Seadrill Limited — Capital/Financing Update 2016

Apr 29, 2016

Sevan Drilling Limited - Amendments to Secured Credit Facilities

Sevan Drilling Limited - Amendments to Secured Credit Facilities

Hamilton, Bermuda, April 29, 2016 - Sevan Drilling ("the Company"), a Seadrill

Limited subsidiary, announces today that it has reached agreement with its

banking group to amend certain financial covenants.

These amendments are part of a broader package of measures Seadrill Limited, our

major shareholder, is undertaking to refinance and recapitalize the business.

The covenant amendments extend to 30 June 2017 and relate to the following:

1. A reset of the leverage covenant.

2. A revised definition of the Equity Ratio to exclude the impact of any change

to the market value of our rigs.

3. A suspension of the provision that allows lenders to receive a prepayment if

rig values decline below a minimum value relative to the loan balance

outstanding.

For additional detail on the terms of the agreement, please refer to our Annual

Report filed on April 28(th) 2016.

FORWARD LOOKING STATEMENTS

This news release includes forward looking statements. Such statements are

generally not historical in nature, and specifically include statements about

the Company's plans, strategies, business prospects, changes and trends in its

business and the markets in which it operates. These statements are made based

upon management's current plans, expectations, assumptions and beliefs

concerning future events impacting the Company and therefore involve a number of

risks, uncertainties and assumptions that could cause actual results to differ

materially from those expressed or implied in the forward-looking statements,

which speak only as of the date of this news release. Consequently, no forward-

looking statement can be guaranteed. When considering these forward-looking

statements, you should keep in mind the risks described from time to time in the

Company's filings with the Securities and Exchange Commission, including its

Annual Report on Form 20-F (File No. 001-34667). The Company undertakes no

obligation to update any forward looking statements to reflect events or

circumstances after the date on which such statement is made or to reflect the

occurrence of unanticipated events. New factors emerge from time to time, and it

is not possible for the Company to predict all of these factors. Further, the

Company cannot assess the impact of each such factor on its business or the

extent to which any factor, or combination of factors, may cause actual results

to be materially different from those contained in any forward looking

statement.

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

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