Bermuda: Two Executive Officers Quit Scorpion Offshore

Effective immediately, two of Scorpion Offshore Ltd.’s executive officers have tendered their resignations. Jon C. Cole – President and CEO, Mark L. Mey – Sr. Vice President and CFO are no longer with Scorpion.

The resignations are in connection with the pending mandatory offer issued by Seadrill to acquire the shares of Scorpion. Today, the board of directors has elected Tim Juran as President and CEO and Rune Magnus Lundetrae as Vice President and CFO, both of whom are employed by Seadrill.

On 12 April, 2010 Seadrill announced that it had acquired 1.3 million shares of Scorpion bringing its total shareholdings to 35,938,903, an ownership position of greater than 40%. In accordance with Norwegian Securities law, Seadrill made an offer to acquire all issued and outstanding shares of Scorpion for cash. The Mandatory Offer is that required offer. Detailed information about the Mandatory Offer, including the conditions of the Mandatory Offer, is included in the Mandatory Offer document dated 10 May, 2010 (the “Offer Document”).

Subsequent to the date of the Offer Document, Seadrill has acquired an additional 9,071,948 shares of Scorpion at NOK 40.5 per share. Seadrill’s current share ownership is 50.11% of all the issued shares in Scorpion. Accordingly, in their letter of 4 June, 2010 Seadrill has agreed to increase the cash compensation to all tendering shareholders to NOK 40.5 and to extend the deadline for completion of the Mandatory Offer until 16 July, 2010.

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Source: scorpionoffshore,July 9, 2010;