Document:

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                                                                   EXHIBIT 10.11

                               SWORN TRANSLATION

                                     PART I

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1. SHIPBROKER                                   2. PLACE AND DATE

Not applicable                                  Madrid, October 2, 1000
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3. OWNER/PLACE OF BUSINESS                      4. CHARTERER/PLACE OF BUSINESS

POSEIDON GAS AIE                                NAVIERA F. TAPIAS GAS III, S.A.
C/ General Gutierrez 4                          C7 Musgo 5
38003 Santa Cruz de Tenerife                    28023 Madrid
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5. VESSEL'S NAME, CALL SIGN AND FLAG.

Spain. Special Registry of the Canary Islands

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6. TYPE OF VESSEL.                              7. GRT/NRT.
                                                93,450 GRT, 28040 NRT
LNG Carrier.

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8. WHEN/WHERE BUILT.                            9. TOTAL DWT (ABT.) IN METRIC TONS ON
                                                SUMMER FREEBOARD.
Astilleros de Sestao S.R.L.
                                                68,200 dwt at design draft of 11,40m
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10. CLASS                                       11. DATE OF LAST SPECIAL SURVEY BY THE
                                                VESSEL'S CLASSIFICATION SOCIETY.
LLOYDS REGISTER
                                                Not applicable
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12. FURTHER PARTICULAR OF THE VESSEL.

New vessel

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13. PORT OR PLACE OF DELIVERY                   14. TIME FOR DELIVERY.     15. CANCELLING DATE.
Barcelona-Monoir range
                                                See Additional Clause 1.   See Additional Clauses

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                                                16. PORT OR PLACE OF REDELIVERY

                                                See Additional Clause 25
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                               SWORN TRANSLATION

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17. RUNNING DAYS NOTICE.                        18. FREQUENCY OF DRY-DOCKING.
Not applicable                                  30-42 months.

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19. TRADING LIMITS.

See Additional Clause

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20. CHARTER PERIOD.                             21. CHARTER HIRE.

                                                See Additional Clause 3.

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22. INTEREST APPLICABLE TO DEFAULTS.            23. CURRENCY AND METHOD OF PAYMENT.

                                                Euro. See Additional Clause 4.

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24. PLACE OF PAYMENT, ALSO STATE BENEFICIARY    25. BANK GUARANTEE/BOND-SUM AND PLACE.
AND BANK ACCOUNT.
                                                See Additional Clause 26.
See Additional Clause 4.

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26. MORTGAGES                                   27. INSURANCE

See Additional Clause 10.                       250,000,000 Euro

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28. ADDITIONAL INSURANCE COVER                  29. ADDITIONAL INSURANCE COVER

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30. LATENT DEFECTS.                             31. WAR CANCELLATION.

In accordance with Article X.2 of the           See Additional Clause 14
Construction Agreement

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32. BROKERAGE COMMISSION AND TO WHOM PAYABLE.

Not applicable.

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33. LAW AND PLACE OF ARBITRATION                34. NUMBER OF ADDITIONAL CLAUSES COVERING SPECIAL
                                                    PROVISIONS, IF AGREED
High Court of England and Wales
                                                35
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                               SWORN TRANSLATION

PREAMBLE: It is mutually agreed for this agreement t be developed subject to the
conditions included hereunder, which shall be included in Parts I, II and III.
In the event of contradiction of the clauses of Part III, they shall prevail
over the terms of Parts I and II to the extent of such contradiction.

SIGNATURE (OWNER)   SIGNATURE (CHARTERER)

                                     PART II

                                    RECITALS

1.   The Charterer has executed on July 31, 2000 a shipbuilding contract (the
     "Shipbuilding Contract") with Astilleros de Sestao S.R.L. (the
     "Shipbuilder") whereby the Shipbuilder undertook to build the Vessel, and
     the Charterer to pay the price thereof in the terms and conditions provided
     thereunder. The expected delivery date of the Vessel is August 15, 2003. In
     its turn the Charterer and the Owner have executed on the date hereof a
     sale and purchase agreement (the "Sale and Purchase Agreement") under which
     the Charterer sells the Vessel to the Owner for the same price and on the
     same payment dates as provided in the Shipbuilding Contract. The Charterer
     shall deliver the Vessel to the Owner on the same date and simultaneously
     to the receipt of the Vessel by the Charterer from the Shipbuilder (the
     "Delivery Date").

2.   As set forth in Clause 26 hereunder, the Charterer, on each payment date of
     the Shipbuilding Contract, shall pay into a deposit account in its name
     ("Deposit II") the amounts set forth in the Framework Agreement. The
     Charterer has had or shall have recourse to external financing to make part
     of Deposit II ("Loan III"). The Banks granting Loan III ("Banks III")
     require or shall require a naval mortgage over the Vessel (the "Mortgage")
     in order to ensure repayment of Loan III. Said security shall be granted by
     the Owner on the Delivery Date.

3.   On the other hand, the Charterer has executed a Loan with CAIXABANK FRANCE
     ("Bank I") subject to the subsidies provided under Royal Decree 442/1994
     ("Loan I"), and has reached an agreement with a series of financial
     entities whereby the latter will deliver to the Charterer, by payment into
     Deposit II, the net current value of subsidy 442 on the delivery date of
     the Vessel.

     Similarly, in order to meet the payments of the Sale and Purchase
     Agreement, the Owner has executed a Loan with CAIXABANK FRANCE ("Bank II")
     for an amount of 168,300,000 Euro ("Loan II"). The Charterer has accepted
     to pledge Deposit II in favour of Bank II as security for the repayment of
     Loan II ("Pledge II").

5.   The Owner and the Charterer have also executed as of the date hereof or are
     going to execute a Framework Agreement (the "Framework Agreement"),
     agreeing the whole transaction set forth herein in part.

(The Shipbuilding Contract, Deposit II, Loan I, Loan II, Loan III, the Mortgage,
Pledge II and the Framework Agreement shall be jointly called in this Agreement
the Related Agreements).

                                    PART III

                               ADDITIONAL CLAUSES

1    DELIVERY

     The Vessel shall be delivered by the Owner to the Charterer for its use by
     the latter in accordance herewith, on the same date and at the same place
     as the Owner receives the

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                               SWORN TRANSLATION

     Vessel from the Charterer in accordance with the Shipbuilding Contract. The
     Charterer will allocate the Vessel to the freight of Natural Gas, SDG,
     S.A., in accordance with the terms of the Time-Charter Agreement dated July
     31, 2000.

     Delivery shall be deemed performed for all purposes relating hereto at the
     same time and place wherein, in accordance with the Sale and Purchase
     Agreement, the Charterer delivers the Vessel to the Owner, without the
     Charterer being entitled to reject the Vessel at this delivery. The Owner
     and the Charterer shall sign a Deed of Delivery of the Vessel for the
     purposes hereof, which document shall confirm delivery performed at such a
     time.

     As the Owner shall acquire the Vessel from the Charterer, who in its turn
     has executed the Shipbuilding Contract with the Shipbuilder, the Charterer
     acknowledges that it wishes to charter the Vessel under the terms and with
     the equipment and apparatus had by the Vessel at the time in which the
     Shipbuilder delivers it to the Owner. Consequently, the Charterer accepts
     that the Owner shall not be liable to the Charterer or to any third parties
     for the condition, suitability, operation, seaworthiness, value, design,
     equipment, quality, durability, merchantability or any other
     characteristics or attributes of vessels such as the Vessel.

     Pursuant to the foregoing, the Owner hereby assigns to the Charterer, upon
     delivery of the Vessel and if it should the titleholder thereof, any action
     or right (including warranties) against the Shipbuilder relating to the
     Shipbuilding Contract.

     In no event shall any controversies which may arise between the Charterer
     and the Shipbuilder or any other third party, relating to matters mentioned
     in the foregoing paragraphs, or any action, order or instruction of the
     Shipbuilder, of the Classification Society or of any other authority,
     rendering impossible or interrupting the use of the Vessel for any reason
     relating to the aforementioned matters affect the performance by the
     Charterer of all its obligations against the Owner in accordance herewith,
     which shall in no way be deemed suspended or reduced pursuant thereto.

2.   DURATION

     Although this Agreement will enter into force upon signature hereof, i.e.,
     prior to the Delivery Date, the term of the charter of the Vessel shall be
     for a period (hereinafter, the "Term") which shall begin on the Delivery
     Date and shall end on December 31, 2006 (the "Expiry Date").

     The Term shall be binding upon both parties, and so may not be reduced, nor
     may this Agreement be terminated early, save for the grounds expressly
     mentioned hereunder.

     Although the Term is set for the benefit of both parties, the Charterer
     acknowledges that, taking into account the call and put options set forth
     hereunder and in the Related Agreements, and that the whole transaction has
     been agreed under the Fifteenth Additional Provision of the Law on
     Companies' Tax, an early termination hereof which does not respect the
     consequences provided for such case hereunder and in Related Agreements
     would cause the Owner substantial economic damage.

3.   CHARTER HIRE

     Charter hire, during the whole of the Term, shall be as set forth in
     Schedule 1 hereto, forming integral part hereof.

     The Charterer's obligations to pay charter hire under this Agreement and
     the Framework Agreement shall be absolute, irrespective of any contingency,
     including, but not limited to, the following:

     3.1. any set-off or counterclaim, indemnity, defence or other right held by
          the Charterer against the Owner (without prejudice to the possibility
          of exercising such rights so that it does not affect payment of the
          charter hire);

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                               SWORN TRANSLATION

     3.2. any unavailability of the, Vessel, for any reason, including but not
          limited to any lack or invalidity of title, seaworthiness, condition,
          design, operation, merchantability or fitness for use or purpose of
          the Vessel 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;

     3.3  any lack of performance, or breach or delay in performance or
          compliance by any of the parties of the present Agreement (other than
          a breach by the Owner declared by a final court judgement or
          arbitration award), with or without breach on the part thereof, of any
          of the terms, conditions or other provisions hereunder or of any other
          Related Agreements;

     3.4  any insolvency, suspension of payments, bankruptcy, reorganisation,
          arrangement, readjustment of. debt, dissolution, administration,
          liquidation or similar proceedings by or against the Owner or the
          Charterer or any change in the constitution of the Owner or the
          Charterer;

     3.5  any invalidity or unenforceability (save for radical nullity by
          operation of law pursuant to lack of subject matter declared by a
          final judgement) or any defect in this Agreement or in any Related
          Agreements not attributable to the Owner.

     3.6  any other cause which would or might but for this Clause have the
          effect of terminating or in any way affecting any obligation of the
          Charterer hereunder, it being the intention of the parties that the
          Clauses of this Agreement and the obligations of the Charterer to pay
          charter hire and make any payments under this Agreement shall survive
          any such contingencies, and that no moneys paid under this Agreement
          by the Charterer to the Owner shall in any event or circumstance be
          refundable to the Charterer by the Owner, without prejudice to the
          exercise of any remedies corresponding to the Charterer, as the case
          may be, against any other third party.

4.   METHOD OF PAYMENT OF THE CHARTER HIRE

     In accordance with the provisions of Schedule 1, charter hire (except the
     first) shall be on an annual basis and shall be payable in accordance with
     the timetable set forth in the aforementioned Schedule. Such timetable is
     based, in dates and amounts, on the hypothesis of delivery of the Vessel on
     August 15, 2003. In the event of delay, such timetable may be adjusted,
     without impairment of the Charterer's interests, for which the parties
     undertake to execute any necessary documents for such purposes.

