News Release   April 28 2003 Offshore Systems and Kelvin Hughes to Work Together to Offer Military Navigation Systems Vancouver, Canada -- Offshore Systems International Ltd. (OSI) (TSX:OSI, OTCBB:OFSYF) announced that its systems division, Offshore Systems Ltd. (OSL), has entered into an agreement with Kelvin Hughes Limited, part of Smith Marine Systems, to jointly pursue opportunities to supply electronic navigation systems to military customers. With an initial focus on the UK, the companies will offer navigation systems compliant to the NATO Warship Electronic Chart Display and Information System standard, referred to in the industry as "WECDIS". "We work with industry partners to expand our sales capabilities and reach new markets," said John Jacobson, President and CEO of OSI. "Working with Kelvin Hughes further reinforces our strategic position in the military market." "Working with Offshore Systems is of particular significance for Kelvin Hughes from a strategic perspective," said Henry Schaefer, Kelvin Hughes' Naval Business Director. "This marks the beginning of a collaborative effort aimed at the wider global WECDIS market generally, and the UK market specifically." Offshore Systems' WECDIS technology is based on its proprietary ECPINS®-M (Electronic Chart Precise Integrated Navigation System - Military). The system gives warship navigators a precise, real-time display of position and progress on electronic charts. Today, ECPINS is on active duty on ships of the Canadian, US, and Royal Danish navies and of the US and Canadian Coast Guards. ECPINS means safer ships, efficient operations, and effective missions. Kelvin Hughes, with its extensive experience of integrated solutions to naval systems will be providing the hardware platform for the WECDIS. This will be based on their proven Navigational Tactical Display (NTD) which along with its predecessor, the CTD, is in use with over 30 navies. About Kelvin Hughes Ltd. Kelvin Hughes Limited is part of Smiths Marine Systems and, is one of the world's leading designers and manufacturers of marine navigation systems. The naval Business has supplied more than 30 Navies with Navigation Tactical Displays, Plotting Tables and Specialised Submarine Radar Navigation Systems. The company is also the world's largest maritime chart and corrections agent supplying paper and electronic chart to vessels and worldwide shipping companies. Based in the UK, Kelvin Hughes Limited has a network of over fifty agents around the world. For more information, visit www.kelvinhughes.com. About Offshore Systems International Limited Offshore Systems International Ltd. (OSI) provides precise electronic display systems and geo-spatial data for situational awareness. Founded in 1977, OSI maintains a position of technological leadership in its field, a record appreciated by military, government, and commercial customers around the world. OSI conducts its operations through two business units: Offshore Systems Ltd. provides systems for the dynamic display of geo-spatial data for mission-critical operations such as fleet navigation; and OSI Geomatics which provides analysis, production, and distribution of geo-spatial data for electronic display. OSI is listed on the Toronto Stock Exchange (TSX:OSI) and in the United States of America on the Over the Counter Bulletin Board (OTCBB:OFSYF). Forward-Looking Statements This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws including Section 27a of the Securities Act of 1933, as amended, and Section 21e of the Securities Exchange Act of 1934, as amended, with respect to achieving corporate objectives, developing additional project interests, OSI's analysis of opportunities in the acquisition and development of various project interests and other matters. These statements are made under the 'safe harbour' provisions of the Private Securities Litigation Reform Act of 1995 and, as such, involve known and unknown risks and uncertainties and other factors that may cause the actual results to be materially different from the results implied herein. Although Offshore Systems International believes the expectations reflected in such forward-look statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ from expectations include the effects of general economic conditions, changing foreign exchange rates, actions by government authorities, uncertainties associated with contract negotiations, industry supply.   For more information contact: Jane Hayward Investor Relations +1 613 287 0462 or +1 888 880 9797 +1 613 287 0466 (FAX) invest@osigeospatial.com