REFINANCING OF LOANS

Dolphin International AS, a subsidiary of Fred.
Olsen Energy ASA, has replaced a bank credit
facility of USD 300 million, entered into in
July 2004, and a short-term credit facility of
USD 30 million, with a new credit facility of
USD 600 million. The new credit facility, with
Danske Bank A/S and Deutsche Bank AG as joint
Bookrunners and Mandated Lead Arrangers and
Deutsche Schiffsbank AG and HSH Nordbank as
Mandated Lead Arrangers, will be provided by a
syndicate of Norwegian and international banks.
The credit facility has a tenor of 7 years and
interest cost is based on USD LIBOR plus a
margin.

Further, Fred. Olsen Energy ASA has today
completed the previously announced redemption of
the FO 01 8.75% 2004/09 bonds of NOK 760
million. The bonds were called at a premium of
104.5%.