Dispute between Odfjell and joint venture partner Northleaf relating to leverage in Odfjell Terminals US Holdings LLC.

As described in the Third Quarter Report dated 5 November 2024, there is a disagreement between Odfjell Terminals US Holding AS (a wholly owned subsidiary of Odfjell SE) and its JV Partner in OTUS, NCP US Terminals LP ("Northleaf") regarding leverage levels. The disagreement mainly relates to Northleaf’s insistence on excessively leveraging OTUS. Odfjell firmly rejects this position, as it believes such actions are detrimental to the long-term interests of the OTUS.

The parties have not been able to find an amicable solution to this disagreement and the matter was referred to mediation pursuant to the terms of the LLC Agreement. Such mediation took place last week, without success. Odfjell remains committed to resolving this matter constructively through negotiations, but to protect the company’s interest, Odfjell has today filed a complaint for judicial relief for the courts of the State of Delaware.