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Company Update - September 2010

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Disclaimer

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to 21'lSWlle ·~viii usr: such confident!&! infol-mation to enge1gE' in any trunsaction irwofvmg the- c;ecw-~tie<;. of any of the Companies

Document ID: Docurn~nt V~:tsiorr

Document 0\Mnt.:r·

Eflectiv~ Date·

MKS·WWD_TRG·OOl ROS Chief Operating Office 08 Jun€ 2010

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PACIFIC DRILLING COMPANY PROFILE

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Company background • Pacific Drilling Limited intends to be the preferred, pure-play, ultra-deepwater

drills hip operator in the world A Fleet of 6 new SHI bum drillships to be delivered bet-.Neel1 mid 2009 and mid 2011

Turnkey contracts with the most reliable yard in the industry

Prime assets with the highest level of specifications and technical abilities

• Management team consists of top notch industry veterans with many years experience in Oilfield Services and floating rig management

•

Natural business extension for one of the world's largest private tonnage and offshore installation owners

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A fleet of Best-in-class High-spec Assets

• Six Ultra-Deepwater Drill ships

• Proven design from a proven yard using wen established topsides design from NOV

• SHI building 22 unit> of similar design

• Two JV rigs contracted to Reliance with customer specific upgrades

• DOKGJ = 12,0()0' opN<1ling water depth capable, •.ingle activity ·,vith offline stand-budding

• DDKG2 = 12.000' operating w,;ter depth equipped, single activity with offline stand-building <md ri>'2! h,1ng-off carl

• Two rigs based on JV rigs

Modified SHI lllOOO hull with enhili1Ced moderate to 11ilrsh environm<mt operating capability

• Can be equipped for up to 12,000' WD, single .:;clivity, with oHiine st,1nd-building, 200POB

• Enhanced thruster CilfJucitv and huiHtr<>ngthenmg to E'xpand op..r,lting enw,lop<>

• Two rigs based on Saipem 12000 design

·Equipped ror 12,000' WD (subject to 5ufficient rise,-) - upgraded riser handling, tensioners and subse;; system', Pacific S@ntOJ ,\na equipped for Du~l Groclient Drilling 01nd Smgle Gradient Drilling.

•Dt'>igMd lor full dual acti~ity with twin lOOOST load paths, enhanced mud and >olids h;,ndling and 200 POB

• All rigs under turnkey construction contracts

• Drilling packages are turnkey NDV with full commissioning support

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Joint Venture: Transocean Pacific Drilling Inc.

In 2006, Pacific Drilling entered into a Joint Venture with Transocean Agreement called for Transocean to manage construction and operations for two ve>sels

Enabled Pacific Drilling to supplement eKisting marine and technical construction c~pabilities with commissioning and operating expertJse from an indu>try leader

Allowed Pacific Drilling to "jump start" oper-ational cash flow, providing tirne to develop in­house capabilities to run the remaining fl~·et

DDKGl delivered April2009, on contract earning revenue in July 2009 On time and under-budget per approved cost estimates and bank commitments

Pdssed all acce~tance tests [including emergency d;sconnect and reconnect) first time

Represents "best-in -class" construction m<milgcment pe;·formance

DDI<GZ delivered October 31, on contract earning revenue in March 2010 Delivered on the pl,mned delivery day, on-budget

• Completed USD 1.265 billion financing in October 2008 financing secur~d by value of ngs and contracts

5 year post construction financing period

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Construction Schedule

Pi"Kif:c Sant8 ,t..n;;~ (Hull156S)

Ja-n-07

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Jan-08 Jom-.09 Jan-12

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Construction Management Excellence

• Pacific Drilling benefits from the Group's expertise in shipyard management and the successful team development to date

The Group represents one of the l{1rgr:st customer) for vessel new budding over the pa5t few ve.lr-; .1nd has m.1n.1geci multiple n~·w bu:1lds and fPSO conver·sions in vcHious othc~r yards

Fronh:nd engineering of DDKGl and DDKG2 (rigs owned by TPDI} performed by Tank"r Pacific marine engineers (m~l1ouse naval architects and enqine/paint/steelwork .specialists}

