SDRL - Seadrill secures contract for semi-tender newbuild

Hamilton, Bermuda, December 27, 2011- Seadrill has been issued a letter of award by Hess Equatorial Guinea, Inc. to enter into an eight well  drilling contract offshore Equatorial Guinea for the semi-tender rig West Esperanza. The anticipated contract duration is a minimum of 18 months, with corresponding potential revenues of approximately $127 million plus mobilization fee. West Esperanza, which Seadrill ordered on speculation in June 2011, is currently under construction at Keppel FELS yard in Singapore. Construction is scheduled for completion in early second quarter of 2013. Following mobilization from Singapore to Equatorial Guinea, the rig is scheduled to commence operation at the end of the second quarter of 2013.

Alf C Thorkildsen, CEO in Seadrill Management AS, says in a comment, "We are delighted to have agreed our first operation for Hess in Africa. This award represents our first tender rig operation in Equatorial Guinea and grows the international footprint of the tender rig concept. Furthermore, the assignment confirms our strong market position within this segment and demonstrates the high demand for new premium offshore drilling equipment."

This disclosure contains forward-looking statements. Forward-looking statements are only predictions and are not guarantees of future performance.  Investors are cautioned that any such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors that may cause the actual results to be materially different from any future results expressed or implied in such forward-looking statements. The Company expressly disclaims a duty to update any of the forward-looking statements.

Analyst contact:
Jim Dåtland
VP Investor Relations
Seadrill Management AS
+47 51 30 99 19      

Media contact:
Alf C Thorkildsen
Chief Executive Officer
Seadrill Management AS
+47 51 30 99 19      

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.