Document:

Loan Agreement, dated October 26, 2011, by and among Olympian Ares

 Exhibit 4.105 
 Private & Confidential 
 Dated 26 October 2011

  

							
		 	 OLYMPIAN ARES OWNERS INC.
 OLYMPIAN ARTEMIS OWNERS INC.
 OLYMPIAN DEMETER OWNERS
INC.
	  		 	
		 	OLYMPIAN POSEIDON OWNERS INC.	  	(1)	 	
		 	as joint and several Borrowers	  		 	
				
		 	 ABN AMRO BANK N.V.
 and
 THE EXPORT-IMPORT BANK OF KOREA
	  	(2)	 	
		 	as joint Arrangers	  		 	
				
		 	 ABN AMRO BANK N.V.
 as Facility Agent
	  	(3)	 	
				
		 	 ABN AMRO BANK N.V.
 as Security Trustee
	  	(4)	 	
				
		 	 ABN AMRO BANK N.V.
 as Account Bank
	  	(5)	 	
				
		 	 ABN AMRO BANK N.V.
 as Swap Provider
	  	(6)	 	
				
		 	 THE EXPORT-IMPORT BANK OF KOREA

as loan provider
	  	(7)	 	
				
		 	 THE BANKS AND FINANCIAL INSTITUTIONS

whose names are set out in Schedule 1
 as Commercial Lenders
	  	(8)	 	

  
  

LOAN AGREEMENT 
 relating to a $141,350,000 loan to finance m.t. 

Lipari, m.t. Petalidi, m.t. Calida and m.t. Belmar

  
  

 
 

 

 Contents 

 

							
	Clause	  	Page	 
			
	 1
	  	Purpose and definitions	  	 	1	  
			
	 2
	  	The Commitments, Ship Tranches and the Advances	  	 	23	  
			
	 3
	  	Interest and interest periods	  	 	25	  
			
	 4
	  	Repayment and prepayment	  	 	27	  
			
	 5
	  	Commitment commission, fees and expenses	  	 	32	  
			
	 6
	  	Payments and taxes; accounts and calculations	  	 	33	  
			
	 7
	  	Representations and warranties	  	 	35	  
			
	 8
	  	Undertakings	  	 	40	  
			
	 9
	  	Conditions	  	 	56	  
			
	 10
	  	Events of Default	  	 	57	  
			
	 11
	  	Indemnities	  	 	62	  
			
	 12
	  	Unlawfulness and increased costs	  	 	63	  
			
	 13
	  	Security and set-off	  	 	65	  
			
	 14
	  	Accounts	  	 	67	  
			
	 15
	  	Assignment, transfer and lending office	  	 	69	  
			
	 16
	  	Arrangers, Facility Agent, Security Trustee and Account Bank	  	 	72	  
			
	 17
	  	Notices and other matters	  	 	84	  
			
	 18
	  	Governing law and jurisdiction	  	 	88	  
		
	 Schedule 1 The Lenders and their addresses
	  	 	90	  
		
	 Schedule 2 The Ships
	  	 	93	  
		
	 Schedule 3 Form of Drawdown Notice
	  	 	94	  
		
	 Schedule 4 Documents and evidence required as conditions precedent
	  	 	96	  
		
	 Schedule 5 Form of Substitution Certificate
	  	 	102	  
		
	 Schedule 6 Form of Trust Deed
	  	 	106	  

 THIS AGREEMENT is dated 26 October 2011 and made BETWEEN: 

 

	(1)	OLYMPIAN ARES OWNERS INC., OLYMPIAN ARTEMIS OWNERS INC., OLYMPIAN DEMETER OWNERS INC. and OLYMPIAN POSEIDON OWNERS INC. as joint and several Borrowers;

  

	(2)	ABN AMRO BANK N.V. and THE EXPORT-IMPORT BANK OF KOREA as joint Arrangers; 

 

	(3)	ABN AMRO BANK N.V. as Facility Agent; 

  

	(4)	ABN AMRO BANK N.V. as Security Trustee; 

  

	(5)	ABN AMRO BANK N.V. as Account Bank; 

  

	(6)	ABN AMRO BANK N.V. as Swap Provider; 

  

	(7)	THE EXPORT-IMPORT BANK OF KOREA; and 

  

	(8)	THE BANKS AND FINANCIAL INSTITUTIONS whose names and addresses are set out in Part 1 of Schedule 1. 

IT IS AGREED as follows: 
  

	1	Purpose and definitions 

  

	1.1	Purpose 

 This Agreement
sets out the terms and conditions upon and subject to which the Lenders agree to make available to the Borrowers jointly and severally a loan of up to an aggregate amount of One hundred and forty one million three hundred and fifty thousand Dollars
($141,350,000), in four Ship Tranches of two Advances each, each to be used for the purpose of financing part of the cost of the purchase of the Ships. 
  

	1.2	Definitions 

 In this
Agreement, unless the context otherwise requires: 
 “Account Bank” means ABN Amro Bank N.V., a company
incorporated in the Netherlands with its registered office at Gustav Mahlerlaan 10/Location Code: PAC HQ842, 1082 PP Amsterdam, The Netherlands acting through its office at Coolsingel 93, 3012 AE Rotterdam, The Netherlands and includes any other
bank designated by the Facility Agent (acting on the instructions of the Lenders) to be an “Account Bank” for the purposes of the Security Documents; 
 “Account Pledges” means, together, the Operating Account Pledges and the Retention Account Pledge and “Account Pledge” means any one of them; 

“Accounts” means, together, the Operating Accounts, the Retention Account and the Liquidity Account and
“Account” means any one of them; 
 “Advance” means, in relation to each Ship and/or the Ship
Tranche or Shipbuilding Contract relating thereto, each borrowing of a proportion of a Lender’s Commitment relating to such Ship and/or such Ship Tranche or, as the context may require, the principal amount of such borrowing owing to such
Lender in respect of such Ship and/or such Ship Tranche at any relevant time, and: 
  

	 	(a)	in relation to the Belmar Ship and/or the Ship Tranche and/or Shipbuilding Contract relating thereto, means the Belmar KEXIM Advance or the Belmar Commercial Lenders
Advance; 

  
 1 

	 	(b)	in relation to the, Calida Ship and/or the Ship Tranche and/or Shipbuilding Contract relating thereto, means the Calida KEXIM Advance or the Calida Commercial Lenders
Advance; 

  

	 	(c)	in relation to the Lipari Ship and/or the Ship Tranche and/or Shipbuilding Contract relating thereto, means the Lipari KEXIM Advance or the Lipari Commercial Lenders
Advance; 

  

	 	(d)	in relation to the Petalidi Ship and/or the Ship Tranche and/or Shipbuilding Contract relating thereto, means the Petalidi KEXIM Advance or the Petalidi Commercial
Lenders Advance; 

  

	 	(e)	in relation to the Commercial Lenders, means any one of the Commercial Lenders Advances; and 

 

	 	(f)	in relation to KEXIM, means any one of the KEXIM Advances, 

 and “Advances” means, together, any or all of them; 

“Aframax Charterer” means Sigma Tankers Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic
of the Marshall Islands MH 96960 and includes its successors in title; 
 “Approved Brokers” means, together
Arrow Research Ltd., H. Clarksons & Co. Ltd., SSY Valuation Services Ltd., RS Platou Shipbrokers A/S, Fearnleys A/S, Braemar Seascope Ltd., Lorentzen & Stemoco A/S and any other independent firm of reputable shipbrokers agreed in
writing between the Facility Agent (acting on the instructions of the Majority Lenders) and the Borrowers from time to time to constitute the Approved Brokers for the purposes of this Agreement and in each case includes their respective successors
in title and “Approved Broker” means each of them; 
 “Arrangers” means, together, KEXIM and
ABN Amro Bank N.V., a company incorporated in the Netherlands with its registered office at Gustav Mahlerlaan 10/Location Code: PAC HQ842, 1082 PP Amsterdam, The Netherlands acting through its office at Coolsingel 93, 3012 AE Rotterdam, The
Netherlands and includes their respective successors in title and “Arranger” means either of them; 

“Available Commitment” means, in relation to a Lender at any time, the amount of its Commitment less the amount of its
Contribution at that time; 
 “Banking Day” means a day (other than Saturday or Sunday) on which dealings in
deposits in Dollars are carried on in the London Interbank Eurocurrency Market and on which banks are open for business in Athens, London, New York City, The Netherlands and Seoul; 

“Basel II Accord” means the “International Convergence of Capital Measurement and Capital Standards, a Revised
Framework” published by the Basel Committee on Banking Supervision in June 2004 in the form existing on the date of this Agreement; 
 “Basel II Approach” means, in relation to each Lender, either the Standardised Approach or the relevant Internal Ratings Based Approach (each as defined in the Basel II Accord) adopted by
such Lender (or its holding company) for the purposes of implementing or complying with the Basel II Accord; 
 “Basel II
Regulation” means, in relation to each Lender, (a) any law or regulation implementing the Basel II Accord or (b) any Basel II Approach adopted by such Lender; 

“Basel III Accord” means, together, “Basel III: A global regulatory framework for more resilient banks and banking
systems” and “Basel III: International framework for liquidity risk measurement, standards and monitoring” both published by the Basel Committee on Banking Supervision on 16th December, 2010, in either case in the form existing
on the date of this Agreement; 

  
 2 

 “Belmar Borrower” means Olympian Poseidon Owners Inc. of Trust Company
Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960 and includes its successors in title; 

“Belmar Charter” means a “SHELLTIME 4” time charterparty and addenda No.1, No. 2, No. 3, No. 4,
No. 5, No. 6 and No. 7 thereto each dated 26 September 2011 and made between the Aframax Charterer and the Belmar Borrower, whereby the Belmar Borrower agreed to let to the Aframax Charterer, and the Aframax Charterer agreed to
take on time charter, for the period and upon the terms and conditions therein mentioned, the Belmar Ship; 
 “Belmar
Commercial Lenders Advance” means an Advance of the Commercial Lenders’ Commitments in respect of the Belmar Ship in an amount in Dollars equal to the lower of (i) $8,812,500, (ii) fifteen per cent (15%) of the Contract
Price of the Belmar Ship and (iii) three elevenths (3/11ths) of sixty-five percent (65%) of the market value of the Belmar Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule
4 in respect of such Ship or, as the context may require, the principal amount of such Advance owing to the Commercial Lenders at any relevant time; 
 “Belmar Deed of Covenant” means the deed of covenant collateral to the Belmar Mortgage executed or (as the context may require) to be executed by the Belmar Borrower in favour of the
Security Trustee in agreed form; 
 “Belmar KEXIM Advance” means an Advance of KEXIM’s Commitment in
respect of the Belmar Ship in an amount in Dollars equal to the lower of (i) $23,500,000, (ii) forty per cent (40%) of the Contract Price of the Belmar Ship and (iii) eight elevenths (8/11ths) of sixty-five percent
(65%) of the market value of the Belmar Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may require, the principal amount of such
Advance owing to KEXIM at any relevant time; 
 “Belmar Management Agreement” means the management agreement
dated 28 December 2010 as amended and supplemented by Addendum No.1 thereto dated 13 January 2011, each made between the Belmar Borrower and the Manager or any other agreement previously approved in writing by the Facility Agent between
the Belmar Borrower and the Manager providing for the Manager to carry out the technical and commercial management of the Belmar Ship; 
 “Belmar Mortgage” means a first priority statutory mortgage of the Belmar Ship executed or (as the context may require) to be executed by the Belmar Borrower in favour of the Security
Trustee in agreed form; 
 “Belmar Operating Account” means an interest bearing Dollar account of the Belmar
Borrower opened or (as the context may require) to be opened with the Account Bank and includes any sub-accounts thereof and any account designated by the Facility Agent to be a Belmar Operating Account for the purposes of this Agreement;

 “Belmar Operating Account Pledge” means the first priority pledge executed or (as the context may require) to
be executed (inter alios) between the Belmar Borrower and the Security Trustee as pledgee in respect of the Belmar Operating Account in agreed form; 
 “Belmar Pool Agreement” means a pool agreement and amendments No. 1, No. 2 and No. 3 thereto each dated 26 September 2011 made between the Belmar Borrower, Heidmar and
the Aframax Charterer, whereby the Belmar Borrower agreed to enter, and the Aframax Charterer and Heidmar agreed to accept, the Belmar Ship into the Pool (as defined in the Belmar Pool Agreement) upon the terms and conditions therein set out;

  
 3 

 “Belmar Pool Documents” means, together, the Belmar Charter and the Belmar
Pool Agreement; 
 “Belmar Share Pledge” means the first priority charge of all of the issued shares of the
Belmar Borrower executed or (as the context may require) to be executed by the relevant Shareholder in favour of the Security Trustee in agreed form; 
 “Belmar Ship” means the vessel with Hull No. 1873 being constructed in Korea by the Builder and to be registered on the relevant Delivery Date in the ownership of the Belmar Borrower
through the Registry under the laws and flag of the Flag State under the name Belmar; 
 “Belmar Shipbuilding
Contract” means the shipbuilding contract dated 22 November 2010 as amended by addendum No. 1 dated 3 December 2010 and by addendum No. 2 dated 10 December 2010, each made between the Builder and the Belmar Borrower
pursuant to which the Builder is to construct and sell, and the Belmar Borrower is to purchase, the Belmar Ship; 

“Borrowed Money” means Indebtedness in respect of (i) money borrowed or raised and debit balances at banks,
(ii) any bond, note, loan stock, debenture or similar debt instrument, (iii) acceptance or documentary credit facilities, (iv) receivables sold or discounted (otherwise than on a non-recourse basis), (v) deferred payments for
assets or services acquired, (vi) finance leases and hire purchase contracts, (vii) swaps, forward exchange contracts, futures and other derivatives, (viii) any other transaction (including without limitation forward sale or purchase
agreements) having the commercial effect of a borrowing or raising of money and (ix) guarantees in respect of Indebtedness of any person falling within any of (i) to (viii) above; 

“Borrowers” means, together, the Belmar Borrower, the Calida Borrower, the Lipari Borrower and the Petalidi Borrower and
“Borrower” means any one of them; 
 “Borrower’s Security Documents” means, in respect of
each Borrower and at any relevant time, such of the Security Documents as shall have been executed by that Borrower at such time and “Borrowers’ Security Documents” means, at any relevant time, such of the Security Documents as
shall have been executed by any or all of the Borrowers at such time; 
 “Builder” means
Samsung Heavy Industries Co. Ltd. of 34th Floor, Samsung
Life Insurance Seocho Tower 1321-15, Seocho-Dong, Seocho-Gu, Seoul, Republic of Korea 137-857 and includes its successors in title; 
 “Calida Borrower” means Olympian Demeter Owners Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960 and includes its
successors in title; 
 “Calida Charter” means a “SHELLTIME 4” time charterparty and addenda No.1,
No. 2, No. 3, No. 4, No. 5, No. 6 and No. 7 thereto each dated 5 October 2011 and made between the Aframax Charterer and the Calida Borrower, whereby the Calida Borrower agreed to let to the Aframax Charterer, and
the Aframax Charterer agreed to take on time charter, for the period and upon the terms and conditions therein mentioned, the Calida Ship; 
 “Calida Commercial Lenders Advance” means an Advance of the Commercial Lenders’ Commitments in respect of the Calida Ship in an amount in Dollars equal to the lower of
(i) $8,812,500, (ii) fifteen per cent (15%) of the Contract Price of the Calida Ship and (iii) three elevenths (3/11 ths) of sixty-five percent (65%) of the market value of the Calida Ship as evidenced by the arithmetic mean
of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may require, the principal amount of such Advance owing to the Commercial Lenders at any relevant time; 

“Calida Deed of Covenant” means the deed of covenant collateral to the Calida Mortgage executed or (as the context may
require) to be executed by the Calida Borrower in favour of the Security Trustee in agreed form; 

  
 4 

 “Calida KEXIM Advance” means an Advance of KEXIM’s Commitment in
respect of the Calida Ship in an amount in Dollars equal to the lower of (i) $23,500,000, (ii) forty per cent (40%) of the Contract Price of the Calida Ship and (iii) eight elevenths (8/11ths) of sixty-five percent
(65%) of the market value of the Calida Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may require, the principal amount of such
Advance owing to KEXIM at any relevant time; 
 “Calida Management Agreement” means the management agreement
dated 28 December 2010 as amended and supplemented by Addendum No.1 thereto dated 13 January 2011, each made between the Calida Borrower and the Manager or any other agreement previously approved in writing by the Facility Agent between
the Calida Borrower and the Manager providing for the Manager to carry out the technical and commercial management of the Calida Ship; 
 “Calida Mortgage” means a first priority statutory mortgage of the Calida Ship executed or (as the context may require) to be executed by the Calida Borrower in favour of the Security
Trustee in agreed form; 
 “Calida Operating Account” means an interest bearing Dollar account of the Calida
Borrower opened or (as the context may require) to be opened with the Account Bank and includes any sub-accounts thereof and any account designated by the Facility Agent to be a Calida Operating Account for the purposes of this Agreement;

 “Calida Operating Account Pledge” means the first priority pledge executed or (as the context may require) to
be executed (inter alios) between the Calida Borrower and the Security Trustee as pledgee in respect of the Calida Operating Account in agreed form; 
 “Calida Pool Agreement” means a pool agreement and amendments No. 1, No. 2 and No. 3 thereto each dated 5 October 2011 and made between the Calida Borrower, Heidmar
and the Aframax Charterer, whereby the Calida Borrower agreed to enter, and the Aframax Charterer and Heidmar agreed to accept, the Calida Ship into the Pool (as defined in the Calida Pool Agreement) upon the terms and conditions therein set out;

 “Calida Pool Documents” means, together, the Calida Charter and the Calida Pool Agreement; 

“Calida Share Pledge” means the first priority charge of all of the issued shares of the Calida Borrower executed or (as
the context may require) to be executed by the relevant Shareholder in favour of the Security Trustee in agreed form; 

“Calida Ship” means the vessel with Hull No. 1874 being constructed in Korea by the Builder and to be registered on
the relevant Delivery Date in the ownership of the Calida Borrower through the Registry under the laws and flag of the Flag State under the name Calida; 
 “Calida Shipbuilding Contract” means the shipbuilding contract dated 22 November 2010 as amended by addendum No. 1 dated 3 December 2010, by addendum No. 2 dated
10 December 2010 and by addendum No. 3 dated 21 October 2011, each made between the Builder and the Calida Borrower pursuant to which the Builder is to construct and sell, and the Calida Borrower is to purchase, the Calida Ship; 

“Capital Adequacy Law” means any law or any regulation (whether or not having the force of law, including (without
limitation) those relating to Taxation, capital adequacy, liquidity, reserve assets, cash ratio deposits and special deposits or other banking or monetary controls or requirements which affect the manner in which a Lender allocates capital resources
to its obligations hereunder (including, without limitation, those resulting from the implementation or application of or compliance with the Basel II Accord, the Basel III Accord or any Basel II Regulation); 

“Casualty Amount” means, in respect of each Ship, Five hundred thousand Dollars ($500,000) (or the equivalent in any
other currency); 

  
 5 

 “Charter” means, in respect of a Ship, any time charter or other contract
of employment in relation to such Ship, which is entered into during the Security Period between the relevant Borrower as owner and another person as charterer or counterparty of that Borrower thereunder, and having a tenor of at least 12 months
(taking into account any options to extend or renew contained therein) and “Charters” means all of them; 

“Charter Assignment” means, in relation to each Ship and any Charter relevant to such Ship, the specific assignment
executed or (as the context may require) to be executed by the relevant Borrower in favour of the Security Trustee in respect of such Charter, whether pursuant to clause 8.1.14 or otherwise, in agreed form; 

“Charterer” means, in respect of a Ship, any such person which shall enter into a Charter in respect of such Ship with
the relevant Borrower during the Security Period; 
 “Classification” means, in relation to each Ship, the
highest classification available for a vessel of such Ship’s type with the relevant Classification Society or such other classification as the Facility Agent shall, at the request of the relevant Borrower, have agreed in writing shall be
treated as the Classification in relation to such Borrower’s Ship for the purposes of the relevant Security Documents; 

“Classification Society” means such classification society (being a member of the International Association of
Classification Societies (“IACS”)) which the Facility Agent shall, at the request of a Borrower, have agreed in writing shall be treated as the Classification Society in relation to such Borrower’s Ship for the purposes of the
relevant Ship Security Documents; 
 “Commercial Lenders” means collectively the banks and financial
institutions (other than KEXIM) whose names and addresses are listed in Schedule 1 and includes their respective successors in title and New Lenders and “Commercial Lender” means any one of them individually; 

“Commercial Lenders Advance” means: 
  

	 	(a)	in respect of the Belmar Ship, the Belmar Commercial Lenders Advance; or 

  

	 	(b)	in respect of the Calida Ship, the Calida Commercial Lenders Advance; or 

  

	 	(c)	in respect of the Lipari Ship, the Lipari Commercial Lenders Advance; or 

  

	 	(d)	in respect of the Petalidi Ship, the Petalidi Commercial Lenders Advance, 

 and “Commercial Lenders Advances” means, together, all or any of them; 
 “Commercial Lenders Margin” means two point seven zero per cent. (2.70%) per annum; 
 “Commitment” means, in relation to a Lender at any relevant time, the amount set opposite its name in Part 3 of Schedule 1 for all Ships or, as the context may require, a particular Ship
and/or, in the case of a New Lender, the amount specified in the relevant Substitution Certificate, as reduced, in each case, by any relevant term of this Agreement and “Commitments” means any or all of them; 

“Compulsory Acquisition” means, in relation to a Ship, the requisition for title or other compulsory acquisition,
requisition, appropriation, expropriation, deprivation, forfeiture or confiscation for any reason of that Ship by any Government Entity or other competent authority, whether de jure or de facto, but shall exclude requisition for use or hire not
involving requisition of title; 
 “Confirmation” shall have, in relation to any continuing Designated
Transaction, the meaning ascribed to it in the Master Swap Agreement; 

  
 6 

 “Contract Price” means in relation to each Ship, the price payable by the
relevant Borrower to the Builder for the purchase of such Ship in accordance with the relevant Shipbuilding Contract as set out in Schedule 2; 
 “Contribution” means, in relation to a Lender, the principal amount of the Loan owing to such Lender at any relevant time; 

“Deed of Covenant” means: 
  

	 	(a)	in respect of the Belmar Ship, the Belmar Deed of Covenant; or 

  

	 	(b)	in respect of the Calida Ship, the Calida Deed of Covenant; or 

  

	 	(c)	in respect of the Lipari Ship, the Lipari Deed of Covenant; or 

  

	 	(d)	in respect of the Petalidi Ship, the Petalidi Deed of Covenant, 

 and “Deeds of Covenant” means, together, all or any of them; 

“Default” means any Event of Default or any event or circumstance which with the giving of notice by the Facility Agent
or lapse of time or the satisfaction of any other condition (or any combination thereof) would constitute an Event of Default; 

“Delivery” means, in relation to a Ship, the delivery of that Ship to, and the acceptance of such Ship by, the relevant
Borrower from the Builder pursuant to the relevant Shipbuilding Contract; 
 “Delivery Date” means, in relation
to each Ship, the date on which the Delivery of such Ship takes place and “Delivery Dates” means, together, any or all of them; 
 “Designated Transaction” means a Transaction which fulfils the following requirements: 
  

	 	(a)	it is entered into by the Borrowers pursuant to the Master Swap Agreement with the Swap Provider as contemplated by clause 2.7; and 

 

	 	(b)	its purpose is the hedging of the Borrowers’ exposure under this Agreement to fluctuations of LIBOR arising from the funding of the Loan (or any part thereof) for
a period expiring no later than the final Repayment Date for the Loan or the relevant part thereof; 

“Disposal Reduction Date” has the meaning given to it in clause 4.3.3; 

“DOC” means a document of compliance issued to an Operator in accordance with rule 13 of the ISM Code; 

“Dollars” and “$” mean the lawful currency of the United States of America and in respect of all
payments to be made under any of the Security Documents mean funds which are for same day settlement in the New York Clearing House Interbank Payments System (or such other U.S. dollar funds as may at the relevant time be customary for the same day
settlement of international banking transactions denominated in U.S. dollars); 
 “Drawdown Date” means, in
relation to each Advance, any date, being a Banking Day falling within the Drawdown Period for the Ship Tranche to which such Advance relates, on which such Advance is, or is to be, drawn down; 

“Drawdown Notice” means, in relation to each Advance, a notice substantially in the form set out in Schedule 3 in respect
of such Advance; 
 “Drawdown Period” means, in relation to the Ship Tranche of each Ship, the period from the
date of this Agreement and ending on whichever is the earliest of (i) the Termination Date for 

  
 7 

 
that Ship Tranche and (ii) the date on which the aggregate amount of the Advances in respect of such Ship Tranche is equal to the Commitments of all the Lenders in respect of such Ship
Tranche; 
 “Dryships Guarantee” means the guarantee made or (as the context may require) to be made between the
Dryships Guarantor and the Security Trustee in respect of all the obligations of the Borrowers to the Finance Parties under this Agreement, the Master Swap Agreement and the other Security Documents in agreed form; 

“Dryships Guarantor” means Dryships Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of
the Marshall Islands MH 96960 and includes its successors in title; 
 “Early Termination Date” shall have, in
relation to any continuing Designated Transaction, the meaning ascribed to it in the Master Swap Agreement; 

“Earnings” means, in relation a Ship, all moneys whatsoever from time to time due or payable to the relevant Borrower
during the Security Period arising out of the use or operation of such Ship including (but without limiting the generality of the foregoing) all freight, hire and passage moneys, income arising out of pooling arrangements, compensation payable to
the relevant Borrower in the event of requisition of such Ship for hire, remuneration for salvage or towage services, demurrage and detention moneys and damages for breach (or payments for variation or termination) of any charterparty or other
contract for the employment of such Ship and any sums recoverable under any loss of earnings insurance; 

“Encumbrance” means any mortgage, charge (whether fixed or floating), pledge, lien, hypothecation, assignment, trust
arrangement or security interest or other encumbrance of any kind securing any obligation of any person or any type of preferential arrangement (including without limitation title transfer and/or retention arrangements having a similar effect);

 “End of Funding Date” means: 
  

	 	(a)	in respect of the Belmar Ship, 31 May 2012; or 

  

	 	(b)	in respect of the Calida Ship, 30 June 2012; or 

  

	 	(c)	in respect of the Lipari Ship, 30 November 2012; or 

  

	 	(d)	in respect of the Petalidi Ship, 31 December 2012; 

 “Environmental Affiliate” means any agent or employee of any Borrower or any other Relevant Party or any person having a contractual relationship with any Borrower or any other Relevant
Party in connection with any Relevant Ship or its operation or the carriage of cargo and/or passengers thereon and/or the provision of goods and/or services on or from any Relevant Ship; 

“Environmental Approval” means any consent, authorisation, licence or approval of any governmental or public body or
authorities or courts applicable to any Relevant Ship or its operation or the carriage of cargo and/or passengers thereon and/or the provision of goods and/or services on or from any Relevant Ship required under any Environmental Law; 

“Environmental Claim” means any and all enforcement, clean-up, removal or other governmental or regulatory actions or
orders instituted or completed pursuant to any Environmental Law or any Environmental Approval together with claims made by any third party relating to damage, contribution, loss or injury, resulting from any actual emission, spill, release or
discharge of a Pollutant from any Relevant Ship; 
 “Environmental Laws” means all national, international and
state laws, rules, regulations, treaties and conventions applicable to any Relevant Ship pertaining to the pollution or protection of human health or the environment including, without limitation, the carriage of Pollutants and actual or threatened
emissions, spills, releases or discharges of Pollutants; 

  
 8 

 “Event of Default” means any of the events or circumstances described in
clause 10.1; 
 “Existing Lender” has the meaning ascribed to it in clause 15.3.1; 

“Facility Agent” means ABN Amro Bank N.V., a company incorporated in The Netherlands with its registered office at Gustav
Mahlerlaan 10/Location Code: PAC HQ842, 1082 PP Amsterdam, The Netherlands acting through its office at Coolsingel 93, 3012 AE Rotterdam, The Netherlands (or of such other address as may last have been notified to the other parties to this Agreement
pursuant to clause 17.1.3) and its successor in title or such other person as may be appointed facility agent for the Finance Parties pursuant to the relevant provisions of clause 16.13; 

“Finance Parties” means each of the Commercial Lenders, KEXIM, the Facility Agent, the Security Trustee, the Swap
Provider and the Arrangers; 
 “Flag State” means, in respect of each Ship, the Republic of Malta or such other
state or territory designated in writing by the Lenders, at the request of the Borrowers, as being the “Flag State” of that Ship for the purposes of the relevant Security Documents; 

“Government Entity” means and includes (whether having a distinct legal personality or not) any national or local
government authority, board, commission, department, division, organ, instrumentality, court or agency and any association, organisation or institution of which any of the foregoing is a member or to whose jurisdiction any of the foregoing is
subject or in whose activities any of the foregoing is a participant; 
 “Group” means, together, the Guarantors
and their respective Subsidiaries from time to time and “member of the Group” shall be construed accordingly; 

“Guarantees” means, together, the Dryships Guarantee and the Olympian Asclepius Guarantee and
“Guarantee” means either one of them; 
 “Guarantors” means, together, the Olympian Asclepius
Guarantor and the Dryships Guarantor and “Guarantor” means either one of them; 
 “Heidmar”
means Heidmar Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960 and includes its successors in title; 
 “Indebtedness” means any obligation for the payment or repayment of money, whether as principal or as surety and whether present or future, actual or contingent; 

“ISM Code” means the International Management Code for the Safe Operation of Ships and for Pollution Prevention
constituted pursuant to Resolution A. 741 (18) of the International Maritime Organisation and incorporated into the International Convention on Safety of Life at Sea 1974 (as amended) and includes any amendments or extensions thereto and any
regulation issued pursuant thereto; 
 “ISPS Code” means the International Ship and Port Facility Security Code
constituted pursuant to resolution A.924(22) of the International Maritime Organisation now set out in Chapter 2 of the International Convention for the Safety of Life at Sea 1974 (as amended) as adopted by a Diplomatic Conference of the
International Maritime Organisation on Maritime Security on 2002 and includes any amendments or extensions thereto and any regulation issued pursuant thereto; 
 “ISSC” means an International Ship Security Certificate issued pursuant to the ISPS Code; 
 “Insurances” means, in relation to each Ship, all policies and contracts of insurance (which expression includes all entries of such Ship in a protection and indemnity or war risks

  
 9 

 
association) which are from time to time during the Security Period in place or taken out or entered into (or, as the context may permit, which are required to be in place or taken out or entered
into) by or for the benefit of the relevant Borrower (whether in the sole name of such Borrower or in the joint names of such Borrower and the Security Trustee or otherwise) in respect of such Ship and her Earnings or otherwise howsoever in
connection with such Ship and all benefits thereof (including claims of whatsoever nature and return of premiums); 

“Interest Payment Date” means the last day of an Interest Period; 

“Interest Period” means, in relation to each Advance, each period for the calculation of interest in respect of such
Advance, ascertained in accordance with clauses 3.2 and 3.3; 
 “KEXIM” means The Export-Import Bank of Korea
whose registered office is at 16-1, Yoido-dong, Youngdeungpo-gu, Seoul, Korea; 
 “KEXIM Advance” means:

  

	 	(a)	in respect of the Belmar Ship, the Belmar KEXIM Advance; or 

  

	 	(b)	in respect of the Calida Ship, the Calida KEXIM Advance; or 

  

	 	(c)	in respect of the Lipari Ship, the Lipari KEXIM Advance; or 

  

	 	(d)	in respect of the Petalidi Ship, the Petalidi KEXIM Advance, 

 and “KEXIM Advances” means, together, all or any of them; 

“KEXIM Margin” means two point six zero per cent (2.60%) per annum; 

“Lenders” means, together, KEXIM and the Commercial Lenders and “Lender” means any one of them;

 “LIBOR” means, in relation to any amount and for any period, the offered rate (if any) for deposits in
Dollars for such amount and for such period which is: 
  

	 	(a)	the rate, for such period, as displayed on Reuters screen page “LIBOR01” or such other page as may replace such page “LIBOR01” on such system or on
any other system of the information vendor for the time being designated by the British Bankers’ Association to calculate the BBA Interest Settlement Rate (as defined in the British Bankers’ Association’s Recommended Terms and
Conditions (“BBAIRS” terms) applicable at the time)), at or about 11:00 a.m. (London time) on the Quotation Date for such period; or 

  

	 	(b)	if on such date the relevant page is not displayed on the Reuters screen or the Reuters screen or other designated system is not operating at the relevant time, the
rate per annum determined by the Facility Agent to be the highest of the rates offered by the Lenders to prime banks in the London Interbank Market for deposits in Dollars in an amount approximately equal to such amount for a period equivalent to
such period at or about 11:00 a.m. (London time) on the Quotation Date for such period, 

 provided however that,
for all purposes under this Agreement (other than clause 3.6 and the determination of a market disruption event), if any such rate is below zero, LIBOR will be deemed to be zero; 

“Lipari Borrower” means Olympian Ares Owners Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro,
Republic of the Marshall Islands MH 96960 and includes its successors in title; 
 “Lipari Charter” means a
“SHELLTIME 4” time charterparty and addenda No.1, No. 2 and No. 3 thereto each dated 6 October 2011 and made between the Suezmax Charterer and the Lipari Borrower, whereby the Lipari Borrower agreed to let to the Suezmax
Charterer, and the Suezmax Charterer agreed to take on time charter, for the period and upon the terms and conditions therein mentioned, the Lipari Ship; 

  
 10 

 “Lipari Commercial Lenders Advance” means an Advance of the Commercial
Lenders’ Commitments in respect of the Lipari Ship in an amount in Dollars equal to the lower of (i) $10,462,500, (ii) fifteen per cent (15%) of the Contract Price of the Lipari Ship and (iii) three elevenths
(3/11ths) of sixty-five percent (65%) of the market value of the Lipari Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may
require, the principal amount of such Advance owing to the Commercial Lenders at any relevant time; 
 “Lipari Deed of
Covenant” means the deed of covenant collateral to the Lipari Mortgage executed or (as the context may require) to be executed by the Lipari Borrower in favour of the Security Trustee in agreed form; 

“Lipari KEXIM Advance” means an Advance of KEXIM’s Commitment in respect of the Lipari Ship in an amount in Dollars
equal to the lower of (i) $27,900,000, (ii) forty per cent (40%) of the Contract Price of the Lipari Ship and (iii) eight elevenths (8/11ths) of sixty-five percent (65%) of the market value of the Lipari Ship as
evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may require, the principal amount of such Advance owing to KEXIM at any relevant time; 

“Lipari Management Agreement” means the management agreement dated 28 December 2010 as amended and supplemented by
Addendum No.1 thereto dated 13 January 2011, each made between the Lipari Borrower and the Manager or any other agreement previously approved in writing by the Facility Agent between the Lipari Borrower and the Manager providing for the Manager
to carry out the technical and commercial management of the Lipari Ship; 
 “Lipari Mortgage” means a first
priority statutory mortgage of the Lipari Ship executed or (as the context may require) to be executed by the Lipari Borrower in favour of the Security Trustee in agreed form; 
 “Lipari Operating Account” means an interest bearing Dollar account of the Lipari Borrower opened or (as the context may require) to be opened with the Account Bank and includes any
sub-accounts thereof and any account designated by the Facility Agent to be a Lipari Operating Account for the purposes of this Agreement; 
 “Lipari Operating Account Pledge” means the first priority pledge executed or (as the context may require) to be executed (inter alios) between the Lipari Borrower and the Security
Trustee as pledgee in respect of the Lipari Operating Account in agreed form; 
 “Lipari Pool Agreement” means a
pool agreement and amendments No. 1, No. 2 and No. 3 thereto each dated 6 October 2011 and made between the Lipari Borrower, Heidmar Inc. and the Suezmax Charterer, whereby the Lipari Borrower agreed to enter, and the Suezmax
Charterer and Heidmar agreed to accept, the Lipari Ship into the Pool (as defined in the Lipari Pool Agreement) upon the terms and conditions therein set out; 
 “Lipari Pool Documents” means, together, the Lipari Charter and the Lipari Pool Agreement; 
 “Lipari Share Pledge” means the first priority charge of all of the issued shares of the Lipari Borrower executed or (as the context may require) to be executed by the relevant
Shareholder in favour of the Security Trustee in agreed form; 
 “Lipari Ship” means the vessel with Hull
No. 1889 being constructed in Korea by the Builder and to be registered on the relevant Delivery Date in the ownership of the Lipari Borrower through the Registry under the laws and flag of the Flag State under the name Lipari;

  
 11 

 “Lipari Shipbuilding Contract” means the shipbuilding contract dated
29 November 2010 as amended by addendum No. 1 dated 3 December 2010 and by addendum No. 2 dated 10 December 2010, each made between the Builder and the Lipari Borrower pursuant to which the Builder is to construct and sell,
and the Lipari Borrower is to purchase, the Lipari Ship; 
 “Liquidity Account” means an interest bearing Dollar
account of the Olympian Asclepius Guarantor opened or (as the context may require) to be opened with the Account Bank and includes any sub-accounts thereof and any account designated by the Facility Agent to be a Liquidity Account for the purposes
of this Agreement, the Olympian Asclepius Guarantee and any other relevant Security Document; 
 “Listing” means
the listing of all the shares in the Olympian Asclepius Guarantor on NASDAQ or any other stock exchange acceptable to the Lenders; 
 “Listing Date” means the date when Listing shall have taken place; 

“Loan” means the aggregate principal amount owing to the Lenders under this Agreement at any relevant time; 

“Loss Payable Clauses” means, in relation to each Ship, the provisions regulating the manner of payment of sums
receivable under the Insurances for such Ship which are to be incorporated in the relevant insurance documents, such provisions to be in such forms as may from time to time be required or agreed in writing by the Mortgagee; 

“Majority Lenders” means at any relevant time Lenders (i) the aggregate of whose Contributions
exceeds 66 2/3% of the Loan or (ii) (if no principal
amounts are outstanding under this Agreement) the aggregate of whose Commitments exceeds 66 2/3% of the Total Commitments for all Ships (or if at such time the Total Commitments for all Ships have been reduced to zero, the Total Commitments for all Ships immediately prior to such reduction to
zero); 
 “Management Agreement” means: 

 

	 	(a)	in relation to the Belmar Ship, the Belmar Management Agreement; or 

  

	 	(b)	in relation to the Calida Ship, the Calida Management Agreement; or 

  

	 	(c)	in relation to the Lipari Ship, the Lipari Management Agreement; or 

  

	 	(d)	in relation to the Petalidi Ship, the Petalidi Management Agreement, 

 and “Management Agreements” means, together, all or any of them; 

“Manager” means, in relation to a Ship, TMS Tankers Ltd. of Trust Company Complex, Ajeltake Road, Ajeltake Island,
Majuro, Republic of the Marshall Islands MH 96960, as the technical and commercial manager of such Ship, or any other person appointed from time to time by the relevant Borrower with the prior written consent of the Majority Lenders (which consent
shall not be withheld on the grounds of beneficial ownership if such other person to be appointed from time to time has the same beneficial ownership as the Manager but, which for the avoidance of doubt, can be withheld on other grounds) as the
technical and commercial manager of such Ship; 
 “Manager’s Undertaking” means, in relation to a Ship, an
undertaking and assignment executed or (as the context may require) to be executed by the Manager in favour of the Security Trustee in respect of the subordination of the Manager’s rights over such Ship in favour of the rights of the Finance
Parties over such Ship in agreed form and “Manager’s Undertakings” means any or all of them; 

“Master Swap Agreement” means the agreement made or (as the context may require) to be made between the Swap Provider and
the Borrowers comprising an ISDA Master Agreement 

  
 12 

 
(including the Schedule) in such form as the Facility Agent and the Borrower may agree and includes any Designated Transactions from time to time entered into and any Confirmations (as defined
therein) from time to time exchanged thereunder and governed thereby; 
 “Material Adverse Effect” means a
material adverse effect, as determined by the Facility Agent (acting on the instructions of the Lenders) on any or all of the following: 
  

	 	(a)	the business, operations, property, condition (financial or otherwise) or prospects of any of the Borrowers or either of the Guarantors or the Group taken as a whole;
or 

  

	 	(b)	the ability of a Security Party to perform its obligations under the Security Documents to which it is a party; or 

 

	 	(c)	the validity or enforceability of, or the effectiveness or ranking of any Encumbrance granted or purporting to be granted pursuant to any of, the Security Documents or
the rights or remedies of any Finance Party under any of the Security Documents. 

 “Maximum Ship Tranche
Amount” means: 
  

	 	(a)	in relation to the Ship Tranche relevant to the Belmar Ship, thirty two million three hundred and twelve thousand five hundred Dollars ($32,312,500); or

  

	 	(b)	in relation to the Ship Tranche relevant to the Calida Ship, thirty two million three hundred and twelve thousand five hundred Dollars ($32,312,500); or

  

	 	(c)	in relation to the Ship Tranche relevant to the Lipari Ship, thirty eight million three hundred and sixty two thousand five hundred Dollars ($38,362,500); or

  

	 	(d)	in relation to the Ship Tranche relevant to the Petalidi Ship, thirty eight million three hundred and sixty two thousand five hundred Dollars ($38,362,500);

 “Mortgage” means: 

 

	 	(a)	in relation to the Belmar Ship, the Belmar Mortgage; or 

  

	 	(b)	in relation to the Calida Ship, the Calida Mortgage; or 

  

	 	(c)	in relation to the Lipari Ship, the Lipari Mortgage; or 

  

	 	(d)	in relation to the Petalidi Ship, the Petalidi Mortgage, 

  

	 	and	“Mortgages” means, together, all or any of them; 

 “Mortgaged Ship” means, at any relevant time, any Ship which is at such time subject to a Mortgage and/or the Earnings, Insurances or Requisition Compensation of which are subject to an
Encumbrance pursuant to the relevant Ship Security Documents and a Ship shall, for the purposes of this Agreement, be deemed to be a Mortgaged Ship as from whichever shall be the earlier of (i) the Drawdown Date of the first Advance relevant to
such Ship and (ii) the date that the Mortgage of that Ship shall have been executed and registered in accordance with this Agreement until whichever shall be the earlier of (i) the payment in full of the amount required to be paid pursuant
to clause 4.3 following the sale or Total Loss of such Ship and (ii) the date on which all moneys owing under the Security Documents have been repaid in full; 
 “NASDAQ” means the registered US national securities exchange operated by the NASDAQ Stock Market LLC; 
 “New Lender” has the meaning ascribed to it in clause 15.3; 

“Olympian Asclepius Guarantee” means the guarantee made or (as the context may require) to be made between the Olympian
Asclepius Guarantor, the Security Trustee and the Account Bank in respect of the obligations of the Borrowers to the Finance Parties under this Agreement, the Master Swap Agreement and the other Security Documents in agreed form; 

  
 13 

 “Olympian Asclepius Guarantor” means Olympian Asclepius Holding Inc. of
Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH 96960 and includes its successors in title; 
 “Operating Account” means: 
  

	 	(a)	in relation to the Belmar Ship, the Belmar Operating Account; or 

  

	 	(b)	in relation to the Calida Ship, the Calida Operating Account; or 

  

	 	(c)	in relation to the Lipari Ship, the Lipari Operating Account; or 

  

	 	(d)	in relation to the Petalidi Ship, the Petalidi Operating Account, 

 and “Operating Accounts” means, together, all or any or them; 

“Operating Account Pledge” means: 
  

	 	(a)	in relation to the Belmar Ship, the Belmar Operating Account Pledge; or 

  

	 	(b)	in relation to the Calida Ship, the Calida Operating Account Pledge; or 

  

	 	(c)	in relation to the Lipari Ship, the Lipari Operating Account Pledge; or 

  

	 	(d)	in relation to the Petalidi Ship, the Petalidi Operating Account Pledge, 

 and “Operating Account Pledges” means, together, all or any of them; 
 “Operator” means any person who is from time to time during the Security Period concerned in the operation of a Ship and falls within the definition of “Company” set out
in rule 1.1.2 of the ISM Code; 
 “Permitted Encumbrances” means (a) any Encumbrance created pursuant to
the Security Documents and (b) Permitted Liens; 
 “Permitted Liens” means, in relation to a Ship:

  

	 	(a)	any lien on that Ship for master’s, officer’s or crew’s wages outstanding in the ordinary course of trading for a period not exceeding thirty
(30) days and the aggregate of any such liens are not to exceed at any time the Casualty Amount; or 

  

	 	(b)	any lien on that Ship for salvage and any ship repairer’s or outfitter’s possessory lien on that Ship for a sum not (except with the prior written consent of
the Facility Agent, acting on the instructions of the Majority Lenders) exceeding the Casualty Amount; 

“Petalidi Borrower” means Olympian Artemis Owners Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro,
Republic of the Marshall Islands MH 96960 and includes its successors in title; 
 “Petalidi Charter” means a
“SHELLTIME 4” time charterparty and addenda No.1, No. 2 and No. 3 thereto each dated 6 October 2011 and made between the Suezmax Charterer and the Petalidi Borrower, whereby the Petalidi Borrower agreed to let to the Suezmax
Charterer, and the Suezmax Charterer agreed to take on time charter, for the period and upon the terms and conditions therein mentioned, the Petalidi Ship; 

  
 14 

 “Petalidi Commercial Lenders Advance” means an Advance of the Commercial
Lenders’ Commitments in respect of the Petalidi Ship in an amount in Dollars equal to the lower of (i) $10,462,500, (ii) fifteen per cent (15%) of the Contract Price of the Petalidi Ship and (iii) three elevenths
(3/11ths) of sixty-five percent (65%) of the market value of the Petalidi Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may
require, the principal amount of such Advance owing to the Commercial Lenders at any relevant time; 
 “Petalidi Deed of
Covenant” means the deed of covenant collateral to the Petalidi Mortgage executed or (as the context may require) to be executed by the Petalidi Borrower in favour of the Security Trustee in agreed form; 

“Petalidi KEXIM Advance” means an Advance of KEXIM’s Commitment in respect of the Petalidi Ship in an amount in
Dollars equal to the lower of (i) $27,900,000, (ii) forty per cent (40%) of the Contract Price of the Petalidi Ship and (iii) eight elevenths (8/11ths) of sixty-five percent (65%) of the market value of the Petalidi
Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may require, the principal amount of such Advance owing to KEXIM at any relevant time;

 “Petalidi Management Agreement” means the management agreement dated 18 December 2010 as amended and
supplemented by Addendum No.1 thereto dated 13 January 2011, each made between the Petalidi Borrower and the Manager or any other agreement previously approved in writing by the Facility Agent between the Petalidi Borrower and the Manager
providing for the Manager to carry out the technical and commercial management of the Petalidi Ship; 
 “Petalidi
Mortgage” means a first priority statutory mortgage of the Petalidi Ship executed or (as the context may require) to be executed by the Petalidi Borrower in favour of the Security Trustee in such form as the Facility Agent may require in
its absolute discretion; 
 “Petalidi Operating Account” means an interest bearing Dollar account of the
Petalidi Borrower opened or (as the context may require) to be opened with the Account Bank and includes any sub-accounts thereof and any account designated by the Facility Agent to be a Petalidi Operating Account for the purposes of this Agreement;

 “Petalidi Operating Account Pledge” means the first priority pledge executed or (as the context may require)
to be executed (inter alios) between the Petalidi Borrower and the Security Trustee as pledgee in respect of the Petalidi Operating Account in agreed form; 
 “Petalidi Pool Agreement” means a pool agreement and amendments No. 1, No.2 and No.3 thereto each dated 6 October 2011 and made between the Petalidi Borrower, Heidmar and the
Suezmax Charterer, whereby the Petalidi Borrower agreed to enter, and the Suezmax Charterer and Heidmar agreed to accept, the Petalidi Ship into the Pool (as defined in the Petalidi Pool Agreement) upon the terms and conditions therein set out;

 “Petalidi Pool Documents” means, together, the Petalidi Charter and the Petalidi Pool Agreement; 

“Petalidi Share Pledge” means the first priority charge of all of the issued shares of the Petalidi Borrower executed or
(as the context may require) to be executed by the relevant Shareholder in favour of the Security Trustee in agreed form; 

“Petalidi Ship” means the vessel with Hull No. 1888 being constructed in Korea by the Builder and to be registered
on the relevant Delivery Date in the ownership of the Petalidi Borrower through the Registry under the laws and flag of the Flag State under the name Petalidi; 
 “Petalidi Shipbuilding Contract” means the shipbuilding contract dated 29 November 2010 as amended by addendum No. 1 dated 3 December 2010 and by addendum No. 2 dated
10 December 2010, each made between the Builder and the Petalidi Borrower pursuant to which the Builder is to construct and sell, and the Petalidi Borrower is to purchase, the Petalidi Ship; 

  
 15 

 “Pollutant” means and includes pollutants, contaminants, toxic substances,
oil as defined in the United States Oil Pollution Act of 1990 and all hazardous substances as defined in the United States Comprehensive Environmental Response, Compensation and Liability Act 1980; 

“Pool Documents” means, together, the Belmar Pool Documents, the Calida Pool Documents, the Lipari Pool Documents and the
Petalidi Pool Documents; 
 “Protocol of Delivery and Acceptance” means, in relation to a Ship, the protocol of
delivery and acceptance to be signed by the Builder and the relevant Borrower evidencing the delivery and acceptance of such Ship pursuant to the Shipbuilding Contract for such Ship; 

“Quotation Date” means, in relation to any period for which LIBOR falls to be determined under this Agreement, the date
falling two (2) Banking Days prior to the first day of the relevant period; 
 “Registry” means, in
relation to each Ship, such registrar, commissioner or representative of the relevant Flag State who is duly authorised and empowered to register such Ship, the relevant Borrower’s title to such Ship and the relevant Mortgage under the laws and
the flag of the relevant Flag State; 
 “Regulatory Agency” means the Government Entity or other organisation in
a Flag State which has been designated by the Government of that Flag State to implement and/or administer and/or enforce the provisions of the ISM Code or the ISPS Code; 
 “Related Company” of a person means any Subsidiary of such person, any company or other entity of which such person is a Subsidiary and any Subsidiary of any such company or entity;

 “Relevant Jurisdiction” means, any jurisdiction in which or where any Security Party is incorporated,
resident, domiciled, has a permanent establishment, carries on, or has a place of business or is otherwise effectively connected or where any Ship is registered; 
 “Relevant Party” means each of the Borrowers, any other Security Party and any other member of the Group; 
 “Relevant Ship” means the Ships and any other vessel from time to time (whether before or after the date of this Agreement) owned, managed or crewed by, or chartered to, any Relevant
Party; 
 “Repayment Date” means, subject to clause 6.3, in respect of: 

 

	 	(a)	each Commercial Lenders Advance, each of the dates falling at three (3) monthly intervals after the Drawdown Date for such Advance, up to and including the date
falling eighty four 84 months after the Drawdown Date for such Advance; and 

  

	 	(b)	each KEXIM Advance, each of the dates falling at three (3) monthly intervals after the Drawdown Date for such Advance, up to and including the date falling one
hundred and seventeen (117) months after the Drawdown Date for such Advance and the date falling one hundred and twenty (120) months after the earlier of (i) the Drawdown Date of the relevant Advance and (ii) the Delivery Date of
the relevant Ship; 

 “Requisition Compensation” means, in relation to a Ship, all sums of money
or other compensation from time to time payable during the Security Period by reason of the Compulsory Acquisition of such Ship; 

“Retention Account” means an interest-bearing Dollar account of the Borrowers opened or (as the context may require) to
be opened jointly by the Borrowers with the Account Bank and includes any sub-accounts thereof and any other account designated by the Facility Agent to be a Retention Account for the purposes of this Agreement; 

  
 16 

 “Retention Account Pledge” means a first priority pledge executed or (as
the context may require) to be executed (inter alios) between the Borrowers and the Security Trustee as pledgee in respect of the Retention Account in agreed form; 
 “Retention Amount” means, in relation to any Retention Date in respect of an Advance, such sum as shall be the aggregate of: 

 

	 	(a)	 one-third
(1/3rd) of the repayment instalment in respect of
such Advance falling due for payment pursuant to clause 4.1 (as the same may have been reduced by any prepayment) on the next Repayment Date for such Advance after the relevant Retention Date; and 

 

	 	(b)	the applicable fraction (as hereinafter defined) of the aggregate amount of interest falling due for payment in respect of each part of such Advance during and at the
end of each Interest Period for such Advance current at the relevant Retention Date and, for this purpose, the expression “applicable fraction” in relation to each Interest Period for an Advance shall mean a fraction having a
numerator of one and a denominator equal to the number of Retention Dates for such Advance falling within the relevant Interest Period; 

 “Retention Dates” means, in relation to each Advance, together, the date falling thirty (30) days after the Drawdown Date of such Advance and each of the dates falling at monthly
intervals after such date and prior to the final Repayment Date for such Advance and “Retention Date” means each of them; 
 “Security Documents” means this Agreement, the Master Swap Agreement, the Mortgages, the Deeds of Covenant, the Account Pledges, the Share Pledges, the Guarantees, the Swap Assignment,
the Manager’s Undertakings, any Charter Assignments and any other documents as may have been or shall from time to time after the date of this Agreement be executed to guarantee and/or secure all or any part of the Loan, interest thereon and
other moneys from time to time owing by the Borrowers or any other Security Party pursuant to this Agreement, the Master Swap Agreement or any other Security Party (whether or not any such document also secures moneys from time to time owing
pursuant to any other document or agreement); 
 “Security Party” means the Borrowers, the Guarantors, the
Shareholders, the Manager and any other person who may at any time be a party to any of the Security Documents (other than the Finance Parties); 
 “Security Period” means the period commencing on the date of this Agreement and terminating upon discharge of the security created by the Security Documents by payment of all moneys
payable thereunder; 
 “Security Requirement” means the amount in Dollars (as certified by the Facility Agent
whose certificate shall, in the absence of manifest error, be conclusive and binding on the Borrowers and the Finance Parties) which is, at any relevant time, one hundred and thirty five per cent (135%) of the Loan as at that time; and

 “Security Trustee” means ABN Amro Bank N.V. a company incorporated in The Netherlands with its registered
office at Gustav Mahlerlaan 10/Location Code: PAC HQ842, 1082 PP Amsterdam, The Netherlands acting through its office at Coolsingel 93, 3012 AE Rotterdam, The Netherlands (or of such other address as may last have been notified to the other parties
in this Agreement pursuant to clause 17.1.3) and its successor in title or such other person as may be appointed security agent and trustee for the Finance Parties pursuant to the relevant provisions of clause 16.14; 

“Security Value” means the amount in Dollars (as certified by the Facility Agent whose certificate shall, in the absence
of manifest error, be conclusive and binding on the Borrowers and the Finance Parties) which, at any relevant time, is the aggregate of (i) the aggregate 

  
 17 

 
market value of the Mortgaged Ships as most recently determined in accordance with clause 8.2.2 and (ii) the market value of any additional security for the time being actually provided to
the Lenders pursuant to clause 8.2, as most recently determined in accordance with clause 8.2.5; 
 “Share
Pledge” means: 
  

	 	(a)	in relation to the Belmar Borrower, the Belmar Share Pledge; or 

  

	 	(b)	in relation to the Calida Borrower, the Calida Share Pledge; or 

  

	 	(c)	in relation to the Lipari Borrower, the Lipari Share Pledge; or 

  

	 	(d)	in relation to the Petalidi Borrower, the Petalidi Share Pledge, 

 and “Share Pledges” means, together, any or all of them; 

“Shareholder” means: 
  

	 	(a)	in relation to the Belmar Borrower, Olympian Poseidon Shareholders Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall
Islands MH 96960; or 

  

	 	(b)	in relation to the Calida Borrower, Olympian Demeter Shareholders Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall
Islands MH 96960; or 

  

	 	(c)	in relation to the Lipari Borrower, Olympian Ares Shareholders Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands
MH 96960; or 

  

	 	(d)	in relation to the Petalidi Borrower, Olympian Artemis Shareholders Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall
Islands MH 96960 and includes its successors in title, 

 and “Shareholders” means, together, all
or any of them; 
 “Ship Security Documents” means, in respect of each Ship, the Mortgage, the Deed of Covenant,
the Manager’s Undertaking and any Charter Assignment for that Ship; 
 “Ship Tranche” means, in relation to
each Ship, the aggregate of the Commitments of the Lenders in respect of such Ship or, if any part of such Commitments have been advanced, the aggregate of the remaining Commitments (if any) and the Contributions made by the Lenders in respect of
such Ship, being in the maximum amount of the lower of: (i) the Maximum Ship Tranche Amount for such Ship, (ii) an amount in Dollars equal to fifty five per cent (55%) of the Contract Price of such Ship and (ii) an amount in
Dollars equal to sixty five per cent (65%) of the market value of such Ship as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7, Part 2 of Schedule 4 in respect of such Ship or, as the context may require, the
principal amount owing to the Lenders in respect of such Ship at any relevant time constituted by the relevant KEXIM Advance and the relevant Commercial Lenders Advance and “Ship Tranches” means, together, all or any of such Ship
Tranches; 
 “Shipbuilding Contract” means: 

 

	 	(a)	in relation to the Belmar Ship, the Belmar Shipbuilding Contract; or 

  

	 	(b)	in relation to the Calida Ship, the Calida Shipbuilding Contract; or 

  

	 	(c)	in relation to the Lipari Ship, the Lipari Shipbuilding Contract; or 

  
 18 

	 	(d)	in relation to the Petalidi Ship, the Petalidi Shipbuilding Contract, 

 and “Shipbuilding Contracts” means, together, all or any of them; 

“Ships” means, together, the Belmar Ship, the Calida Ship, the Lipari Ship and the Petalidi Ship each as more
particularly described in Schedule 2 and “Ship” means any one of them; 
 “SMC” means a safety
management certificate issued in accordance with rule 13 of the ISM Code; 
 “Subsidiary” of a person means any
company or entity directly or indirectly controlled by such person; 
 “Substitution Certificate” means a
certificate substantially in the terms of Schedule 5 (or in such other form as the Lenders may approve or require); 

“Suezmax Charterer” means Blue Fin Tankers Inc. of Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro,
Republic of the Marshall Islands MH 96960 and includes its successors in title; 
 “Swap Assignment” means the
assignment executed or (as the context may require) to be executed by the Borrowers in favour of the Security Trustee in relation to certain of the rights of the Borrowers under the Master Swap Agreement in agreed form; 

“Swap Exposure” means, as at any relevant time, the amount certified by the Swap Provider to the Facility Agent to be the
aggregate net amount in Dollars which would be payable by the Borrowers to the Swap Provider under (and calculated in accordance with) section 6(e) (Payments on Early Termination) of the Master Swap Agreement if an Early Termination Date had
occurred at the relevant time in relation to all continuing Designated Transactions; 
 “Swap Provider” means
ABN Amro Bank N.V., a company incorporated in The Netherlands with its registered office at Gustav Mahlerlaan 10/Location Code: PAC HQ842, 1082 PP Amsterdam, The Netherlands acting through its office at Coolsingel 93, 3012 AE Rotterdam, The
Netherlands (or of such other address as may last have been notified to the other parties to this Agreement pursuant to clause 17.1.3) and includes its successors in title; 
 “Taxes” includes all present and future taxes, levies, imposts, duties, fees or charges of whatever nature together with interest thereon and penalties in respect thereof and
“Taxation” and “Tax” shall be construed accordingly; 
 “Termination Date”
means, in respect of each Ship Tranche, the earliest of (a) the date on which the Commitments of all Lenders for such Ship Tranche are reduced to zero by any of the terms of this Agreement, (b) the date falling thirty (30) days after
the date on which the Delivery of the Ship associated with such Ship Tranche occurs, (c) the date on which the Shipbuilding Contract associated with such Ship Tranche is cancelled, rescinded or terminated by any party thereto and (d) the
relevant End of Funding Date for the Ship in respect of that Ship Tranche; 
 “Total Commitments” means, at any
relevant time in relation to all Ships or (as the context may require) a particular Ship, the total of the Commitments of all the Lenders at such time for all Ships (as the context may require) or for such Ship; 

“Total Loss” means, in relation to a Ship: 

 

	 	(a)	the actual, constructive, compromised or arranged total loss of such Ship; or 

 

	 	(b)	the Compulsory Acquisition of such Ship; or 

  

	 	(c)	 the hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation of such Ship (other than where the same amounts to the
Compulsory Acquisition of such 

  
 19 

	 	
Ship) by any Government Entity, or by persons acting or purporting to act on behalf of any Government Entity, unless such Ship be released and restored to the relevant Borrower (i) from such
condemnation, capture, seizure, arrest, detention or confiscation within thirty (30) days after the occurrence thereof or (ii) from such hijacking or theft within sixty (60) days after the occurrence thereof; 

“Total Loss Reduction Date” has the meaning given to it in clause 4.3.3; 

“Transaction” has the meaning given to it in the Master Swap Agreement; 

“Transaction Documents” means, together, the Shipbuilding Contracts, the Pool Documents and the Management Agreements;

 “Trust Deed” means a trust deed in the form, or substantially in the form, set out in schedule 6; and

 “Trust Property” means (i) the security, powers, rights, titles, benefits and interests (both present
and future) constituted by and conferred on the Security Trustee under or pursuant to the Security Documents (including, without limitation, the benefit of all covenants, undertakings, representations, warranties and obligations given, made or
undertaken to the Security Trustee in the Security Documents), (ii) all moneys, property and other assets paid or transferred to or vested in the Security Trustee or any agent of the Security Trustee or any receiver or received or recovered by
the Security Trustee or any agent of the Security Trustee or any receiver pursuant to, or in connection with, any of the Security Documents whether from any Security Party or any other person and (iii) all moneys, investments, property and
other assets at any time representing or deriving from any of the foregoing, including all interest, income and other sums at any time received or receivable by the Security Trustee or any agent of the Security Trustee or any receiver in respect of
the same (or any part thereof). 
  

	1.3	Headings 

 Clause headings
and the table of contents are inserted for convenience of reference only and shall be ignored in the interpretation of this Agreement. 
  

	1.4	Construction of certain terms 

 In this Agreement, unless the context otherwise requires: 
  

	1.4.1	references to any person includes such person’s successors in title and permitted assignees and transferees; 

 

	1.4.2	references to clauses and schedules are to be construed as references to clauses of, and schedules to, this Agreement and references to this Agreement include its
schedules; 

  

	1.4.3	references to (or to any specified provision of) this Agreement or any other document shall be construed as references to this Agreement, that provision or that
document as in force for the time being and as amended in accordance with terms thereof, or, as the case may be, with the agreement of the relevant parties; 

 

	1.4.4	references to a “regulation” include any present or future regulation, rule, directive, requirement, request or guideline (whether or not having the
force of law) of any agency, authority, central bank or government department or any self-regulatory or other national or supra-national authority and for the avoidance of doubt should include any Basel II Regulation; 

 

	1.4.5	 references to a “month” mean a period beginning in one calendar month and ending in the next calendar month on the day numerically
corresponding to the day of the calendar month on which it started, provided that (a) if the period started on the last Banking Day in a calendar month or if there is no such numerically corresponding day, it shall end on the last Banking Day
in such next calendar month, (b) if such numerically corresponding day is not a Banking Day, the period shall end on the next following Banking Day in the same calendar month but if

  
 20 

	 	
there is no such Banking Day it shall end on the preceding Banking Day and “months” and “monthly” shall be construed accordingly and (c) references to a calendar shall be
construed as references to the Gregorian calendar; 

  

	1.4.6	words importing the plural shall include the singular and vice versa; 

  

	1.4.7	references to a time of day are to London time unless otherwise specified; 

 

	1.4.8	references to a person shall be construed as references to an individual, firm, company, corporation, unincorporated body of persons or any Government Entity;

  

	1.4.9	any reference to “control” of a person means: 

  

	 	(a)	the power (whether by way of ownership of shares, proxy, contract, agency or otherwise) to: 

 

	 	(i)	cast, or control the casting of, more than 50% of the maximum number of votes that might be cast at a general meeting of that person; or 

 

	 	(ii)	appoint or remove all, or the majority, of the directors or other equivalent officers of that person; or 

 

	 	(iii)	give directions with respect to the operating and financial policies of that person with which the directors or other equivalent officers of that person are obliged to
comply; and/or 

  

	 	(b)	the holding beneficially of more than 50% of the issued share capital of that person (excluding any part of that issued share capital that carries no right to
participate beyond a specified amount in a distribution of either profits or capital) (and, for this purpose, any Encumbrance over share capital shall be disregarded in determining the beneficial ownership of such share capital);

 and “controlled” shall be construed accordingly; 

 

	1.4.10	references to a “guarantee” include references to an indemnity or other assurance against financial loss including, without limitation, an obligation
to purchase assets or services as a consequence of a default by any other person to pay any Indebtedness and “guaranteed” shall be construed accordingly; 

 

	1.4.11	references to “assets” include all or part of any business, undertaking, real property, personal property, uncalled capital and any rights (whether
actual or contingent, present or future) to receive, or require delivery of, any of the foregoing; 

  

	1.4.12	references to a document being “in agreed form” shall mean: 

 

	 	(a)	where a Security Document has already been executed by all of the relevant parties, such Security Document in its executed form; 

 

	 	(b)	prior to the execution of a Security Document, the form of such Security Document separately initialled by the Facility Agent (on instructions from the Lenders) or
agreed in writing between the Facility Agent (on instructions from Lenders) and the Borrowers as the form in which that Security Document is to be executed or another form approved at the request of the Borrowers; and 

 

	1.4.13	references to any enactment shall be deemed to include references to such enactment as re-enacted, amended or extended. 

  
 21 

	1.5	Insurance terms 

 In this
Agreement, unless the context otherwise requires: 
  

	1.5.1	“excess risks” means the proportion (if any) of claims for general average, salvage and salvage charges not recoverable under the hull and machinery
insurances of a vessel in consequence of the value at which the vessel is assessed for the purpose of such claims exceeding its insured value; 

  

	1.5.2	“excess war risk P&l cover” means cover for claims only in excess of amounts recoverable under the usual war risk cover including (but not limited
to) hull and machinery, crew and protection and indemnity risks; 

  

	1.5.3	“protection and indemnity risks” means the usual risks (including liability for oil pollution, excess war risk P&l cover) covered by a protection
and indemnity association which is a member of the International Group of Protection and Indemnity Associations (including, without limitation, the proportion (if any) of any sums payable to any other person or persons in case of collision which are
not recoverable under the hull and machinery policies by reason of the incorporation therein of Clause 8 of the Institute Time Clauses (Hulls) 1/11/95 or the Institute Amended Running Down Clause (1/10/71) or any equivalent provision); and

  

	1.5.4	“war risks” includes those risks covered by the standard form of English marine policy with Institute War and Strikes Clauses Hulls - Time
(1/11/95) attached or similar cover. 

  

	1.6	Majority Lenders 

 Where
this Agreement or any other Security Document provides for any matter to be determined by reference to the opinion of the Majority Lenders or to be subject to the consent or request of the Majority Lenders or for any action to be taken on the
instructions in writing of the Majority Lenders, such opinion, consent, request or instructions shall (as between the Lenders) only be regarded as having been validly given or issued by the Majority Lenders if all the Lenders shall have received
prior notice of the matter on which such opinion, consent, request or instructions are required to be obtained and the relevant majority of such Lenders shall have given or issued such opinion, consent, request or instructions but so that (as
between the Borrowers and the Lenders) the Borrowers shall be entitled (and bound) to assume that such notice shall have been duly received by each relevant Lender and that the relevant majority shall have been obtained to constitute Majority Lender
whether or not this is in-fact the case. 
  

	1.7	Obligations several 

 The
obligations of each Lender under this Agreement are several according to its Commitments and/or Contributions; the failure of any Lender to perform such obligations or the failure of the Swap Provider to perform its obligations under the Master Swap
Agreement shall not relieve any other Finance Party or the Borrowers of any of their respective obligations or liabilities under this Agreement or, as the case may be, the Master Swap Agreement nor shall any Finance Party be responsible for the
obligations of any other Finance Party (except for its own obligations, if any, as a Lender or, as the case may be, Swap Provider) nor shall any Lender be responsible for the obligations of any other Lender under this Agreement or the Master Swap
Agreement. 
  

	1.8	Interests several 

Notwithstanding any other term of this Agreement (but without prejudice to the provisions of this Agreement relating to or requiring
action by the Majority Lenders or as the case may be the Lenders) the interests of the Finance Parties are several and the amount due to the Facility Agent or each Arranger (for its own account) and to each Lender is a separate and independent debt.
Save as provided in clause 16, the Facility Agent, each Arranger and each Lender shall have the right to protect and enforce its rights arising out of this Agreement and it shall not be necessary for another Finance Party to be joined as an
additional party in any proceedings for this purpose. 

  
 22 

	2	The Commitments, Ship Tranches and the Advances 

  

	2.1	Amount 

 The Lenders,
relying upon each of the representations and warranties in clause 7, agree to lend to the Borrowers (the Borrowers’ obligations under the Security Documents being joint and several) upon and subject to the terms of this Agreement, the aggregate
principal amount of up to the lesser of (i) One hundred and forty one million three hundred and fifty thousand Dollars ($141,350,000), (ii) fifty five per cent. (55%) of the aggregate of the Contract Price of each of the Ships and
(iii) sixty five per cent (65%) of the aggregate of market value of each of the Ships as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7 of Part 2 of Schedule 4 in respect of each such Ship. 

The obligation of each Lender under this Agreement shall, subject to clause 2.4, be: 

 

	2.1.1	for KEXIM, to contribute that proportion of each Ship Tranche which, as at the Drawdown Date of the Advances relevant to such Ship Tranche, is equal to the KEXIM
Advance relevant to such Ship Tranche; and 

  

	2.1.2	for the Commercial Lenders, to contribute that proportion of each Ship Tranche which, as at the Drawdown Date of the Advances relevant to such Ship Tranche, is equal to
the Commercial Lenders Advance relevant to such Ship Tranche, 

 so that the Lenders shall contribute to each Ship
Tranche in a proportion that reflects a contribution by KEXIM of eight elevenths (8/11ths) of the relevant Ship Tranche and a contribution by the Commercial Lenders of three elevenths (3/11ths) of the relevant Ship Tranche. 

 

	2.2	Drawdown 

 Subject to the
terms and conditions of this Agreement, an Advance in respect of a Ship Tranche shall be made available to the Borrowers following receipt by the Facility Agent from the Borrowers of a Drawdown Notice for such Advance not later than 10:00 a.m.
(Rotterdam time) on the fifth Banking Day before the proposed Drawdown Date. A Drawdown Notice shall be effective on actual receipt by the Facility Agent and, once given, shall, subject as provided in clause 3.6.1, be irrevocable. 

 

	2.3	Commitments of Ship Tranches and Advances 

 The Commitments of the Lenders are calculated, and limited, by reference to each Ship and the Ship Tranche relating thereto. Commitments to one Ship Tranche are unavailable for Advances in respect of any
other Ship Tranche. Any Commitments to a Ship Tranche that are unused at the Termination Date for such Ship Tranche will become unavailable and deemed to be automatically cancelled. 

 

	2.4	Limitation on number, timing and amounts of Ship Tranches and Advances 

 

	2.4.1	Each Advance may only be made on a Banking Day falling within the Drawdown Period for the Ship Tranche it relates. There can be only one Drawdown Notice given in
relation to an Advance. 

  

	2.4.2	There are up to four Ship Tranches, each relating to one Ship only. Each Ship Tranche is separate of the others. 

 

	2.4.3	Each Ship Tranche shall be comprised of two Advances, a KEXIM Advance and a Commercial Lenders Advance, in a proportion that reflects a contribution by KEXIM of eight
elevenths (8/11ths) of the relevant Ship Tranche and a contribution by the Commercial Lenders of three elevenths (3/11ths) of the relevant Ship Tranche. Each such Advance is separate of the other as well as with any other Advance of any other
Ship Tranche. 

  
 23 

	2.4.4	The KEXIM Advance and the Commercial Advance relating to a Ship Tranche can only be made available together at the same time and always in accordance with clause 2.4.1.

  

	2.4.5	The aggregate of the KEXIM Advance and the Commercial Lenders Advance relating to a Ship Tranche shall not exceed an amount in Dollars equal to the lesser of
(i) fifty five cent (55%) of the Contract Price for the relevant Ship, (ii) the relevant Maximum Ship Tranche Amount and (iii) sixty five per cent (65%) of the market value of the relevant Ship as evidenced by the arithmetic
mean of the valuations provided pursuant to paragraph 7 of Part 2 of Schedule 4 in respect of such Ship. 

  

	2.4.6	Each KEXIM Advance shall not exceed an amount in Dollars equal to the lesser of (i) forty per cent (40%) of the Contract Price of the Ship to which such KEXIM
Advance relates, (ii) eight elevenths (8/11ths) of sixty five per cent (65%) of the market value of the Ship to which such KEXIM Advance relates, as evidenced by the arithmetic mean of the valuations provided pursuant to paragraph 7
of Part 2 of Schedule 4 in respect of such Ship and (iii): 

  

	 	(a)	in respect of the Belmar Ship or the Calida Ship, $23,500,000; or 

  

	 	(b)	in respect of the Lipari Ship or the Petalidi Ship, $27,900,000. 

  

	2.4.7	Each Commercial Lenders Advance shall not exceed an amount in Dollars equal to the lesser of (i) fifteen per cent (15%) of the Contract Price of the Ship to
which such Commercial Lenders Advance relates, (ii) three elevenths (3/11ths) of sixty five per cent (65%) of the market value of the Ship to which such Commercial Lenders Advance relates, as evidenced by the arithmetic mean of the
valuations provided pursuant to paragraph 7 of Part 2 of Schedule 4 in respect of such Ship and (iii): 

  

	 	(a)	in respect of the Belmar Ship or the Calida Ship, $8,812,500; or 

  

	 	(b)	in respect of the Lipari Ship or the Petalidi Ship, $10,462,500. 

  

	2.5	Availability 

 Upon
receipt of a Drawdown Notice complying with the terms of this Agreement the Facility Agent shall notify the Lenders thereof and of the date on which the relevant Advance is to be made and, subject to the provisions of clause 2.4 and clause 9, on the
Drawdown Date for such Advance the relevant Lenders shall make available to the Facility Agent such Advance for payment by the Facility Agent in accordance with clause 6.2. For the avoidance of doubt, the Commercial Lenders shall be the relevant
Lenders to make available to the Facility Agent each Commercial Lenders Advance, whereas KEXIM shall be the Lender to make available to the Facility Agent each KEXIM Advance. 

 

	2.6	Application of proceeds 

Without prejudice to the Borrowers’ obligations under clause 8.1.3, none of the Finance Parties shall have any responsibility for the
application of the proceeds of any Advance by the Borrowers. 
  

	2.7	Derivative transactions 

  

	2.7.1	If, at any time during the Security Period, the Borrowers wish to enter into interest rate swap transactions or other derivative transactions so as to hedge all or any
part of their exposure under this Agreement to interest rate fluctuations, they shall advise the Facility Agent and the Swap Provider in writing accordingly. 

 

	2.7.2	The Swap Provider shall, upon receipt of such notification from the Borrowers, inform the Lenders and shall, prior to execution of any documentation regarding any
interest rate swap transactions or other derivative transactions, copy to the Lenders each Confirmation it proposes to enter into with the Borrowers. 

  
 24 

	2.7.3	Any such interest rate swap transaction or other derivative transaction shall be concluded with the Swap Provider under the Master Swap Agreement provided however that
no such interest rate swap or other derivative transaction shall be concluded unless the Swap Provider and the Lenders first agrees to it in writing and, for the avoidance of any doubt, the Borrowers by execution of this Agreement acknowledge that
the fact that the Swap Provider has entered into the Master Swap Agreement with the Borrowers does not obligate the Swap Provider to enter into any interest rate swap transaction or other derivative transaction which the Borrowers wish to enter
into. For the avoidance of doubt, other than the Swap Provider’s agreement in writing referred to in the preceding sentence and other than the prior notification and copy of the relevant documentation to all Lenders as set out in clause 2.7.2,
no prior approval is required by the Borrowers or by the Swap Provider from any other Finance Party before concluding any such transaction. If and when any such interest rate swap transaction or other derivative transaction has been concluded, it
shall constitute a Designated Transaction, and the Borrowers shall sign a Confirmation with the Swap Provider and advise the Lenders through the Facility Agent promptly after concluding any Designated Transaction. 

 

	3	Interest and interest periods 

  

	3.1	Normal interest rate 

 The
Borrowers shall, subject to clause 6.3, pay interest on each Advance in respect of each Interest Period relating thereto on each Interest Payment Date (or, in the case of Interest Periods of more than three (3) months, by instalments, the first
instalment three (3) months from the commencement of the relevant Interest Period and the subsequent instalments at intervals of three (3) months thereafter or, if shorter, the period from the date of the preceding instalment until the
Interest Payment Date relative to such Interest Period) at the rate per annum which is the aggregate of: 
  

	3.1.1	as regards any KEXIM Advance, (i) the KEXIM Margin and (ii) LIBOR for such Interest Period; or 

 

	3.1.2	as regards any Commercial Lenders Advance, (i) the Commercial Lenders Margin and (ii) LIBOR for such Interest Period. 

 

	3.2	Selection of Interest Periods 

 The Borrowers may by notice received by the Facility Agent not later than 10.00 a.m. (Rotterdam time) on the fifth Banking Day before the beginning of each Interest Period, select whether such Interest
Period shall have a duration of one (1) month, three (3) months, six (6), nine (9) or twelve (12) months or such other period as the Borrowers may request and the Lenders may agree in their sole discretion. The Borrowers shall
select the same duration for both Advances comprising a Ship Tranche. 
  

	3.3	Determination of Interest Periods 

 Every Interest Period shall be of the duration specified by the Borrowers pursuant to clause 3.2 but so that: 
  

	3.3.1	the first Interest Period in respect of each Advance shall commence on the date on which such Advance is drawn down and each subsequent Interest Period shall commence
on the last day of the previous Interest Period for such Advance; 

  

	3.3.2	 if any Interest Period in respect of an Advance would otherwise overrun a Repayment Date in respect of such Advance, then, in the case of the last
Repayment Date for such Advance, such Interest Period shall end on such Repayment Date for such Advance, and in the case of any other Repayment Date or Repayment Dates for such Advance, such Advance shall be divided into parts so that there is one
part in the amount of the repayment instalment due on 

  
 25 

	 	
each Repayment Date falling during that Interest Period and having an Interest Period ending on the relevant Repayment Date for such Advance and another part in the amount of the balance of such
Advance having an Interest Period ascertained in accordance with clause 3.2 and the other provisions of this clause 3.3; and 

  

	3.3.3	if the Borrowers fail to specify the duration of an Interest Period in respect of an Advance in accordance with the provisions of clause 3.2 and this clause 3.3 such
Interest Period and the Interest Period of the other Advance in the same Ship Tranche, shall both have a duration of three (3) months or such other period as shall comply with this clause. 

 

	3.4	Default interest 

 If the
Borrowers fail to pay any sum (including, without limitation, any sum payable pursuant to this clause 3.4) on its due date for payment under any of the Security Documents (except the Master Swap Agreement), the Borrowers shall pay interest on such
sum on demand from the due date up to the date of actual payment (as well after as before judgement) at a rate determined by the Facility Agent pursuant to this clause 3.4. 
 The period beginning on such due date and ending on such date of payment shall be divided into successive periods of not more than three (3) months as selected by the Facility Agent (after
consultation with the Lenders so far as reasonably practicable in the circumstances) each of which (other than the first, which shall commence on such due date) shall commence on the last day of the preceding such period. The rate of interest
applicable to each such period shall be the aggregate (as determined by the Facility Agent) of (i) two per cent. (2%) per annum, (ii) LIBOR for such period and (iii) as regards any such unpaid amount owing to: 

 

	3.4.1	any Finance Party (other than KEXIM and the Swap Provider), the Commercial Lenders Margin; or 

 

	3.4.2	KEXIM, the KEXIM Margin, 

provided however that, if the unpaid sum is an amount of principal which shall have become due and payable, by reason of a declaration by
the Facility Agent under clause 10.2.2 or a prepayment obligation arising pursuant to clauses 4.3, 8.2 or 12.1, on a date other than an Interest Payment Date relating thereto, the first such period selected by the Facility Agent shall be of a
duration equal to the period between the due date of such principal sum and such Interest Payment Date and interest shall be payable on such principal sum during such period at a rate of two per cent. (2%) above the rate applicable thereto
immediately before it shall have become so due and payable. 
 Interest under this clause 3.4 shall be due and payable on the
last day of each such period as determined by the Facility Agent and each such day shall, for the purposes of this Agreement, be treated as an Interest Payment Date. 
 If, for the reasons specified in clause 3.6.1, the Facility Agent is unable to determine a rate in accordance with the foregoing provisions of this clause 3.4, each Lender shall promptly notify the
Facility Agent of the cost of funds to such Lender and interest on any sum not paid on its due date for payment shall be calculated for each Lender at a rate determined by the Facility Agent to be two per cent. (2%) per annum above the
aggregate of (i) the cost of funds to such Lender and (ii): 
  

	 	(a)	in the case of a Commercial Lender, the Commercial Lenders Margin; or 

  

	 	(b)	in the case of KEXIM, the KEXIM Margin. 

  

	3.5	Notification of Interest Periods and interest rate 

 The Facility Agent shall notify the Borrowers and the Lenders promptly of the duration of each Interest Period or other period for the calculation of interest (or, as the case may be, default interest)
and of each rate of interest determined by it under this clause 3. 

  
 26 

	3.6	Market disruption; non-availability 

  

	3.6.1	If and whenever, at any time prior to the commencement of any Interest Period: 

 

	 	(a)	the Facility Agent shall have determined (which determination shall, in the absence of manifest error, be conclusive) that adequate and fair means do not exist for
ascertaining LIBOR during such Interest Period; or 

  

	 	(b)	the Facility Agent shall have received notification from Lenders with Contributions aggregating not less than 27.25% of the Loan (or prior to the first Drawdown Date,
with Commitments aggregating not less than 27.25% of the Total Commitments for all Ships) that deposits in Dollars are not available to such Lenders in the London Interbank Market in the ordinary course of business in sufficient amounts to fund
their Contributions for such Interest Period; or 

  

	 	(c)	the Facility Agent shall have received notification from a Lender that the cost to such Lender of obtaining deposits in Dollars in the London Interbank Market in the
ordinary course of business exceeds LIBOR, 

 the Facility Agent shall forthwith give notice (a
“Determination Notice”) thereof to the Borrowers and to each of the Lenders and the Swap Provider. A Determination Notice shall contain particulars of the relevant circumstances giving rise to its issue. After the giving of any
Determination Notice (and until the Facility Agent notifies the Borrowers that none of the circumstances specified in clause 3.5.1 continues to exist) the undrawn amount of the Total Commitments for all the Ships shall not be borrowed until notice
to the contrary is given to the Borrowers by the Facility Agent. 
  

	3.6.2	During the period of ten (10) days after any Determination Notice has been given by the Facility Agent under clause 3.6.1, each Lender shall certify to the
Facility Agent an alternative basis (the “Alternative Basis”) for making available or, as the case may be, maintaining its Contribution. The Alternative Basis may at the relevant Lender’s sole and unfettered discretion include
(without limitation) alternative interest periods, alternative currencies or alternative rates of interest but shall include a margin above the cost of funds to such Lender equivalent to the Commercial Lenders Margin, if such Lender is a Commercial
Lender or to the KEXIM Margin, if such Lender is KEXIM. The Facility Agent shall calculate the arithmetic mean of each Alternative Basis provided by the relevant Lenders (the “Substitute Basis”) and certify the same to the
Borrowers, the Lenders and the Swap Provider. The Substitute Basis so certified shall be binding upon the Borrowers and shall take effect in accordance with its terms from the date specified in the Determination Notice until such time as the
Facility Agent notifies the Borrowers that none of the circumstances specified in clause 3.6.1 continues to exist whereupon the normal interest rate fixing provisions for this Agreement shall apply. 

 

	4	Repayment and prepayment 

  

	4.1	Repayment 

  

	4.1.1	The Borrowers shall repay each Commercial Lenders Advance by twenty eight (28) instalments, one such instalment to be repaid on each of the Repayment Dates
relevant to such Commercial Lenders Advance. Subject to the provisions of this Agreement, the amount of each repayment instalment (other than the last repayment instalment) of: 

 

	 	(a)	the Belmar Commercial Lenders Advance, shall be $32,500; 

  

	 	(b)	the Calida Commercial Lenders Advance, shall be $32,500; 

  

	 	(c)	the Lipari Commercial Lenders Advance, shall be $37,500; and 

  

	 	(d)	the Petalidi Commercial Lenders Advance, shall be $37,500, 

  
 27 

 and the amount of the last repayment instalment of: 

 

	 	(a)	the Belmar Commercial Lenders Advance, shall be $7,935,000 (comprising a repayment instalment of $32,500 and a balloon payment $7,902,500); 

 

	 	(b)	the Calida Commercial Lenders Advance, $7,935,000 (comprising a repayment instalment of $32,500 and a balloon payment of $7,902,500); 

 

	 	(c)	the Lipari Commercial Lenders Advance, $9,450,000 (comprising a repayment instalment of $37,500 and a balloon repayment of $9,412,500); and 

 

	 	(d)	the Petalidi Commercial Lenders Advance, $9,450,000 (comprising a repayment instalment of $37,500 and a balloon repayment of $9,412,500). 

 

	4.1.2	The Borrowers shall repay each KEXIM Advance by forty (40) instalments, one such instalment to be repaid on each of the Repayment Dates relevant to such KEXIM
Advance. Subject to the provisions of this Agreement, the amount of each repayment instalment of: 

  

	 	(a)	the Belmar KEXIM Advance, shall be $587,500; 

  

	 	(b)	the Calida KEXIM Advance, shall be $587,500; 

  

	 	(c)	the Lipari KEXIM Advance, shall be $697,500; and 

  

	 	(d)	the Petalidi KEXIM Advance $697,500. 

  

	4.1.3	If the Commitments in respect of a Ship Tranche are not drawn down in full, the amount of each repayment instalment of the Advances relevant to such Ship Tranche
(including, where applicable, the relevant balloon payment) shall be reduced proportionately. 

  

	4.2	Voluntary prepayment 

 The
Borrowers may prepay any Ship Tranche in whole or in part (such part being in a minimum amount of Five hundred thousand Dollars ($500,000) or any larger sum which is an integral multiple of Five hundred thousand Dollars ($500,000)) on any Interest
Payment Date for both the Commercial Lenders Advance and the KEXIM Advance of that Ship Tranche. The Borrowers shall give the Facility Agent at least thirty (30) days’ prior notice in writing of their intention to make any such prepayment.
The amount of each prepayment shall be regarded as being divided between the relevant KEXIM Advance and the relevant Commercial Lenders Advance proportionately. 
  

	4.3	Mandatory Prepayment on Total Loss or sale 

  

	4.3.1	If a Mortgaged Ship is sold or becomes a Total Loss, then the Borrowers shall, on the Disposal Reduction Date for such Mortgaged Ship, prepay an amount equal to the
higher of (i) the full amount of the Ship Tranche relevant to such Mortgaged Ship and (ii) an amount in Dollars equal to such amount as shall ensure that, immediately after the relevant prepayment the Security Value shall not be less than
the Security Requirement (subject to clause 4.3.2); and 

  

	4.3.2	notwithstanding clause 4.3.1, if a Mortgaged Ship is sold or becomes a Total Loss and an Event of Default shall have occurred and be continuing, then the Borrowers
shall, on the Disposal Reduction Date for such Mortgaged Ship, prepay such proportion of the Loan as the Facility Agent may require in its absolute discretion. 

 

	4.3.3	Defined terms 

 For the purposes
of this clause 4.3: 
  

	 	(a)	“Disposal Reduction Date” means: 

  

	 	(i)	in relation to a Mortgaged Ship which has become a Total Loss, its Total Loss Reduction Date; and 

  
 28 

	 	(ii)	in relation to a Mortgaged Ship which is sold, the date of completion (and immediately prior to completion) of such sale by the transfer of title to such Mortgaged Ship
to the purchaser in exchange for payment of the relevant purchase price; and 

  

	 	(b)	“Total Loss Reduction Date” means, in relation to a Mortgaged Ship which has become a Total Loss, the date which is the earlier of:

  

	 	(i)	the date falling one hundred and twenty (120) days after that on which such Mortgaged Ship became a Total Loss; and 

 

	 	(ii)	the date upon which the relevant insurance proceeds are, or Requisition Compensation is, received by the relevant Borrower (or the Facility Agent pursuant to the
relevant Ship Security Documents). 

  

	4.3.4	Interpretation 

 For the purpose
of this Agreement, a Total Loss in respect of a Ship shall be deemed to have occurred: 
  

	 	(a)	in the case of an actual total loss of a Ship, on the actual date and at the time such Ship was lost or, if such date is not known, on the date on which such Ship was
last reported; 

  

	 	(b)	in the case of a constructive total loss of a Ship, upon the date and at the time notice of abandonment of such Ship is given to the insurers of such Ship for the time
being; 

  

	 	(c)	in the case of a compromised or arranged total loss of a Ship, on the date upon which a binding agreement as to such compromised or arranged total loss has been entered
into by the insurers of such Ship; 

  

	 	(d)	in the case of Compulsory Acquisition of a Ship, on the date upon which the relevant requisition of title or other compulsory acquisition of such Ship occurs; and

  

	 	(e)	in the case of hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation of a Ship (other than where the same amounts to Compulsory
Acquisition of such Ship) by any person, including by any Government Entity, or by persons purporting to act on behalf of any Government Entity, which deprives the relevant Borrower of the use of such Ship for more than (i) thirty
(30) days, upon the expiry of the period of thirty (30) days after the date upon which the relevant condemnation, capture, seizure, arrest, detention or confiscation occurred or (ii) sixty (60) days upon expiry of the period of
sixty (60) days after the date upon which the relevant hijacking or theft occurred. 

  

	4.4	Mandatory prepayment of KEXIM Advances 

 Unless by the originally scheduled final Repayment Date of the Commercial Lenders’ Advance for a Ship (the “Relevant Date”) (a) this Agreement has been amended or (b) that
Commercial Lenders’ Advance has been refinanced by a loan drawn under another financing agreement in each case in substance satisfactory to KEXIM, so that (in either such case) such Commercial Lenders’ Advance (or such refinanced loan) has
a repayment profile acceptable to KEXIM and a final Repayment Date (or repayment date under such refinanced loan) falling no earlier than one hundred and twenty months after the earlier of (i) the Drawdown Date and (ii) the Delivery Date
for that Ship, the Borrowers shall prepay the KEXIM Advance for the relevant Ship in full on the Relevant Date together with all additional amounts required to be paid under clause 4.5. 

  
 29 

	4.5	Amounts payable on prepayment 

 Any prepayment under this Agreement shall be made together with: 
  

	4.5.1	accrued interest on the amount to be prepaid to the date of such prepayment; 

 

	4.5.2	any additional amount payable under clauses 6.7 or 12.2; 

  

	4.5.3	any prepayment premium payable under clause 4.7; and 

  

	4.5.4	all other sums payable by the Borrowers under this Agreement or any of the other Security Documents including, without limitation, any accrued commitment commission
payable under clause 5.1.4 and any amounts payable under clause 11. 

  

	4.6	Notice of prepayment; reduction of repayment instalments 

  

	4.6.1	Every notice of prepayment shall be effective only on actual receipt by the Facility Agent, shall be irrevocable, shall specify the amount to be prepaid and shall
oblige the Borrowers to make such prepayment on the date specified. No amount prepaid may be re-borrowed. 

  

	4.6.2	Any amount prepaid pursuant to clause 4.2 shall be applied in reduction of the relevant Ship Tranche pro rata between the relevant KEXIM Advance and the relevant
Commercial Lenders Advance and be applied with respect to each such Advance in reducing its repayment instalments (including any relevant balloon payment) under clause 4.1 proportionately. 

 

	4.6.3	Any amount prepaid pursuant to clause 4.3 shall be applied first in reduction of the relevant Ship Tranche pro rata between the relevant KEXIM Advance and the relevant
Commercial Lenders Advance and be applied with respect to each such Advance in reducing its repayment instalments (including any relevant balloon payment) under clause 4.1 proportionately and the remainder (if any) of such amount shall be applied in
reduction of all remaining Ship Tranches proportionately and, in relation to each such Ship Tranche, between the relevant KEXIM Advance and the relevant Commercial Lenders Advance and, be applied with respect to each such KEXIM Advance and each such
Commercial Lenders Advance in reducing its repayment instalments (including any relevant balloon payment) under clause 4.1 proportionately. 

  

	4.6.4	Any amount prepaid pursuant to clause 8.2.1 shall be applied in reduction of all Ship Tranches pro rata and, in relation to each Ship Tranche, between the relevant
KEXIM Advance and the relevant Commercial Lenders Advance and, be applied with respect to each such KEXIM Advance and each such Commercial Lenders Advance in reducing its repayment instalments (including any relevant balloon payment) under clause
4.1 proportionately. 

  

	4.6.5	The Borrowers may not prepay the Loan or any part thereof save as expressly provided in this Agreement. 

 

	4.7	Prepayment premium 

  

	4.7.1	The prepayment of any part of the Loan pursuant to clause 4.2 shall be subject to a premium of zero point fifty per cent. (0.50%) of the principal amount to be prepaid,
provided however that such premium shall be increased to two percent (2%) of the principal amount to be prepaid, if, at any time during the period commencing on the date of this Agreement and ending on the date falling twenty four
(24) months after the last date of the last Drawdown Period, the Loan is prepaid in full pursuant to clause 4.2 by means of a refinancing. Any such premium shall be payable to the Facility Agent (for the account of the Lenders) on the date any
such prepayment is due. 

  

	4.7.2	The prepayment of any Ship Tranche or any part thereof pursuant to clause 4.3 (other than in the case of Total Loss of the Ship relating to such Ship Tranche), shall be
subject to a premium of: 

  

	 	(a)	1% of the amount to be prepaid, if the relevant Ship is sold within forty eight (48) months from its Delivery Date; 

  
 30 

	 	(b)	0.75% of the amount to be prepaid, if the relevant Ship is sold after forty eight (48) months from its Delivery Date but within ninety six (96) months from
its Delivery Date; and 

  

	 	(c)	0.50% of the amount to be prepaid, if the relevant Ship is sold at any time after ninety six (96) months from its Delivery Date. 

For the avoidance of doubt, a prepayment on sale of a Ship shall be deemed to fall under this clause 4.7.2 for the purposes of determining
the relevant prepayment fees notwithstanding that the Borrowers may have given notice for a voluntary prepayment under clause 4.2. 
  

	4.8	Mandatory cancellation 

  

	4.8.1	If 

  

	 	(a)	prior to a Ship’s Delivery (without prejudice to the terms of any Security Document to the contrary): 

 

	 	(i)	that Ship’s Shipbuilding Contract is for any reason and by any method cancelled, terminated or rescinded; or 

 

	 	(ii)	a competent court or arbitration panel decides that that Ship’s Shipbuilding Contract has been validly cancelled, terminated or rescinded; or

  

	 	(iii)	that Ship’s Shipbuilding Contract is varied in a way prohibited by any Security Document; or 

 

	 	(iv)	that Ship’s Shipbuilding Contract is sold, assigned, novated or transferred; or 

 

	 	(v)	the relevant Borrower agrees to sell that Ship on its Delivery; or 

  

	 	(b)	Delivery of a Ship has not occurred by the relevant End of Funding Date, 

 then the Facility Agent may, and shall if so directed by the Majority Lenders, by notice to the Borrowers with effect from the date 10 Banking Days after the giving of such notice (or such later date as
may be approved in advance by the Majority Lenders) cancel the Commitments of each Lender for such Ship (whereupon the Total Commitments shall be reduced by the Commitments of all Lenders for that Ship). 

 

	4.9	Automatic cancellation 

Any part of the Commitments for a Ship which has not become available by the last day of the relevant Drawdown Period shall be
automatically cancelled at close of business in London on that last day. 
  

	4.10	Unwinding of Designated Transactions 

 On or prior to any repayment or prepayment of all or part of the Loan (including, without limitation, pursuant to clauses 4.2, 4.3, 4.4 or 8.2.1), the Borrowers shall upon the request of the Swap Provider
wholly or partially reverse, offset, unwind, cancel, close out, net out or otherwise terminate one or more of the continuing Designated Transactions so that the notional principal amount of the continuing Designated Transactions thereafter remaining
does not and will not in the future (taking into account the scheduled amortisation) exceed the amount of the Loan as reducing from time to time thereafter pursuant to clause 4.1. 

  
 31 

	5	Commitment commission, fees and expenses 

  

	5.1	Fees 

 The Borrowers shall
pay to the Facility Agent: 
  

	5.1.1	on the date of this Agreement, for distribution to KEXIM, an arrangement fee of $822,400; 

 

	5.1.2	on the date of this Agreement for its account an arrangement fee of $308,400; 

 

	5.1.3	on the date of this Agreement and on each of the days falling at 12 monthly intervals thereafter, an agency fee of $30,000; 

 

	5.1.4	for the account of each Lender, on the date of this Agreement and on each of the dates falling at three (3) monthly interval thereafter up to and including the
last day of the final Drawdown Period, commitment commission computed from the date of this Agreement (in the case of the first payment of commission) and from the due date of the preceding payment of commission (in the case of each subsequent
payment) at the rate of one point zero eight per cent. (1.08%) per annum on the daily undrawn and uncancelled amount of the Commitments of such Lender. 

 The fees referred to in sub-clauses 5.1.1 to 5.1.3 and the commitment commission referred to in sub-clause 5.1.4 shall be payable by the Borrowers to the Facility Agent whether or not any of the
Commitments of the Lenders are advanced and shall be, in each case, non-refundable. 
  

	5.2	Expenses 

 The Borrowers
shall pay to the Facility Agent (for the account of the applicable Finance Parties) on a full indemnity basis on demand all expenses (including legal, printing and out-of-pocket expenses) incurred by the Finance Parties or any of them: 

 

	5.2.1	in connection with the negotiation, preparation, execution and, where relevant, registration of the Security Documents and of any amendment or extension of or the
granting of any waiver or consent under, any of the Security Documents and the syndication of the Loan; and 

  

	5.2.2	in contemplation of, or otherwise in connection with, the enforcement of, or preservation of any rights under, any of the Security Documents, or otherwise in respect of
the moneys owing under any of the Security Documents, 

 together with interest at the rate referred to in clause
3.4 from the date on which such expenses were incurred to the date of payment (as well after as before judgment). 
  

	5.3	Value added tax 

 All fees
and expenses payable pursuant to this clause 5 shall be paid together with value added tax or any similar tax (if any) properly chargeable thereon. Any value added tax chargeable in respect of any services supplied by the Finance Parties or any of
them under this Agreement, or any other Security Document shall, on delivery of the value added tax invoice, be paid in addition to any sum agreed to be paid hereunder. 
  

	5.4	Stamp and other duties 

The Borrowers shall pay all stamp, documentary, registration or other like duties or Taxes (including, but without limitation, any duties
or Taxes payable by, or assessed on, any of the Finance Parties) imposed on or in connection with any of the Transaction Documents, the Security Documents or the Loan and shall indemnify each of the Finance Parties against any liability arising by
reason of any delay or omission by the Borrowers to pay such duties or Taxes. 

  
 32 

	6	Payments and taxes; accounts and calculations 

  

	6.1	No set-off or counterclaim; distribution to the Lenders 

 The Borrowers acknowledge that in performing their obligations under this Agreement, the Lenders will be incurring liabilities to third parties in relation to the funding of amounts to the Borrowers, such
liabilities matching the liabilities of the Borrowers to the Lenders and that it is reasonable for the Lenders to be entitled to receive payments from the Borrowers gross on the due date in order that each of the Lenders is put in a position to
perform its matching obligations to the relevant third parties. Accordingly, all payments to be made by the Borrowers under any of the Security Documents shall be made in full, without any set-off or counterclaim whatsoever and, subject as provided
in clause 6.7, free and clear of any deductions or withholdings, in Dollars (except for costs, charges or expenses which shall be paid in the currency in which they are incurred) on the due date to the account of the Facility Agent at such bank in
such place as the Facility Agent may from time to time specify for this purpose. Save for payments which are for the account of the Swap Provider and save as otherwise provided in this Agreement or any relevant Security Documents, such payments
shall be for the account of all Lenders and the Facility Agent shall distribute such payments in like funds as are received by the Facility Agent to the Lenders rateably in accordance with their respective Commitments (if prior to the first
drawdown) or Contributions (if following the first drawdown), as the case may be. 
  

	6.2	Payment by the Lenders 

All sums to be advanced by the Lenders to the Borrowers under this Agreement shall be remitted in Dollars on the relevant Drawdown Date
(or earlier) to the account of the Facility Agent at ABN AMRO Bank N.V., Swift Code: FTSBNL2R, Account No. 63 70 70 34 27 41 of ABNAMRO, Rotterdam, Reference: “For further credit/acc.no. 25.11.89.694 / Loan DryShips” or at such other
bank as the Facility Agent may have notified to the Lenders and shall be paid by the Facility Agent on such date in like funds as are received by the Facility Agent to the account or accounts specified in the relevant Drawdown Notice. The Borrowers
acknowledge that any amounts paid to the account of the Builder shall constitute amounts advanced to the Borrowers as part of the relevant Ship Tranche or, as the case may be, Ship Tranches. 

 

	6.3	Non-Banking Days 

 When
any payment under any of the Security Documents would otherwise be due on a day which is not a Banking Day, the due date for payment shall be extended to the next following Banking Day unless such Banking Day falls in the next calendar month in
which case payment shall be made on the immediately preceding Banking Day. 
  

	6.4	Facility Agent may assume receipt 

 Where any sum is to be paid under this Agreement to the Facility Agent for the account of another person, the Facility Agent may assume that the payment will be made when due and may (but shall not be
obliged to) make such sum available to the person so entitled. If it proves to be the case that such payment was not made to the Facility Agent, then the person to whom such sum was so made available shall on request refund such sum to the Facility
Agent together with interest thereon sufficient to compensate the Facility Agent for the cost of making available such sum up to the date of such repayment and the person by whom such sum was payable shall indemnify the Facility Agent for any and
all loss or expense which the Facility Agent may sustain or incur as a consequence of such sum not having been paid on its due date. 
  

	6.5	Calculations 

 All
interest and other payments of an annual nature under any of the Security Documents shall accrue from day to day and be calculated on the basis of actual days elapsed and a three hundred and sixty (360) day year. 

  
 33 

	6.6	Certificates 

 Any
certificate or determination of the Facility Agent or the Security Trustee or any Lender or the Swap Provider as to any rate of interest, rate of exchange or any other amount pursuant to and for the purposes of any of the Security Documents shall in
the absence of manifest error, be conclusive and binding on the Borrowers and (in the case of a certificate or determination by the Facility Agent or the Security Trustee) on the other Finance Parties. 

 

	6.7	Grossing-up for Taxes 

  

	6.7.1	If at any time the Borrowers or any of them are required to make any deduction or withholding in respect of Taxes from any payment due under any of the Security
Documents for the account of any Finance Party (or if the Facility Agent or the Security Trustee is required to make any deduction or withholding from a payment to another Finance Party or withholding in respect of Taxes from any payment due under
any of the Security Documents), the sum due from the Borrowers or any of them in respect of such payment shall be increased to the extent necessary to ensure that, after the making of such deduction or withholding, the relevant Finance Party
receives on the due date for such payment (and retains, free from any liability in respect of such deduction or withholding), a net sum equal to the sum which it would have received had no such deduction or withholding been required to be made and
the Borrowers shall indemnify each Finance Party against any losses or costs incurred by it by reason of any failure of the Borrowers or any of them to make any such deduction or withholding or by reason of any increased payment not being made on
the due date for such payment. The Borrowers shall promptly pay to the relevant tax authorities each amount so deducted or withheld and deliver to the Facility Agent any receipts, certificates or other proof evidencing the amounts (if any) paid or
payable in respect of any deduction or withholding as aforesaid. 

  

	6.7.2	For the avoidance of doubt, clause 6.6.1 does not apply in respect of sums due from the Borrowers to the Swap Provider under or in connection with the Master Swap
Agreement as to which sums the provisions of Section 2(d) (Deduction or Withholding for Tax) of the Master Swap Agreement shall apply. 

  

	6.8	Bank account 

 Each Lender
shall maintain, in accordance with its usual practice, an account or accounts evidencing the amounts from time to time lent by, owing to and paid to it under the Security Documents. The Facility Agent shall maintain a control account showing the
Loan, each Advance, Ship Tranche and other sums, owing by the Borrowers under the Security Documents and all payments in respect thereof being made from time to time. The control account shall, in the absence of manifest error, be conclusive as to
the amount from time to time owing by the Borrowers under the Security Documents. 
  

	6.9	Partial payments 

 If the
Facility Agent receives a payment for application against amounts due under any of the Security Documents that is insufficient to discharge all the amounts then due and payable by the Security Parties under those Security Documents, the Facility
Agent shall apply that payment towards the obligations of such Security Parties under those Security Documents in the following order: 
  

	6.9.1	first, in or towards payment, on a pro-rata basis, of any unpaid costs and expenses of the Facility Agent and the Security Trustee under any of the Security Documents;

  

	6.9.2	secondly, in or towards payment, on a pro rata basis, of any fees and accrued commitment commission payable to the Arrangers, the Facility Agent or any of the other
Finance Parties under, or in relation to, the Security Documents which remain unpaid; 

  

	6.9.3	 thirdly, in or towards payment to the Lenders, on a prorata basis, of any accrued interest which shall have become due under any of the Security
Documents; 

  
 34 

	6.9.4	fourthly, payment to the Lenders, on a prorata basis, of any amount of principal which shall have become due under any of the Security Documents but remains unpaid;

  

	6.9.5	fifthly, in or towards payment to the Lenders, on a pro rata basis, for any loss suffered by reason of any such payment in respect of principal not being effected on an
Interest Payment Date relating to the part of the Loan repaid; 

  

	6.9.6	sixthly, payment to the Swap Provider of any sums owing to it under the Master Swap Agreement; and 

 

	6.9.7	seventhly, in or towards payment to the relevant person of any other sum which shall have become due under any of the Security Documents but remains unpaid (and, if
more than one such sum so remains unpaid, on a pro rata basis). 

