Teekay Offshore Partners L.P. Announces 2.5 Percent Increase to Cash Distribution

HAMILTON, BERMUDA--(Marketwire - April 12, 2012) - 
Teekay Offshore GP LLC, the general partner of Teekay 
Offshore Partners L.P. (Teekay Offshore) (NYSE:TOO), 
has declared a cash distribution of $0.5125 per unit 
for the quarter ended December 31, 2011, an increase 
of $0.0125 per unit, or 2.5 percent, from the 
previous quarter. The cash distribution is payable on 
May 14, 2012 to all unitholders of record on April 
23, 2012.

"Today's distribution increase reflects the 
additional cash flows resulting from the 
Partnership's November 2011 acquisition of the 
Piranema Spirit FPSO which is operating under a long-
term fixed-rate contract to Petrobras in Brazil," 
commented Peter Evensen, Chief Executive Officer of 
Teekay GP LLC. "Given our expanded FPSO footprint, 
the attractive near- and long-term fundamentals in 
our core North Sea and Brazil markets and visible 
growth opportunities available from our sponsor, 
Teekay Corporation, we believe the Partnership 
remains well positioned for future distributable cash 
flow growth."

About Teekay Offshore Partners L.P.

Teekay Offshore Partners L.P. is an international 
provider of marine transportation, oil production and 
storage services to the offshore oil industry 
focusing on the fast-growing, deepwater offshore oil 
regions of the North Sea and Brazil. Teekay Offshore 
owns interests in 40 shuttle tankers (including four 
chartered-in vessels and four committed 
newbuildings), three floating production, storage and 
offloading (FPSO) units, five floating storage and 
offtake (FSO) units and ten conventional oil tankers. 
In addition, Teekay Offshore has rights to 
participate in certain other FPSO and shuttle tanker 
opportunities provided by Teekay Corporation 
(NYSE:TK) and Sevan Marine ASA (Oslo Bors:SEVAN). The 
majority of Teekay Offshore's fleet trades on long-
term, stable contracts and it is structured as a 
publicly-traded master limited partnership (MLP).

Teekay Offshore's common units trade on the New York 
Stock Exchange under the symbol "TOO".

FOR FURTHER INFORMATION PLEASE CONTACT:

Teekay Offshore Partners L.P.
Kent Alekson
+1 (604) 609-6442
www.teekayoffshore.com
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Teekay Offshore Partners L.P. Announces 2.5 Percent Increase to Cash Distribution