1

August 2011

OSX – Institutional Presentation

2

Organizational Structure

OSX Ownership

OSX LeasingOSX Shipbuilding Unit OSX Services

Free Float

Integrated offshore E&Pequipment and

services provider

10% 90% 100% 100%

Holding

21.1%78.9%*

*Controlling Shareholder (78.67%) + Board of Directors (0.0107%) + Officers (0.1995%)

3

Attractive Market

Conditions in Brazil

Local Content

Requirement

Strong Demand

from OGX

Strategic

Partnership with

Hyundai

Training (ITN)

Incentivized and

Experienced

Management Team

OSX Highlights

• More than 30 years experience, on average, in the E&P sector

• US$ 30bn in projects and more than 50,000 people under management

• Approximately 70% of E&P industry capex supplied locally

• Key for Brazil’s long-term social and economic development (285,000 jobs in 5 years)

• Priority Rights between OSX and OGX

• Order book of 48 offshore E&P units, equivalent to a US$ 30bn investment

• Upside potential with expansion of OGX’s exploratory campaign

• Partnership with the largest shipbuilder in the world

• State-of-the-art technology and transfer of know-how

• Large, scalable shipyard at Açu

• Expected oil and gas resources to increase to 100 Bboe, with announced investments of

US$ 140bn plus

• Underserved domestic equipment & services market

• ITN – Naval Technology Institutes, partnerships with technical institutions and universities

• Absorption and application of Korean technology

• Qualification of 7,800 technical personnel until the end of 2013

4

Exploratory Success in the Drilling Campaign

OGX: Anchor Client

• Largest Brazilian private E&P player in terms of offshore

exploratory acreage

• 6.7 billion boe of risked prospective resources , assuming a

probability of success of 35%

• 22 offshore blocks and 7 onshore blocks in 5 different

sedimentary basins

Source: D&M Report and OGX presentations

OGX Highlights

(1) Gross Prospective Resources

OGX Offshore Blocks (Sept. 2009)

Basin Blocks

Unrisked

Resources

Total 1

Probability of

Geological

Success Total

Risked

Resources

OGX

Campos 7 9,350 44.10% 4,124 3,693

Santos 5 6,659 27.00% 1,796 1,688

Espírito

Santo5 5,017 32.60% 1,634 817

Pará

Maranhão5 2,104 21.30% 447 447

Total 22 23,130 34.59% 8,001 6,645

1-MRK-1-SPS

1SPS 0019 SP

1SPS 0014A SP1SPS 0014 SP

1BSS 0067 BS

LAGOSTA

MERLUZA

Blocos OGX Campos de Produção

0 4 8 12 162 Km

A

43 oil & gas discoveries to date

Risked

Resources

C

DI

G

HK E

FBJ N

PEREGRINO

MAROMBA

POLVO

PAPA-TERRA

LINGUADO

BM-C-41

BM-C-38

BM-C-37

BM-C-42BM-C-43

BM-C-40

BM-C-39

OGX blocks

Oil Field

Campos Basin

Vesuvio Prospect

Netpay of 57 meters

Discovery between 500 -

1,500 M boe

Pipeline Prospect

Netpay of 165 meters

Discovery between 1,000 – 2,000 M boe

M

L

MEXILHÃO

BM-S-58

BM-S-56

BM-S-57

BM-S-59

Santos Basin

Waimea Prospect

Netpay of 130 meters

Discovery between 500 – 900 M boe

D

B

G

Etna Prospect

Netpay of 91 meters

Discovery between

500 – 1.000 M boe

HHuna Prospect

Netpay of 52 meters

J

Vesúvio Direcional

Prospect

Netpay of 60 meters

LHawaii Prospect

Netpay of 64 meter

SIngá Prospect

Netpay of 12 meters

Aracaju Prospect

Netpay of 40 meters

T

Belém Prospect

Netpay of 43 metersR

C

Basin D&M Report 2011

Campos 5,700*

Santos 1,688

817

447

Espírito

Santo

Pará

Maranhão

Total 8,652

* 3C + Delineation + Prospective

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OGX: Significant Demand Expected

Base case order book of 48 offshore E&P units equivalent to US$ 30bn

OGX Production Targets - kboepdExpected Demand for Offshore Equipment (2011-2019)

Number of units

• Initial production expected to begin 2011

• 1st FPSO already contracted for a period of 20 years, at an

average day rate of US$ 263,000

• Expected CAGR of 70% between 2011 and 2019

Source: OGX

FPSO

TLWP

WHP

19

5

24

Source: OGX

Total 48*

Delivery Timeline

2019E2015E2011E

20

730

1,380CAGR:

