SeaDrill Awaiting Approval of Mandatory Offer on Smedvig Shares

Reference is made to the press release dated January 20, 2006 regarding the mandatory offer to be set forward by SeaDrill Limited on all outstanding class A and B shares in Smedvig ASA not already owned by SeaDrill.

The Mandatory Offer is subject to an offer document being approved by the Oslo Stock Exchange. SeaDrill has submitted a mandatory offer document to the Oslo Stock Exchange but the approval process has not yet been completed. The mandatory offer is expected commence without delay after the final approval of the documentation.