Bermuda-based Seadrill Ltd. has announced that it is in the process of issuing a new five-year US dollar bond in the international market.

The size of the bond issue is expected to be between $200 million and $400 million, with $200 million already committed from investors.

The senior unsecured bonds will have a coupon of 6.5 percent payable semi-annually in arrears and will mature in October 2015. The bonds will be issued and redeemed at 100 percent of their principal amount. They are expected to be settled on or around October 5, 2010.

Seadrill intends to list the bonds on the Oslo Stock Exchange, with proceeds used for general corporate purposes.

Carnegie ASA and Pareto Securities AS will be acting as joint-lead managers and joint book runners.