Seadrill Limited - Capital/Financing Update 2021

Seadrill New Finance Limited - non-payment of cash interest

Hamilton, Bermuda, January 15, 2021 (OSE:SDRL, OTCQX:SDRLF)

Seadrill New Finance Limited, a company incorporated in Bermuda in 2018 and

issuer of the 12.0% senior secured notes due 2025 (the "Notes"), has determined

not to make the semi-annual 4% cash interest payment due to the senior secured

noteholders on 15 January 2021 in respect of their Notes issued pursuant to the

terms of the notes indenture dated 2 July 2018. The payment-in-kind (PIK)

interest payment is being made in the ordinary course.

Discussions continue between Seadrill Limited and its creditors and/or their

advisers to finalise negotiations on the head terms of a comprehensive

restructuring of its balance sheet. Such a restructuring may involve the use of

a court-supervised process.

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, the markets in which it operates and its restructuring efforts. 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 regulatory filings and periodical

reporting. 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 to the disclosure requirements pursuant to section 5

-12 of the Norwegian Securities Trading Act.

020 3745 4960

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