Cyprus: Songa Offshore Completes the Sale of Songa Saturn Drillship

Reference is made to the press release sent out on September 20, 2010 regarding the sale of the drillship Songa Saturn.

Songa Offshore SE announced that the transaction is now finalized and the drillship was delivered to a wholly owned subsidiary of PetroSaudi Oil Services Ltd this morning. The drillship is sold for net sale proceeds of USD 260 million.

The transaction will give a positive result of approximately USD 67 million, which will be recorded in the fourth quarter of 2010. The net cash effect from the transaction after repayment of debt will be approximately USD 150 million.

The sale represents no change in the Company’s growth strategy but should be seen as an opportunistic move against the Company’s plan to expand the fleet into newer assets.

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Source: Songa Offshore , October 8, 2010;