Document:

EX-10.1

 Exhibit 10.1 

UNIT PURCHASE AGREEMENT 

This UNIT PURCHASE AGREEMENT (this “Agreement”) is made effective as of March 12, 2014, between SEADRILL PARTNERS LLC, a
Marshall Islands limited liability company (“Seller”), and SEADRILL LIMITED, a Bermuda exempted company (“Buyer”). 

RECITAL 
 Upon the terms
and subject to the conditions set forth herein, Seller desires to sell and Buyer desires to purchase 1,633,987 common units representing limited liability company interests of Seller (the “Units”) at the same per unit price and at the same
time as up to an aggregate of 11,960,000 common units of Seller being sold in connection with a public offering of common units pursuant to the Seller’s prospectus supplement dated March 12, 2014 (the “Public Sale”). 

AGREEMENT 
 NOW,
THEREFORE, for and in consideration of the foregoing premises and of the mutual covenants and agreements herein contained, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereby
agree as follows: 
 Section 1. Purchase and Sale of the Units 

(a) Sale of the Units. Subject to the terms and conditions of this Agreement, Buyer agrees to purchase from Seller, and Seller
agrees to sell to Buyer, 1,633,987 Units in consideration of an aggregate payment of $50,000,002 (the “Purchase Price”) by Buyer; the per Unit purchase price equal to the price per Unit to be paid by the public in the Public Sale. 

1.2 Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall take place
concurrently with the closing of the Public Sale pursuant to the Underwriting Agreement dated March 12, 2014 between the Seller, the underwriters name therein and the other parties thereto (the “Underwriting Agreement”). 

1.3 Closing Deliveries. 

(a) At the Closing, Buyer shall deliver to Seller as consideration for the Units purchased by Buyer an acknowledgement of receipt of the
Purchase Price. 
 (b) At the Closing, Seller shall cause Seller’s transfer agent to record the ownership of the Units on the records
of the transfer agent in accordance with instructions from Buyer. 
 1.4 Closing Condition; Termination. Buyer’s
obligation to purchase the Units in accordance with this Agreement is subject to the closing of the Public Sale contemplated by the Underwriting Agreement. If the Underwriting Agreement is terminated or if it shall not be entered into prior to
March 31, 2014, this Agreement shall automatically terminate. 

 Section 2. Representations and Warranties 

2.1 Buyer’s Representations and Acknowledgements. Buyer represents and warrants to Seller that: 

(a) Buyer has all requisite power and authority to execute and deliver this Agreement and to perform the transactions contemplated hereby and
this Agreement is a valid and binding obligation of Buyer, enforceable against the Buyer in accordance with its terms; and 
 (b) The Units
are being acquired solely for the account of Buyer and not with a view to, or for resale in connection with, a distribution of all or any part thereof. 

Buyer acknowledges and understands that the Units have not been registered under the Securities Act of 1933, as amended (the “1933
Act”), and therefore are subject to resale restrictions. Buyer agrees to the placement of a legend on any Unit certificate or on the records of the transfer agent to the effect that the Units may not be sold without registration under the 1933
Act or pursuant to an exemption from registration. 
 2.2 Seller’s Representations. Seller represents and warrants to
Buyer that: 
 (a) Seller has all necessary power and authority to execute and deliver this Agreement and to perform the transactions
contemplated hereby and this Agreement is a valid and binding obligation of Seller, enforceable against Seller in accordance with its terms; 

(b) No consent, approval or authorization of any third party is required for consummation by Seller of the transactions contemplated by this
Agreement, and the execution and delivery of this Agreement and the performance of the transactions contemplated hereby do not violate, conflict with, or cause a default under any contract, agreement, document, or instrument, any law, rule,
regulation or any judicial or administrative decision to which Seller or the Units may be subject, or that would create a lien, security interest, encumbrance or restrictions of any kind upon the Units other than pursuant to applicable securities
laws; and 
 (c) Upon the payment for the Units in accordance with the terms of this Agreement, good and marketable title to all of the
Units, free and clear of all mortgages, liens, security interests, pledges, charges, encumbrances or claims of any kind will be sold to and vest in Buyer. 

2.3 Survival; Indemnity. All representations and warranties made herein shall survive the Closing. Buyer agrees to indemnify and
hold Seller harmless from any and all losses, damages, claims, actions and proceedings, including any legal or other expenses, arising out of any breach of any representation or warranty made by the Buyer herein and Seller agrees to indemnify and
hold Buyer harmless from any and all losses, damages, claims, actions and proceedings, including any legal or other expenses, arising out of any breach of any representation or warranty made by the Seller herein. 

  
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 Section 3. Further Assurances 

Each party agrees to, at any time and from time to time, promptly execute and deliver such further agreements, documents and instruments, and
promptly take or forbear from taking such further actions as the other party may reasonably request in order to more effectively confirm or carry out the provisions of this Agreement. 

Section 4. Miscellaneous 

4.1 Entire Agreement. Each party hereto acknowledges that this Agreement embodies the entire agreement and understanding between
them with respect to the subject matter hereof and supersedes any prior agreements and understandings relating to the subject matter hereof. This Agreement may not be altered, modified, terminated or discharged except by a writing signed by the
party against whom such alteration, modification, termination or discharge is sought. 
 4.2 Binding Nature. This Agreement
shall be binding upon, and inure to the benefit of, the parties hereto and their respective successors, heirs, personal representatives and assigns. 

4.3 Governing Law. This Agreement shall be governed by and construed under the laws of the state of New York. 

4.4 Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original,
and all of which, taken together, shall constitute one and the same instrument. Delivery of an executed signature page to this Agreement by facsimile transmission shall be as effective as delivery of a manually signed counterpart hereof. 

[Remainder of page intentionally left blank] 

  
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 IN WITNESS WHEREOF, the parties have executed this UNIT PURCHASE AGREEMENT as of the date first
written above. 
  

			
	 SELLER:
  

SEADRILL PARTNERS LLC

		
	By:	 	/s/ Graham Robjohns
	Name:	 	Graham Robjohns
	Title:	 	Chief Executive Officer

  

			
	 BUYER:
  

SEADRILL LIMITED

		
	By:	 	/s/ Rune Magnus Lundetræ
	Name:	 	Rune Magnus Lundetræ
	Title:	 	Authorized Person

 SIGNATURE PAGE TO UNIT
PURCHASE AGREEMENTEX-10.2

 Exhibit 10.2 
  

 
 CONTRIBUTION, PURCHASE AND SALE
AGREEMENT 
 Dated as of March 11, 2014 
  

 

 TABLE OF CONTENTS 

 

					
	ARTICLE I
	
	DEFINITIONS
			
	Section 1.1	 	Definitions	  	2
	
	ARTICLE II
	
	THE CONTRIBUTIONS, PURCHASES AND SALES
			
	Section 2.1	 	Issuance of Capricorn Holdings Units to the Company in Exchange for Cash	  	6
	Section 2.2	 	Issuance of Capricorn Holdings Units to Seadrill in Exchange for Cash	  	6
	Section 2.3	 	Purchase and Sale of 100% Interest in Seadrill Gulf Auriga	  	6
	Section 2.4	 	Purchase and Sale of 100% Interest in Seadrill Auriga Hungary	  	7
	Section 2.5	 	Closing	  	7
	Section 2.6	 	Purchase Price Adjustment	  	7
	Section 2.7	 	Satisfaction of Intercompany Receivables	  	7
	Section 2.8	 	Set-Off	  	7
	
	ARTICLE III
	
	REPRESENTATIONS AND WARRANTIES OF SEADRILL
			
	Section 3.1	 	Representations and Warranties	  	7
	
	ARTICLE IV
	
	REPRESENTATIONS AND WARRANTIES OF THE COMPANY
			
	Section 4.1	 	Representations and Warranties	  	13
	
	ARTICLE V
	
	REPRESENTATIONS AND WARRANTIES OF CAPRICORN HOLDINGS
			
	Section 5.1	 	Representations and Warranties	  	14
	
	ARTICLE VI
	
	PRE-CLOSING MATTERS
			
	Section 6.1	 	Covenants of Seadrill Prior to the Closing Date	  	15
	Section 6.2	 	Covenant of the Company Prior to the Closing Date	  	16
	Section 6.3	 	Covenant of Capricorn Holdings Prior to the Closing Date	  	16

  
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	ARTICLE VII
	
	CONDITIONS OF CLOSING
			
	Section 7.1	 	Conditions of the Parties	  	16
	Section 7.2	 	Conditions of Seadrill and Seadrill Americas	  	17
	Section 7.3	 	Conditions of the Company and Capricorn Holdings	  	17
	
	ARTICLE VIII
	
	TERMINATION, AMENDMENT AND WAIVER
			
	Section 8.1	 	Termination of this Agreement	  	18
	Section 8.2	 	Amendments and Waivers	  	18
	
