Omega Navigation Enterprises, Inc. Reports Third Quarter 2009 Results and Reschedules Conference Call to December 23, 2009 at 10:00am EST


PIRAEUS, GREECE--(Marketwire - December 18, 2009) - Omega Navigation Enterprises, Inc. (NASDAQ: ONAV) (SGX: ONAV50), a provider of global marine transportation services focusing on product tankers, announced today its financial and operational results for the quarter and nine months ended September 30, 2009.

Conference Call Details:

The Company's management has rescheduled its conference call so that it can also update the investment community on the progress of and revisions to its newbuilding program.

The Conference Call is now scheduled for Wednesday, December 23, 2009 at 10:00am EST.

Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1-866-819-7111 (US Toll Free Dial In), 0800-953-0329 (UK Toll Free Dial In) or +44 (0)1452-542-301 (Standard International Dial In). Please quote "Omega".

A telephonic replay of the conference call will be available until December 30, 2009 by dialling 1-866-247-4222 (US Toll Free Dial In), 0800-953-1533 (UK Toll Free Dial In) or +44(0)1452-55-00-00 (Standard International Dial In). Access Code: 3663884#.

Third Quarter 2009 Results

For the quarter ended September 30, 2009, Omega Navigation reported total revenues of $14.3 million and Net Income of $1.9 million, or $0.12 per basic share, excluding losses on interest rate derivative instruments and incentive compensation grants expense. Including these items the Company reported Net Income of $ 0.1 million or $0.01 per basic share. Adjusted EBITDA for the third quarter of 2009 was $8.0 million. Please see below for a reconciliation of Adjusted EBITDA to Cash from Operating Activities.

Operating Income included revenue of $0.8 million attributable to profit sharing.

The Company owned and operated an average of eight product carriers during the third quarter of 2009, the same number as in the third quarter of 2008. In addition since April 2009, the company has held a 50% interest in a joint venture, which owns an additional product carrier vessel. While all nine vessels are on time charter, two of the vessels, the Omega Prince and the Omega Princess results are based on the actual earnings of a pool of seven vessels of similar characteristics which are operating in the spot market. The earnings for these vessels have been above spot market indices but below the level of earnings achieved in the third quarter of 2008. In addition, the Omega King and the Omega Queen entered into new time charters during the second quarter of 2009 but these rates were also lower than those in the third quarter of 2008. These lower rates were partially offset by somewhat higher time charter rates on the Omega Lady Sarah and the Omega Lady Miriam, which commenced toward the end of the third quarter of 2009. Excluding profit share, the Panamax vessels averaged $ 20,219 per day per vessel and the MR's averaged $11,935 per vessel per day (net of voyage expenses) for the third quarter of 2009. In the third quarter of 2008, the Panamax vessels averaged $25,035 per day per vessel and the MR's averaged $20,788 per day per vessel (net of voyage expenses).

Since the inception of our product tankers' charters through the end of the third quarter of 2009, the profit sharing element of those charters that we have or are entitled to receive amounted to approximately $14.1 million. The Company has already received $13.8 million of such amount in cash and has recorded profit share revenues of $14.0 million, and currently expects to record an additional $0.1 million in quarters to follow for voyages performed through the third quarter of 2009. The table below presents the amount of profit share revenues recorded per quarter.

                          Amount of profit
                           share revenues
Quarter                 recorded per quarter
                          -----------------
1st Quarter 2007          $     1.1 million
2nd Quarter 2007          $     1.0 million
3rd Quarter 2007          $     1.3 million
4th Quarter 2007          $     0.6 million
1st Quarter 2008          $     1.2 million
2nd Quarter 2008          $     1.6 million
3rd Quarter 2008          $     1.8 million
4th Quarter 2008          $     2.2 million
1st Quarter 2009          $     1.7 million
2nd Quarter 2009          $     0.7 million
3rd Quarter 2009          $     0.8 million
Total                     $    14.0 million

Operating expenses for our MR product tankers averaged $5,356 per day per vessel in the third quarter of 2009, versus $4,972 per day per vessel in the third quarter of 2008. Our Panamax product tankers averaged operating expenses of $6,298 per day per vessel in the third quarter of 2009, versus $5,577 per day per vessel in the third quarter of 2008. The increase of the daily operating expenses of the vessels relates primarily to increased crew wages, the timing of crew traveling expenses and some repairs to the anchor system of the Omega Lady Miriam as well as repair to the piping system of the Omega Lady Sarah.