     Taking into account that the amounts deposited in Deposit II belong to the
     Charterer, and that the dates of payment of the charter hires coincide with
     the depreciation timetable and interest payment dates of Loan II, the
     parties hereunder agree that amounts owed by Bank II under Deposit II to
     collect Loan II shall be deemed paid by the Charterer to the Owner
     hereunder.

5.   TRAFFIC LIMITATIONS

     The Vessel shall be used for legitimate traffic, for transport of suitable
     and legal merchandise, within the geographical limits set forth in section
     19.

     The Charterer undertakes not to use the Vessel nor allow it to be used
     other than in accordance with the terms hereof and of the insurance
     policies (including any explicit or implied warranties contained therein),
     without the prior approval of the insurers for such use and without meeting
     the requirements set thereby, such as payment of extra premiums.

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                               SWORN TRANSLATION

     The Charterer also undertakes not to use the Vessel nor make it be used for
     any traffic or business which is forbidden by the laws of any country to
     which the Vessel may be directed or which may in any way render it capable
     of being sanctioned, or lead to its destruction, seizure or confiscation.

     Irrespective or other considerations contained herein, it is agreed to
     specifically exclude from the cargos permitted to be loaded or carried
     hereunder, nuclear fuels or radioactive products or waste.

6.   MAINTENANCE AND OPERATION

     6.1  Throughout the Term the Vessel shall remain for all purposes in full
          possession and at the absolute availability of the Charterer for its
          goals and under its complete control for all purposes. The Charterer
          shall, at its expense, maintain the Vessel, its engines, boilers,
          fittings and spare parts, in a good state of repair, in efficient
          operating conditions and in accordance with good trade maintenance
          practice, and shall maintain the Vessel in accordance with the class
          set forth in box 10 and with the remaining certificates required to be
          in force from time to time.

          The Charterer must take immediate action to perform necessary repairs
          in the appropriate time. Any repair, enhancement, structural changes
          or installation of new equipment required for the purposes of the
          foregoing paragraph shall be paid exclusively by the Charterer,
          whatever the price of such repairs or changes and without the high
          cost thereof, if this is the case, entitling it to early termination
          hereof.

          In the event that the repairs, enhancements, structural changes or
          installations of new equipment are performed at the will of the
          Charterer, the Owner hereby authorises such events, provided that (i)
          the Vessel maintains its class as provided under box 10, (ii) the
          market value of the Vessel does not decrease, (iii) the cost of such
          repairs or modifications is borne solely by the Charterer and (iv) it
          obtains the authorisation of Banks II and III, which shall not be
          unreasonably refused, especially when they are necessary for the
          Charterer to comply with the provisions of the Time-Charter Agreement.

          The Charterer shall provide and maintain any financial or any other
          kind of security required by any government, state, federal state,
          autonomous region, town council, port authority or any other authority
          for damages caused by pollution or for any other reason, so as to
          allow the Vessel, without penalty or surcharge, to legally enter,
          remain in or leave any port or location, territorial waters or
          contiguous waters of any nation, federal state, autonomous region or
          municipality in the performance hereof, without undue delay. This
          obligation shall apply whether or not such requirements have been
          legally imposed by the aforementioned governments or divisions or
          authorities. The Charterer shall take and maintain all necessary
          measures, either by providing a bond or in any other manner acceptable
          for the authority in question in order to meet such requirements, at
          its exclusive expense.

     6.2  The Charterer and its representatives shall be responsible for the
          fitting out, navigation, operation, supply, fuel and repair of the
          Vessel, whenever necessary during the Term or at any other time during
          which the Charterer has possession of the Vessel, and shall pay all of
          the taxes, expenses and charges, regardless of their nature or type,
          either incidental or for the use and operation of the Vessel under
          this Agreement, including any state, autonomous region, municipal,
          Spanish or foreign tax, even if the taxpayer should for any reason be
          the Owner. The captain, officers and other crew of the Vessel shall be
          employees of the Charterer for all purposes. The Owner shall not be
          entitled to appoint any of the crew of the Vessel.

          The Charterer shall comply with all regulations concerning officers
          and crew in force in the Vessel's country of registration and with the
          regulations in force in its own country.

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                               SWORN TRANSLATION

     6.3  Throughout the Term of the Agreement, the Vessel shall remain under
          and fly the flag indicated in box 5 and shall be registered and kept
          registered during the whole Term in the so-called Second Canary
          Islands Registry. However, the Charterer shall be entitled to paint
          the Vessel in its own colours, install and exhibit its logo on the
          stack and raise its own flag. Painting and repainting, installation
          and re-installation shall be borne by the Charterer, and the time used
          therefor shall count as charter time.

     6.4  The Charterer may make use of all of the tools, items of equipment and
          devices on board the Vessel at the time of delivery, as long as the
          same or their equivalent are returned to the Owner in the same good
          condition as they were received, normal wear and tear excepted; the
          Charterer, from time to time during the Term, shall replace these
          items of equipment when they are so worn or torn that they are
          unusable. The Charterer must procure that all reparations or
          renovations of any part of a broken, worn or lost equipment are
          performed in such a way (both as regard quality of materials and
          workmanship) that the value of the Vessel is not reduced. The
          Charterer may incorporate at its cost to the Vessel the additional
          equipment considered suitable, to the extent that it improves the
          nautical or operational capacity of the Vessel, although it will be
          obliged to withdraw it at the end of the Term if the Owner should
          request it.

          Any item of equipment that is not installed upon delivery of the
          Vessel but which is necessary for navigation, shall be acquired,
          installed, maintained, repaired and replaced for the account of and at
          the risk of the Charterer.

     6.5  The Charterer shall place the Vessel in dry-dock and/or shall clean
          and paint it in accordance with requirements of the competent
          authority and/or for the Vessel's class requirements as set forth in
          box 10.

7.   INSPECTION

     The Owner and its agents shall have the right to inspect or survey the
     Vessel, or appoint a duly authorised surveyor to do so, on its behalf to
     ensure the condition of the Vessel and to ascertain that the Vessel is
     being properly maintained and repaired. Surveys may only take place in
     dry-docking where the Vessel is in such situation pursuant to a decision by
     the Charterer. All the time taken for the inspection shall count as charter
     time and shall form part of the Term. Inspections or surveys by the Owner
     shall take place reasonably and without interfering with the Vessel's
     normal operation. Any inspection which entails manipulations of the Vessel
     shall coincide with ordinary inspections thereof.

8.   INVENTORY, FUEL AND SUPPLIES.

     The Vessel shall be handed over by the Owner to the Charterer with the same
     equipment, installations, services and fungible supplies (such as
     lubricants, water, unopened provisions, paint, oil, lines and other similar
     fungible supplies) as those which the Vessel contained on delivery by the
     Charterer to the Owner pursuant to the Sale and Purchase Agreement.

     The Charterer must return the Vessel to the Owner, as the case may be, with
     the same goods delivered upon delivery of the Vessel hereunder, except for
     utilities provided by the Charterer. In the event that these utilities are
     delivered with the Vessel, the Owner shall pay the Charterer the amount
     thereof in accordance with their acquisition cost.

9.   INSURANCE

     9.1  The Charterer must execute or procure the execution of the relevant
          Marine and War Risk Insurance relating to the Vessel in accordance
          with standard market terms, under conditions satisfactory to the
          Owner, and in any event for an amount not lower than as set forth in
          section 27 in respect of hull and engine insurance.

     9.2  The Charterer shall also execute or procure the execution with a P&I
          ("Protection and Indemnity") club or association, of cover for all
          risks usually covered under these kinds of policies, with the maximum
          limit accepted thereby from time to time by clubs or

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                               SWORN TRANSLATION

          associations of acknowledged reputation covering these kinds of risks.
          Submission of the "Certificate of Entry" into the club or association,
          and the "Letter of Undertaking" issued thereby shall constitute
          sufficient evidence to the Owner of the Vessel's insurance.

     9.3  The Vessel may not navigate in waters for which it does not hold full
          coverage pursuant to the contracted insurance, unless motivated by the
          requirements of the Time-Charter Agreement, In which case the
          Charterer should pay the relevant extra premium. Anyway, maximum care
          shall be required, avoiding to the extent possible the Vessel's
          needing to approach embargo or war zones.

     9.4  The interests of the Owner and the Banks III must be expressly
          reflected in the aforementioned insurance policies, by means of a
          clause designating the Owner as beneficiary thereof, together with the
          Banks III. In the "P&I" policies the Owner shall appear as insured.

     9.5  IN addition to the provisions of the foregoing sections, the Charterer
          undertakes that all insurance policies in accordance with the
          foregoing sections shall meet, at least the following requirements:

          9.5.1 be at least as usually contracted by a charterer with a business
               volume and routes same or similar to the Charterer's, which are
               owners or operators of vessels similar to the Vessel, not include
               franchises exceeding those set forth in said kind of policies of
               vessels of the same type and value and contain at least the same
               terms and conditions provided in such type of policies, and
               cover, at least, risks usually covered by such charterer in
               accordance with prudent practice within the sector and, in ant
               event, all risks of mandatory coverage in accordance with
               mandatory national or international legislation;

          9.5.2 be contracted with insurance companies (or P&I clubs or
               associations, as the case may be) of acknowledged reputation and
               solvency;

          9.5.3 cover at least, even by renewal thereof, the whole of the period
               between the Delivery Date of the Vessel and the date of
               performance of the put and/or call options mentioned in Clauses
               18 and 19 below;

          9.5.4 provide that the insurer (or P&I club or association, as the
               case may be) must give immediate notice in writing to the Owner
               and to Banks III of any failure to pay the premium and any other
               acts or omissions of the policyholder or the insured whereof the
               insurer is aware and which may invalidate, annul or render
               ineffective the insurance cover in whole or in part;

          9.5.5 entitle, while this Agreement remains in force, the Owner and
               Banks III to pay the premium in the event of non-payment thereof
               by the holder, within a period not shorter than 30 days from such
               non-payment, and the insurance cover shall not be suspended at
               such time.

     9.6  At least while this Agreement remains in force, the Charterer
          undertakes that, on the Delivery Date and thereafter, on an annual
          basis as from such Delivery Date, the Owner and Banks III shall be
          sent a letter from the insurer (or P&I club or association, as the
          case may be) certifying the amount of the insured sums from time to
          time under the insurance policies, and that such amounts and insurance
          policies are in accordance with the requirements in respect thereof
          set forth in the present Clause, and the date of expiry of the
          insurance policies and any variations in the terms thereof.

     9.7  At least while this Agreement remains in force, the Charterer
          undertakes that, in the event of partial loss of the Vessel, the
          amount of the insurance indemnity received by the insured, as the case
          may be, is integrally allocated thereby to return the Vessel to its
          condition at the moment prior to the loss.

     9.8  The Charterer, subject to the approval of the insurers and the Banks
          III, shall make all repairs covered by the insurance and shall take
          charge of the management of the

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                               SWORN TRANSLATION

     settlement of all costs relating to such repairs, and of collecting from
     the insurers the insured amounts, expenses and liabilities relating to
     repairs. The Charterer shall also be responsible for the performance of
     such repairs, and for paying the costs and expenses incurred in this regard
     which are not covered by insurance and/or do not exceed any eventual
     franchise(s) or deductible amounts provided in the insurance.

     The whole time used to repair the Vessel shall count as charter time, and,
     consequently, the Charterer shall be bound to pay the charter hire for such
     period.

9.9  In the event of total loss of the Vessel, all insurance payments for such
     loss may be paid to the Banks III, who shall distribute the insured sums
     among themselves, the Owner and the Charterer, in accordance with their
     respective interests. The Charterer undertakes to inform the Owner of any
     event whereby the Vessel may be declared a total loss under the terms of
     the insurance clauses.