• Pacific Bor;, & Mistral are copi<"s oi DDKG2, no further engineer·ing will be required

Pacific Scirocco & Santa /1na benefit from additional upgr01des and modifications to the Siiipem 12,000 design that ri'quired E'nginE'enng r<lvi~w by Pacific Drilling ti'am

• PcKHic S.:-Jnta Ana is bt:ing conflgurr:'d for Du.:3! Gradient o,·;mng

Technical team has rolled over from the JV rig program to whoUv owned Pacific Drilling rigs TPam structure o"f projt~C.t managP.mf~nt, driHlng lndu~tr; and m.:JdnP engint~er~ng expr~ftS., induding

consultants and empiOI'ees, were supplemented with a limited number of Transocean per:>onnel vvh'2n the JV formed, to i'!li1i'1i3g>2 the first t·,vo hulls

Team hos been supplemented to hc1ndle extra rt:tlltlrernents of four concurrent rigs versus 2 JV rjgs

Jnd to rephce Transocecn personnel

Transition v.mrking very well, experienc~d construction team l.i,1ft.h suppl~_:ment'-:d support from Pacific

Drilling OpNations staff

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Well Developed Organization and Systems • Organizational development achieved key milestones

• lec,dership from first class management team: C£:0 and COO (ex-Tran;ocean)

1\dmintstr~tive team in place: Controll~r. Tre<1surer. HR, Supply Ch,lin, and IT

Operations leCJdership well estCJblished: VP Op1 (H-Noble), VP Eng (ex.<,ongeJ), VP Q&HSE (ex­Schlumberger), Dir Ops. Support (ex-Transocean & Songa}

Constructron m3n3gement team fully function,11; ildckd rr:sources to handle extr3 workloild of four

concurrent rigs .

• S1-\P initial implementation completed in June 2009- integrated finance. supply chain, and HR

~('COild Ph<Jse of HR implementation and adoption of Plant M;Jintenance in progre;;s during 2010

• Operations development on-track

Management System Manu ill released; supportrng governance standards under development.

M.1intf2nance systt'm releasr.d.

• O.uality Policy released; Supporting function Department policies und<~r development;

• BusinE'SS Process m2lppmg in progress; proccdt~res under devetopment including Procurement, M:alntentlnce Systern, Financittl controls. P.ecruitmg etr.

HSE Manual and Well·conti'OI Manual in pl3ce

Three Rig Managers on rJoard (two tJased in Shipyard) and first Ofishore staff rr.cru;ted to support construction

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Strong Management Team in place

VP Operations c. Van Eliemen

VP Toch Support P Gulrlet

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Well developed corporate structure

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Development on Target

L_ ______ 2_o_o_E __ ~~~==-:_:_> ____ 2_o_o_9 __ ~~~'~ ___ > _____ 2_o_l_o __ ~=~,~-:_:> _____ 2_o_1_1 ____ ~~~ • Put core executive te3m

m plwce • Ops / QHSE • Finance & Admin • HR

• Develop and implem,ont Operating Sy;tt:ms and Procedurps

• Secure contracts for earlit'st delivr'ry drillship>

·IT Co • Construction mgmt~~ . • Secure initial financing for

in place in Korea A.l/(3> contract<od ngs

• Continue to develop .?'~P corporote

TPDI JV (secure contract> p-r~durcs. policies and

and debt funding) structurr:

• lnitiat~.? rn..:crketing t~fforts • Recruit ng m~n~gers and

• Establi;,h administration in US

commis.sionlng t~]ams

• Secure contracts ior rem<Jining drillships

... St~curc: remajn ing financing requirements

.. Begjn to hir~ rig cre\ovs

i:lnd mitirJtc rig cre\111 tr.~inlng progr3mc.,; June

1, 51 senior crew onbo;m1

• Sdup local opt~ratrng resource;;

