Eurasia Drilling Company: Uses Cash to Extend Share Repurchase Program

Eurasia Drilling Company Limited, the leading onshore & offshore drilling service provider in the CIS, announced today that on September 23, 2014 the Board of Directors of EDC approved the extension of its Share Repurchase Program for an additional six month period starting October 2, 2014, once the current Share Repurchase Program expires. The amount authorized for the extended share repurchase is up to US $200 million in addition to the amount spent for the existing Share Repurchase Program.

The current Repurchase Program authorized by EDC’s Board of Directors and previously announced on February 20, 2014 is for a six month period from April 2, 2014 to October 2, 2014 in the amount of up to US $200 million. In accordance with the Program, on September 23, 2014 a subsidiary of the Company purchased 50,000 of the Company’s Global Depositary Receipts (“GDRs”) at the price of US $25.50 per GDR. Earlier, on July 8, 2014 a subsidiary of the Company purchased 85,000 of the Company’s GDRs at the price of US $31.50 per GDR. In total 1,970,273 GDRs were repurchased since the start of the Program, which constitutes approximately 1.36% of the Company’s issued and outstanding shares.

The GDRs repurchased under the Share Repurchase Programs are held by EDC Incentive Plan Limited, a subsidiary of the Company. Repurchases will continued to be funded from the Company’s cash reserves and accordingly the Company will not incur additional indebtedness to execute the Program.