NOL announces proposed Rights Issue

June 2, 2009: Today NOL has announced an underwritten renounceable Rights Issue which invites existing NOL shareholders to acquire additional new shares in the company, at a discount. Shareholders will have the opportunity to subscribe for 3 Rights shares for every 4 existing shares they hold.

The gross proceeds from the Rights Issue will amount to about S$1.437 billion, or approximately US$1 billion. About half of the proceeds will be used to repay debts. The rest will be available for investments and/or general corporate and working capital purposes, and/or further repayment of debts.

Through this, NOL aims to further strengthen its balance sheet and to place itself in a better position to capitalize on investment opportunities that may arise in the current economic climate.

Major shareholder, Temasek, is supportive of the Rights Issue and has, through its wholly-owned subsidiary, Lentor Investments Pte. Ltd., given an undertaking to subscribe for Temasek's 67.4% entitlements and has agreed to sub-underwrite the entire Rights Issue.

The documents issued today can be viewed on the NOL website at http://www.nol.com.sg/investor/financial_reports.html.

NOL