Smedvig Secures New Contract for West Alpha

Smedvig has been awarded a letter of intent by Shell U.K. Exploration and Production for a drilling assignment for the fourth-generation semisubmersible drilling rig West Alpha. The contract is for drilling of a HPHT exploration well in the UK sector of the North Sea.

The drilling period is estimated to approximately 110 days, and the contract value is US $13 million. Start-up of operations is scheduled for August 2002. The West Alpha is in the shipyard currently undergoing replacement of the main engines and generator sets.