	ARTICLE IX
	
	INDEMNIFICATION
			
	Section 9.1	 	Indemnification by Seadrill and Seadrill Americas	  	19
	Section 9.2	 	Limitations Regarding Indemnification	  	19
	Section 9.3	 	Indemnification by the Company and Capricorn Holdings	  	20
	Section 9.4	 	Indemnification by Seadrill for Certain Liabilities Arising under Rig Financing Agreements	  	20
	
	ARTICLE X
	
	FURTHER ASSURANCES
			
	Section 10.1	 	Further Assurances	  	20
	Section 10.2	 	Power of Attorney	  	21
	
	ARTICLE XI
	
	MISCELLANEOUS
			
	Section 11.1	 	Survival of Representations and Warranties	  	22
	Section 11.2	 	Headings; References, Interpretation	  	22
	Section 11.3	 	Successors and Assigns	  	22
	Section 11.4	 	No Third Party Rights	  	22
	Section 11.5	 	Counterparts	  	23
	Section 11.6	 	Governing Law	  	23
	Section 11.7	 	Severability	  	23
	Section 11.8	 	Deed; Bill of Sale; Assignment	  	23
	Section 11.9	 	Integration	  	23

  
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 CONTRIBUTION, PURCHASE AND SALE AGREEMENT 

This CONTRIBUTION, PURCHASE AND SALE AGREEMENT (this “Agreement”), dated as of March 11, 2014 is
made by and among Seadrill Limited, a Bermuda exempted company (“Seadrill”), Seadrill Partners LLC, a Marshall Islands limited liability company (the “Company”), Seadrill Capricorn Holdings LLC, a
Marshall Islands limited liability company (“Capricorn Holdings”), and Seadrill Americas Inc., a Texas corporation (“Seadrill Americas”). The above-named entities are sometimes referred to in this
Agreement each as a “Party” and collectively as the “Parties.” 

RECITALS 

WHEREAS, the Company owns 10,200 units, representing a 51% limited liability company interest in Capricorn Holdings, and Seadrill owns
9,800 units, representing a 49% limited liability company interest in Capricorn Holdings; 
 WHEREAS, Seadrill Auriga Hungary
Kft., a Hungarian limited liability company (“Seadrill Auriga Hungary”), is the record owner of the drillship, the West Auriga; 

WHEREAS, Seadrill is the record owner of all of the equity interests in Seadrill Auriga Hungary; 

WHEREAS, Seadrill Americas is the record owner of all of the equity interests in Seadrill Gulf Operations Auriga LLC, a Delaware
limited liability company (“Seadrill Gulf Auriga”); 

WHEREAS, the West Auriga is subject to a contract for offshore drilling
services, dated October 10, 2012, between Seadrill Deepwater Contracting Ltd., a Bermuda exempted company (“Seadrill Deepwater Contracting”), and BP Exploration and Production Inc., a Delaware corporation
(“BP”), and on February 15, 2013, Seadrill Deepwater Contracting entered into an Assignment Agreement whereby it transferred its rights and obligations under such drilling contract to Seadrill Gulf Auriga (the resulting
drilling contract following such assignment and novation, the “West Auriga Drilling Contract”); 

WHEREAS, Seadrill Auriga Hungary and Seadrill Gulf Auriga are party to a bareboat charter, dated
March 27, 2013 (the “West Auriga Bareboat Charter”); and 
 WHEREAS, pursuant to this
Agreement, each of the following will occur on the Closing Date (as defined in Section 2.5): 
  

	 	1.	The Company will contribute to Capricorn Holdings $355,441,667 in exchange for 5,100 units representing limited liability company interests in Capricorn Holdings; 

 

	 	2.	Seadrill will contribute to Capricorn Holdings $341,502,777 in exchange for 4,900 units, representing limited liability company interests in Capricorn Holdings; 

  
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	 	3.	Capricorn Holdings will purchase from Seadrill Americas 100% of the outstanding membership interests in Seadrill Gulf Auriga, in exchange for $19,700,000 in cash; and 

 

	 	4.	Capricorn Holdings will purchase from Seadrill 100% of the ownership interests in Seadrill Auriga Hungary, in exchange for (i) $677,244,444 in cash and (ii) the issuance by Seadrill Capricorn Holdings to
Seadrill of a limited recourse promissory discount note with an initial issue amount of $100.0 million substantially in the form of Exhibit I hereto (the “Capricorn Note”). 

AGREEMENT 
 NOW
THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties hereby agree as follows: 

ARTICLE I 
 DEFINITIONS

 Section 1.1 Definitions. The following defined terms will have the meanings given below: 

“1934 Act Filings” means the filings made with the Securities and Exchange Commission under the
Securities Exchange Act of 1934 by Seadrill or the Company, as the case may be. 
 “Agreement” means
this Contribution, Purchase and Sale Agreement. 
 “BP” has the meaning set forth in the Recitals of
this Agreement. 
 “Capricorn Holdings” has the meaning set forth in the Recitals of this Agreement.

 “Capricorn Holdings Operating Agreement” has the meaning set forth in Section 5.1(c). 

“Capricorn Note” has the meaning set forth in the Recitals of this Agreement. 

“Closing Date” has the meaning set forth in Section 2.5. 

“Company” has the meaning set forth in the opening paragraph of this Agreement. 

“Company Attorney-in-Fact” has the meaning set forth in Section 10.2(a). 

“Company Indemnitees” has the meaning set forth in Section 9.1 of this Agreement. 

  
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 “Company Indemnitors” has the meaning set forth in
Section 9.3 of this Agreement. 
 “Covered Assets” has the meaning set forth in
Section 9.1(b). 
 “Covered Environmental Losses” means all Losses suffered or incurred
by the Company or Capricorn Holdings by reason of, arising out of or resulting from: 
 (a) any violation or correction of
violation of Environmental Laws with regard to the ownership or operation by Seadrill, Seadrill Americas or Seadrill Auriga Hungary of the Covered Assets; or 

(b) any event or condition relating to environmental or human health and safety matters, in each case, associated with the
ownership or operation by Seadrill, Seadrill Americas or Seadrill Hungary Auriga of the Covered Assets (including, without limitation, the presence of Hazardous Substances on, under, about or migrating to or from the Covered Assets or the disposal
or release of, or exposure to, Hazardous Substances generated by or otherwise related to operation of the Covered Assets), including, without limitation, the reasonable and documented cost and expense of (i) any investigation, assessment,
evaluation, monitoring, containment, cleanup, repair, restoration, remediation or other corrective action required or necessary under Environmental Laws, (ii) the preparation and implementation of any closure, remedial, corrective action or
other plans required or necessary under Environmental Laws and (iii) any environmental or toxic tort (including, without limitation, personal injury or property damage claims) pre-trial, trial or appellate legal or litigation support work, 

but only to the extent that such violation complained of under clause (a), or such events or conditions included in clause (b), occurred before
the Closing Date; and, provided that in no event shall Losses to the extent arising from a change in any Environmental Law after the Closing Date be deemed “Covered Environmental Losses.” 

“Encumbrance” means any mortgage, maritime or other lien, charge, assignment, adverse claim,
hypothecation, restriction, option, covenant, voting trust arrangement, adverse claim, condition, encumbrance or right, whether fixed or floating, on, or any security interest in, any property whether real, personal or mixed, tangible or intangible,
any pledge or hypothecation of any property, any deposit arrangement, priority, conditional sale agreement, other title retention agreement or equipment trust, capital lease or other security arrangements of any kind. 

“Environmental Laws” means all international, federal, state, foreign and local laws, statutes, rules,
regulations, treaties, conventions, orders, judgments and ordinances having the force and effect of law and relating to protection of natural resources, health and safety and the environment, each in effect and as amended through the Closing Date.