 The order of application set out in clauses
6.9.1 - 6.9.6 may be varied by the Facility Agent if all Lenders so direct, without any reference to, or consent or approval from, the Borrowers or any other Finance Party. 

 

	7	Representations and warranties 

  

	7.1	Continuing representations and warranties 

 The Borrowers jointly and severally represent and warrant to each Finance Party that: 
  

	7.1.1	Due incorporation 

 each of the
Borrowers and each of the other Security Parties is duly incorporated and validly existing in good standing under the laws of its country of incorporation as a Marshall Islands corporation, has no centre of main interests, permanent establishment or
place of business (apart from its registered office in the Republic of the Marshall Islands) in the Republic of the Marshall Islands, the United Kingdom or the United States of America and has power to carry on its business as it is now being
conducted and to own its property and other assets; 
  

	7.1.2	Corporate power 

 each of the
Borrowers has power to execute, deliver and perform its obligations under the Transaction Documents and the relevant Borrowers’ Security Documents to which it is or is to be a party and to borrow the Total Commitments and each of the other
Security Parties has power to execute and deliver and perform its obligations under the Security Documents to which it is or is to be a party; all necessary corporate, shareholder and other action has been taken to authorise the execution, delivery
and performance of the same and no limitation on the powers of any Borrower to borrow will be exceeded as a result of borrowings under this Agreement; 
  

	7.1.3	Binding obligations 

 the
Transaction Documents and the Security Documents to which they are respectively a party constitute or will, when executed, constitute valid and legally binding obligations of the relevant Security Parties enforceable in accordance with their
respective terms; 
  

	7.1.4	No conflict with other obligations 

 the execution and delivery of, the borrowing of the Total Commitments and the performance of their respective obligations under, and compliance with the provisions of, the Transaction Documents and the
Security Documents to which they are respectively a party by the relevant Security Parties will not (i) contravene any existing applicable law, statute, rule or regulation or any judgment, decree or permit to which any of the Borrowers or any
other Security Party is subject, (ii) conflict with, or result in any breach of any of the terms of, or constitute a default under, any agreement or other instrument to which any of the Borrowers or any other Security Party is a party or is
subject or by which it or any of its property is bound, (iii) contravene or 

  
 35 

 
conflict with any provision of the constitutional documents of any of the Borrowers or any other Security Party or (iv) result in the creation or imposition of or oblige any of the Borrowers
or any other Security Party to create any Encumbrance (other than a Permitted Encumbrance) on any of the undertakings, assets, rights or revenues of any of the Borrowers or any other Security Party; 

 

	7.1.5	No litigation 

 no litigation,
arbitration or administrative proceeding is taking place, pending or, to the knowledge of the officers of any of the Borrowers, threatened against any of the Borrowers or any other Security Party (except the Manager) or any other member of the Group
which could have a Material Adverse Effect; 
  

	7.1.6	No filings required 

 save for
the registration of the Mortgages in the relevant register under the laws of the relevant Flag State through the relevant Registry, it is not necessary to ensure the legality, validity, enforceability or admissibility in evidence of any of the
Transaction Documents or any of the Security Documents that they or any other instrument be notarised, filed, recorded, registered or enrolled in any court, public office or elsewhere in any Relevant Jurisdiction or that any stamp, registration or
similar tax or charge be paid in any Relevant Jurisdiction on or in relation to any of the Transaction Documents or the Security Documents and each of the Transaction Documents and the Security Documents is in proper form for its enforcement in the
courts of each Relevant Jurisdiction; 
  

	7.1.7	Choice of law 

 the choice of
English law to govern the Transaction Documents and the Security Documents (other than the Mortgages and the Account Pledges), the choice of (i) the laws Malta to govern each Mortgage and (ii) Dutch law to govern each Account Pledge, and
the submissions by the Security Parties to the non-exclusive jurisdiction of the English courts or (in the case of the Account Pledges) the courts of The Netherlands, are valid and binding; 

 

	7.1.8	No immunity 

 none of the
Borrowers nor any other Security Party nor any of their respective assets is entitled to immunity on the grounds of sovereignty or otherwise from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to
judgement, execution or other enforcement); 
  

	7.1.9	Financial statements correct and complete 

 unaudited consolidated financial statements of the DryShip Guarantor in respect of the financial half-year ended on 30 June 2011 as delivered to the Bank have been prepared in accordance with
generally accepted accounting principles and practices in the United States of America which have been consistently applied and present fairly and accurately the Group as at such date and the consolidated results of the operations of the Group for
the financial year ended on such date and, as at such date, neither the Borrowers nor the Guarantors nor any other member of the Group had any significant liabilities (contingent or otherwise) or any unrealised or anticipated losses which are not
disclosed by, or reserved against or provided for in, such financial statements; 
  

	7.1.10	Consents obtained 

 every
consent, authorisation, licence or approval of, or registration with or declaration to, governmental or public bodies or authorities or courts required by any Security Party to authorise, or required by any Security Party in connection with, the
execution, delivery, validity, enforceability or admissibility in evidence of each of the Transaction Documents and each of the Security Documents to which it is or is to be a party or the performance by each Security Party of its obligations under
the Security Documents or the Transaction Documents 

  
 36 

 
to which it is or is to be a party, has been obtained or made and is in full force and effect and there has been no default in the observance of any of the conditions or restrictions (if any)
imposed in, or in connection with, any of the same; 
  

	7.1.11	Shareholdings 

  

	 	(a)	each Borrower is a wholly-owned direct Subsidiary of the relevant Shareholder; 

 

	 	(b)	each Shareholder is a wholly-owned indirect Subsidiary of the Olympian Asclepius Guarantor; 

 

	 	(c)	Olympian Asclepius Guarantor is a wholly-owned indirect Subsidiary of the Dryships Guarantor; and 

 

	 	(d)	the Manager is legally and/or beneficially owed by such persons as has been advised to the Facility Agent in the negotiations of this Agreement;

  

	7.1.12	Borrowers’ own account 

 in
relation to the borrowing by each Borrower of the Loan, the performance and discharge of its obligations and liabilities under the Security Documents and the transactions and other arrangements effected or contemplated by the Security Documents to
which such Borrower is a party, it is acting for its own account and that the foregoing will not involve or lead to a contravention of any law, official requirement or other regulatory measure or procedure which has been implemented to combat
“money laundering” (as defined in Article 1 of the Directive 2005/60/EC of the European Parliament and of the Council of the European Union of 26 October 2005); and 

 

	7.1.13	Compliance with laws and regulations 

 each Borrower, each Guarantor and the Manager is in compliance with the terms and conditions of all laws, regulations, agreements, licenses and concessions material to the carrying on of its business
(including in relation to Taxation). 
  

	7.2	Initial representations and warranties 

 The Borrowers jointly and severally further represent and warrant to each of the Finance Parties that: 
  

	7.2.1	Pari passu 

 the obligations of
each Borrower under the Security Documents and the obligations of each Guarantor under the relevant Guarantee are direct, general and unconditional obligations of such Borrower and such Guarantor, respectively and rank at least pari passu with all
other present and future unsecured and unsubordinated Indebtedness of such Borrower other than those obligations that are mandatorily preferred by law and not by contract; 

 

	7.2.2	No default under other Indebtedness 

 none of the Borrowers nor any other Security Party (except the Manager) nor any of their respective Related Parties is (nor would with the giving of notice or lapse of time or the satisfaction of any
other condition or combination thereof be) in breach of or in default under any agreement relating to Indebtedness to which it is a party or by which it may be bound; 
  

	7.2.3	Information 

 the information,
exhibits and reports furnished by or on behalf of any Security Party to the Finance Parties or any of them in connection therewith or with the negotiation and preparation of the Security Documents are true and accurate in all material respects and
not misleading and all expressions of opinion contained therein genuinely reflect the opinions of the directors 

  
 37 

 
and senior management of such Borrower and are based on reasonable assumptions; do not omit material facts and all reasonable enquiries have been made to verify the facts and statements contained
therein; there are no other facts the omission of which would make any fact or statement therein misleading; 
  

	7.2.4	No withholding Taxes 

 no Taxes
are imposed by withholding or otherwise on any payment to be made by any Security Party (except the Manager) under the Transaction Documents or the Security Documents to which such Security Party (except the Manager) is or is to be a party or are
imposed on or by virtue of the execution or delivery by the Security Parties (except the Manager) of the Transaction Documents or the Security Documents or any other document or instrument to be executed or delivered under any of the Security
Documents; 
  

	7.2.5	No Default 

 no Default has
occurred which is continuing; 
  

	7.2.6	Copies true and complete 

 the
copies of the Charters (if any), the Shipbuilding Contracts and the Management Agreements delivered or to be delivered to the Facility Agent pursuant to clause 9.1 are, or will when delivered be, true and complete copies of such documents; such
documents will when delivered constitute valid and binding obligations of the parties thereto enforceable in accordance with their terms and there will have been no amendments or variations thereof or defaults thereunder; 

 

	7.2.7	The Ships 

 each Ship will, on
the Drawdown Date of an Advance relevant to such Ship, be: 
  

	 	(a)	in the absolute ownership of the relevant Borrower who will, on and after such Drawdown Date, be the sole, legal and beneficial owner of such Ship;

  

	 	(b)	registered through the offices of the relevant Registry as a ship under the laws and flag of the relevant Flag State; 

 

	 	(c)	operationally seaworthy and in every way fit for service; and 

  

	 	(d)	classed with the relevant Classification free of all requirements and recommendations of the relevant Classification Society; 

 

	7.2.8	Ships’ employment 

 save for
the Pool Documents, no Ship is nor will, on or before the Drawdown Date of an Advance relevant to such Ship, be subject to any charter or contract or to any agreement to enter into any charter or contract which, if entered into after the date of the
relevant Ship Security Documents would have required the consent of the Facility Agent or, as the context may require, the Security Trustee and, on or before the Drawdown Date of an Advance relevant to such Ship, there will not be any agreement or
arrangement whereby the Earnings of such Ship may be shared with any other person; 
  

	7.2.9	Freedom from Encumbrances 

 no
Ship, nor its Earnings, Insurances or Requisition Compensation nor any of the Accounts nor any other properties or rights which are, or are to be, the subject of any of the Security Documents nor any part thereof will be, on the Drawdown Date of an
Advance relevant to such Ship, subject to any Encumbrance (other than any Permitted Encumbrances); 

  
 38 

	7.2.10	Compliance with Environmental Laws and Approvals 

 except as may already have been disclosed by the Borrowers in writing to, and acknowledged in writing by, the Facility Agent: 

 

	 	(a)	the Borrowers and the other Relevant Parties and their respective Environmental Affiliates have complied with the provisions of all Environmental Laws;

  

	 	(b)	the Borrowers and the other Relevant Parties and their respective Environmental Affiliates have obtained all Environmental Approvals and are in compliance with all such
Environmental Approvals; and 

  

	 	(c)	none of the Borrowers nor any other Relevant Party nor any of their respective Environmental Affiliates has received notice of any Environmental Claim that the
Borrowers or any other Relevant Party or any such Environmental Affiliate is not in compliance with any Environmental Law or any Environmental Approval; 

  

	7.2.11	No Environmental Claims 

 except
as may already have been disclosed by the Borrowers in writing to, and acknowledged in writing by, the Facility Agent, there is no Environmental Claim pending or threatened against any of the Borrowers or any of the Ships or any other Relevant Party
or any other Relevant Ship or any of their respective Environmental Affiliates; 
  

	7.2.12	No potential Environmental Claims 

except as may already have been disclosed by the Borrowers in writing to, and acknowledged in writing by, the Facility Agent, there has
been no emission, spill, release or discharge of a Pollutant from any of the Ships or any other Relevant Ship which could give rise to an Environmental Claim; 
  

	7.2.13	No material adverse change 

there has been no material adverse change in the financial position or the business of any Security Party (except the Manager) or any
other member of the Group, from that described by or on behalf of the Borrowers to the Finance Parties or any of them in the negotiation of this Agreement; 
  

	7.2.14	DOC and SMC 

 on the Drawdown
Date of an Advance relevant to a Ship, the Operator will have a DOC for itself and an SMC in respect of such Ship; and 
  

	7.2.15	ISPS Code 

 on the Drawdown Date
of an Advance relevant to a Ship, the relevant Borrower will have a valid and current ISSC in respect of such Ship and such Ship shall be in compliance with the ISPS Code. 

 

	7.3	Repetition of representations and warranties 

 On and as of each Drawdown Date and (except in relation to the representations and warranties in clause 7.2) on each Interest Payment Date the Borrowers shall: 

 

	7.3.1	be deemed to repeat the representations and warranties in clauses 7.1 and 7.2 as if made with reference to the facts and circumstances existing on such day (and so
that: 

  

	 	(a)	the representation and warranty in clause 7.1.9 shall for this purpose refer to the then latest audited financial statements delivered to the Facility Agent under
clause 8.1; and 

  
 39 

	 	(b)	following the Listing Date, the representation and warranty in clause 7.1.11(c) shall for this purpose read as follows: 

“the Dryships Guarantor is the largest indirect beneficial owner of the Olympian Asclepius Guarantor and controls the Olympian
Asclepius Guarantor;”);and 
  

	7.3.2	be deemed to further represent and warrant to each of the Finance Parties that the then latest audited financial statements delivered to the Facility Agent by the
Borrowers (if any) have been prepared in accordance with generally accepted international accounting principles which have been consistently applied and present fairly and accurately the consolidated financial position of the Group and the financial
position of the Borrowers, respectively, as at the end of the financial period to which the same relate and the consolidated results of the operations of the Group and the results of the operations of the Borrowers, respectively, for the financial
period to which the same relate and, as at the end of such financial period, neither the Borrowers nor the Guarantors nor any other member of the Group had any significant liabilities (contingent or otherwise) or any unrealised or anticipated losses
which are not disclosed by, or reserved against or provided for in, such financial statements. 

  

	8	Undertakings 

  

	8.1	General 

 The Borrowers
jointly and severally undertake with each of the Finance Parties that throughout the Security Period and while all or any part of the Total Commitments remains outstanding, they will: 

 

	8.1.1	Notice of Default 

 promptly upon
becoming aware of the same inform the Facility Agent and the Lenders of any occurrence which might adversely affect the ability of any Security Party to perform its obligations under any of the Security Documents or the Transaction Documents to
which it is or is to be a party and, without limiting the generality of the foregoing, will inform the Facility Agent and the Lenders of any Default forthwith upon becoming aware thereof and will from time to time, if so requested by the Facility
Agent and the Lenders, confirm to the Facility Agent and the Lenders in writing that, save as otherwise stated in such confirmation, no Default has occurred and is continuing; 

 

	8.1.2	Consents and licences; compliance with laws and regulations 

  

	 	(a)	without prejudice to clauses 7.1 and 9, obtain or cause to be obtained, maintain in full force and effect and comply in all material respects with the conditions and
restrictions (if any) imposed in, or in connection with, every consent, authorisation, licence or approval of governmental or public bodies or authorities or courts and do, or cause to be done, all other acts and things which may from time to time
be necessary or desirable under applicable law for the continued due performance of all the obligations of the Security Parties under each of the Security Documents and the Transaction Documents; and 

 

	 	(b)	comply and will procure that each Guarantor will comply, with the terms and conditions of all laws, regulations, agreements, licences and concessions material to the
carrying out of its business; 

  

	8.1.3	Use of proceeds 

 use each
Advance exclusively for the purpose specified in clause 1.1; 
  

	8.1.4	Pari passu 

 ensure that their
obligations under this Agreement shall, without prejudice to the provisions of clause 8.3, at all times rank at least pari passu with all its other present and future unsecured and unsubordinated Indebtedness with the exception of any obligations
which are mandatorily preferred by law and not by contract; 

  
 40 

	8.1.5	Financial statements and valuations 

  

	 	(a)	prepare or cause to be prepared consolidated financial statements of each Guarantor in accordance with generally accepted accounting principles in the United States of
America consistently applied in respect of each financial year (namely, each 12-month period ending on 31 December of each calendar year) and cause the same to be reported on by the auditors and prepare unaudited consolidated financial
statements of each Guarantor on the same basis as the annual statements in respect of the first half-year of each financial year (namely, each 6-month period ending on 30 June of each calendar year) and, in each case, deliver as many copies of
the same as the Facility Agent and the Lenders may reasonably require as soon as practicable but not later than: 

  

	 	(i)	in the case of audited financial statements, one hundred and eighty (180) days after the end of the financial period to which they relate (namely, not later than
30 June of each calendar year); or 

  

	 	(ii)	in the case of unaudited financial statements, ninety (90) days after the end of the financial period to which they relate (namely, not later than
30 September of each calendar year); and 

  

	 	(b)	deliver or cause to be delivered to the Facility Agent and the Lenders a valuation of each Fleet Vessel (as defined in each Guarantee) prepared in accordance with, and
in the manner specified in, clause 5.3.3 of each Guarantee, each time when any audited and/or unaudited consolidated financial statements of a Guarantor are delivered to the Facility Agent and the Lenders in accordance with clause 8.1.5(a) and
clause 5.1 of each Guarantee; 

  

	8.1.6	Delivery of reports 

 deliver to
the Facility Agent sufficient copies for all the Lenders of every report, circular, notice or like document issued by any Relevant Party (except the Manager) to its shareholders or creditors generally; 

 

	8.1.7	Provision of further information 

  

	 	(a)	provide the Facility Agent with such financial or other information concerning any Borrower, the other Security Parties (except the Manager) and any other member of the
Group and their respective affairs as the Facility Agent or any Lender (acting through the Facility Agent) may from time to time reasonably require and keep the Facility Agent advised regularly of all major financial developments in relation to the
Borrowers, the other Security Parties (except the Manager) and the Group including, without prejudice to the generality of the foregoing, any vessel sales or purchases and any new borrowings; and 

 

	 	(b)	provide the Facility Agent and each Lender with all assistance, support, information and methods reasonably required by any of them at any time in order to:

  

	 	(i)	achieve successful syndication of the facility made available under this Agreement and to prepare an information memorandum (the accuracy of which will be warranted by
the Borrowers) for the purpose of achieving such syndication; and/or 

  

	 	(ii)	achieve a successful securitisation or any other similar transaction involving this Agreement and the other Security Documents, 

  
 41 

 and in doing so the Borrowers shall ensure that: 

 

	 	(1)	senior management members and directors of each Guarantor and any other member of the Group participate in any relevant presentations made by the Facility Agent or a
Lender to third parties; 

  

	 	(2)	any syndication or securitisation effort by the Facility Agent or the Lenders benefits from the existing banking relationships of the Group; and

  

	 	(3)	any materials provided in accordance with this clause 8.1.7(b) include, without limitation, information relating to the business plans, asset valuations, disposals and
other such information pertaining to each Guarantor or the Group, its business, affairs and its assets as may be reasonably requested by the Facility Agent and/or any Lender provided however that no such information shall be requested or disclosed
(A) if such disclosure would constitute a breach of any applicable laws or regulations of any stock exchange, or (B) if such disclosure would be of a commercially sensitive nature the public disclosure of which would be prejudicial to the
interests of the Borrowers of the Guarantors; 

  

	8.1.8	Know your customer information 

deliver to the Facility Agent such documents and evidence as the Facility Agent shall from time to time require relating to the
verification of identity and knowledge of the Facility Agent’s or any Lenders’ or the Swap Provider’s customers and the compliance by the Facility Agent or any Lenders or the Swap Provider with all necessary “know your
customer” or similar checks, always on the basis of applicable laws and regulations or the Facility Agent’s or any Lenders’ or any Swap Provider’s own internal guidelines, in each case as such laws, regulations or internal
guidelines apply from time to time; 
  

	8.1.9	Obligations under Security Documents 

 and will procure that each of the other Security Parties will, duly and punctually perform each of the obligations expressed to be assumed by it under the Security Documents and the Transaction Documents
to which it is a party; 
  

	8.1.10	Compliance with ISM Code 

 and
will procure that any Operator will, comply with and ensure that the Ships and any Operator complies with the requirements of the ISM Code, including (but not limited to) the maintenance and renewal of valid certificates pursuant thereto throughout
the Security Period; 
  

	8.1.11	Withdrawal of DOC and SMC 

 and
will procure that any Operator will, immediately inform the Facility Agent if there is any threatened or actual withdrawal of such Operator’s DOC or the SMC in respect of any of the Ships; 

 

	8.1.12	Issuance of DOC and SMC 

 and
will procure that any Operator will, promptly inform the Facility Agent upon the issue to any of the Borrowers or any Operator of a DOC and to any of the Ships of an SMC or the receipt by any of the Borrowers or any Operator of notification that its
application for the same has been refused; 
  

	8.1.13	ISPS Code compliance 

 and will
procure that the Manager or any Operator will: 
  

	 	(a)	from the Drawdown Date of an Advance relevant to a Ship and at all times thereafter, maintain a valid and current ISSC in respect of that Ship;

  
 42 

	 	(b)	immediately notify the Facility Agent in writing of any actual or threatened withdrawal, suspension, cancellation or modification of the ISSC in respect of a Ship; and

  

	 	(c)	procure that from the Drawdown Date of an Advance relevant to a Ship and at all times thereafter, that Ship complies with the ISPS Code; 

 

	8.1.14	Charters 

 advise the Facility
Agent and the Lenders promptly of any Charter and (a) forthwith after its execution deliver a certified copy of each such Charter to the Facility Agent and the Lenders, (b) forthwith following demand by the Facility Agent and the Lenders
execute in favour of the Security Trustee a Charter Assignment and any notice of assignment required in connection therewith and procure the service of any such notice of assignment on the relevant Charterer attaching the form of acknowledgment by
the relevant Charterer, (c) forthwith procure the acknowledgement of such notice by the relevant Charterer (including, but without limitation, legal opinions regarding the valid execution and binding effect thereof) and (d) pay all legal
and other costs incurred by the Facility Agent or any other Finance Party in connection with any such Charter Assignments, notice of assignment and the acknowledgement thereof; and 

 

	8.1.15	Securitisation 

 do all such acts
or execute all such documents as the Facility Agent or a Lender may reasonably specify for achieving a successful securitisation or other similar transaction in respect of this Agreement. Any costs incurred by a third party in connection with this
clause 8.1.15 shall be for the account of the Finance Parties. 
  

	8.2	Security value maintenance 

  

	8.2.1	Security shortfall 

 If at any
time the Security Value shall be less than the Security Requirement, the Facility Agent may, and acting on the instructions of the Lenders shall, give notice to the Borrowers requiring that such deficiency be remedied and then the Borrowers shall
within a period of fourteen (14) days of receipt by the Borrowers of the Facility Agent’s notice either: 
  

	 	(a)	prepay such sum in Dollars as will result in the Security Requirement after such prepayment (taking into account any other repayment of the Loan made between the date
of the notice and the date of such prepayment) being equal to the Security Value; or 

  

	 	(b)	constitute to the satisfaction of the Facility Agent such further security for the Loan and any moneys owing under the Master Swap Agreement as shall be acceptable to
the Facility Agent having a value for security purposes (as determined by the Facility Agent in its absolute discretion) at the date upon which such further security shall be constituted which, when added to the Security Value, shall not be less
than the Security Requirement as at such date. 

 The provisions of clauses 4.5 and 4.6 shall apply to prepayments
under clause 8.2.1(a). 
  

	8.2.2	Valuation of Mortgaged Ships 

Each of the Mortgaged Ships shall, for the purposes of this Agreement, be valued in Dollars as and when the Facility Agent (acting on the
instructions of the Majority Lenders) shall require by any two Approved Brokers selected by the Borrowers and acceptable to the Facility Agent or, failing such selection by the Borrowers or acceptance by the Facility Agent, appointed by the Facility
Agent in its sole discretion. Each such valuation shall be addressed to the Facility Agent and the Lenders and made without, unless required by the Facility Agent, physical inspection and on the basis of a sale for prompt delivery for cash at
arm’s length on normal commercial terms as between a willing buyer and a willing seller without taking into account the benefit of any charterparty or other engagement concerning such Mortgaged Ship. The arithmetic mean of such two
(2) valuations shall constitute the value of such Mortgaged Ship for the purposes of this clause 8.2. 

  
 43 

 The value of each Mortgaged Ship determined in accordance with the provisions of this clause
8.2 shall be binding upon the parties hereto until such time as any such further valuation shall be obtained. 
  

	8.2.3	Information 

 The Borrowers
undertake with the Finance Parties to supply to the Facility Agent and to the relevant Approved Brokers such information concerning the Ships and their condition as such Approved Brokers may require for the purpose of making any such valuation.

  

	8.2.4	Costs 

 All costs in connection
with the Facility Agent or, as the case may be, the Borrowers obtaining the valuation of the Ships referred to in clause 8.2.2 once per calendar year, any valuation of the Fleet Vessels referred to in clause 8.1.5(b), the valuations of the Ships
referred to in schedule 4 part 2 and any valuation either of any additional security for the purposes of ascertaining the Security Value at any time or necessitated by the Borrowers electing to constitute additional security pursuant to clause
8.2.1(b), shall be borne by the Borrowers Provided however that following an Event of Default, the cost of any and all valuations obtained pursuant to clause 8.2.2 shall be borne by the Borrowers. 

 

	8.2.5	Valuation of additional security 

For the purposes of this clause 8.2, the market value of any additional security provided or to be provided to the Lenders pursuant to
clause 8.2.1(b) shall only be taken into account by the Facility Agent in its absolute discretion if and when: 
  

	 	(a)	that additional security, its value and the method of its valuation have been approved by the Lenders; 

 

	 	(b)	an Encumbrance over that security has been constituted in favour of the Security Trustee or (if appropriate) the Finance Parties in an approved form and manner;

  

	 	(c)	this Agreement has been unconditionally amended in such manner as the Facility Agent requires in consequence of that additional security being provided; and

  

	 	(d)	the Facility Agent, or its duly authorised representative, has received such documents and evidence it may reasonably require in relation to that amendment and
additional security including documents and evidence of the type referred to in Schedule 4 in relation to that amendment and additional security and its execution and (if applicable) registration 

Provided however that if such additional security is in the form of cash deposits in Dollars and such cash deposits are free from
Encumbrances, full credit shall be given for cash on “Dollar for Dollar” basis. 
  

	8.2.6	Documents and evidence 

 In
connection with any additional security provided in accordance with this clause 8.2, the Facility Agent shall be entitled to receive such evidence and documents of the kind referred to in Schedule 4 that it believes are appropriate and such
favourable legal opinions as the Facility Agent shall in its absolute discretion require. 

  
 44 

	8.3	Negative undertakings 

Each Borrower undertakes with each of the Finance Parties that throughout the Security Period and while all or any part of the Total
Commitments remains outstanding, it will not, without the prior written consent of the Facility Agent acting on the instructions of the Lenders (such consent not to be unreasonably withheld in the case of clauses 8.3.16 and 8.3.17): 

 

	8.3.1	Negative pledge 

 permit any
Encumbrance (other than a Permitted Encumbrance) to subsist, arise or be created or extended over all or any part of its present or future undertakings, assets, rights or revenues to secure or prefer any present or future Indebtedness or other
liability or obligation of any Relevant Party (except the Manager) or any other person; or 
  

	8.3.2	No merger 

 merge or consolidate
with any person or enter into any amalgamation, demerger or corporate reconstruction or redomiciliation of any type; or 
  

	8.3.3	Other business 

 undertake any
business other than the ownership and operation of the relevant Ship and the chartering of such Ship; or 
  

	8.3.4	Disposals 

 sell, transfer,
abandon, lend or otherwise dispose of or cease to exercise direct control over any part of its present or future undertaking, assets, rights or revenues whether by one or a series of transactions related or not; or 

 

	8.3.5	Acquisitions 

 acquire any
further assets other than the relevant Ship and rights arising under contracts entered into by or on behalf of such Borrower in the ordinary course of its business of owning, operating and chartering such Ship; or 

 

	8.3.6	Other obligations 

 incur any
obligations except for obligations arising under the relevant Transaction Documents or the Security Documents or contracts entered into in the ordinary course of its business of owning, operating and chartering the relevant Ship; or 

 

	8.3.7	No borrowing 

 incur any Borrowed
Money except for Borrowed Money pursuant to the Security Documents; or 
  

	8.3.8	Repayment of borrowings 

 repay
or prepay the principal of, or pay interest on or any other sum in connection with any of its Borrowed Money except for Borrowed Money pursuant to the Security Documents; or 

 

	8.3.9	Guarantees 

 issue any guarantees
or indemnities or otherwise become directly or contingently liable for the obligations of any person, firm, or corporation except pursuant to the Security Documents and except for guarantees or indemnities from time to time required in the ordinary
course by any protection and indemnity or war risks association with which the relevant Ship is entered, guarantees required to procure the release of such Ship from any arrest, detention, attachment or levy or guarantees or undertakings required
for the salvage of such Ship; or 

  
 45 

	8.3.10	Loans 

 make any loans or grant
any credit (save for normal trade credit in the ordinary course of business) to any person or agree to do so; or 
  

	8.3.11	Sureties 

 permit any
Indebtedness of such Borrower to any person (other than the Finance Parties pursuant to the Security Documents) to be guaranteed by any person (save for guarantees or indemnities from time to time required in the ordinary course by any protection
and indemnity or war risks association with which the relevant Ship is entered and guarantees required to procure the release of such Ship from any arrest, detention, attachment or levy or guarantees or undertakings required for the salvage of such
Ship); or 
  

	8.3.12	Share capital and distribution 

purchase or otherwise acquire for value any shares of its capital or declare or pay any dividends or distribute any of their present or
future assets, undertakings, rights or revenues to its Shareholder Provided however that each Borrower shall be entitled to declare or pay cash dividends to its Shareholder if no Default has occurred and is continuing at the time of declaration or
payment of such dividends, nor would a Default result from the declaration or payment of such dividends; or 
  

	8.3.13	Designated Transactions 

 enter
into any derivative transactions other than Designated Transactions; or 
  

	8.3.14	Subsidiaries 

 form or acquire
any Subsidiaries; or 
  

	8.3.15	Shareholdings: 

  

	 	(a)	change, cause or permit any change in, the legal ownership of any of the shares in any of the Borrowers or the Shareholders from that specified in clause 7.1.11;

  

	 	(b)	change, or permit any change in the legal and/or ultimate beneficial ownership of the Manager from that specified in clause 7.1.11; or 

 

	 	(c)	change, cause or permit any change in, the legal and/or beneficial ownership of the shares in the Olympian Asclepius Guarantor from that specified in clause 7.1.11,
provided that following the Listing Date, so long as the Dryships Guarantor remains the largest indirect beneficial owner of the Olympian Asclepius Guarantor and controls the Olympian Asclepius Guarantor, any other changes to the legal and/or
beneficial ownership of the shares in the Olympian Asclepius Guarantor are hereby permitted; or 

  

	8.3.16	Constitutional documents 

permit, cause or agree to any amendment or variation of their respective constitutional documents or any change of their respective
corporate name; or 
  

	8.3.17	Auditors and financial year 

change their auditors from those existing on the date of this Agreement or change their financial year end. 

  
 46 

	8.4	Insurance undertakings 

The Borrowers jointly and severally undertake with each of the Finance Parties that from the Delivery Date of each Ship and throughout the
remaining of the Security Period thereafter, they will: 
  

	8.4.1	Insured risks, amounts and terms 

insure and keep such Ship insured free of cost and expense to the Finance Parties and in the sole name of the relevant Borrower or, if so
required by the Security Trustee, in the joint names of the relevant Borrower and the Security Trustee (but without liability on the part of the Security Trustee for premiums or calls): 

 

	 	(a)	against fire and usual marine risks (including, without limitation, hull and machinery, interest and excess risks) and war risks, on an agreed value basis, in such
amounts (but not in any event less than whichever shall be the greater of (A) the market value of such Ship for the time being (as most recently determined by the Facility Agent pursuant to clause 8.2.2) and (B) the amount in Dollars
which, when aggregated with the equivalent insurance of the other Ships, shall be at least equal to one hundred and thirty per cent (130%) of the aggregate of (a) the Loan and (b) the Swap Exposure and upon such terms as shall from
time to time be approved in writing by the Facility Agent; 

  

	 	(b)	against protection and indemnity risks (including pollution risks for the highest amount in respect of which cover is or may become available for ships of the same
type, size, age and flag as such Ship and a freight, demurrage and defence cover) for the full value and tonnage of such Ship (as approved in writing by the Facility Agent) and upon such terms as shall from time to time be approved in writing by the
Facility Agent; 

  

	 	(c)	against loss of earnings in such amounts and upon such terms as shall from time to time be approved in writing by the Facility Agent; and 

 

	 	(d)	in respect of such other matters of whatsoever nature and howsoever arising in respect of which insurance would be maintained by a prudent owner of such Ship,

 and pay to the Facility Agent the cost (as conclusively certified by the Facility Agent) of (1) any
mortgagee’s interest insurance (including mortgagee’s additional perils (all P&I risks) coverage) which a Finance Party may from time to time effect in respect of such Ship upon such terms in such amounts (but not in any event less
than the amount in Dollars which, when aggregated with the equivalent insurance of the other Ships, shall be at least equal to one hundred and twenty per cent (120%) of the aggregate of (a) the Loan and (b) the Swap Exposure as such
Finance Party shall deem desirable and (2) any other insurance cover which a Finance Party may from time to time effect in respect of the Ship and/or in respect of its interest or potential third party liability as a Finance Party, as such
Finance Party shall deem desirable having regard to any limitations in respect of amount or extent of cover which may from time to time be applicable to any of the other insurances referred to in this clause 8.4.1; 

 

	8.4.2	Approved insurance brokers, insurers and associations 

 effect the insurances aforesaid in such currency as the Facility Agent may approve and through the relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by the
Lenders and with such insurance companies and/or underwriters as shall from time to time be approved in writing by the Facility Agent; provided however that the insurances against war risks and protection and indemnity risks may be effected by the
entry of such Ship with such war risks and protection and indemnity associations as shall from time to time be approved in writing by the Facility Agent; 

  
 47 

	8.4.3	Fleet liens, set-off and cancellation 

 if any of the insurances referred to in clause 8.4 form part of a fleet cover, procure that the relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by the
Lenders shall undertake to the Security Trustee that they shall neither set off against any claims in respect of the relevant Mortgaged Ship any premiums due in respect of other vessels under such fleet cover or any premiums due for other
insurances, nor cancel the insurances for reason of non-payment of premiums for other vessels under such fleet cover or of premiums for such other insurances, and shall undertake to issue a separate policy in respect of the relevant Mortgaged Ship
if and when so requested by the Security Trustee; 
  

	8.4.4	Payment of premiums and calls 

punctually pay all premiums, calls, contributions or other sums payable in respect of all such insurances and produce all relevant
receipts or other evidence of payment when so required by the Security Trustee or the Facility Agent; 
  

	8.4.5	Renewal 

 at least fourteen
(14) days before the relevant policies, contracts or entries expire, notify the Facility Agent or, as the case may be, the Security Trustee and the Lenders of the names of the brokers and/or the war risks and protection and indemnity
associations proposed to be employed by the relevant Borrower or any other party for the purposes of the renewal of such insurances and of the amounts in which such insurances are proposed to be renewed and the risks to be covered and, subject to
compliance with any requirements of the Facility Agent or, as the case may be, the Security Trustee and the Lenders pursuant to this clause 8.4.5, procure that appropriate instructions for the renewal of such Insurances on the terms so specified are
given to the relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by the Lenders and/or to the approved war risks and protection and indemnity associations at least ten (10) days before the relevant
policies, contracts or entries expire, and that the relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by the Lenders and/or the approved war risks and protection and indemnity associations will at least
seven (7) days before such expiry (or within such shorter period as the Facility Agent may from time to time agree) confirm in writing to the Facility Agent or, as the case may be, the Security Trustee and the Lenders as and when such renewals
have been effected in accordance with the instructions so given; 
  

	8.4.6	Guarantees 

 arrange for the
execution and delivery of such guarantees or indemnities as may from time to time be required by any protection and indemnity or war risks association; 
  

	8.4.7	Hull policy documents, notices, loss payable clauses and brokers’ undertakings 

deposit with the relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by the Lenders (or
procure the deposit of) all slips, cover notes, policies, certificates of entry or other instruments of insurance from time to time issued in connection with such of the insurances referred to in clause 8.4.1 above as are effected through the
relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by the Lenders and procure that the interest of the Security Trustee shall be endorsed thereon by incorporation of the relevant Loss Payable Clause and,
where the Insurances have been assigned to the Security Trustee, by means of a notice of assignment of the Insurances of such Ship (signed by the relevant Borrower and by any other assured who shall have assigned its interest in such Insurances to
the Security Trustee) and that the Security Trustee shall be furnished with pro forma copies thereof and a letter or letters of undertaking from the relevant firm of insurance brokers appointed by the Borrowers and previously approved in writing by
the Lenders in such form as shall from time to time be required by the Security Trustee; 

  
 48 

	8.4.8	Associations’ loss payable clauses, undertakings and certificates 

 procure that any protection and indemnity and/or war risks associations in which such Ship is for the time being entered shall endorse the relevant Loss Payable Clause on the relevant certificate of entry
or policy and shall furnish the Security Trustee or the Facility Agent with a copy of such certificate of entry or policy and a letter or letters of undertaking in such form as shall from time to time be required by the Security Trustee; 

 

	8.4.9	Extent of cover and exclusions 

take all necessary action and comply with all requirements which may from time to time be applicable to the Insurances of such Ship
(including, without limitation, the making of all requisite declarations within any prescribed time limits and the payment of any additional premiums or calls) so as to ensure that such Insurances are not made subject to any exclusions or
qualifications to which the Facility Agent has not given its prior written consent and are otherwise maintained on terms and conditions from time to time approved in writing by the Facility Agent; 

 

	8.4.10	Correspondence with brokers and associations 

 provide to the Facility Agent, at the time of each material communication, copies of all material written communications between the relevant Borrower and the relevant firm of insurance brokers applied by
the Borrowers and previously approved in writing by the Lenders and approved war risks and protection and indemnity associations which relate to compliance with requirements from time to time applicable to the Insurances of such Ship including,
without limitation, all requisite declarations and payments of additional premiums or calls referred to in clause 8.4.4; 
  

	8.4.11	Independent report 

 if so
requested by the Facility Agent and at the cost of the Borrowers, furnish the Facility Agent from time to time with a detailed report signed by an independent firm of marine insurance brokers appointed by the Facility Agent dealing with the
insurances maintained on such Ship and stating the opinion of such firm as to the adequacy thereof; 
  

	8.4.12	Collection of claims 

 do all
things necessary and provide all documents, evidence and information to enable the Security Trustee or, as the case may be, the Facility Agent to collect or recover any moneys which shall at any time become due in respect of the Insurances of such
Ship; 
  

	8.4.13	Employment of Ship 

 not employ
such Ship or suffer such Ship to be employed otherwise than in conformity with the terms of the Insurances (including any warranties express or implied therein) without first obtaining the consent of the relevant insurers to such employment and
complying with such requirements as to extra premium or otherwise as the relevant insurers may prescribe; and 
  

	8.4.14	Application of recoveries 

 apply
all sums receivable under the Insurances for such Ship which are paid to the relevant Borrower in accordance with the relevant Loss Payable Clauses in repairing all damage and/or in discharging the liability in respect of which such sums shall have
been received. 
  

	8.5	Ship undertakings - after Delivery 

 The Borrowers jointly and severally undertake with each of the Finance Parties that from the Delivery Date of each Ship and for the remaining of the Security Period thereafter, they will: 

 

	8.5.1	Ship’s name and registration 

  

	 	(a)	not change the name of such Ship; and 

  
 49 

	 	(b)	keep such Ship registered as a Maltese ship at the Port of Valetta and not register such Ship or permit its registration under any other flag without the prior written
consent of the Facility Agent (acting on the instructions of the Lenders) (such consent not to be unreasonably withheld); and 

  

	 	(c)	not do or suffer to be done anything, or omit to do anything the doing or omission of which could or might result in such registration being forfeited or imperilled or
closed which could or might result in such Ship being required to be registered otherwise than as a Maltese ship at the Port of Valetta; and 

  

	 	(d)	if the said registration of such Ship is for a limited period, to renew the registration of such Ship at least forty-five (45) days prior to the expiry of such
registration and to provide evidence of such renewal to the Facility Agent at least thirty (30) days prior to such expiry; 

  

	8.5.2	Repair 

  

	 	(a)	keep such Ship in a good and efficient state of repair; and 

  

	 	(b)	procure that all repairs to or replacement of any damaged, worn or lost parts or equipment of such Ship are effected in such manner (both as regards workmanship and
quality of materials) as not to diminish the value of such Ship; 

  

	8.5.3	Modification; removal of parts; equipment owned by third parties 

 not, without the prior written consent of the Facility Agent, nor suffer any other person to: 
  

	 	(a)	make any modification to such Ship in consequence of which her structure, type or performance characteristics could or might be materially altered or her value
materially reduced; or 

  

	 	(b)	remove any material part of such Ship or any equipment the value of which is such that its removal from such Ship would materially reduce the value of such Ship without
replacing the same with equivalent parts or equipment which are owned by the relevant Borrower free from Encumbrances; or 

  

	 	(c)	install on such Ship any equipment owned by a third party which cannot be removed without causing damage to the structure or fabric of such Ship;

  

	8.5.4	Maintenance of class; compliance with regulations 

  

	 	(a)	maintain the relevant Classification as the class of such Ship; and 

  

	 	(b)	comply with and ensure that such Ship at all times complies with the provisions of the Maltese Merchant Shipping Act, Cap. 234 and all regulations and requirements
(statutory or otherwise) from time to time applicable to vessels registered at the Port of Valetta or otherwise applicable to such Ship; 

  

	8.5.5	Surveys 

  

	 	(a)	submit such Ship: 

  

	 	(i)	to continuous surveys and such periodical or other surveys as may be required for classification purposes; and 

  
 50 

	 	(ii)	to one (1) survey per calendar year by surveyors appointed by the Facility Agent (on the instructions of the Majority Lenders) at its discretion and at the cost of
the Borrowers; and 

  

	 	(b)	supply to the Facility Agent copies of all survey reports issued in respect thereof; 

 

	8.5.6	Inspection 

  

	 	(a)	ensure that the Security Trustee or, as the case may be, the Facility Agent, by surveyors or other persons appointed by it for such purpose, at the cost of the
Borrowers, may board the relevant Ship at all reasonable times for the purpose of inspecting her; 

  

	 	(b)	afford all proper facilities for such inspections; and 

  

	 	(c)	for this purpose, give the Facility Agent reasonable advance notice of any intended drydocking of such Ship (whether for the purpose of classification, survey or
otherwise); 

  

	8.5.7	Prevention of and release from arrest 

  

	 	(a)	promptly pay and discharge all debts, damages, liabilities and outgoings whatsoever which have given or may give rise to maritime, statutory or possessory liens on, or
claims enforceable against, such Ship, her Earnings or Insurances or any part thereof; and 

  

	 	(b)	in the event of a writ or libel being filed against such Ship, her Earnings or Insurances or any part thereof, or of any of the same being arrested, attached or levied
upon pursuant to legal process or purported legal process or in the event of detention of such Ship in exercise or purported exercise of any such lien or claim as aforesaid, procure the release of such Ship, her Earnings and Insurances from such
arrest, detention, attachment or levy or, as the case may be, the discharge of the writ or libel forthwith upon receiving notice thereof by providing bail or procuring the provision of security or otherwise as the circumstances may require;

  

	8.5.8	Employment 

  

	 	(a)	not employ such Ship or permit her employment in any manner, trade or business which is forbidden by international law, or which is otherwise unlawful or illicit under
the law of any relevant jurisdiction, or in carrying illicit or prohibited goods, or in any manner whatsoever which may render her liable to condemnation in a prize court, or to destruction, seizure, confiscation, penalty or sanctions; and

  

	 	(b)	in the event of hostilities in any part of the world (whether war be declared or not): 

 

	 	(i)	not employ such Ship or permit her employment in carrying any contraband goods; or 

 

	 	(ii)	not enter or trade to or continue to trade her in any zone which is a trading area prohibited by the Flag State of such Ship or by such Ship’s war risks insurers
unless the prior written consent of the Facility Agent is obtained and such special insurance cover as the Facility Agent may require shall have been effected by the relevant Borrower and at its expense; 

 

	8.5.9	Information 

 promptly furnish
the Facility Agent and the Lenders with all such information as it may from time to time reasonably require regarding such Ship, her employment, position and engagements, particulars of all towages and salvages, and copies of all charters and other
contracts for her employment or otherwise howsoever concerning her; 

  
 51 

	8.5.10	Notification of certain events 

notify the Facility Agent forthwith by facsimile thereafter confirmed by letter of: 

 

	 	(a)	any damage to such Ship requiring repairs the cost of which will or might exceed the relevant Casualty Amount; 

 

	 	(b)	any occurrence in consequence of which such Ship has or may become a Total Loss; 

 

	 	(c)	any requisition of such Ship for hire; 

  

	 	(d)	any requirement or recommendation made by any insurer or the relevant Classification Society or by any competent authority which is not, or cannot be, complied with in
accordance with its terms; 

  

	 	(e)	any arrest or detention of such Ship or any exercise or purported exercise of a lien or other claim on such Ship or her Earnings or Insurances or any part thereof;

  

	 	(f)	any petition or notice of meeting to consider any resolution to wind-up the relevant Borrower (or any event analogous thereto under the laws of the place of its
incorporation); 

  

	 	(g)	the occurrence of any Default; 

  

	 	(h)	the occurrence of any Environmental Claim against the relevant Borrower, such Ship, any other Relevant Party or any other Relevant Ship or any incident, event or
circumstances which may give rise to any such Environmental Claim; 

  

	 	(i)	any collision or salvage involving any Ship; or 

  

	 	(j)	any industrial injury on board any Ship (where the claim is for an amount which is reaonalby expected to exceed the Casualty Amount); 

 

	8.5.11	Payment of outgoings and evidence of payments 

  

	 	(a)	promptly pay all tolls, dues and other outgoings whatsoever in respect of such Ship and her Earnings and insurances; and 

 

	 	(b)	keep proper books of account in respect of such Ship and her Earnings; and 

 

	 	(c)	as and when the Facility Agent may so require, make such books available for inspection on behalf of the Facility Agent; and 

 

	 	(d)	furnish satisfactory evidence that the wages and allotments and the insurance and pension contributions of the Master and crew of such Ship are being promptly and
regularly paid and that all deductions from crew’s wages in respect of any applicable tax liability are being properly accounted for and that the Master has no claim for disbursements other than those incurred by him in the ordinary course of
trading on the voyage then in progress; 

  

	8.5.12	Encumbrances 

 not, without the
prior written consent of the Facility Agent (and then only subject to such conditions as the Facility Agent may impose), create or purport or agree to create or permit to arise or subsist any Encumbrance (other than Permitted Liens) over or in
respect of such Ship, any share or interest therein or in her Insurances, Earnings or Requisition Compensation or any part thereof or interest therein other than to or in favour of the Security Trustee; 

  
 52 

	8.5.13	Sale or other disposal 

 not,
without the prior written consent of the Facility Agent (and then only subject to such terms and conditions as the Facility Agent may impose), sell, agree to sell, transfer, abandon or otherwise dispose of such Ship or any share or interest therein;

  

	8.5.14	Chartering 

 save for the Pool
Documents, not, without the prior written consent of the Facility Agent (acting on the instructions of the Lenders) (which the Facility Agent shall have full liberty to withhold) and, if such consent is given, only subject to such conditions as the
Facility Agent may impose, let such Ship: 
  

	 	(a)	on demise charter for any period; 

  

	 	(b)	by any time or consecutive voyage charter for a term which exceeds or which by virtue of any optional extensions therein contained may exceed twelve
(12) months’ duration; 

  

	 	(c)	on terms whereby more than two (2) months’ hire (or the equivalent) is payable in advance; or 

 

	 	(d)	below the market rate prevailing at the time when such Ship is fixed or other than on arms’ length terms; 

 

	8.5.15	Sharing of Earnings 

 save for
the Pool Documents, not, without the prior written consent of the Facility Agent (and then only subject to such conditions as the Facility Agent may impose), enter into any agreement or arrangement, whereby the Earnings of such Ship may be shared
with any other person; 
  

	8.5.16	Payment of Earnings 

  

	 	(a)	procure that the Earnings of such Ship are paid to the relevant Operating Account pursuant to the provisions of clause 14; and 

 

	 	(b)	procure that the Earnings of such Ship are paid to the Facility Agent at all times if and when the same shall be or shall have become so payable after the Facility
Agent shall have directed pursuant to clause 2.2.1 of the relevant Deed of Covenant that the same are no longer receivable by the relevant Borrower and that any such Earnings which are so payable and which are in the hands of such Borrowers’
brokers or agents are duly accounted for and paid over to the Facility Agent forthwith on demand; 

  

	8.5.17	Repairers’ liens 

 not,
without the prior written consent of the Facility Agent, put such Ship into the possession of any person for the purpose of work being done upon her in an amount exceeding or likely to exceed the relevant Casualty Amount unless such person shall
first have given to the Facility Agent in terms satisfactory to it, a written undertaking not to exercise any lien on such Ship or her Earnings for the cost of such work or otherwise; 

 

	8.5.18	Notice of Mortgage 

  

	 	(a)	place and at all times and places retain a properly certified copy of the relevant Mortgage and the relevant Deed of Covenant (which shall form part of the relevant
Ship’s documents) on board such Ship with her papers and cause such certified copy of such Mortgage and Deed of Covenant to be exhibited to any and all persons having business with such Ship which might create or imply any commitment or
encumbrance whatsoever on or in respect of such Ship (other than a lien for crew’s wages and salvage) and to any representative of the Security Trustee or, as the case may be, of the Facility Agent; and 

  
 53 

	 	(b)	place and keep prominently displayed in the navigation room and in the Master’s cabin of the relevant Ship a framed printed notice in plain type reading as
follows: 

 “NOTICE OF MORTGAGE 

This Ship is subject to a first priority mortgage and deed of covenant in favour of ABN AMRO Bank N.V. Under the said mortgage and deed
of covenant neither the Owner nor any charterer nor the Master of this Ship nor any other person has any right, power or authority to create, incur or permit to be imposed upon this Ship any commitments or encumbrances or any lien whatsoever other
than for crew’s wages and salvage”; 
 and in terms of the said notice it is hereby agreed that save and subject as
otherwise herein provided, neither the relevant Borrower nor any charterer nor the Master of such Ship nor any other person has any right, power or authority to create, incur or permit to be imposed upon such Ship any lien whatsoever other than for
crew’s wages and salvage; 
  

	8.5.19	Conveyance on default 

 where
such Ship is (or is to be) sold in exercise of any power contained in the relevant Deed of Covenant or otherwise conferred on the Security Trustee, execute, forthwith upon request by the Security Trustee, such form of conveyance of such Ship as the
Security Trustee may require; 
  

	8.5.20	Anti-drug abuse 

  

	 	(a)	take all necessary and proper precautions to prevent any infringements of the Anti-Drug Abuse Act of 1986 of the United States of America or any similar legislation
applicable to such Ship in any jurisdiction in or to which such Ship shall be employed or located or trade or which may otherwise be applicable to such Ship and/or the relevant Borrower; and 

 

	 	(b)	if the Facility Agent shall so require, to enter into a “Carrier Initiative Agreement” with the United States Customs and Border Protection and to procure
that such agreement (or any similar agreement hereafter introduced by any Government Entity of the United States of America) is maintained in full force and effect and performed by the relevant Borrower; 

 

	8.5.21	Compliance with Environmental Laws 

  

	 	(a)	comply with, and procure that all their Environmental Affiliates comply with, all Environmental Laws including, without limitation, requirements relating to manning
submission of oil response plans, designations of qualified individuals and establishment of financial responsibility; and 

  

	 	(b)	obtain and comply with, and procure that all their Environmental Affiliates obtain and comply with, all Environmental Approvals; 

 

	8.5.22	Manager 

 not, without the prior
written consent of the Facility Agent (which shall not be withheld on the grounds of beneficial ownership if the new manager to be appointed has the same beneficial ownership as the Manager but, which for the avoidance of doubt, can be withheld on
other grounds), appoint any person to carry out the commercial and/or technical management of such Ship other than the Manager or terminate the relevant Management Agreement or vary or amend the terms thereof; 

  
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	8.5.23	Injunction order 

 or procure
that the relevant Borrower will, appear, if and when requested by the Security Trustee or, as the case may, the Facility Agent, before the relevant courts of the Republic of Malta and consent to an injunction order restraining such Borrower from
selling, transferring, mortgaging or in any other way charging or dealing in its Ship pursuant to Section 37 of the Maltese Merchant Shipping Act, Cap. 234; 
  

	8.5.24	Section 45A of the Maltese Merchant Shipping Act, Cap. 234 

 procure that the relevant Borrower will execute, whenever required by the Security Trustee or, as the case may be, the Facility Agent, an instrument of mortgage amending its Mortgage in terms of
Section 45A of the Maltese Merchant Shipping Act, Cap. 234; 
  

	8.5.25	Resident agent 

 Each appoint and
maintain throughout the Security Period a resident agent in terms of the Merchant Shipping (Ships Eligible for Registration) Regulations 2009; 
  

	8.5.26	Compliance 

 ensure that such
Ship and the relevant Borrower at all times complies with the provisions of the Merchant Shipping Act, Cap. 234, and with all regulations and requirements (statutory or otherwise) from time to time applicable to vessels registered at the Port of
Valletta or otherwise applicable to such Ship and/or such Borrower; and 
  

	8.5.27	Status 

  

	 	(a)	maintain such Ship’s qualification as a ‘tonnage tax ship’ in terms of the Merchant Shipping Act, Cap. 234; and 

 

	 	(b)	(inter alia) file all necessary returns and/or accounts with the competent Maltese Authorities so as not to render the income of such Ship subject to any such tax or
duty; and 

  

	 	(c)	when so qualified as an “tonnage tax ship”, not imperil or lose such status for any reason whatsoever. 

 

	8.6	Ship undertakings - Construction period 

 Each Borrower undertakes that this clause 8.6 will be complied with in relation to each Ship and its Shipbuilding Contract throughout the period from the date of this Agreement until the earlier of the
Delivery of such Ship and the end of the Security Period and agrees: 
  

	8.6.1	Performance of Shipbuilding Contracts 

 to duly and punctually observe and perform all the conditions and obligations imposed on it by the Shipbuilding Contracts; 
  

	8.6.2	Performance by Builder 

 to use
its best endeavours to ensure that the Builder performs its obligations under the Shipbuilding Contracts and builds the Ships diligently; 
  

	8.6.3	Progress and information 

 upon
the Facility Agent’s reasonable request, to advise the Facility Agent of the progress of construction of the Ships and supply the Facility Agent with such other information as the Facility Agent may require about the construction of the Ships
or the Shipbuilding Contracts; 

  
 55 

	8.6.4	Arbitration under Shipbuilding Contracts 

 to promptly notify the Lenders: 
  

	 	(a)	if any party begins an arbitration under the Shipbuilding Contracts; 

  

	 	(b)	of the identity of the arbitrators; and 

  

	 	(c)	of the conclusion of the arbitration and the terms of any arbitration award; 

 

	8.6.5	Notification of certain events 

to notify the Lenders immediately if either party cancels, rescinds, repudiates or otherwise terminates the Shipbuilding Contracts (or
purports to do so) or rejects the Ships (or purports to do so) or if the Ships become a Total Loss or partial loss or are materially damaged or if a dispute arises under the Shipbuilding Contracts; 

 

	8.6.6	Ship’s registration and mortgage 

 that the relevant Owner will, immediately upon its Delivery, duly execute (and deliver to the Facility Agent) the Mortgage of that Ship and register that Ship and the relevant Mortgage with the relevant
Registry under the laws and flag of the relevant Flag State; 
  

	8.6.7	Sale or other disposal 

 except
with approval of the Lenders, the relevant Borrower will not dispose of the Ship or any share or interest in it or its rights under the relevant Shipbuilding Contract or agree to do so. 

 

	8.6.8	Variations 

 except with approval
of the Lenders (such approval not to be unreasonably withheld): 
  

	 	(a)	a Shipbuilding Contract shall not be varied; and 

  

	 	(b)	the specification of the Ship will not be changed in a substantial way. 

 For this purpose, ordering any extras, additions or alterations will be a substantial change and a material variation if their cost (or if the aggregate cost of the proposed work together with the cost of
any additional work already ordered or change of specification already agreed) will alter the relevant Contract Price by a cumulative amount greater than two per cent (2%) of the original said Contract Price; and 

 

	8.6.9	Releases and waivers 

 Except
with approval, there shall be no release of the Builder from any of its obligations under the Building Contract, no waiver of any breach of such obligations and no consent to anything which would otherwise be such a breach. 

 

	9	Conditions 

  

	9.1	Documents and evidence 

 The
obligation of each Lender to make its Commitment in respect of a Ship available shall be subject to the condition that: 
  

	9.1.1	the Facility Agent and the Lenders, or their duly authorised representative, shall have received, not later than two (2) Banking Days before the day on which the
Drawdown Notice is given in respect of the first Advance under this Agreement, the documents and evidence specified in Part 1 of Schedule 4 in form and substance satisfactory to the Facility Agent and the Lenders; and 

  
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	9.1.2	the Facility Agent and the Lenders, or their duly authorised representative, shall have received, on or prior to the Drawdown Date of each Advance relating to such
Ship, the documents and evidence specified in Part 2 of Schedule 4 in form and substance satisfactory to the Facility Agent and the Lenders. 

  

	9.2	General conditions precedent 

 The obligation of each Lender to contribute to any Advance relating to it shall be subject to the further conditions that, at the time of the giving of the relevant Drawdown Notice and on the relevant
Drawdown Date: 
  

	9.2.1	the representations and warranties contained in clauses 7.1 (and so that the representation and warranty in clause 7.1.9 shall for this purpose refer to the then latest
audited financial statements delivered to the Security Trustee under clause 8.1) and 7.2 and clauses 4.1 of each of the Guarantees (and so that the representation and warranty in clause 4.1.6 of the Dryships Guarantee shall for this purpose refer to
the then latest audited financial statements delivered to the Security Trustee under clause 5.1 of the relevant Guarantee) and 4.2 are true and correct on and as of each such time as if each was made with respect to the facts and circumstances
existing at such time; and 

  

	9.2.2	no Default shall have occurred and be continuing or would result from the making of such Advance. 

 

	9.3	Waiver of conditions precedent 

 The conditions specified in this clause 9 are inserted solely for the benefit of the Lenders and may be waived on their behalf in whole or in part and with or without conditions by the Facility Agent
acting on the instructions of the Lenders in respect of the first or any Advance without prejudicing the right of the Facility Agent acting on such instructions to require fulfilment of such conditions in whole or in part in respect of any other
Advance. 
  

	9.4	Further conditions precedent 

 Not later than five (5) Banking Days prior to each Drawdown Date and to each Interest Payment Date, the Facility Agent acting on the instructions of the Lenders may request and the Borrowers shall,
not later than two (2) Banking Days prior to such date, deliver to the Facility Agent on such request further favourable certificates and/or opinions as to any or all of the matters which are the subject of clauses 7, 8, 9 and 10 and/or clauses
4 and 5 of each Guarantee. 
  

	9.5	Notification 

 The
Facility Agent shall notify the Lenders and the Borrowers promptly upon receipt by it of the documents and evidence referred to in clause 9.1 in form and substance satisfactory to it and shall, if so requested in writing, provide copies of such
documents and evidence to KEXIM. 
  

	10	Events of Default 

  

	10.1	Events 

 There shall be an
Event of Default if: 
  

	10.1.1	Non-payment: any Security Party fails to pay any sum payable by it under any of the Security Documents at the time, in the currency and in the manner stipulated
in the Security Documents (and so that, for this purpose, sums payable on demand shall be treated as having been paid at the stipulated time if paid within three (3) Banking Days of demand); or 

  
 57 

	10.1.2	Master Swap Agreement: (a) an Event of Default or Potential Event of Default (in each case as each such term is defined in the Master Swap Agreement) has
occurred and is continuing with the Borrowers or any of them as the Defaulting Party (as such term is defined in the Master Swap Agreement) under the Master Swap Agreement or (b) an Early Termination Date has occurred or been or become capable
of being effectively designated under the Master Swap Agreement by the Swap Provider or (c) the Master Swap Agreement is terminated, cancelled, suspended, rescinded or revoked or otherwise ceases to remain in full force and effect for any
reason; or 

  

	10.1.3	Breach of Insurance and certain other obligations: (a) any of the Borrowers or, as the case may be, the Manager or any other person fails to obtain and/or
maintain the Insurances for any Mortgaged Ship (in accordance with the requirements of clause 8.4) or (b) if any insurer in respect of such Insurances cancels such Insurances or disclaims liability by reason, in either case, of mis-statement in
any proposal for the Insurances or for any other failure or default on the part of any of the Borrowers or any other person or (c) any of the Borrowers commits any breach of, or omits to observe any of, the obligations or undertakings expressed
to be assumed by them under clauses 8.2, 8.3, 8.4, 8.5 or 8.6 or (d) either Guarantor commits any breach of clause 5.3 of its Guarantee; 

  

	10.1.4	Breach of other obligations: any Security Party commits any breach of or omits to observe any of its obligations or undertakings expressed to be assumed by it
under any of the Security Documents (other than those referred to in clauses 10.1.1 to 10.1.3 above) and, in respect of any such breach or omission which in the opinion of the Facility Agent (acting on the instructions of the Lenders) is capable of
remedy, such action as the Facility Agent (acting on the instructions of the Lenders) may require shall not have been taken within fourteen (14) days of the Facility Agent notifying the relevant Security Party of such default and of such
required action; or 

  

	10.1.5	Misrepresentation: any representation or warranty made or deemed to be made or repeated by or in respect of any Security Party in or pursuant to any of the
Security Documents or in any notice, certificate or statement referred to in or delivered under any of the Security Documents is or proves to have been incorrect or misleading in any material respect; or 

 

	10.1.6	Cross-default: any Indebtedness of any Security Party (except the Manager) or any Subsidiary of the Olympian Asclepius Guarantor is not paid when due or any
Indebtedness of any Security Party (except the Manager) or any Subsidiary of the Olympian Asclepius Guarantor becomes (whether by declaration or automatically in accordance with the relevant agreement or instrument constituting the same) due and
payable prior to the date when it would otherwise have become due (unless as a result of the exercise by the relevant Security Party (except the Manager) of a voluntary right of prepayment), or any creditor of any Security Party (except the Manager)
or any Subsidiary of the Olympian Asclepius Guarantor declares or (except in the case of the DryShips Guarantor) becomes entitled to declare any such Indebtedness due and payable or any facility or commitment available to any Security Party (except
the Manager) or any Subsidiary of the Olympian Asclepius Guarantor relating to Indebtedness is withdrawn, suspended or cancelled by reason of any default (however described) of the person concerned unless the relevant Security Party (except the
Manager) or relevant Subsidiary shall have satisfied the Facility Agent that such withdrawal, suspension or cancellation will not affect or prejudice in any way the ability of the relevant Security Party’s (except the Manager) or the relevant
Subsidiary’s ability to pay its debts as they fall due and fund its commitments, or any guarantee given by any Security Party (except the Manager) or any Subsidiary of the Olympian Asclepius Guarantor in respect of Indebtedness is not honoured
when due and called upon Provided that the following circumstances shall not constitute an Event of Default under this clause 10.1.6: 

  

	 	(a)	the aggregate amount at any time of all Indebtedness of the Dryships Guarantor in relation to which any of the foregoing events shall have occurred, is lower than One
million Dollars ($1,000,000) or its equivalent in the currency in which the same is denominated or payable; or 

  
 58 

	 	(b)	in the case of a guarantee given by the Dryships Guarantor the demand made thereunder by the relevant beneficiary is, in the opinion of the Facility Agent (acting on
the instructions of the Lenders) being contested in good faith by the Dryships Guarantor; or 

  

	10.1.7	Legal process: any judgement or order made against any Security Party (except the Manager) or any other Relevant Party (except the Manager) is not stayed or
complied with within fifteen (15) days or a creditor attaches or takes possession of, or a distress, execution, sequestration or other process is levied or enforced upon or sued out against, any of the undertakings, assets, rights or revenues
of any Security Party (except the Manager) or any other Relevant Party (except the Manager) and is not discharged within fifteen (15) days; or 

  

	10.1.8	Insolvency: any Security Party (except the Manager) or any other Relevant Party (except the Manager) is unable or admits inability to pay its debts as they fall
due; suspends making payments on any of its debts or announces an intention to do so; becomes insolvent; has assets the value of which is less than the value of its liabilities (taking into account contingent and prospective liabilities); or suffers
the declaration of a moratorium in respect of any of its Indebtedness; or 

  

	10.1.9	Reduction or loss of capital: a meeting is convened by any Security Party (except the Manager) or any other Relevant Party (except the Manager) for the purpose
of passing any resolution to purchase, reduce or redeem any of its share capital; 

  

	10.1.10	Winding up: any corporate action, legal proceedings or other procedure or step is taken for the purpose of winding up any Security Party or any other Relevant
Party or an order is made or resolution passed for the winding up of any Security Party or any other Relevant Party or a notice is issued convening a meeting for the purpose of passing any such resolution; or 

 

	10.1.11	Administration: any petition is presented, notice given or other step is taken for the purpose of the appointment of an administrator of any Security Party or
any other Relevant Party or the Facility Agent believes that any such petition or other step is imminent or an administration order is made in relation to any Security Party or any other Relevant Party; or 

 

	10.1.12	Appointment of receivers and managers: any administrative or other receiver is appointed of any Security Party (except the Manager) or any other Relevant Party
(except the Manager) or any part of its assets and/or undertaking or any other steps are taken to enforce any Encumbrance over all or any part of the assets of any Security Party (except the Manager) or any other Relevant Party (except the Manager);
or 

  

	10.1.13	Compositions: any corporate action, legal proceedings or other procedures or steps are taken, or negotiations commenced, by any Security Party (except the
Manager) or any other Relevant Party (except the Manager) or by any of its creditors with a view to the general readjustment or rescheduling of all or part of its indebtedness or to proposing any kind of composition, compromise or arrangement
involving such company and any of its creditors; or 

  

	10.1.14	Analogous proceedings: (i) there occurs in relation to any Security Party (except the Manager) or any other Relevant Party (except the Manager) in any
country or territory in which any of them carries on business or to the jurisdiction of whose courts any part of their assets is subject, any event which, in the reasonable opinion of the Facility Agent, appears in that country or territory to
correspond with, or have an effect equivalent or similar to, any of those mentioned in clauses 10.1.7 or 10.1.13 or any Security Party (except the Manager) or any other Relevant Party (except the Manager) otherwise becomes subject, in any such
country or territory, to the operation of any law relating to insolvency, bankruptcy or liquidation and/or (ii) there occurs in relation to the Manager, in any country or territory in which it carries on business, any event which, in the
reasonable opinion of the Facility Agent, appears in that country or territory to correspond with, or have an effect equivalent or similar to, any of those mentioned in clauses 10.1.10 and 10.1.11 or the Manager otherwise becomes subject in any
country or territory to the operation of any law relating to liquidation; or 

  

	10.1.15	Cessation of business: any Security Party or any other Relevant Party suspends or ceases or threatens to suspend or cease to carry on its business; or

  
 59 

	10.1.16	Seizure: all or a material part of the undertaking, assets, rights or revenues of, or shares or other ownership interests in, any Security Party or any other
Relevant Party are seized, nationalised, expropriated or compulsorily acquired by or under the authority of any government; or 

  

	10.1.17	Invalidity: any of the Security Documents or any of the Transaction Documents shall at any time and for any reason, whether in whole or part, become invalid or
unenforceable or otherwise cease to remain in full force and effect, or if the validity or enforceability of any of the Security Documents or any of the Transaction Documents shall at any time and for any reason be contested by any Security Party or
other party thereto, or if any such Security Party or other party thereto shall deny that it has any, or any further, liability thereunder; or 

  

	10.1.18	Unlawfulness: it becomes impossible or unlawful at any time for any Security Party to fulfil any of the covenants and obligations expressed to be assumed by it
in any of the Security Documents or for any of the Finance Parties to exercise the rights or any of them vested in it under any of the Security Documents or otherwise; or 

 

	10.1.19	Repudiation: any Security Party repudiates any of the Security Documents or any of the Transaction Documents or does or causes or permits to be done any act or
thing evidencing an intention to repudiate any of the Security Documents or any of the Transaction Documents; or 

  

	10.1.20	Encumbrances enforceable: any Encumbrance (other than Permitted Liens) in respect of any of the property (or part thereof) which is the subject of any of the
Security Documents becomes enforceable; or 

  

	10.1.21	Material adverse change: there occurs, in the opinion of the Facility Agent acting on the instructions of the Lenders, a Material Adverse Effect; or

  

	10.1.22	Arrest: any Ship is arrested, confiscated, seized, taken in execution, impounded, forfeited, detained in exercise or purported exercise of any possessory lien or
other claim or otherwise taken from the possession of the relevant Borrower and such Borrower shall fail to procure the release of such Ship within a period of fourteen (14) days thereafter; or 

 

	10.1.23	Registration: the registration of any Ship under the laws and flag of the relevant Flag State is cancelled or terminated without the prior written consent of the
Facility Agent (acting on the instructions of the Lenders) or if such registration of such Ship is not renewed at least thirty (30) days prior to the expiry of such registration; or 

 

	10.1.24	Unrest: the Flag State of any Ship or any Relevant Jurisdiction becomes involved in hostilities or civil war or there is a seizure of power in the Flag State or
any Relevant Jurisdiction by unconstitutional means; or 

  

	10.1.25	Environment: any Security Party and/or any other Relevant Party and/or any of their respective Environmental Affiliates fails to comply with any Environmental
Law or any Environmental Approval or any of the Ships or any other Relevant Ship is involved in any incident which gives rise or may give rise to an Environmental Claim; or 

 

	10.1.26	P&l: any Borrower or the Manager or any other person fails or omits to comply with any requirements of the protection and indemnity association or other
insurer with which any of the Ships is entered for insurance or insured against protection and indemnity risks (including oil pollution risks) to the effect that any cover relative to any of the Ships (including, without limitation, any cover in
respect of liability for Environmental Claims arising in jurisdictions where any such Ship operates or trades) is or may be liable to cancellation, qualification or exclusion at any time; or 

 

	10.1.27	 Licenses etc.: any license, authorisation, consent or approval at any time necessary to enable any Security Party to comply with its obligations
under the Security Documents or the Transaction Documents or to enable the operation of any of the Ships, is revoked or withheld or modified or is otherwise not granted or fails to remain in full force and effect or if any

  
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exchange control or other law or regulation shall exist which would make any transaction under the Security Documents or the Transaction Documents, or the continuation thereof, unlawful or would
prevent the performance by any Security Party of any term of the Security Documents or the Transaction Documents; or 

  

	10.1.28	Shareholdings: 

  

	 	(a)	a Borrower ceases to be a wholly-owned direct Subsidiary of the relevant Shareholder; or 

 

	 	(b)	each Shareholder ceases to be a wholly-owned indirect Subsidiary of the Olympian Asclepius Guarantor; or 

 

	 	(c)	until the Listing Date, the Olympian Asclepius Guarantor ceases to be a wholly-owned Subsidiary of the Dryships Guarantor; and, after the Listing Date, the Dryships
Guarantor ceases to be the largest beneficial owner of the Olympian Asclepius Guarantor or ceases to control the Olympian Asclepius Guarantor at any relevant time; or 

 

	 	(d)	the Manager ceases to be legally and/or beneficially owned by such persons as have been advised to the Facility Agent in the negotiations of this Agreement;

  

	10.1.29	Accounts: moneys are withdrawn from any of the Accounts other than in accordance with clause 14; or 

 

	10.1.30	Listing: following the Listing Date, the shares of the Olympian Asclepius Guarantor are delisted or suspended from, or cease to trade (whether temporarily or
permanently) on, the stock exchange where such shares are listed at such time; or 

  

	10.1.31	Repayment of Commercial Lenders Advance: without prejudice to clause 10.1.1, any Commercial Lenders Advance is not repaid in full by the last Repayment Date
thereof; or 

  

	10.1.32	Manager: an event set forth in any of clauses 10.1.6, 10.1.7, 10.1.8, 10.1.9, 10.1.12, 10.1.13 or 10.1.14 occurs in relation to the Manager, unless the Manager
is replaced as manager of each of the Ships by a person and on terms approved in writing by the Facility Agent (on instructions from the Lenders) within thirty (30) days following the occurrence of the relevant event. 

 

	10.2	Acceleration 

 The
Facility Agent may, and if so requested (i) while ABN AMRO Bank N.V. is the only Commercial Lender, by the Lenders, (ii) if ABN AMRO Bank N.V. is not a Commercial Lender or is not the only Commercial Lender, by the Majority Lenders or
(iii) in relation to clause 10.1.31 only, at all times and whether or not ABN AMRO BANK N.V. is a Commercial Lender, by the Commercial Lenders shall, at any time after the happening of an Event of Default by notice to the Borrowers declare
that: 
  

	10.2.1	the obligation of each Lender to make available its Commitment for a Ship shall be terminated, whereupon the Total Commitments for all Ships shall be reduced to zero
forthwith; and/or 

  

	10.2.2	the Loan and all interest and commitment commission accrued and all other sums payable under the Security Documents have become due and payable, whereupon the same
shall, immediately or in accordance with the terms of such notice, become due and payable, provided always that before sending any notice to the Borrowers in relation to clause 10.1.31, the Facility Agent has given prior notice to the Lenders
in this respect. 

  

	10.3	Demand basis 

 If,
pursuant to clause 10.2.2, the Facility Agent declares the Loan to be due and payable on demand, the Facility Agent may (and if so instructed by the Lenders or, as the context may 

  
 61 

 
require, the Majority Lenders or, in relation to a declaration made pursuant to clause 10.2.2 because of a request by the Commercial Lenders in respect of clause 10.1.31, the Commercial Lenders,
shall) at anytime by written notice to the Borrowers (i) call for repayment of the Loan on such date as may be specified whereupon the Loan shall become due and payable on the date so specified together with all interest and commitment
commission accrued and all other sums payable under this Agreement or (ii) withdraw such declaration with effect from the date specified in such notice. 
  

	10.4	Position of Swap Provider 

Neither the Facility Agent nor the Security Trustee shall be obliged, in connection with any action taken or proposed to be taken under or
pursuant to the foregoing provisions of this clause 10, to have any regard to the requirements of the Swap Provider except to the extent that the Swap Provider is also a Lender, the requirements of the Swap Provider as a Lender. 

 

	11	Indemnities 

  

	11.1	Miscellaneous indemnities 

The Borrowers shall on demand, indemnify each Finance Party, without prejudice to any of such Finance Party’s other rights under any
of the Security Documents, against any cost, liability or loss (including loss of Margin) or expense which such Finance Party shall certify as sustained or incurred by it as a consequence of: 

 

	11.1.1	any default in payment by any Security Party of any sum under any of the Security Documents when due; 

 

	11.1.2	the occurrence of any other Event of Default; 

  

	11.1.3	any prepayment or reduction of the Loan or part thereof being made under clauses 4.2, 4.3, 4.4, 8.2.1 or 12.1, or any other repayment or prepayment of the Loan or part
thereof being made otherwise than on an Interest Payment Date relating to the part of the Loan prepaid or repaid; or 

  

	11.1.4	any Advance not being made for any reason (excluding any default by any Finance Party) after the Drawdown Notice for such Advance has been given; or

  

	11.1.5	the Borrowers becoming obliged to repay any Ship Tranche in accordance with clause 2.7.3, 

including, in any such case, but not limited to, any loss or expense sustained or incurred by the relevant Finance Party in maintaining or
funding its Contribution or, as the case may be, Commitment or any part thereof or in liquidating or re-employing deposits from third parties acquired to effect or maintain its Contribution or, as the case may be, Commitment or any part thereof or
in terminating or reversing or otherwise in connection with, any interest rate and/or currency swap or other derivative transaction or other arrangement entered into by a Finance Party (whether with another legal entity or with another office or
department of such Finance Party) to hedge any exposure arising under this Agreement or in terminating, reversing, or otherwise in connection with, any open position arising under this Agreement, or any other amount owing to such Finance Party.

  

	11.2	Indemnity to the Facility Agent and Security Trustee 

 The Borrowers shall promptly indemnify the Facility Agent and Security Trustee against any cost, loss, liability or expense incurred by the Facility Agent and/or the Security Trustee as a consequence of:

  

	11.2.1	investigating any event which it reasonably believes is a Default; or 

  

	11.2.2	acting or relying on any notice, request or instruction which it reasonably believes to be genuine, correct and appropriately authorised. 

  
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	11.3	Currency indemnity 

 If
any sum due from the Borrowers or any of them under any of the Security Documents or any order or judgement given or made in relation thereto has to be converted from the currency (the “first currency”) in which the same is payable
under the relevant Security Document or under such order or judgement into another currency (the “second currency”) for the purpose of (a) making or filing a claim or proof against the Borrowers or any of them,
(b) obtaining an order or judgement in any court or other tribunal or (c) enforcing any order or judgement given or made in relation to any of the Security Documents, the Borrowers shall indemnify and hold harmless each of the Finance
Parties from and against any loss suffered as a result of any difference between (i) the rate of exchange used for such purpose to convert the sum in question from the first currency into the second currency and (ii) the rate or rates of
exchange at which any of the Finance Parties may in the ordinary course of business purchase the first currency with the second currency upon receipt of a sum paid to it in satisfaction, in whole or in part, of any such order, judgement, claim or
proof. Any amount due from the Borrowers under this clause 11.2 shall be due as a separate debt and shall not be affected by judgement being obtained for any other sums due under or in respect of any of the Security Documents and the term “rate
of exchange” includes any premium and costs of exchange payable in connection with the purchase of the first currency with the second currency. 
  

	11.4	Environmental indemnity 

The Borrowers shall indemnify each of the Finance Parties on demand and hold each of the Finance Parties harmless from and against all
costs, expenses, payments, charges, losses, demands, liabilities, actions, proceedings (whether civil or criminal), penalties, fines, damages, judgements, orders, sanctions or other outgoings of whatever nature which may be suffered, incurred or
paid by, or made or asserted against such Finance Party at any time, whether before or after the repayment in full of principal and interest under this Agreement, relating to, or arising directly or indirectly in any manner or for any cause or
reason whatsoever out of an Environmental Claim made or asserted against such Finance Party if such Environmental Claim would not have been, or been capable of being, made or asserted against such Finance Party if it had not entered into any of the
Security Documents and/or exercised any of its rights, powers and discretions thereby conferred and/or performed any of its obligations thereunder and/or been involved in any of the transactions contemplated by the Security Documents. 

 

	11.5	Central Bank or European Central Bank reserve requirements indemnity 

 The Borrowers shall on demand promptly indemnify each Lender against any cost incurred or loss suffered by such Lender as a result of its complying with the minimum reserve requirements of the European
Central Bank and/or with respect to maintaining required reserves with the relevant national Central Bank to the extent that such compliance relates to the Lender’s Commitment or Contribution or deposits obtained by it to fund or maintain the
whole or part of its Contribution and such cost or loss is not recoverable by such Lender under clause 12.2. 
  

	12	Unlawfulness and increased costs 

  

	12.1	Unlawfulness 

 If it is or
becomes contrary to any law or regulation for any Lender to contribute to an Advance relevant to such Lender or to maintain its Commitment or fund its Contribution, such Lender shall promptly, through the Facility Agent, give notice to the Borrowers
whereupon (a) such Lender’s Commitment shall be reduced to zero and (b) the Borrowers shall be obliged to prepay the Contribution of such Lender either (i) forthwith or (ii) on a future specified date not being later than
the earliest date permitted by the relevant law or regulation together with interest and commitment commission accrued to the date of prepayment and all other sums payable by the Borrowers to such Lender under this Agreement and/or the Master Swap
Agreement. 

  
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	12.2	Increased costs 

 If the
result of any change in, or in the interpretation or application of, or the introduction of, any Capital Adequacy Law or of compliance by a Lender with any Capital Adequacy Law, is to: 

 

	12.2.1	subject any Lender to Taxes or change the basis of Taxation of any Lender with respect to any payment under any of the Security Documents (other than Taxes or Taxation
on the overall net income, profits or gains of such Lender imposed in the jurisdiction in which its principal or lending office under this Agreement is located); and/or 

 

	12.2.2	increase the cost to, or impose an additional cost on, the Lender or its holding company in making or keeping such Lender’s Commitment available or maintaining or
funding all or part of such Lender’s Contribution; and/or 

  

	12.2.3	reduce the amount payable or the effective return to any Lender under any of the Security Documents; and/or 

 

	12.2.4	reduce any Lender’s or its holding company’s rate of return on its overall capital by reason of a change in the manner in which it is required to allocate
capital resources to such Lender’s obligations under any of the Security Documents; and/or 

  

	12.2.5	require any Lender or its holding company to make a payment or forego a return on or calculated by reference to any amount received or receivable by such Lender under
any of the Security Documents; and/or 

  

	12.2.6	require any Lender or its holding company to incur or sustain a loss (including a loss of future potential profits) by reason of being obliged to deduct all or part of
such Lender’s Commitment or Contribution from its capital for regulatory purposes, 

 then and in each such
case (subject to clause 12.3): 
  

	 	(a)	such Lender shall notify the Borrowers through the Facility Agent in writing of such event promptly upon its becoming aware of the same; and 

 

	 	(b)	the Borrowers shall on demand, made at any time whether or not such Lender’s Contribution has been repaid, pay to the Facility Agent for the account of such Lender
the amount which such Lender specifies (in a certificate setting forth the basis of the computation of such amount but not including any matters which such Lender or its holding company regards as confidential) is required to compensate such Lender
and/or (as the case may be) its holding company for such liability to Taxes, cost, reduction, payment, foregone return or loss. 

 For the purposes of this clause 12.2 “holding company” means the company or entity (if any) within the consolidated supervision of which a Lender is included. 

 

	12.3	Exception 

 Nothing in
clause 12.2 shall entitle any Lender to receive any amount in respect of compensation for any such liability to Taxes, increased or additional cost, reduction, payment, foregone return or loss to the extent that the same is the subject of an
additional payment under clause 6.7 which fully compensates that Lender. 

  
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	13	Security and set-off 

  

	13.1	Application of moneys 

All monies received by the Facility Agent and/or the Security Trustee under or pursuant to any of the Security Documents that are
expressed to be applicable in accordance with the provisions of this clause 13.1, shall be applied by the Facility Agent in the following manner: 
  

	13.1.1	first, in or towards payment, on a pro rata basis, of all unpaid fees, commissions, costs and expenses which may be owing to any of the Finance Parties (except the Swap
Provider) or any of them under any of the Security Documents (except the Master Swap Agreement); 

  

	13.1.2	secondly, in or towards payment to the Lenders, on a pro rata basis, of any arrears of interest in respect of the Loan or any part thereof which have become due but
remain unpaid; 

  

	13.1.3	thirdly, in or towards payment to the Lenders, on a pro rata basis, of any amount of principal which shall have become due in respect of the Loan but remains unpaid;

  

	13.1.4	fourthly, in or towards payment to the Lenders, on a pro rata basis, for any loss suffered by reason of any such payment in respect of principal set out in clause
13.1.3 above not being effected on an Interest Payment Date relating to the part of the Loan repaid; 

  

	13.1.5	fifthly, in or towards payment to the Finance Parties (except the Swap Provider), on a pro rata basis, of any other sums owing to each of them under any of the Security
Documents (except the Master Swap Agreement) which have become due but remain unpaid; 

  

	13.1.6	sixthly, in or towards payment to the Lenders, on a pro rata basis, of any amount of principal which has not yet become due and payable in respect of the Loan;

  

	13.1.7	seventhly, in or towards payment to the Lenders on a pro rata basis for any loss suffered by reason of any such payment of principal set out in clause 13.1.6 above not
being effect on an Interest Payment Date relating to the part of the Loan repaid; 

  

	13.1.8	eighthly, in or towards payment to the Finance Parties (except the Swap Provider), on a pro rata basis, of any other sum owing to each of them under any of the Security
Documents (except the Master Swap Agreement) which has not yet become due and payable; 

  

	13.1.9	ninthly, in or towards payment to the Swap Provider of any amount owing to it under the Master Swap Agreement; and 

 

	13.1.10	tenthly, the surplus (if any) shall be paid to the Borrowers or to whomsoever else may be entitled to receive such surplus. 

 

	13.2	Set-off 

 Each Borrower
authorises each Lender (without prejudice to any of the Lenders’ rights at law, in equity or otherwise), at any time and without notice to the Borrowers, to apply any credit balance to which the relevant Borrower is then entitled standing upon
any account of the relevant Borrower with any branch of such Lender in or towards satisfaction of any sum due and payable from the Borrowers or any of them to such Lender under any of the Security Documents. For this purpose, each Lender is
authorised to purchase with the moneys standing to the credit of such account such other currencies as may be necessary to effect such application. No Lender shall be obliged to exercise any right given to it by this clause 13.2. Each Lender shall
notify the Facility Agent and the Borrowers forthwith upon the exercise or purported exercise of any right of set-off giving full details in relation thereto and the Facility Agent shall inform the other Lenders. 

  
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	13.3	Pro rata payments 

  

	13.3.1	If at any time any Lender (the “Recovering Lender”) receives or recovers any amount owing to it by the Borrowers under this Agreement by direct
payment, set-off or in any manner other than by payment through the Facility Agent pursuant to clauses 6.1 or 6.9 (not being a payment received from a Transferee Lender or a sub-participant in such Lender’s Contribution or any other payment of
an amount due to the Recovering Lender for its sole account pursuant to clauses 3.6, 5, 6.7, 11.1, 11.2, 12.1 or 12.2) the Recovering Lender shall, within two (2) Banking Days of such receipt or recovery (a “Relevant Receipt”)
notify the Facility Agent and the Lenders of the amount of the Relevant Receipt. If the Relevant Receipt exceeds the amount which the Recovering Lender would have received if the Relevant Receipt had been received by the Facility Agent and
distributed pursuant to clauses 6.1 or 6.9 (as the case may be) then: 

  

	 	(a)	within two (2) Banking Days of demand by the Facility Agent, the Recovering Lender shall pay to the Facility Agent an amount equal (or equivalent) to the excess;

  

	 	(b)	the Facility Agent shall treat the excess amount so paid by the Recovering Lender as if it were a payment made by the Borrowers and shall distribute the same to the
Lenders (other than the Recovering Lender) in accordance with clause 6.9; and 

  

	 	(c)	as between the Borrowers and the Recovering Lender the excess amount so redistributed, shall be treated as not having been paid but the obligations of the Borrowers to
the other Lenders shall, to the extent of the amount so re-distributed to them, be treated as discharged. 

  

	13.3.2	If by reason of the order of any court of competent jurisdiction any part of the Relevant Receipt subsequently has to be wholly or partly refunded by the Recovering
Lender (whether to a liquidator or otherwise) each Lender to which any part of such Relevant Receipt was so redistributed shall on request from the Recovering Lender repay to the Recovering Lender such Lender’s pro-rata share of the amount
which has to be refunded by the Recovering Lender. 

  

	13.3.3	Each Lender shall on request supply to the Facility Agent such information as the Facility Agent may from time to time request for the purpose of this clause 13.3

  

	13.3.4	Nothwithstanding the foregoing provisions of this clause 13.3, no Recovering Lender shall be obliged to share any Relevant Receipt which it receives or recovers
pursuant to legal proceedings taken by it to recover any sums owing to it under this Agreement with any other party which has a legal right to, but does not, either join in such proceedings or commence and diligently pursue separate proceedings to
enforce its rights in the same or another court (unless the proceedings instituted by the Recovering Lender are instituted by it without prior notice having been given to such party through the Facility Agent). 

 

	13.4	No release 

 For the
avoidance of doubt it is hereby declared that failure by any Recovering Lender to comply with the provisions of clause 13.3 shall not release any other Recovering Lender from any of its obligations or liabilities under clause 13.3. 

 

	13.5	No charge 

 The provisions
of this clause 13 shall not, and shall not be construed so as to, constitute a charge or other security interest by a Finance Party over all or any part of a sum received or recovered by it in the circumstances mentioned in clause 13.3. 

  
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	14	Accounts 

  

	14.1	General 

 The Borrowers
jointly and severally undertake with each Finance Party that they will: 
  

	14.1.1	on or before the date of this Agreement, open the Operating Accounts and the Retention Account; 

 

	14.1.2	on or before the Drawdown Date of the first Advance, procure that the Olympian Asclepius Guarantor opens the Liquidity Account and deposits therein, and maintains at
all times thereafter, an amount in Dollars at least equal to the minimum amount the Olympian Asclepius Guarantor has to maintain in accordance with clause 6.1.2 of the Olympian Asclepius Guarantee; and 

 

	14.1.3	procure that (i) all moneys payable to a Borrower in respect of the Earnings of such Borrower’s Ship shall, unless and until the Facility Agent directs to the
contrary pursuant to the relevant provisions of the Deed of Covenant relevant to such Ship, be paid to such Borrower’s Operating Account and (ii) all moneys payable to the Borrowers under the Master Swap Agreement, be paid to one or more
Operating Accounts which are subject to an Operating Account Pledge Provided however that if any of the moneys paid to any of the Operating Accounts are payable in a currency other than Dollars, the Account Bank shall (and the Borrowers hereby
irrevocably and unconditionally instruct the Account Bank to) convert such moneys into Dollars at the Account Bank’s spot rate of exchange at the relevant time for the purchase of Dollars with such currency and the term “spot rate of
exchange” shall include any premium and costs of exchange payable in connection with the purchase of Dollars with such currency. 

  

	14.2	Account terms 

 Amounts
standing to the credit of any Account shall (unless otherwise agreed between the Account Bank and the Borrowers or, in the case of Liquidity Account, the Olympian Asclepius Guarantor) bear interest at the rates from time to time offered by the
Account Bank to its customers for Dollar deposits in comparable amounts for comparable periods. Interest shall accrue on each Account from day to day and be calculated on the basis of actual days elapsed and a three hundred and sixty (360) day
year and shall be credited to the relevant Account at such times as the Account Bank and the Borrowers or in the case of Liquidity Account, the Olympian Asclepius Guarantor, shall agree. 

 

	14.3	Operating Accounts: withdrawals 

 Unless the Facility Agent (acting on the instructions of the Lenders) otherwise agrees in writing, no Borrower shall be entitled to withdraw any moneys from its Operating Account at any time from the date
of this Agreement and so long as any moneys are owing under the Security Documents save that, unless and until a Default shall occur and the Facility Agent shall direct to the contrary, each Borrower may provided however that as regards withdrawals
made on a Retention Date, such Borrower shall have first fulfilled its obligations pursuant to clause 14.4 falling due on such dates withdraw moneys from its Operating Account for the following purposes: 

 

	14.3.1	to pay any amount to the Facility Agent in or towards payments of any instalments of interest or principal or any other amounts then payable pursuant to the Security
Documents; 

  

	14.3.2	to transfer to the Retention Account on each Retention Date all or part of the Retention Amount for such Retention Date; 

 

	14.3.3	to pay the proper and reasonable operating expenses of its Ship; 

  

	14.3.4	to pay the proper and reasonable expenses of administering its affairs; and 

  
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	14.3.5	to pay cash dividends to its Shareholder to the extent permitted by clause 8.3.12. 

 

	14.4	Retention Account: credits and withdrawals 

  

	14.4.1	The Borrowers hereby jointly and severally undertake with each Finance Party that they will, from the date of this Agreement and so long as any moneys are owing under
the Security Documents, on each Retention Date pay to the Account Bank for credit to the Retention Account, the Retention Amount for such Retention Date provided however that, to the extent that there are moneys standing to the credit of the
Operating Accounts (or any of them) as at the relevant Retention Date, such moneys shall, up to an amount equal to the Retention Amount for such Retention Date, be transferred to the Retention Account on that Retention Date (and the Borrowers hereby
irrevocably authorise the Account Bank to effect each such transfer) and to that extent the Borrowers’ obligations to make the payments referred to in this clause 14.4.1 shall have been fulfilled upon such transfer being effected.

  

	14.4.2	Unless and until there shall occur an Event of Default (whereupon the provisions of clause 14.6 shall apply), all Retention Amounts credited to the Retention Account
together with interest from time to time accruing or at any time accrued on any amounts standing to the credit of the Retention Account from time to time, shall be applied by the Account Bank (and the Borrowers hereby irrevocably authorise the
Account Bank so to apply the same) upon each Repayment Date and/or on each day that interest is payable pursuant to clause 3.1, in or towards payment to the Facility Agent of the relevant instalment then falling due for repayment or, as the case may
be, the relevant amount of interest then due. Each such application by the Account Bank shall constitute a payment in or towards satisfaction of the Borrowers’ corresponding payment obligations under this Agreement but shall be strictly without
prejudice to the obligations of each of the Borrowers to make any such payment to the extent that the aforesaid application by the Account Bank is insufficient to meet the same. 

 

	14.4.3	Unless the Facility Agent otherwise agrees in writing, none of the Borrowers shall be entitled to withdraw any moneys from the Retention Account at any time from the
date of this Agreement and so long as any moneys are owing under the Security Documents. 

  

	14.5	Liquidity Account: withdrawals 

 The Borrowers and the Account Bank shall procure that, unless the Facility Agent or, as the case may be, the Security Trustee (in either case, acting on the instructions of the Lenders) otherwise agrees
in writing, throughout the Security Period, the Olympian Asclepius Guarantor shall be entitled to withdraw moneys from the Liquidity Account only in accordance with clause 6 of the Olympian Asclepius Guarantee. 

 

	14.6	Application of accounts 

At any time after the occurrence of an Event of Default, the Facility Agent may (and on the instructions of the Lenders shall), without
notice to the Borrowers or, in the case of Liquidity Account, the Olympian Asclepius Guarantor, instruct the Account Bank to apply all moneys then standing to the credit of the Accounts or any of them (together with interest from time to time
accruing or accrued thereon) in or towards satisfaction of any sums due to the Finance Parties or any of them under the Security Documents in the manner specified in clause 13.1. 

 

	14.7	Charging of Accounts 

 The
Accounts (other than the Liquidity Account) and all amounts from time to time standing to the credit thereof shall be subject to the security constituted and the rights conferred by the Account Pledges. 

  
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	15	Assignment, transfer and lending office 

  

	15.1	Benefit and burden 

 This
Agreement shall be binding upon, and enure for the benefit of, the Finance Parties and the Borrowers and their respective successors. 
  

	15.2	No assignment by Borrowers 

None of the Borrowers may assign or transfer any of its rights or obligations under this Agreement. 

 

	15.3	Assignments and transfers by Lenders 

  

	15.3.1	Subject to this clause 15.3 any Lender (the “Existing Lender”) may at any time, assign any of its rights or transfer any of its rights and obligations
under this Agreement and the Security Documents to any other bank or financial institution or trust, fund or other entity which is regularly engaged in or established for the purpose of making, purchasing or investing in, loans, securities or other
financial assets or to any special purpose vehicle (including, without limitation, by way or for the purpose of securitisation or other similar transaction in relation to this Agreement but in such case only with prior notice to and prior
consultation with the other Lenders) (a “New Lender”). The Existing Lender shall give prior written notice of such assignment or transfer to the Facility Agent and the other Lenders. The consent of the Facility Agent, the Security
Trustee, the Account Bank, the Arrangers or the Swap Provider to an assignment or transfer by a Lender is not required. The consent of the Borrowers to an assignment or transfer by a Lender is not required (including in the case of a transfer for
the purposes of a securitisation or other similar transaction in relation to this Agreement). An assignment will only be effective on receipt by the Facility Agent of written confirmation from the New Lender (in form and substance satisfactory to
the Facility Agent) that the New Lender will assume the same obligations to the other Finance Parties as it would have been under if it was an Existing Lender. 

 

	15.3.2	A transfer will only be effective if the procedure set out in clause 15.3.3 is complied with. 

 

	15.3.3	No such transfer is binding on, or effective in relation to, the Borrowers or the Facility Agent unless it is effected or evidenced by a Substitution Certificate which
complies with the provisions of this clause 15.3 and is signed by or on behalf of the Existing Lender, the New Lender and the Facility Agent (on behalf of itself, the Borrowers, the Security Trustee, the Swap Provider, the Account Bank and the other
Lenders). Upon signature of any such Substitution Certificate by the Facility Agent, which signature shall be effected as promptly as is practicable after such Substitution Certificate has been delivered to the Facility Agent, and subject to the
terms of such Substitution Certificate, such Substitution Certificate shall have effect as set out below. The following further provisions shall have effect in relation to any Substitution Certificate: 

 

	 	(a)	a Substitution Certificate may be in respect of a Lender’s rights in respect of all or part, of its Commitment and shall be in respect of the same proportion of
its Contribution; 

  

	 	(b)	a Substitution Certificate shall only be in respect of rights and obligations of the Existing Lender in its capacity as a Lender and shall not transfer its rights and
obligations as an agent, or in any other capacity, as the case may be and such other rights and obligations may only be transferred in accordance with any applicable provisions of this Agreement; 

 

	 	(c)	a Substitution Certificate shall take effect in accordance with English law as follows: 

 

	 	(i)	to the extent specified in the Substitution Certificate, the Existing Lender’s payment rights and all its other rights (other than those referred to in sub-clause
15.3.3(b)) under this Agreement are assigned to the New Lender absolutely, free of any defects in the Existing Lender’s title and of any rights or equities which the Borrowers or any of them had against the Existing Lender;

  
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	 	(ii)	the Existing Lender’s Commitment is discharged to the extent specified in the Substitution Certificate; 

 

	 	(iii)	the New Lender becomes a Lender with a Contribution and/or a Commitment of the amounts specified in the Substitution Certificate; 

 

	 	(iv)	the New Lender becomes bound by all the provisions of this Agreement and the other Security Documents which are applicable to the Lenders, including those about
pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, the Arrangers, the Facility Agent and the Security Trustee in accordance with clause 16 and to the extent that the New Lender becomes bound by those
provisions, the Existing Lender ceases to be bound by them; 

  

	 	(v)	an Advance or part of an Advance which the New Lender makes after the Substitution Certificate comes into effect ranks in point of priority and security in the same way
as it would have ranked had it been made by the Existing Lender, assuming that any defects in the Existing Lender’s title and any rights or equities of any Security Party against the Existing Lender had not existed; and

  

	 	(vi)	the New Lender becomes entitled to all the rights under this Agreement which are applicable to the Lenders generally, including but not limited to those relating to the
Majority Lenders and those under clauses 3.6, 5 and 12 and to the extent that the New Lender becomes entitled to such rights, the Existing Lender ceases to be entitled to them; 

 

	15.3.4	the rights and equities of the Borrowers or of any other Security Party referred to above include, but are not limited to, any right of set-off and any other kind of
cross-claim; and 

  

	15.3.5	the Borrowers, the Account Bank, the Security Trustee, the Arrangers, the Swap Provider and the Lenders hereby irrevocably authorise and instruct the Facility Agent to
sign any such Substitution Certificate on their behalf and undertake not to withdraw, revoke or qualify such authority or instruction at any time. Promptly upon its signature of any Substitution Certificate, the Facility Agent shall notify the
Borrowers, the Security Trustee, the Existing Lender, the New Lender and each of the other Finance Parties. 

  

	15.4	Reliance on Substitution Certificate 

  

	15.4.1	The Facility Agent shall be entitled to rely on any Substitution Certificate believed by it to be genuine and correct and to have been presented or signed by the
persons by whom it purports to have been presented or signed, and shall not be liable to any of the parties to this Agreement and the Security Documents for the consequences of such reliance. 

 

	15.4.2	The Facility Agent shall at all times during the continuation of this Agreement maintain a register in which it shall record the name, Commitments, Contributions and
administrative details (including the lending office) from time to time of the Lenders holding a Substitution Certificate and the date at which the transfer referred to in such Substitution Certificate held by each Lender was transferred to such
Lender, and the Facility Agent shall make the said register available for inspection by any Lender and any Borrower during normal banking hours upon receipt by the Facility Agent of reasonable prior notice requesting the Facility Agent to do so.

  

	15.4.3	The entries on the said register shall, in the absence of manifest error, be conclusive in determining the identities of the Commitments, the Contributions and the
Substitution Certificates held by the Lenders from time to time and the principal amounts of such Substitution Certificates and may be relied upon by the Facility Agent and the other Security Parties for all purposes in connection with this
Agreement and the Security Documents. 

  
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	15.5	Fees and expenses 

 If any
Lender other than KEXIM assigns or transfers of all or any part of its rights, benefits and/or obligations under the Security Documents, it shall pay to the Facility Agent on demand a fee of one thousand five hundred Dollars ($1,500) (for its own
account) together with all costs, fees and expenses (including, but not limited to, legal fees and expenses), and all value added tax thereon, verified by the Facility Agent as having been incurred by it in connection with such transfer. 

 

	15.6	Documenting assignments and transfers 

 If any Lender transfers all or any part of its rights, benefits and/or obligations as provided in clause 15.3, each of the Borrowers undertakes with each Finance Party, immediately on being requested to
do so by the Facility Agent and at the cost of the Borrowers, to enter into, and procure that the other Security Parties shall (at the cost of the Borrowers) enter into, such documents as may be necessary or desirable to transfer to the New Lender
all or the relevant part of such Lender’s interest in the Security Documents and all relevant references in this Agreement to such Lender shall thereafter be construed as a reference to the Existing Lender and/or its New Lender (as the case may
be) to the extent of their respective interests. 
  

	15.7	Sub-participation 

 A
Lender may sub-participate all or any part of its rights and/or obligations under the Security Documents without the consent of the Borrowers or any other Finance Party but subject to giving prior written notice to the Facility Agent. 

 

	15.8	Lending offices 

 Each
Lender shall lend through its office at the address specified in Schedule 1 or, as the case may be, in any relevant Substitution Certificate or through any other office of such Lender selected from time to time by such Lender through which such
Lender wishes to lend for the purposes of this Agreement. If the office through which a Lender is lending is changed pursuant to this clause 15.8, such Lender shall notify the Facility Agent promptly of such change and the Facility Agent shall
notify the Borrowers and the other Finance Parties. 
  

	15.9	Disclosure of information 

A Finance Party may disclose to any of its Related Companies and to the following other persons: 

 

	15.9.1	any person to (or through) whom that Finance Party assigns or transfers (or may potentially assign or transfer) all or any of its rights and obligations under this
Agreement; 

  

	15.9.2	any person with (or through) whom that Finance Party enters into (or may potentially enter into) any sub-participation in relation to, or any other transaction under
which payments are to be made by reference to, this Agreement or the Security Parties; 

  

	15.9.3	any person to whom, and to the extent that, information is required for the purposes of achieving a successful securitisation or other similar transaction;

  

	15.9.4	any person to whom, and to the extent that, information is required to be disclosed by any applicable law or regulation; 

 

	15.9.5	any other Finance Party, or any employee, officer, director or representative of such entity which needs to know such information or receive such document in the course
of such person’s employ or duties; 

  

	15.9.6	each Builder, Charterer, or any employee, officer, director or representative of such entity which needs to know such information or receive such document in the course
of such person’s employ or duties; 

  
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	15.9.7	auditors, insurance and reinsurance brokers, insurers and reinsurers or other professional advisers (including legal advisers); 

 

	15.9.8	any person who has entered into a confidentiality undertaking substantially in a recommended form of the Loan Market Association; and 

 

	15.9.9	any other person who may propose entering or may enter into contractual relations with such Finance Party, 

any information about the Security Parties, this Agreement, the other Security Documents and the Ships as that Finance Party shall
reasonably consider appropriate in connection with the performance by the Security Parties of their obligations (including, without limitation, any insolvency events), and the enforcement by the Finance Parties of their rights (including, without
limitation, the enforcement of any security), under this Agreement and the Security Documents or for the purposes of achieving a successful securitisation or other similar transaction or for any other reason whatsoever such Finance Party decides to
proceed with such disclosure. 
  

	16	Arrangers, Facility Agent, Security Trustee and Account Bank 

  

	16.1	Appointment of the Facility Agent 

 Each of the Lenders and the Swap Provider irrevocably appoints the Facility Agent as its agent for the purposes of this Agreement and such of the Security Documents to which it may be appropriate for the
Facility Agent to be party. By virtue of such appointment, each of the Lenders and the Swap Provider hereby authorises the Facility Agent: 
  

	16.1.1	to execute such documents as may be approved by the Lenders for execution by the Facility Agent; and 

 

	16.1.2	(whether or not by or through employees or agents) to take such action on such Lender’s or (as the case may be) the Swap Provider’s behalf and to exercise
such rights, remedies, powers and discretions as are specifically delegated to the Facility Agent by this Agreement and/or any other Security Document, together with such powers and discretions as are reasonably incidental thereto.

  

	16.2	Facility Agent’s actions 

 Any action taken by the Facility Agent under or in relation to this Agreement or any of the other Security Documents whether with requisite authority or on the basis of appropriate instructions, received
from the Lenders (or as otherwise duly authorised) shall be binding on all the Lenders, the Swap Provider and the other Finance Parties. 
  

	16.3	Facility Agent’s duties 

 The Facility Agent shall: 
  

	16.3.1	promptly notify each Lender and the Swap Provider of the contents of each notice, certificate or other document received by it from the Borrowers under or pursuant to
clause 8; and 

  

	16.3.2	(subject to the other provisions of this clause 16) take (or instruct the Security Trustee to take) such action or, as the case may be, refrain from taking (or
authorise the Security Trustee to refrain from taking) such action with respect to the exercise of any of its rights, remedies, powers and discretions as agent, as the Majority Lenders or, in the case of clause 10.1.31 the Commercial Lenders, may
direct. 