10.  MORTGAGES

     The Owner as from the date hereof, irrevocably undertakes to create, on the
     Delivery Date, the Mortgage in favour of the Banks III to guarantee the
     return of Loan III by the Charterer.

     The Owner warrants that it has not agreed not shall agree to grant any
     other mortgage, lien or encumbrance other than the Mortgage over the
     Vessel.

11.  SALVAGE.

     Any salvage or towing performed by the Vessel shall be deemed performed for
     the exclusive benefit of the Charterer and the cost of repair of the damage
     caused to the Vessel on account of any such operations shall be exclusively
     borne by the Charterer.

12.  RESCUE AND SALVAGE OF THE VESSEL.

     In the event that the Vessel should sink or cause an obstruction to
     navigation, the Charterer shall be the sole party responsible for paying
     any amounts due to be paid on account of its sinking or obstruction or the
     consequences thereof. Consequently, the Charterer shall keep the Owner
     harmless from such costs and/or compensation payments.

     Similarly,  the Charterer shall fully assume any  liabilities  arising from
     the salvage of the Vessel.

13.  REQUISITION.

     In the event that the Vessel is requisitioned for hire by any governmental
     or other competent authority (the "Requisition for Hire"), irrespective of
     the date during the Term when Requisition for Hire may occur and
     irrespective of the length thereof, and whether or not this occurs for an
     indefinite or a limited period of time, and independently of whether it may
     or will remain in force for the remainder of the Term, the Agreement shall
     not be deemed thereby or thereupon to interrupted or cancelled, and the
     Charterer shall continue to pay charter hire in accordance with the
     provisions of this Agreement until termination hereof, in accordance with
     any provisions hereunder, and in no event shall there be a return of any
     amounts paid in advance; always taking into account that in the event of
     "Requisition for Hire", any compensation received or receivable by the
     Owner shall, if received by the Charterer, be retained by it and, if
     received by the Owner, shall be payable to the Charterer on the three
     business days following the date on which it is received by the Owner. As a
     complement to the foregoing, the Owner hereby irrevocably assigns to the
     Charterer the right to collect any amounts as payment in respect of any
     Requisition for Hire.

14.  WAR.

     Save as a result of requirements motivated by the Time-Charter Agreement
     (and provided that the relevant extra-premium is paid to maintain the level
     of insurance cover), the

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                                SWORN TRANSLATION

     Vessel may not be instructed to initiate or go to any place or on any
     journey, nor be used in services which may take it to any dangerous area as
     a result of a state of war or threat of war, hostilities, war operations,
     acts of piracy, hostility or sabotage against it or any other vessel or its
     cargo by any person, organisation or State, revolution, civil war, civil
     commotion, or the effects of the application of International Law, nor be
     exposed in any way to any risk or penalty which results in the imposition
     of sanctions, nor transport goods which may expose it in any way to risk of
     attachment, arrest, seizure, fines or any interference of any kind by the
     belligerent or fighting powers or parties or by any government or
     authority.

     The Vessel shall be free to comply with any order or instruction in respect
     of the departure, arrival, course, ports of call, stops, destinations,
     deliveries or any other order given by the government of the country under
     whose flagship the Vessel is sailing, or any other government, person
     (corporation) acting or attempting to act with the Authority of such
     government or committee or person entitled under the terms of the war risk
     insurance to give such orders or instructions.

     In the event of a breakout of hostilities, (with or without declaration of
     war) among any two or more States, none of the parties hereunder shall be
     entitled to cancel the Agreement.

15.  GROSS AVERAGE AND PARTICULAR AVERAGE

     In the case of gross average, the Owner shall not be obliged to disburse,
     pay, contribute to or in any other manner support the consequences which
     such general average has involved for the Vessel, its cargo, any third
     party, other ships and other cargoes. Therefore, irrespective of any rights
     the Charterer may have or hold against any third party in respect of such
     events, the Charterer shall be the sole Party having obligations with
     respect to the Owner, to repair the Vessel and to bear any consequences in
     respect of the gross average.

     The Owner hereby assigns to the Charterer any action or right to which it
     may be entitled against any third party as the result of gross average.

     The same rules shall apply in the event of a particular average.

16.  BILL OF LADING

     The Charterer will ensure that all of the Bills of Lading issued for the
     transport of goods under this Agreement contain the Paramount clause,
     encompassing any legislation whatsoever in relation to the liability of the
     carrier as may be compulsory in traffic. If such legislation does not
     exist, the British Carriage of Goods by Sea shall be included in the Bills
     of Lading. The Bills of Lading shall also include the revised New Jason
     clause and the Both-to-Blame Collision clause.

     The Charterer agrees to compensate the Owner for all consequences or
     liabilities resulting from the signing of the Bills of Lading or other
     documents by the Captain, Officers or agents.

17.  OTHER OBLIGATIONS OF THE CHARTERER

     17.1 Not to resolve on the dissolution of the Charterer until the
          completion of its obligations with regard to the Owner in accordance
          with this Agreement or any other Related Agreement.

     17.2 To communicate immediately to the Owner any inaccuracy observed in the
          data, documents or information provided thereto as a prerequisite for
          the execution hereof, and of the occurrence of any circumstance which
          could in any way adversely affect the rights or interests of the Owner
          derived from or in connection with this Agreement or the Vessel.

<PAGE>

                                SWORN TRANSLATION

     17.3 To apply for and/or keep in force whatever authorisations, licenses,
          permits or registration entries as are, currently or in the future,
          necessary for the execution and delivery of this Agreement or in order
          to operate the Vessel.

     17.4 In general, to use, possess and operate the Vessel in compliance with
          all applicable Spanish and international regulations, and not to
          operate nor to place the Vessel (or ensure that it does not operate or
          situate itself) in areas excluded from the cover of any of the
          insurances provided for in this Agreement.

     17.5 To pay in due time and form any amount which, in accordance with
          Spanish, international or local law of the country concerned, if not
          duly paid, could constitute a Maritime Lien and/or give rise to any
          kind of lien, encumbrance or attachment against the Vessel.

     17.6 Not to encumber the Vessel, nor to allow it to be encumbered, nor to
          allow any kind of lien or encumbrance to subsist on the Vessel other
          than the Mortgage mentioned in Recital II.

     17.6 To comply with the terms and conditions of the Loan Agreement II and
          other Related Agreements to which they are a party.

18.  CALL OPTION

     18.1 In accordance with the provisions of this Clause, the Owner hereby
          grants the Charterer a call option (the "Call Option I") over the
          Vessel. If the Call Option I is exercised, the purchase price of the
          Vessel shall be the amount set out in Schedule 2 (the "Selling Price
          I").

     18.2 The Charterer may at any time during the period falling between one
          hundred and eighty days (180) days and ninety (90) days prior to the
          Expiry Date, exercise the Call Option I by means of a letter sent to
          the Owner drafted in accordance with the form attached as Schedule 3
          to this Agreement, forming integral part hereof.

          If the Charterer exercises the Call Option I in the manner described
          above, the Charterer shall be necessarily obliged to pay the Owner, on
          the Expiry Date, the Selling Price I; pursuant to the payment of the
          Selling Price, the Charterer shall be entitled to acquire full title
          over the Vessel ("as is" on the Expiry Date and wherever it is located
          at such a time), for which purpose, the Owner and the Charterer shall
          execute, on the Expiry Date, any documents reasonably requested by the
          Charterer to the Owner and which are usual in this type of
          transactions, provided that on the Expiry Date or prior thereto, the
          Charterer should also have paid the Amounts owed by the Charterer or
          payable to the Owner hereunder.

     18.3 In the event that, after the expiration of the period provided under
          section (ii) above, the Charterer should not have exercised its Call
          Option I over the Vessel, the provisions of the following Clause shall
          apply.

     18.4 The provisions of this Clause concerning the Call Option I or the
          exercise thereof (and, also, the provisions of the following Clause
          concerning the Put Option I or the exercise thereof) shall in no way
          affect the Charterer's obligation to pay the charter hire in
          accordance with the payment schedule set forth in Schedule 1
          hereunder, nor any other obligation of the Charterer hereunder.

     18.5 The Selling Price I shall coincide with the remaining amount of the
          Deposit II on the Expiry Date, for which reason the payment of such
          Selling Price I shall be made by the Owner's debiting such amount to
          the Deposit II, all of which subject to the terms and conditions of
          Pledge II.

<PAGE>

                                SWORN TRANSLATION

19.  PUT OPTION

     19.1 The Charterer hereby grants the Owner a put option (the "Put Option
          I") over the Vessel, exclusively in the event that the former should
          not exercise the Call Option I to which it is entitled in accordance
          with the foregoing Clause.

          If the Put Option I is exercised, the sale and purchase price of the
          Vessel shall be the Selling Price I.

     19.2 The Owner may, at any time after the expiration of the period during
          which the Charterer could have exercised its Call Option I without
          having done so, at least ten (10) days prior to the Expiry Date,
          exercise the Put Option I, by means of a letter sent to the Charterer
          drafted in accordance with the form attached as Schedule 4 to this
          Agreement, forming integral part hereof.

     19.3 If the Owner exercises the Put Option I in the manner described above,
          the Charterer shall be necessarily obliged to pay on the Expiry Date,
          the Selling Price I; and to acquire on such date full title over the
          Vessel (as is at such time and wherever it is located at such a time),
          provided that on the Expiry Date it should not owe the Owner any
          amount, unless the Owner, at its sole discretion should decide to
          perform the sale ad purchase even in the absence of payment of these
          final amounts, without prejudice to subsequently claiming the payment
          thereof.

          On the Expiry Date, the Owner and the Charterer shall execute any
          documents reasonably requested by the Charterer to the Owner and which
          are usual in this type of transactions.

     19.4 As regards payment of the Selling Price, the provisions of section
          18.5 of Clause 18 above shall apply.

     19.5 Both in the case of the Call Option I or the Put Option I, the Vessel
          must be free of all liens and encumbrances created by the Owner, save
          for the Mortgage. Thus, the Vessel may be disposed of to the Charterer
          with any lien or encumbrance relating to maritime traffic and/or
          trade.

20.  AUTOMATIC EARLY TERMINATION OF THIS AGREEMENT

     In the event that:

     20.1. the relevant insurance Company should declare the Vessel to be a
          total loss or a constructive total loss, or

     20.2. the Vessel is expropriated by any government or other competent
          authority, or the Owner is in any other way deprived of the ownership
          of the Vessel by such authority, or

     20.3. the Owner loses legal title to the Vessel on account of any lien,
          encumbrance (other than the Mortgage), maritime lien, liability or any
          other event associated with trade or navigation, or

     20.4. the Owner loses legal title to the Vessel as a result of foreclosure
          of the Mortgage or as a result of any debt owed by the Charterer,

     20.5. the Shipbuilding Contract or the Sale and Purchase Agreement should
          be terminated in advance,

     this agreement shall be deemed terminated early on the date of occurrence
     of any of the foregoing events.

