PetroMENA Announces Planned Private Placement

The board of directors of PetroMENA ASA intends to carry out a private placement of up to a maximum number of 13,430,000 new shares, approximately 9.9 % of the existing number of outstanding shares in PetroMENA.

The planned private placement will be offered to professional Norwegian and international investors.

Proceeds from the private placement shall be used to fund the construction of PetroMENA's three state of the art 6th generation semisubmersible drilling rigs at the Jurong Shipyard in Singapore.

The planned private placement is subject to approval of final terms and conditions by the Board of Directors of PetroMENA ASA.

ABG Sundal Collier has been retained by PetroMENA to advice on and effect the planned private placement.

PetroMENA has entered into EPC contracts with the Jurong Shipyard for the construction of three 6th generation semisubmersible drilling rigs. These rigs have operating water depth capacity of 7,500 - 10,000 ft. The units will thus meet design criteria for operation in areas such as Gulf of Mexico (GoM), Brazil and West Africa. All rigs will be equipped for harsh environment operations, but will initially not be designed for arctic operations. The rigs are scheduled for delivery in January 2009 (PetroRig I), September 2009 (PetroRig II) and January 2010 (PetroRig III).

In December 2007, PetroMENA acquired the upgraded 2nd generation semisubmersible drilling rig SS Petrolia. SS Petrolia started on a 913 day contract for Pemex in the Gulf of Mexico on 3 February 2008. Larsen Oil & Gas Ltd. is manager for PetroMENA and drilling contractor for PetroMENA`s rigs.