  
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	16.4	Facility Agent’s rights 

 The Facility Agent may: 
  

	16.4.1	in the exercise of any right, remedy, power or discretion in relation to any matter, or in any context, not expressly provided for by this Agreement or any of the other
Security Documents, act or, as the case may be, refrain from acting (or authorise the Security Trustee to act or refrain from acting) in accordance with the instructions of the Lenders or in the case of clause 10.1.31 the Commercial Lenders and in
either case shall be fully protected in so doing; 

  

	16.4.2	unless and until it shall have received directions from the Lenders or, in the case of clause 10.1.31 the Commercial Lenders, take such action or, as the case may be,
refrain from taking such action (or authorise the Security Trustee to take or refrain from taking such action) in respect of a Default of which the Facility Agent has actual knowledge as it shall deem advisable in the best interests of the Lenders
or, in the case of clause 10.1.31 the Commercial Lenders, and in either case the Swap Provider (but shall not be obliged to do so); 

  

	16.4.3	refrain from acting (or authorise the Security Trustee to refrain from acting) in accordance with any instructions of the Lenders to institute any legal proceedings
arising out of or in connection with this Agreement or any of the other Security Documents until it and/or the Security Trustee has been indemnified and/or secured to its satisfaction against any and all costs, expenses or liabilities (including
legal fees) which it would or might incur as a result; 

  

	16.4.4	deem and treat (i) each Lender as the person entitled to the benefit of the Contribution of such Lender for all purposes of this Agreement unless and until a
notice shall have been filed with the Facility Agent pursuant to clause 15.3 and shall have become effective, and (ii) the office set opposite the name of each of the Lenders in schedule 1 to be such Lender’s lending office, unless and
until a written notice of change of lending office shall have been received by the Facility Agent and the Facility Agent may act upon any such notice unless and until the same is superseded by a further such notice; 

 

	16.4.5	rely as to matters of fact which might reasonably be expected to be within the knowledge of any Security Party upon a certificate signed by any director or officer of
the relevant Security Party on behalf of the relevant Security Party; and 

  

	16.4.6	do anything which is in its opinion necessary or desirable to comply with any law or regulation in any jurisdiction. 

 

	16.5	No liability of Arrangers or Facility Agent 

 Neither of the Arrangers nor the Facility Agent nor any of their respective employees and agents shall: 
  

	16.5.1	be obliged to make any enquiry as to the use of any of the proceeds of any Advance unless (in the case of the Facility Agent) so required in writing by a Lender, in
which case the Facility Agent shall promptly make the appropriate request to the Borrowers; or 

  

	16.5.2	be obliged to make any enquiry as to any breach or default by the Borrowers or any of them or any other Security Party in the performance or observance of any of the
provisions of this Agreement or any of the other Security Documents or as to the existence of a Default unless (in the case of the Facility Agent) the Facility Agent has actual knowledge thereof or has been notified in writing thereof by a Lender or
the Swap Provider, in which case the Facility Agent shall promptly notify the Lenders of the relevant event or circumstance; or 

  

	16.5.3	be obliged to enquire whether or not any representation or warranty made by the Borrowers or any of them or any other Security Party pursuant to this Agreement or any
of the other Security Documents is true; or 

  

	16.5.4	be obliged to do anything (including, without limitation, disclosing any document or information) which would, or might in its opinion, be contrary to any law or
regulation or be a breach of any duty of confidentiality or otherwise be actionable or render it liable to any person; or 

  
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	16.5.5	be obliged to account to any Lender or the Swap Provider for any sum or the profit element of any sum received by it for its own account; or 

 

	16.5.6	be obliged to institute any legal proceedings arising out of or in connection with this Agreement or any of the other Security Documents other than on the instructions
of the Lenders; or 

  

	16.5.7	be liable to any Lender or the Swap Provider for any action taken or omitted under or in connection with this Agreement or any of the other Security Documents unless
caused by its gross negligence or wilful misconduct. 

 For the purposes of this clause 16, neither of the
Arrangers nor the Facility Agent shall be treated as having actual knowledge of any matter of which the corporate finance or any other division outside the agency or loan administration department of either Arranger or the person for the time being
acting as the Facility Agent may become aware in the context of corporate finance, advisory or lending activities from time to time undertaken by either Arranger or, as the case may be, the Facility Agent for any Security Party or any other person
which may be a trade competitor of any Security Party or may otherwise have commercial interests similar to those of any Security Party. 
  

	16.6	Non-reliance on Arranger or Facility Agent 

 Each Lender and the Swap Provider acknowledges that it has not relied on any statement, opinion, forecast or other representation made by the Arrangers or the Facility Agent to induce it to enter into
this Agreement or any of the other Security Documents and that it has made and will continue to make, without reliance on the Arrangers or the Facility Agent and based on such documents as it considers appropriate, its own appraisal of the
creditworthiness of the Security Parties and its own independent investigation of the financial condition, prospects and affairs of the Security Parties in connection with the making and continuation of such Lender’s Commitment or Contribution
under this Agreement. Neither of the Arrangers nor the Facility Agent shall have any duty or responsibility, either initially or on a continuing basis, to provide any Lender with any credit or other information with respect to any Security Party
whether coming into its possession before the making of the Loan or at any time or times thereafter other than as provided in clause 16.3.1. 
  

	16.7	No responsibility on Arrangers or Facility Agent for Borrowers’ performance 

Neither of the Arrangers nor the Facility Agent shall have any responsibility or liability to any Lender: 

 

	16.7.1	on account of the failure of any Security Party to perform its obligations under any of the Security Documents; or 

 

	16.7.2	for the financial condition of any Security Party; or 

  

	16.7.3	for the completeness or accuracy of any statements, representations or warranties in any of the Security Documents or any document delivered under any of the Security
Documents; or 

  

	16.7.4	for the execution, effectiveness, adequacy, genuineness, validity, enforceability or admissibility in evidence of any of the Security Documents or of any certificate,
report or other document executed or delivered under any of the Security Documents; or 

  

	16.7.5	to investigate or make any enquiry into the title of any of the Borrowers or any other Security Party to the Ships or any other security or any part thereof; or

  

	16.7.6	for the failure to register any of the Security Documents with any official or regulatory body or office or elsewhere; or 

  
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	16.7.7	for taking or omitting to take any other action under or in relation to any of the Security Documents or any aspect of any of the Security Documents; or

  

	16.7.8	on account of the failure of the Security Trustee to perform or discharge any of its duties or obligations under the Security Documents; or 

 

	16.7.9	otherwise in connection with this Agreement or its negotiation or for acting (or, as the case may be, refraining from acting) in accordance with the instructions of the
Lenders. 

  

	16.8	Reliance on documents and professional advice 

 Each of the Arrangers and the Facility Agent shall be entitled to rely on any communication, instrument or document believed by it to be genuine and correct and to have been signed or sent by the proper
person and shall be entitled to rely as to legal or other professional matters on opinions and statements of any legal or other professional advisers selected or approved by it (including those in an Arranger’s or, as the case may be, the
Facility Agent’s employment). 
  

	16.9	Other dealings 

 Each of
the Arrangers and the Facility Agent may, without any liability to account to the Lenders, accept deposits from, lend money to, and generally engage in any kind of banking or other business with, and provide advisory or other services to, any
Security Party or any of its Related Companies or any of the Lender as if it were not an Arranger or, as the case may be, the Facility Agent. 
  

	16.10	Rights of Facility Agent as Lender; no partnership 

 With respect to its own Commitment and Contribution (if any) the Facility Agent shall have the same rights and powers under the Security Documents as any other Lender and may exercise the same as though
it were not performing the duties and functions delegated to it under this Agreement and the term “Lenders” shall, unless the context clearly otherwise indicates, include the Facility Agent in its individual capacity as a Lender.
This Agreement shall not and shall not be construed so as to constitute a partnership between the parties or any of them. 
  

	16.11	Amendments and waivers 

  

	16.11.1	Subject to clause 16.11.2, the Facility Agent may, with the written consent of the Majority Lenders (or if and to the extent expressly authorised by the other
provisions of any of the Security Documents) and, if so instructed by the Majority Lenders, shall: 

  

	 	(a)	agree (or authorise the Security Trustee to agree) amendments or modifications to any of the Security Documents with the Borrowers and/or any other Security Party;
and/or 

  

	 	(b)	vary or waive breaches of, or defaults under, or otherwise excuse performance of, any provision of any of the other Security Documents by the Borrowers and/or any other
Security Party (or authorise the Security Trustee to do so). 

 Any such action so authorised and effected by the
Facility Agent shall be documented in such manner as the Facility Agent shall (with the approval of the Majority Lenders) determine, shall be promptly notified to the Lenders by the Facility Agent and (without prejudice to the generality of clause
16.2) shall be binding on all the Finance Parties. 
  

	16.11.2	Except with the prior written consent of all Lenders, the Facility Agent shall have no authority on behalf of the Lenders to agree (or authorise the Security Trustee to
agree) with the Borrowers and/or any other Security Party any amendment or modification to any of the Security Documents or to grant (or authorise the Security Trustee to grant) waivers in respect of breaches or defaults or to vary or excuse (or
authorise the Security Trustee to vary or excuse) performance of or under any of the Security Documents by the Borrowers or any of them and/or any other Security Party, if the effect of such amendment, modification, waiver or excuse would be to:

  

	 	(a)	reduce the Margin; 

  
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	 	(b)	postpone the due date or reduce the amount of any payment of principal, interest or other amount payable by any Security Party under any of the Security Documents;

  

	 	(c)	change the currency in which any amount is payable by any Security Party under any of the Security Documents; 

 

	 	(d)	increase any Lender’s Commitment; 

  

	 	(e)	extend any Termination Date; 

  

	 	(f)	change any provision of any of the Security Documents which expressly or implied requires the approval or consent of all the Lenders such that the relevant approval or
consent may be given otherwise than with the sanction of all the Lenders; 

  

	 	(g)	change the order of distribution under clauses 6.9 and 13.1; 

  

	 	(h)	change clause 10.1; 

  

	 	(i)	change this clause 16.11; 

  

	 	(j)	change the definition of “Majority Lenders” in clause 1.2; or 

 

	 	(k)	release any Security Party from the security constituted by any Security Document (except as required by the terms thereof or by law) or change the terms and conditions
upon which such security or guarantee may be, or is required to be, released. 

  

	16.12	Reimbursement and indemnity by Lenders 

 Each Lender shall reimburse the Facility Agent (rateably in accordance with such Lender’s Commitment or, if after the first drawdown, Contribution), to the extent that the Facility Agent is not
reimbursed by the Borrowers, for the costs, charges and expenses incurred by the Facility Agent which are expressed to be payable by the Borrowers under clause 5.2 including (in each case) the fees and expenses of legal or other professional
advisers. Each Lender shall on demand indemnify the Facility Agent (rateably in accordance with such Lender’s Commitment or, if after the first drawdown, Contribution) against all liabilities, damages, costs and claims whatsoever incurred by
the Facility Agent in connection with any of the Security Documents or the performance of its duties under any of the Security Documents or any action taken or omitted by the Facility Agent under any of the Security Documents, unless such
liabilities, damages, costs or claims arise from the Facility Agent’s own gross negligence or wilful misconduct. 
  

	16.13	Retirement of Facility Agent 

  

	16.13.1	The Facility Agent may, having given to the Borrowers, each of the Lenders and the Swap Provider not less than fifteen (15) days’ notice of its intention to
do so, retire from its appointment as Facility Agent under this Agreement, provided that no such retirement shall take effect unless there has been appointed by the Lenders and the Swap Provider as a successor agent: 

 

	 	(a)	a Lender nominated by the Majority Lenders or, failing such nomination, 

  

	 	(b)	a Related Company of the Facility Agent nominated by the Facility Agent which the Lenders hereby irrevocably and unconditionally agree to appoint or, failing such
nomination, 

  
 76 

	 	(c)	any reputable and experienced bank or financial institution nominated by the retiring Facility Agent. 

Any corporation into which the retiring Facility Agent may be merged or converted or any corporation with which the Facility Agent may be
consolidated or any corporation resulting from any merger, conversion, amalgamation, consolidation or other reorganisation to which the Facility Agent shall be a party shall, to the extent permitted by applicable law, be the successor Facility Agent
under this Agreement and the other Security Documents without the execution or filing of any document or any further act on the part of any of the parties to this Agreement and the other Security Documents save that notice of any such merger,
conversion, amalgamation, consolidation or other reorganisation shall forthwith be given to each Security Party, the Lenders and the Swap Provider. 
  

	16.13.2	Upon any such successor as aforesaid being appointed, the retiring Facility Agent shall be discharged from any further obligation under the Security Documents (but
shall continue to have the benefit of this clause 16 in respect of any action it has taken or refrained from taking prior to such discharge) and its successor and each of the other parties to this Agreement shall have the same rights and obligations
among themselves as they would have had if such successor had been a party to this Agreement in place of the retiring Facility Agent. The retiring Facility Agent shall (at the expense of the Borrowers) provide its successor with copies of such of
its records as its successor reasonably requires to carry out its functions under the Security Documents. 

  

	16.14	Appointment and retirement of Security Trustee 

  

	16.14.1	Appointment 

 Each of the
Lenders, the Facility Agent and the Swap Provider irrevocably appoints the Security Trustee as its security agent and trustee for the purposes of this Agreement and the Security Documents to which the Security Trustee is or is to be a party, in each
case on the terms set out in this Agreement. By virtue of such appointment, each of the Lenders, the Facility Agent and the Swap Provider hereby authorises the Security Trustee (whether or not by or through employees or agents) to take such action
on its behalf and to exercise such rights, remedies, powers and discretions as are specifically delegated to the Security Trustee by this Agreement and/or the Security Documents to which the Security Trustee is or is intended to be a party, together
with such powers and discretions as are reasonably incidental thereto. 
  

	16.14.2	Retirement 

 Without prejudice to
clause 16.13, the Security Trustee may, having given to the Borrowers, the Facility Agent, the Lenders and the Swap Provider not less than fifteen (15) days’ notice of its intention to do so, retire from its appointment as Security Trustee
under this Agreement and any Trust Deed, provided that no such retirement shall take effect unless there has been appointed by the Lenders, the Facility Agent and the Swap Provider as a successor security agent and trustee: 

 

	 	(a)	a bank or trust corporation nominated by the Majority Lenders or, failing such nomination, 

 

	 	(b)	a Related Company of the Security Trustee nominated by the Security Trustee which the Facility Agent, the Swap Provider and the Lenders hereby irrevocably and
unconditionally agree to appoint or, failing such nomination, 

  

	 	(c)	any bank or trust corporation nominated by the retiring Security Trustee, 

 and, in any case, such successor security agent and trustee shall have duly accepted such appointment by delivering to the Facility Agent (i) written confirmation (in a form acceptable to the
Facility Agent) of such acceptance agreeing to be bound by this Agreement in the capacity of Security Trustee as if it had been an original party to this Agreement and (ii) a duly executed Trust Deed. 

  
 77 

 Any corporation into which the retiring Security Trustee may be merged or converted or any
corporation with which the Security Trustee may be consolidated or any corporation resulting from any merger, conversion, amalgamation, consolidation or other reorganisation to which the Security Trustee shall be a party shall, to the extent
permitted by applicable law, be the successor Security Trustee under this Agreement, any Trust Deed and the other Security Documents referred to in clause 16.14.1 without the execution or filing of any document or any further act on the part of any
of the parties to this Agreement, any Trust Deed and the other Security Documents save that notice of any such merger, conversion, amalgamation, consolidation or other reorganisation shall forthwith be given to each Security Party, the Lenders and
the Swap Provider. 
 Upon any such successor as aforesaid being appointed, the retiring Security Trustee shall be discharged
from any further obligation under the Security Documents (but shall continue to have the benefit of this clause 16 in respect of any action it has taken or refrained from taking prior to such discharge) and its successor and each of the other
parties to this Agreement shall have the same rights and obligations among themselves as they would have had if such successor had been a party to this Agreement in place of the retiring Security Trustee. The retiring Security Trustee shall (at the
expense of the Borrowers) provide its successor with copies of such of its records as its successor reasonably requires to carry out its functions under the Security Documents. 

 

	16.15	Powers and duties of the Security Trustee 

  

	16.15.1	The Security Trustee shall have no duties, obligations or liabilities to the Facility Agent, the Swap Provider or any of the Lenders and the Facility Agent beyond those
expressly stated in any of the Security Documents. Each of the Facility Agent, the Swap Provider and the Lenders hereby authorises the Security Trustee to enter into and execute: 

 

	 	(a)	each of the Security Documents to which the Security Trustee is or is intended to be a party; and 

 

	 	(b)	any and all such other Security Documents as may be approved by the Facility Agent in writing (acting on the instructions of the Lenders) for entry into by the Security
Trustee, 

 and, in each and every case, to hold any and all security thereby created upon trust for the Lenders,
the Swap Provider and the Facility Agent in the manner contemplated by this Agreement. 
  

	16.15.2	Subject to clause 16.15.13 the Security Trustee may, with the prior consent of the Majority Lenders communicated in writing by the Facility Agent, concur with any of
the Security Parties to: 

  

	 	(a)	amend, modify or otherwise vary any provision of the Security Documents to which the Security Trustee is or is intended to be a party; or 

 

	 	(b)	waive breaches of, or defaults under, or otherwise excuse performance of, any provision of the Security Documents to which the Security Trustee is or is intended to be
a party. 

 Any such action so authorised and effected by the Security Trustee shall be promptly notified to the
Lenders, the Facility Agent and the Swap Provider by the Security Trustee and shall be binding on the other Finance Parties. 
  

	16.15.3	The Security Trustee shall not concur with any Security Party with respect to any of the matters described in clause 16.11.2 without the consent of the Lenders
communicated in writing by the Facility Agent. 

  
 78 

	16.15.4	The Security Trustee shall (subject to the other provisions of this clause 16) take such action or, as the case may be, refrain from taking such action, with respect to
any of its rights, powers and discretions as security agent and trustee, as the Facility Agent may direct. Subject as provided in the foregoing provisions of this clause, unless and until the Security Trustee shall have received such instructions
from the Facility Agent, the Security Trustee may, but shall not be obliged to, take (or refrain from taking) such action under or pursuant to the Security Documents referred to in clause 16.14.1 as the Security Trustee shall deem advisable in the
best interests of the Finance Parties provided that (for the avoidance of doubt), to the extent that this clause might otherwise be construed as authorising the Security Trustee to take, or refrain from taking, any action of the nature referred to
in clause 16.15.2 -and for which the prior written consent of the Lenders is expressly required under clause 16.15.3 - clauses 16.15.2 and 16.15.3 shall apply to the exclusion of this clause. 

 

	16.15.5	None of the Lenders nor the Swap Provider nor the Facility Agent shall have any independent power to enforce any of the Security Documents referred to in clause 16.14.1
or to exercise any rights, discretions or powers or to grant any consents or releases under or pursuant to such Security Documents or any of them or otherwise have direct recourse to the security and/or guarantees constituted by such Security
Documents or any of them except through the Security Trustee. 

  

	16.15.6	For the purpose of this clause 16, the Security Trustee may, rely and act in reliance upon any information from time to time furnished to the Security Trustee by the
Facility Agent (whether pursuant to clause 16.15.7 or otherwise) unless and until the same is superseded by further such information, so that the Security Trustee shall have no liability or responsibility to any party as a consequence of placing
reliance on and acting in reliance upon any such information unless the Security Trustee has actual knowledge that such information is inaccurate or incorrect. 

 

	16.15.7	Without prejudice to the foregoing each of the Facility Agent, the Swap Provider and the Lenders (whether directly or through the Facility Agent) shall provide the
Security Trustee with such written information as it may reasonably require for the purpose of carrying out its duties and obligations under the Security Documents referred to in clause 16.14.1. 

 

	16.15.8	Each Lender shall reimburse the Security Trustee (rateably in accordance with such Lender’s Commitment or, if after the first drawdown, Contribution), to the
extent that the Security Trustee is not reimbursed by the Borrowers, for the costs, charges and expenses incurred by the Facility Agent which are expressed to be payable by the Borrowers under clause 5.2 including (in each case) the fees and
expenses of legal or other professional advisers. Each Lender shall on demand indemnify the Security Trustee (rateably in accordance with such Lender’s Commitment or, if after the first drawdown, Contribution) against all liabilities, damages,
costs and claims whatsoever incurred by the Security Trustee in connection with any of the Security Documents or the performance of its duties under any of the Security Documents or any action taken or omitted by the Security Trustee under any of
the Security Documents, unless such liabilities, damages, costs or claims arise from the Security Trustee’s own gross negligence or wilful misconduct. 

 

	16.16	Trust provisions 

  

	16.16.1	In its capacity as trustee in relation to the Security Documents specified in clause 16.14.1, the Security Trustee shall, without prejudice to any of the powers,
discretions and immunities conferred upon trustees by law (and to the extent not inconsistent with the provisions of any of those Security Documents), have all the same powers and discretions as a natural person acting as the beneficial owner of
such property and/or as are conferred upon the Security Trustee by any of those Security Documents. 

  

	16.16.2	 It is expressly declared that, in its capacity as trustee in relation to the Security Documents specified in clause 16.14.1, the Security Trustee shall
be entitled to invest moneys forming part of the security and which, in the opinion of the Security Trustee, may not be paid out promptly following receipt in the name or under the control of the Security Trustee in any of the investments for the
time being authorised by law for the investment by trustees of trust 

  
 79 

	 	
moneys or, subject to the Lenders’ prior written consent, in any other property or investments whether similar to the aforesaid or not or by placing the same on deposit in the name or under
the control of the Security Trustee as the Security Trustee may think fit without being under any duty to diversify its investments and the Security Trustee may at any time vary or transpose any such property or investments for or into any others of
a like nature and shall not be responsible for any loss due to depreciation in value or otherwise of such property or investments. Any investment of any part or all of the security may, at the discretion of the Security Trustee, be made or retained
in the names of nominees. 

  

	16.17	Independent action by Finance Parties 

 None of the Finance Parties shall enforce, exercise any rights, remedies or powers or grant any consents or releases under or pursuant to, or otherwise have a direct recourse to the security and/or
guarantees constituted by any of the Security Documents without the prior written consent of the Majority Lenders but, Provided such consent has been obtained, it shall not be necessary for any other Finance Party to be joined as an additional party
in any proceedings for this purpose. 
  

	16.18	Common Facility Agent and Security Trustee 

 The Facility Agent and the Security Trustee have entered into the Security Documents in their separate capacities (a) as agent for the Lenders and the Swap Provider under and pursuant to this
Agreement (in the case of the Facility Agent) and (b) as security agent and trustee for the Lenders, the Facility Agent and the Swap Provider under and pursuant to this Agreement, to hold the guarantees and/or security created by the Security
Documents specified in clause 16.14.1 on the terms set out in such Security Documents (in the case of the Security Trustee). However, from time to time the Facility Agent and the Security Trustee may be the same entity. When the Facility Agent and
the Security Trustee are the same entity and any Security Document provides for the Facility Agent to communicate with or provide instructions to the Security Trustee (and vice versa), it will not be necessary for there to be any such formal
communications or instructions on those occasions. 
  

	16.19	Co-operation to achieve agreed priorities of application 

 The Lenders, the Facility Agent and the Swap Provider shall co-operate with each other and with the Security Trustee and any receiver under the Security Documents in realising the property and assets
subject to the Security Documents and in ensuring that the net proceeds realised under the Security Documents after deduction of the expenses of realisation are applied in accordance with clause 13.1 (unless otherwise expressly provided for in any
such Security Document). 
  

	16.20	Prompt distribution of proceeds 

 Moneys received by any of the Finance Parties (whether from a receiver or otherwise) pursuant to the exercise of (or otherwise by virtue of the existence of) any rights and powers under or pursuant to any
of the Security Documents shall (after providing for all costs, charges, expenses and liabilities and other payments ranking in priority) be paid to the Facility Agent for distribution (in the case of moneys so received by any of the Finance Parties
other than the Facility Agent or the Security Trustee) and shall be distributed by the Facility Agent or, as the case may be, the Security Trustee (in the case of moneys so received by the Facility Agent or, as the case may be, the Security Trustee)
in each case in accordance with clause 13.1. The Facility Agent or, as the case may be, the Security Trustee shall make each such application and/or distribution as soon as is practicable after the relevant moneys are received by, or otherwise
become available to, the Facility Agent or, as the case may be, the Security Trustee save that (without prejudice to any other provision contained in any of the Security Documents) the Facility Agent or, as the case may be, the Security Trustee
(acting on the instructions of the Majority Lenders) or any receiver may credit any moneys received by it to a suspense account for so long and in such manner as the Facility Agent or such receiver may from time to time determine with a view to
preserving the rights of the Facility Agent and/or the Security Trustee and/or the Account Bank and/or the Arrangers and/or the Swap Provider and/or the Lenders or any of them to provide for the whole of their respective claims against the Borrowers
or any other person liable. 

  
 80 

	16.21	Role of the Account Bank 

  

	16.21.1	The Account Bank shall be responsible for performing the functions of an Account Bank expressly mentioned herein and, in relation to the Liquidity Account only, in the
Olympian Asclepius Guarantee. 

  

	16.21.2	Except as specifically provided in the relevant Security Documents, the Account Bank has no obligations of any kind to any other Finance Party under or in connection
with any Security Document. 

  

	16.21.3	The Account Bank (in its capacity as Account Bank) shall not be deemed to be an agent, trustee or fiduciary of any other Finance Party or any Security Party under or in
connection with any Security Document. The Account Bank does not have any proprietary interest in the amounts credited to the Accounts but merely holds such amounts as banker subject to the terms of this Agreement and, in relation to the Liquidity
Account only, the Olympian Asclepius Guarantee. 

  

	16.21.4	The duties of the Account Bank under the Security Documents are solely mechanical and administrative in nature. 

 

	16.21.5	The Account Bank and the Borrowers shall comply with the terms of the provisions relating to it hereunder. 

 

	16.22	Account Bank’s business 

 The Account Bank may accept deposits from, lend money to and generally engage in any kind of banking or other business with, the Borrowers and any other party to any Security Document. 

 

	16.23	Rights and discretions of the Account Bank 

  

	16.23.1	The Account Bank may rely on: 

  

	 	(a)	any representation, notice or document believed by it to be genuine, correct and appropriately authorised; and 

 

	 	(b)	any statement made by a director, authorised signatory or employee of any person regarding any matters which may reasonably be assumed to be within his knowledge or
within his power to verify. 

  

	16.23.2	The Account Bank may assume unless it has received notice to the contrary that: 

 

	 	(a)	no Event of Default has occurred and is continuing (unless it has actual knowledge of such an Event of Default arising); and 

 

	 	(b)	any right, power, authority or discretion vested in any Finance Party or Security Party has not been exercised. 

 

	16.24	Excluded obligations 

Notwithstanding anything to the contrary expressed or implied in this Agreement, the Account Bank shall not: 

 

	16.24.1	be bound to enquire as to the occurrence or otherwise of a Default or the performance by any other party to any of the Security Documents of its obligations thereunder;

  
 81 

	16.24.2	be bound to exercise any right, power or discretion vested in such Account Bank under any of the Security Documents; 

 

	16.24.3	be bound to account to any other party hereto for any sum or the profit element of any sum received by it for its own account; or 

 

	16.24.4	be bound to disclose to any other person any information relating to any other person other than to a Lender to the extent expressly required under the Security
Documents. 

  

	16.25	Exclusion of liability 

The Account Bank does not accept any responsibility for the accuracy and/or completeness of any information supplied in connection with
any Security Document or for the legality, validity, effectiveness, adequacy or enforceability of any Security Document and shall not be under any liability as a result of taking or omitting to take any action in relation to the Accounts or the
Security Documents save, in any such case, for gross negligence or wilful misconduct. 
  

	16.26	No actions 

 Each of the
other parties hereto agrees that it will not assert or seek to assert against any director, officer or employee of the Account Bank any claim it might have against the Account Bank in respect of the matters referred to in clause 16.25. 

 

	16.27	Further Account Bank provisions 

  

	16.27.1	The Account Bank shall not be under any duty to give the amounts standing to the credit of the Accounts hereunder any greater degree of care than it gives to its own
similar property. 

  

	16.27.2	This Agreement and the other Security Documents to which the Account Bank is a party expressly set forth all the duties of the Account Bank. The Account Bank shall not
be bound by (and shall be deemed not to have notice of) the provisions of any other agreement entered into by or involving the Borrowers and/or the Olympian Asclepius Guarantor except this Agreement, the other Security Documents to which the Account
Bank is a party and any bank mandate signed between the Account Bank and the Borrowers or, as the case may be, the Olympian Asclepius Guarantor and no implied duties or obligations of the Account Bank shall be read into this Agreement and any of the
other Security Documents to which the Account Bank is a party. 

  

	16.27.3	The Account Bank is under no duty to ensure that funds withdrawn from the Accounts are actually applied for the purpose for which they were withdrawn or that any
instruction or direction by the Borrowers or the Olympian Asclepius Guarantor is accurate, correct or in accordance with this Agreement and, in relation to the Liquidity Account only, the Olympian Asclepius Guarantee and any of the other Security
Documents to which the Account Bank is a party. 

  

	16.27.4	The Borrowers unconditionally agree to the use of any form of telephonic or electronic monitoring or recording by the Account Bank as the Account Bank deems appropriate
for security and service purposes. 

  

	16.27.5	The Account Bank shall not be liable to any person or entity including, but not limited to the Borrowers or, as the context may require, the Olympian Asclepius
Guarantor, for any loss, liability, claim, action, damages or expenses arising out of or in connection with its performance of or its failure to perform any of its obligations under this Agreement or any of the other Security Documents to which the
Account Bank is a party, save as are caused by its own gross negligence or wilful default. 

  

	16.27.6	Notwithstanding the foregoing, under no circumstance will the Account Bank be liable to any party for any consequential loss (inter alia, being loss of business,
goodwill, opportunity or profit) even if advised of the possibility of such loss or damage. 

  
 82 

	16.27.7	The Borrowers shall indemnify and keep the Account Bank (and, without limitation, its directors, officers, agents and employees) indemnified and hold each of them
harmless from and against any and all losses, liabilities, claims, actions, damages, fees and expenses, (including lawyers’ fees and disbursements), arising out of or in connection with this Agreement, save as are caused by their own gross
negligence or wilful default. 

  

	16.27.8	Without prejudice to clause 16.27.9, the Account Bank shall not be obliged to make any payment or otherwise to act on any request or instruction notified to it under
this Agreement or any of the other Security Documents to which the Account Bank is party if it is unable: 

  

	 	(a)	to verify any signature on the notice of request or instruction against the specimen signature provided for the relevant duly authorised representative of the Borrowers
hereunder; and 

  

	 	(b)	to validate the authenticity of a request by a Borrower. 

  

	16.27.9	The Account Bank shall be entitled to rely upon any order, judgment, decree, certification, demand, notice, or other written instrument delivered to it hereunder
without being required to determine the authenticity or the correctness of any fact stated therein or validity or the service thereof. The Account Bank may act in reliance upon any instrument or signature believed by it to be genuine and may assume
that any person purporting to give receipt or advice or make any statement or execute any document in connection with the provisions hereof has been duly authorised to do so. The Borrowers acknowledge that they are fully aware of the risks
associated with transmitting instructions via facsimile and telephone. 

  

	16.27.10	The Account Bank does not have any interest in the amounts standing to the credit of the Accounts deposited hereunder. 

 

	16.27.11	This clause 16.27.11 and clauses 16.27.5, 16.27.6, 16.27.7 and 16.27.9 above, shall survive notwithstanding any termination of this Agreement or the resignation or
replacement of the Account Bank. 

  

	16.27.12	The Account Bank shall have no responsibility for the contents of any ruling of the arbitrators or any third party contemplated in any other document, to which the
Borrowers are privy, as a means to resolve disputes and may rely without any liability upon the contents thereof. 

  

	16.27.13	No printed or other matter in any language (including without limitation prospectuses, notices, reports and promotional material) which mentions the Account Bank’s
name or the rights, powers or duties of the Account Bank shall be issued by the Borrowers or any other Security Party or on their behalf unless the Account Bank shall first have given its written consent thereto. 

 

	16.27.14	The obligations and duties of the Account Bank will be performed only by the Account Bank and, except to the extent required under any applicable law, are not
obligations or duties of any other person (including any branch or office of the Account Bank) and the rights of the Borrowers and the Security Trustee with respect to the Account Bank extend only to such Account Bank and, except to the extent
required under any applicable law, do not extend to any other person. 

  

	16.27.15	The Account Bank may use (and its performance will be subject to the rules of) any communications, clearing or payment system, intermediary bank or other system.

  

	16.28	Cessation by the Account Bank 

  

	16.28.1	The Account Bank may at any time (without assigning any reason therefor) notify the Facility Agent and the Borrowers in writing that it wishes to cease to be the
Account Bank under this Agreement and upon receipt of such notice the Facility Agent (acting on the instructions of the Lenders), with the consent of the Borrowers (such consent not to be unreasonably withheld or delayed), may nominate as a
successor to the Account Bank: 

  

	 	(a)	any Lender; 

  
 83 

	 	(b)	if none are able or willing to do so, another bank with which the Borrowers have an existing relationship; or 

 

	 	(c)	or any other banking institution approved by the Majority Lenders, 

 by giving notice to the Finance Parties, the Borrowers and the Olympian Asclepius Guarantor. 
  

	16.28.2	The Account Bank’s resignation shall only take effect upon the successor Account Bank notifying the Facility Agent that it accepts its appointment and such
successor acceding to each of the Finance Documents to which the retiring Account Bank was a party. 

  

	16.28.3	If there is a change of Account Bank, the amount (if any) standing to the credit of the Accounts maintained with the old Account Bank will be transferred to the
corresponding Accounts maintained with the new Account Bank immediately upon the appointment taking effect, whereupon the old Account Bank shall be discharged from all further obligations arising in connection with this Agreement.

  

	16.28.4	The Borrowers shall, and shall procure that the Olympian Asclepius Guarantor shall, do all such things as the Facility Agent and the Security Trustee may reasonably
request in order to facilitate any such change (including, without limitation, the execution of bank mandate forms and replacement Encumbrance over the Accounts (other than the Liquidity Account)). In all cases any change of the Account Bank shall
be made at the cost of the Finance Parties. 

  

	16.28.5	Upon the appointment of a successor, the retiring Account Bank shall be discharged from any further obligation in respect of the Security Documents but shall remain
entitled to the benefit of clauses 16.21 to 16.28. Its successor and each of the other parties hereto and/or the other Security Documents to which the Account Bank is a party shall have the same rights and obligations amongst themselves as they
would have had if such successor had been an original party hereto and/or the other Security Documents to which the Account Bank is a party. 

  

	16.28.6	The Lenders may, by notice to the Account Bank, require it to resign, and upon receipt of such notice the Account Bank shall resign. 

 

	16.28.7	The retiring Account Bank shall, at its own cost, make available to the successor Account Bank such documents and records and provide such assistance as the successor
Account Bank may reasonably request for the purposes of performing its functions as the Account Bank under the relevant Security Documents. 

  

	17	Notices and other matters 

  

	17.1	Notices 

 Every notice,
request, demand or other communication under this Agreement or (unless otherwise provided therein) under any of the other Security Documents shall: 
  

	17.1.1	be in writing, delivered personally or by first-class prepaid letter (airmail if available) or telefax and, in the case of notification of rates of interest by the
Facility Agent or in the case of the delivery of any document by the Facility Agent, the Facility Agent may refer the relevant party or parties (by fax or letter) to a web site and to the location of the relevant information on such web site in
discharge of such notification or delivery obligation; 

  

	17.1.2	be deemed to have been received, subject as otherwise provided in the relevant Security Document: 

 

	 	(a)	in the case of a letter, when delivered personally or seven (7) days after it has been put into the post; 

  
 84 

	 	(b)	in the case of a telefax, when a complete and legible copy is received by the addressee (unless the date of despatch is not a business day in the country of the
addressee or, if the time of despatch is after the close of business in the country of the addressee, it shall be deemed to have been received at the opening of business on the next such business day); and 

 

	 	(c)	where reference in such notice, request, demand or other communication is made to a web site, when the delivery of the letter or telefax referring to the addressee to
such web site is deemed to have been received pursuant to the other provisions of this clause 17.1, 

 Provided
that any notice, request, demand or communication which is to be sent, made or delivered to the Facility Agent will be effective only when actually received by the Facility Agent and then only if it is expressly marked for the attention of the
department or the individual specified in clause 17.1.3 or any other individual that the Facility Agent shall specify pursuant to such clause 17.1.3; and 
  

	17.1.3	be sent: 

  

	 	(a)	to the Borrowers at: 

 c/o TMS
Tankers Ltd. 
 Athens Ship Management Office 
 80 Kifissias Avenue 
 Marousi 151 25 

Athens 
 Greece

  

			
	Telefax No:	  	+30 210 809 0405
	 Attn:
	  	Mr George Kourelis

  

	 	(b)	to each Commercial Lender and each Arranger at its address or telefax number specified in Schedule 1 or in any relevant Substitution Certificate.

  

	 	(c)	to KEXIM at: 

 The Export-Import
Bank of Korea 
 16-1, Yoido-dong, Youngdeungpo-gu, 
 Seoul, 150-996 
 Republic of Korea 

Telefax No.: +822 3779 6745 
 Attn.: Ship Finance Department 
  

	 	(d)	to the Swap Provider, to its address or fax number specified in paragraph (a) of Part 4 of the Schedule to the Master Swap Agreement. 

 

	 	(e)	to the Facility Agent, the Security Trustee or the Account Bank at: 

 ABN Amro Bank N.V. 
 Coolsingel 93 

3012 AE Rotterdam 
 The Netherlands 
  

			
	Fax:	  	+31 10 401 5323
	Attn:	  	Loans Administration

  
 85 

 or to such other address and/or number as is notified by the relevant party to the other
parties to this Agreement by not less than five (5) Banking Days’ written notice. 
  

	17.2	Notices through the Facility Agent 

 Every notice, request, demand or other communication under this Agreement to be given by the Borrowers to any other party (other than the Swap Provider) shall be given to the Facility Agent specified in
this Agreement for onward transmission as appropriate (without prejudice to any notice which should be delivered directly to KEXIM under this Agreement) and to be given to the Borrowers shall be given by the Facility Agent. Promptly upon receipt of
notification of an address or fax number or change of address or fax number pursuant to clause 17.1.3 or changing its own address or fax number, the Facility Agent shall notify the other parties to this Agreement. 

 

	17.3	No implied waivers, remedies cumulative 

 No failure or delay on the part of the Facility Agent, the Security Trustee, the Account Bank, the Swap Provider, the Arrangers, the Lenders or any of them to exercise any power, right or remedy under any
of the Security Documents shall operate as a waiver thereof (unless expressly agreed in writing by the Facility Agent), nor shall any single or partial exercise by the Facility Agent, the Security Trustee, the Account Bank, the Swap Provider, the
Arrangers, the Lenders or any of them of any power, right or remedy preclude any other or further exercise thereof or the exercise of any other power, right or remedy. The remedies provided in the Security Documents are cumulative and are not
exclusive of any remedies provided by law. 
  

	17.4	English language 

 All
certificates, instruments and other documents to be delivered under or supplied in connection with any of the Security Documents shall be in the English language or shall be accompanied by a certified English translation upon which each Finance
Party shall be entitled to rely. 
  

	17.5	Counterparts 

 This
Agreement may be executed in any number of original counterparts and by facsimile provided that original signed copies are provided within a reasonable period of time thereafter. All such counterparts shall, once executed, constitute a single
document. 
  

	17.6	Conflicts 

 In the event
of any conflict between this Agreement and any of the other Security Documents (other than the Master Swap Agreement), the provisions of this Agreement shall prevail. 
  

	17.7	Further assurance 

 The
Borrowers jointly and severally undertake with each Finance Party that the Security Documents shall both at the date of execution and delivery thereof and so long as any moneys are owing under any of the Security Documents be valid and binding
obligations of the respective parties thereto enforceable in accordance with their respective terms and that they will, at their expense, execute, sign, perfect and do, and will procure the execution, signing, perfecting and doing by each of the
other Security Parties of, any and every such further assurance, document, act or thing as in the opinion of the Majority Lenders may be necessary or desirable for perfecting the security contemplated or constituted by the Security Documents.

  

	17.8	Borrowers’ obligations 

  

	17.8.1	Joint and several 

Notwithstanding anything to the contrary contained in any of the Security Documents, the agreements, obligations and liabilities of the
Borrowers herein contained are joint and several 

  
 86 

 
and shall be construed accordingly. Each of the Borrowers agrees and consents to be bound by the Security Documents to which it is, or is to be, a party notwithstanding that the other Borrowers
which are intended to sign or to be bound may not do so or be effectually bound and notwithstanding that any of the Security Documents may be invalid or unenforceable against any of the other Borrowers, whether or not the deficiency is known to any
of the Finance Parties. 
  

	17.8.2	Borrowers as principal debtors 

Each Borrower acknowledges and confirms that it is a principal and original debtor in respect of all amounts which may become payable by
the Borrowers in accordance with the terms of this Agreement or any of the other Security Documents and agrees that the Finance Parties or any of them may also continue to treat it as such, whether or not any of the Finance Parties is or becomes
aware that such Borrower is or has become a surety for the other Borrowers or any of them. 
  

	17.8.3	Indemnity 

 The Borrowers hereby
agree jointly and severally to keep the Finance Parties fully indemnified on demand against all damages, losses, costs and expenses arising from any failure of any Borrower to perform or discharge any purported obligation or liability of the other
Borrowers or any of them which would have been the subject of this Agreement or any other Security Document had it been valid and enforceable and which is not or ceases to be valid and enforceable against the other Borrowers or any of them on any
ground whatsoever, whether or not known to the Finance Parties or any of them (including, without limitation, any irregular exercise or absence of any corporate power or lack of authority of, or breach of duty by, any person purporting to act on
behalf of the other Borrowers or any of them (or any legal or other limitation, whether under the Limitation Acts or otherwise or any disability or death, bankruptcy, unsoundness of mind, insolvency, liquidation, dissolution, winding up,
administration, receivership, amalgamation, reconstruction or any other incapacity of any person whatsoever (including, in the case of a partnership, a termination or change in the composition of the partnership) or any change of name or style or
constitution of any Security Party). 
  

	17.8.4	Liability unconditional 

 None of
the obligations or liabilities of the Borrowers under this Agreement or any other Security Document shall be discharged or reduced by reason of: 
  

	 	(a)	the death, bankruptcy, unsoundness of mind, insolvency, liquidation, dissolution, winding-up, administration, receivership, amalgamation, reconstruction or other
incapacity of any person whatsoever (including, in the case of a partnership, a termination or change in the composition of the partnership) or any change of name or style or constitution of any Borrower or any other person liable; or

  

	 	(b)	any of the Finance Parties granting any time, indulgence or concession to, or compounding with, discharging, releasing or varying the liability of, any Borrower or any
other person liable or renewing, determining, varying or increasing any accommodation, facility or transaction or otherwise dealing with the same in any manner whatsoever or concurring in, accepting, varying any compromise, arrangement or settlement
or omitting to claim or enforce payment from any Borrower or any other person liable; or 

  

	 	(c)	anything done or omitted which but for this provision might operate to exonerate the Borrowers or any of them. 

 

	17.8.5	Recourse to other security 

 The
Finance Parties shall not be obliged to make any claim or demand or to resort to any Security Document or other means of payment now or hereafter held by or available to any of 

  
 87 

 
them for enforcing this Agreement or any of the Security Documents against any Borrower or any other person liable and no action taken or omitted by any of the Finance Parties in connection with
any such Security Document or other means of payment will discharge, reduce, prejudice or affect the liability of the Borrowers under this Agreement and the Security Documents to which any of them is, or is to be, a party. 

 

	17.8.6	Waiver of Borrowers’ rights 

Each Borrower agrees with each of the Finance Parties that, from the date of this Agreement and so long as any moneys are owing under any
of the Security Documents and while all or any part of the Total Commitments remain outstanding, it will not, without the prior written consent of the Facility Agent: 
  

	 	(a)	exercise any right of subrogation, reimbursement and indemnity against the other Borrowers or any of them or any other person liable; or 

 

	 	(b)	demand or accept repayment in whole or in part of any Indebtedness now or hereafter due to such Borrower from the other Borrowers or any of them or from any other
person liable or demand or accept any guarantee, indemnity or other assurance against financial loss or any document or instrument created or evidencing an Encumbrance in respect of the same or dispose of the same; or 

 

	 	(c)	take any steps to enforce any right against the other Borrowers or any of them or any other person liable in respect of any such moneys; or 

 

	 	(d)	claim any set-off or counterclaim against the other Borrowers or any of them or any other person liable or claiming or proving in competition with the Finance Parties
or any of them in the liquidation of the other Borrowers or any of them or any other person liable or have the benefit of, or share in, any payment from or composition with, the other Borrowers or any of them or any other person liable or any other
Security Document now or hereafter held by the Finance Parties or any of them for any moneys owing under this Agreement or for the obligations or liabilities of any other person liable but so that, if so directed by the Facility Agent, it will prove
for the whole or any part of its claim in the liquidation of the other Borrowers or any of them or other person liable on terms that the benefit of such proof and all money received by it in respect thereof shall be held on trust for the Lenders and
applied in or towards discharge of any moneys owing under this Agreement in such manner as the Facility Agent shall deem appropriate. 

  

	18	Governing law and jurisdiction 

  

	18.1	Law 

 This Agreement and
any non-contractual obligations connected with it are governed by, and shall be construed in accordance with, English law. 
  

	18.2	Submission to jurisdiction 

The parties to this Agreement agree for the benefit of the Finance Parties that: 

 

	18.2.1	if any party has any claim against any other arising out of or in connection with this Agreement (including any non-contractual obligations connected with this
Agreement) such claim shall (subject to clause 18.2.3) be referred to the High Court of Justice in England, to the jurisdiction of which each of the parties irrevocably submits; 

 

	18.2.2	the jurisdiction of the High Court of Justice in England over any such claim against any Finance Party shall be an exclusive jurisdiction and (subject to clause 18.2.3)
no courts outside England shall have jurisdiction to hear or determine any such claim; and 

  
 88 

	18.2.3	nothing in this clause 18.2 shall limit the right of a Finance Party to refer any such claim against any of the Borrowers to any other court of competent jurisdiction
outside England, to the jurisdiction of which the Borrowers hereby irrevocably agree to submit, nor shall the taking of proceedings by a Finance Party before the courts in one or more jurisdictions preclude the taking of proceedings in any other
jurisdiction whether concurrently or not. 

  

	18.2.4	The parties further agree that only the Courts of England and not those of any other State shall have jurisdiction to determine any claim which the Borrowers may have
against any of the Finance Parties arising out of or in connection with this Agreement (including any noncontractual obligations connected with this Agreement). 

 

	18.3	Agent for service of process 

 The Borrowers irrevocably designate, appoint and empower Ince Process Agents Ltd. of 5fth floor, International House, 1 St. Katharine’s Way, London E1W 1AX, England to receive for them and on their
behalf service of process issued out of the High Court of Justice in England in relation to any claim arising out of or in connection with this Agreement. 
 If any person appointed as process agent for the Borrowers is unable for any reason to act or resigns as agent for service of process, the Borrowers must immediately (and in any event within ten
(10) days of such event taking place) appoint another agent on terms acceptable to the Facility Agent. Failing this, the Facility Agent may appoint another agent for this purpose. 

 

	18.4	Waiver of immunity 

 Each
of the Borrowers irrevocably and unconditionally: 
  

	 	(a)	agrees not to claim immunity from proceedings brought by any Finance Party against it in relation to any of the Security Documents and to ensure that no such claim is
made on its behalf; 

  

	 	(b)	consents generally to the giving of any relief or the issue of any process in connection with any request for relief; and 

 

	 	(c)	waives all rights of immunity in respect of itself or its assets. 

  

	18.5	Contracts (Rights of Third Parties) Act 1999 

 No term of this Agreement is enforceable under the Contracts (Rights of Third Parties) Act 1999 by a person who is not a party to this Agreement. 

IN WITNESS whereof the parties to this Agreement have caused this Agreement to be duly executed on the date first above written.

  
 89 

 Schedule 1 
 The Lenders and their addresses 
 Part 1 

Commercial Lenders 
  

			
	 Name
	  	 Address and fax number

	ABN Amro Bank N.V.	  	
		  	Lending Office
		  	Coolsingel 93
		  	3012 AE Rotterdam
		  	The Netherlands
		
		  	 Address for Notices

		
		  	 Coolsingel 93

		  	3012 AE Rotterdam
		  	The Netherlands
		
		  	 Fax:            +31 10 401 53 23

		  	Attn:            Loans Administration

  
 90 

 Part 2 
 KEXIM 
  

			
	 Name
	  	 Address and fax number

		
	The Export-Import Bank of Korea	  	Lending Office
		
		  	The Export - Import Bank Of Korea
		  	16-1, Yoido-dong, Youngdeungpo-gu
		  	Seoul, 150-996
		  	Republic of Korea
		
		  	Address for Notices
		
		  	The Export - Import Bank Of Korea
		  	16-1, Yoido-dong, Youngdeungpo-gu
		  	Seoul, 150-996
		  	Republic of Korea
		
		  	Fax:            +822 3779 6745
		  	Attn:            Ship Finance Department

  
 91 

 Part 3 
 Commitments of the Lenders 
  

																					
	 Name of Lender
	  	Maximum
Total
Commitment
for all Ships	 	  	Commitment
to Ship
Tranche
for
the
Belmar Ship	 	  	Commitment
to Ship
Tranche
for
the
Calida Ship	 	  	Commitment
to Ship
Tranche
for
the
Lipari Ship	 	  	Commitment
to Ship
Tranche
for
the
Petalidi Ship	 
						
	 THE EXPORT-IMPORT BANK OF KOREA
	  	$	102,800,000	  	  	$	23,500,000	  	  	$	23,500,000	  	  	$	27,900,000	  	  	$	27,900,000	  
						
	 ABN AMRO BANK N.V.
	  	$	38,550,000	  	  	$	8,812,500	  	  	$	8,812,500	  	  	$	10,462,500	  	  	$	10,462,500	  

  
 92 

 Schedule 2 
 The Ships 
  

											
	 Name
	  	 Date of Shipbuilding Contract
	  	 Type of Ship
	  	Scheduled
Delivery Date	  	Contract
Price ($)	 
					
	 Belmar
	  	 22 November 2010, as amended by Addendum No. 1 dated 3 December 2010 and Addendum No.

2 dated 10 December 2010
	  	 115,200
 Aframax crude
 oil tanker
	  	October 2011	  	 	58,750,000	  
					
	 Calida
	  	 22 November 2010, as amended by Addendum No. 1 dated 3 December 2010 and Addendum No.

2 dated 10 December 2010
	  	 115,200
 Aframax crude
 oil tanker
	  	January 2012	  	 	58,750,000	  
					
	 Lipari
	  	 29 November 2010, as amended by Addendum No. 1 dated 3 December 2010 and Addendum No.

2 dated 10 December 2010
	  	 158,300
 Suezmax crude
 oil tanker
	  	April 2012	  	 	69,750,000	  
					
	 Petalidi
	  	 29 November 2010, as amended by Addendum No. 1 dated 3 December 2010 and Addendum No.

2 dated 10 December 2010
	  	 158,300
 Suezmax crude
 oil tanker
	  	May 2012	  	 	69,750,000	  

  
 93 

 Schedule 3 
 Form of Drawdown Notice 
 (referred to in clause 2.2) 

 

	To:	[Name and address of Facility Agent] 

 [Date] 
 $141,350,000 Loan 
 Loan Agreement dated [—] 2011 
 We refer to the above Loan Agreement and hereby give you notice that we wish to draw down the [—] on
[—]: 
  

	(i)	the [Belmar] [Calida] [Lipari] [Petalidi] Commercial Lenders Advance in the amount of $[—]; and

  

	(ii)	the [Belmar] [Calida] [Lipari] [Petalidi] KEXIM Advance in the amount of $[—]. 

The scheduled Delivery Date for the relevant Ship is —
200—] [The funds should be credited to [name and number of account] with [details of bank in [New York City]]: 
 [The first Interest Period for the [Belmar] [Calida] [Lipari] [Petalidi] Commercial Lenders Advance will be of [one] [three] [six] [nine] [twelve] month’s duration. The first Interest Period for the
[Belmar] [Calida] [Lipari] [Petalidi] KEXIM Advance of the Ship Tranche will be of [one] [three] [six] [nine] [twelve] month’s duration]] 

We confirm that: 
  

	(a)	no Default has occurred and is continuing; 

  

	(b)	the representations and warranties contained in clauses 7.1 and 7.2 of the Loan Agreement [(and so that the representation and warranty in clause 7.1.9 refers for this
purpose to the audited financial statements of the Group in respect of the financial year ended on — )] and clauses [4.1 and 4.2] of each Guarantee (and so that the representation and warranty in
clause [4.1.6 of] of each Guarantee shall for this purpose refer to the then latest audited financial statements delivered to the Security Trustee under [clause 5.1] of each Guarantee are true and correct at the date hereof as if made with respect
to the facts and circumstances existing at such date; 

  

	(c)	each of the conditions set out in Schedule 4, Part 2 of the Loan Agreement have been satisfied or waived in respect of the making of the Advances requested or will be
satisfied on or before the relevant Drawdown Date or such date as the Facility Agent has provided in a waiver; 

  

	(d)	the borrowing to be effected by the drawdown of such Advances will be within our corporate powers, has been validly authorised by appropriate corporate action and will
not cause any limit on our borrowings (whether imposed by statute, regulation, agreement or otherwise) to be exceeded. 

  
 94 

 Words and expressions defined in the Loan Agreement shall have the same meanings where used herein.

  

	
	  

	For and on behalf of
	OLYMPIAN ARES OWNERS INC.
	
	  

	For and on behalf of
	OLYMPIAN ARTEMIS OWNERS INC.
	
	  

	For and on behalf of
	OLYMPIAN DEMETER OWNERS INC.
	
	  

	For and on behalf of
	OLYMPIAN POSEIDON OWNERS INC.

  
 95 

 Schedule 4 
 Documents and evidence required as conditions precedent 
 (referred to in
clause 9.1) 
 Part 1 
  

	1	Constitutional documents 

copies, certified by the president, vice president, if any, or secretary of each of the Security Parties as true, complete and up to date
copies of all documents which contain or establish or relate to the constitution each of the Security Parties; 
  

	2	Corporate authorisations 

copies of resolutions of the directors and the shareholders of each of the Security Parties approving this Agreement, the Transaction
Documents and the Security Documents to which such Security Party is, or is to be, a party and authorising the signature, delivery and performance of such Security Party’s obligations thereunder, certified (in a certificate dated no earlier
than five (5) Banking Days prior to the date of this Agreement) by the secretary or a director of such Security Party as: 
  

	 	(i)	being true and correct; 

  

	 	(ii)	being duly passed at meetings of the directors and, as the context may require, the shareholders of such Security Party duly convened and held;

  

	 	(iii)	not having been amended, modified or revoked; and 

  

	 	(iv)	being in full force and effect, 

together with originals or certified copies of any powers of attorney issued by such Security Party pursuant to such resolutions;

  

	3	Incumbency certificate 

an original certificate signed by a duly authorised signatory of each of the Security Parties (no earlier than five (5) Banking Days
prior to the date of this Agreement) certifying the names of the officers and directors of the relevant Security Party; 
  

	4	Security Parties’ process agent 

 a copy, certified as a true copy by a duly authorised signatory of each of the Security Parties or other person acceptable to the Facility Agent of a letter from each of the Security Parties’ agent
for receipt of service of proceedings referred to in clause 18.3 accepting its appointment under this Agreement and each of the other Security Documents dated on the same day as this Agreement in which it is, or is to be, appointed as the Security
Parties’ agent and confirming that its appointment has become effective; 
  

	5	Certified Copies 

 a copy,
certified (in a certificate dated no earlier than five (5) Banking Days prior to the date of this Agreement) as a true and complete copy by a duly authorised signatory of each of the Borrowers of each of the Shipbuilding Contracts, the
Management Agreements and any Charters; 

  
 96 

	6	Accounts 

 evidence that
the Accounts have been opened and duly completed mandate forms in respect thereof have been delivered to the Facility Agent and that in relation to each such Account the rights of the Facility Agent or, as the context may require, the Security
Trustee, as well as any operating restrictions, in relation to such Accounts set out in clause 14 and, in the case of the Liquidity Account, clause 6 of the Olympian Asclepius Guarantee, have been properly incorporated in such mandate forms;

  

	7	Legal opinions: 

  

	 	(a)	a legal opinion of Cozen O'Connor, legal counsel to the Facility Agent on matters of Marshall Islands law; 

 

	 	(b)	a legal opinion of Garados & Associates, legal counsel to the Facility Agent on matters of Maltese law; 

 

	 	(c)	a legal opinion of Norton Rose LLP, legal counsel to the Facility Agent on matters of Dutch law; and 

 

	 	(d)	a legal opinion of Norton Rose LLP, legal counsel to the Facility Agent on matters of English law; 

 

	8	Fees and commitment commission 

 evidence that any fees due by the Borrowers to any of the Finance Parties under clause 5.1 have been paid in full; 
  

	9	Borrower's consents and approvals 

 a certificate (dated no earlier than five (5) Banking Days prior to the date of this Agreement) from an officer of each of the Borrowers that no consents, authorisations, licences or approvals are
necessary for that Borrower to authorise or are required by that Borrower in connection with the borrowing by that Borrower of the Loan pursuant to this Agreement or the execution, delivery and performance of that Borrower's Security Documents;

  

	10	Other consents and approvals 

 a certificate (dated no earlier than five (5) Banking Days prior to the date of this Agreement) from an officer of each Security Party (other than the Borrowers) that no consents, authorisations,
licences or approvals are necessary for such Security Party to guarantee and/or grant security for the borrowing by the Borrowers of the Total Commitments pursuant to this Agreement and execute, deliver and perform the Security Documents insofar as
such Security Party is a party thereto; 
  

	11	Security Documents 

 the
Master Swap Agreement, the Swap Assignment, the Account Pledges, the Guarantees and the Share Pledges (each together with the other documents to be delivered to the Facility Agent pursuant thereto), each duly completed and executed by the relevant
Security Parties; 
  

	12	“Know your customer” 

 such documentation and other evidence as is requested by the Facility Agent in order for the Facility Agent or the Arrangers or any Lender or the Account Bank to carry out and be satisfied with the
results of all necessary "know your client" or other checks which each such Lender or 

  
 97 

 
the Arrangers or the Facility Agent or the Account Bank is required to carry out under any applicable law or legislation or by any regulatory or financial services authority (including in the
European Union or the U.S.A.), in relation to the transactions contemplated by this Agreement and to the identity of any parties to this Agreement (other than the Finance Parties) and their members of the board of directors, officers, shareholders
and ultimate beneficial owners; and 
  

	13	Bribery Declaration 

 a
bribery declaration addressed to KEXIM in form and substance acceptable to KEXIM. 

  
 98 

 Part 2 
 Documents and evidence required as conditions precedent for each Advance 
  

	1	Drawdown Notice 

 the
Drawdown Notice in respect of the relevant Advance duly executed; 
  

	2	Conditions precedent 

evidence that the conditions precedent set out in Part 1 of schedule 4 remain fully satisfied; 

 

	3	Updated corporate authorisations/certificates of incumbency 

 evidence of the authority of the person(s) signing the Drawdown Notice on behalf of the Borrowers; 
  

	4	Ship conditions 

 evidence
that the Ship relevant to such Advance: 
  

	 	(a)	Registration and Encumbrances 

is registered or provisionally registered in the name of the relevant Borrower under the laws and flag of the relevant Flag State and that
such Ship is free of Encumbrances (other than Permitted Encumbrances but excluding any Permitted Liens); 
  

	 	(b)	Classification 

 maintains the
relevant Classification free of all requirements and recommendations of the relevant Classification Society; 
  

	 	(c)	Insurance 

 is insured in
accordance with the provisions of the relevant Security Documents and all requirements of the relevant Security Documents in respect of such insurance have been complied with (including without limitation, confirmation from the protection and
indemnity association or other insurer with which such Ship is, or is to be, entered for insurance or insured against protection and indemnity risks (including oil pollution risks) that any necessary declarations required by the association or
insurer for the removal of any oil pollution exclusion have been made and that any such exclusion does not apply to such Ship); and 
  

	 	(d)	Pool Documents 

 has been or will
be delivered for service under the relevant Pool Documents and has been or, on its Delivery Date shall be, accepted for service thereunder by the relevant counterparty; 

 

	5	Delivery 

 evidence that
the Builder does not have any claims against the relevant Ship or the relevant Borrower and is ready upon payment of the remaining part of the relevant Contract Price to deliver the relevant Ship to the relevant Borrower; 

  
 99 

	6	Security Documents 

 the
Mortgage, Deed of Covenant, Charter Assignment (if any) and Manager’s Undertaking for the relevant Ship, together with the other documents to be delivered to the Facility Agent pursuant thereto, each duly executed; 

 

	7	Valuation 

 two valuations
of the Ship relevant to such Advance (dated not earlier than thirty (30) days prior to the relevant Drawdown Date) made (at the cost of the Borrowers) on the basis and in the manner specified in clause 8.2.2 providing a market value of such
Ship acceptable to the Facility Agent in its sole discretion; 
  

	8	Notices of assignment 

duly executed notices of assignment required by the terms of the relevant Security Documents and in the forms prescribed by the relevant
Security Documents for such Ship; 
  

	9	Insurance opinion 

 an
opinion from such insurance consultants to the Facility Agent (at the cost of the Borrowers) as the Facility Agent may require on the insurances effected or to be effected in respect of the relevant Ship upon and following the Drawdown Date of the
relevant Advance; 
  

	10	DOC and SMC 

 a certified
true copy of the DOC of the Operator of the relevant Ship and either (i) a certified true copy of the SMC for the relevant Ship or (ii) evidence satisfactory to the Facility Agent that the Operator for the relevant Ship has applied to the
relevant Regulatory Agency for an SMC for such Ship to be issued pursuant to the ISM Code within any time-limit required or recommended by such Regulatory Agency; 
  

	11	ISPS Code Compliance 

  

	 	(a)	evidence satisfactory to the Facility Agent that the Ship relevant to such Advance is subject to a ship security plan which complies with the ISPS Code; and

  

	 	(b)	a copy, certified (in a certificate dated no earlier than five (5) Banking Days prior to the Drawdown Date of such Advance) as a true and complete copy by an
officer of the relevant Borrower of the ISSC for such Ship (or an application in respect thereof); 

  

	12	Bill of sale and delivery documents 

 a copy, certified as a true and complete copy by an officer or legal counsel of the Borrowers, of a duly executed and notarised/legalised bill of sale in respect of the relevant Ship evidencing the full
Contract Price for such Ship and the other delivery documents (including the relevant Protocol of Delivery and Acceptance) duly executed and exchanged pursuant to the relevant Shipbuilding Contract; 

 

	13	Survey Report 

 if
required by the Facility Agent, a survey report from surveyors (at the cost of the Borrowers) appointed by the Facility Agent (acting on the instructions of the Lenders), prepared following 

  
 100

 
a physical inspection made by them of the Ship relevant to such Advance evidencing that such Ship is in a condition satisfactory to the Facility Agent and maintains specifications in all respects
acceptable to the Facility Agent; 
  

	14	Marshall Islands legal opinion 

 a favourable, in the opinion of the Facility Agent, legal opinion in respect of the relevant Borrower of Cozen O’Connor, special legal advisers on matters of Marshall Islands law to the Finance
Parties; 
  

	15	Maltese opinion 

 a
favourable, in the opinion of the Facility Agent, legal opinion in respect of the relevant Mortgage of Ganado & Associates (or such other legal advisers selected by the Facility Agent), special legal advisers on matters of Maltese law to
the Finance Parties; 
  

	16	Equity 

 any funds
required to pay the remaining part of the Contract Price for the relevant Ship which is not being financed by the relevant Advance have been deposited by the Facility Agent at least 3 days before the relevant Drawdown Date; 

 

	17	Liquidity Account 

evidence that the amount required under clause 14.1.2 is standing to the credit of the Liquidity Account; 

 

	18	Registration forms 

 such
statutory forms duly signed by the Borrowers and the other Security Parties as may be required by the Facility Agent to perfect the security contemplated by the Security Documents; 

 

	19	Security Parties’ process agent 

 a copy, certified as a true copy by a duly authorised signatory of each of the Security Parties or other person acceptable to the Facility Agent of a letter from each of the Security Parties’ agent
for receipt of service of proceedings referred to in clause 18.3 accepting its appointment under each of the Security Documents to which it is, or is to be, appointed as the Security Parties’ agent and confirming that its appointment has become
effective; 
  

	20	Further opinions 

 such
further favourable opinions as the Facility Agent may require; and 
  

	21	Further conditions precedent 

 such further conditions precedent as the Facility Agent may reasonably require (except in relation to the Belmar Ship where no further conditions precedent may be required). 

  
 101

 Schedule 5 
 Form of Substitution Certificate 
 (referred to in clause 15.3) 

SUBSTITUTION CERTIFICATE 

Lenders are advised not to employ Substitution Certificates or otherwise to assign or transfer interests in the Loan Agreement without further ensuring
that the transaction complies with all applicable laws and regulations, including the Financial Services and Markets Act 2000 and regulations made thereunder and similar statutes which may be in force in other jurisdictions 

To: ABN Amro Bank N.V., as facility agent on its own behalf and on behalf of the Borrowers, the Account Bank, the Swap Provider, the Arrangers, the
Security Trustee and the Lenders defined in the Loan Agreement referred to below. 
 [Date] 

Attention:    — 
 This certificate (“Substitution Certificate”) relates to a loan agreement dated [—] 2011 (the “Loan Agreement”) and made
between (1) Olympian Ares Owners Inc., Olympian Artemis Owners Inc., Olympian Demeter Owners Inc. and Olympian Poseidon Owners Inc. (the “Borrowers”), (2) The Export-Import Bank of Korea and the banks and financial
institutions defined therein as Commercial Lenders (together the “Lenders”), (3) ABN Amro Bank N.V. and The Export-Import Bank of Korea as joint Arrangers (4) ABN Amro Bank N.V. as Facility Agent, (5) ABN Amro Bank
N.V. as Security Trustee, (6) ABN Amro Bank N.V. as Account Bank and (7) ABN Amro Bank N.V. as Swap Provider, in relation to a loan of up to $141,350,000. Terms defined in the Loan Agreement shall, unless otherwise defined herein, have the
same meanings when used herein as therein. 
 In this Certificate: 
 the “Existing Lender” means [full name] of [lending office]; and 
 the
“New Lender” means [full name] of [lending office]. 
  

	1	The Existing Lender with full title guarantee assigns to the New Lender absolutely all rights and interests (present, future or contingent) which the Existing Lender
has as a Lender under or by virtue of the Loan Agreement and all the other Security Documents in relation to [    ] per cent. ([    ]%) of the Contribution of the Existing Lender (or its predecessors in title)
details of which are set out below: 

  

							
	 Date of Advaces
	  	Amount of Advances	  	Existing
Lender’s
[Contribution]
[Commitment] to
Advances	  	Maturity Date
		  		  		  	

  
 102

	2	By virtue of this Substitution Certificate and clause 15 of the Loan Agreement, the Existing Lender is discharged [entirely from its Available Commitment which amounts
to $[         ]] [from [     ] per cent. ([     ]%) of its Available Commitment, which percentage represents $[         ]].

  

	3	The New Lender hereby requests the Facility Agent (on behalf of itself, the Borrowers, the Security Trustee, the Lenders, the Account Bank, the Arrangers and the Swap
Provider) to accept the executed copies of this Substitution Certificate as being delivered pursuant to and for the purposes of clause 15.3 of the Loan Agreement so as to take effect in accordance with the terms thereof on [date of transfer].

  

	4	The New Lender: 

  

	 	(a)	confirms that it has received a copy of the Loan Agreement and the other Security Documents together with such other documents and information as it has required in
connection with the transaction contemplated thereby; 

  

	 	(b)	confirms that it has not relied and will not hereafter rely on the Existing Lender, the Facility Agent, the Security Trustee, the Account Bank, the Arrangers or the
Swap Provider to check or enquire on its behalf into the legality, validity, effectiveness, adequacy, accuracy or completeness of the Loan Agreement, any of the other Security Documents or any such documents or information; 

 

	 	(c)	agrees that it has not relied and will not rely on the Existing Lender, the Facility Agent, the Security Trustee, the Account Bank, the Arrangers, the Swap Provider or
the Lenders to assess or keep under review on its behalf the financial condition, creditworthiness, condition, affairs, status or nature of the Borrowers or any other Security Party (save as otherwise expressly provided therein);

  

	 	(d)	warrants that it has power and authority to become a party to the Loan Agreement and has taken all necessary action to authorise execution of this Substitution
Certificate and to obtain all necessary approvals and consents to the assumption of its obligations under the Loan Agreement and the other Security Documents; 

 

	 	(e)	acknowledges and accepts the provisions of paragraph 4(c) above; and 

  

	 	(f)	if not already a Lender, appoints the Facility Agent and the Security Trustee to act, respectively, as its agent and security trustee as provided in the Loan Agreement
and the other Security Documents and agrees to be bound by the terms of the Loan Agreement. 

  

	5	The Existing Lender: 

  

	 	(a)	warrants to the New Lender that it has full power to enter into this Substitution Certificate and has taken all corporate action necessary to authorise it to do so;

  

	 	(i)	warrants to the New Lender that this Substitution Certificate is binding on the Existing Lender under the laws of England, the country in which the Existing Lender is
incorporated and the country in which its lending office is located; and 

  

	 	(ii)	agrees that it will, at its own expense, execute any documents which the New Lender reasonably requests for perfecting in any relevant jurisdiction the New
Lender’s title under this Substitution Certificate or for a similar purpose. 

  

	6	The New Lender hereby undertakes with the Existing Lender and each of the other parties to the Loan Agreement and the other Security Documents that it will perform in
accordance with its terms all those obligations which by the terms of the Loan Agreement and the other Security Documents will be assumed by it after delivery of the executed copies of this Substitution Certificate to the Facility Agent and
satisfaction of the conditions (if any) subject to which this Substitution Certificate is expressed to take effect. 

  
 103

	7	By execution of this Substitution Certificate on their behalf by the Facility Agent and in reliance upon the representations and warranties of the New Lender, the
Borrowers and each of the Finance Parties accept the New Lender as a party to the Loan Agreement and the Security Documents with respect to all those rights and/or obligations which by the terms of the Loan Agreement and the Security Documents will
be assumed by the New Lender (including those about pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, any Finance Party as provided by the Loan Agreement) after delivery of the executed copies of this
Substitution Certificate to the Facility Agent and satisfaction of the conditions (if any) subject to which this Substitution Certificate is expressed to take effect. 

 

	8	None of the Existing Lender or the other Finance Parties: 

  

	 	(a)	makes any representation or warranty nor assumes any responsibility with respect to the legality, validity, effectiveness, adequacy or enforceability of the Loan
Agreement or any of the Security Documents or any document relating thereto; or 

  

	 	(b)	assumes any responsibility for the financial condition of the Borrowers or any of them or any other Security Party or any party to any such other document or for the
performance and observance by the Borrowers or any of them or any other Security Party or any party to any such other document (save as otherwise expressly provided therein) and any and all such conditions and warranties, whether express or implied
by law or otherwise, are hereby excluded (except as aforesaid). 

  

	9	The Existing Lender and the New Lender each undertake that they will on demand fully indemnify the Facility Agent in respect of any claim, proceeding, liability or
expense which relates to or results from this Substitution Certificate or any matter concerned with or arising out of it unless caused by the Facility Agent’s gross negligence or wilful misconduct, as the case may be. 

 

	10	The agreements and undertakings of the New Lender in this Substitution Certificate are given to and for the benefit of and made with each of the other parties to the
Loan Agreement and the Security Documents. 

  

	11	This Substitution Certificate and any non-contractual obligations in connection with it are governed by, and shall be construed in accordance with, English law.

  

					
	Existing Lender	  	New Lender	  	
			
	By:	  	By:	  	
			
	Dated:	  	Dated:	  	
			
	Agent	  		  	

 Agreed for and on behalf of itself as Facility Agent, the Security Trustee 

the Borrowers, the Arrangers, the Account Bank, the Swap Provider and the Lenders 

ABN AMRO BANK N.V. 
 By: 

Dated: 
 Note: The execution of
this Substitution Certificate alone may not transfer a proportionate share of the Existing Lender’s interest in the security constituted by the Security Documents in the Existing Lender’s or New Lender’s jurisdiction. It is the
responsibility of the New Lender to ascertain whether any other documents are required to perfect a transfer of such a share in the Existing Lender’s interest in such security in any such jurisdiction and, if so, to seek appropriate advice and
arrange for execution of the same. 

  
 104

 The Schedule 
 Outstanding Contribution: $— 
 Commitment: $— 
 Portion Transferred: —% 

Administrative Details of Transferee 

Name of New Lender: 
 Lending Office:

 Contact Person: 
 (Loan
Administration Department): 
 Telephone: 
 Telefax No: 
 [Contact Person: 
 (Credit Administration Department): 
 Telephone: 

Telefax No: 
 Account for payments:] 

  
 105

 Schedule 6 
 Form of Trust Deed 
 THIS DECLARATION OF TRUST made by ABN AMRO BANK N.V.
(the “Security Trustee”) is made on [—] 2011 and is supplemental to (and made pursuant to the terms of) a Loan Agreement dated [—]
2011 (the “Agreement”) and made between (1) Olympian Ares Owners Inc., Olympian Artemis Owners Inc., Olympian Demeter Owners Inc. and Olympian Poseidon Owners Inc. as joint and several Borrowers, (2) the banks and
financial institutions mentioned in part 1, schedule 1 to the Agreement as Commercial Lenders, (3) The Export-Import Bank of Korea as loan provider, (4) ABN Amro Bank N.V. and The Export-Import Bank of Korea as joint arrangers and
(5) ABN Amro Bank N.V. as Facility Agent, Security Trustee, Swap Provider and Account Bank. Words and expressions defined in the Agreement shall have the same meaning when used in this Deed. 

NOW THIS DEED WITNESSETH as follows: 
  

	1	The Security Trustee hereby acknowledges and declares that, from the date of this Deed, it holds and shall hold the Trust Property on trust for the Lenders, the
Facility Agent and the Swap Provider on the terms and basis set out in the Agreement. 

  

	2	The declaration and acknowledgement contained in paragraph 1 above shall be irrevocable. 

 IN WITNESS whereof the Security Trustee has executed this Deed the day and year first above written. 
  

							
	EXECUTED as a DEED	  	)	  		  	
	by	  	)	  		  	
	for and on behalf of	  	)	  	  
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	(as Security Trustee)	  	)	  		  	

  
 106

							
	 Execution Page

Borrowers
	  		  		  	
				
	SIGNED by D. Glynos	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ D. Glynos
	  	
	OLYMPIAN POSEIDON OWNERS INC.	  	)	  	Attorney-in-fact	  	
	pursuant to a Power of Attorney dated 4 October 2011	  	)	  		  	
				
	SIGNED by D. Glynos	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ D. Glynos
	  	
	OLYMPIAN DEMETER OWNERS INC.	  	)	  	Attorney-in-fact	  	
	pursuant to a Power of Attorney dated 4 October 2011	  	)	  		  	
				
	SIGNED by D. Glynos	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ D. Glynos
	  	
	OLYMPIAN ARTEMIS OWNERS INC.	  	)	  	Attorney-in-fact	  	
	pursuant to a Power of Attorney dated 4 October 2011	  	)	  		  	
				
	SIGNED by D. Glynos	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ D. Glynos
	  	
	OLYMPIAN ARES OWNERS INC.	  	)	  	Attorney-in-fact	  	
	pursuant to a Power of Attorney dated 4 October 2011	  	)	  		  	
				
	Facility Agent	  		  		  	
				
	SIGNED by Evangeline Platsideki	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Evangeline Platsideki
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	as Facility Agent pursuant to a	  	)	  		  	
	Power of Attorney dated 28 September 2011	  	)	  		  	
				
	Security Trustee	  		  		  	
				
	SIGNED by Evangeline Platsideki	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Evangeline Platsideki
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	as Security Trustee pursuant to a	  	)	  		  	
	Power of Attorney dated 28 September 2011	  	)	  		  	
				
	Arrangers	  		  		  	
				
	SIGNED by Evangeline Platsideki	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Evangeline Platsideki
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	as Arranger pursuant to a	  	)	  		  	
	Power of Attorney dated 28 September 2011	  	)	  		  	

  
 107

							
				
	SIGNED by /s/ Heung-Sik Min	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Heung-Sik Min
	  	
	THE EXPORT-IMPORT BANK OF KOREA	  	)	  	Authorised signatory	  	
	as Arranger	  	)	  		  	
		  	)	  		  	
				
	Account Bank	  		  		  	
				
	SIGNED by Evangeline Platsideki	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Evangeline Platsideki
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	as Account Bank pursuant to a	  	)	  		  	
	Power of Attorney dated 28 September 2011	  	)	  		  	
				
	Swap Provider	  		  		  	
				
	SIGNED by Evangeline Platsideki	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Evangeline Platsideki
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	as Swap Provider pursuant to a	  	)	  		  	
	Power of Attorney dated 28 September 2011	  	)	  		  	
				
	KEXIM	  		  		  	
				
	SIGNED by /s/ Heung-Sik Min	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Heung-Sik Min
	  	
	THE EXPORT-IMPORT BANK OF KOREA	  	)	  	Authorised signatory	  	
	as a Lender	  	)	  		  	
				
	The Commercial Lenders	  		  		  	
				
	SIGNED by Evangeline Platsideki	  	)	  		  	
	for and on behalf of	  	)	  	 /s/ Evangeline Platsideki
	  	
	ABN AMRO BANK N.V.	  	)	  	Attorney-in-fact	  	
	as a Commercial Lender pursuant to a	  	)	  		  	
	Power of Attorney dated 28 September 2011	  	)	  		  	

  
 108Loan Agreement, dated February 14, 2012, for a loan of up to $122,580,000

 Exhibit 4.106 
 Private & Confidential 
  
 

 
 Execution Version 
 Dated February 14 2012 
 On-delivery buyer credit facility agreement

 for up to US$122,580,000 supported by SINOSURE 
 OCEAN VIEW OWNERS LIMITED, OCEANSURF OWNERS LIMITED AND OCEANCENTURY 
 OWNERS LIMITED

 as joint and several Borrowers 
 arranged by 
 CHINA DEVELOPMENT BANK CORPORATION as Mandated Lead Arranger

 and 
 BANK OF CHINA
LIMITED as Coordinating Mandated Lead Arranger 
 with 
 CHINA DEVELOPMENT BANK CORPORATION and BANK OF CHINA LIMITED 
 as Original Lenders

 with 
 CHINA
DEVELOPMENT BANK CORPORATION 
 as Facility Agent 
 and 
 CHINA DEVELOPMENT BANK CORPORATION 

as Security Agent 
 Norton Rose LLP

 19/F China World Tower 

No. 1 Jianguomenwai Ave 
 Beijing 100004

 P.R. China 

 Contents 

 

							
	Clause	 	 	  	Page	 
			
	 1
	 	 Definitions and construction
	  	 	3	  
	 2
	 	 The Facilities
	  	 	19	  
	 3
	 	 Purpose
	  	 	22	  
	 4
	 	 SINOSURE policy and premium
	  	 	22	  
	 5
	 	 Effective date and conditions precedent
	  	 	23	  
	 6
	 	 Drawdown
	  	 	24	  
	 7
	 	 Conditions subsequent
	  	 	26	  
	 8
	 	 Interest and Interest Periods
	  	 	27	  
	 9
	 	 Repayment and prepayment
	  	 	29	  
	 10
	 	 Fees and expenses
	  	 	32	  
	 11
	 	 Payments and taxes; accounts and calculations
	  	 	33	  
	 12
	 	 Representations and warranties
	  	 	35	  
	 13
	 	 Undertakings
	  	 	40	  
	 14
	 	 Construction Period
	  	 	46	  
	 15
	 	 Events of Default
	  	 	47	  
	 16
	 	 Indemnities
	  	 	51	  
	 17
	 	 Unlawfulness and increased costs
	  	 	53	  
	 18
	 	 Security, set-off and pro-rata payments
	  	 	54	  
	 19
	 	 Accounts
	  	 	55	  
	 20
	 	 Changes to Parties
	  	 	57	  
	 21
	 	 Confidentiality
	  	 	60	  
	 22
	 	 Arrangers, Facility Agent and Security Agent
	  	 	62	  
	 23
	 	 Notices and other matters
	  	 	73	  
	 24
	 	 Governing law and jurisdiction
	  	 	75	  
	 Schedule 1 The original parties
	  	 	77	  
		
	 Schedule 2 Ship Information
	  	 	79	  
		
	 Schedule 3 Conditions precedent
	  	 	82	  
		
	 Schedule 4 Repayment Schedules
	  	 	93	  
		
	 Schedule 5 Approved Shipbrokers
	  	 	99	  
		
	 Schedule 6 Form of Drawdown Notice
	  	 	100	  
		
	 Schedule 7 Form of Transfer Certificate
	  	 	102	  
		
	 Schedule 8 Form of Guarantee
	  	 	106	  
		
	 Schedule 9 Form of Mortgage
	  	 	107	  
		
	 Schedule 10 Form of Deed of Covenant
	  	 	108	  
		
	 Schedule 11 Form of Charter Assignment
	  	 	109	  
		
	 Schedule 12 Form of Manager’s Undertaking
	  	 	110	  
		
	 Schedule 13 Form of Pledge of Shares
	  	 	111	  
		
	 Schedule 14 Form of Confidentiality Undertaking
	  	 	112	  
		
	 Schedule 15 Form of General Assignment
	  	 	117	  

							
		
	 Schedule 16 Form of Subordination Deed
	  	 	118	  
		
	 Schedule 17 Form of Charterer Subordination Deed
	  	 	119	  
		
	 Schedule 18 Form of Shipbuilding Contract Assignment
	  	 	120	  
		
	 Schedule 19 Form of Letter of Comfort
	  	 	121	  
		
	 SIGNATURES
	  	 	122	  

 THIS AGREEMENT is dated February 14 2012 and made BETWEEN: 

 

	(1)	THE COMPANIES listed in part 1 of Schedule 1 as joint and several borrowers (the Borrowers); 

 

	(2)	CHINA DEVELOPMENT BANK CORPORATION as Mandated Lead Arranger and BANK OF CHINA LIMITED as Coordinating Mandated Lead Arranger collectively
(the Arrangers); 

  

	(3)	THE FINANCIAL INSTITUTIONS listed in part 2 of Schedule 1 (The Original Parties) as lenders (the Original Lenders); 

 

	(4)	CHINA DEVELOPMENT BANK CORPORATION as facility agent for the other Finance Parties (the Facility Agent); 

 

	(5)	CHINA DEVELOPMENT BANK CORPORATION as security agent and trustee for the Finance Parties (the Security Agent). 

IT IS AGREED as follows: 
  

	1	Definitions and construction 

  

	1.1	Definitions 

 In this
Agreement, unless the context otherwise requires: 
 Account Bank means the Operating Account Bank or the Debt Service
Account Bank 
 Accounts means (a) the Operating Account in relation to each Borrower; (b) the Repayment Account
in relation to each Borrower; (c) the Debt Service Account in relation to each Borrower; and Account means any one of them 
 Account Security Documents means: 
  

	 	(a)	the Charge Over Operating Account in relation to each Borrower and each Operating Account; and 

 

	 	(b)	the Charge Over Debt Service Account in relation to each Borrower and each Debt Service Account 

Acting in Concert means persons who, pursuant to an agreement or understanding (whether formal or informal), actively co-operate to
obtain or consolidate control of a company 
 Affiliate means, in relation to any person, a Subsidiary of that person or a
Holding Company of that person or any other Subsidiary of that Holding Company 
 Alternative Basis has the meaning
ascribed thereto in clause 8.7.2 (Market Disruption; non-availability) 
 Approved Shipbroker means two of the
shipbrokers selected by the Borrowers from the list set out in Schedule 5 (Approved Shipbrokers) or such other independent and reputable ship broking firm approved by the Facility Agent on behalf of the Lenders 

Availability Period means, in relation to any Ship and its Ship Commitment, the period commencing the date of this Agreement and
ending on the earlier to occur of: 
  

	 	(a)	the date falling two hundred and ten (210) days after the expected delivery date for such Ship; being in the case of Ship A, 30 June 2012, Ship B,
31 October 2012 and Ship C, 31 January 2013; or 

  
 - 3 -

	 	(b)	such other date as the Borrowers may request and the Facility Agent (acting on the instructions of the Majority Lenders) may in its absolute discretion agree

 Basel 2 Accord means the “International Convergence of Capital Measurement and Capital Standards,
a Revised Framework” published by the Basel Committee on Banking Supervision in June 2004 in the form existing on the date of this Agreement 
 Basel 2 Approach means either the Standardised Approach or the relevant Internal Ratings Based Approach (each as defined in the Basel 2 Accord) adopted by a Lender (or its holding company) for the
purposes of implementing or complying with the Basel 2 Accord 
 Basel 2 Regulation means (a) any law or regulation
implementing the Basel 2 Accord or (b) any Basel 2 Approach adopted by a Lender 
 Basel 3 means,
together, “Basel III: A global regulatory framework for more resilient banks and banking systems” and “Basel III: International framework for liquidity risk measurement, standards and monitoring11 both published by the Basel Committee on Banking Supervision on
16th December, 2010 
 Break Costs means the amount (if any) by which: 

 

	 	(a)	the interest which a Lender should have received for the period from the date of receipt of all or any part of its participation in any Ship Loan, the Loan or Unpaid
Sum to the last day of the current Interest Period in respect of any Ship Loan, the Loan or Unpaid Sum, had the principal amount or Unpaid Sum received been paid on the last day of that Interest Period; 

exceeds: 
  

	 	(b)	the amount which that Lender would be able to obtain by placing an amount equal to the principal amount or Unpaid Sum received by it on deposit with a leading bank in
the London interbank market for a period starting on the Business Day following receipt or recovery and ending on the last day of the current Interest Period 

 Builder means Shanghai Jiangnan-Changxing Shipbuilding Company, Limited whose registered office is at No 2468 Changxing Jiangnan Avenue, Changxing Town Chong Ming County, Shanghai 201913, the
People’s Republic of China 
 Builder’s Account means an account of the Builder opened or (as the context may
require) to be opened by the Builder, the details of which are to be provided by the Builder directly to the Facility Agent 

Business Day means 
  

	 	(a)	in relation to a day on which a rate for LIBOR is to be fixed, a day on which banks are open for normal business in London; 

 

	 	(b)	in relation to a day for the payment or purchase of Dollars, a day on which banks are open for normal business in Athens, New York and Beijing (or any other relevant
place of payment under clause 11 (Payments and taxes; accounts and calculations)); and 

  

	 	(c)	in any other case, any day on which banks are open for normal business in Athens, New York and Beijing 

Capital Adequacy Law means any law or any regulation (whether or not having the force of law, but, if not having the force of law,
with which a Lender or, as the case may be, its holding company habitually complies), including (without limitation) those relating to Taxation, capital adequacy, liquidity, reserve assets, cash ratio deposits and special deposits or other banking
or monetary controls or requirements which affect the manner in which such Lender allocates capital resources to its obligations under the Finance Documents (including, without limitation, those resulting from the implementation or application of or
compliance with the Basel 2 Accord or any Basel 2 Regulation) or Basel 3 

  
 - 4 -

 Cardiff Guarantor means Cardiff Marine Inc., a company incorporated in Liberia with
registration number C-65901, with its registered address at 80 Broad Street, Monrovia, Liberia 
 Casualty Amount means,
in relation to each Ship, $1,300,000 or its equivalent in any other currency 
 Change of Control means: 

 

	 	(a)	any person or group of persons Acting in Concert gaining direct or indirect Control of the Dryships Guarantor; or 

 

	 	(b)	either of the Manager or the Cardiff Guarantor ceasing to be legally and beneficially owned by such person or persons as have been disclosed by or on behalf of the
Cardiff Guarantor or any Security Party to the Security Agent and/or the Facility Agent and/or the Arrangers and/or the Original Lender in the negotiation of this Agreement and the Guarantee 

Charge Over Debt Service Account means, in relation to a Borrower, the charge over accounts executed or (as the context may
require) to be executed by that Borrower and Security Agent on behalf of or together with the other Finance Parties and (as the context may require) executed or to be executed or (as the context may require) acknowledged or to be acknowledged by the
Debt Service Account Bank in respect of the Debt Service Account in such form as the Facility Agent (acting on the instructions of the Majority Lenders in their sole discretion) may require 

Charge Over Operating Account means, in relation to a Borrower, the charge over account executed or (as the context may require) to
be executed by that Borrower and the Security Agent on behalf of or together with the other Finance Parties and (as the context may require) executed or to be executed or (as the context may require) acknowledged or to be acknowledged by the
Operating Account Bank in respect of the Operating Account in such form as the Facility Agent (acting on the instructions of the Majority Lenders in their sole discretion) may require 

Charter Assignment means, in relation to a Borrower, the first priority assignment of the Time Charter to which that Borrower is a
party executed or (as the context may require) to be executed by the Borrower in favour of the Security Agent substantially in the form set out in Schedule 11 (Form of Charter Assignment) 

Charterer Subordination Deed means, in relation to a Borrower, a subordination deed executed or (as the context may require) to be
executed by that Borrower, the Time Charterer, the Lenders, the Arrangers, the Facility Agent and the Security Agent substantially in the form set out in Schedule 17 (Form of Charterer Subordination Deed) 

Classification means, in relation to a Ship, the highest classification available for a vessel of the same type as such Ship with
the relevant Classification Society or such other classification as the Facility Agent (acting on the instructions of the Majority Lenders) shall at the request of the relevant Owner, have agreed in writing shall be treated as the Classification for
such Ship for the purposes of the Security Documents 
 Classification Society means, in relation to a Ship, the
classification society specified in respect of such Ship in Schedule 2 (Ship information) or such other classification society (being a member of the International Association of Classification Societies (IACS)) which the Facility Agent
(acting on the instructions of the Majority Lenders) shall, at the request of the relevant Owner, have agreed in writing shall be treated as the Classification Society for such Ship for the purposes of the Security Documents

  
 - 5 -

 
Code means the International Management Code for the Safe Operation of Ships and for Pollution Prevention constituted pursuant to Resolution A. 741(18) of the International Maritime
Organisation and incorporated into the Safety of Life at Sea Convention 1974 (as amended) and includes any amendments or extensions thereto and any regulation issued pursuant thereto 

Commitment means: 
  

	 	(a)	in relation to any Original Lender, the amount set out opposite its name in the column headed “Commitment” in part 2 of Schedule 1 (the Original
Parties); and 

  

	 	(b)	in the case of a Transferee, the amount transferred as specified in the relevant Transfer Certificate to the extent not cancelled, reduced or transferred by it pursuant
to the terms of this Agreement 

 Compulsory Acquisition means, in relation to a Ship, requisition for title
or other compulsory acquisition, requisition, appropriation, expropriation, deprivation, forfeiture or confiscation for any reason of that Ship by any Government Entity or other competent authority, whether de jure or de facto, but shall exclude
requisition for use or hire not involving requisition of title 
 Confidential Information means all information relating
to a Borrower, the Guarantors, the Group, the Finance Documents or the Facility of which a Finance Party becomes aware in its capacity as, or for the purpose of becoming, a Finance Party or which is received by a Finance Party in relation to, or for
the purpose of becoming a Finance Party under, the Finance Documents or the Facility from either: 
  

	 	(a)	a Guarantor or any member of the Group or any of their advisers; or 

  

	 	(b)	another Finance Party, if the information was obtained by that Finance Party directly or indirectly from any member of the Group or any of its advisers,

 in whatever form, and includes information given orally and any document, electronic file or any other way of
representing or recording information which contains or is derived or copied from such information but excludes information that: 
  

	 	(i)	is or becomes public information other than as a direct or indirect result of any breach by that Finance Party of clause 21 (Confidentiality); or

  

	 	(ii)	is identified in writing at the time of delivery as non-confidential by a Guarantor or any member of the Group or any of their advisers; or 

 

	 	(iii)	is known by that Finance Party before the date the information is disclosed to it in accordance with paragraphs (a) or (b) above or is lawfully obtained by
that Finance Party after that date, from a source which is, as far as that Finance Party is aware, unconnected with the Group and which, in either case, as far as that Finance Party is aware, has not been obtained in breach of, and is not otherwise
subject to, any obligation of confidentiality 

 Confidentiality Undertaking means, in relation to a
Borrower, a confidentiality undertaking substantially in the form as set out in Schedule 14 (Form of Confidentiality Undertaking) or in any other form agreed between that Borrower and the Facility Agent 

Contract Price means, in relation to a Ship, the price of that Ship payable under the Shipbuilding Contract specified in respect of
such Ship in Schedule 2 (Ship Information) or such other lesser sum in Dollars as may be payable as the purchase price of such Ship taking into account any agreed reductions to it and deducting from it any liquidated damages 

Contribution means, in relation to each Lender, the principal amount of any Ship Loan or the Loan owing to such Lender at any
relevant time 

  
 - 6 -

 Control means the “control” of one person (the “first
person”) by another person (the “second person”) or the first person being “controlled” by the second person means that the second person (whether directly or indirectly and whether by the ownership of share
capital, the possession of voting power, contract or otherwise) has the power to appoint and/or remove all or a majority of the members of the board of directors or other governing body of the first person or otherwise controls or has the power of
control over the affairs and policies of the first person 
 Coordinating Mandated Lead Arranger means Bank of China
Limited acting through its offices Ningxia branch at No. 39 XinChang East Road, Yinchuan, Ningxia 750001, China and Zhejiang branch at No. 321 FengQi Road, Hangzhou, Zhejiang Province 310003, China (or of such other addresses as may last
have been notified to the other parties to this Agreement pursuant to clause 23.1(c)), as arrangers and underwriters 
 Debt
Service Account means, in relation to a Borrower, an account opened or to be opened by that Borrower with the Debt Service Account Bank and includes any sub-accounts thereof and any other account designated in writing by the Facility Agent to be
a Debt Service Account for the purposes of this Agreement 
 Debt Service Account Bank means Bank of Cyprus Public Company
Limited acting through its office at 4th floor, 137 Filonos & Filellinon Street, GR 185 36, Piraeus, Greece (or of such other address as may last have been notified to the other parties to this Agreement pursuant to clause 23.1(c)) or such
other bank as may be designated by the Facility Agent as the Debt Service Account Bank for the purposes of this Agreement and includes its successors in title 
 Debt Service Amount means, in relation to a Borrower, at any relevant time, such sum as shall be the aggregate amount of the principal repayment instalments falling due for payment in respect of
the Ship Loan associated with the Ship of which that Borrower is the Owner pursuant to clause 9.1 (Repayment) (as the same may have been reduced by any prepayment) on the next three (3) consecutive Repayment Dates 

Deed of Covenant means, in relation to an Owner, the first priority deed of covenant collateral to the Mortgage executed or (as the
context may require) to be executed by that Owner in favour of the Security Agent substantially in the form set out in Schedule 10 (Form of Deed of Covenant) 
 Default means any Event of Default or any event or circumstance which with the giving of notice or lapse of time or the satisfaction of any other condition (or any combination thereof) would
constitute an Event of Default 
 Delivery means, in relation to a Ship, the delivery of that Ship by the Seller to, and
the acceptance of that Ship by the relevant Owner in accordance with the relevant Shipbuilding Contract 
 Delivery Date
means, in respect of each Ship, the date on which Delivery of that Ship occurs 
 Delivery Instalment means, in respect of
each Ship, the instalment of the Contract Price for such Ship falling due on its Delivery 
 Determination Notice has the
meaning ascribed thereto in clause 8.7.1 (Market Disruption: non-availability) 
 Disposal Repayment Date
means in relation to: 
  

	 	(a)	a Total Loss of a Mortgaged Ship, the applicable Total Loss Repayment Date; and 

 

	 	(b)	a sale of a Mortgaged Ship by the relevant Owner, the date upon which such sale is completed by the transfer of title to the purchaser in exchange for payment of all or
part of the relevant purchase price. 

  
 - 7 -

 DOC means a document of compliance issued to an Operator in accordance with rule 13
of the Code 
 Dollars and $ mean the lawful currency of the United States of America and in respect of all
payments to be made under any of the Security Documents mean funds which are for same day settlement in the New York Clearing House Interbank Payments System (or such other U.S. dollar funds as may at the relevant time be customary for the
settlement of international banking transactions denominated in U.S. dollars) 
 Drawdown means the making of a Ship Loan

 Drawdown Date means any date, being a Business Day falling within the Availability Period, on which a Drawdown is, or
is to be made 
 Drawdown Notice means a notice substantially in the form set out in Schedule 6 (Form of Drawdown
Notice) 
 Dryships Guarantor means Dryships Inc., a company incorporated in the Republic of the Marshall Islands with
registration number 20097, with its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 and which is listed on the NASDAQ exchange and trades under the symbol DRYS 

Earnings means, in relation to a Ship and the Owner of that Ship, all moneys whatsoever from time to time due or payable to that
Owner during the Security Period arising out of the use or operation of that Ship including (but without limiting the generality of the foregoing) all freight, hire and passage moneys, income arising under pooling arrangements, compensation payable
to such Owner in event of requisition of such Ship for hire, remuneration for salvage and towage services, demurrage and detention moneys, and damages for breach (or payments for variation or termination) of any charterparty or other contract for
the employment of such Ship 
 Encumbrance means any mortgage, charge (whether fixed or floating), pledge, lien,
hypothecation, assignment, trust arrangement or security interest or other encumbrance of any kind securing any obligation of any person or any type of preferential arrangement (including without limitation title transfer and/or retention
arrangements having a similar effect) 
 Environmental Affiliate means, in relation to an Owner, any agent or employee of
that Owner or any other Relevant Party or any person having a contractual relationship with that Owner or any other Relevant Party in connection with any Relevant Ship or its operation or the carriage of cargo and/or passengers thereon and/or the
provision of goods and/or services on or from the Relevant Ship 
 Environmental Approval means any consent,
authorisation, licence or approval of any governmental or public body or authorities or courts applicable to any Relevant Ship or its operation or the carriage of cargo and/or passengers thereon and/or the provision of goods and/or services on or
from any Relevant Ship required under any Environmental Law 
 Environmental Claim means any and all material enforcement,
clean-up, removal or other governmental or regulatory actions or orders instituted or completed pursuant to any Environmental Law or any Environmental Approval together with claims made by any third party relating to damage, contribution, loss or
injury, resulting from any actual or threatened emission, spill, release or discharge of a Pollutant from any Relevant Ship 

Environmental Laws means all national, international and state laws, rules, regulations, treaties and conventions applicable to any
Relevant Ship pertaining to the pollution or protection of human health or the environment including, without limitation, the carriage of Pollutants and actual or threatened emissions, spills, releases or discharges of Pollutants 

Event of Default means any of the events or circumstances described in clause 15 (Events of Default) 

  
 - 8 -

 Facilities means the term loan facilities made available under this Agreement as
described in clause 2 (The Facilities) 
 Facility Agent means China Development Bank Corporation, acting
through its office at No 1 Yinjiaqu North Street, Yinchuan City Ningxia 750004, People’s Republic of China (or of such other address as may last have been notified to the other parties to this Agreement pursuant to clause 23.1(c)) or such other
person as may be appointed as agent by the Lenders pursuant to clause 22.13 (Retirement of Facility Agent) 
 Fee
Letter means any letter between the Mandated Lead Arranger and the Borrowers, the Coordinating Mandated Lead Arranger and the Borrowers, the Facility Agent and the Borrowers and the Security Agent and the Borrowers setting out the fees referred
to in clause 10.1 (Fees) 
 Finance Documents means this Agreement, any Fee Letter, the Security Documents,
any Transfer Certificate and any other document designated as such by the Facility Agent and the Borrowers 
 Finance
Parties means, collectively, the Arrangers, the Facility Agent, the Account Banks, the Security Agent and each of the Lenders and Finance Party means any of them 
 Financial Indebtedness means Indebtedness in respect of: 
  

	 	(a)	money borrowed or raised and debit balances at banks; 

  

	 	(b)	any bond, note, loan stock, debenture or similar debt instrument; 

  

	 	(c)	acceptance or documentary credit facilities; 

  

	 	(d)	receivables sold or discounted (otherwise than on a non-recourse basis); 

  

	 	(e)	deferred payments for assets or services acquired; 

  

	 	(f)	finance leases and hire purchase contracts; 

  

	 	(g)	swaps, forward exchange contracts, futures and other derivatives; 

  

	 	(h)	any other transaction (including without limitation forward sale or purchase agreements) having the commercial effect of a borrowing or raising of money or of any of
(b) to (g) above; and 

  

	 	(i)	guarantees in respect of Indebtedness of any person falling within any of (a) to (h) above 

Flag State means, in relation to each Ship, Malta or such other state or territory designated in writing by the Facility Agent
(acting on the instructions of the Majority Lenders), at the request of the relevant Owner, as being the Flag State of that Ship for the purposes of the Security Documents. 
 Fleet Valuation Date means the annual date on which the Dryships Guarantor values its fleet for accounting purposes, and if there is no such date then such date as the Facility Agent may decide at
its discretion 
 GAAP means generally accepted accounting principles in the USA including the IFRS 

General Assignment means, in relation to an Owner, the first priority security assignment collateral to the Mortgage executed or
(as the context may require) to be executed by that Owner in favour of the Security Agent substantially in the form set out in Schedule 15 (Form of General Assignment) 

Government Entity means and includes (whether having a distinct legal personality or not) any national or local government
authority, board, commission, department, division, organ, 

  
 - 9 -

 
instrumentality, court or agency and any association, organisation or institution of which any of the foregoing is a member or to whose jurisdiction any of the foregoing is subject or in whose
activities any of the foregoing is a participant 
 Group means the Dryships Guarantor and its Subsidiaries from time to
time (and, for the avoidance of doubt, it includes the Owners) and member of the Group shall be construed accordingly 

Guarantee means a guarantee provided by the Cardiff Guarantor and the Dryships Guarantor in favour of the Security Agent
guaranteeing the obligations of the Borrowers under this Agreement in the form set out in Schedule 8 (Form of Guarantee) 
 Guarantors means, collectively, the Dryships Guarantor and the Cardiff Guarantor 
 Holding Company means, in relation to a company or corporation, any other company or corporation in respect of which it is a Subsidiary 

IFRS means international accounting standards within the meaning of IAS Regulation 1606/2002 to the extent applicable to the
relevant financial statements 
 Indebtedness means any obligation for the payment or repayment of money, whether as
principal or as surety and whether present or future, actual or contingent 
 Insurances means, in relation to a Ship, all
policies and contracts of insurance (which expression includes all entries of that Ship in a protection and indemnity or war risks association) which are from time to time during the Security Period in place or taken out or entered into by or for
the benefit of the relevant Owner (whether in the sole name of such Owner, or in the joint names of such Owner and the Security Agent or otherwise) in respect of that Ship and her Earnings or otherwise howsoever in connection with that Ship and all
benefits thereof (including claims of whatsoever nature and return of premiums) 
 Interest Payment Date means the last
day of an Interest Period 
 Interest Period means, in relation to each Ship Loan, each period determined in accordance
with clauses 8.2 (Interest Periods) and 8.3 (Determination of Interest Periods) 
 ISPS Code means the
International Ship and Port Facility Security Code constituted pursuant to resolution A.924(22) of the International Maritime Organization now set out in Chapter XI-2 of the International Convention for the Safety of Life at Sea 1974 (as amended) as
adopted by a Diplomatic conference of the International Maritime Organisation on Maritime Security in December 2002 and includes any amendments or extensions thereto and any regulation issued pursuant thereto 

ISSC means an International Ship Security Certificate issued in respect of a Ship pursuant to the ISPS Code 

Lender means: 
  

	 	(a)	any bank or financial institution set out in Part 2 (The Lenders and their Commitments) of Schedule 1 (The Original Parties): and

  

	 	(b)	any person who has become a Party in accordance with clause 20 (Changes to Parties) 

which in each case has not ceased to be a Party in accordance with the terms of this Agreement 

Letter of Comfort means in relation to a Borrower, the letter of comfort executed or (as the context may require) to be executed by
George Economou in favour of the Security Agent in the form set out in Schedule 19 (Form of Letter of Comfort) 

  
 - 10 -

 LIBOR means in relation to a particular period: 

 

	 	(a)	the rate for deposits of Dollars for a period equivalent to such period at or around 11:00 a.m. (London time) on the Quotation Date for such period as displayed on
Reuters BBA page LIBOR01 (British Bankers’ Association Interest Settlement Rates) (or such other page as may replace such page LIBOR01 on such system or on any other system of the information vendor for the time being designated by the British
Bankers’ Association to calculate the BBA Interest Settlement Rates (as defined in the British Bankers’ Association’s Recommended Terms and Conditions (BBAIRS terms) applicable at the relevant time) for Dollars); or

  

	 	(b)	if on such date no such rate is displayed, LIBOR for such period shall be the arithmetic mean of the rates (rounded upward if necessary to one sixteenth
(1/16th) of one per cent) quoted to the Facility Agent by each Reference Bank at the request of the Facility Agent as such Reference Bank’s offered rates for deposits in Dollars in an amount comparable with the amount in relation to which
LIBOR is to be determined and for a period equivalent to such period to prime banks in the London Interbank Market at or about 11:00 a.m. (London time) on the Quotation Date for such period, 

and if that rate or arithmetic mean is below zero LIBOR will be deemed to be zero 

Loan means collectively, all of the Ship Loans or the aggregate principal amount outstanding thereof for the time being under this
Agreement 
 Majority Lenders means at any relevant time the Lenders the aggregate of whose Contributions exceeds sixty
six point six six per cent (66.66%) of the Loan or if no principal amounts are outstanding under this Agreement the aggregate of whose Commitments exceeds sixty six point six six per cent (66.66%) of the Total Commitment 

Manager means, in relation to each Owner: 
  

	 	(a)	TMS Bulkers Ltd; or 

  

	 	(b)	any other person appointed by that Owner, as the manager of the Ship provided that (i) the prior written notice of the Facility Agent (acting on the instructions
of the Majority Lenders) to such appointment has been obtained and (ii) such person enters into a Manager’s Undertaking immediately upon their appointment as Manager 

Management Agreement means, in relation to an Owner, the agreement made or to be made between that Owner and the Manager or any
other agreement previously approved in writing by the Facility Agent (acting on the instructions of the Majority Lenders) between that Borrower and the Manager providing (inter alia) for the Manager to manage the relevant Ship 

Manager’s Undertaking means, in relation to an Owner, the undertaking in respect of the relevant Ship executed or (as the
context may require) to be executed by the Manager in favour of the Security Agent substantially in the form set out in Schedule 12 (Form of Manager’s Undertaking) 

Mandated Lead Arranger means China Development Bank Corporation, acting through its Ningxia branch at No 1 Yinjiaqu North Street,
Yinchuan City Ningxia 750004, People’s Republic of China. 
 Margin means three point two five per cent
(3.25%) per annum 
 Month means a period beginning in one calendar month and ending in the next calendar month on
the day numerically corresponding to the day of the calendar month on which it started, provided that (a) if the period started on the last Business Day in a calendar month or if there is no such numerically corresponding day, it shall end on
the last Business Day in such next calendar month and (b) if such numerically corresponding day is not a Business Day, the period shall end on the next following Business Day in the same calendar month but if there is no such Business Day it
shall end on the preceding Business Day and months and monthly shall be construed accordingly 

  
 - 11 -

 Mortgage means, in relation to an Owner, the first priority statutory Maltese
mortgage over the Ship owned by that Owner executed or (as the context may require) to be executed by that Owner over such Ship in favour of the Security Agent substantially in the form set out in Schedule 9 (Form of Mortgage)

 Mortgage Period means, in relation to a Mortgage, the period from the date that Mortgage is executed and registered
until the date such Mortgage is released and discharged or, if earlier, the date of the Total Loss of the Ship over which that Mortgage is taken 
 Mortgaged Ship means, at any relevant time, a Ship which is at such time subject to a Mortgage and/or the Earnings, Insurances and Requisition Compensation of which are subject to an Encumbrance
pursuant to the relevant Ship Security Documents and a Ship shall, for the purposes of this Agreement, be deemed to be a Mortgaged Ship as from the date that the Mortgage of such Ship is executed and registered in accordance with this Agreement
until whichever shall be the earlier of (i) the payment in full of the amount required to be paid by the Facility Agent pursuant to clause 9.3 (Mandatory cancellation or prepayment - total loss or disposal/sale) following the Total
Loss or sale of such Ship and (ii) the date on which all moneys owing under the Security Documents have been repaid in full 

Operating Account means, in relation to a Borrower, an interest bearing Dollar account opened or (as the context may require) to be
opened by that Borrower with the Operating Account Bank and includes any sub-accounts thereof and any other account designated in writing by the Facility Agent to be the Operating Account for the purposes of the Finance Documents 

Operating Account Bank means the Bank of Cyprus Public Company Limited acting through its office at 4th floor, 137
Filonos & Filellinon Street, GR 185 36, Piraeus, Greece or such bank as may be designated by the Facility Agent as the Operating Account Bank for the purposes of this Agreement 

Operator means any person who is from time to time during the Security Period concerned in the operation of a Ship and falls within
the definition of “Company” set out in rule 1.1.2 of the Code 
 Owner means, in relation to a Ship, the
Borrower specified against the name of that Ship in Schedule 2 (Ship Information) 
 Party means a party to
this Agreement from time to time 
 Permitted Financial Indebtedness means, in relation to each Borrower, Financial
Indebtedness: (i) incurred under any of the Finance Documents, (ii) that is subject to a Subordination Deed and (iii) finance provided by a third party (other than a Subordinated Lender) that is to be refinanced by a relevant Ship
Loan in accordance with the terms of this Agreement 
 Permitted Encumbrance means (i) any Encumbrance in favour of
the Security Agent or any Finance Party created pursuant to the Security Documents, (ii) any Permitted Liens and (iii) any Encumbrance in favour of a third party (other than a Subordinated Lender) that provides finance to a Borrower that
is to be refinanced by a relevant Ship Loan in accordance with the terms of this Agreement 
 Permitted Liens means, in
relation to a Ship, any lien on that Ship for master’s, officer’s or crew’s wages outstanding in the ordinary course of trading, any lien for salvage and any ship repairer’s or outfitter’s possessory lien for a sum not
(except with the prior written consent of the Security Agent) exceeding the Casualty Amount (as defined in the relevant Ship Security Documents) for that Ship 

  
 - 12 -

 Pledge of Shares means, in relation to a Borrower, the first priority share pledge of
all the shares of that Borrower executed or (as the context may require) to be executed by the relevant Shareholder in favour of the Security Agent in the form set out in Schedule 13 (Form of Pledge of Shares) 

Pollutant means and includes pollutants, contaminants, toxic substances, oil as defined in the United States Oil Pollution Act of
1990 and all hazardous substances as defined in the United States Comprehensive Environmental Response, Compensation and Liability Act 1980 
 Quotation Date means, in relation to any period for which LIBOR is to be determined under this Agreement, the date falling two (2) Business Days before the first day of that period or such
other date on which quotations would customarily be provided by leading banks in the London interbank market for deposits in Dollars for delivery on the first day of that period 

Reference Banks means, in relation to LIBOR, the principal London office of each of HSBC Plc, Barclays and JP Morgan or any other
bank appointed as a Reference Bank pursuant to clause 22.18 (Change of Reference Bank) 
 Registry means, in
relation to each Ship, such registrar, commissioner or representative of the relevant Flag State who is duly authorised and empowered to register such Ship, the relevant Owner’s title to such Ship and the relevant Mortgage under the laws and
flag of the relevant Flag State 
 Related Company of a person means any Subsidiary of such person, any company or other
entity of which such person is a Subsidiary and any Subsidiary of any such company or entity 
 Relevant Jurisdiction
means any jurisdiction in which or where any Security Party is incorporated, resident, domiciled, has a permanent establishment, carries on, or has a place of business or is otherwise effectively connected 

Relevant Party means each Borrower and any other Security Party and any Security Party’s Related Company and it includes, for
the avoidance of doubt, any member of the Group 
 Relevant Ship means any Ship and any other vessel from time to time
(whether before or after the date of this Agreement) owned, managed or crewed by, or chartered to, any Relevant Party 

Repayment Account means the account with the following details: 

 

			
	account bank:	 	the Repayment Account Bank (BIC (SWIFT code): BKCHUS33);
		
	beneficiary bank:	 	China Development Bank (BIC (SWIFT code): SDBCCNBJ);
		
	beneficiary customer:	 	China Development Bank Ningxia Branch (BIC (SWIFT code): SDBCCNBJNXA); and
		
	account number:	 	01000129

 Repayment Account Bank means the Bank of China, acting through its office at New York or such bank
as may be designated by the Facility Agent as the Repayment Account Bank for the purposes of this Agreement and includes its successors in title 
 Repayment Dates means, subject to clause 11.2 (Non-Business Days), in relation to each Ship Loan, each of the dates falling at three (3) monthly intervals after the Delivery Date of the
Ship associated with that Ship Loan up to and including the date falling one hundred and forty four (144) months after such Delivery Date, all as set out for each Ship Loan in Schedule 4 (Repayment Schedules) 

Repeating Representations means each of the representations set out in clause 12.1 (Continuing representations and
warranties) 

  
 - 13 -

 Requisition Compensation means, in relation to a Ship, all sums of money or other
compensation from time to time payable during the Security Period by reason of the Compulsory Acquisition of such Ship 

Security Agent means China Development Bank Corporation, acting for the purposes of this Agreement through its office at No 1
Yinjiaqu North Street, Yinchuan City, Ningxia 750004, People’s Republic of China (or of such other address as may last have been notified to the other parties to this Agreement pursuant to clause 23.1 (c)) or such other person as may be
appointed as security agent and trustee (inter alios) by the Lenders and the Facility Agent pursuant to clause 22,13 (Retirement of the Facility Agent) 
 Security Documents means: 
  

	 	(a)	the Guarantee; 

  

	 	(b)	the Shipbuilding Contract Assignment in relation to each Ship; 

  

	 	(c)	the Pledge of Shares in relation to each Borrower; 

  

	 	(d)	the Mortgage in relation to each Ship; 

  

	 	(e)	the Deed of Covenant in relation to each Ship; 

  

	 	(f)	the General Assignment in relation to each Ship; 

  

	 	(g)	the Account Security Documents; 

  

	 	(h)	the Manager’s Undertaking in relation to each Ship; 

  

	 	(i)	the Charter Assignment in relation to each Ship; 

  

	 	(j)	the Subordination Deed in relation to each Borrower; 

  

	 	(k)	the Letter of Comfort in relation to each Borrower; 

  

	 	(l)	the Charterer Subordination Deed in relation to each Time Charterer; and 

  

	 	(m)	any other documents as may have been or shall from time to time after the date of this Agreement be executed to guarantee and/or secure all or any part of the Loan,
interest thereon and other moneys from time to time owing by any Borrower or any other Security Party pursuant to the Finance Documents in form and substance satisfactory to the Facility Agent acting on the instructions of the Majority Lenders
(whether or not any such document also secures moneys from time to time owing pursuant to any other document or agreement) 

 Security Party means, together, the Borrowers, the Guarantors, each Manager, or any other person who may at any time be a party to any of the Finance Documents (other than the Finance Parties and
any Time Charterer) 
 Security Period means the period commencing on the date hereof and terminating upon discharge of
the security created by the Security Documents by payment of all monies payable thereunder 
 Security Requirement means,
in relation to a Ship Loan and the Ship associated with that Ship Loan, at any relevant time, the amount in Dollars (as certified by the Facility Agent whose certificate shall, in the absence of manifest error, be conclusive and binding on the
Borrowers and the other Finance Parties) which is at least one hundred and twenty five per cent (125%) of the amount of that Ship Loan as reduced by the aggregate amounts (if any) standing to the credit of the Debt Service Account of the Borrower
which is the Owner of that Ship at that time 

  
 - 14 -

 Security Value means the amount in Dollars (as certified by the Facility Agent whose
certificate shall, in the absence of manifest error, be conclusive and binding on the Borrowers and the other Finance Parties) which, at any relevant time, is the aggregate of (a) the market value of any Mortgaged Ship as most recently
determined in accordance with clause 13.2.2 (Valuation of Mortgaged Ships) and (b) the market value of any additional security for the time being actually provided to the Finance Parties pursuant to clause 13.2 (Security
value maintenance) as most recently determined in accordance with clause 13.2.5 (Valuation of additional security) and notionally allocated by the Facility Agent (for the purposes of establishing whether the Security Requirement is
being met) to the Ship Loan associated with that Mortgaged Ship 
 Seller means China Shipbuilding Trading Company and the
Builder 
 Shareholder means: 
  

	 	(a)	in relation to Oceanview Owners Limited, Oceanview Shareholders Limited, a company incorporated in the Republic of the Marshall Islands with registration number 39384,
with its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960; 

  

	 	(b)	in relation to Oceansurf Owners Limited, Oceansurf Shareholders Limited, a company incorporated in the Republic of the Marshall Islands with registration number 39385,
with its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960; and 

  

	 	(c)	in relation to Oceancentury Owners Limited, Oceancentury Shareholders Limited, a company incorporated in the Republic of the Marshall Islands, with registration number
39386 and its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960. 

