Solvang ASA Company disclosures

The result for 1st quarter 2010 is an loss before taxes of NOK 5,3 mill against a loss of NOK 5,7 mill in 1st quarter 2009. Out of this, profit on the investment portfolio was NOK 5 mill against a loss of NOK 6 mill same period last year. The shipping activity gave a negative result of NOK 9.4 mill against a profit of NOK 2.1 mill 1st quarter last year.

The result from the shipping activity is not satisfactory. This is due to a lower freight rates and low activity in both of our main markets. Rate of USD/NOK was 5.78 the 31.12.09 and 5,98 the 31.03.10.

Semiref/ethylene

For the semi-ref. ships in the 12,000 to 17,000 cbm segment earnings level was 38 % lower than in same period 2009 measured in USD. The market has been at a low level since the summer of 2009. The main reasons are relatively low growth in demand combined with a net increase in the world fleet.

The number of new orders has been immaterial in the ethylene segment in 2009 and 2010. However, the existing order book continues to cause a net increase in the world fleet in 2010 and 2011. This fact together with reduced growth in demand creates uncertainty for the ethylene and semiref markets for 2010.

LGC/VLGC

For the ships in the 60,000 cbm segment earnings level was 35 % lower than same period last year measured in USD. During the 1st quarter the earnings for these vessels were not satisfactory. Surplus capacity in the Atlantic, which is the main market for these ships, puts a pressure on freight rates as well considerable idle time.

For the company's two panmax VLGC ships of 75,000 cbm, earnings were somewhat higher compared to the LGC-segment as well as the general VLGC market. These vessels are trading in a pool on a combination of contracts and spot voyages. The company owns one VLGC of 82,000 cbm which trades in the spot market.

The forecast is for no net growth in the world fleet for large fully ref LPG vessels above 75,000 cbm, as new buildings and vessels to be scrapped are approx. the same numbers in 2010. There is no order book in 60,000 cbm segment. An anticipated growth in demand is therefore expected to create a better balance between supply and demand and thereby a firmer market in the 2nd half of 2010.

The company had no ships going through periodical surveys during 1st quarter 2010, while the figure was 1 same period last year.

Full report including figures is enclosed.

Stavanger 6th May 2010

Board of Directors

Solvang ASA

Report 1st quarter 2010
The result for 1st quarter 2010 is an loss before taxes of NOK 5,3 mill against a loss of NOK 5,7 mill in 1st quarter 2009. Out of this, profit on the investment portfolio was NOK 5 mill against a loss of NOK 6 mill same period last year. The shipping activity gave a negative result of NOK 9.4 mill against a profit of NOK 2.1 mill 1st quarter last year. The result from the shipping activity is not satisfactory. This is due to a lower freight rates and low activity in both of our main markets. Rate of USD/NOK was 5.78 the 31.12.09 and 5,98 the 31.03.10. *Semiref/ethylene* For the semi-ref. ships in the 12,000 to 17,000 cbm segment earnings level was 38 % lower than in same period 2009 measured in USD. The market has been at a low level since the summer of 2009. The main reasons are relatively low growth in demand combined with a net increase in the world fleet. The number of new orders has been immaterial in the ethylene segment in 2009 and 2010. However, the existing order book continues to cause a net increase in the world fleet in 2010 and 2011. This fact together with reduced growth in demand creates uncertainty for the ethylene and semiref markets for 2010. *LGC/VLGC* For the ships in the 60,000 cbm segment earnings level was 35 % lower than same period last year measured in USD. During the 1st quarter the earnings for these vessels were not satisfactory. Surplus capacity in the Atlantic, which is the main market for these ships, puts a pressure on freight rates as well considerable idle time. For the company's two panmax VLGC ships of 75,000 cbm, earnings were somewhat higher compared to the LGC-segment as well as the general VLGC market. These vessels are trading in a pool on a combination of contracts and spot voyages. The company owns one VLGC of 82,000 cbm which trades in the spot market. The forecast is for no net growth in the world fleet for large fully ref LPG vessels above 75,000 cbm, as new buildings and vessels to be scrapped are approx. the same numbers in 2010. There is no order book in 60,000 cbm segment. An anticipated growth in demand is therefore expected to create a better balance between supply and demand and thereby a firmer market in the 2nd half of 2010. The company had no ships going through periodical surveys during 1st quarter 2010, while the figure was 1 same period last year. Full report including figures is enclosed. Stavanger 6th May 2010 Board of Directors Solvang ASA This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act)
Report 1st quarter 2010