ABAN LOYD CHILES OFFSHORE LIMITED

1 ABAN LOYD CHILES OFFSHORE LIMITED

Aban Loyd Chiles Offshore Ltd Forward Looking Statements This presentation contains statements that constitute forward looking statements including, without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to our future business developments and economic performance. While these forward looking statements represent our judgment and future expectations concerning the development of our business, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macro-economic, governmental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that we have indicated could adversely affect our business and financial performance. Aban undertakes no obligation to publicly revise any forward looking statements to reflect future events or circumstances. 2 ABAN LOYD CHILES OFFSHORE LIMITED

Industry Standing Aban Loyd Owns and operates 6 Offshore Jack-up Rigs, an FPSO (the only one in India) and two Drillships; one new-built jackup is under construction 3 ABAN LOYD CHILES OFFSHORE LIMITED

Vision To continue the market leadership in providing offshore drilling services in India To have a global presence in the offshore drilling industry To be amongst the top ten offshore drilling asset owners in the world 4 ABAN LOYD CHILES OFFSHORE LIMITED

Growth of Aban Loyd ORGANIC INORGANIC Promoted in 1986 by late Mr. M A Abraham in technical collaboration Commenced operations with 2 Jack up Rigs (Aban 1 and Aban 2) Aggressive build up of assets since March 04, balance sheet has grown nearly three times Purchased drill ship Frontier Ice in Sep 2004 Purchased a 300 ft Jack up Offshore drilling rig Pride West Virginia (now renamed as Aban V) in Dec, 2004 Purchased a 250 ft Jack up Offshore drilling rig Energy Explorer IV (now renamed as Aban VI) in Feb, 2005 Purchased a 250 ft Jack up Offshore drilling rig Rowan Texas in September 2005 Further capacity expansion in the pipeline Acquired Hitech Drilling Services India Limited from the TATA s in 2001. Hitech owned one 300 ft Jack-up Rig and a Floating production, storage and offloading facility (along with cash reserves of INR 0.45 BN) Consideration of INR 1.65 BN (USD 42 MM) Hitech merged with Aban with effect from Apr, 2001 5 ABAN LOYD CHILES OFFSHORE LIMITED

Rig Contract Status Rig Name Type Client Contract Day Rate (USD 000) Contract Validity Current ** rate (approx) (USD 000) Aban II 200 ft Jack up ONGC 25-35 Nov 2006 85 Aban III 300 ft Jack up ONGC 55-58 Jan 2008 148 Aban IV 300 ft Jack up ONGC 55-58 Nov 2007 148 Aban V 300 ft Jack up ONGC 55-58 Jan 2008 148 Aban VI 250 ft Jack up Oriental Oil 35-40 Oct 2007 120 ** estimated based on recent fixtures 6 ABAN LOYD CHILES OFFSHORE LIMITED

Rig Contract Status Rig Name Type Client Contract Day Rate (USD 000) Contract Validity Current ** rate (approx) (USD 000) Frontier Ice Drill Ship ONGC 40-45 Mar 2008 80 Tahara FPU Hardy 25-28 July 2007 60 Aban VII 250 ft Jack up HOEC 71-73 2 firm wells + 2 well options 120 Aban VIII 375 ft Jack up Under construction NA NA 185 Aban Abraham Drill ship Pioneer 295-300 4 firm wells + 4 well options 300 ** estimated based on recent fixtures 7 ABAN LOYD CHILES OFFSHORE LIMITED

Matching assets to revenues Current Contracts run till FY 08 Around 42% of the current debt to be repaid by FY 08 Contracts largely with highly credit rated parties Ability to place new acquisitions on charter with little or no time delay 8 ABAN LOYD CHILES OFFSHORE LIMITED

Core Competencies Lowest cost operator leading to higher margins In-house engineering capabilities High credibility and repeated accolades from clients for technical capabilities High safety norms matching international Standards Highly trained technical & commercial employee strength 9 ABAN LOYD CHILES OFFSHORE LIMITED

