Atwood Oceanics announces Atwood Falcon contract extension

Sept. 28, 2005

Atwood Oceanics, Inc. has been awarded a contract extension and a new contract. The Atwood Falcon's current 13-well contract with Shell has been extended effective July 11, 2007 for two years. This contract requires the rig's water depth drilling capabilities to be increased from 3,700 ft to 5,000 ft.

Offshore staff

(Malaysia)-Atwood Oceanics, Inc. has been awarded a contract extension and a new contract. TheAtwood Falcon's current 13-well contract with Shell has been extended effective July 11, 2007 for two years. This contract requires the rig's water depth drilling capabilities to be increased from 3,700 ft to 5,000 ft.

This $24 million upgrade is planned in July 2006 at a shipyard in Malaysia or elsewhere in Southeast Asia, with an estimated duration of 85 days to complete including rig moving time.

09/28/05