DNO Extends Petrolia's Contract

DNO has extended its contract for the semisub, Petrolia for another year. The rig will drill another well on West Heather in the UK sector of the North Sea. The contract has been extended with a dayrate of $70,000. DNO has a further one-well option on the rig at a minimum dayrate of $65,000 and a maximum dayrate of $100,000. Petrolia Drilling has also bid the rig with four other oil companies for charters of between three months and one-year duration. The startup of these potential contracts is sometime during the first quarter of 2002.