21.  CONSEQUENCES OF AUTOMATIC EARLY TERMINATION

     Upon the occurrence of an event of automatic early termination, the
     following shall apply:

     21.1. If the events occurred are as listed under sections 20.1 to 20.4
          above:

<PAGE>

                                SWORN TRANSLATION

          21.1.1 The Charterer hereby, taking into account (i) that the Owner
               has accepted to constitute a Mortgage (which, among other things,
               implies that the main beneficiary of the insurance in the event
               of total loss will be the Banks III up to the total amount owed
               by the Charterer), (ii) that the loss of title to the Vessel in
               the events of sections 20.3 and 20.4 of Clause 20 above would be
               based on debts incurred by the Charterer or as a result of
               maritime traffic or trade performed thereby, (iii) that in the
               event of loss of title over the Vessel according to the event of
               section 20.2 of Clause 20 above the amounts applied to repayment
               of Loan III will inure to the benefit of the Charterer as debtor
               of such Loan and (iv) the impairment to the net assets of the
               Owner entailed by the loss of the Vessel, in order to
               re-establish the balance between reciprocal obligations between
               the parties hereunder and under the Related Agreements,
               irrevocably undertakes not to claim the repayment of any amounts
               paid as charter hire up to the date thereof, which amounts have
               constitute firm payments without a right of repayment.

               In all such cases, the Charterer will pay the Owner the remaining
               amounts due under the Agreement until termination hereof
               (including the price of the options). As such amounts shall be
               the same as those owed by the Owner to the Bank II, the amounts
               owed by Bank II under Deposit II shall be deemed received by the
               Owner in performance of such obligation.

          21.1.2 If the event causing early termination were as provided in
               section 20.1 (total loss of the Vessel), amounts received from
               the insurance company shall be allocated in the following order:
               (i) to repayment of Loan III, up to the amount of the outstanding
               live balance thereof; (ii) to repayment of AIE's equity for the
               principal effectively contributed by the partners, plus an
               interest calculated at EURIBOR plus 2%; (iii) to the Charterer,
               to pay, as the case may be, and if it should be bound to do so,
               damages under the Time-Charter agreement executed with Repsol;
               (iv) to the AIE, to compensate the loss of tax financial return
               from the Tax Lease structure and (v) the excess, if any, to the
               Charterer.

          21.1.3 If the event causing early termination were as provided in
               section 20.2, the amounts obtained from the expropriating
               authority shall be allocated in the following order: (i) to
               repayment of Loan III, up to the amount of the outstanding live
               balance thereof; (ii) to repayment of AIE's equity for the
               principal effectively contributed by the partners, plus an
               interest calculated at EURIBOR plus 2%; (iii) to the Charterer,
               to pay, as the case may be, and if it should be bound to do so,
               damages under the Time-Charter agreement executed with Repsol;
               (iv) to the AIE, to compensate the loss of tax financial return
               from the Tax Lease structure and (v) the excess, if any, to the
               Charterer.

          21.1.4 If the event causing early termination were as provided in
               section 20.4, the amounts obtained from disposal of the Vessel
               shall be allocated in the following order: (i) to payment of any
               charges motivating the enforcement and disposal; (ii) to
               repayment of Loan III, up to the amount of the outstanding live
               balance thereof; (iii) to repayment of AIE's equity for the
               principal effectively contributed by the partners, plus an
               interest calculated at EURIBOR plus 2%; (iv) to AIE, to
               compensate the loss of tax financial return from the Tax Lease
               structure and (v) the excess, if any, to the Charterer.

          21.1.5 If the event causing early termination were as provided in
               section 20.4, the amounts obtained from the mortgage foreclosure
               shall be allocated, in the following order: (i) to repayment of
               Loan III, up to the amount of the outstanding live balance
               thereof; (ii) to repayment of AIE's equity for the

<PAGE>

                                SWORN TRANSLATION

               principal effectively contributed by the partners, plus an
               interest calculated at EURIBOR plus 2%; (iii) to AIE, to
               compensate the loss of tax financial return from the Tax Lease
               structure and the excess, if any, to the Charterer.

     21.2 In the event of early termination pursuant to the early termination of
          the Shipbuilding Contract and the Sale and Purchase Agreement, the
          provisions of the Sale and Purchase Agreement shall govern the
          relations between the Charterer and the Owner for the repayment of the
          amounts paid by the Owner on account of the purchase price of the
          Vessel.

22.  VOLUNTARY EARLY TERMINATION

     In the event that:

     22.1. the Charterer breaches its obligation to pay amounts into the
          Deposits in accordance with the provisions of the following Clauses or
          to pledge said amounts in favour of Bank II; or

     22.2 the Charterer breaches its maintenance or insurance obligations over
          the Vessel; or

     22.3 the Charterer should submit an application to be declared subject to
          suspension of payments or bankruptcy or, if, in this last case, the
          application comes from a third party and is admitted pursuant to a
          court resolution, or if the Charterer should acknowledge its inability
          to pay all or a substantial part of its debts upon maturity thereof or
          if it should initiate a renegotiation of all or a substantial part of
          its payment responsibilities, or

     22.4 if the Charterer should allow protests of acceptance or should in any
          way be in breach of any payment obligations vis-a-vis third parties in
          general for an amount exceeding 75,000 Euro or their equivalent, or

     22.5 if for any reason the Charterer should cease to conduct its business,
          resolve on its dissolution, liquidation or the closure of the majority
          of its commercial establishments, or

     22.6 the Charterer should breach any other material obligations hereunder,
          or

     22.7 the Vessel should be abandoned by the Charterer, or

     22.8 for reasons attributable to the Charterer the Owner (or its partners),
          in view of the fact that the former has not obtained or is not
          expected to obtain the expected economic or financial-accounting
          result for the present transactions (without limitation, such
          circumstance shall be deemed to occur in the event that the Owner
          cannot be registered, in respect of the Vessel, as a naval entity in
          the Registry for vessels and seafaring companies in the territory of
          the Autonomous Region of the Canary Islands, created by Additional
          Provision 15, Law 27/1992, or the Vessel cannot be registered with
          such registry, in both cases, for causes attributable to the
          Charterer), or

     22.9 if any of the Related Agreements were terminated early or should be
          declared null and void (save if for causes attributable to the Owner)

     the owner shall be entitled, but not obliged, to terminate early this
     Agreement forthwith.

23.  CONSEQUENCES OF A VOLUNTARY EARLY TERMINATION

     Upon the occurrence of an event of automatic early termination provided
     under Clause 22 above, the following shall apply:

     23.1 If any of the foregoing events should occur prior to delivery of the
          Vessel, early cancellation of the Sale and Purchase Agreement shall
          take place, with the consequences determined therein.

<PAGE>

                                SWORN TRANSLATION

     23.2 If any of the foregoing events should occur after the delivery of the
          Vessel, as well as there being no right to repayment of amounts
          already paid by the Charterer, the following shall apply:

          23.2.1 Put Option

          In the event of any of the foregoing events, the Charterer hereby
          grants the Owner a put option (the "Put Option II") over the Vessel,
          so that, if voluntarily exercised by the Owner, the sale of the Vessel
          in favour of the Charterer shall be deemed made on the date on which
          the Owner issues a notice of exercise of the Put Option.

          The Owner may exercise the Put Option II within 30 days following the
          date of early termination hereof.

          The selling price (the "Selling Price II") which the Charterer shall
          be necessarily obliged to pay shall be equal to the amount deposited
          at the time in the Deposit II, and shall be paid with the funds
          existing at such time, by the relevant debit thereof.

          The Owner and the Charterer shall execute any documents reasonably
          requested by the Charterer to the Owner and which are usual in this
          type of transactions.

          The Vessel shall be disposed of under the conditions provided in
          Clause 18.5 above.

          As well as the foregoing, if the event causing early termination were
          as provided in sections 22.1 or 22.2 above, and the Owner should
          exercise the Put Option II for such reason, the price payable by the
          Charterer for the Vessel shall be the Selling Price II increased by
          the amounts advanced, as the case may be, by the Owner for the
          aforementioned items, motivating the breach.

          If the event causing early termination were as provided in sections
          22.1 to 22.7 and 22.8 and 22.9 above (if in these two last cases it
          were for causes directly attributable to the Charterer), the Charterer
          shall compensate the Owner for all expenses and damages caused by its
          breach, including the loss of tax financial return from the Tax Lease
          structure, Subsidy 442 and Canary Islands Registry, and the costs of
          undoing hedging positions (derivatives) linked to such financial
          structure. If the result of settling such hedging transactions were
          positive, said amount shall be applied to the Charterer's
          aforementioned compensation obligation.

26.  EXONERATION OF LIABILITY AND COMPENSATION

     The Charterer may not incur in nor allow any kind of withholding or
     encumbrance for itself or through its agent, which could take priority over
     the title and interest of the Owner in and to the Vessel.

     The Charterer also agrees to place a plaque in a visible position on the
     Vessel, and to keep it there throughout the duration of the Agreement, with
     the following text:

     "This Vessel is the property of POSEIDON GAS, AIE, is chartered to NAVIERA
     F. TAPIAS GAS III, S.A., and, in accordance with the terms of a charter
     agreement, neither the Charterer nor the captain has any right, power or
     authority to effect or incur or to allow any kind of encumbrance to be
     imposed upon the Vessel".

     The Charterer shall compensate and shall keep the Owner harmless from any
     encumbrances of any nature whatsoever as may arise with regard to the
     Vessel during the Term or during any other period during which the Vessel
     is under the control of the Charterer, and from any claims against the
     Owner derived from the operation of the Vessel, or from any negligence on
     the part of the Charterer in relation to the Vessel or its operation. If
     the Vessel were to be arrested as a result of claims or encumbrances
     derived

<PAGE>

                                SWORN TRANSLATION

     from its operation by the Charterer, the Charterer shall take all
     reasonable steps, at its expense, in order to ensure that, within a
     reasonable length of time, the Vessel will be released and shall also
     deposit, also at its expense, a bond which will ensure the release of the
     Vessel.

     The foregoing representations and warranties include any claim whatsoever
     from a third party for reasons of civil liability relating to the Vessel or
     its cargo, claims from the captain or the crew, claims relating to gross or
     particular average, salvage of or by the Vessel, rescue of the Vessel or
     any other claim directly or indirectly related to navigation or maritime
     traffic.

25.  RETURN

     The Charterer shall at the end of the Term return the Vessel to the Owner,
     in the event of failure to exercise the options provided hereunder, at a
     safe port without ice, as set forth in box 16. The Charterer shall give a
     preliminary notice, at least 30 days in advance, and a final notice, at
     least 14 days in advance of the expected date, of the port of return of the
     Vessel. Any change as from such moment to the location of the Vessel must
     be immediately communicated to the Owner.

     Where the Vessel is on a voyage the duration whereof exceeds the Term, the
     Charterer may use the Vessel to complete the journey, if a reasonable
     calculation of the duration of the voyage allows the Vessel to be returned
     at a date similar to the date of termination of the agreement.

     The Vessel shall be returned to the Owner in the same or as good structure,
     state, condition and class as that in which she was delivered, fair wear
     and tear excepted, which does not affect its class.

     The Vessel, at the time of its return, shall have an up-to-date revision
     cycle and class certificates with validity lasting at least the number of
     months set forth in box 12.

26.  DEPOSIT II

     The Charterer hereby undertakes to make payments into Deposit II in the
     amounts provided in the Framework Agreement. The payments mentioned above
     shall be paid by the Charterer into such Deposit on the same date as it is
     to make payments to the Shipbuilder in accordance with the Shipbuilding
     Contract.

     Said amounts, although to be pledged in favour of Bank II to answer for the
     payment of Loan II by Pledge II, are deposited in their turn to secure the
     payments mentioned hereunder.

