FLEX LNG LTD ("FLEX LNG") and SAIPEM Execute MOU for Floating Liquefaction Project in Australia

Road Town, Tortola, 02 August 2010. FLEX LNG (Oslo
Axess: FLNG) is pleased to announce that it has
signed a Memorandum of Understanding (MoU) with
SAIPEM for exclusive cooperation towards the
development of a Floating Liquefaction (FLNG) project
with an Asian National Oil Company for their offshore
gas reserves in Australia.

FLEX LNG will contribute its LNG Producer concept and
its construction contracts with Samsung Heavy
Industry while SAIPEM will provide its superior
project management skills, as well as its outstanding
combination of capabilities in the domains of
Floating Production Systems and natural gas treatment
and LNG liquefaction plants.

The parties intend to form a joint project team to
manage the Pre-FEED and FEED work for the project.
The joint team also intends to cooperate closely
after Final Investment Decision (FID) for the overall
management of the project to ensure successful
execution of the Engineering, Procurement,
Construction, Integration and Commissioning (EPCIC)
phase.

Commenting on the agreement, Chief Executive Officer
of FLEX LNG Management Ltd, Philip Fjeld stated:

"It is with great pleasure we announce that FLEX and
SAIPEM have joined forces to work together on one of
the world's first floating LNG projects. The two
companies bring complementary strengths that I am
confident will greatly enhance the ability to provide
the client with world-class project execution.

FLEX LNG also sees the cooperation with SAIPEM as a
promising starting point for the two companies to
cooperate closely on other FLNG projects."


About FLEX LNG LTD

FLEX LNG was incorporated in 2006 with the objective
of commercialising among the world's first floating
liquefaction units (LNG Producers) and has signed
four ship building contracts with Samsung Heavy
Industries for LNG Producer hulls utilising the SPB
LNG containment system. In addition FLEX LNG on 17
September 2008 signed a contract with SHI for the
Engineering, Procurement, Construction, Integration
and Commissioning of the world's first floating
liquefaction unit. This provides the LNG industry
with a unique possibility of accessing currently
uncommitted gas reserves for LNG production from 2013
onwards.

By using the proven nitrogen expander liquefaction
cycle, the most robust and flexible liquefaction
technology in use in the LNG industry, the LNG
Producer is to source gas from numerous potential
offshore locations worldwide where natural gas today
is either left stranded or is being flared.


About SAIPEM

Saipem is organised in three Business Units:
Offshore, Onshore and Drilling, with a strong bias
towards oil & gas related activities in remote areas
and deepwater. Saipem is a leader in the provision of
engineering, procurement, project management and
construction services with distinctive capabilities
in the design and the execution of large scale
offshore and onshore projects, and technological
competences such as gas monetisation and heavy oil
exploitation.


For further information please contact:
Investor.relations@flexlng.com