberia |
| IMO Number: | [ ] |
| Gross Registered Tonnage: | [ ] tons |
| Net Registered Tonnage: | [ ] tons |
| Dated: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20 |
| At: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;hours (Beijing time) |

---

Place of delivery:

---

| | |
|:---|:---|
| THE OWNERS | THE BAREBOAT CHARTERERS |
| **建信津九十五租赁（天津）有限公司** **(JIANXIN JINJIUSHIWU LEASING (TIANJIN) CO., LTD.)** | **EVEREST** **INC.** |
| by: | by: |
| Name: | Name: |
| Title: | Title: |
| Date: | Date: |

---

**SCHEDULE 3<br> List of Related Vessels and relevant information**

---

| | | | |
|:---|:---|:---|:---|
| **Name of Vessel** | **Builder** | **Related Owners** | **Related Charterers** |
| Hull number <br> 0120838 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津九十六租赁<br> （天津）有限公司 <br> (JIANXIN <br> JINJIUSHILIU<br> LEASING (TIANJIN) <br> CO., LTD.) | PARBAT inc. |
| Hull number <br> 0120839 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津九十七租赁<br> （天津）有限公<br> 司 (JIANXIN <br> JINJIUSHIQI <br> LEASING (TIANJIN) <br> CO., LTD.) | YANGRA inc. |
| Hull number <br> 0120840 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津九十八租赁<br> （天津）有限公<br> 司 (JIANXIN <br> JINJIUSHIBA <br> LEASING (TIANJIN) <br> CO., LTD.) | DABLAM inc. |
| Hull number <br> 0120841 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津九十九租赁<br> （天津）有限公<br> 司 (JIANXIN <br> JINJIUSHIJIU <br> LEASING (TIANJIN)<br> CO., LTD.) | KANGTEGA INC. |
| Hull number <br> 0120842 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津一百租赁<br> （天津）有限公<br> 司 (JIANXIN <br> JINYIBAI LEASING <br> (TIANJIN) CO., LTD.) | PUMORI INC. |
| Hull number <br> 0120843 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津一百零一租赁<br> （天津）有限公<br> 司 (JIANXIN <br> JINYIBAILINGYI <br> LEASING (TIANJIN) <br> CO., LTD.) | KAMET inc. |
| Hull number <br> 0120844 | NEW TIMES SHIPBUILDING CO., LTD. | 建信津一百零二租赁<br> （天津）有限公<br> 司 (JIANXIN <br> JINYIBAILINGER <br> LEASING (TIANJIN) <br> CO., LTD.) | MERA INC. |

---

**SCHEDULE 4<br> TERMINATION CORE AMOUNT SCHEDULE**

---

| | | | |
|:---|:---|:---|:---|
| **Each <br> Hire <br> Payment <br> Date <br> during <br> the <br> Charter <br> Period** | **Termination<br> Core Amount <br> (US$)** | **Termination <br> Core Amount <br> (US$)** | **Termination <br> Core Amount <br> (US$)** |
| 1<sup>st</sup> | 62416667.00<br>11<sup>th</sup> | 56583337.00<br>21<sup>st</sup> | 50400000.00<br>|
| 2<sup>nd</sup> | 61833334.00<br>12<sup>th</sup> | 56000000.00<br>22<sup>nd</sup> | 49800000.00<br>|
| 3<sup>rd</sup> | 61250001.00<br>13<sup>th</sup> | 55500000.00<br>23<sup>rd</sup> | 49200000.00<br>|
| 4<sup>th</sup> | 60666668.00<br>14<sup>th</sup> | 55000000.00<br>24<sup>th</sup> | 48000000.00<br>|
| 5<sup>th</sup> | 60083335.00<br>15<sup>th</sup> | 54500000.00<br>25<sup>th</sup> | 47500000.00<br>|
| 6<sup>th</sup> | 59500002.00<br>16<sup>th</sup> | 54000000.00<br>26<sup>th</sup> | 47000000.00<br>|
| 7<sup>th</sup> | 58916669.00<br>17<sup>th</sup> | 53400000.00<br>27<sup>th</sup> | 46500000.00<br>|
| 8<sup>th</sup> | 58333336.00<br>18<sup>th</sup> | 52800000.00<br>28<sup>th</sup> | 46000000.00<br>|
| 9<sup>th</sup> | 57750003.00<br>19<sup>th</sup> | 52200000.00<br>|  |
| 10<sup>th</sup> | 57166670.00<br>20<sup>th</sup> | 51000000.00<br>|  |

---

**SCHEDULE 5<br> PURCHASE OPTION CORE AMOUNT SCHEDULE**

---

| | |
|:---|:---|
| **Anniversary Date** | **Purchase Option Core Amount (US$)** |
| the Third Anniversary Date | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;56000000 |
| the Fourth Anniversary Date | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;54000000 |
| the Fifth Anniversary Date | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;51000000 |
| the Sixth Anniversary Date | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48000000 |
| the Seventh Anniversary Date | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 46000000 |

---

**SIGNATURE PAGE**

**<u>TO BAREBOAT CHARTER FOR THE 210,000 DWT BULK CARRIER BEARING <br> BUILDER'S HULL NUMBER 0120837</u>**

---

| | | |
|:---|:---|:---|
| **THE OWNERS** | **THE OWNERS** | **THE CHARTERERS** |
| **建信津九十五租赁（天津）有限公<br> 司** **(JIANXIN JINJIUSHIWU LEASING <br> (TIANJIN) CO., LTD.)** | **建信津九十五租赁（天津）有限公<br> 司** **(JIANXIN JINJIUSHIWU LEASING <br> (TIANJIN) CO., LTD.)** | **EVEREST INC.** |
| by: | by: | by: |
| [\*\*\*] | [\*\*\*] |  |
| Name: | [\*\*\*] | Name: |
| Title: | [\*\*\*]<br> Legal Representative | Title: |
| Date: | <br> 20 April 2022 | Date: |

---

**SIGNATURE PAGE**

**<u>TO BAREBOAT CHARTER FOR THE 210,000 DWT BULK CARRIER BEARING <br> BUILDER'S HULL NUMBER 0120837</u>**

---

| | | |
|:---|:---|:---|
| **THE OWNERS** | **THE CHARTERERS** | **THE CHARTERERS** |
| **建信津九十五租赁（天津）有限公<br> 司** **(JIANXIN JINJIUSHIWU LEASING <br> (TIANJIN) CO., LTD.)** | **EVEREST INC.** | **EVEREST INC.** |
| by: | by: | by: |
| | [\*\*\*] | [\*\*\*] |
| Name: | Name: | [\*\*\*] |
| Title: | Title: | Attorney-in-fact |
| Date: | Date: | 20 April 2022 |

---

## Exhibit 10.5

**Exhibit 10.5**

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAIN PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

Execution version 202236910010001759 <br> JFLSPV2022L048-01

**Novation Agreement**

**in respect of**

**(a) a memorandum of agreement; and**

**(b) a bareboat charter**

**each in respect of one bulk carrier with hull no. 0120839**

---

| | |
|:---|:---|
| **Dated** | **14 December 2022** |

---

**(1)** **MOUNT BANDEIRA INC. (formerly known as YANGRA INC.** 

**(as Seller)**

**(2)** ![](ny20006357x6_ex105-001.jpg) **(Jianxin Jinjiushiqi Leasing (Tianjin) Co., Ltd.** 

**(as Original Buyer)**

**(3)** ![](ny20006357x6_ex105-002.jpg) **(HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.)** 

**(as New Buyer)**

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Contents**

---

| | | |
|:---|:---|:---|
|  |  | **Page** |
| 1 | Definitions and Interpretation | 4 |
| 2 | Representations and Warranties | 5 |
| 3 | Conditions for novation and amendments | 6 |
| 4 | Novation, confirmation and amendments | 7 |
| 5 | Miscellaneous | 10 |
| 6 | Notices | 11 |
| 7 | Governing Law and Arbitration | 11 |
| Schedule A | Form of Effective Time Notice | 13 |
| Schedule B | Form of Deed of Release and Reassignment | 14 |

---

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Novation Agreement**

---

| | |
|:---|:---|
| **Dated** | **14 December 2022** |

---

**Between:**

(1) **MOUNT BANDEIRA INC. (formerly known as YANGRA INC.),** a company incorporated under the laws of The Republic of Liberia with registration number C-122824 whose registered address is 80, Broad Street, Monrovia, Liberia (the "**Seller** ");

(2) ![](ny20006357x6_ex105-003.jpg) **(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.),** a company incorporated under the laws of The People's Republic of China whose registered address is Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade
 Zone, the People's Republic of China (the "**Original Buyer** "); and

(3) ![](ny20006357x6_ex105-004.jpg) **(HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.),** a company incorporated under
 the laws of The People's Republic of China whose registered address is Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Comprehensive Free Trade Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China
 (the "**New Buyer** ").

**Whereas:**

(A) Pursuant to a building contract dated 22 June 2021, as amended and supplemented pursuant to addendum no. 1 dated 22 June 2021, as may be
 further amended, supplemented, novated or replaced from time to time, the "**Building Contract** "), on the terms and subject to the conditions of which New Times Shipbuilding Co., Ltd. (the "**Builder**") has agreed to design, engineer, build, launch, equip, complete, deliver and sell, and the Seller has agreed to purchase, one (1) new 210,000 DWT bulk carrier as further described in the
 Building Contract and bearing the Builder's hull number [\*\*\*] along with all her appurtenances, associated equipment, materials, stores, spare parts and documentation (the "**Vessel** "), upon the
 terms and conditions therein.

(B) By a memorandum of agreement in respect of the Vessel dated 20 April 2022 and made between the Original Buyer as buyer and the Seller as seller
 as amended and supplemented by side agreement no.1 dated 25 July 2022 (the "**Original MOA** "), the Original Buyer agreed to purchase and the Seller agreed to sell the Vessel pursuant to the terms
 and conditions therein.

(C) By a bareboat charter in respect of the Vessel dated 20 April 2022 and made between the Original Buyer as owners and the Seller as bareboat
 charterers (the "**Original Charter** ", together with the Original MOA, the "**Original Documents** "), the Original Buyer agreed to let and the Seller
 agreed to charter the Vessel immediately following her delivery under the Original MOA.

(D) The Original Buyer wishes to transfer to the New Buyer, and the New Buyer wishes to assume, all of the rights and obligations (other than in
 relation to paragraph (a) of clause 59 (*Fees and expenses*) of the Original Charter) of the Original Buyer under the Original Documents. The Seller is willing to agree to the substitution of the New Buyer in place of the Original Buyer in
 relation to those rights and obligations and to the release of the Original Buyer in respect of those rights and obligations, subject to and upon the terms and conditions of this Agreement.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Now it is hereby agreed** as follows:

---

| | |
|:---|:---|
| **1** | **Definitions and Interpretation** |

---

1.1 Words and expressions having defined meanings in the Original Charter shall, except where otherwise defined herein, have the same meanings when
 used in this Agreement, and in this Agreement:

"**Actual Delivery Date**" means the date of delivery of the Vessel by the New Buyer to the Seller under the Novated Charter.

"**Charter Agreements**" means (a) the Original Charter, (b) the Novated Charter and (c) this Agreement.

"**Effective Time**" means the date and time when all the conditions precedent set out in Clause 3.1 are satisfied or waived, as evidenced by a duly executed Effective Time Notice.

"**Effective Time Notice**" means the notice to be signed and exchanged in accordance with clause 3.3 in the form set out in Schedule A.

"**Instalment**" has the meaning given to such term in the Novated MOA.

"**MOA Agreements**" means (a) the Original MOA, (b) the Novated MOA and (c) this Agreement.

"**Novated Charter**" means the Original Charter as novated and amended by this Agreement.

"**Novated MOA**" means the Original MOA as novated and amended by this Agreement.

1.2 In this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.1 words denoting the plural number include the singular and vice versa;

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

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.3 references to Clauses and Schedules are references to clauses of, and schedules to, this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.4 references to this Agreement include the recitals to this Agreement;

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

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.6 references to statutes or provisions of statutes are references to those statutes, or those provisions, as from time to time amended, replaced
 or re-enacted;

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

1.3 The Seller and the New Buyer hereby designate this Agreement as a Transaction Document under the Novated Charter.

---

| | |
|:---|:---|
| **2** | **Representations and Warranties** |

---

2.1 **Each party's representations and warranties** 

Each party represents and warrants to each of the other parties to this Agreement that the following statements are, at the date hereof, true and accurate:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1.1 it is duly incorporated under the laws of its country of incorporation and has full power and authority to enter into and perform its
 obligations under this Agreement and to consummate the transactions contemplated by the MOA Agreements and the Charter Agreements to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1.2 the execution, delivery and performance by it of the MOA Agreements and the Charter Agreements to which it is a party and the consummation of
 the transactions contemplated by the MOA Agreements and the Charter Agreements have been duly authorised by all necessary corporate action and do not contravene any applicable law, regulation or order binding on it or any of its assets or its
 constitutional documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1.3 neither the execution, delivery and performance by it of the MOA Agreements and the Charter Agreements to which it is a party nor the
 consummation of any of the transactions by it contemplated by the MOA Agreements and the Charter Agreements to which it is a party, require the consent or approval of, the giving of notice to, the registration with, or the taking of any other
 action in respect of, any governmental authority or agency, except such as have been obtained and are in full force and effect; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1.4 the obligations assumed by it in the MOA Agreements and the Charter Agreements to which it is a party are legal, valid and binding upon it,
 subject to the general principles of equity and laws affecting creditors' rights generally.

