Maruha Nichiro : Notice Regarding the Commissioning of a New Vessel by a Maruha Nichiro Group Company

		September 11, 2023
Company name:	Maruha Nichiro Corporation
Stock exchange listing:	Tokyo Stock Exchange, Prime Market
Stock code:	1333	URL https://www.maruha-nichiro.com/
Representative:
Title:	Representative Director, President & CEO
Name:	Masaru Ikemi
Inquiries:	Hiroyuki Metoki
	Acting General Manager of Corporate Planning Department
Phone:	[phone]

Notice Regarding the Commissioning of a New Vessel by a Maruha Nichiro Group Company

Maruha Nichiro Corporation (hereinafter, "the Company") announces that its Group Company, Austral

Fisheries Pty Ltd (hereinafter, "AF") has decided to construct a new vessel. The details are as follows.

1. Background and Reason for the Construction of the New Vessel

1. Enhance Access to Existing Resources in the Australian EEZ

While global demand for marine products is strong due to population growth, health consciousness and environmental considerations, the amount of natural marine resources is limited, and the rights, such as fishing quotas, are limited worldwide, making new acquisitions quite difficult. Under such circumstances, AF (Perth, Australia), a Group Company, holds fishing quotas within the country's strictly managed exclusive economic zone, where AF catches Patagonian toothfish, shrimp, snapper, and other species.

Patagonian toothfish, which inhabits the Antarctic region at depths of 1,200 to 1,800 meters, is known as a flavoursome white fish with high fat content, and it is mainly traded as a premium fish in countries like the United States and China. Under the management of CCAMLR (Commission for the Conservation of Antarctic Marine Living Resources) and Australian authorities, AF operates mainly in the Heard Island & McDonald Islands (hereinafter, "HIMI") region fishing Patagonian toothfish. AF holds approximately 70% of the allocated Patagonian toothfish catch quota in the HIMI region owned by the country. AF has been generating stable profits through operations centered around Patagonian toothfish, and in order to further stabilize their business in the long term, they have decided to construct a new vessel.

1

Image of new vessel

1. Effects and Environmental Measures with Launch of New Vessel
   ・Reduction of CO2 emissions
   The new vessel's advanced energy-saving hybrid propulsion system features an integrated load shaving battery package and 2-step gear box, which is expected to reduce emissions and further improve fuel efficiency.
   ・Reduced seabird by-catch and improved crew safety
   When operating, there is a risk of unintentionally capturing seabirds, and from a biodiversity perspective, Australia strictly manages seabird bycatch. In the new vessel, a moonpool* will be installed, reducing seabird by-catch risks and improving crew safety through this design.

*A moonpool is a circular hole in the hull. In longline fishing vessels, using the moonpool to haul up the fishing line reduces

the risk of seabird bycatch compared to operations on deck.

・Reduced product manufacturing costs and increased value-added production

Additional processing space and increased freezing and storage capacity on board will increase the supply of high-qualityvalue-added products, and will also increase the number of products that can be exported immediately after arrival at the port, thereby reducing the export process and curbing costs.

・Reduction of operational losses of long-duration voyages.

By increasing the size of the fishing vessel from the current size and increasing the capacity of fish storage and fuel tanks, the number of voyages can be reduced, minimizing operational losses from entering and exiting ports.

In order to fulfill the mission of the Company Group "to provide a stable supply of sustainable fishery products" globally as one of the world's largest suppliers of marine products, we have positioned this operation as an important foundation for our fisheries business, which is responsible for building a sustainable supply chain for the Company Group (Ref. 1), and it will continue its ongoing efforts to strengthen access to resources.

2. Details of AF

(1)	Name	Austral Fisheries Pty Ltd
(2)	Location	Perth, Australia
(3)	Title/Name of	CEO / David Carter
		2

	Representative
(4)	Business Activities	Fishing
(5)	Capital	31,035 thousand AUD
(6)	Establishment	July 28, 1981
(7)	Major shareholders	Maruha Nichiro Corporation, Kailis Fisheries Holdings Pty Ltd.,
Others
(8)	Net sales	Not disclosed
3. Details of Acquired Assets (New Vessel)
(1)	Name		Austral Odyssey
(2)	Date of Launch		January 2026 (plan)
(3)	Type of Fishery		Longline vessel
(4)	Vessel Quality &		Steel and ice class
	Class
(5)	Hull		International gross tonnage estimated to be 2,985 tons
		Length 68.55m x Width 14.50m x Depth 5.90m
(6)	Number of Cabin		Approx. 30 persons
	Crew
(7)	Vessel Life span		Approx. 30 years
(8)	Acquisition Cost		Approx. 6 billion yen (plan)
(9)	Funding method		To be financed by bank loans and cash on hand
4. Estimated Schedule for New Vessel
(1)	Start of Construction	January 2024
(2)	Completion of	December 2025
	Construction
(3)	Commencement of	April 2026
	operation

5. Future Outlook

The impact of this matter on the Company's consolidated results will be minor. The Company will promptly announce any matters that should be disclosed in the future.

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Ref. 1

Trends in fishing areas for Patagonian toothfish and fishing quotas in the HIMI region.

Patagonian toothfish catch quota trends in the HIMI region (total catch quota)

(MT)

5,000

4,000

3,000

2,000

HIMI region

1,000

0

2000 2005 2010 2015 2020 2023

Ref. 2

Examples of AF's sustainable Patagonian toothfish brand "Glacier 51" products

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