Corporate
April 12, 2005

Trimaran - Fred. Olsen and the Canaries Connection

The Canary Islands comprise a group of seven islands in the North Atlanic Ocean making up two provinces of Spain. The islands have a fine climate with sandy beaches, blue seas and sunshine attracting about 10 million tourists annually. Today the Canary Islands economy is driven primarily by tourism although agriculture and deep-sea fishing provide an income for the provinces.

Fred. Olsen & Co. was founded in Norway in 1848.

In 1904 the Fred Olsen family established trade and business relations with the Canary Islands. Initially this was only through shipping but developed to include a shipping agency, agricultural development, tourist promotion activities and ferry services.

It was in 1974 after a number of petitions from the people of La Gomera that Fred. Olsen Snr. established Ferry Gomera, S.A., and on July 8 of that year the first ferry to take the name "Benchijigua" commenced service between the ports of San Sebastián de La Gomera and Los Cristianos. For this island, one of the smallest in the archipelago, and at that time very isolated from the other islands the service enabled an immediate improvement in prosperity and a memorable change to the lives of the Gomerans.

Today the company operates five routes in the Islands, heading the passenger and cargo market with more than 2,700,000 passengers, 400,000 cars, and more than 150,000 trucks per year. At the same time the company also has a wide variety of interests in the hotel trade, restaurant industry and culture.

From the beginning the company's philosophy has been to connect the Canary Islands between the nearest points and to offer a combined service of passengers and cargo.

Since fast ferries were commercially operative the company decided to convert its fleet of conventional ferries into high speed ferries.

This landmark was achieved in 1999 with acquisition of the company's first high speed ferry, "Bonanza Express", an Incat 96 metre wave piercing catamaran, which inaugurated a 1 hour service between Santa Cruz de Tenerife and Agaete, Gran Canaria.

"Bonanza Express" was followed by two further 96 metre Incat wave piercing catamarans that allowed the company to also offer a 30 minute service between San Sebastián de La Gomera and Los Cristianos, Tenerife.

In December 2002, Fred. Olsen, S.A. contracted Austal to construct a vessel to operate between the islands of Lanzarote and Fuerteventura with capacity for 450 passengers and 69 cars or 110 lane metres of trucks plus 37 cars at a speed in excess of 30 knots. In November 2003 the vessel "Bocayana Express" was delivered.

While "Bocayna Express" was under construction Fred. Olsen, S.A. explored further research to refine a new concept for high-speed vessels which would develop from the low resistance and very good stability and carrying capacity of catamarans.

With these objectives in mind Fred. Olsen S.A. and Austal cooperated on an extensive and dedicated programme of research, tank testing and other analysis to firstly develop a new design and then ensure it would meet Fred. Olsen S.A.'s requirements in an efficient and cost-effective manner.

The result is a new "Benchijigua Express", a slender stabilised monohull more commonly referred to as a trimaran.

Further Information

Contact: Austal
Phone: 61 8 9410 1111
Fax: 61 8 9410 2564
Email: media@austal.com

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