Private Placement Completed

Reference is made to Awilco Drilling Limited’s announcement of 29 September 2010. On 1 October, the Company raised approximately USD 65 million of new equity through the issuance of 16,000,000 shares at an issue price of NOK 24 per share. The net proceeds will be used to fund the upgrading of Awilco Drilling Limited’s two drilling rigs.

Following the equity issue the total number of outstanding shares in Awilco Drilling Limited is 27,000,000. The Company’s largest shareholder, Awilco Drilling AS, subscribed for 7,560,000 shares in the private placement and now holds 13,230,000 shares equivalent to 49,0 percent of the outstanding shares in Awilco Drilling Limited.

Arctic Securities ASA and Fearnley Fonds ASA acted as joint-lead managers and joint book runners.