70%

12

45

3

1 1

1

2

1

1

3 5

66

2

2

1

2011E 2012E 2013E 2014E 2015E 2016E 2017E 2018E 2019E

1

5

6

12

13

6

4

1

1

5

1

* OSX2: to be delivered in mid 2013 (IPO: Dec. 2012)* OSX5: to be delivered in 1Q 2015 (IPO: Dec 2014)

* Considering 2009 D&M Report

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Current Order Book with OGX

EQUIPMENT CAPACITYESTIMATED CAPEX

(US$ MM)DELIVERY*

FPSO OSX-1 80K bopd 610 3Q 2011

FPSO OSX-2 100K bopd 775 2Q 2013

FPSO OSX-3 100K bopd 800 3Q 2013

FPSO OSX-4 100K bopd 850-900 2Q 2014

FPSO OSX-5 100K bopd 850-900 4Q 2014

WHP-1 30 wells 400-450 1Q 2013

WHP-2 30 wells 400-450 2Q 2013

Total 4,685 - 4,885

* delivery at the shipyard (ex installation)

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Pre-Salt Resources

Pre-salt discoveries strongly contribute to increase in Brazilian resources of up to 100Bboe

Petrobras Local Production Forecast

(thousand bpd)

Petrobras’ capex: US$ 111 billion

Additional ~ 70 billion boe (only in pre-salt)

FPSO units, deepwater environment

US$ 111bn 2009-2020E

US$ 33bn 2010-2014E

Total Area

Estimated

Resources

Production

Development

Required

Capex

149,000 km2

Source: Petrobras (updated in June 2011)

Pre-salt Resources Pre-salt Resources Area

Source: Petrobras (Company Presentation)

Espírito Santo Basin

Campos Basin

Santos Basin

Exploratory Blocks

OGX Blocks

Oil and Gas Fields

Pre-salt Reservoir

(Petrobras/CNPE/ANP)

Açu Super-Port

2,461

Ex-Pre Salt Pre Salt

2,100

2,739

2,872

241

1,078

2,100

2,980

3,950

2010 2014 2020

Source: Petrobras (updated in June 2011)

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Consolidated Potential Demand (number of E&P equipment units)

3 3

22

8

32

18

27

13

16

11

2011E 2012E 2013E 2014E 2015E 2016E 2017E 2018E 2019E 2020E

Existing Capacity

Strong Demand for Offshore E&P Equipment in Brazil

• 182 units to be delivered within the next 10 years

• OGX’s projected demand: 48 units (19 FPSOs, 24 WHPs, 5 TLWPs)

OGX (FPSOs Only)

Petrobras (FPSOs + 28 Rigs)

Note: Including already ordered equipment

Source: Verax

Capacity Estimates: Source OSX

9

Local Content Requirement

Local Content: Rationale and Evolution

The local content requirement represents a social and economic development strategy and has significantly increased in recent ANP bidding rounds

Local Content Evolution

Source: ANP

Note (1) 8th ANP bidding round auction is still under discussion

Notable Companies Committed to Local Content

• Boost local oil & gas equipment and services industry

• Incentivize local technology development

• Substantially increase employment and income

Local Content Rationale

• Definition: minimum percentage of equipment and

services contracted by the operator that must be supplied

by local companies

• Average 70% in the production development phase

• Component of the bid for acquisition of E&P Blocks

• Certification of each item by inspection companies

(guidelines set forth by Federal Government – MME)

• Subject to severe penalties

25%

42%

28%

39%

79%

86%

74%69%

79%

27%

48%

40%

54%

86%89%

81%77%

84%

1st 2nd 3rd 4th 5th 6th 7th 8th (1) 9th 10th

Exploration Phase Development Phase

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Brazilian Shipyards

Local shipyards are not prepared to serve expected offshore E&P equipment demand

Main Shipbuilders in Brazil Current Brazilian Shipyard Condition

Brasfels

Mac Laren

Committed Slots

Site Area (km2)

Technology Partner

Steel Processing Capacity

(Kton / year)

Focus on Offshore

Equipment

Logistics

EAS ERG Brasfels Mauá MacLaren

Labor Force

Source: Verax

1.6 0.5 0.5 0.4 0.1

160 60 50 36 6

“A construction slot in OSX’s shipyard is worth more than gold”

Mauá

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Strategic Partner: Hyundai Heavy Industries

OSX Shipyard Unit under development in partnership with the largest shipbuilder in the world

