Jurong Shipyard Secures US $131 Rig Construction Deal

Jurong Shipyard, subsidiary of SembCorp Marine, has secured a rig building deal worth US $131 million with Petrojack AS for the construction of a Baker Marine Pacific Class 375 Deep Drilling Offshore Jackup. Petrojack AS is a company formed by Norwegian Berge Gerdt Larsen, founder of Larsen Oil & Gas AS, chairman and main shareholder in DNO ASA (a Norwegian Oil Company listed on the Oslo Stock Exchange).

Construction on the new rig is expected to commence the first quarter of 2005 with delivery scheduled in the second quarter of 2007.

The Baker Marine Pacific Class 375 Deep Drilling Offshore Jackup Rig is a proprietary design of Baker Marine Pte Ltd., a subsidiary of PPL Shipyard. The rig is capable of operation in water depths up to 375 feet and has a rated drilling depth of 30,000 feet with accommodation for 120 men.

Petrojack AS also has options to build 2 more similar jackups.

The contract is not expected to have any material impact on the net tangible assets and earnings per share of SembCorp Marine for the year ending December 31, 2004.