News Release   June 17 2003 Furuno to Work with Offshore Systems to Produce Commercial Ship Navigation Systems Vancouver, Canada -- Offshore Systems International Ltd. (OSI) (TSX: OSI, OTCBB: OFSYF) announced that its systems division, Offshore Systems Ltd., has signed a multi-year agreement with Furuno Electric Company Ltd., a world-leading marine electronics company. The agreement will see the two companies work together to produce an electronic ship navigation system which Furuno will sell and service through its world-wide dealer network. "Furuno is a marine electronics leader with great products and huge reach," said John Jacobson, President and CEO of OSI. "Offshore is strong in the military market. Together we're bringing OSI's world-class navigation software to the global commercial market." The new system is expected to be launched later in 2003. Furuno will distribute the system under the Furuno brand name, and OSI will receive a license fee for each system sold. The system will be based on ECPINS® (Electronic Chart Precise Integrated Navigation System), Offshore's pre-eminent ship navigation software which provides a precise, real-time display of position and progress on electronic charts. ECPINS® meets international safety and quality standards, including the International Maritime Organization's (IMO) standards for ECDIS (Electronic Chart Display and Information Systems). About Furuno Electric Company Ltd. Furuno began with the invention of the world's first fish finder just over half a century ago. Today, Furuno is internationally recognized as a forerunner in the marine electronics industry, providing a comprehensive range of products for merchant vessels, fishing boats, pleasure craft, and many other vessels, together with well-organized services to support customers world-wide. The Company's growing businesses include Data Management Devices for office and store automation, Avionics Equipment, Marine and Land Survey Systems and Medical Electronics Equipment. These products have been well accepted by new customers for their advanced design, combined with unsurpassed quality and reliability. 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