2.2 **Seller's representations and warranties** 

The Seller represents to each of the other parties to this Agreement that the following statements are, as at the date hereof, true and accurate:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2.1 there are no disputes outstanding between the Seller and the Original Buyer under any Original Document, the Seller is not aware of any
 unremedied defaults under any Original Document or of any other fact or circumstance which would entitle the Seller to terminate or cancel any Original Document and the Seller has complied with the terms and conditions of each Original
 Document; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2.2 no Original Document has been amended, varied, cancelled, novated or terminated and represents the entire agreement between the Original Buyer
 and the Seller relating to the sale and leaseback of the Vessel.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

2.3 **Original Buyer's representations and warranties to New Buyer** 

The Original Buyer represents and warrants to the New Buyer that the following statements are, at the date of this Agreement, true and accurate:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3.1 the Original Buyer has supplied the New Buyer with a true, complete and up-to-date copy of each Original Document;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3.2 there are no disputes outstanding between the Original Buyer and the Seller under any Original Document, the Original Buyer is not aware of any
 unremedied defaults by the Seller under any Original Document or of any other fact or circumstance which would entitle the Original Buyer to terminate or cancel any Original Document and the Original Buyer has complied with the terms and
 conditions of each Original Contract; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3.3 no Original Document has been amended, varied, cancelled, novated or terminated and represents the entire agreement between the Original Buyer
 and the Seller relating to sale and leaseback of the Vessel.

---

| | |
|:---|:---|
| **3** | **Conditions for novation and amendments** |

---

3.1 The novation of the Original Documents in accordance with Clause 4 is subject to the following conditions precedent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1.1 an original of this Agreement being signed by all parties thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1.2 each party to this Agreement delivering to each of the other parties to this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) copies of its constitutional documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) evidence that all necessary corporate action has been taken to authorise the execution, delivery and performance by that Party of this
 Agreement and all documents required to be given hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1.3 the New Buyer and the Seller receiving from the Original Buyer a copy of a deed of release and reassignment in the form set out in Schedule B
 duly executed by the Original Buyer, together with any notice of release and reassignment required under such deed of release and reassignment duly executed by the Original Buyer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1.4 (x) each of the following security documents being signed and left undated and (y) each company who is a party to the following documents
 confirming that each document to which it is a party can be dated immediately following the Effective Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) a guarantee to be made by the Guarantor in favour of the New Buyer in respect of the Seller's obligations under the Novated MOA and the Novated
 Charter and the other Transaction Documents (as defined in the Novated Charter);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a share charge over the entire issued share capital of the Seller to be executed by the Chargor in favour of the New Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a pre-delivery deed of assignment in respect of the Vessel executed by the Seller in favour of the New Buyer in relation to the Seller's
 rights, title and interests in and to, and all benefits accruing to it under or pursuant to the Building Contract and the Refund Guarantee (each as defined in the Novated MOA);

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a deed of assignment in respect of the Vessel to be executed by the Seller in favour of the New Buyer in relation to certain of the Seller's
 rights and interests in and to (among other things) the Insurances, the Earnings and the Requisition Compensation (each as defined in the Novated Charter); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) an account pledge agreement over the Earnings Account (as defined in the Novated Charter) and all amounts from time to time standing to the
 credit of Earnings Account to be executed by the Seller in favour of the New Buyer.

3.2 All documents and evidence delivered to the relevant party pursuant to Clause 3.1 shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2.1 be in form and substance acceptable to the receiving party (acting reasonably);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2.2 be accompanied, if required by the receiving party, by translations into the English language, certified in a manner acceptable to such party;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2.3 if reasonably required the receiving party, be certified, notarised, legalised or attested in a manner acceptable to such party.

3.3 **Effective Time Notice** 

At the time when all the conditions precedent set out in Clause 3.1 are satisfied or waived then the Effective Time Notice shall be completed and executed by all the parties to this Agreement to evidence the Effective Time.

---

| | |
|:---|:---|
| **4** | **Novation, confirmation and amendments** |

---

4.1 In consideration of the mutual agreements and undertakings contained in this Agreement and for other valuable consideration (the receipt and
 sufficiency of which is hereby acknowledged by each of the parties to this Agreement) it is hereby agreed that as and with effect from the Effective Time:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1.1 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the New Buyer assumes all the obligations and liabilities of the Original Buyer under the Original MOA and agrees to be bound by the terms of
 the Original MOA in every way as if the New Buyer were a party to the Original MOA in place of the Original Buyer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the New Buyer assumes all the obligations and liabilities of the Original Buyer under the Original Charter and agrees to be bound by the terms
 of the Original Charter in every way as if the New Buyer were a party to the Original Charter in place of the Original Buyer;

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1.2 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Seller releases and discharges the Original Buyer from all obligations, liabilities, claims and demands under the Original MOA and accepts
 the liability of the New Buyer under the Original MOA in place of the liability of the Original Buyer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Seller releases and discharges the Original Buyer from all obligations,
 liabilities, claims and demands under the Original Charter and accepts the liability of the New Buyer under the Original Charter in place of the liability of the Original Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1.3 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the New Buyer has the benefit of all the rights and claims of the Original Buyer under the Original MOA and the Seller agrees to be bound by the terms of the Original NOA in every way as if the New Buyer were a party to the Original MOA in place of the Original Buyer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the New Buyer has the benefit of all the rights and claims (other than the Original
 Buyer's rights and claims in relation to paragraph (a) of clause 59 (*Fees and expenses*) of the Original Charter)
 of the Original Buyer under the Original Charter and the Seller agrees to be bound by the terms of the Original Charter (other than in relation to paragraph (a) of clause 59 (*Fees and expenses*) of the Original Charter) in every way as if the New Buyer were a party to the Original Charter in place of the Original Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1.4 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Original Buyer releases and discharges the Seller from all obligations, liabilities, claims and
 demands under the Original MOA; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Original Buyer releases and discharges the Seller from all obligations, liabilities, claims and demands under the Original Charter (other than the Seller's obligation to pay to the Original Buyer the Upfront Fee pursuant to paragraph (a) of clause 59 (*Fees and expenses*) *of the Original Charter).* 

4.2 Except as otherwise expressly provided in this Agreement, nothing in this Agreement shall subject
 the Seller to any liability to which it would not otherwise be subject under any Original Document or diminish in any way any rights or remedies to which the Seller would otherwise be entitled under any Original Document or modify in any
 respect the Seller's contractual rights and obligations under any Original Document.

4.3 Each party confirms and acknowledges that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.1 despite the novation in accordance with this Agreement, the Seller shall remain
 obliged to pay to the Original Buyer the Additional Upfront Fee with effect from the Effective Time and that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Seller shall pay to the Original Buyer the Additional Upfront Fee and
 provide documentary evidence of such payment before the date of payment of the first Instalment under the Novated MOA and in any event before the Actual Delivery Date; and

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-028.jpg)

![](ny20006357x6_ex105-027.jpg)

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Seller shall pay to the Original Buyer the Additional Upfront Fee prior to any sale as referred to under clause 12.1 of the Novated MOA
 (the "**Sale** ");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.2 (x) each of the Seller and the New Buyer shall supply to the Original Buyer, promptly upon becoming aware of them, the proposed date of the
 first Instalment under the Novated MOA, the date of any payment of the First Instalment under the Novated MOA, the proposed Actual Delivery Date, the occurrence of the Actual Delivery Date, the proposed date of any Sale and the date of any Sale
 and (y) the Seller acknowledges that the it shall remain obliged to pay the Original Buyer only the Upfront Fee.

4.4 With effect from the Effective Time, the Original MOA shall be, and shall be deemed to have been, amended as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.1 in clause 23 (*Notices*) the stated address and email address of the party other than the
 "Sellers" shall be replaced with the following:

![](ny20006357x6_ex105-005.jpg) (HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.)

---

| | |
|:---|:---|
| Address: | c/o No.1 Building, No.99 East Jialingjiang Street, Nanjing, Jiangsu Province, P.R. China |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.2 paragraph (a)(iii) of clause 12.1 shall be removed in its entirety; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.3 paragraph (b)(iii) of clause 12.1 shall be removed in its entirety.

4.5 With effect from the Effective Time, the Original Charter shall be, and shall be deemed to have been, amended as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5.1 in clause 73 (*Notices*) the stated address and email address of the party other than the
 "Charterers" shall be replaced with the following:

![](ny20006357x6_ex105-006.jpg) (HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.)

---

| | |
|:---|:---|
| Address: | c/o No.1 Building, No.99 East Jialingjiang Street, Nanjing, Jiangsu Province, P.R. China |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5.2 the following expression shall be inserted into clause 32 (*Definitions*) such that such new
 expression with the existing expressions in clause 32 (*Definitions*) shall be listed alphabetically:

""**Original Owners**" means ![](ny20006357x6_ex105-007.jpg)(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.), a company incorporated under the laws of The People's Republic of China whose registered address is Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China.";

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

![](ny20006357x6_ex105-028.jpg)

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5.3 paragraph (a) of clause 34 shall be removed in its entirety and be replaced with:

"(a) ***The MOA*** By a memorandum of agreement dated 20 April 2022 made between the Original Owners (as buyers thereunder) and the Sellers (as sellers thereunder) as amended and supplemented by side agreement no. 1 dated 25 July 2022 entered into between the Original Owners, the Sellers and the Guarantor, as amended and novated by an novation agreement dated <u>14 December</u> 2022 entered into between the Original Owners, the Sellers and the Owners (the "**MOA**"), the Owners have agreed to purchase and the Sellers have agreed to sell the Vessel subject to the terms and conditions therein.";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5.4 paragraph (a)(i) of clause 59 (*Fees and expense*) shall be removed in its entirety; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5.5 Schedule 3 (*List of Related Vessels and Relevant Information*) *shall be replaced with:* 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;**Name of Vessel** | &nbsp;&nbsp;**Builder** | &nbsp;&nbsp;**Related Owners** | &nbsp;&nbsp; **Related**<br> **Charterers** |
| &nbsp;&nbsp;Hull number<br> [\*\*\*] | &nbsp;&nbsp;NEW TIMES SHIPBUILDING CO., LTD. | &nbsp;&nbsp;![](ny20006357x6_ex105-008.jpg)<br> (HUICHENG (TIANJIN) SHIPPING LEASING CO., LTD.) | &nbsp;&nbsp;MOUNT HUA INC. (formerly known as DABLAM INC.) |

---

---

| | |
|:---|:---|
| **5** | **Miscellaneous** |

---

5.1 **Counterparts** 

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

5.2 **Amendments** 

This Agreement may be amended only by an instrument in writing signed by all of the parties to this Agreement.

5.3 **Waiver** 

Any waiver of any right, power or privilege by any party to this Agreement shall be in writing signed by that party. No failure or delay by any party to this Agreement to exercise any right, power or privilege under this Agreement shall operate as a waiver of that right, power or privilege nor shall any single or partial exercise of that right, power or privilege preclude any further exercise of that right, power or privilege or of any other right, power or privilege. The rights and remedies provided in this Agreement are cumulative and not exclusive of any rights and remedies provided by law.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

5.4 **Third party rights** 

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

---

| | |
|:---|:---|
| **6** | **Notices** |

---

6.1 Every notice, request, demand or other communication under this Agreement shall be sent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.1 to the Seller at:

MOUNT BANDEIRA INC.

Address: c/o 2020 Bulkers Management AS,

Tjuvholmen allé 3, 0252 Oslo,

Norway

Email: [\*\*\*] <br>Attention: [\*\*\*]

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.2 to the Original Buyer at:

![](ny20006357x6_ex105-009.jpg) (JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.)

---

| | |
|:---|:---|
| Address: | 11th Floor, Building 4, ChangAnXingRong Center, No.1 Naoshikou<br> Street, Xicheng District, Beijing, China 100031 |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1.3 to the New Buyer at:

![](ny20006357x6_ex105-010.jpg) (HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.)

---

| | |
|:---|:---|
| Address: | c/o No.1 Building, No.99 East Jialingjiang Street, Nanjing, Jiangsu Province, P.R. China |
| Email: | [\*\*\*] |
| Attention: | [\*\*\*] |

---

or in each case to such other person, address, email address or fax number as one party may notify in writing to the other parties to this Agreement.

---

| | |
|:---|:---|
| **7** | **Governing Law and Arbitration** |

---

7.1 This Agreement and any non-contractual obligations arising from or in connection with it are in all respects governed by and shall be
 interpreted in accordance with English law.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

7.2 Any dispute, controversy, difference or claim arising out of or relating to this Agreement, including the existence, validity, interpretation,
 performance, breach or termination thereof or any dispute regarding non-contractual obligations arising out of or relating to it shall be referred to and finally resolved by arbitration
 in Hong Kong administered by the Hong Kong International Arbitration Centre ()"**HKIAC**") under the HKIAC Administered Arbitration Rules in force when the Notice of Arbitration is submitted.

7.3 The seat of the arbitration shall be Hong Kong.

7.4 The number of arbitrators shall be three.

7.5 The arbitration proceedings shall be conducted in English.

7.6 The law governing this Clause 7 shall be English law.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Schedule A** 

**Form of Effective Time Notice**

**Novation Agreement dated [** **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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[ &nbsp;&nbsp;&nbsp;&nbsp; ] (the "Agreement") in relation to hull no. 0120839**

In accordance with Clause 3.3 of the Agreement, the parties to the Agreement hereby confirm that the conditions precedent set out in Clause 3.1 of the Agreement have been satisfied at [&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ] hours on [&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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[&nbsp;&nbsp;&nbsp;&nbsp; ].