27.  ASSIGNMENT AND SUBLEASE

     This Agreement may not be assigned to third parties. The Vessel may be
     bareboat subleased by the Charterer with the prior consent of Banks II and
     of the Owner, provided that (i) the sub-lessees accept all obligations
     relating to navigation, insurance, maritime trade, registration and
     flagship of the Vessel provided hereunder; (ii) the aforementioned
     sub-lease in no way releases the Charterer from any of its obligations and
     commitments hereunder, including those mentioned in section (i) above.

28.  REGISTRATION

     The Vessel shall sail under the Spanish flag and shall be registered,
     together with this Agreement, with the Registry for vessels and seafaring
     companies in the territory of the Autonomous Region of the Canary Islands -
     Rebeca-, created by Additional Provision 15, Law 27/1992 and with the
     Commercial Registry.

     The Vessel, during the Term, may not be registered with any registry other
     than Rebeca nor, consequently, sail under a flag other than the Spanish
     flag.

<PAGE>

                                SWORN TRANSLATION

29.  NAME OF THE VESSEL.

     The name of the Vessel shall be as set forth in Box 5. Notwithstanding the
     foregoing, the Charterer may modify such name. Such change must be notified
     forthwith to the Owner, Banks II and Banks III.

30.  LIMITED RECOURSE.

     30.1 The Charterer, with express waiver of any right to which it may be
          entitled, including application of article 1911 of the Civil Code,
          hereby declares that the Owner shall only be liable against the
          Charterer for the Vessel, for any claim which the latter may have
          against the former relating to the Vessel or to this Agreement,
          excluding any other present or future goods or rights included,
          currently or in the future, in the assets of the Owner or its
          partners. Consequently, the Charterer may only enforce against the
          Vessel pursuant to any action its rights against the Owner.

     30.2 Similarly, the Owner, with express waiver of any right to which it may
          be entitled, including application of article 1911 of the Civil Code,
          hereby declares that the Charterer shall only be liable against the
          Owner for any claim which the latter may have against the former for
          payment of the charter hire and/or the sale and purchase price of the
          Vessel and/or amounts payable as a direct result of the early
          termination hereof, with Deposit II, excluding any other present or
          future goods or rights included, currently or in the future, in the
          assets of the Charterer or its partners. Consequently, the Owner may
          only enforce against Deposit II pursuant to any action its rights in
          such cases.

          Any other payment not expressly mentioned in the foregoing paragraph
          is excepted from the limited recourse agreement provided in this
          section 30.2, including, without limitation, any claim made by the
          Owner to the Charterer as a result of (a) any third party claim
          against the Owner derived from any act, fact or circumstance or event
          relating hereto, to the Vessel or to its navigation or maritime trade
          (Clause 24 above); (b) payment of the Vessel's insurance by the Owner,
          in the event that the Charterer should have failed to pay such
          insurance; (c) compensation obligations provided hereunder and (d) any
          kind of expense or tax relating hereto or to the performance hereof,
          in accordance with Clause 32 below, which must be borne by the
          Charterer.

     This Clause shall remain in force although the agreement should be early
     terminated, so that, although it should be terminated prior to the Delivery
     Date, the Owner shall repay Loan II in the form and manner provided
     hereunder.

31.  NET PAYMENTS

     All amounts which the Charterer is obliged to pay under this Agreement
     shall be paid without any deductions or withholding tax, and the Charterer
     shall bear any taxes and expenses which may apply to such payments,
     currently or in the future, but excluding in any event, Companies' Tax (or
     any tax replacing it) which applies to the returns obtained by the Owner.
     If for any reason the Charterer should be irredeemably obliged to make a
     deduction or withholding, it shall do so, but shall pay the Owner such
     complementary amounts as may be necessary, in order that the amounts paid
     by the Charterer shall be the same as if such deductions or withholdings
     did not exist.

32.  EXPENSES AND TAXES

     The Charterer shall undertake the obligation to pay any expenses, taxes,
     duties, encumbrances, professional fees, Notaries Public and registries
     (administrative and commercial) and other current or future items which may
     arise or accrue as a result of the execution of this Agreement or the
     performance thereof, and any provisions hereunder, including put and call
     options, assignments or rights etc. Similarly, the Charterer shall bear any
     taxes which currently or in the future may apply to the property or
     possession of

<PAGE>

                                SWORN TRANSLATION

     vessels such as the Vessel, even if such taxes are payable by the Owner.
     Notwithstanding the foregoing, taxes on capital gains resulting from the
     sale of the Vessel as a result of the exercise of the call or put options
     mentioned above shall be exempted from the foregoing, as shall the
     Companies' Tax applicable to returns obtained by the Owner.

33.  ENTRY INTO FORCE

     This Agreement shall enter into force simultaneously to the execution and
     entry into force of the Related Agreements.

34.  APPLICABLE LAW AND JURISDICTION

     This Agreement shall be governed by English law.

     The parties hereby submit to the jurisdiction of the High Court of England
     and Wales for the resolution of any disputes, litigations or controversies
     as may arise herefrom.

And, in witness whereof, both parties hereby sign the present agreement in three
counterparts, to one sole effect, at the place and date mentioned above.

        [illegible signature]                     [illegible signature]
-------------------------------------   ----------------------------------------
              THE OWNER                               THE CHARTERER<PAGE>
                                                                               .
                                                                               .
                                                                               .
                                                                   EXHIBIT 10.13

<TABLE>
<S>                                                              <C>
--------------------------------------------------------------------------------------------------------------------------------
1. Shipbroker                                                    THE BALTIC AND INTERNATIONAL MARITIME COUNCIL (BIMCO)
                                                                 STANDARD BAREBOAT CHARTER
                                                                 CODE NAME: "BARECON 89"                                  PART I
--------------------------------------------------------------------------------------------------------------------------------
                                                                 2. Place and date

                                                                 MADRID 30 DECEMBER 2003
--------------------------------------------------------------------------------------------------------------------------------
3. Owner/Place of business                                       4. Bareboat charterers (Charterers)/Place of business

PAGUMAR A.I.E.                                                   NAVIERA F. TAPIAS GAS IV, S.A.
C/NICOLAS ESTEVANEZ, 30 - 1(a) plta                              C/ MUSCGO, 5 - 2(A) plta
35007 - LAS PALMAS                                               LA FLORIDA - 28023 - MADRID
SPAIN                                                            SPAIN
--------------------------------------------------------------------------------------------------------------------------------
5. Vessel's name, Call Sign and Flag (Cl. 9(c))

NAME AND CALL SIGN TO BE ADVISED BY CHARTERERS.
FLAG: SPAIN - Vessel: registered under Canary Islands Registry
--------------------------------------------------------------------------------------------------------------------------------
6. Type of Vessel                                                7. GRT/NRT

                                                                 TBA
--------------------------------------------------------------------------------------------------------------------------------
8. When/Where Built                                              9. Total DWT (abt.) in metric tons on summer freeboard

See Building Contract                                            See Building Contract
--------------------------------------------------------------------------------------------------------------------------------
10. Class (Cl. 9)                                                11. Date of last special survey by the Vessel's
                                                                 classification society

T.B.A.                                                           N/A
--------------------------------------------------------------------------------------------------------------------------------
12. Further particulars of Vessel (also indicate minimum number of months' validity of class certificates agreed acc. to Cl. 14)

See Building Contract
--------------------------------------------------------------------------------------------------------------------------------
13. Port or Place of delivery (Cl. 2)                            14. Time for delivery (Cl. 3)   15. Cancelling date (Cl. 4)
                                                                 See Building Contract           See Building Contract

See Building Contract                                            ---------------------------------------------------------------
                                                                 16. Port or Place of redelivery (Cl. 14)

--------------------------------------------------------------------------------------------------------------------------------
17. Running days' notice if other than stated in Cl. 3           18. Frequency of dry-docking if other than stated in Cl. 9(f)

N/A                                                              N/A
--------------------------------------------------------------------------------------------------------------------------------
19. Trading Limits (Cl. 5)

--------------------------------------------------------------------------------------------------------------------------------
20. Charter period                                               21. Charter hire (Cl. 10)

See Clause 27                                                    See Clause 28
--------------------------------------------------------------------------------------------------------------------------------
22. Rate of interest payable acc. to Cl. 10(f) and, if           23. Currency and method of payment (Cl. 10)
applicable, acc. to PART IV

See Building Contract                                            See Clause 28
--------------------------------------------------------------------------------------------------------------------------------
</TABLE>

                                       -1-

<PAGE>

<TABLE>
<S>                                                              <C>
--------------------------------------------------------------------------------------------------------------------------------
24. Place of payment; also state beneficiary and bank account    25. Bank guarantee/bond (sum and place) (Cl. 22) (optional)
(Cl. 10)

See Clause 27                                                    N/A
--------------------------------------------------------------------------------------------------------------------------------
26. Mortgage(s), if any, (state whether Cl. 11(a) or (b)         27. Insurance (marine and war risks) (state value acc. to
applies. If 11(b) applies state date of Deed(s) of Covenant      Cl. 12(f) or, if applicable, acc. to Cl. 13(k)) (also state if
and name of Mortgagee(s)/Place of business) (Cl. 11)             Cl. 13 applies)

                                                                 N/A
See Clause 29                                                    Clause 13 does not apply
--------------------------------------------------------------------------------------------------------------------------------
28. Additional insurance cover, if any, for Owners' account      29. Additional insurance cover, if any, for Charterers' account
limited to (Cl. 12(b)) or, if applicable, (Cl. 13(g))            limited to (Cl. 12(b)) or, if applicable, (Cl. 13(g))
--------------------------------------------------------------------------------------------------------------------------------
30. Latent defects (only to be filled in if period other than    31. War cancellation (indicate countries agreed) (Cl. 24)
stated in Cl. 2)

N/A                                                              N/A
--------------------------------------------------------------------------------------------------------------------------------
32. Brokerage commission and to whom payable (Cl. 25)

N/A
--------------------------------------------------------------------------------------------------------------------------------
33. Law and arbitration (state 26.1., 26.2., or 26.3. of         34. Number of additional clauses covering special provisions,
Cl. 26 as agreed; if 26.3. agreed, also state place of           if agreed
arbitration) (Cl. 26)
                                                                 4A
26.1
--------------------------------------------------------------------------------------------------------------------------------
35. Newbuilding Vessel (indicate with "yes" or "no" whether      36. Name of place of Builders (only to be filled in if Part III
Part III applies)                                                applies)
                                                    (optional)
Yes

--------------------------------------------------------------------------------------------------------------------------------
37. Vessel's Yard Building No. (only to be filled in if          38. Date of Building Contract (only to be filled in if Part III
Part III applies)                                                applies)
--------------------------------------------------------------------------------------------------------------------------------
39. Hire/Purchase agreement (indicate with "yes" or "no"         40. Bareboat Charter Registry (Indicate with "yes" or "no"
whether Part IV applies) (optional)                              whether Part V applies) (optional)

No - See Clause 31
--------------------------------------------------------------------------------------------------------------------------------
41. Flag and Country of the Bareboat Charter Registry (only to   42. Country of the Underlying Registry (only to be filled in if
be filled in if Part V applies)                                  Part V applies)
--------------------------------------------------------------------------------------------------------------------------------
</TABLE>

PREAMBLE - It is mutually agreed that this Contract shall be performed subject
to the conditions contained in this Charter which shall include PART I and PART
II. In the event of a conflict of conditions, the provisions of PART I shall
prevail over those of PART II to the extent of such conflict but no further. It
is further mutually agreed that PART III and/or PART IV and/or PART V shall only
apply and shall only form part of this Charter if expressly agreed and stated in
Boxes 35, 39 and 40. If PART III and/or PART IV and/or PART V apply, it is
further mutually agreed that in the event of a conflict of conditions, the
provisions of PART I and PART II shall prevail over those of PART III and/or
PART IV and/or PART V to the extent of such conflict but no further.

