Luxembourg, 28 December 2011 - Discovery Offshore S.A.
(Oslo Axess: DISC) has pursuant to novation agreements
with Keppel FELS Limited completed the novation of its
two construction contracts for the construction of two
ultra high-specification jackup drilling rigs to its
wholly owned subsidiary Discovery Offshore (Gibraltar)
Limited. Pursuant to the novation agreements,
Discovery Offshore has provided a parent company
guarantee which guarantees for the obligations of
Discovery Offshore (Gibraltar) Limited under the
construction contracts.

Discovery Offshore S.A. is a Luxembourg-based public
limited liability company incorporated for the purpose
of owning new ultra high specification jackup drilling
rigs. The main assets of Discovery Offshore and its
wholly owned subsidiary Discovery Offshore (Gibraltar)
Limited are two Keppel FELS Super A high specification
harsh environment jackup rigs currently under
construction, with delivery scheduled for the second
quarter and fourth quarter of 2013, respectively.
 
For additional information about Discovery Offshore
S.A., please visit our website at www.discoveryoffshore.lu

This press release contains forward-looking statements
that involve risks and uncertainties.  You are
cautioned not to put undue reliance on forward-looking
statements because actual events and results may
differ materially from the expected results described
by such forward-looking statements.  Discovery
Offshore S.A. disclaims any obligation to update and
revise any forward-looking statements, whether as a
result of new information, future events or otherwise.

Contact:
Son P. Vann, CFA
Tel: (713) 350-8508
svann@herculesoffshore.com

Joost A. Mees
Discovery Offshore S.A.
46A, Avenue J.F. Kennedy
L-1855 Luxembourg
352 42 71 71 1
jmees@lu.equitytrust.com