Unit Expands Rig Fleet

Unit Corporation has completed the acquisition of twenty drilling rigs and related equipment. The total consideration paid by Unit was 7.22 million shares of Unit Corporation common stock and $4.5 million.

Of the acquired rigs, all of which are operational, 15 are currently under contract. The rigs range in horsepower from 650 to 2,000 with 15 having a horsepower rating of 1,000 or more. Twelve of the rigs are SCR electric. Depth capacities range from 12,000 to 25,000 feet. With the close of this transaction, Unit's rig fleet now consists of 75 drilling rigs, 52 of which are currently operating. One of the agreements includes an option whereby Unit has the exclusive first option to purchase any additional rigs constructed by the seller within the next three years.

John G. Nikkel, President and Chief Executive Officer, said, "This transaction benefits Unit because the rigs complement our existing fleet and enhance our presence in our current markets. Fifteen of the twenty rigs will be operating in the Anadarko Basin and five rigs will be in the Gulf Coast Basin."