Preamble - In the event of a conflict, the provisions of Part 1 shall prevail
over those of Part II.

Signature (Owners)                      Signature (Charterers)
PAGUMAR A.I.E.                          NAVIERA F. TAPIAS GAS IV, S.A.

                                       -2-

<PAGE>

1.   Definitions

     In this Charter, the following terms shall have the meaning hereby assigned
     to them:

     "The Owners" shall mean the person or company registered as Owners of the
     Vessel.

     "The Charterers" shall mean the Bareboat charterers and shall not be
     construed to mean a time charter or a voyage charter.

2.   Delivery (not applicable to newbuilding vessels)

     Deleted.

3.   Time for Delivery (not applicable to newbuilding vessels)

     Deleted.

4.   Cancelling (not applicable to newbuilding vessels)

     Deleted.

5.   Trading Limits

     The vessel shall be employed in lawful trades for the carriage of suitable
     lawful merchandise. The Charterers undertake not to employ the Vessel or
     suffer the Vessel to be employed otherwise than in conformity with the
     terms of the instruments of insurance (including any warranties expressed
     or implied therein) without first obtaining the consent to such employment
     of the insurers and complying with such requirements as to extra premium or
     otherwise as the insurers may prescribe. If required, the Charterers shall
     keep the Mortgagees advised of the intended employment of the Vessel.

     The Charterers also undertake not to employ the Vessel or suffer her
     employment in any trade or business which is forbidden by the law of any
     country to which the Vessel may sell or is otherwise illicit or in carrying
     illicit or prohibited goods or in any manner whatsoever which may render
     her liable to condemnation, destruction, seizure or confiscation.

6.   Surveys (not applicable to newbuilding vessels)

     Deleted.

7.   Inspection

     See Clause 36

8.   Inventories and Consumable Oil and Stores

     Deleted.

9.   Maintenance and Operating

     (a) The Vessel shall during the Charter period be in the full possession
     and at the absolute disposal for all purposes of the Charterers and under
     their complete control in every respect. The Charterers shall maintain the
     Vessel, her machinery, boilers, appurtenances and spare parts in a good
     state of repair, in efficient operating condition and in accordance with
     good commercial maintenance practice and, except as provided for in Clause
     13, (i) they shall keep the vessel with unexpired classification of the
     class indicated in Box 10 and with other required certificates in force at
     all times.

     Unless otherwise agreed, in the event of any improvement, structural
     changes or expensive new equipment becoming necessary for the continued
     operation of the Vessel by reason of new class requirements or by
     compulsory legislation

     The Charterers are required to establish and maintain financial security or
     responsibility in respect of oil or other pollution damage as required by
     any government, including Federal, state or municipal or other division of
     authority thereof, to enable the Vessel, without penalty or charge,
     lawfully to enter, remain at or leave any port, place, territories or
     contiguous waters of any country, state or municipality in performance of
     this Charter without any delay. This obligation shall apply whether or not
     such requirements have been lawfully imposed by such government or division
     or authority thereof. The Charterers shall make and maintain all
     arrangements by bond or otherwise, as may be necessary to satisfy such
     requirements at the Charterers' sole expense and the Charterers shall
     indemnify the Owners against all consequences whatsoever (including loss of
     time) for any failure or inability to do so.

     (b) The Charterers shall at their own expense and by their own procurement
     man, victual, navigate, operate, supply, fuel and recast the Vessel
     whenever required during the Charter period and they shall pay all charges
     and expenses of every kind and nature whatsoever incidental to their use
     and operation of the Vessel under this Charter, including any foreign
     general municipality and/or sales taxes. The Master, officers and crew of
     the Vessel shall be the servants of the Charterers for all purposes
     whatsoever, even if for any reason appointed by the Owners.

     Charterers shall comply with the regulations regarding officers and crew in
     force in the country of the Vessel's flag or any other applicable law.

     (c) During the currency of this Charter, the Vessel shall retain her
     present name as indicated in Box 5 and shall remain under and fly the flag
     as indicated in Box 5. Provided, however, that the Charterers shall have
     the liberty to paint the Vessel in their own colours, install and display
     their funnel insignia and fly their own house flag. Painting and
     re-painting, installment and re-installment to be for the Charterer's
     account and time used thereby to count as time on hire.

     (d) Deleted.

     (e) The Charterers shall have the use of all outfits, equipment, and
     appliances on board the Vessel at the time of delivery.

     See Clause 28.

                                       -3-

<PAGE>

10.  Hire

     Deleted. See Clause 29.

11.  Mortgage

     The Charterers undertake to have acquainted themselves with all terms,
     conditions and provisions of the said Deed(s) of Covenant. The Charterers
     undertake that they will comply with all such instructions or directions in
     regard to the employment, insurance, repairs and maintenance of the Vessel,
     etc. as laid down in the Deed(s) of Covenant or as may be directed from
     time to time during the currency of the Charter by the Mortgagee(s) in
     conformity with the Deed(s) of Covenant.

12.  Insurance and Repairs

     (a) During the Charter period the Vessel shall be kept insured by the
     Charterers at their expense against marine, war and Protection and
     Indemnity. Such marine, war and P and I insurances shall be arranged by the
     Charterers to protect the interests of the Charterers and mortgagees (if
     any), and the charterers shall be at liberty to protect under such
     insurances in interests of any managers they may appoint. All insurance
     policies shall be in the joint names of the Owners and the Charterers as
     their interests may appear.

     The Charterers shall upon the request of the Owners and the Underwriters
     effect all insured repairs and shall undertake settlement of all costs in
     connection with such repairs as well as insured charges, expenses and
     liabilities (reimbursement to be secured by the Charterers from the
     Underwriters) to the extent of coverage under the insurances herein
     provided for.

     The Charterers also to 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 insurances and/or not exceeding any possible
     franchise(s) or deductibles provided for in the insurances.

     All time used for repairs under the provisions of subclause (a) of this
     Clause and for repairs of latent defects according to Clause 2 above,
     including any deviation, shall count as time on hire and shall form part of
     the Charterers' period.

     (b) If the conditions of the above insurances permit additional insurance
     to be placed by the parties, such cover shall be limited to the amount for
     each party set out in Box 20 and Box 25, respectively. The Owners or the
     Charterers as the case may be shall immediately furnish the other party
     with particulars of any additional insurance effected, including copies of
     any cover notes or policies and the written consent of the insurers of any
     such required insurance in any case where the consent of such insurers is
     necessary.

     (c) Should the Vessel become an actual, constructive, compromised or agreed
     total loss under the insurance required under sub-clause (a) or Clause 12,
     all insurance payments for such loss shall be paid to the Mortgagee, if
     any, in the manner described in the Deed(s) of Covenant, who shall
     distribute the moneys between themselves, the Owners and the Charterers
     according to their respective interests. The Charterers undertake to notify
     the Owners and the Mortgagee, if any, of any occurrence in consequence of
     which the Vessel is likely to become a Total Loss as defined in this
     Clause.

     (d) If the Vessel becomes an actual, constructive, compromised or agreed
     total loss under the insurances arranged by the Owners in accordance with
     sub-clause (a), this Charter shall terminate as of the date of such loss.

     (e) The Owners shall upon the request of the Charterers, promptly execute
     such documents as may be required to enable the Charterers to abandon the
     Vessel to the insurers and claim a constructive loss.

     (f) For the purpose of insurance coverage against hull and machinery and
     war risks under the provisions of sub-clause (a) of this Clause, the value
     of the Vessel is the sum indicated in Box 27.

13.  Insurance, Repairs and Classification

     Deleted.

14.  Redelivery

     Deleted.

15.  Non-Lien and Indemnity

     Other than the Mortgagees, the Charterers will not suffer, nor permit to be
     continued, any lien or encumbrance incurred by them or their agents, which
     might have priority over the title and interest of the Owners in the
     Vessel.

     The Charterers shall indemnify and hold the Owners harmless against any
     lien of whatsoever nature arising upon the Vessel during the Charter period
     while she is under the control of the Charterer, and against any claims
     against the Owners arising out of or in relation to the operation of the
     Vessel by the Charterers. Should the Vessel be arrested by reason of claims
     arising out of her operation hereunder by the Charterer, the Charterers
     shall at their own expense take all reasonable steps to secure that within
     a reasonable time the Vessel is released and at their own expenses provide
     bail to secure release of the Vessel.

16.  Lien

     The Owners to have a lien upon all cargoes and sub-freights belonging or
     due to the Charterers and any Bill of Lading freight for all claims under
     this Charter.

17.  Salvage

     All salvage and towage performed by the Vessel shall be for the Charterers'
     benefit and the cost of repairing damage occasioned thereby shall be borne
     by the Charterers.

                                       -4-

<PAGE>

18.  Wreck Removal

     In the event of the Vessel becoming a wreck or obstruction to navigation
     the Charterers shall indemnify the Owners against any sums whatsoever which
     the Owners shall become liable to pay and shall pay in consequence of the
     Vessel becoming a wreck or obstruction to navigation.

19.  General Average

     General Average, if any, shall be adjusted according to the York-Antwerp
     Rules 1974 or any subsequent modification thereof current at the time of
     the casualty.

     The Charter Hire not to contribute to General Average.

20.  Assignment and Sub-Demise

     The Charterers may assign this Charter to the Charterers' financiers and
     sub-demise the Vessel.

21.  Bills of Lading

     The Charterers are to procure that all Bills of Lading issued for carriage
     of goods under this Charter shall contain a Paramount Clause incorporating
     any legislation relating to Carrier's liability for cargo compulsorily
     applicable in the trade; if no such legislation exists, the Bills of Lading
     shall incorporate the British Carriage of Goods by Sea Act. The Bills of
     Lading shall also contain the amended New Jason Clause and the
     Both-to-Blame Collision Clause.

     The Charterers agree to indemnify the Owners against all consequences or
     liabilities arising from the Master, officers or agents signing Bills of
     Lading or other documents.

22.  Bank Guarantee

     Deleted

23.  Requisition/Acquisition

     (a) In the event of the Requisition for Hire of the Vessel by any
     governmental or other competent authority (hereinafter referred to as
     "Requisition for Hire") irrespective of the date during the Charter period
     when "Requisition for Hire" may occur and irrespective of the length
     thereof and whether or not it be for an indefinite or a limited period of
     time, and irrespective of whether it may or will remain in force for the
     remainder of the Charter period, this Charter shall not be deemed thereby
     or thereupon to be frustrated or otherwise terminated and the Charterers
     shall continue to pay the stipulated hire in the manner provided by this
     Charter until the time when the Charter would have terminated pursuant to
     any of the provisions hereof always provided however that in the event of
     "Requisition for Hire" any Requisition Hire or compensation received or
     receivable by the Owners shall be payable to the Charterers during the
     period of the "Requisition for Hire" whichever be the shorter.

24.  War

     Deleted

25.  Commission

     Deleted

26.  Law and Arbitration

     26.1. This Charter shall be governed by English law and any dispute arising
     out of this Charter shall be referred to arbitration in London, one
     arbitrator being appointed by each party, in accordance with the
     Arbitration Acts 1996 and 1979 or any statutory modification or
     re-enactment thereof for the time being in force. On the receipt by one
     party of the nomination in writing of the other party's arbitrator, that
     party shall appoint their arbitrator within fourteen days, failing which
     the decision of the single Arbitrator appointed shall apply. If two
     Arbitrators properly appointed shall not agree they shall appoint an umpire
     whose decision shall be final.

