FRED. OLSEN PRODUCTION ASA - INITIAL PUBLIC OFFERING

The Board of Directors of Fred. Olsen Production
ASA has resolved to offer up to 2,250,000 new
shares in the public offering contemplated in
connection with the listing of the company`s
shares on Oslo Børs . The indicative price range
has been set at between NOK 25,50 to NOK 28 per
share. The book building and application period
will run from 27 April 2007 to and including 9 May
2007, subject to changes.
For full information see www.newsweb.noNot for distribution to United States news
services or for dissemination in the United States
or elsewhere where such dissemination is not
appropriate.

The Board of Directors of Fred. Olsen Production
ASA has resolved to offer up to 2,250,000 new
shares in the public offering contemplated in
connection with the listing of the company`s
shares on Oslo Børs . The indicative price range
has been set at between NOK 25,50 to NOK 28 per
share. The book building and application period
will run from 27 April 2007 to and including 9 May
2007, subject to changes. It is expected that
trading in the shares on Oslo Børs will commence
on or about 11 May 2007.

Fred. Olsen Production`s application for listing
on Oslo Børs was approved by the Board of Oslo
Børs on 25 April 2007, subject to the company
obtaining a sufficient number of round lot
shareholders and that the company`s annual general
meeting on 10 May 2007 adopts the proposed new
construction of Board.

Fred. Olsen Production is a leading floating
production operator focusing on benign waters.
Fred. Olsen Production indirectly owns and
operates five FPSO/FSO units, out of which one
FPSO is owned in a 50/50 partnership. The fleet
will be expanded with one additional FPSO in 2007
through a tanker conversion. Please see today`s
presentation at www.fpso.no.

ABG Sundal Collier Norge ASA is lead manager for
the offering and DnB NOR Markets ASA is acting as
co-lead manager. Application forms together with
the prospectus for the offering can be obtained
from Fred. Olsen Production or from the managers,
and may be downloaded through www.abgsc.no or
www.dnbnor.no/markets.

For additional information, please contact:

Per-Oscar Lund, Chairman of the Board
Tel: +47 22341181 / +47 90780254



Important notice:
This notice is issued pursuant to the requirements
of Norwegian law and Oslo Børs and is not intended
to be an offer to sell the securities. This notice
may not be relied upon by any person to whom it
was not intended to be provided. The notice is not
an offer of securities for sale in the United
States, and the offering will not be made
available to US investors or investors in the
United Stated. Securities may not be offered or
sold in the United States absent registration or
an exemption from registration under the U.S.
Securities Act of 1933, as amended. Fred. Olsen
Production ASA has not registered, and does not
intend to register, any portion of the offering in
the United States.