Songa Offshore SE announces increase of ownership in Deepwater Driller Ltd.

Reference is made to the press release sent out by Songa Offshore SE (the "Company") on 24 March 2010 regarding the investment of 31,25% of the shares in Deepwater Driller Ltd ("Deepwater Driller").  Deepwater Driller owns the "Songa Eclipse", a 6th generation Friede & Goldman ExD ultra-deepwater semi-submersible drilling rig under construction at Jurong Shipyard Pte Ltd, Singapore ("Jurong") with scheduled delivery in August 2011. 
The Company is pleased to announce that it has increased the ownership in Deepwater Driller with an additional 20,6% of the outstanding shares and the Company now owns a total of 51,9% of the outstanding shares in Deepwater Driller. The seller of the shares is Petrolia Invest AS.  The purchase price for the additional shares is USD 34.5 million, and this has been paid out of the Company's current cash balance.  
The Company's investment in Deepwater Driller is on a non-recourse basis, but Deepwater Driller will from Q1 2011 be consolidated into the Company's accounts.  The conditions in the shareholder agreement between the shareholders in Deepwater Driller are still as described in the Company's press release of 24 March 2010.  
The increase of ownership in Deepwater Driller is in line with the Company's communicated strategy and should be seen as part of the Company's overall strategy to expand into the ultra deepwater segment.
Source: Press release