First Nine Months 2009 Results

For the nine months ended September 30, 2009, Omega Navigation reported total revenues of $ 49.7 million and Net Income of $ 11.6 million, or $ 0.74 per basic share excluding a loss on interest rate derivative instruments, a gain on warrants revaluation, non cash incentive compensation grants and a loss related to the termination of a purchase agreement. Including these items, Net income was $4.8 million or $0.31 per share. Adjusted EBITDA for the first nine months of 2009 was $ 27.8 million. Please see below for a reconciliation of Adjusted EBITDA to Cash from Operating Activities.

Operating Income included revenue of $ 3.2 million attributable to profit sharing.

The Company owned and operated an average of eight product carriers during the first nine months of 2009, the same as in the first nine months of 2008. In addition since April 2009, the Company has held a 50% interest in a joint venture which owns an additional product carrier. Excluding profit sharing, the Company's Panamax product carriers earned an average time-charter equivalent rate of $ 22,501 per day per vessel during the first nine months of 2009, versus $ 25,054 per day per vessel (net of voyage expenses), during the first nine months of 2008. The Company's Handymax product tankers earned an average time charter equivalent rate of $ 17,222 per vessel per day during the first nine months of 2009 versus $ 20,763 per day per vessel (net of voyage expenses) during the first nine months of 2008.

Operating expenses for the MR product tankers averaged $ 5,317 per day per vessel in the first nine months of 2009 versus $ 4,880 per day per vessel in the first nine months of 2008. Panamax product tankers averaged operating expenses of $ 6,072 per day per vessel in the first nine months of 2009 versus $ 5,353 per day per vessel in the first nine months of 2008. The increase in operating expenses was primarily related to maintenance expenses incurred during scheduled drydockings in the first half of 2009, insurance deductible incurred related to a minor collision on the Omega Theodore, an increase in crew wages, the timing of crew travel and some other maintenance and repair expenses during the third quarter of 2009.

Recent Fleet Developments

With the announcement in the second quarter of 2009 of the delivery of the newbuilding vessel Omega Duke to a joint venture in which Omega Navigation has a 50% shareholding, Omega's current operating fleet includes nine double hull product tankers with an aggregate carrying capacity of 559,358 dwt. The Omega Duke has been time chartered to ST Shipping (Glencore International AG) for a period of five years until mid 2014, with a base rate that fully covers operating expenses and debt service and has a profit sharing arrangement. With the additional announcements that the Omega Queen and the Omega King, have been time chartered out, seven of the nine product tankers are currently employed under fixed rate time charters, The other two vessels results are derived by the actual operating earnings of a pool of similar vessels which currently trade on the spot market. The recent time charters are to established counterparties, ST Shipping and Torm A/S. Currently seven of Omega's nine vessels have profit-sharing arrangements associated with them which enable the Company to share in the charter market's upside potential.

With these recent charters concluded, the Company has for the remainder of 2009 and until mid 2010 fixed rate time charter coverage of 79%, inclusive of the joint venture, all with profit-sharing arrangements allowing the Company to take advantage of any upside in the charter market. The Company has entered the Omega Prince and Omega Princess into floating rate time charters with rates based on the market results of a pool of similar vessels commercially managed by ST Shipping and through these arrangements enjoy high utilization rates and above spot market charter rates. All of the time charters recently concluded are for relatively short periods of time which increases the Company's flexibility to terminate those on short notice in case the market improves and thereby take advantage of improved market conditions. Also, with these time charters we have continued full utilization of the fleet without experiencing any unscheduled off hire time.

While the global economy improved in the third quarter of 2009, the entire tanker market has remained under extreme pressure and has had a severe impact on rates and asset values. Omega's strategy of owning young, high quality assets and employing its vessels primarily through term time charters has enabled the Company to present profitable operating results, even in these uncertain times and depressed tanker market. While oil demand has contracted and oil product inventories remain high, we have seen the overall economic climate recovering. As the economic recovery progresses, we would expect to see an increase in oil demand and the resultant increase in rates and asset values.