Aban Loyd - Strengths 100% drilling revenue in foreign currency (predominantly USD) High EBITDA Margins (above 55%) High quality of Receivables (ONGC) Firm Cash Flows Continuous Dividend track record for the last 18 years Internationally mobile assets of over USD 600 mn, against book value of USD 220 mn Easily saleable assets - an active market for rigs internationally as very few rigs have been built in the past several years Opportunity to deploy Rigs in international waters 10 ABAN LOYD CHILES OFFSHORE LIMITED

Credit Ratings / Testimonials F1+(Ind) by Fitch for Short Term Debt Program for INR 250 MM (USD 5.75 MM). CARE A (RPS) rating by CARE for Preference Shares of INR 1500 MM (USD 35 MM). Ranked 2 nd Best Investor Friendly Company by BUSINESS TODAY (a prominent Indian Business weekly) in June 05 Ranked 253 among the top 500 companies in India as per ET500 rankings of the Top Wealth Creators by the Economic Times (daily Indian Business paper) in June 2005 Aban s drilling and production services is ISO 9001:2000 certified 11 ABAN LOYD CHILES OFFSHORE LIMITED

Shareholding Pattern as on 31 Jan 2006 Particulars No. of Shares % Promoters (including Foreign Collaborators) 22,993,720 62.34 Institutional Investors 4,928,301 13.36 Public 8,964,574 24.30 TOTAL 36,886,595 100.00 12 ABAN LOYD CHILES OFFSHORE LIMITED

ENVIRONMENT AND OPPORTUNITIES 13 ABAN LOYD CHILES OFFSHORE LIMITED

Industry Outlook Jackup day-rates are surging in all regions due to: Worldwide supply deficit it takes 2 to3 years to build a new rig Very low addition to rig fleet in the 90s Attrition from recent hurricanes in the GOM Global competition for jack ups Willingness to sign long term contracts Pressure on E & P companies to accrue oil reserves. 14 ABAN LOYD CHILES OFFSHORE LIMITED

Market for Jack up rigs Middle East o o o Demand for jack-ups likely to increase by at least 14-15 rigs by end of 2006 Demand coming in mainly from Saudi Arabia. Day rates in Saudi Arabia have crossed USD 100,000 for 300 ft jack-ups South East Asia o Day rate fixtures in Southeast Asia range from USD 90,000-USD 150,000. o Deficit of around five to six units in the first half of 2006 o India o o Increased activity in the region is fuelling rising demand in the sector ONGC is still having an unfulfilled requirement of five to six rigs. Recent fixtures for 300 ft rigs have ranged from USD 99,000 to USD 147,000 per day. 15 ABAN LOYD CHILES OFFSHORE LIMITED

Total units operating in India Owner Jack ups Drillships TOTAL ONGC 8 2 10 Aban Loyd 4 1 5 Great Eastern Shipping 1 1 2 Jagson Intl 1 _ 1 Noble Drilling 2 _ 2 ENSCO 2 _ 2 Sapiem 1 _ 1 Pride Foramer 1 _ 1 Transocean 7 3 10 Dolphin AS _ 1 1 TOTAL 27 8 35 16 ABAN LOYD CHILES OFFSHORE LIMITED

Oil Prices and Day Rates Present oil prices have touched all time high of USD 68-69 per barrel E&P spend expanding after a long period of time Cash flows of oil companies strong Need to expand reserves Current day rates ruling at recent highs of USD 125,000 to 150,000 per day for 300 ft +Jack-up Rigs 17 ABAN LOYD CHILES OFFSHORE LIMITED

Opportunities in India on account of NELP Demand for Rigs Large private sector players like Reliance,Cairn, Niko, Hardy Exploration, British Gas, GAIL, GSPCL entering into the exploration sector Recent Reliance gas reserve find has resulted in a spurt in global interest in the Indian oil sector Consequently, demand for Rigs in India is likely to increase Advantage for Aban Loyd Has worked on contracts with International companies like Cairn Energy, Hardy Exploration & Oriental Oil Experience of working with private sector players gives Aban an edge in meeting the demands of the private sector players 18 ABAN LOYD CHILES OFFSHORE LIMITED

