Courage Marine 1H Result Press Release

Courage Marine Reports Net Profit Rise of 67% to US$17.8 million in 2Q FY2008

􀂄 Continued to benefit from strong regional demand for coal and gravel

􀂄 Proposes 72% higher tax-exempt interim dividend of 1.133 cents

􀂄 Positive outlook based on China’s strong demand for raw materials

SINGAPORE, 12 AUGUST 2008 FOR IMMEDIATE RELEASE Courage Marine Group Limited (Courage or the Group), an efficient dry bulk shipper focused on infrastructure and energy-related commodities, reported a sturdy 67% year-on-year (yoy) rise in net attributable profit (PATMI) to US$17.8 million in the second quarter of 2008 (2Q FY2008).

Firm demand for raw materials to meet the energy and infrastructure needs in Asia lifted Group revenue 56% higher to US$28.5 million despite the drydocking of one vessel in 2Q FY2008. Courage’s coal and gravel shipments within Asia continued to drive sales and made up 82% of the quarter’s total receipts, up from 80% in 1Q FY2008 and 83% in 2Q FY2008.

The cost efficient shipping Group also enjoyed a 3 percentage point higher gross profit margin of 62.7% in 2Q FY2008 on the back of the higher freight rates and tight cost controls. In fact, the cost of sales increase of 44% yoy reflected only the impact of higher bunker expenses.

Backed by the Group’s strong performance where PATMI rose 51% yoy to US$30.3 million in 1H FY2008 on a 43% higher revenue of just under US$50.0 million, Courage is proposing an interim tax-exempt dividend of 1.133 US cents per ordinary share. The proposed dividend is 72% better than the tax-exempt 0.66 US cents per share shareholders received in the previous first half year.

Said Non-Executive Chairman Hsu Chih-Chien: “Although freight rates have been very volatile in the past few months, we believe that market conditions remain positive on the back of strong raw materials demand from China.“We continue to focus on keeping our fleet well deployed and running efficiently and are actively scouting for secondhand vessels as well as newbuildings to rapidly expand our fleet.

Fleet utilization stayed high at 90% despite having four vessels out of deployment for about 120 days during their drydocking in 1H FY2008. In the second half year, another two vessels will be sent for their special/intermediate surveys and are expected to be out of deployment for about 60 days.

Courage, which topped the Marine Money International June/July 2008 rankings for overall financial performance, continued to generate strong net cashflow from operating activities of US$34.9 million in 1H FY2008 against US$19.0 million previously. The Group had no bank debt as at 30 June 2008.