INFORMATION CONTAINED IN THIS FORM 6-K REPORT
SDRL - Seadrill New Finance Limited Announces Extension of Forbearance Agreement
Hamilton, Bermuda | June 24, 2021 Seadrill Limited (Seadrill or the Company) (OSE:SDRL,
OTCPK:SDRLF) announces that Seadrill New Finance Limited (the Issuer), a subsidiary of the Company, has agreed to further extend the existing forbearance agreement announced on April 19, 2021, and extended on May 17, 2021,
May 27, 2021, June 3, 2021 and June 18, 2021, with respect to the 12.0% senior secured notes due 2025 (the Notes) with certain holders of the Notes (the Note Holders).
Pursuant to the forbearance agreement, as extended, the consenting Note Holders have agreed not to exercise any enforcement rights with respect to the Issuer
and any subsidiary of the Issuer which is an obligor under the Notes to, or otherwise take actions in respect of, certain events of default that may arise under the Notes as a result of, amongst other things, the Issuer not making the semi-annual 4%
cash interest payment due to the senior secured noteholders on January 15, 2021 in respect of their Notes and the filing of Chapter 11 cases in the U.S. Bankruptcy Court for the Southern District of Texas by the Company and certain of its
consolidated subsidiaries (excluding the Issuer and its consolidated subsidiaries) until and including the earlier of July 2, 2021 and any termination of the forbearance agreement.
The purpose of the forbearance agreement is to allow the Issuer and its stakeholders more time to negotiate the heads of terms of a comprehensive
restructuring of its balance sheet. Such a restructuring may involve the use of a court-supervised process.
About Seadrill
Seadrill is a leading offshore drilling contractor utilizing advanced technology to unlock oil and gas resources for clients across harsh and benign locations
across the globe. Seadrills high quality, technologically advanced fleet spans all asset classes allowing its experienced crews to conduct its operations from shallow to ultra-deep-water environments. The company operates 43 rigs, which
includes drillships, jack-ups and semi-submersibles.
Seadrill is listed on the Oslo Børs and OTC Pink
markets. For more information, visit https://www.seadrill.com/.
FORWARD LOOKING STATEMENTS
This news release includes forward looking statements. Such statements are generally not historical in nature, and specifically include statements about the
Companys plans, strategies, business prospects, changes and trends in its business, the markets in which it operates and its restructuring efforts. These statements are made based upon managements current plans, expectations, assumptions
and beliefs concerning future events impacting the Company and therefore involve a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed or implied in the forward-looking statements,
which speak only as of the date of this news release. Consequently, no forward-looking statement can be guaranteed. When considering these forward-looking statements, you should keep in mind the risks described from time to time in the
Companys regulatory filings and periodical reporting. The Company undertakes no obligation to update any forward looking statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence
of unanticipated events. New factors emerge from time to time, and it is not possible for the Company to predict all of these factors. Further, the Company cannot assess the impact of each such factor on its business or the extent to which any
factor, or combination of factors, may cause actual results to be materially different from those contained in any forward looking statement.
This
information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
For further information, please contact:
Media questions
should be directed to:
Iain Cracknell
Director of Communications
+44 (0)7765
221 812
Analyst questions should be directed to:
Hawthorn
Advisors
seadrill@hawthornadvisors.com
+44 (0)203 7454960