• Bora delivery and

commiss~on~ng

• Sera lull opNations

• Ccnti11u~ to hir~e and troin ng crrows

• Expand local oprcrating

resourct!S as necessary

• Mrstra!, Scirocca, &

Santa An~ oelivery, (Omrnission~ng ;;snd operations

• Ccrporote e;:pan;, ron and industry con::olidaUon

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BIOGRAPHIES OF KEY PERSONNEL

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Pacific Drilling Management Biographies

Chris Bockett, CEO Chris has nearty tl;•o.:enty ye-.::rs experience ln the energy i'iidl!stry, ~ncluding over !:en ~'e.ars. wfth Sch~umberger in a seri·e:s of lr.temationa~

rna.-~.agenr.ent roles. v._r;t:~~ ircre?s;ng respons.~billry, three years Gt r .... k:Kinse~· & Co. prmdd~ng strategic and opei'ating advice to glo:ba~

ene1·gy compa:.~es a:.d go~ternments,, a<1d most recently fow ).fears. at TransoceC~n where he led the St:rateglc Bus~ness Development and Planning.::: hris holds a B.Sc (.1wns; from Unh;ersity of london lr. Exploration Geophvstcs ar.d Masters of BlisJness Administr2tinn from fU~:e Vr1iversiry, where- he graduated as a !ones Scholar

Bob MacChesney, COO Bob has tl.'·.renty-nlne vears experience ir. the driWng industry mdvrl!ng 20 years with Schlumberge:- {Sedco Forex} and nli1·e • .. ·vtth Transocel\!1. Dunng his tenure wirh these comp;:,r=tes he served ln a v2riety of positto~1s b::!:tVie::!:n OpN3tians Mar121gement and Ma-rketi:lg i<~dudl:1g Co..Jnt'Y Mi3-r.ager i!'"': Malaysia, !nd!a, Brazi: and UK: Region Manager in Mtddle East and !11dia ar.d Corporate

Director Deep 'vVater Ma:-ket;ng. Bob has a BSc ir. tngineeringfrcm Southamptor. Umversity!n the UK.

Cees Van Dlemen, VP OperaHons-Cee~ Van Oiemen has join-ed the ccmpar.y as Vice President of Op~rfltiom. Cees br~ngs thirty-two years e>:peri~nc:e in the n1obile offshore dr-tHing ind:..:stt)', including 25 vears with Noble D>il~ing Corporat•on and fts pred€c€-ssor Neddr Hi. Hfs car-eer started ofhhor€ jn the tr.aditional dd:l positions from Floorman to Offshore lmt~llatior. !\·1cmage:r, before taking on. irlcreasjr.g respons1bi!ity m or.shm~

mar~.ago?rn.ent roles from dg man;l.ge-r in V'./e5r Africa, the Mediterran€an and the North Sea, tc d~strkt manager in thE North S.ea ar:d Division 1nanager in E:...nop€ anci late:v in Bnnll. tn.1dng his career, C.~e:'.. ha:'.. had ex::ensive ~xperience in deep'Nater driUi,"!g frorn the eady days of 500ft water depth £J.r.::tivity in 1977 to recent operations ~n 9200ft water depth. Cees hoids a BSc in auto-motive engineerlr:gfromth;:o University of Ape!doorn ir. the Nether:a:1ds.

Paul Guirlet, VPTechnical Support Paul jo!ned Pacific OrWing after 19 years of experience !n varjous engitleer:ng and opetdtl:on.s positfon.s '!.••.lith va~fous. n-~a.jcr dri.!ling

COMt~actc:--s., i:idudirog 12. years with Sedco Fore~ and TrartscceoM. P2ul h.os extEn:;i•Je .expe:--ience ~n Engineering, ~ig upgrade and

construction~ developtl""lg .~u1d lmp!ementlng r·~alntenance M.alraw::!ment systems, £l$ we!l as Rig Operation f'llan-:1:gen1ent in \~'~iest /'.,frlca and lndonE>si.a. Pal..!l is a G-raduate Engineer from Ecole Natio<~ale S:Jp€rteure de Tec:h!lKJUesAvan:::-ees, Paris.

