24 Jul 2006

SembCorp Marine’s Subsidiary JPL Corporation Exercises Option to Convert Loan Stock to Ordinary Shares in JPL Industries

SembCorp Marine wishes to announce that its subsidiary, JPL Corporation Pte Ltd (“JPL Corporation”) has exercised its option to convert S$5.3 million JPL Industries Pte Ltd (“JPL Industries”) Loan Stock into 7,632,000 JPL Industries ordinary shares at a conversion ratio of one loan stock for 1.44 ordinary shares.

Upon conversion of the loan stock, JPL Corporation, a 70 per cent subsidiary of SembCorp Marine will hold 16,892,000 JPL Industries ordinary shares, representing 85.8 per cent of the total JPL Industries’ shareholding of 19,680,000 ordinary shares and SembCorp Marine’s effective shareholding in JPL Industries will increase from 53.8 per cent to 60.1 per cent.

This Loan Stock conversion has no material impact on the earnings and Net Tangible Assets per share of SembCorp Marine for the current financial year. None of the Directors has any interest, direct or indirect, in this conversion transaction.

About JPL Corporation

JPL Corporation is an investment holding company that owns JPL Industries and JPL Services Pte Ltd. JPL Industries’ primary activities include the collection, treatment, recycling and processing and distribution of used copper slag for blast cleaning purposes while JPL Services Pte Ltd provides equipment rental services to the shipyards.

For media & analysts enquiries, please contact:

Judy Han (Ms)
Senior Vice President
Investor Relations & Communications
Tel No : (65) 6262 7203
Fax No : (65) 6261 0738
Email : judy@sembcorpmarine.com.sg