SOURCE: Golden Ocean Group

March 02, 2009 08:26 ET

GOGL - Potential Loss from Time Charter Contract

HAMILTON, BERMUDA--(Marketwire - March 2, 2009) -

In January 2005 Golden Ocean Group Limited ("Golden Ocean" or the "Company") entered into a time charter agreement for the Panamax vessel Salvatore Cafiero with an Italian owner for a max period until end 2010 at a net rate of $17,550 per day. The vessel was in March 2006 chartered out to an Italian operator for the balance of the period at a net rate of $58,900 per day. End of last week Golden Ocean received a notice from the operator of its decision to terminate the time charter agreement and redeliver the vessel. The basis for the termination is linked to the off hire period in connection with a dry docking. Golden Ocean views this termination as wrongful and has received legal advice supporting this position. For this reason, the matter will be pursued by way of legal proceedings with a view to recover losses suffered. Golden Ocean will pursue all available means to secure the claim.

Hamilton, Bermuda
March 2, 2009

Contact Persons:
Herman Billung: CEO, Golden Ocean Management AS
+47 22 01 73 40

Geir Karlsen: CFO, Golden Ocean Management AS
+47 22 01 73 53

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