Shah Alam, 22 Nov 2010 - The UMW Group announced today that in respect of the Letter of Award received from HESS (Indonesia-Pangkah) Limited, for the provision of UMW’s Jack-Up Drilling Rig “NAGA 2” and drilling services with a total contract value of approximately USD183.12 million, UMW Standard Drilling Sdn Bhd (“UMWSD”), a wholly-owned subsidiary in the UMW Group, has entered into a Drilling Services Assistance Cooperation Agreement with PT. Harmoni Drilling Services (“PTHDS”) and PT. Isis Megah (“PTIM”).

The Agreement is to regulate and formalise the conduct of business processes and cooperation in relation to the provision of and the performance of the Drilling Contract in respect of “NAGA 2” entered into between HESS and PTIM. The Agreement also serves to confirm the roles of each of the parties as mentioned in its announcement on 29 September 2010 in relation to the execution of the Drilling Contract by HESS and PTIM.

The principal activity of UMWSD is to perform contract offshore drilling business and operations and other engineering services for oil and gas exploration, development and production in Malaysia and overseas.

PTHDS’s principal activities are the provision of offshore and onshore drilling and workover services to the Oil and Gas industry while the principal activities of PTIM are the supply of drilling and production equipment to the Oil and Gas industry.