SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Exhibit 99.1

DRYSHIPS INC. REPORTS FINANCIAL AND OPERATING

RESULTS FOR THE SECOND QUARTER 2014

August 5, 2014, Athens, Greece. DryShips Inc. (NASDAQ:DRYS), or DryShips or the Company, an international provider of marine transportation services for drybulk and petroleum cargoes, and through its majority owned subsidiary, Ocean Rig UDW Inc., or Ocean Rig, of offshore deepwater drilling services, today announced its unaudited financial and operating results for the second quarter ended June 30, 2014.

Second Quarter 2014 Financial Highlights

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For the second quarter of 2014, the Company reported a net loss of $5.6 million, or $0.01 basic and diluted loss per share.

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The Company reported Adjusted EBITDA of $220.5 million for the second quarter of 2014, as compared to $112.3 million for the second quarter of 2013. ^{(1 )}

Recent Highlights

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On July 25, 2014, Ocean Rig entered into a $1.3 billion Senior Secured Term Loan B facility to refinance the $1.35 billion Senior Secured Credit Facility, which had a balance of approximately $1.3 billion on that date. Consequently, an amount of $75 million which was previously restricted under the $1.35 billion facility was released to Ocean Rig.  The new Term Loan B facility is secured primarily by first priority mortgages on the drillships, Ocean Rig Mylos , Ocean Rig Skyros and Ocean Rig Athena , bears interest at LIBOR plus a margin, and matures on July 25, 2021.

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On July 21, 2014, Ocean Rig announced that its Board of Directors declared a quarterly cash dividend with respect to the quarter ended June 30, 2014 of $0.19 per common share, to shareholders of record as of August 1, 2014 and payable on or about August 11, 2014.

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On July 18, 2014, the Company signed a firm commitment letter from Nordea Bank for an up to $170 million senior secured credit facility to finance nine Drybulk vessels. Nordea Bank has committed to fully underwrite this facility which is expected to have a five year term and bears interest at LIBOR plus a margin. Six out of the nine vessels are currently mortgaged under the Company’s $325 million Senior Credit Facility which has a balance of $58.1 million as of July 31, 2014. The remaining three vessels are currently debt free. The availability of this facility is subject to final documentation and certain conditions precedent.

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On July 16, 2014, the Company received a firm commitment letter for an up to $350 million secured bridge loan facility, to partially refinance its 5.00% convertible bond maturing December 1, 2014. ABN AMRO Bank N.V. is expected to be the Lead Arranger and commit $200 million in this facility. The facility is subject to definitive documentation. We expect it will be secured by Ocean Rig shares owned by the Company, will contain certain conditions precedent, will mature 12 months from the drawdown date or such period as may be extended by the lenders for up to 12 months and will be subject to mandatory prepayment in certain events.

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On July 11, 2014, the Company entered into a supplemental agreement under the secured term loan facility dated July 23, 2008, to among other things, release the vessel Woolloomoloo from the collateral package under this loan.

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On June 7, 2014, the Ocean Rig Athena commenced drilling operations under the three year contract for drilling offshore Angola with ConocoPhillips.

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On June 3, 2014, Ocean Rig signed definitive documentation, following the previously announced contract award, for the 6 year contract for drilling operations offshore Angola for its ultra deepwater drillship the Ocean Rig Skyros , with Total E&P Angola Block 32. The contract is expected to commence in the third quarter of 2015 and has an estimated backlog of $1.3 billion.

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On June 3, 2014, Ocean Rig signed a drilling contract for one of its semi-submersible drilling rigs, the Eirik Raude . The drilling contract is for a minimum six-well program, with an estimated duration of about 260 days, for drilling offshore the Falkland Islands, with an estimated backlog of approximately $164 million. The rig is scheduled to commence drilling operations during the first quarter of 2015.

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During the second quarter of 2014, the Company did not resume sales under its previously announced $200 million program of at the market issuances of its common shares through Evercore Group L.L.C. as its sales agent.  To date the Company has sold 29,102,077 common shares pursuant to the at-the-market offering, resulting in net proceeds of $113.7 million, after deducting commissions.

George Economou, Chairman and Chief Executive Officer of the Company, commented:

“Our liquidity position has been positively impacted by the outperforming tanker markets, especially the Suezmax and Aframax segments which are performing above expectations for this time of the year. The drybulk carrier segment had a weak second quarter of 2014, but we believe that the pace of newbuilding deliveries is tapering off and when combined with continuing robust demand, will lead to a sustainable recovery in charter rates. Clearly our view is supported by forward charter rates and asset prices which are holding up resiliently, underscoring the positive market expectations. Dryships has predominantly spot market exposure and is therefore uniquely positioned to take full advantage of the expected recovery in charter rates.

