Ensco is the second largest provider of offshore contract drilling services to the oil and gas industry. We own and operate a fleet of ultra-deepwater drillships and semisubmersibles, moored semisubmersibles and premium jackups. We are building three more ultra-deepwater semisubmersible rigs capable of drilling at water depths up to 8,500 feet to a total depth of 35,000 feet as well as drillships and ultra-premium harsh environment jackup rigs. The unique jackup design features of the rigs significantly increase the area of operability in the Central North Sea and other harsh environment regions with industry-leading capacities and efficiencies. Our drilling rigs are located throughout the world in the major oil and gas markets and we manage our business regionally as follows: Asia Pacific (which includes Asia, the Middle East and Australia), Europe and Africa, and North and South America.

We provide our drilling services to major international, government-owned and independent oil and gas companies on a "day rate" contract basis. Our customers bear substantially all of the ancillary costs of constructing the well and supporting drilling operations, as well as the economic risk relative to the success of the well. Drilling contracts are, for the most part, awarded on a competitive bid basis. We do not provide "turnkey" or other risk-based drilling services.