Management Commentary:

George Kassiotis, President and Chief Executive Officer of Omega Navigation, commented: "We are pleased to have concluded our fourteenth consecutive quarter with profitable operating results, since our IPO in April 2006. We attribute our profitable operating results to our strategy of acquiring high quality modern vessels and seeking predictable and stable cash flows through the term employment of our vessels. In addition, the fact that the charters on seven of our nine product tankers have profit sharing has enabled us to participate in any upside of the charter market and thereby maximize our profitability.

"We continue to return profitable operating results even in this most challenging economic environment. We have seen signs that the economic environment is improving and with that expect that demand for oil and oil products should gradually return as well. We would expect that once demand improves and current high inventory levels decrease, we should see an improving rate environment and asset values should also improve. Based on our current charter rates and the continued performance of each of our charterers, we believe that we are well positioned to continue to show profitable operating results even in this economic climate. While rates remain somewhat depressed, we believe we are now seeing some signs of a rebound in demand for oil products which should help stimulate rates going forward.

"We seek to optimize the management of our capital exposure, de-lever our balance sheet and create synergies which will enhance our ability to fund our growth plans and take advantage of opportunities during challenging times.

"In this respect, we are pleased to enjoy a strong business relationship with Glencore, one of the largest commodities traders in the world. The joint ownership of the Omega Duke is further evidence of the high standards of operating performance that our Company offers to its customers and end users of its vessels and also demonstrates our ability to create synergies in a challenging environment.

"We also believe that we continue to have strong relationships with our commercial lenders, which are comprised of large European and Asian banks which have continued to offer their support to the Company.

"We would like to reiterate that we are continuing to pursue a strategy of prudent growth, gradually expanding our fleet and our revenue and profit generation potential.

"We remain optimistic about the long term fundamentals of the product tanker market, the area of our strategic focus. We believe that we enjoy strong competitive advantages in this market with our focused business strategy, our fleet of young high quality vessels, term employment with established charterers, a solid and flexible capital structure and a strong management team, enabling us to continue delivering strong, stable and predictable results for our shareholders."

Gregory McGrath, Chief Financial Officer of Omega Navigation, commented, "As of September 30, 2009, the Company had a ratio of net debt to net capitalization of about 64%, which we believe is modest for industry standards given our strong time charter coverage and the young age and quality of our fleet.

"We continue to have a strong relationship with our commercial lenders and have received their ongoing support and commitment to the Company, even in this very challenging credit market. Our balance sheet was also recently strengthened by the formation of the joint venture company which owns the Omega Duke and the consequent novation of the debt associated with that vessel from Omega to the joint venture."

Fleet Data
                          Panamax Tankers            Handymax Tankers
                        Three months ended          Three months ended
                    --------------------------  --------------------------
                      September     September     September     September
                      30, 2009      30, 2008      30, 2009      30, 2008
                    ------------  ------------  ------------  ------------
 Number of vessels
  at end of period             6             6             2             2
 Average age of
  fleet (in years)             4             3             3             2
 Ownership days(1)           552           552           184           184
 Available days(2)           552        543.19           184           184
 Operating days(3)           552        543.19           184           184
 Fleet Utilization(4)        100%          100%          100%          100%
 Voyage revenues
  (net of voyage
  expenses)(7)      $ 11,160,988  $ 13,598,722  $  2,195,984  $  3,824,960
 Time charter
  equivalent (TCE)
  rate $/day(5)(7)        20,219        25,035        11,935        20,788
 Vessel operating
  expenses          $  3,476,371  $  3,078,328  $    985,531  $    914,902
 Daily vessel
  operating
  expenses $/day(6)        6,298         5,577         5,356         4,972
                    ------------  ------------  ------------  ------------



                        Nine months ended           Nine months ended
                    --------------------------  --------------------------
                      September     September     September     September
                      30, 2009      30, 2008      30, 2009      30, 2008
                    ------------  ------------  ------------  ------------
 Number of vessels
  at end of period             6             6             2             2
 Average age of
  fleet (in years)             4             3             3             2
 Ownership days(1)         1,638         1,644           546           548
 Available days(2)      1,605.80      1,635.19           546           548
 Operating days(3)      1,590.41      1,635.19        545.23           548
 Fleet Utilization(4)         99%          100%          100%          100%
 Voyage revenues
  (net of voyage
  expenses)(7)      $ 36,132,408  $ 40,967,355  $  9,403,458  $ 11,378,182
 Time charter
  equivalent (TCE)
  rate $/day(5)(7)        22,501        25,054        17,222        20,763
 Vessel operating
  expenses             9,946,471  $  8,799,990  $  2,903,324  $  2,674,263
 Daily vessel
  operating
  expenses $/day(6)        6,072         5,353         5,317         4,880
                    ------------  ------------  ------------  ------------

(1) Ownership days are the aggregate number of days in a period during which each vessel in our fleet has been owned by us. Ownership days are an indicator of the size of our fleet over a period and affect both the amount of revenues and the amount of expenses that we record during a period.

