ENSCO to Buy Back $500 Million in Stock

ENSCO International's board recently authorized the repurchase of up to $500 million of ENSCO common stock. Repurchases will generally be made in the open market or in privately negotiated transactions, subject to regulatory considerations and market conditions. They will be funded from ENSCO's available cash.

"Given our record financial results in 2005 and favorable prospects for 2006, we believe a meaningful stock repurchase program is timely and in keeping with our long-stated commitment to build value for our stockholders," said Carl F. Thorne, ENSCO's chairman and CEO. "Reinvestment in our core offshore drilling business remains a top priority and we will continue to pursue opportunistic fleet expansion with emphasis on our 8500 Series(TM) ultra-deepwater semisubmersible fleet."

Thorne added that ENSCO expects its cash generation capability to be "more than sufficient" to fund the fleet expansion and stock repurchase programs.