401131 CHARTER PARTY OF THE MOTOR VESSEL EGABRAG OFFICIAL NO. 572,028 This Charter Party is made on November 17, 1978, by and between U.S. Oceanography, Inc., a California corporation with principal place of business in San Diego, California, hereinafter referred to as "Owner," and Holmes & Narver, Inc., a California corporation with principal place of business in Orange, California, as principal and acting in its capacity as prime contractor to the U.S. Department of Energy, under its Contract Number EY-76-C-08-0020, herein’ after referred to as "Charterer." WITNESSETH: ARTICLE I DESCRIPTION OF VESSEL Owner is the sole owner of the Motor Vessel EGABRAG, Official No. 572,028, which together with her machinery, equipment, boats, apparel, furnishings, furniture, and all appurtenances hereunder appertaining, is hereinafter called "the vessel." ARTICLE IL CHARTER PERIOD, OPTION TO EXTEND Owner agrees to let and Charterer agrees, subject to the provisions hereinafter contained, to hire the exclusive use of the vessel for the term commencing on the date the vessel departs From the Port of San Diego, California, for the purposes of this charter which is expected to be approximately December 16, 1978, or thereabouts. The term of the charter shall terminate on September 16, 1979, unless extended as herein provided. Should Charterer not exercise its option to extend said term of the charter as herein provided, said vessel shall be returned to the Port of San Diego, California, not later than September 15, 1979. Charterer shall a period of one be exercised by option not less charter period. have the option to extend said initial term of the charter for (1) year from September 15, 1979. Said option to renew shall Charterer giving Owner written notice of its exercise of said than thirty (30) days prior to the expiration of the initial At the expiration of the first extended term, Charterer is piven the right to extend said term for an additional period of one (1) year upon giving written notice to Owner of its exercise of said option not later than thirty (30) days prior to September 15, 1980. as 5008b42