NEW DRILLING CONTRACT FOR BIDEFORD DOLPHIN

Dolphin AS, a subsidiary of Fred. Olsen Energy ASA, has entered into a
Contract with Statoil for a 3 year drilling contract for the semi
submersible drilling rig Bideford Dolphin for operation on the Norwegian
Continental Shelf. Commencement is 27 of January 2011 in direct
continuation of current contract. The estimated contract value is
approximately USD 421 million. Statoil have the option to extend the
contract period from 3 to 4 years within 1st of November 2010. If
Statoil exercise the option the contract value will increase to
approximately USD 553 million.