OSI Launches New Product For The Commercial Shipping Market

Offshore Systems International Ltd. (TSX:OSI)(OTCBB: OFSYF) (OSI) announced today that it has released a new Integrated Electronic Chart Display and Information System (ECDIS) and Simplified Voyage Data Recorder (S-VDR) for the commercial shipping market. This new product will enable ship operators to benefit from the company's proven, world-leading navigation technology while meeting newly mandated International Maritime Organization (IMO) carriage requirements. The company's S-VDR is also available as a standalone system.

The S-VDR records and stores data collected from navigational sensors, control systems, radio traffic, bridge microphones, integrity sensors, and alarms. A battery-equipped uninterruptible power supply ensures the S-VDR's reliability.

Under the latest International Maritime Organization (IMO) carriage requirements, all existing ships over 3,000 gross tons engaged in international voyages must install an S-VDR by July 1, 2010.

"We estimate that more than 30,000 ships will be required to install an S-VDR by July 2010 and the majority of these vessels are just beginning to make plans for compliance," said Ken Kirkpatrick, President and CEO of OSI. "We have engineered our latest navigation system to not only allow commercial customers to meet the new IMO mandate but also to take advantage of the enhanced situational awareness delivered by our navigation systems. We intend to aggressively pursue this new opportunity."

The company is working with Radio Holland Group to establish an agreement to provide its customers with installation, maintenance, and certification services in major ports around the world. Radio Holland Group is an independent, global group of companies, strategically located along all major shipping routes, specialized in the supply, installation, and service of maritime electronics.

About OSI
Offshore Systems International Ltd. (OSI) is the world's leading developer and supplier of military navigation systems. Focused on the commercial, defense, and homeland security markets, OSI delivers advanced systems and software to address the growing need for enhanced situational awareness in command, control, and intelligence applications. By providing essential tactical and geospatial information, the company's systems and software help decision-makers know the precise location of mission operations across all military forces while integrating information with allies. OSI systems are in use by military, government, and commercial customers around the world. The company is publicly traded on the Toronto Stock Exchange (OSI) and the Over the Counter Bulletin Board (OFSYF). For additional information please visit www.osil.com.