 “Financing Agreements” means collectively the (1) Amended and Restated Revolving Loan
Agreement dated August 31, 2013 between Seadrill Operating, Seadrill Capricorn Holdings and Seadrill Partners Operating LLC, as borrowers, and Seadrill, as 

  
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lender, as amended, (2) Credit Agreement, dated as of February 21, 2014, among Seadrill Operating LP, Seadrill Partners Finco LLC and Seadrill Capricorn Holdings LLC, as Borrowers,
Deutsche Bank AG New York Branch, as administrative agent, and the banks and financial institutions named therein as lenders, (3) Amended and Restated US$1,200,000,000 Senior Secured Credit Facility Agreement dated October 10, 2012 among
Seadrill, as Borrower, the subsidiaries of Seadrill named therein as guarantors, and the banks and financial institutions named therein as lenders, (4) Amended and Restated US$275,000,000 Senior Secured Term Loan and Revolving Credit Facility
Agreement dated October 10, 2012 among Seadrill, as Borrower, the subsidiaries of Seadrill named therein, as guarantors, and the banks and financial institutions named therein as lenders, (5) Amended and Restated the US$275,000,000 Senior
Secured Term Loan Facility Agreement dated October 10, 2012 among Seadrill, as Borrower, the subsidiaries of Seadrill named therein, as guarantors, as the banks and financial institutions named therein as lenders, (6) Amended and Restated
Common Terms Agreement dated October 10, 2012 among Seadrill, as Borrower, the subsidiaries of Seadrill named therein as guarantors, DNB Bank ASA as Agent, GIEK Facility Agent and Security Agent and Citibank NA, London Branch as GIEK Agent and
(7) US$440,000,000 Senior Secured Credit Facility Agreement dated December 4, 2012, as amended, among Seadrill, as Borrower, the subsidiaries of Seadrill named therein as guarantors, and the banks and financial institutions named therein
as lenders. 
 “Governmental Authority” means any domestic or foreign government, including federal,
provincial, state, municipal, county or regional government or governmental or regulatory authority, domestic or foreign, and includes any department, commission, bureau, board, administrative agency or regulatory body of any of the foregoing and
any multinational or supranational organization. 
 “Hazardous Substances” means (a) each
substance defined, designated or classified as a hazardous waste, hazardous substance, hazardous material, solid waste, contaminant or toxic substance under Environmental Laws; (b) petroleum and petroleum products, including crude oil and any
fractions thereof; (c) natural gas, synthetic gas and any mixtures thereof; (d) any radioactive material; and (e) any asbestos-containing materials in a friable condition. 

“Insolvency Event” means, with respect to any Person, that any of the following actions has occurred in
relation to it: 
 (a) an order has been made or an effective resolution passed or other proceedings or actions taken
(including the presentation of a petition) with a view to its administration, bankruptcy, winding-up, liquidation or dissolution; or 

(b) it has had a receiver, administrative receiver, manager or administrator appointed over all or any substantial part of its
undertaking or assets; or 
 (c) any event has occurred or situation arisen in any jurisdiction that has a substantially
similar effect to any of the foregoing. 

  
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 “Law” has the meaning set forth in
Section 3.1(c). 
 “Losses” means, with respect to any matter, all losses, claims,
damages, liabilities, deficiencies, costs, expenses (including all costs of investigation, legal and other professional fees and disbursements, interest, penalties and amounts paid in settlement) or diminution of value, whether or not involving a
claim from a third party, however specifically excluding consequential, special and indirect losses, loss of profit and loss of opportunity. 

“Person” means an individual, legal personal representative, corporation, body corporate, firm, limited
liability company, partnership, trust, trustee, syndicate, joint venture, unincorporated organization or governmental authority. 

“Party” or “Parties” has the meaning set forth in the opening paragraph of this
Agreement. 
 “Rig Financing Agreements” means the West Auriga Credit Facility and any documents
related thereto. 
 “Rig Financing Indemnitees” has the meaning set forth in Section 9.4.

 “Seadrill” has the meaning set forth in the opening paragraph of this Agreement. 

“Seadrill Americas” has the meaning set forth in the opening paragraph of this Agreement. 

“Seadrill Attorney-in-Fact” has the meaning set forth in Section 10.2(b). 

“Seadrill Auriga Hungary” has the meaning set forth in the Recitals of this Agreement. 

“Seadrill Deepwater Contracting” has the meaning set forth in the Recitals of this Agreement. 

“Seadrill Gulf Auriga” has the meaning set forth in the Recitals of this Agreement. 

“Seadrill Indemnitees” has the meaning set forth in Section 9.3 of this Agreement. 

“Seadrill Indemnitors” has the meaning set forth in Section 9.1 of this Agreement. 

“Taxes” means all income, franchise, business, property, sales, use, goods and services or value added,
withholding, excise, alternate minimum capital, transfer, excise, customs, anti-dumping, countervail, net worth, stamp, registration, payroll, employment, health, education, business, school, property, local improvement, development and occupation
taxes, surtaxes, duties, levies, imposts, rates, fees, assessments, dues and charges and other taxes required to be reported upon or paid to any governmental authority and all interest and penalties thereon. 

  
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 “Transferred Subsidiaries” means, collectively, Seadrill
Gulf Auriga and Seadrill Auriga Hungary. 
 “Transferred Subsidiary Contracts” has the meaning set
forth in Section 3.1(p) of this Agreement. 
 “West Auriga Bareboat Charter” has the
meaning set forth in the Recitals of this Agreement. 
 “West Auriga Credit Facility” means the $1.45
billion secured credit facility dated March 20, 2013, as amended, between Seadrill Auriga Ltd., Seadrill Tellus Ltd., Seadrill Vela Ltd., as Borrowers, Seadrill as Parent, the subsidiaries of Seadrill named therein as guarantors and the banks
and other financial institutions named therein as lenders. 
 “West Auriga Drilling Contract” has the
meaning set forth in the Recitals of this Agreement. 
 “West Auriga Purchase Price” has the meaning
set forth in Section 2.4 of this Agreement. 
 “West Auriga Purchase Price Adjustment”
has the meaning set forth in Section 2.6(a) of this Agreement. 
 ARTICLE II 

THE CONTRIBUTIONS, PURCHASES AND SALES 

On the Closing Date, the Parties agree that the following transactions shall be completed in the order set forth below. 

Section 2.1 Issuance of Capricorn Holdings Units to the Company in Exchange for Cash. Capricorn Holdings shall issue to the Company
5,100 units, representing limited liability company interests in Capricorn Holdings, in exchange for a contribution of $355,441,667 in cash. 

Section 2.2 Issuance of Capricorn Holdings Units to Seadrill in Exchange for Cash. Capricorn Holdings shall issue to Seadrill 4,900
units, representing limited liability company interests in Capricorn Holdings, in exchange for a contribution of $341,502,777 in cash. 

Section 2.3 Purchase and Sale of 100% Interest in Seadrill Gulf Auriga. Seadrill Americas shall sell and transfer to Capricorn
Holdings, and Capricorn Holdings shall purchase from Seadrill Americas, 100% of the outstanding membership interests in Seadrill Gulf Auriga, in exchange for $19,700,000 in cash. 

  
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 Section 2.4 Purchase and Sale of 100% Interest in Seadrill Auriga Hungary. Seadrill shall
sell and transfer to the Capricorn Holdings, and Capricorn Holdings shall purchase from Seadrill, 100% of the ownership interests in Seadrill Auriga Hungary, in exchange for (i) $677,244,444 in cash and (ii) the issuance by Seadrill
Capricorn Holdings to Seadrill of the Capricorn Note (collectively, the “West Auriga Purchase Price”). 
 Section
2.5 Closing. On the terms and subject to the conditions of this Agreement, the sales and purchases and contributions set forth in Section 2.1 through Section 2.4 shall take place within 30 days of after the date
hereof, or on such other date as may be agreed upon by the Parties (the “Closing Date”). 
 Section 2.6 Purchase
Price Adjustment. 
 (a) The West Auriga Purchase Price shall be increased or decreased by an amount equal to the amount by which all
net working capital (excluding inventory and debt) reflected on the books and records as of the Closing Date of the Transferred Subsidiaries either exceeds or is less than $5,000,000 (the “West Auriga Purchase Price
Adjustment”). 
 (b) Within 30 days following the Closing Date, Seadrill and the Company shall agree on the amount of the West
Auriga Purchase Price Adjustment pursuant to Section 2.6(a), and Seadrill and the Company shall make settlement of the West Auriga Purchase Price Adjustment within 30 days thereafter. 

