Hamilton, Bermuda (February 1, 2022)

Archer Limited (“Archer”) is pleased to announce that Pan American Energy LLC (“Pan American”) has agreed to extend the duration of Archer’s drilling services contract for further two years on improved terms. 

The extended contract covers 2 drilling rigs, 13 workover units and 13 pulling units on Pan American’s Cerro Dragon field in the Golfo San Jorge basin in southern Argentina. The contract runs until Q2 2025 and Pan American has the flexibility to adjust the level of activity up or down during the contract term. The total value of the contract is estimated at USD 400 million, subject to actual activity level and services provided by Archer.

Dag Skindlo, CEO of Archer, commented, “Pan American is a leading energy company in Argentina, and we are pleased to continue our long relationship for an additional two years.  The contract extension, including the renegotiated terms, constitute a reaffirmation of our mutual commitment to build on this relationship and to deliver safe and cost-effective operations in Argentina”.

For additional information please contact:

Espen Joranger, Chief Financial Officer, Mobile: +47 982 06 812, Email: espen.joranger@archerwell.com

Joachim Houeland, Manager Treasury and Investor Relations, Mobile: +47 482 78 748, Email: joachim.houeland@archerwell.com

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.