 Ships means each of the ships described in Schedule 2 (Ship Information), Ship means any of them and Ship A, Ship B and Ship C means the relevant one of
them as described in Schedule 2 (Ship Information) 
 Shipbuilding Contract means, in relation to a Ship, the
shipbuilding contract specified in Schedule 2 (Ship Information) relating to the construction of such Ship, including specifications and variation orders and as may be supplemented amended and novated from time to time until such Ship is
delivered to the relevant Owner or until or unless such shipbuilding contract is sold, terminated or cancelled 
 Shipbuilding
Contract Assignment means, in relation to each Ship, the assignment of the Shipbuilding Contract executed or (as the context may require) to be executed by the relevant Owner in favour of the Security Agent substantially in the form set out in
Schedule 18 (Form of Shipbuilding Contract Assignment) 
 Ship Commitment means, in relation to each Ship, an
amount of the Total Commitments that is equal to the lesser of: 
  

	 	(a)	sixty per cent (60%) of the Total Estimated Price for that Ship; 

  

	 	(b)	sixty per cent (60%) of the Total Final Price for that Ship; and 

  

	 	(c)	$40,860,000 

 Ship Loan
means a borrowing of the Ship Commitment for a Ship or (as the context requires) the outstanding principal amount of such borrowing 
 Ship Representations means the representations and warranties set out in clause 12.2.5 (The Ships) 

  
 - 15 -

 Ship Security Documents means: 

 

	 	(a)	the Shipbuilding Contract Assignment in relation to each Ship; 

  

	 	(b)	the Mortgage in relation to each Ship; 

  

	 	(c)	the Deeds of Covenant in relation to each Ship; 

  

	 	(d)	the General Assignments in relation to each Ship; 

  

	 	(e)	the Charter Assignments in relation to each Ship; and 

  

	 	(f)	the Managers’ Undertakings in relation to each Ship. 

 SINOSURE means China Export & Credit insurance Corporation, a company incorporated and existing under the laws of the People’s Republic of China 

SINOSURE Policy means, in relation to the Ships, the insurance policy covering ninety five per cent (95%) of the commercial
and political risks in respect of the relevant Ship Commitment, Ship Loan and interest thereon issued or to be issued by SINOSURE to the Original Lenders, in form and substance satisfactory to them 

SINOSURE Premium means the premium payable in respect of the SINOSURE Policy 

SMC means a safety management certificate issued in respect of a Ship in accordance with rule 13 of the Code 

Subordinated Lender means in relation to each Borrower, its Shareholder 

Subordination Deed means, in relation to a Borrower, a subordination deed executed or (as the context may require) to be executed
by that Borrower, the Subordinated Lender, the Lenders, the Arrangers, the Facility Agent and the Security Agent in the agreed form set out in Schedule 16 (Form of Subordination Deed) 

Subsidiary of a person means any company or entity directly or indirectly controlled by such person, and for this purpose
control means either the ownership of more than fifty per cent (50%) of the voting share capital (or equivalent rights of ownership) of such company or entity or the power to direct its policies and management, whether by contract or
otherwise 
 Substitute Basis has the meaning ascribed thereto in clause 8.7.2 (Market Disruption:
non-availability) 
 Taxes includes all present and future taxes, levies, imposts, duties, fees or charges of whatever
nature together with interest thereon and penalties in respect thereof and Taxation shall be construed accordingly 

Time Charter means, in relation to a Ship, the time charter between the relevant Borrower for that Ship and the Time Charterer
details of which are provided in Schedule 2 (Ship Information) 
 Time Charterer means Classic Maritime Inc.,
a company incorporated in the Republic of the Marshall Islands with registration number 27873, with its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 

Total Commitments means the aggregate of the Commitments, being at the date of this Agreement up to $122,580,000 

Total Estimated Price means, in respect of any Ship, the amount specified against the name of such Ship in Schedule 2 (Ship
Information) (being the aggregate of the Contract Price for such Ship plus certain additional costs as estimated by the relevant Borrower) 
 Total Final Price means, in relation to any Ship, the aggregate of the Contract Price plus additional costs duly and properly incurred in respect of that Ship before the Delivery Date and minus any
amounts by which the relevant Delivery Instalment is adjusted in accordance with the terms of the relevant Shipbuilding Contract 

  
 - 16 -

 Total Loss means, in relation to a Mortgaged Ship, its: 

 

	 	(a)	actual, constructive, compromised or arranged total loss; or 

  

	 	(b)	Compulsory Acquisition; or 

  

	 	(c)	hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation (other than where the same amounts to its Compulsory Acquisition) by any Government
Entity, or by persons acting or purporting to act on behalf of any Government Entity, unless it is released and restored to the relevant Owner from such hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation within
thirty (30) days after the occurrence thereof 

 Total Loss Date means, in relation to the Total Loss
of a Ship: 
  

	 	(a)	in the case of an actual total loss of a Ship, on the actual date and at the time such Ship was lost or, if such date is not known, on the date on which such Ship was
last reported; 

  

	 	(b)	in the case of a constructive total loss of a Ship, upon the date and at the time notice of abandonment of such Ship is given to the insurers of such Ship for the time
being; 

  

	 	(c)	in the case of a compromised or arranged total loss of a Ship, on the date upon which a binding agreement as to such compromised or arranged total loss has been entered
into by the insurers of such Ship; 

  

	 	(d)	in the case of Compulsory Acquisition of a Ship, on the date upon which the relevant requisition of title or other compulsory acquisition occurs; and

  

	 	(e)	in the case of hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation of a Ship (other than where the same amounts to Compulsory
Acquisition of such Ship) by any Government Entity, or by persons purporting to act on behalf of any Government Entity, which deprives the relevant Owner of the use of such Ship for more than thirty (30) days, upon the expiry of the period of
thirty (30) days after the date upon which the relevant hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation occurred 

 Total Loss Repayment Date means, where a Mortgaged Ship has become a Total Loss, the earlier of: 
  

	 	(a)	the date ninety (90) days after its Total Loss Date; and 

  

	 	(b)	the date upon which insurance proceeds or Requisition Compensation for such Total Loss are paid by insurers or the relevant government entity or other official
authority 

 Transfer Certificate means a certificate substantially in the form set out in Schedule 7
(Transfer Certificate) or any other form agreed between the Facility Agent and the Borrowers 
 Transferee has the
meaning ascribed thereto in clause 20.3 (Transfer by Lenders) 
 Transferor has the meaning ascribed thereto
in clause 20.3 (Transfer by Lenders) 
 Trust Property means (a) the security, powers, rights, titles,
benefits and interests (both present and future) constituted by and conferred on the Security Agent under or pursuant to the Security Documents other than the Account Security Documents (including, without limitation, the benefit of all covenants,
undertakings, representations, warranties and obligations given, made or undertaken to the Security Agent in the Security Documents other than the Account Security Documents); (b) all moneys, property and other assets paid or transferred to or
vested 

  
 - 17 -

 
in the Security Agent or any agent of the Security Agent or any receiver or received or recovered by the Security Agent or any agent of the Security Agent or any receiver pursuant to, or in
connection with, any of the Security Documents except for the Account Security Documents whether from any Security Party or any other person; and (c) all money, investments, property and other assets at any time representing or deriving from
any of the foregoing, including all interest, income and other sums at any time received or receivable by the Security Agent or any agent of the Security Agent in respect of the same (or any part thereof) 

Underlying Documents means: 
  

	 	(a)	the Management Agreement in relation to each Ship; 

  

	 	(b)	the Shipbuilding Contract in relation to each Ship; 

  

	 	(c)	the Time Charter in relation to each Ship; and 

  

	 	(d)	any other charter or employment contract for any Ship as may be entered into from time to time in relation to a Ship and Underlying Document means any of them

 Unpaid Sum means any sum due and payable but unpaid by a Security Party under the Finance Documents

 Valuation Date in relation to each Ship means: 

 

	 	(a)	the date falling no earlier than five Business Days before the date on which the Borrowers issue a Drawdown Notice for the Ship Loan associated with that Ship; and

  

	 	(b)	each date (to be agreed by the Majority Lenders) falling on or about each Fleet Valuation Date thereafter 

 

	1.2	Headings 

 Clause headings
and the table of contents are inserted for convenience of reference only and shall be ignored in the interpretation of this Agreement. 
  

	1.3	Construction of certain terms 

 In this Agreement, unless the context otherwise requires: 
  

	 	(a)	references to clauses and schedules are to be construed as references to clauses of, and schedules to, this Agreement and references to this Agreement include its
schedules; 

  

	 	(b)	references to a Finance Document or any other agreement or instrument is a reference to that Finance Document or other agreement or instrument as it may from time to
time be amended, restated, novated or replaced, however fundamentally; 

  

	 	(c)	references to (or to any specified provision of) this Agreement or any other document shall be construed as references to this Agreement, that provision or that
document as in force for the time being and as amended in accordance with terms thereof, or, as the case may be, with the agreement of the relevant parties; 

 

	 	(d)	references to a regulation include any present or future regulation, rule, directive, requirement, request or guideline (whether or not having the force of law)
of any agency, authority, central bank or government department or any self-regulatory or other national or supra-national authority and, for the avoidance of doubt, shall include any Basel 2 Regulation; 

 

	 	(e)	words importing the plural shall include the singular and vice versa; 

  
 - 18 -

	 	(f)	references to a time of day are to Beijing time; 

  

	 	(g)	references to a person shall be construed as references to an individual, firm, company, corporation, unincorporated body of persons or any Government Entity;

  

	 	(h)	references to any person includes its successors in title, permitted assignees or transferees; 

 

	 	(i)	references to a guarantee include references to an indemnity or other assurance against financial loss including, without limitation, an obligation to purchase
assets or services as a consequence of a default by any other person to pay any Indebtedness and guaranteed shall be construed accordingly; 

  

	 	(j)	references to any enactment shall be deemed to include references to such enactment as re-enacted, amended or extended; 

 

	 	(k)	the terms of the Finance Documents (other than each Subordination Deed, each Charterer Subordination Deed and other than as relates to the creation and/or perfection of
security) are subject to the terms of this Agreement and, in the event of any conflict between any provision of this Agreement and any provision of any Finance Document (other than each Subordination Deed, each Charterer Subordination Deed and other
than in relation to the creation and/or perfection of security) the provisions of this Agreement shall prevail; and 

  

	 	(l)	the terms of the Finance Documents are subject to the terms of the relevant Subordination Deed and the relevant Charterer Subordination Deed and, in the event of any
conflict between any provision of any Finance Documents and any provision of the relevant Subordination Deed or relevant Charterer Subordination Deed, the relevant provision of the relevant Subordination Deed or relevant Charterer Subordination
Deed, respectively shall prevail. 

  

	1.4	Majority Lenders 

 Where
this Agreement or any other Security Document provides for any matter to be determined by reference to the opinion of the Majority Lenders or to be subject to the consent or request of the Majority Lenders or for any action to be taken on the
instructions in writing of the Majority Lenders, such opinion, consent, request or instructions shall (as between the Lenders) only be regarded as having been validly given or issued by the Majority Lenders if all the Lenders shall have received
prior notice of the matter on which such opinion, consent, request or instructions are required to be obtained and the relevant majority of Lenders shall have given or issued such opinion, consent, request or instructions but so that (as between the
Borrowers and the Lenders) each Borrower shall be entitled (and bound) to assume that such notice shall have been duly received by each Lender and that the relevant majority shall have been obtained to constitute Majority Lenders whether or not this
is in fact the case. 
  

	1.5	Lenders’ Commitment 

For the purposes of the definition of Majority Lenders in clause 1.1 (Definitions) and the relevant provisions of
clause 22 (Arrangers, Facility Agent and Security Agent), references to the Commitment of a Lender shall, if the Total Commitment has, at any relevant time, been reduced to zero, be deemed to be a reference to the Commitment of that
Lender immediately prior to such reduction to zero. 
  

	2	The Facilities 

  

	2.1	Agreement to lend 

Subject to the terms of this Agreement, the Lenders agree to make available to the Borrowers a term loan facility in an aggregate amount
of up to the Total Commitments. 

  
 - 19 -

	2.2	Obligations several 

 The
obligations of the Lenders under this Agreement are several according to their respective Commitment and/or Contributions; the failure of any Lender to perform such obligations shall not relieve any other Finance Party or any Borrower of any of
their respective obligations or liabilities under this Agreement nor shall any Finance Party be responsible for the obligations of any other Finance Party (except for its own obligations, if any, as a Lender) under this Agreement. 

 

	2.3	Interests several 

Notwithstanding any other term of this Agreement (but without prejudice to the provisions of this Agreement relating to or requiring
action by the Majority Lenders) the interests of the Finance Parties are several and the amount due to any Finance Party is a separate and independent debt. Each Finance Party shall have the right to protect and enforce its rights arising out of
this Agreement and it shall not be necessary for any other Finance Party to be joined as an additional party in any proceedings for this purpose. 
  

	2.4	Borrowers’ rights and obligations 

  

	2.4.1	The obligations of each Borrower under this Agreement are joint and several. Failure by a Borrower to perform its obligations under this Agreement shall constitute a
failure by all of the Borrowers. 

  

	2.4.2	Each Borrower irrevocably and unconditionally jointly and severally with each other Borrower: 

 

	 	(a)	agrees that it is responsible for the performance of the obligations of each other Borrower under this Agreement; 

 

	 	(b)	acknowledges and agrees that it is a principal and original debtor in respect of all amounts due from the Borrowers under this Agreement; and 

 

	 	(c)	agrees with each Finance Party that, if any obligation of another Borrower under this Agreement is or becomes unenforceable, invalid or illegal for any reason, it will,
as an independent and primary obligation, indemnify that Finance Party immediately on demand against any and all Losses it incurs as a result of another Borrower not paying any amount which would, but for such unenforceability, invalidity or
illegality have been payable by that other Borrower under this Agreement. The amount payable under this indemnity shall be equal to the amount which that Finance Party would otherwise have been entitled to recover. 

 

	2.4.3	The obligations of each Borrower under the Finance Documents shall continue until all amounts which may be or become payable by the Borrowers under or in connection
with the Finance Documents have been irrevocably and unconditionally paid or discharged in full, regardless of any intermediate payment or discharge in whole or in part. 

 

	2.4.4	If any discharge, release or arrangement (whether in respect of the obligations of a Borrower or any security for those obligations or otherwise) is made by a Finance
Party in whole or in part on the basis of any payment, security or other disposition which is avoided or must be restored in insolvency, liquidation, administration or otherwise, without limitation, then the liability of the Borrowers under this
Agreement will only be reduced to the extent of the payment, security or other disposition which is not so avoided or restored. 

  

	2.4.5	The obligations of each Borrower under the Finance Documents shall not be affected by an act, omission, matter or thing which, but for this clause (whether or not known
to it or any Finance Party), would reduce, release or prejudice any of its obligations under the Finance Documents including: 

  

	 	(a)	any time, waiver or consent granted to, or composition with, any Security Party or other person; 

  
 - 20 -

	 	(b)	the release of any other Security Party or any other person under the terms of any composition or arrangement with any creditor of any other Security Party;

  

	 	(c)	the taking, variation, compromise, exchange, renewal or release of, or refusal or neglect to perfect, take up or enforce, any rights against, or security over assets
of, any Security Party or other person or any non-presentation or non-observance of any formality or other requirement in respect of any instrument or any failure to realise the full value of any security; 

 

	 	(d)	any incapacity or lack of power, authority or legal personality of or dissolution or change in the members or status of a Security Party or any other person;

  

	 	(e)	any amendment, novation, supplement, extension, restatement (however fundamental and whether or not more onerous) or replacement of a Finance Document or any other
document or security; 

  

	 	(f)	any unenforceability, illegality or invalidity of any obligation of any person under any Finance Document or any other document or security; or

  

	 	(g)	any insolvency or similar proceedings. 

  

	2.4.6	Each Borrower waives any right it may have of first requiring a Finance Party (or any trustee or agent on its behalf) to proceed against or enforce any other rights or
security or claim payment from any person before claiming from that Borrower under any Finance Document. This waiver applies irrespective of any law or any provision of a Finance Document to the contrary. 

 

	2.4.7	Until all amounts which may be or become payable by the Security Parties under or in connection with the Finance Documents have been irrevocably and unconditionally
paid or discharged in full, each Finance Party (or any trustee or agent on its behalf) may: 

  

	 	(a)	refrain from applying or enforcing any other moneys, security or rights held or received by that Finance Party (or any trustee or agent on its behalf) in respect of
those amounts, or apply and enforce the same in such manner and order as it sees fit (whether against those amounts or otherwise) and no Borrower will be entitled to the benefit of the same; and 

 

	 	(b)	hold in an interest-bearing suspense account any money received from any Borrower or on account of any Borrower’s liability under any Finance Document.

  

	2.4.8	Until all amounts which may be or become payable by the Security Parties under or in connection with the Finance Documents have been irrevocably paid in full and unless
the Facility Agent otherwise directs (on such terms as it may require), no Borrower shall exercise any rights (including rights of set-off) which it may have by reason of performance by it of its obligations under the Finance Documents:

  

	 	(a)	to be indemnified by another Security Party; 

  

	 	(b)	to claim any contribution from any other Security Party or any guarantor of any Security Party’s obligations under the Finance Documents; and/or

  

	 	(c)	to take the benefit (in whole or in part and whether by way of subrogation or otherwise) of any rights of the Finance Parties under the Finance Documents or of any
guarantee or security taken pursuant to, or in connection with, the Finance Documents by any Finance Party. 

  

	2.5	Independence of Finance Documents 

  

	2.5.1	Each Borrower expressly acknowledges that the Finance Documents constitute obligations of the Borrowers which are independent and completely separate from each
Shipbuilding Contract, each Time Charter and each Guarantee and accordingly each Borrower’s obligations (including its payment obligations) under the Finance Documents are not: 

 

	 	(a)	subject to or dependent upon the execution or performance by any other person of their obligations under a Shipbuilding Contract, a Time Charter or any Guarantee or any
other documents related thereto; 

  
 - 21 -

	 	(b)	affected by the following: 

  

	 	(i)	any dispute under a Shipbuilding Contract, a Time Charter or a Guarantee nor any claim which any Borrower or any other person may have against, or consider that it has
against any other person under a Shipbuilding Contract, a Time Charter or a Guarantee; 

  

	 	(ii)	the insolvency or dissolution of a Seller, the Time Charterer or any Guarantor; 

 

	 	(iii)	a Seller, the Time Charterer or any Guarantor being subject to an amalgamation, demerger, merger or corporate reconstruction; 

 

	 	(iv)	any unenforceability, illegality or invalidity of any obligation of a Seller, Time Charterer or any Guarantor, the Borrower or any other person under a Shipbuilding
Contract, a Time Charter or a Guarantee or any documents or agreements relating to any of them; or 

  

	 	(v)	the breach, frustration or non-fulfilment of any provision of a Shipbuilding Contract, a Time Charter or a Guarantee or any documents or agreements related thereto.

  

	2.5.2	The Borrowers acknowledge that the foregoing is an essential condition of each Lender’s entry into the Finance Documents, and accordingly, by advancing the full
amount of its Commitment (subject to and in accordance with the terms and conditions of the Finance Documents including in the event that any Builder is advanced funds directly) each Lender shall have fulfilled its funding obligations under the
Finance Documents. 

  

	2.6	Termination of the Total Commitment 

 Any part of a Ship Commitment which remains undrawn by the end of the Availability Period for that Ship Commitment shall thereupon be automatically cancelled. 

 

	2.7	Application of Proceeds 

Without prejudice to the Borrowers’ obligations under clause 13.1.3 (Use of proceeds), no Finance Party shall have any
responsibility for the application of the proceeds of a Ship Loan or any part thereof by the Borrowers. 
  

	3	Purpose 

  

	3.1	This Agreement sets out the terms and conditions upon and subject to which the Lenders agree, according to their several obligations, to make available to the Borrowers
a buyer credit facility of up to a maximum of one hundred and twenty two million, five hundred and eighty thousand Dollars ($122,580,000) to be used for the purpose of financing part of the Contract Price of each Ship, in each case within the limit
of the relevant Ship Commitment or other purposes as approved by all Lenders. 

  

	4	SINOSURE policy and premium 

  

	4.1	Liability for the SINOSURE Premium 

 The Borrowers shall be responsible for, and bear the cost of, the SINOSURE Premium due in respect of the SINOSURE Policy. 

  
 - 22 -

	4.2	Notification of the SINOSURE Premium 

 The Facility Agent will only be notified of the exact amount of the SINOSURE Premium at the final issuance of the SINOSURE Policy. Upon receipt of such notification, the Facility Agent will notify the
Borrowers and the Lenders of the amount of such SINOSURE Premium and shall send that Borrowers the debit note once received from SINOSURE. 
  

	4.3	SINOSURE Premium 

  

	4.3.1	The SINOSURE Premium shall be paid in full by the Borrowers within ten (10) days of receipt of the debit note referred to in clause 4.2, by direct payment to
SINOSURE. 

  

	4.3.2	No SINOSURE Premium is refundable for any reason whatsoever except with the approval of SINOSURE. 

 

	4.3.3	The Borrowers acknowledge that no Finance Party is in anyway involved in the determination of the amount of the SINOSURE Premium and agrees that they shall have no
claim or defence against any Finance Party in connection with the amount of the SINOSURE Premium. 

  

	4.4	Protection for the SINOSURE Policy 

 If at any time in the reasonable opinion of the Facility Agent, any provision of a Finance Document contradicts or conflicts with any provision of the SINOSURE Policy or SINOSURE requires any further
action to be taken or documents to be entered into for the SINOSURE Policy to remain in full force and effect, then the Borrowers shall (and shall procure that each other Security Party shall) take such action as the Facility Agent or SINOSURE shall
request to remove any contradiction or conflict and to ensure the SINOSURE Policy remains in full force and effect. 
  

	5	Effective date and conditions precedent 

  

	5.1	Effective date 

 This
Agreement shall become effective and be in full force and effect on and from the date hereof without any further act on the part of any of the Parties. 
  

	5.2	Initial conditions precedent 

 No later than thirty (30) days after the date of this Agreement (and in any event prior to the submission of any Drawdown Notice) the Borrower shall deliver to the Facility Agent or its duly
authorised representative, the documents and evidence specified in Part 1 of Schedule 3 (Initial conditions Precedent) in form and substance satisfactory to the Facility Agent. 

 

	5.3	Conditions precedent to a Ship Loan made in connection with a Delivery 

 The obligation of each Lender to contribute to a Ship Loan made on or in connection with the Delivery of a Ship shall be subject to the condition that the Facility Agent shall have received, on or prior
to the Drawdown Date, all of the documents and evidence listed in Part 2 (Conditions precedent to a Ship Loan made in connection with a Delivery) of Schedule 3 (Conditions Precedent) in form and substance satisfactory to the
Facility Agent. 
  

	5.4	Conditions precedent to a Ship Loan made after a Delivery 

 The obligation of each Lender to contribute to a Ship Loan made after the Delivery of a Ship shall be subject to the condition that the Facility Agent shall have received, on or prior to the Drawdown
Date, all of the documents and evidence listed in Part 3 (Conditions precedent to a Ship Loan made after a Delivery) of Schedule 3 (Conditions Precedent) in form and substance satisfactory to the Facility Agent. 

  
 - 23 -

	5.5	General conditions precedent 

  

	5.5.1	The obligation of each Lender to contribute to a Ship Loan shall be subject to the further general conditions that, at the time of the giving of the relevant Drawdown
Notice, and at the time of the making of the relevant Ship Loan: 

  

	 	(a)	the representations and warranties contained in (i) clause 12.1 (Continuing representations and warranties) and (ii) clause 12
(Representations and warranties) of each Guarantee, are true and correct on and as of each such time as if each was made with respect to the facts and circumstances existing at such time; 

 

	 	(b)	no Default shall have occurred and be continuing or would result from the making of the Ship Loan; 

 

	 	(c)	the Facility Agent is satisfied that (i) the SINOSURE Policy is to be made is in full force and effect, (ii) the SINOSURE Policy will provide the necessary
cover in relation to the proposed Loan and interest thereon and (iii) there is no outstanding notice from SINOSURE which (aa) requires or requests the Facility Agent to suspend the provision of the Loan or (bb) repudiates the relevant SINOSURE
Policy or any part of it. 

  

	5.6	Further conditions 

 In
relation to any Borrower, not later than five (5) Business Days prior to each Drawdown Date and not later than five (5) Business Days prior to each interest Payment Date, the Facility Agent (acting on the instructions of the Majority
Lenders) in its discretion may request and that Borrower shall, not later than two (2) Business Days prior to such date, deliver to the Facility Agent on such request further favourable certificates and/or opinions as to any or all of the
matters which are the subject of clauses 5 (Conditions precedent), 12 (Representations and warranties), 13 (Undertakings) and 14 (Events of Default). 

 

	5.7	Notice to other Parties 

The Facility Agent shall notify the Borrowers and the other Finance Parties promptly upon receiving and being satisfied with all of the
documents and evidence delivered to it under each of clauses 5.2 (Initial conditions precedent), 5.3 (Conditions precedent to a Ship Loan made in connection with Delivery), 5.4 (Conditions precedent to a Ship Loan made after a
Delivery) and 5.5 (General conditions precedent). 
  

	5.8	Waiver of conditions precedent 

 The conditions specified in this clause 5 are inserted solely for the benefit of the Lenders and may be waived by the Facility Agent (acting on the instructions of the Majority Lenders) in whole or in
part and with or without conditions. 
  

	5.9	No re-financing 

 During
the period from the date of this Agreement to and including five (5) years from the Drawdown Date for the first Ship Loan, unless approved by the Facility Agent, no Borrower shall, announce, enter into discussions to raise, raise or attempt to
raise any other finance in the international or any relevant domestic syndicated loan, debt, bank, capital or equity market(s) (including, but not limited to, any bilateral or syndicated facility, bond or note issuance or private placement), in
substitution for the Loan. 
  

	6	Drawdown 

  

	6.1	Drawdown 

 Subject to the
terms and conditions of this Agreement, a Borrower may request the making of a Ship Loan by delivery to the Facility Agent of a duly completed Drawdown Notice not later than 11:00 a.m. (Beijing time) five (5) Business Days before the proposed
Drawdown Date. 

  
 - 24 -

	6.2	Completion of a drawdown request 

  

	6.2.1	A Drawdown Notice for a Ship Loan to be made in connection with the Delivery of a Ship shall be effective on actual receipt by the Facility Agent and, once given,
shall, subject as provided in clause 8.7.1, be irrevocable but will not be regarded as having been duly completed unless: 

  

	 	(a)	the proposed date for Drawdown is a Business Day falling in the relevant Availability Period for the Ship Commitment to which it is associated;

  

	 	(b)	it identifies (i) the Ship to which it relates, (ii) the amount of the Ship Loan that is to be used to fund the Delivery Instalment and the amount that it is
to be used to refinance payments already made in respect of the Contract Price for such Ship and if part of those payments have been financed by loans from a third party (other than a Subordinated Lender), the amount of such third party financing
and the account of the third party to which such part should be paid by the Facility Agent; 

  

	 	(c)	the currency of the Drawdown is Dollars; 

  

	 	(d)	the amount of the proposed Ship Loan does not exceed the Ship Commitment for the Ship to which it relates; 

 

	 	(e)	the amount of the proposed Ship Loan does not exceed (when aggregated with the outstanding Loan) the amount of the Total Commitments; 

 

	 	(f)	the requested Interest Period complies with clause 8 (Interest Periods); and 

 

	 	(g)	the purpose for the drawing complies with clause 3 (Purpose). 

  

	6.2.2	A Drawdown Notice for a Ship Loan to be made after the Delivery of a Ship shall be effective on actual receipt by the Facility Agent and, once given, shall, subject as
provided in clause 8.7.1, be irrevocable but will not be regarded as having been duly completed unless: 

  

	 	(a)	the proposed Drawdown Date is a Business Day falling within the relevant Availability Period for the Ship Commitment to which the proposed Ship Loan relates;

  

	 	(b)	it identifies (i) the Ship to which it relates, (ii) the amount of the associated Ship Commitment, (iii) the amount of the Ship Loan that is to be used
to refinance payments already made in respect of the Contract Price for that Ship and, if part of those payments have been financed by loans from a third party (other than a Subordinated Lender), the amount of such third party financing and the
account of the third party to which such part should be paid by the Facility Agent; 

  

	 	(c)	the currency of the Drawdown is Dollars; 

  

	 	(d)	the amount of the proposed Ship Loan does not exceed the Ship Commitment for the Ship to which it relates; 

 

	 	(e)	the amount of the proposed Ship Loan does not exceed (when aggregated with the outstanding Loan) the amount of the remaining available Total Commitments;

  

	 	(f)	the requested Interest Period complies with clause 8 (Interest Periods); and 

 

	 	(g)	the purpose for the drawing complies with clause 3 (Purpose). 

  

	6.2.3	Only one Ship Loan may be requested in each Drawdown Request. 

  

	6.3	Payment by the Lenders and application by the Facility Agent 

  

	6.3.1	 Upon receipt of a Drawdown Notice complying with the terms of this Agreement the Facility Agent shall promptly notify each Lender. All sums to be
advanced by the Lenders in respect of 

  
 - 25 -

	 	
the Facilities shall be remitted in Dollars on the Drawdown Date to the account of the Facility Agent with such bank as the Facility Agent may have notified to the Lenders. From such account:

  

	 	(a)	any amount of a Ship Loan that is to be used to fund a Delivery Instalment shall be paid by the Facility Agent on such date in like funds as are received by the
Facility Agent to the Builder’s Account; 

  

	 	(b)	any amount of a Ship Loan that is to be used to refinance payments already made in respect of the Contract Price for that Ship shall be paid by the Facility Agent on
such date in like funds as are received by the Facility Agent in accordance with clause 6.3.1(a) above if the Ship Loan is to be used to fund a Delivery Instalment and then as to any balance to (i) the account specified in the Drawdown Notice
as being the account of the third party (other than a Subordinated Lender) that- has provided funding for payments already made in respect of the Contract Price and (ii) as to any balance, to the account of the relevant Borrowers (or any of
them) set out in the Drawdown Notice; provided however that if either 

  

	 	(A)	the amount of the Ship Loan is insufficient to fund both the Delivery Instalment of a Ship and refinance payments already made in respect of the Contract Price for that
Ship that have been financed by loans from a third party (other than a Subordinated Lender); or 

  

	 	(B)	the amount of the Ship Loan is insufficient to refinance payments already made in respect of the Contract Price for that Ship that have been financed by loans from a
third party (other than a Subordinated Lender) 

 then the Borrower shall in addition to satisfying the relevant
conditions in clause 5.3 (Conditions precedent to a Ship Loan made in connection with a Delivery) or 5.4 (Conditions precedent to a Ship Loan made after a Delivery), as the case may be, provide evidence satisfactory to the
Facility Agent that it has deposited (or will, on the Drawdown Date, deposit) with the Facility Agent an amount equal to the difference between the Ship Loan and the amount required to make both such payments. 

 

	6.4	Lenders’ Participation 

 The amount of each Lender’s participation in a Ship Loan will be equal to the proportion borne by its Commitment to the Ship Commitment for the Ship to which that Ship Loan relates immediately prior
to making that Ship Loan. 
  

	7	Conditions subsequent 

Each Borrower shall deliver the following conditions subsequent to the Facility Agent no later than within the applicable time period for
each condition subsequent, in a form and substance satisfactory to the Lender: 
  

	 	(a)	if the Drawdown is made in connection with a Delivery, evidence that the relevant Ship has been accepted by the Time Charterer pursuant to the relevant Time Charter to
be provided within thirty (30) days of the Delivery Date; 

  

	 	(b)	a letter from each Security Party’s agent for receipt of service of proceedings accepting its appointment under each Ship Security Document in which it is to be
appointed as agent for service of process within three (3) days of the Drawdown Date or Delivery Date (whichever is later); and 

  

	 	(c)	letters of undertaking from such Borrower’s insurance brokers addressed to the Security Agent, in a form no less wide than the Standard Letter of Undertaking
September 2007 version “A”, recommended by London Market Insurance Brokers’ Committee, to be provided within ten (10) Business Days of the Drawdown Date or Delivery Date (whichever is later). 

  
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	8	Interest and Interest Periods 

  

	8.1	Interest rate 

 The
Borrowers shall pay interest on each Ship Loan in respect of each Interest Period relating thereto on each Interest Payment Date at the percentage rate per annum which is the aggregate of (a) the Margin, and (b) LIBOR for such Interest
Period. 
  

	8.2	Interest Periods 

 Subject
to clause 8.3 (Determination of Interest Periods) an Interest Period for a Ship Loan will have a duration of three (3) Months unless a longer duration is agreed between the Borrowers and the Facility Agent (acting on the instructions of
the Majority Lenders). 
  

	8.3	Determination of Interest Periods 

 Every Interest Period shall be of the duration stated or determined pursuant to clause 8.2 (Interest Periods) but so that: 

 

	 	(a)	the first Interest Period for a Ship Loan shall start on (and include) the Drawdown Date of that Ship Loan and end on (but exclude) the last day of that Interest
Period; 

  

	 	(b)	each subsequent Interest Period for a Ship Loan shall commence on (and include) the last day of the previous Interest Period and end on (but exclude) the last day of
that Interest Period; 

  

	 	(c)	an Interest Period for a Ship Loan shall end on each Repayment Date for that Ship Loan; and 

 

	 	(d)	if a Borrower and the Facility Agent have agreed any Interest Period for a Ship Loan that will overrun a Repayment Date for that Ship Loan, then, in the case of the
last Repayment Date for that Ship Loan such Interest Period shall end on such Repayment Date, and in the case of any other relevant Repayment Date or Repayment Dates such Ship Loan shall be divided into parts so that there is one part in the amount
of the repayment instalment or instalments due on each Repayment Date for that Ship Loan falling during that Interest Period and having an Interest Period ending on the relevant Repayment Date and another part in the amount of the balance of such
Ship Loan having an Interest Period ascertained in accordance with clause 8.2 (Interest Periods) and the other provisions of this clause 8.3. 

 

	8.4	Default interest 

  

	8.4.1	If a Borrower fails to pay any sum (including, without limitation, any sum payable pursuant to clause 8.4.2) on its due date for payment under any of the Finance
Documents, the Borrowers shall pay interest on such sum on demand from the due date up to the date of actual payment (as well after as before judgment) at a rate determined by the Facility Agent pursuant to this clause 8.4. The period beginning on
such due date and ending on such date of payment shall be divided into successive periods of not more than three (3) months as selected by the Facility Agent, each of which (other than the first, which shall commence on such due date) shall
commence on the last day of the preceding such period. 

  

	8.4.2	 The rate of interest applicable to each such period shall be the aggregate of (a) one point five per cent (1.5%) per annum, (b) the
Margin, (c) LIBOR for such period. Such interest shall be due and payable on the last day of each such period as determined by the Facility Agent and each such day shall, for the purposes of this Agreement, be treated as an Interest Payment
Date, provided that if such unpaid sum is an amount of principal which became due and payable by reason of a declaration by the Facility Agent under clause 15.2.2 or a prepayment pursuant to clauses 9.3 (Mandatory Cancellation or Prepayment
- total loss or disposal/sale), 13.2.1(a)(Security shortfall) or 17.1 (Unlawfulness), on a date other than an Interest Payment Date relating thereto, the first such period selected by the Facility Agent shall be of a duration

  
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equal to the period between the due date of such principal sum and such Interest Payment Date and interest shall be payable on such principal sum during such period at a rate of one point five
per cent (1.5%) above the rate applicable thereto immediately before it shall have become so due and payable. 

  

	8.4.3	If, for the reasons specified in clause 8.7.1, the Facility Agent is unable to determine a rate in accordance with the foregoing provisions of this clause 8.4, each
Lender shall promptly notify the Facility Agent of the cost of funds to such Lender and interest on any sum not paid on its due date for payment shall be calculated for each Lender at a rate determined by the Facility Agent to be one point five per
cent (1.5%) per annum above the aggregate of the Margin and the cost of funds to such Lender. 

  

	8.5	Notification of Interest Periods and interest rate 

 The Facility Agent shall notify the Borrowers and the Lenders promptly of each rate of interest (or, as the case may be default interest) under this clause 8 (Interest and Interest Periods).

  

	8.6	Non-Business Days 

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

 

	8.7	Market disruption; non-availability 

  

	8.7.1	If and whenever, at any time prior to the commencement of any Interest Period: 

 

	 	(a)	the Facility Agent shall have determined (which determination shall, in the absence of manifest error, be conclusive) that adequate and fair means do not exist for
ascertaining LIBOR during such Interest Period; or 

  

	 	(b)	none or only one of the Reference Banks supply the Facility Agent with a quotation for the purposes of calculating LIBOR (where such a quotation is required having
regard to the definition of LIBOR in clause 1.1 (Definitions)); or 

  

	 	(c)	 the Facility Agent shall have received notification from Lenders with Contributions aggregating not less than one-third (1/3rd) of the Loan that deposits in Dollars are not available to such
Lenders in the London interbank market in the ordinary course of business in sufficient amounts to fund the relevant Ship Loan or their Contributions for such Interest Period or that LIBOR does not accurately reflect the cost to such Lenders of
obtaining such deposits, 

 the Facility Agent shall forthwith give notice (a Determination Notice)
thereof to the Borrowers and to each of the Lenders. A Determination Notice shall contain particulars of the relevant circumstances giving rise to its issue. After the giving of any Determination Notice the Total Commitment shall not be borrowed
until notice to the contrary is given to the Borrowers by the Facility Agent. 
  

	8.7.2	During the period of ten (10) days after any Determination Notice has been given by the Facility Agent under clause 8.7.1, each Lender shall certify an alternative
basis (the Alternative Basis) for maintaining its Contribution. The Alternative Basis may at the relevant Lender’s sole and unfettered discretion (without limitation) include alternative interest periods, alternative currencies or
alternative rates of interest but shall include a margin above the cost of funds to such Lender equivalent to the Margin. The Facility Agent shall calculate the arithmetic mean of the Alternative Bases provided by the Lenders (the Substitute
Basis) and certify the same to the Borrowers and the Lenders. The Substitute Basis so certified shall be binding upon the Borrowers and shall take effect in accordance with its terms from the date specified in the Determination Notice until such
time as the Facility Agent notifies the Borrowers that none of the circumstances specified in clause 8.7.1 continues to exist whereupon the normal interest rate fixing provisions of this Agreement shall apply. 

  
 - 28-

	8.8	Reference Bank quotations 

If any Reference Bank is unable or otherwise fails to furnish a quotation for the purposes of calculating LIBOR the interest rate shall be
determined, subject to clause 8.7 (Market disruption; non-availability), on the basis of quotations furnished by the other Reference Banks. 
  

	9	Repayment and prepayment 

  

	9.1	Repayment 

  

	9.1.1	The Borrowers shall repay each Ship Loan in forty eight (48) repayment instalments, one such instalment to be repaid on each of the Repayment Dates for that Ship
Loan in an amount for each such Repayment Date as set out in the table in Schedule 4 (Repayment Schedules). 

  

	9.1.2	In relation to each Ship Commitment, as soon as is practicable following the end of the Availability Period for that Ship Commitment, the Facility Agent shall provide
the other Parties with a replacement repayment schedule if the full amount of that Ship Commitment has not been drawn, with each repayment instalment in such replacement schedule reduced pro rata by the undrawn amount of that Ship Commitment.

  

	9.2	Voluntary prepayment 

  

	9.2.1	At any time after the end of the Availability Period for the last Ship Commitment to be drawn- down or cancelled, the Borrowers may, by notice to the Facility Agent
(effectively only on actual receipt) with effect from a date not less than thirty (30) Business Days after the receipt by the Facility Agent of such notice prepay any Ship Loan in whole or part (being $3,000,000 or any larger sum which is an
integral multiple of $1,000,000), in each case on any Interest Payment Date to be repaid without premium or penalty but subject to the prepayment fee referred to in clause 9.7 (Amounts payable on prepayment). 

 

	9.2.2	The Borrowers may also prepay (in whole but not in part only), without premium or penalty, but subject to the prepayment fee referred to in clause 9.7 (Amounts
payable on prepayment) and without prejudice to their obligations under clauses 8.7 (Market disruption; non-availability), 11.5 (Grossing-up for Taxes) and 17.2 (Increased costs): 

 

	 	(a)	the Contribution of any Lender to which the Borrowers shall have become obliged to pay additional amounts under clauses 8.7 (Market disruption;
non-availability), 11.5 (Grossing-up for Taxes) and 17.2 (Increased costs); or 

  

	 	(b)	any Lender’s Contribution to which an Alternative Basis applies by virtue of clause 8.7.2. 

Upon any notice of such prepayment being given, the Ship Commitment of the relevant Lender shall be reduced to zero. 

 

	9.3	Mandatory cancellation or prepayment - total loss or disposal/sale 

  

	9.3.1	Prior to drawdown of the relevant Ship Loan: if a Ship becomes (a) a Total Loss, (b) a total loss is declared or agreed pursuant to the relevant
Shipbuilding Contract, (c) the relevant Owner is no longer the buyer of such Ship under the relevant Shipbuilding Contract (for whatever reason including the cancellation, termination or rescission of the Shipbuilding Contract) or (d) the
Ship is no longer owned by the relevant Borrower, in each case, before any part of the Ship Commitment for that Ship has been advanced to the Borrowers, such Ship Commitment shall be cancelled and cease to be available for Drawdown and the Total
Commitments shall immediately (on the occurrence of such Total Loss) be reduced by the amount of such Ship Commitment. 

  

	9.3.2	After drawdown of the relevant Ship Loan - Total Loss: if a Mortgaged Ship becomes a Total Loss, then on the Total Loss Repayment Date for such Mortgaged
Ship, the Borrowers shall prepay the amount of the relevant Ship Loan outstanding for such Mortgaged Ship together with accrued interest if any. 

  
 - 29 -

	9.3.3	After drawdown of the relevant Ship Loan - sale or disposal: if a Mortgaged Ship is sold, then on the Disposal Repayment Date for such Mortgaged Ship:

  

	 	(a)	the Borrowers shall prepay an amount that is the aggregate of: 

  

	 	(i)	the relevant Ship Loan outstanding for such Mortgaged Ship together with interest; and 

 

	 	(ii)	such amount as shall ensure that immediately after such prepayment, the Security Value is equal to or higher than the Security Requirement; and

  

	 	(b)	the Buyer of such Mortgaged Ship shall pay all proceeds of such sale into an account to be determined by the Facility Agent, 

and the Mortgage over such Mortgaged Ship shall be released by the Security Agent once the Security Agent is in receipt of (and entitled
to retain) all amounts due and payable by the Borrowers to the Facility Agent pursuant to clause 9.3.3 (a). 
  

	9.4	Change of control 

  

	9.4.1	The Borrowers shall within three (3) Business Days notify the Facility Agent upon any Security Party becoming aware of a Change of Control.

  

	9.4.2	If a Change of Control occurs, the Facility Agent may, by notice to the Borrowers, cancel the Total Commitments with effect from a date specified in that notice which
is at least thirty (30) days after the giving of the notice (but during that time the Total Commitments will be suspended) and declare that all or part of the Loan be payable on demand after such date, on which date it shall become payable on
demand by the Facility Agent on the instructions of the Majority Lenders. 

  

	9.5	Voluntary cancellation of Ship Commitments 

  

	9.5.1	The Borrowers may at any time during any relevant Availability Period, by notice to the Facility Agent (effective only on actual receipt) cancel, with effect from a
date not less than thirty (30) Business Days after the receipt by the Facility Agent of such notice, the whole or any part (being three million Dollars ($3,000,000) or any larger sum which is an integral multiple of one million Dollars
($1,000,000)) of the relevant Ship Commitment. 

  

	9.5.2	Any such notice of cancellation, once given, shall be irrevocable and upon such cancellation taking effect the Commitment of each Lender to such Ship Commitment shall
be reduced proportionately. 

  

	9.5.3	On the date when any such cancellation takes effect, the Borrowers shall pay to the Facility Agent (for the account of the Lenders): 

 

	 	(a)	any accrued commitment commission on the part of the Ship Commitment being cancelled; 

 

	 	(b)	a cancellation fee of one per cent (1%) on the amount of the Ship Commitment cancelled; and 

 

	 	(c)	any other amounts then payable under clause 16 (Indemnities). 

  

	9.5.4	If the Borrowers cancel the Total Commitments or any relevant Ship Commitment prior to the payment of the SINOSURE Premium they shall on demand indemnify the Lenders
for any amount claimed against them by way of handling charges or otherwise in connection with the application for SINOSURE cover. The Lenders shall provide supporting evidence for any such claim and the amount charged by SINOSURE.

  
 - 30 -

	9.5.5	The Borrowers shall not cancel all or any part of any Ship Commitment except at the times and in the manner expressly provided for in this Agreement.

  

	9.5.6	No amount of any Ship Commitment cancelled under this Agreement may be subsequently reinstated. 

 

	9.6	SINOSURE Policy 

 If the
SINOSURE Policy ceases to be in full force and effect or is terminated (other than by reason of its expiry or the cancellation or prepayment of the Total Commitments or the Loan then the Facility Agent shall immediately inform the other Parties.
Immediately following such notification, the Total Commitments shall be suspended and no Drawdown may be requested. The Borrowers shall on demand repay the Loan together with accrued interest and all other amounts accrued under the Finance Documents
on the last day of the then current Interest Period for each Ship Loan or if earlier, the date specified by the Lenders in a notice delivered to the Facility Agent as being the date on which the SINOSURE Policy ceases to be in full force and effect
or is terminated. 
  

	9.7	Amounts payable on prepayment 

  

	9.7.1	Any prepayment of all or part of the Loan or of the Ship Loan shall be made by the Borrowers together with: 

 

	 	(a)	accrued interest on the amount to be prepaid to the date of such prepayment (if any); 

 

	 	(b)	any Break Costs; 

  

	 	(c)	the prepayment fee payable under clause 9.7.2; 

  

	 	(d)	any additional amount payable under clause 11.5 (Grossing-up for Taxes) or clause 17.2 (Increased costs); and 

 

	 	(e)	all other sums payable by the Borrowers under this Agreement or any of the other Finance Documents including, without limitation, any accrued commitment commission and
any amounts payable under clause 16 (Indemnities). 

  

	9.7.2	At the same time as the Borrowers make a prepayment under any of the provisions of this Agreement, the Borrowers shall pay to the Facility Agent for the account of the
Lenders a prepayment fee in accordance with the following provisions: 

  

	 	(a)	in the event of a prepayment resulting from the sale of a Ship, the prepayment fee shall be an amount in Dollars equal to: 

 

	 	(i)	one per cent (1%) of the amount prepaid if the prepayment takes place within thirty-six (36) months after the Delivery Date of the Ship that is sold; or

  

	 	(ii)	zero point five per cent (0.5%) of the amount prepaid if the prepayment takes place after such time; 

 

	 	(b)	in the event of a prepayment resulting from the Total Loss of a Ship or from a security shortfall under clause 13.2.1 (Security shortfall), no prepayment
fee shall be payable; and 

  

	 	(c)	in the event of any prepayment (other than a prepayment resulting from the sale or Total Loss of a Ship), the prepayment fee shall be at all times an amount in Dollars
equal to one percent (1%) of the amount prepaid. 

 Any prepayment fee will be shared between the Lenders pro
rata to the amounts of their Contributions being prepaid. 

  
 - 31 -

	9.8	Notice of prepayment; reduction of repayment instalments 

  

	9.8.1	Every notice of prepayment shall be effective only on actual receipt by the Facility Agent, shall be irrevocable, shall specify the amount to be prepaid and shall
oblige the Borrowers to make such prepayment on the date specified. 

  

	9.8.2	No amount prepaid under this Agreement may be re-borrowed. 

  

	9.8.3	Any amount prepaid pursuant to clause 9.2.1 (Voluntary prepayment), clause 9.3 (Mandatory cancellation or prepayment - total loss or disposal/sale)
or clause 13.2.1 (Security shortfall) shall be applied in reducing the repayment instalments of the relevant Ship Loan under clause 9.1 (Repayment) in inverse order of their due dates of payment. 

 

	9.8.4	Any amount of the Loan prepaid pursuant to clause 9.2.2 (Voluntary prepayment) shall be applied in reducing the repayment instalments of each Ship Loan under
clause 9.1 (Repayment) pro rata and in inverse order of their due dates of payment. 

  

	9.8.5	The Borrowers may not prepay a Ship Loan or the Loan or any part thereof save as expressly provided in this Agreement. 

 

	10	Fees and expenses 

  

	10.1	Fees 

  

	10.1.1	Arrangement Fee 

 The
Borrowers shall pay respectively to the Mandated Lead Arranger and the Coordinating Mandated Lead Arranger (for sharing between the Arrangers and the Lenders in such manner as the Arrangers may in their sole discretions require) on the date falling
three (3) Business Days after the date of this Agreement, arrangement fees computed in accordance with the terms of the Fee Letters. 
  

	10.1.2	Commitment Fee 

  

	 	(a)	The Borrowers shall pay to the Facility Agent (for the account of each Lender) a fee in Dollars computed at the rate of zero point two five per cent (0.25%) per annum
on the unused and uncancelled amount of the Ship Commitment in accordance with the terms of the Fee Letter. 

  

	 	(b)	The Borrowers shall pay the accrued commitment commission on each of the dates falling at three (3) monthly intervals after the date of this Agreement and on the
last day of the relevant Availability Period for the relevant Ship Commitment and, if cancelled in full, on the cancelled amount of the relevant Lender’s relevant Ship Commitment at the time the cancellation is effective.

  

	10.1.3	Agency Fee 

 The Borrowers
shall pay to the Facility Agent, for the account of the Facility Agent, on or before the date falling three (3) Business Days after the date of this Agreement and on each of the dates falling at twelve (12) monthly intervals thereafter, an
agency fee in accordance with the terms of the Fee Letter. 
  

	10.2	Expenses 

 The Borrowers
shall pay to the Facility Agent on a full indemnity basis on demand all expenses (including legal, printing and out-of-pocket expenses) incurred by any Finance Party: 
  

	 	(a)	in connection with the negotiation, preparation, execution and, where relevant, registration of the Finance Documents and of any amendment or extension of or the
granting of any waiver or consent under, any of the Finance Documents; and 

  
 - 32 -

	 	(b)	in contemplation of, or otherwise in connection with, the enforcement of, or preservation of any rights under, any of the Finance Documents, or otherwise in respect of
the moneys owing under any of the Finance Documents, 

 together with interest at the rate referred to in clause
8.4 (Default Interest), from the date on which such expenses were incurred to the date of payment (as well after as before judgment). The Facility Agent shall provide supporting evidence (e.g. invoices) of all such expenses. 

 

	10.3	Value Added Tax 

 All fees
and expenses payable pursuant to this clause 10 shall be paid together with value added tax or any similar tax (if any) properly chargeable thereon. Any value added tax chargeable in respect of any services supplied by a Finance Party or any of
them under this Agreement or any of the other Finance Documents shall, on delivery of the value added tax invoice, be paid in addition to any sum agreed to be paid hereunder. 

 

	10.4	Stamp and other duties 

The Borrowers shall pay all stamp, documentary, registration or other like duties or taxes (including any duties or taxes payable by any
Finance Party) imposed on or in connection with any of the Finance Documents, the Underlying Documents, a Ship Loan or the Loan and shall indemnify the Finance Parties or any of them against any liability arising by reason of any delay or omission
by the Borrowers to pay such duties or taxes. 
  

	11	Payments and taxes; accounts and calculations 

  

	11.1	No set-off or counterclaim 

The Borrowers acknowledge that in performing their obligations under this Agreement the Lenders will be incurring liabilities to third
parties in relation to the funding of amounts to the Borrowers, such liabilities matching the liabilities of the Borrowers to the Lenders and that it is reasonable for the Lenders to be entitled to receive payments from the Borrowers gross on the
due date in order that the Lenders are put in a position to perform their matching obligations to the relevant third parties. Accordingly, all payments to be made by the Borrowers under any of the Finance Documents shall be made in full, without any
set-off or counterclaim whatsoever and, subject as provided in clause 11.5 (Grossing-up for Taxes), free and clear of any deductions or withholdings, in Dollars on the due date to the account of the Facility Agent at such bank and at
such place as the Facility Agent may from time to time specify for this purpose. Save as otherwise provided in this Agreement or any relevant Finance Documents such payments shall be for the account of all the Lenders and the Facility Agent shall
forthwith distribute such payments in like funds as are received by the Facility Agent to the Lenders rateably in accordance with their respective Commitment or (following drawdown) Contribution. 

 

	11.2	Non-Business Days 

 When
any payment under any of the Finance Documents would otherwise be due on a day which is not a Business Day, the due date for payment shall be extended to the next following Business Day unless such Business Day falls in the next calendar month in
which case payment shall be made on the immediately preceding Business Day. 
  

	11.3	Calculations 

 All
interest and other payments of an annual nature under any of the Finance Documents shall accrue from day to day and be calculated on the basis of actual days elapsed and a three hundred and sixty (360) day year. 

  
 - 33 -

	11.4	Certificates conclusive 

Any certificate or determination of the Facility Agent as to any rate of interest or any other amount pursuant to and for the purposes of
any of the Finance Documents shall, in the absence of manifest error, be conclusive and binding on the Borrowers. 
  

	11.5	Grossing-up for Taxes 

 If
at any time the Borrowers are required to make any deduction for the account of any Finance Party or if the Facility Agent or the Security Agent is required to make any deduction or withholding from a payment to another Finance Party or withholding
in respect of Taxes from any payment due under any of the Finance Documents, the sum due from the Borrowers in respect of such payment shall be increased to the extent necessary to ensure that, after the making of such deduction or withholding, the
relevant Finance Party receives on the due date for such payment (and retains, free from any liability in respect of such deduction or withholding), a net sum equal to the sum which it would have received had no such deduction or withholding been
required to be made and the Borrowers shall indemnify each Finance Party against any losses or costs incurred by it by reason of any failure of the Borrowers to make any such deduction or withholding or by reason of any increased payment not being
made on the due date for such payment. The Borrowers shall promptly deliver to the Facility Agent any receipts, certificates or other proof evidencing the amounts (if any) paid or payable in respect of any deduction or withholding as aforesaid.

  

	11.6	Tax credit 

 If a Borrower
makes a payment pursuant to clause 11.5 (a Tax Payment) and the relevant Finance Party determines that: 
  

	11.6.1	a credit against, relief or remission for, or repayment of any Tax (a Tax Credit) is attributable either to an increased payment of which that Tax Payment forms
part, or to that Tax Payment; and 

  

	11.6.2	that Finance Party has obtained, utilised and retained that Tax Credit, 

 the Finance Party shall pay an amount to the relevant Borrower which that Finance Party determines will leave it (after that payment) in the same after-tax position as it would have been in had the Tax
Payment not been required to be made by the Borrower. 
  

	11.7	Loan account 

 Each Lender
shall maintain, in accordance with its usual practice, an account or accounts evidencing the amounts from time to time lent by, owing to and paid to it under the Security Documents. The Security Agent or the Lenders (as the case may be) shall
maintain a control account or accounts (being part of the “account current” referred to in each Mortgage) showing the Loan and other sums owing to the Lenders under the Finance Documents and all payments in respect thereof made from time
to time. Each such control account or accounts shall, in the absence of manifest error, be conclusive as to the amount from time to time owing by the Borrowers under the Finance Documents. 

 

	11.8	Facility Agent may assume receipt 

 Where any sum is to be paid under any of the Finance Documents to the Facility Agent or, as the case may be, the Security Agent for the account of another person, the Facility Agent or, as the case may
be, the Security Agent may assume that the payment will be made when due and the Facility Agent or, as the case may be, the Security Agent may (but shall not be obliged to) make such sum available to the person so entitled. If it proves to be the
case that such payment was not made to the Facility Agent or, as the case may be, the Security Agent, then the person to whom such sum was so made available shall on request refund such sum to the Facility Agent or, as the case may be, the Security
Agent together with interest thereon sufficient to compensate the Facility Agent or, as the case may be, the Security Agent for the 

  
 - 34 -

 
cost of making available such sum up to the date of such repayment and the person by whom such sum was payable shall indemnify the Facility Agent or, as the case may be, the Security Agent for
any and all loss or expense which the Facility Agent or, as the case may be, the Security Agent may sustain or incur as a consequence of such sum not having been paid on its due date. 

 

	11.9	Partial payments 

  

	11.9.1	If, on any date on which a payment is due to be made by a Security Party under any of the Finance Documents, the amount received by the Facility Agent from that
Security Party falls short of the total amount of the payment due to be made by that Security Party on such date then, without prejudice to any rights or remedies available to the Facility Agent, the Security Agent and the Lenders under any of the
Finance Documents, the Facility Agent shall apply the amount actually received from that Security Party (or from the Security Agent) in or towards the obligations under those Finance Documents in the following order, notwithstanding any
appropriation made, or purported to be made, by any Security Party: 

  

	 	(a)	firstly, in or towards payment, on a pro-rata basis, of any unpaid fees, costs and expenses of the Arrangers, the Facility Agent and the Security Agent or any of them
under, or in relation to, any of the Finance Documents; 

  

	 	(b)	secondly, in or towards payment, on a pro-rata basis, of any unpaid fees, commitment commission, costs and expenses of the Lenders or any of them under or in relation
to, the Finance Documents; 

  

	 	(c)	thirdly, in or towards payment to the Lenders, on a pro-rata basis, of any accrued interest which shall have become due under any of the Finance Documents but remains
unpaid; 

  

	 	(d)	fourthly, in or towards payment to the Lenders, on a pro-rata basis, of any amount of principal which shall have become due but remains unpaid;

  

	 	(e)	fifthly, in or towards payment to the relevant person of any other sum which shall have become due under any of the Finance Documents but remains unpaid (and, if more
than one such sum so remains unpaid, on a pro-rata basis). 

  

	11.9.2	The order of application set out in clauses 11.9.1(b) to 11.9.1(e) may be varied by the Facility Agent if the Majority Lenders so directs, without any reference to, or
consent or approval from the Borrowers. 

  

	12	Representations and warranties 

  

	12.1	Continuing representations and warranties 

 Each Borrower represents and warrants to each Finance Party that: 
  

	12.1.1	Due incorporation: each Borrower and each of the other Security Parties are duly incorporated and validly existing in good standing under the laws of
their respective countries of incorporation as limited liability companies or corporations and have power to carry on their respective businesses as they are now being conducted and to own their respective property and other assets;

  

	12.1.2	Corporate power: each Borrower has power to execute, deliver and perform its obligations under the Underlying Documents and the Finance Documents to which
it is a party and to borrow the Total Commitment and each of the other Security Parties has power to execute and deliver and perform its obligations under the Finance Documents and the Underlying Documents to which it is or is to be a party; all
necessary corporate, shareholder and other action has been taken to authorise the execution, delivery and performance of the same and no limitation on the powers of any Borrower to borrow will be exceeded as a result of borrowing the Total
Commitment; 

  
 - 35 -

	12.1.3	Binding obligations: the Underlying Documents and the Finance Documents constitute or will, when executed, constitute valid and legally binding
obligations of the relevant Security Parties enforceable in accordance with their respective terms; 

  

	12.1.4	No conflict with other obligations: the execution and delivery of, the performance of its obligations under, and compliance with the provisions of, the
Underlying Documents and the Finance Documents by the relevant Security Parties will not: 

  

	 	(a)	contravene any existing applicable law, statute, rule or regulation or any judgment, decree or permit to which any Borrower or any other Security Party is subject; or

  

	 	(b)	conflict with, or result in any breach of any of the terms of, or constitute a default under, any agreement or other instrument to which any Borrower or any other.
Security Party is a party or is subject or by which it or any of its property is bound; or 

  

	 	(c)	contravene or conflict with any provision of the constitutional documents of any Borrower or any other Security Party; or 

 

	 	(d)	result in the creation or imposition of or oblige any Borrower or any other Relevant Party to create any Encumbrance (other than a Permitted Encumbrance) on any of the
undertakings, assets, rights or revenues of any Borrower or any other Relevant Party; 

  

	12.1.5	No litigation: no litigation, arbitration, investigation or proceeding (administrative or otherwise) is taking place, pending or, to the knowledge of the
officers of any Borrower, threatened against any Borrower or any other Relevant Party which could have a material adverse effect on the business, assets or financial condition of any Borrower or any other Security Party; 

 

	12.1.6	No filings required: save for the registration of each of the Mortgages with the relevant Registry, it is not necessary to ensure the legality, validity,
enforceability or admissibility in evidence of the Underlying Documents or any of the Finance Documents that they or any other instrument be notarised, filed, recorded, registered or enrolled in any court, public office or elsewhere in any Relevant
Jurisdiction or that any stamp, registration or similar tax or charge be paid in any Relevant Jurisdiction on or in relation to the Underlying Documents or the Finance Documents and each of the Underlying Documents and the Finance Documents is in
proper form for its enforcement in the courts of each Relevant Jurisdiction; 

  

	12.1.7	Choice of law: the choice of English law to govern the Underlying Documents and the Finance Documents (other than the Mortgages and the Account Security
Documents), the choice of Maltese law to govern the Mortgages and the choice of the law of Greece to govern the Account Security Documents and the submission thereunder by the Security Parties to the non-exclusive jurisdiction of the English courts
or (as the case may be) any other court, are valid and binding; 

  

	12.1.8	No immunity: no Borrower nor any other Security Party nor any of their respective assets is entitled to immunity on the grounds of sovereignty or
otherwise from any legal action or proceeding (which shall include, without limitation, suit, attachment prior to judgement, execution or other enforcement); 

 

	12.1.9	Financial statements correct and complete: the audited consolidated financial statements of the Group in respect of the financial year ended on
31 December 2010 as delivered to the Facility Agent and/or the Arrangers have been prepared in accordance with the GAAP, which have been consistently applied, and present fairly and accurately the consolidated financial position of the Group as
at such date and the consolidated results of the operations of the Group for the financial year ended on such date and, as at such date, neither the Group nor any member thereof had any significant liabilities (contingent or otherwise) or any
unrealised or anticipated losses which are not disclosed by, or reserved against, or provided for in such financial statements; 

  

	12.1.10	 Consents obtained: every consent, authorisation, licence or approval of, or registration with or declaration to, governmental or public
bodies or authorities or courts required by any Security Party to authorise, or required by any Security Party in connection with, the execution, delivery, 

  
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validity, enforceability or admissibility in evidence of each of the Underlying Documents and each of the Finance Documents or the performance by each Security Party of its obligations under the
Underlying Documents and the Finance Documents has been obtained or made and is in full force and effect and there has been no default in the observance of any of the conditions or restrictions (if any) imposed in, or in connection with, any of the
same; 

  

	12.1.11	Authorisations: all authorisations necessary for the conduct of the business, trade and ordinary activities of each Owner and each Guarantor have been
obtained or effected and are in full force and effect; 

  

	12.1.12	No material adverse change: there has been no material adverse change: 

 

	 	(a)	in the business, assets; properties, operations, prospects, performance, condition or the financial position of any Borrower from that described by or on behalf of that
Borrower or any other Security Party to the Facility Agent and/or the Arrangers in the negotiation of this Agreement; or 

  

	 	(b)	in the business, assets, properties, operations, prospects, performance, condition or the consolidated financial position of the Group from that set forth in the annual
audited consolidated financial statements of the Group for the financial year ended 31 December 2010; or 

  

	 	(c)	in the ability of any Borrower, the Guarantors, the Manager or any other Security Party to comply with any of their respective obligations under the Finance Documents
or any of them; or 

  

	 	(d)	in the legality, validity or enforceability of any of the Finance Documents or any of the rights or remedies of the Finance Parties or any of them thereunder; or

  

	 	(e)	in any Relevant Jurisdiction (or in any of the financial markets thereof); 

 

	12.1.13	Borrowers’ own account: in relation to the borrowing by each Borrower of the Total Commitments or any part thereof, the performance and discharge of
its obligations and liabilities under the Finance Documents and the transactions and other arrangements effected or contemplated by this Agreement, such Borrower is acting for its own account and that the foregoing will not involve or lead to a
contravention of any law, official requirement or other regulatory measure or procedure which has been implemented to combat “money laundering” (as defined in Article 1 of the Directive (91/308/EEC) of the Council of the
European Communities (as amended)); 

  

	12.1.14	Solvency: 

  

	 	(a)	no Borrower nor any other Relevant Party is unable, or admits or has admitted its inability, to pay its debts or has suspended making payments on any of its debts;

  

	 	(b)	no Borrower nor any other Relevant Party by reason of actual or anticipated financial difficulties has commenced, or intends to commence, negotiations with one or more
of its creditors with a view to rescheduling any of its Indebtedness; 

  

	 	(c)	the value of the assets of each Borrower and the other Relevant Parties is not less than their respective liabilities (taking into account contingent and prospective
liabilities); and 

  

	 	(d)	no moratorium has been, or may, in the reasonably foreseeable future be, declared in respect of any Indebtedness of any Borrower or any other Relevant Party; and

  

	12.1.15	Compliance with laws and regulations: each Owner and each Guarantor is in compliance with the terms and conditions of all laws, regulations, agreements,
licenses and concessions material to the carrying on of its business (including in relation to Taxation and including Environmental Laws). 

  
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	12.1.16	Pari passu and subordinated indebtedness: 

  

	 	(a)	the obligations of each Borrower under this Agreement and the obligations of each Guarantor under the respective Guarantee are direct, general and unconditional
obligations of such Borrower and such Guarantor, respectively, and rank at least pari passu with all other present and future unsecured and unsubordinated Indebtedness of such Borrower (or, as the case may be, such Guarantor) with the
exception of any obligations which are mandatorily preferred by law and not by contract; 

  

	 	(b)	any Indebtedness of each Borrower or each Guarantor owing to any of its respective shareholders or other Relevant Parties is subordinated in all respects to the
Borrowers’ obligations under this Agreement (in the case of a Borrower) and to the Guarantors’ obligations under the respective Guarantee; 

  

	12.2	Initial representations and warranties 

 Each Borrower further represents and warrants to each Finance Party that: 
  

	12.2.1	No default: 

  

	 	(a)	no Default has occurred and is continuing; and 

  

	 	(b)	no Security Party is, nor would with the giving of notice or lapse of time or the satisfaction of any other condition or combination thereof be, in breach of or in
default under any agreement relating to Indebtedness to which it is a party or by which it may be bound; 

  

	12.2.2	Information - full disclosure: the information, exhibits and reports furnished by or on behalf of any Security Party to the Facility Agent and/or the
Arrangers in connection with the negotiation and preparation of the Finance Documents are true and accurate in all material respects and not misleading and all expressions of opinions contained therein genuinely reflect the opinions of the directors
and the senior management of the relevant Borrower and the relevant Guarantor and are based on reasonable assumptions, do not omit material facts and all reasonable enquiries have been made to verify the facts and statements contained therein; there
are no other facts the omission of which would make any fact or statement therein misleading; 

  

	12.2.3	No withholding Taxes: no Taxes are imposed by withholding or otherwise on any payment to be made by any Security Party under the Underlying Documents or
the Finance Documents to which it is a party or are imposed on or by virtue of the execution or delivery by the Security Parties of the Underlying Documents or the Finance Documents to which it is a party or any other document or instrument to be
executed or delivered under any of the Finance Documents to which it is a party; 

  

	12.2.4	Shareholdings: each Borrower is a wholly-owned direct Subsidiary of the relevant Shareholder and the Shareholder is a wholly-owned in-direct Subsidiary of
the Dryships Guarantor; 

  

	12.2.5	The Ships: each Ship will, on the Delivery Date for that Ship or, if later, the Drawdown Date for the associated Ship Loan, be: 

 

	 	(a)	in the absolute ownership of the relevant Owner who will on and after that date be the sole, legal and beneficial owner of such Ship; 

 

	 	(b)	registered in the name of the relevant Owner under the laws and flag of the relevant Flag State through the relevant Registry; 

 

	 	(c)	operationally seaworthy and in every way fit for service; and 

  

	 	(d)	classed with the relevant Classification free of all requirements and recommendations from the relevant Classification Societies; 

  
 - 38 -

	12.2.6	Ships’ employment: no Ship is, nor will any Ship be, on or before the Delivery of that Ship or, if later, the Drawdown Date for the associated Ship
Loan, subject to any charter (other than the relevant Time Charter) or contract or to any agreement to enter into any charter or contract which, if entered into after the date of the relevant Deed of Covenant would have required the consent of the
Finance Parties or any of them pursuant to the terms of clause 5.1.15 of such Deed of Covenant or if one has been entered into, the Facility Agent has consented to such charter contract and on the relevant Delivery Date there will not be any
agreement or arrangement whereby the Earnings of any Ship may be shared with any other person; 

  

	12.2.7	Freedom from Encumbrances; no Financial Indebtedness: 

  

	 	(a)	no Ship, nor any Ship’s Earnings, Insurances or Requisition Compensation nor any Account nor any other properties or rights which are, or are to be, the subject of
any of the Security Documents nor any part thereof will be, on the relevant Drawdown Date, subject to any Encumbrance other than the Permitted Encumbrances; 

 

	 	(b)	no Borrower has any Financial Indebtedness except for Permitted Financial Indebtedness; 

 

	12.2.8	Compliance with Environmental Laws and Approvals: except as may already have been disclosed by a Borrower in writing to, and acknowledged in writing by,
the Facility Agent and/or the Arrangers: 

  

	 	(a)	the Borrowers and the other Relevant Parties and, to the best of each Borrower’s knowledge and belief (having made due enquiry), all of their respective
Environmental Affiliates, have complied all with the provisions of all Environmental Laws; 

  

	 	(b)	the Borrowers and the other Relevant Parties and, to the best of each Borrower’s knowledge and belief (having made due enquiry), all of their respective
Environmental Affiliates have obtained all Environmental Approvals and are in compliance with all such Environmental Approvals; and 

  

	 	(c)	no Borrower nor any other Relevant Party nor, to the best of each Borrower’s knowledge and belief (having made due enquiry), all of their respective Environmental
Affiliates have received notice of any Environmental Claim that any Borrower or any other Relevant Party or any such Environmental Affiliate is not in compliance with any Environmental Law or any Environmental Approval; 

 

	12.2.9	No Environmental Claims: except as may already have been disclosed by a Borrower in writing to, and acknowledged in writing by, the Facility Agent and/or
the Arrangers, there is no Environmental Claim pending or, to the best of each Borrower’s knowledge and belief (having made due enquiry), threatened against any Owner or any Ship or any other Relevant Party or any other Relevant Ship or to the
best of each Borrower’s knowledge and belief (having made due enquiry) any of their respective Environmental Affiliates; 

  

	12.2.10	No potential Environmental Claims: except as may already have been disclosed by a Borrower in writing to, and acknowledged in writing by, the Facility
Agent and/or the Arrangers, there has been no emission, spill, release or discharge of a Pollutant from any Ship or any other Relevant Ship owned by, managed or crewed by or chartered to any Owner nor to the best of each Borrower’s knowledge
and belief (having made due enquiry) from any Relevant Ship owned, managed or crewed by, or chartered to, any other Relevant Party which could give rise to an Environmental Claim; 

 

	12.2.11	Copies true and complete: the copies of the Underlying Documents delivered or to be delivered to the Facility Agent pursuant to clause 5.2
(Initial conditions precedent) are, or will when delivered be, true and complete copies of such documents; and such documents constitute valid and binding obligations of the parties thereto enforceable in accordance with their respective
terms and there have been no amendments or variations thereof or defaults thereunder; 

  
 - 39 -

	12.2.12	DOC and SMC: on the Delivery Date of a Ship the Operator will have a DOC for itself and an SMC in respect of such Ship; 

 

	12.2.13	ISPS Code: on the Delivery Date of a Ship the relevant Owner shall have a valid and current ISSC in respect of such Ship and such Ship shall be in
compliance with the ISPS Code; and 

  

	12.2.14	No default under Shipbuilding Contracts: no Owner is in default of any of its obligations under the Shipbuilding Contract to which it is a party.

  

	12.3	Repetition of representations and warranties 

  

	12.3.1	All of the representations and warranties set out in this clause 12 (Representations and Warranties) (other than the Ship Representations) are deemed to be
made by each Borrower on the dates of: 

  

	 	(a)	this Agreement; 

  

	 	(b)	the first Drawdown Notice; and 

  

	 	(c)	the first Drawdown. 

  

	12.3.2	The Repeating Representations are deemed to be made by each Borrower on the dates of each subsequent Drawdown Notice and the first day of each relevant Interest Period.

  

	12.3.3	All the Ship Representations are deemed to be made on the first day of the relevant Mortgage Period. 

 

	12.3.4	On and as of each Drawdown Date and (except in relation to the representations and warranties in clause 12.2) on each relevant Interest Payment Date, each Borrower
shall be deemed to further represent and warrant to the Facility Agent that the then latest audited financial statements delivered to the Facility Agent (if any) have been prepared in accordance with GAAP which have been consistently applied and
present fairly and accurately the financial position of each Borrower and the Manager, respectively, and the consolidated financial position of the Group as at the end of the financial period to which the same relate, the operations of such Borrower
and the Manager, respectively, and the consolidated results of the operations of the Group for the financial period to which the same relate and, as at the end of such financial period, no Security Party nor any other member of the Group, nor the
Group as a whole, had any significant liabilities (contingent or otherwise) or any unrealised or anticipated losses which are not disclosed by, or reserved against or provided for in, such financial statements. 

 

	12.3.5	Each representation or warranty deemed to be made after the date of this Agreement shall be deemed to be made by reference to the facts and circumstances then existing
at the date the representation or warranty is deemed to be made. 

  

	13	Undertakings 

  

	13.1	General 

 Each Borrower
undertakes with each Finance Party that, from the date of this Agreement and so long as any moneys are owing under any of the Finance Documents and while all or any part of the Total Commitment remains outstanding, it will: 

 

	13.1.1	Notice of Default; material litigation: 

  

	 	(a)	 promptly inform the Facility Agent of any occurrence of which it becomes aware which might adversely affect the ability of any Security Party to
perform its obligations under any of the Finance Documents or the Underlying Documents and, without limiting the generality of the foregoing and without prejudice to clause 13.1.6 (Valuations), will inform the Facility Agent of any
Default forthwith upon becoming aware thereof and will from 

  
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time to time, if so requested by the Facility Agent, confirm to the Facility Agent in writing that, save as otherwise stated in such confirmation, no Default has occurred and is continuing; and

  

	 	(b)	promptly upon becoming aware of the same, provide the Facility Agent with details of any material litigation, arbitration, regulatory or administrative proceedings
which are taking place against or involving any Security Party; 

  

	13.1.2	Consents and licences: without prejudice to clauses 12.1 (Continuing representations and warranties) and 5 (Effective date and Conditions
precedent), obtain or cause to be obtained, maintain in full force and effect and comply in all material respects with the conditions and restrictions (if any) imposed in, or in connection with, every consent, authorisation, licence or approval
of governmental or public bodies or authorities or courts and do, or cause to be done, all other acts and things which may from time to time be necessary or desirable under applicable law for the continued due performance of all the obligations of
the Security Parties under each of the Finance Documents and the Underlying Documents to which it is a party; 

  

	13.1.3	Use of proceeds: use each Ship Loan exclusively for the purpose specified in clause 3 (Purpose); 

 

	13.1.4	Pari passu and subordination: without prejudice to the provisions of clause 13.3 (Negative undertakings), ensure that:

  

	 	(a)	its obligations under this Agreement shall at all times rank at least pari passu with all its other present and future unsecured and unsubordinated Indebtedness
with the exception of any obligations which are mandatorily preferred by law and not by contract; and 

  

	 	(b)	its Indebtedness (if any) to its shareholders or its Related Companies is on terms acceptable to the Facility Agent and is and shall remain at all times fully
subordinated towards its obligations under this Agreement; 

  

	13.1.5	Financial statements: prepare or cause to be prepared: 

  

	 	(a)	consolidated financial statements of the Group in accordance with GAAP consistently applied in respect of each financial year (namely, each 12-month period ending on
31 December of each calendar year) and cause the same to be reported on by the Group’s auditors; 

  

	 	(b)	financial statements of each Borrower, each in accordance with GAAP consistently applied in respect of each financial year (namely, each 12-month period ending on
31 December of each calendar year) and cause the same to be reported on by its auditors; 

  

	 	(c)	financial statements of each Borrower and consolidated financial statements of the Group, each in accordance with GAAP consistently applied in respect of each half-year
of each financial year (namely, each 6-month period ending on 30 June and 31 December of each calendar year); 

  

	 	(d)	an annual operating and capex budget for each Ship, each in respect of the next financial year (namely, the 12-month period ending on 31 December of the next
calendar year); and 

  

	 	(e)	a quarterly report for each Ship setting out in detail such Ship’s Earnings and signed by the relevant Manager, in respect of each financial quarter (namely, each
3-month period ending on 31 March, 30 June, 30 September and 31 December of each calendar year), 

 and, in each case, deliver as many copies of the same as the Facility Agent may reasonably require as soon as practicable but not later than: 

 

	 	(i)	in the case of yearly audited financial statements, one hundred and twenty (120) days after the end of the financial period to which they relate (namely, not later
than 30 April of each calendar year); 

  
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	 	(ii)	in the case of half year unaudited financial statements, ninety (90) days after the end of the financial period to which they relate (namely, not later than
30 September and 31 March, respectively, of each calendar year); 

  

	 	(iii)	in the case of annual operating and capex budgets, thirty (30) days after the beginning of the financial year to which they relate (namely, not later than
31 January of each calendar year); and 

  

	 	(iv)	in the case of quarterly reports, thirty (30) days after the end of the financial quarter to which they relate (namely, not later than 31 January,
30 April, 31 July and 31 October of each calendar year); 

  

	13.1.6	Valuations: at the same time as the Borrowers and/or a Guarantor provides the Facility Agent and/or the Security Agent with consolidated financial
statements pursuant to clause 13.1.5 (Financial statements) and, if a Default has occurred, at any other time as and when the Facility Agent in its absolute discretion shall require, provide the Facility Agent with valuations of the
relevant Ship made in accordance with clause 13.2.2 (Valuation of Mortgaged Ships); 

  

	13.1.7	Delivery of reports: deliver to the Facility Agent as many copies as the Facility Agent may reasonably require of every material report, circular, notice
or like document issued by such Borrower to its shareholders or creditors generally; 

  

	13.1.8	Provision of further information: provide the Facility Agent with such financial or other information concerning each Borrower, each Manager, the
Guarantors, the other Security Parties, the Group, their respective members and their respective affairs as the Facility Agent or any Lender may from time to time require and shall promptly advise the Facility Agent of all major financial
developments in relation to any Owner, any other Security Parties, the Group, their respective members including, without prejudice to the generality of the foregoing, their business, operations, financial condition, any vessels sales or purchases
and any new borrowings; 

  

	13.1.9	Obligations under Finance Documents: and will procure that each of the other Security Parties will, duly and punctually perform each of the obligations
expressed to be assumed by it under the Finance Documents and the Underlying Documents; 

  

	13.1.10	Compliance with the Code: and will procure that any Operator and each other Owner will, comply with, and ensure that each Ship and any Operator at all
times complies with, the requirements of the Code, including (but not limited to) the maintenance and renewal of valid certificates pursuant thereto throughout the Security Period; 

 

	13.1.11	Issuance of DOC and SMC: and will procure that any Operator and each other Owner will, promptly inform the Facility Agent upon the issuance to any
Operator of a DOC and to each Ship of an SMC or the receipt by an Owner or any Operator of notification that its application for the same has been refused; 

 

	13.1.12	Withdrawal of DOC and SMC: and will procure that any Operator and each other Owner will, immediately inform the Facility Agent if there is any threatened
or actual withdrawal of its Operator’s DOC or the SMC in respect of each Ship; 

  

	13.1.13	ISPS Code compliance: and will procure that each Manager, each Operator and each other Owner will: 

 

	 	(a)	maintain at all times on and after Delivery of the relevant Ship a valid and current ISSC in respect of such Ship; 

  
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	 	(b)	immediately notify the Facility Agent in writing of any actual or threatened withdrawal, suspension, cancellation or modification of the ISSC in respect of the relevant
Ship; and 

  

	 	(c)	procure that the relevant Ship will comply at all times after Delivery of such Ship with the ISPS Code; 

 

	13.1.14	Compliance with laws and regulations: and will procure that each other Security Party will, comply with the terms and conditions of all laws, regulations,
agreements, licences and concessions material to the carrying out of its business (including those relating to Taxation and Environmental Laws); 

  

	13.1.15	SINOSURE Policy: 

  

	 	(a)	it shall not (and shall ensure that no other Security Party shall) take any action or omit to take action which would: 

 

	 	(i)	permit the restriction, revocation, annulment or termination of the SINOSURE Policy; or 

 

	 	(ii)	give rise to an exclusion or defence to payment applicable to an insured loss under the SINOSURE Policy; 

 

	 	(b)	that, if the Facility Agent notifies it that the Facility Agent has or intends to file a claim for payment under the SINOSURE Policy, it shall:

  

	 	(i)	use its best efforts to assist in the filing of any claim for compensation, indemnity or reimbursement; and 

 

	 	(ii)	use their best efforts to co-operate in good faith with the Facility Agent and/or SINOSURE with respect to any verification of claim, eligibility or amount (including
but not limited to providing evidence, documentation, information, certificates and other forms of proof reasonably requested in connection therewith); 

  

	13.1.16	Know your customer information: deliver to the Facility Agent such documents and evidence as the Facility Agent shall from time to time require relating
to the verification of identity and knowledge of the Facility Agent’s or any Lender’s customers and the compliance by the Facility Agent or any Lender with all necessary “know your customer” or similar checks, always on the basis
of applicable laws and regulations or the Facility Agent’s or any Lender’s own internal guidelines, in each case as such laws, regulations or internal guidelines apply from time to time; 

 

	13.1.17	Money laundering: ensure that any borrowing by them and the performance of their obligations hereunder and under the other Security Documents to which
they are a party will be for their own account and will not involve any breach by them of any law or regulatory measure relating to money laundering as defined in Article 1 of the directive (91/308/EEC) of the Council of the European
Communities or any equivalent law or regulatory measure in any other jurisdiction. 

  

	13.2	Security value maintenance 

  

	13.2.1	Security shortfall: If at any time the Security Value for any Ship Loan shall be less than the Security Requirement, the Facility Agent may, and if so
directed by the Majority Lenders, shall give notice to the Borrowers requiring that such deficiency be remedied and then the Borrowers shall (unless such deficiency has been caused exclusively by the associated Ship having become a Total Loss)
either: 

  

	 	(a)	prepay the relevant Ship Loan within a period of fifteen (15) days of the date of receipt by the Borrowers of the Facility Agent’s said notice such sum in Dollars
as will result in the Security Requirement after such prepayment (taking into account any other repayment of the Loan made between the date of the notice and the date of such prepayment) being equal to the Security Value; or

  
 - 43 -

	 	(b)	within fifteen (15) days of the date of receipt by the Borrowers of the Facility Agent’s said notice constitute to the satisfaction of the Facility Agent such
further security for the Loan as shall be acceptable to the Facility Agent (acting on the instructions of the Majority Lenders) having a value for security purposes (as determined by the Facility Agent in its absolute discretion) at the date upon
which such further security shall be constituted which, when added to the Security Value, shall not be less than the Security Requirement as at such date. 

 The provisions of clause 9.7 (Amounts payable on prepayment) shall apply to prepayments made under clause 13.2.1(a). 

 

	13.2.2	Valuation of Mortgaged Ships: 

  

	 	(a)	Each Mortgaged Ship (or in the case of the first Valuation Date, each Ship) shall, for the purposes of this clause 13.2 (Security value maintenance), be
valued in Dollars on each relevant Valuation Date by two (2) of the Approved Shipbrokers, each selected by the Borrowers or, failing such selection by the Borrowers, selected by the Facility Agent (acting on the instructions of the Majority
Lenders in their sole discretion). Each such valuation (other than the valuation made immediately before the giving of a Drawdown Notice) shall not be dated more than thirty (30) days prior to the relevant Fleet Valuation Date, shall be
addressed to the Facility Agent, and shall be made without, unless required by the Facility Agent (acting on the reasonable instructions of the Majority Lenders), physical inspection, and on the basis of a sale for prompt delivery for cash at
arm’s length, on normal commercial terms as between a willing buyer and a willing seller, without taking into account any charterparty or other engagement concerning the relevant Mortgaged Ship. The arithmetic mean of such two
(2) valuations for a Mortgaged Ship shall constitute the value of such Mortgaged Ship for the purposes of this clause 13.2 and the other provisions of this Agreement and the other Finance Documents. 

 

	 	(b)	The value of each Mortgaged Ship determined in accordance with the provisions of this clause 13.2 (Security value maintenance) shall be binding upon the
parties hereto until such time as any further such valuations shall be obtained. 

  

	13.2.3	Information: each Borrower undertakes with the Finance Parties to supply to the Facility Agent and to any such Approved Shipbrokers such information
concerning the relevant Mortgaged Ship and its condition as such Approved Shipbrokers may require for the purpose of making any such valuation. 

  

	13.2.4	Costs: all costs in connection with the Facility Agent obtaining valuations of each Mortgaged Ship referred to in clause 13.1.6 (Valuations),
clause 13.2.2 (Valuation of Mortgaged Ships) and Part 2 (Conditions precedent for a Ship Loan made in connection with a Delivery) or Part 3 (Conditions precedent to a Ship Loan made after a Delivery) of Schedule 3
(Conditions precedent), and any valuation either of any additional security for the purposes of ascertaining the Security Value at any time or necessitated by the Borrowers electing to constitute additional security pursuant to
clause 13.2.1(b), shall be borne by the Borrowers, provided however that, if no Default shall have occurred, the Borrowers shall only bear the cost of two (2) valuations of each Mortgaged Ship per calendar year if made under
clause 13.2.2 (Valuation of Mortgaged Ships). 

  

	13.2.5	Valuation of additional security: for the purpose of this clause 13.2 (Security value maintenance), the market value of any additional
security provided or to be provided to the Security Agent shall be determined by the Facility Agent in its absolute discretion without any necessity for the Facility Agent assigning any reason thereto (but after consultation with the Borrower)
provided however that if the additional security provided pursuant to clause 13.2.1(b) is in the form of a cash deposit which is free from any Encumbrances, full credit shall be given for such cash on a Dollar for Dollar basis.

  

	13.2.6	Documents and evidence: in connection with any additional security provided in accordance with this clause 13.2 (Security value maintenance),
the Facility Agent shall be entitled to receive such evidence and documents as may in the Facility Agent’s opinion, be appropriate and such favourable legal opinions as the Facility Agent may reasonably require. 

  
 - 44 -

	13.2.7	Security release: if the Security Value shall at any time exceed the Security Requirement for a continuing period of at least six (6) months, and the
Borrowers shall previously have provided further security for the Loan pursuant to clause 13.2.1(b), the Finance Parties shall, as soon as reasonably practicable after notice from the Borrowers to the Facility Agent to do so and subject to the
Finance Parties being indemnified to their satisfaction against the cost of doing so, release any such further security specified by the Borrowers provided that the Facility Agent is satisfied that, immediately following such release, the Security
Value will equal or exceed the Security Requirement. 

  

	13.3	Negative undertakings 

  

	13.3.1	Each Borrower undertakes with each Finance Party that, from the date of this Agreement and so long as any moneys are owing under the Finance Documents and while all or
any part of the Total Commitment remains available, no Borrower, will, without the prior written consent of the Facility Agent (acting on the instructions of the Majority Lenders): 

 

	 	(a)	Negative pledge: permit any Encumbrance (other than a Permitted Encumbrance) to subsist, arise or be created or extended over all or any part of its
present or future undertaking, assets, rights or revenues to secure or prefer any present or future Indebtedness or other liability or obligation of any Borrower or any other person; 

 

	 	(b)	Merger: merge or consolidate with any other person or enter into a demerger, amalgamation, corporate restructuring or corporate redomiciliation of any
kind whatsoever; 

  

	 	(c)	Disposals: sell, transfer, abandon, lend or otherwise dispose of or cease to exercise direct control over any part (being, either alone or when aggregated
with all other disposals falling to be taken into account pursuant to this clause 13.3.1(c), material in the reasonable opinion of the Facility Agent in relation to the undertaking, assets, rights and revenues of the Borrowers taken as a whole)
of its present or future undertaking, assets, rights or revenues (otherwise than by transfers, sales or disposals for full consideration in the ordinary course of trading) whether by one or a series of transactions related or not;

  

	 	(d)	Other business: undertake any business other than the ownership and operation of the relevant Ship and the chartering of such Ship to third parties;

  

	 	(e)	Other obligations: incur any obligations except for obligations arising (i) under the Underlying Documents or the Finance Documents to which it is a
party, (ii) under contracts entered into in the ordinary course of its business of owning, operating and chartering the relevant Ship or (iii) in respect of Permitted Financial Indebtedness; 

 

	 	(f)	Other borrowing: incur any Financial Indebtedness except for Permitted Financial Indebtedness; 

 

	 	(g)	Repayment of borrowings: repay the principal of, or pay interest on or any other sum in connection with any of its Financial Indebtedness except for
Permitted Financial Indebtedness; 

  

	 	(h)	Guarantees: issue any guarantees or indemnities or otherwise become directly or contingently liable for the obligations of any person, firm, or
corporation, except pursuant to the Finance Documents and except for guarantees or indemnities from time to time required in the ordinary course by any protection and indemnity or war risks association with which the relevant Ship is entered,
guarantees required to procure the release of such Ship from any arrest, detention, attachment or levy or guarantees or undertakings required for the salvage of such Ship; 

  
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	 	(i)	Loans: make any loans or grant any credit (save for normal trade credit in the ordinary course of business) to any person or agree to do so;

  

	 	(j)	Sureties: permit any Indebtedness of a Borrower to any person (other than the Finance Parties pursuant to the Finance Documents) to be guaranteed by any
person (save for guarantees or indemnities from time to time required in the ordinary course by any protection and indemnity or war risks association with which the relevant Ship is entered, guarantees required to procure the release of the such
Ship from any arrest, detention, attachment or levy or guarantees or undertakings required for the salvage of such Ship); 

  

	 	(k)	Share capital and distribution: purchase or otherwise acquire for value any shares of its capital or, following a Default (and while it is continuing),
declare or pay any dividends or distribute any of its present or future assets, undertaking, rights or revenues to any of its shareholders; 

  

	 	(l)	Subsidiaries: form or acquire any Subsidiaries; 

  

	 	(m)	Constitutional documents: change, cause or permit any material amendments or variation of its constitutional documents or any change of its corporate
name; 

  

	 	(n)	Intra-Group transactions: other than in respect of Financial Indebtedness that is provided to it by a Subordinated Lender, enter into any transactions or
agreements with any other member of the Group other than on an arm’s length basis and for full consideration; 

  

	 	(o)	Derivative transactions: enter into any derivative transactions; 

 

	 	(p)	Financial year: change the method of computation of its financial year end from that applied by it on the date of this Agreement;

  

	 	(q)	Bank accounts: on and after the first Drawdown Date, open or maintain any accounts other than the relevant Operating Account, Repayment Account and the
Debt Service Account. 

  

	13.3.2	Each Borrower undertakes with each Finance Party that, from the date of this Agreement and so long as any moneys are owing under the Finance Documents and while all or
any part of the Total Commitment remains outstanding, it will not, without the prior written consent of the Facility Agent (acting on the instructions of the Majority Lenders) make any investments or acquire any further assets other than the
relevant Ship and rights arising under contracts entered into by or on behalf of such Borrower in the ordinary course of its business of owning, operating and chartering such Ship. 

 

	14	Construction Period 

 Each
Borrower undertakes that this clause 14 (Construction Period) will be complied with throughout the period from the date of this Agreement in relation to the relevant Ship until the earlier of the Delivery of such Ship and the end of the
relevant Availability Period. 
  

	14.1	Progress and information 

Upon the Facility Agent’s request, each Borrower shall advise the Facility Agent of the progress of construction of the relevant Ship
and supply the Facility Agent any information it may require about the construction of such Ship, the Shipbuilding Contract to which it is a party. 
  

	14.2	Notification of certain events 

 Each Borrower shall notify the Facility Agent immediately if any party to a Shipbuilding Contract to which it is a party cancels, rescinds, repudiates or otherwise terminates such Shipbuilding Contract
(or purports to do so) or rejects the relevant Ship (or purports to do so) or if such Ship becomes a total loss or partial loss or is materially damaged or if a dispute arises under such Shipbuilding Contract. 

  
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	14.3	Variations 

 Except with
approval from the Facility Agent (such approval to be given on the instructions of the Majority Lenders and which shall not be unreasonably withheld by them) (i) no Shipbuilding Contract shall be varied and (ii) the specification of the
Ship shall not be changed; in either case, in a way which might reasonably be expected to delay the delivery of such Ship beyond the last day of the Availability Period for the Ship Loan for that Ship. 

 

	15	Events of Default 

  

	15.1	Events 

 There shall be an
Event of Default if: 
  

	15.1.1	Non-payment: any Security Party fails to pay any sum payable by it under any of the Finance Documents at the time, in the currency and in the manner
stipulated in the Finance Documents unless: 

  

	 	(a)	its failure to pay is caused by administrative or technical error; and 

  

	 	(b)	payment is made within three (3) Business Days of its due date. 

