Global Marine Announces Two Long-Term Drilling Contracts Offshore West Africa

Houston-based offshore drilling contractor Global Marine today announced it received a letter of commitment from Elf Petroleum Nigeria Limited, a subsidiary of TotalFinaElf, for two-year contracts for both the Glomar Adriatic I and Glomar Baltic I jackup rigs to work on the Amenam/Kpono field offshore Nigeria. Elf Petroleum Nigeria Limited on behalf of the Nigerian National Petroleum Corporation and Mobil Producing Nigeria Unlimited operates this field development project. The contracts for the two units include key rig upgrades, which are anticipated to cost about $23 million in total.

The two contracts are expected to generate combined revenues of approximately $121 million to Global Marine. Both contracts include options for extension of up to one year.

"Global Marine has been one of the most active drillers offshore West Africa for some time now and currently has eight rigs in the region, including four operating offshore Nigeria," Marion Woolie, president of Global Marine Drilling Company, said.

The Glomar Adriatic I is a Marathon LeTourneau 116-C design equipped with 410 feet of leg. The rig modifications will include installation of a third 5,000-psi mud pump, five new engines, a new top drive, increased mud pit capacity, larger drill pipe, as well as expanded crew quarters. The Glomar Adriatic I is currently operating offshore Gabon in West Africa. Drilling operations for TotalFinaElf are expected to begin in second quarter 2002 after the estimated two-month rig upgrade has been completed.

The Glomar Baltic I, a Marathon LeTourneau Super 300 design with 515 feet of leg, is expected to mobilize to West Africa in the second quarter of next year following completion of its current contract in Trinidad. The jackup recently underwent a significant upgrade with the installation of three new 7,500-psi mud pumps, five new engines and other enhancements. Additional upgrades that are expected to take 10 days will be carried out to the mud pit capacity, setback area and skidding capabilities as well as the crew quarters. Combined, these upgrades will make the Glomar Baltic I the highest specification jackup rig on the west coast of Africa.

Houston-based Global Marine is a major international offshore drilling contractor with one of the industry's youngest, diversified and technologically advanced drilling fleets. The company's 33 premium mobile drilling units include jackups, semisubmersibles and dynamically positioned ultra-deepwater drillships. In addition, the company is the world's leading provider of drilling management services, including turnkey, daywork and project management.