Expansion Formed a Wholly-owned Subsidiary in Singapore viz.aban Singapore PteLtd Contract with PPL Shipyard in Singapore for construction of one 375 ft jack-up drilling rig Delivery in March 2008 Contracted value is approximately USD 160 million Aban has acquired a company viz. West Africa Drilling Co N.V. (WADC) WADC has acquired drillship Peregrine III (now renamed as Aban Abraham) Capable of drilling in a water depth of 5000 ft Estimated cost around USD 185 million (including refurbishment) Awarded a contract for carrying out drilling operations in West Africa 19 ABAN LOYD CHILES OFFSHORE LIMITED

Past Financials

Past Financials-Balance Sheet As at As at As at BALANCE SHEET 31st March,2005 31st March,2004 31st March,2003 USD Mn USD Mn USD Mn I. SOURCES OF FUNDS (a) Share Capital 1.66 1.66 1.66 (b) Reserves and Surplus 48.04 38.31 29.08 2. Loan Funds Secured Loan 161.33 54.13 69.21 3. Deferred Tax (Net) 12.69 9.93 7.73 TOTAL FUNDS EMPLOYED 223.71 104.03 107.68 II APPLICATION OF FUNDS 1. Fixed Assets Gross Block 256.39 130.04 129.76 Less:Depreciation 75.72 65.10 56.57 Net Block 180.67 64.94 73.20 Add: Capital Work in Progress 0.77 1.58 0.51 181.44 66.52 73.70 2. Investments 5.36 17.18 5.18 3. Current Assets,Loans and Advances (a) Inventory of Stores & Spares 9.97 5.17 5.16 (b) Sundry Debtors 15.35 6.98 6.33 (c) Cash and Bank Balances 22.06 9.40 6.33 (d) Loans and Advances 3.91 3.41 11.13 51.28 24.96 28.95 Less: (A) Current Liabilities 12.04 4.98 2.81 (B) Provisions 2.33 1.40 0.93 14.37 6.38 3.74 Net Current Assets 36.91 18.57 25.21 4. Miscellaneous Expenditure - 1.74 3.59 TOTAL ASSETS 223.71 104.03 107.68 21 ABAN LOYD CHILES OFFSHORE LIMITED

Past Financials- P & L Statement I II Year ended Year ended Year ended PROFIT AND LOSS ACCOUNT 31st March,2005 31st March,2004 31st March,2003 USD Mn USD Mn USD Mn INCOME Income from Operations 64.94 62.21 54.80 Other Income 1.83 3.44 1.74 66.77 65.65 56.53 EXPENDITURE Operating, Administrative and Other Expenses 31.11 32.33 31.34 Interest 4.27 5.79 8.28 Depreciation 10.66 8.56 7.40 Goodwill Amortised 1.41 1.41 1.41 Deferred Revenue Expenses Written off - 0.01 0.01 47.45 48.10 48.45 Profit for the year before taxation 19.32 17.55 8.08 Less: Provision for taxation -Current Tax 4.94 4.72 0.64 -Deferred Tax 2.75 2.21 5.41 Profit for the year after taxation 11.62 10.63 2.04 Add: Profit brought forward from Previous Year 32.01 23.91 23.03 Profit available for Appropriation 43.63 34.54 25.07 Transfer to General Reserve 1.35 1.12 0.22 Proposed Dividend 1.66 1.24 0.83 Tax on Dividend 0.23 0.16 0.11 Balance Carried to Balance Sheet 40.40 32.01 23.91 22 ABAN LOYD CHILES OFFSHORE LIMITED

