Knightsbridge Tankers Limited announces Cash Distribution

Hamilton, Bermuda, January 15, 2003:  Knightsbridge Tankers Limited (“Knightsbridge”) announces that its Board of Directors has declared a cash distribution in the amount of US$0.45 per common share. The cash distribution will be payable on or about February 7, 2003, to shareholders of record as of January 27, 2003. The declaration of the cash distribution follows the calculation by Knightsbridge of the payment of charterhire due from Shell International Petroleum Company Limited (“Shell International”), a member of the Royal Dutch/Shell Group of Companies, for the period from October 1, 2002 to December 31, 2002. Shell International bareboat charters five double hull very large crude carriers (VLCCs) from Knightsbridge on a “hell and high water” basis for a minimum seven year term. This term expires in February 2004. Shell International has an option to extend the charter period for each VLCC from February 2004 for an additional seven year term, to a maximum of 14 years per VLCC. Shell International is required to notify Knightsbridge by the end of June 2003 as to whether it intends to exercise the option to extend the charter period.

The charter hire payable by Shell International is the greater of a guaranteed minimum rate or a spot market related rate. The spot market related rate did not exceed the guaranteed minimum rate in the fourth quarter of 2002, and the charterhire paid by Shell International to Knightsbridge on January 15, 2003 is the minimum rate.

Knightsbridge’s Common Shares trade on the Nasdaq National Market under the symbol “VLCCF”.

Amount:           US$0.45 per common share

Ex-Div Date:    January 23, 2003

Record Date:    January 27, 2003

Payment Date: February 7, 2003