  

	15.1.2	Breach of Insurance and certain other obligations: any Owner or any Manager fails to obtain and/or maintain the Insurances of a relevant Ship (in
accordance with the requirements of the relevant Ship Security Documents) or if any insurer in respect of the Insurances of a Ship cancels the Insurances for that Ship or disclaims liability by reason, in either case, of mis-statement in any
proposal for such Insurances or for any other failure or default on the part of any Owner, any Manager or any other person, or any Borrower commits any breach of or omits to observe any of the obligations or undertakings expressed to be assumed by
it under clause 13 (Undertakings) or the Dryships Guarantor commits any breach of or omits to observe any of the obligations or undertakings expressed to be assumed by it under clause 5.2 (Financial covenants) of the
Guarantee to which it is a party; or 

  

	15.1.3	Breach of other obligations: any Security Party commits any breach of or omits to observe any of its obligations or undertakings expressed to be assumed
by it under any of the Finance Documents (other than those referred to in clauses 15.1.1 and 15.1.2) and, in respect of any such breach or omission which in the reasonable opinion of the Facility Agent (acting on the instructions of the
Majority Lenders) is capable of remedy, such action as the Facility Agent (acting on the instructions of the Majority Lenders) may require shall not have been taken within fifteen (15) days of the Facility Agent notifying the relevant Security
Party of such default and of such required action; or 

  

	15.1.4	Misrepresentation: any representation or warranty made or deemed to be made or repeated by or in respect of any Security Party in or pursuant to any of
the Finance Documents or in any notice, certificate or statement referred to in or delivered under any of the Finance Documents or any of the Underlying Documents is or proves to have been incorrect or misleading in any material respect; or

  

	15.1.5	 Cross-default: any Financial Indebtedness of any Security Party or any other Relevant Party (in either case, other than the Cardiff
Guarantor) is not paid when due or any Financial Indebtedness of any such Security Party or any such other Relevant Party becomes (whether by declaration or automatically in accordance with the relevant agreement or instrument constituting the same)
due and payable prior to the date when it would otherwise have become due (unless as a result of the exercise by the relevant Security Party or other Relevant Party of a voluntary right of prepayment), or any Finance Party or any such Security Party
or any other such Relevant Party becomes entitled to declare any such Financial Indebtedness due and payable or any facility or commitment available to any such Security Party or any such other

  
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Relevant Party relating to Financial Indebtedness is withdrawn, suspended or cancelled by reason of any default (however described) of the person concerned unless the relevant Security Party or
such other Relevant Party shall have satisfied the Lenders that such withdrawal, suspension or cancellation will not affect or prejudice in any way the relevant Security Party’s or such other Relevant Party’s ability to pay its debts as
they fall due and fund its commitments, or any guarantee given by any such Security Party or any such other Relevant Party in respect of Financial Indebtedness is not honoured when due and called upon; or 

 

	15.1.6	Legal process: any judgment or order made against any Security Party or other Relevant Party is not stayed or complied with within thirty (30) days
or a Finance Party attaches or takes possession of, or a distress, execution, sequestration or other process is levied or enforced upon or sued out against, any of the undertakings, assets, rights or revenues of any Security Party or other Relevant
Party and is not discharged within thirty (30) days provided that no Event of Default will occur under this clause 15.1.6 unless the event or circumstance so described will affect or prejudice the relevant Security Party’s or other
Relevant Party’s ability to perform its obligations under any Finance Document; or 

  

	15.1.7	Insolvency: any Security Party or other Relevant Party becomes insolvent or stops or suspends making payments (whether of principal or interest) with
respect to all or any class of its debts or announces an intention to do so or any corporate action, legal proceedings or other procedure or step is taken in relation to any of the above; or 

 

	15.1.8	Reduction or loss of capital: a meeting is convened by any Security Party or other Relevant Party for the purpose of passing any resolution to purchase,
reduce or redeem any of its share capital; or 

  

	15.1.9	Winding up: any petition is presented or other step is taken for the purpose of winding up any Security Party or other Relevant Party or an order is made
or resolution passed for the winding up of any Security Party or other Relevant Party or a notice is issued convening a meeting for the purpose of passing any such resolution; or 

 

	15.1.10	Administration: any petition is presented or other step is taken for the purpose of the appointment of an administrator of any Security Party or other
Relevant Party or the Facility Agent believes that any such petition or other step is imminent or an administration order is made in relation to any Security Party or other Relevant Party; or 

 

	15.1.11	Appointment of receivers, managers etc: any administrative or other receiver, liquidator, compulsory manager or other similar officer is appointed of any
Security Party or other Relevant Party or any part of its assets and/or undertaking or any other steps are taken to enforce any Encumbrance over all or any part of the assets of any Security Party or other Relevant Party; or

  

	15.1.12	Compositions: any steps are taken, or negotiations commenced, by any Security Party or other Relevant Party or by any of its Finance Parties with a view
to the general readjustment or rescheduling of all or part of its indebtedness or to proposing any kind of composition, compromise or arrangement involving such person and any of its Finance Parties unless, in the reasonable opinion of the Facility
Agent, the above are not of a nature that will affect or prejudice the Security Party’s ability to perform their obligations under the Finance Documents; or 

 

	15.1.13	Analogous proceedings: there occurs, in relation to any Security Party or other Relevant Party, in any country or territory in which any of them carries
on business or to the jurisdiction of whose courts any part of their assets is subject, any event which, in the reasonable opinion of the Facility Agent, appears in that country or territory to correspond with, or have an effect equivalent or
similar to, any of those mentioned in clauses 15.1.7 to 15.1.12 (inclusive) or any Security Party or other Relevant Party otherwise becomes subject, in any such country or territory, to the operation of any law relating to insolvency, bankruptcy or
liquidation unless, in the reasonable opinion of the Facility Agent, the above are not of a nature that will affect or prejudice the Security Party’s ability to perform their obligations under the Finance Documents; or 

  
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	15.1.14	Cessation of business: any Security Party or other Relevant Party suspends or ceases or threatens to suspend or cease to carry on its business unless, in
the reasonable opinion of the Facility Agent, the above are not of a nature that will affect or prejudice the Security Party’s ability to perform their obligations under the Finance Documents; or 

 

	15.1.15	Seizure: all or a material part of the undertaking, assets, rights or revenues of, or shares or other ownership interests in, any Security Party or other
Relevant Party are seized, nationalised, expropriated or compulsorily acquired by or under the authority of any government unless, in the reasonable opinion of the Facility Agent, the above are not of a nature that will affect or prejudice the
Security Party’s ability to perform their obligations under the Finance Documents; or 

  

	15.1.16	Invalidity: any of the Finance Documents shall at any time and for any reason become invalid or unenforceable or otherwise cease to remain in full force
and effect, or if the validity or enforceability of any of the Finance Documents shall at any time and for any reason be contested by any Security Party which is a party thereto, or if any such Security Party shall deny that it has any, or any
further, liability thereunder; or 

  

	15.1.17	Unlawfulness: it becomes impossible or unlawful at any time for any Security Party, to fulfil any of the covenants and obligations expressed to be assumed
by it in any of the Finance Documents or for any of the Lenders to exercise the rights or any of them vested in it under any of the Finance Documents or otherwise; or 

 

	15.1.18	Repudiation: any Security Party repudiates any of the Finance Documents or does or causes or permits to be done any act or thing evidencing an intention
to repudiate any of the Finance Documents; or 

  

	15.1.19	Encumbrances enforceable: any Encumbrance (other than Permitted Liens) in respect of any of the property (or part thereof) which is the subject of any of
the Finance Documents becomes enforceable; or 

  

	15.1.20	Material adverse change: any event, condition, fact or circumstance occurs, arises or exists which, in the opinion of the Facility Agent (acting on the
instructions of the Majority Lenders), has had or is reasonably expected to have a material adverse effect on: 

  

	 	(a)	the business, assets, properties, operations, prospects, performance or condition (financial or otherwise) of any Security Party or any other Relevant Party or the
Group as a whole; or 

  

	 	(b)	the ability of any Security Party to comply with or perform any of its obligations under the terms of any of the Finance Documents, or 

 

	 	(c)	the legality, validity or enforceability of any of the Finance Documents or the rights or remedies of the Finance Parties or any of them thereunder; or

  

	 	(d)	any Relevant Jurisdiction (or on any of the financial markets thereof); 

  

	15.1.21	Arrest: any Ship is arrested, confiscated, seized, taken in execution, impounded, forfeited, detained in exercise or purported exercise of any possessory
lien or other claim or otherwise taken from the possession of the relevant Owner and such Owner fails to procure the release of such Ship within a period of twenty two (22) days thereafter; or 

 

	15.1.22	Registration: the registration of any Ship under the laws and flag of the relevant Flag State is cancelled or terminated without the prior written consent
of the Facility Agent (acting on the instructions of the Majority Lenders) which is not to be unreasonably withheld; or 

  

	15.1.23	Unrest: the relevant Flag State of any Ship becomes involved in hostilities or civil war or there is a seizure of power in the relevant Flag State of any
Ship by unconstitutional means if, in any such case, such event could in the opinion of the Facility Agent (acting on the instructions of the Majority Lenders) reasonably be expected to have a material adverse effect on the security constituted by
any of the Finance Documents; or 

  
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	15.1.24	Environment: any Owner and/or any other Relevant Party and/or any of their respective Environmental Affiliates fails to comply with any Environmental Law
or any Environmental Approval or any Owner and/or any other Relevant Party and/or any of their respective Environmental Affiliates or any Ship or any other Relevant Ship is involved in any incident which gives rise or may give rise to an
Environmental Claim if, in any such case, such non-compliance or incident or the consequences thereof could, in the opinion of the Facility Agent (acting on the instructions of the Majority Lenders), reasonably be expected to have a material adverse
effect on the business, assets, operations, property or financial condition of any Owner or any other Security Party or on the security constituted by any of the Finance Documents; or 

 

	15.1.25	P&I: any Owner or any other person fails or omits to comply with any requirements of the protection and indemnity association or other insurer with
which such Owner’s Ship is entered for insurance or insured against protection and indemnity risks (including oil pollution risks) to the effect that any cover (including, without limitation, any cover in respect of liability for Environmental
Claims arising in jurisdictions where such Ship operates or trades) is or may be liable to cancellation, qualification or exclusion at any time; or 

  

	15.1.26	Accounts: moneys are withdrawn from the Accounts other than in accordance with clause 19 (Accounts); or 

 

	15.1.27	Licenses, etc: any license, authorisation, consent or approval at any time necessary to enable any Security Party to comply with its obligations under the
Finance Documents or the Underlying Documents is revoked or withheld or modified or is otherwise not granted or fails to remain in full force and effect or if any exchange control or other law or regulation shall exist which would make any
transaction under the Finance Documents or the Underlying Documents or the continuation thereof, unlawful or would prevent the performance by any Security Party of any term of any of the Finance Documents or the Underlying Documents; or

  

	15.1.28	Material events: any other event occurs or circumstance arises which, in the opinion of the Facility Agent (following consultation with the Lenders), is
likely materially and adversely to affect either (i) the ability of any Security Party to perform all or any of its obligations under or otherwise to comply with the terms of any of the Finance Documents or any of the Underlying Documents or
(ii) the security created by any of the Finance Documents. 

  

	15.2	Acceleration 

 The
Facility Agent may (and if so requested by the Majority Lenders shall) without prejudice to any other rights of the Facility Agent, at any time after the happening of an Event of Default by notice to the Borrower declare that: 

 

	15.2.1	the obligation of each Lender to make its Commitment available shall be terminated, whereupon the Total Commitment shall be reduced to zero forthwith; and/or

  

	15.2.2	each Ship Loan or the Loan and all interest and commitment commission accrued and all other sums payable under the Finance Documents have become due and payable,
whereupon the same shall, immediately or in accordance with the terms of such notice, become due and payable; 

and each Borrower agrees that the Finance Parties may act on the instructions of SINOSURE, and such Borrower shall have no claim
whatsoever against a Finance Party in respect of any loss, damage or expense suffered or incurred by it as a result of so doing unless such loss, damage or expense results from the direct gross negligence or wilful misconduct of such Finance Party.

  
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	15.3	Demand basis 

 If,
pursuant to clause 15.2.2, the Facility Agent declares the Loan to be due and payable on demand, the Facility Agent may (and if so requested by the Majority Lenders shall) by written notice to the Borrowers: 

 

	15.3.1	call for repayment of the Loan on such date as may be specified whereupon the Loan shall become due and payable on the date so specified together with all interest
accrued and commitment commission and all other sums payable under this Agreement; or 

  

	15.3.2	withdraw such declaration with effect from the date specified in such notice. 

 

	16	Indemnities 

  

	16.1	Miscellaneous indemnities 

The Borrowers shall on demand indemnify each Finance Party, without prejudice to any of the Finance Parties’ other rights under any
of the Finance Documents, against any loss (including loss of Margin) or expense which such Finance Party shall certify as sustained or incurred by it as a consequence of: 

 

	16.1.1	any default in payment by any Borrower of any sum under any of the Finance Documents when due; or 

 

	16.1.2	the occurrence of any other Event of Default; or 

  

	16.1.3	any prepayment of the Loan or part thereof being made under clauses 9.3 (Mandatory cancellation or prepayment - total loss or disposal/sale), 13.2.1(a)
(Security shortfall) or 17.1 (Unlawfulness) or any other repayment or prepayment of the Loan or part thereof being made otherwise than on an Interest Payment Date relating to the part of the Loan prepaid or repaid; or

  

	16.1.4	a Ship Loan not being made for any reason (excluding any default by any Finance Party) after the relevant Drawdown Notice has been given, including, in any such case,
but not limited to, any loss or expense sustained or incurred in maintaining or funding a Ship Loan or the Loan or any part thereof or in liquidating or re-employing deposits from third parties acquired to effect or maintain a Ship Loan or the Loan
or any part thereof. 

  

	16.2	Currency indemnity 

  

	16.2.1	If any sum due from any Borrower under any of the Finance Documents or any order or judgment given or made in relation thereto has to be converted from the currency
(the first currency) in which the same is payable under the relevant Finance Document or under such order or judgment into another currency (the second currency) for the purpose of: 

 

	 	(a)	making or filing a claim or proof against such Borrower, or 

  

	 	(b)	obtaining an order or judgment in any court or other tribunal; or 

  

	 	(c)	enforcing any order or judgment given or made in relation to any of the Finance Documents, 

the Borrowers shall indemnify and hold harmless each Finance Party from and against any loss suffered as a result of any difference
between: 
  

	 	(a)	the rate of exchange used for such purpose to convert the sum in question from the first currency into the second currency; and 

 

	 	(b)	the rate or rates of exchange at which the relevant Finance Party may in the ordinary course of business purchase the first currency with the second currency upon
receipt of a sum paid to it in satisfaction, in whole or in part, of any such order, judgment, claim or proof. 

  
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	16.2.2	Any amount due from any Borrower under this clause 16.2 shall be due as a separate debt and shall not be affected by judgment being obtained for any other sums due
under or in respect of any of the Finance Documents and the term rate of exchange includes any premium and costs of exchange payable in connection with the purchase of the first currency with the second currency. 

 

	16.3	Environmental indemnity 

The Borrowers shall indemnify each Finance Party on demand and hold it harmless from and against all costs, expenses, payments, charges,
losses, demands, liabilities, actions, proceedings (whether civil or criminal), penalties, fines, damages, judgements, orders, sanctions or other outgoings of whatever nature which may be suffered, incurred or paid by, or made or asserted against
such Finance Party at any time, whether before or after the repayment in full of principal and interest under this Agreement, relating to, or arising directly or indirectly in any manner or for any cause or reason whatsoever out of an Environmental
Claim made or asserted against such Finance Party if such Environmental Claim would not have been, or been capable of being, made or asserted against such Finance Party if it had not entered into any of the Finance Documents and/or exercised any of
its rights, powers and discretions thereby conferred and/or performed any of its obligations thereunder and/or been involved in any of the transactions contemplated by the Finance Documents. 

 

	16.4	Central Bank reserve requirements indemnity 

 The Borrowers shall on demand promptly indemnify each Lender against any cost incurred or loss suffered by such Lender as a result of its complying with the minimum reserve requirements of the
People’s Bank of China to the extent that such compliance relates to such Lender’s Commitment and/or Contribution or deposits obtained by it to fund the whole or part of that Contribution and to the extent such cost or loss is not
recoverable by such Lender under clause 17.2 (Increased costs). 
  

	16.5	Waiver 

 In no event shall
a Finance Party or any of its Related Companies or any of their respective officers or directors be liable on any theory of liability for any special, indirect, consequential or punitive damages and the Borrowers hereby waive, release and agree not
to sue upon any such claim for any such damages, whether or not accrued and whether or not known or suspected to exist in its favour. 
  

	16.6	General indemnity 

 The
Borrowers hereby indemnify and agree to hold harmless the Finance Parties and each of their respective Related Companies and each of their respective officers, directors, employees, agents, advisors and representatives (each, an Indemnified
Party) from and against any and all claims, damages, losses, liabilities, costs, legal and other expenses (altogether the Losses), joint or several, that may be incurred by or asserted or awarded against any Indemnified Party, in each
case arising out of or in connection with or relating to any claim, investigation, litigation or proceeding (or the preparation of any defence with respect thereto) commenced or threatened in relation to the Finance Documents or any of them (or the
transactions contemplated hereby or thereby) or any use made or proposed to be made with the proceeds of a Ship Loan or the Loan. This indemnity shall apply whether or not such claims, investigation, litigation or proceeding is brought by any
Borrower, any other Security Party, any Relevant Party, any of their respective shareholders or Finance Parties, an Indemnified Party or any other person, or an Indemnified Party is otherwise a party thereto, except to the extent that such Losses
are found in a final, non-appealable judgment by a court of competent jurisdiction to have resulted from such Indemnified Party’s gross negligence or wilful misconduct. 

  
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	17	Unlawfulness and increased costs 

  

	17.1	Unlawfulness 

 If it is or
becomes contrary to any law or regulation for any Lender to make its Contribution or to maintain its Commitment or fund a Ship Loan or the Loan, such Lender shall promptly, through the Facility Agent, give notice to the Borrowers whereupon
(a) the relevant ship Total Commitment shall be reduced to zero and (b) each Borrower shall be obliged to prepay the relevant Ship Loan either (i) forthwith or (ii) on a future specified date not being later than the latest date
permitted by the relevant law or regulation together with interest accrued to the date of prepayment and all other sums payable by that Borrower under this Agreement. 
  

	17.2	Increased costs 

  

	17.2.1	If the result of any change in, or in the interpretation or application of, or the introduction of, any Capital Adequacy Law, or compliance by a Lender with any Capital
Adequacy Law, is to: 

  

	 	(a)	subject any Lender to Taxes or change the basis of Taxation of such Lender with respect to any payment under any of the Finance Documents (other than Taxes or Taxation
on the overall net income, profits or gains of such Lender imposed in the jurisdiction in which its principal or lending office under this Agreement is located); and/or 

 

	 	(b)	increase the cost to, or impose an additional cost on, a Lender or its holding company in making or keeping such Lender’s Commitment available or maintaining or
funding all or part of such Lender’s Contribution; and/or 

  

	 	(c)	reduce the amount payable or the effective return to a Lender under any of the Finance Documents; and/or 

 

	 	(d)	reduce a Lender or its holding company’s rate of return on its overall capital by reason of a change in the manner in which it is required to allocate capital
resources to such Lender’s obligations under any of the Finance Documents; and/or 

  

	 	(e)	require a Lender or its holding company to make a payment or forego a return on or calculated by reference to any amount received or receivable by such Lender under any
of the Finance Documents; and/or 

  

	 	(f)	require a Lender or its holding company to incur or sustain a loss (including a loss of future potential profits) by reason of being obliged to deduct all or part of
its Commitment or its Contribution from its capital for regulatory purposes, then and in each such case (subject to clause 17.3): 

  

	 	(i)	such Lender shall (through the Facility Agent) notify the Borrowers in writing of such event promptly upon its becoming aware of the same; and 

 

	 	(ii)	each Borrower shall on demand pay to the Facility Agent for the account of such Lender the amount which such Lender specifies (in a certificate setting forth the basis
of the computation of such amount but not including any matters which such Lender or its holding company regards as confidential) is required to compensate such Lender and/or (as the case may be) its holding company for such liability to Taxes,
cost, reduction, payment, forgone return or loss. 

  

	17.2.2	For the purposes of this clause 17.2 holding company means, in relation to a Lender, the company or entity (if any) within the consolidated supervision of
which such Lender is included. 

  

	17.3	Exception 

 Nothing in
clause 17.2 (Increased Costs) shall entitle a Lender to receive any amount in respect of compensation for any such liability to Taxes, increased or additional cost, reduction, payment, foregone return or loss to the extent that the same
is the subject of an additional payment under clause 11.5 (Grossing-up for Taxes). 

  
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	18	Security, set-off and pro-rata payments 

  

	18.1	Application of moneys 

All moneys received by any Finance Party under or pursuant to any of the Finance Documents and expressed to be applicable in accordance
with the provisions of this clause 18.1 shall, if received by a Finance Party other than the Facility Agent and the Security Agent, be paid to the Facility Agent for application, and if received by the Facility Agent or the Security Agent shall
be applied by the Facility Agent and/or the Security Agent (as the case may be), in the following manner: 
  

	 	(a)	firstly, in or towards payment of all unpaid fees, costs and expenses which may be owing to the Arrangers, the Facility Agent or any of them under any of the Finance
Documents; 

  

	 	(b)	secondly, in or towards payment of any unpaid costs, expenses, fees and commitment commission payable to the Lenders or any of them; 

 

	 	(c)	thirdly, in or towards payment of any arrears of interest owing in respect of the Loan or any part thereof; 

 

	 	(d)	fourthly, in or towards repayment of the Loan (whether the same is due and payable or not); 

 

	 	(e)	fifthly, in or towards payment to any Lender for any loss suffered by reason of any such payment in respect of principal not being effected on an Interest Payment Date
relating to the part of the Loan repaid and which amounts are so payable under this Agreement; 

  

	 	(f)	sixthly, in or towards payment to any Finance Party of any other sums owing to it under any of the Finance Documents (and if any such sums are owing to more than one
Finance Party, as between such Finance Parties on a pro rata basis); and 

  

	 	(g)	seventhly, the surplus (if any) shall be paid to the Borrowers or to whomsoever else may be entitled to receive such surplus. 

 

	18.2	Set-off 

 Each Borrower
authorises each Finance Party (without prejudice to any of such Finance Party’s rights at law, in equity or otherwise), at any time and without notice to any Borrower, to apply any credit balance to which that Borrower is then entitled standing
upon any account of such Borrower with any branch of such Finance Party in or towards satisfaction of any sum due and payable from any Borrower to such Finance Party under any of the Finance Documents. For this purpose, each Finance Party is
authorised to purchase with the moneys standing to the credit of such account such other currencies as may be necessary to effect such application. No Finance Party shall be obliged to exercise any right given to it by this clause 18.2. Each Finance
Party shall notify the Facility Agent and the Borrowers forthwith upon the exercise or purported exercise of any right of set-off giving full details in relation thereto and the Facility Agent shall inform the other Finance Parties. Nothing in this
clause 18.2 shall be effective to create a charge or other Encumbrance. 
  

	18.3	Pro-rata payments 

  

	18.3.1	 If at any time any Lender (the Recovering Lender) receives or recovers any amount owing to it by any Borrower under this Agreement by direct
payment, set-off or in any manner other than by payment through the Facility Agent pursuant to clause 11.1 (No set-off or counterclaim) or 11.9 (Partial payments) (not being a payment received from a Transferee or a
sub-participant in such Lender’s Contribution or any other payment of an amount due to the Recovering Lender for its sole account pursuant to clauses 8.7 (Market disruption; non-availability), 10 (Fees and

  
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expenses), 11.5 (Grossing-up for Taxes), 16.1 (Miscellaneous indemnities), 16.2 (Currency indemnity), 17.1 (Unlawfulness) or 17.2 (Increased costs)), the
Recovering Lender shall, within two (2) Business Days of such receipt or recovery (a Relevant Receipt) notify the Facility Agent of the amount of the Relevant Receipt, if the Relevant Receipt exceeds the amount which the Recovering
Lender would have received if the Relevant Receipt had been received by the Facility Agent and distributed pursuant to clauses 11.1 (No set-off or counterclaim) or 11.9 (Partial payments) (as the case may be) then:

  

	 	(a)	within two (2) Business Days of demand by the Facility Agent, the Recovering Lender shall pay to the Facility Agent an amount equal (or equivalent) to the excess;

  

	 	(b)	the Facility Agent shall treat the excess amount so paid by the Recovering Lender as if it were a payment made by that Borrower and shall distribute the same to the
Lenders (other than the Recovering Lender) in accordance with clause 11.9 (Partial payments); and 

  

	 	(c)	as between that Borrower and the Recovering Lender the excess amount so redistributed shall be treated as not having been paid but the obligations of that Borrower to
the other Lenders shall, to the extent of the amount so re-distributed to them, be treated as discharged. 

  

	18.3.2	If any part of the Relevant Receipt subsequently has to be wholly or partly refunded by the Recovering Lender (whether to a liquidator or otherwise), each Lender to
which any part of such Relevant Receipt was so re-distributed shall on request from the Recovering Lender repay to the Recovering Lender such Lender’s pro-rata share of the amount which has to be refunded by the Recovering Lender.

  

	18.3.3	Each Lender shall on request supply to the Facility Agent such information as the Facility Agent may from time to time request for the purpose of this clause 18.3.

  

	18.3.4	Notwithstanding the foregoing provisions of this clause 18.3, no Recovering Lender shall be obliged to share any Relevant Receipt which it receives or recovers pursuant
to legal proceedings taken by it to recover any sums owing to it under this Agreement with any other party which has a legal right to, but does not, either join in such proceedings or commence and diligently pursue separate proceedings to enforce
its rights in the same or another court (unless the proceedings instituted by the Recovering Lender are instituted by it without prior notice having been given to such party through the Facility Agent). 

 

	18.4	No release 

 For the
avoidance of doubt it is hereby declared that failure by any Recovering Lender to comply with the provisions of clause 18.3 shall not release any other Recovering Lender from any of its obligations or liabilities under clause 18.3. 

 

	18.5	No charge 

 The provisions
of this clause 18 shall not, and shall not be construed so as to, constitute a charge by a Lender over all or any part of a sum received or recovered by it in the circumstances mentioned in clause 18.3. 

 

	19	Accounts 

  

	19.1	Account terms 

  

	19.1.1	Amounts standing to the credit of the Operating Account shall bear interest at the rates from time to time negotiated by the relevant Borrowers with the Operating
Account Bank or otherwise as set out in the relevant Charge Over Operating Account. 

  

	19.1.2	 Amounts standing to the credit of the Debt Service Account shall (unless otherwise agreed between the Debt Service Account Bank and the relevant
Borrowers) bear interest at the rates 

  
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from time to time offered by the Debt Service Account Bank to its customers for Dollar deposits in comparable amounts for comparable periods. Interest shall accrue on the each Debt Service
Account from day to day and be calculated on the basis of actual days elapsed and a three hundred and sixty (360) day year and shall be credited to the relevant Debt Service Account at such times as the Debt Service Account Bank shall agree
with the relevant Borrower. 

  

	19.2	Operating Account: credits and withdrawals 

  

	19.2.1	Each Borrower undertakes with each Finance Party that it will procure that all moneys payable to it in respect of the Earnings of the relevant Ship shall, unless and
until the Facility Agent (acting on the instructions of the Majority Lenders) directs to the contrary pursuant to clause 2.1.1 (Earnings) of the relevant General Assignment, be paid to the relevant Operating Account, provided however,
that if any of the moneys paid to such Operating Account are payable in a currency other than Dollars, that Borrower shall irrevocably instruct the Operating Account Bank to convert such moneys into Dollars at the Operating Account Bank’s spot
rate of exchange at the relevant time for the purchase of Dollars with such currency and the term spot rate of exchange shall include any premium and costs of exchange payable in connection with the purchase of Dollars with such currency;

  

	19.2.2	Unless the Facility Agent otherwise agrees in writing, no Borrower shall be entitled to withdraw any moneys from the relevant Operating Account at any time from the
date of this Agreement and so long as any moneys are owing under the Finance Documents save that, unless and until a Default shall occur and the Facility Agent (acting on the instructions of the Majority Lenders) shall direct to the contrary, each
Borrower may withdraw moneys from the relevant Operating Account for the following purposes: 

  

	 	(a)	to pay any unpaid costs and expenses which may be owing to the Finance Parties or any of them under any of the Finance Documents; 

 

	 	(b)	to pay any amount to the Facility Agent in or towards payments of interest or any instalments of principal or any other amounts then payable pursuant to the Finance
Documents; 

  

	 	(c)	to pay any amount required to be paid to the relevant Debt Service Account; 

 

	 	(d)	to pay proper and reasonable operating expenses of the relevant Ship; 

  

	 	(e)	to pay dividends to the relevant Shareholder (provided that such payments shall only be made strictly in accordance with clause 13.3.1(k)); and

  

	 	(f)	to pay proper and reasonable expenses of administering the affairs of that Borrower. 

 

	19.3	Debt Service Account: credits and withdrawals 

  

	19.3.1	Each Borrower undertakes with each Finance Party that it will procure that on or prior to the first Drawdown Date on which it proposes to make a Drawdown an amount
equal to the Debt Service Amount is deposited in the relevant Debt Service Account. 

  

	19.3.2	Each Borrower hereby undertakes with each Finance Party that it will, from the date of this Agreement and so long as any moneys are owing under the Finance Documents,
if at any time, the balance in the relevant Debt Service Account is less than the Debt Service Amount, that Borrower shall pay such shortfall into the Debt Service Account no later than two (2) Business days prior to each relevant Repayment
Date, to procure that the balance in the relevant Debt Service Account shall never be less than the Debt Service Amount. 

  

	19.3.3	In relation to each Borrower, the extent that there are moneys standing to the credit of the relevant Operating Account as at any date on which an amount is to be paid
into the relevant Debt Service Account (each a Reset Date), such moneys shall, up to an amount equal to amount to be so paid, be transferred to the relevant Debt Service Account on that Reset Date (and that Borrower undertakes to authorise
the Operating Account Bank to effect each such transfer) and to that extent that Borrower’s obligations to pay such amount into the Debt Service Account on such Reset Date shall have been fulfilled upon such transfer being effected.

  
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	19.3.4	Unless the Facility Agent otherwise agrees in writing, no Borrower shall be entitled to withdraw any moneys from the relevant Debt Service Account so long as any moneys
are owing under the Finance Documents except, provided no Default has occurred and is continuing, to the extent of any excess on the Debt Service Account above the Debt Service Amount. 

 

	19.4	Repayment Account 

  

	19.4.1	Any amounts of principal to be repaid by a Borrower pursuant to clause 9.1 (Repayment) or amounts of interest to be paid by a Borrower pursuant to
clause 8.1 (Interest Rate) shall be paid by that Borrower into the relevant Repayment Account two (2) Business Days before each relevant Repayment Date or Interest Payment Date. Any other amounts payable by a Borrower to any of the
Finance Parties under this Agreement or any of the Finance Documents from time to time shall be paid by that Borrower into the relevant Repayment Account on the date of which such amounts fall due. 

 

	19.4.2	Unless the Facility Agent otherwise agrees in writing, no Borrower shall be entitled at any time to withdraw any moneys from the Repayment Account.

  

	19.4.3	In relation to each Borrower, on the relevant Repayment Date or Interest Payment Date, the Facility Agent shall instruct the Repayment Account Bank to transfer any
amounts paid by that Borrower into the relevant Repayment Account to be applied towards payment of amounts of principal or interest due on such Interest Payment Date or Repayment Date to such account as may be nominated by the Lenders to receive
such payments and that Borrower undertakes to authorise the Repayment Bank Account Bank to effect each such transfer. 

  

	19.4.4	The Facility Agent shall instruct the Repayment Account Bank to transfer any amounts paid by a Borrower into the relevant Repayment Account pursuant to clause 19.4.1
(other than any amounts paid in respect of interest and principal) to such account as may be nominated by the Finance Party to whom such payment is due and such Borrower undertakes to authorise the Repayment Bank Account Bank to effect each such
transfer. 

  

	19.5	Application of Accounts 

At any time after the occurrence of an Event of Default, the Facility Agent may, and if instructed by the Majority Lenders shall, without
notice to the Borrowers, instruct the relevant Account Bank to apply all moneys then standing to the credit of any Operating Account or any Debt Service Account (in each case, together with interest from time to time accruing or accrued thereon) in
or towards satisfaction of any sums due to the Finance Parties or any of them under the Finance Documents in the manner specified in clause 18.1 (Application of moneys) and the Borrowers undertake to authorise the relevant Account Bank
to effect each such transfer. 
  

	19.6	Restrictions Accounts 

Each Debt Service Account and each Operating Account shall be subject to the security or restrictions constituted and the rights conferred
by, in the case of a Debt Service Account, the relevant Charge Over Debt Service Account and, in the case of an Operating Account, the relevant Charge Over Operating Account. 

 

	20	Changes to Parties 

  

	20.1	Benefit and burden 

 This
Agreement shall be binding upon, and enure for the benefit of, the Finance Parties and the Borrowers and their respective successors in title. 

  
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	20.2	No assignment by Borrowers 

No Borrower may assign or transfer any of its rights or obligations under this Agreement. 

 

	20.3	Transfers by Lenders 

  

	20.3.1	Subject to the prior written consent of SINOSURE and to the provisions of clause 20.4 (Conditions of assignment or transfer), a Lender (the
Transferor) may: 

  

	 	(a)	assign any of its rights (including such rights as relate to that Lender’s participation in each Ship Loan); or 

 

	 	(b)	transfer any of its obligations 

to SINOSURE or to another bank or financial institution or to a trust, fund or other entity which is regularly engaged in or established
for the purpose of making, purchasing or investing in loans, securities or other financial assets (the Transferee). 
  

	20.4	Conditions of assignment or transfer 

  

	20.4.1	The Facility Agent will immediately advise the Borrowers of any assignment or transfer becoming effective. 

 

	20.4.2	An assignment or transfer will only be effective following delivering to the Facility Agent of a Transfer Certificate duly completed and duly executed by the Transferor
and the Transferee. No such assignment or transfer is binding on, or effective in relation to, the Borrowers or the Facility Agent unless: 

  

	 	(a)	it is effected or evidenced by a Transfer Certificate which complies with the provisions of this clause 20.4 and is signed by or on behalf of the Transferor, the
Transferee and the Facility Agent (on behalf of itself, the Borrowers and the other Finance Parties); 

  

	 	(b)	such transfer of rights under the other Security Documents has been effected and registered to the satisfaction of the Facility Agent; 

 

	 	(c)	SINOSURE consent (if required) to the proposed assignment has been obtained. 

 Upon signature of any such Transfer Certificate by the Facility Agent, which signature shall be effected as promptly as is practicable after such Transfer Certificate has been delivered to the Facility
Agent, and subject to the terms of such Transfer Certificate, such Transfer Certificate shall have effect as set out below. 
  

	20.4.3	if an assignment takes effect after there has been a Drawdown, the assignment of a Lender’s participation in the Drawdowns (if any) under the Facility shall take
effect in respect of the same fraction of each Drawdown. 

  

	20.4.4	The following further provisions shall have effect in relation to any Transfer Certificate: 

 

	 	(a)	a Transfer Certificate may be in respect of a Lender’s rights in respect of all, or part of, its Commitment and participation in the Loan and each Drawdown (if
any) and shall be in respect of the same proportion of its Contribution; 

  

	 	(b)	a Transfer Certificate shall only be in respect of rights and obligations of the Transferor in its capacity as a Lender and shall not transfer its rights and
obligations as the Facility Agent, or in any other capacity, as the case may be and such other rights and obligations may only be transferred in accordance with any applicable provisions of this Agreement; 

 

	 	(c)	a Transfer Certificate shall take effect in accordance with English law as follows: 

 

	 	(i)	to the extent specified in the Transfer Certificate, the Transferor’s payment rights and all its other rights (other than those referred to in clause 20.4.4
(b) above) under this Agreement are assigned to the Transferee absolutely, free of any defects in the Transferor’s title and of any rights or equities which any Borrower had against the Transferor; 

  
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	 	(ii)	the Transferor’s Commitment is discharged to the extent specified in the Transfer Certificate; 

 

	 	(iii)	the Transferee becomes a Lender with a Contribution and a Commitment of the amounts specified in the Transfer Certificate; 

 

	 	(iv)	the Transferee becomes bound by ail the provisions of this Agreement and the Finance Documents which are applicable to the Lenders generally, including those about
pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, the Facility Agent, the Security Agent and the Arrangers in accordance with the provisions of clause 22 (Arrangers, Facility Agent and Security
Agent) and to the extent that the Transferee becomes bound by those provisions, the Transferor ceases to be bound by them; and 

  

	 	(v)	the Transferee becomes entitled to all the rights under this Agreement which are applicable to the Lenders generally, including but not limited to those relating to the
Majority Lenders and those under clauses 8.7 (Market disruption; non-availability), 10 (Fees and expenses) and 17 (Unlawfulness and increased costs) and to the extent that the Transferee becomes entitled to such rights, the
Transferor ceases to be entitled to them; 

  

	 	(d)	the rights and equities of any Borrower or of any other Security Party referred to above include, but are not limited to, any right of set-off and any other kind of
cross-claim; and 

  

	 	(e)	the Borrowers and the other Finance Parties hereby irrevocably authorise and instruct the Facility Agent to sign any such Transfer Certificate on their behalf and
undertake not to withdraw, revoke or qualify such authority or instruction at any time. Promptly upon its signature of any Transfer Certificate, the Facility Agent shall notify the Borrowers, the Transferor and the Transferee.

  

	20.5	Reliance on Transfer Certificate 

  

	20.5.1	The Facility Agent shall be entitled to rely on any Transfer Certificate believed by it to be genuine and correct and to have been presented or signed by the persons by
whom it purports to have been presented or signed, and shall not be liable to any of the parties to this Agreement and the Finance Documents for the consequences of such reliance. 

 

	20.5.2	The Facility Agent shall at all times during the continuation of this Agreement maintain a register in which it shall record the name, Commitments, Contributions and
administrative details (including the lending office) from time to time of the Lenders holding a Transfer Certificate and the date at which the transfer referred to in such Transfer Certificate held by each Lender was transferred to such Lender, and
the Facility Agent shall make the said register available for inspection by any Lender or the Borrower during normal banking hours upon receipt by the Facility Agent of reasonable prior notice requesting the Facility Agent to do so.

  

	20.5.3	The entries on the said register shall, in the absence of manifest error, be conclusive in determining the identities of the Commitments, the Contributions and the
Transfer Certificates held by the Lenders from time to time and the principal amounts of such Transfer Certificates and may be relied upon by the Facility Agent and the other Security Parties for all purposes in connection with this Agreement and
the Finance Documents. 

  
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	20.6	Transfer fees and expenses 

If any Lender causes the transfer of all or any part of its rights, benefits and/or obligations under the Finance Documents, it shall pay
to the Facility Agent and/or the Security Agent on demand all costs, fees and expenses (including, but not limited to, legal fees and expenses), and all value added tax thereon, verified by the Facility Agent or, as the case may be, the Security
Agent as having been incurred by it in connection with such transfer. 
  

	20.7	Documenting transfers 

 If
any Lender assigns all or any part of its rights or transfers all or any part of its rights, benefits and/or obligations as provided in clause 20.3 (Transfers by Lenders), each Borrower undertakes, immediately on being requested to do so
by the Facility Agent and at the cost of the Transferor, to enter into, and procure that the other Security Parties shall (at the cost of the Transferor) enter into, such documents as may be necessary or desirable to transfer to the Transferee all
or the relevant part of such Lender’s interest in the Finance Documents and all relevant references in this Agreement to such Lender shall thereafter be construed as a reference to the Transferor and/or its Transferee (as the case may be) to
the extent of their respective interests. 
  

	20.8	Sub-participation 

 A
Lender may sub-participate all or any part of its rights and/or obligations under the Security Documents without the consent of, or notice to, the Borrowers but with the prior written consent of the Facility Agent (such consent not to be
unreasonably withheld). 
  

	20.9	Lending office 

 Each
Lender shall lend through its office at the address specified in Schedule 1 (The Lenders and their Commitments) or, as the case may be, in any relevant Transfer Certificate or through any other office of such Lender selected from time to
time by it through which such Lender wishes to lend for the purposes of this Agreement, If the office through which a Lender is lending is changed pursuant to this clause 20.9, such Lender shall notify the Facility Agent promptly of such change and
the Facility Agent shall notify the Borrowers, the Security Agent, the Account Bank and the other Lenders. 
  

	21	Confidentiality 

  

	21.1	Confidential Information 

Each Security Party and each Finance Party agrees to keep all Confidential Information confidential and not to disclose it to anyone, save
to the extent permitted by clause 21.2 (Disclosure of Confidential Information), and to ensure that all Confidential Information is protected with security measures and a degree of care that would apply to its own confidential
information. 
  

	21.2	Disclosure of Confidential Information 

 Any Finance Party may, with the prior written consent of the Arrangers, disclose: 
  

	 	(a)	to any of its Affiliates and any of its or their officers, directors, employees, professional advisers, auditors, partners and representatives such Confidential
information as that Finance Party shall consider appropriate if any person to whom the Confidential Information is to be given pursuant to this clause 21.2 is informed in writing of its confidential nature and that some or all of such Confidential
Information may be price- sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of the information or is otherwise bound by
requirements of confidentiality in relation to the Confidential Information; 

  
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	 	(b)	to any person: 

  

	 	(i)	to (or through) whom it assigns or transfers (or may potentially assign or transfer) all or any of its rights and/or obligations under one or more Finance Documents
and/or to any of that person’s Affiliates, representatives and professional advisers; 

  

	 	(ii)	with (or through) whom it enters into (or may potentially enter into), whether directly or indirectly, any sub-participation in relation to, or any other transaction
under which payments are to be made or may be made by reference to, one or more Finance Documents and to any of that person’s Affiliates, representatives and professional advisers; 

 

	 	(iii)	appointed by any Finance Party to receive communications, notices, information or documents delivered pursuant to the Finance Documents on its behalf;

  

	 	(iv)	who invests in or otherwise finances (or may potentially invest in or otherwise finance), directly or indirectly, any transaction referred to in clauses 21.2(b)(i) or
(ii) above; 

  

	 	(v)	to whom information is required or requested to be disclosed by any court of competent jurisdiction or any governmental, banking, taxation or other regulatory authority
or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation; 

  

	 	(vi)	to whom information is required to be disclosed in connection with, and for the purposes of, any litigation, arbitration, administrative or other investigations,
proceedings or disputes; 

  

	 	(vii)	who is a Party; or 

  

	 	(viii)	with the consent of the Borrowers; 

 in each case, such Confidential Information as that Finance Party shall consider appropriate if in relation to clauses 21.2(b)(i),(ii),(iii) and (tv) above, the person to whom the Confidential Information
is to be given has entered into a Confidentiality Undertaking except that there shall be no requirement for a Confidentiality Undertaking if the recipient is a professional adviser and is subject to professional obligations to maintain the
confidentiality of the Confidential Information; 
  

	 	(c)	to any person appointed by that Finance Party or by a person to whom clauses 21.2(b)(i) or (b)(ii) above applies to provide administration or settlement services in
respect of one or more of the Finance Documents including without limitation, in relation to the trading of participations in respect of the Finance Documents, such Confidential Information as may be required to be disclosed to enable such service
provider to provide any of the services referred to in this clause 21.2(c) if the service provider to whom the Confidential Information is to be given has entered into a confidentiality agreement substantially in the form of the LMA Master
Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Borrower and the relevant Finance Party; 

 

	21.3	Entire agreement 

 This
clause 21 (Confidentiality) constitutes the entire agreement between the Parties in relation to the obligations of the Finance Parties under the Finance Documents regarding Confidential Information and supersedes any previous agreement,
whether express or implied, regarding Confidential Information. 

  
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	21.4	Notification of disclosure 

Each of the Finance Parties agrees (to the extent permitted by law and regulation) to inform the Borrowers: 

 

	 	(a)	of the circumstances of any disclosure of Confidential Information made pursuant to clause 21.2(b)(v) except where such disclosure is made to any of the persons
referred to in that clause during the ordinary course of its supervisory or regulatory function; and 

  

	 	(b)	upon becoming aware that Confidential Information has been disclosed in breach of this clause 21 (Confidentiality). 

 

	21.5	Continuing obligations 

The obligations in this clause 21 (Confidentiality) are continuing and, in particular, shall survive and remain binding on
each Finance Party for a period of twelve months from the earlier of: 
  

	 	(a)	the date on which all amounts payable by every Borrower under or in connection with this Agreement have been paid in full and all Commitments have been cancelled or
otherwise cease to be available; and 

  

	 	(b)	the date on which such Finance Party otherwise ceases to be a Finance Party. 

 

	22	Arrangers, Facility Agent and Security Agent 

  

	22.1	Appointment of the Facility Agent 

 Each Lender irrevocably appoints the Facility Agent as its agent for the purposes of this Agreement and such of the Finance Documents to which it may be appropriate for the Facility Agent to be party. By
virtue of such appointment, each of the Lenders hereby authorises the Facility Agent: 
  

	 	(a)	to execute such documents as may be approved by the Majority Lenders for execution by the Facility Agent; and 

 

	 	(b)	(whether or not by or through employees or agents) to take such action on such Lender’s behalf and to exercise such rights, remedies, powers and discretions as are
specifically delegated to the Facility Agent by this Agreement and/or any other Finance Document, together with such powers and discretions as are reasonably incidental thereto. 

 

	22.2	Facility Agent’s actions 

 Any action taken by the Facility Agent under or in relation to this Agreement or any of the other Finance Documents whether with requisite authority or on the basis of appropriate instructions, received
from the Lenders (or as otherwise duly authorised) shall be binding on all the Lenders. 
  

	22.3	Facility Agent’s duties 

 The Facility Agent shall: 
  

	 	(a)	promptly notify each Lender of the contents of each notice, certificate or other document received by it from the Borrowers under or pursuant to clauses 13.1.1
(Notice of Default; material litigation), 13.1.5 (Financial statements), 13.1.6 (Valuations) and 13.1.8 (Provision of further information); and 

 

	 	(b)	(subject to the other provisions of this clause 22 (Arrangers, Facility Agent and Security Agent)) take (or instruct the Security Agent to take) such action
or, as the case may be, refrain from taking (or authorise the Security Agent to refrain from taking) such action with respect to the exercise of any of its rights, remedies, powers and discretions as agent, as the Majority Lenders may direct.

  
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	22.4	Facility Agent’s rights 

 The Facility Agent may: 
  

	 	(a)	in the exercise of any right, remedy, power or discretion in relation to any matter, or in any context, not expressly provided for by this Agreement or any of the other
Finance Documents, act or, as the case may be, refrain from acting (or authorise the Security Agent to act or refrain from acting) in accordance with the instructions of the Lenders, and shall be fully protected in so doing;

  

	 	(b)	unless and until it shall have received directions from the Majority Lenders, take such action or, as the case may be, refrain from taking such action (or authorise the
Security Agent to take or refrain from taking such action) in respect of a Default of which the Facility Agent has actual knowledge as it shall deem advisable in the best interests of the Lenders (but shall not be obliged to do so);

  

	 	(c)	refrain from acting (or authorise the Security Agent to refrain from acting) in accordance with any instructions of the Lenders to institute any legal proceedings
arising out of or in connection with this Agreement or any of the other Finance Documents until it and/or the Security Agent has been indemnified and/or secured to its satisfaction against any and all costs, expenses or liabilities (including legal
fees) which it would or might incur as a result; 

  

	 	(d)	deem and treat (i) each Lender as the person entitled to the benefit of the Contribution of such Lender for all purposes of this Agreement unless and until a
notice shall have been filed with the Facility Agent pursuant to clause 20.3 (Transfers by Lenders) and shall have become effective, and (ii) the office set opposite the name of each of the Lenders in The Original Parties Part
2 (the Lenders and their Commitments) of Schedule 1 to be such Lender’s lending office unless and until a written notice of change of lending office shall have been received by the Facility Agent and the Facility Agent may act upon
any such notice unless and until the same is superseded by a further such notice; 

  

	 	(e)	rely as to matters of fact which might reasonably be expected to be within the knowledge of any Security Party upon a certificate signed by any director or officer of
the relevant Security Party on behalf of the relevant Security Party; and 

  

	 	(f)	do anything which is in its opinion necessary or desirable to comply with any law or regulation in any jurisdiction. 

 

	22.5	No liability of any Arranger or Facility Agent 

  

	22.5.1	Neither any Arranger nor the Facility Agent nor any of their respective employees and agents shall: 

 

	 	(a)	be obliged to make any enquiry as to the use of any of the proceeds of a Ship Loan or the Loan unless (in the case of the Facility Agent) so required in writing by a
Lender, in which case the Facility Agent shall promptly make the appropriate request to the relevant Borrower; or 

  

	 	(b)	be obliged to make any enquiry as to any breach or default by any Borrower or any other Security Party in the performance or observance of any of the provisions of this
Agreement or any of the other Finance Documents or as to the existence of a Default unless (in the case of the Facility Agent) the Facility Agent has actual knowledge thereof or has been notified in writing thereof by a Lender, in which case the
Facility Agent shall promptly notify the Lenders of the relevant event or circumstance; or 

  
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	 	(c)	be obliged to enquire whether or not any representation or warranty made by any Borrower or any other Security Party pursuant to this Agreement or any of the other
Finance Documents is true; or 

  

	 	(d)	be obliged to do anything (including, without limitation, disclosing any document or information) which would, or might in its opinion, be contrary to any law or
regulation or be a breach of any duty of confidentiality or otherwise be actionable or render it liable to any person; or 

  

	 	(e)	be obliged to account to any Lender for any sum or the profit element of any sum received by it for its own account; or 

 

	 	(f)	be obliged to institute any legal proceedings arising out of or in connection with this Agreement or any of the other Finance Documents other than on the instructions
of the Majority Lenders; or 

  

	 	(g)	be liable to any Lender for any action taken or omitted under or in connection with this Agreement or any of the other Finance Documents unless caused by its gross
negligence or wilful misconduct. 

  

	22.5.2	For the purposes of this clause 22, neither any Arranger nor the Facility Agent shall be treated as having actual knowledge of any matter of which the corporate finance
or any other division outside the agency or loan administration department of any Arranger or the person for the time being acting as the Facility Agent may become aware in the context of corporate finance, advisory or lending activities from time
to time undertaken by any Arranger or, as the case may be, the Facility Agent for any Security Party or any other person which may be a trade competitor of any Security Party or may otherwise have commercial interests similar to those of any
Security Party. 

  

	22.6	Non-reliance on any Arranger or Facility Agent 

 Each Lender acknowledges that it has not relied on any statement, opinion, forecast or other representation made by any Arranger or the Facility Agent to induce it to enter into this Agreement or any of
the other Finance Documents and that it has made and will continue to make, without reliance on any Arranger or the Facility Agent and based on such documents as it considers appropriate, its own appraisal of the creditworthiness of the Security
Parties and its own independent investigation of the financial condition, prospects and affairs of the Security Parties in connection with the making and continuation of such Lender’s Commitment or Contribution under this Agreement. Neither any
Arranger nor the Facility Agent shall have any duty or responsibility, either initially or on a continuing basis, to provide each Lender with any credit or other information with respect to any Security Party whether coming into its possession
before the making of a Ship Loan or at any time or times thereafter other than as provided in clause 22.3(a) (Facility Agent’s Duties). 
  

	22.7	No responsibility on any Arranger or Facility Agent for any Security Party’s performance 

Neither any Arranger nor the Facility Agent shall have any responsibility or liability to any Lender: 

 

	 	(a)	on account of the failure of any Security Party to perform its obligations under any of the Finance Documents; or 

 

	 	(b)	for the financial condition of any Security Party; or 

  

	 	(c)	for the completeness or accuracy of any statements, representations or warranties in any of the Finance Documents or any document delivered under any of the Finance
Documents; or 

  
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	 	(d)	for the execution, effectiveness, adequacy, genuineness, validity, enforceability or admissibility in evidence of any of the Finance Documents or of any certificate,
report or other document executed or delivered under any of the Finance Documents; or 

  

	 	(e)	to investigate or make any enquiry into the title of any Owner or any other Security Party to the relevant Ship or any other security or any part thereof; or

  

	 	(f)	for the failure to register any of the Finance Documents with any official or regulatory body or office or elsewhere; or 

 

	 	(g)	for taking or omitting to take any other action under or in relation to any of the Finance Documents or any aspect of any of the Finance Documents; or

  

	 	(h)	on account of the failure of the Security Agent to perform or discharge any of its duties or obligations under the Finance Documents; or 

 

	 	(i)	otherwise in connection with the Agreement or its negotiation or for acting (or, as the case may be, refraining from acting) in accordance with the instructions of the
Lenders. 

  

	22.8	Reliance on documents and professional advice 

 The Arrangers and the Facility Agent shall be entitled to rely on any communication, instrument or document believed by it to be genuine and correct and to have been signed or sent by the proper person
and shall be entitled to rely as to legal or other professional matters on opinions and statements of any legal or other professional advisers selected or approved by it (including those in the Arrangers’ or, as the case may be, the Facility
Agent’s employment). 
  

	22.9	Other dealings 

 The
Arrangers and the Facility Agent may, without any liability to account to the Lenders, accept deposits from, lend money to, and generally engage in any kind of banking or other business with, and provide advisory or other services to, any Security
Party or any of its Related Companies or any of the Lenders as if it were not an Arranger or, as the case may be, the Facility Agent. 
  

	22.10	Rights of Facility Agent as Lender; no partnership 

 With respect to its own Commitment and Contribution (if any) the Facility Agent shall have the same rights and powers under the Finance Documents as any other Lender and may exercise the same as though it
were not performing the duties and functions delegated to it under this Agreement and the term Lenders shall, unless the context clearly otherwise indicates, include the Facility Agent in its individual capacity as a Lender. This Agreement shall not
and shall not be construed so as to constitute a partnership between the parties or any of them. 
  

	22.11	Amendments and waivers 

  

	22.11.1	Subject to clause 22.11.2, the Facility Agent may, with the consent of the Majority Lenders (or if and to the extent expressly authorised by the other provisions of any
of the Finance Documents) and, if so instructed by the Majority Lenders, shall: 

  

	 	(a)	agree (or authorise the Security Agent to agree) amendments or modifications to any of the Security Documents with any Borrower and/or any other Security Party; and/or

  

	 	(b)	vary or waive breaches of, or defaults under, or otherwise excuse performance of, any provision of any of the other Finance Documents by any Borrower and/or any other
Security Party (or authorise the Security Agent to do so); 

 any such action so authorised and effected by the
Facility Agent shall be documented in such manner as the Facility Agent shall (with the approval of the Majority Lenders) determine, shall be promptly notified to the Lenders by the Facility Agent and (without prejudice to the generality of
clause 22.2 (Facility Agent’s actions)) shall be binding on the Lenders. 

  
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	22.11.2	Except with the prior written consent of all the Lenders, the Facility Agent shall have no authority on behalf of the Lenders to agree (or authorise the Security Agent
to agree) with any Borrower and/or any other Security Party any amendment or modification to any of the Finance Documents or to grant (or authorise the Security Agent to grant) waivers in respect of breaches or defaults or to vary or excuse (or
authorise the Security Agent to vary or excuse) performance of or under any of the Finance Documents by any Borrower and/or any other Security Party, if the effect of such amendment, modification, waiver or excuse would be to:

  

	 	(a)	reduce the Margin; 

  

	 	(b)	postpone the due date or reduce the amount of any payment of principal, interest or other amount payable by any Security Party under any of the Finance Documents;

  

	 	(c)	change the currency in which any amount is payable by any Security Party under any of the Finance Documents; 

 

	 	(d)	increase any Lender’s Commitment; 

  

	 	(e)	extend any Availability Period; 

  

	 	(f)	change any provision of any of the Finance Documents which expressly or implied requires the approval or consent of all the Lenders such that the relevant approval or
consent may be given otherwise than with the sanction of all the Lenders; 

  

	 	(g)	change the order of distribution under clause 11.9 (Partial payments) or clause 18.1 (Application of moneys); 

 

	 	(h)	change this clause 22.11; 

  

	 	(i)	change the definition of Majority Lenders in clause 1.1 (Definitions); or 

 

	 	(j)	release any Security Party from the security constituted by any Security Document (except as required by the terms thereof or by law) or change the terms and conditions
upon which such security or guarantee may be, or is required to be, released. 

  

	22.12	Reimbursement and indemnity by Lenders 

 Each Lender shall reimburse the Facility Agent (rateably in accordance with such Lender’s Commitment or Contribution), to the extent that the Facility Agent is not reimbursed by the Borrowers, for
the costs, charges and expenses incurred by the Facility Agent which are expressed to be payable by the Borrowers under clause 10.1 (Fees) including (in each case) - the fees and expenses of legal or other professional advisers. Each
Lender shall on demand indemnify the Facility Agent (rateably in accordance with such Lender’s Commitment or Contribution) against all liabilities, damages, costs and claims whatsoever incurred by the Facility Agent in connection with any of
the Finance Documents or the performance of its duties under any of the Finance Documents or any action taken or omitted by the Facility Agent under any of the Finance Documents, unless such liabilities, damages, costs or claims arise from the
Facility Agent’s own gross negligence or wilful misconduct. 
  

	22.13	Retirement of Facility Agent 

  

	22.13.1	The Facility Agent may, having given to the Borrowers and each of the Lenders not less than fifteen (15) days’ notice of its intention to do so, retire from
its appointment as Facility Agent under this Agreement, provided that no such retirement shall take effect unless there has been appointed by the Lenders as a successor agent: 

 

	 	(a)	a Related Company of the Facility Agent nominated by the Facility Agent which the Lenders hereby irrevocably and unconditionally agree to appoint or, failing such
nomination, 

  
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	 	(b)	a Lender nominated by the Majority Lenders or, failing such a nomination, 

  

	 	(c)	any reputable bank or financial institution experienced in ship finance and nominated by the retiring Facility Agent. 

 

	22.13.2	Any corporation into which the retiring Facility Agent may be merged or converted or any corporation with which the Facility Agent may be consolidated or any
corporation resulting from any merger, conversion, amalgamation, consolidation or other reorganisation to which the Facility Agent shall be a party shall, to the extent permitted by applicable law, be the successor Facility Agent under this
Agreement and the other Finance Documents without the execution or filing of any document or any further act on the part of any of the parties to this Agreement and the other Finance Documents save that notice of any such merger, conversion,
amalgamation, consolidation or other reorganisation shall forthwith be given to each Security Party and the Lenders. Prior to any such successor being appointed, the Facility Agent agrees to consult with the Borrowers as to the identity of the
proposed successor and to take account of any reasonable objections which the Borrowers may raise to such successor being appointed. 

  

	22.13.3	Upon any such successor as aforesaid being appointed, the retiring Facility Agent shall be discharged from any further obligation under the Finance Documents (but shall
continue to have the benefit of this clause 22 (Arrangers, Facility Agent and Security Agent) in respect of any action it has taken or refrained from taking prior to such discharge) and its successor and each of the other parties to this
Agreement shall have the same rights and obligations among themselves as they would have had if such successor had been a party to this Agreement in place of the retiring Facility Agent. The retiring Facility Agent shall (at the expense of the
Borrowers) provide its successor with copies of such of its records as its successor reasonably requires to carry out its functions under the Finance Documents. 

 

	22.14	Independent action by Lenders 

 None of the Lenders shall enforce, exercise any rights, remedies or powers or grant any consents or releases under or pursuant to, or otherwise have a direct recourse to the security and/or guarantees
constituted by any of the Finance Documents without the prior written consent of the Majority Lenders but, provided such consent has been obtained, it shall not be necessary for any other Finance Party to be joined as an additional party in any
proceedings for this purpose. 
  

	22.15	Common parties 

 The
Facility Agent and the Security Agent have entered into the Finance Documents in their separate capacities (a) as Facility Agent for the Lenders under and pursuant to this Agreement (in the case of the Facility Agent) and (b) as security
agent and trustee for the Lenders and the Facility Agent under and pursuant to this Agreement, to hold the guarantees and/or security created by the Security Documents on the terms set out in such Security Documents (in the case of the Security
Agent). However, from time to time the Facility Agent and the Security Agent may be the same entity. When the Facility Agent and the Security Agent are the same entity and any Finance Document provides for the Facility Agent to communicate with or
provide instructions to the Security Agent (and vice versa), it will not be necessary for there to be any such formal communications or instructions on those occasions. 
  

	22.16	Co-operation to achieve agreed priorities of application 

 The Lenders, the Facility Agent and the Account Bank shall co-operate with each other and with the Security Agent and any receiver under the Finance Documents in realising the property and assets subject
to the Security Documents and in ensuring that the net proceeds realised under the Security Documents after deduction of the expenses of realisation are applied in accordance with clause 18.1 (Application of moneys). 

  
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	22.17	Prompt distribution of proceeds 

 Moneys received by any of the Finance Parties (whether from a receiver or otherwise) pursuant to the exercise of (or otherwise by virtue of the existence of) any rights and powers under or pursuant to any
of the Finance Documents shall (after providing for all costs, charges, expenses and liabilities and other payments ranking in priority) be paid to the Facility Agent for distribution, in the case of moneys so received by any of the Finance Parties
other than the Facility Agent or the Security Agent, and shall be distributed by the Facility Agent or, as the case may be, the Security Agent, in the case of moneys so received by the Facility Agent or, as the case may be, the Security Agent, in
each case in accordance with clause 18.1 (Application of moneys). The Facility Agent or, as the case may be, the Security Agent shall make each such application and/or distribution as soon as is practicable after the relevant moneys are received by,
or otherwise become available to, the Facility Agent or, as the case may be, the Security Agent save that (without prejudice to any other provision contained in any of the Finance Documents) the Facility Agent or, as the case may be, the Security
Agent (acting on the instructions of the Majority Lenders) or any receiver may credit any moneys received by it to a suspense account for so long and in such manner as the Facility Agent or such receiver may from time to time determine with a view
to preserving the rights of the Facility Agent or, as the case may be, the Security Agent and/or the other Finance Parties or any of them to provide for the whole of their respective claims against any Borrower or any other person liable.

  

	22.18	Change of Reference Bank 

If any Reference Bank ceases to provide quotations to the Facility Agent for the purposes of determining LIBOR, the Facility Agent may,
acting on the instructions of the Majority Lenders, terminate the appointment of such Reference Bank and appoint another bank to replace it as a Reference Bank. 
  

	22.19	Security Agent 

  

	22.19.1	Each other Finance Party appoints the Security Agent to act as its agent and (to the extent permitted under any applicable law) trustee under and in connection with the
Security Documents and confirms that the Security Agent shall have a lien on the Security Documents and the proceeds of the enforcement of those Security Documents for all monies payable to the beneficiaries of those Security Documents.

  

	22.19.2	Each other Finance Party authorises the Security Agent: 

  

	 	(a)	to exercise the rights, powers, authorities and discretions specifically given to the Security Agent under or in connection with the Finance Documents together with any
other incidental rights, powers, authorities and discretions; and 

  

	 	(b)	to execute each of the Security Documents and all other documents that may be approved by the Facility Agent and/or the Majority Lenders for execution by it.

  

	22.19.3	The Security Agent accepts its appointment under clause 22.19 (Security Agent) as trustee of the Trust Property with effect from the date of this Agreement
and declares that it holds the Trust Property on trust for itself, the other Finance Parties (for so long as they are Finance Parties) on and subject to the terms set out in clauses 22.19 - 22.26 (inclusive) and the Security Documents to which it is
a party. 

  

	22.20	Application of certain clauses to Security Agent 

  

	22.20.1	Clauses 22.4 (Facility Agent’s rights), 22.5 (No liability of any Arranger or Facility Agent), 22.6 (Non-reliance on any Arranger or Facility
Agent), 22.7 (No responsibility on any Arrangers or Facility Agent for Security Party’s performance), 22.8 (Reliance on documents and professional advice), 22.9 (Other dealings), 22.10 (Rights of Facility Agent as
Lender; no partnership), 22.12 (Reimbursement and indemnity by Lenders) and 22.13 (Retirement of the Facility Agent) shall each extend so as to apply to the Security Agent in its capacity as such and for that purpose each
reference to the “Facility Agent” in these clauses shall extend to include in addition a reference to the “Security Agent” in its capacity as such. 

  
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	22.20.2	In addition, clause 22.13 (Retirement of the Facility Agent) shall, for the purposes of its application to the Security Agent pursuant to clause 22.20.1,
have the following additional subclause: 

  

	22.20.3	At any time after the appointment of a successor, the retiring Security Agent shall do and execute all acts, deeds and documents reasonably required by its successor to
transfer to it (or its nominee, as it may direct) any property, assets and rights previously vested in the retiring Security Agent pursuant to the Security Documents and which shall not have vested in its successor by operation of law. All such
acts, deeds and documents shall be done or, as the case may be, executed at the cost of the retiring Security Agent (except where the Security Agent is retiring under clause 22.13 (Retirement of the Facility Agent) as extended to it by
clause 22.20.1, in which case such costs shall be borne by the Lenders (in proportion to its share of the Total Commitments or, if the Total Commitments are then zero, to its share of the Total Commitments immediately prior to their reduction
to zero)). 

  

	22.21	Instructions to Security Agent 

  

	22.21.1	Unless a contrary indication appears in a Finance Document, the Security Agent shall: 

 

	 	(a)	exercise any right, power, authority or discretion vested in it as Security Agent in accordance with any instructions given to it by the Facility Agent (or, if so
instructed by the Facility Agent, refrain from exercising any right, power, authority or discretion vested in it as Security Agent); and 

  

	 	(b)	not be liable for any act (or omission) if it acts (or refrains from taking any action) in accordance with such an instruction of the Facility Agent (the Facility Agent
in each case acting on the instructions of the Majority Lenders or, if appropriate pursuant to clause 22.11.2, the Lenders). 

  

	22.21.2	Unless a contrary indication appears in a Finance Document, any instructions given by the Facility Agent to the Security Agent in accordance with clause 22.21.1
will be binding on the Finance Parties. 

  

	22.21.3	The Security Agent may refrain from acting in accordance with the instructions of the Facility Agent until it has received such security as it may require for any cost,
loss or liability (together with any associated VAT) which it may incur in complying with the instructions. 

  

	22.21.4	In the absence of, or while awaiting, instructions from the Facility Agent, (including in exceptional circumstances where time does not permit the Facility Agent
obtaining instructions from the Lenders and urgent action is required) the Security Agent may act (or refrain from taking action) as it considers to be in the best interest of the Finance Parties. 

 

	22.21.5	The Security Agent is not authorised to act on behalf of another Finance Party (without first obtaining that Finance Party’s consent) in any legal or arbitration
proceedings relating to any Finance Document but this is without prejudice to clauses 22.21.1 and 22.21.4, including the right to enforce the Security Documents in accordance with these clauses. 

 

	22.22	Order of application 

  

	22.22.1	The Security Agent agrees to apply the Trust Property and each other beneficiary of the Security Documents agrees to apply all moneys received by it in the exercise of
its rights under the Security Documents in accordance with the following respective claims: 

  

	 	(a)	first, as to a sum equivalent to the amounts payable to the Security Agent under the Finance Documents (excluding any amounts received by the Security
Agent pursuant to clause 22.12 (Reimbursement and indemnity by Lenders) as extended to the Security Agent pursuant to clause 22.20 (Application of certain clauses to Security Agent)), for the Security Agent absolutely;

  
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	 	(b)	secondly, as to a sum equivalent to the aggregate amount then due and owing to the other Finance Parties under the Finance Documents, for those Finance
Parties absolutely, and pro-rata to the amounts owing to them under the Finance Documents; 

  

	 	(c)	thirdly, until such time as the Security Agent is satisfied that all obligations owed to the Finance Parties have been irrevocably and unconditionally
discharged in full, held by the Security Agent on a suspense account for payment of any further amounts owing to the Finance Parties under the Finance Documents and further application in accordance with this clause 22.22.1 as and when any such
amounts later fall due; 

  

	 	(d)	fourthly, to such other persons (if any) as are legally entitled thereto in priority to the Security Parties; and 

 

	 	(e)	fifthly, as to the balance (if any), for the Security Parties by or from whom or from whose assets the relevant amounts were paid, received or recovered
or other person entitled to them. 

  

	22.22.2	The Security Agent and each other beneficiary of the Security Documents shall make each application as soon as is practicable after the relevant moneys are received by,
or otherwise become available to, it save that (without prejudice to any other provision contained in any of the Security Documents) the Security Agent (acting on the instructions of the Facility Agent), any other beneficiary of the Security
Documents or any receiver or administrator may credit any moneys received by it to a suspense account for so long and in such manner as the Security Agent, such other beneficiary of the Security Documents or such receiver or administrator may from
time to time determine with a view to preserving the rights of the Finance Parties or any of them to prove for the whole of their respective claims against any Borrower or any other person liable. 

 

	22.22.3	The Security Agent and/or any other beneficiary of the Security Documents shall obtain a good discharge in respect of the amounts expressed to be due to the other
Finance Parties as referred to in this clause 22.22 by paying such amounts to the Facility Agent for distribution in accordance with clause 18.1 (Application of moneys). 

 

	22.23	Powers and duties of the Security Agent as trustee of the security 

 In its capacity as trustee in relation to the Trust Property, the Security Agent: 
  

	 	(a)	shall, without prejudice to any of the powers, discretions and immunities conferred upon trustees by law (and to the extent not inconsistent with the provisions of this
Agreement or any of the Security Documents), have all the same powers and discretions as a natural person acting as the beneficial owner of such property and/or as are conferred upon the Security Agent by this Agreement and/or any Security Document
but so that the Security Agent may only exercise such powers and discretions to the extent that it is authorised to do so by the provisions of this Agreement; 

 

	 	(b)	shall (subject to clause 22.22 (Order of application)) be entitled (in its own name or in the names of nominees) to invest moneys from time to time forming
part of the Trust Property or otherwise held by it as a consequence of any enforcement of the security constituted by any Finance Document which, in the reasonable opinion of the Security Agent, it would not be practicable to distribute immediately,
by placing the same on deposit in the name or under the control of the Security Agent as the Security Agent may think fit without being under any duty to diversify the same and the Security Agent shall not be responsible for any loss due to interest
rate or exchange rate fluctuations except for any loss arising from the Security Agent’s gross negligence or wilful misconduct; 

  

	 	(c)	 may, in the conduct of its obligations under and in respect of the Security Documents (otherwise than in relation to its right to make any declaration,
determination or decision), 

  
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instead of acting personally, employ and pay any agent (whether being a lawyer or any other person) to transact or concur in transacting any business and to do or concur in doing any acts
required to be done by the Security Agent (including the receipt and payment of money) and on the basis that (i) any such agent engaged in any profession or business shall be entitled to be paid all usual professional and other charges for
business transacted and acts done by him or any partner or employee of his or her in connection with such employment and (ii) the Security Agent shall not be bound to supervise, or be responsible for any loss incurred by reason of any act or
omission of, any such agent if the Security Agent shall have exercised reasonable care in the selection of such agent; and 

  

	 	(d)	may place all deeds and other documents relating to the Trust Property which are from time to time deposited with it pursuant to the Security Documents in any safe
deposit, safe or receptacle selected by the Security Agent exercising reasonable care or with any firm of solicitors or company whose business includes undertaking the safe custody of documents selected by the Security Agent exercising reasonable
care and may make any such arrangements as it thinks fit for allowing any Security Party access to, or its solicitors or auditors possession of, such documents when necessary or convenient and the Security Agent shall not be responsible for any loss
incurred in connection with any such deposit, access or possession if it has exercised reasonable care in the selection of a safe deposit, safe, receptacle or firm of solicitors or company (save that it shall take reasonable steps to pursue any
person who may be liable to it in connection with such loss). 

  

	22.24	All enforcement action through the Security Agent 

  

	22.24.1	None of the other Finance Parties shall have any independent power to enforce any of those Security Documents which are executed in favour of the Security Agent only or
to exercise any rights, discretions or powers or to grant any consents or releases under or pursuant to such Security Documents or otherwise have direct recourse to the security and/or guarantees constituted by such Security Documents except through
the Security Agent. 

  

	22.24.2	None of the other Finance Parties shall have any independent power to enforce any of those Security Documents which are executed in their favour or to exercise any
rights, discretions or powers or to grant any consents or releases under or pursuant to such Security Documents or otherwise have direct recourse to the security and/or guarantees constituted by such Security Documents except through the Security
Agent. If any Finance Party (other than the Security Agent) is a party to any Security Document it shall promptly upon being requested by the Facility Agent to do so grant a power of attorney or other sufficient authority to the Security Agent to
enable the Security Agent to exercise any rights, discretions or powers or to grant any consents or releases under such Security Document. 

  

	22.25	Co-operation to achieve agreed priorities of application 

 The other Finance Parties shall co-operate with each other and with the Security Agent and any receiver or administrator under the Security Documents in realising the property and assets subject to the
Security Documents and in ensuring that the net proceeds realised under the Security Documents after deduction of the expenses of realisation are applied in accordance with clause 22.22 (Order of application). 

 

	22.26	Indemnity from Trust Property 

  

	22.26.1	In respect of all liabilities, costs or expenses for which each Borrower is liable under this Agreement, the Security Agent and each Affiliate of the Security Agent and
each officer or employee of the Security Agent or its Affiliate (each a Relevant Person) shall be entitled to be indemnified out of the Trust Property in respect of all liabilities, damages, costs, claims, charges or expenses whatsoever
properly incurred or suffered by such Relevant Person: 

  

	 	(a)	in the execution or exercise or bona fide purported execution or exercise of the trusts, rights, powers, authorities, discretions and duties created or conferred by or
pursuant to the Finance Documents; 

  
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	 	(b)	as a result of any breach by a Security Party of any of its obligations under any Finance Document; 

 

	 	(c)	in respect of any Environmental Claim made or asserted against a Relevant Person which would not have arisen if the Finance Documents had not been executed; and

  

	 	(d)	in respect of any matter or thing done or omitted in any way in accordance with the terms of the Finance Documents relating to the Trust Property or the provisions of
any of the Finance Documents. 

  

	22.26.2	The rights conferred by this clause 22.26 are without prejudice to any right to indemnity by law given to trustees generally and to any provision of the Finance
Documents entitling the Security Agent or any other person to an indemnity in respect of, and/or reimbursement of, any liabilities, costs or expenses incurred or suffered by it in connection with any of the Finance Documents or the performance of
any duties under any of the Finance Documents. Nothing contained in this clause 22.26 shall entitle the Security Agent or any other person to be indemnified in respect of any liabilities, damages, costs, claims, charges or expenses to the extent
that the same arise from such person’s own gross negligence or wilful misconduct. 

  

	22.27	Finance Parties to provide information 

 The other Finance Parties shall provide the Security Agent with such written information as it may reasonably require for the purposes of carrying out its duties and obligations under the Security
Documents and, in particular, with such necessary directions in writing so as to enable the Security Agent to make the calculations and applications contemplated by clause 22.22 (Order of application) above and to apply amounts received
under, and the proceeds of realisation of, the Security Documents as contemplated by the Security Documents, clause 11.9 (Partial payments) and clause 22.22 (Order of application). 

 

	22.28	Release to facilitate enforcement and realisation 

  

	22.28.1	Each Finance Party acknowledges that pursuant to any enforcement action by the Security Agent carried out on the instructions of the Facility Agent it may be desirable
for the purpose of such enforcement and/or maximising the realisation of the assets that are subject of any Security Document being enforced against, that any rights or claims of or by the Security Agent (for the benefit of the Finance Parties)
and/or any Finance Parties against any Security Party and/or any Encumbrance over any assets of any Security Party (in each case) as contained in or created by any Finance Document, other than such rights or claims or security being enforced, be
released in order to facilitate such enforcement action and/or realisation and, notwithstanding any other provision of the Finance Documents, each Finance Party hereby irrevocably authorises the Security Agent (acting on the instructions of the
Facility Agent) to grant any such releases to the extent necessary to fully effect such enforcement action and realisation including, without limitation, to the extent necessary for such purposes to execute release documents in the name of and on
behalf of the Finance Parties. 

  

	22.28.2	Where the relevant enforcement is by way of disposal of shares in any Borrower, the requisite release shall include releases of all claims (including under guarantees)
of the Finance Parties and/or the Security Agent against that Borrower and of all Encumbrances over the assets of that Borrower. 

  

	22.29	Additional trustees 

 The
Security Agent shall have power by notice in writing to the other Finance Parties and the Borrowers to appoint any person approved by the Borrowers (such approval not to be unreasonably withheld or delayed) either to act as separate trustee or as
co-trustee jointly with the Security Agent: 
  

	 	(a)	if the Security Agent reasonably considers such appointment to be in the best interests of the Finance Parties; 

  
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	 	(b)	for the purpose of conforming with any legal requirement, restriction or condition in any jurisdiction in which any particular act is to be performed; or

  

	 	(c)	for the purpose of obtaining a judgment in any jurisdiction or the enforcement in any jurisdiction against any person of a judgment already obtained,

 and any person so appointed shall (subject to the provisions of this Agreement) have such rights (including as
to reasonable remuneration), powers, duties and obligations as shall be conferred or imposed by the instrument of appointment. The Security Agent shall have power to remove any person so appointed. At the request of the Security Agent, the other
parties to this Agreement shall forthwith execute all such documents and do all such things as may be required to perfect such appointment or removal and each such party irrevocably authorises the Security Agent in its name and on its behalf to do
the same. Such a person shall accede to this Agreement as a Security Agent to the extent necessary to carry out their role on terms satisfactory to the Security Agent and (subject always to the provisions of this Agreement) have such trusts, powers,
authorities, liabilities and discretions (not exceeding those conferred on the Security Agent by this Agreement and the other Finance Documents) and such duties and obligations as shall be conferred or imposed by the instrument of appointment (being
no less onerous than would have applied to the Security Agent but for the appointment). The Security Agent shall not be bound to supervise, or be responsible for any loss incurred by reason of any act or omission of, any such person if the Security
Agent shall have exercised reasonable care in the selection of such person. 
  

	22.30	Non-recognition of trust 

It is agreed by all the parties to this Agreement that: 
  

	 	(a)	in relation to any jurisdiction the courts of which would not recognise or give effect to the trusts expressed to be constituted by this clause 22 (Arrangers,
Facility Agent and Security Agent), the relationship of the Security Agent and the other Finance Parties shall be construed as one of principal and agent, but to the extent permissible under the laws of such jurisdiction, all the other
provisions of this Agreement shall have full force and effect between the parties to this Agreement; and 

  

	 	(b)	the provisions of this clause 22 (Arrangers, Facility Agent and Security Agent) insofar as they relate to the Security Agent in its capacity as trustee for
the Finance Parties and the relationship between themselves and the Security Agent as their trustee may be amended by agreement between the other Finance Parties and the Security Agent. The Security Agent may amend all documents necessary to effect
the alteration of the relationship between the Security Agent and the other Finance Parties and each such other party irrevocably authorises the Security Agent in its name and on its behalf to execute all documents necessary to effect such
amendments. 

  

	23	Notices and other matters 

  

	23.1	Notices 

 Every notice,
request, demand or other communication under this Agreement or (unless otherwise provided therein) under any of the other Finance Documents shall: 
  

	 	(a)	be in writing delivered personally or by first-class prepaid letter (airmail if available) or facsimile transmission or other means of telecommunication in permanent
written form; 

  

	 	(b)	 be deemed to have been received, subject as otherwise provided in the relevant Finance Document, in the case of a letter, when delivered personally or
three (3) days after it has been put in to the post and, in the case of a facsimile transmission or other means of telecommunication in permanent written form, at the time of despatch (provided that if the

  
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date of despatch is not a business day in the country of the addressee or if the time of despatch is after the close of business in the country of the addressee it shall be deemed to have been
received at the opening of business on the next such business day); and 

  

	 	(c)	be sent: 

  

	 	(i)	if to a Borrower at: 

 Dryships
Athens Office, 
 80 Kifisias Avenue, 
 151 24 Marousi, Athens, Greece, 
 Fax: +30 210 8090505, 

Attn: Mr. Ziad Nakhleh 
  

	 	(ii)	if to the Facility Agent, the Security Agent or the Mandated Lead Arranger at: 

 China Development Bank Ningxia Branch 
 No.1 Yinjiaqu North Street 

Yinchuan City 

Ningxia 750004 

People’s Republic of China 
 Fax no:       +86 951 5695821 

Att:             Zhang Jia 

 

	 	(iii)	If to the Coordinating Mandated Lead Arranger at: 

 Bank Of China Limited Ningxia Branch 
 No. 39 XinChang East Road 

Yinchuan, Ningxia 750001 
 China 
 Fax:           86
951 5681 831 
 Attention:  Zhu jianwen 
 Bank Of China Limited Zhejiang Branch 
 No. 321 FengQi Road 

Hangzhou, Zhejiang Province 310003 
 China 
 Fax:           86
571 8779 2857 
 Attention:  Ding Linjiazi 

 

	 	(iv)	in the case of the Original Lender, to the address or fax number specified in Schedule 1 or, in the case of a Transferee Bank, in any relevant Transfer Certificate,

 or, in any case, to such other address and/or numbers as is notified by one party to the other parties under
this Agreement. 
  

	23.2	Notices through the Facility Agent 

 Every notice, request, demand or other communication under this Agreement to be given by any Borrower to any other party shall be given to the Facility Agent for onward transmission as appropriate and to
be given to the Borrowers shall (except as otherwise provided in the Finance Documents) be given through the Facility Agent. 

  
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	23.3	No implied waivers, remedies cumulative 

 No failure or delay on the part of any Finance Party to exercise any power, right or remedy under any of the Finance Documents shall operate as a waiver thereof, nor shall any single or partial exercise
by any Finance Party of any power, right or remedy preclude any other or further exercise thereof or the exercise of any other power, right or remedy. The remedies provided in the Finance Documents are cumulative and are not exclusive of any
remedies provided by law. 
  

	23.4	English language 

 All
certificates, instruments and other documents to be delivered under or supplied in connection with any of the Finance Documents shall be in the English language or shall be accompanied by a certified English translation upon which the Finance
Parties shall be entitled to rely. 
  

	23.5	Further assurance 

 Each
Borrower undertakes with the Finance Parties that the Finance Documents shall both at the date of execution and delivery thereof and so long as any moneys are owing under any of the Finance Documents be valid and binding obligations of the
respective parties thereto and rights of the Facility Agent and each of the Lenders enforceable in accordance with their respective terms and that it will, at its expense, execute, sign, perfect and do and will procure the execution signing,
perfecting and doing each of the other Security Parties of, any and every such further assurance, document, act or thing as in the reasonable opinion of the Facility Agent may be necessary or desirable for perfecting the security contemplated or
constituted by the Finance Documents. 
  

	23.6	Conflicts 

 In the event
of any conflict between this Agreement and any of the other Borrowers’ Security Documents, the provisions of this Agreement shall prevail. 
  

	24	Governing law and jurisdiction 

  

	24.1	Law 

 This Agreement and
any non-contractual obligations in connection with this Agreement are governed by, and shall be construed in accordance with, English law. 
  

	24.2	Submission to jurisdiction 

Each Borrower agrees, for the benefit of each of the Finance Parties, that any legal action or proceedings arising out of or in connection
with this Agreement (including any non-contractual obligations connected with this Agreement) against that Borrower or any of its assets may be brought in the English courts. Each Borrower irrevocably and unconditionally submits to the jurisdiction
of such courts and irrevocably designates, appoints and empowers Ince Process Agents Ltd. at present of International House 1 St Katharine’s Way, London E1W 1AY, United Kingdom to receive for it and on its behalf, service of process issued out
of the English courts in any such legal action or proceedings. The submission to such jurisdiction shall not (and shall not be construed so as to) limit the right of any Finance Party to take proceedings against any Borrower in the courts of any
other competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether concurrently or not. 

The parties further agree that only the Courts of England and not those of any other State shall have jurisdiction to determine any claim
which any Borrower may have against any Finance Party arising out of or in connection with this Agreement (including any non-contractual obligations connected with this Agreement). 

  
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	24.3	Contracts (Rights of Third Parties) Act 1999 

 No term of this Agreement is enforceable under the provisions of the Contracts (Rights of Third Parties) Act 1999 by a person who is not a party to this Agreement except where any provision of this
Agreement is expressly made for their benefit. 
 IN WITNESS whereof the parties to this Agreement have caused this
Agreement to be duly executed on the date first above written. 

  
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 Schedule 1 
 The original parties 
 Part 1 

The Borrowers 
  

			
	Name:	  	Oceanview Owners Limited
		
	Jurisdiction of incorporation:	  	Liberia
		
	Registration number (or equivalent, if any):	  	C-113416
		
	English process agent:	  	 Ince Process Agents Ltd. at present of International House 1 St

Katharine’s Way, London E1W1AY, United Kingdom

		
	Registered office:	  	80 Broad Street, Monrovia, Liberia
		
	Address for service of notices:	  	 Dryships Athens Office, 80 Kifisias Avenue, 151 24 Marousi, Athens,

Greece

		
	Name:	  	Oceansurf Owners Limited
		
	Jurisdiction of incorporation:	  	Liberia
		
	Registration number (or equivalent, if any):	  	C-113418
		
	English process agent:	  	 Ince Process Agents Ltd. at present of International House 1 St

Katharine’s Way, London E1W 1AY, United Kingdom

		
	Registered office:	  	80 Broad Street, Monrovia, Liberia
		
	Address for service of notices:	  	 Dryships Athens Office, 80 Kifisias Avenue, 151 24 Marousi, Athens,

Greece

		
	Name:	  	Oceancentury Owners Limited
		
	Jurisdiction of incorporation:	  	Liberia
		
	Registration number (or equivalent, if any):	  	C-113417
		
	English process agent:	  	 Ince Process Agents Ltd. at present of International House 1 St

Katharine’s Way, London E1W 1AY, United Kingdom

		
	Registered office:	  	80 Broad Street, Monrovia, Liberia
		
	Address for service of notices:	  	 Dryships Athens Office, 80 Kifisias Avenue, 151 24 Marousi, Athens,

Greece

  
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 Part 2 
 Lenders and their Commitments 
  

									
	 Name
	  	 Lending Office
	  	 Address for Notices
	  	Commitment
($)	 
				
	 China Development Bank Corporation
	  	Ningxia branch	  	 No. 1 Yinjiaqu North Street

Yinchuan City
 Ningxia 750004

People’s Republic of China
  

Fax no: +86 951 5695821

Att:        Zhang Jia
	  	Up to $	104,193,000	  
				
	 BANK OF CHINA LIMITED
	  	Ningxia branch	  	 No. 39 XinChang East Road

Yinchuan City
 Ningxia 750001

People’s Republic of China
  

Fax no: +86 951 5681 831

Att:        Zhu jianwen
	  	Up to $	10,000,000	  
	 BANK OF CHINA LIMITED
	  	Zhejiang branch	  	 No. 321 FengQi Road
 Hangzhou
City
 Zhejiang 310003
 People’s
Republic of China
  
 Fax no: + 86 571 8779 2857

Att:        Ding Linjiazi
	  	Up to $	8,387,000	  

  
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 Schedule 2 
 Ship Information 
  

			
	Ship	  	A
		
	Description of Ship	  	206,000 dwt bulk carrier
		
	Original Buyer	  	Oceanview Owners Limited (incorporated in Marshall Islands with registration number 39381)
		
	Owner	  	Oceanview Owners Limited (as more fully described in part 1 (The Borrowers) of Schedule 1 (The Original Parties))
		
	Builder	  	Shanghai Jiangnan-Changxing Shipbuilding Company Limited
		
	Hull number	  	H1227
		
	Expected Delivery Date	  	30 June 2012
		
	Date and description of Shipbuilding Contract	  	Shipbuilding contract dated 4 March 2010 between the Original Buyer, the Builder and China Shipbuilding Trading Company Limited as amended by an addendum dated 4
March 2010 and as novated by a novation agreement dated 16 November 2010 between the Original Buyer, the Owner, the Builder and China Shipbuilding Trading Company Limited
		
	Contract Price	  	$ 68,100,000
		
	Total Estimated Price	  	$ 68,100,000
		
	Time Charterer	  	Classic Maritime Inc
		
	Classification	  	I+HULL, +MACH, Bulk Carrier, CSR,BC-A (holds 2,4,6 and 8 may be empty), ESP, Unrestricted Navigation, +AUT-UMS, VERISTAR-HULL, MON-SHAFT, INWATERSURVEY, GRAB[25],
CPS (WBT)
		
	Classification Society	  	BV (Bureau Veritas)
		
	Major Casualty Amount	  	$ 500,000
		
	Time Charter	  	Time charter dated 26 March 2010 made between the Original Buyer and the Time Charterer and for a period of 3+1+1 +1 +1 +1 years in Charterer’s option at a
fixed rate of $25, 000 per day as novated by a novation agreement dated 26 March 2010 between the Original Buyer, the Owner and the Time Charterer

  
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	Ship:	  	B
		
	Description of Ship	  	206,000 dwt bulk carrier
		
	Original Buyer	  	Oceansurf Owners Limited (incorporated in Marshall Islands with registration number 39382).
		
	Owner	  	Oceansurf Owners Limited (as more fully described in part 1 (The Borrowers) of Schedule 1 (The Original Parties))
		
	Builder	  	Shanghai Jiangnan-Changxing Shipbuilding Company Limited
		
	Hull number	  	H1228
		
	Expected Delivery Date	  	31 October 2012
		
	Date and description of Shipbuilding Contract	  	Shipbuilding contract dated 4 March 2010 between the Original Buyer, the Builder and China Shipbuilding Trading Company Limited as amended by an addendum dated 4
March 2010 and as novated by a novation agreement dated 16 November 2010 between the Original Buyer, the Owner, the Builder and China Shipbuilding Trading Company Limited
		
	Contract Price	  	$ 68,100,000
		
	Total Estimated Price	  	$ 68,100,000
		
	Time Charterer	  	Classic Maritime Inc.
		
	Classification	  	I+HULL, +MACH, Bulk Carrier, CSR,BC-A (holds 2,4,6 and 8 may be empty), ESP, Unrestricted Navigation, +AUT-UMS, VERISTAR-HULL, MON-SHAFT, INWATERSURVEY, GRAB[25],
CPS (WBT)
		
	Classification Society	  	BV (Bureau Veritas)
		
	Major Casualty Amount	  	$ 500,000
		
	Time Charter	  	Timer charter dated 26 March 2010 made between the Original Buyer and the Time Charterer for a period of 5+1+1 +1+1 years in Charterers’ option at a fixed
rate of $23,000 per day and a profit sharing 50/50 to $40,000 as novated by a novation agreement dated 26 March 2010 between the Original Buyer the Owner and the Time Charterer

  
 - 80 -

			
		
	Ship	  	C
		
	Description of Ship	  	206,000 dwt bulk carrier
		
	Original Buyer	  	Oceancentury Owners Limited (a company incorporated in Marshall Islands with registration number 39383)
		
	Owner	  	Oceancentury Owners Limited (as more fully described in part 1 (The Borrowers) of Schedule 1 (The Original Parties))
		
	Builder	  	Shanghai Jiangnan-Changxing Shipbuilding Company Limited
		
	Hull number	  	H1229
		
	Expected Delivery Date	  	31 January 2013
		
	Date and description of Shipbuilding Contract	  	Shipbuilding contract dated 4 March 2010 between the Original Buyer, the Builder and China Shipbuilding Trading Company Limited as amended by an addendum dated 4
March 2010 and as novated by a novation agreement dated 16 November 2010 between the Original Buyer, the Owner, the Builder and China Shipbuilding Trading Company Limited
		
	Contract Price	  	$ 68,100,000
		
	Total Estimated Price	  	$ 68,100,000
		
	Time Charterer	  	Classic Maritime Inc.
		
	Classification	  	I+HULL, +MACH, Bulk Carrier, CSR.BC-A (holds 2,4,6 and 8 may be empty), ESP, Unrestricted Navigation, +AUT-UMS, VERISTAR-HULL, MON-SHAFT, INWATERSURVEY, GRAB[25],
CPS (WBT)
		
	Classification Society	  	BV (Bureau Veritas)
		
	Major Casualty Amount	  	$ 500,000
		
	Time Charter	  	Timer charter dated 26 March 2010 made between the Original Buyer and the Time Charterer for a period of 7+1+1+1+1+1+1+1 years in Charterers’ option at a
fixed rate of $21,500 per day and a profit sharing 50/50 to $38,000 as novated by a novation agreement dated 26 March 2010 between the Original Buyer the Owner and the Time Charterer

  
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 Schedule 3 
 Conditions precedent 
 Part 1 

(referred to in clause 5.2 (Initial Conditions precedent) 

 

	1	Constitutional documents 

Copies, certified by the legal advisers of each Security Party as true, complete and up to date copies of all documents which contain or
establish or relate to the constitution of that Security Party; 
  

	2	Corporate authorisations 

copies of resolutions of the directors and, if required, shareholders of each Security Party approving such of the Underlying Documents
and the Finance Documents to which such Security Party is, or is to be, party and authorising the signature, delivery and performance of such Security Party’s obligations thereunder, certified (in a certificate dated no earlier than five
(5) Business Days prior to the date of this Agreement) by an officer of such Security Party as: 
  

	 	(a)	being true and correct; 

  

	 	(b)	being duly passed at meetings of the directors of such Security Party and, if required, of the shareholders of such Security Party each duly convened and held;

  

	 	(c)	not having been amended, modified or revoked; and 

  

	 	(d)	being in full force and effect, 

together with originals or certified copies of any powers of attorney issued by any such Security Party pursuant to such resolutions;

  

	3	Specimen signatures 

copies of the signatures of the persons who have been authorised on behalf of each Security Party to sign such of the Underlying Documents
and the Finance Documents to which such Security Party is, or is to be, party and to give notices and communications, including notices of drawing, under or in connection with the Finance Documents, certified (in a certificate dated no earlier than
five (5) Business Days prior to the date of this Agreement) by an officer of such Security Party as being the true signatures of such persons; 
  

	4	Certificates of incumbency 

a list of directors and officers of each Security Party (other than the Manager) specifying the names and positions of such persons,
certified (in a certificate dated no earlier than five (5) Business Days prior to the date of this Agreement) by an officer of such Security Party to be true, complete and up to date; 

 

	5	Borrowers’ consents and approvals 

 a certificate (dated no earlier than five (5) Business Days prior to the date of this Agreement) from an officer of each Borrower that no consents, authorisations, licences or approvals are necessary
for that Borrower to authorise or are required by that Borrower in connection with the borrowing by that Borrower of the Loan pursuant to this Agreement or the execution, delivery and performance of the Security Documents to which that Borrower is a
party; 

  
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	6	Other consents and approvals 

  

	 	(a)	a certificate (dated no earlier than five (5) Business Days prior to the date of this Agreement) from an officer of each Borrower confirming that borrowing or
guaranteeing or securing, as appropriate the Total Commitments would not cause any borrowing, guaranteeing or similar limit binding on any of them to be exceeded; 

 

	 	(b)	a certificate (dated no earlier than five (5) Business Days prior to the date of this Agreement) from an officer of each Security Party (other than the Borrowers
and the Manager) that no consents, authorisations, licences or approvals are necessary for such Security Party to guarantee and/or grant security for the borrowing by the Borrowers of the Total Commitment pursuant to this Agreement and execute,
deliver and perform the Finance Documents insofar as such Security Party is a party thereto; 

  

	 	(c)	a certificate of an authorised signatory of the relevant Security Party certifying that each copy document relating to it specified in this part of this Schedule is
correct, complete and in full force and effect as at a date no earlier than the date of this Agreement and that any such resolutions or power of attorney have not been revoked; 

 

	 	(d)	for any Security Party incorporated in Liberia or the Marshall Islands, a copy of a certificate of good standing of the relevant Security Party;

  

	 	(e)	a copy of any power of attorney under which any person is to execute any of the Finance Documents on behalf of any Security Party; 

 

	7	Security Documents 

  

	 	(a)	the Guarantee duly executed by the relevant parties; 

  

	 	(b)	the Letter of Comfort duly executed; 

  

	8	Legal opinions 

  

	 	(a)	an opinion of Seward & Kissel LLP, special legal advisers on matters of Marshall Islands law to the Facility Agent; 

 

	 	(b)	an opinion of Seward & Kissel LLP, special legal advisers on matters of Liberian law to the Facility Agent; 

 

	 	(c)	an opinion of Norton Rose LLP, on matters of English law to the Facility Agent; and 

 

	 	(d)	an opinion of Fenech & Fenech Advocates, on matters of Maltese law to the Facility Agent. 

 

	9	Borrowers’ process agent 

 a letter from the Borrowers’ agent for receipt of service of proceedings referred to in clause 24.2 (Submission to jurisdiction) accepting its appointment under the said clause;

  

	10	Guarantors’ process agent 

 a letter from the Guarantor’s agent for receipt of service of proceedings referred to in clause 9.2 (Submission to jurisdiction) of the Guarantee accepting its appointment under the said
clause; 
  

	11	Certified copies of the Underlying Documents 

 a copy, certified (in a certificate dated no earlier than five (5) Business Days prior to the date of this Agreement) as a true and complete copy by an officer or the legal advisor of each Borrower
of each of the Underlying Documents to which it is a party; 

  
 - 83 -

	12	KYC 

 such documentation
and other evidence as is requested by any Lender (through the Facility Agent) in order for such Lender to carry out and be satisfied with the results of ail necessary “know your client” or other checks which each such Lender is required to
carry out under any applicable law or legislation or by any regulatory or financial services authority (including in the European Union or the U.S.A.), in relation to the transactions contemplated by this Agreement and to the identity of any parties
to this Agreement (other than the Finance Parties) and their directors, officers, shareholders and ultimate beneficial owners; 
  

	13	Other documents and evidence 

 a copy of the SWIFT payment instruction or telegraphic transfer given by each Borrower to its bank to pay all fees, commissions, costs and expenses then due and payable from that Borrower pursuant to
clause 10 (Fees and expenses) and each Fee Letter. 

  
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 Part 2 
 Conditions precedent for a Ship Loan made in connection with a Delivery 

(referred to in clause 5.3 (Conditions precedent to a Ship Loan made in connection with a Delivery)) 

 

	1	Earlier conditions precedent 

 In relation to the relevant Security Party a certificate of an authorised signatory of that Security Party: 
  

	 	(a)	certifying that the relevant conditions precedent in Part 1 (Initial Conditions precedent) of this Schedule 3(Conditions precedent) remain satisfied;
and 

  

	 	(b)	confirming that no further consents or approvals are required by such Security Party in relation to the Finance Document to which it is a party or the Shipbuilding
Contract to which it is a party, 

  

	2	The Ships 

 In relation to
the relevant Ship: 
  

	 	(a)	a certified (by a Director or the legal advisor of the relevant Borrower) true copy of the builder’s certificate, bill of sale evidencing the relevant Contract
Price and protocol of delivery and acceptance, commercial invoices and any other delivery documents to be exchanged between the relevant Borrower and Seller in respect of the Ship on its Delivery, each duly executed and exchanged;

  

	 	(b)	evidence that the relevant Ship and its Earnings, Insurances and Requisition Compensation are free of Encumbrances; and 

 

	 	(c)	evidence that all amounts owing to the Seller under the relevant Shipbuilding Contract for the relevant Ship (including the full amount of the relevant Contract Price)
have been received by the Seller or will be paid in full upon drawdown of the relevant Ship Loan and that the Builder will not have any lien or other right to detain the relevant Ship on Delivery; 

evidence that such Ship: 
  

	 	(a)	is registered (whether provisionally or permanently) in the name of the relevant Owner through the relevant Registry as a ship under the laws and flag of the relevant
Flag State; 

  

	 	(b)	is delivered free and clear of any lien or other right to detain such Ship on its Delivery (in the form of a copy of the declaration of warranty of the Builder);

  

	 	(c)	is operationally seaworthy and in every way fit for service by providing the copy of the protocol of sea trial, protocol of dock trials and Builder’s certificate;

  

	 	(d)	is classed with the relevant Classification of the relevant Classification Society, provisional and interim certificates shall be acceptable evidence, provided that the
relevant Owner shall furnish to the Facility Agent the final certificates as soon as possible after such certificates have been issued, but not later than six (6) months from the date of delivery such Ship or two (2) months prior to the
expiration of each and any of the provisional and interim certificates, whichever occurs first; and 

  

	 	(e)	has been delivered, and accepted for service under the relevant Time Charter; 

  
 - 85 -

	3	Insurance 

 evidence that
such Ship’s Insurances have been placed in accordance with clause 5.1.1 (Insurance) of the relevant Deed of Covenant in the form of the following 
  

	 	(a)	confirmation from the P&l Club or other insurer with which such Ship is, or is to be, entered for insurance or insured against protection and indemnity risks
(including oil pollution); 

  

	 	(b)	a copy of the insurance opinion in form and substance satisfactory to the Facility Agent (as required by clause 5.1.1 (Insurance) of the relevant Deed of
Covenants); and 

  

	 	(c)	confirmation from the approved brokers and P&l association that the letters of undertaking will be issued promptly after the delivery of the relevant Ship in favour
of the Security Agent in standard form or as otherwise approved in relation to the Insurances. 

  

	4	Insurance opinion 

 an
opinion from insurance consultants to the Facility Agent at the cost of the relevant Borrower on the Insurances effected or to be effected in respect of such Ship upon and following the relevant Drawdown Date; 

 

	5	Accounts 

  

	 	(a)	evidence that the Operating Account has been opened; and 

  

	 	(b)	evidence that the Debt Service Account has been opened and an amount equal to the Debt Service Amount has been deposited to the Debt Service Account;

  

	6	ISM and ISPS Code 

 copies
of: 
  

	 	(a)	the document of compliance issued in accordance with the ISM Code to the person who is the operator of such Ship for the purposes of that code;

  

	 	(b)	the safety management certificate in respect of such Ship issued in accordance with the ISM Code (or evidence that the application for the same has been submitted to,
and accepted by, the relevant authority for its issuance); 

  

	 	(c)	the international ship security certificate in respect of such Ship issued under the ISPS Code (or evidence that the application for the same has been submitted to, and
accepted by, the relevant authority for its issuance); and 

  

	 	(d)	if so requested by the Facility Agent, any other certificates issued under any applicable code required to be observed by such Ship or in relation to its operation
which is mandatory under any applicable law; 

  

	7	Construction matters 

  

	 	(a)	for each Ship, a copy, certified by the legal advisor of the relevant Owner to be a true and complete copy, of the relevant Shipbuilding Contract;

  

	 	(b)	in relation to the relevant Shipbuilding Contract: 

  

	 	(i)	confirmation from the relevant Owner that prior instalments under the relevant Shipbuilding Contract have been paid to the Builder; and 

 

	 	(ii)	 a copy of each SWIFT payment instruction or telegraphic transfer to the Builder in relation to each pre-delivery instalment of the relevant Contract
Price required to 

  
 - 86 -

	 	
have been paid by the relevant Owner under the terms of the relevant Shipbuilding Contract and a copy of each invoice and other documents provided by the Builder to request payment of such
instalment; and 

  

	 	(c)	evidence satisfactory to the Facility Agent that if applicable any authorisations required from any government entity for the export of such Ship by the Builder have
been obtained or that no such authorisations are required. 

  

	8	Security Documents 

  

	 	(a)	a Shipbuilding Contract Assignment in relation to each Ship duly executed and delivered by the relevant parties; 

 

	 	(b)	a Pledge Of Shares in relation to each Owner duly executed and delivered by the relevant parties; 

 

	 	(c)	the relevant General Assignment duly executed and delivered; 

  

	 	(d)	the relevant Charterer Subordination Deed duly executed and delivered; 

  

	 	(e)	the relevant Manager’s Undertaking in respect of such Ship duly executed; 

 

	 	(f)	a Subordination Deed in relation to each Borrower duly executed and delivered by the relevant parties; 

 

	 	(g)	the relevant Charter Assignment duly executed and delivered; 

  

	 	(h)	the Charge Over Debt Service Account in relation to each Borrower duly executed and delivered; and 

 

	 	(i)	the Charge Over Operating Account in relation to each Borrower duly executed and delivered; 

 

	 	(j)	the relevant Mortgage and the relevant Deed of Covenant in respect of such Ship duly executed and delivered; 

 

	 	(k)	evidence that the relevant Mortgage will upon Delivery, or as soon as practicable thereafter, be registered against such Ship through the Registry under the laws of the
Flag State; and 

  

	 	(l)	duly executed notices of assignment and acknowledgement of those notices as required by the relevant Security Document. 

 

	9	Evidence of release 

Either 
  

	 	(a)	a certificate from the Borrowers confirming that no Encumbrances have been created over the rights, title and interests that are the subject of any Security Document
existing prior to the relevant Drawdown Date; or 

  

	 	(b)	evidence that all Encumbrances over the rights, title and interests that are the subject of any Security Document existing prior to the relevant Drawdown Date have been
discharged; 

  

	10	SINOSURE 

  

	 	(a)	 the SINOSURE Policy in relation to each Borrower, in terms satisfactory to the Lenders, duly issued by SINOSURE and all conditions precedent to the
effectiveness thereof (other than the condition requiring payment of the SINOSURE Premium in full) have been satisfied and copies of any Authorisations required under the laws of the People’s Republic of China in respect of such issue; and

  
 - 87 -

	 	(b)	evidence that the SINOSURE Premium has been paid and received by SINOSURE; 

 

	11	Valuation 

 a valuation of
such Ship prepared in accordance with the provisions of clause 13.2.2 (Valuation of Mortgaged Ships) expressed in Dollars and showing a valuation of an amount acceptable to the Facility Agent; 

 

	12	Registration forms 

 such
statutory forms duly signed by the relevant Borrower and the other Security Parties as may be required by the Facility Agent to perfect the security contemplated by the relevant Security Documents; 

 

	13	Security Parties’ process agents 

 a letter from each of the Security Parties’ agent for receipt of service of proceedings referred to in each Finance Document to which such Security Party is a party and accepting or to accept its
appointment thereunder; 
  

	14	Financial information 

  

	 	(a)	the audited consolidated financial statements of the Group, and the audited financial statements of each Borrower and each Guarantor, each of the latest financial
statements required to be delivered pursuant to clause 13.1.5 (Financial Statements); and 

  

	 	(b)	a cash flow budget for each Borrower in form and substance satisfactory to the Facility Agent; 

 

	15	Legal opinions 

  

	 	(a)	an opinion of Seward & Kissel LLP, special legal advisers on matters of Marshall Islands law to the Facility Agent; 

 

	 	(b)	an opinion of Seward & Kissel LLP, special legal advisers on matters of Liberian law to the Facility Agent; 

 

	 	(c)	an opinion of Norton Rose LLP, on matters of English law to the Facility Agent; 

 

	 	(d)	an opinion of Fenech & Fenech Advocates, on matters of Maltese law to the Facility Agent; and 

 

	 	(e)	an opinion of Norton Rose LLP, on matters of Greek law to the Facility Agent. 

 

	16	Fees and expenses 

evidence that the fees, commissions, cost and expenses that are due from the relevant Borrower pursuant to clause 10 (Fees and
expenses) and each Fee Letter have been paid or will be paid by the relevant Drawdown Date; and 
  

	17	Further conditions precedent 

 such further conditions precedent as the Facility Agent may reasonably require. 

  
 - 88 -

 Part 3 
 Conditions precedent to a Ship Loan made after a Delivery 
 (referred to in
clause 5.4 (Conditions precedent to a Ship Loan made after a Delivery) 
  

	1	Earlier conditions precedent 

 In relation to the relevant Security Party a certificate of an authorised signatory of that Security Party: 
  

	 	(a)	certifying that the relevant conditions precedent in Part 1 (Initial Conditions precedent) of this Schedule 3 (Conditions precedent) remain satisfied; and

  

	 	(b)	confirming that no further consents or approvals are required by such Security Party in relation to the Finance Document to which it is a party;

  

	2	The Ships 

 In relation to
the relevant Ship: 
  

	 	(a)	evidence that the Ship is (whether provisionally or permanently) registered in the name of the relevant Owner at the Registry of the Flag State;

  

	 	(b)	evidence that the relevant Mortgage is registered against such Ship through the Registry under the laws of the Flag State; and 

 

	 	(c)	evidence that the Ship: 

  

	 	(i)	is classed with the relevant Classification of the relevant Classification Society, provisional and interim certificates shall be acceptable evidence, provided that the
relevant Owner shall furnish to the Facility Agent the final certificates as soon as possible after such certificates have been issued, but not later than six (6) months from the date of delivery such Ship or two (2) months prior to the
expiration of each and any of the provisional and interim certificates, whichever occurs first; and 

  

	 	(ii)	has been delivered, and accepted for service under the relevant Time Charter; 

 

	3	Security Documents 

  

	 	(a)	a Shipbuilding Contract Assignment in relation to each Ship duly executed and delivered by the relevant parties; 

 

	 	(b)	the relevant Mortgage and the relevant Deed of Covenant in respect of such Ship duly executed and delivered; 

 

	 	(c)	a Pledge Of Shares in relation to each Owner duly executed and delivered by the relevant parties; 

 

	 	(d)	the relevant General Assignment duly executed and delivered; 

  

	 	(e)	duly executed notices of assignment and acknowledgement of those notices as required by the relevant Security Document; 

 

	 	(f)	the relevant Charterer Subordination Deed duly executed and delivered; 

  
 - 89 -

	 	(g)	the relevant Manager’s Undertaking in respect of such Ship duly executed; 

 

	 	(h)	a Subordination Deed in relation to each Borrower duly executed and delivered by the relevant parties; 

 

	 	(i)	the relevant Charter Assignment duly executed and delivered; 

  

	 	(k)	the Charge Over Debt Service Account in relation to each Borrower duly executed and delivered; and 

 

	 	(l)	the Charge Over Operating Account in relation to each Borrower duly executed and delivered. 

