Hercules Offshore Provides Further Information On Incident On Jackup Drilling Rig Hercules 265

Jul 24, 2013, 17:05 ET from Hercules Offshore, Inc.

HOUSTON, July 24, 2013 /PRNewswire/ -- Hercules Offshore (NASDAQ:   HERO) today provided further information the incident aboard jackup drilling rig Hercules 265, a 250' mat-supported cantilevered unit, operating for Walter Oil & Gas Corporation in the U.S. Gulf of Mexico OCS lease block South Timbalier 220.  Based on a visual flyover inspection conducted by Hercules Offshore, the jackup rig is still standing, however it appears to have sustained extensive damage to the derrick package as a result of the continuing fire that ignited yesterday evening. 

The visual inspection revealed debris near the well site. The Company, Walter Oil & Gas and regulatory authorities are continuing to review the area for potential environmental impacts. The Company has contracted an outside environmental expert to monitor currents, wind direction and wave height for the potential trajectory of any conceivable environmental spill.

The Company is working with Walter Oil & Gas and their third party expert in efforts to regain control of the natural gas well, including preparation to drill a relief well.  In the event that a relief well is necessary, the Company is preparing to promptly mobilize the Hercules 200, a 200' mat-supported cantilevered unit to execute drilling of the relief well.

The Company continues to coordinate response activities with the U.S. Coast Guard and the Bureau of Safety and Environmental Enforcement.  As previously reported, all 44 personnel aboard the jackup rig were safely evacuated during the afternoon of July 23rd.  There have been no injuries sustained as a result of this incident.

About Hercules Offshore

Headquartered in Houston, Hercules Offshore, Inc. operates a fleet of 40 jackup rigs, including two Keppel FELS Super A high-specification, harsh-environment jackup rigs, and 24 liftboats. The Company offers a range of services to oil and gas producers to meet their needs during drilling, well service, platform inspection, maintenance, and decommissioning operations in several key shallow water provinces around the world. For more information, please visit our website at http://www.herculesoffshore.com.

Statements above that are not historical fact are forward-looking statements, including the damage to the rig, any potential environmental effects, and the expected process and timeframe for regaining control of the well and other response. We have based these statements on our assumptions in light of our experience, expected future developments and other factors we believe are appropriate in the circumstances. Forward-looking statements by their nature involve substantial risks and uncertainties that could significantly affect expected results, and actual results could differ materially from those described in such statements. Among the factors that could cause actual future results to differ materially are the risks and uncertainties described in our periodic reports filed with the Securities and Exchange Commission. Many of these factors are beyond our ability to control or predict.  We disclaim any obligation to update this information except as required by applicable rules and regulations.

SOURCE Hercules Offshore, Inc.