Past Financials-Cash Flow Statement CASH FLOW STATEMENT 2004-2005 2003-2004 2002-2003 USD mns USD mns USD mns A B CASH FLOW FROM OPERATING ACTIVITIES: NET PROFIT BEFORE TAX 19.32 17.55 8.08 ADJUSTMENTS FOR: Miscellaneous Expenditure - 0.01 0.01 Amortised Dry Docking expenses 1.74 1.84 1.84 Depreciation 10.66 8.56 7.40 Goodwill written off 1.41 1.41 1.41 Interest 4.27 5.79 8.28 Income from Non -Trade Investments (0.63) (0.48) (0.52) Profit on sale of Long Term and Current Investments (0.19) - (0.02) Loss on sale of Investments - 0.02 - Provision no longer required - (0.08) - Loss on sale of Fixed Assets - 0.12 0.09 Profit on sale of Assets (0.02) OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES 36.56 34.75 26.58 ADJUSTMENTS FOR: Inventories (4.80) (0.01) (0.52) Trade and other receivables (9.06) 4.69 5.43 Trade and other payables 6.73 2.29 0.32 CASH GENERATED FROM OPERATIONS 29.44 41.72 31.81 Direct taxes paid (4.22) (2.72) (1.16) NET CASH FROM OPERATING ACTIVITIES 25.22 39.00 30.64 CASH FLOW FROM INVESTING ACTIVITIES: Purchase of fixed assets (127.12) (3.01) (28.19) Sale of fixed assets 0.15 0.09 0.05 Interest and dividend received 0.54 0.87 0.15 Purchase of Investments (65.75) (78.27) (14.03) Sale of Investments 77.76 66.32 10.35 NET CASH USED IN INVESTING ACTIVITIES (114.42) (14.00) (31.67) 23 C CASH FLOW FROM FINANCING ACTIVITIES: Proceeds/(Repayment) of Long Term Borrowings 107.20 (15.08) - Proceeds from partly paid shares 0.00-12.40 Dividend paid including tax on dividend (1.40) (0.93) (0.66) Interest paid (3.94) (5.90) (8.53) NET CASH (USED IN)/ FROM FINANCING ACTIVTIES 101.86 (21.92) 3.21 NET INCREASE /(DECREASE) IN CASH AND CASH EQUIVALENTS 12.66 3.07 2.19 CASH -at beginning of the year 9.40 6.33 4.14 CASH - at end of the year 22.06 9.40 6.33 23 ABAN LOYD CHILES OFFSHORE LIMITED

Aban Rig Fleet 24 ABAN LOYD CHILES OFFSHORE LIMITED

JACK UP RIG - ABAN II RIG SPECIFICATIONS Year of Build : 1981 Major Upgradation and Refurbishment : 2001 Main Dimensional (Hull) Length : 166 ft (226 ft including Helideck) Breadth : 109 ft (132 ft max. at pods ) Depth : 16 ft Total Leg Length : 423 ft each Designed Draft Slot size : 50 ft x 50 ft : 8.75 ft (max) MAT : 210 ft x 170 ft x 12 ft (2 ft Skirt incl) Slot in Mat : 87 ft long x 90 ft wide Classification Society : ABS Accommodation/Hospital : 90 Persons/3 beds Helideck : 60 ft x 70 ft (Designed for Sikorsky S-61N Contract & Location : ONGC, on the EAST COAST OF INDIA Contract Validity : Till Oct, 2006 Contract day rates: USD 25,000-USD 27,000 25 ABAN LOYD CHILES OFFSHORE LIMITED

JACK UP RIG - ABAN III RIG SPECIFICATIONS Year of Build : 1974 Major Upgradation and Refurbishment : 1984 / 2003 Main Dimensional (Hull) Length : 217 ft -10-5/16" Breadth : 200 ft - 6" Depth : 26 ft - 0" Draft : 15 ft - 11-1/2" Total No. of Legs / Type / Length : 3 / Square Open Truss / 410 ft Classification Society : BV / IRS Accommodation/Hospital : 94 Persons/3 Beds Helideck : Round, 70.50 ft Dia (Designed for Sikorsky S-61 N) Contract & Location : ONGC at MUMBAI HIGH Contract Validity : Upto Jan, 2008 Contract day rates range : USD 55,000-60,000 26 ABAN LOYD CHILES OFFSHORE LIMITED

