Ocean Ambassador Spins Bit for OGX at Vesuvio Prospect

OGX, the largest Brazilian private sector oil and gas company in terms of offshore exploratory acreage, announced that drilling of well 1-OGX-1-RJS in the Vesúvio prospect, located in the BM-C-43 block in the Campos Basin, was initiated on September 17th. OGX holds a 100% working interest in the block, one of 7 blocks in the Campos Basin in which the Company has a stake.

The BM-C-43 block is located 85 km from the coast of the Rio de Janeiro state, in the southern portion of the Campos Basin, at a water depth of approximately 140 m. Diamond Offshore's Ocean Ambassador, is drilling well 1-OGX-1-RJS. The estimated time to reach all five mapped targets is approximately 45 days.

"We are pleased to commence the drilling of our first well in the Campos basin, considered to be the most prolific basin in Brazil. Our diligent work over the past months in securing all of the necessary equipment and contracting with world class service providers, has allowed us to initiate this drilling campaign in line with our original project timeline," commented Paulo Mendonça, OGX's General Executive Officer. "The proximity of our block to existing oilfields combined with the experience and knowledge of our team, give us a high degree of confidence with respect to this prospect," added Mr. Mendonça.