SDRL - Mandatory notification of trade

Hamilton, Bermuda, December 23, 2011 - In connection with the Company's Employee Share Ownership Plan (ESOP), eligible option holders have exercised options to acquire 178,800 common shares at strike price varying from NOK56.00 to NOK168.38 per share.
The Company has used treasury shares to settle the obligation related to the share option plan.Consequently, Seadrill has reduced its holding of treasury shares from 1,664,359 shares to 1,485,559.
This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act).