Fairmount Heavy Transport N.V.

ABG SUNDAL COLLIERFairmountHeavy Transport N.V.Company UpdatePhilip Adkins (CEO)Cristijn du Marchie Sarvaas (CFO)June 2006

Agenda1234BackgroundConversionFinancialsCompanyPrivate and confidential – Page 2

Background• Fairmount Heavy Transport NV (“FHT” or “the Company”) was established in August 2005 withthe aim to convert two modern state-of-the-art semi-submersible barges to self-propelled heavytransportation vessels able to transport “high value / high spec” floating and non-floating cargoesover long ocean distances• FHT raised MUSD 50 in a private placement in July 2005 to fund the project• The barges were purchased in August for MUSD 45 and renamed FAIRMOUNT FJELL andFAIRMOUNT FJORD.• The conversion will be based on proven technology at a reputable conversion yard, MaltaShipyards Ltd. FAIRMOUNT FJORD is at the yard. FHT expects to take delivery of the convertedvessel in Q4 2006.• FAIRMOUNT FJELL will be delivered to the yard upon completion of the present AMP2 topsidetransportation and float-over project, expected to be Q4 2006. The conversion period ofFAIRMOUNT FJELL planned to take five months.• The project will take advantage of a favorable market characterised by tight supply, growingdemand for services and no newbuilding activity• The conversion cost is calculated to amount to MUSD 82.5. These largely fixed price contractsalso include penalty clauses for late delivery of the vessels.Private and confidential – Page 3

The vessels3D animation of the FAIRMOUNT FJORDafter conversion loading and transporting theTrident IV for TransoceanPrivate and confidential – Page 5

Agenda1234BackgroundConversionFinancialsCompanyPrivate and confidential – Page 6

ConversionVessel design improvements• In 2005, the Company planned for the conversions to take place in Q3/Q4 2006. The estimated budget forconversion of the two barges to vessels was MUSD 60.• The conversion has been postponed as the Company saw the clear benefit of:• More detailed and accurate design of the scope of work, and therefore a larger degree of firm prices from yards• Performing a model test to optimise speed and directional stability performance• This resulted in several important design improvements …• Propulsion system based on heavy fuel instead of marine diesel• Increased steel weight (based on new DNV rules)• Re-location of propellers for maximum speed and sea keeping capabilities, and design of a special bulbous bow• Advanced auto pilot steering system• Preparations for compliance with notations such as redundant propulsion (RP) and future dynamic positioning class 2 (DP2)• … and significant competitive advantages for FHT• Largely fixed prices for conversion, limiting the possibility of future cost overruns• Increased speed of 1.0 knot through optimising the location of the thrusters• Annual savings of MUSD 2.5 – 3.0 of fuel costs (heavy fuel rather than marine diesel)Private and confidential – Page 7

ConversionYard selection• FHT has made an extensive yard selection• 15 pre-qualified yards, 10 yards invited to tender, 3yards short listed• Final negotiations with two yards• Conversion contracts signing 9 March 2006 with MaltaShipyard Ltd• The Company has insisted on a firm price contractto avoid future cost escalation• The situations with conversion yards has changedsignificantly since end 2005, with conversionyards also experiencing full order books and beingvery selective in their projects• The increased demand at conversion yards andthe optimised vessel design has resulted in higherconversion costsFAIRMOUNT FJORD at Malta Shipyards, May 2006Private and confidential – Page 8

ConversionConversion milestones20052006Today2007AugSepOctNovDecJanFebMarAprMayJunJulAugSepOctNovDecJanFebMarBasic EngineeringDetailed EngineeringYard prequalificationYard preselectionBidevaluationConversionOperationsMain propulsionsystem & bridgeequipment orderedConversionContractSignedIncorporatePersonnelSubsidiaryTrident IV (Transocean)Conversion FM FJORDSaibos (Total)Conversion FM FJORD*• This schedule provides the Company’s best timeline of the conversion process• Role of subcontractors is critical in the conversion process* Start of the FAIRMOUNT FJELL conversion is dependent on the completion date of the Saibos projectPrivate and confidential – Page 9

Agenda1234BackgroundConversionFinancialsCompanyPrivate and confidential – Page 10

FinancialsConversion budget• The conversion budget amounts to MUSD 82.5 for both vessels• Largely fixed price & time contract with yard. CFE’s still partly variable. Exchange rates hedged.• Key reasons for the variance with the original (mid 2005) estimated budget (MUSD 60):• Significantly changed market conditions with conversion yards since Nov 2005• Under estimation of certain items (e.g. propulsion, steel, pre-contract costs) in original budget• Several important design improvements that will result in better vessels, stronger competitive position andlower operating costs• Project financing:• Total project cost estimated at MUSD 130• MUSD 50 was funded through the private placement in July 2005• MUSD 76 will be funded through a loan agreement with HSH-Nordbank AG• MUSD 5-8 additional equity will be raised from (existing) shareholders• MUSD 5 revolving credit retained for working capital as originally intended• Cash flow from 2006 operations be used for opex during extended period to conversion and working capitalPrivate and confidential – Page 11

