KS Energy Services Limited has
secured the first of two six-months extension with effect from June 29, 2008, to its rig
management contract with Consafe Offshore AB, a wholly-owned subsidiary of Prosafe SE for
the management of the Safe Esbjerg, a 140-bed accommodation jackup
rig currently operating in the North Sea for Maersk Olie og Gas AS, Denmark. Its wholly owned
subsidiary, Atlantic Marine Services Denmark BV (AMS), which has been managing this
accommodation rig since June 2005, will now be continuing with its rig management services
until the end of 2008 with a possible six months extension thereafter. KS Energy owns AMS
through Atlantic Oilfield Services Ltd (AOS).
AOS, a wholly-owned subsidiary, which started the rig management to service Maersk, is
responsible for all management functions of the Accommodation Rig including provision of
qualified personnel, maintenance, spare parts, class requirements and technical services.
The extension of this rig management contract, which will generate revenues of Euro 2.75
million (approximately $4.25 million), will contribute positively to the financial performance
of KS Energy in FY2008.