Ocean Rig Settles Share Options with Management

Ocean Rig ASA will issue 851,303 new shares at NOK 28.5650 per share to option holders who exercised 5,115,000 options in exchange for cash settlement. These option holders have been granted 3,210,000 options in the new option program. In addition, 150,000 new options have been granted to new option holders who did not participate in the 2003 Option Program.

As previously announced, the company will issue 2,555,000 shares at average NOK 15 per share to options holders who exercised 2,555,000 options in exchange for shares. These option holders have been granted 1,937,500 options in the new option program.

Net cash effect to the company associated with the 2003 Option Program is NOK 24.5 mill including employers' tax estimated at NOK 17.9 mill.

In total, 3,406,303 new shares will be issued as a result of the exercise of the 7,670,000 options under the 2003 Option Program, increasing the number of shares in Ocean Rig ASA from 83,506,423 to 86,912,726 shares, pending registration in the Share Registry. In addition, 5,297,500 options have been granted with a strike price at NOK 28.5650 and expiring January 4, 2006.