 

	4	Evidence of release 

Either 
  

	 	(a)	a certificate from the Borrowers confirming that no Encumbrances have been created over the rights, title and interests that are the subject of any Security Document
existing prior to the relevant Drawdown Date; or 

  

	 	(b)	evidence that all Encumbrances over the rights, title and interests that are the subject of any Security Document existing prior to the relevant Drawdown Date have been
discharged; 

  

	5	Insurance 

 evidence that
such Ship’s Insurances have been placed in accordance with clause 5.1.1 (Insurance) of the relevant Deed of Covenant in the form of the following 
  

	 	(a)	confirmation from the P&l Club or other insurer with which such Ship is, or is to be, entered for insurance or insured against protection and indemnity risks
(including oil pollution); 

  

	 	(b)	a copy of the insurance opinion in form and substance satisfactory to the Facility Agent (as required by clause 5.1.1 (Insurance) of the relevant Deed of Covenants);
and 

  

	 	(c)	confirmation from the approved brokers and P&l association that the letters of undertaking will be issued promptly after the delivery of the relevant Ship in favour
of the Security Agent in standard form or as otherwise approved in relation to the Insurances. 

  

	6	Insurance opinion 

 an
opinion from insurance consultants to the Facility Agent at the cost of the relevant Borrower on the Insurances effected or to be effected in respect of such Ship upon and following the relevant Drawdown Date; 

 

	7	Accounts 

  

	 	(a)	evidence that the Operating Account has been opened; and 

  

	 	(b)	evidence that the Debt Service Account has been opened and an amount equal to the Debt Service Amount has been deposited to the Debt Service Account;

  

	8	ISM and ISPS Code 

 copies
of: 
  

	 	(a)	the document of compliance issued in accordance with the ISM Code to the person who is the operator of such Ship for the purposes of that code;

  
 - 90 -

	 	(b)	the safety management certificate in respect of such Ship issued in accordance with the ISM Code; 

 

	 	(c)	the international ship security certificate in respect of such Ship issued under the ISPS Code; and 

 

	 	(d)	if so requested by the Facility Agent, any other certificates issued under any applicable code required to be observed by such Ship or in relation to its operation
which is mandatory under any applicable law; 

  

	9	SINOSURE 

  

	 	(a)	the SINOSURE Policy in relation to each Borrower, in terms satisfactory to the Lenders, duly issued by SINOSURE and all conditions precedent to the effectiveness
thereof (other than the condition requiring payment of the SINOSURE Premium in full) have been satisfied and copies of any Authorisations required under the laws of the People’s Republic of China in respect of such issue; and

  

	 	(b)	evidence that the SINOSURE Premium has been paid and received by SINOSURE; 

 

	10	Legal opinions 

  

	 	(a)	an opinion of Seward & Kissel LLP, special legal advisers on matters of Marshall Islands law to the Facility Agent; 

 

	 	(b)	an opinion of Seward & Kissel LLP, special legal advisers on matters of Liberian law to the Facility Agent; 

 

	 	(c)	an opinion of Norton Rose LLP, on matters of English law to the Facility Agent; 

 

	 	(a)	an opinion of Fenech & Fenech Advocates, on matters of Maltese law to the Facility Agent; and 

 

	 	(b)	an opinion of Norton Rose LLP, on matters of Greek law to the Facility Agent. 

 

	11	Financial information 

  

	 	(a)	the audited consolidated financial statements of the Group, and the audited financial statements of each Borrower and each Guarantor, each of the latest financial
statements required to be delivered pursuant to clause 13.1.5 (Financial Statements); and 

  

	 	(b)	a cash flow budget for each Borrower in form and substance satisfactory to the Facility Agent; 

 

	12	Valuation 

 a valuation of
such Ship prepared in accordance with the provisions of clause 13.2.2 (Valuation of Mortgaged Ships) expressed in Dollars and showing a valuation of an amount acceptable to the Facility Agent; 

 

	13	Registration forms 

 such
statutory forms duly signed by the relevant Borrower and the other Security Parties as may be required by the Facility Agent to perfect the security contemplated by the relevant Security Documents; 

  
 - 91 -

	14	Security Parties’ process agents 

 a letter from each of the Security Parties’ agent for receipt of service of proceedings referred to in each Finance Document to which such Security Party is a party and accepting its appointment
thereunder; 
  

	15	Fees and expenses 

evidence that the fees, commissions, cost and expenses that are due from the relevant Borrower pursuant to clause 10 (Fees and expenses)
and each Fee Letter have been paid or will be paid by the relevant Drawdown Date; 
  

	16	Others 

 Other conditions
precedent as the Facility Agent may reasonably require. 

  
 - 92 -

 Schedule 4 
 Repayment Schedules 
 H1227 

 

							
	 

	  	 

	  	

(1227)	 
	 1
	  	 the date falling three (3) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	45	  
	 2
	  	 the date falling six (6) months after the first Drawdown Date in relation to the Ship Loan in respect of H1227
	  	 	43	  
	 3
	  	 the date falling nine (9) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	41	  
	 4
	  	 the date falling twelve (12) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 5
	  	 the date falling fifteen (15) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 6
	  	 the date falling eighteen (18) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	37	  
	 7
	  	 the date falling twenty one (21) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	37	  
	 8
	  	 the date falling twenty four (24) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	37	  
	 9
	  	 the date falling twenty seven (27) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	38	  
	 10
	  	 the date falling thirty (30) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	38	  
	 11
	  	 the date falling thirty three (33) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	38	  
	 12
	  	 the date falling thirty six (36) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	38	  
	 13
	  	 the date falling thirty nine (39) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	38	  
	 14
	  	 the date falling forty two (42) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 15
	  	 the date falling forty five (45) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 16
	  	 the date falling forty eight (48) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 17
	  	 the date falling fifty one (51) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 18
	  	 the date falling fifty four (54) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	39	  
	 19
	  	 the date falling fifty seven (57) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	40	  
	 20
	  	 the date falling sixty (60) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	40	  
	 21
	  	 the date falling sixty three (63) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	40	  
	 22
	  	 the date falling sixty six (66) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	40	  
	 23
	  	 the date falling sixty nine (69) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	41	  
	 24
	  	 the date falling seventy two (72) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	41	  
	 25
	  	 the date falling seventy five (75) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	41	  

  
 - 93 -

							
	 

	  	 

	  	

(1227)	 
	 26
	  	 the date falling seventy eight (78) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	41	  
	 27
	  	 the date falling eighty one (81) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	41	  
	 28
	  	 the date falling eighty four (84) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	42	  
	 29
	  	 the date falling eighty seven (87) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	42	  
	 30
	  	 the date falling ninety (90) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	42	  
	 31
	  	 the date falling ninety three (93) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	42	  
	 32
	  	 the date falling ninety six (96) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	43	  
	 33
	  	 the date falling ninety nine (99) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	146	  
	 34
	  	 the date falling one hundred and two (102) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	149	  
	 35
	  	 the date falling one hundred and five (105) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	153	  
	 36
	  	 the date falling one hundred and eight (108) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	157	  
	 37
	  	 the date falling one hundred and eleven (111) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	161	  
	 38
	  	 the date falling one hundred and fourteen (114) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1227
	  	 	165	  
	 39
	  	 the date falling one hundred and seventeen (117) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1227
	  	 	169	  
	 40
	  	 the date falling one hundred and twenty (120) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1227
	  	 	174	  
	 41
	  	 the date falling one hundred and twenty three (123) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1227
	  	 	178	  
	 42
	  	 the date falling one hundred and twenty six (126) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1227
	  	 	183	  
	 43
	  	 the date falling one hundred and twenty nine (129) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1227
	  	 	187	  
	 44
	  	 the date falling one hundred and thirty two (132) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1227
	  	 	192	  
	 45
	  	 the date falling one hundred and thirty five (135) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1227
	  	 	196	  
	 46
	  	 the date falling one hundred and thirty eight (138) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1227
	  	 	201	  
	 47
	  	 the date falling one hundred and forty one (141) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1227
	  	 	206	  
	 48
	  	 the date falling one hundred and forty four (144) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1227
	  	 	190	  

  
 - 94 -

 H1228 

 

							
	 

	  	 

	  	

(1228)	 
	 1
	  	 the date falling three (3) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	51	  
	 2
	  	 the date falling six (6) months after the first Drawdown Date in relation to the Ship Loan in respect of H1228
	  	 	49	  
	 3
	  	 the date falling nine (9) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	49	  
	 4
	  	 the date falling twelve (12) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	47	  
	 5
	  	 the date falling fifteen (15) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	48	  
	 6
	  	 the date falling eighteen (18) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	49	  
	 7
	  	 the date falling twenty one (21) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	50	  
	 8
	  	 the date falling twenty four (24) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	52	  
	 9
	  	 the date falling twenty seven (27) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	53	  
	 10
	  	 the date falling thirty (30) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	54	  
	 11
	  	 the date falling thirty three (33) months after the first Drawdown Date
	  	 	55	  
	 12
	  	 the date falling thirty six (36) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	56	  
	 13
	  	 the date falling thirty nine (39) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	58	  
	 14
	  	 the date falling forty two (42) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	59	  
	 15
	  	 the date falling forty five (45) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	60	  
	 16
	  	 the date falling forty eight (48) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	62	  
	 17
	  	 the date falling fifty one (51) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	63	  
	 18
	  	 the date falling fifty four (54) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	64	  
	 19
	  	 the date falling fifty seven (57) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	66	  
	 20
	  	 the date falling sixty (60) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	67	  
	 21
	  	 the date failing sixty three (63) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	69	  
	 22
	  	 the date falling sixty six (66) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	70	  
	 23
	  	 the date falling sixty nine (69) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	72	  
	 24
	  	 the date falling seventy two (72) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	73	  
	 25
	  	 the date falling seventy five (75) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	75	  
	 26
	  	 the date falling seventy eight (78) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	75	  
	 27
	  	 the date falling eighty one (81) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	76	  

  
 - 95 -

							
	 

	  	 

	  	

(1228)	 
	 28
	  	 the date falling eighty four (84) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	77	  
	 29
	  	 the date failing eighty seven (87) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	78	  
	 30
	  	 the date falling ninety (90) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	79	  
	 31
	  	 the date falling ninety three (93) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	80	  
	 32
	  	 the date falling ninety six (96) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	80	  
	 33
	  	 the date falling ninety nine (99) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	81	  
	 34
	  	 the date falling one hundred and two (102) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	82	  
	 35
	  	 the date falling one hundred and five (105) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	83	  
	 36
	  	 the date falling one hundred and eight (108) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	84	  
	 37
	  	 the date falling one hundred and eleven (111) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	85	  
	 38
	  	 the date falling one hundred and fourteen (114) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1228
	  	 	86	  
	 39
	  	 the date falling one hundred and seventeen (117) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1228
	  	 	87	  
	 40
	  	 the date falling one hundred and twenty (120) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1228
	  	 	88	  
	 41
	  	 the date falling one hundred and twenty three (123) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1228
	  	 	168	  
	 42
	  	 the date falling one hundred and twenty six (126) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1228
	  	 	172	  
	 43
	  	 the date falling one hundred and twenty nine (129) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1228
	  	 	176	  
	 44
	  	 the date falling one hundred and thirty two (132) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1228
	  	 	180	  
	 45
	  	 the date falling one hundred and thirty five (135) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1228
	  	 	185	  
	 46
	  	 the date falling one hundred and thirty eight (138) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1228
	  	 	189	  
	 47
	  	 the date falling one hundred and forty one (141) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1228
	  	 	192	  
	 48
	  	 the date falling one hundred and forty four (144) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1228
	  	 	132	  

  
 - 96 -

 H1229 

 

							
	 

	  	 

	  	

(1229)	 
	 1
	  	 the date falling three (3) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	60	  
	 2
	  	 the date falling six (6) months after the first Drawdown Date in relation to the Ship Loan in respect of H1229
	  	 	61	  
	 3
	  	 the date falling nine (9) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	59	  
	 4
	  	 the date falling twelve (12) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	60	  
	 5
	  	 the date falling fifteen (15) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	61	  
	 6
	  	 the date failing eighteen (18) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	63	  
	 7
	  	 the date falling twenty one (21) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	64	  
	 8
	  	 the date falling twenty four (24) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	66	  
	 9
	  	 the date falling twenty seven (27) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	67	  
	 10
	  	 the date falling thirty (30) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	69	  
	 11
	  	 the date falling thirty three (33) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	70	  
	 12
	  	 the date falling thirty six (36) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	72	  
	 13
	  	 the date falling thirty nine (39) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	73	  
	 14
	  	 the date falling forty two (42) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	75	  
	 15
	  	 the date failing forty five (45) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	76	  
	 16
	  	 the date falling forty eight (48) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	78	  
	 17
	  	 the date falling fifty one (51) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	80	  
	 18
	  	 the date falling fifty four (54) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	81	  
	 19
	  	 the date falling fifty seven (57) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	81	  
	 20
	  	 the date failing sixty (60) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	82	  
	 21
	  	 the date falling sixty three (63) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	83	  
	 22
	  	 the date falling sixty six (66) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	84	  
	 23
	  	 the date falling sixty nine (69) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	85	  
	 24
	  	 the date falling seventy two (72) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	86	  
	 25
	  	 the date falling seventy five (75) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	87	  
	 26
	  	 the date falling seventy eight (78) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	88	  
	 27
	  	 the date falling eighty one (81) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	89	  

  
 - 97 -

							
	 

	  	 

	  	

(1229)	 
	 28
	  	 the date falling eighty four (84) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	90	  
	 29
	  	 the date falling eighty seven (87) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	91	  
	 30
	  	 the date falling ninety (90) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	92	  
	 31
	  	 the date failing ninety three (93) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	93	  
	 32
	  	 the date falling ninety six (96) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	94	  
	 33
	  	 the date falling ninety nine (99) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	95	  
	 34
	  	 the date falling one hundred and two (102) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	96	  
	 35
	  	 the date falling one hundred and five (105) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	97	  
	 36
	  	 the date falling one hundred and eight (108) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	98	  
	 37
	  	 the date failing one hundred and eleven (111) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	99	  
	 38
	  	 the date falling one hundred and fourteen (114) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1229
	  	 	100	  
	 39
	  	 the date falling one hundred and seventeen (117) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1229
	  	 	101	  
	 40
	  	 the date falling one hundred and twenty (120) months after the first Drawdown Date in relation to the Ship Loan in respect of
H1229
	  	 	102	  
	 41
	  	 the date falling one hundred and twenty three (123) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1229
	  	 	103	  
	 42
	  	 the date falling one hundred and twenty six (126) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1229
	  	 	104	  
	 43
	  	 the date falling one hundred and twenty nine (129) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1229
	  	 	105	  
	 44
	  	 the date falling one hundred and thirty two (132) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1229
	  	 	107	  
	 45
	  	 the date falling one hundred and thirty five (135) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1229
	  	 	108	  
	 46
	  	 the date falling one hundred and thirty eight (138) months after the first Drawdown Date in relation to the Ship Loan in
respect of H1229
	  	 	109	  
	 47
	  	 the date falling one hundred and forty one (141) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1229
	  	 	110	  
	 48
	  	 the date falling one hundred and forty four (144) months after the first Drawdown Date in relation to the Ship Loan in respect
of H1229
	  	 	92	  

  
 - 98 -

 Schedule 5 
 Approved Shipbrokers 
 H. Clarkson &Co. Ltd of London 

Arrow Research of London 
 Allied Shipbrokers
Inc. 
 Associated Shipbrokers of Monaco 

Fearnleys A/S of Oslo 
 RS Platou Shipbrokers of
Oslo 

  
 - 99 -

 Schedule 6 
 Form of Drawdown Notice 
  

	To:	China Development Bank Corporation 

 [—] 
 (as Facility Agent)

 [—] 
 Buyer Credit Agreement dated [—] 2012 
 We refer to the above Loan Agreement and hereby give you notice that we wish to draw down a Ship Loan namely $[—] on
[—]. 
 The first Interest Period in respect thereof is to begin on [—] and expire on [—]. 
 The funds should be
credited to: 
 (a) — 
 (b) — 
 (c) [the Repayment Account][an
account as directed by China Development Bank Corporation] [and we irrevocably authorise you to transfer such funds immediately from the Repayment Account to the following account of the Builder [insert account details].] 

We confirm that: 
  

	(a)	no event or circumstance has occurred and is continuing which constitutes a Default; 

 

	(b)	the representations and warranties contained in (i) clauses 12.1 (Continuing representations and warranties), 12.2 (Initial representations and
warranties) and 12.3.4 (Repetition of representations and warranties) of the Loan Agreement and (ii) clause 4 of each Guarantee, are true and correct at the date hereof as if made with respect to the facts and circumstances existing
at such date; 

  

	(c)	the borrowing to be effected by the drawdown of the relevant Ship Commitment will be within our corporate powers, has been validly authorised by appropriate corporate
action and will not cause any limit on our borrowings (whether imposed by statute, regulation, agreement or otherwise) to be exceeded; and 

  

	(d)	there has been no material adverse change: 

  

	 	(i)	in the business, assets, properties, operations, prospects, performance, condition or the financial position of any Borrower from that described by such Borrower or any
other Security Party to the Facility Agent and/or the Arrangers in the negotiation of this Agreement; or 

  

	 	(ii)	in the business, assets, properties, operations, prospects, performance, condition or the consolidated financial position of the Group or the financial position of the
Manager, from that set forth in the annual audited consolidated financial statements of the Group for the financial year ended 31 December 2010; or 

  

	 	(iii)	in the ability of any Borrower, any of the Guarantors, the Manager or any other Security Party to comply with any of their respective obligations under the Finance
Documents or any of them; or 

  
 - 100 -

	 	(iv)	in the legality, validity or enforceability of any of the Finance Documents or any of the rights or remedies of the Finance Parties or any of them thereunder.

 Words and expressions defined in the Loan Agreement shall have the same meanings where used herein. 

 

	
	
	  

	For and on behalf of

 [—] 

  
 - 101 -

 Schedule 7 
 Form of Transfer Certificate 
 Lenders are advised not to employ Transfer Certificates
or otherwise to assign or transfer interests in the Loan Agreement without further ensuring that the transaction complies with ail applicable laws and regulations, including the Financial Services and Markets Act 2000 and regulations made thereunder
and similar statutes which may be in force in other jurisdictions 
  

	To:	CHINA DEVELOPMENT BANK CORPORATION as agent on its own behalf and on behalf of the Borrowers, the Lenders, the Arrangers and the Security Agent defined in the Loan
Agreement referred to below. 

 Date 
 Attention: [—] 
 This certificate (Transfer
Certificate) relates to a loan agreement dated [—] 2012 (the Loan Agreement) and made between (1) the companies defined therein as borrowers (the Borrowers), (2) the banks
and financial institutions defined therein as original lenders (the Original Lenders) and (3) China Development Bank Corporation as Facility Agent, Mandated Lead Arranger and Security Agent and Bank of China Limited as Coordinating
Mandated Lead Arranger, in relation to a buyer credit facility of up to eighty one million, seven hundred and twenty thousand Dollars ($81,720,000). Terms defined in the Loan Agreement shall, unless otherwise defined herein, have the same meanings
herein as therein. 
 In this Certificate: 
 the Transferor means [full name] of [lending office]; and 
 the Transferee
means [full name] of [lending office]. 
  

	1	The Transferor with full title guarantee assigns to the Transferee absolutely all rights and interests (present, future or contingent) which the Transferor has as a
Lender under or by virtue of the Loan Agreement and all the Finance Documents in relation to [    ] per centum ([    ]%) of the [Contribution] [Commitment] of the Transferor (or its predecessors in title)
details of which are set out below: 

  

							
	 Date of Loan
	  	Amount of Loan	  	Transferor’s
[Contribution]
[Commitment]
to Loan	  	Maturity Date
		  		  		  	
		  		  		  	
		  		  		  	

  

	2	By virtue of this Transfer Certificate and clause 20 (Changes to Parties) of the Loan Agreement, the Transferor is discharged entirely from its [Commitment]
[Contribution] which amounts to $ [        ] from [        ] per centum ([    ] %) of its [Commitment] [Contribution], which percentage represents $
[        ]. 

  

	3	The Transferee hereby requests the Facility Agent (on behalf of itself, the Borrowers, the Arrangers, the Security Agent and the Lenders) to accept the executed copies
of this Transfer Certificate as being delivered pursuant to and for the purposes of clause 20.3 (Transfer by Lenders) of the Loan Agreement so as to take effect in accordance with the terms thereof on date of transfer.

  
 - 102 -

	4	The Transferee: 

  

	4.1	confirms that it has received a copy of the Loan Agreement and the other Finance Documents together with such other documents and information as it has required in
connection with the transaction contemplated thereby; 

  

	4.2	confirms that it has not relied and will not hereafter rely on the Transferor, the Facility Agent, the Arrangers, the Security Agent or the Lenders to check or enquire
on its behalf into the legality, validity, effectiveness, adequacy, accuracy or completeness of the Loan Agreement, any of the Finance Documents or any such documents or information; 

 

	4.3	agrees that it has not relied and will not rely on the Transferor, the Facility Agent, the Arrangers, the Security Agent or the Lenders to assess or keep under review
on its behalf the financial condition, creditworthiness, condition, affairs, status or nature of the Borrowers, or any other Security Party (save as otherwise expressly provided therein); 

 

	4.4	warrants that it has power and authority to become a party to the Loan Agreement and has taken all necessary action to authorise execution of this Transfer Certificate
and to obtain all necessary approvals and consents to the assumption of its obligations under the Loan Agreement and the Finance Documents; and 

  

	4.5	if not already a Lender, appoints (i) the Facility Agent to act as its agent and (ii) the Security Agent as its security agent, and trustee as provided in the
Loan Agreement and the Finance Documents and agrees to be bound by the terms of the Loan Agreement and the Finance Documents. 

  

	5	The Transferor: 

  

	5.1	warrants to the Transferee that it has full power to enter into this Transfer Certificate and has taken all corporate action necessary to authorise it to do so;

  

	5.2	warrants to the Transferee that this Transfer Certificate is binding on the Transferor under the laws of England, the country in which the Transferor is incorporated
and the country in which its lending office is located; and 

  

	5.3	agrees that it will, at its own expense, execute any documents which the Transferee reasonably requests for perfecting in any relevant jurisdiction the
Transferee’s title under this Transfer Certificate or for a similar purpose. 

  

	6	The Transferee hereby undertakes with the Transferor and each of the other parties to the Loan Agreement and the other Finance Documents that it will perform in
accordance with its terms all those obligations which by the terms of the Loan Agreement and the other Finance Documents will be assumed by it after delivery of the executed copies of this Transfer Certificate to the Facility Agent and satisfaction
of the conditions (if any) subject to which this Transfer Certificate is expressed to take effect. 

  

	7	By execution of this Transfer Certificate on their behalf by the Facility Agent and in reliance upon the representations and warranties of the Transferee, the
Borrowers, the Facility Agent, the Arrangers, the Security Agent and the Lenders accept the Transferee as a party to the Loan Agreement as a Lender and Arrangers and the Finance Documents with respect to all those rights and/or obligations which by
the terms of the Loan Agreement and the Finance Documents will be assumed by the Transferee (including those about pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, the Arrangers, the Facility Agent and the
Security Agent as provided by the Loan Agreement) after delivery of the executed copies of this Transfer Certificate to the Facility Agent and satisfaction of the conditions (if any) subject to which this Transfer Certificate is expressed to take
effect. 

  
 - 103 -

	8	None of the Transferor, the Facility Agent, the Arrangers, the Security Agent or the Lenders: 

 

	8.1	makes any representation or warranty nor assumes any responsibility with respect to the legality, validity, effectiveness, adequacy or enforceability of the Loan
Agreement or any of the Finance Documents or any document relating thereto; or 

  

	8.2	assumes any responsibility for the financial condition of any Borrower or any other Security Party or any party to any such other document or for the performance and
observance by any Borrower or any other Security Party or any party to any such other document (save as otherwise expressly provided therein) and any and all such conditions and warranties, whether express or implied by law or otherwise, are hereby
excluded (except as aforesaid). 

  

	9	The Transferor and the Transferee each undertake that they will on demand fully indemnify the Facility Agent in respect of any claim, proceeding, liability or expense
which relates to or results from this Transfer Certificate or any matter concerned with or arising out of it unless caused by the Facility Agent’s gross negligence or wilful misconduct, as the case may be. 

 

	10	The agreements and undertakings of the Transferee in this Transfer Certificate are given to and for the benefit of and made with each of the other parties to the Loan
Agreement and the Finance Documents. 

  

	11	This Transfer Certificate shall be governed by, and shall be construed in accordance with, English law. 

 

									
	Transferor	 		 	Transferee
					
	By:	 	  
	 		 	By:	 	  

			
	Dated:	 		 	Dated:
	  
	 		 	  

 Facility Agent 
 Agreed for and on behalf of itself as Facility Agent, the Arrangers, the Borrowers, the Security Agent and the Lenders 
  

			
	CHINA DEVELOPMENT BANK CORPORATION
		
	By:	 	  

		
	Dated:	 	  

 Note: The execution of this Transfer Certificate alone may not transfer a proportionate share of the
Transferor’s interest in the security constituted by the Finance Documents in the Transferor’s or Transferee’s jurisdiction. It is the responsibility of the Transferee to ascertain whether any other documents are required to perfect a
transfer of such a share in the Transferor’s interest in such security in any such jurisdiction and, if so, to seek appropriate advice and arrange for execution of the same. 

  
 - 104 -

 The Schedule 
 Outstanding Contribution: $[—] 
 Commitment: $[—] 
 Portion Transferred: [—]% 

Administrative Details of Transferee 

Name of Transferee: 
 Lending Office: 

Contact Person 
 (Loan Administration
Department): 
 Telephone: 
 Telefax No:

 Contact Person 
 (Credit
Administration Department): 
 Telephone: 
 Telefax No: 
 Account for payments: 

  
 - 105 -

 Schedule 8 
 Form of Guarantee 

  
 - 106 -

			
	Private & Confidential	  	Execution Version

 Dated
                     2012 
 DRYSHIPS INC. 
 CARDIFF MARINE INC. 

as Guarantors 
 and 
 CHINA DEVELOPMENT BANK CORPORATION 

as Security Agent 
  

 
 CORPORATE
GUARANTEE 
 in relation to Loan Agreement of up to 

US$122,580,000 
  

 

 Contents 

 

							
	Clause	  	Page	 
			
	 1
	  	 Interpretation
	  	 	1	  
			
	 2
	  	 Guarantee
	  	 	2	  
			
	 3
	  	 Payments and Taxes
	  	 	5	  
			
	 4
	  	 Representations and warranties
	  	 	6	  
			
	 5
	  	 Undertakings
	  	 	9	  
			
	 6
	  	 Set-off
	  	 	13	  
			
	 7
	  	 Benefit of this Guarantee
	  	 	14	  
			
	 8
	  	 Notices and other matters
	  	 	14	  
			
	 9
	  	 Law and jurisdiction
	  	 	16	  
		
	 Schedule 1 Form of Compliance Certificate
	  	 	17	  

 THIS GUARANTEE is dated
                     2012 and made BETWEEN: 
  

	(1)	DRYSHIPS INC., a Marshall Islands corporation with registration number 11911 and its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island,
Majuro, Marshall Islands MH96960 (Dryships); and 

  

	(2)	CARDIFF MARINE INC., a Liberian corporation with registration number 65901 having its registered office at 80 Broad Street, Monrovia, Republic of Liberia
(Cardiff), 

 jointly and severally (together the Guarantors and each a Guarantor); in favour
of 
  

	(3)	CHINA DEVELOPMENT BANK CORPORATION as security agent and trustee for and on behalf of the Finance Parties (as defined below) (the Security Agent).

 WHEREAS: 
  

	(A)	by a loan agreement dated                      2012 (the Loan
Agreement) and made between (1) Oceanview Owners Limited, Oceansurf Owners Limited and Oceancentury Owners Limited as joint and several borrowers (therein and herein referred to as the Borrowers), (2) China Development Bank
Corporation as mandated lead arranger, facility agent (in such capacity the Facility Agent) and Security Agent and Bank of China Limited as coordinating mandated lead arranger and (3) the financial institutions referred to in part 2 of
Schedule 1 thereto as original lenders (the Lenders), the lenders agreed (inter alia) to make available to the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and
twenty two million and five hundred and eighty thousand Dollars ($122,580,000); and 

  

	(B)	the execution and delivery of this Guarantee (referred to as the Guarantee in the Loan Agreement) is one of the conditions precedent to any Lender making its Commitment
available under the Loan Agreement. 

 IT IS AGREED as follows: 

 

	1	Interpretation 

  

	1.1	Defined expressions 

 In
this Guarantee, unless the context otherwise requires or unless otherwise defined in this Guarantee, words and expressions defined in the Loan Agreement and used in this Guarantee shall have the same meanings where used in this Guarantee. Each of
the Guarantors acknowledges and confirms that it has received a copy of each of the Finance Documents and is aware of all of the provisions thereof. 
  

	1.2	Definitions 

 In this
Guarantee, unless the context otherwise requires: 
 Collateral Instruments means notes, bills of exchange, certificates
of deposit and other negotiable and non-negotiable instruments, guarantees, indemnities and other assurances against financial loss and any other documents or instruments which contain or evidence an obligation (with or without security) to pay,
discharge or be responsible directly or indirectly for, any indebtedness or liabilities of the Borrowers or any other person liable and includes any documents or instruments creating or evidencing a mortgage, charge (whether fixed or floating),
pledge, lien, hypothecation, assignment, trust arrangement or security interest of any kind 
 Guarantee includes each
separate or independent stipulation or agreement by each Guarantor contained in this Guarantee 

  
 1 

 Guaranteed Liabilities means all moneys, obligations and liabilities expressed to be
guaranteed by each Guarantor in clause 2.1 (Covenant to pay) 
 Guarantor includes the successors in title of each
Guarantor 
 Incapacity means, in relation to a person, the death, bankruptcy, unsoundness of mind, insolvency,
liquidation, dissolution, winding-up, administration, receivership, amalgamation, reconstruction or other incapacity of that person whatsoever (and, in the case of a partnership, includes the termination or change in the composition of the
partnership) 
 Relevant Jurisdiction means any jurisdiction in which or where each Guarantor is incorporated, resident,
domiciled, has a permanent establishment, carries on, or has a place of business or is otherwise effectively connected; and 

Security Agent includes the successors in title and replacements of the Security Agent. 

 

	1.3	Headings 

 Clause headings
and the table of contents are inserted for convenience of reference only and shall be ignored in the interpretation of this Guarantee. 
  

	1.4	Construction of certain terms 

 Clause 1.3 (Construction of certain terms) of the Loan Agreement shall apply to this Guarantee as if set out herein. 

 

	2	Guarantee 

  

	2.1	Covenant to pay 

 In
consideration of (a) the Lenders making or continuing loans or advances to, or otherwise giving credit or granting banking facilities or accommodation or granting time to, the Borrowers pursuant to the Loan Agreement and (b) other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged by each Guarantor, each Guarantor hereby guarantees to pay to the Security Agent, for the account of the Finance Parties, on demand by the Security Agent all moneys
and discharge all obligations and liabilities now or hereafter due, owing or incurred by the Borrowers to the Finance Parties or any of them under or pursuant to the Loan Agreement and the other Finance Documents or any of them, when the same become
due for payment or discharge whether by acceleration or otherwise, and whether such moneys, obligations or liabilities are express or implied, present, future or contingent, joint or several, incurred as principal or surety, originally owing to the
Finance Parties or any of them or purchased or otherwise acquired by any of them, denominated in Dollars or in any other currency, or incurred on any banking account or in any other manner whatsoever. 

Such liabilities shall, without limitation, include interest (as well after as before judgment) to date of payment at such rates and upon
such terms as may from time to time be agreed, commission, fees and other charges and all legal and other costs, charges and expenses on a full and unqualified indemnity basis which may be incurred by the Finance Parties or any of them in relation
to any such moneys, obligations or liabilities or generally in respect of the Borrowers, the Guarantors or any Collateral Instrument. 
  

	2.2	Guarantor as principal debtor; indemnity 

 As a separate and independent stipulation, each Guarantor agrees that if any purported obligation or liability of the Borrowers which would have been the subject of this Guarantee had it been valid and
enforceable is not or ceases to be valid or enforceable against the Borrowers on any ground whatsoever whether or not known to the Security Agent and/or the Finance Parties or any of them (including, without limitation, any irregular exercise or
absence of any corporate power or lack of authority of, or breach of duty by, any person purporting to act on behalf of the Borrowers or any legal or other limitation, whether under the Limitation Acts or

  
 2 

 
otherwise or any disability or Incapacity or any change in the constitution of the Borrowers) that Guarantor shall nevertheless be liable to the Security Agent in respect of that purported
obligation or liability as if the same were fully valid and enforceable and that Guarantor were the principal debtor in respect thereof. Each Guarantor hereby agrees to keep the Security Agent fully indemnified on demand against all damages, losses,
costs and expenses arising from any failure of the Borrowers to perform or discharge any such purported obligation or liability. 
  

	2.3	Statements of account conclusive 

 Any statement of account, signed as correct by an officer of the Security Agent, showing the amount of the Guaranteed Liabilities shall, in the absence of manifest error, be conclusive evidence against
each Guarantor. 
  

	2.4	No security taken by Guarantor 

 Each Guarantor warrants that it has not taken or received, and undertakes that until all the Guaranteed Liabilities of each Borrower have been paid or discharged in full, it will not take or receive, the
benefit of any security from any Borrower or any other person in respect of its obligations under this Guarantee. 
  

	2.5	Interest 

 Each Guarantor
agrees to pay interest on each amount demanded of it under this Guarantee from the date of such demand until payment (as well after as before judgment) at the rate specified in clause 8.4 (Default interest) of the Loan Agreement which shall
apply to this Guarantee mutatis mutandis. Such interest shall be compounded at the end of each period determined for this purpose by the Security Agent in the event of it not being paid when demanded but without prejudice to any Finance
Party’s right to require payment of such interest. 
  

	2.6	Continuing security and other matters 

 This Guarantee shall: 
  

	2.6.1	secure the ultimate balance from time to time owing to the Finance Parties or any of them by each Borrower and shall be a continuing security, notwithstanding any
settlement of account or other matter whatsoever; 

  

	2.6.2	be in addition to any present or future Collateral instrument, right or remedy held by or available to the Security Agent or any of the Finance Parties; and

  

	2.6.3	not be in any way prejudiced or affected by the existence of any such Collateral Instrument, rights or remedies or by the same becoming wholly or in part void, voidable
or unenforceable on any ground whatsoever or by the Security Agent or any of the Finance Parties dealing with, exchanging, varying or failing to perfect or enforce any of the same or giving time for payment or indulgence or compounding with any
other person liable. 

  

	2.7	Liability unconditional 

The liability of each Guarantor shall not be affected nor shall this Guarantee be discharged or reduced by reason of: 

 

	2.7.1	the Incapacity or any change in the name, style or constitution of any Borrower or any other person liable; 

 

	2.7.2	the Security Agent or any of the Finance Parties granting any time, indulgence or concession to, or compounding with, discharging, releasing or varying the liability
of, any Borrower or any other person liable or renewing, determining, varying or increasing any accommodation, facility or transaction or otherwise dealing with the same in any manner whatsoever or concurring in, accepting or varying any compromise,
arrangement or settlement or omitting to claim or enforce payment from any Borrower or any other person liable; or 

  
 3 

	2.7.3	any act or omission which would have discharged or affected the liability of that Guarantor had it been a principal debtor instead of a guarantor or by anything done or
omitted which but for this provision might operate to exonerate that Guarantor. 

  

	2.8	Collateral Instruments 

Neither the Security Agent nor any of the Finance Parties shall be obliged to make any claim or demand on any Borrower or to resort to any
Collateral Instrument or other means of payment now or hereafter held by or available to it before the Security Agent enforcing this Guarantee and no action taken or omitted by the Security Agent or any of the Finance Parties in connection with any
such Collateral Instrument or other means of payment shall discharge, reduce, prejudice or affect the liability of any Guarantor under this Guarantee nor shall the Security Agent or any of the Finance Parties be obliged to apply any moneys or other
property received or recovered in consequence of any enforcement or realisation of any such Collateral Instrument or other means of payment in reduction of the Guaranteed Liabilities. 

 

	2.9	Waiver of Guarantor’s rights 

 Until all the Guaranteed Liabilities have been paid, discharged or satisfied in full (and notwithstanding payment of a dividend in any liquidation or under any compromise or arrangement) each Guarantor
agrees that, without the prior written consent of the Security Agent, not to be unreasonably withheld, it will not: 
  

	2.9.1	exercise its rights of subrogation, reimbursement, contribution and indemnity against any Borrower or any other person liable; 

 

	2.9.2	demand or accept repayment in whole or in part of any Indebtedness now or hereafter due to that Guarantor from the Borrowers or from any other person liable or demand
or accept any Collateral Instrument in respect of the same or dispose of the same; 

  

	2.9.3	take any step to enforce any right against any Borrower or any other person liable in respect of any Guaranteed Liabilities; or 

 

	2.9.4	claim any set-off or counterclaim against any Borrower or any other person liable or claim or prove in competition with the Security Agent or any of the Finance Parties
in the liquidation of any Borrower or any other person liable or have the benefit of, or share in, any payment from or composition with any Borrower or any other person liable or any other Collateral Instrument now or hereafter held by the Security
Agent or any of the Finance Parties for any Guaranteed Liabilities or for the obligations or liabilities of any other person liable but so that, if so directed by the Security Agent, it will prove for the whole or any part of its claim in the
liquidation of any Borrower or any other person liable on terms that the benefit of such proof and of all money received by it in respect thereof shall be held on trust for the Security Agent and applied in or towards discharge of the Guaranteed
Liabilities in such manner as the Security Agent shall deem appropriate. 

  

	2.10	Suspense accounts 

 Any
moneys received in connection with this Guarantee (whether before or after any Incapacity of any Borrower or any Guarantor) may be placed to the credit of a suspense account with a view to preserving the rights of the Security Agent or any of the
Finance Parties to prove for the whole of its claims against any Borrower or any other person liable or may be applied in or towards satisfaction of such of the Guaranteed Liabilities as the Security Agent may from time to time conclusively
determine in its absolute discretion. 
  

	2.11	Settlements conditional 

Any release, discharge or settlement between any Guarantor and the Security Agent or any of the Finance Parties shall be conditional upon
no security, disposition or payment to the Security Agent or any of the Finance Parties by any Borrower or any other person liable being void, set aside or ordered to be refunded pursuant to any enactment or law relating to bankruptcy,

  
 4 

 
liquidation, administration or insolvency or for any other reason whatsoever and if such condition shall not be fulfilled the Security Agent shall be entitled to enforce this Guarantee
subsequently as if such release, discharge or settlement had not occurred and any such payment had not been made. 
  

	2.12	Guarantor to deliver up certain property 

 If, contrary to clauses 2.4 (No security taken by Guarantor) or 2.9 (Waiver of Guarantor’s rights), any Guarantor takes or receives the benefit of any security or receives or recovers
any money or other property, such security, money or other property shall be held on trust for the Security Agent and shall be delivered to the Security Agent on demand. 

 

	2.13	Retention of this Guarantee 

 The Security Agent shall be entitled to retain this Guarantee after as well as before the payment or discharge of all the Guaranteed Liabilities for such period as the Security Agent may reasonably
determine. 
  

	2.14	Joint and Several 

Notwithstanding anything to the contrary in this Guarantee or any other Facility Document, the Guarantors are jointly and severally liable
for each of their obligations and liabilities under and pursuant to this Guarantee and those obligations and liabilities shall be construed accordingly. Each Guarantor acknowledges and confirms that it is a principal and original debtor in respect
of all amounts which may fall due and payable by any Guarantor under or pursuant to this Guarantee and agrees that the Security Agent may also treat it as such. 
  

	3	Payments and Taxes 

  

	3.1	No set off or counterclaim 

All payments to be made by each Guarantor under this Guarantee shall be made in full, without any set-off or counterclaim whatsoever and,
subject as provided in clause 3.2, free and clear of any deductions or withholdings, in Dollars on the due date to such account of the Security Agent as it may specify in writing to that Guarantor from time to time. 

 

	3.2	Grossing up for Taxes 

 If
at any time a Guarantor is required to make any deduction or withholding in respect of Taxes from any payment due under this Guarantee for the account of the Security Agent (or if the Security Agent is required to make any such deduction or
withholding from a payment to a Finance Party of moneys received under this Guarantee), the sum due from that Guarantor in respect of such payment shall be increased to the extent necessary to ensure that, after the making of such deduction or
withholding, the Security Agent or, as the case may be, such Finance Party receives on the due date for such payment (and retains, free from any liability in respect of such deduction or withholding) a net sum equal to the sum which it would have
received had no such deduction or withholding been required to be made and each Guarantor shall indemnify the Security Agent against any losses or costs incurred by it by reason of any failure of that Guarantor to make any such deduction or
withholding or by reason of any increased payment not being made on the due date for such payment. Each Guarantor shall promptly deliver to the Security Agent any receipts, certificates or other proof evidencing the amounts (if any) paid or payable
in respect of any deduction or withholding as aforesaid. 
  

	3.3	Currency indemnity 

 If
any sum due from any Guarantor under this Guarantee or any order or judgment given or made in relation hereto has to be converted from the currency (the first currency) in which the same is payable under this Guarantee or under such order or
judgment into another currency (the second currency) for the purpose of (a) making or filing a claim or proof against any 

  
 5 

 
Guarantor, (b) obtaining an order or judgment in any court or other tribunal or (c) enforcing any order or judgment given or made in relation to this Guarantee, each Guarantor shall
indemnify and hold harmless the Security Agent from and against any loss suffered as a result of any difference between (i) the rate of exchange used for such purpose to convert the sum in question from the first currency into the second currency
and (ii) the rate or rates of exchange at which the Security Agent may in the ordinary course of business purchase the first currency with the second currency upon receipt of a sum paid to it in satisfaction, in whole or in part, of any such
order, judgment, claim or proof. Any amount due from any Guarantor under this clause 3.3 shall be due as a separate debt and shall not be affected by judgment being obtained for any other sums due under or in respect of this Guarantee and the term
rate of exchange includes any premium and costs of exchange payable in connection with the purchase of the first currency with the second currency. 
  

	4	Representations and warranties 

  

	4.1	Continuing representations and warranties 

 Each Guarantor represents and warrants to the Security Agent that: 
  

	4.1.1	Due incorporation: each Guarantor is duly incorporated and validly existing in good standing under the laws of the Relevant Jurisdiction and has power to carry
on its business as it is now being conducted and to own its property and other assets; 

  

	4.1.2	Corporate power: each Guarantor has power to execute, deliver and perform its obligations under this Guarantee; all necessary corporate, shareholder and other
action has been taken to authorise the execution, delivery and performance of the same and no limitation on the powers of any Guarantor to borrow or give guarantees will be exceeded as a result of this Guarantee; 

 

	4.1.3	Binding obligations: this Guarantee constitutes valid and legally binding obligations of each Guarantor enforceable in accordance with its terms;

  

	4.1.4	No conflict with other obligations: the execution and delivery of, the performance of its obligations under, and compliance with the provisions of, this
Guarantee by each Guarantor will not: 

  

	 	(a)	contravene any existing applicable law, statute, rule or regulation or any judgment, decree or permit to which that Guarantor is subject; or 

 

	 	(b)	conflict with, or result in any breach of any of the terms of, or constitute a default under, any agreement or other instrument to which that Guarantor is a party or is
subject or by which it or any of its property is bound; or 

  

	 	(c)	contravene or conflict with any provision of the constitutional documents of that Guarantor; or 

 

	 	(d)	result in the creation or imposition of or oblige a Guarantor to create any Encumbrance (other than a Permitted Encumbrance) on any of the undertaking, assets, rights
or revenues of that Guarantor; 

  

	4.1.5	No litigation: no litigation, arbitration or proceeding (administrative or otherwise) is taking place, pending or, to the knowledge of the officers of any
Guarantor, threatened against any Guarantor or any other Relevant Party which could have a material adverse effect on the business, assets or financial condition of any Guarantor; 

 

	4.1.6	No filings required: it is not necessary to ensure the legality, validity, enforceability or admissibility in evidence of this Guarantee that it or any other
instrument be notarised, filed, recorded, registered or enrolled in any court, public office or elsewhere in any Relevant Jurisdiction or that any stamp, registration or similar tax or charge be paid in any Relevant Jurisdiction on or in relation to
this Guarantee and this Guarantee is in proper form for its enforcement in the courts of each Relevant Jurisdiction; 

  
 6 

	4.1.7	Choice of law: the choice of English law to govern this Guarantee and the submission by each Guarantor to the non-exclusive jurisdiction of the English courts
are valid and binding; 

  

	4.1.8	No immunity: neither the Guarantors nor any of their assets is entitled to immunity on the grounds of sovereignty or otherwise from any legal action or
proceeding (which shall include, without limitation, suit, attachment prior to judgement, execution or other enforcement); 

  

	4.1.9	Consents obtained: every consent, authorisation, licence or approval of, or registration with or declaration to, governmental or public bodies or authorities or
courts required by each Guarantor to authorise, or required by each Guarantor in connection with, the execution, delivery, validity, enforceability or admissibility in evidence of this Guarantee or the performance by each Guarantor of its
obligations under this Guarantee has been obtained or made and is in full force and effect and there has been no default in the observance of any of the conditions or restrictions (if any) imposed in, or in connection with, this Guarantee;

  

	4.1.10	Financial statements correct and complete: the financial statements of each Guarantor in respect of the financial year ended on 31 December 2010 as
delivered to the Facility Agent and/or the Arrangers, have been prepared in accordance with GAAP which have been consistently applied and present fairly and accurately the financial position of that Guarantor as at such date and the results of the
operations of that Guarantor for the financial year ended on such date and, as at such date, each Guarantor did not have any significant liabilities (contingent or otherwise) or any unrealised or anticipated losses which are not disclosed by, or
reserved against or provided for in, such financial statements; 

  

	4.1.11	Shareholdings: (a) all of the shares in Cardiff are legally and beneficially owned by such person or persons as have been disclosed by or on behalf of that
Guarantor or any other Security Party to the Security Agent and/or the Facility Agent and/or the Arrangers and/or the Lenders in the negotiations of the Loan Agreement and this Guarantee and (b) The common shares, par value of $ 0,01 per
share, of DryShips are listed on the Nasdaq Stock Exchange; 

  

	4.1.12	Compliance with laws and regulations: each Guarantor is in compliance with the terms and conditions of all laws, regulations, agreements, licences and
concessions material to the carrying on of its business (including in relation to Taxation and including Environmental Laws); 

  

	4.1.13	No material adverse effect: there has been no material adverse change: 

 

	 	(a)	in the business, assets, properties, operations, prospects, performance, condition or the financial position of each Guarantor from that set forth in the annual audited
financial statements of the Guarantor for the financial year ended 31 December 2010; or 

  

	 	(b)	in the ability of any of the Guarantors, the Borrower or any other Security Party to comply with any of their respective obligations under the Finance Documents or any
of them; or 

  

	 	(c)	in the legality, validity or enforceability of any of the Finance Documents or any of the rights or remedies of the Finance Parties or any of them thereunder; or

  

	 	(d)	in any Relevant Jurisdiction (or in any of the financial markets thereof); and 

 

	4.1.14	Taxation: 

  

	 	(a)	each Guarantor is not overdue in the filing of any tax returns and each Guarantor is not overdue in the payment of any amounts in respect of Taxes (or its equivalent in
any other currency); 

  

	 	(b)	no claims or investigations are being, or are reasonably likely to be, made or conducted against any Guarantor with respect to Taxes save for Tax claims which are being
disputed in good faith and by appropriate proceedings for which reserves have been provided in the accounts of that Guarantor in accordance with GAAP; and 

  
 7 

	 	(c)	each Guarantor is resident for taxation purposes only in the jurisdiction of its incorporation. 

 

	4.2	Initial representations and warranties 

 Each Guarantor further represents and warrants to the Security Agent that: 
  

	4.2.1	Pari passu and subordinated indebtedness: 

  

	 	(a)	the obligations of each Guarantor under this Guarantee are direct, general and unconditional obligations of that Guarantor and rank at least pari passu with all other
present and future unsecured and unsubordinated Indebtedness of that Guarantor except for obligations which are mandatorily preferred by operation of law and not by contract; and 

 

	 	(b)	any Indebtedness of any Guarantor owing to any of its shareholders is subordinated in all respects to the Guarantor’s obligations under this Guarantee;

  

	4.2.2	No default under other Indebtedness: each Guarantor is not (nor would with the giving of notice or lapse of time or the satisfaction of any other condition or
combination thereof be) in breach of or in default under any agreement relating to Indebtedness to which it is a party or by which it may be bound; 

  

	4.2.3	Information - full disclosure: the information, exhibits and reports (and expressions of opinions contained therein) furnished by each Guarantor to the Finance
parties or any of them in connection with the negotiation and preparation of this Guarantee are true and accurate in all material respects and not misleading and all reasonable enquiries have been made to verify the facts and statements contained
therein; there are no other facts the omission of which would make any fact or statement therein misleading; 

  

	4.2.4	No withholding Taxes: no Taxes are imposed by withholding or otherwise on any payment to be made by any Guarantor under this Guarantee or are imposed on or by
virtue of the execution or delivery by any Guarantor of this Guarantee or any other document or instrument to be executed or delivered under this Guarantee; and 

 

	4.2.5	No Default: no Default has occurred and is continuing. 

  

	4.3	Repetition of representations and warranties 

 On and as of each Drawdown Date and (except in relation to the representations and warranties in clause 4.2) on each Interest Payment Date, each Guarantor shall: 

 

	4.3.1	be deemed to repeat the representations and warranties in clauses 4.1 and 4.2 as if made with reference to the facts and circumstances existing on such day; and

  

	4.3.2	be deemed to further represent and warrant to the Security Agent that the then latest audited financial statements of each Guarantor delivered to the Security Agent
under this Guarantee (if any) have been prepared in accordance with GAAP which have been consistently applied and present fairly and accurately the financial position of that Guarantor as at the end of the financial period to which the same relate
and the results of the operations of each Guarantor for the financial period to which the same relate and, as at the end of such financial period, each Guarantor did not have any significant liabilities (contingent or otherwise) or any unrealised or
anticipated losses which are not disclosed by, or reserved against or provided for in, such financial statements. 

  
 8 

	5	Undertakings 

  

	5.1	General 

 Each Guarantor
undertakes with the Security Agent that, from the date of this Guarantee and so long as any moneys are owing, whether actually or contingently, under any of the Finance Documents (including this Guarantee) and while all or any part of the Total
Commitment remains outstanding, it will: 
  

	5.1.1	Notice of Default; material litigation: 

  

	 	(a)	promptly inform the Security Agent of any occurrence of which it becomes aware which might adversely affect the ability of any Security Party to perform its obligations
under any of the Finance Documents or the Underlying Documents and, without limiting the generality of the foregoing, will inform the Security Agent of any Default forthwith upon becoming aware thereof and will from time to time, if so requested by
the Security Agent, confirm to the Security Agent in writing that, save as otherwise stated in such confirmation, no Default has occurred and is continuing; and 

 

	 	(b)	promptly upon becoming aware of the same, provide the Security Agent with details of any material litigation, arbitration, regulatory or administrative proceedings
which are taking place against or involving any Security Party or any other member of the Group; 

  

	5.1.2	Consents and licences - compliance with taws and regulations: 

  

	 	(a)	without prejudice to clauses 4.1.9, obtain or cause to be obtained, maintain in full force and effect and comply in all material respects with the conditions and
restrictions (if any) imposed in, or in connection with, every consent, authorisation, licence or approval of governmental or public bodies or authorities or courts and do, or cause to be done, all other acts and things which may from time to time
be necessary or desirable under applicable law for the continued due performance of all the obligations of each Guarantor under this Guarantee; and 

  

	 	(b)	comply with all laws, regulations, agreements, licences and concessions material to the carrying on of its business (including in relation to Taxation and including
Environmental Laws); 

  

	5.1.3	Pari passu and subordination: without prejudice to the provisions of clause 5.2 (Negative undertakings), ensure that: 

 

	 	(a)	its obligations under this Guarantee shall at all times rank at least pari passu with all its other present and future unsecured and unsubordinated Indebtedness with
the exception of any obligations which are mandatorily preferred by law and not by contract; and 

  

	 	(b)	its Indebtedness (if any) to its shareholders or its Related Companies shall remain at all times fully subordinated towards its obligations under this Guarantee;

  

	5.1.4	Disposal of assets / spin off of the offshore business: only dispose its assets on the basis of a transparent market price and on arms length terms for cash and
spin-off of or otherwise dispose of any offshore business of the Group (the Spin-Off) on the conditions that: 

  

	 	(a)	it will maintain at least USD 80,000,000 cash after the Spin-Off; and 

  

	 	(b)	it will use its best endeavours to be released from all obligations relating to the offshore business of the Group; 

  
 9 

	5.1.5	Financial statements: prepare or cause to be prepared: 

  

	 	(a)	financial statements of each Guarantor in accordance with GAAP consistently applied in respect of each financial year (namely, each 12-month period ending on
31 December of each calendar year) and cause the same to be reported on by each Guarantor’s auditors; 

  

	 	(b)	unaudited financial statements of each Guarantor in accordance with GAAP consistently applied in respect of each half-year of each financial year (namely, each 6-month
period ending on 30 June and 31 December of each calendar year; 

  

	 	(c)	unaudited financial statements of DryShips in accordance with GAAP consistently applied in respect of each quarter in each financial year (namely, each 3-month period
ending on 31 March, 30 June, 30 September and 31 December of each calendar year), 

 and, in
each case, deliver to the Security Agent as many copies of the same as the Security Agent may reasonably require as soon as practicable but not later than: 
  

	 	(i)	in the case of audited financial statements, one hundred and twenty (120) days after the end of the financial period to which they relate (namely, not later than
30 April of each calendar year); 

  

	 	(ii)	in the case of unaudited financial statements in respect of each half-year of each financial year, ninety (90) days after the end of the financial period to which
they relate (namely, not later than 30 September and 31 March, respectively, of each calendar year); and 

  

	 	(iii)	in the case of unaudited financial statements in respect of each quarter in each financial year, sixty (60) days after the end of the financial -period to which
they relate (namely, not later than 31 May, 31 August, 30 November and 28 February, respectively, of each calendar year) 

  

	5.1.6	Delivery of reports: deliver to the Security Agent sufficient copies for all the Lenders of every report, circular, notice or like document issued by each
Guarantor to its shareholders or creditors generally; and 

  

	5.1.7	Provision of further information: provide the Security Agent with such financial or other information concerning the Borrowers, the Manager, the other Security
Parties, the Guarantors, and their respective affairs as the Security Agent may from time to time require and shall promptly advise the Security Agent of all major financial developments in relation to the Borrowers, the Guarantors or the other
Security Parties, including, without prejudice to the generality of the foregoing, their business, operations, financial condition, any vessels sales or purchases and any new borrowings. 

 

	5.2	Financial covenants 

  

	5.2.1	In this clause 5.2: 

Accounting Information means: 
  

	 	(a)	the annual audited consolidated financial statements of Dryships; 

  

	 	(b)	the annual unaudited consolidated financial statements of Dryships; 

  

	 	(c)	the semi-annual unaudited consolidated financial statements of Dryships, each as provided or (as the context may require) to be provided to the Security Agent in
accordance with clause 5.1.4 (Financial statements); and 

  

	 	(d)	the quarter-annual unaudited consolidated financial statements of Dryships, each as provided or (as the context may require) to be provided to the Security Agent in
accordance with clause 5.1 A (Financial statements) 

  
 10 

 Cash and Cash Equivalents means Dryships’ cash free of security interests and
undrawn amounts under committed credit lines (with maturity exceeding twelve (12) months) which are available unconditionally and immediately, including for these purposes, cash that is free of security interests but which is required to be
maintained as minimum liquidity under borrowing arrangements. 
 Compliance Certificate means a certificate in the form
set out in Schedule 1 (Form of Compliance Certificate) 
 EBITDA means, in respect of a Relevant Period, the
consolidated net pre-taxation profits of Dryships as stated in the most recent Accounting Information relevant to such Relevant Period and all as adjusted by: 
  

	 	(a)	adding back Interest Expense; 

  

	 	(b)	taking no account of any exceptional or extraordinary item; and 

  

	 	(c)	adding back depreciation and amortisation of assets. 

 Fleet Market Value means, as of the date of calculation, the aggregate market value of all Fleet Vessels (including the Ships), as most recently determined by the Security Agent in its discretion,
pursuant to valuations made available to the Security Agent (at the expense of Dryships) under clause 5.4 (Valuations and Compliance Certificate) 
 Fleet Vessels means all the vessels (including the Ships) from time to time owned by the members of the Group and Fleet Vessel shall mean any of them 

Interest Cover Ratio means, in respect of a Relevant Period, the ratio of (a) EBITDA to (b) Interest Expense for such
Relevant Period 
 Interest Expense means, in respect of a Relevant Period, all interest and other financing charges
incurred or paid by Dryships, as stated in the most recent Accounting Information relevant to such Relevant Period 
 Market
Adjusted Equity Ratio means, at any relevant time, the ratio of (a) the Shareholders’ Equity to (b) the sum of the Total Debt and the Shareholders’ Equity 

Relevant Period means, for the purposes of the Compliance Certificate to be provided pursuant to clause 5.4 (Valuations and
Compliance Certificate): 
  

	 	(a)	in relation to the annual audited consolidated financial statements of Dryships, the twelve (12) month period ending on the last day of the financial year; or

  

	 	(b)	in relation to the semi-annual unaudited consolidated financial statements of Dryships, the six (6) month period ending on the last day of the first half of the
financial year. 

 Shareholders’ Equity means, at any relevant time, the shareholders’ equity for
Dryships as shown in the then most recent Accounting Information for Dryships, adjusted at any relevant time to take account of the difference between the aggregate book values of the Fleet Vessels and the Fleet Market Value 

Total Debt means, at any relevant time, the aggregate amount of debt owed by Dryships as stated in the then most recent Accounting
Information 
  

	5.2.2	Dryships undertakes with the Security Agent that, from the date of this Guarantee and so long as any moneys are owing under the Finance Documents and while all or any
part of the Total Commitment remains outstanding, it will ensure that: 

  

	 	(a)	the aggregate amount of Cash and Cash Equivalents on a consolidated basis shall be an amount in Dollars equal to at least $40,000,000. 

  
 11 

	 	(b)	the Market Adjusted Equity Ratio shall not be at any time less than 0.25:1.00. 

 

	 	(c)	the Shareholders’ Equity (market adjusted net worth) shall not be less than $250,000,000. 

 

	 	(d)	the Interest Cover Ratio shall be equal to or greater than 2.5:1.00. 

  

	5.3	Negative undertakings 

Each Guarantor undertakes with the Security Agent that, 
  

	5.3.1	from the date of this Guarantee and so long as any moneys are owing under the Finance Documents and while all or any part of the Total Commitment remains outstanding,
it will not, without the prior written consent of the Security Agent (such consent not to be unreasonably withheld in case of clauses 5.3.1 (a) - (c) below) (acting on the instructions of the Majority Lenders): 

 

	 	(a)	Merger: merge or consolidate with any other person or enter into any demerger, amalgamation or any corporate reconstruction or redomiciliation of any kind except
that a Guarantor may enter into a merger or amalgamation with any other person provided that Guarantor is the surviving entity of such merger or amalgamation; 

 

	 	(b)	Change in shareholding: dispose of or otherwise divest itself of or grant any Encumbrance over, shares or other interests held by Dryships in Oceanfreight Inc.
or any Shareholder; 

  

	 	(c)	Constitutional documents: change, amend or vary, or agree to or permit any change, amendment or variation of or to, its constitutional documents in any way which
would prejudice the interests of the Security Agent under this Guarantee; 

  

	 	(d)	Change of business: undertake any business other than that carried out by it on the date of this Guarantee; 

 

	 	(e)	Financial year: change, permit or agree to any change in, the way of computation of its financial year; or 

 

	 	(f)	Share capital and distribution: purchase or otherwise acquire for value any shares of its capital, or following an Event of Default, declare or pay any dividends
or distribute any of its present or future assets, undertaking, rights or revenues to any of its shareholders. 

  

	5.3.2	from the date of this Guarantee to and including five (5) years from the Drawdown Date for the first Ship Loan, it will not, without the prior written consent of
the Security Agent (acting on the instructions of the Majority Lenders), announce, enter into discussions to raise, raise or attempt to raise any other finance in the international or any relevant domestic syndicated loan, debt, bank, capital or
equity market(s) (including, but not limited to, any bilateral or syndicated facility, bond or note issuance or private placement), in substitution for the Loan. 

 

	5.4	Valuations and Compliance Certificate 

  

	5.4.1	Valuations 

  

	 	(a)	 Each Fleet Vessel shall, for the purposes of this Guarantee, be valued in Dollars by two (2) of the Approved Shipbrokers selected by Dryships or,
failing such selection by Dryships, selected by the Security Agent in its sole discretion. Each such valuation shall not be dated more than thirty (30) days prior to the relevant Fleet Valuation Date, shall be addressed to the Security Agent and
made without, unless required by the Security Agent (acting on the reasonable instructions of the Majority Lenders), physical inspection, without taking into account the benefit of any charterparty or other engagement concerning the relevant Fleet
Vessel, and on the basis of a sale for prompt delivery for cash at arm’s length on normal commercial terms as between a willing buyer and a willing 

  
 12 

	 	
seller. Each such valuation shall constitute the value of a Fleet Vessel for the purposes of this clause 5.4.1 and the other provisions of this Guarantee and the other Finance Documents.

  

	 	(b)	The value of a Fleet Vessel determined in accordance with the provisions of this clause 5.4.1 shall be binding upon the parties hereto until such time as any further
such valuations shall be obtained in respect of that Fleet Vessel. 

  

	 	(c)	Dryships undertakes with the Security Agent to supply to the Security Agent and to any such Approved Shipbroker such information concerning each Fleet Vessel and its
condition as such Approved Shipbroker may require for the purpose of making any such valuation. 

  

	 	(d)	All costs in connection with obtaining any valuations of the Fleet Vessels referred to in this clause 5.4.1, shall be borne by Dryships. 

 

	5.4.2	Valuations and Compliance Certificate: 

 Dryships undertakes with the Security Agent that so long as any moneys are owing under the Finance Documents and while all or any part of the Total Commitment remains outstanding, it will: 

 

	 	(a)	deliver or cause to be delivered to the Security Agent valuations (dated as at the end of each Relevant Period) of each Fleet Vessel prepared in accordance with, and in
the manner specified in, clause 5.4.1 (Valuations) (at the expense of Dryships) at the time when any unaudited consolidated financial statements of the Group are delivered to the Facility Agent and/or the Security Agent in accordance with
clause 13.1.5 (Financial statements) of the Loan Agreement and clause 5.1.5 (Financial Statements) (namely, not later than 30 September and 31 March, respectively, of each calendar year), and prepared as at the date to which the
relevant financial statements which they accompany are drawn up and, if a Default has occurred, at any other time as and when the Security Agent in its absolute discretion shall require; and 

 

	 	(b)	deliver to the Security Agent in sufficient copies for all the Lenders, a Compliance Certificate (including any supporting schedules or other information and evidence
as the Facility Agent may require) for each Relevant Period executed by the chief financial officer of Dryships and, at the time when any consolidated financial statements of the Group are delivered to the Facility Agent and/or the Security Agent in
accordance with clause 13.1.5 (Financial statements) of the Loan Agreement and clause 5.1.5 (Financial Statements) (namely, not later than 30 April of each calendar year) and, if a Default has occurred, at any other time as and
when the Security Agent in its absolute discretion shall require. 

  

	6	Set-off 

 Each Guarantor
authorises the Security Agent, at any time after the occurrence of an Event of Default, to apply any credit balance to which that Guarantor is then entitled on any account of that Guarantor with the Security Agent at any of its branches in or
towards satisfaction of any sum then due and payable from that Guarantor to the Security Agent under this Guarantee. For this purpose the Security Agent is authorised to purchase with the moneys standing to the credit of such account such other
currencies as may be necessary to effect such application. The Security Agent shall not be obliged to exercise any right given to it by this clause 6. The Security Agent shall notify the Guarantors and the Finance Parties forthwith upon the exercise
or purported exercise of any right of set-off giving full details in relation thereto. 

  
 13 

	7	Benefit of this Guarantee 

  

	7.1	Benefit and burden 

 This
Guarantee shall be binding upon each Guarantor and its successors in title and shall enure for the benefit of the Security Agent and its successors in title and/or replacements. Each Guarantor expressly acknowledges and accepts the provisions of
clause 22 (Mandated Lead Arrangers, Facility Agent and Security Agent) of the Loan Agreement and agrees that any person who replaces the Security Agent in accordance with such clause shall be entitled to the benefit of this Guarantee.

  

	7.2	Changes in constitution or reorganisation of Finance Parties 

 For the avoidance of doubt and without prejudice to the provisions of clause 7.1 (Benefit and Burden), this Guarantee shall remain binding on each Guarantor notwithstanding any change in the
constitution of any of the Finance Parties or the Security Agent or its absorption in, or amalgamation with, or the acquisition of ail or part of its undertaking or assets by, any other person, or any reconstruction or reorganisation of any kind, to
the intent that this Guarantee shall remain valid and effective in all respects in favour of any successor in title or replacement of the Security Agent in the same manner as if such successor in title or replacement had been named in this Guarantee
as a party instead of, or in addition to, the Security Agent. 
  

	7.3	No assignment by Guarantor 

No Guarantor may assign or transfer any of its rights or obligations under this Guarantee. 

 

	7.4	Disclosure of information 

The Security Agent may, without the consent of a Guarantor but with notice of such Guarantor, disclose to a prospective replacement of the
Security Agent or a Transferee or to any other person who may propose entering into contractual relations with the Security Agent in relation to the Loan Agreement such information about that Guarantor as the Security Agent shall consider
appropriate provided that the Security Agent shall ensure that such information shall be disclosed on a confidential basis to any such person. 
  

	8	Notices and other matters 

  

	8.1	Notice 

 Clauses 23.1
(Notices) and 23.2 (Notices through the Facility Agent) of the Loan Agreement shall apply to this Guarantee as if set out herein and every notice, request, demand or other communication under this Guarantee shall be sent: 

 

	8.1.1	if to Dryships at: 

 Dryships
Inc, Athens Office, 80 Kifisias Avenue, 151 24 Marousi, Athens, Greece, Fax No: +30 210 80 90 505, Attention Mr. Ziad Nakhleh 
  

	8.1.2	if to Cardiff at: 

 Athens Office

 80 Kifisias Avnue 
 151 25 Marousi, Athens 
 Greece 

Fax No.: 210 8090205 
 Attention: Mr. H. Alivizatos 

  
 14 

	8.1.3	if to the Security Agent at: 

China Development Bank Corporation Ning Xia branch 
 No.1 Yianjiaqu North Street 
 Yinchuan City 

Ningxia 750004 

People’s Republic of China 
 Fax No:        +86 951 56 95 821 

Attention:     Mr. Zhang Jia 
 or to such other address or facsimile number as is notified by a Guarantor or the Security Agent to the other party to this Guarantee. 

 

	8.2	No implied waivers, remedies cumulative 

 No failure or delay on the part of the Security Agent to exercise any power, right or remedy under this Guarantee shall operate as a waiver thereof, nor shall any single or partial exercise by the
Security Agent of any power, right or remedy preclude any other or further exercise thereof or the exercise of any other power, right or remedy. The remedies provided in this Guarantee are cumulative and are not exclusive of any remedies provided by
law. 
  

	8.3	English translations 

 All
certificates, instruments and other documents to be delivered under or supplied in connection with this Guarantee shall be in the English language or shall be accompanied by a certified English translation upon which the Security Agent shall be
entitled to rely. 
  

	8.4	Other guarantors 

 Each
Guarantor agrees to be bound by this Guarantee notwithstanding that any other person intended to execute or to be bound by any other guarantee or assurance under or pursuant to the Loan Agreement may not do so or may not be effectually bound and
notwithstanding that such other guarantee or assurance may be determined or be or become invalid or unenforceable against any other person, whether or not the deficiency is known to the Security Agent or any of the Finance Parties. 

 

	8.5	Expenses 

 Each Guarantor
agrees to reimburse the Security Agent on demand for all legal and other costs, charges and expenses on a full and unqualified indemnity basis which may be incurred by the Security Agent in relation to the enforcement of this Guarantee against any
Guarantor. 
  

	8.6	Partial invalidity 

 If,
at any time, any provision of this Guarantee is or becomes illegal, invalid or unenforceable in any respect under any law or jurisdiction, neither the legality, validity or enforceability of the remaining provisions nor the legality, validity or
enforceability of such provision in any other respect or under the law of any other jurisdiction will be affected or impaired in any way. 
  

	8.7	Miscellaneous 

  

	8.7.1	This Guarantee contains the entire agreement of the parties and its provisions supersede any and all other prior correspondence and oral negotiation by the parties in
respect of the matters regulated by the Guarantee. 

  

	8.7.2	This Guarantee shall not be amended or varied in its terms by any oral agreement or representation or in any other manner other than by an instrument in writing of even
date herewith or subsequent hereto executed by or on behalf of the parties hereto. 

  
 15 

	9	Law and jurisdiction 

  

	9.1	Law 

 This Guarantee and
any non-contractual obligations connected with it are governed by, and shall be construed in accordance with, English law. 
  

	9.2	Submission to jurisdiction 

Each Guarantor agrees for the benefit of the Security Agent that any legal action or proceedings arising out of or in connection with this
Guarantee (including any non-contractual obligations connected with it) against a Guarantor or any of its assets may be brought in the English courts, irrevocably and unconditionally submits to the jurisdiction of such courts and irrevocably
designates, appoints and empowers Ince Process Agents Ltd. At present of International House 1st Katharine Way, London E1W 1AY to receive for it and on its behalf, service of process issued out of the English courts in any such legal action or
proceedings. The submission to such jurisdiction shall not (and shall not be construed so as to) limit the right of the Security Agent to take proceedings against any Guarantor in the courts of any other competent jurisdiction, nor shall the taking
of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether concurrently or not. Each Guarantor further agrees that only the courts of England and not those of any other state shall have
jurisdiction to determine any claim which that Guarantor may have against the Security Agent arising out of or in connection with this Guarantee (including any non-contractual obligations connected with it). 

 

	9.3	Contracts (Rights of Third Parties) Act 1999 

 No term of this Guarantee is enforceable under the provisions of the Contracts (Rights of Third Parties) Act 1999 by a person who is not a party to this Guarantee. 

IN WITNESS whereof the parties to this Guarantee have caused this Guarantee to be duly executed as a deed on the date first above written.

  
 16 

 Schedule 1 
 Form of Compliance Certificate 
  

	To:	China Development Bank Corporation 

  

	From:	Dryships Inc. 

 Dated: 

Dear Sirs, 
 Re: a Guarantee
dated [— ] 2012 (the Guarantee) and made between (1) Dryships Inc. and Cardiff Marine Inc. as joint and several guarantors (therein and herein referred to as the Guarantors),
(2) China Development Bank Corporation as Security Agent 
  

	1	We refer to the Guarantee. This is a Compliance Certificate. Terms defined in the Guarantee have the same meaning in this Compliance Certificate unless given a
different meaning in this Compliance Certificate. 

  

	2	We confirm that as at [insert date of accounts] and on the date hereof: 

  

	 	(a)	Financial covenants 

  

	 	(i)	the aggregate amount of Cash and Cash Equivalents on a consolidated basis is $ [—], calculated as shown in [Appendix
A] versus the required amount of $40,000,000; 

  

	 	(ii)	the Market Adjusted Equity Ratio is [—], calculated as shown in [Appendix B] versus the required ratio of 0.25:1.00;

  

	 	(iii)	the Shareholders’ Equity (market adjusted net worth) is $[—], calculated as shown in [Appendix C] versus the
required amount of $250,000,000; and 

  

	 	(iv)	the Interest Cover Ratio is [—] calculated as shown in [Appendix D] versus the required ratio of 2.5:1.00 [.][,],

 [and we hereby confirm that the above comply with the provisions of clause 5.2 (Financial Covenants) of
the Corporate Guarantee.] 
  

	 	(b)	Share capital and distribution 

We further refer to clause 5.3.1(f) (Share capital and distribution) of the Guarantee and hereby certify that, as at [insert date of each
dividend payment declaration] and on the date hereof the Guarantor [has or has not] [declared or paid dividends] to its shareholders [in the amount of $[—]] [insert dividend details per relevant
period covered by relevant financial statements] [and no Event of Default had occurred and was continuing at the time of declaration or payment of such dividends nor will result or has resulted from the declaration or payment of such dividends].

  

	 	(c)	Security Requirement 

 We further
refer to clause 13.2.1 (Security shortfall) of the Loan Agreement and hereby certify that, as at [insert date of valuation] and on the date hereof: 
  

	 	(i)	the Security Value is in the amount of $[—], calculated as [shown in Appendix E]; and 

  
 17 

	 	(ii)	the Loan is in the amount of $[—], calculated as [shown in Appendix F]; and 

 

	 	(iii)	the Security Requirement ratio is [—]% versus the required ratio of 125%. 

 

	3	[We confirm that no Default is continuing.] 

  

			
	Signed:	 	  

		 	  
 Chief Financial Officer

 
 Of

		 	  
 [Guarantor]

	
	  

	  
 for and on behalf of

 
 Dryships Inc.

  

  
 18 

					
	EXECUTED as a DEED	  	)	  	
	by	  	)	  	
	for and on behalf of	  	)	  	  

	CARDIFF MARINE INC.	  	)	  	
		  	)	  	Attorney-in-Fact
	in the presence of:	  	)	  	
			
	  
	  		  	
	Witness	  		  	
	Name:	  		  	
	Address:	  		  	
	Occupation:	  		  	
			
	EXECUTED as a DEED	  	)	  	
	by	  	)	  	
	for and on behalf of	  	)	  	  

	DRYSHIPS INC.	  	)	  	
		  	)	  	Attorney-in-Fact
	in the presence of:	  	)	  	
			
	  
	  		  	
	Witness	  		  	
	Name:	  		  	
	Address:	  		  	
	Occupation:	  		  	
			
	EXECUTED as a DEED	  	)	  	
	by	  	)	  	
	for and on behalf of	  	)	  	  

	CHINA DEVELOPMENT BANK CORPORATION	  	)	  	Attorney-in-Fact
	in the presence of:	  	)	  	
			
	  
	  		  	
	Witness	  		  	
	Name:	  		  	
	Address:	  		  	
	Occupation:	  		  	

  
 19 

 Schedule 9 
 Form of Mortgage 

  
 - 107 -

 MALTESE STATUTORY 

FIRST PRIORITY MORTGAGE 
 HULL [H1227] [H1228] [H1229] 
 WHEREAS there is an account
current between (i) CHINA DEVELOPMENT BANK CORPORATION, a corporation registered and existing under the laws of the People’s Republic of China acting through its Ningxia Branch situated at No.1 Yinjiaqu North Street, Yinchuan City,
Ningxia 750004, People’s Republic of China (hereinafter called the “Mortgagee” which expression shall include its successors and assigns) and (ii) [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY
OWNERS LIMITED], a corporation organised and existing under the laws of Liberia with registered address situated at 80, Broad Street, Monrovia, Liberia (hereinafter sometimes called the “Mortgagor”) regulated by (1) a buyer
credit agreement                      dated 2012 entered into by (a) the Mortgagor, [Oceansurf Owners Limited] and [Oceancentury Owners
Limited], both being- corporations organised and existing
under the laws of Liberia, as joint and several borrowers (together, the “Borrowers”), (b) the financial institutions listed in Part 2 Schedule 1 of the buyer credit agreement as lenders (the “Original
Lenders”) (c) the Mortgagee as mandated lead arranger and the Bank of China Limited as coordinating mandated lead arranger (the “Arrangers”), (d) the Mortgagee as facility agent (the “Agent”) and
(e) the Mortgagee as security agent and trustee (the “Security Trustee”) pursuant to which the Original Lenders made available to the Mortgagor a senior secured term credit facility in the amount of up to US$122,580,000 (United
States Dollars one hundred and twenty two million and five hundred and eighty thousand) under the terms and conditions and for the purposes set forth therein (hereinafter as the same may from time to time be amended, supplemented and/or varied
called the “Loan Agreement”) and (2) a deed of covenants bearing even date herewith and collateral hereto (hereinafter as the same may from time to time be amended, supplemented and/or varied called the “Deed of
Covenants”) made between (i) the Mortgagor and (ii) the Security Trustee. 
 AND WHEREAS pursuant to the said Loan
Agreement and Deed of Covenants, the Mortgagor has agreed to and does hereby execute this Mortgage in favour of the Security Trustee for the purposes of securing (aa) payment by the Mortgagor to the Security Trustee of all sums for the time being
and from time to time owing to the Security Trustee on the said Account Current whether by way of principal, interest or otherwise, including all sums due or to become due to the Security Trustee (whether actually, contingently, presently and/or in
the future) under the Loan Agreement and/or the Deed of Covenants and all the costs, charges, expenses or other moneys, and where applicable interest thereon, connected with or for the purpose of creating, preserving, maintaining, administering,
protecting, enforcing or attempting to enforce this security, under and by virtue of and in the manner and at the times set forth in the Loan Agreement and the Deed of Covenants and (bb) the due and punctual performance and fulfilment of all the
terms, covenants, conditions and obligations of the Mortgagor under the Loan Agreement and/or the Deed of Covenants. 
 AND WHEREAS the
amount of principal, interest and other moneys due to the Security Trustee at any given time can be ascertained by reference to the Loan Agreement and/or the Deed of Covenants and/or to the books of account (or other accounting records) of the
Security Trustee and/or to a certificate issued by the Security Trustee which amount the Mortgagor accepts as conclusive and binding and shall (saving manifest error) be the certain and liquidated amount due by the Mortgagor to the Security Trustee
as aforesaid. 
 AND WHEREAS the Mortgagor is prohibited from creating any further mortgages over and/or from transferring the Ship above
particularly described or any share or shares therein without the prior written consent of the Security Trustee. 

 Schedule 10 
 Form of Deed of Covenant 

  
 - 108 -

 Private & Confidential 

 

									
		  		  	
Dated —    
                20—
	  		  	

 [OCEANVIEW OWNERS LIMITED] 
 [OCEANSURF OWNERS LIMITED] 
 [OCEANCENTURY OWNERS LIMITED] 

and 

CHINA DEVELOPMENT BANK CORPORATION 
  

 
 DEED OF
COVENANTS 
 relating to m.v. “[insert name of Ship]” 

 
  

 
 

 

 Contents 

 

							
	Clause	  	Page	 
			
	1	 	Definitions	  	 	1	  
			
	2	 	Mortgage and assignment	  	 	5	  
			
	3	 	Covenant to pay	  	 	5	  
			
	4	 	Continuing security and other matters	  	 	5	  
			
	5	 	Covenants	  	 	6	  
			
	6	 	Powers of Mortgagee to protect security and remedy defaults	  	 	14	  
			
	7	 	Powers of Mortgagee on Event of Default	  	 	14	  
			
	8	 	Application of moneys	  	 	16	  
			
	9	 	Remedies cumulative and other provisions	  	 	17	  
			
	10	 	Costs and indemnity	  	 	17	  
			
	11	 	Attorney	  	 	18	  
			
	12	 	Further assurance	  	 	18	  
			
	13	 	Notice	  	 	19	  
			
	14	 	Counterparts	  	 	19	  
			
	15	 	Severability of provisions	  	 	19	  
			
	16	 	Law, and jurisdiction	  	 	20	  
		
	Schedule 1 Power of Attorney	  	 	21	  
		
	Schedule 2 Form of Charter Assignment	  	 	22	  

 THIS DEED OF COVENANTS is dated — 20— and made BETWEEN: 
  

	(1)	[OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad Street,
Monrovia, Republic of Liberia with registered number [C-113416] [C-113418] [C-113417] (the Owner); and 

  

	(2)	CHINA DEVELOPMENT BANK CORPORATION, acting for the purposes of this Deed through its branch at Ningxia, People’s Republic of China, as security agent and
trustee for and on behalf of the Finance Parties (as defined below) (the Mortgagee). 

 WHEREAS: 

 

	(A)	the Owner is the sole, absolute and unencumbered, legal and beneficial owner of all shares in the Ship described in clause 1.2; 

 

	(B)	by a loan agreement dated [—] 201 [—] and made between (1) the
Owner, [Oceansurf Owners Limited] and [Oceancentury Owners Limited] as joint and several borrowers (therein and herein referred to as the Borrowers), (2) Bank of China Limited as coordinating mandated lead arranger, China Development
Bank Corporation as mandated lead arranger, facility agent (in such capacity the Facility Agent) and Security Agent and (3) the financial institutions referred to in part 2 of schedule 1 thereto as original lenders (the Lenders),
the lenders agreed (inter alia) to make available to the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and twenty two million and five hundred and eighty thousand Dollars
($122,580,000); 

  

	(C)	the Owner has executed in favour of the Mortgagee a statutory Maltese mortgage of even date herewith in Account Current form constituting a first priority mortgage of
all shares in the said Ship; and 

  

	(D)	this Deed is supplemental to the Loan Agreement and the Mortgage and to the security thereby created and is the Deed of Covenants referred to in the Loan Agreement but
shall nonetheless continue in full force and effect notwithstanding any discharge of the Mortgage. 

 NOW THIS DEED WITNESSES
AND IT IS HEREBY AGREED as follows: 
  

	1	Definitions 

  

	1.1	Defined expressions 

Words and expressions defined in the Loan Agreement shall, unless the context otherwise requires or unless otherwise defined herein, have
the same meanings when used in this Deed. 
  

	1.2	Definitions 

 In this
Deed, unless the context otherwise requires: 
 Approved Brokers means such firm of insurance brokers appointed by the
Owner, as may from time to time be approved in writing by the Mortgagee for the purposes of this Deed 
 Casualty Amount
means one million and three hundred thousand Dollars ($$1,300,000) (or the equivalent in any other currency) in connection with the Ship 
 Collateral Instruments means notes, bills of exchange, certificates of deposit and other negotiable and non-negotiable instruments, guarantees, indemnities and other assurances against financial
loss and any other documents or instruments which contain or evidence an obligation (with or without security) to pay, discharge or be responsible directly or indirectly for, any indebtedness or liabilities of the Owner or any other person liable
and includes any documents or instruments creating or evidencing a mortgage, charge (whether fixed or floating), pledge, lien, hypothecation, assignment, trust arrangement or security interest of any kind 

  
 1 

 Default means any Event of Default or any event or circumstance which with the giving
of notice or lapse of time or the satisfaction of any other condition (or any combination thereof) would constitute an Event of Default 
 Earnings means all moneys whatsoever from time to time due or payable to the Owner during the Security Period arising out of the use or operation of the Ship including (but without limiting the
generality of the foregoing) all freight, hire and passage moneys, income arising under pooling arrangements, compensation payable to the Owner in the event of requisition of the Ship for hire, remuneration for salvage and towage services, demurrage
and detention moneys, damages for breach (or payments for variation or termination) of any charterparty or other contract for the employment of the Ship 
 Encumbrance means any mortgage, charge (whether fixed or floating), pledge, lien, hypothecation, assignment, trust arrangement or security interest or other encumbrance of any kind securing any
obligation of any person or any type of preferential arrangement (including without limitation title transfer and/or retention arrangements having a similar effect) 
 Expenses means the aggregate at any relevant time (to the extent that the same have not been received or recovered by the Mortgagee or any Receiver) of: 

 

	 	(a)	all losses, liabilities, costs, charges, expenses, damages and outgoings of whatever nature (including, without limitation, Taxes, repair costs, registration fees and
insurance premiums) suffered, incurred or paid by the Mortgagee or any Receiver in connection with the exercise of the powers referred to in or granted by this Deed or otherwise payable by the Owner in accordance with clause 10 (Costs and
indemnity); and 

  

	 	(b)	interest on all such losses, liabilities, costs, charges, expenses, damages and outgoings from the date on which the same were suffered, incurred or paid by the
Mortgagee or any Receiver until the date of receipt or recovery thereof (whether before or after judgment) at a rate per annum calculated in accordance with clause 8.4 (Default interest) of the Loan Agreement (as conclusively certified by the
Mortgagee or such Receiver, as the case may be) 

 Facility Agent includes its successors in title and its
replacements 
 Loan means the aggregate principal amount advanced and/or to be advanced from time to time by the Lenders
to the Borrowers pursuant to the Loan Agreement or, as the context may require, the amount thereof at any time outstanding 

Loan Agreement means the agreement dated [—] 2012 mentioned in recital
(B) hereto as it may from time to time be amended, restated, novated or replaced (however fundamentally including by an increase of any size in any facility made available under it, the alteration of the nature, purpose or period of any such
facility or the change of its parties) 
 Insurances means all policies and contracts of insurance (which expression
includes all entries of the Ship in a protection and indemnity or war risks association) which are from time to time during the Security Period in place or taken out or entered into by or for the benefit of the Owner (whether in the sole name of the
Owner or in the joint names of the Owner and the Mortgagee or otherwise) in respect of the Ship and her Earnings or otherwise howsoever in connection with the Ship and all benefits thereof (including claims of whatsoever nature and return of
premiums) 
 Loss Payable Clauses means the provisions regulating the manner of payment of sums receivable under the
Insurances which are to be incorporated in the relevant insurance documents, such provisions to be in the forms set out in the General Assignment or in such other forms as may from time to time be agreed in writing by the Mortgagee; 

Mortgage means the first priority statutory mortgage mentioned in recital (C) 

  
 2 

 Mortgaged Property means the Ship 

Mortgagee includes the successors in title and replacements of the Mortgagee; 

Outstanding Indebtedness means the aggregate of the Loan and interest accrued and accruing thereon, the Expenses and all other sums
of money from time to time owing to the Mortgagee, the Finance Parties or any of them, whether actually or contingently, under the Loan Agreement and the Finance Documents or any of them 

Owner includes the successors in title of the Owner 
 Port of Registry means the Port of Valletta or such other port of registry approved in writing by the Mortgagee which the Ship is, or is to be registered on, or at any relevant time hereafter

 Receiver means any receiver and/or manager appointed pursuant to clause 7.2 (Receiver) 

Security Period means the period commencing on the date hereof and terminating upon discharge of the security created by the
Finance Documents by payment of all moneys payable thereunder 
 Ship means the vessel
— registered at the Port of Valletta under official number — and includes any share or interest therein and her engines, machinery, boats, tackle,
outfit, equipment, spare gear, fuel, consumable or other stores, belongings and appurtenances whether on board or ashore and whether now owned or hereafter acquired and also any and all additions, improvements and replacements hereafter made in or
to such vessel or any part thereof or in or to her equipment and appurtenances aforesaid 
 Taxes includes all present and
future taxes, levies, imposts, duties, fees or charges of whatever nature together with interest thereon and penalties in respect thereof and Taxation shall be construed accordingly; and 

Total Loss means: 
  

	 	(a)	the actual, constructive, compromised or arranged total loss of the Ship; or 

 

	 	(b)	the Compulsory Acquisition of the Ship; or 

  

	 	(c)	the hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation of the Ship (other than where the same amounts to the Compulsory Acquisition of
the Ship) by any Government Entity, or by persons acting or purporting to act on behalf of any Government Entity, unless the Ship be released and restored to the Owner from such hijacking, theft, condemnation, capture, seizure, arrest, detention or
confiscation within thirty (30) days after the occurrence thereof. 

  

	1.3	Insurance terms 

 in
clause 5.1.1: 
  

	1.3.1	excess risks means the proportion (if any) of claims for general average, salvage and salvage charges and under the ordinary collision clause not recoverable in
consequence of the value at which the Ship is assessed for the purpose of such claims exceeding her insured value; 

  

	1.3.2	protection and indemnity risks means the usual risks (including oil pollution and freight, demurrage and defence cover) covered by a United Kingdom protection
and indemnity association or a protection and indemnity association which is managed in London (including, without limitation, the-proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable
under the hull and machinery policies by reason of the incorporation therein of clause 8 of the institute Time Clauses (Hulls) (1/11/95) or the Institute Amended Running Down Clause (1/10/71) or any equivalent provision); and

  
 3 

	1.3.3	war risks includes those risks covered by the standard form of English marine policy with Institute War and Strikes Clauses Hulls-Time (1/11/95) attached or
similar cover. 

  

	1.4	Construction of Mortgage terms 

 In the Mortgage: 
  

	1.4.1	references to interest shall be construed as references to interest covenanted to be paid in accordance with clause 3.1.2 and any interest specified in paragraph
(b) of the definition of Expenses in clause 1.2; 

  

	1.4.2	references to principal shall be construed as references to all moneys (other than interest) for the time being comprised in the Outstanding Indebtedness; and

  

	1.4.3	the term Account Current means an account or accounts maintained by the Mortgagee, in accordance with its usual practice, evidencing the amounts from time to
time lent by, owing to and paid to it under the Finance Documents. Such account or accounts shall, in the absence of manifest error, be conclusive as to the amount from time to time owing under the Finance Documents and any certificate from the
Mortgagee as to the amount owing under the Finance Documents shall be conclusive in the absence of manifest error, and the sum specified in any such certificate shall be the certain and liquidated sum owing to the Mortgagee.

  

	1.5	Headings 

 Clause headings
and the table of contents are inserted for convenience of reference only and shall be ignored in the interpretation of this Deed. 
  

	1.6	Construction of certain terms 

 In this Deed, unless the context otherwise requires: 
  

	1.6.1	references to clauses and schedules are to be construed as references to clauses of, and schedules to, this Deed and references to this Deed include its schedules;

  

	1.6.2	references to (or to any specified provision of) this Deed or any other document shall be construed as references to this Deed, that provision or that document as in
force for the time being and as amended in accordance with the terms thereof, or, as the case may be, with the agreement of the relevant parties; 

  

	1.6.3	words importing the plural shall include the singular and vice versa; 

  

	1.6.4	references to a person shall be construed as references to an individual, firm, company, corporation, unincorporated body of persons or any Government Entity;

  

	1.6.5	references to a guarantee shall include references to an indemnity or other assurance against financial loss including, without limitation, an obligation to
purchase assets or services as a consequence of a default by any other person to pay any Indebtedness and guaranteed shall be construed accordingly; and 

 

	1.6.6	references to statutory provisions shall be construed as references to those provisions as replaced or amended or re-enacted from time to time.

  

	1.7	Conflict with the Loan Agreement 

 This Deed shall be read together with the Loan Agreement but in case of any conflict between (a) the Loan Agreement and (b) this Deed, the provisions of the Loan Agreement shall prevail over those of this
Deed. 

  
 4 

	2	Mortgage and assignment 

  

	2.1	Mortgage and assignment 

By way of security for payment of the Outstanding Indebtedness, the Owner with full title guarantee hereby mortgages and charges to and in
favour of the Mortgagee all its rights, title and interest present and future in and to the Mortgaged Property. 
  

	2.2	Use of Owner’s name 

The Owner covenants and undertakes with the Mortgagee to do or permit to be done each and every act or thing which the Mortgagee may from
time to time require to be done for the purpose of enforcing the Mortgagee’s rights under this Deed and to allow its name to be used as and when required by the Mortgagee for that purpose. 

 

	3	Covenant to pay 

  

	3.1	In consideration of the agreement of the Lenders to advance to the Borrowers, subject to the terms of the Loan Agreement, the total principal sum of up to $122,580,000
(receipt of which sum the Owner (as one of the joint and several Borrowers, hereby acknowledges) the Owner hereby covenants with the Mortgagee: 

  

	3.1.1	to repay the Loan by the instalments and on the dates referred to and otherwise in the manner and upon the terms set out in the Loan Agreement;

  

	3.1.2	to pay interest on the Loan, and on any overdue interest or other moneys payable under the Loan Agreement, at the rate or rates from time to time applicable thereto in
the manner and upon the terms set out in the Loan Agreement; and 

  

	3.1.3	to pay all other moneys payable by the Owner or any other Security Party under the Finance Documents or any of them at the times and in the manner therein specified.

  

	4	Continuing security and other matters 

  

	4.1	Continuing security 

 The
security created by the Mortgage and this Deed shall: 
  

	4.1.1	be held by the Mortgagee as a continuing security for the payment of the Outstanding Indebtedness and the performance and observance of and compliance with all of the
covenants, terms and conditions contained in the Finance Documents, express or implied and the security so created shall not be satisfied by any intermediate payment or satisfaction of any part of the amount hereby and thereby secured (or by any
settlement of accounts between the Owner or any other person who may be liable to the Mortgagee or the Finance Parties or any of them in respect of the Outstanding Indebtedness or any part thereof and the Mortgagee) but in any case, subject to
clause 4.5 below, the amounts already paid to the Lenders shall reduce accordingly the then Outstanding Indebtedness; 

  

	4.1.2	be in addition to, and shall not in any way prejudice or affect, and may be enforced by the Mortgagee without prior recourse to, the security created by any of the
other Finance Documents or by any present or future Collateral Instruments, right or remedy held by or available to the Mortgagee or the Finance Parties or any right or remedy of the Mortgagee or the Finance Parties thereunder; and

  

	4.1.3	not be in any way prejudiced or affected by the existence of any of the other Finance Documents or any such Collateral Instrument, rights or remedies or by the same
becoming wholly or in part void, voidable or unenforceable on any ground whatsoever or by the Mortgagee dealing with, exchanging, varying or failing to perfect or enforce any of the same, or giving time for payment or performance or indulgence or
compounding with any other person liable. 

  
 5 

	4.2	Rights additional 

 All
the rights, remedies and powers vested in the Mortgagee hereunder shall be in addition to and not a limitation of any and every other right, power or remedy vested in the Mortgagee or the Finance Parties or any of them under the Loan Agreement, the
other Finance Documents or any such Collateral Instrument or at law and that all the powers so vested in the Mortgagee or the Finance Parties may be exercised from time to time and as often as the Mortgagee or the Finance Parties or any of them may
deem expedient. 
  

	4.3	No enquiry 

 Neither the
Mortgagee nor any Receiver shall be obliged to make any enquiry as to the nature or sufficiency of any payment received by it under the Mortgage and/or this Deed or to make any claim or take any action to collect any moneys hereby assigned or to
enforce any rights or benefits hereby assigned to the Mortgagee or to which the Mortgagee may at any time be entitled under the Mortgage and/or this Deed. 
  

	4.4	Obligations of Owner and Mortgagee 

 The Owner shall remain liable to perform all the obligations assumed by it in relation to the Mortgaged Property and the Mortgagee shall be under no obligation of any kind whatsoever in respect thereof or
be under any liability whatsoever in the event of any failure by the Owner to perform its obligations in respect thereof. 
  

	4.5	Suspense account 

 Any
money received by virtue of or in connection with the security created by this Deed may be placed to the credit of a suspense account with a view to preserving the rights of the Mortgagee to prove for the whole of the Outstanding Indebtedness
against the Owner in the event of any proceedings in, or analogous to, liquidation, composition or arrangement. 
  

	4.6	Settlements conditional 

Any release, discharge or settlement between the Owner and the Mortgagee or the Finance Parties or any of them shall be conditional upon
no security disposition or payment by the Owner or any other person to the Mortgagee or the Finance Parties or any of them being void or set aside or ordered to be refunded pursuant to any provisions or enactments relating to bankruptcy,
liquidation, administration or insolvency or for any other reason whatsoever and if such condition shall not be fulfilled, the Mortgagee shall be entitled to enforce the security created by this Deed and the other Finance Documents as if such
release, settlement or discharge had not occurred and any such payment had not been made. 
  

	4.7	Discharge of Mortgage 

Notwithstanding that this Deed is expressed to be supplemental to the Mortgage it shall continue in full force and effect after any
discharge of the Mortgage. 
  