                                       -5-

<PAGE>

                                    PART III
                             PROVISIONS TO APPLY FOR
                            NEWBUILDING VESSELS ONLY

     Specifications and Building Contract

     (a) The Vessel shall be constructed in accordance with the Building
     Contract (hereafter called "the Building Contract") as annexed to this
     Charter, made between the Builders and the Owners and in accordance with
     the specifications and plans annexed thereto, such Building Contract,
     specifications and plans having been counter-signed as approved by the
     Charterers.

     (b) No change shall be made in the Building Contract or in the
     specifications or plans of the Vessel as approved by the Charterers as
     aforesaid, without the Charterers' consent.

     (c) The Charterers shall have the right to send their representative to the
     Builders' Yard to inspect the Vessel during the course of her construction
     to satisfy themselves that construction is in accordance with such approved
     specifications and plans as referred to under sub-clause (a) of this
     Clause.

     (d) The Vessel shall be built in accordance with the Building Contract and
     shall be of the description set out therein provided nevertheless that the
     Charterers shall be bound to accept the Vessel from the Owners on the date
     of delivery by the Builders as having been completed and constructed in
     accordance with the Building Contract and the Charterers undertake that
     after having so accepted the Vessel they will not thereafter raise any
     claims against the Owners in respect of the Vessel's performance or
     specification or defects if any.

     Time and Place of Delivery

     (a) Subject to the Vessel having completed her acceptance trials including
     trials of cargo equipment in accordance with the Building Contract and
     specifications to the satisfaction of the Charterers, the Owners shall give
     and the Charterers shall take delivery of the Vessel afloat when ready for
     delivery at the Builders' Yard or some other safe and readily accessible
     dock, wharf or place as may be agreed between the parties hereto and the
     Builders. Under the Building Contract the Builders have estimated that the
     Vessel will be ready for delivery to the Owners as therein provided but the
     delivery date for the purpose of this Charter shall be the date when the
     Vessel is in fact ready for delivery by the Builders after completion of
     trials whether that be before or after as indicated in the Building
     Contract. Notwithstanding the foregoing, the Charterers shall not be
     obliged to take delivery of the Vessel until she has been classed and
     documented as provided in this Charter and free for transfer to the flag
     she has to fly. Subject as aforesaid the Charterers shall not be entitled
     to refuse acceptance of delivery of the Vessel and upon and after such
     acceptance the Charterers shall not be entitled to make any claim against
     the Owners in respect of any conditions, representations or warranties,
     whether express or implied, as to the seaworthiness of the Vessel or in
     respect of delay in delivery or otherwise howsoever.

     (b) If for any reason other than a default by the Owners under the Building
     Contract, the Builders become entitled under that Contract not to deliver
     the Vessel to the Owners, the Owners shall upon giving to the Charterers
     written notice of Builders becoming so entitled, be excused from giving
     delivery of the Vessel to the Charterers and upon receipt of such notice by
     the Charterers this Charter shall cease to have effect.

     Guarantee Works

     If not otherwise agreed, the Owners authorize the Charterers to arrange for
     the guarantee works to be performed in accordance with the building
     contract terms, and hire to continue during the period of guarantee works.
     The Charterers have to advise the Owners about the performance to the
     extent the Owners may request.

     Name of Vessel

     The name of the Vessel shall be determined by the Charterers and the Vessel
     shall be painted in the colours, display the funnel insignia and fly the
     house flag as required by the Charterers.

     Survey on Redelivery

     Deleted

                                       -6-

<PAGE>

                                     PART IV
                             HIRE/PURCHASE AGREEMENT

Deleted.

                                     PART V
    PROVISION TO APPLY FOR VESSELS REGISTERED IN A BAREBOAT CHARTER REGISTRY

Deleted.

                                      -7-

<PAGE>

                      SUPPLEMENTARY CLAUSES TO "BARECON 89"

                            STANDARD BAREBOAT CHARTER

27.  PERIOD OF CHARTER

The Charter Period shall commence on the date on which this Charter is signed by
or behalf of both parties, and shall continue until the expiry of the period
specified in the Schedule of Payments annexed hereto, which shall be seven years
from the date of delivery of the Vessel by the Builders (the ORIGINAL CHARTER
PERIOD), save for a mutual written agreement of the parties of an extension for
an additional period up to seven years, unless earlier terminated:

(a)  by reason of the exercise of the Put Option set out in Clause 30 or the
     Acceleration Option set out in Clause 37; or

(b)  pursuant to any right of termination contained in an agreement dated 30
     December 2003 between the Owners and the Charterer and certain other
     parties (the MASTER AGREEMENT) other than a right of termination within the
     meaning of Clause 27(c) of this Charter below; or

(c)  by reason of the exercise of the Purchase Option under Clause 31(b) of this
     Charter set out below.

Termination of this Charter in accordance with Clause 27(a) of this Charter
prior to the delivery of the Vessel by the Builder shall be without prejudice to
the Owners obligation to transfer ownership in the Vessel to the Charterer upon
delivery by the Builder (Clause 32) or the Charterer' obligations to make
payment of any instalments due after the date of such termination.

28.  HIRE

(a)  Subject to Clause 28 (b) of this Charter, the Charterer shall pay hire to
     the Owners by making hire payments to the Owners in accordance with the
     terms of this Charter, as set out in the Schedule of Payments annexed
     hereto (the "Basic Hire").

(b)  The Charterer shall make deposits (the DEPOSITS) with the Spanish Deposit
     Entity (as defined in the Master Agreement), which when taken together with
     interest scheduled to accrue thereon shall equal the aggregate amounts
     payable by the Charterer with regard to the payment of hire and the option
     price(s) in respect of Clauses 30, 31 and 37 of this Charter as
     contemplated the Master Agreement and the Appendices attached thereto and
     notwithstanding the exercise by the Owners of the Put Option prior to the
     due date of any such Deposits. For the avoidance of doubt the Charterer
     shall not be responsible or liable to pay any withholding or equivalent
     taxes or deductions imposed by any Spanish or non-Spanish governmental,
     statutory, regulatory body on such Deposits unless required by law, in
     which event the Charterer shall pay the net amount to the Spanish Deposit
     Entity.

(c)  The Charterer's payment obligations to the Owner with regard to payment of
     hire and the option price(s) in respect of Clauses 30, 31 and 37 of this
     Charter will be discharged pro tanto to the extent of each application of
     proceeds from the Deposits that will be made by the Spanish Deposit Entity
     on each of the dates set out in the Schedule of Payments or, in the case of
     amounts payable under Clause 30(b) or 31, on the date on which such amounts
     become payable in accordance with those clauses.

                                      -8-

<PAGE>

(d)  So long as the Charterer comply with its obligations to make Deposits in
     accordance with the provisions of the Master Agreement it shall not be
     liable for any failure on the part of the Spanish Lender to make advances
     to the Owner to be applied by the Owner towards the payment of the purchase
     price for the Vessel in accordance with the provisions of the Master
     Agreement, and the Owner shall not be entitled to terminate this Charter
     (otherwise than pursuant to Clause 27 of this Charter) nor to exercise any
     rights or remedies provided for in this Charter in the event of a failure
     to pay hire or the option price(s) in respect of Clauses 30, 31 and 37 of
     this Charter.

(e)  Except as expressly provided to the contrary in the Master Agreement or in
     this Charter, the Deposits made by the Charterer shall be non-returnable
     and the hire and the option price(s) in respect of Clauses 30, 31 and 37 of
     this Charter shall continue to be payable in accordance with the provisions
     set out above notwithstanding the occurrence of an event within the meaning
     of Clause 37 of this Charter.

29.  MORTGAGE

(a)  The Owners warrant that they have not effected any mortgage over the Vessel
     and undertake that they will not effect any mortgage over the Vessel during
     the currency of this Charter other than a first priority mortgage in favour
     of the Charterer' financiers (the MORTGAGEE), in accordance with the terms
     of the Master Agreement.

(b)  The Owners undertake to have acquainted themselves with the terms of the
     Mortgage and consent to the exercise by the Mortgagee of all the powers
     reserved thereby to the Mortgagee, including any power to enter into
     possession of the Vessel or to foreclose upon or sell the rights of the
     Charterer under this Charter. The Owners and the Charterers acknowledge and
     accept that their rights and interests in and to the Vessel are subject and
     subordinate in all respects to the rights of the Mortgagee under the
     Mortgage.

(c)  The Charterers undertake to comply with the terms and conditions of the
     Mortgage and of the loan secured thereby.

(d)  All taxes, withholdings, levies, duties, costs, fees (including the Spanish
     Notary and Register's fees) and expenses in connection with the granting,
     execution, registration, amendment and removal of the Mortgage shall be the
     responsibility of the Charterers.

(e)  The Owners undertake to enter into Spanish public deeds required to effect
     the Mortgage and any additional documents or amendments to such deeds which
     may be required by the relevant registrar to achieve definite registration
     of the Mortgage. Such documents shall be entered into by the Owners under
     the terms (including the type and nature of claims to be secured and
     amounts of such claims) provided by the Mortgagee provided that such deeds
     (i) provide no recourse whatsoever to the Owners, the partners in the
     Owners, or any of their respective assets, other than to the Vessel and
     (ii) establish no further obligation on the Owners or the partners in the
     Owners other than as expressly set out in such deeds.

(f)  The Charterer shall be fully responsible for filing and registration of the
     Mortgage.

                                      -9-

<PAGE>

30.  PUT OPTION

(a)  At any time, during the Charter Period the Owner shall be entitled to
     require the Charterer, by giving not less than 28 days notice in writing,
     to purchase the Vessel. Upon such notice taking effect, subject to Clauses
     27 and 28(b) and (c) of this Charter, the option price and all amounts
     outstanding under this Charter in respect of Basic Hire and any other sums
     payable by the Charterer to the Owners under the terms of this Charter
     shall become immediately due and payable by the Charterer. For the
     avoidance of doubt, by application of the Deposits in accordance with
     Clause 28(c), the Charterer will also fulfil this obligation. Upon such
     payment or, if the option is exercised prior to delivery, upon the delivery
     of the Vessel by the Builder, the ownership of the Vessel will be
     transferred to the Charterer in accordance with Clause 32 of this Charter
     and the Charter Period shall terminate in accordance with Clause 27 of this
     Charter.

(b)  The exercise of the Put Option referred to in Clause 30(a) of this Charter
     by the Owners shall override the earlier exercise or deemed exercise (if
     any) of the Purchase Option by the Charterer under Clause 31(a) of this
     Charter. For the avoidance of doubt, the exercise of the Put Option by the
     Owners shall not override the exercise of the Purchase Option by the
     Charterer under Clause 31(b) of this Agreement.

31.  PURCHASE OPTIONS

(a)  Subject to Clause 30(b) of this Charter, at the end of the Original Charter
     Period, the Charterer may, by notice in writing, require the Owners to
     transfer ownership in the Vessel to the Charterer, and upon such notice
     being given and subject to Clause 28(b) of this Charter, upon payment by
     the Charterer of the option price and any sums due and payable by them to
     the Owners under the terms of this Charter, the ownership of the Vessel
     will be transferred to the Charterer in accordance with Clause 32 of this
     Charter and the Charter Period shall terminate in accordance with Clause 27
     of this Charter.

