Pemex Awards Pride Long-Term Contracts

Pride International, Inc. has been awarded contracts for three of its Gulf of Mexico jackups by Petroleos Mexicanos S.A. (Pemex). The Pride Nevada, Pride South Carolina and Pride Louisiana are being contracted for a total of 4,427 days, with a total contract value in excess of $150 million. The first two rigs are expected to commence operations by the end of April, and the third rig by early July.

Additionally, Pride was recently awarded a two-year contract by Pemex for a 1000 horsepower platform rig. The rig has just been moved to Mexico pursuant to the contract which will generate revenues of approximately $14 million.

"This opportunity significantly improves the near-term and long-term outlook for our Gulf of Mexico fleet," commented Paul A. Bragg, President and Chief Executive Officer. "The new contracts will allow us to reactivate three stacked rigs from our Gulf of Mexico jackup fleet, and to ensure continuous operations for those rigs for the next four years at day rates above our average rate received during the previous four years. Coupled with our two platform rigs now operating in Mexico, Pride will operate five offshore rigs for Pemex. Pemex has indicated that it intends to aggressively expand its drilling activities in coming months, and with our significant level of operations there, we view this as an important opportunity to expand our position in the Mexican market and better deploy our North American assets."