	5	Covenants 

  

	5.1	The Owner hereby covenants with the Mortgagee and undertakes throughout the Security Period: 

 

	5.1.1	Insurance: 

  

	 	(a)	Insured risks, amounts and terms 

to insure and keep the Ship insured free of cost and expense to the Mortgagee and in the sole name of the Owner or, if so required by the
Mortgagee, in the joint names of the Owner and the Mortgagee (but without liability on the part of the Mortgagee for premiums or calls): 
  

	 	(i)	against fire and usual marine risks (including excess risks) and war risks, on an agreed value basis, in such amounts (but not in any event less than whichever shall be
the greater of the market value of the Ship for the time being and of an amount which shall be equal to at least one hundred and twenty five per cent (125%) of the Loan and upon such terms as shall from time to time be approved in writing by
the Mortgagee (acting on the instructions of the Lenders); 

  
 6 

	 	(ii)	against protection and indemnity risks (including pollution risks for the highest amount in respect of which cover is or may become available for ships of the same
type, size, age and flag as the Ship and a freight, demurrage and defence cover) for the full value and tonnage of the Ship (as approved in writing by the Mortgagee acting on the instructions of the Lenders) and upon such terms as shall from time to
time be approved in writing by the Mortgagee (acting on the instructions of the Lenders); and 

  

	 	(iii)	in respect of such other matters of whatsoever nature and howsoever arising as may from time to time be requested by the Mortgagee, 

and to pay to the Mortgagee the cost (as conclusively certified by the Mortgagee) of (aa) any mortgagee’s interest insurance
(including, if the Mortgagee shall so require, mortgagee’s additional perils (including all P&l risks) coverage) which the Mortgagee (acting on the instructions of the Lenders) may from time to time effect in respect of the Ship upon such
terms and in such amounts (not exceeding one hundred and ten per cent (110%) of the Loan) as it shall deem desirable; and (bb) any other insurance cover which the Mortgagee (acting on the instructions of the Lenders) may from time to time
effect in respect of the Ship and/or in respect of its interest or potential third party liability as mortgagee of the Ship as the Mortgagee shall deem desirable having regard to any limitations in respect of amount or extent of cover which may from
time to time be applicable to any of the other insurances referred to in this clause 5.1.1(a); 
  

	 	(b)	Approved brokers, insurers and associations 

 to effect the insurances aforesaid in such currency as the Mortgagee (acting on the instructions of the Lenders) may approve and through the Approved Brokers and with such insurance companies and/or
underwriters as shall from time to time be approved in writing by the Mortgagee (acting on the instructions of the Lenders); provided however that the insurances against war risks and protection and indemnity risks may be effected by the entry of
the Ship with such war risks and protection and indemnity associations as shall from time to time be approved in writing by the Mortgagee (acting on the instructions of the Lenders); 

 

	 	(c)	Fleet liens, set-off and cancellation 

 if any of the insurances referred to in clause 5.1.1(a) form part of a fleet cover, to procure that the Approved Brokers shall undertake to the Mortgagee that they shall neither set off against any claims
in respect of the Ship any premiums due in respect of other vessels under such fleet cover or any premiums due for other insurances, nor cancel the insurance for reason of non-payment of premiums for other vessels under such fleet cover or of
premiums for such other insurances, and shall undertake to issue a separate policy in respect of the Ship if and when so requested by the Mortgagee; 
  

	 	(d)	Payment of premiums and calls 

punctually to pay all premiums, calls, contributions or other sums payable in respect of all such insurances and to produce all relevant
receipts or other evidence of payment when so required by the Mortgagee; 

  
 7 

	 	(e)	Renewal 

 at least fourteen
(14) days before the relevant policies, contracts or entries expire, to notify the Mortgagee of the names of the brokers and/or the war risks and protection and indemnity associations proposed to be employed by the Owner or any other party for
the purposes of the renewal of such insurances and of the amounts in which such insurances are proposed to be renewed and the risks to be covered and, subject to compliance with any requirements of the Mortgagee pursuant to this clause 5.1.1, to
procure that appropriate instructions for the renewal of such insurances on the terms so specified are given to the Approved Brokers and/or to the approved war risks and protection and indemnity associations at least ten (10) days before the
relevant policies, contracts or entries expire, and that the Approved Brokers and/or the approved war risks and protection and indemnity associations will at least seven (7) days before such expiry (or within such shorter period as the
Mortgagee may from time to time agree) confirm in writing to the Mortgagee as and when such renewals have been effected in accordance with the instructions so given; 
  

	 	(f)	Guarantees 

 to arrange for the
execution and delivery of such guarantees or indemnities as may from time to time be required by any protection and indemnity or war risks association; 
  

	 	(g)	Hull policy documents, notices, loss payable clauses and brokers’ undertakings 

to deposit with the Approved Brokers (or procure the deposit of) all slips, cover notes, policies, certificates of entry or other
instruments of insurance from time to time issued in connection with such of the insurances referred to in clause 5.1.1(a) as are effected through the Approved Brokers and that the Mortgagee shall be furnished with pro forma copies thereof and a
letter or letters of undertaking from the Approved Brokers in such form as shall from time to time be required by the Mortgagee; 
  

	 	(h)	Associations’ loss payable clauses, undertakings and certificates 

 to procure that any protection and indemnity and/or war risks associations in which the Ship is for the time being entered shall endorse the relevant Loss Payable Clause on the relevant certificate of
entry or policy and shall furnish the Mortgagee with a copy of such certificate of entry or policy and a letter or letters of undertaking in such form as shall from time to time be required by the Mortgagee; 

 

	 	(i)	Extent of cover and exclusions 

to take all necessary action and comply with all requirements which may from time to time be applicable to the Insurances (including,
without limitation, the making of all requisite declarations within any prescribed time limits and the payment of any additional premiums or calls) so as to ensure that the Insurances are not made subject to any exclusions or qualifications to which
the Mortgagee has not given its prior written consent and are otherwise maintained on terms and conditions from time to time approved in writing by the Mortgagee (acting on the instructions of the Lenders); 

 

	 	(j)	Correspondence with brokers and associations 

 to provide to the Mortgagee, at the time of each such communication, copies of all written communications between the Owner and the Approved Brokers and approved war risks and protection and indemnity
associations which relate to compliance with requirements from time to time applicable to the Insurances including, without limitation, all requisite declarations and payments of additional premiums or calls referred to in clause 5.1.1 (i);

  
 8 

	 	(k)	Independent report 

 if so
requested by the Mortgagee, but at the cost of the Owner, to furnish the Mortgagee from time to time with a detailed report signed by an independent firm of marine insurance brokers appointed by the Mortgagee dealing with the insurances maintained
on the Ship and stating the opinion of such firm as to the adequacy thereof; 
  

	 	(l)	Collection of claims 

 to do all
things necessary and provide all documents, evidence and information to enable the Mortgagee to collect or recover any moneys which shall at any time become due in respect of the Insurances; 

 

	 	(m)	Employment of Ship 

 not to
employ the Ship or suffer the Ship to be employed otherwise than in conformity with the terms of the Insurances (including any warranties express or implied therein) without first obtaining the consent of the insurers to such employment and
complying with such requirements as to extra premium or otherwise as the insurers may prescribe; and 
  

	 	(n)	Application of recoveries 

 to
apply all sums receivable under the Insurances which are paid to the Owner in accordance with the Loss Payable Clauses in repairing all damage and/or in discharging the liability in respect of which such sums shall have been received; 

 

	5.1.2	Ship’s name and registration: not to change the name of the Ship or the IMO number of the Ship, and to keep the Ship registered as a Maltese ship at the
Port of Registry and not to do or suffer to be done anything, or omit to do anything the doing or omission of which could or might result in such registration being forfeited or imperilled or closed or which could or might result in the Ship being
required to be registered otherwise than as a Maltese ship at the Port of Registry and not to register the Ship or permit its registration under any other flag or at any other port without the prior written consent of the Mortgagee not to be
unreasonably withheld and if the said registration of the Ship is for a limited period, to renew the registration of the Ship at least forty-five (45) days prior to the expiry of such registration and to provide evidence of such renewal to the
Mortgagee at least thirty (30) days prior to such expiry; 

  

	5.1.3	Repair: to keep the Ship in a good and efficient state of repair and procure that all repairs to or replacement of any damaged, worn or lost parts or equipment
are effected in such manner (both as regards workmanship and quality of materials) as not to diminish the value of the Ship; 

  

	5.1.4	Modification; removal of parts; equipment owned by third parties: not without the prior written consent of the Mortgagee not to be unreasonably withheld to, or
suffer any other person to: 

  

	 	(a)	make any modification to the Ship in consequence of which her structure, type or performance characteristics could or might be materially altered or her value
materially reduced; or 

  

	 	(b)	remove any material part of the Ship or any equipment the value of which is such that its removal from the Ship would materially reduce the value of the Ship without
replacing the same with equivalent parts or equipment which are owned by the Owner free from Encumbrances; or 

  

	 	(c)	install on the Ship any equipment owned by a third party which cannot be removed without causing damage to the structure or fabric of the Ship;

  

	5.1.5	Maintenance of class; compliance with regulations: to maintain the relevant Classification as the class of the Ship and to comply with and ensure that the Ship
at all times complies with the provisions of the Maltese Merchant Shipping Act, Cap. 234 and all regulations and requirements (statutory or otherwise) from time to time applicable to vessels registered at the Port of Registry or otherwise applicable
to the Ship; 

  
 9 

	5.1.6	Survey reports: to deliver if so requested by the Mortgagee to the Mortgagee on each of the dates falling at twelve (12) monthly intervals after the date of
this Deed, a report prepared by surveyors or inspectors appointed by the Mortgagee in relation to the seaworthiness and safe operation of the Ship, to produce evidence to the Mortgagee that any recommendations made in such reports have been complied
with or will be complied with in accordance with their terms, in full and thereafter to procure that such recommendations are so complied with; 

  

	5.1.7	Inspection: to ensure that the Mortgagee, by surveyors or other persons appointed by it for such purpose (but at the expense of the Owner), may board the Ship at
all reasonable times for the purpose of inspecting the Ship and to afford all proper facilities for such inspections and for this purpose to give the Mortgagee reasonable advance notice of any intended drydocking of the Ship (whether for the purpose
of classification, survey or otherwise); 

  

	5.1.8	Prevention of and release from arrest: promptly to pay and discharge all debts, damages, liabilities and outgoings whatsoever which have given or may give rise
to maritime, statutory or possessory liens on, or claims enforceable against, the Ship, its Earnings or Insurances or any part thereof and, in the event of a writ or libel being filed against the Ship, its Earnings or Insurances or any part thereof,
or of any of the same being arrested, attached or levied upon pursuant to legal process or purported legal process or in the event of detention of the Ship in exercise or purported exercise of any such lien or claim as aforesaid, to procure the
release of the Ship, its Earnings and Insurances from such arrest, detention attachment or levy or, as the case may be, the discharge of the writ or libel forthwith upon receiving notice thereof by providing bail or procuring the provision of
security or otherwise as the circumstances may require; 

  

	5.1.9	Employment: not to employ the Ship or permit its employment in any manner, trade or business which is forbidden by international law, or which is unlawful or
illicit under the law of any relevant jurisdiction, or in carrying illicit or prohibited goods, or in any manner whatsoever which may render the Ship liable to condemnation in a prize court, or to destruction, seizure, confiscation, penalty or
sanctions and, in the event of hostilities in any part of the world (whether war be declared or not), not to employ the Ship or permit its employment in carrying any contraband goods, or enter or trade to or to continue to trade in any zone which
has been declared a war zone by any Government Entity or by the Ship’s war risks insurers unless the prior written consent of the Mortgagee is obtained and such special insurance cover as the Mortgagee may require shall have been effected by
the Owner and at its expense; 

  

	5.1.10	Information: promptly to furnish the Mortgagee with all such information as it may from time to time reasonably require regarding the Ship, its employment,
position and engagements, particulars of all towages and salvages, and copies of all charters and other contracts for its employment, or otherwise howsoever concerning her; 

 

	5.1.11	Notification of certain events: to notify the Mortgagee forthwith by facsimile thereafter confirmed by letter of: 

 

	 	(a)	any damage to the Ship requiring repairs the cost of which will or might exceed the Casualty Amount; 

 

	 	(b)	any occurrence in consequence of which the Ship has or may become a Total Loss; 

 

	 	(c)	any requisition of the Ship for hire; 

  

	 	(d)	any requirement or recommendation made by any insurer or the Classification Society or by any competent authority which is not, or cannot be, complied with in
accordance with its terms; 

  

	 	(e)	any arrest or detention of the Ship or any exercise or purported exercise of a lien or other claim on the Ship or the Earnings or Insurances or any part thereof;

  
 10 

	 	(f)	any petition or notice of meeting to consider any resolution to wind up the Owner (or any event analogous thereto under the laws of the place of its incorporation);

  

	 	(g)	the occurrence of any Default; and 

  

	 	(h)	the occurrence of any Environmental Claim against the Owner, the Ship, any other Relevant Party or any other Relevant Ship or any incident, event or circumstances which
may give rise to any such Environmental Claim; 

  

	5.1.12	Payment of outgoings and evidence of payments: promptly to pay all tolls, dues and other outgoings whatsoever in respect of the Ship and its Earnings and
Insurances and to keep proper books of account in respect of the Ship and its Earnings and, as and when the Mortgagee may so require, to make such books available for inspection on behalf of the Mortgagee, and to furnish satisfactory evidence that
the wages and allotments and the insurance and pension contributions of the Master and crew are being promptly and regularly paid and that all deductions from crew’s wages in respect of any applicable tax liability are being properly accounted
for and that the Master has no claim for disbursements other than those incurred by him in the ordinary course of trading on the voyage then in progress; 

  

	5.1.13	Encumbrances: not without the prior written consent of the Mortgagee (and then only subject to such conditions as the Mortgagee may impose) to create or purport
or agree to create or permit to arise or subsist any Encumbrance (other than Permitted Liens) over or in respect of the Ship, any share or interest therein or in any other part of the Mortgaged Property otherwise than to or in favour of the
Mortgagee; 

  

	5.1.14	Sale or other disposal: not without the prior written consent of the Mortgagee (and then only subject to such conditions as the Mortgagee may impose) to sell,
agree to sell, transfer, abandon or otherwise dispose of the Ship or any share or interest therein; 

  

	5.1.15	Chartering: 

  

	 	(a)	advise the Facility Agent promptly of any proposed charter or other contract of employment in respect of the Ship having a duration of over [twelve (12)] months (taking
into account any optional extensions thereof) and obtain the written approval of the Facility Agent acting on the instructions of the Majority Lenders in respect of (i) the terms and conditions of any such charterparty or other contract and
(ii) the relevant charterer or other counterparty to any such contract prior to entering into any such proposed charterparty or other contract; 

  

	 	(b)	not without the prior written consent of the Mortgagee not to be unreasonably withheld and, if such consent is given, only subject to such conditions as the Mortgagee
may reasonably impose, to let the Ship 

  

	 	(i)	on demise charter for any period; 

  

	 	(ii)	on terms whereby more than two (2) months’ hire (or the equivalent) is payable in advance; or 

 

	 	(iii)	below the market rate prevailing at the time when the Ship is fixed or other than on arm’s length terms; 

 

	5.1.16	Charter Assignment: 

  

	 	(a)	execute and deliver to the Mortgagee, if the Mortgagee so requires as a condition of its consent to the letting of the Ship in the circumstances described in clause
5.1.15(a), an assignment of its rights and interests in such charter (and any supporting charter documents) substantially in the form set out in Schedule 2 (Form of Charter Assignment) provided that such an assignment shall not be required if
the Earnings from the relevant charter are payable to a pool manager as part of a pooling arrangement and the Owner has assigned the benefit of the pool arrangements to the Mortgagee; and 

  
 11 

	 	(b)	serve notice of such assignment on the relevant charterer or other counterparty (with a copy to the Mortgagee) and (if so requested by the Mortgagee at any time after
an Event of Default) procure the acknowledgement of such notice addressed to the Mortgagee and Owner by the relevant charterer or other counterparty and pay on the Mortgagee’s demand all legal and other costs incurred by the Mortgagee or other
Finance Parties in connection with or in relation to any such assignment; 

  

	5.1.17	Sharing of Earnings: 

  

	 	(a)	not without the prior written consent of the Mortgagee (and then only subject to such conditions as the Mortgagee may impose including but not limited to as to the
terms and conditions of any pool agreement and the identity of any proposed pool manager) to enter into any agreement or arrangement whereby the Earnings may be shared with any other person other than through any previously approved pooling
arrangements and (if required by the Mortgagee); and 

  

	 	(b)	serve notice on the relevant pool manager (with a copy to the Mortgagee) of the assignment of Earnings contained in the General Assignment and (if so requested by the
Mortgagee at any time after an Event of Default) procure the acknowledgement of such notice addressed to the Mortgagee and Owner by the relevant pool manager; 

 

	5.1.18	Payment of Earnings: to procure that the Earnings are paid to the Operating Account pursuant to clause 19.2 (Operating Account: credits and withdrawals )
of the Loan Agreement (or to such other account as the Mortgagee may from time to time agree) and to procure that the same are paid to the Mortgagee at all times if and when the same shall be or shall have become so payable in accordance with the
Finance Documents after the Mortgagee shall have directed pursuant to the terms of the General Assignment and Loan Agreement that the same shall be no longer receivable by the Owner and that any Earnings which are so payable and which are in the
hands of the Owner’s brokers or agents are duly accounted for and paid over to the Mortgagee forthwith on demand; 

  

	5.1.19	Repairers’ liens: not without the prior written consent of the Mortgagee not to be unreasonably withheld to put the Ship into the possession of any person
for the purpose of work being done upon her in an amount exceeding or likely to exceed the Casualty Amount unless such person shall first have given to the Mortgagee in terms satisfactory to it, a written undertaking not to exercise any lien on the
Ship or the Earnings for the cost of such work or otherwise; 

  

	5.1.20	Manager: not without the prior written consent of the Mortgagee not to be unreasonably withheld to appoint any manager of the Ship other than the Manager (unless
such manager is a person with the same shareholder ownership as the Manager, in which case prior written notice of the appointment to the Mortgagee, not consent, is required) provided that in any case such new manager is required to enter into a
Manager’s Undertaking immediately upon its appointment as manager pursuant to which the new manager shall undertake not to terminate, or materially amend the terms of, the Management Agreement; 

 

	5.1.21	Notice of Mortgage: to place and at all times and places to retain a properly certified copy of the Mortgage and this Deed (which shall form part of the
Ship’s documents) on board the Ship with the Ship’s papers and cause such certified copy of the Mortgage and this Deed to be exhibited to any and all persons having business with the Ship which might create or imply any commitment or
encumbrance whatsoever on or in respect of the Ship (other than a lien for crew’s wages and salvage) and to any representative of the Mortgagee and to place and keep prominently displayed in the navigation room and in the Master’s cabin of
the Ship a framed printed notice in plain type reading as follows: 

 “NOTICE OF MORTGAGE 

This Ship is subject to a first priority mortgage and Deed of Covenants in favour of [here insert name of Mortgagee] of [here
insert address of Mortgagee]. Under the said mortgage and Deed of Covenants, neither the Owner nor any charterer nor the Master of this Ship has any right, power or authority to create, incur or permit to be imposed upon this Ship any
commitments or encumbrances whatsoever other than for crew’s wages and salvage” 

  
 12 

 and in terms of the said notice it is hereby agreed that save and subject as otherwise
herein provided, neither the Owner nor any charterer nor the Master of the Ship nor any other person has any right, power or authority to create, incur or permit to be imposed upon the Ship any lien whatsoever other than for crew’s wages and
salvage; 
  

	5.1.22	Conveyance on default: where the Ship is (or is to be) sold in exercise of any power contained in this Deed or otherwise conferred on the Mortgagee, to execute,
forthwith upon request by the Mortgagee, such form of conveyance of the Ship as the Mortgagee may require; 

  

	5.1.23	Anti-drug abuse: without prejudice to clause 5.1.9 (Employment), to take all necessary and proper precautions to prevent any infringements of the
Anti-Drug Abuse Act of 1986 of the United States of America or any similar legislation applicable to the Ship in any jurisdiction in or to which the Ship shall be employed or located or trade or which may otherwise be applicable to the Ship and/or
the Owner and, if the Mortgagee shall so require, to enter into a “Carrier Initiative Agreement” with the United States Customs and Border Protection and to procure that the same agreement (or any similar agreement hereafter introduced by
any Government Entity of the United States of America) is maintained in full force and effect and performed by the Owner; 

  

	5.1.24	Compliance with Environmental Laws: to comply with, and procure that all Environmental Affiliates of the Owner comply with, all Environmental Laws including,
without limitation, requirements relating to manning and establishment of financial responsibility and to obtain and comply with, and procure that all Environmental Affiliates of the Owner obtain and comply with, all Environmental Approvals;

  

	5.1.25	Injunction order: to appear, if and when requested by the Mortgagee, before the relevant courts of the Republic of Malta and consent to an injunction order
restraining the owner from selling, transferring, mortgaging or in any other way charging or dealing in the Ship pursuant to Section 37 of the Maltese Merchant Shipping Act, Cap. 234; 

 

	5.1.26	Section 45A of the Maltese Shipping Act, Cap. 234: to execute, whenever required by the Mortgagee, an instrument of mortgage amending the Mortgage in terms
of Section 45A of the Maltese Merchant Shipping Act, Cap. 234; 

  

	5.1.27	Resident Agent: to appoint a resident agent in terms of the Merchant Shipping (Ships Eligible for Registration) Regulations 2003, of Malta and ensure that the
resident agent is validly appointed throughout the Security Period; 

  

	5.1.28	Indebtedness due from the Security Parties: not to demand or accept repayment in whole or in part of any Indebtedness now or hereafter due to the Owner from the
any Security Party or from any other person liable or demand or accept any security in respect of the same or assign or charge the same as security; 

  

	5.1.29	No set-off or counterclaim: not to claim any set-off or counterclaim against any Security Party or any other person liable or claim or prove in competition with
the Mortgagee in the bankruptcy or liquidation (or equivalent) of any Security Party or any other person liable or have the benefit of, or share in, any payment from or composition with, any Security Party or any other person liable for any
Indebtedness of any Security Party or other any person liable but so that, if so directed by the Mortgagee, it will prove for the whole or any part of its claim in the liquidation or bankruptcy (or equivalent) of any Security Party on terms that the
benefit of such proof and of all money received by it in respect thereof shall be held on trust for the Mortgagee and applied in or towards discharge of the liabilities and obligations of the Owner to the Mortgagee under this Deed in such manner as
the Mortgagee shall deem appropriate; 

  

	5.1.30	No subrogation: not to exercise its rights of subrogation, reimbursement and indemnity against any Security Party; 

  
 13 

	5.1.31	Payments and compositions: not to have the benefit of any share in any payment or composition from any Security Party or any other person or in any other
guarantee or security now or hereafter held by the Mortgagee; and 

  

	5.1.32	No Encumbrance: not to take or receive any Encumbrance from any Security Party in respect of the liability of the Owner under this Deed.

  

	6	Powers of Mortgagee to protect security and remedy defaults 

  

	6.1	Protective action 

 The
Mortgagee shall, without prejudice to its other rights, powers and remedies under any of the Finance Documents, be entitled (but not bound) at any time, and as often as may be necessary, to take any such action as it may in its discretion think fit
for the purpose of protecting or maintaining the security created by this Deed and the other Finance Documents, and all Expenses attributable thereto shall be payable by the Owner on demand. 

 

	6.2	Remedy of defaults 

Without prejudice to the generality of the provisions of clause 6.1 (Protective action): 

 

	6.2.1	if the Owner fails to comply with any of the provisions of clause 5.1.1 (Insurance), the Mortgagee shall be entitled (but not bound) to effect and thereafter to
maintain all such insurances upon the Ship as in its discretion it may think fit in order to procure the compliance with such provisions or alternatively, to require the Ship (at the Owner’s risk) to remain in, or to proceed to and remain in a
port designated by the Mortgagee until such provisions are fully complied with; 

  

	6.2.2	if the Owner fails to comply with any of the provisions of clauses 5.1.3 (Repair), 5.1.5 (Maintenance of class; compliance with regulations) or 5.1.6
(Survey reports), the Mortgagee shall be entitled (but not bound) to arrange for the carrying out of such repairs, changes or surveys as it may deem expedient or necessary in order to procure the compliance with such provisions; and

  

	6.2.3	if the Owner fails to comply with any of the provisions of clause 5.1.8 (Prevention of and release from arrest), the Mortgagee shall be entitled (but not bound)
to pay and discharge all such debts, damages, liabilities and outgoings as are therein mentioned and/or to take any such measures as it may deem expedient or necessary for the purpose of securing the release of the Ship in order to procure the
compliance with such provisions, 

 and the Expenses attributable to the exercise by the Mortgagee of any such
powers shall be payable by the Owner to the Mortgagee on demand. 
  

	7	Powers of Mortgagee on Event of Default 

  

	7.1	Powers 

 Upon the
happening of any Event of Default, the Mortgagee shall become forthwith entitled following notice given to the Owner in accordance with the provisions of clause 15.2 (Acceleration) of the Loan Agreement to declare the Outstanding Indebtedness
or any relevant part thereof to be due and payable immediately or in accordance with such notice, whereupon the Outstanding Indebtedness or the relevant part thereof shall become so due and payable and (whether or not the Agent shall have given any
such notice) the Mortgagee shall become forthwith entitled, as and when it may see fit, to put into force and exercise in relation to the Mortgaged Property or any part thereof all or any of the rights, powers and remedies possessed by it as
mortgagee of the Mortgaged Property (whether at law, by virtue of the Mortgage and this Deed or otherwise) and in particular (without limiting the generality of the foregoing): 

 

	7.1.1	to take possession of the Ship; 

  
 14 

	7.1.2	to withdraw the Ship from any Pool Agreement and/or to direct that the Ship’s pool earnings shall be paid to the Mortgagee; 

 

	7.1.3	to collect, recover, compromise and give a good discharge for, all claims then outstanding or thereafter arising in respect of the Mortgaged Property, and to take over
or institute (if necessary using the name of the Owner) all such proceedings in connection therewith as the Mortgagee in its absolute discretion thinks fit; 

 

	7.1.4	to discharge, compound, release or compromise claims in respect of the Mortgaged Property which have given or may give rise to any charge or lien or other claim on the
Ship or which are or may be enforceable by proceedings against the Ship; 

  

	7.1.5	to sell the Ship or any share or interest therein with or without prior notice to the Owner, and with or without the benefit of any charterparty, and free from any
claim by the Owner (whether in admiralty, in equity, at law or by statute) by public auction or private contract, at such place and upon such terms as the Mortgagee in its discretion may determine, with power to postpone any such sale, and with
power, where the Mortgagee purchases the Ship, to make payment of the sale price by making an equivalent reduction in the amount of the Outstanding Indebtedness in the manner referred to in clause 8.1 (Application); 

 

	7.1.6	to manage, insure, maintain and repair the Ship, and to employ, sail or lay up the Ship in such manner and for such period as the Mortgagee, in its discretion, deems
expedient accounting only for net profits arising from any such employment; and 

  

	7.1.7	to recover from the Owner on demand all Expenses incurred or paid by the Mortgagee in connection with the exercise of the powers (or any of them) referred to in this
clause 7.1. 

  

	7.2	Receiver 

  

	7.2.1	Appointment 

 At any time after
the Outstanding Indebtedness or any relevant part thereof shall have become due and payable in accordance with a notice given to the Owner pursuant to clause [15.2 (Acceleration) ]of the Loan Agreement, the Mortgagee shall be entitled (but
not bound) by writing under its Common Seal or under the hand of any Director or officer of the Mortgagee to appoint any person or persons to be a receiver and/or manager of the Mortgaged Property or any part thereof (with power to authorise any
joint receiver and/or manager to exercise any power independently of any other joint receiver and/or manager) and may from time to time fix his remuneration, and may remove any receiver and/or manager so appointed and appoint another in his place.
Any receiver and/or manager so appointed shall be the agent of the Owner and the Owner shall be solely responsible for his acts or defaults and for his remuneration, and such receiver and/or manager so appointed shall have all powers conferred by
the Law of Property Act 1925 without the restrictions contained in sections 93 and 103 of that Act and, in addition, power on behalf of and at the cost of the Owner (notwithstanding any liquidation of the Owner) to do or omit to do anything which
the Owner could do or omit to do in relation to the Mortgaged Property or any part thereof and in particular (but without prejudice to the generality of the foregoing) any such receiver and/or manager may exercise all the powers and discretions
conferred on the Mortgagee by the Mortgage and this Deed. 
  

	7.2.2	Remuneration 

 Any Receiver shall
be entitled to remuneration appropriate to the work and responsibilities involved, upon the basis of charging from time to time adopted by the Receiver in accordance with the current practice of his firm, without being limited to the maximum rate
specified in section 109(6) of the Law of Property Act 1925. 
  

	7.2.3	Liability of mortgagee in possession 

 Unless otherwise required by any applicable Law neither the Mortgagee nor any Receiver shall be liable as mortgagee in possession in respect of all or any of the Mortgaged Property to account or be liable
for any loss upon realisation or for any neglect or default of any nature whatsoever in connection therewith for which a mortgagee in possession may be liable as such. 

  
 15 

	7.3	Dealings with Mortgagee or Receiver 

 Upon any sale of the Ship or any share or interest therein by the Mortgagee pursuant to clause 7.1.5 or pursuant to clause 11.1 (Power), or by any Receiver, the purchaser shall not be bound to see
or enquire whether the Mortgagee’s power of sale has arisen in the manner provided in this Deed and the sale shall be deemed to be within the power of the Mortgagee (or the Receiver, as the case may be) and the receipt of the Mortgagee (or the
Receiver, as the case may be) for the purchase money shall effectively discharge the purchaser who shall not be concerned with the manner of application of the proceeds of sale or be in any way answerable therefor and the sale shall operate to
divest the Owner of all rights, title and interest of any nature whatsoever in the Ship and to bar any such interest of the Owner and all persons claiming through or under the Owner. 

 

	8	Application of moneys 

  

	8.1	Application 

 All moneys
received by the Mortgagee or any Receiver in respect of: 
  

	8.1.1	A sale of the Ship or any share or interest therein; or 

  

	8.1.2	the employment of the Ship pursuant to the provisions of clause 7.1.6, 

 shall be held by it upon trust in the first place to pay or make good the Expenses and the balance shall: 
  

	 	(a)	in the case of moneys received in respect of sale of the Ship: 

  

	 	(i)	if no Default has occurred, be applied in making such prepayment as the Agent may require in accordance with clause 9.3 (Mandatory cancellation or prepayment - Total
Loss or disposal/sale) of the Loan Agreement and any payments required pursuant to clause 9.7 (Amounts payable on prepayment) of the Loan Agreement and the balance, if any, shall be paid to the Owner; or 

 

	 	(ii)	if a Default has occurred and is continuing but no Event of Default has occurred, be retained by the Mortgagee until such time as such Default is remedied and no other
Default has occurred and is continuing (whereupon such moneys shall be applied in making such prepayment as the Facility Agent may require in accordance with clause 9.3 (Mandatory cancellation or prepayment - Total Loss or disposal/sale) of
the Loan Agreement and any payments required pursuant to clause 9.7 (Amounts payable on prepayment) of the Loan Agreement and the balance, if any, shall be paid to the Owner) and/or shall be applied by the Mortgagee in or towards satisfaction
of any sums due and payable by the Owner under the Finance Documents or any of them by virtue of payment demanded thereunder, in each case as the Mortgagee may in its absolute discretion determine; and 

 

	 	(b)	in all cases if an Event of Default has occurred, be applied by the Mortgagee in the manner specified in clause 22.22 (Order of application) of the Loan
Agreement. 

  

	8.2	Shortfalls 

 In the event
that the balance referred to in clause 8.1 (Application) is insufficient to pay in full the whole of the Outstanding Indebtedness, the Mortgagee or the Receiver, as the case may be, shall be entitled to collect the shortfall from the Owner or
any other person liable for the time being therefor. 

  
 16 

	9	Remedies cumulative and other provisions 

  

	9.1	No implied waivers; remedies cumulative 

 No failure or delay on the part of the Mortgagee or the Finance Parties or any of them to exercise any right, power or remedy vested in it under the Loan Agreement, this Deed, the Mortgage or any of the
other Finance Documents shall operate as a waiver thereof, nor shall any single or partial exercise by the Mortgagee of any right, power or remedy nor the discontinuance, abandonment or adverse determination of any proceedings taken by the Mortgagee
to enforce any right, power or remedy preclude any other or further exercise thereof or proceedings to enforce the same or the exercise of any other right, power or remedy nor shall the giving by the Mortgagee of any consent to any act which by the
terms of this Deed requires such consent prejudice the right of the Mortgagee to withhold or give consent to the doing of any other similar act. The remedies provided in the Loan Agreement, this Deed, the Mortgage and the other Finance Documents are
cumulative and are not exclusive of any remedies provided by law. 
  

	9.2	Delegation 

 The Mortgagee
shall be entitled, at anytime and as often as may be expedient, to delegate all or any of the powers and discretions vested in it by the Mortgage and this Deed (including the power vested in it by virtue of clause 11 (Attorney) or any of the
other Finance Documents in such manner, upon such terms, and to such persons as the Mortgagee in its discretion may think fit. 
  

	9.3	Incidental powers 

 The
Mortgagee shall be entitled to do all acts and things incidental or conducive to the exercise of any of the rights, powers or remedies possessed by it as mortgagee of the Ship (whether at law, under the Mortgage and/or this Deed or otherwise) and in
particular (but without prejudice to the generality of the foregoing), upon becoming entitled to exercise any of its powers under clause 7.1 (Powers), the Mortgagee shall be entitled to discharge any cargo on board the Ship (whether the same
shall belong to the Owner or any other person) and to enter into such other arrangements in respect of the Ship, its insurances, management, maintenance, repair, classification and employment in all respects as if the Mortgagee was the owner of the
Ship, but without being responsible for any loss incurred as a result of the Mortgagee doing or omitting to do any such acts or things as aforesaid. 
  

	10	Costs and indemnity 

  

	10.1	Costs 

 The Owner shall
pay to the Mortgagee on demand on a full indemnity basis all expenses or liabilities of whatsoever nature (including legal fees, fees of insurance advisers, printing, out-of-pocket expenses, stamp duties, registration fees and other duties or
charges) together with any value added tax or similar tax payable in respect thereof, incurred by the Mortgagee in connection with the enforcement of, or preservation of any rights under, the Mortgage, this Deed or otherwise in respect of the
Outstanding Indebtedness and the security therefore, in connection with the preparation, completion, execution or registration of the Loan Agreement, the Mortgage or this Deed or any of the other Finance Documents, or in connection with any
assignment under clause 5.1.16 (Charter Assignment). 
  

	10.2	Mortgagee’s and Receiver’s indemnity 

 The Owner hereby agrees and undertakes to indemnify the Mortgagee and any Receiver against all losses, actions, claims, expenses, demands, obligations and liabilities whatever and whenever arising which
may now or hereafter be incurred by the Mortgagee or any such Receiver, or by any manager, agent, officer or employee for whose liability, act or omission it or he may be answerable, in respect of, in relation to, or in connection with anything done
or omitted in the exercise or purported exercise of the powers contained in the Mortgage, this Deed, or otherwise in connection therewith and herewith or with any part of the Mortgaged Property or otherwise howsoever in relation to, or in connection
with, any of the matters dealt with in the Mortgage or this Deed. 

  
 17 

	11	Attorney 

  

	11.1	Power 

 By way of
security, the Owner hereby irrevocably appoints the Mortgagee and any Receiver, jointly and also severally, to be its attorney generally for and in the name and on behalf of the Owner, and as the act and deed or otherwise of the Owner to execute,
seal and deliver and otherwise perfect and do all such deeds, assurances, agreements, instruments, acts and things which may be required for the full exercise of all or any of the rights, powers or remedies conferred by the Mortgage, this Deed, the
Loan Agreement or any of the other Finance Documents, or which may be deemed proper in or in connection with all or any of the purposes aforesaid (including, without prejudice to the generality of the foregoing the power to sell, transfer and
otherwise dispose of or deal with the Ship, the execution and delivery of a bill of sale of the Ship and to apply for the closure of the Maltese Registry in respect of the Ship in accordance with Section 28 of the Merchant Shipping Act, Cap.
234 of Malta and to pay all such fees, make all such declarations and receive all such certificates, including the deletion certificate as may be necessary and the power to procure at any time from the Registrar General of Shipping in Malta copies
duly authenticated by him of the Finance Documents or any of them). The power hereby conferred shall be a general power of attorney under the Powers of Attorney Act 1971, and the Owner ratifies and confirms, and agrees to ratify and confirm, any
deed, assurance, agreement, instrument, act or thing which the Mortgagee or the Receiver may execute or do pursuant thereto. Provided always that such power shall not be exercisable by or on behalf of the Mortgagee until the happening of an Event of
Default. The parties hereto declare that the mandate hereby granted is so granted in the interest of the Mortgagee and as part of its security. 
  

	11.2	Exercise of power 

 The
exercise of such power by or on behalf of the Mortgagee or any Receiver shall not put any person dealing with the Mortgagee or the Receiver upon any enquiry as to whether any Event of Default has happened, nor shall such person be in any way
affected by notice that no such Event of Default has happened, and the exercise by the Mortgagee or the Receiver of such power shall be conclusive evidence of the Mortgagee’s or such Receiver’s right to exercise the same. 

 

	11.3	Filings 

 The Owner hereby
irrevocably appoints the Mortgagee and any Receiver jointly and also severally to be its attorney in its name and on its behalf of the Owner and as its act and deed or otherwise of it, to agree the form of and to execute and do all deeds,
instruments, acts and things in order to file, record, register or enrol this Deed and the Mortgage in any court, public office or elsewhere which the Mortgagee may in its discretion consider necessary or advisable, now or in the future, to ensure
the legality, validity, enforceability or admissibility in evidence thereof and any other assurance, document, act or thing required to be executed by the Owner pursuant to clause 12 (Further assurance). 

 

	11.4	Power of attorney in Schedule 1 

 In order to assist the Mortgagee to obtain the full benefit of this clause 11, the Owner irrevocably and unconditionally undertakes to execute in favour of, and deliver to, the Mortgagee a power of
attorney in the form set out in Schedule 1 (Power of Attorney). 
  

	12	Further assurance 

 The
Owner hereby further undertakes at its own expense from time to time to execute, sign, perfect, do and (if required) register every such further assurance, document, act or thing as in the opinion of the Mortgagee may be necessary or desirable for
the purpose of more effectually 

  
 18 

 
mortgaging and charging the Mortgaged Property or perfecting the security constituted or intended to be constituted by the Mortgage and this Deed or contemplated by the Loan Agreement.

  

	13	Notices 

  

	13.1	Every notice, request, demand or other communication under this Deed shall: 

 

	13.1.1	be in writing delivered personally or by first-class prepaid letter (if available) or facsimile transmission or other means of telecommunication in permanent written
form; 

  

	13.1.2	be deemed to have been received in the case of a letter, when delivered personally or five (5) days after it has been put in the post and, in the case of a
facsimile transmission or other means of telecommunication in permanent written form, at the time of despatch (provided that if the date of despatch is not a business day in the country of the addressee or if the time of despatch is after the close
of business in the country of the addressee it shall be deemed to have been received at the opening of business on the next such business day); and 

  

	13.1.3	be sent: 

  

	 	(a)	if to the Owner at: 

 Dryships
Inc, Athens Office, 
 80 Kifisias Avenue, 
 151 24 Marousi, 
 Athens, Greece, 

 

			
	Fax No:	  	+30 210 80 90 505,
	Attention:	  	Mr. Ziad Nakhleh

  

	 	(b)	if to the Mortgagee at: 

 China
Development Bank Corporation 
 No 1 Yinjiaqu North Street 

Yinchuan City 

Ningxia 750004 

People’s Republic of China 
  

			
	Fax No:	  	+86 951 56 95 821
	Attention:	  	Mr. Zhang Jia

 or to such other address and/or numbers as is notified by one party to the other party under this Deed.

  

	14	Counterparts 

 This Deed
may be entered into in the form of two counterparts, each executed by one of the parties, and, provided both the parties shall so execute this Deed, each of the executed counterparts, when duly exchanged or delivered, shall be deemed to be an
original but, taken together, they shall constitute one instrument. 
  

	15	Severability of provisions 

Each of the provisions in this Deed are severable and distinct from the others, and if at any time one or more such provisions is or
becomes invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions of this Deed shall not in any way be affected or impaired thereby. 

  
 19 

	16	Law, and jurisdiction 

  

	16.1	Law 

 This Deed and any
non-contractual obligations connected with this Deed are governed by, and shall be construed in accordance with, English law. 
  

	16.2	Submission to jurisdiction 

For the benefit of the Mortgagee, the parties hereto irrevocably agree that any legal action or proceedings in connection with the
Mortgage and/or this Deed and/or any non-contractual obligations connected with either of them may be brought in the English courts or in the courts of any other country chosen by the Mortgagee, each of which shall have jurisdiction to settle any
disputes arising out of or in connection with the Mortgage and/or this Deed and/or any non-contractual obligations connected with either of them. The Owner irrevocably and unconditionally submits to the jurisdiction of the English courts and the
courts of any country chosen by the Mortgagee and irrevocably designates, appoints and empowers Ince Process Agents Ltd. at present of International House 1st Katharine Way, London E1W 1AY to receive, for it and on its behalf, service of process
issued out of the English courts in any legal action or proceedings arising out of or in connection with the Mortgage and/or this Deed and/or any non- contractual obligations connected with either of them. The submission to such jurisdiction shall
not (and shall not be construed so as to) limit the right of the Mortgagee to take proceedings against the Owner in any other court of competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of
proceedings in any other jurisdiction, whether concurrently or not. The parties further agree that only the courts of England and not those of any other State shall have jurisdiction to determine any claim which the Owner may have against the
Mortgagee arising out of or in connection with the Mortgage and/or this Deed and/or any non-contractual obligations connected with either of them. 
  

	16.3	Maltese legal proceedings 

If any legal action or proceedings arising out of or in connection with the Mortgage or this Deed is begun in Malta any writ, judgement,
notice of proceedings or other legal process shall sufficiently be served on the Owner if served or delivered to any one director of the Owner or [to be inserted] who the Owner hereby nominates as its attorney in Malta for those
purposes in the form of letter set out in Schedule 3 (Letter of Acceptance of Process Agent). The Owner covenants with the Mortgagee not to revoke its appointment of such director or person as its legal representative in Malta for the
purposes aforesaid and in the event of such director’s or person’s resignation or in any case where such director or person is unable to fulfil such capacity to procure that the Mortgagee is informed in writing forthwith, that another
suitable person resident in Malta is appointed legal representative in such director’s or person’s place and that the Mortgagee is informed promptly of the name and address of such substitute. 

 

	16.4	Contracts (Rights of Third Parties Act) 1999 

 No term of this Deed is enforceable under the Contracts (Rights of Third Parties Act) 1999 by a person who is not a party to this Deed. 
 IN WITNESS whereof this Deed has been duly executed as a deed the day and year first above written. 

  
 20 

 Schedule 1 
 Power of Attorney 
 By these presents, the undersigned [OCEANVIEW OWNERS LIMITED]
[OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at at 80 Broad Street, Monrovia, Republic of Liberia with registered number [C-113416] [C-113418] [C-113417], does hereby nominate and
appoint CHINA DEVELOPMENT BANK CORPORATION of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004, People’s Republic of China, as our Special Attorney and authorise it to apply for the closure of the Maltese Register of the m.v.
“[insert name of Ship]” in terms of Section 28 of the Merchant Shipping Act, Cap. 234 Laws of Malta, in our name and on our behalf and to pay all such fees, make all such declarations and receive all such certificates, including the
Deletion Certificate, as may be necessary for the proper fulfilment of the above mandate. 
 We further authorise our Attorney to request and
obtain from the Registrar of Shipping copies certified by the said Registrar of any documents that may be filed with the said Registrar. 
 Our
Attorney is authorised to delegate all its power hereunder in writing. 
 This mandate is granted in the interest of and as part of the security
of CHINA DEVELOPMENT BANK CORPORATION and is irrevocable. 
 This the [—] day of [—] 
  

	
	  

	for and on behalf of

 [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED] 

In the presence of: 

  
 21 

 Schedule 2 
 Form of Charter Assignment 

  
 22 

 Schedule 3 
 LETTER OF ACCEPTANCE OF PROCESS AGENT 
 China Development Bank Corporation 

No.1 Yinjiaqu North Street, 
 Yinchuan City

 Ningxia 750004 
 People’s
Republic of China 
 DATE 
 Dear Sirs,

 re: m.v.
“                    ” formerly Hull 1227 (the “Vessel”) 
 We refer to the Loan Agreement dated            2012 (the “Loan Agreement”) entered into between Oceanview Owners Limited (the
“Mortgagor”), Oceansurf Owners Limited and Oceancentury Owners Limited as joint and several borrowers (the “Borrowers”), Bank of China Limited as coordinating mandated lead arranger and yourself as mandated lead arranger (the
“Arrangers”), yourselves as facility agent (the “Facility Agent”) yourselves as security agent and trustee (the “Security Trustee”) and the financial institutions referred to in part 2 schedule 1 of the Loan Agreement
as original lenders (the “Lenders”) relating to a buyer credit facility of up to US$122,580,000 secured inter alia by a first priority mortgage in favour of the Security Trustee over the Vessel owned by the Mortgagor.
Words and expressions defined in the Loan Agreement shall have the same meaning in this letter. 
 We are pleased to confirm that we accept our
appointment as Agent to receive service of process issued out of the Maltese courts on behalf of the Mortgagor under Clause 16.3 of the Deed of Covenants dated            2012 and executed
by the Mortgagor in favour of the Security Trustee and also promptly to forward to the relevant party or parties, at the address specified in said Deed of Covenants, copies of any legal process, summons, notices or other documents received by the
undersigned as mandatory for service as aforesaid, subject to the conditions that: 
  

	 	a)	we will not be held personally responsible for any costs and/or fees connected with and incidental thereto; and 

 

	 	b)	we will give you notice of any failure by the Mortgagor to keep us in sufficient funds for the purpose of severally acting as agent for service of process in Malta and
agree not to terminate our said appointment without giving you reasonable notice to pay such funds and a reasonable period to effect payment. 

 We hereby undertake to notify you forthwith in the event that we shall cease to be located at the address hereunder following and to advise you forthwith of any new address. 

Yours faithfully, 
  

	
	  

  
 23 

					
	EXECUTED as a DEED	  	)	  	
	by	  	)	  	
	for and on behalf of	  	)	  	  

	[OCEANVIEW OWNERS LIMITED]	  		  	
	[OCEANSURF OWNERS LIMITED]	  		  	
	[OCEANCENTURY OWNERS LIMITED]	  	)	  	Attorney-in-Fact
	in the presence of:	  	)	  	
			
	  
	  		  	
	Witness	  		  	
	Name:	  		  	
	Address:	  		  	
	Occupation:	  		  	
			
	EXECUTED as a DEED	  	)	  	
	by	  	)	  	
	for and on behalf of	  	)	  	  

	CHINA DEVELOPMENT BANK CORPORATION	  	)	  	Attorney-in-Fact
	in the presence of:	  	)	  	
			
	  
	  		  	
	Witness	  		  	
	Name:	  		  	
	Address:	  		  	
	Occupation:	  		  	

  
 24 

 Schedule 11 
 Form of Charter Assignment 

  
 - 109 -

 Private & Confidential 

Dated              201- 

 
  

Owner 

[OCEANVIEW OWNERS LIMITED] 
 [OCEANSURF OWNERS LIMITED] 
 [OCEANCENTURY OWNERS LIMITED] 

Mortgagee 

CHINA DEVELOPMENT BANK CORPORATION 
  

 
 CHARTER
ASSIGNMENT 
 m.v. “ [Insert name of Ship] ” 

 
  

 
 

 

 Contents 

 

							
	Clause	  	Page	 
			
	 1
	  	 Definitions and interpretation
	  	 	3	  
			
	 2
	  	 Assignment
	  	 	4	  
			
	 3
	  	 Restrictions
	  	 	4	  
			
	 4
	  	 Perfection and protection of security
	  	 	4	  
			
	 5
	  	 Representations
	  	 	5	  
			
	 6
	  	 Enforcement
	  	 	5	  
			
	 7
	  	 Application of proceeds
	  	 	6	  
			
	 8
	  	 Power of attorney
	  	 	6	  
			
	 9
	  	 Continuing security
	  	 	6	  
			
	 10
	  	 Enforcement costs
	  	 	7	  
			
	 11
	  	 Benefit of Deed
	  	 	7	  
			
	 12
	  	 Governing law and enforcement
	  	 	7	  

  
 2 

 THIS DEED is dated [—] and made between:

  

	(1)	[OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED] (as described in more detail in Schedule 1) (the Owner); and

  

	(2)	CHINA DEVELOPMENT BANK CORPORATION acting in its capacity as agent and as trustee for the Finance Parties (the Mortgagee). 

IT IS AGREED as follows: 
  

	1	Definitions and interpretation 

  

	1.1	Terms defined in the Loan Agreement have, unless defined differently in this Deed, the same meaning when used in this Deed. In addition, in this Deed:

 Assigned Property means all of the rights which the Owner has now or may obtain at any time in the future
under the Charter Documents and in any rights accruing to, derived from or otherwise connected with them including the right to receive Charter Earnings. 
 Charter means the charter commitment for the Ship details of which are provided in Schedule 1. 
 Charter Documents means the Charter and any guarantee or security provided for the Charterer’s obligations under the Charter and includes any agreement varying or terminating any of them.

 Charterer means the charterer named in Schedule 1. 

Charter Earnings means all money at any time payable to the Owner under or pursuant to the Charter Documents, damages for breach of
any of them and payments for termination or variation of any of them. 
 Enforcement Time means any time at which an Event
of Default has happened and is continuing. 
 Loan Agreement means the agreement described in Schedule 1 as it may from
time to time be amended, restated, novated or replaced (however fundamentally, including by an increase of any size in any facility made available under it, the alteration of the nature, purpose or period of any such facility or the change of its
parties). 
 Mortgage means a first priority mortgage over the Ship in favour of the Mortgagee of the same date as this
Deed and includes the deed of covenants and the general assignment collateral to such mortgage. 
 Receiver means a
receiver and/or manager appointed under this Deed. 
 Secured Obligations means the indebtedness and obligations
undertaken to be paid or discharged by the Owner in the Mortgage and under any other Finance Documents. 
 Ship means the
vessel described in Schedule 1 and as described in more detail in the Mortgage. 
  

	1.2	Clauses 1.3 (Construction of certain terms) and 24.3 (Contracts (Rights of Third parties) Act 1999) of the Loan Agreement and any other
provision of the Loan Agreement which, by its terms, purports to apply to all of the Finance Documents and/or any Obligor shall apply to this Deed as if set out in it but with all necessary changes and as if references in the provision to Finance
Documents referred to this Deed. 

	2	Assignment 

  

	2.1	The assignment contained in this clause 2 secures the payment and discharge of the Secured Obligations and is given with full title guarantee. 

 

	2.2	The undertakings of the Owner under this clause 2 and the other provisions of this Deed and the assignment contained in this clause 2 are given to the Mortgagee as
agent and trustee for the Finance Parties. 

  

	2.3	The Owner assigns the Assigned Property to the Mortgagee. 

  

	2.4	Unless it is an Enforcement Time and the Mortgagee directs to the contrary, the Charter Earnings shall be payable to the Operating Account, but following such a
direction, the Charter Earnings shall be payable to the Mortgagee or as it may direct and the Mortgagee may instruct any person from whom the Charter Earnings are due to pay them accordingly. Any Charter Earnings then in the hands of an agent of the
Owner shall be deemed to be held to the order of the Mortgagee. 

  

	2.5	Any moneys received by the Mortgagee in accordance with clause 2.4 shall be applied in accordance with clause 7 (Application of proceeds).

  

	2.6	The Owner shall on the date of this Deed give notice of the assignment by this Deed of its rights under the Charter by sending a notice to the Charterer in the form
scheduled to this Deed or in such other form as the Mortgagee may reasonably require. 

  

	2.7	Promptly on being requested to so do by the Mortgagee, the Owner shall give written notice in such form as the Mortgagee may reasonably require consistent with this
clause 2 of the assignment in this Deed to anyone from whom any part of the Assigned Property is or may be due and provide the Mortgagee with as many of such notices signed by the Owner as the Mortgagee may require. 

 

	2.8	At any time which is an Enforcement Time, the Owner shall procure that any notice of assignment required by this Deed is acknowledged by the recipient in the manner
attached to such form of that notice. 

  

	2.9	If the Mortgagee is satisfied that all the Secured Obligations have been irrevocably and unconditionally discharged in full, the Mortgagee shall, at the request and
cost of the Owner, release and discharge this Deed and reassign the Assigned Property to the Owner. Section 93 of the Law of Property Act 1925 shall not apply to this Deed. 

 

	3	Restrictions 

 The Owner
shall ensure that during the Mortgage Period: 
  

	 	(a)	except as permitted under the Finance Documents, there is no disposal of the Assigned Property and, except for this Deed, no Security Interest shall exist over, or in
relation to, the Assigned Property; and 

  

	 	(b)	the undertakings contained in clause 5.1.15 (Chartering) of the Deed of Covenants are complied with. 

 

	4	Perfection and protection of security 

  

	4.1	The Owner shall, as soon as reasonably practicable, execute all such documents (including notices), effect all such registrations and filings, deposit all such
documents and do all such things as the Mortgagee may reasonably require in order to: 

  

	 	(a)	ensure that it has an effective first priority assignment of the Assigned Property; and 

  
 4 

	 	(b)	facilitate the enforcement of this Deed, the realisation of the Assigned Property or the exercise of any rights held by the Mortgagee or any Receiver under or in
connection with this Deed. 

  

	4.2	The Owner shall, as soon as reasonably practicable, procure the execution and delivery by the Charterer of undertakings in the form of the Charterer’s Undertakings
set out in Schedule 3 (Charterer’s Subordination Undertaking) in favour of the Security Agent. 

  

	4.3	The Mortgagee may take any action it thinks appropriate to protect or maintain its rights under this Deed or to remedy any breach by the Owner of its undertakings under
the Finance Documents relating to the Assigned Property and/or the Charter Documents. 

  

	5	Representations 

 The
Owner represents and warrants that: 
  

	 	(a)	it is the sole legal and beneficial owner of the Assigned Property free from all Security Interests except as permitted by the Finance Documents;

  

	 	(b)	it has not disposed of any of the Assigned Property; 

  

	 	(c)	it has the right to assign its rights under the Charter Documents under this Deed without the need for any consent or approval under them (other than any consent or
approval which has already been obtained); and 

  

	 	(d)	the representations and warranties concerning the Owner and/or this Deed and/or the Charter Documents made or deemed repeated on the date of this Deed under the Loan
Agreement are true and correct. 

  

	6	Enforcement 

  

	6.1	The Mortgagee may enforce the security created by this Deed in any way it may decide at any time which is an Enforcement Time by exercising any powers conferred on it
by law or by this Deed and, in addition, may: 

  

	 	(a)	exercise any of the Owner’s rights under the Charter Documents, including any right to terminate or rescind any Charter Document; 

 

	 	(b)	collect, recover and give a good discharge for any moneys or claims in respect of the Assigned Property and permit any brokers through whom collection or recovery is
effected to charge the usual brokerage for doing so; 

  

	 	(c)	settle, refer to arbitration, compromise and arrange any claims, accounts, disputes, questions and demands with or by any person relating to the Assigned Property
and/or the Charter Documents; 

  

	 	(d)	assign the Assigned Property; 

  

	 	(e)	agree with any party to any Charter Document to terminate or rescind or amend or vary or replace that Charter Document or any person’s obligations under it on such
terms and conditions as the Mortgagee and that party may mutually agree; 

  

	 	(f)	bring, prosecute, defend or abandon any action, suit or proceedings in relation to the Assigned Property and/or the Charter Documents; 

 

	 	(g)	do anything incidental or conducive to the exercise of its rights as assignee of the Assigned Property; and/or 

 

	 	(h)	appoint a Receiver of the Assigned Property. 

  
 5 

	6.2	The Mortgagee and any Receiver may use the name of the Owner when exercising their powers under this Deed. 

 

	6.3	Section 103 of the Law of Property Act 1925 shall not apply to any disposal of the Assigned Property pursuant to this Deed. 

 

	6.4	The provisions of clauses 7.1 (Powers), 7.2 (Receiver), and 7.3 (Dealings with Mortgagee or Receiver) of
the Deed of Covenants concerning the appointment and powers of a Receiver shall apply to this Deed and the Assigned Property with all necessary changes. 

  

	6.5	The Mortgagee or any Receiver may delegate in any manner to any person any right, power or discretion exercisable by it under this Deed. Any such delegation may be made
on such terms (including power to sub-delegate) as the Mortgagee or Receiver thinks fit. 

  

	7	Application of proceeds 

  

	7.1	All moneys received by the Mortgagee or by a Receiver in the exercise of their rights under this Deed shall, subject to the rights of any persons having priority, be
applied first, in or towards payment of any amounts payable under 10 (Enforcement costs) and after that in accordance with clause 20.22 (Order of application) of the Loan Agreement. 

 

	7.2	If the moneys applied in this way are not sufficient fully to pay and discharge the Secured Obligations, the Owner shall continue to be liable for the balance of the
Secured Obligations. 

  

	8	Power of attorney 

  

	8.1	The Owner by way of security irrevocably appoints each of the Mortgagee and any Receiver severally to be its attorney (with full powers of substitution) in its name and
on its behalf to do all things which the attorney may consider necessary or desirable to enable it: 

  

	 	(a)	to perform any action which the Owner is obliged to take under this Deed; 

  

	 	(b)	to exercise any of the rights, powers and authorities conferred on it by this Deed or by law; or 

 

	 	(c)	to record this Deed and any document executed pursuant to clause 4 (Perfection and protection of security) in any court, public office or
elsewhere. 

  

	8.2	The power of attorney in this clause 8 may only be exercised at an Enforcement Time but the exercise of such power shall be conclusive evidence of the Mortgagee’s
or the Receiver’s right to exercise it and no person dealing with the Mortgagee or the Receiver shall need to enquire whether it is, or shall be affected by notice that it is not, an Enforcement Time. The Owner ratifies and confirms whatever
the attorney does or purports to do in accordance with the rights and powers conferred on him under clause 8.1. 

  

	9	Continuing security 

  

	9.1	This Deed and the obligations of the Owner under this Deed shall extend to the ultimate balance owing in respect of the Secured Obligations, regardless of any
intermediate payment in whole or in part. 

  

	9.2	This Deed is in addition to and is not in any way prejudiced by any other security, guarantee, right, power or remedy now or subsequently held by the Mortgagee or any
of the other Finance Parties. 

  

	9.3	Neither the Mortgagee nor any Receiver shall be obliged to enquire about the nature or sufficiency of any payment received by it under this Deed or to take any action
to enforce this Deed. 

  
 6 

	9.4	The Owner shall remain liable to perform ail its obligations in relation to the Assigned Property and the Mortgagee is not responsible for those obligations.

  

	10	Enforcement costs 

 The
Owner shall, on demand by the Mortgagee, pay (and indemnify the Mortgagee and any Receiver against) all costs, expenses, liabilities or other amounts incurred by the Mortgagee, any Finance Party or any Receiver in connection with: 

 

	 	(a)	the taking, holding, protection, enforcement or preservation of this Deed; 

 

	 	(b)	the exercise or purported exercise of any of the rights, powers, discretions and remedies vested in the Mortgagee and each Receiver by this Deed or by law unless and to
the extent that it was caused by its gross negligence or wilful misconduct; 

  

	 	(c)	any claim (whether relating to the environment or otherwise) made or asserted against it which would not have arisen but for the execution or enforcement of this Deed
(unless and to the extent it is caused by its gross negligence or wilful misconduct); 

  

	 	(d)	any breach by the Owner of this Deed; or 

  

	 	(e)	any amendment, waiver, consent or release of this Deed 

 and pay any remuneration payable to any Receiver. 
  

	11	Benefit of Deed 

 With
prior written notice to the Owner, the Mortgagee may assign its rights under this Deed to any person appointed as Security Agent under the Loan Agreement. It is intended that this document takes effect as a deed even though the Mortgagee may only
execute it under hand. 
  

	12	Governing law and enforcement 

  

	12.1	This Deed and any non-contractual obligations connected with it are governed by English law. 

 

	12.2	The courts of England have exclusive jurisdiction to settle any dispute arising out of or in connection with this Deed or any non-contractual obligations connected with
it (including a dispute regarding the existence, validity or termination of this Deed) (a Dispute). 

  

	12.3	The parties agree that the courts of England are the most appropriate and convenient courts to settle Disputes and, accordingly, that they shall not argue to the
contrary. 

  

	12.4	Clauses 12.2 and 12.3 are for the benefit of the Mortgagee only. As a result, the Mortgagee shall not be prevented from taking proceedings relating to a Dispute in any
other courts with jurisdiction. To the extent allowed by law, the Mortgagee may take concurrent proceedings in any number of jurisdictions. 

  

	12.5	Without prejudice to any other mode of service allowed under any relevant law, the Owner: 

 

	 	(a)	irrevocably appoints the person named as such in clause 24.2 of the Loan Agreement as its agent for service of process in relation to any proceedings before the English
courts in connection with this Deed; 

  

	 	(b)	agrees that failure by the process agent to notify the Owner of the process shall not invalidate the proceedings concerned; and 

 

	 	(c)	if any person appointed as process agent for the Owner is unable for any reason to act as agent for service of process, the Owner must immediately (and in any event
within ten days of such event taking place) appoint another agent on terms acceptable to the Mortgagee. Failing this, the Mortgagee may appoint another agent for this purpose. 

  
 7 

 This Deed has been executed as a deed, and it has been delivered on the date stated at the beginning of
this Deed. 

  
 8 

 Schedule 1 
 Ship and Charter Information 
  

			
	Owner	  	
		
	 Country of incorporation:
	  	Liberia, Registered number: [C-113416] [C-113418] [C-113417]
		
	 Registered office:
	  	80 Broad Street, Monrovia, Liberia
		
	The Ship	  	
		
	 Yard number:
	  	[H1227] [H1228] [H1229]
		
	 Builder:
	  	Shanghai Jiangnan-Changxing Shipbuilding Company Limited
		
	 Date of shipbuilding contract:
	  	4 March 2010
		
	The Charter	  	
		
	 Date:
	  	26 March 2010
		
	 Original Buyer
	  	[Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited] (each incorporated in Marshall Islands)
		
	 Description:
	  	Time Charters in relation to the Ships dated 26 March 2010 between the Original Buyer and the Time Charterer as novated by novation agreements dated 26 March 2010 between the
Original Buyer the Owner and the Time Charterer

  

			
		
	Charterer	  	
		
	 Name of Charterer:
	  	Classic Maritime Inc.
		
	 Country of incorporation of Charterer:
	  	Republic of the Marshall Islands
		
	 Registered number of Charterer:
	  	27873
		
	 Registered office of Charterer:
	  	Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960

 [Insert here similar information concerning any other security for the Charterer’s obligations and the
provider(s) of it.] 
  

			
	Loan Agreement	  	
		
	Description:	  	Term loan facility
		
	Date:	  	— 201 [—    ]
		
	Amount of facility:	  	Up to $ 122,580,000
		
	Parties:	  	
		
	 (a)                Borrowers:
	  	Oceanview Owners Limited, Oceansurf Owners Limited and Oceancentury Owners Limited
		
	 (b)                Lender(s):
	  	financial institutions referred to in that agreement
		
	 (c)                Agent:
	  	China Development Bank Corporation as agent for the Finance Parties from time to time
		
	 (d)                Security
Agent:
	  	China Development Bank Corporation as security agent for the Finance Parties from time to time

  
 9 

			
	 (e)                Coordinating Mandated Lead
Arranger:
	  	Bank of China Limited
		
	 (f)                 Mandated Lead
Arranger:
	  	China Development Bank Corporation

  
 10 

 Schedule 2 
 Notice of assignment to Charterer 
  

	To:	[insert Charterer’s name and address] 

 Date: [—] 
 Dear Sirs 

 

	1	By a first priority assignment dated [—] by us to [insert name of Mortgagee] (the Mortgagee) we have
assigned to the Mortgagee all of our rights to receive moneys payable to us under the [insert details of relevant charter] of — (the Charter), damages for breach of
the Charter and payments for its variation or termination (Charter Moneys) and all our other rights under the Charter and we instruct you as follows. 

 

	2	You may continue to pay Charter Moneys to us to the credit of account number [insert Operating Account number and details] with [insert name of Operating
Account Bank] until the Mortgagee instructs you to pay them to it or its order. If the Mortgagee does that then you should pay the Charter Moneys in accordance with its instruction. 

 

	3	You should provide the Mortgagee with any information concerning the Charter or payment of Charter Moneys which it requests and shall not require any further approval
from us to do so. 

  

	4	Although we have assigned our rights under the Charter to the Mortgagee, we remain liable to perform our obligations under the Charter and the Mortgagee will not be
liable to perform those obligations. We may not agree any variation or amendment to the Charter, release any of your obligations under the Charter, waive any breach by you of the Charter or terminate or rescind the Charter or take any similar action
unless the Mortgagee also agrees. 

  

	5	The instructions in this letter cannot be revoked or varied without the Mortgagee’s consent. 

 

	
	Yours faithfully
	
	  

	
	For and on behalf of

 [OCEANVIEW OWNERS LIMITED] 
 [OCEANSURF OWNERS LIMITED] 
 [OCEANCENTURY OWNERS LIMITED] 

  
 11 

	To:	China Development Bank Corporation 

  

	1	We: 

  

	 	(a)	acknowledge receipt of the above letter from [Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited] (the Owner);

  

	 	(b)	confirm that we have not received notice of any other assignment or charge of the Charter Moneys or the rights of the Owner under the Charter; and

  

	 	(c)	agree (for US$1.00 and other good and valuable consideration which we have received) to comply with the terms of that letter and this acknowledgement.

  

	2	We also understand and agree that no variation or amendment to the Charter or release of our obligations under the Charter or waiver of any breach by us of such
obligations or any termination or rescission of the Charter or similar action by the Owner shall be effective unless you agree to it. 

  

	3	We shall immediately notify you of any default by the Owner pursuant to which we propose to terminate or rescind the Charter and, before exercising any such right to
terminate where the default is capable of being remedied, we shall first give you a period of 21 days during which you may, if you wish to do so, remedy the default. 

 

	
	Yours faithfully
	
	  

	  
 For and on behalf of

 
 [insert name of Charterer]

 
 Date:

  
 12 

 Schedule 3 
 Form of Charterer’s Subordination Undertaking 

  
 13 

					
	SIGNATORIES
			
	EXECUTED as a DEED	  	)	    	
	by	  	)	    	
	for and on behalf of	  	)	    	  

	[OCEANVIEW OWNERS LIMITED]	  		    	
	[OCEANSURF OWNERS LIMITED]	  		    	
	[OCEANCENTURY OWNERS LIMITED]	  	)	    	Attorney-in-Fact
	in the presence of:	  	)	    	
			
	  
	  		    	
	Witness	  		    	
	Name:	  		    	
	Address:	  		    	
	Occupation:	  		    	
			
	EXECUTED as a DEED	  	)	    	
	by	  	)	    	
	for and on behalf of	  	)	    	  

	CHINA DEVELOPMENT BANK CORPORATION	  	)	    	Attorney-in-Fact
	in the presence of:	  	)	    	
			
	  
	  		    	
	Witness	  		    	
	Name:	  		    	
	Address:	  		    	
	Occupation:	  		    	

  
 14 

 Schedule 12 
 Form of Manager’s Undertaking 

  
 - 110 -

 Private & Confidential 
 Form of Manager’s Undertaking 
 [Letterhead of TMS BULKERS Ltd]

  

	To:	China Development Bank Corporation 

 No.1 Yianjiaqu North Street 
 Yinchuan City 

Ningxia 750004 

People’s Republic of China 

Attention: Mr. Zhang Jia 
 Date [—] 
 Dear Sirs, 
 Re. m.v. “—” - management agreement with [Oceanview Owners Limited][Oceansurf Owners Limited][Oceancentury Owners Limited] (the
Owner) 
  

	1	Confirmation of appointment 

 We hereby confirm that we have been appointed as the manager of m.v. “[insert the name of Ship]” (Ship) registered under Maltese flag at the Port of Valetta in the ownership of the
Owner pursuant to a Management Agreement dated [—] (Management Agreement) and made between ourselves and the Owner and that we have accepted our appointment thereunder in accordance with the
terms and conditions thereof. 
  

	2	Loan Agreement 

 We
understand that (a) under a Loan Agreement dated [—] 2012 and made between (1) the Owner, [Oceanview Owners Limited], [Oceansurf Owners Limited] [and] [Oceancentury Owners Limited] as joint
and several borrowers (therein and herein referred to as the Borrowers), (2) Bank of China Limited as coordinating mandated lead arranger, you (China Development Bank Corporation) as mandated lead arranger, facility agent (in such
capacity the Facility Agent) and Security Agent and (3) the financial institutions referred to in part 2 of schedule 1 thereto as original lenders (the Lenders), the lenders agreed (inter alia) to make available to
the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and twenty two million and five hundred and eighty thousand Dollars ($122,580,000) and (b) that it is a condition to the
Lenders’ agreement to make the Loan to the Borrowers that we TMS BULKERS Ltd (Manager) enter into this letter in favour of the Security Agent. 
 Words and expressions defined in the Loan Agreement shall, unless otherwise specified herein, have the same meanings when used herein. 

 

	3	Representation and warranty 

 We hereby represent and warrant that the copy of the Management Agreement set out in Appendix 1 to this letter is a true and complete copy of the Management Agreement, that the Management Agreement
constitutes valid and binding obligations of the Manager enforceable in accordance with its terms and that there have been no amendments or variations thereto or defaults thereunder by the Manager or, to the best of the Manager’s knowledge and
belief, the Owner. 

  
 1 

	4	Undertakings 

 The Manager
undertakes with the Security Agent that for so long as amounts are outstanding under the Loan Agreement (the Facility Period): 
  

	 	(a)	the Manager will not agree or purport to agree to any amendment or variation of the Management Agreement without the prior written consent of the Security Agent not to
be unreasonably withheld; 

  

	 	(b)	the Manager will procure that any sub-manager appointed by it pursuant to the provisions of the Management Agreement or otherwise will, on or before the date of such
appointment, enter into an undertaking in favour of the Security Agent in substantially the same form (mutatis mutandis) as this letter; 

  

	 	(c)	the Manager will not, without the prior written consent of the Security Agent (not to be unreasonably withheld) take any action or institute any proceedings or make or
assert any claim against the Owner or on or in respect of (i) the Ship, (ii) its policies and contracts of insurance (which expression includes all entries of the Ship in a protection and indemnity or war risks association) which are from
time to time during the Facility Period in place or taken out or entered into by or for the benefit of the Owner in respect of the Ship or otherwise howsoever in connection with that Ship (Insurances) or (iii) any moneys whatsoever from
time to time due or payable to the Owner during the Facility Period arising out of the use or operation of the Ship including (but without limiting the generality of the foregoing) all freight, hire and passage moneys, income arising under pooling
arrangements, compensation payable to the Owner in event of requisition of the Ship for hire, remuneration for salvage and towage services, demurrage and detention moneys, and damages for breach (or payments for variation or termination) of any
charterparty or other contract for the employment of the Ship (Earnings) or (iv) any other property or other assets of the Owner which the Security Agent has previously advised the Manager are subject to any encumbrance or right of
set-off in favour of the Finance Parties by virtue of any of the Finance Documents (as defined in the Loan Agreement); 

  

	 	(d)	the Manager will discontinue any such action or proceedings or claim which may have been taken, instituted or made or asserted, promptly upon notice from the Security
Agent to do so; 

  

	 	(e)	the Manager does hereby subordinate any claim that it may have against the Owner or otherwise in respect of the Ship and its Earnings, Insurances and requisition
compensation to the claims of the Finance Parties under the Loan Agreement and the other Finance Documents and undertakes not to exercise any right to which it may be entitled in respect of the Owner and/or the Ship and/or its Earnings and/or
Insurances and/or requisition compensation in competition with the Finance Parties, provided however that the Manager shall be entitled to receive from the Owner any amounts owing to it under the Management Agreement by way of management fees and
expenses; 

  

	 	(f)	the Manager will promptly notify the Security Agent if at any time the amount owed by the Owner to the Manager pursuant to the Management Agreement (whether in respect
of the Manager’s remuneration or disbursements or otherwise) exceeds US$100,000 or the equivalent in other currencies; and 

  

	 	(g)	the Manager will provide the Security Agent with such information concerning the Ship as the Security Agent may from time to time reasonably require.

  

	5	Insurance assignment 

  

	 	(a)	 By way of security for the aggregate of the Loan and interest accrued and accruing thereon, the Expenses (as defined in the relevant Deed of Covenants
) and all other sums 

  
 2 

	 	
of money from time to time owing to the Finance Parties, whether actually or contingently, under the Finance Documents or any of them (Outstanding Indebtedness) the Manager with full title
guarantee hereby irrevocably and unconditionally assigns and agrees to assign to the Security Agent all of the Manager’s rights, title and interest in and to all the benefit of Insurances. 

 

	 	(b)	The Manager hereby undertakes to procure that a duly completed notice in the form set out in Appendix 2 to this letter is given to ail insurers of the Ship and to
procure that such notice is promptly endorsed on all policies and entries in respect of the Insurances and agrees promptly to authorise and/or instruct any broker, insurer or association with or through whom Insurances may be effected to endorse on
any policy or entry or otherwise to give effect to such loss payable clause as may be stipulated by the Security Agent. The Manager also undertakes to obtain a letter of acknowledgement from the insurance broker that such endorsement has been
effected. 

  

	 	(c)	The Security Agent shall, with no cost for the Manager, re-assign to the Manager all the Manager’s right, title and interest in the Insurances upon the Outstanding
Indebtedness being discharged in full to the satisfaction of the Security Agent. 

  

	 	(d)	Any moneys in respect of the Insurances which would (but for the assignment contained in clause 5(a) above) be payable to the Manager shall be applied in accordance
with clause 8.1 (Application) of the Deed of Covenants. 

  

	6	Law and jurisdiction 

  

	 	(a)	The agreement constituted by this letter and any non-contractual obligations connected with it are governed by and shall be construed in accordance with English law.

  

	 	(b)	The Manager agrees, for the benefit of the Security Agent, that any legal action or proceedings arising out of or in connection with this letter against the Manager or
any of its assets may be brought in the English courts. The Manager irrevocably and unconditionally submits to the jurisdiction of such courts [and irrevocably designates, appoints and empowers Ince Process Agents Ltd. at present of International
House 1st Katharine Way, London E1W 1AY to receive for it and on its behalf, service of process issued out of the English courts in any such legal action or proceedings. The submission to such jurisdiction shall not (and shall not be construed so as
to) limit the rights of the Security Agent to take any proceedings against the Manager in the courts of any other competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any
other jurisdiction, whether concurrently or not. The Manager further agrees that only the courts of England and not those of any other State shall have jurisdiction to determine any claim which the Manager may have against the Security Agent arising
out of or in connection with this Letter (including any non- contractual obligations connected with it). 

  

	 	(c)	No term of this Letter is enforceable under the provisions of the Contracts (Rights of Third Parties) Act 1999 by a person who is not a party to this Letter or to whom
this Letter is not addressed. 

  

	
	Yours faithfully
	
	For and on behalf of
	
	  

	
	TMS BULKERS LTD

  
 3 

 Appendix [1] 
 Copy of the Management Agreement. 

  
 4 

 Appendix [2] 
 Notice of Assignment 
 We, TMS BULKERS LTD, the managers of m.v. “[insert name of
ship]”, HEREBY GIVE NOTICE that by a first assignment dated and entered into by us with CHINA DEVELOPMENT BANK CORPORATION there has been assigned by us to the said CHINA DEVELOPMENT BANK CORPORATION as first assignees all of our right,
title and interest in and to the insurances in respect of the said Ship including the insurances constituted by the Policy whereon this notice is endorsed. 
  

	
	SIGNED
	
	for and on behalf of
	
	  

	
	Dated                     , {date}

  
 5 

 Schedule 13 
 Form of Pledge of Shares 

  
 - 111 -

 Private and Confidential 
 Dated              201— 

 
  

OCEANVIEW SHAREHOLDERS LIMITED 
 OCEANSURF SHAREHOLDERS LIMITED 
 OCEANCENTURY SHAREHOLDERS LIMITED

 as Shareholder 
 and 
 CHINA DEVELOPMENT BANK CORPORATION 

as Pledgee 
  

 
 PLEDGE OF
SHARES 
 in 
 [Oceanview Owners Limited] 
 [Oceansurf Owners Limited] 

[Oceancentury Owners Limited] 

 

 Contents 

 

							
	Clause	  	Page	 
			
	1	  	Definitions	  	 	1	  
			
	2	  	Charging clause	  	 	3	  
			
	3	  	Representations and warranties	  	 	3	  
			
	4	  	Covenants by the Shareholder	  	 	4	  
			
	5	  	Dividends and voting rights	  	 	6	  
			
	6	  	Further assurance	  	 	7	  
			
	7	  	Powers of the Security Agent	  	 	7	  
			
	8	  	Attorney	  	 	9	  
			
	9	  	Continuing security and other matters	  	 	9	  
			
	10	  	Discharge of security	  	 	11	  
			
	11	  	Certificates	  	 	11	  
			
	12	  	Payments	  	 	11	  
			
	13	  	Notices and other matters	  	 	12	  
			
	14	  	Law and jurisdiction	  	 	13	  
		
	Schedule 1 The Shares	  	 	14	  
		
	Schedule 2 Specimen instrument of transfer	  	 	15	  
		
	Schedule 3 Shareholders’ letter of authority	  	 	16	  
		
	Schedule 4 Form of irrevocable proxy	  	 	17	  
		
	Schedule 5 Directors’ resignation letter	  	 	18	  
		
	Schedule 6 Directors’ letter of authority	  	 	19	  
		
	Schedule 7 Form of dividend mandate	  	 	20	  

 THIS DEED of PLEDGE is dated             
201— and made BETWEEN: 
  

	(1)	[OCEANVIEW SHAREHOLDERS LIMITED] [OCEANSURF SHAREHOLDERS LIMITED] [OCEANCENTURY SHAREHOLDERS LIMITED] a corporation incorporated in the Marshall Islands whose
registered office is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 (Shareholder); and 

  

	(2)	CHINA DEVELOPMENT BANK CORPORATION whose registered office is at 29 Fuchengmenwai Street, Xicheng District, Beijing, PRC 100037 acting for the purposes of this
Deed through its office at No.1 Yinjiaqu North Street, Yinchuan City, Ningxia, PRC as security agent and trustee for and on behalf of the Finance Parties (as defined below) (Security Agent). 

WHEREAS: 
  

	(A)	the Shareholder is the registered and beneficial owner of 500 registered shares with a par value of $20 each in [Oceanview Owners Limited], a corporation incorporated
in the Republic of Liberia with registered number [C-113416] [C-113418] [C-113417], (Corporation) representing all of the issued, non assessable and paid up share capital of the Corporation; 

 

	(B)	by a loan agreement dated [—] 2012 and made between (1) the Corporation, [Oceansurf Owners Limited] and
[Oceancentury Owners Limited] and [Oceanview Owners Limited] as joint and several borrowers (therein and herein referred to as the Borrowers), (2) China Development Bank Corporation as mandated lead arranger, facility agent (in such
capacity the Facility Agent) and Security Agent and Bank of China Limited as coordinating mandated lead arranger, and (3) the financial institutions referred to in part 2 of schedule 1 thereto as original lenders (the Lenders),
the Lenders agreed (inter alia) to make available to the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and twenty two million and five hundred and eighty thousand Dollars
($122,580,000); and 

  

	(C)	the Loan Agreement provided (inter alia) that, as a condition precedent to the advance of the first Advance, the Shareholder should execute in favour of the Security
Agent a pledge in respect of the Shares in the form of this Deed. 

 NOW THIS DEED WITNESSES as follows: 

 

	1	Definitions 

  

	1.1	Defined expressions 

Words and expressions defined in the Loan Agreement shall, unless the context otherwise requires, have the same meanings when used in this
Deed. 
  

	1.2	Definitions 

 In this
Deed, unless the context otherwise requires; 
 Collateral Instruments means notes, bills of exchange, certificates of
deposit and other negotiable and non-negotiable instruments, guarantees, indemnities and other insurances against financial loss and other documents or instruments which contain or evidence an obligation (with or without security) to pay, discharge
or be responsible directly or indirectly for any indebtedness or liabilities of the Corporation or any other person liable and includes any documents or instruments creating or evidencing a mortgage, charge (whether fixed or floating), pledge, lien,
hypothecation, assignment, cost arrangement or security interest of any kind 
 Expenses means the aggregate at any
relevant time (to the extent that the same have not been received or recovered by the Security Agent) of: 
  

	 	(a)	 all losses, liabilities, costs, charges, expenses, damages and outgoings of whatever nature (including, without limitation, Taxes and registration
fees) suffered, incurred or paid 

  
 1 

	 	
by the Security Agent in connection with the exercise of the powers referred to in or granted by this Deed or otherwise payable by the Shareholder in accordance with clauses 7.5 (Expenses)
and 7.6 (Indemnity); and 

  

	 	(b)	interest on all such losses, liabilities, costs, charges, expenses, damages and outgoings from the date on which the same was suffered, incurred or paid by the Security
Agent until the date of receipt or recovery thereof (whether before or after judgment) at a rate per annum determined in accordance with clause 8.4 (Default interest) of the Loan Agreement 

Outstanding Indebtedness means the aggregate of the Loan, all interest accrued and accruing thereon, the Expenses and all other
sums of money from time to time owing to the Finance Parties, whether actually or contingently, under or pursuant to the Finance Documents or any of them 
 Relevant Jurisdiction means any jurisdiction in which or where the Shareholder is incorporated, resident, domiciled has a permanent establishment, carries on or has a place of business or is
otherwise effectively connected 
 Secured Property means the Shares and all stock, shares, warrants, securities, rights,
moneys or property (including the dividends, interest or income thereon or therefrom) accruing or acquired at anytime and from time to time by way of redemption, purchase, bonus, preference, option or otherwise to or in respect of or derived from
all or any of the Shares or any derivatives thereof, including the proceeds of any sale of any of the Shares 
 Security
Agent includes the successors and assignees of the Security Agent 
 Shareholder includes the successors and permitted
assignees of the Shareholder 
 Shares means the registered shares in the capital of the Corporation registered in the
name of the Shareholder and beneficially owned by the Shareholder details of which are set out in schedule 1 (The Shares) and shall include any other shares in the capital of the Corporation which may hereafter be registered in the name of,
or beneficially owned by, the Shareholder 
 Taxes includes all present and future taxes, levies, imposts, duties, fees or
charges of whatever nature together with interest thereon and penalties in respect thereof and Taxation shall be construed accordingly 
  

	1.3	Headings 

 Clause headings
and the table of contents are inserted for convenience of reference only and shall be ignored in the interpretation of this Deed. 
  

	1.4	Construction of certain terms 

 In this Deed, unless the context otherwise requires: 
  

	1.4.1	references to clauses and schedules are to be construed as references to clauses of, and schedules to this Deed and references to this Deed include its schedules;

  

	1.4.2	references to (or to any specified provision of) this Deed or any other documents shall be construed as references to this Deed, that provision or that document as in
force for the time being as amended in accordance with the terms thereof, or, as the case may be, with the agreement of the relevant parties and, where such consent is, by the terms of this Deed or the relevant document required to be obtained as a
condition to such amendment being permitted) the prior written consent of the Security Agent; 

  

	1.4.3	references to a “regulation” include any present or future regulation, rule, directive, requirement, request or guideline (whether or not having the force of
law) of any agency, authority, central bank or government department or any self regulatory or other national or supra-national authority; 

  
 2 

	1.4.4	words importing the plural shall include the singular and vice versa; 

  

	1.4.5	references to a person shall be construed as references to an individual, firm, company, corporation, unincorporated body of persons or any Government Entity; and

  

	1.4.6	references to any enactment shall be construed as references to such enactment as re-enacted, amended or extended. 

 

	1.5	Conflict with Loan Agreement 

 This Deed shall be read together with the Loan Agreement but, in the case of any conflict between the instruments, the provisions of the Loan Agreement shall prevail. 

 

	2	Charging clause 

  

	2.1	In consideration of the Lenders agreeing to make the Facility available to the Corporation the Shareholder with full title guarantee hereby pledges, mortgages, charges,
assigns, transfers, deposits, sets over and confirms and agrees to pledge, mortgage, charge, assign, transfer, deposit, set over and confirm to the Security Agent as security for the payment of the Outstanding Indebtedness and as a continuing
security for the payment of all moneys and the discharge of all obligations and liabilities hereby covenanted to be paid or otherwise hereby secured by way of a first fixed pledge all of its interest in and to all of the Secured Property.

  

	3	Representations and warranties 

  

	3.1	Representations and warranties 

 The Shareholder hereby represents and warrants to the Security Agent that: 
  

	3.1.1	Title to Shares: the Shareholder is the registered holder of the Shares and is the beneficial owner of and has full right and title to, and has hereby pledged,
the Secured Property and all the Shares are free from any Encumbrance of any kind (other than the Encumbrance hereby created) and are not, nor shall they be, subject to any option; 

 

	3.1.2	Shares fully paid: the Shares are fully paid or credited as fully paid and non-assessable and no calls have been, or can be, made in respect of the Shares;

  

	3.1.3	Choice of law: the choice by the Shareholder of English law to govern this Deed and the submission by the Shareholder to the non-exclusive jurisdiction of the
courts of England are valid and binding; 

  

	3.1.4	Obligations of the Shareholder: the obligations of the Shareholder under this Deed are direct, general and unconditional obligations of the Shareholder;

  

	3.1.5	No other security or lien: the Shareholder has not taken or received any security or lien from the Corporation in respect of any liability hereunder or in
respect of any other liability of the Corporation to the Shareholder; 

  

	3.1.6	No filings required: it is not necessary to ensure the legality, validity, enforceability or admissibility in evidence of this Deed that it or any other
instrument be notarised, filed, recorded, registered or enrolled in any court, public office or elsewhere in any Relevant Jurisdiction or that any stamp, registration or similar tax or charge be paid in any Relevant Jurisdiction on or in relation to
this Deed and this Deed is in proper form for its enforcement in the courts of any Relevant Jurisdiction; and 

  
 3 

	3.1.7	No immunity: neither the Shareholder nor any of its assets is entitled to immunity on the grounds of sovereignty or otherwise from any legal action or proceeding
(which shall include, without limitation, suit, attachment prior to judgment, execution or other enforcement). 

  

	3.2	Repetition of representations and warranties 

 The representations and warranties in clause 3.1 shall be deemed to be repeated by the Shareholder on and as of each day from the date of this Deed until all moneys due or owing by the Corporation under
the Loan Agreement have been repaid in full as if made with reference to the facts and circumstances existing on each such day. 
  

	4	Covenants by the Shareholder 

  

	4.1	Supporting documents 

 The
Shareholder hereby covenants with the Security Agent that subject to the provisions of clause 7 hereof and during the continuance of this Deed the Shareholder will at all times deposit with the Security Agent and permit the Security Agent during the
continuance of this security to hold and retain: 
  

	4.1.1	Certificates: all stock and share certificates and documents of title relating to the Shares together with any other documents of title relating to the Secured
Property. The Security Agent may hold all or any of the Shares in any branch of the Security Agent or with any correspondents or other agents whether in Liberia or overseas and all the Shares shall be held at the expense and risk of the Shareholder;

  

	4.1.2	Transfers: undated transfers of the Shares duly completed in favour of the Security Agent or its nominees or otherwise as the Security Agent may direct in the
form set out in Schedule 2 (Specimen instrument of transfer) together with letters of authority in respect of such transfers in the form set out in Schedule 3 (Shareholder’s letter of authority); 

 

	4.1.3	Irrevocable proxies: an irrevocable proxy in respect of the Shares executed by the Shareholder in favour of the Security Agent in the form set out in Schedule 4
(Form of irrevocable proxy), entitling the Security Agent to exercise, subject to clause 5.1 (Voting rights), all voting rights in respect of the Shares; 

 

	4.1.4	Directors’ resignation letters: executed undated resignation letters from all directors and officers of the Corporation in the form set out in Schedule 5
(Directors’/Officers’ resignation letters) together with letters of authority from such directors and officers of the Corporation in the form set out in Schedule 6 (Directors’/Officers’ letter of authority)] and

  

	4.1.5	Further documents: all such other documents as the Security Agent may from time to time require for perfecting its title to the Shares and/or the Secured
Property or for vesting or enabling it to vest the same in itself or its nominees or in any purchaser to the intent that the Security Agent may at any time without notice present them for registration. 

 

	4.2	Continuing covenants 

 The
Shareholder hereby further covenants with the Security Agent that during the continuance of this Deed the Shareholder will at all times: 
  

	4.2.1	Title: warrant and defend the right, title and interest of the Security Agent in and to the Secured Property against the claims and demands of all persons
whomsoever; 

  

	4.2.2	Prompt payment: duly and promptly pay all calls, instalments or other payments which from time to time become due in respect of any of the Shares;

  

	4.2.3	 New certificates: duly register or procure that the Secretary of the Corporation duly registers all transfers of the Shares from time to time
lodged with them by or on behalf of the Security Agent 

  
 4 

	 	
or its nominees and issue, and deliver to the Security Agent, a new certificate or certificates for the Shares in the name of the Security Agent or its nominees as soon as possible following
receipt of such transfers from the Security Agent; 

  

	4.2.4	Negative undertakings: not (without the prior written consent of the Security Agent not to be unreasonably withheld): 

 

	 	(a)	create or permit to subsist any Encumbrance other than a Permitted Encumbrance on or over the Secured Property or any part thereof or interest therein;

  

	 	(b)	sell, transfer or otherwise dispose of the Secured Property or any part thereof or interest therein or attempt or agree so to do; 

 

	 	(c)	suffer or permit the Corporation to cancel, increase, create or issue or agree to issue or put under option or agree to put under option any share or loan capital or
obligation now or hereafter convertible into share or loan capital of or in the Corporation of any class or call any uncalled capital; 

  

	 	(d)	suffer or permit the Corporation to make any alteration to, grant any rights in relation to or otherwise re-organise or purchase or reduce the share capital or reserves
of the Corporation in anyway or enter into any composition or arrangement with its creditors or any class of creditors of the Corporation; 

  

	 	(e)	convene any meeting with a view either to the alteration of any of the provisions of the Corporation’s Articles of incorporation and By-Laws or to passing a
resolution that the Corporation be wound up; or 

  

	 	(f)	other than pursuant to this Deed, suffer or permit the Corporation to permit any person other than the Shareholder to be registered as the holder of the Shares or any
part thereof; 

  

	4.2.5	Appointment of further directors: duly and promptly notify the Security Agent of the appointment of any further director(s) or officers of the Corporation
(whether by way of replacement of, or addition to, any of the existing directors or officers) and thereafter duly and promptly deliver to the Security Agent the letter or letters of resignation and letter or letters of authority referred to in
clause 4.1 (Supporting documents) duly signed by such additional directors) or officer(s); 

  

	4.2.6	Maintenance of value of security: not do or cause or permit to be done anything which in any way depreciates, jeopardises or otherwise prejudices the value to
the Security Agent of the security created by this Deed; 

  

	4.2.7	Indebtedness due from the Corporation: not demand or accept repayment in whole or in part of any Indebtedness now or hereafter due to the Shareholder from the
Corporation or from any other person liable or demand or accept any security in respect of the same or assign or charge the same as security; 

  

	4.2.8	No set-off or counterclaim: not claim any set-off or counterclaim against the Corporation or any other person liable or claim or prove in competition with the
Security Agent in the bankruptcy or liquidation (or equivalent) of the Corporation or any other person liable or have the benefit of, or share in, any payment from or composition with, the Corporation or any other person liable for any indebtedness
of the Corporation or other any person liable but so that, if so directed by the Security Agent, it will prove for the whole or any part of its claim in the liquidation or bankruptcy (or equivalent) of the Corporation on terms that the benefit of
such proof and of all money received by it in respect thereof shall be held on trust for the Security Agent and applied in or towards discharge of the liabilities and obligations of the Shareholder to the Security Agent under this Deed in such
manner as the Security Agent shall deem appropriate; 

  

	4.2.9	No subrogation: not exercise its rights of subrogation, reimbursement and indemnity against the Corporation; 

  
 5 

	4.2.10	Payments and compositions: not have the benefit of any share in any payment or composition from the Corporation or any other person or in any other guarantee or
security now or hereafter held by the Security Agent; 

  

	4.2.11	No Encumbrance: not take or receive any Encumbrance from the Corporation in respect of the liability of the Shareholder under this Deed; and

  

	4.2.12	Reports, etc: promptly send to the Security Agent a copy of every report or other notice, statement or circular sent or delivered to the Shareholder by the
Corporation. 

  

	4.3	Further covenants 

 The
Shareholder hereby respectively further covenants and agrees with the Security Agent that: 
  

	4.3.1	Powers on default: the Security Agent and its nominees, at the discretion of the Security Agent, may following the occurrence of any Event of Default exercise in
the name of the Shareholder or otherwise at any time whether (if the Shares are registered shares) pursuant to the powers conferred upon the Security Agent under any irrevocable proxy referred to in clause 4.1.3 (Irrevocable proxies) and
whether before or after demand for payment and without any further consent or authority on the part of the Shareholder in respect of the Shares any voting rights and all powers or rights which may be exercisable by the person in whose name the
Shares are registered but such power shall be exercised subject to the provisions of clause 5 (Dividend and voting rights) and only upon giving notice of the Event of Default to the Shareholder and the Corporation; 

 

	4.3.2	Transfer of Shares to Security Agent: if so requested by the Security Agent, by virtue of this Deed transfer all or any of the Shares to the Security Agent or to
its nominees; and 

  

	4.3.3	Copies of this Deed: it will file or cause to be fifed a copy of this Deed with the Secretary (or other appropriate officer) of the Corporation for the purpose
of giving notice of this pledge to the Corporation and that it will obtain and deliver to the Security Agent an acknowledgement of such filing. 

  

	5	Dividends and voting rights 

  

	5.1	Voting rights 

  

	 	(a)	Unless and until an Event of Default has occurred and is continuing or the Shareholder is in breach of any term of this Deed, the Shareholder shall be entitled to
exercise all voting and other rights vested in the holder of the Shares notwithstanding that stock certificates in respect of the Shares are held by the Security Agent provided that the Shareholder shall not exercise such rights in a manner which
would or might derogate from the security created by this Deed or conflict with any provision of any of the Security Documents. 

  

	 	(b)	If so required by the Shareholder, the Security Agent shall give a letter to the Shareholder evidencing that the Security Agent is in the possession of the pledged
shares in order for the Shareholder to vote in any shareholder meetings of the Corporation. 

  

	5.2	Dividend rights 

 If an
Event of Default has occurred and is continuing or the Shareholder is in breach of any term of this Deed, the Security Agent may require that any dividends, interest or other moneys which may be paid or payable in respect of the Secured Property
shall be paid to the Security Agent and shall be applied by the Security Agent in or towards payment of the Expenses and the balance shall be applied by the Security Agent in accordance with clause 7.4 (Application of proceeds). So long as no
Event of Default has occurred and is continuing and the Shareholder is not in breach of any term of this Deed and so long as the payment of any dividends, interest or other moneys does not constitute or give rise to a breach of any provision of the
Security Documents, any such dividends shall be paid to the Shareholder. 

  
 6 

	5.3	Delivery of dividend mandate 

 Where the Security Agent becomes entitled to receive dividends pursuant to clause 5.2 (Dividend rights), the Shareholder shall immediately execute and deliver to the Corporation a dividend mandate
in the form set out in schedule 7 (Form of dividend mandate) 
  

	5.4	Payment of dividends and interest 

 Any dividends, interest or other moneys or property hereby charged which may be received by the Shareholder after the power of sale under clause 7.1 (Enforcement) has arisen shall be held in trust
for the Security Agent and paid or delivered to the Security Agent on demand in writing for application in accordance with clause 5.2 (Dividend rights). 
  

	6	Further assurance 

  

	6.1	Execution of further charges 

 The Shareholder shall, at its own expense at any time if and when required by the Security Agent execute such further legal or other pledges, charges or assignments in favour of the Security Agent as the
Security Agent shall from time to time reasonably require over all or any of the Secured Property and all rights relating thereto both present and future (including any substituted securities and any vendor’s lien) and any other transfers or
documents the Security Agent may from time to time require for perfecting its title to the same or for vesting or enabling it to vest the same in itself or its nominees or in any purchaser to secure all moneys, obligations and liabilities hereby
covenanted to be paid or otherwise hereby secured or to facilitate realisation of the Secured Property or the exercise of the powers conferred on the Security Agent, such further pledges, charges or assignments to be prepared by or on behalf of the
Security Agent at the cost of the Shareholder. 
  

	6.2	Other matters 

 The
Shareholder also undertakes at its own expense from time to time to execute, sign, perfect, do and (if required) register every such further assurance, document act or thing as in the opinion of the Security Agent may be necessary or desirable for
the purpose of more effectually pledging, charging or assigning the Secured Property or perfecting the security constituted or intended to be constituted by this Deed. 
  

	7	Powers of the Security Agent 

  

	7.1	Enforcement 

 At any time
after the occurrence of an Event of Default (and so long as it is continuing): 
  

	7.1.1	Enforcement: upon giving notice of the Event of Default to the Corporation, the Security Agent and any nominee of the Security Agent wheresoever
situate may complete the transfers in respect of the Shares (if they are in registered form) deposited with the Security Agent in accordance with clause 4.1.2 (Transfers) by dating the same and may submit all or any of the said transfers
together with any stock or share certificates in respect thereof for registration in the name of the Security Agent or any nominee of the Security Agent and thereafter the Security Agent or any nominee of the Security Agent may exercise without
further notice and without any restrictions in respect of all or any of the Secured Property all the powers or rights which may be exercisable by the registered holder of the Shares and all other powers conferred on mortgagees by law or otherwise;
and 

  

	7.1.2	Application of dividends and interest: any dividends, interest or other payments which may be received or receivable by the Security Agent or by any
nominee in respect of any of the Secured Property may be applied by the Security Agent as though they were proceeds of sale. 

  
 7 

	7.2	Sale or disposal 

 In
exercising the powers referred to in clause 7.1 (Enforcement), the Security Agent may sell or dispose of the Secured Property or any part thereof at such times in such manner for such consideration and generally on such terms and conditions
as the Security Agent may think fit (and the Security Agent shall be entitled to purchase any and all of the Secured Property so sold). Any such sale or disposition may be for cash, debentures or other obligations, shares, stock, securities or other
valuable consideration and be payable immediately or by instalments spread over such period as the Security Agent shall think fit. 
  

	7.3	No enquiry by purchaser 

No purchaser or other person shall be bound or concerned to see or enquire whether the right of the Security Agent to exercise any of the
powers hereby conferred has arisen nor be concerned with notice to the contrary or with the propriety of the exercise or purported exercise of such powers. 
  

	7.4	Application of proceeds 

All moneys received by the Security Agent under, or in the exercise of any powers conferred by, this Deed shall be applied in or towards
payment of the Expenses and the balance shall be applied in accordance with clause 18.1 (Application of moneys) of the Loan Agreement. 
  

	7.5	Expenses 

 The Shareholder
shall pay to the Security Agent on a full indemnity basis on demand: 
  

	7.5.1	all expenses (including legal, printing and out-of-pocket expenses incurred by the Security Agent in connection with the negotiation, preparation, execution or
registration of this Deed and of any amendment or extension of the granting of any waiver or consent under this Deed; and 

  

	7.5.2	all expenses (including legal, printing and out-of-pocket expenses) incurred by the Security Agent in contemplation of, or otherwise in connection with, the enforcement
or preservation of any rights under this Deed or otherwise in respect of the Outstanding Indebtedness or the security therefor. 

  

	7.6	Indemnity 

 The
Shareholder hereby agrees and undertakes to indemnify the Security Agent against all losses, actions, claims expenses, demands, obligations and liabilities whatsoever and whenever arising which may now or hereafter be incurred by the Security Agent
or by any manager, agent, officer or employee of the Security Agent for whose liability, act or omission it or they, or any of them may be answerable, in respect of, in relation to or in connection with anything done or omitted in the exercise or
purported exercise of the powers contained in this Deed or otherwise in connection therewith and herewith or with any part of the Secured Property or otherwise howsoever in relation to, or in connection with, any of the matters dealt with in any of
the Security Documents. 
  

	7.7	Liability of Security Agent 

 The Security Agent shall not be liable to account as mortgagee in possession in respect of all or any of the Secured Property and shall not be liable for any loss upon realisation or for any neglect or
default to present any interest coupon or any bond or stock drawn for repayment or for any failure to pay any call or instalment or to accept any offer or to notify the Shareholder of any such matter or for any other loss of any nature whatsoever in
connection with the Secured Property. 

  
 8 

	8	Attorney 

  

	8.1	Power of attorney 

 The
Shareholder by way of security hereby respectively irrevocably appoints the Security Agent to be its attorney in its name and on its behalf and as its act and deed or otherwise to execute, seal, deliver and complete any transfers or other documents
which the Security Agent may require for perfecting its title to or for vesting the Shares both present and future in the Security Agent or its nominees or in any purchaser and to make any alteration or addition to the Shares comprised therein or
any other alteration or addition and to re-deliver the same thereafter and otherwise generally to sign, seal, deliver and otherwise perfect any such transfers or other documents and any legal or other pledges/charges or assignments over the Shares
referred to in clause 6 (Further Assurance) and to do all such acts and things as may be required for the full exercise of the powers hereby conferred including any sale or other disposition realisation or getting in of the Secured Property
and the Shareholder ratifies and confirms, and agrees to ratify and confirm any deed, assurance, agreement, instrument, act or thing which any such attorney may lawfully execute or do, provided always that such power shall not be exercisable until
the occurrence of an Event of Default. The appointment of the Security Agent by the Shareholder as its attorney is irrevocable and coupled with an interest. 
  

	8.2	Dealings with attorneys 

The exercise of such power by or on behalf of the Security Agent shall not put any person dealing with the Security Agent upon any enquiry
as to whether an Event of Default has occurred, nor shall such person be in any way affected by notice that no such event has occurred, and the exercise by the Security Agent of such power shall constitute conclusive evidence of its right to
exercise the same. 
  

	8.3	Filings 

 The Shareholder
hereby irrevocably appoints the Security Agent to be its attorney in its name and on its behalf and as its act and deed or otherwise of it to agree the form of and to do and execute all deeds, instruments, acts and things to file, record, register
or enrol this Deed which the Security Agent may in its discretion consider necessary or advisable, now or in the future, to ensure the legality, validity, enforceability or admissibility in evidence of this Deed. 

 

	9	Continuing security and other matters 

  

	9.1	Continuing security 

 It
is agreed that the security created by this Deed and the obligations and liabilities of the Shareholder and rights, remedies and powers of the Security Agent hereunder: 
  

	9.1.1	shall be held by the Security Agent as a continuing security for the payment of the Outstanding Indebtedness and the performance and observance of and compliance with
all of the covenants, terms and conditions contained in the Finance Documents, express or implied; 

  

	9.1.2	shall be in addition to and shall not prejudice or affect and may be enforced by the Security Agent without prior recourse to, the security created by any other of the
Security Documents or by any present or future Collateral Instruments right or remedy held by or available to the Security Agent or any right or remedy of the Security Agent thereunder; 

 

	9.1.3	may be enforced by the Security Agent without prior recourse to any such security or guarantee as is referred to in clause 9.1.2 and the Shareholder waives all rights
it may have of first requiring the Security Agent to enforce any such security or guarantee or to proceed against or claim payment from the Corporation or any other person; 

 

	9.1.4	 shall not be satisfied by any intermediate payment or satisfaction of any part of the Outstanding Indebtedness or by any settlement of accounts between
the Corporation, the Shareholder or any other person who may be liable to the Security Agent in respect of the Outstanding Indebtedness 

  
 9 

	 	
or any part thereof and the Security Agent but any such intermediate payment or satisfaction shall be taken into account for the determination of the balance of the Outstanding Indebtedness;

  

	9.1.5	shall not in any way be prejudiced or affected by any time, indulgence or relief being given by the Security Agent to the Corporation or any other person, by any
amendment or supplement to the Loan Agreement, any of the other Finance Documents or any other document, by the taking, variation, compromise, renewal or release of or refusal or neglect or perfect or enforce any right, remedy or security against
the Corporation or any other person or by anything done or omitted which but for this provision might operate to exonerate the Shareholder; and 

  

	9.1.6	shall not in any way be prejudiced or affected by any change in the constitution of, or any amalgamation or reconstruction of the Corporation, the Security Agent or any
other person or by any legal limitation, disability, incapacity or other circumstances relating to the Corporation or any other person, whether or not known to the Security Agent, by any invalidity or irregularity or unenforceability of the
obligations of the Corporation or any other person under the Loan Agreement or any of the other Finance Documents or otherwise and so that in the event that any obligation or purported obligation of the Corporation or any other person which, if
enforceable or valid or continuing, would be secured by this Deed is or becomes wholly or in part unenforceable or invalid or terminated for any reason whatsoever, the Shareholder will keep the Security Agent fully indemnified against any loss
suffered by the Security Agent as a result of any failure by the Corporation or such other party to perform any such obligation or purported obligation. 

  

	9.2	Rights additional 

 All
the rights, remedies and powers vested in the Security Agent hereunder shall be in addition to and not a limitation of any and every other right, power or remedy vested in the Security Agent under this Deed, the Loan Agreement, the other Finance
Documents or at law and all the powers so vested in the Security Agent may be exercised from time to time and as often as the Security Agent may deem expedient. 
  

	9.3	No enquiry 

 The Security
Agent shall not be obliged to make any enquiry as to the nature or sufficiency of any payment received by it under this Deed or to make any claim or take any action to collect any moneys receivable by the Security Agent in the exercise of any powers
conferred by this Deed or to enforce any rights or benefits hereby assigned to the Security Agent or to which the Security Agent may at any time be entitled under this Deed. 

 

	9.4	Suspense account 

 Any
money received by virtue of or in connection with the security created by this Deed may be placed to the credit of a suspense account with a view to preserving the rights of the Security Agent to prove for the whole of the Outstanding Indebtedness
against the Corporation in the event of any proceedings in, or analogous to, liquidation, composition or arrangement. 
  

	9.5	Settlements conditional 

Any release, discharge or settlement between the Shareholder and the Security Agent shall be conditional upon no security disposition or
payment to the Security Agent by the Corporation, the Shareholder or any other person being void or set aside or ordered to be refunded pursuant to any provisions or enactments relating to bankruptcy, liquidation, administration or insolvency or for
any other reason whatsoever and if such condition shall not be fulfilled, the Security Agent shall be entitled to enforce the security created by this Deed and the other Finance Documents as if such release, settlement or discharge had not occurred
and any such payment had not been made. 

  
 10 

	9.6	No responsibility for loss 

The Security Agent shall not be responsible for any loss occasioned by the timing of the exercise of its powers under this Deed.

  

	10	Discharge of security 

  

	10.1	On payment to the Security Agent of the Outstanding Indebtedness in full the security hereby constituted shall terminate and the Security Agent shall, at the request
and forthwith and with cost for the Shareholder, deliver, transfer or cause to be released to the Shareholder or to such person or persons as the Shareholder shall direct the documents and other articles referred to in clause 4.1 (Supporting
documents) and release and retransfer the Secured Property to the Shareholder or to such person or persons as the Shareholder shall direct, free and discharged from the security hereby constituted. 

 

	11	Certificates 

  

	11.1	Any certificates or determination of the Security Agent as to the amount owing by the Shareholder to the Security Agent under, or secured by, this Deed shall, in the
absence of manifest error, be conclusive and binding on and against the Shareholder. 

  

	12	Payments 

  

	12.1	No deductions 

 All
payments to be made by the Shareholder under this Deed shall be made in full, without any set-off or counterclaim whatsoever and, subject as provided in clause 12.2, free and clear of any deductions or withholdings, in Dollars on the due date to
such account as the Security Agent shall from time to time notify to the Shareholder. 
  

	12.2	Grossing-up for Taxes 

Subject to the provisions of clause 11.5 of the Loan Agreement if at any time the Shareholder is required to make any deduction or
withholding in respect of Taxes from any payment due under this Deed for the account of the Security Agent, the sum due from the Shareholder in respect of such payment shall be increased to the extent necessary to ensure that, after the making of
such deduction or withholding, the Security Agent receives on the due date for such payment (and retains, free from any liability in respect of such deduction or withholding) a net sum equal to the sum which it would have received had no such
deduction or withholding been required to be made and the Shareholder shall indemnify the Security Agent against any losses or costs incurred by reason of any failure of the Shareholder to make any such deduction or withholding or by reason of any
increased payment not being made on the due date for such payment. The Shareholder shall promptly deliver to the Security Agent any receipts, certificates or other proof evidencing the amounts (if any) paid or payable in respect of any deduction or
withholding as aforesaid. 
  

	12.3	Currency indemnity 

 If
any sum due from the Shareholder under this Deed or any order or judgment given or made in relation hereto has to be converted from the currency (first currency) in which the same is payable under this Deed or under such order or judgment
into another currency (second currency) for the purpose of (a) making or filing a claim or proof against the Shareholder, (b) obtaining an order or judgment in any court of other tribunal or (c) enforcing any order or judgment
given or made in relation to this Deed, the Shareholder shall indemnify and hold harmless the Security Agent from against any loss suffered as a result of any difference between (i) the rate of exchange used for such purpose to convert the sum
in question from the first currency into the second currency and (ii) the rate or rates of exchange at which the Security Agent may in the ordinary course of business purchase the first currency with the second currency upon receipt of a sum
paid to it in satisfaction, in whole or in part, of any such 

  
 11 

 
order, judgment, claim or proof. Any amount due from the Shareholder under this clause 12.3 shall be due as a separate debt and shall not be affected by judgment being obtained for any other sums
due under or in respect of this Deed and the term “rate of exchange” includes any premium and costs of exchange payable in connection with the purchase of the first currency with the second currency. 

 

	13	Notices and other matters 

  

	13.1	Notices 

 The provisions
of clause 23.1 (Notices) of the Loan Agreement shall apply mutatis mutandis in respect of any certificate, notice, demand or other communication given or made under this Deed save that any certificate, advice, demand or other communication
shall be sent, if to be sent to the Shareholder, to it at: 
 Dryships Inc, Athens Office, 

80 Kifisias Avenue, 
 151 24 Marousi, 
 Athens, Greece, 

Fax No:    +30 210 80 90 505, 
 Attention: Mr. Ziad Nakhleh 
  

	13.2	No waiver 

 No failure or
delay by the Security Agent in exercising any right, power or remedy vested in it under this Deed shall operate as a waiver thereof nor shall any single or partial exercise or waiver of any right, power or remedy preclude any other or further
exercise thereof or the exercise of any other power, right or remedy. The remedies provided in this Deed are cumulative and are not exclusive of any remedies provided by law. 

 

	13.3	Severability 

 Each of the
provisions of this Deed is severable and distinct from the others and if at any time one or more of such provisions is or becomes invalid illegal or unenforceable the validity, legality and enforceability of the remaining provisions hereof shall not
in any way be affected or impaired thereby. 
  

	13.4	Delegation of powers 

 The
Security Agent shall be entitled, at any time and as often as may be expedient, to delegate all or any of the powers and discretions vested in it by this Deed (including the power vested in it by virtue of clause 8 (Attorney)) in such manner,
upon such terms, and to such person as the Security Agent in its absolute discretion may think fit. 
  

	13.5	Benefit of this Deed 

This Deed shall be binding on, and enure for the benefit of, the Shareholder and the Security Agent and their respective successors.

  

	13.6	Assignment by Shareholder 

The Shareholder may not assign or transfer any of its respective rights or obligations under this Deed. 

 

	13.7	Disclosure of information 

The Security Agent may disclose to a potential assignee or transferee or to any other person who may propose entering into contractual
relations with the Security Agent in relation to the Loan Agreement, such information about the Shareholder as the Security Agent shall consider appropriate. 

  
 12 

	14	Law and jurisdiction 

  

	14.1	Law 

 This Deed and any
non-contractual obligations in connection with this Deed shall be governed by and interpreted in accordance with English law. 
  

	14.2	Submission to jurisdiction 

For the benefit of the Security Agent, the parties hereto irrevocably agree that any legal action or proceedings arising out of or in
connection with this Deed against them or their assets may be brought in the courts of England or in the courts of any other country chosen by the Security Agent, each of which shall have jurisdiction to settle any disputes arising out of or in
connection with this Deed. The Shareholder hereby and unconditionally submits to the jurisdiction of such courts and irrevocably designates, appoints and empowers Ince Process Agents Ltd. at present of International House 1st Katharine Way, London
E1W 1AY to receive, for it and on its behalf, service of process issued out of the courts of England in any such legal action or proceedings. The submission to such jurisdiction shall not (and shall not be construed so as to) limit the right of the
Security Agent to take proceedings against the Shareholder in the courts of any other competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether
concurrently or not. The Shareholder further agrees that only the courts of England and not those of any other State shall have jurisdiction to determine any claim which the Shareholders may have against the Security Agent arising out of or in
connection with this Deed. 
  

	14.3	Contracts (Rights of Third Parties) Act 1999 

 No term of this Deed is enforceable under the Contracts (Rights of Third Parties) Act 1999 by a person who is not a party to this Deed. 

IN WITNESS whereof the parties hereto have caused this Deed to be duly executed as a deed the day and year first before written.

  
 13 

 Schedule 1 
 The Shares 
  

							
	 Name of Shareholder
	  	Certificate
nos.	  	No. of
stocks/
shares etc.	  	Par value of 
each
($)
	[Oceanview Shareholders Limited]	  	1	  	500	  	20
				
	[Oceansurf Shareholders Limited]	  		  		  	
				
	[Oceancentury Shareholders Limited]	  		  		  	

  
 14 

 Schedule 2 
 Specimen instrument of transfer 
 INSTRUMENT OF TRANSFER OF SHARES

 We, [OCEANVIEW SHAREHOLDERS LIMITED] [OCEANSURF SHAREHOLDERS LIMITED] [OCEANCENTURY SHAREHOLDERS LIMITED] (the Transferor) of
Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960, for good and valuable consideration including the sum of US$1 paid to us by China Development Bank Corporation of No.1 Yinjiaqu North Street, Yinchuan City,
Ningxia, P.R. China (hereinafter called the Transferee) do hereby transfer to the said Transferee pursuant to the terms of a share pledge dated (Pledge) and made between ourselves and China Development Bank Corporation as the Security
Agent, five-hundred (500) fully paid up common shares with the par value of US$20 each of 
 [OCEANVIEW OWNERS LIMITED] [OCEANSURF
OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a corporation organized and existing under the laws of the Republic of Liberia. 
 In witness
whereof we have hereunto put our respective hands and seal today the      day of 201    . 