JACK UP RIG - ABAN IV RIG SPECIFICATIONS Year of Build : 1983 Major Upgradation and Refurbishment : 1999 Hull Dimension : 212 ft x 210 ft x 26 ft Cantilever Movement : 45 ft Longitudinal 12 ft transverse each side Max. Allowable Leg Length below Hull : 363 ft Total Leg Length : 423 ft each Classification Society : ABS *A1 Accommodation : 96 Persons Helideck : 80 ft Dia. (Designed for Sikorsky S-61) Contract & Location : ONGC at MUMBAI HIGH Contract Validity : Upto Nov, 2007 Contract day rate range : USD 55,000-60,000 27 ABAN LOYD CHILES OFFSHORE LIMITED

JACK UP RIG - ABAN V RIG SPECIFICATIONS Year of Build : 1982 Major Upgradation : 2002 Hull Dimension : 180 ft x 175 ft x 25 ft Cantilever Movement : 40 ft Longitudinal 10 ft transverse each Max. Allowable Leg Length below Hull : 361 ft Total Leg Length : 400 ft each Classification Society : ABS *A1 Accommodation : 84 Persons Helideck : 62 ft Dia. (Designed for Sikorsky 61) Contract & Location : ONGC at MUMBAI HIGH Contract Validity : Jan, 2008 Contract day rate range : USD 50,000-55,000 28 ABAN LOYD CHILES OFFSHORE LIMITED

JACK UP RIG - ABAN VI RIG SPECIFICATIONS Year of Build : 1975 Major Upgradation and Refurbishment : 1998 Main Dimensional (Hull) Length : 170 ft Breadth : 130 ft Depth : 19 ft Total Leg Length : 337 ft Total No. of Legs/Type/Length : 4/Triangular legs Classification Society : ABS Accommodation/Hospital : 78 Persons/3 Beds Helideck : 80 ft x 80 ft (Designed for Sikorsky S-61 N) Contract & Location : Oriental Oil Co, Dubai (in the Persian Gulf) Contract Validity : Oct, 2007 Contract day rate range : USD 35,000-40,000 29 ABAN LOYD CHILES OFFSHORE LIMITED

FPU - TAHARA FPU SPECIFICATIONS Year of Build : 1973 Major Upgradation and Refurbishment : 1988 (converted to FPU) and 1997 (Upgradation) Classification : A1 Floating Production System Length : 322 ft Breadth : 360 ft Height to main deck : 146 ft Operating Draft Afloat condition : 70 ft - 85 ft On bottom condition : :50 ft - 125 ft Contract & Location : Hardy Oil, on the EAST COAST OF INDIA Contract Validity : Jul, 2007 Contract day rate range : USD 23,000-28,000 ) 30 ABAN LOYD CHILES OFFSHORE LIMITED

DRILL SHIP - FRONTIER ICE RIG SPECIFICATIONS Year of Build : Built as Tanker in 1959 and converted to Drillship in 1975 Classification : ABS Maltese Cross A.1(M) Length : 183.0 m Breadth : 21.7 m Displacement : 26,156 T Operating Draft : 9.4 m Variable deck load : 9,805 T Mooring - Anchors : 8 Nos. x 15 T 5 Nos. x 9 T 3 Nos. x 15 T - Anchor Wire line : 8 Nos. x 3200 ft x 2-3/4 Chain - Anchor Winch : National, Rating 4,95,000 lbs Contract & Location : ONGC at MUMBAI HIGH Contract Validity : Feb, 2008 Contract day rate range : USD 40,000-45,000 31 ABAN LOYD CHILES OFFSHORE LIMITED

JACK UP RIG Aban VII RIG SPECIFICATIONS Year of Build : 1973 Rig Type : Jackup Jackup Type : Independent Leg Slot Rig Design : Le Tourneau Class 52-S Rated Water Depth : 250 ft Drilling Depth : 20,000 Rig Design : Le Tourneau Class 52-S Built By : Marathon Le Tourneau Flag : Panama Classification Society : ABS Contract & Location : Currently envisaged to be used in the spot market Spot Market Day Rate Range : USD 70,000-75000 32 ABAN LOYD CHILES OFFSHORE LIMITED

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