Gorillas News

Rowan Companies, Inc. took delivery of its newest jack-up rig, the Bob Palmer on August 18. The rig's initial assignment will be to drill a 25,000 foot well in the Gulf of Mexico, which should begin within 30 days. The Bob Palmer is an enhanced version of our Super Gorilla class jack-up, designated a Super Gorilla XL. The rig is outfitted with 713 feet of leg, 139 feet more than Gorillas V, VI or VII, and has 30% larger spud cans enabling operation in the Gulf of Mexico in water depths up to 550 feet.

Rowan Companies, Inc. announces all six Gorilla Class rigs are now under contract -- Gorillas II, III, IV and VI are operating on well-to-well contracts in the Gulf of Mexico and Gorillas V and VII should commence operation in eastern Canada and the North Sea early in the third quarter. Bob Palmer, Chairman and Chief Executive Officer, commented, "All 24 Rowan offshore rigs are now under contract -- for the first time in over one year. We view this as a very positive event, greatly reducing, for the moment, an uncertain outlook. We are particularly encouraged by the fact that about one- half of our Gulf of Mexico rigs are on deep Miocene prospects with well depths in the range of 15,000 to 22,000 feet.

Rowan Companies, Inc. announced that the current contract status of its offshore drilling fleet. In the Gulf of Mexico: Gorillas II, III, IV and VI are each operating under well-to-well contracts. Eastern Canada - Gorilla V completed a one-well contract on September 18 and is now in Halifax Harbor. Though the outlook for 2003 is favorable, the near-term outlook for additional work offshore eastern Canada is uncertain. North Sea - Gorilla VII completed a contract as an accommodation unit on September 12 and is currently under contract for a short-term construction program in the Norwegian Sector. With several bids in process, the near-term outlook for additional work in the North Sea, while uncertain, is, for the moment, more promising than eastern Canada.