Seadrill Limited · NYSE:SDRL

Seadrill — Q2 2009 Earnings Presentation

23 slides from Seadrill's earnings presentation, Aug 27, 2009

1. Slide 1: Conference call 2Q 2009 results

   Conference call 2Q 2009 results August 27, 2009

2. Slide 2: Disclaimer

   Confidential Disclaimer THIS PRESENTATION AND ITS ENCLOSURES AND APPENDICES (HEREINAFTER JOINTLY REFERRED TO AS THE “PRESENTATION” HAS BEEN PREPARED BY SEADRILL LIMITED. (”SDRL” , “SEADRILL or THE ”COMPANY”) EXCLUSIVELY FOR INFORMATION PURPOSES. THIS PRESENTATION HAS NOT BEEN REVIEWED OR REGISTERED

3. Slide 3: Contents

   Contents ƒ Highlights 2Q 2009 ƒ 2Q 2009 accounts ƒ Operational status ƒ Performance newbuilds ƒ Fleet contract status ƒ Market outlook ƒ Dividend policy ƒ Summary 3

4. Slide 4: Highlights second quarter 2009

   Highlights second quarter 2009 ƒ Seadrill generates EBITDA of US$438 million up from US$347 million in the preceding quarter ƒ Net income of US$364 million equal to income per share of US$0.85 ƒ Sound improvement in utilization for deepwater newbuilds ƒ The last ultra-deepwater newbuild West Eminenc

5. Slide 5: EBITDA development

   EBITDA development US$ MILLION Significant Q/Q increase in contribution 5

6. Slide 6: Mobile units

   Seadrill Mobile units Unaudited accounts in USD million 2Q09 1Q09 Operating revenues 532,1 422,3 Reimbursables 5,9 5,9 Other revenues 11,1 10,7 Total revenues 549,1 438,9 Vessel and rig operating expenses 164,3 140,4 Reimbursable expenses 5,6 5,6 Depreciation and amortisation 83,9 739 General and ad

7. Slide 7: Tender rigs

   Seadrill Tender rigs Unaudited accounts in USD million 2Q09 1Q09 Operating revenues 106,0 98,1 Reimbursables 5,9 5,3 Other revenues - 0,4 Total revenues 111,9 103,8 Vessel and rig operating expenses 36,2 33,7 Reimbursable expenses 55) 5,0 Depreciation and amortisation 10,4 10,7 General and adminstra

8. Slide 8: Well services (Seawell Limited)

   Well services (Seawell Limited) 8

9. Slide 9: Condensed income statement

   Condensed income statement 9

10. Slide 10: Balance sheet: Total assets

    Balance sheet Total assets 10

11. Slide 11: Balance sheet: Liability and equity

    Balance sheet Liability and equity 11

12. Slide 12: Worldwide operations

    Worldwide operations 1 drillship newbuild Norway - 5 units at Samsung, Korea 3 Semis 1 Jack-up 1 Drillship 2 semi newbuilds at Jurong, Singapore 2+2 jack-up & 3 tender rig newbuilds in Singapore GOM - 1 Semi Brazil - 3 units 1 Drillhip 2 Semis Africa – 3 units Southeast Asia - 18 units China/Indones

13. Slide 13: Original 2008 deepwater projects completed

    Original 2008 deepwater projects completed USA-3Q08 Brazil-4Q08 China-4Q08 Norway-1Q09 Brazil-1Q09 Nigeria-1Q09 Indonesia-1Q09 Brazil-2Q09 13

14. Slide 14: Average utilization rate deepwater newbuilds

    Average utilization rate deepwater newbuilds Start-up experience transferred to sister vessel 14

15. Slide 15: US$9.5 billion order backlog floaters

    US$9.5 billion order backlog floaters 2009 2010 2011 2012 2013 2014 Customer 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Semi-submersibles West Alpha 1 Consortium US$479,000 West Venture 1 StatoilHydro US$258,000 US$258,000 West Phoenix 1 Total US$513,000 US$513,000 West

16. Slide 16: Contract status jack-ups

    Contract status jack-ups 2009 2010 2011 Customer 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Jack-ups West Epsilon StatoilHydro US$316,000 West Janus PCPPOC US$149,500 West Atlas PTTEP Australia US$255,000 West Triton PTTEP Australia US$175' West Prospero West Larissa Vietsovpetro US$126,000 West Ariel Viet

17. Slide 17: US$1.8 billion tender rig order backlog

    US$1.8 billion tender rig order backlog 2009 2010 2011 2012 2013 2014 Customer 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Tender barges T3 1 PTT US$83,000 T4 Chevron US$101,000 T6 1 Carigali/CTOC US$101,000 T7 Chevron US$64,500 T8 Total US$125,000 T9 1 Exxon US$135,000 T

18. Slide 18: Market outlook

    Market outlook ƒ Jack-up market ƒ Fragile market short term as new units are delivered ƒ Operators trying to exercise continued pricing pressure ƒ Signs of more tenders late 2009 and 2010 ƒ Oil prices trading around 70 US$/bbl a positive catalyst ƒ New efficient quality units should replace vintage

19. Slide 19: EBITDA growth replacing investments

    EBITDA growth replacing investments US$ million 3 000 EBITDA CAGR= 40% 2 500 2 000 1 500 1 000 500 0 2008 2009 2010 2011 EBITDA (Consensus estimates SME Direkt) Capital Expenditures Newbuilds Majority of EBITDA secured through long-term contracts 19

20. Slide 20: Dividend policy

    Dividend policy ƒ Distribution of cash dividend is an important objective ƒ Dividend depends on contract coverage, capital expenditure programs, other investments, free cash flow and business outlook ƒ Distribution was discontinued due to global financial turbulence and need to refinance remaining n

21. Slide 21: Petromena NOK 2,000 million bond

    Petromena NOK 2,000 million bond ƒ Seadrill holds 81 percent of the Petromena NOK2,000 million bond ƒ Bought at approximately 70 percent of face value ƒ Secured in the deepwater newbuilds Petrorig 1 (delivered April) and Petrorig 2 (delivery scheduled in September) ƒ Yard has completed the sale of P

22. Slide 22: Summary

    Summary Sound platform for shaping the future 22

23. Slide 23: Seadrill working for quality customers

    ait StatoilHydro @Husky Energy READE PETRO-CANADA — Wy} ConocoPhillips HESS CORPORATION _= ExonMobil devon ——d Li] PETROBRAS Chevron 2 ‘ o) MURPHY Seadiiil Seadrill working for quality customers

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