(2) Available days are the number of our ownership days less the aggregate number of days that our vessels are off-hire due to scheduled repairs or repairs under guarantee, vessel upgrades or special surveys. The shipping industry uses available days to measure the number of days in a period during which vessels should be capable of generating revenues.

(3) Operating days are the number of available days in a period less the aggregate number of days that our vessels are off-hire due to unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a period during which vessels actually generate revenues.

(4) We calculate fleet utilization by dividing the number of our operating days during a period by the number of our available days during the period. The shipping industry uses fleet utilization to measure a company's efficiency in finding suitable employment for its vessels and minimizing the number of days that its vessels are off-hire for reasons other than scheduled repairs or repairs under guarantee, vessel upgrades, special surveys or vessel positioning.

(5) Time charter equivalent, or TCE, is a measure of the average daily revenue performance of a vessel on a per voyage basis. Our method of calculating TCE is consistent with industry standards and is determined by dividing voyage revenues (net of voyage expenses) by available days for the relevant time period. Voyage expenses primarily consist of port, canal and fuel costs that are unique to a particular voyage, which would otherwise be paid by the charterer under a time charter contract, as well as commissions. TCE is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot charters, time charters and bareboat charters) under which the vessels may be employed between the periods.

(6) Daily vessel operating expenses, which include crew wages and related costs, the cost of insurance, expenses relating to repairs and maintenance (excluding drydocking), the costs of spares and consumable stores, tonnage taxes and other miscellaneous expenses, but excludes any pre-delivery expenses incurred at or prior to the delivery of the product tankers, are calculated by dividing vessel operating expenses by ownership days for the relevant period.

(7) For the three months ended September 30, 2009, excludes $ 0.8 million of profit sharing revenue booked in the third quarter of 2009 related to profit sharing on charters of the vessels Omega Lady Sarah, Omega Lady Miriam, Omega Emmanuel and Omega Theodore. For the nine months ended September 30, 2009 excludes $ 3.2 million of profit sharing revenue booked in the first nine months of 2009 related to profit sharing on charters of the vessels Omega Lady Sarah, Omega Lady Miriam, Omega Emmanuel and Omega Theodore.

                     Omega Navigation Enterprises Inc

                    Consolidated Statements of Income
           (All amounts expressed in thousands of U.S. Dollars)

                                 Three months ended     Nine months ended

                                September  September  September  September
                                30, 2009   30, 2008   30, 2009   30, 2008
                                ---------  ---------  ---------  ---------
                                    (unaudited)           (unaudited)
CONTINUING OPERATIONS
Revenues:
  Voyage revenue                   14,322     19,495     49,710     57,647

Expenses:
  Voyage expenses                     198        262        967        740
  Vessel operating expenses         4,462      3,993     12,850     11,474
  Depreciation and amortization     4,847      4,749     14,323     14,092
  Management fees                     318        312        969        933
  General and administrative
   expenses (including non cash
   compensation expense of $262,
   and $ 208 for the quarter
   ended September 30, 2009 and
   2008 respectively and $ 1,170
   and $ 1,151 for the nine
   months ended September 30,
   2009 and 2008 respectively)      1,391      1,346      4,724      4,795
  Foreign currency
   (gains)/losses                      15        (87)        94        (12)
                                ---------  ---------  ---------  ---------
  Income from vessels operation     3,091      8,920     15,783     25,625
                                ---------  ---------  ---------  ---------
  Loss on Termination of
   purchase agreements                             -     (3,000)         -
  Income/(Loss) from Joint
   Venture companies                   83          -       (396)         -
                                ---------  ---------  ---------  ---------
Operating Income/(Expense)          3,174      8,920     12,387     25,625
                                ---------  ---------  ---------  ---------