(b)  Upon the occurrence of an event under Clause 2.5(a) to (c) of the Master
     Agreement, provided that the Vessel has been delivered by the Builder, the
     Charterer may, by notice in writing, require the Owners to transfer
     ownership in the Vessel to the Charterer, and upon such notice being given
     and subject to Clause 28(b) of this Charter, the option price and all
     amounts outstanding under this Charter in respect of Basic Hire and any
     other sums payable by the Charterer to the Owners under the terms of this
     Charter shall become immediately due and payable by the Charterer. Upon
     payment of all such amounts, the ownership of the Vessel will be
     transferred to the Charterer in accordance with Clause 32 of this Charter
     and the Charter Period shall terminate in accordance with Clause 27 of this
     Charter.

(c)  Each of the Purchase Options referred to in Clauses 31(a) and (b) of this
     Charter are and shall be construed as separate and independent options
     capable of exercise by the Charterer.

(d)  The Purchase options referred to in Clauses 31(a) and (b) of this Charter
     shall not be exercisable if the Charter Period has come to an end upon the
     termination of the Building Contract prior to delivery of the Vessel by the
     Builder.

                                      -10-

<PAGE>

32.  TRANSFER OF OWNERSHIP PURSUANT TO THE PUT OPTION OR PURCHASE OPTION

(a)  Ownership in the Vessel shall pass to Charterer free of all encumbrances
     and liens (other than the Mortgage) except such as may have arisen solely
     by reason of anything done or not done by the Charterer or any
     sub-charterer.

(b)  The Owners shall furnish the Charterer with a Bill of Sale, duly attested
     and legalised, together with a certificate setting out the registered
     encumbrances, if any, and shall, if so required by the Charterer, provide
     for the deletion of the Vessel from the Registry for Charges Over Movable
     Assets, Vessels and Aircrafts Section (Registro de Bienes Muebles, Seccion
     de Buques y Aeronaves) (the REGISTRY) and furnish a certificate of deletion
     to the Charterer.

(c)  Any classification certificates and plans which may be in possession of the
     Owners shall be handed to the Charterer.

(d)  Any taxes, (other than any arising in Spain) notarial, consular or other
     charges and expenses connected with the exercise of the option and the
     registration under the Charterer' flag shall be for the Charterer' account.
     Any such expenses connected with the closing of the Registry shall be for
     the Owners' account.

(e)  The Transfer of Ownership shall not take place and the Owners shall be
     relieved of their obligations to transfer the Vessel to the Charterer under
     the Put Option, the Purchase Option and the Acceleration Option upon the
     enforcement of the Mortgage by the Mortgagee (unless the Mortgagee
     instructs the Owners to transfer the ownership of the Vessel to the
     Charterer in which case, the Owners shall be obliged to transfer Ownership
     in accordance with the Mortgagee's instructions, provided that the Owner is
     lawfully able to do so) or upon the occurrence of an event within the
     meaning of Clause 12(d) or 37(d) of this Charter or the termination of the
     Shipbuilding Contract prior to the delivery of the Vessel.

(f)  In this Charter, references to the "transfer" of ownership shall be
     construed as meaning:

     (i)  the automatic Transfer of Ownership of the Vessel if permitted by
          applicable law at the time of transfer, in which case, no further
          action shall be required by the Owners other than as required under
          Clauses 32 (b), (c) and (d) of this Charter; or

     (ii) to the extent that sub-clause 32 (f)(i) above does not apply, a
          transfer in accordance with the formalities required by applicable law
          at the time of transfer, in which case, the Owners shall be obliged to
          transfer the Vessel in accordance with the prescribed formalities of
          the applicable law governing the transfer and the requirements of this
          Clause 32.

33.  INSURANCE

The Owners shall be entitled to effect (at their own cost) their own insurances
on the terms as detailed in Clause 6.4 of the Master Agreement which
arrangements shall be set out in an addendum to this Charter to be entered into
between the Owners and the Charterer.

                                      -11-

<PAGE>

34.  INSPECTION/ SURVEY - OWNERS' RIGHTS

(a)  The Owners and their agents shall have the right (at their own cost and
     expense) to inspect or survey the Vessel or appoint a duly authorised
     surveyor to do so solely for the purposes of enabling the Owners to obtain
     or effect insurances in respect of their position as legal owner of the
     Vessel and provided that such survey or inspection is at a time reasonably
     convenient to the Charterer and without any hindrance whatsoever to the
     operation or safety of the Vessel and taking into account the requirements
     and the rights of any sub-charterer of the Vessel.

(b)  The Charterer must also provide reasonable notice and advise the Owners
     when and where the Vessel is to be inspected or surveyed by the Charterer'
     own insurance assessors or surveyors from time to time during the Charter
     Period so as to allow the Owners and their agents to conduct (at their own
     cost and expense) their own inspection and survey at the same time (or at a
     reasonably similar time) but taking into account the requirements of any
     sub-charterer of the Vessel.

(c)  The Charterer shall advise the Owners upon request when and where the
     Vessel will be dry-docked or inspected by class survey or (and the date and
     location of such dry-dock or inspection) or otherwise available for
     inspection or survey and must use their reasonable endeavours to allow such
     inspection or survey but taking into account the requirements and the
     rights of any sub-charterer of the Vessel.

35.  BILLS OF LADING

Further to Clause 21, the Master or other agents of the Charterer who sign Bills
of Lading or any other documents relating to the carriage of goods on the Vessel
shall sign such documents for and on behalf of the Charterer and not the Owners.
Such persons have no authority to bind the Owners by their signature.

36.  FINANCIAL RESPONSIBILITY

The Charterer shall, on request of the Owners, furnish to the Owners documentary
evidence of compliance with the provisions of Clause 9 with regard to financial
security or responsibility in respect of pollution damage and any compulsory
scheme.

37.  ACCELERATION OPTION

Subject always to Clauses 2.3, 2.4 and 2.10 of the Master Agreement upon the
occurrence of any of the following events, which events are outside the control
of the Owners:

(a)  at any time after delivery of the Vessel by the Builders if the Charterer
     shall go into liquidation (except a voluntary liquidation for the purposes
     of reconstruction or amalgamation upon terms previously approved in writing
     by the Owners) or be unable to pay their debts as they fall due or commit
     an act of bankruptcy or if a receiver is appointed over the Charterer or
     the assets of the Charterer or if some event having an equivalent effect
     occurs;

(b)  the enforcement of the Mortgage;

(c)  title to or possession of the Vessel by the Owners is lost as a consequence
     of the enforcement of any third party rights arising as a result of the
     Charterer' operation of the Vessel;

                                      -12-

<PAGE>

(d)  the occurrence of an event within the meaning of Clause 12(d) of this
     Charter; or

(e)  the Charterer breach any of the terms of this Charter if such breach (i)
     has an adverse effect on the tax benefits available to the Owners and the
     partners in the Owners from the charter of the Vessel and related
     transactions and (ii) such breach and the adverse tax effects of such
     breach are not cured to the satisfaction of the Owners within two weeks
     from receipt by the Charterer of a notification from the Owners specifying
     the breach,

then the Owners shall at any time after any such event have the right (the
ACCELERATION OPTION), by giving notice to such effect to the Charterer (the
ACCELERATION NOTICE), to transfer ownership of the Vessel in accordance with
Clause 32 of this Charter on the Ownership Transfer Date (or to the extent that
the Owners no longer have title to or possession of the Vessel as a result of
such event shall upon such notice be deemed to have so transferred ownership on
the Acceleration Date).

Upon such transfer (or deemed transfer) of the ownership of the Vessel, the
Charter Period shall terminate in accordance with Clause 27 of this Charter.

ACCELERATION DATE means the date immediately preceding the date of the event

OWNERSHIP TRANSFER DATE means the date being 28 days after the date of the
Acceleration Notice.

If the Owners exercise their right under this Clause 37 following the happening
of any of the events referred to in paragraphs (a) to (e) above an amount of
supplemental hire (the SUPPLEMENTAL HIRE), representing all amounts of Basic
Hire for the period from the Acceleration Date to the expiry of the Original
Charter Period, and the option price shall become due as of the Acceleration
Date.

The Supplemental Hire shall be payable in accordance with the Schedule of
Payments.

38.  THE OWNER:

(a)  warrant and undertake to the Charterer that the Owners shall not interfere
     during the Charter Period with the use, possession and quiet enjoyment of
     the Vessel by the Charterer on the terms of this Charter; and

(b)  further undertake, if reasonably requested to do so by the Charterer and at
     the Owners' expense, to take such action as is available to it to protect
     the use, possession and quiet enjoyment of the Vessel by the Charterer from
     interference by third parties in respect of any claim against the Owners
     which is not resulting from operation of the Vessel by the Charterer during
     the Charter Period.

39.  REGISTRATION OF THE VESSEL

The Charterer hereby agree that it will at all times:

(a)  comply with the requirements for maintaining the registration of the Vessel
     at the Special Registry in the Canary Islands (Registro Especial de Buques
     y Empresas Navieras) (the SPECIAL REGISTRY); and

(b)  indemnify and hold harmless the Owners and/or any of the Partners investing
     in the Owners (each an INDEMNIFIED PARTY) in full on demand against all
     Losses which may be suffered or

                                      -13-

<PAGE>

     incurred by any Indemnified Party or any of its officers, servants, agents
     and employees at any time as a consequence of any breach by the Charterer
     of its obligation under (a) above. For this purpose, "Losses" means any
     costs, expenses, fees, payments, charges, taxes (including, for avoidance
     of doubt, loss of relief of the Spanish Corporations Income Tax with
     respect to income deriving from the operation of vessels registered at the
     Special Registry ("bonificacion en cuota, del correspondiente a la parte de
     la base imponible que proceda de la explotacion de buques inscritos en el
     Registro Especial de Buques y Empresas Navieras a que se refiere la Ley de
     Regimen Economico y Fiscal de Canarias"), losses, demands, liabilities,
     obligations, claims, actions, suits, proceedings, penalties, fines,
     damages, judgments, orders or other actions.

(c)  for IGIC ("Impuesto General Indirecto Canario") purposes, the Charterer
     undertake (i)(a) that the Vessel will be deployed towards International
     Maritime Navigation (NAVEGACION MARITIMA INTERNACIONAL), during the period
     commencing on the delivery date of the Vessel and ending on the date on
     which the Charter expires or is otherwise terminated or (b) indemnify the
     Owner against any tax liability arising from use of the Vessel otherwise
     than in accordance with (i)(a) and pay the Owner any relevant IGIC amount
     arising therefrom when due and (ii) to carry out the business activity of
     the remunerated transportation of goods and/or passengers, utilising the
     vessel for such purpose.

     In order to evidence that the Vessel is deployed toward International
     Maritime Navigation (Navegacion Maritima Internacional), the Charterer
     undertake to deliver to the Owners, before the end of each calendar year
     concluded during the Charter Period, a certificate stating that the Vessel
     has been deployed towards International Maritime Navigation during such
     calendar year.

For the purposes of this Clause (i) "deployed towards International Maritime
Navigation" means that more than fifty per cent (50%) of the total sailed
distance of the Vessel on any given calendar year will not consist of trips
initiated in a harbour within the Canary Islands Territory and ending in another
harbour of the Canary Islands Territory, and (ii) "Canary Islands Territory"
includes all the seacoast of the Canary Islands in the range of twelve maritime
miles.

40.  RIGHTS OF THIRD PARTIES

A person who is not a parry to this Charter has no rights under the Contracts
(Rights of Third Parties) Act 1999 to enforce any term of this Charter except
and to the extent (if any) that this Charter expressly provides for such Act to
apply to an y of its terms.

41.  In this Charter, the term CHARTERER means Charterers (as defined herein)
     and the term OWNER means Owners (as defined herein).

                                      -14-

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