Seadrill Limited (OSL:SDRL) SDRL - Ultra-deepwater Semi West Phoenix Commences Operations For Total

Seadrill Limited (OSL:SDRL) Yesterday, the ultra deepwater semi-submersible drilling rig West Phoenix commenced operations for Total Norge at the Victoria field in the Norwegian Sea.

West Phoenix was delivered from Samsung Heavy Industries in South Korea in March 2008, arrived in Norway in August 2008 and has since arrival completed commissioning work and prepared for operation start-up, including training of crew in cooperation with Total. West Phoenix has a three-year contract with Total Norge for operations in the North Atlantic region.

West Phoenix represents a new generation, high specification drilling units focusing on a broader spectre of capabilities, a larger operating area, a high load carrying capacity, improved safety and working environment as well as a special environmental focus. West Phoenix is designed with a dynamic positioning system and deepwater capabilities. In addition, the rig is designed with dual derrick and is constructed for winter operations in northern and other harsh environment areas.

Alf C Thorkildsen, Chief Executive Officer in Seadrill Management AS, says, "We are pleased that West Phoenix has commenced operation on the Norwegian continental shelf. West Phoenix, with its powerful capabilities, being one of the most advanced units ever built, will be an important supplement to the fleet of rigs on the Norwegian continental shelf, adding the fifth unit to the company's existing fleet of versatile drilling units in this area. West Phoenix is the company's fourth newbuilding unit which has commenced operations during the last six months. In addition, two more newbuilding units will be delivered within the next six weeks, and further two units are in transit to their operation destination for start-up of their assignments. Furthermore, the deepwater drillship West Navigator commenced a new four-year contract with Shell on January 1. The total contract value is US$815 million."

Analyst contact: Jim Dåtland, Vice President Investor Relations, Seadrill Management AS +47 51 30 99 19

Media contact: Alf C Thorkildsen, Chief Executive Officer, Seadrill Management AS +47 51 30 99 19

Seadrill Limited Hamilton, Bermuda January 8, 2008

This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.

Seadrill Limited

http://www.seadrill.bm

ISIN: BMG7945E1057

Stock Identifier: XOSL.SDRL