• 10% equity investment in OSX Shipyard

• State-of-the-art technology

• Transfer of know-how and training

• Accelerate learning curve: distill 38 years

of experience into 2 years

• Technology and services contract for

shipyard design and transfer of know-how

for at least 10 years

Rationale and Overview

• Proven track record: founded in 1972

• Largest shipbuilder in the world: 10%

market share (2010)

• Delivered more than 1,600 vessels to

more than 250 ship owners in 47

countries to date

• One of the leaders in offshore equipment

fabrication in the world, handling over 100

turnkey EPIC projects for more than 30 oil

and gas majors

• Delivered FPSO’s and fixed platforms to

clients such as ExxonMobil, Petrobras,

Shell, Chevron and BP

• Significant upside potential for OSX

– HHI Offshore division processes

550,000 tons of steel/year in

2,500,000 m²

– OSX should process in its initial

stage 180,000 tons of steel/year and

integrate 220,000 tons/year in

2,000,000 m²

• Efficiency gains could drive potential

processing capacity expansion

• OSX’s goal is to reach Asian productivity

levels after two years of operation

Why Hyundai? Efficiency Comparison

12

Açu Industrial DistrictA new cluster for heavy industry

12

13

Açu Site

• US$ 1.7 bn investment

• Steel processing capacity of 180,000 ton/year and assembly capacity of 220,000 ton/year

• Up to 3,525 m water front (2,400 m in first phase)

• Conceptual design approved by Hyundai Heavy Industries

14

Açu Site: Competitive Advantages

• Welding economies: 18m steel plate, 56% less welding, savings of US$ 3.5 MM/FPSO

• Energy savings: 30% estimated reduction (US$ 4.0 MM/year)

• Weather conditions: Less than 30% of rainy days per year

• Soil advantages: less foundation required

• Integration slots: Up to 3,525m of quay allowing simultaneous integration of 9 FPSOs

and the construction of 8 WHPs. (6 FPSOs and 2,400m at 1st phase)

• Proximity to Campos Basin: approximately 150 km

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Product Portfolio

• Floating Production Storage and

Offloading

• Hull: conversion of oil tanker or new-

build

• Tension-Leg Wellhead Platform

• Suited for deepwater environments

• Drilling units for exploration

• Heavily demanded in ultra-deepwater

• Wellhead Platform or fixed production

platforms in general

• Suited for shallow-water environments

Description Main Systems for Standardization Target

FPSO

TLWP

WHP

Drillships

Tankers

• Navigation transportation unit

• Demand for long course navigation units,

cabotage, relievers and production

platforms

OSX Flex Engineering

Conceived to process oils of different

characteristics (different API grade,

gas/oil ratio, water/oil ratio

Sister Vessels

Reduction in project time and

conversion costs

Accelerates the learning curve in the

operation and maintenance

WHP’s Standardization

Optimization of assembly and

fabrication

Designed to operate in a range of water

depths

Equipment Standardization

Key systems

Supplied with increased security and

speed systems in the long run

Pre negotiated contracts with minimum

demand guaranteed

Inventory and maintenance optimization

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ITN – Naval Technology Institute

Initial strategic partnerships: Firjan (Rio de Janeiro State Industrial Federation) and SENAI

(National Institute of Industrial Learning) – Commercial Contract executed in 07/01/2011

Objectives of the 1st Phase of the Program:

Absorption and application of technology (agreement with Hyundai)

Qualification of up to 3,100 technical personnel in 23 functions (welders, assemblers,

electrics and mechanicals, among others) through the end of 2012

Utilization of facilities and instructors from SENAI

Scholarships that provide financial assistance, food and transportation

Beginning of classes scheduled for 4Q11

Estimated budget: R$ 12.7 million

17

ITN – Naval Technology Institute

Objectives of the 2nd Phase of the Program:

Preparation of a labor force with superior skill and know-how

Development of innovative engineering projects

Supplier mobilization: new equipment and materials

New partnerships with reference institutions: Companies and Universities

Approach:

Shipbuilding

Operation & Maintenance

of naval units

FASE 1 – PERSONNEL GRADUATION

FASE 2 – KNOWLEDGE, TECHNOLOGY & INOVATION

TIMELINE

DED

ICA

TIO

N

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Next Milestones

Arrival of FPSO OSX-1 in Brazil and first oil

Conclusion of financing for FPSO OSX-2

Financing for FPSO OSX-3, WHP-1 and WHP-2

Beginning of Construction WHP-1 and WHP-2

Contract for engineering of FPSOs OSX-4 and OSX-5

OGX orders

Orders from other clients