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ENSCO International Reports Damage to Jackup Rig.


DALLAS -- ENSCO International ENSCO International is the largest offshore Jack-Up Oil and Gas well drilling corporation [1], with 50 offshore Jack-Up and 5 Semi-submersible drilling rig's servicing domestic US, international, and Scientific drilling markets.  Incorporated (NYSE NYSE

See: New York Stock Exchange
:ESV ESV end-systolic volume. ) reported that ENSCO 107, a KFELS Mod V-B jackup, sustained damage while pre-loading on a drilling location offshore Vietnam. No personnel were injured and there was no environmental impact.

Preliminary inspection indicates relatively minor damage to the rig, which has been safely jacked down and is currently under tow to Vung Tau Vũng Tàu pronunciation  is a city in southern Vietnam. Its population in 2005 was 240,000. The city area is 140 km² (54 square miles) including 13 urban wards and one village. , Vietnam. ENSCO anticipates that the rig will move to the Keppel FELS FELS Function-Embedded Listening Skills  shipyard in Singapore to effect repairs. Repair costs in excess of a $5.5 million deductible are expected to be covered by insurance.

The rig is under contract to the Korean National Oil Company for a seven-well program offshore Vietnam. Pending further review and evaluation, it is unknown when the rig will return to work although very preliminary initial estimates suggest an approximate 60-day suspension of operations. The incident is not expected to have a material impact upon ENSCO's results of operations.

Statements contained in this news release that state the Company's or management's intentions, hopes, beliefs, expectations, anticipations or predictions of the future are forward-looking statements made pursuant to the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and  of 1995. Such forward-looking statements include references to the extent of damage to ENSCO 107, future rig utilization and contract commitments, the period of time that the rig will be out of service, the potential insurance recovery, and the financial impact upon the Company's earnings results. It is important to note that the Company's actual results could differ materially from those projected in such forward-looking statements. The factors that could cause actual results to differ materially from those in the forward-looking statements include the following: (i) extent of damage incurred, (ii) renegotiation, nullification nullification, in U.S. history, a doctrine expounded by the advocates of extreme states' rights. It held that states have the right to declare null and void any federal law that they deem unconstitutional. , or breach of contracts with customers or other parties, (iii) changes in the dates the Company's rig will enter a shipyard or return to service, (iv) risks and potential delays inherent to shipyard rig repair, (v) availability of transport vessels and risks inherent to rig transport, (vi) the applicability of insurance and the extent of insurance coverage, and (vii) other risks described from time to time as Risk Factors and otherwise in the Company's SEC filings. Copies of such SEC filings may be obtained at no charge by contacting the Company's investor relations Investor relations

The process by which the corporation communicates with its investors.
 department at 214-397-3045 or by referring to the investor relations section of the Company's website at http://www.enscous.com.

All information in this press release is as of June 19, 2006. The Company undertakes no duty to update any forward-looking statement, to conform the statement to actual results, or reflect changes in the Company's expectations.

ENSCO, headquartered in Dallas, Texas, provides contract drilling services to the global petroleum industry.
COPYRIGHT 2006 Business Wire
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Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Geographic Code:1USA
Date:Jun 19, 2006
Words:442
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