For and on behalf of

**MOUNT BANDEIRA INC.**

(as Seller)

For and on behalf of

![](ny20006357x6_ex105-011.jpg) **(Jianxin Jinjiushiqi Leasing (Tianjin) Co., Ltd.**

(as Original Buyer)

For and on behalf of

![](ny20006357x6_ex105-012.jpg) **(HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.)**

(as New Buyer)

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Schedule B**

**Form of Deed of Release and Reassignment**

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

Execution version

**Deed of Release and Reassignment**

**Dated &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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____**

**(1)** **![](ny20006357x6_ex105-013.jpg) (Jianxin Jinjiushiqi Leasing (Tianjin) Co., Ltd.** 

**(2)** **MOUNT BANDEIRA INC. (formerly known as YANGRA INC.)** 

**(3)** **HIMALAYA SHIPPING LTD.**![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Contents**

**Page**

---

| | | |
|:---|:---|:---|
| 1 | Definitions | 2.0 |
| 2 | Release and Reassignment | 2.0 |
| 3 | Governing Law | 2.0 |
| Schedule 1  | The Subject Security Documents | 4.0 |
| Schedule 2 | Form of Notices of Reassignment and Release | 5.0 |

---

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Deed of Release and Reassignment**

**Dated &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&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___** 

**By:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) **![](ny20006357x6_ex105-014.jpg) (JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.),** a company incorporated under the laws
 of The People's Republic of China whose registered address is Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China (the "**Owner** ");

**In favour of**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) **MOUNT BANDEIRA INC. (formerly known as YANGRA INC.),** a company incorporated under the laws of The Republic of Liberia with registration
 number C-122824 whose registered address is 80, Broad Street, Monrovia, Liberia (the "**Charterer** "); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) **HIMALAYA SHIPPING LTD.,** an exempted company incorporated according to the laws of Bermuda (with registration number 56490) whose
 registered address is at 2nd Floor, S.E. Pearman Building, 9 Par-la-Ville Road, Hamilton HM11, Bermuda (the "**Chargor** ", together with the Charterer, the "**Obligors** ")

**Whereas:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Pursuant to a building contract dated 22 June 2021, as amended and supplemented pursuant to addendum no. 1 dated 22 June 2021, as may be
 further amended, supplemented, novated or replaced from time to time, the "**Building Contract** "), on the terms and subject to the conditions of which New Times Shipbuilding Co., Ltd. (the "**Builder**") has agreed to design, engineer,
 build, launch, equip, complete, deliver and sell, and the Charterer has agreed to purchase, one (1) new 210,000 DWT bulk carrier as further described in the Building Contract and bearing the Builder's hull number [\*\*\*], along with all her
 appurtenances, associated equipment, materials, stores, spare parts and documentation (the "**Vessel** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) By a memorandum of agreement in respect of the Vessel dated 20 April 2022 and made between the Owner as buyer and the Charterer as seller as
 amended and supplemented by a side agreement no. 1 dated 25 July 2022 (collectively, the "**Original MOA** "), the Owner agreed to purchase and the Charterer agreed to sell the Vessel pursuant to the terms and conditions therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) By a bareboat charter in respect of the Vessel dated 20 April 2022 and made between the Owner as owner and the Charterer as charterer (the "**Original Charter** ", together with the Original MOA, the "**Original Documents** "), the Owner agreed to let and the Charterer agreed to charter the Vessel following her delivery under the Original MOA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) As security for the obligations of the Charterer to the Owner under the, among other things, the Original Documents, the Obligors have executed
 the Subject Security Documents (as defined below).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) By a novation agreement in respect of the Vessel dated __________ 2022 and made between the Charterer as seller, the Owner as original buyer
 and (3) ![](ny20006357x6_ex105-015.jpg) ![](ny20006357x6_ex105-016.jpg) (HUINUO (TIANJIN) SHIPPING LEASING CO., LTD.) (the "**New Owner**") as new buyer, the Owner agreed to
 transfer to the New Owner and the New Owner agreed to assume the rights and obligations of the Original Buyer under the Original Documents subject to and upon the terms and conditions thereunder.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**This Deed witnesses** as follows:

---

| | |
|:---|:---|
| **1** | **Definitions** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 Unless otherwise specified in this Deed, all words and expressions defined or explained in the Original Charter shall have the same meanings
 when used in this Deed, and in this Deed,

"**Subject Share Charge**" has the meaning given to such term in Schedule 1 *(The Subject Security Documents).*

"**Subject Security Documents**" means collectively the documents listed in Schedule 1 *(The Subject Security Documents)* to this Deed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 In
 this Deed, any reference to this Deed includes the Schedules hereto.

---

| | |
|:---|:---|
| **2** | **Release and Reassignment** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 The
 Owner hereby:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1.1 releases and discharges each Obligor from all obligations under the Subject Security Documents to which it is a party and discharges all
 security granted by such Obligor under such Subject Security Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1.2 reassigns and releases to each Obligor all its right, title and interest in and to all the property assigned to the Owner or charged in favour
 of the Owner under the Subject Security Documents to which it is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 The Owner hereby undertakes forthwith to execute the notices of reassignment and release, each in the form set out in Schedule 2 (*Form of Notices of Reassignment and Release*) to this Deed and to deliver each executed notice of reassignment and release to the Charterer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 The Owner shall execute and sign such other documents and do all such other acts and things as Charterer may reasonably request in order to
 give effect to this Deed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 The Owner hereby undertakes to return to the Chargor every certificate in respect of the Initial Shares (as defined under the Subject Share
 Charge) and (if any) Further Shares (as defined in the Subject Share Charge).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 The Owner makes and gives no representation, warranty or covenant in relation to the property reassigned by this Deed except that it has not
 itself assigned or charged that property.

---

| | |
|:---|:---|
| **3** | **Governing Law** |

---

This Deed and any non-contractual obligations arising from or in connection with it shall be governed by and construed in accordance with English law and subject to the exclusive jurisdiction of the English courts.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**In witness** of which this Deed has been duly executed and delivered as a deed the day and year first before written.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

---

| | |
|:---|:---|
| **Schedule 1** | **The Subject Security Documents** |

---

1. A guarantee and indemnity in respect of the Vessel dated 20 April 2022 executed by the Chargor in favour of the Owner;

2. A share charge over shares in the Charterer dated 20 April 2022 executed by the Chargor in favour of the Owner (the "**Subject Share Charge** ");

3. A pre-delivery deed of assignment in respect of the Vessel dated 20 April 2022 executed by the Charterer in favour of the Owner in relation to
 the Charterer' rights, title and interests in and to, and all benefits accruing to it under or pursuant to the Building Contract and the Refund Guarantee;

4. A deed of assignment in respect of the Vessel dated 20 April 2022 executed by the Charterer in favour of the Owner in relation to certain of
 the Charterer's rights and interests in and to (among other things) the Insurances, the Earnings and the Requisition Compensation; and

5. An account pledge agreement over the Earnings Account and all amounts from time to time standing to the credit of the Earnings Account dated 20
 April 2022 executed by the Charterer in favour of the Owner.

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

---

| | |
|:---|:---|
| **Schedule 2** | **Form of Notices of Reassignment and Release** |

---

**Part A Notice of Reassignment of Building Contract**

We, ![](ny20006357x6_ex105-017.jpg) **(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.),** with registered office at Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China, the assignee under a pre-delivery deed of assignment in writing dated 20 April 2022 executed in our favour by **MOUNT BANDEIRA INC.** (formerly known as YANGRA INC.) (the "**Assignor**"), hereby **give notice** that by a deed of release and reassignment dated _______________ we reassigned to the Assignor all our right, title and interest in and to the building contract dated 22 June 2021, as amended and supplemented pursuant to addendum no. 1 dated 22 June 2021 in respect of a vessel with hull number [\*\*\*] entered into between New Times Shipbuilding Co., Ltd. as seller and the Assignor as buyer.

Signed:_______________________________________________

For and on behalf of

![](ny20006357x6_ex105-018.jpg) **(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.)**

---

| | |
|:---|:---|
| Dated | 20 |

---

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Part B Notice of Reassignment of Refund Guarantee**

We, **![](ny20006357x6_ex105-019.jpg) (JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.),** with registered office at Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China, the assignee under a pre-delivery deed of assignment in writing dated 20 April 2022 executed in our favour by **MOUNT BANDEIRA INC.** (formerly known as YANGRA INC.) (the "**Assignor**"), hereby **give notice** that by a deed of release and reassignment dated ______________________________ we reassigned to the Assignor all our right, title and interest in and to the letter of guarantee numbered [\*\*\*] and dated 21 July 2021 issued by Agricultural Bank of China, Jiangsu Branch in favour of the Assignor in relation to a building contract dated 22 June 2021, as amended and supplemented pursuant to addendum no. 1 dated 22 June 2021 in respect of a vessel hull number [\*\*\*] entered into between New Times Shipbuilding Co., Ltd. as seller and the Assignor as buyer.

Signed:_______________________________________________

For and on behalf of

![](ny20006357x6_ex105-020.jpg) **(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.)**

---

| | |
|:---|:---|
| Dated | 20 |

---

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**Part C Notice of Release to Account Bank**

We, ![](ny20006357x6_ex105-021.jpg) **(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.),** with registered office at Room 202, Office Area of Inspection Warehouse, No. 6262 Aozhou Road, Dongjiang Free Trade Port Zone, Tianjin Pilot Free Trade Zone, the People's Republic of China, the pledgee of all claims, monies and amounts deposited into and standing to the credit of the earnings account of the Pledgor (as defined below) with [\*\*\*] (the "**Earnings Account**") pursuant to an account pledge agreement dated 20 April 2022 (the "**Account Pledge**") executed in our favour by **MOUNT BANDEIRA INC.** (formerly known as YANGRA INC.) (the "**Pledgor**"), hereby **give notice** that by a deed of release and reassignment dated ______________________________ we release to the Pledgor all our right, title and interest in and to the Earnings Account under the Account Pledge.

Signed:_______________________________________________

For and on behalf of

![](ny20006357x6_ex105-022.jpg) **(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO., LTD.)**

---

| | |
|:---|:---|
| Dated | 20 |

---

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

------

**The Owner**

 **Signed** and **delivered**) as a **Deed**) by ![](ny20006357x6_ex105-023.jpg))
**(JIANXIN JINJIUSHIQI LEASING (TIANJIN) CO.,
LTD.)**) acting by)) its
duly authorised)) in the presence of:)
Witness signature: .............................................................

Name:

Address:

------

**In witness** of which this Agreement has been duly executed and delivered as a Deed the day and year first before written.

---

| |
|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ATTORNEY-IN-FACT |

---

Witness signature: ...............................................................................

Name:

Address:

------

**In witness** of which this Agreement has been duly executed and delivered as a Deed the day and year first before written.

---

| | |
|:---|:---|
| **Signed** and **delivered** |  |
| as a **Deed** by |  |
| **MOUNT BANDEIRA INC.** |  |
| acting by |  |
| its duly authorised |  |
| in the presence of: |  |
| Witness signature: ............................................................................... |  |
| Name: |  |
| Address: |  |
| **Signed** and **delivered** |  |
| as a **Deed** by |  |
| ![](ny20006357x6_ex105-024.jpg) **(Jianxin**<br> **Jinjiushiqi Leasing (Tianjin) Co., Ltd.)** | [\*\*\*]<br> [\*\*\*] |
| acting by [\*\*\*] | [\*\*\*] |
|  | [\*\*\*] |
| its duly authorised attorney-in-fact | [\*\*\*] |
| in the presence of: |  |
| [\*\*\*] |  |
| Witness signature: [\*\*\*]......................................................................... |  |
| Name: [\*\*\*] |  |
| Address:18/F, United Centre, 95 Queensway, Hong Kong |  |
| **Signed** and **delivered** |  |
| as a **Deed** by |  |
| **![](ny20006357x6_ex105-025.jpg) (HUINUO (TIANJIN)** |  |
| **SHIPPING LEASING CO., LTD.)** |  |
| acting by |  |
| its duly authorised |  |
| in the presence of: |  |

---

Witness signature: ...............................................................................

Name:

Address:

------

**In witness** of which this Agreement has been duly executed and delivered as a Deed the day and year first before written.

 **Signed** and **delivered**) as a **Deed**by) **MOUNT BANDEIRA
INC.**) acting by))
its duly authorised)) in the presence of:) Witness signature: .......................
........................................................##COLSPAN_769#
# Name: Address:
**Signed** and **delivered**) as a **Deed**by)
![](ny20006357x6_ex105-024.jpg) **(Jianxin Jinjiushiqi**) **Leasing (Tianjin)
Co., Ltd.)**) acting by)) its duly authorised)) in the
presence of:) Witness signature: ......
......................................................................
... Name: Address:

---

| | | |
|:---|:---|:---|
| **Signed** and **delivered** |  | <br>![](ny20006357x6_ex105-029.jpg) |
| as a **Deed** by |  | <br>![](ny20006357x6_ex105-029.jpg) |
| ![](ny20006357x6_ex105-025.jpg)**(HUINUO (TIANJIN)**<br> **SHIPPING LEASING CO., LTD.)** | &nbsp;&nbsp;&nbsp; [\*\*\*]<br> [\*\*\*] | <br>![](ny20006357x6_ex105-029.jpg) |
| acting by | &nbsp;&nbsp;&nbsp;[\*\*\*] | <br>![](ny20006357x6_ex105-029.jpg) |
|  | &nbsp;&nbsp;&nbsp;[\*\*\*] | <br>![](ny20006357x6_ex105-029.jpg) |
| its duly authorised | &nbsp;&nbsp;&nbsp;Executive Director | <br>![](ny20006357x6_ex105-029.jpg) |
|  |  | <br>![](ny20006357x6_ex105-029.jpg) |
| in the presence of: [\*\*\*] |  | <br>![](ny20006357x6_ex105-029.jpg) |
| [\*\*\*] |  | <br>![](ny20006357x6_ex105-029.jpg) |
| Witness signature: [\*\*\*]......................................................................... |  | <br>![](ny20006357x6_ex105-029.jpg) |
| Name: [\*\*\*] |  | <br>![](ny20006357x6_ex105-029.jpg) |
| Address: ![](ny20006357x6_ex105-030.jpg) |  | <br>![](ny20006357x6_ex105-029.jpg) |

---

![](ny20006357x6_ex105-026.jpg)

![](ny20006357x6_ex105-027.jpg)

## Exhibit 10.6

------

**Exhibit 10.6**

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAINS PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

**REVOLVING CREDIT FACILITY AGREEMENT**

**USD 15,000,000**

**DATED 14 DECEMBER 2022**

**DREW HOLDINGS LTD.**

**as Lender**

**and**

**HIMALAYA SHIPPING LTD.**

**as Borrower**

This revolving credit facility agreement (the **"Agreement"**) is entered into on this 14<sup>th</sup> day of December, 2022, by and between:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(1)** **DREW HOLDINGS LTD.** (the **"Lender"**);

and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(2)** **HIMALAYA SHIPPING LTD.** (the **"Borrower"**);

(hereinafter collectively referred to as the **"Parties"** and, individually, as a **"Party"**).

