Northern Offshore Seeks New Line of Credit/Contemplates Dividend Policy

Mar 24, 2011, 18:53 ET from Northern Offshore, Ltd.

HOUSTON, March 24, 2011 /PRNewswire/ -- Northern Offshore, Ltd. (Oslo Bors: NOF.OL) announced that it is determined to seek a new credit facility to refinance its existing line of credit which expires on September 30, 2011.  In conjunction with any new credit facility, the Board anticipates the adoption of a dividend policy to provide distributions to its shareholders within the terms of the new credit facility and the capital and liquidity requirements of the Company.  Restrictions in the Company's current line of credit generally preclude dividend and other distributions to the Company's shareholders.  Subject to market conditions, the Company anticipates that the new credit facility should be in place in the second quarter 2011.

About the Company

Northern Offshore, Ltd. is a Bermuda holding company which operates offshore oil and gas production and drilling vessels in various markets around the world, including the North Sea, the Indian Ocean, offshore Russia, the Mediterranean Sea and Southeast Asia. The company's fleet consists of one floating production facility and five drilling units (a drillship, a semisubmersible and three jackup drilling rigs).  The company also provides rig management services, and is currently operating in this capacity on two semisubmersibles in the Caspian Sea.  More information on Northern Offshore, Ltd. may be found by visiting the company's website at

For further information, please contact:
Brian Hefty at (713) 739-7686,
or via email at

SOURCE Northern Offshore, Ltd.