Section 2.7 Satisfaction of Intercompany Receivables. Seadrill hereby agrees that, at or prior to Closing, Seadrill shall arrange for
the extinguishment of the obligations of Seadrill Gulf Auriga and Seadrill Auriga Hungary, by settlement or any other manner in Seadrill’s sole discretion, in relation to all amounts payable to Seadrill and its subsidiaries by Seadrill Gulf
Auriga and Seadrill Auriga Hungary. 
 Section 2.8 Set-Off. On the Closing Date, Capricorn Holdings may set off the amount owed by
Seadrill to Capricorn Holdings pursuant to Section 2.2 against the liability of Capricorn Holdings to Seadrill to Section 2.4(i). Any exercise by Capricorn Holdings of its rights under this clause shall not limit or affect
any other rights or remedies available to any party under this Agreement or otherwise. 
 ARTICLE III 

REPRESENTATIONS AND WARRANTIES OF SEADRILL 

Section 3.1 Representations and Warranties. Seadrill hereby represents and warrants to the Company, as of the date hereof and as of the
Closing Date, as to itself and as to Seadrill Americas, each of the Transferred Subsidiaries and the West Auriga, as the case may, be that: 

(a) Each of Seadrill, Seadrill Americas and the Transferred Subsidiaries has been duly formed or incorporated and is validly existing and in
good standing under the laws of its respective jurisdiction of formation or incorporation and has all requisite power and authority to operate its assets and conduct its business as it is now being conducted and, in the case of

  
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Seadrill, as described in its 1934 Act Filings. No Insolvency Event has occurred with respect to Seadrill, Seadrill Americas or the Transferred Subsidiaries and no events or circumstances have
arisen that entitle or could entitle any person to take any action, appoint any person, commence proceedings or obtain any order instigating an Insolvency Event; 

(b) Each of Seadrill and Seadrill Americas has the full right, power and authority to enter into this Agreement and to perform its obligations
hereunder. The execution and delivery of this Agreement by Seadrill and Seadrill Americas and the execution and delivery of all documents, instruments and agreements required to be executed and delivered by Seadrill, Seadrill Americas and each of
the Transferred Subsidiaries pursuant to this Agreement in connection with the completion of the transactions contemplated by this Agreement, have been duly authorized by all necessary action on the part of Seadrill, Seadrill Americas and each of
the Transferred Subsidiaries party hereto or thereto, and this Agreement has been duly executed and delivered by Seadrill and Seadrill Americas and constitutes a legal, valid and binding obligation of Seadrill and Seadrill Americas, enforceable in
accordance with its terms, except as may be limited by bankruptcy, insolvency, liquidation, reorganization, reconstruction and other similar laws of general application affecting the enforceability of remedies and rights of creditors and except that
equitable remedies such as specific performance and injunction are in the discretion of a court; 
 (c) The execution, delivery and
performance by Seadrill, Seadrill Americas and each of the Transferred Subsidiaries, as applicable, of this Agreement and the transactions contemplated hereunder will not conflict with or result in any violation of or constitute a breach of any of
the terms or provisions of, or result in the acceleration of any obligation under, or constitute a default under any provision of: (i) Seadrill’s, Seadrill Americas’ or the Transferred Subsidiaries’ articles of association,
articles of incorporation or bylaws or certificate of formation or limited liability company agreement or other organizational documents; (ii) any lien, encumbrance, security interest, pledge, mortgage, charge, other claim, bond, indenture,
agreement, contract, franchise license, permit or other instrument or obligation to which Seadrill, Seadrill Americas or any of the Transferred Subsidiaries is a party or is subject or by which any of Seadrill’s, Seadrill Americas’ or any
of the Transferred Subsidiaries’ assets or properties may be bound; (iii) any applicable laws, statutes, ordinances, rules or regulations promulgated by a governmental authority, orders of a governmental authority, judicial decisions,
decisions of arbitrators or determinations of any governmental authority or court (“Laws”); or (iv) the West Auriga Drilling Contract or any material provision of any material contract to which Seadrill, Seadrill
Americas or any of the Transferred Subsidiaries is a party or by which the assets of Seadrill, Seadrill Americas or any of the Transferred Subsidiaries are bound; 

(d) Except as have already been obtained or that will be obtained in the ordinary course of business, no consent, permit, approval or
authorization of, notice or declaration to or filing with any Governmental Authority or any other person, including those related to any Environmental Laws or regulations, is required in connection with the execution and delivery by Seadrill and
Seadrill Americas of this Agreement or the consummation by Seadrill, Seadrill Americas and each of the Transferred Subsidiaries of the transactions contemplated hereunder, and any consents required for the transfer or assignment of the West Auriga
Drilling Contract have been duly obtained; 

  
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 (e) As of the date hereof, (i) Seadrill owns, directly or indirectly, all of the outstanding
equity interests of Seadrill Auriga Hungary and has good and marketable title thereto, free and clear of any and all Encumbrances, other than those arising under the Rig Financing Agreements and applicable securities laws and (ii) Seadrill
Americas owns all of the outstanding equity interests of Seadrill Gulf Auriga and has good and marketable title thereto free and clear of any and all Encumbrances except for applicable securities laws; 

(f) All of the issued and outstanding equity interests of each Transferred Subsidiary have been duly authorized and are validly issued in
accordance with the articles of association, articles of incorporation or bylaws or certificate of formation or limited liability company agreement or other organizational documents of such Transferred Subsidiary and are fully paid and non-assessable; 
 (g) There are not outstanding (i) any options, warrants or other rights to
purchase any equity interests of any Transferred Subsidiary, (ii) any securities convertible into or exchangeable for equity interests of any Transferred Subsidiary, or (iii) any other commitments of any kind for the issuance of equity
interests of any Transferred Subsidiary or options, warrants or other securities of any Transferred Subsidiary; 
 (h) There is no
outstanding agreement, contract, option, commitment or other right or understanding in favor of, or held by, any person other than the Company to acquire any assets of the Transferred Subsidiaries; 

(i) Correct and complete copies of the organizational documents of each Transferred Subsidiary (as amended to the date of this Agreement), the
West Auriga Drilling Contract and the West Auriga Bareboat Charter have been made available to the Company, and no amendments will be made to any such organizational documents prior to the Closing Date without the prior written consent of the
Company (such consent not to be unreasonably withheld); 
 (j) Correct and complete copies of the Rig Financing Agreements have been made
available to the Company. Each Rig Financing Agreement is a valid and binding agreement of the Transferred Subsidiaries party thereto, enforceable against each such Transferred Subsidiary in accordance with its terms and, to the knowledge of
Seadrill, each of the Rig Financing Agreements is a valid and binding agreement of all other parties thereto enforceable against such parties in accordance with its terms, except as may be limited by bankruptcy, insolvency, liquidation,
reorganization, reconstruction and other similar laws of general application affecting the enforceability of remedies and rights of creditors and except that equitable remedies such as specific performance and injunction are in the discretion of a
court; 
 (k) The West Auriga Drilling Contract is a valid and binding agreement of Seadrill Gulf Auriga and is enforceable against Seadrill
Gulf Auriga in accordance with its terms and, to the knowledge of Seadrill, the West Auriga Drilling Contract is a valid and binding agreement of all other parties thereto enforceable against such parties in accordance with its terms, except as may
be limited by bankruptcy, insolvency, liquidation, reorganization, reconstruction and other similar laws of general application affecting the enforceability of remedies and rights of creditors and except that equitable remedies such as specific
performance and injunction are in the discretion of a court; 

  
 9 

 (l) Seadrill Gulf Auriga has fulfilled all material obligations required pursuant to the West
Auriga Drilling Contract to have been performed by it prior to the date of this Agreement and has not waived any material rights thereunder; and no material default or breach exists in respect thereof on its part or, to Seadrill’s knowledge,
any of the other parties thereto and, to Seadrill’s knowledge, no event has occurred which, after giving of notice or the lapse of time, or both, would constitute such a material default or breach; 

(m) The West Auriga Bareboat Charter is a valid and binding agreement of Seadrill Gulf Auriga and Seadrill Auriga Hungary and is enforceable
against Seadrill Gulf Auriga and Seadrill Auriga Hungary in accordance with its terms, except as may be limited by bankruptcy, insolvency, liquidation, reorganization, reconstruction and other similar laws of general application affecting the
enforceability of remedies and rights of creditors and except that equitable remedies such as specific performance and injunction are in the discretion of a court; 

(n) Except for such liabilities, debts obligations, encumbrances, defects, restrictions or claims of a general nature and magnitude that would
arise in connection with the operation of drillship of the same type as the West Auriga in the ordinary course of business, there are no liabilities, debts or obligations of, encumbrances, defects or restrictions of any nature, whether
absolute, accrued, contingent or otherwise, and whether due or to become due (including any liability for Taxes and interest, penalties and other charges payable with respect to any such liability or obligation) with respect to, or claims against
the Transferred Subsidiaries or any of the assets owned by the Transferred Subsidiaries, including the West Auriga, other than those arising under or in connection with Rig Financing Agreements or the West Auriga Drilling Contract; 

(o) Seadrill has disclosed to the Company all material information on, and about, each of the Transferred Subsidiaries and the West
Auriga and all such information is true, accurate and not misleading in any material respect. Nothing has been withheld from any materials provided by Seadrill to the Company in connection with the transactions contemplated by this Agreement
that would render such information untrue or misleading; 
 (p) Seadrill has disclosed to the Company all material
contracts and agreements, written or oral, to which any of the Transferred Subsidiaries is a party or by which any of their assets are bound, including the West Auriga Drilling Contract, the West Auriga Credit Facility and the West Auriga Bareboat
Charter (the “Transferred Subsidiary Contracts”);  
 (q) Each of the Transferred Subsidiary Contracts
is a valid and binding agreement of the Transferred Subsidiaries party thereto, or Seadrill Americas, as applicable, enforceable against such Transferred Subsidiary or Seadrill Americas, as applicable, in accordance with its terms, and to the
knowledge of Seadrill, each of the Transferred Subsidiary Contracts is a valid and binding agreement of all other parties thereto enforceable against such parties in accordance with its terms, except as may be limited by bankruptcy, insolvency,
liquidation, reorganization, reconstruction and other similar laws of general application affecting the enforceability of remedies and rights of creditors and except that equitable remedies such as specific performance and injunction are in the
discretion of a court; 

