SDRL - Seadrill enters into contract for newbuild tender rig

22 december 2010 Hamilton, Bermuda, December 22, 2010 - Seadrill has entered into a conditional agreement with BP Trinidad and Tobago LLC for a firm two year contract plus further one year option period for the newbuild semi-tender West Jaya offshore Trinidad and Tobago. Contract value for the firm period is approximately US$140 million including a mobilization fee for the transit. In addition, BP will compensate Seadrill for minor equipment upgrades related to the assignment. West Jaya is currently under construction at Keppel Shipyard in Singapore and delivery is scheduled for the end of March 2011. The unit will subsequently commence transit to Trinidad/Tobago and start-up on the contract with BP is expected early July 2011. Alf C Thorkildsen, Chief Executive Officer in Seadrill Management AS, says, "This is the first tender rig assignement for Seadrill in the Americas expanding the geographical footprint of our tender rig operations. Furthermore, this is our first tender rig contract with BP. We consider this as an excellent opportunity to further develop our strong operational relationship with BP the Americas." Analyst contact: Jim Dåtland Vice President Investor Relations Seadrill Management AS +47 51 30 99 19 Media contact: Esa Ikäheimonen Chief Financial Officer Seadrill Management AS +47 51 30 99 19 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#1475043]