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Pacific Drilling Management Biographies (Cont'd)

Paul Lin kin, VP QHS£ P~h.d jok1ed Pacific Drm;ng .after neady 20 yea(s of expetience fn varfou!i apefat~ons and QHSE n~ar,ag-e)'l"!ent roles at Schll:mberge( Paul has extens!'Je €x.petience developing and h"f1plen1'=nt!ng management SV:Stem:S fr. both f~eld C~nd office enviror.n1'=nts .. •,1,rJth a part;cula: focu; 0:1 Qualitv afld HSE n1anagem.ent ir. ;--emote locations. Paul holds a B.Er.g degree !r. Electrica.! Engmeefing from U nivers;ty of ?ortstncuth.

Paul R<>ese, VP Contr<>lle' Paul has been a ftnar:ce profes.s:lonal in the olif1eld services and E&.P space for over f~fteen yeors. Prior to jo!nir.g Pac;f;c Dril:lng he was Controller for the Global f-xplcr.atkm and Oevelopmef1t dlv~sion at BHP 5tHiton Petrol~um. Sefu.re rhat Paul serJ~d in various ffnanc:ial manager11ent roles. at Trans,o(:e .. an :<~dudlng Finane€' Director for th€' North and South Ame-rica Bus.lness. Unit and ;\~s~stant VP fer "Audit ;and Ao\ns.or~~ Services. Paul holds Ci BA fn Ecor:omk:s. ar!d Bus.mess fv1anageri.al Stud:es and Moster') frl Au::ountfrlg frorn R~i.€ Univ<?.t sity

John Boots, VP Treasurer John br;ngs over 20 years of US and European experien.::e in the ene:g-; indust1·y, including fo~rteen years at Noble DrH!ing and 1t~ pred~cessor NeddriU and t•No years as a fH1ancial and msr<~gement con:.ultontfor rr'HJ!t:ple of:f1e~d service companies. Most :r~cently~ John 1.\'85 Corporate Tr~asur.er & Di"rector of ln\lestor Relations ar Gkrb.all11dustdes During hts ter;ure with these compani"eshe served i:1 a variety of financ~al!eadership ro:~s, indud~n.g Treasury,. Finance, Com:roliing1 1nves.tor Relations & fnternai Audlt, bo:Js.ed :n the US, Nethefl~nds and :ta!y .. :ohn holds a 8~. in Econon1ics from th~ Unh,~rs.itv of ?rofess~ona: Educ.atjon of .AJkmaar, the Neth~'l•~ds.

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Pacific Drilling Management Biographies (Cont'd)

Michelle Hobbs, VP Human Resources Miche!!.;; fs a Senior ManagemEm H).Jlna•~, Resources Professio..-.a! ~r.;fth extEIISi\le experience in ~(ltenratiCl•~.a! HR st.-ategy development and exec:.Jtion, acquislt!ons and ~nt€gration_. organ:zatlanal p~anning and desfgn, compensatk1:1 and budget~ng, Most recenti~' she se~11ed as VP Huma:1 Resources fm TGS-NOPEC Geophvsica: CompEtny an.d prinr to that held m~Es woth increasong re::;ponsibility i.n various servkE-s a:1d manufacturing companie::; in Euror=oe and North Am.erlca Miche~le hdds a SA from Univ~rsltv of Ha ... !:rton ar:d a-ch..-a-;lced certific.atioo:r ~n H'R from University of Michigan and Rice Univer5.~V;.

Edgor Rincon, VP Procurement and Supply Chain t\fter graduating from Unil.tersid.sd Sirnon 8o~ivar in Caraci3~ 0!1 a full 5.Cholarship from PDVSt,, Edgar eamM an :f1."18.l; IMith d~s.t•·r1::::tton

from Unlversit)• of Mkhlgarc Business Schoo!. He joir.ed M<:kins€y <;~nd Company as a c:onsuJtar:t, ~,ovhere he spent 1en years senr:ng clients in a: broad range of im:lustri€s advising on d:ents on strategic and operational i~sue~. He ~.Nas a core ~eader in the l<=tin Arr1Nlc.on Energv ond Materials Pro.c.tke based ;n Cafac?.s befofe ~eloc21ot~ng to the Houston offic.e to become ;: le-ader in the Pe-::rolellm Practice.