“We are delighted to have received firm commitments for a total of up to $520 million from ABN AMRO and Nordea Bank, which is a testament of the Company’s strong and long lasting relationship with commercial lenders and a clear sign of the support DryShips is enjoying from the banking industry. This is the first major milestone towards the refinancing of the 5% Convertible Notes maturing in December and we continue to pursue various alternatives for the remainder of the balance.

“Turning to our offshore drilling interests, Ocean Rig continues to execute on its business plan. Ocean Rig’s modern fleet, strong balance sheet and solid contract backlog, provides it with the foundation to implement its previously announced value creation initiatives which will also have a direct benefit to its shareholders including Dryships.”

Financial Review: 2014 Second Quarter

The Company recorded a net loss of $5.6 million, or $0.01 basic and diluted loss per share, for the three-month period ended June 30, 2014 as compared to a net loss of $18.2 million, or $0.05 basic and diluted loss per share, for the three-month period ended June 30, 2013. Adjusted EBITDA ⁽¹⁾ was $220.5 million for the second quarter of 2014, as compared to $112.3 million for the same period in 2013.

For the drybulk carrier segment, net voyage revenues (voyage revenues minus voyage expenses) amounted to $41.7 million for the three-month period ended June 30, 2014, as compared to $42.4 million for the three-month period ended June 30, 2013. For the tanker segment, net voyage revenues amounted to $14.2 million for the three-month period ended June 30, 2014, as compared to $9.1 million for the same period in 2013. For the offshore drilling segment, revenues from drilling contracts increased by $181.6 million to $441.4 million for the three-month period ended June 30, 2014, as compared to $259.8 million for the same period in 2013.

Total vessels’, drilling rigs’ and drillships’ operating expenses and total depreciation and amortization increased to $213.0 million and to $112.7 million, respectively, for the three-month period ended June 30, 2014, from $142.5 million and $85.8 million, respectively, for the three-month period ended June 30, 2013. Total general and administrative expenses increased to $41.5 million in the second quarter of 2014, from $37.2 million during the same period in 2013.

Interest and finance costs, net of interest income, amounted to $86.0 million for the three-month period ended June 30, 2014, compared to $56.0 million for the three-month period ended June 30, 2013.

The Time Charter Equivalent ⁽²⁾ , or TCE, rate for our drybulk fleet was $12,064 per day per vessel in the three month period ended June 30, 2014, as compared to $12,756 per day per vessel in the corresponding period of 2013.  The Time Charter Equivalent, or TCE, rate for our tanker fleet was $15,650 per day per vessel in the three month period ended June 30, 2014 which is a significant improvement compared to the $10,004 per day per vessel TCE rate in the corresponding period of 2013.

(1) Average number of vessels is the number of vessels that constituted our fleet for the relevant period, as measured by the sum of the number of days each vessel was a part of our fleet during the period divided by the number of calendar days in that period.

(2) Total voyage days for fleet are the total days the vessels were in our possession for the relevant period net of dry-docking days.

(3) Calendar days are the total number of days the vessels were in our possession for the relevant period including dry-docking days.

(4) Fleet utilization is the percentage of time that our vessels were available for revenue generating voyage days, and is determined by dividing voyage days by fleet calendar days for the relevant period.

(5) Time charter equivalent, or TCE, is a measure of the average daily revenue performance of a vessel on a per voyage basis. Our method of calculating TCE is consistent with industry standards and is determined by dividing voyage revenues (net of voyage expenses) by voyage days for the relevant time period. Voyage expenses primarily consist of port, canal and fuel costs that are unique to a particular voyage and are paid by the charterer under a time charter contract, as well as commissions. TCE revenues, a non-U.S. GAAP measure, provides additional meaningful information in conjunction with revenues from our vessels, the most directly comparable U.S. GAAP measure, because it assists our management in making decisions regarding the deployment and use of its vessels and in evaluating their financial performance. TCE is also a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot charters, time charters and bareboat charters) under which the vessels may be employed between the periods. Please see below for a reconciliation of TCE rates to voyage revenues.

(6) Daily vessel operating expenses, which includes crew costs, provisions, deck and engine stores, lubricating oil, insurance, maintenance and repairs is calculated by dividing vessel operating expenses by fleet calendar days for the relevant time period.

(In thousands of U.S. dollars, except for TCE rate, which is expressed in Dollars, and voyage days)