SDSD: ISSUANCE AND ALLOTMENT OF NEW SHARES FROM THE SUBSEQUENT OFFERING

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SDSD: ISSUANCE AND ALLOTMENT OF NEW SHARES FROM THE SUBSEQUENT OFFERING

Limassol, January 27, 2017

Reference is made to announcements made on January 23, 2017, concerning a completed subsequent offering of 5,514,718 new shares (the "New Shares") (the "Subsequent Offering") in S.D. Standard Drilling Plc. ("SDSD" or the "Company").

The New Shares have now been validly and legally issued and registered in the VPS with ISIN number CY0101550917 and will be delivered on Friday January 27, 2017 to the investors that have been allotted shares. The New Shares will start trading on the Oslo Axess with ticker: SDSD and with ISIN number CY0101550917 on Friday January 27, 2017.

Following the issuance of the New Shares the share capital of the Company has been increased to USD 8,017,028.42 divided into 801,702,842 shares with a par value of USD 0.01 each, all of which are fully paid.

In addition the Company has recently completed a private placement, as announced on January 25, 2017. Following the issuance of the shares in that private placement, the share capital of the Company will be increased to USD 10,220,000 divided into 1,022,000,000 shares with a par value of USD 0.01 each. For further information please contact: General Manager Evangelia Panagide at [phone], or Chairman of the Board Martin Nes at [phone] *** This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.