ENSCO Delays Mobilization of Two Jackups to Middle East

ENSCO International reports that the scheduled relocation of the ENSCO 93 and ENSCO 95 jackup rigs from the U.S. Gulf of Mexico to the Middle East has been delayed. This resulted from an inability to meet the contractual loading date for the transport vessel due to a delay in completion of a drilling contract for the ENSCO 93 and other operational considerations. The rigs were slated to undergo enhancement work in a Middle East shipyard upon arrival, and were not subject to drilling contract commitments.

ENSCO intends to proceed with rig relocations as soon as alternative transportation can be finalized. To mitigate the delay in availability for work in the Middle East, the Company will commence some of the enhancement work prior to departure.

As a result of these events, ENSCO expects to incur expenses associated with the transportation contract termination, assisting tugs, and ancillary activities relating to the delayed relocation of the rigs during the second quarter of 2004 of approximately $3 million to $4 million ($0.01 to $0.02 after tax per diluted share).

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