Dn B Markets Oslo 27 September 2001

Dn. B Markets, Oslo 27 September 2001

INTRODUCTION m The pipeline for the chemical industry from plant to customer m Global operation and leading market share m Logistics – industrial focus m Favourable fundamentals

HISTORY m Established 1916 m Pioneered the chemical tanker trade in the mid 50 s m Tank Terminals since the mid 60 s m Stocklisted on OSE 1986 m SEAQ in London 1989 m ADR program 1994 m USD accounting from 2000

BUSINESS AREAS Regional Trade -Far East/Americas/Brazil -24 vessels -Revenue $100 million -12% of revenue/7% of EBITDA Global Trade -Leading global operator -61 vessels and 10 nb’s on order -Revenue $632 million 74% of revenue/75% of EBITDA

BUSINESS AREAS cont. Tank Containers -Start-up in 1999 -5000 containers -Revenue $36 million -4% of revenue/1% of EBITDA Tank Terminals -5 owned at strategic locations -8 associated -Revenue $88 million -10% of revenue/17% of EBITDA

A NICHE IN THE WORLD TANKER MARKET Core chemical = 3% of World Tanker Market

GLOBAL TRADE – MARKET SHARE (Core fleet over 10. 000 tdw. - about 9, 4 mill. tdw. )

TANK TERMINALS – MARKET SHARE High OTHER IMC Low High

STRATEGIC MOVES m Consolidation l Seachem acquisition (2000) m Fleet expansion l Newbuildings: 14 specialised vessels (1994 -2001) l Order book: 10 specialised vessels of which 6 owned (2002 -2005) l Regional fleet: Asia (1997), Americas (1997) and Brazil (1999) m Terminal expansion l China (1994/1998), Houston (organic growth), Rotterdam (2000) and Singapore (2001) m Tank containers (1999) m Systems + skills => Total logistics l Odfjell Logistics as a new division (2000)

MARKET

BUSINESS DRIVERS m Demand l Global trade l Industrial production/GDP l Ton-mile (trading pattern) m Supply l Order book l Yard capacity l New IMO regulations/scrapping l Customer requirements - inspections

MARKET GROWTH Asia Financial Crisis Global Recession Source: CMAI Global Growth Index (Index Base Year =1985)

WORLD ECONOMIC GROWTH (Per August 2001)

PRODUCT GROUPS Product Group Organic chemical # of products Global annual production (mill. mts) Global seaborne transport. (mill. mts) 400 + 403 75 Inorganic chemicals 3 310 21 Vegetable oils & Animal fats 10 99 32 Other products 3 97 18 909 146 2, 490 450 3, 400 596 Total Clean Petr. Prod. Gross total Source: Various sources, Odfjell BDP 4

END USES

CUSTOMERS

TRADITIONAL TRADE PATTERNS

GLOBALISATION, NEW PLANTS & TRADE PATTERNS

CHEMICAL DISTRIBUTION CENTRES Rotterdam Dalian Houston Ningbo Sao Luis San Antonio Santos Rio Grande Campana Buenos Aires Singapore

BUSINESS CHARACTERISTICS m Barriers to entry l Highly specialised vessels and operation l Scale – Threshold l Systems, oranisation and human resources l Customer relations – Track record l Contract coverage m Customer expectations l Quality – Safety – Reliability l On spec and on time delivery l Frequencies - Regularity l Many ports for loading and discharging l Cost efficiency => Few and large operators

SUPPLY DEVELOPMENT – CORE FLEET Vessels delivered in % of existing fleet Source: BDP FLEETBASE Orderbook by May 2001, assumed future demolition at 30 years

DELIVERIES OF NEWBUILDINGS (Core fleet over 10. 000 tdw. ) 22

ORDER BOOK (Core fleet over 10, 000 tdw. - about 1. 1 mill. tdw. )

FINANCIALS

EBITDA PER SHARE - Business cycles - Effect of strategic moves

GROWTH GROSS REVENUE TURNOVER Based on book values

NET PROFIT/CASH FLOW/RETURN - Average Ro. E 1990 – 1999: 13% 1991 – 2000: 11% 2001: 12%

TIME CHARTER INDEX VS. EBITDA => Increased EBITDA Capacity

INCOME STATEMENT: YEARS ENDING 31 DEC. Income Statement 2000 $696 M 1999 $552 M % Increase 26% 546 39 69 44 433 33 56 17 46 26% 19% 22% n/a (5)% Net interest Currency gain/(loss) (46) (8) (28) (3) Net result (12) 16 n/a $ (0. 50) $ 4. 73 $ 0. 74 $ 3. 93 n/a 20% Revenues Cost and Expenses - Voyage-, t/c- & operating expenses - G & A - Depreciation - Sales gain Operating result Earnings per share EBITDA per share

INCOME STATEMENT: SIX MONTHS ENDING 30 JUNE Income Statement Revenues Cost and Expenses - Voyage-, t/c- & operating expenses - G & A - Depreciation - Sales gain Operating result Net interest Currency gain/(loss) Net result Earnings per share EBITDA per share 1 H 2001 $428 M 1 H 2000 $289 M % Increase 68% 302 19 41 3 69 232 16 30 10 30% 19% 37% n/a 690% (22) (10) (20) 2 34 (8) n/a $1. 33 $4. 15 $(0. 37) $1. 79 n/a 232%

BALANCE SHEET (30. 06. 2001) ASSETS Liquid assets LIABILITIES & EQUITY ST debt Other fixed and current assets Tank terminals LT debt Vessels & nb’s Equity USD 551 million or USD 23, 87 or NOK 209 per share

THE ODFJELL SHARE Book value Market value m m Market value NOK 120 (24. 09. 01) Book value NOK 209 (24. 09. 01@8, 75) Share buy-back program (p. t. 9, 2%) Dividend policy

TOTAL ASSETS AND EQUITY 32% Book equity 35% Book equity

LISTED ON THE OSLO STOCK EXCHANGE TRADING Symbol: ODF and ODFB Current share price (ODF 24 September 2001) $13, 71 Number of shares (A and B ex. Tr. shares) 23, 1 M Market capitalisation $317 mill. Net interest bearing debt (30 June 2001) $694 mill. Enterprise Value $1, 010 mill.

SHARE VALUATION Enterprise Value(EV)/EBITDA 4, 8 Price/Earnings 4, 6 Price/Cash Flow 2, 1 EBITDA/Net interst coverage 4, 8 Total interestbearing debt/EBITDA 4, 3 Net interestbearing debt/EBITDA 3, 3 Market capitalisation/Book Equity 58% (All P&L figures 1 H 2001 annualised)

SHARE PRICE DEVELOPMENT

SHARE PRICE DEVELOPMENT – INDEX

SHAREHOLDER STRUCTURE m m Odfjell family 30% Chemlog Ap. S 22% Others 39% Treasury shares 9%

WHY ODFJELL m Strong fundamentals l End downturn 4 Q 99/1 Q 00 l Reduced supply of new tonnage l Stable demand growth l Contract renewals at substantially higher rates l Reduced interest rates m Threats l Higher oil price l Reduced world economic growth l Massive ordering of new tonnage – time lag

WHY ODFJELL m Structural changes l Consolidation l Preference for integrated services l E-commerce technology m Position l Proven track record l Focused strategy l Solid financial platform l Counter-cyclical investments l Global sustainable market share l Strong growth l Total logistics service provider l Substantial profit improvement in 2001