**WHEREAS:-**

&nbsp;&nbsp;&nbsp;&nbsp;(A) The Borrower has established a newbuilding programme at New Times Shipbuilding Co. Ltd. (**"New Times"**) pursuant to which New Times shall build 12
 Newcastlemax dual fuel dry-bulk carriers for the Borrower (the **"Newbuilding Programme"**) **.** 

(B) The Borrower has raised equity and entered into leasing facilities for the financing of the Newbuilding Programme.

(C) [\*\*\*]

(D) To ensure that the Borrower is able to meet its financial obligations towards New Times and maintain a positive working capital during the substantial part of the
 Newbuilding Programme, the Borrower has requested that the Lender make available to it, and the Lender has agreed to make available to the Borrower, a revolving loan facility in the principal amount of USD 15,000,000 (the **"Facility"**) to
 cover expected shortfall of financing under the substantial part of the Newbuilding Programme and for working capital purposes and on the terms set out herein.

**NOW THEREFORE,** it is hereby agreed as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.** **FACILITY AND PURPOSE** 

The Lender shall, on the terms set forth herein, make the Facility available to the Borrower to cover expected shortfall of financing under the Newbuilding Programme and for working capital purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.** **AVAILABILITY** 

**2.1** The Facility shall be made available by the Lender to the Borrower in tranches (each, a **"Tranche"**) subject to the Lender having received a written request from the
 Borrower, substantially in the form of Schedule 1 hereto (the **"Drawdown Notice"**), no later than 3 business days (being days banks are open for business in London, Oslo, New York and Bermuda) (**"Business Days"**) prior to the relevant
 drawdown date, and provided the following conditions are satisfied following the drawdown of the requested Tranche:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) no more than 4 Tranches are outstanding;

(ii) the aggregate amount of all Tranches outstanding shall not exceed the Facility;

(iii) each Tranche is for a minimum amount of USD 100,000 and a whole multiple of USD 25,000;

(iv) no event as described in Clause 5 (Events of Default) has occurred and is continuing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the Borrower has documented to the satisfaction of the Lender that it has no other liquid funds available to meet its working capital
 requirements.

---

| | |
|:---|:---|
| **2.2** | Amounts drawn shall be paid to such account of the Borrower as may be specified in the Drawdown Notice. |
| **3.** | **INTEREST AND CONSOLIDATION OF TRANCHES** |
| **3.1** | The Borrower shall pay interest on each Tranche on the last day of the Interest Period pertaining thereto or, if such date is not a Business Day, the immediately preceding Business Day. |
|  | Interest shall also be paid on the date of repayment of any Tranche if this is completed on a day other than the last date of a quarter. |

---

---

| | |
|:---|:---|
| **3.2** | Interest due shall be calculated on the basis of an interest rate of LIBOR for the relevant Interest Period (as defined below) plus a margin of 8% p.a. (the **"Interest Rate"**) |
|  | Interest shall accrue from day to day and be calculated on the basis of actual number of days elapsed and a 360 day year. |
|  | In the event of any payments hereunder not being received on the due date therefor (each such amount being a **"Defaulted Amount"),** default interest shall be payable by the Borrower in respect of the Defaulted Amount from the due date until the date that payment is received at a rate corresponding to the aggregate of the Interest Rate plus 8% (per cent) p.a., to be calculated and added to the Defaulted Amount at the end of each month from the due date of payment until the Defaulted Amount has been repaid in full. |
|  | Upon the termination of the publication of LIBOR, the Parties shall agree on a similar reference rate to replace LIBOR as the basis for the interest rate being the basis for the calculation of the Interest Rate. |

---

---

| | |
|:---|:---|
| **3.3** | The Borrower may select an interest period for each Tranche of 1, 3 or 6 months in the Drawdown Notice (each an **"Interest Period"**). |
|  | If the Borrower does not specify a certain Interest Period in the Drawdown Notice or when an Interest Period ends, the Interest Period shall be three months. |
|  | An interest period shall not extend beyond the Final Maturity Date (as defined below). |
|  | If two or more Interest Periods relating to separate Tranches end on the same date, those Tranches will, unless the Borrower specifically requests that they continue as separate Tranches, be consolidated into, and treated as, a single Tranche effective from the first day of the succeeding Interest Period. |

---

---

| | |
|:---|:---|
| **4.** | **REPAYMENT/CANCELLATION** |
| **4.1** | A Tranche shall be repaid on the last day of each Interest Period relevant thereto (the **"Repayment Date"**). |
|  | Amounts repaid shall be available for re-borrowing subject to the provisions of this Agreement. |
|  | All Tranches and other amounts outstanding hereunder shall be repaid in full on the first to occur of: |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) 5 Business Days after the date on which the Borrower completes the sale of a major asset (it being agreed that a "major asset" shall mean a vessel or

---

| | |
|:---|:---|
|  | contract relating to the Newbuilding Programme, or the shares of a subsidiary holding such vessel or contract); |
| (ii) | 5 Business Days after the date on which the Borrower agrees to purchase a major asset; and |
| (iii) | 31 December 2024. |
| Whereafter the Facility shall be cancelled (the **"Final Maturity Date"**). | Whereafter the Facility shall be cancelled (the **"Final Maturity Date"**). |

---

---

| | |
|:---|:---|
| **4.2** | The Borrower shall be entitled to cancel any undrawn part of the Facility (such part always being equal to USD 1,000,000 or any whole multiple thereof) without penalty upon giving the Lender 10 Business Days' irrevocable written notice. Amounts cancelled may not be redrawn. Upon expiry of such 10 Business Day period, the Facility will be reduced by the cancelled amount. |
| **4.3** | No drawings shall be allowed hereunder after 31 December 2023. All undrawn amounts on the date after such date shall be cancelled automatically. |
| **4.4** | Each Tranche may be prepaid in whole or in part at any time. |
| **5.** | **EVENTS OF DEFAULT** |
| **5.1** | Each of the following events shall constitute an **"Event of Default";** |
| **5.1.1** | **Overdue payments** |
|  | The Borrower fails to pay any amount payable by it pursuant to the provisions of this Agreement when due unless such failure is due to technical breakdown or communication error, in which case the Borrower shall be granted 3 Business Days to remedy such default. |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1.2** **Default under other provisions** 

The Borrower defaults under any of the covenants or other provisions of this Agreement (other than as referred to in 5.1.1 (Overdue Payment)), if not remedied by the Borrower within 10 Business Days from a request by the Lender to do so.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1.3** **Cross default** 

Any other material loan, guarantee or other obligation of the Borrower exceeding USD 10,000,000 is declared, or is capable of being declared due prematurely by reason of default, or the Borrower fails to make payment in respect thereof on the due date for such payment, or security for any such other loan, guarantee or indebtedness becomes enforceable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1.4** **Liquidation** 

An order of a competent court or an event analogous thereto is made or any effective resolution passed with a view to the bankruptcy, composition proceedings, debt negotiations, liquidation, winding-up or similar event of the Borrower or a receiver is appointed in respect of any of the Borrower's assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1.5** **Admittance of non-payment** 

The Borrower is unable or admits in writing its inability or unwillingness to pay its lawful debts as they mature.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2** **Acceleration** 

Upon the occurrence of an Event of Default, the Lender may forthwith notify the Borrower in writing that all amounts outstanding hereunder are immediately due and

payable. The Facility shall, in such event, be immediately cancelled and the Lender shall be under no obligation to advance funds to the Borrower hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.** **MISCELLANEOUS** 

**6.1** **Illegality** 

In the event that it shall be unlawful for the Lender to maintain the Facility, the Borrower shall repay all amounts outstanding hereunder immediately on written demand from the Lender and the Facility shall be cancelled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2** **Currency of Payments - Taxes** 

All payments to be made by the Borrower under this Agreement shall be made in USD to the Lender as directed by the Lender and shall be made without set-off or counterclaim or any deductions for, and free and clear of any Taxes. In the event that the Borrower is required by law or regulation to deduct or withhold any such Taxes the sum to be paid shall be increased by such amount as shall be necessary to ensure that the amount received by the Lender after such deduction or withholding, is equal to the amount which would have been received under this Agreement had no such deduction or withholding been required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3** **Costs** 

The Borrower shall pay all costs incurred by the Lender in preparing this Agreement and any and all subsequent costs incurred by the Lender in connection with the Facility.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.** **GOVERNING LAW AND JURISDICTION** 

**7.1** This Agreement shall be governed by and construed in accordance with Norwegian law.

**7.2** The Parties agree to submit to the non-exclusive jurisdiction of the courts of Norway.

This Agreement has been entered into on the date stated on the first page hereof.

---

| | |
|:---|:---|
| For and on behalf of | For and on behalf of |
| **DREW HOLDINGS LTD.** | **HIMALAYA SHIPPING LTD.** |
| [\*\*\*] | [\*\*\*] |

---

**Schedule 1**

**DRAWDOWN NOTICE**

From: Himalaya Shipping Ltd. <br>To: Drew Holdings Ltd.

Date: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ________&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> 

Dear Sirs,

We refer to the revolving credit facility dated 14 December 2022 (the **"Agreement"**) made between ourselves as borrower and yourselves as lender.

Terms defined in the Agreement shall have the same meaning in this notice.

We hereby give you notice that pursuant to the Agreement we wish to draw an amount of USD [&nbsp;&nbsp;&nbsp;&nbsp; ] thereunder on [&nbsp;&nbsp;&nbsp;&nbsp; ].

The drawing shall be identified as Tranche [ ].

The initial Interest Period shall be [ ].

Payment instruction: [ ]

We confirm that as of today no event has occurred which with or without notice, and/or lapse of time would constitute an Event of Default.

We confirm that we will indemnify you against any loss or expense which you may sustain or incur as a consequence of the above referred amount not being drawn, including but not limited to any loss or expenses incurred to fund the amount.

This notice is irrevocable.

Yours faithfully

For and on behalf of

**Himalaya Shipping Ltd.**

Signature:   <br> Name: <br> Title:

## Exhibit 10.7

------

**Exhibit 10.7**<br>

**** 

<br> PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAIN PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

****

<br> ****

<br> ****

#### <br>

#### MANAGEMENT AGREEMENT

#### <br>

------

#### between

#### 2020 BULKERS MANAGEMENT AS

#### and

#### HIMALAYA SHIPPING LTD.

#### and its subsidiaries

------

This agreement is made on this 27<sup>th</sup> day of February, 2023 by and between:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) **2020 BULKERS MANAGEMENT AS**, a company incorporated in Norway with company number 921 059 450 and having its registered address at Tjuvholmen Allé 3, 0252 Oslo,
 Norway (the "**Manager** ");

<br> and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) **HIMALAYA SHIPPING LTD**., a company incorporated in Bermuda with registration number 56490 and having its registered address at S. E. Pearman Building, 2nd Fl., 9 Par-la-Ville Road, Hamilton HM 11,
 Bermuda (the "**Company** ")

(each a "**Party**" and collectively the "**Parties**").

#### WHEREAS:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The Company is a holding company whose purpose is to invest in the bulk shipping sector through wholly owned subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The Company has, as of the date hereof, 12 wholly owned subsidiaries incorporated in Liberia, each of which has ordered one 210,000 dwt bulk carrier from New Times Shipbuilding Co. Ltd. ()"**New Times** ")
 for delivery expected from March 2023 until August 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) It is the Company's policy to outsource its own and its subsidiaries' management requirements to specialized providers of such services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) The Company and the Manager have agreed that the Manager's management team shall provide the Company and its subsidiaries from time to time with certain, defined, administrative services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) The Manager has provided management services to the Company since the start of the Company's newbuilding project at New Times Shipyard in China and is currently providing management services to the Company pursuant to a management
 agreement entered into between the parties on 6 October 2021 (the "**Former Management Agreement** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) The purpose of this new management agreement is to document the scope of the services the Manager shall provide to the Company and its subsidiaries, the specific authority the Manager shall be granted to act on their behalf and the terms
 applicable thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) This Agreement supersedes and overrides the Former Management Agreement with effect from 1 January 2023.