Coy Wright, VP l"formotion Technology Cov jo~ned Pa:dftc OrtB!ng after 2S-t ye~r:; of experience- rr1a~aging global information technology · .. v!th \'Brious energ'l industry companies, jr,dudir.g 'Neathedord, Hn!liburtnn, and GulfMad( Offshore. Co~· has signlffcam Experieno: managing inform8tto11 techno!agy ~n comp~ni~s e:r..ped~ncing sta-rt·,:..Jp, high growth, ar mergers and acqui:;ition activ;ties. in Energv, High· tech and F;nanc1a! :nd•..!strles. Co}' holds a Bachelors ot Business Admlnis.tratio:. (BBA) with a focus in Information T€chno~ogy from University of

Houston.

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Pacific Drilling- Strong Operations Management Team

Kev~n Wtn~ Country Manager .. USA based in Houston/ Texas l<evlr: brings 35 ve:ars ot worldwide operation.al experience from Reading & Bates/ Transocean :from rousrabout ~n U"d~· Gulf of Me>:fco to GenefJ! Ma~1ag€',. of Operatk1o:-\s ;n charge of 13. dgs fn k!dfa. Kev;n h8-s Jll extended and proven ::rack record of manag:ng s·,:, and 5::· ge:.eration d:-iHshjps, starting up operations in ne\.iv countries and briflgjng teams togethet· to pro~Jide dedicated and E-ffl ctent op.e rat1onalsu ppmt to our dt.e nts.

Steve Gibson, Dire·cto' of Operations. Support based in Si~:ga pore Ste\le has over 34 years e.'<.per~enre in the lndu:;;uy ;nduding 27 yeQrs with S.edco Forex and T~ans.ocean. Befme nwving into ma:-.agement he wori<ed offshore from floornar:d to O!M and or-snore from R1g Man~ge:r to Oper2tions Manager. Steve als.o served in var~ous. S~nior f\Aan2:gem~nt pcsitions :n Humcn Resources v ... j!h Transoc~.an ph or to becoming he~d of personnel for Songa D,·;lling. In a-dditlDn to contrib-t,~jng with h~s ~trong operational experience I Steve:~ responsible for n::c:rwitment of operational shore based management and s€nior ~taff for offsho•e positions,

frederk Jacquemin, Rig Manager bosed ~n Hous.toh 1 Tex~s f~·ederk corrte~ from a eng1nee~·ing backgro~1nd {MSc Petrcdeuffl Eng_~needng & Pm;ect De\lelopment- lfP School, Parl~·} cmd h~s work~d for Transocean for J ye2rs, startmg .:;s R~g Engineer and Oper2tio;os Engineer in VVest Afrtca (Deepwater Pathf~nder} prior to mmnng to South [astAsia and Austra;ta ss. rug ~ ... 1a~1ager. frederic's experience sp3ns from.Jack~ups to .S:"~ ge-ner~tior1 DP dnllshlp::-.

Tom B!yth1 Rig Manager based ~n Geoje I Korea Tom worked 2:0 years with Sedco fNex I Transocean,. fron1 Ro:..tstabo•...:t to Offshore lr.sto!l.at;on Manager rr.ostly or. DP semi· submersible :.Jnjt:; prior to being assigned as~~·:-. generation DP drj~lshlp rig manager· in 2.008. Tom spent most of h~s time :11 the North Sea, West Afr;ca and Brazil

frodsrik Vleghort, Rig Mat>aget based in G~oje/ Korea t=rederik joined Potific OrlWr1g after 2.5: years with Neddrill/ Noble VJtlere he 'Norked fmtn RoustabN~t to Assistant DrH1er or: jack-ups and from l.I.S5ist<mt-·-Dd!le-r to Offshore ln:;raHatton Manager on DP drii.!sh~ps pr~or to t3~e O\ler his first Rig Manager job tn 2.004, a pos.ltion he helci for th.e last 5 years. His v.1orl< locations \I•Jer€ m,ainly North S€a ,an-d Brazil,

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