Corr. SDRL - Settlement of early conversion of convertible debt

Hamilton, Bermuda, December 22, 2010 - In connection with the settlement of the incentive offers for early conversion of the 2012 and 2014 convertible bonds, the number of outstanding ordinary shares in Seadrill Limited has been increased by 31,020,271 shares issued at par value of US$2.00. The new number of outstanding ordinary shares is 443,308,487 shares. This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act) This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that: (i) the releases contained herein are protected by copyright and other applicable laws; and (ii) they are solely responsible for the content, accuracy and originality of the information contained therein. Source: Seadrill Limited via Thomson Reuters ONE [HUG#1474988]