Bermuda-based Seadrill Ltd. has extended the maturity of the options for its Employee Share Ownership Plan, it was announced on Monday.

In May 2005, Seadrill set up the plan and authorised its board of directors to grant and allocate five million shares for $2.23 per share pursuant to the plan.

The initial subscription price was set to ten percent premium to the underlying stock price at the time the authorisation was given.

As part of this programme, the Board was awarded options that will expire in May next year, but that has now been resolved with an extension on the maturity of these options for relevant Board members by two years.

In connection with the takeover of Smedvig and the establishment of the Seadrill Management AS organisation, certain individuals were granted options with an exercise price of NOK 102 that were originally to mature at year-end 2009. However it has been resolved to extend the maturity of these options by two years.

The extensions have been granted to align the interests of the shareholders, the Board and management.