Offshore staff

OSLO, Norway -- Songa Offshore ASA has entered into a contract with Odfjell Rig Ltd .to acquire the mid-water semisubmersible Deepsea Trym for $238.5 million.

The semi is an enhanced Aker H-3 design built in 1976 and has been upgraded to meet the latest operator and regulatory requirements for operations on the Norwegian continental shelf. The rig is working for Hydro on the Troll field on a firm contract until August 2007 with three 6-month options outstanding. The rig is equipped and maintained for operating in harsh environments for water depths to 402 m (1,320 ft). The rig is classified by DNV.

The transaction is scheduled to be completed in mid-Jan. 2007. Odfjell Drilling will continue to operate the rig for Hydro under a bareboat agreement for the remainder of the Hydro contract, which runs to March 2009 if all options are declared.

For the period up until the end of the Hydro contract, Odfjell Drilling will bareboat charter the rig from Songa at a daily rate of $50,000. The rig is scheduled for a renewal classification survey in July 2007. Odfjell Drilling will carry all costs related to the survey.

12/20/2006