**NOW THEREFORE**, the Parties hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**1.** **DEFINITIONS** **** <br> **The following terms shall have the following meanings when used herein in capitalized form:** 

---

| | |
|:---|:---|
| **"ABC Legislation"** | shall have the meaning set out in Clause 14.2. |
| **"Agreement"** | means this agreement together with its schedules as such may be amended and/or supplemented from time to time. |

---

------

---

| | |
|:---|:---|
| **"Board"** | means the board of directors of the Company. |
| **"Company Secretary"** | means the individual from time to time appointed by the Board as the Company's company secretary. |
| **"Confidential Information"** | shall have the meaning set out in Clause 9.2. |
| **"Customer"** | means the Company and each Subsidiary and a "Customer" shall mean any one of them. |
| **"Data Controller"** | shall have the meaning described in Clause 15. |
| **"Data Processor"** | shall have the meaning described in Clause 15. |
| **"Data Protection Legislation"** | shall have the meaning described in Clause 15. |
| **"Effective Date"** | means 1 January 2023. |
| **"Estimated Management Fee"** | shall have the meaning set out in Clause 6.5. |
| **"Group"** | means the Company and the Subsidiaries. |
| **"Losses"** | shall have the meaning set out in Clause 8.2. |
| **"Management Fee"** | shall have the meaning set out in Clause 6.1. |
| **"Management Team"** | means the employees of the Manager designated to perform the Services from time to time. |
| **"Negative Settlement Payment"** | shall have the meaning set out in Clause 6.9. |
| **"Newbuilding Contracts"** | means twelve separate shipbuilding contracts to which the Subsidiaries, as of the date hereof, are parties to with New Times, each of which sets out the terms for the construction and delivery of one Newcastlemax bulk vessel of 210,000 dwt by New Times to a Subsidiary, and any further newbuilding contract to be entered into by the Group. |
| **"New Times"** | means New Times Shipbuilding Co. Ltd. |
| **"Nordic Arbitration"** | means Nordic Offshore and Maritime Arbitration Association. |
| **"Positive Settlement Payment"** | shall have the meaning set out in Clause 6.9. |
| **"Services"** | means the services described in Schedule 2 hereto. |
| **"Subsidiary Board"** | means the board of directors of a Subsidiary. |
| **"Subsidiaries"** | the corporate entities identified in Schedule 1 hereto, as applicable from time to time pursuant to clause 2.2. |

---

------

---

| | |
|:---|:---|
| **"Termination Date"** | shall have the meaning set out in Clause 10.1. |
| **"Vessels"** | means the vessels from time to time ordered or owned by the Subsidiaries. |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.** **CONFIRMATION OF ENGAGEMENT** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.1** The Company, acting on its own behalf and on behalf of the Subsidiaries, hereby confirms the engagement of the Manager as the provider of Services to each and all of them on the terms set forth in this Agreement. The terms of this
 Agreement shall apply to the provision of management services by the Manager with effect from 1 January 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**2.2** The Company may, by written notice to the Manager, introduce further corporate entities owned by the Company as recipients of Services hereunder. <br> Further, a Subsidiary may be excluded as a recipient of Services as a consequence of being sold or liquidated. <br> The Parties agree, in both events, to prepare an updated version of Schedule 1 in order to document such change. <br> Such change shall, in relation to a new Subsidiary, be effective from the date it adheres hereto by signing a new Schedule 1 and, in relation to a Subsidiary no longer receiving Services hereunder, from
 the date it was sold or liquidated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.** **THE GROUP'S MANAGEMENT FUNCTIONS** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.1** Ultimate responsibility for the administration of the Company lies with the Board. This shall include the setting of goals for the Company and the development and approval of plans to achieve such goals.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.2** The Board has, in order to limit its and the Group's liability, resolved to organise the asset owning activities of the Group in the Subsidiaries. While each Subsidiary Board is responsible for the administration of the Subsidiary it
 serves, overall coordination of the Group's activities rests with the Board. The Board will exercise authority over the individual Subsidiary by exercising the Company's shareholder rights and otherwise in accordance with applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.3** The overriding principle applicable to the relationship between the Manager and each of the Customers is that the Board and each Subsidiary Board retains full authority to act on behalf of their respective Customer and that the Manager's
 authority to act is limited as expressly set out herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.4** The Manager shall perform Services in accordance with the requirements of the Board and each Subsidiary Board, and report to such persons as, from time to time, shall be appointed by the Board and each Subsidiary Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**3.5** The Manager shall, on matters of particular importance to a Subsidiary, ensure that the relevant Subsidiary Board is informed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.** **THE SERVICES** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.1** The Manager shall provide the Services to the Customers as and when required by them.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.2** The Manager shall always seek to organise the activities performed by it in providing the Services in the most cost-efficient manner.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**4.3** As further set out in clause 6.3, the Board, and each Subsidiary Board, is entitled to, provided reasonable notice in writing is given, modify, redefine or exclude any part of the Services to be provided to such Customer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.** **GENERAL CONDITIONS** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.1** The Manager shall, in performing its duties hereunder, serve the Customers effectively and in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.2** In exercising the powers and authorities hereby conferred on it, the Manager shall:

<br> a) always use its best endeavours to protect and promote the interests of the Customers;

<br> b) comply with all applicable laws, safety, and environmental regulations relevant to the activities of the Customers and the provision of the Services; and

<br> c) always act in accordance with good and professional management practice, which in any event shall be a standard no less than the generally accepted industry operating practices, methods and acts applicable to services similar to the Services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.3** The Manager shall, subject to the prior written approval of the Board, have the right to sub-contract parts of the Services to third parties; PROVIDED THAT:

<br> a) all subcontracts shall be fair and reasonable to the Customers and shall be negotiated on an arm's length basis;

<br> b) all subcontracts shall reflect the terms set forth herein which are applicable to the Manager as if such third party was the Manager hereunder; and

<br> c) no such subcontract shall create any relationship between, on the one hand, the Customers and, on the other hand, any such third party.

No subcontractor is intended to be or shall be deemed to be a third-party beneficiary of this Agreement. Notwithstanding anything contained herein to the contrary, the Manager shall not be entitled to any indemnification from any Customer hereunder with respect to any Losses caused by or arising from any Services performed by any third party hereunder.<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.4** The Board and the Subsidiary Boards may, at any time, engage other managers to perform specific management services to the relevant Customer. The division of responsibility between the Manager and such other service provider in those
 instances shall always be decided by the relevant Customer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.5** All discounts, commissions and other benefits received by the Manager and/or its employees from third parties as a consequence of the provision of the Services shall be disclosed to the Board as soon as reasonably practicable and, unless
 otherwise agreed by the Board, placed at the Company's or, as the case may be, the relevant Subsidiary's disposal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.6** The Customers shall, at all times, be allowed full access to (i) the accounts and records of the Manager and (ii) any directors, officers, employees or other representatives of the Manager, which are relevant to the performance of the
 Services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.7** Representatives of the Company's auditors shall, in relation to the audit of the Company's and the Group's accounts, always be authorised to access all the Managers' accounts, records and personnel.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**5.8** The Manager shall, upon request, provide the Company with copies of all documents relevant to the Company or a Subsidiary in its possession and otherwise compile such facts and records on the basis of such documents as shall, from time to
 time be requested by the Board or a Subsidiary Board.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.** **MANAGEMENT FEE** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.1** The Company, on behalf of itself and the Subsidiaries, shall pay the Manager a fee (the "**Management Fee**") as consideration for the Manager's provision of the Services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.2** The Company acknowledges that it only will receive and benefit from a part of the Services and that the Subsidiaries will be the recipients of the remainder thereof. <br> The Company is responsible for allocating the Management Fee among the Customers and instruct the Manager in due time prior to each invoice date to which Customers the Manager shall send its invoices. <br> The Manager shall, if so requested by the Company, assist the Company with such allocation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.3** From the Effective Date, the Management Fee shall be subject to yearly estimates and calculation. The Parties shall, in due time prior to the commencement of each calendar year (for the first time within two weeks from the date of this
 Agreement, cf. Clause 6.6, and then prior to 1 January 2024), discuss the expected activity level of each Customer in such year. For the purpose of enabling the Manager to estimate the Management Fee and enabling the Manager to adapt its
 resources to the expected scope of the Services in such year, the Company shall advise the Manager which Services each Customer is expected to require in the coming year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.4** The Management Fee shall equal the aggregate of the Marked-Up Costs and the Shared Costs each year. <br> For the purpose of calculating the Management Fee, the following terms shall have the following meanings: <br> "**Marked-Up Costs**" means the direct payroll costs for the Manager allocated to the performance of Services hereunder plus the Margin calculated thereon. <br> **"Margin"** means 13%. <br> "**Shared Costs**" means the Manager's infrastructure costs in a calendar year related to and enabling the performance of the Services, including for example the
 Customers' share of IT services, office costs etc., such allocation between the Manager and the Customers to be agreed between the Manager and the Company from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.5** Following the discussions contemplated in clause 6.3, the Manager shall provide the Company with an estimated Management Fee for the coming calendar year (the "**Estimated Management Fee** "). The
 Estimated Management Fee shall be provided by the Manager to the Company in writing, and the estimate shall include a breakdown of the estimated payroll costs allocated to the performance of the services and the Shared Costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.6** For the calendar year 2023, the Parties shall agree the Estimated Management Fee within two weeks from the date of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.7** The Company may request from the Manager overviews of time spent and costs accrued in connection with the provision of the Services. Upon such requests, the Manager shall provide such requested information to allow the Company to
 reasonably evaluate the Management Fee and the Services.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.8** The Estimated Management Fee shall be invoiced by the Manager to the Company quarterly, in four equal tranches, within reasonable time after the end of each quarter, the first of which being Q1 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.9** If the Manager would reasonably be required to expect the Management Fee to exceed the Estimated Management Fee with 15%, the Manager shall inform the Company in writing without delay, setting out the reasons for such overrun. If the
 Manager fails to comply with this provision, the Management Fee shall not exceed 115% of the Estimated Management Fee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.10** If the Management Fee exceeds the Estimated Management Fee in a year, the difference shall be paid as a "**Positive Settlement Payment**" by the Company to the Manager. If the Management Fee is less than
 the Estimated Management Fee in a year, the difference shall be paid as a "**Negative Settlement Payment**" by the Manager to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.11** No later than 15 days after the date when the Manager's annual accounts have been finalized and audited, the Manager shall send to the Company a written summary of the actual Marked-Up Costs incurred in the preceding year, which shall be
 supported by such information and calculations as shall be reasonably required by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.12** The Positive Settlement Payment or Negative Settlement Payment, as applicable, shall take place no later than 15 days after the date of the written summary described in Clause 6.10.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.13** The Parties will, from time to time, review the market for compatible services to the Services and make such adjustments as they shall see fit to ensure that the Management Fee is market compatible.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**6.14** In the event the tax authorities of either Party's jurisdiction, at any time, applies, for transfer pricing purposes, a compensation from the Company to the Manager that differs from the Management Fee, the Company shall have the right to
 demand a corresponding adjustment of the Management Fee. Any such adjustment shall be settled by payment of the adjustment amount between the parties no later than 15 calendar days after the relevant tax authorities' decision is final.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.** **AUTHORITY** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.1** The Manager is, subject to the limitations set forth herein, authorised to act on each Customer's behalf and shall, in so doing, bind such Customer by its signature. <br> The general authority set forth above shall be limited as follows:

<br> a) the Manager shall not be authorised to act for a Customer outside the scope of the Services unless specifically authorised in writing by the relevant Customer;

<br> b) the Manager's authority to act shall not go beyond the limitations set forth in relation to each Service component; and

c) the Manager's authority shall always be limited by applicable laws (including, but not limited to the law of the jurisdiction in which a Customer is incorporated), the Customer's articles of association, bye-laws or similar constitutional document and the specific limitations set forth herein and/or as set out in any shareholders' agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.2** The Manager's authority hereunder shall be documented by the provisions of this Agreement. <br> The Board or a Subsidiary Board shall, if so requested by the Manager, provide the Manager, for use in relation to third parties, with a written power of attorney documenting the delegation of authority set forth herein, whether to the
 Manager or individual employees of the Manager.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.3** It is understood and agreed between the Parties that the Services are of an administrative and execution nature and that the Manager's authority is limited to the implementation and follow-up of the decisions taken by the Board and the
 Subsidiary Boards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.4** The Board and each Subsidiary Board can authorise individual employees of the Manager to act on behalf of the Company and/or a Subsidiary within set limits, either on a general basis or in a specific matter. The Board and each Subsidiary
 Board can also perform any part of the Services or engage other service providers to perform these, and thereby suspending the Manager's obligation to provide such Services, always subject to due notice having been given to the Manager in
 advance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.5** The Customers hereby ratify, confirm and undertake, when relevant, to allow, ratify and confirm, all actions the Manager and/or its employees shall lawfully take or cause to be taken on behalf of the Customers in the bona fide performance
 of the Services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.** **INDEMNITY AND LIABILITY** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.1** The Manager shall not be under any liability whatsoever to any Customer for any loss, damage, delay or expense of whatsoever nature, whether direct or indirect (including but not limited to loss of profit arising out of or in connection
 with detention or delay of a vessel) and howsoever arising in the course of performance of the Services UNLESS the same is proved to have resulted solely from the negligence, gross negligence or wilful misconduct of the Manager or its
 employees or agents or sub-contractors employed by the Manager in connection with the Services, in which case the Manager's aggregate liability to the relevant Customer for each incident or series of incidents giving rise to a claim or claim
 shall never exceed an amount equal to the Management Fee paid to the Manager in the preceding (to the incident) calendar year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.2** The Company agrees to indemnify and keep the Manager and its employees indemnified against any and all liabilities, costs, claims, demands, proceedings, charges, actions, suits or expenses of whatsoever kind or character that may be
 incurred or suffered by any of them howsoever arising (other than by reason of fraud or dishonesty on their part) in connection with the provisions of the Services ()"**Losses** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.3** If the Board or a Subsidiary Board require the Manager to take any action which, in the opinion of the Manager, might result in the Manager becoming liable for the payment of any money or liable in any other way, the Manager shall be kept
 indemnified by the relevant Customer in an amount and a form satisfactory to it as a prerequisite to taking such action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.4** The indemnities provided by the Company hereunder shall cover all reasonable costs and expenses payable by the Manager in connection with any claims to which the indemnity obligation of the Company applies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.5** The indemnification provided by the Company pursuant to this Clause 8 shall not be deemed exclusive of any other rights to which those seeking indemnification may be entitled under any statute, agreement, the bye-laws of the Company or
 otherwise, and shall continue after the termination of this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8.6** Notwithstanding anything contained herein to the contrary, the Manager shall not be entitled to any indemnification in connection with any Losses or other indemnity provided herein to the extent any Losses (or other indemnification
 obligation) arises from or is caused by any gross negligence, wilful misconduct, fraud or breach of this Agreement by the Manager, its employees or any third-party subcontractor to the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.** **CONFIDENTIALITY** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.1** All Confidential Information furnished to the Manager or any of its employees or directors pursuant to this Agreement, shall be and remain the property of the relevant Customer, and shall be kept confidential by the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.2** For the purpose of this clause "**Confidential Information**" shall mean information (however recorded, preserved or disclosed) relating to the business of the Group which the Manager becomes aware of,
 receives or generates in the course of or in connection with the performance of the Services hereunder, including (without limitation) Vessel specifications, plans, models, drawings, designs, technical and/or financial studies, data or
 commercial and/or financial information, information about actual or potential customers, information relating to charterparties and charter rates, and information about Vessel insurances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.3** The provisions of Clause 9.1 shall not apply to Confidential Information which is:

<br> a) public;

b) required to be disclosed by law or court order (in which case the Manager may disclose such information only to the extent required by applicable law, and, if requested by the Company, shall cooperate with the Company in obtaining any protective order (or similar protection) with respect to such Confidential Information); or

<br> c) becomes public knowledge otherwise than as a result of the conduct of the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10.** **TERMINATION** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10.1** Each of the Company and the Manager may terminate this Agreement following no less than 1 month's prior written notice to the other Party. <br> The date of termination shall be the date specified in the notice of termination referred to above, which in any event shall be at least one month from the date of the said notice (the "**Termination Date** "). <br> The Agreement shall automatically terminate on the Termination Date in relation to the Subsidiaries if terminated pursuant to the above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10.2** Termination shall be without prejudice to any rights or liabilities of the Parties hereto arising prior to the Termination Date or in respect of any act or omission occurring prior to termination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10.3** In the event of termination, the Management Fee proportional to the number of days since the latest invoice shall be paid up to the Termination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10.4** In the event of termination of this Agreement by the Manager, the Manager shall procure that all such acts are done as may be necessary to give effect to such termination. The Company shall secure, and the Manager shall co-operate in the
 appointment of a substitute manager as circumstances may require.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**10.5** Upon the termination of this Agreement, the Manager shall hand over to the Company all books of account, correspondence and records relating to the affairs of the Company and the Subsidiaries which are the property of the Company and the
 Subsidiaries and which are in its (or its representatives') possession.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**11.** **DEFAULT** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**11.1** If the Manager shall, by any act or omission, be in material breach of any material obligation under this Agreement and such breach shall continue for a period of 14 calendar days after written notice thereof has been given by the Company
 to the Manager, the Company shall have the right to terminate this Agreement with immediate effect by notice to the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**11.2** The right to terminate this Agreement pursuant hereto shall be in addition to and without prejudice to any other rights which the Company may have against the Manager hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**11.3** The Manager and the Company (but not a Subsidiary) may forthwith, by notice in writing to the other Party, terminate this Agreement if an order is made or a resolution passed for the winding up of the other Party or if a receiver be
 appointed of the business or property of the other Party, or if the other Party shall cease to carry on its business or makes any special arrangements or composition with its creditors or if any event analogous with any of the foregoing
 occurs under any applicable law with relevance to the other Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**11.4** Clauses 10.3 to 10.5 shall apply if the Company terminates this Agreement pursuant to Clauses 11.1 or 11.3.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12.** **FORCE MAJEURE** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12.1** No Party shall incur liability of any kind or nature whatsoever in relation to the other Parties in the event of a failure to perform any of its obligations hereunder if such failure is directly or indirectly caused by circumstances beyond
 its control such as war or war-like activities, government orders, riots, civil commotion, strike, lock-out or similar actions, an act of God, peril of the sea or any other similar cause.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12.2** In the event that a situation gives rise to force majeure which prevents the Manager from performing the Services, whether in whole or in part, the Parties agree that the Manager may, in good faith, obtain substitute performance; provided,
 however, if such situation continues for a period longer than three (3) months, the Company shall be entitled to terminate this Agreement by giving one (1) month's prior written notice in writing to the Manager, in which the date of
 termination shall be set out in writing. The provisions of Clauses 10.3 to 10.5 shall, in such event, apply.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.** **ANTI-CORRUPTION, ANTI-MONEY LAUNDERING AND SANCTIONS COMPLIANCE** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.1** Without limitation of any other standard that may apply to a particular action as set forth herein, with respect to the conduct and performance of all duties and obligations (including the provision of Services) of the Manager hereunder,
 the Manager shall, and shall cause its directors, officers, employees and other representatives who provide any Services hereunder, to conduct itself, himself or herself with that degree of care, diligence and skill of a reasonable prudent
 operator consistent with industry-standard practices in the shipping industry and to the Company's satisfaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.2** The Manager shall, and shall cause its directors, officers, employees and other representatives who provide any Services hereunder, to comply with all applicable laws in connection with the provision of the Services under this Agreement,
 including applicable provisions of any applicable Norwegian law, the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, the United States Foreign Corrupt Practices Act of
 1977, the UK Bribery Act of 2010, the Bermuda Bribery Act of 2016, the regulations or orders issued by the Office of Foreign Assets Control of the United States Department of the Treasury, and the rules and regulations promulgated under each
 of the foregoing acts (each of which as may be amended, supplemented or superseded from time to time) (the "**ABC Legislation** ").

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.3** Without limiting the generality of the foregoing, neither the Manager nor any of its directors, officers, employees and other representatives who provide any Services hereunder has made or authorized or shall make or authorize, directly or
 indirectly, any offer, gift, payment or transfer, or promise of, any money or anything else of value, or provide any benefit, to any government official, government entity, commercial entity or person that would result in a breach of the ABC
 Legislation or any other applicable laws relating to anti-bribery or anti-corruption of any jurisdiction in which the Company conducts business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.4** The Manager shall further ensure that the Manager maintains complete and accurate books and records in accordance with and as required by the ABC Legislation and generally accepted accounting principles. Furthermore, the Manager shall, and
 shall cause its directors, officers, employees and other representatives who provide any Services hereunder, to strictly comply at all times with anti-bribery, anti-corruption, anti-terrorism, sanctions and anti-money laundering laws and
 regulations in any jurisdiction in which the Group engages in any activity contemplated by this Agreement and shall strictly comply with the Manager's and the Company's policies and procedures, including for example the Manager's and the
 Company's corporate governance policies, code of conduct, and know-your-customer, anti-money laundering- and sanctions policies applicable from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.5** The Manager shall cause a duly authorised officer to certify the Manager's compliance with the provisions of this Clause 13 if and when requested by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**14.** **FURTHER ASSURANCES** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**14.1** Each Party will at any time do or procure to be done by a third party, so far as may be reasonably within its power and as may be reasonably requested of it, all acts or things and/or execute or procure the execution of all documents in a
 form satisfactory to the other parties as is or are required to give full effect to the provisions of this Agreement and the transaction intended to be effected pursuant to it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.** **PERSONAL DATA PROTECTION** **** <br> **In this Clause 15, the following definitions shall apply: <br> " Data Controller " and " Data Processor " shall have the meanings given in the Data Protection Legislation. <br> " Data Protection Legislation " shall mean the General Data Protection Regulation (*(EU) 2016/679*) and any other directly applicable European Union regulation relating to privacy and Local Protection Legislation. <br> " Local Protection Legislation " shall mean any data protection legislation from time to time in force in the place of incorporation of either Party and/or the governing law of this Agreement. <br> " Personal Data " shall mean information constituting personal data for the purposes of the Data Protection Legislation.** 

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.1** The Parties will comply with all applicable requirements of the Data Protection Legislation. This Clause 15 is in addition to, and does not relieve, remove or replace, a Party's obligations under the Data Protection Legislation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.2** The Parties acknowledge that they will receive Personal Data from each other.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.3** The Parties shall only process Personal Data for the provision of Services and otherwise in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.4** Without prejudice to the generality of Clause 15.3, each Party will ensure that it has all necessary appropriate consents and notices in place to enable lawful transfer of Personal Data to the other Party for the duration of this
 Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.5** Without prejudice to the generality of Clause 15.3, a Party shall, in relation to any Personal Data processed:

a) keep that Personal Data confidential and process it only in order to fulfil the provision of Services, or on the written instructions of the other Party unless the Party is required by applicable laws to otherwise process that Personal Data. Where a Party is relying on laws of a member of the European Union or European Union law as the basis for processing Personal Data, the Party shall promptly notify the other Party of this before performing the processing required by the applicable laws unless those applicable laws prohibit the Party from so notifying the other Party;

b) ensure that it has in place appropriate technical and organisational measures, reviewed and approved by the other Party, to protect against unauthorised or unlawful processing of Personal Data and against accidental loss or destruction of, or damage to, Personal Data, appropriate to the harm that might result from the unauthorised or unlawful processing or accidental loss, destruction or damage and the nature of the data to be protected, having regard to the state of technological development and the cost of implementing any measures (those measures may include, where appropriate, pseudonymising and encrypting Personal Data, ensuring confidentiality, integrity, availability and resilience of its systems and services, ensuring that availability of and access to Personal Data can be restored in a timely manner after an incident, and regularly assessing and evaluating the effectiveness of the technical and organisational measures adopted by it);

<br> c) not transfer any Personal Data outside of the European Economic Area unless the prior written consent of the other Party has been obtained and the following conditions are fulfilled:

<br> i. the other Party or the Party has provided appropriate safeguards in relation to the transfer;

<br> ii. the data subject has enforceable rights and effective legal remedies;

<br> iii. the Party complies with its obligations under the Data Protection Legislation by providing an adequate level of protection to any Personal Data that is transferred; and

iv. the Recipient complies with reasonable instructions notified to it in advance by the other Party with respect to the processing of the Personal Data;

d) assist the other Party, at the other Party's cost, in responding to any request from a data subject and in ensuring compliance with its obligations under the Data Protection Legislation with respect to security, breach notifications, impact assessments and consultations with supervisory authorities or regulators;

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<br> e) notify the other Party without undue delay on becoming aware of a Personal Data breach;

<br> f) maintain complete and accurate records and information to demonstrate its compliance with this Clause 15 and upon the other Party's request without undue delay and at the other Party's cost allow for audits by the other Party or the other Party's designated auditor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.6** A Party is only authorized to engage third-party processors of Personal Data to the extent permitted under this Agreement. A Party shall inform the other Party of any intended changes concerning the addition or replacement of such
 third-party processors, thereby giving the other Party the opportunity to object to such changes. As between the other Party and the Party, the Party shall remain fully liable for all acts or omissions of any third-party processor appointed
 by it pursuant to this Clause 15.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.7** A Party may, at any time on not less than 30 calendar days' notice, revise this Clause 15 by replacing it with any applicable controller to processor standard clauses or similar terms forming part of an applicable certification scheme
 (which shall apply when replaced by attachment to this Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.8** Upon the termination of the Agreement, the Parties shall either delete or return all Personal Data belonging to the other Party, except for Personal Data that a Party is entitled to retain by reason of applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16.** **MISCELLANEOUS** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16.1** Nothing in this Agreement creates a partnership or joint venture relationship between the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16.2** This Agreement is binding upon and will ensure for the benefit of the personal representatives of the Parties or the successors in title to or transferees of the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16.3** Except for Schedule 1, no purported alteration of this Agreement or of any of the documents referred to in this Agreement shall be effective unless it is in writing, refers specifically to this Agreement and is duly executed by each Party
 hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**16.4** No Party is entitled to assign or otherwise transfer its rights or obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17.** **GOVERNING LAW AND JURISDICTION** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17.1** This Agreement shall be governed and construed by and in accordance with Norwegian law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17.2** If any dispute between the Parties arises as to any matter arising under or out of or in connection with this Agreement, the Parties shall in the first instance attempt to settle the dispute amicably by reference of the dispute to the
 senior management of the Parties for negotiation and resolution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17.3** If the dispute remains unresolved within fourteen (14) days from the commencement of such negotiation, it shall be finally settled by arbitration under the rules of arbitration procedure adopted by the Nordic Offshore and Maritime
 Arbitration Association ()"**Nordic Arbitration**") in force at the time when such arbitration proceedings are commenced. Nordic Arbitration's Best Practice Guidelines shall be taken into account and Nordic
 Arbitration's Fast Track Arbitration Rules shall be applied when the aggregate disputed amounts do not exceed the threshold set out in these rules (currently USD 250,000).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17.4** The place of arbitration shall be Oslo, Norway and the language of the arbitration shall be English. The arbitration tribunal shall be composed of three (3) arbitrators.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**17.5** Notwithstanding the above, the Parties may agree at any time to refer to mediation any difference and/or dispute arising out of or in connection with this Agreement.

**IN WITNESS WHEREOF**, each of the undersigned has caused this Agreement to be duly signed as of the date first above written.

---

| | |
|:---|:---|
| For and on behalf of | For and on behalf of |
| **HIMALAYA SHIPPING LTD.** | **2020 BULKERS MANAGEMENT AS** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*]<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[\*\*\*] |
| [\*\*\*] | [\*\*\*] |
| Director | CEO, Director |

---

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#### Schedule 1

#### LIST OF SUBSIDIARIES

This is the schedule of Subsidiaries referred to in Clause 1.2 of the Agreement, true and correct as of the date hereof.

The Company shall be entitled to amend this Schedule 1 further to Clause 2.2 of the Agreement, and this Schedule 1 shall, in such event, be replaced and superseded by any such amendments.

---

| | | | |
|:---|:---|:---|:---|
| **Name of Subsidiary** | **Jurisdiction** | **Date of Adherence to the Agreement as a Subsidiary** | **Signature**<br> **** <br>|
| Mount Norefjell Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Ita Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Etna Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Blanc Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Matterhorn Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Neblina Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Bandeira Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Hua Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Elbrus Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Denali Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Aconcagua Inc. | Liberia | The Effective Date | [\*\*\*] |
| Mount Emai Inc. | Liberia | The Effective Date | [\*\*\*] |

---

By signing in the table above, each Subsidiary agrees to be bound by the terms of the Agreement.