  
 10 

 (r) Each of the Transferred Subsidiaries or Seadrill Americas, as applicable, has fulfilled all
material obligations required pursuant to the Transferred Subsidiary Contracts to which it is a party to have been performed by it prior to the date hereof and has not waived any material rights thereunder; 

(s) There has not occurred any material default on the part of any Transferred Subsidiary or Seadrill Americas under any Transferred
Subsidiary Contracts to which it is a party, or to the knowledge of Seadrill, on the part of any other party thereto, nor has any event occurred that with the giving of notice or the lapse of time, or both, would constitute any material default on
the part of any Transferred Subsidiary or Seadrill Americas under any of the Transferred Subsidiary Contracts to which it is a party nor, to the knowledge of Seadrill, has any event occurred that with the giving of notice or the lapse of time, or
both, would constitute any material default on the part of any other party to any of the Transferred Subsidiary Contracts; 
 (t) Seadrill
Auriga Hungary now has, and at the Closing Date will have, good and marketable title to the West Auriga and its equipment, free and clear of any and all Encumbrances, other than applicable securities laws and any intercompany payables that
will be extinguished pursuant to Section 2.7 of this Agreement and those arising under the Rig Financing Agreements and permitted encumbrances under the Rig Financing Agreements. As of the date hereof, there is approximately $443.1
million of borrowings outstanding under the West Auriga Credit Facility attributable to the West Auriga; 
 (u) There is no action,
suit or proceeding to which any of the Transferred Subsidiaries is a party (either as a plaintiff or defendant), or to which the West Auriga is subject, pending before any court or governmental agency, authority or body or arbitrator; there
is no action, suit or proceeding threatened against any of the Transferred Subsidiaries or Seadrill Americas or the West Auriga; and, to the best knowledge of Seadrill, there is no basis for any such action, suit or proceeding; 

(v) None of the Transferred Subsidiaries or Seadrill Americas has been permanently or temporarily enjoined by any order, judgment or decree of
any court or any governmental agency, authority or body from engaging in or continuing any conduct or practice in connection with its business, assets or properties; 

(w) There is not in existence any order, judgment or decree of any court or other tribunal or other agency enjoining or requiring any of the
Transferred Subsidiaries or Seadrill Americas to take any action of any kind with respect to their respective business, assets or properties; 

(x) None of the Transferred Subsidiaries will be indebted, directly or indirectly, to any person who is an officer, director, stockholder or
employee of such Transferred Subsidiary or any spouse, child, or other relative or any affiliate thereof, nor shall any such officer, director, stockholder, employee, relative or affiliate be indebted to such Transferred Subsidiary; 

  
 11 

 (y) Seadrill will cause Seadrill Auriga Hungary to timely elect to be classified for U.S. federal
income tax purposes as an entity disregarded as separate from its owner on a properly-completed Form 8832 filed with the Internal Revenue Service. Seadrill will also cause Seadrill Gulf Auriga to timely elect to be classified for U.S. federal income
tax purposes as an association taxable as a corporation on a properly-completed Form 8832 filed with the Internal Revenue Service. These elections for Seadrill Auriga Hungary and Seadrill Gulf Auriga have been or will be made with an effective date
prior to the transaction described in Section 2.1. Once these elections have been made, neither Seadrill, Seadrill Auriga Hungary nor Seadrill Gulf Auriga will take any action to change the U.S. federal income tax classification of
Seadrill Auriga Hungary or Seadrill Gulf Auriga from that provided in the elections described above; 
 (z) None of the Transferred
Subsidiaries have any employees. All crew members with respect to the West Auriga are provided directly or indirectly by subsidiaries of Seadrill pursuant to services agreements with the Transferred Subsidiaries; 

(aa) A list of the insurance policies relating to the West Auriga are set forth on Schedule A hereto, each of which is in full
force and effect and, to the knowledge of Seadrill, not subject to being voided or terminated for any reason; 
 (bb) The West Auriga
(i) is adequate and suitable for use by the applicable Transferred Subsidiary in such Transferred Subsidiary’s business as presently conducted by it in all material respects, ordinary wear and tear excepted; (ii) is in good running
order and repair; (iii) is in compliance with applicable laws and regulations; (iv) is duly registered under the flag set forth opposite its name on Schedule B hereto; (v) is in compliance in all material respects with the
requirements of its present class and classification society as set forth opposite such its name on Schedule B hereto and has the highest classification rating; (vi) has class certificates that are clean and valid and free of
recommendations or notations as to class or other requirement of the relevant classification society; and (vii) has been maintained in a proper and efficient manner in accordance with internationally accepted standards for good drillship
maintenance, is in good operating order, condition and repair and is seaworthy and all repairs made to the West Auriga since its delivery from the shipyard and all known scheduled repairs due to be made and all known deficiencies have been
disclosed to the Company; 
 (cc) The West Auriga is not (i) under arrest or otherwise detained; (ii) other than in the
ordinary course of business, in the possession of any Person (other than the West Auriga’s master and crew); or (iii) subject to a possessory lien; 

(dd) No blacklisting or boycotting of any type has been applied or currently exists against, or in respect of, the West Auriga; and

 (ee) There are not outstanding any options or other rights to purchase the West Auriga. 

 

  
 12 

 ARTICLE IV 

REPRESENTATIONS AND WARRANTIES OF THE COMPANY 

Section 4.1 Representations and Warranties. The Company hereby represents and warrants to Seadrill as of the date hereof and as of the
Closing Date: 
 (a) The Company has been duly formed and is validly existing and in good standing under the laws of the Republic of the
Marshall Islands and has all requisite limited liability company power and authority to own and operate its assets and conduct its business as described in its 1934 Act Filings. No Insolvency Event has occurred with respect to the Company and no
events or circumstances have arisen that entitle or could entitle any person to take any action, appoint any person, commence proceedings or obtain any order instigating an Insolvency Event; 

(b) The Company has the full right, power and authority to enter into this Agreement and to perform its obligations hereunder. The execution
and delivery of this Agreement and all documents, instruments and agreements required to be executed and delivered by the Company pursuant to this Agreement in connection with the completion of the transactions contemplated by this Agreement, have
been duly authorized by all necessary action on its part, and this Agreement has been duly executed and delivered by the Company and constitutes a legal, valid and binding obligation of it, enforceable in accordance with its terms, except as may be
limited by bankruptcy, insolvency, liquidation, reorganization, reconstruction and other similar laws of general application affecting the enforceability of remedies and rights of creditors and except that equitable remedies such as specific
performance and injunction are in the discretion of a court; 
 (c) The execution, delivery and performance by the Company of this Agreement
will not conflict with or result in any violation of or constitute a breach of any of the terms or provisions of, or result in the acceleration of any obligation under, or constitute a default under any provision of: (i) its limited liability
company agreement; (ii) any lien, encumbrance, security interest, pledge, mortgage, charge, other claim, bond, indenture, agreement, contract, franchise license, permit or other instrument or obligation to which it is a party or is subject or
by which any of its assets or properties may be bound, including the Financing Agreements; or (iii) any applicable Laws; and 
 (d)
Except as have already been obtained or that will be obtained in the ordinary course of business, no consent, permit, approval or authorization of, notice or declaration to or filing with any governmental authority or any other person, including
those related to any Environmental Laws or regulations, is required in connection with the execution and delivery by the Company of this Agreement or the consummation by it of the transactions contemplated hereunder. 