 

	
	WITNESS:
	  

	
	Name:

 

			
	SIGNED:
	TRANSFEROR [NAME]
	By:	  	  

	Name:	  	
	Title:	  	

 
 

 

	
	
	  

	Name:

 

			
	TRANSFEREE	  	  

			
	Name:	  	

 
 

  
 15 

 Schedule 3 
 Shareholders’ letter of authority 
  

	To:	China Development Bank Corporation 

 Date:

 Dear Sirs, 
 [OCEANVIEW OWNERS
LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED] (Corporation) 
 We hereby unconditionally and irrevocably authorise you
to date and otherwise complete the share/stock transfer forms in respect of our shares in the Corporation deposited by ourselves with yourselves pursuant to the pledge dated             
201— (Pledge) between ourselves and yourselves, as and when you become entitled to date and complete the same pursuant to the terms of the pledge. 

Yours faithfully 
 [Oceanview Shareholders
Limited] 
 [Oceansurf Shareholders Limited] 
 [Oceancentury Shareholders Limited] 
  

			
	By:	 	  

		
	Name:	 	
		
	Title:	 	

 on behalf of 

  
 16 

 Schedule 4 
 Form of irrevocable proxy 
 We, [OCEANVIEW SHAREHOLDERS LIMITED] [OCEANSURF SHAREHOLDERS
LIMITED] [OCEANCENTURY SHAREHOLDERS LIMITED] hereby irrevocably appoint China Development Bank Corporation as our proxy to vote at meetings of the Shareholders of [Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited]
(Corporation) in respect of any existing or further shares in the Corporation which may have been or may from time to time be issued to us and/or registered in our name. This proxy is irrevocable by reason of being coupled with the interest of China
Development Bank Corporation as pledgee of the aforesaid shares. 
  

 
 [OCEANVIEW
SHAREHOLDERS LIMITED] [OCEANSURF SHAREHOLDERS LIMITED] 
 [OCEANCENTURY SHAREHOLDERS LIMITED] 

 

			
	By:	 	  

			
		
	Name:	 	

			
		
	Title:	 	

 Dated:
                     

  
 17 

 Schedule 5 
 Directors’/Officers’ resignation letter 
  

	To:	The Secretary and Directors, 

[Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited] (Corporation) 

Date: 
 Dear Sirs, 

I hereby resign as [a director] [and] [an officer] of the Corporation effective the date hereof and confirm that I have no right to compensation or
claims against the Corporation for loss of office, arrears of pay or otherwise howsoever. 
 Yours faithfully 

  
 18 

 Schedule 6 
 Directors’/Officers’ letter of authority 
  

	To:	China Development Bank Corporation 

Date: 
 Dear Sirs 

[Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited] (Corporation) 

I hereby unconditionally and irrevocably authorise you to date the resignation letter in respect of the Corporation deposited by me with you pursuant to
the pledge dated              201— (Pledge) between [OCEANVIEW SHAREHOLDERS LIMITED] [OCEANSURF SHAREHOLDERS LIMITED] [OCEANCENTURY
SHAREHOLDERS LIMITED] and yourselves, as and when you wish to do so following an Event of Default (as defined or referred to in the Pledge). 

Yours faithfully 

  
 19 

 Schedule 7 
 Form of dividend mandate 
  

	To:	[Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited] 

Dividend Mandate 
 With
effect from today’s date and pending receipt by you of instructions from ourselves and China Development Bank Corporation to the contrary we, [Oceanview Shareholders Limited] [Oceansurf Shareholders Limited] [Oceancentury Shareholders Limited],
hereby authorise and direct you to pay any dividends, interest or other moneys paid or payable on the shares in [Oceanview Owners Limited] [Oceansurf Owners Limited] [Oceancentury Owners Limited] registered in our name to or to the order of China
Development Bank Corporation of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004, P.R. China. On receipt of this mandate please acknowledge to China Development Bank Corporation at the above address that you will act in accordance with the
instructions contained herein. 
 Dated: 
  

			
	 For and on behalf of
  

[Oceanview Shareholders Limited]
 [Oceansurf
Shareholders Limited]
 [Oceancentury Shareholders Limited]

		
	By:	 	  

	
	Name:
	
	Title:. Director

  
 20 

							
	SIGNED, SEALED and DELIVERED	 		  	)	  	
	as a DEED for and on behalf of	 		  	)	  	
	[Oceanview Shareholders Limited]	 		  		  	
	[Oceansurf Shareholders Limited]	 		  		  	
	[Oceancentury Shareholders Limited]	 		  	)	  	
	 acting by
                            
 its duly appointed Attorney [pursuant to a
	 		  	)	  	  

	power of attorney dated                      {date}]	 		  	)	  	Attorney-in-Fact
	in the presence of:	 		  	)	  	
				
	  
	 		  		  	
				
	Witness:	 		  		  	
	Name:	 		  		  	
	Address:	 		  		  	
	Occupation:	 		  		  	
				
	SIGNED, SEALED and DELIVERED	 		  	)	  	
	as a DEED for and on behalf of	 		  	)	  	
	CHINA DEVELOPMENT BANK CORPORATION	 		  	)	  	  

		 		  	)	  	Attorney-in-Fact
	in the presence of:	 		  	)	  	
				
	  
	 		  		  	
				
	Witness:	 		  		  	
	Name:	 		  		  	
	Address:	 		  		  	
	Occupation:	 		  		  	

  
 21 

 Schedule 14 
 Form of Confidentiality Undertaking 
 [Letterhead of Finance Party]

 To: 
  

	
	 
	 
	 
	 
	 

  

	Re:	The Facility 

  

	
	 
	Date:
[—]
	 
	Amount: Up to
US$[—]
	 
	Facility Agent: China Development Bank Corporation, Ningxia
Branch
	 
	 

 Dear Sirs 
 We
understand that you are considering acquiring a Facility Interest. We have appointed you as our agent to receive communications, notices, information and documents on our behalf in respect of the Facility. In consideration of us agreeing to make
available to you receiving certain information on our behalf in the course of acting as our agent, by your signature of a copy of this letter you agree as follows: 
  

	1	Confidentiality undertaking 

  

	1.1	You undertake: 

  

	1.1.1	to keep all Confidential Information confidential and not to disclose it to anyone, save to the extent permitted by paragraph 2 below and to ensure that all
Confidential Information is protected with security measures and a degree of care that would apply to your own confidential information; 

  

	1.1.2	to keep confidential and not disclose to anyone except as provided for by paragraph 2 below the fact that the Confidential Information has been made available or that
discussions or negotiations are taking place or have taken place between us in connection with the Facility; and 

  

	1.1.3	to use the Confidential Information only for the Permitted Purpose. 

  

	2	Permitted disclosure 

  

	2.1	We agree that you may disclose such Confidential Information and such of those matters referred to in paragraph 1.1.2 above as you shall consider appropriate:

  

	2.1.1	 to members of the Participant Group and their officers, directors, employees, professional advisers and auditors if any person to whom the Confidential
Information is to be given pursuant to this paragraph 2.1.1 is informed in writing of its confidential nature and that some or all of 

  
 - 112 -

	 	
such Confidential Information may be price-sensitive information, except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain
the confidentiality of the information or is otherwise bound by requirements of confidentiality in relation to the Confidential Information; 

  

	2.1.2	to any person to whom information is required or requested to be disclosed by any governmental, banking, taxation or other regulatory authority or similar body, the
rules of any relevant stock exchange or pursuant to any applicable law or regulation; and 

  

	2.1.3	with the prior written consent of us and the Borrowers. 

  

	3	Notification of disclosure 

  

	3.1	You agree (to the extent permitted by law and regulation) to inform us: 

  

	3.1.1	of the circumstances of any disclosure of Confidential Information made pursuant to paragraph 2.1.2 above except where such disclosure is made to any of the persons
referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and 

  

	3.1.2	upon becoming aware that Confidential Information has been disclosed in breach of this letter. 

 

	4	Return of copies 

 [If you
do not acquire a Facility interest] [If your appointment as agent to receive communications, notices, information and documents on our behalf is terminated], you shall return all Confidential Information supplied to you by us and destroy or
permanently erase (to the extent technically practicable) all copies of Confidential Information made by you and use your reasonable endeavours to ensure that anyone to whom you have supplied any Confidential Information destroys or permanently
erases (to the extent technically practicable) such Confidential Information and any copies made by them, in each case save to the extent that you or the recipients are required to retain any such Confidential Information by any applicable law, rule
or regulation or by any competent judicial, governmental, supervisory or regulatory body or in accordance with internal policy, or where the Confidential Information has been disclosed under paragraph 2.1.2 above. 

 

	5	Continuing obligations 

The obligations in this letter are continuing and, in particular, shall survive the termination [of any discussions or negotiations
between you and us] [of your appointment]. 
  

	6	No representation; consequences of breach, etc 

  

	6.1	You acknowledge and agree that: 

  

	6.1.1	neither we nor any of our officers, employees or advisers (each a Relevant Person) (a) make any representation or warranty, express or implied, as to, or assume
any responsibility for, the accuracy, reliability or completeness of any of the Confidential Information or any other information supplied by us or any member of the Group or the assumptions on which it is based or (b) shall be under any
obligation to update or correct any inaccuracy in the Confidential Information or any other information supplied by us or any member of the Group or be otherwise liable to you or any other person in respect of the Confidential Information or any
such information; and 

  

	6.1.2	we or members of the Group may be irreparably harmed by the breach of the terms of this letter and damages may not be an adequate remedy; each Relevant Person or member
of the Group may be granted an injunction or specific performance for any threatened or actual breach of the provisions of this letter by you. 

  
 - 113 -

	7	Entire Agreement: no waiver; no amendments, etc 

  

	7.1	This letter constitutes the entire agreement between us in relation to your obligations regarding Confidential Information and supersedes any previous agreement,
whether express or implied, regarding Confidential Information. 

  

	7.2	No failure or delay in exercising any right or remedy under this letter will operate as a waiver thereof nor will any single or partial exercise of any right or remedy
preclude any further exercise thereof or the exercise of any other right or remedy under this letter. 

  

	7.3	The terms of this letter and your obligations under this letter may only be amended or modified by written agreement between us. 

 

	8	Inside information 

 You
acknowledge that some or all of the Confidential Information is or may be price-sensitive information and that the use of such information may be regulated or prohibited by applicable legislation including securities law relating to insider dealing
and market abuse and you undertake not to use any Confidential Information for any unlawful purpose. 
  

	9	Nature of undertakings 

The undertakings given by you under this letter are given to us and (without implying any fiduciary obligations on our part) are also
given for the benefit of the Borrowers and each other member of the Group. 
  

	10	Third party rights 

  

	10.1	Subject to this paragraph 10.1 and to paragraphs 6 and 9, a person who is not a party to this letter has no right under the Contracts (Rights of Third Parties) Act 1999
(the Third Parties Act) to enforce or to enjoy the benefit of any term of this letter. 

  

	10.2	The Relevant Persons and each member of the Group may enjoy the benefit of the terms of paragraphs 6 and 9 subject to and in accordance with this paragraph 10.2 and the
provisions of the Third Parties Act. 

  

	10.3	Any variation or waiver of any obligation of confidentiality and non-use is subject to the consent of the Borrowers. 

 

	11	Governing law and jurisdiction 

  

	11.1	This letter (and the agreement constituted by your acknowledgement of its terms (the Letter) and any non-contractual obligations arising out of or in connection with it
(including any non- contractual obligations arising out of the negotiation of the transaction contemplated by the Letter) are governed by English law. 

  

	11.2	The courts of England have non-exclusive jurisdiction to settle any dispute arising out of or in connection with this Letter (including a dispute relating to any
non-contractual obligation arising out of or in connection with either this Letter or the negotiation of the transaction contemplated by this Letter). 

  

	12	Definitions 

 In this
letter (including the acknowledgement set out below): 
 Borrowers means the borrowers under the Facility Agreement.

 Confidential Information means all information relating to the Borrowers, the Group, the Finance Documents and/or the
Facility which is provided to you in relation to the Finance Documents or Facility by us or any of our affiliates or advisers, in whatever form, and includes information given orally and any document, electronic file or any other way of representing
or recording information which contains or is derived or copied from such information but excludes information that: 
  

	 	(a)	is or becomes public information other than as a direct or indirect result of any breach by you of this letter; or 

  
 - 114 -

	 	(b)	is identified in writing at the time of delivery as non-confidential by us or our advisers; or 

 

	 	(c)	is known by you before the date the information is disclosed to you by us or any of our affiliates or advisers or is lawfully obtained by you after that date, from a
source which is, as far as you are aware, unconnected with the Group and which, in either case, as far as you are aware, has not been obtained in breach of, and is not otherwise subject to, any obligation of confidentiality.

 Facility Agreement means the facility agreement dated
[—] 2012 and made between the Borrowers and China Development Bank Corporation as mandated lead arranger, original lender, facility agent and security agent. 

Facility Interest means a legal, beneficial or economic interest acquired or to be acquired expressly and specifically in or in
relation to the Facility whether by way of assignment, transfer, novation, sub-participation (whether disclosed, undisclosed, risk or funded) or any other similar method. 
 Finance Documents means the documents defined in the Facility Agreement as Finance Documents, 
 Group has the meaning given to it under the Facility Agreement. 

Guarantor means the guarantor under the Facility Agreement. 

Participant Group means you, each of your holding companies and subsidiaries and each subsidiary of each of your holding companies.

 Permitted Purpose means [considering and evaluating whether to enter into the Facility] [acting as our agent for
receipt of documents, information, notices and communications in respect of the Facility]. 

  
 - 115 -

 Please acknowledge your agreement to the above by signing and returning the enclosed copy. 

 

	
	Yours faithfully
	
	  

 For and on behalf of 
 Finance Party 
  

					
	To:	    	Finance Party	  	
			
		    	The Borrowers and each other member of the Group	  	
			
		    	We acknowledge and agree to the above:	  	
			
		    	  
	  	
			
		    	For and on behalf of	  	
			
		    	[Potential Lender] [Agent of Lender]	  	

  
 - 116 -

 Schedule 15 
 Form of General Assignment 

  
 - 117 -

 Private & Confidential 

 

					
		 	Agreed Form of General Assignment	 	
			
		 	 Dated
	 	
		 	  
	 	

 [OCEANVIEW OWNERS LIMITED] 
 [OCEANSURF OWNERS LIMITED] 
 [OCEANCENTURY OWNERS LIMITED] 

and 

CHINA DEVELOPMENT BANK CORPORATION 
  

 
 GENERAL
ASSIGNMENT 
 relating to m.v. “[insert name of Ship]” 

 
  

 
 

 

 Contents 

 

							
	Clause	  	Page	 
			
	1	  	Definitions	  	 	1	  
			
	2	  	Assignment	  	 	4	  
			
	3	  	Continuing security and other matters	  	 	5	  
			
	4	  	Covenants	  	 	6	  
			
	5	  	Powers of Mortgagee to protect security and remedy defaults	  	 	7	  
			
	6	  	Powers of Mortgagee on Event of Default	  	 	7	  
			
	7	  	Application of moneys	  	 	8	  
			
	8	  	Remedies cumulative and other provisions	  	 	9	  
			
	9	  	Costs and indemnity	  	 	9	  
			
	10	  	Attorney	  	 	10	  
			
	11	  	Further assurance	  	 	10	  
			
	12	  	Notices	  	 	11	  
			
	13	  	Counterparts	  	 	11	  
			
	14	  	Severability of provisions	  	 	11	  
			
	15	  	Law, and jurisdiction	  	 	12	  
		
	Schedule 1 Forms of Loss Payable Clauses	  	 	13	  
		
	Schedule 2 Form of Notice of Assignment of Insurances	  	 	15	  
		
	Schedule 3 Power of Attorney	  	 	16	  

 THIS GENERAL ASSIGNMENT is dated — 20 — and made BETWEEN: 
  

	(1)	[OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad Street,
Monrovia, Republic of Liberia with registered number [C-113416] [C-113418] [C-113417] (the Owner); and 

  

	(2)	CHINA DEVELOPMENT BANK CORPORATION, acting for the purposes of this Deed through its branch at Ningxia, People’s Republic of China, as security agent and
trustee for and on behalf of the Finance Parties (as defined below) (the Mortgagee). 

 WHEREAS: 

 

	(A)	the Owner is the sole, absolute and unencumbered, legal and beneficial owner of all shares in the Ship described in clause 1.2; 

 

	(B)	by a loan agreement dated [—] 2012 and made between (1) the Owner, Oceansurf Owners Limited and Oceancentury
Owners Limited as joint and several borrowers (therein and herein referred to as the Borrowers), (2) Bank of China Limited as coordinating mandated lead arranger, China Development Bank Corporation as mandated lead arranger, facility
agent (in such capacity the Facility Agent) and Security Agent and (3) the financial institutions referred to in part 2 of schedule 1 thereto as original lenders (the Lenders), the lenders agreed (inter alia) to make
available to the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and twenty two million and five hundred and eighty thousand Dollars ($122,580,000); 

 

	(C)	the Owner has executed in favour of the Mortgagee a statutory Maltese mortgage of even date herewith in account current form constituting a first priority mortgage of
all shares in the said Ship together with a supplemental General Assignment; and 

  

	(D)	this Deed is supplemental to the Loan Agreement and to the security thereby created and is the General Assignment referred to in the Loan Agreement.

 NOW THIS DEED WITNESSES AND IT IS HEREBY AGREED as follows: 

 

	1	Definitions 

  

	1.1	Defined expressions 

Words and expressions defined in the Loan Agreement shall, unless the context otherwise requires or unless otherwise defined herein, have
the same meanings when used in this Deed. 
  

	1.2	Definitions 

 In this
Deed, unless the context otherwise requires: 
 Assigned Property means: 

 

	 	(a)	the insurances; 

  

	 	(b)	the Earnings; and 

  

	 	(c)	any Requisition Compensation 

 of
the Ship 
 Collateral Instruments means notes, bills of exchange, certificates of deposit and other negotiable and
non-negotiable instruments, guarantees, indemnities and other assurances against financial loss and any other documents or instruments which contain or evidence an 

  
 1 

 
obligation (with or without security) to pay, discharge or be responsible directly or indirectly for, any indebtedness or liabilities of the Owner or any other person liable and includes any
documents or instruments creating or evidencing a mortgage, charge (whether fixed or floating), pledge, lien, hypothecation, assignment, trust arrangement or security interest of any kind 

Default means any Event of Default or any event or circumstance which with the giving of notice or lapse of time or the
satisfaction of any other condition (or any combination thereof) would constitute an Event of Default 
 Earnings means
all moneys whatsoever from time to time due or payable to the Owner during the Security Period arising out of the use or operation of the Ship including (but without limiting the generality of the foregoing) all freight, hire and passage moneys,
income arising under pooling arrangements, compensation payable to the Owner in the event of requisition of the Ship for hire, remuneration for salvage and towage services, demurrage and detention moneys, damages for breach (or payments for
variation or termination) of any charterparty or other contract for the employment of the Ship 
 Encumbrance means any
mortgage, charge (whether fixed or floating), pledge, lien, hypothecation, assignment, trust arrangement or security interest or other encumbrance of any kind securing any obligation of any person or any type of preferential arrangement (including
without limitation title transfer and/or retention arrangements having a similar effect) 
 Expenses means the aggregate
at any relevant time (to the extent that the same have not been received or recovered by the Mortgagee) of: 
  

	 	(a)	all losses, liabilities, costs, charges, expenses, damages and outgoings of whatever nature (including, without limitation, Taxes, repair costs, registration fees and
insurance premiums) suffered, incurred or paid by the Mortgagee in connection with the exercise of the powers referred to in or granted by this Deed or otherwise payable by the Owner in accordance with clause 9 (Costs and indemnity); and

  

	 	(b)	interest on all such losses, liabilities, costs, charges, expenses, damages and outgoings from the date on which the same were suffered, incurred or paid by the
Mortgagee until the date of receipt or recovery thereof (whether before or after judgment) at a rate per annum calculated in accordance with clause [8.4 (Default Interest)] of the Loan Agreement (as conclusively certified by the Mortgagee)

 Facility Agent includes its successors in title and its replacements 

Loan means the aggregate principal amount advanced and/or to be advanced from time to time by the Lenders to the Owner pursuant to
the Loan Agreement or, as the context may require, the amount thereof at any time outstanding 
 Loan Agreement means the
agreement dated [—] 2012 mentioned in recital (A) hereto as It may from time to time be amended, restated, novated or replaced (however fundamentally including by an increase of any size in any
facility made available under it, the alteration of the nature, purpose or period of any such facility or the change of its parties) 
 Insurances means all policies and contracts of insurance (which expression includes all entries of the Ship in a protection and indemnity or war risks association) which are from time to time
during the Security Period in place or taken out or entered into by or for the benefit of the Owner (whether in the sole name of the Owner or in the joint names of the Owner and the Mortgagee or otherwise) in respect of the Ship and her Earnings or
otherwise howsoever in connection with the Ship and all benefits thereof (including claims of whatsoever nature and return of premiums) 
 Loss Payable Clauses means the provisions regulating the manner of payment of sums receivable under the Insurances which are to be incorporated in the relevant insurance documents, such provisions
to be in the forms set out in Schedule 1 (Forms of Loss Payable Clauses) or in such other forms as may from time to time be agreed in writing by the Mortgagee 

  
 2 

 Mortgage means the first priority statutory mortgage mentioned in recital (C)

 Mortgagee includes the successors in title and replacements of the Mortgagee 

Notice of Assignment of Insurances means a notice of assignment in the form set out in Schedule 2 (Form of Notice of Assignment
of Insurances) or in such other form as may from time to time be required or agreed in writing by the Mortgagee 

Outstanding Indebtedness means the aggregate of the Loan and interest accrued and accruing thereon, the Expenses and all other sums
of money from time to time owing to the Mortgagee, the Finance Parties or any of them, whether actually or contingently, under the Loan Agreement and the Finance Documents or any of them 

Owner includes the successors in title of the Owner 
 Requisition Compensation means all sums of money or other compensation from time to time payable during the Security Period by reason of the Compulsory Acquisition of the Ship 

Security Period means the period commencing on the date hereof and terminating upon discharge of the security created by the
Finance Documents by payment of all moneys payable thereunder 
 Ship means the vessel
— registered at the Port of [Valletta] under Official Number — and includes any share or interest therein and her engines, machinery, boats, tackle,
outfit, equipment, spare gear, fuel, consumable or other stores, belongings and appurtenances whether on board or ashore and whether now owned or hereafter acquired and also any and all additions, improvements and replacements hereafter made in or
to such vessel or any part thereof or in or to her equipment and appurtenances aforesaid 
 Taxes includes all present and
future taxes, levies, imposts, duties, fees or charges of whatever nature together with interest thereon and penalties in respect thereof and Taxation shall be construed accordingly; and 

Total Loss means: 
  

	 	(a)	the actual, constructive, compromised or arranged total loss of the Ship; or 

 

	 	(b)	the Compulsory Acquisition of the Ship; or 

  

	 	(c)	the hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation of the Ship (other than where the same amounts to the Compulsory Acquisition of
the Ship) by any Government Entity, or by persons acting or purporting to act on behalf of any Government Entity, unless the Ship be released and restored to the Owner from such hijacking, theft, condemnation, capture, seizure, arrest, detention or
confiscation within thirty (30) days after the occurrence thereof. 

  

	1.3	Headings 

 Clause headings
and the table of contents are inserted for convenience of reference only and shall be ignored in the interpretation of this Deed. 
  

	1.4	Construction of certain terms 

 In this Deed, unless the context otherwise requires: 
  

	1.4.1	references to clauses and schedules are to be construed as references to clauses of, and schedules to, this Deed and references to this Deed include its schedules;

  
 3 

	1.4.2	references to (or to any specified provision of) this Deed or any other document shall be construed as references to this Deed, that provision or that document as in
force for the time being and as amended in accordance with the terms thereof, or, as the case may be, with the agreement of the relevant parties; 

  

	1.4.3	words importing the plural shall include the singular and vice versa; 

  

	1.4.4	references to a person shall be construed as references to an individual, firm, company, corporation, unincorporated body of persons or any Government Entity;

  

	1.4.5	references to a guarantee shall include references to an indemnity or other assurance against financial loss including, without limitation, an obligation to
purchase assets or services as a consequence of a default by any other person to pay any Indebtedness and guaranteed shall be construed accordingly; and 

 

	1.4.6	references to statutory provisions shall be construed as references to those provisions as replaced or amended or re-enacted from time to time.

  

	1.5	Conflict with the Loan Agreement 

 This Deed shall be read together with the Loan Agreement but in case of any conflict between (a) the Loan Agreement and (b) this Deed, the provisions of the Loan Agreement shall prevail over
those of this Deed. 
  

	2	Assignment 

  

	2.1	Assignment 

 By way of
security for payment of the Outstanding Indebtedness, the Owner with full title guarantee hereby assigns and agrees to assign to the Mortgagee absolutely all its rights, title and interest in and to the Assigned Property and all its benefits and
interests present and future therein provided however that: 
  

	2.1.1	Earnings: the Earnings shall be payable to the Operating Account until such time as a Default shall occur and the Mortgagee shall direct to the contrary
whereupon the Owner shall forthwith, and the Mortgagee may at any time thereafter, instruct the persons from whom the Earnings are then payable to pay the same to the Mortgagee or as it may direct and any Earnings then in the hands of the
Owner’s brokers or other agents shall be deemed to have been received by them for the use and on behalf of the Mortgagee; 

  

	2.1.2	Insurances: unless and until a Default shall occur (whereupon all insurance recoveries, other than any moneys payable under any loss of earnings insurance, shall
be receivable by the Mortgagee and applied in accordance with clause 7.1 (Application) or clause 7.4 (Application of Insurances received by Mortgagee), as the case may be): 

 

	 	(a)	any moneys payable under the Insurances other than any moneys payable under any loss of earnings insurance, shall be payable in accordance with the terms of the
relevant Loss Payable Clause and the Mortgagee will not in the meantime give any notification to the contrary to the insurers as contemplated by the Loss Payable Clauses; and 

 

	 	(b)	any insurance moneys received by the Mortgagee in respect of any major casualty (as specified in the relevant Loss Payable Clause) shall, unless prior to receipt or
whilst such moneys are in the hands of the Mortgagee there shall have occurred a Default (whereupon such insurance monies shall be applied in accordance with clause 7.1 (Application) or clause 7.4 (Application of Insurances received by
Mortgagee), as the case may be), be paid over to the Owner upon the Owner furnishing evidence satisfactory to the Mortgagee that all loss and damage resulting from such casualty has been properly made good and repaired, and that all repair
accounts and other liabilities whatsoever in connection with the casualty have been fully paid and discharged by the Owner, provided however that the insurers with whom the fire and usual marine risks insurances are effected may, in the case of a
major casualty, and with the previous consent in writing of the Mortgagee, make payment on account of repairs in the course of being effected; and 

  
 4 

	 	(c)	any moneys payable under any loss of earnings insurance shall be payable in accordance with the terms of the relevant Loss Payable Clause and shall be subject to such
provisions of this clause 2 as shall apply to Earnings and the Mortgagee will not give any notification to the insurers as contemplated in such Loss Payable Clause unless and until the Mortgagee shall have become entitled under clause 2.1.1 to
direct that the Earnings be paid to the Mortgagee. 

  

	2.2	Notice and endorsement 

  

	2.2.1	Promptly on being requested to so do by the Mortgagee, the Owner shall give written notice (in the form of the Notice of Assignment of Insurances in respect of the
assignment of the Insurances and otherwise in such form as the Mortgagee shall require consistent with this clause 2) of the assignment in this Deed to anyone from whom any part of the Assigned Property is or may be due and provide the Mortgagee
with as many of such notices signed by the Owner as the Mortgagee may require. 

  

	2.2.2	The Owner shall ensure that the interest of the Mortgagee as assignee of the Insurances is endorsed on all insurance policies and other documents for such Insurances by
the incorporation of a Loss Payable Clause and a Notice of Assignment of insurances signed by the Owner. 

  

	2.3	Use of Owner’s name 

The Owner covenants and undertakes with the Mortgagee to do or permit to be done each and every act or thing which the Mortgagee may from
time to time require to be done for the purpose of enforcing the Mortgagee’s rights under this Deed and to allow its name to be used as and when required by the Mortgagee for that purpose. 

 

	2.4	Reassignment 

 Upon
payment and discharge in full to the satisfaction of the Mortgagee of the Outstanding Indebtedness, the Mortgagee shall, forthwith with specific request and at the cost of the Owner, re-assign the Earnings, the Insurances and any Requisition
Compensation to the Owner or as it may direct. 
  

	3	Continuing security and other matters 

  

	3.1	Continuing security 

 The
security created by this Deed shall: 
  

	3.1.1	be held by the Mortgagee as a continuing security for the payment of the Outstanding Indebtedness and the performance and observance of and compliance with all of the
covenants, terms and conditions contained in the Finance Documents, express or implied and the security so created shall not be satisfied by any intermediate payment or satisfaction of any part of the amount hereby and thereby secured (or by any
settlement of accounts between the Owner or any other person who may be liable to the Mortgagee or the Finance Parties or any of them in respect of the Outstanding Indebtedness or any part thereof and the Mortgagee); 

 

	3.1.2	be in addition to, and shall not in any way prejudice or affect, and may be enforced by the Mortgagee without prior recourse to, the security created by any of the
other Finance Documents or by any present or future Collateral Instruments, right or remedy held by or available to the Mortgagee or the Finance Parties or any right or remedy of the Mortgagee or the Finance Parties thereunder; and

  

	3.1.3	 not be in any way prejudiced or affected by the existence of any of the other Finance Documents or any such Collateral Instrument, rights or remedies
or by the same becoming wholly or in part 

  
 5 

	 	
void, voidable or unenforceable on any ground whatsoever or by the Mortgagee dealing with, exchanging, varying or failing to perfect or enforce any of the same, or giving time for payment or
performance or indulgence or compounding with any other person liable. 

  

	3.2	Rights additional 

 All
the rights, remedies and powers vested in the Mortgagee hereunder shall be in addition to and not a limitation of any and every other right, power or remedy vested in the Mortgagee or the Finance Parties or any of them under the Loan Agreement, the
other Finance Documents or any such Collateral Instrument or at law and that all the powers so vested in the Mortgagee or the Finance Parties may be exercised from time to time and as often as the Mortgagee or the Finance Parties or any of them may
deem expedient. 
  

	3.3	No enquiry 

 The Mortgagee
shall not be obliged to make any enquiry as to the nature or sufficiency of any payment received by it under this Deed or to make any claim or take any action to collect any moneys hereby assigned or to enforce any rights or benefits hereby assigned
to the Mortgagee or to which the Mortgagee may at any time be entitled under this Deed. 
  

	3.4	Obligations of Owner and Mortgagee 

 The Owner shall remain liable to perform all the obligations assumed by it in relation to the Assigned Property and the Mortgagee shall be under no obligation of any kind whatsoever in respect thereof or
be under any liability whatsoever in the event of any failure by the Owner to perform its obligations in respect thereof. 
  

	3.5	Suspense account 

 Any
money received by virtue of or in connection with the security created by this Deed may be placed to the credit of a suspense account with a view to preserving the rights of the Mortgagee to prove for the whole of the Outstanding Indebtedness
against the Owner in the event of any proceedings in, or analogous to, liquidation, composition or arrangement. 
  

	3.6	Settlements conditional 

Any release, discharge or settlement between the Owner and the Mortgagee or the Finance Parties or any of them shall be conditional upon
no security disposition or payment by the Owner or any other person to the Mortgagee or the Finance Parties or any of them being void or set aside or ordered to be refunded pursuant to any provisions or enactments relating to bankruptcy,
liquidation, administration or insolvency or for any other reason whatsoever and if such condition shall not be fulfilled, the Mortgagee shall be entitled to enforce the security created by this Deed and the other Finance Documents as if such
release, settlement or discharge had not occurred and any such payment had not been made. 
  

	4	Covenants 

  

	4.1	The Owner hereby covenants with the Mortgagee and undertakes throughout the Security Period: 

 

	4.1.1	Encumbrances: not without the prior written consent of the Mortgagee (and then only subject to such conditions as the Mortgagee may impose) to create or purport
or agree to create or permit to arise or subsist any Encumbrance over or in respect of the Assigned Property otherwise than to or in favour of the Mortgagee; 

 

	4.1.2	Sale or other disposal: not without the prior written consent of the Mortgagee (and then only subject to such conditions as the Mortgagee may impose) to dispose
of the Assigned Property; 

  

	4.1.3	 Payment of Earnings: to procure that the Earnings are paid to the Operating Account pursuant to clause 19.2 (Operating Account:
credits and withdrawals) of the Loan Agreement (or to such 

  
 6 

	 	
other account as the Mortgagee may from time to time agree) and to procure that the same are paid to the Mortgagee at all times if and when the same shall be or shall have become so payable in
accordance with the Finance Documents after the Mortgagee shall have directed pursuant to clause 2.1.1 that the same shall be no longer receivable by the Owner and that any Earnings which are so payable and which are in the hands of the Owner’s
brokers or agents are duly accounted for and paid over to the Mortgagee forthwith on demand; 

  

	4.1.4	No Encumbrance: not to take or receive any Encumbrance from any Security Party in respect of the liability of the Owner under this Deed.

  

	5	Powers of Mortgagee to protect security and remedy defaults 

 The Mortgagee shall, without prejudice to its other rights, powers and remedies under any of the Finance Documents, be entitled (but not bound) at any time, and as often as may be necessary, to take any
such action as it may in its discretion think fit for the purpose of protecting or maintaining the security created by this Deed and the other Finance Documents, and all Expenses attributable thereto shall be payable by the Owner on demand.

  

	6	Powers of Mortgagee on Event of Default 

  

	6.1	Powers 

 Upon the
happening of any Event of Default, the Mortgagee shall become forthwith entitled following notice given to the Owner in accordance with the provisions of clause 15.2 (Acceleration) of the Loan Agreement to declare the Outstanding Indebtedness
or any relevant part thereof to be due and payable immediately or in accordance with such notice, whereupon the Outstanding Indebtedness or the relevant part thereof shall become so due and payable and (whether or not the Agent shall have given any
such notice) the Mortgagee shall become forthwith entitled, as and when it may see fit, to put into force and exercise in relation to the Assigned Property or any part thereof all or any of the rights, powers and remedies possessed by it (whether at
law, by virtue of this Deed or otherwise) and in particular (without limiting the generality of the foregoing): 
  

	6.1.1	to require that all policies, contracts, certificates of entry and other records relating to the insurances (including details of and correspondence concerning
outstanding claims) be delivered forthwith to such adjusters and/or brokers and/or other insurers as the Mortgagee may nominate; 

  

	6.1.2	to withdraw the Ship from any Pool Agreement and/or to direct that the Ship’s pool earnings shall be paid to the Mortgagee; 

 

	6.1.3	to collect, recover, compromise and give a good discharge for, all claims then outstanding or thereafter arising under the Insurances or any of them or in respect of
any other part of the Assigned Property, and to take over or institute (if necessary using the name of the Owner) all such proceedings in connection therewith as the Mortgagee in its absolute discretion thinks fit, and, in the case of the
Insurances, to permit the brokers through whom collection or recovery is effected to charge the usual brokerage therefor; 

  

	6.1.4	to discharge, compound, release or compromise claims in respect of the Assigned Property which have given or may give rise to any charge or lien or other claim on the
Assigned Property or which are or may be enforceable by proceedings against the Assigned Property; and 

  

	6.1.5	to recover from the Owner within seven days of demand all Expenses incurred or paid by the Mortgagee in connection with the exercise of the powers (or any of them)
referred to in this clause 6.1. 

  

	6.2	Liability of mortgagee in possession 

 The Mortgagee shall not be liable as mortgagee in possession in respect of all or any of the Assigned Property to account or be liable for any loss upon realisation or for any neglect or default of any
nature whatsoever in connection therewith for which a mortgagee in possession may be liable as such. 

  
 7 

	7	Application of moneys 

  

	7.1	Application 

 All moneys
received by the Mortgagee in respect of: 
  

	7.1.1	recovery under the Insurances (other than under any loss of earnings insurance and any such sum or sums as may have been received by the Mortgagee in accordance with
the relevant Loss Payable Clause in respect of a major casualty as therein defined and paid over to the Owner as provided in clause 2.1.2(b) or which fall to be otherwise applied under clause 7.4 (Application of Insurances received by
Mortgagee); 

  

	7.1.2	Requisition Compensation; 

  

	7.1.3	(without prejudice to clause 2.1.1) Earnings; 

 shall be held by it upon trust in the first place to pay or make good the Expenses and the balance shall: 
  

	 	(a)	in the case of moneys received in respect of recovery under the Insurances in relation to a Total Loss of the Ship or Requisition Compensation:

  

	 	(i)	if no Default has occurred, be applied in making such prepayment as the Agent may require in accordance with clause 9.3 (Mandatory cancellation or prepayment - Total
Loss or disposal/sale) of the Loan Agreement and any payments required pursuant to clause 9.7 (Amounts payable on prepayment) of the Loan Agreement and the balance, if any, shall be paid to the Owner; or 

 

	 	(ii)	if a Default has occurred and is continuing but no Event of Default has occurred, be retained by the Mortgagee until such time as such Default is remedied and no other
Default has occurred and is continuing (whereupon such moneys shall be applied in making such prepayment as the Facility Agent may require in accordance with clauses clause 9.3 (Mandatory cancellation or prepayment - Total Loss or
disposal/sale) of the Loan Agreement and any payments required pursuant to clause 9.7 (Amounts payable on prepayment) of the Loan Agreement and the balance, if any, shall be paid to the Owner) and/or shall be applied by the Mortgagee in
or towards satisfaction of any sums due and payable by the Owner under the Finance Documents or any of them by virtue of payment demanded thereunder, in each case as the Mortgagee may in its absolute discretion determine; and

  

	 	(b)	in all cases if an Event of Default has occurred, be applied by the Mortgagee in the manner specified in clause 22.22 (Order of application) of the Loan
Agreement. 

  

	7.2	Shortfalls 

 In the event
that the balance referred to in clause 7.1 (Application) is insufficient to pay in full the whole of the Outstanding Indebtedness, the Mortgagee shall be entitled to collect the shortfall from the Owner or any other person liable for the time
being therefor. 
  

	7.3	Application of Earnings received by Mortgagee 

 Any moneys received by the Mortgagee in respect of the Earnings shall: 
  

	7.3.1	 if received by the Mortgagee, or in the hands of the Mortgagee, prior to the occurrence of an Event of Default, be retained by the Mortgagee and shall
be paid over by the Mortgagee, to the Operating Account at such times, in such amounts and for such purposes and/or shall be 

  
 8 

	 	
applied by the Mortgagee, in or towards satisfaction of any sums from time to time accruing due and payable by the Owner under the Security Documents or any of them or by virtue of payment
demanded thereunder, in each case as the Mortgagee, may in its discretion determine; 

  

	7.3.2	if received by the Mortgagee, or in the hands of the Mortgagee, after the occurrence of an Event of Default, be applied by the Mortgagee in the manner specified in
clause 7.1 (Application) and/or clause 7.3.1, as the Mortgagee may in its absolute discretion determine. 

  

	7.4	Application of Insurances received by Mortgagee 

 Any moneys received by the Mortgagee in respect of the insurances (other than in respect of recovery under any loss of earnings insurance or in respect of a Total Loss) shall: 

 

	7.4.1	if received by the Mortgagee, or in the hands of the Mortgagee, after the occurrence of a Default but prior to the occurrence of an Event of Default, be retained by the
Mortgagee, and shall be paid over by the Mortgagee, to the Owner at such times, in such amounts and for such purposes and/or shall be applied by the Mortgagee, in or towards satisfaction of any sums from time accruing due and payable by the Owner
under the Security Documents or any of them or by virtue of payment demanded thereunder, in each case as the Mortgagee, may in its absolute discretion determine; 

 

	7.4.2	if received by the Mortgagee, or in the hands of the Mortgagee after the occurrence of an Event of Default, be applied by the Mortgagee in the manner specified in
clause 7.1 (Application) and/or clause 7.4.1, as the Mortgagee may in its absolute discretion determine. 

  

	8	Remedies cumulative and other provisions 

  

	8.1	No implied waivers; remedies cumulative 

 No failure or delay on the part of the Mortgagee or the Finance Parties or any of them to exercise any right, power or remedy vested in it under the Loan Agreement, this Deed, the Mortgage or any of the
other Finance Documents shall operate as a waiver thereof, nor shall any single or partial exercise by the Mortgagee of any right, power or remedy nor the discontinuance, abandonment or adverse determination of any proceedings taken by the Mortgagee
to enforce any right, power or remedy preclude any other or further exercise thereof or proceedings to enforce the same or the exercise of any other right, power or remedy nor shall the giving by the Mortgagee of any consent to any act which by the
terms of this Deed requires such consent prejudice the right of the Mortgagee to withhold or give consent to the doing of any other similar act. The remedies provided in the Loan Agreement, this Deed and the other Finance Documents are cumulative
and are not exclusive of any remedies provided by law. 
  

	8.2	Delegation 

 The Mortgagee
shall be entitled, at any time and as often as may be expedient, to delegate all or any of the powers and discretions vested in it by this Deed (including the power vested in it by virtue of clause 10 (Attorney) or any of the other Finance
Documents in such manner, upon such terms, and to such persons as the Mortgagee in its absolute discretion may think fit. 
  

	9	Costs and indemnity 

  

	9.1	Costs 

 The Owner shall
pay to the Mortgagee on demand on a full indemnity basis all expenses or liabilities of whatsoever nature (including legal fees, fees of insurance advisers, printing, out-of-pocket expenses, stamp duties, registration fees and other duties or
charges) together with any value added tax or similar tax payable in respect thereof, incurred by the Mortgagee in connection with the enforcement of, or preservation of any rights under this Deed or otherwise in respect of the Outstanding
Indebtedness and the security therefor or in connection with the preparation, completion, execution or registration of the Loan Agreement, this Deed or any of the other Finance Documents. 

  
 9 

	9.2	Mortgagee’s indemnity 

The Owner hereby agrees and undertakes to indemnify the Mortgagee against all losses, actions, claims, expenses, demands, obligations and
liabilities whatever and whenever arising which may now or hereafter be incurred by the Mortgagee or by any manager, agent, officer or employee for whose liability, act or omission it or he may be answerable, in respect of, in relation to, or in
connection with anything done or omitted in the exercise or purported exercise of the powers contained in this Deed, or otherwise in connection therewith and herewith or with any part of the Assigned Property or otherwise howsoever in relation to,
or in connection with, any of the matters dealt with in this Deed. 
  

	10	Attorney 

  

	10.1	Power 

  

	10.1.1	By way of security, the Owner hereby irrevocably appoints the Mortgagee to be its attorney generally for and in the name and on behalf of the Owner, and as the act and
deed or otherwise of the Owner to execute, seal and deliver and otherwise perfect and do all such deeds, assurances, agreements, instruments, acts and things which may be required for the full exercise of all or any of the rights, powers or remedies
conferred by this Deed, the Loan Agreement or any of the other Finance Documents, or which may be deemed proper in or in connection with all or any of the purposes aforesaid. The power hereby conferred shall be a general power of attorney under the
Powers of Attorney Act 1971, and the Owner ratifies and confirms, and agrees to ratify and confirm, any deed, assurance, agreement, instrument, act or thing which the Mortgagee may execute or do pursuant thereto. 

 

	10.1.2	The power in clause 10.1.1 above is subject to the provision that such power shall not be exercisable by or on behalf of the Mortgagee until the happening of an Event
of Default. The parties hereto declare that the mandate hereby granted is so granted in the interest of the Mortgagee and as part of its security. 

  

	10.2	Exercise of power 

 The
exercise of such power by or on behalf of the Mortgagee shall not put any person dealing with the Mortgagee upon any enquiry as to whether any Event of Default has happened, nor shall such person be in any way affected by notice that no such Event
of Default has happened, and the exercise by the Mortgagee of such power shall be conclusive evidence of the Mortgagee’s right to exercise the same. 
  

	10.3	Filings 

 The Owner hereby
irrevocably appoints the Mortgagee to be its attorney in its name and on its behalf and as its act and deed or otherwise of it, to agree the form of and to execute and do all deeds, instruments, acts and things in order to file, record, register or
enrol this Deed in any court, public office or elsewhere which the Mortgagee may in its discretion consider necessary or advisable, now or in the future, to ensure the legality, validity, enforceability or admissibility in evidence thereof and any
other assurance, document, act or thing required to be executed by the Owner pursuant to clause 11 (Further assurance). 
  

	10.4	Power of attorney in Schedule 3 

 In order to assist the Mortgagee to obtain the full benefit of this clause 10, the Owner irrevocably and unconditionally undertakes to execute in favour of, and deliver to, the Mortgagee a power of
attorney in the form set out in Schedule 3. 
  

	11	Further assurance 

 The
Owner hereby further undertakes at its own expense from time to time to execute, sign, perfect, do and (if required) register every such further assurance, document, act or thing as in the opinion of the Mortgagee may be necessary or desirable for
the purpose of more effectually mortgaging and charging the Assigned Property or perfecting the security constituted or intended to be constituted by this Deed or contemplated by the Loan Agreement. 

  
 10 

	12	Notices 

  

	12.1	Every notice, request, demand or other communication under this Deed shall: 

 

	12.1.1	be in writing delivered personally or by first-class prepaid letter (if available) or facsimile transmission or other means of telecommunication in permanent written
form; 

  

	12.1.2	be deemed to have been received in the case of a letter, when delivered personally or five (5) days after it has been put in the post and, in the case of a
facsimile transmission or other means of telecommunication in permanent written form, at the time of despatch (provided that if the date of despatch is not a business day in the country of the addressee or if the time of despatch is after the close
of business in the country of the addressee it shall be deemed to have been received at the opening of business on the next such business day); and 

  

	12.1.3	be sent: 

  

	 	(a)	if to the Owner at: 

 Dryships
Inc, Athens Office, 
 80 Kifisias Avenue, 
 151 24 Marousi, 
 Athens, Greece, 

Fax No:          +30 210 80 90 505, 

Attention:      Mr. Ziad Nakhleh 

 

	 	(b)	if to the Mortgagee at: 

 China
Development Bank Corporation 
 No 1 Yinjiaqu North Street 

Yinchuan City 

Ningxia 750004 

People’s Republic of China 
 Fax No:          +86 951 56 95 821 
 Attention:      Mr. Zhang Jia 
 or to such other
address and/or numbers as is notified by one party to the other party under this Deed. 
  

	13	Counterparts 

 This Deed
may be entered into in the form of two counterparts, each executed by one of the parties, and, provided both the parties shall so execute this Deed, each of the executed counterparts, when duly exchanged or delivered, shall be deemed to be an
original but, taken together, they shall constitute one instrument. 
  

	14	Severability of provisions 

Each of the provisions in this Deed are severable and distinct from the others, and if at any time one or more such provisions is or
becomes invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions of this Deed shall not in any way be affected or impaired thereby. 

  
 11 

	15	Law, and jurisdiction 

  

	15.1	Law 

 This Deed and any
non-contractual obligations connected with this Deed are governed by, and shall be construed in accordance with, English law. 
  

	15.2	Submission to jurisdiction 

For the benefit of the Mortgagee, the parties hereto irrevocably agree that any legal action or proceedings in connection with this Deed
and/or any non-contractual obligations connected with it may be brought in the English courts or in the courts of any other country chosen by the Mortgagee, each of which shall have jurisdiction to settle any disputes arising out of or in connection
with this Deed and/or any non-contractual obligations connected with it. The Owner irrevocably and unconditionally submits to the jurisdiction of the English courts and the courts of any country chosen by the Mortgagee and irrevocably designates,
appoints and empowers Ince Process Agents Ltd. at present of International House 1st Katharine Way, London E1W 1AY to receive, for it and on its behalf, service of process issued out of the English courts in any legal action or proceedings arising
out of or in connection with this Deed and/or any non-contractual obligations connected with it. The submission to such jurisdiction shall not (and shall not be construed so as to) limit the right of the Mortgagee to take proceedings against the
Owner in any other court of competent jurisdiction nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether concurrently or not. The parties further agree that only
the courts of England and not those of any other State shall have jurisdiction to determine any claim which the Owner may have against the Mortgagee arising out of or in connection with this Deed and/or any non-contractual obligations connected with
it. 
  

	15.3	Maltese legal proceedings 

If any legal action or proceedings arising out of or in connection with this Deed is begun in Malta any writ, judgement, notice of
proceedings or other legal process shall sufficiently be served on the Owner if served or delivered to any one director of the Owner or [to be inserted] who the Owner hereby nominates as its attorney in Malta for those purposes. The
Owner covenants with the Mortgagee not to revoke its appointment of such director or person as its legal representative in Malta for the purposes aforesaid and in the event of such director’s or person’s resignation or in any case where
such director or person is unable to fulfil such capacity to procure that the Mortgagee is informed in writing forthwith, that another suitable person resident in Malta is appointed legal representative in such director’s or person’s place
and that the Mortgagee is informed promptly of the name and address of such substitute. 
  

	15.4	Contracts (Rights of Third Parties Act) 1999 

 No term of this Deed is enforceable under the Contracts (Rights of Third Parties Act) 1999 by a person who is not a party to this Deed. 
 IN WITNESS whereof this Deed has been duly executed as a deed the day and year first above written. 

  
 12 

 Schedule 1 
 Forms of Loss Payable Clauses 
  

	1	Hull and machinery (marine and war risks) 

 By a General Assignment dated [—], [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian
corporation with its registered office at 80 Broad Street, Monrovia, Liberia with registered number [C-113416] [C- 113418] [C-113417] (the Owner) has assigned to CHINA DEVELOPMENT BANK CORPORATION of No.1 Yinjiaqu North Street,
Yinchuan City, Ningxia 750004, People’s Republic of China (the Mortgagee), all the Owner’s rights, title and interest in and to all policies and contracts of insurance from time to time taken out or entered into by or for the
benefit of the Owner in respect of m.v. “[insert the name of the Ship]” and accordingly: 
  

	1.1	all claims hereunder in respect of an actual or constructive or compromised or arranged total loss, and all claims in respect of a major casualty (that is to say any
casualty the claim in respect of which exceeds US$2,000,000 (or the equivalent in any other currency) inclusive of any deductible) shall be paid in full to the Mortgagee or to its order; and 

 

	1.2	all other claims hereunder shall be paid in full to the Owner or to its order, unless and until the Mortgagee shall have notified the insurers hereunder to the
contrary, whereupon all such claims shall be paid to the Mortgagee or to its order. 

  

	2	War risks 

 It is noted
that CHINA DEVELOPMENT BANK CORPORATION of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004, People’s Republic of China (the Mortgagee), is interested as first mortgagee in the subject matter of this insurance. Save as
hereinafter provided, all claims (whether in respect of actual, constructive, arranged or compromised total loss or otherwise) which, but for this Loss Payable Clause would be payable to [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS
LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad Street, Monrovia, Liberia with registered number [C-113416] [C-113418] [C-113417] (the Owner), shall be payable to the Mortgagee,
provided always that unless and until notice in writing to the contrary has been received by the Association, claims (other than total loss claims) not exceeding US$2,000,000 (or the equivalent in any other currency) in respect of any one claim
shall be paid direct to the Owner or to its order. 
  

	3	Protection and indemnity risks 

 Payment of any recovery which [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad
Street, Monrovia, Liberia with registered number [C-113416] [C-113418] [C-113417] (the Owner), is entitled to make out of the funds of the Association in respect of any liability, costs or expenses incurred by the Owner, shall be made to the
Owner or to its order, unless and until the Association receives notice to the contrary from CHINA DEVELOPMENT BANK CORPORATION of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004, People’s Republic of China (the
Mortgagee), in which event all recoveries shall thereafter be paid to the Mortgagee or its order; provided always that no liability whatsoever shall attach to the Association, its Managers or their agents for failure to comply with the latter
obligation until the expiry of two (2) clear business days from the receipt of such notice. 
  

	4	Loss of Earnings 

 By a
General Assignment dated [—], [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad
Street, Monrovia, Liberia with registered number [C-113416] [C-113418] [C-113417] (the Owner), has assigned to CHINA DEVELOPMENT BANK 

  
 13 

 
CORPORATION of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004 , People’s Republic of China (the Mortgagee), its rights, title and interest in and to all policies and
contracts of insurance from time to time taken out or entered into by or for the benefit of the Owner in respect of m.v. “[insert name of Ship]” and accordingly all claims hereunder shall be paid in full to the account of the Owner held
with the Mortgagee with account number [—] [—], Swift number [—] [—] and IBAN number [—] [—] unless and until the Mortgage shall have notified the insurers hereunder to
the contrary, whereupon in either case all such claims shall be paid to the Mortgagee or its order. 

  
 14 

 Schedule 2 
 Form of Notice of Assignment of Insurances 
 (For attachment by way of
endorsement to the Policy) 
 [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation
with its registered office at 80 Broad Street, Monrovia, Liberia with registered number [C-113416] [C-113418] [C-113417], the owner of the m.v. “[insert name of Ship]” HEREBY GIVES NOTICE that by a General Assignment dated [—] 2012 and entered into by us with CHINA DEVELOPMENT BANK CORPORATION of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004, People’s Republic of China, there has been assigned by us to
CHINA DEVELOPMENT BANK CORPORATION as first mortgagee of the said vessel, all insurances in respect thereof, including the insurances constituted by the Policy whereon this notice is endorsed. 

 

	
	  

	Signed
	For and on behalf of

 [OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED] 

Dated: [—] 

  
 15 

 Schedule 3 
 Power of Attorney 
 By these presents, the undersigned [OCEANVIEW OWNERS LIMITED]
[OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad Street, Monrovia, Liberia with registered number [C-113416] [C-113418] [C-113417], does hereby nominate
and appoint CHINA DEVELOPMENT BANK CORPORATION of No.1 Yinjiaqu North Street, Yinchuan City, Ningxia 750004, People’s Republic of China, as our Special Attorney and authorise it to apply for the closure of the Maltese Register of the
m.v. “[insert name of Ship]” in terms of Section 28 of the Merchant Shipping Act, Cap. 234 Laws of Malta, in our name and on our behalf and to pay all such fees, make all such declarations and receive all such certificates, including
the Deletion Certificate, as may be necessary for the proper fulfilment of the above mandate. 
 We further authorise our Attorney to request
and obtain from the Registrar of Shipping copies certified by the said Registrar of any documents that may be filed with the said Registrar. 

Our Attorney is authorised to delegate all its power hereunder in writing. 
 This mandate is granted in the interest of and as part of the security of CHINA DEVELOPMENT BANK CORPORATION and is irrevocable. 
 This the [—] day of [—] 

 

	
	  

	 for and on behalf of

[OCEANVIEW OWNERS LIMITED]
 [OCEANSURF
OWNERS LIMITED]
 [OCEANCENTURY OWNERS LIMITED]

  
 16 

 In the presence of: 
  

					
	EXECUTED as a DEED )	 		 	
	by	 	)	 	
	for and on behalf of	 	)	 	  

	[OCEANVIEW OWNERS LIMITED]	 		 	
	[OCEANSURF OWNERS LIMITED]	 		 	
	[OCEANCENTURY OWNERS LIMITED]	 	)	 	Attorney-in-Fact
	in the presence of:	 	)	 	
			
	  
	 		 	
	Witness	 		 	
	Name:	 		 	
	Address:	 		 	
	Occupation:	 		 	
			
	EXECUTED as a DEED	 	)	 	
	by	 	)	 	
	for and on behalf of	 	)	 	  

	CHINA DEVELOPMENT BANK CORPORATION	 	)	 	Attorney-in-Fact
	in the presence of:	 	)	 	
			
	  
	 		 	
	Witness	 		 	
	Name:	 		 	
	Address:	 		 	
	Occupation:	 		 	

  
 17 

 Schedule 16 
 Form of Subordination Deed 

  
 - 118 -

 Private & Confidential 
 Dated                                
         
  

 
 [OCEANVIEW
SHAREHOLDERS LIMITED] 
 [OCEANSURF SHAREHOLDERS LIMITED] 

[OCEANCENTURY SHAREHOLDERS LIMITED] 
 as SUBORDINATED CREDITOR 
 CHINA DEVELOPMENT BANK CORPORATION

 as SENIOR CREDITOR 
 and 
 [Oceanview Owners Limited] 

[Oceansurf Owners Limited] 
 [Oceancentury Owners Limited] 
 as DEBTOR 

 
  

DEED OF SUBORDINATION 
  

 
  

 

 THIS DEED OF SUBORDINATION is dated
             201—, and made 

BETWEEN: 
  

	(1)	[OCEANVIEW SHAREHOLDERS LIMITED] [OCEANSURF SHAREHOLDERS LIMITED] [OCEANCENTURY SHAREHOLDERS LIMITED] a corporation incorporated in the Marshall Islands whose
registered office is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960 (Subordinated Creditor); 

  

	(2)	CHINA DEVELOPMENT BANK CORPORATION whose registered office is at 29 Fuchengmenwai Street, Xicheng District, Beijing, PRC 100037 acting for the purposes of this
Deed through its office at No.1 Yinjiaqu North Street, Yinchuan City, Ningxia, PRC and in its capacity as security agent and trustee on behalf of certain parties to the Loan Agreement (Senior Creditor); and 

 

	(3)	[OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED], a Liberian corporation with its registered office at 80 Broad Street,
Monrovia, Republic of Liberia (Debtor). 

 WITNESSES as follows: 

 

	1	Definitions 

  

	1.1	In this Deed: 

 Collateral
Instruments means notes, bills of exchange, certificates of deposit and other negotiable and non-negotiable instruments, guarantees, indemnities and other assurances against financial loss and any other documents or instruments which contain or
evidence an obligation (with or without security) to pay, discharge or be responsible directly or indirectly for, any Liabilities of the Debtor or any other person liable; 
 Default Period means the period commencing on the occurrence of a Potential Event of Default and ending on the earlier of: 

 

	 	(a)	the date on which such Potential Event of Default has been remedied to the satisfaction of, or waived in writing by, the Senior Creditor in accordance with the Loan
Agreement; 

  

	 	(b)	the date on which all Senior Liabilities have been satisfied in full; 

 Debtor Liabilities means all Liabilities of the Subordinated Creditor to the Debtor; 
 Distribution means any payment by or distribution of assets of the Debtor, whether in cash, property, securities or otherwise; 

Insolvency Event means, in respect of the Debtor, that it is subject to a winding-up or administration order or that it has entered
into a reconstruction under part 26 of the Companies Act 2006 or a voluntary arrangement under Part 1, Insolvency Act 1986 or that an administrative receiver has been appointed or that any event analogous with any of the foregoing has occurred under
any applicable law; 
 Liabilities means any obligation for the payment or repayment of money, whether as principal or as
surety and whether present or future, actual or contingent; 
 Loan Agreement means a loan agreement dated [—] 2012 and made between (1) the Debtor, [Oceansurf Owners Limited] and [Oceancentury Owners Limited] as joint and several borrowers (therein and herein referred to as the Borrowers),
(2) the Bank of China Limited as coordinating mandated lead arranger, the Senior Creditor as mandated lead arranger, facility agent (in such capacity the Facility Agent) and Security Agent and (3) the financial institutions referred
to in part 2 of Schedule 1 thereto as original lenders (the Lenders), the Lenders agreed (inter alia) to 

  
 1 

 
make available to the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and twenty two million and five hundred and eighty
thousand Dollars ($122,580,000), as it may from time to time be amended, restated, novated or replaced (however fundamentally, including by an increase of any size in the amount of the facilities made available under it, the alteration of the
nature, purpose or period of those facilities or the change of its parties; 
 Senior Liabilities means all sums now or
hereafter due, owing or incurred by the Debtor to the Senior Creditor under the terms of the Finance Documents; 

Subordinated Agreements describe instruments under which Subordinated Liabilities arise or are regulated; 

Subordinated Liabilities means all Liabilities of the Debtor to the Subordinated Creditor under any agreement or instrument or
arrangement that has the effect of creating indebtedness of the Debtor (whatever name is used) 
  

	1.2	Clauses 1.3 (Construction of certain terms) and 24.3 (Contracts (Rights of Third parties) Act 1999) of the Loan Agreement and any other provision of the
Facility Agreement which, by its terms, purports to apply to all of the Finance Documents and/or any Obligor shall apply to this Deed as if set out in it but with all necessary changes and as if references in the provision to Finance Documents
referred to this Deed. 

  

	2	Deferral undertakings 

  

	2.1	The Subordinated Creditor hereby undertakes with the Senior Creditor and the Debtor that, notwithstanding any provision of any of the Subordinated Agreements, for so
long as any Senior Liabilities remain outstanding, it will not without the prior written consent of the Senior Creditor not to be unreasonably withheld directly or indirectly: 

 

	2.1.1	demand or accept payment or repayment, in whole or part, from the Debtor or any other person liable, of any of the Subordinated Liabilities; 

 

	2.1.2	take, accept, receive or permit to exist any Encumbrance to secure the payment and/or repayment of any of the Subordinated Liabilities; 

 

	2.1.3	assign, transfer, create any Encumbrance over or otherwise dispose of, any of the Subordinated Liabilities; 

 

	2.1.4	take, accept or receive any Distribution; or 

  

	2.1.5	(save only to the extent it may be required to do so under any applicable law) set-off any Subordinated Liabilities against any Debtor Liabilities;

  

	2.1.6	commence any proceedings against the Debtor or take any action for or in respect of the recovery of any of the Subordinated Liabilities or any part thereof (including,
without limitation, any action or step with a view to winding up the Debtor); 

  

	2.1.7	enter into any transaction, whether by way of borrowing or otherwise, constituting, or otherwise suffer to arise any Debtor Liabilities; or 

 

	2.1.8	agree to any variation of the terms of the Subordinated Agreements. 

  

	2.2	The Debtor hereby undertakes with the Senior Creditor and the Subordinated Creditor that, notwithstanding any provision of any of the Subordinated Agreements, for so
long as any Senior Liabilities remain outstanding, it will not without the prior written consent of the Senior Creditor directly or indirectly not to be unreasonably withheld: 

 

	2.2.1	pay or repay or otherwise to seek to reduce, in whole or part, any of the Subordinated Liabilities; 

  
 2 

	2.2.2	create or permit to exist any Encumbrance to secure the payment and/or repayment of any of the Subordinated Liabilities; 

 

	2.2.3	make any Distribution (other than as is permitted by the terms of the Loan Agreement); or 

 

	2.2.4	(save only to the extent it may be required to do so under any applicable law) set-off any Subordinated Liabilities against any Debtor Liabilities;

  

	2.2.5	enter into any transaction, whether by the lending of money or otherwise, constituting, or otherwise suffer to arise, any Debtor Liability; or 

 

	2.2.6	agree to any variation of the terms of the Subordinated Agreement. 

  

	2.3	The Subordinated Creditor and the Debtor each jointly and severally hereby agree to notify the Senior Creditor of the amounts from time to time of the Subordinated
Liabilities and the Debtor Liabilities (as applicable). 

  

	3	Subordination 

  

	3.1	Upon an Insolvency Event occurring in respect of the Debtor: 

  

	3.1.1	the claims of the Subordinated Creditor in respect of the Subordinated Liabilities shall be postponed in all respects to the Senior Liabilities;

  

	3.1.2	the Subordinated Creditor shall not, unless otherwise directed by the Senior Creditor, prove for the Subordinated Liabilities until the Senior Liabilities have first
been paid or discharged in full (and for all purposes any Distribution received by the Senior Creditor shall only be taken to discharge the Senior Liabilities to the extent of the actual amount received); 

 

	3.1.3	if the Subordinated Creditor is directed by the Senior Creditor to prove for the Subordinated Liabilities then it shall act in accordance with such directions and shall
procure that any resultant Distributions shall be made by the liquidator of the Debtor, or any other person making the Distribution, to the Senior Creditor to the extent necessary to repay all the Senior Liabilities in full; and

  

	3.1.4	the Subordinated Creditor hereby irrevocably authorises and directs the Senior Creditor to submit any proof and/or to instruct the relevant liquidator or other person
to make Distributions in accordance with the foregoing. 

  

	3.2	In the event of: 

  

	3.2.1	any payment or other Distribution being made to, or a right of set-off of the Debtor Liabilities against the Subordinated Liabilities being exercised by, the
Subordinated Creditor or the Debtor contrary to the provisions of this Deed; 

  

	3.2.2	any Distribution being made by a liquidator or other person to the Subordinated Creditor, rather than to the Senior Creditor, as required by clause 3.1); or

  

	3.2.3	the Subordinated Creditor or the Debtor being required to exercise rights of set-off of the Debtor Liabilities against the Subordinated Liabilities under applicable law
(as contemplated in clause 2.1.5 or clause 2.2.4). 

 the Subordinated Creditor shall forthwith pay to the Senior
Creditor an amount equal to the Distributions which shall have been so received by it from the Debtor or the liquidator of the Debtor or such other person up to an aggregate amount equal to the Senior Liabilities or, as the case may be, in the case
of set-off, an amount equal to the sum set-off up to an aggregate amount equal to the Senior Liabilities and, until such payment to the Senior Creditor, the Subordinated Creditor will hold such sums on trust for the Senior Creditor and any such sums
so paid to the Senior Creditor shall be applied in such order as the Senior Creditor shall think fit in or toward discharge of the Senior Liabilities. 

  
 3 

	3.3	Notwithstanding clauses 2 and 3, nothing contained in this Deed is intended to or shall impair, as between the Debtor and the Subordinated Creditors, the obligations of
the Debtor under the Subordinated Agreement, including the obligation to pay to the Subordinated Creditors all of the Subordinated Liabilities. Until all of the Subordinated Liabilities are paid in full by the Debtor in funds which may, at the time
when the same are received, be fully retained by the Subordinated Creditors after giving effect to this Deed, the Debtor shall remain fully liable under the Subordinated Agreement and any payment made by or on behalf of the Subordinated Creditors or
pursuant to this Deed to the Senior Creditor shall not be deemed for these purposes to have in any way extinguished the obligations of the Debtor to the Subordinated Creditors in relation to the Subordinated Liabilities pursuant to the Subordinated
Agreement. 

  

	4	Continuing obligations 

  

	4.1	The obligations of the Debtor and the Subordinated Creditor hereunder shall be continuing obligations and shall be and remain fully effective until this Deed is
formally released following the discharge in full of the Senior Liabilities notwithstanding that the Debtor may have no liability to the Senior Creditors at the time of execution of this Deed and notwithstanding any intermediate reduction or
settlement of the Senior Debt or any part of it and notwithstanding any increase in or variation of the Senior Liabilities or any variation, extension or supplement to the Finance Documents. 

 

	4.2	This Deed shall: 

  

	4.2.1	secure the ultimate balance from time to time of the Senior Liabilities and shall be a continuing security, notwithstanding any settlement of account or other matter
whatsoever; 

  

	4.2.2	be in addition to any present or future Collateral Instrument, right or remedy held by or available to the Senior Creditor; and 

 

	4.2.3	not be in any way prejudiced or affected by the existence of any Collateral Instrument or other right or remedy or by the same becoming wholly or in part void, voidable
or unenforceable on any ground whatsoever or by the Senior Creditor dealing with, exchanging, varying or failing to perfect or enforce any of the same or giving time for payment or indulgence or compounding with any other person liable.

  

	5	Benefit of this Deed 

  

	5.1	This Deed shall be binding upon the Subordinated Creditor and the Debtor and their respective successors in title and shall enure for the benefit of the Senior Creditor
and its successors, assignees and transferees notwithstanding any change in the constitution of the Senior Creditor or its absorption in, or amalgamation with, or the acquisition of all or part of its undertaking or assets by any other person, or
any reconstruction or reorganisation of any kind. 

  

	5.2	Neither the Subordinated Creditor nor any of the Debtor may assign or transfer any of their respective rights or obligations under this Deed. 

 

	6	Notices and other matters 

  

	6.1	Every notice, request, demand or other communication under this Deed shall be made in accordance with the provisions, mutatis mutandis, of reference the Loan Agreement
and the Share Security. 

  

	6.2	No failure or delay on the part of the Senior Creditor to exercise any power, right or remedy under this Deed shall operate as a waiver thereof, nor shall any single or
partial exercise by the Senior Creditor of any power, right or remedy preclude any other or further exercise thereof or the exercise of any other power, right or remedy. The remedies provided in this Deed are cumulative and are not exclusive of any
remedies provided by law. 

  

	6.3	 The Subordinated Creditor and the Debtor agree to be bound by this Deed notwithstanding that any other person intended to execute or to be bound by any
Collateral Instrument under or 

  
 4 

	 	
pursuant to the Loan Agreement may not do so or may not be effectually bound and notwithstanding that such other Collateral Instrument may be determined or be or become invalid or unenforceable
against any other person, whether or not the deficiency is known to the Senior Creditor. 

  

	6.4	Each of the provisions of this Deed is severable and distinct from one another and if at any time one or more of such provisions is or becomes illegal invalid or
unenforceable under any applicable law the validity legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 

 

	7	Law and jurisdiction 

  

	7.1	This Deed and any non-contractual obligations connected with it are governed by and shall be construed in accordance with English law. 

 

	7.2	The Subordinated Creditor and the Debtor agrees for the benefit of the Senior Creditor that any legal action or proceedings arising out of or in connection with this
Deed or any non-contractual obligations connected with it or the transactions contemplated hereby against the Subordinated Creditor and the Debtor or any of their respective assets may be brought in the English courts, irrevocably and
unconditionally submits to the jurisdiction of such court and irrevocably designates, appoints and empowers Ince Process Agents Ltd. at present of International House 1st Katharine Way, London E1W 1AY to receive for it and on its behalf, service of
process issued out of the English courts in any such legal action or proceedings. The submission to such jurisdiction shall not (and shall not be construed so as to) limit the right of the Senior Creditor to take proceedings against the Subordinated
Creditor and the Debtor or either of them in whatsoever jurisdictions which shall to it seem fit, nor shall the taking of proceedings in any one or more jurisdictions preclude the taking of proceedings in any other jurisdiction, whether concurrently
or not. 

 IN WITNESS whereof this Deed has been executed by each party hereto the day and year first above written.

  
 5 

					
	EXECUTED as a DEED	 	)	 	
	by	 	)	 	
	for and on behalf of	 	)	 	
	[OCEANVIEW SHAREHOLDERS LIMITED]	 		 	  

	[OCEANSURF SHAREHOLDERS LIMITED]	 		 	
	[OCEANCENTURY SHAREHOLDERS LIMITED]	 	)	 	
		 	)	 	Attorney-in-Fact
	in the presence of:	 	)	 	
			
	  
	 		 	
	Witness	 		 	
	Name:	 		 	
	Address:	 		 	
	Occupation:	 		 	
			
	EXECUTED as a DEED	 	)	 	
	by	 	)	 	
	for and on behalf of	 	)	 	
	[Oceanview Owners Limited]	 		 	  

	[Oceansurf Owners Limited]	 		 	
	[Oceancentury Owners Limited]	 	)	 	
		 	)	 	Attorney-in-Fact
	in the presence of:	 	)	 	
			
	  
	 		 	
	Witness	 		 	
	Name:	 		 	
	Address:	 		 	
	Occupation:	 		 	
			
	EXECUTED as a DEED	 	)	 	
	by	 	)	 	
	for and on behalf of	 	)	 	  

	CHINA DEVELOPMENT BANK CORPORATION	 	)	 	Attorney-in-Fact
	in the presence of:	 	)	 	
			
	  
	 		 	
	Witness	 		 	
	Name:	 		 	
	Address:	 		 	
	Occupation:	 		 	

  
 6 

 Schedule 17 
 Form of Charterer Subordination Deed 

  
 - 119 -

 Private & Confidential 
 Agreed form of Charterer’s Undertaking 
  

	To:	China Development Bank Corporation 

 No.1 Yianjiaqu North Street 
 Yinchuan City 

Ningxia 750004 

People’s Republic of China 

[date] 
 Dear Sirs, 

Time Charter dated 25 March 2010 as novated 26 March 2010 (the Time Charter) - Hull No. H[1227][1228][1229] at Shanghai Jiangnan-Changxing
Shipbuilding Company Limited - “—” (the Ship) 
  

	1	We refer to: (a) the above Time Charter entered into between us and Ocean[view][surf][[century] Owners Limited (the Owner) and (b) a facility agreement
dated [—] 2012 (the Facility Agreement) made between, among others, the Owner, [Oceanview Owners Limited, Oceansurf Owners Limited and Oceancentury Owners Limited] (collectively the
Borrowers) and you as security agent and trustee for the banks and financial institutions named as lenders in that agreement (the Lenders) and their assignees and transferees pursuant to which the Lenders have agreed to make a facility
of up to $122,580,000 (the Facility) available to the Borrowers. 

  

	2	We understand that it is a condition of the Lenders making such facility available to the Borrower(s) that we enter into this letter in your favour as security agent
for the Lenders. 

  

	3	In this letter: 

Enforcement Time means any time at which you are entitled to enforce your rights as mortgagee under the terms of any
Mortgage. 
 Mortgage means the first priority Maltese ship mortgage (including any related deed of covenant and general
assignment) granted by the Owner over the Ship in your favour in relation to the Facility, which is in force while our undertakings in this letter remain in force 
  

	4	In consideration of the sum of ten United States Dollars paid by you to us (the receipt and adequacy of which we acknowledge), we hereby agree and undertake to comply
with the following provisions of this letter in relation to the Ship and the Time Charter for so long as the Ship is subject to the Mortgage. 

  

	5	The Time Charter and our rights under it will be fully subordinate to your rights under the Mortgage. 

 

	6	We will not make any claim under or in connection with the Time Charter which will or may result in the Ship being arrested, detained or sold or take any other action
in relation to the Ship (or its earnings, insurances or compensation for requisition of title or compulsory acquisition) (or request any court or other authority to do so) which might adversely affect or interfere with your rights or powers as
mortgagee of the Ship (or assignee of its earnings, insurances or compensation for requisition of title or compulsory acquisition) or your claims against the proceeds of any sale of the Ship or your exercise of any right or power to sell the Ship
which you have under the Mortgage or any law or any sale of the Ship by its owner with your approval or at your direction where you are entitled to enforce the Mortgage. We hereby waive any such right we might otherwise have had to make such a claim
and agree not to make any claim against you in respect of any interference with our rights under the Time Charter resulting from your exercise of such rights or powers. 

 

	7	We will not exercise any lien we have on the Ship in priority to, or in competition with, your rights under the Mortgage. 

	8	If you wish to have possession of the Ship as mortgagee, we will surrender possession of the Ship to you as quickly as possible after you ask us to do so.

  

	9	Despite the terms of the Time Charter, if you become entitled to enforce the Mortgage, you may (as between ourselves and yourselves) terminate the Time Charter by
giving us written notice declaring it to be terminated. We will not be entitled to claim against you for any resulting loss. 

  

	10	We will not compete with you or any Lender in the liquidation, winding-up or other dissolution of any person liable to you for amounts owing under the Facility
Agreement. 

  

	11	We will comply not do anything that prevents the Owner from complying its undertakings in the deed of covenant collateral to the Mortgage, including those in clauses
5.1.4 (Modifications; removal of parts; equipment owned by third parties), 5.1.9 (Employment) and 5.1.15 (Chartering). 

  

	12	All communications to be sent to us in connection with this letter may be sent to us at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands
MH96960, marked for the attention of [—] or to such other address as we may notify you for this purpose in the future. 

 

	13	The benefit of our obligations under this letter may be assigned by you to any person to whom you assign or otherwise transfer your rights under the Mortgage.

  

	14	This letter and any non-contractual obligations connected with it are governed by English law. 

 

	15	The courts of England have exclusive jurisdiction to settle any dispute arising out of or in connection with this letter or any non-contractual obligations connected
with it (a Dispute) and we agree that the courts of England are the most appropriate and convenient courts to settle Disputes and, accordingly, we will not argue to the contrary. However, as this paragraph is for your sole benefit, you will
not be prevented from taking proceedings relating to a Dispute in any other courts with jurisdiction. To the extent allowed by law, you may take concurrent proceedings in any number of jurisdictions. 

 

	16	Without prejudice to any other mode of service allowed under any relevant law, we irrevocably appoint [to be inserted] whose registered office is at [to be inserted] as
our agent for service of process in relation to any proceedings before the English courts in connection with this letter and agree that failure by the process agent to notify us of the process will not invalidate the proceedings concerned. If that
process agent is unable for any reason to act as agent for service of process we will immediately (and in any event within ten days of such event taking place) appoint another agent on terms acceptable to you. Failing this, you may appoint another
agent for this purpose. 

 This letter is executed by us as a deed. 

 

	
	Yours faithfully
	
	  

	 For and on behalf of
  

Classic Maritime Inc.

  
 2 

 Schedule 18 
 Form of Shipbuilding Contract Assignment 

  
 - 120 -

 Private & Confidential 
 Agreed form of Shipbuilding Contract Assignment 

Dated                     
                                        

 
  

Owner 

[OCEANVIEW OWNERS LIMITED] 
 [OCEANSURF OWNERS LIMITED] 
 [OCEANCENTURY OWNERS LIMITED] 

and 

Mortgagee 

CHINA DEVELOPMENT BANK CORPORATION 
  

 
 SHIPBUILDING
CONTRACT 
 ASSIGNMENT 
 relating to Hull No H [1227][1228][1229] 
  

 
  

 

 Contents 

 

							
	Clause	  	Page	 
			
	 1
	  	 Definitions and interpretation
	  	 	1	  
			
	 2
	  	 Assignment
	  	 	1	  
			
	 3
	  	 Perfection and protection of security
	  	 	2	  
			
	 4
	  	 Representations
	  	 	3	  
			
	 5
	  	 Enforcement
	  	 	3	  
			
	 6
	  	 Application of proceeds
	  	 	4	  
			
	 7
	  	 Power of attorney
	  	 	4	  
			
	 8
	  	 Continuing security
	  	 	5	  
			
	 9
	  	 Enforcement costs
	  	 	5	  
			
	 10
	  	 Benefit of Deed
	  	 	5	  
			
	 11
	  	 Governing law and enforcement
	  	 	5	  
		
	 Schedule 1 Building Contract and other information
	  	 	7	  
		
	 Schedule 2 NOTICE OF ASSIGNMENT OF SHIPBUILDING CONTRACT
	  	 	8	  
		
	 Schedule 3 ACKNOWLEDGEMENT AND CONFIRMATION
	  	 	10	  

 THIS DEED is dated [—] and made between:

  

	(1)	[OCEANVIEW OWNERS LIMITED] [OCEANSURF OWNERS LIMITED] [OCEANCENTURY OWNERS LIMITED] (as described in more detail in Schedule 1) (the Owner); and

  

	(2)	CHINA DEVELOPMENT BANK CORPORATION acting in its capacity as agent and as trustee for the Finance Parties (the Mortgagee). 

IT IS AGREED as follows: 
  

	1	Definitions and interpretation 

  

	1.1	Definitions 

 Terms
defined in the Facility Agreement have, unless defined differently in this Deed, the same meaning when used in this Deed. In addition: 
 Assigned Property means all of the rights which the Owner has now or may obtain at any time in the future under the Building Contract (including any claims for damages in respect of any breach of
it and the rights of the Owner to take delivery of, and title to, the Ship under it) and any guarantee or other security provided for the Builder’s obligations under the Building Contract and includes any agreement varying or terminating any of
them. 
 Builder means the shipbuilder named in Schedule 1. 

Building Contract means the shipbuilding contract details of which are provided in Schedule 1. 

Enforcement Time means any time at which an Event of Default has happened and is continuing. 

Facility Agreement means the agreement described in Schedule 1 as it may from time to time be amended, restated, novated or
replaced (however fundamentally, including by an increase of any size in the facility made available under it, the alteration of the nature, purpose or period of any such facility or the change of its parties). 

Receiver means a receiver and/or manager appointed under this Deed. 

Secured Obligations means the indebtedness and obligations undertaken to be paid or discharged by the Owner under this Deed and any
other Finance Documents. 
 Ship means the vessel described in Schedule 1. 

 

	1.2	Clauses 1.3 (Construction) and 24.3 (Third party rights) of the Facility Agreement and any other provision of the Facility Agreement which, by its terms,
purports to apply to all of the Finance Documents and/or any Obligor shall apply to this Deed as if set out in it but with all necessary changes and as if references in the provision to Finance Documents referred to this Deed.

  

	2	Assignment 

  

	2.1	The Owner undertakes to the Mortgagee, to pay all money from time to time owing, and to discharge all other obligations from time to time incurred, by it under or in
connection with the Finance Documents. 

  

	2.2	The assignment contained in this clause 2 secures the payment and discharge of the Secured Obligations and is given with full title guarantee. 

 

	2.3	The undertakings of the Owner under this clause 2 and the other provisions of this Deed and the assignment contained in this clause 2 are given to the Mortgagee as
agent and trustee for the Finance Parties. 

  
 1 

	2.4	The Owner assigns the Assigned Property to the Mortgagee. 

  

	2.5	The following moneys payable to the Owner in respect of the Assigned Property shall be payable to the Mortgagee at all times and the Mortgagee may instruct any person
from whom such moneys are due to pay them accordingly and any such moneys in the hands of an agent of the Owner shall be deemed to be held to the order of the Mortgagee: 

 

	 	(i)	payments from the Builder under the Building Contract (including sums arising from any arbitration award) (but, unless it is an Enforcement Time, sums payable under the
Building Contract for the purpose of putting right a defect in the Ship shall be paid by the Mortgagee to the Owner if the Mortgagee is satisfied that the defect has been made good and corrected and all liabilities in respect of that defect have
been discharged); 

  

	 	(ii)	moneys from the assignment or other disposal of any of the Assigned Property on enforcement of its rights under this Deed; and 

 

	 	(iii)	payments for the termination, cancellation or rescission of the Building Contract. 

 

	2.6	Any moneys received by the Mortgagee in accordance with clause 2.5 shall be applied in accordance with clause 6 (Application of proceeds).

  

	2.7	Unless it is an Enforcement Time the Owner shall continue to be entitled to exercise all its rights under the Building Contract (subject as provided in this Deed and
the other Finance Documents) as if the assignment of the Building Contract in this Deed had not been made. 

  

	2.8	The Owner shall on the date of this Deed give notice of the assignment by this Deed of its rights under the Building Contract by sending a notice to the Seller in the
applicable form scheduled to this Deed or in such other form as the Mortgagee may reasonably require. 

  

	2.9	Promptly on being requested to so do by the Mortgagee, the Owner shall give written notice in such form as the Mortgagee shall require consistent with this clause 2 of
the assignment in this Deed to anyone from whom any part of the Assigned Property is or may be due and provide the Mortgagee with as many of such notices signed by the Owner as the Mortgagee may require. 

 

	2.10	The Owner shall procure that any notice of assignment required by this Deed is acknowledged by the recipient in the manner attached to such form of that notice and
within the period required by the Facility Agreement. 

  

	2.11	If the Mortgagee is satisfied that all the Secured Obligations have been irrevocably and unconditionally discharged in full, the Mortgagee shall, at the request and
cost of the Owner, release and discharge the security constituted by this Deed and reassign the Assigned Property to the Owner. 

  

	2.12	Section 93 of the Law of Property Act 1925 shall not apply to this Deed. 

 

	3	Perfection and protection of security 

  

	3.1	The Owner shall, as soon as reasonably practicable, execute all such documents (including notices), effect all such registrations and filings, deposit all such
documents and do all such things as the Mortgagee may reasonably require in order to: 

  

	 	(a)	ensure that it has an effective first priority assignment of the Assigned Property; and 

 

	 	(b)	facilitate the enforcement of this Deed, the realisation of the Assigned Property or the exercise of any rights held by the Mortgagee or any Receiver under or in
connection with this Deed. 

  
 2 

	3.2	The Mortgagee may take any action it thinks appropriate to protect or maintain its rights under this Deed or to remedy any breach by the Owner of its undertakings under
the Finance Documents relating to the Assigned Property and/or the Building Contract. 

  

	4	Representations 

 The
Owner represents and warrants that: 
  

	 	(a)	it is the sole legal and beneficial owner of the Assigned Property free from all Security Interests except as permitted by the Finance Documents;

  

	 	(b)	it has not disposed of any of the Assigned Property; 

  

	 	(c)	it has the right to assign the Assigned Property under this Deed without the need for any consent or approval under the Building Contract (other than any consent or
approval which has already been obtained); and 

  

	 	(d)	the representations concerning the Owner and/or this Deed and/or the Assigned Property and/or the Building Contract made or deemed repeated on the date of this Deed
under the Facility Agreement are true and correct. 

  

	5	Enforcement 

  

	5.1	The Mortgagee may enforce the security created by this Deed in any way it may decide at any time which is an Enforcement Time by exercising any powers conferred on it
by law or by this Deed and, in addition, may: 

  

	 	(i)	exercise any of the Owner’s rights under the Building Contract, including any right to terminate or rescind the Building Contract, assigned to it by this Deed;

  

	 	(ii)	assign or otherwise dispose of the Assigned Property; 

  

	 	(iii)	collect, recover and give a good discharge for any moneys or claims in respect of the Assigned Property; 

 

	 	(iv)	settle, refer to arbitration, compromise and arrange any claims, accounts, disputes, questions and demands with or by any person relating to the Assigned Property
and/or the Building Contract; 

  

	 	(v)	agree with the Builder to terminate or rescind or amend or vary or replace the Building Contract or any person’s obligations under it on such terms and conditions
as the Mortgagee and the Builder may mutually agree; 

  

	 	(vi)	bring, prosecute, defend or abandon any action, suit or proceedings in relation to the Assigned Property and/or the Building Contract; 

 

	 	(vii)	do anything incidental or conducive to the exercise of its rights as assignee of the Assigned Property; and/or 

 

	 	(viii)	appoint a Receiver of the Assigned Property. 

  

	5.2	The Mortgagee and any Receiver may use the name of the Owner when exercising their powers under this Deed. 

 

	5.3	Section 103 of the Law of Property Act 1925 shall not apply to any disposal of the Assigned Property pursuant to this Deed. 

 

	5.4	 A Receiver must be appointed by an instrument in writing and must be a person who is qualified to act as such under any applicable law. The appointment
of a Receiver and the powers given 

  
 3 

	 	
by that appointment may be made subject to such limitations as are specified by the Mortgagee in the appointment. Subject to any applicable law, the Mortgagee may remove or replace any Receiver.

  

	5.5	A Receiver shall have: 

  

	 	(i)	the powers given to him by law; 

  

	 	(ii)	all the powers given to a mortgagee or a receiver by the United Kingdom Law of Property Act 1925; 

 

	 	(iii)	all the powers and discretions conferred on the Mortgagee by this Deed; and 

 

	 	(iv)	the power to do, or omit to do, on behalf of the Owner, anything which the Owner could have done, or omitted to do, in respect of the Ship or the Assigned Property if
the Receiver had not been appointed. 

  

	5.6	A Receiver shall be the agent of the Owner until otherwise required by any applicable law and the Owner shall be solely responsible for the Receiver’s acts or
defaults and for the Receiver’s remuneration. A Receiver shall have no authority to act as agent for the Mortgagee, even if the Receiver ceases to be the agent of the Owner under any applicable law. The Mortgagee may from time to time determine
the remuneration of any Receiver and any applicable law or regulation restricting such remuneration shall be varied accordingly. A person dealing with the Mortgagee or a Receiver or any officer, employee or agent of the Mortgagee or a Receiver is
entitled to assume, unless it has actual knowledge to the contrary, that those persons have the power to do those things which they are purporting to do and are exercising their powers properly. 

 

	5.7	The Mortgagee or any Receiver may delegate in any manner to any person any right, power or discretion exercisable by it under this Deed. Any such delegation may be made
on such terms (including power to sub-delegate) as the Mortgagee or such Receiver thinks fit. 

  

	6	Application of proceeds 

  

	6.1	All moneys received by the Mortgagee or by a Receiver in the exercise of their rights under this Deed shall, subject to the rights of any persons having priority, be
applied first, in or towards payment of any amounts payable under clause 9 (Enforcement costs) and after that in accordance with clause 18.1 (Order of application) of the Facility Agreement. 

 

	6.2	If the moneys applied in this way are not sufficient fully to pay and discharge the Secured Obligations, the Owner shall continue to be liable for the balance of the
Secured Obligations. 

  

	7	Power of attorney 

  

	7.1	The Owner by way of security irrevocably appoints each of the Mortgagee and any Receiver severally to be its attorney (with full powers of substitution) in its name and
on its behalf to do all things which the attorney may consider necessary or desirable to enable it: 

  

	 	(i)	to perform any action which the Owner is obliged to take under this Deed; 

  

	 	(ii)	to exercise any of the rights, powers and authorities conferred on it by this Deed or by law (including, without limitation, the execution and delivery of a bill of
sale in respect of the Ship); or 

  

	 	(iii)	to record this Deed and any document executed pursuant to clause 3 (Perfection and protection of security) in any court, public office or elsewhere.

  

	7.2	 The power of attorney in this clause 7 may only be exercised at an Enforcement Time but the exercise of such power shall be conclusive evidence of the
Mortgagee’s or the Receiver’s right 

  
 4 

	 	
to exercise it and no person dealing with the Mortgagee or the Receiver shall need to enquire whether it is, or shall be affected by notice that it is not, an Enforcement Time. The Owner ratifies
and confirms whatever the attorney does or purports to do under clause 7.1. 

  

	8	Continuing security 

  

	8.1	This Deed and the obligations of the Owner under this Deed shall extend to the ultimate balance owing in respect of the Secured Obligations, regardless of any
intermediate payment in whole or in part. 

  

	8.2	This Deed is in addition to and is not in any way prejudiced by any other security, guarantee, right, power or remedy now or subsequently held by the Mortgagee or any
of the other Finance Parties. 

  

	8.3	Neither the Mortgagee nor any Receiver shall be obliged to enquire about the nature or sufficiency of any payment received by it under this Deed or to take any action
to enforce this Deed. 

  

	8.4	The Owner shall remain liable to perform all its obligations in relation to the Assigned Property and the Mortgagee is not responsible for those obligations.

  

	9	Enforcement costs 

 The
Owner shall, on demand by the Mortgagee, pay (and indemnify the Mortgagee and any Receiver against) all costs, expenses, liabilities or other amounts incurred by the Mortgagee, any other Finance Party or any Receiver in connection with: 

 

	 	(a)	the taking, holding, protection, enforcement or preservation of this Deed; 

 

	 	(b)	the exercise or purported exercise of any of the rights, powers, discretions and remedies vested in the Mortgagee and each Receiver by this Deed or by law unless and to
the extent that it was caused by its gross negligence or wilful misconduct; 

  

	 	(c)	any claim (whether relating to the environment or otherwise) made or asserted against it which would not have arisen but for the execution or enforcement of this Deed
(unless and to the extent it is caused by its gross negligence or wilful misconduct); 

  

	 	(d)	any breach by the Owner of this Deed; or 

  

	 	(e)	any amendment, waiver, consent or release of this Deed 

 and pay any remuneration payable to any Receiver. 
  

	10	Benefit of Deed 

 The
Mortgagee may assign its rights under this Deed to any person appointed as Agent under the Facility Agreement. It is intended that this document takes effect as a deed even though the Mortgagee may only execute it under hand. 

 

	11	Governing law and enforcement 

  

	11.1	This Deed and any non-contractual obligations connected with it are governed by English law. 

 

	11.2	The courts of England have exclusive jurisdiction to settle any dispute arising out of or in connection with this Deed or any non-contractual obligations connected with
it (including a dispute regarding the existence, validity or termination of this Deed) (a Dispute). 

  

	11.3	The parties agree that the courts of England are the most appropriate and convenient courts to settle Disputes and, accordingly, that they shall not argue to the
contrary. 

  
 5 

	11.4	Clauses 11.1 and 11.2 are for the benefit of the Mortgagee only. As a result, the Mortgagee shall not be prevented from taking proceedings relating to a Dispute in any
other courts with jurisdiction. To the extent allowed by law, the Mortgagee may take concurrent proceedings in any number of jurisdictions. 

  

	11.5	Without prejudice to any other mode of service allowed under any relevant law, the Owner: 

 

	 	(i)	irrevocably appoints the person named as such in Ince Process Agents Ltd. at present of International House 1 St Katharine’s Way, London E1W 1AY, United Kingdom to
the Facility Agreement as its agent for service of process in relation to any proceedings before the English courts in connection with this Deed; 

  

	 	(ii)	agrees that failure by the process agent to notify the Owner of the process shall not invalidate the proceedings concerned; and 

 

	 	(iii)	if any person appointed as process agent for the Owner is unable for any reason to act as agent for service of process, the Owner must immediately (and in any event
within ten days of such event taking place) appoint another agent on terms acceptable to the Mortgagee. Failing this, the Mortgagee may appoint another agent for this purpose. 

 This Deed has been executed as a deed, and it has been delivered on the date stated at the beginning of this Deed. 

  
 6 

 Schedule 1 
 Building Contract and other information 
  

			
	Owner	  	
		
	Country of incorporation:	  	Liberia
		
	Registered number:	  	[C-113416] [C-113418] [C-113417]
		
	Registered office:	  	80 Broad Street, Monrovia, Liberia
		
	The Building Contract	  	
		
	Hull number of Ship:	  	No. H [1227][1228][1229]
		
	Name of Builder:	  	Shanghai Jiangnan-Changxing Shipbuilding Company, Limited
		
	Country of incorporation of Builder:	  	People’s Republic of China
		
	Registered office of Builder:	  	No.2468 Changxing, Jiangnan Avenue, Changxing Town, Chongming County, Shanghai 201913 China
		
	Description of Building Contract	  	shipbuilding contract dated 4 March 2010 between the Builder and China Shipbuilding Trading Company, Limited and Oceanview Owners Limited (a Marshall Islands corporation) as amended
and novated by a novation agreement dated 16 November 2010 between the Builder and China Shipbuilding Trading Company, Limited, the Owner and Oceanview Owners Limited (a Marshall Islands corporation) and by an Addendum No. 1 dated 4 March 2010 to
the H1227 Shipbuilding Contract
		
	Type of vessel:	  	206,000 metric tons deadweight bulk carrier at scantling draft moulded 18.40 meters
		
	Facility Agreement	  	
		
	Description:	  	Term loan facility
		
	Date:	  	[—]
		
	Amount of facility:	  	Up to $122,580,000
		
	Parties:	  	
		
	 (a)    Borrowers:
	  	the Owner, Oceansurf Owners Limited and Oceancentury Owners Limited
		
	 (b)    Lenders:
	  	financial institutions referred to in that agreement
		
	 (c)    Agent:
	  	China Development Bank Corporation
		
	 (d)    Arrangers:
	  	China Development Bank Corporation and the Bank of China Limited

  
 7 

 Schedule 2 
 NOTICE OF ASSIGNMENT OF SHIPBUILDING CONTRACT 
  

					
	TO:	  	(1)	  	 CHINA SHIPBUILDING TRADING COMPANY,
LIMITED,
 22nd Floor, Fangyuan Mansion, 56 (Yi),
 Zhongguancun Nandajie, Beijing 100044,
 The People’s Republic of China;

(Fax no. +86 10 88026034, 88026045) (“CSTC”)

			
		  		  	and
			
		  	(2)	  	 SHANGHAI JIANGNAN-CHANGXING SHIPBUILDING COMPANY,
LIMITED,
 No.2468 Changxing, Jiangnan Avenue, Changxing Town,
 Chongming County, Shanghai 201913
 (Fax no. +86 21 66996085 , ) (the
“Builder”)

		
		  	(CSTC and the Builder hereinafter together called the “Seller”)

              2012 

Dear Sirs, 
  

	RE:	Notice of Assignment dated                      in respect of the
Shipbuilding Contract Assignment dated (the “Assignment”) made between (i) Oceanview Owners Limited, (a Liberian corporation) and (ii) China Development Bank Corporation (the “Mortgagee”) in respect of a Shipbuilding Contract
dated 4 March, 2010 for Hull No. H1227 as subsequently amended and novated 

  

We refer to the Shipbuilding Contract dated 4 March, 2010 made between (1) you (the “Seller”) and (2) Oceanview Owners
Limited, (a Marshall Islands corporation) as amended and novated by a novation agreement dated 16 November 2010 between the Seller, ourselves Oceanview Owners Limited (a Liberian corporation) (the “Buyer”), and Oceanview Owners
Limited (a Marshall Islands corporation) and by an Addendum No. 1 dated 4 March 2010 to the H1227 Shipbuilding Contract by which the Seller has agreed to build, launch, equip and complete and sell and deliver to the Buyer one 206,000 dwt
bulk carrier having Builder’s Hull No. H1227 (the “Vessel”) therein more particularly described subject to and upon the terms and conditions therein contained. 
 The said Shipbuilding Contract (as amended or supplemented from time to time) is hereinafter called the “Contract”. 
 NOW WE HEREBY GIVE YOU NOTICE that: 
  

	1.	By a first priority Assignment dated (the “Assignment”) and made between (1) the Buyer and (2) China Development Bank Corporation (the
“Mortgagee”), the Buyer has assigned to the Mortgagee all the Buyer’s rights, title interest and benefits in and under the Contract and in all moneys payable by the Seller to the Buyer thereunder. 

 

	2.	The Seller is hereby authorised and instructed to pay to the Mortgagee or as it may direct all sums which may become due to the Buyer under the Contract including, but
without limitation, sums adjudged by an arbitration award or court judgment pursuant to the Contract. 

  

	3.	The Buyer shall continue to be responsible to the Seller for, and hereby guarantees to the Seller, the performance by the Buyer of all the obligations of the Buyer
under the Contract. 

  

	4.	Unless and until special notice is given to you by the Mortgagee in writing, the Buyer shall remain as the party under the Contract to take delivery of the Vessel upon
completion PROVIDED HOWEVER that if any payment under the Contract is to be made to the Buyer by the Seller such payment shall be made directly to the Mortgagee. 

  
 8 

	5.	On express and clear notice being given to the Seller in writing, the Mortgagee may (inter alia): 

 

	 	(i)	assign its title and interest in all rights, powers and benefits in and under the Contract in accordance with its terms, subject to the provisions of Article XIV of the
Contract; and/or 

  

	 	(ii)	exercise any other rights of the Buyer under any and all other provisions of the Contract taking effect or continuing to take effect vis a vis the Seller following
delivery of the Vessel by the Seller and acceptance by the Buyer. 

  

	6.	The authority and instructions herein contained cannot be varied or revoked without the prior consent in writing of the Mortgagee. 

We hereby undertake not to give any instructions or send any communications which would be in any way inconsistent with the terms of this Notice to the
Mortgagee; and you are irrevocably instructed to disregard any instruction or communication which you or the Mortgagee consider inconsistent with the terms of this Notice. 
 A copy of this Notice is sent to the Mortgagee. 
  

			
	 For and on behalf of

Oceanview Owners Limited

		
	By:	 	  

		 	 Name:
 Title:
Attorney-in-fact

  
 9 

 ACKNOWLEDGEMENT AND CONFIRMATION 

 

	To:	China Development Bank Corporation 

 (the “Mortgagee”) 

             2012 
 Dear Sirs, 
  

	RE:	Notice of Assignment dated                     in respect of the
Shipbuilding Contract Assignment dated (the “Assignment”) made between (i) Oceanview Owners Limited (a Liberian corporation) (the “Buyer”) and (ii) China Development Bank Corporation (the “Mortgagee”) in
respect of a Shipbuilding Contract dated 4 March, 2010 for Hull No. H1227 (the “Vessel”)as subsequently amended and novated (the “Contract”) 

 
 We acknowledge receipt of the above Notice of
Assignment and agree and undertake to be bound by its terms. 
 We confirm that we have received no notice of any previous assignment of all or
any part of the Buyer’s rights, title, interest and benefits in and under the Contract and any moneys payable from time to time by us (the Seller) pursuant to or arising out of the Contract (including, without limitation, any refunds and
insurance recoveries) (the “Assigned Property”). 
 We further undertake, in consideration of the banks and financial
institutions listed in a facility agreement dated making available to the Buyer a loan facility to assist in financing the acquisition by the Buyer of the Vessel, that if (a) any of the events referred to in Article XI (Buyer’s Default) of
the Contract occurs or (b) any other circumstances arise as a result of which we may be entitled to cancel, rescind or terminate the Contract or treat the Contract as having been repudiated by the Buyer, we shall: 

 

	1.	immediately we become aware thereof give you notice in writing of such default or other circumstances; 

 

	2.	not exercise any option or right accruing to us as a result of any such default or other circumstances (other than our right to claim interest on any unpaid instalment
of the contract price or to any act, as deemed appropriate by us, to mitigate the losses in consequence of the Buyer’s default(s)) without first giving you (the Mortgagee) the option, exercisable by you or by your nominee within fourteen
(14) days after receipt by you of such notice of making good the default and/or assuming the Buyer’s liabilities and obligations under the Contract (such option given to you shall not in any event constitute or be deemed as a waiver by us
of any of our rights, option, interests or remedies available under the Contract); 

  

	3.	if you exercise that option, use our best endeavours to obtain all applicable governmental or other consents required to enable you or your nominee to take over and
exercise the rights of the Buyer under the Contract, including the right to accept or reject the delivery of the Vessel; 

  

	4.	not accept any rejection of the Vessel or cancellation, rescission or other termination of the Contract by the Buyer without the prior written consent of the Mortgagee;
and 

  

	5.	if any sums become payable to the Buyer under the Contract including, but without limitation, sums arising from an arbitration award or court judgment pursuant to the
Contract, or the Buyer acquires rights arising from the Contract whether as a result of a breach by us or otherwise we shall pay such sums to yourselves or as you may direct and consider that such rights belong to you. 

  
 10 

 Terms used herein and not defined herein shall have the meanings given to them in the Notice of Assignment.

 Yours faithfully, 
 for and on
behalf of 
 CHINA SHIPBUILDING TRADING COMPANY LIMITED

  

			
	By:	 	  

		 	Name:
		 	Title:

 for and on behalf of 
 SHANGHAI JIANGNAN-CHANGXING SHIPBUILDING COMPANY LIMITED 

 

			
	By:	 	  

		 	Name:
		 	Title:

  
 11 

 Schedule 19 
 Form of Letter of Comfort 

  
 - 121 -

 LETTER OF COMFORT 

 

	To:	China Development Bank Corporation 

 No. 1 Yinjiaqu North Street 
 Yinchuan City 

Ningxia 750004 

People’s Republic of China 

Date:                     

Dear Sirs, 
 Loan Agreement dated
                     for USD 122,580,000 
 I refer to the Loan Agreement dated              2012 (the Loan Agreement) and made between (1) Oceanview Owners Limited, Oceansurf
Owners Limited and Oceancentury Owners Limited as joint and several borrowers (therein and herein referred to as the Borrowers), (2) Bank of China Limited as coordinating mandated lead arranger, China Development Bank Corporation as
mandated lead arranger, facility agent (in such capacity the Facility Agent) and Security Agent and (3) the financial institutions referred to in part 2 of schedule 1 thereto as original lenders (the Lenders), the lenders
agreed (inter alia) to make available to the Borrowers, upon the terms and conditions therein contained, a buyer credit facility of up to a maximum of one hundred and twenty two million and five hundred and eighty thousand Dollars
($122,580,000) for the purpose of financing or refinancing the acquisition of three vessels with Hull Nos HI227, HI228 and HI229 being built at the shipyard of Shanghai Jiangnan-Changxing Shipbuilding Company, Limited (the “Security
Vessels”). 
 Terms defined in the Loan Agreement have, unless defined differently in this letter, the same meaning when used in this
letter. 
 I hereby confirm and acknowledge that I am fully aware of these arrangements. For so long as any Security Party has any obligations
to the Lender under the Loan Agreement or any of the Finance Documents to which it is a party I confirm that it is my intention to ensure that the Security Parties have sufficient funds to be able to satisfy timely their obligations under the Loan
Agreement and the other Finance Documents and agree to use my best efforts to ensure that the management of the Security Vessels are conducted by professional and competent persons in such a manner as to enable, as best possible, the Borrowers to so
satisfy such obligations. 
 This letter and any non-contractual obligations arising out of or in connection with this letter shall be governed
and construed in accordance with English law whilst the Courts of England shall have exclusive jurisdiction. 
 Yours faithfully, 

George Economou 

					
	SIGNATURES	 	
		
	THE BORROWERS	 	
		
	OCEANVIEW OWNERS LIMITED	 	
			
	By:	 	/s/ D. Glynos	 	
			
	Name:	 	D. Glynos	 	
	Title:	 	Attorney-in-fact	 	
		
	OCEANSURF OWNERS LIMITED	 	
			
	By:	 	/s/ D. Glynos	 	
			
	Name:	 	D. Glynos	 	
	Title:	 	Attorney-in-fact	 	
		
	OCEANCENTURY OWNERS LIMITED	 	
		 		 	
	By:	 	/s/ D. Glynos	 	
			
	Name:	 	D. Glynos	 	
	Title:	 	Attorney-in-fact	 	
		
	THE MANDATED LEAD ARRANGER	 	
		
	CHINA DEVELOPMENT BANK CORPORATION	 	
			
	 By:
  
	 		 	
	Name:	 	 

  
	 	

	 Title:
  

 
	 	 
		
	THE COORDINATING MANDATED LEAD ARRANGER	 	
		
	 BANK OF CHINA LIMITED
  

acting through
	 	
		
	BANK OF CHINA LIMITED NINGXIA BRANCH	 	
			
	 By:
  
	 	  
 

	 	

	Name:	 	 
	 Title:
  
	 	 

  
 - 122 -

					
	BANK OF CHINA LIMITED ZHEJIANG BRANCH	 	
			
	 By:
  
	 	 

	 	
	 Name:
 Title:

 
	 	 	  
 

	THE LENDERS	 	
		
	CHINA DEVELOPMENT BANK CORPORATION	 	
			
	By:	 		 	
			
	 Name:
 Title:

 
	 	 

	 	

		
	 BANK OF CHINA LIMITED
  

acting through
	 	
		
	BANK OF CHINA LIMITED NINGXIA BRANCH	 	
			
	By:	 		 	
			
	 Name:
 Title:

 
	 	 

  
	 	

		
	BANK OF CHINA LIMITED ZHEJIANG BRANCH	 	
			
	 By:
  
	 	 

	 	
	 Name: Title:
  
	 	 	

 
  

					
	THE FACILITY AGENT	 	
		
	CHINA DEVELOPMENT BANK CORPORATION	 	
			
	By:	 		 	
		 	 

	 	

  
 - 123 -

 THE SECURITY AGENT 
 CHINA DEVELOPMENT BANK CORPORATION 
  

			
	By:	 	 

  
 - 124 -

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00201-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00201-of-00352.parquet"}]]