Seadrill Limited — Regulatory Filings 2016

Mar 23, 2016

SDRL - Announces contract extension for West Tellus

SDRL - Announces contract extension for West Tellus

Hamilton, Bermuda, March 23, 2016 - Seadrill Limited ("SDRL" or "the Company")

has been awarded an 18 month contract extension for the drillship West Tellus by

Petroleo Brasileiro SA ("Petrobras"), commencing in April 2018 and securing work

for the unit through the end of October 2019. The total backlog for the contract

extension is approximately $164 million.

As part of the agreement to extend the West Tellus, the Company has agreed to a

dayrate reduction on the current contract effective from February 26(th), 2016,

resulting in a $132 million reduction in backlog.

The net effect of this agreement is a $32 million increase in backlog.

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1997052]