  
 13 

 ARTICLE V 

REPRESENTATIONS AND WARRANTIES OF CAPRICORN HOLDINGS 

Section 5.1 Representations and Warranties. Capricorn Holdings hereby represents and warrants to Seadrill and the Company as of the
date hereof and as of the Closing Date that: 
 (a) Capricorn Holdings has been duly formed and is validly existing in good standing under
the laws of the Republic of the Marshall Islands and has all requisite limited liability company power and authority to operate its assets and conduct its business as it is now being conducted. No Insolvency Event has occurred with respect to
Capricorn Holdings and no events or circumstances have arisen that entitle or could entitle any person to take any action, appoint any person, commence proceedings or obtain any order instigating an Insolvency Event; 

(b) Capricorn Holdings has the full right, power and authority to enter into this Agreement and to perform its obligations hereunder. The
execution and delivery of this Agreement and all documents, instruments and agreements required to be executed and delivered by Capricorn Holdings pursuant to this Agreement in connection with the completion of the transactions contemplated by this
Agreement, have been duly authorized by all necessary action on its part or on its behalf, and this Agreement has been duly executed and delivered by it and constitutes a legal, valid and binding obligation of it, enforceable in accordance with its
terms, except as may be limited by bankruptcy, insolvency, liquidation, reorganization, reconstruction and other similar laws of general application affecting the enforceability of remedies and rights of creditors and except that equitable remedies
such as specific performance and injunction are in the discretion of a court; 
 (c) The execution, delivery and performance by Capricorn
Holdings of this Agreement will not conflict with or result in any violation of or constitute a breach of any of the terms or provisions of, or result in the acceleration of any obligation under, or constitute a default under any provision of:
(i) the Limited Liability Company Agreement of Capricorn Holdings, dated as of September 27, 2012 (the “Capricorn Holdings Operating Agreement”); (ii) any lien, encumbrance, security interest, pledge, mortgage,
charge, other claim, bond, indenture, agreement, contract, franchise license, permit or other instrument or obligation to which it is a party or is subject or by which any of its assets or properties may be bound, including the Financing Agreements;
or (iii) any applicable Laws; 
 (d) Except as have already been obtained or that will be obtained in the ordinary course of business,
no consent, permit, approval or authorization of, notice or declaration to or filing with any governmental authority or any other person, including those related to any Environmental Laws or regulations, is required in connection with the execution
and delivery by Capricorn Holdings of this Agreement or the consummation by it of the transactions contemplated hereunder; and 
 (e) On the
Closing Date, the 10,000 units of Capricorn Holdings to be issued to the Company and Seadrill pursuant to Section 2.1 and Section 2.2, respectively, will be duly authorized and validly issued in accordance with the Capricorn
Holdings Operating Agreement and will be fully paid (to the extent required under the Capricorn Holdings Operating Agreement) and nonassessable (except as such assessability may be affected by Sections 20, 31, 40 and 49 of the Marshall Islands LLC
Act, and except as otherwise may be provided in the Capricorn Holdings Operating Agreement). 

  
 14 

 ARTICLE VI 

PRE-CLOSING MATTERS 

Section 6.1 Covenants of Seadrill Prior to the Closing Date. From the date of this Agreement to the Closing Date, Seadrill shall cause
each of the Transferred Subsidiaries to conduct their business in the usual, regular and ordinary course in substantially the same manner as previously conducted. Seadrill shall not permit any of the Transferred Subsidiaries to enter into any
material contracts or other material written or oral agreements prior to the Closing Date, other than such contracts and agreements as have been disclosed to the Company prior to the date of this Agreement, without the prior consent of the Company
(such consent not to be unreasonably withheld). In addition, Seadrill shall not permit any of the Transferred Subsidiaries to take any action that would result in any of the conditions to the contributions, purchases, sales and equity issuances set
forth in Article II not being satisfied. Furthermore, Seadrill hereby agrees and covenants that it: 
 (a) shall cooperate with the
Company and use its reasonable best efforts to obtain, at or prior to the Closing Date, any consents required in respect of the transfer of the rights and benefits under each of the Transferred Subsidiary Contracts as a result of the contributions,
purchases, sales and equity issuances set forth in Article II of this Agreement; 
 (b) shall use its reasonable best efforts to take
or cause to be taken promptly all actions and to do or cause to be done all things necessary, proper and advisable to consummate and make effective as promptly as practicable the transactions contemplated by this Agreement and to cooperate with the
Company in connection with the foregoing, including using all reasonable best efforts to obtain all necessary consents, approvals and authorizations from any governmental authority and each other Person that are required to consummate the
transactions contemplated under this Agreement; 
 (c) shall take or cause to be taken all necessary corporate action, steps and proceedings
to approve or authorize validly and effectively the contributions, purchases, sales and equity issuances set forth in Article II and the execution, delivery and performance of this Agreement and the other agreements and documents contemplated
hereby; 
 (d) shall not amend, alter or otherwise modify or permit any amendment, alteration or modification of any material provision of
or terminate the West Auriga Drilling Contract or the West Auriga Bareboat Charter or any other Transferred Subsidiary Contract prior to the Closing Date without the prior written consent of the Company, such consent not to be unreasonably withheld
or delayed; 
 (e) shall not exercise or permit any exercise of any rights or options contained in the West Auriga Drilling Contract,
without the prior written consent of the Company, not to be unreasonably withheld or delayed; 

  
 15 

 (f) shall observe and perform in a timely manner, all of its covenants and obligations under the
Transferred Subsidiary Contracts, if any, and in the case of a default by another party thereto, it shall forthwith advise the Company of such default and shall, if requested by the Company, enforce all of its rights under such Transferred
Subsidiary Contracts, as applicable, in respect of such default; 
 (g) shall not cause or, to the extent reasonably within its control,
permit any Encumbrances to attach to the West Auriga other than in connection with the Rig Financing Agreements; and 
 (h) shall
permit representatives of the Company to make, prior to the Closing Date, at the Company’s risk and expense, such searches, surveys, tests and inspections of the West Auriga as the Company may deem desirable; provided,
however, that such surveys, tests or inspections shall not damage the West Auriga or interfere with the activities of Seadrill or the customer thereon and that the Company shall furnish to Seadrill with evidence that the Company has
adequate liability insurance in full force and effect. 
 Section 6.2 Covenant of the Company Prior to the Closing Date. The Company
hereby agrees and covenants that during the period of time after the date of the Agreement and prior to the Closing Date, the Company shall, in respect of the contributions, purchases, sales and equity issuances to be effected hereunder at the
Closing Date, take, or cause to be taken, to the extent not already taken, all necessary limited liability company action, steps and proceedings to approve or authorize validly and effectively the contributions, purchases, sales and equity issuances
and the execution, delivery and performance of this Agreement and any other agreements and documents contemplated hereby. 
 Section 6.3
Covenant of Capricorn Holdings Prior to the Closing Date. Capricorn Holdings hereby agrees and covenants that during the period of time after the date of the Agreement and prior to the Closing Date, Capricorn Holdings shall, in respect of the
contributions, purchases, sales and equity issuances to be effected hereunder at the Closing Date, take, or cause to be taken, to the extent not already taken, all necessary limited liability company action, steps and proceedings to approve or
authorize validly and effectively the contributions, purchases, sales and equity issuances and the execution, delivery and performance of this Agreement and any other agreements and documents contemplated hereby. 

ARTICLE VII 
 CONDITIONS
OF CLOSING 
 Section 7.1 Conditions of the Parties. The obligation of the Parties to effect the contributions, purchases, sales
and equity issuances set forth in Article II of this Agreement is subject to the satisfaction (or waiver by each of the Parties) on or prior to the Closing Date of the following conditions: 

(a) Seadrill and the Transferred Subsidiaries, as applicable, shall have received any and all written consents, permits, approvals or
authorizations of any Governmental Authority or any other Person (including with respect to the Transferred Subsidiary Contracts and the 

  
 16 

 
Financing Agreements) and shall have made any and all notices or declarations to or filing with any Governmental Authority or any other Person, including those related to any Environmental Laws
or regulations, required in connection with the execution and delivery of this Agreement or the consummation of the transactions contemplated hereunder; 

(b) No legal or regulatory action or proceeding shall be pending or threatened by any governmental authority to enjoin, restrict or prohibit
the transactions contemplated hereunder; 
 (c) Seadrill Gulf Auriga and Seadrill Americas shall have entered into an Advisory, Technical
and Administrative Services Agreement in a form satisfactory to the parties thereto; and 
 (d) The Company and Capricorn Holdings shall
have obtained funds in order to consummate the transactions contemplated hereunder. 
 Section 7.2 Conditions of Seadrill and Seadrill
Americas. The obligations of Seadrill and Seadrill Americas to effect the contributions, purchases and sales set forth in Article II of this Agreement are subject to the satisfaction (or waiver by each of Seadrill and Seadrill Americas)
on or prior to the Closing Date of the following conditions: 
 (a) The representations and warranties of each of the Company and Capricorn
Holdings made in this Agreement shall be true and correct in all material respects as of the Closing Date as though made at Closing Date, except to the extent such representations and warranties expressly relate to an earlier date (in which case
such representations and warranties shall be true and correct in all material respects, on and as of such earlier date); 
 (b) Each of the
Company and Capricorn Holdings shall have performed or complied in all material respects with all obligations and covenants required by this Agreement to be performed or complied with by them by the Closing Date; and 