------

#### Schedule 2

#### THE SERVICES

**1.** **Newbuilding Supervision and Delivery**

**A.** The Manager shall be responsible for the construction of the Vessels and the subsequent delivery thereof by the yard to the Subsidiaries.

**B.** The Board has appointed Messrs SeaQuest Marine Project Management Ltd. ("**SeaQuest**") as the on-site supervisor of the construction of the Vessels whereafter the Manager's responsibility pursuant to (1 A) shall be limited to liaising with/supervising SeaQuest on behalf of the Board and each Subsidiary Board until the Vessels are ready for delivery, following up on New Times' compliance with the Shipbuilding Contracts and specifications.

**C.** The Manager shall liaise with the designated flag state and classification society of the Vessels ensuring that their requirements are met.

**D.** The Manager shall, in the event further newbuildings are ordered, assist in the organization of on-site supervision, whether by contracting such services from SeaQuest or another provider.

**2.** **Employment of the Vessels**

**A.** The Manager shall, on behalf of the Company and the Subsidiaries, market the Vessels and seek their employment in accordance with such policy as, from time to time, is approved by the Company.

**B.** The Manager shall, on behalf of the Company and the Subsidiaries, negotiate, re-negotiate or, where applicable, terminate, contracts of affreightment, fixtures and charterparties, provided the Manager has obtained the consent of the Company before executing any such contract of affreightment, fixture or charterparty, or any amendments thereto or the termination thereof.

**3.** **Technical Management of the Vessels**

**A.** The Manager shall assist the Group in designating the providers of technical and operational management services of the Vessels, negotiating the terms of such services and, when approved by the Board and the Subsidiary Boards, conclude such agreements as shall document the same.

**B.** The Manager shall supervise the providers of technical and operational management services to the Vessels always ensuring that the Group's policies are adhered to and that the services are provided in a cost-efficient manner.

**C.** The Manager shall, in respect of such services as are referred to in Clause 2.A, be authorised to act on behalf of the Company or, as the case may be, a Subsidiary vis-à-vis the specific service provider, save that the Manager may not amend the terms of or terminate a service agreement without the consent of the Board or the relevant Subsidiary Board.

**4.** **General Purchasing**

**A.** The Manager shall arrange for the purchasing of any services and assets required by a Customer in connection with its activities. In so doing, the Manager shall always seek to identify providers of services and assets of the quality required by the relevant Customer and on the best obtainable commercial terms.

------

**5.** **Insurances**

**A.** The Manager shall assist the Group in preparing general guidelines for cover, choice of insurers and terms for the insurance of the Vessels and submit the same to the Board and the Subsidiary Boards for approval.

**B.** The Manager shall, thereafter, regularly review such policy and propose amendments or changes thereto to the Board or the Subsidiary Boards if and when considered relevant.

**C.** The Manager shall furthermore arrange for the purchase of all insurances required by the Customer in line with the policy therefor approved by the Board or the Subsidiary Board and follow up on the relationship with the relevant insurer(s). This shall include the submittal of claims and the collection of payments under such policies as may from time to time be taken out on behalf of the Customer.

**6.** **Corporate Governance**

**A.** The Manager shall, in relation to the meetings of the Board or a Subsidiary Board, liaise with the Company Secretary and assist in providing such documentation as shall be provided to be distributed by the Company Secretary to the relevant director as a basis for such meeting.

**B.** The Manager shall keep the Company Secretary informed of any matters which need to be resolved by the Board or a Subsidiary Board and, whenever appropriate, propose that a meeting of such body is convened for this purpose.

**C.** The Manager shall assist the Company Secretary in organising all meetings of the Board or a Subsidiary Board and ensure that those of its employees which the Board or, as the case may be, a Subsidiary Board, requires the attendance of in such meeting is present therein.

**D.** The Manager shall, whenever it generates a proposal for action by the Group in relation to the Group's activities, pass such proposal on to the Company Secretary with a request that it is presented to the Board or, as the case may be, a Subsidiary Board for resolution.

**E.** The Manager shall assist with developing and implementing appropriate governance principles (always observing such requirements thereto as follows from applicable laws and regulations) for the Group and generally ensuring that the corporate governance of the Group is organised and conducted in compliance with applicable laws and regulations.

**7.** **Budgeting - Accounting - Reporting – Audit**

**A.** The Manager shall be responsible for the preparation of such budgets, whether period or project based, as the Board shall require.

**B.** The Manager shall be responsible for the day-to-day accounting for the Group and shall, in this capacity, ensure that all accounting material is stored in line with such requirements as apply thereto.

**C.** The Manager shall prepare periodic and annual accounts and reports in such form as the Board shall require from time to time.

**D.** The Manager shall prepare and file all tax returns on behalf of the Customers.

**E.** The Manager shall facilitate the annual and periodic audits of the accounts of the Company and the Subsidiaries by their auditor.

------

**F.** The Manager shall ensure that the Group comply with relevant corporate governance laws and regulations.

**G.** The Manager shall negotiate the terms subject to which the Company's auditor shall provide its services and present the same to the Board for approval.

**8.** **Listing – Listing Requirements and Investor Relations**

**A.** The Manager shall assist the Company with its listing on a European or US marketplace, including, i.a., assistance with the preparation of listing prospectuses and similar documentation, listing applications, cash flow forecasts, periodic accounts and with the general process and discussions concerning admission criteria.

**B.** The Manager shall ensure and be responsible for the Company's compliance with the continuing obligations of a company listed on such Euronext marketplace as the Company may be listed on from time to time, including, i.a., press releases, stock exchange reports, NewsWeb access and publishing, primary insider lists, website management and financial reporting.

**C.** The Manager may also provide investor relations services to the Company, as defined by the Company from time to time in accordance with clause 6.3.

**9.** **Financing**

**A.** The Manager shall assist the Company in all matters relevant to the financing of the Company's activities, including, i.a., the leasing financing for the Vessels, the Company's revolving credit facilities and other financing arrangements required from time to time.

**10.** **Treasury Functions**

**A.** The Manager shall develop an authorisation matrix setting out the routines and amount limits for the Manager's treasury functions, which shall be presented to and approved by the Board, and continuously review the same. The Manager shall furthermore ensure that such matrix is implemented in accordance with its terms.

**B.** The Manager shall be authorised to collect all amounts due from third parties to the Customers and shall be responsible for the establishment and implementation of efficient procedures for the purpose of collecting any overdue amounts.

**C.** The Manager shall arrange for the Customers to settle their debts to third parties as such fall due, always ensuring that amounts due as consideration for goods or services which do not meet required standards of quality or quantity are retained while pursuing a satisfactory solution to any dispute in relation thereto on the relevant Customer's behalf.

**D.** The Manager shall settle all inter-company accounts between the Customers in accordance with such agreements and other basis for payments as shall be in existence from time to time.

**11.** **Observance of Applicable Laws and Regulations**

**A.** The Services shall cover the assistance with the day-to-day monitoring of the Company's and each Subsidiary's activities versus all laws and regulations applicable thereto.

------

**B.** The Manager shall, if a breach of a law or regulation applicable to a Customer's activities occur, immediately inform the Board such and take such steps that will be required to mitigate the same.

**12.** **Internal Guidelines and Policies**

**A.** The Manager shall develop and present to the Board such internal guidelines as the Board shall require in relation to safety, environmental protection, ethical conduct, data protection and such other areas as required from time to time.

**B.** The Manager shall be responsible for the implementation of such guidelines as the Board shall approve and the continuous follow-up thereof.

**13.** **Dispute Resolution**

**A.** The Manager shall, in performing the Services, defend, intervene in, settle, compromise or abandon any and all legal proceedings by or against the Company or a Subsidiary on the Company or such Subsidiary's behalf and follow up the same in accordance with such instructions as shall be provided by the Board or Subsidiary Board from time to time.

**B.** The Manager shall have authority to settle legal proceedings within such limits as the Board or such Subsidiary Board from time to time shall decide.

------

## Exhibit 10.8

------

**Exhibit 10.8**

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED BECAUSE SUCH PORTIONS ARE BOTH NOT MATERIAL AND CONTAIN PERSONAL INFORMATION. THE OMISSIONS HAVE BEEN INDICATED BY ASTERISKS ("[\*\*\*]").

**AGREEMENT**

---

| | |
|:---|:---|
| This agreement (the **"Agreement")** is entered into on this 15<sup>th</sup> day of September, 2021 by and between: | This agreement (the **"Agreement")** is entered into on this 15<sup>th</sup> day of September, 2021 by and between: |
| (1) | **HIMALAYA SHIPPING LTD.,** a limited company incorporated in Bermuda and having official Bermuda registration number 56490 (the **"Company");** |
| and |  |
| (2) | **MAGNI PARTNERS (BERMUDA) LIMITED,** a limited company incorporated in Bermuda and having official Bermuda registration number 50059 **("Magni")** |
| (hereinafter jointly referred to as the **"Parties"** and, individually, as a **"Party").** | (hereinafter jointly referred to as the **"Parties"** and, individually, as a **"Party").** |
| **WHEREAS:** | **WHEREAS:** |
| (A) | Magni identified an opportunity to order a number of identical 210,000 DWT, dual fuel bulk carriers from New Times Shipbuilding Co. Ltd. (the **"Yard")** in China on attractive terms in Q1/2021 (the **"Business Opportunity").** |
| (B) | Magni pursued the Business Opportunity and, following the execution of an initial letter of intent between Magni and the Yard on 27 January 2021 (the **"LoI"),** negotiated and finalised the terms of four firm shipbuilding contracts (the **"Initial Contracts")** and an option agreement providing the right to order, at fixed prices, a further four plus four newbuildings with the same specifications as the first four vessels (together, the **"Vessels")** from the Yard on behalf of companies to be incorporated (the **Option Agreement").** |
| (C) | Magni incorporated the Company in March, 2021. |
| (D) | The Company incorporated four subsidiaries immediately after its own incorporation and nominated these as the counterparties to the Yard in the Initial Contracts. |
| (E) | The Company signed the Option Agreement at its incorporation. |
| (F) | The Yard agreed, concurrent with the conclusion of the Initial Contracts, to pay an address commission of 1% of the purchase price in each of the Initial Contracts to the Company or its nominee (the **"Address Commissions").** |
| (G) | Magni provided all of the management resources required to incorporate the Company, set up its initial corporate structure and administrative infrastructure. |
| (H) | Magni organised the first two private placements of new shares in the Company for the purpose of part financing the Company's newbuilding program pursuant to which USD 45 mill. in gross proceeds have been raised. |
| **NOW THEREFORE,** it is hereby agreed as follows: | **NOW THEREFORE,** it is hereby agreed as follows: |
| **1.** | **INITIAL PROJECT DEVELOPMENT – COMPENSATION** |
| **1.1** | The Company recognises that it was Magni which identified the Business Opportunity and secured the attractive building slots at the Yard for the Company's benefit by way of concluding the LoI in January 2021. |

---

---

| | |
|:---|:---|
|  | Further, the Company recognises that Magni developed the technical specifications for the Vessels and negotiated the commercial terms in the Initial Contracts (which have been applied in relation to all of the Vessels). |
| **1.2** | The Parties confirm that their intention was that Magni should be compensated for the benefits provided to the Company as aforesaid by way of having the Address Commissions relevant to the Initial Contracts assigned to itself. |
|  | The effect of this was communicated to the investors who subscribed to new shares in the Company in its initial private placement by way of the purchase price for the first four of the vessels being cited as the gross price set forth in the Initial Contracts (with no deduction for the Address Commission) whilst the price quoted for the subsequent eight of the vessels were cited net of the Address Commission. |
| **1.3** | [\*\*\*] |
| **1.4** | In view of the above and the Company's desire to continue to benefit from the expertise and experience of Magni and its employees in the development of the group in which the Company is parent, the Company has agreed to compensate Magni with an amount equal to the aggregate amount of the Address Commissions actually received by the Company's subsidiaries which are parties to the Initial Contracts (the **"Initial Fee")** on the conditions that: |

---

(i) the four subsidiaries of Himalaya having ordered the first four fo the vessels actually receiving the
 benefit of the Address Commissions attributable thereto from the Yard; and

(ii) Magni continuing to support the Company and its subsidiaries in their development, primarily in relation to the equity and debt financing
 of the Vessels and the Company.

**2.** **CONTINUED CORPORATE SUPPORT** 

**2.1** Magni's continued support to the Company's business development shall include:

---

| | |
|:---|:---|
| (i) | assisting the Company in securing pre- and post-financing of its newbuilding program by way of raising equity and loans; |
| (ii) | assisting the Company in finding employment for the Company's vessels; |
| (iii) | assisting the Company in recruiting suitable individuals to the Company's organisation; |
| **and** |  |
| (iv) | generally supporting the Company with such high level administrative support as the Company shall require from time to time. |

---

**3.** **SETTLEMENT OF THE INITIAL COMPENSATION** 

**3.1** The Company shall, subject to the conditions in Clause 1.4 having been met, pay Magni the Initial Fee by way of four tranches, each equal
 to the benefit of the Address Commission received by those of the Company's subsidiaries which are parties to the Initial Contracts on their settlement of the last instalment due thereunder.

