Business: KNOT Offshore Partners, the world’s second largest owner of shuttle tankers for the offshore oil and gas industry is a Marshall Islands limited partnership formed to own, operate and acquire shuttle tankers under long-term charters. It's initial fleet of shuttle tankers will be contributed by Knutsen NYK Offshore Tankers AS, which is jointly owned by TS Shipping Invest AS, and Nippon Yusen Kaisha, leading independent owner of crude oil shuttle tankers. A shuttle tanker is a specialized ship designed to transport crude oil and condensates from offshore oil field installations to onshore terminals and refineries. Shuttle tankers are equipped with sophisticated loading systems and dynamic positioning systems that allow the vessels to load cargo safely and reliably from oil field installations, even in harsh weather conditions. Although KNOT's is organized as a partnership, they have elected to be treated as a corporation solely for U.S. federal income tax purposes.