(c) All proceedings to be taken in connection with the transactions contemplated by this Agreement and all documents incidental thereto shall
be reasonably satisfactory in form and substance to Seadrill and Seadrill Americas and their counsel, and Seadrill and Seadrill Americas shall have received copies of all such documents and other evidence as they may reasonably request in order to
establish the consummation of such transactions and the taking of all proceedings in connection therewith. 
 Section 7.3 Conditions of
the Company and Capricorn Holdings. The obligations of the Company and Capricorn Holdings to effect the contributions, purchases, sales and equity issuances set forth in Article II of this Agreement are subject to the satisfaction (or
waiver by each of the Company and Capricorn Holdings) on or prior to the Closing Date of the following conditions: 
 (a) The representations
and warranties of Seadrill as to itself and as to Seadrill Americas, each of the Transferred Subsidiaries and the West Auriga in this Agreement shall be true and correct in all material respects as of the Closing Date as though made on the
Closing Date, except to the extent such representations and warranties expressly relate to an earlier date (in which case such representations and warranties shall be true and correct in all material respects, on and as of such earlier date); 

  
 17 

 (b) Each of Seadrill, Seadrill Americas and the Transferred Subsidiaries shall have performed or
complied in all material respects with all obligations and covenants required by this Agreement to be performed or complied with by them; 

(c) The results of the searches, surveys, tests and inspections of the West Auriga referred to in Section 6.1(h) of this
Agreement are reasonably satisfactory to the Company; and 
 (d) All proceedings to be taken in connection with the transactions
contemplated by this Agreement and all documents incidental thereto shall be reasonably satisfactory in form and substance to the Company and Capricorn Holdings and their counsel, and the Company and Capricorn Holdings shall have received copies of
all such documents and other evidence as they or their counsel may reasonably request in order to establish the consummation of such transaction and the taking of all proceedings in connection therewith. 

ARTICLE VIII 

TERMINATION, AMENDMENT AND WAIVER 

Section 8.1 Termination of this Agreement. Notwithstanding anything to the contrary in this Agreement, this Agreement may be terminated
and the transactions contemplated by this Agreement abandoned at any time prior to the Closing Date: 
 (a) by mutual written consent of
Seadrill, Seadrill Americas, the Company and Capricorn Holdings; 
 (b) by Seadrill and Seadrill Americas if any of the conditions set forth
in Section 7.2 of this Agreement shall have become incapable of fulfillment, and shall not have been waived by Seadrill and Seadrill Americas; or 

(c) by the Company and Capricorn Holdings if any of the conditions set forth in Section 7.3 shall have become incapable of
fulfillment, and shall not have been waived by the Company and Capricorn Holdings; 
 provided, however, that the Parties seeking termination
pursuant to clause (b) or (c) is not then in material breach of any of their representations, warranties, covenants or agreements contained in this Agreement. 

Section 8.2 Amendments and Waivers. This Agreement may not be amended except by an instrument in writing signed on behalf of each Party
hereto. An instrument in writing by the Company and Capricorn Holdings, on the one hand, or Seadrill and Seadrill Americas, on the other hand, may waive compliance by the other with any term or provision of this Agreement that such other Party was
or is obligated to comply with or perform. 

  
 18 

 ARTICLE IX 

INDEMNIFICATION 
 Section
9.1 Indemnification by Seadrill and Seadrill Americas. Subject to the provisions of Section 9.2, following the Closing Date, Seadrill and Seadrill Americas (the “Seadrill Indemnitors”) shall be liable for,
and shall indemnify, defend and hold harmless the Company and Capricorn Holdings and their respective officers, directors, employees, agents and representatives (the “Company Indemnitees”) from and against: 

(a) any Losses suffered or incurred by such Company Indemnitee by reason of, arising out of or otherwise in respect of any inaccuracy in,
breach of any representation or warranty, or a failure to perform or observe fully any covenant, agreement or obligation of Seadrill or Seadrill Americas in or under this Agreement or in or under any document, instrument or agreement delivered
pursuant to this Agreement by Seadrill or Seadrill Americas; 
 (b) any Covered Environmental Losses relating to the Transferred
Subsidiaries or the West Auriga prior to or at the Closing Date (the “Covered Assets”) to the extent that Seadrill and Seadrill Americas are notified by the Company and Capricorn Holdings of any such Covered
Environmental Losses within five (5) years after the Closing Date; 
 (c) any Losses (other than Covered Environmental Losses) suffered
or incurred by such Company Indemnitees in relation to the West Auriga for periods prior to the Closing; 
 (d) all federal, state,
foreign and local income tax liabilities attributable to the operation of the Covered Assets prior to the Closing Date, including any such income tax liabilities of Seadrill and Seadrill Americas that may result from the consummation of the
transactions contemplated by this Agreement, but excluding any federal, state, foreign and local income taxes reserved on the books of the Transferred Subsidiaries on the Closing Date; and 

(e) any fees, expenses or other payments incurred or owed by Seadrill or Seadrill Americas to any brokers, financial advisors or comparable
other persons retained or employed by it in connection with the transactions contemplated by this Agreement. 
 Section 9.2 Limitations
Regarding Indemnification. 
 (a) The aggregate liability of Seadrill and Seadrill Americas under Section 9.1 shall not
exceed $650.0 million. 
 (b) All obligations of any party to indemnify, hold harmless pursuant to this Agreement, shall apply irrespective
of cause and notwithstanding the negligence (whether sole, concurrent, joint, active or passive) or breach of duty (whether statutory, contractual or otherwise), gross negligence or willful misconduct, or the unseaworthiness of any vessel or
unairworthiness of any aircraft or is the result of any pre-existing condition, of the indemnified Party or any other entity or party; provided, however, that the following claims and all obligations to pay such claims shall be excluded from the
obligations to indemnify and hold harmless hereunder: (i) fines and penalties imposed on any indemnitee up to the amount of $10 million; (ii) punitive damages up to the amount of $10 million; and (iii) any and all damages cause by a
party’s gross negligence or willful misconduct up to the amount of $10 million. 

  
 19 

 Section 9.3 Indemnification by the Company and Capricorn Holdings. Following the Closing
Date, the Company and Capricorn Holdings (the “Company Indemnitors”) shall be liable for, and shall indemnify, defend and hold harmless Seadrill and Seadrill Americas and their respective officers, directors, employees,
agents and representatives (the “Seadrill Indemnitees”) from and against any Losses, suffered or incurred by such Seadrill Indemnitee by reason of, arising out of or otherwise in respect of any inaccuracy in, breach of any
representation or warranty, or a failure to perform or observe fully any covenant, agreement or obligation of, the Company and Capricorn Holdings in or under this Agreement or in or under any document, instrument or agreement delivered pursuant to
this Agreement by the Company and Capricorn Holdings or, to the extent such losses occur after the Closing Date, any Losses arising out of the West Auriga Drilling Contract or any violation or correction of violation of Environmental Laws with
regard to the ownership or operation by the Company and Capricorn Holdings or Seadrill Auriga Hungary of the Covered Assets. 
 Section 9.4
Indemnification by Seadrill for Certain Liabilities Arising under Rig Financing Agreements.  
 Without regard to the
limitation set forth in Section 9.2(a), following the Closing Date, Seadrill shall be liable for, and shall indemnify, defend and hold harmless the Company, Capricorn Holdings and Seadrill Auriga Hungary and their respective officers,
directors, employees, agents and representatives (the “Rig Financing Indemnitees”) from and against any (i) any payments of, or obligations with respect to, principal, interest, fees, costs, expenses, indemnities, or
other amounts required to be made by such Rig Financing Indemnitees under the Rig Financing Agreements under or with respect to any loans thereunder other than those made in connection with the West Auriga or the Transferred Subsidiaries and
(ii) Losses, suffered or incurred by such Rig Financing Indemnitees by reason of, arising out, of or otherwise in respect of any inaccuracy in, breach of any representation or warranty, or a failure to perform or observe fully any covenant,
agreement or obligation, of the Rig Financing Agreements, excluding any such Losses caused by Seadrill Auriga Hungary or relating to the ownership or operation by Company, Capricorn Holdings or Seadrill Auriga Hungary of the Covered Assets. 

ARTICLE X 
 FURTHER
ASSURANCES 
 Section 10.1 Further Assurances. From time to time after the date of this Agreement, and without any further
consideration, the Parties agree to execute, acknowledge and deliver all such additional deeds, assignments, bills of sale, conveyances, instruments, notices, releases, acquittances and other documents, and will do all such other acts and things,
all in accordance with applicable Law, as may be necessary or appropriate (a) to more fully to assure that the applicable Parties own all of the properties, rights, titles, interests, estates, remedies, powers and privileges granted by
this Agreement, or which are intended to be so granted, (b) to more fully and effectively to vest in the applicable Parties and their respective successors and assigns beneficial and record title to the interests contributed and assigned by
this Agreement or intended so to be and (c) to more fully and effectively carry out the purposes and intent of this Agreement. 