---

| | |
|:---|:---|
|  | The Parties agree that such payment shall be made by the Company in cash no later than 5 business days after the date of delivery (and payment of the last instalment as aforesaid) of each of the first four of the vessels to a bank account nominated by Magni for this purpose. |
| **4.** | **ADDITIONAL COMPENSATION – REIMBURSEMENT OF COST** |
| **4.1** | Magni shall, in the event their continued administrative support of the Company, whether in relation to a singular transaction or a prolonged process, creates significant value for the Company or represents a material saving of cost, request that the Company pays Magni an ad hoc compensation for such support. |
|  | Such compensation can take the form of a cash payment, the issue of warrants to subscribe to shares in the Company or the granting of options to acquire shares in the Company. |
| **4.2** | The Company shall, upon request and receipt of acceptable documentation, reimburse Magni for all out-of-pocket costs incurred by Magni on behalf of the Company in direct pursuit of the tasks set forth in Clause 2.1, provided always that any single expense in excess of USD 10,000 for which Magni will claim reimbursement shall require the pre-approval of the Company. |
| **5.** | **AUTHORITY** |
| **5.1** | Magni shall have no general authority to act on behalf of the Company. |
| **5.2** | The Company may, from time to time (and always in relation to a specific situation), authorise individuals in the service of Magni to act on the Company's behalf in a specified capacity. |
| **6.** | **INDEMNITIES** |
| **6.1** | The Company agrees to indemnify and keep Magni and its employees indemnified against any and all liabilities, costs, claims, demands, proceedings, charges, actions, suits or expenses of whatsoever kind or character that may be incurred or suffered by any of them howsoever arising (other than by reason of fraud or dishonesty on their part) in connection with the provisions of any services to the Company as set forth herein. |
| **6.2** | The indemnities provided by the Company hereunder shall cover all reasonable costs and expenses payable by Magni in connection with its defence against any third party claims to which the indemnity obligation of the Company applies. |
| **6.3** | The indemnification provided by the Company pursuant to this Clause 6 shall not be deemed exclusive of any other rights to which those seeking indemnification may be entitled under any statute, agreement, the bye-laws of the Company or otherwise and shall continue after the termination of this Agreement. |
|  | Notwithstanding anything contained herein to the contrary, Magni shall not be entitled to any indemnification in connection with any losses to the extent such losses arise from or are caused by the gross negligence, wilful misconduct, fraud or breach of this Agreement by Magni. |
| **6.4** | Magni shall be under no liability whatsoever to the Company for any loss, damage, delay or expense of whatsoever nature, whether direct or indirect and howsoever arising, as a consequence of Magni's actions or inactions hereunder UNLESS such loss is proved to have resulted solely from the gross negligent or wilful misconduct of Magni's or its employees' actions or inactions and further provided that Magni's liability to the Company for each incident or series of incidents giving rise to a claim shall never exceed USD 100,000. |

---

---

| | |
|:---|:---|
| **7.** | **CONFIDENTIALITY** |
| **7.1** | All Confidential Information furnished to Magni or any of its employees by the Company pursuant to this Agreement, shall be and remain the property of the Company and shall be kept confidential by Magni. |
|  | For the purpose of this clause **"Confidential Information"** shall mean information relating to the business of the Company which Magni becomes aware of, or generate in the course of or in connection with the performance of its obligations hereunder. |
|  | The provisions of this Clause 7.1 shall not apply to Confidential Information which is: |

---

(i) public;

(ii) required to be disclosed by applicable stock exchange rules, law or court order (in which case Magni may disclose such information only to
 the extent required by applicable law, and, if requested by the Company, shall cooperate with the Company in obtaining any protective order (or similar protection) with respect to such Confidential Information); or

(iii) becomes public knowledge otherwise than as a result of the conduct of Magni.

**8.** **TERMINATION** 

**8.1** The Company may terminate this Agreement following no less than two weeks' prior written notice to Magni.

**8.2** Magni cannot terminate this Agreement until the last of the four first Vessels has been delivered from the Yard unless:

---

| | |
|:---|:---|
| (i) | the Company is in material default under its obligations pursuant to this Agreement; or |
| (ii) | the Company's demand for administrative support from Magni hereunder exceeds what is reasonable. |
| Magni's termination right as aforesaid can be exercised following no less than two weeks' prior written notice to the Company. | Magni's termination right as aforesaid can be exercised following no less than two weeks' prior written notice to the Company. |

---

**8.3** Termination shall be without prejudice to any rights or liabilities of the Parties hereto arising prior to
 termination or in respect of any act or omission occurring prior to termination.

**8.4** Upon termination of this Agreement, Magni shall hand over to the Company all books of account, correspondence and records relating to the
 affairs of the Company which are the property of the Company and which are in its (or its representatives) possession.

**8.5** Magni's right to receive the Initial Fee shall remain after termination in relation to any part thereof not having been paid on the date of
 termination of this Agreement.

**9.** **ANTI-CORRUPTION** 

**9.1** Magni shall, and shall cause its employees and other representatives to, comply with all applicable laws in connection with its obligations under this Agreement,

---

| | |
|:---|:---|
|  | including applicable provisions of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, as amended (the **"USA Patriot Act"),** the United States Foreign Corrupt Practices Act of 1977, as amended (the **"FCPA"),** the UK Bribery Act of 2010 (the **"Bribery Act"),** the regulations or orders issued by the Office of Foreign Assets Control of the United States Department of the Treasury, the Bermuda Bribery Act 2012 (the **"Bermuda Act")** and the rules and regulations promulgated under each of the foregoing acts. |
| **9.2** | Without limiting the generality of the foregoing, neither Magni nor any of its employees and other representatives has made or authorized or shall make or authorize, directly or indirectly, any offer, gift, payment or transfer, or promise of, any money or anything else of value, or provide any benefit, to any government official, government entity, commercial entity or person that would result in a breach of the USA Patriot Act, the FCPA, the Bribery Act, the Bermuda Act or any other applicable law relating to anti-bribery or anti-corruption in any jurisdiction in which the Company conducts business. |
| **9.3** | Magni shall, and shall cause its employees and other representatives who provide services to the Company hereunder, to strictly comply at all times with all anti-bribery, anti-corruption, anti-terrorism, sanctions and anti-money laundering laws and regulations in the jurisdictions in which the Company engages in any activity. |

---

**10.** **MISCELLANEOUS** 

**10.1** Nothing in this Agreement create a partnership or joint venture relationship between the Parties.

**10.2** This Agreement sets out the entire agreement and understanding between the Parties and supersedes any previous agreements between them
 relating to the matters referred to in this Agreement.

**10.3** Each Party acknowledges that, in entering into this Agreement, it does not rely on, and will have no remedy in respect of, any statement,
 representation, assurance, warranty or understanding (whether negligently or innocently made) of any person (whether party to this Agreement or not) other than as expressly set out in this Agreement.

**10.4** No purported alteration of this Agreement or of any of the documents referred to in this Agreement shall be effective unless it is in
 writing, refers specifically to this Agreement and is duly executed by each Party.

**10.5** Each provision of this Agreement is severable and distinct from the others. If any provision of this Agreement is or at any time becomes to
 any extent invalid, illegal or unenforceable under any enactment or rule of law in any jurisdiction, it will, to that extent, be deemed not to form part of this Agreement but (except to that extent in the case of that provision) it and all
 other provisions of this Agreement will continue in full force and effect and their validity, legality and enforceability will not be affected or impaired.

**10.6** If any provision of this Agreement is found to be invalid, illegal or unenforceable, but would be valid, legal or enforceable if some part
 of such provision were deleted or amended, that provision will apply with whatever modification(s) as are necessary to make it valid, legal and enforceable.

**10.7** No Party is entitled to assign or otherwise transfer its rights or obligations under this Agreement.

**11.** **GOVERNING LAW AND ARBITRATION** 

**11.1** This Agreement is governed by Norwegian law.

**11.2** All disputes arising under or in connection with this Agreement shall be referred to arbitration in Oslo. Arbitration shall be conducted in
 accordance with one of the procedures set forth in the Norwegian Act on Arbitration.

---

| | |
|:---|:---|
| For and on behalf of | For and on behalf of |
| **Himalaya Shipping Ltd.** | **Magni Partners (Bermuda) Limited** |
| [\*\*\*] | [\*\*\*] |

---

## Exhibit 21.1

------

#### Exhibit 21.1

#### List of Subsidiaries of the Company

---

| | |
|:---|:---|
| **Subsidiary** | **Jurisdiction of Incorporation** |
| <br> MOUNT NOREFJELL INC.<br>| <br> Liberia |
| MOUNT ITA INC.<br>| Liberia |
| MOUNT ETNA INC.<br>| Liberia |
| MOUNT BLANC INC.<br>| Liberia |
| MOUNT MATTERHORN INC.<br>| Liberia |
| MOUNT NEBLINA INC.<br>| Liberia |
| MOUNT BANDEIRA INC.<br>| Liberia |
| MOUNT HUA INC.<br>| Liberia |
| MOUNT ELBRUS INC.<br>| Liberia |
| MOUNT DENALI INC.<br>| Liberia |
| MOUNT ACONCAGUA INC.<br>| Liberia |
| MOUNT EMAI INC.<br>| Liberia |
| HIMALAYA SHIPPING MANAGEMENT<br> (UK) LIMITED | United Kingdom |

---

------

## Exhibit 23.1

**

------

Exhibit 23.1<br>

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We hereby consent to the use in this Registration Statement on Form F-1 of Himalaya Shipping Ltd. of our report dated January 27, 2023 relating to the financial statements of Himalaya Shipping Ltd., which appears in this Registration Statement. We also consent to the reference to us under the heading "Experts" in such Registration Statement.

/s/ PricewaterhouseCoopers AS

Oslo, Norway

March 7, 2023

------**

## Exhibit 99.1

------

#### Exhibit 99.1

![](logo_clarksons.jpg)

Himalaya Shipping Ltd.

S.E. Pearman Bldg., 2<sup>nd</sup> Floor,

9 Par-la-Ville Road,

Hamilton HM 11,

Bermuda

7<sup>th</sup> March 2023

Ladies and Gentlemen:

Reference is made to the registration statement on Form F-1 and the prospectus contained therein as the same may be amended from time to time, (collectively, the "Registration Statement"), relating to the Initial Public Offering of Himalaya Shipping Ltd. (the "Company"), to be filed with the with the United States Securities and Exchange Commission under the Securities Act of 1933, as amended (the "Securities Act"), relating to the public offering of common shares of the Company.

We hereby consent to all references to our name in the Registration Statement. We further advise the Company that our role has been limited to the provision of such statistical and other information supplied by us (the "Shipping lnformation"). With respect to the Shipping Information supplied by us, we advise you that:

<br> • some information in Clarksons Research's database is derived from estimates or subjective judgments;

<br> • the published information of other maritime data collection agencies may differ from this data; and

<br> • while we have taken reasonable care in the compilation of the Shipping Information and believe it to be accurate and correct, data compilation is subject to limited audit and validation procedures.

We hereby consent to (i) the references to our company in the Registration Statement described above, and (ii) the filing of this letter as an exhibit to the Registration Statement to be filed with the U.S. Securities and Exchange Commission pursuant to the Securities Act. Our consent herby shall not be deemed to be an admission that Clarkson Research Services Limited is an expert whose consent is required under Section 7 and Rule 436 of the Securities Act.

---

| | |
|:---|:---|
| ![](sig_sjgordon.jpg) | ![](sig_tcrowe.jpg) |
| For and behalf of<br> **Clarkson Research Services Limited**<br> Name: SJ Gordon<br> Designation: Director | For and behalf of<br> **Clarkson Research Services Limited**<br> Name: Trevor Crowe<br> Designation: Director |

---

Clarkson Research Services Limited

Registered office: Commodity Quay \| St Katharine Docks \| London \| ElW lBF \| United Kingdom \| England No. 1944749

T: +44 (0) 20 7334 0000

#### clarksons.com

VAT Number: GB 245 9035 56 \| Quality system registered under ISO 9001, Certified By BSI, Licence Number FS 30573

------

## Ex-Filing

------

#### Exhibit 107

#### CALCULATION OF FILING FEE TABLES

#### Form F-1
(Form Type)

#### Himalaya Shipping Ltd.
(Exact Name of Registrant as Specified in its charter)

<u>Table 1: Newly Registered and Carry Forward Securities</u>

---

| | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Security**<br> **Type** | **Fee**<br> **Calculation or Carry Forward Rule** | **Amount**<br> **Registered** | **Proposed**<br> **Maximum**<br> **Offering**<br> **Price Per Unit** | **Maximum**<br> **Aggregate**<br> **Offering Price<sup>(1)(2)</sup>** | **Fee Rate** | **Amount of Registration Fee<sup>(3)</sup>** | **Carry**<br> **Forward**<br> **Form Type** | **Carry**<br> **Forward**<br> **File Number** | **Carry**<br> **Forward**<br> **Initial**<br> **effective date** | **Filing Fee**<br> **Previously Paid**<br> **In Connection**<br> **with Unsold**<br> **Securities**<br> **to be Carried**<br> **Forward** |
| **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** | **Newly Registered Securities** |
| **Fees to Be Paid** | Equity<br> Common Shares, par value $1.00 per share<sup>(3)(4)</sup> | Rule 457(o) | – | – | $10000000 | 0.00011020 | $1102 |  |  |  |  |
| **Total Offering Amounts** | **Total Offering Amounts** | **Total Offering Amounts** | **Total Offering Amounts** |  | $10000000 |  | $1102 |  |  |  |  |
| **Total Fees Previously Paid** | **Total Fees Previously Paid** | **Total Fees Previously Paid** | **Total Fees Previously Paid** |  |  |  | – |  |  |  |  |
| **Total Fee Offsets** | **Total Fee Offsets** | **Total Fee Offsets** | **Total Fee Offsets** |  |  |  | – |  |  |  |  |
| **Net Fee Due** | **Net Fee Due** | **Net Fee Due** | **Net Fee Due** |  |  |  | $1102 |  |  |  |  |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Estimated solely for the purpose of calculating the amount of the registration fee in accordance with Rule 457(o) under the Securities Act of 1933, as
 amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes common shares subject to the underwriters' option to purchase additional shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) To be paid in connection with the initial filing of the registration statement.

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