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ITCL - Extension of Charter

Press release from Independent Tankers Corporation Limited 12.02.2009


Independent Tankers Corporation (the "Company") is pleased to announce that BP Shipping Limited ("BP") has extended the charter for the VLCC British Pioneer for one additional year. As a result the vessel will trade on a market rate with a minimum of $20,000 per day from January 2009 until January 2011.
 
In February 2009, BP extended the charter for the VLCC British Progress for one year after the fixed period ends in February 2010. The vessel will continue on a bareboat rate of $24,895 per day until the fixed period is finished in February 2010, followed by a market rate with a minimum of $20,000 per day until February 2011.
 
The two other VLCCs, British Purpose and British Pride are on bareboat contracts to BP at a fixed rate of $24,895 per day until the fixed periods end in July 2010 and July 2011, respectively. BP is required to notify the Company 12 months in advance of the fixed period ending, if the charter is going to be terminated.
 
As a consequence of the charter extensions, the charter coverage for the four VLCCs with BP is 100 percent in 2009 and 88 percent in 2010.
 
The Board of Directors
Independent Tankers Corporation Limited
Hamilton, Bermuda
February 11, 2009
 
 
Questions should be directed to:
 
Bengt Neteland: Vice President Finance, Frontline Management AS                    
+47 23 11 40 37
 
Forward Looking Statements
 
This press release contains forward looking statements. These statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including the Company's management's examination of historical operating trends. Although the Company believes that these assumptions were reasonable when made, because assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond its control, the Company cannot give assurance that it will achieve or accomplish these expectations, beliefs or intentions.
 
Important factors that, in the Company's view, could cause actual results to differ materially from those discussed in this press release include the strength of world economies and currencies, general market conditions including fluctuations in charter hire rates and vessel values, changes in demand in the tanker market as a result of changes in OPEC's petroleum production levels and world wide oil consumption and storage, changes in the Company's operating expenses including bunker prices, drydocking and insurance costs, 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, and other important factors described from time to time in the reports filed by the Company with the Norwegian over-the-counter market in Oslo.
 

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