Avance Gas Holding Ltd : Monsoon update

Bermuda, 15 April 2015: Avance Gas (OSE: AVANCE) reports on the status of the inspection of VLGC Monsoon and the expected implications of the preliminary conclusion following the announcement made on 28 March 2015 regarding the decision to carry out discharge operations, dry dock the ship and carry out an inspection due to technical irregularities which occurred during her maiden voyage from Balboa (Panama) to China.

Monsoon entered dry dock at Zhoushan Changhong International Shipyard on 8 April 2015. Lloyd's Technical Investigation Department is in the process of conducting an investigation and root cause analysis. The preliminary conclusion is that the aft stern tube bearing will need modifications in order to achieve normal bearing clearances, which are in the fraction of millimeters. On this basis it is expected that Monsoon will be refitted by late April 2015 and back in service first half May 2015. Monsoon is under guarantee from Jiangnan Shipyard Co. Ltd. Claims will be made under applicable guarantee provisions and insurances. Avance Gas' fleet is not covered by any loss-of-hire insurance. P&L provisions will be taken Q1/2015 for possible costs, including costs related to discharge operations.

Actions are being taken to rule out that the defect may affect the sister ships to be delivered during Q2 and Q3/2015. Breeze, delivered to Avance Gas on 9 April 2015, will be drydocked in Singapore on 22 April 2015 for inspection. The drydock will delay Breeze entering service, but the exact timing is subject to the outcome of the inspection.

For further queries, please contact:

Christian Andersen, President
Tel: +47 22 00 48 05 / Email: c.andersen@avancegas.com

Peder C. G. Simonsen, CFO
Tel: +47 22 00 48 15 / Email: p.simonsen@avancegas.com

ABOUT AVANCE GAS
Avance Gas operates in the global market for transportation of liquefied petroleum gas (LPG). The Company is one of the world's leading owners and operators of very large gas carrier (VLGC), and operates a fleet of nine modern ships and has a newbuilding program of five VLGCs. For more information about Avance Gas, please visit: www.avancegas.com.

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.