Other income (expenses)
  Interest and finance costs       (1,702)    (3,146)    (5,618)   (10,339)
  Interest income                      22        205        103        466
  Change in fair value of
   warrants                             -      1,105      1,127        369
  Gain/(Loss) on derivative
   instruments                     (1,369)    (1,904)    (3,177)      (740)
                                ---------  ---------  ---------  ---------
    Total other income
     /(expenses), net              (3,049)    (3,740)    (7,565)   (10,244)
                                ---------  ---------  ---------  ---------
INCOME/(LOSS) FROM CONTINUING
 OPERATIONS                           125      5,180      4,822     15,381

DISCONTINUED OPERATIONS
Income from discontinued
 operations of the bulk carrier
 fleet                                  -          -          -         20
                                ---------  ---------  ---------  ---------
INCOME FROM DISCONTINUED
 OPERATIONS                             -          -          -         20

                                ---------  ---------  ---------  ---------
Net income                            125      5,180      4,822     15,401
                                =========  =========  =========  =========





                     Omega Navigation Enterprises Inc
                        Consolidated Balance Sheets
           (All amounts expressed in thousands of U.S. Dollars)



                                                September 30, December 31,
                                                    2009         2008
                                                 (unaudited)
                                                ------------  ------------
ASSETS
CURRENT ASSETS:
  Cash and cash equivalents                           22,356        16,811
  Accounts receivable, trade                             446           596
  Inventories                                            660           602
  Prepayments and other                                1,510           506
  Restricted cash                                        308           123
                                                ------------  ------------
Total current assets                                  25,280        18,638
                                                ------------  ------------

FIXED ASSETS:
  Vessels, net                                       428,468       442,485
  Property and equipment, net                            163            64
  Advances for vessels' under construction and
   acquisition                                        52,615        57,672
                                                ------------  ------------
Total fixed assets                                   481,246       500,221
                                                ------------  ------------

OTHER NON CURRENT ASSETS:
  Deferred charges                                     2,279         1,154
  Restricted cash                                      5,105         5,174
  Investments in Joint Venture companies               5,229             -
  Other non current assets                                 -           109
                                                ------------  ------------
Total other non current assets                        12,613         6,437
                                                ------------  ------------

                                                ------------  ------------
Total assets                                         519,139       525,296
                                                ============  ============

LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
  Current portion of long term debt                    2,953           138
  Accounts payable                                     2,420         1,804
  Accrued and other current liabilities                3,654         1,815
  Deferred revenue                                     3,665         1,368
  Warrants                                                 -         3,941
  Derivative liability                                 8,500         5,839
  Dividends payable                                      166            87
  Due to related parties                                   7             -
                                                ------------  ------------
Total current liabilities                             21,365        14,992
                                                ------------  ------------

NON-CURRENT LIABILITIES:
  Long term debt, net of current portion             328,136       335,112
  Derivative liability                                 2,874         8,409
  Dividends payable                                      105           174
  Other long term liabilities                              1             5
                                                ------------  ------------
Total non-current liabilities                        331,116       343,700
                                                ------------  ------------

                                                ------------  ------------
COMMITMENTS AND CONTINGENCIES:                             -             -
                                                ------------  ------------

Stockholders' equity:
  Common stock                                           158           151
  Additional paid-in capital                         201,382       198,402
  Accumulated deficit                                (34,882)      (31,949)
                                                ------------  ------------
Total stockholders' equity                           166,658       166,604
                                                ------------  ------------

                                                ------------  ------------
Total liabilities and stockholders' equity           519,139       525,296
                                                ============  ============






                     Omega Navigation Enterprises Inc
                  Consolidated Statements of Cash Flows
           (All amounts expressed in thousands of U.S. Dollars)

                                 Three months ended     Nine months ended

                                September  September  September  September
                                 30, 2009   30, 2008   30, 2009   30, 2008
                                    (unaudited)          (unaudited)
                                ---------  ---------  ---------  ---------
 Cash flows from operating
  activities
 Net income from continuing
  operations                          125      5,180      4,822     15,381

 Net cash provided by
  continuing operating
  activities                        6,807     10,441     19,391     29,490
                                ---------  ---------  ---------  ---------
 Net cash provided by
  continuing and discontinued
  operating activities              6,807     10,441     19,391     29,490
                                ---------  ---------  ---------  ---------

