Seadrill Awards Semi-Tender Rig Construction Contract to Keppel

Seadrill entered into an agreement with Keppel O&M in Singapore to build a new semi-submersible self-erecting tender rig (semi-tender). Total project price for the semi-tender is estimated at US $210 million. The new rig is scheduled for delivery in the first quarter 2011 and will be based on a similar design and specification as the semi-tender currently under construction at Keppel. The new unit is targeted for harsher environment and deepwater drilling operations in combination with floating wellhead platforms such as TLPs and Spars.

Alf C Thorkildsen, Chief Executive Officer of Seadrill Management AS said, "We are pleased to announce the addition of a new semi-tender to our existing fleet of 16 units. The tender rig business has delivered superb results both operationally as well as economically over the last decade, and based on the continued strength of the offshore drilling market we continue to see strong growth and earnings potential for this business."

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