FinancialsProject economics• Company’s base business case generates a healthy USD 14,000 free cash flow per vessel per day• Key assumptions:• USD 41,000 net revenues per day per vessel after conversion (annualised).• Opex/G&A after conversion estimated to be USD 9,900 per day per vessel• Interest rate cost of 7-8%• Straight line depreciation over 25 years• Tax 0% year 1-10 (Dutch tonnage tax), abt 5% thereafter• Breakeven analysis• Solid business case even at lower day rates andutilisation levels• Opex and G&A are covered at a day rate of USD 27,000• Based on a day rate of USD 41,000 (base case) thebreakeven rate is 55% utilisation.Cash flow to equity holders (USD)USD per vessel per day Base caseT/C equivalent 41,000Opex / G&A 9,858-Interest 7,548-Loan repayment 9,589-Free cash flow to equity 14,005Opex/G&A based on full year 2008; Interest based on $76m at7.25%; Repayment based on $60m with 12 year profile and $16mwith 8 year profilePrivate and confidential – Page 12

FinancialsProject economics (con’t)• Company’s strategy has been to reduce downside risks:• Fixed conversion costs with shipyard (fixed delivery dates, fixed price, penalty clause for late delivery)• CFE’s partially still under negotiation• Fixed Operating and G&A costs (revised on an annual basis)• Fixed Interest rate• Foreign exchange risk largely hedged• Remaining exposure is predominantly exposure to variable day rates …• Base case net revenues per day per vessel after conversion (annualised) of USD 41,000. This is consideredconservative. Current market forecasts by competitors and analysts, underpinned by recent contracts, useday rates of USD 50,000 to 60,000 or higher.• … and timing of conversion process• Upside is substantial at higher day ratesCash flow to equity holders (USD)USD per vessel per day Base case 50,000 p/d 60,000 p/dT/C equivalent 41,000 50,000 60,000Opex / G&A 9,858- 9,858- 9,858-Interest 7,548- 7,548- 7,548-Loan repayment 9,589- 9,589- 9,589-Free cash flow to equity 14,005 23,005 33,005Opex/G&A based on full year 2008; Interest based on $76m at 7.25%; Repayment based on$60m with 12 year profile and $16m with 8 year profilePrivate and confidential – Page 13

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OrganisationShareholdersSupervisoryBoardof DirectorsWillem Dirkzwager (chairman)Leif O. AakerHans Verhagen+ 1-2 new members to beproposed by shareholdersHenk van den Berg (CEO)Arjen de Geus (CFO)Albert de Heer (Commercial)Leo Leusink (Operations)Rick van Vliet (Ship Management)Fairmount Marine(Manager)MgmtAgmtManagementBoardof DirectorsPhilip Adkins (CEO)Cristijn du Marchie Sarvaas (CFO)• Conversion supervision• Commercial (Marketing/Sales)• Vessel Management• Operations• Financial administrationPrivate and confidential – Page 15

Listing on the Oslo Stock Exchange• The Company indicated to investors that it would seek to list the Company on the Small andMedium Sized Companies (SMB) list at the Oslo Stock Exchange.• The Company is working with ABG Sundal Collier on an application for a full listing on the OsloStock Exchange, likely in August.Private and confidential – Page 16

Contact detailsFairmount Heavy Transport NVWorld Trade CenterPO Box 302393001 DE RotterdamThe NetherlandsT +31-(0)10-405 1290E cristijn@fairmount.nlW www.fairmountht.nlThis material has been prepared by Fairmount Heavy Transport NV (“FHT").This material is for distribution only under such circumstances as may be permitted by applicable law. It has no regard to the specific investment objectives, financialsituation or particular needs of any recipient. It is published solely for informational purposes. No representation or warranty, either express or implied, is provided inrelation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities,markets or developments referred to in the materials. It should not be regarded by recipients as a substitute for the exercise of their own judgement. Any opinionsexpressed in this material are subject to change without notice and may differ or be contrary to opinions expressed by other business areas or groups of FHT as a resultof using different assumptions and criteria. FHT is under no obligation to update or keep current the information contained herein. Neither FHT nor any of its affiliates, norany of FHT’s or any of its affiliates, directors, employees or agents accepts any liability for any loss or damage arising out of the use of all or any part of this material.© 2006 Fairmount Heavy Transport NV. All rights reserved. Fairmount Heavy Transport NV specifically prohibits the redistribution of this material and accepts no liabilitywhatsoever for the actions of third parties in this respect.Private and confidential – Page 17