 Cash flows used in investing
  activities
 Net cash used in investing
  activities-continuing
  operations                         (288)      (340)      (335)   (12,341)
                                ---------  ---------  ---------  ---------
 Net cash used in investing
  activities-continuing and
  discontinued operations            (288)      (340)      (335)   (12,341)
                                ---------  ---------  ---------  ---------

 Cash flows (used in)/provided
  by financing activities
 Net cash (used in)/provided by
  financing activities-continuing
  operations                           33     (7,486)   (13,511)   (12,200)
                                ---------  ---------  ---------  ---------
 Net cash (used in)/provided by
  financing activities-continuing
  and discontinued operations          33     (7,486)   (13,511)   (12,200)
                                ---------  ---------  ---------  ---------

 Net increase in cash and cash
  equivalents                       6,552      2,615      5,545      4,949
 Cash and cash equivalents at
  the beginning of the period      15,804     11,227     16,811      8,893
                                ---------  ---------  ---------  ---------
 Cash and cash equivalents at
  end of period                    22,356     13,842     22,356     13,842
                                =========  =========  =========  =========






  Reconciliation of Adjusted EBITDA (1) to Cash from Operating Activities
           (All amounts expressed in thousands of U.S. Dollars)

CONTINUING & DISCONTINUED
 OPERATIONS                      Three months ended     Nine months ended
                                September  September  September  September
                                30, 2009   30, 2008   30, 2009   30, 2008
                                    (unaudited)           (unaudited)
                                ---------  ---------  ---------  ---------

 Net cash from operating
  activities                        6,807     10,441     19,391     29,490
 Net increase/(decrease) in
  current assets and non
  current assets                   (2,571)      (239)       796        (92)
 Net (increase)/decrease in
  current liabilities excluding
  bank debt                           126       (329)    (4,760)       851
 Net interest expense               4,077      3,628     11,566     10,618
 Warrants settled liability             -      1,105      1,127        369
 Stock based compensation
  expense                            (262)      (208)    (1,170)    (1,151)
 Payments for drydocking costs         (7)       528      1,521        528
 Amortization of financing
  costs                              (149)      (152)      (633)      (507)
                                ---------  ---------  ---------  ---------
 Adjusted EBITDA                    8,021     14,774     27,838     40,106
                                =========  =========  =========  =========

(1) Adjusted EBITDA represents net income before interest, taxes, gains/losses on derivative instruments, depreciation and amortization. Adjusted EBITDA does not represent and should not be considered as an alternative to net income or cash flow from operations, as determined by US GAAP and our calculation of adjusted EBITDA may not be comparable to that reported by other companies. Adjusted EBITDA is included here because it is a basis upon which we assess our liquidity position because we believe it presents useful information to investors regarding our ability to service and/or incur indebtedness.

About Omega Navigation Enterprises, Inc.

Omega Navigation Enterprises, Inc. is an international provider of global marine transportation services.

The Company was incorporated in the Marshall Islands in February 2005. Its principal executive offices are located in Piraeus, Greece and it also maintains an office in the United States.

Omega Navigation's Class A common shares are traded on the NASDAQ National Market under the symbol "ONAV" and are also listed on the Singapore Exchange Securities Trading Limited under the symbol "ONAV 50".

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words "believe," "anticipate," "intends," "estimate," "forecast," "project," "plan," "potential," "will," "may," "should," "expect" "pending" and similar expressions identify forward-looking statements.

The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, the Company's management's examination of historical operating trends, data contained in the Company's records and other data available from third parties. Although the Company believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company's control, the Company cannot assure you that the Company will achieve or accomplish these expectations, beliefs or projections.

In addition to these important factors other important factors that, in the Company's view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand for product tanker and dry bulk shipping capacity, changes in the Company's operating expenses, including bunker prices, drydocking and insurance costs, the market for the Company's vessels, availability of financing and refinancing, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, vessels breakdowns and instances of off-hires and other factors. Please see the Company's filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties.

Contact Information: Contacts: Company Contact: Gregory A. McGrath Chief Financial Officer Omega Navigation Enterprises, Inc. PO Box 272 Convent Station, NJ 07961 Tel. (551) 580-0532 E-mail: gmcgrath@omeganavigation.com www.omeganavigation.com Investor Relations / Financial Media: Nicolas Bornozis President Capital Link, Inc. 230 Park Avenue, Suite 1536 New York, NY 10169 Tel. (212) 661-7566 E-mail: nbornozis@capitallink.com www.capitallink.com