  
 20 

 Section 10.2 Power of Attorney.  

(a) Each of the Company and Capricorn Holdings hereby constitutes and appoints Georgina Sousa (the “Company
Attorney-in-Fact”) as its true and lawful attorney-in-fact with full power of substitution for it and in its name, place and stead or otherwise on behalf of each of the Company and Capricorn Holdings and their successors and assigns,
and for the benefit of the Company Attorney-in-Fact to demand and receive from time to time the interests contributed, conveyed, purchased, sold or issued pursuant to this Agreement (or intended so to be) and to execute in the name of the Company
and Capricorn Holdings and their successors and assigns instruments of conveyance, instruments of further assurance and to give receipts and releases in respect of the same, and from time to time to institute and prosecute in the name of the Company
and Capricorn Holdings for the benefit of the Company Attorney-in-Fact, any and all proceedings at law, in equity or otherwise which the Company Attorney-in-Fact may deem proper in order to (i) collect, assert or enforce any claims, rights or
titles of any kind in and to the interests contributed, conveyed, assigned, assumed, purchase, sold or issued pursuant to this Agreement, (ii) defend and compromise any and all actions, suits or proceedings in respect of any of the interests
contributed, conveyed, assigned, assumed, purchase, sold or issued pursuant to this Agreement (or intended so to be), and (iii) do any and all such acts and things in furtherance of this Agreement as the Company Attorney-in-Fact shall deem
advisable. Each of the Company and Capricorn Holdings hereby declares that the appointment hereby made and the powers hereby granted are coupled with an interest and are and shall be irrevocable and perpetual and shall not be terminated by any act
of the Company and Capricorn Holdings or their successors or assigns or by operation of law. 
 (b) Each of Seadrill and Seadrill Americas
hereby constitutes and appoints Georgina Sousa (the “Seadrill Attorney-in-Fact”) as its true and lawful attorney in fact with full power of substitution for it and in its name, place and stead or otherwise on behalf of
Seadrill and Seadrill Americas and their successors and assigns, and for the benefit of the Seadrill Attorney-in-Fact to demand and receive from time to time the interests contributed, conveyed, purchased, sold or issued pursuant to this Agreement
(or intended so to be) and to execute in the name of Seadrill and Seadrill Americas and their successors and assigns instruments of conveyance, instruments of further assurance and to give receipts and releases in respect of the same, and from time
to time to institute and prosecute in the name of Seadrill and Seadrill Americas for the benefit of the Seadrill Attorney-in-Fact, any and all proceedings at law, in equity or otherwise which the Seadrill Attorney-in-Fact may deem proper in order to
(i) collect, assert or enforce any claims, rights or titles of any kind in and to the interests contributed, conveyed, assigned, assumed, purchase, sold or issued pursuant to this Agreement, (ii) defend and compromise any and all actions,
suits or proceedings in respect of any of the interests contributed, conveyed, assigned, assumed, purchase, sold or issued pursuant to this Agreement, and (iii) do any and all such acts and things in furtherance of this Agreement as the
Seadrill Attorney-in-Fact shall deem advisable. Each of Seadrill and Seadrill Americas hereby declares that the appointment hereby made and the powers hereby granted are coupled with an interest and are and shall be irrevocable and perpetual and
shall not be terminated by any act of Seadrill or Seadrill Americas or their successors or assigns or by operation of law. 

  
 21 

 ARTICLE XI 

MISCELLANEOUS 
 Section
11.1 Survival of Representations and Warranties. The representations and warranties of Seadrill as to itself and as to Seadrill Americas, each of the Transferred Subsidiaries and the West Auriga contained in this Agreement and in or
under any documents, instruments and agreements delivered pursuant to this Agreement, will survive the completion of the transactions contemplated hereby regardless of any independent investigations that the Company may make or cause to be made, or
knowledge it may have, prior to the date of this Agreement and will continue in full force and effect for a period of one year from the date of this Agreement. At the end of such period, such representations and warranties will terminate, and no
claim may be brought by the Company against Seadrill thereafter in respect of such representations and warranties, except for claims that have been asserted by the Company prior to the date of this Agreement. 

Section 11.2 Headings; References, Interpretation. All Article and Section headings in this Agreement are for convenience only and
shall not be deemed to control or affect the meaning or construction of any of the provisions hereof. The words “hereof,” “herein” and “hereunder” and words of similar import, when used in this Agreement, shall refer to
this Agreement as a whole, including, without limitation, all Schedules attached hereto, and not to any particular provision of this Agreement. All references herein to Articles, Sections and Schedules shall, unless the context requires a different
construction, be deemed to be references to the Articles and Sections of this Agreement and the Schedules attached hereto, and all such Schedules attached hereto are hereby incorporated herein and made a part hereof for all purposes. All personal
pronouns used in this Agreement, whether used in the masculine, feminine or neuter gender, shall include all other genders, and the singular shall include the plural and vice versa. The use herein of the word “including” following any
general statement, term or matter shall not be construed to limit such statement, term or matter to the specific items or matters set forth immediately following such word or to similar items or matters, whether or not
non-limiting language (such as “without limitation,” “but not limited to” or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other items
or matters that could reasonably fall within the broadest possible scope of such general statement, term or matter. 
 Section 11.3
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the Parties and their respective successors and assigns. 

Section 11.4 No Third Party Rights. Other than the rights of indemnification provided to Seadrill Auriga Hungary pursuant to
Section 9.4, the provisions of this Agreement are intended to bind the Parties as to each other and are not intended to and do not create rights in any other person or confer upon any other person any benefits, rights or remedies, and no
person is or is intended to be a third party beneficiary of any of the provisions of this Agreement. 

  
 22 

 Section 11.5 Counterparts. This Agreement may be executed in any number of counterparts
with the same effect as if all signatory Parties had signed the same document. All counterparts shall be construed together and shall constitute one and the same instrument. The delivery of an executed counterpart copy of this Agreement by facsimile
or electronic transmission in PDF format shall be deemed to be the equivalent of delivery of the originally executed copy thereof. 

Section 11.6 Governing Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of New
York. 
 Section 11.7 Severability. If any of the provisions of this Agreement are held by any court of competent jurisdiction to
contravene, or to be invalid under, the laws of any governmental body having jurisdiction over the subject matter hereof, such contravention or invalidity shall not invalidate the entire Agreement. Instead, this Agreement shall be construed as if it
did not contain the particular provision or provisions held to be invalid and an equitable adjustment shall be made and necessary provision added so as to give effect, as nearly as possible, to the intention of the Parties as expressed in this
Agreement at the time of execution of this Agreement. 
 Section 11.8 Deed; Bill of Sale; Assignment. To the extent required and
permitted by applicable law, this Agreement shall also constitute a “deed,” “bill of sale” or “assignment” of the interests referenced herein. 

Section 11.9 Integration. This Agreement and the instruments referenced herein supersede all previous understandings or agreements
among the Parties, whether oral or written, with respect to the subject matter of this Agreement and such instruments. This Agreement and such instruments contain the entire understanding of the Parties with respect to the subject matter hereof and
thereof. No understanding, representation, promise or agreement, whether oral or written, is intended to be or shall be included in or form part of this Agreement unless it is contained in a written amendment hereto executed by the Parties after the
date of this Agreement. 
 [THE REMAINDER OF THIS PAGE IS LEFT INTENTIONALLY BLANK] 

  
 23 

 IN WITNESS WHEREOF, the parties to this Agreement have caused it to be duly executed as of the date first
above written. 
  

			
	SEADRILL LIMITED
		
	By:	 	/s/ Rune Magnus Lundetrae
	Name:	 	Rune Magnus Lundetrae
	Title:	 	Authorized Person

  

			
	SEADRILL PARTNERS LLC
		
	By:	 	/s/ Graham Robjohns
	Name:	 	Graham Robjohns
	Title:	 	Chief Executive Officer

  

			
	SEADRILL CAPRICORN HOLDINGS LLC
		
	By:	 	/s/ Robert Hingley-Wilson
	Name:	 	Robert Hingley-Wilson
	Title:	 	Director

  

			
	SEADRILL AMERICAS INC.
		
	By:	 	/s/ Rune Magnus Lundetrae
	Name:	 	Rune Magnue Lundetrae
	Title:	 	Authorized Person

 SIGNATURE PAGE 

TO 

CONTRIBUTION, PURCHASE AND SALE AGREEMENT 

 EXHIBIT I 

CAPRICORN NOTE 

EXHIBIT I TO 

CONTRIBUTION, PURCHASE AND SALE AGREEMENT 

 SCHEDULE A 

INSURANCE POLICIES 

SCHEDULE A TO 

CONTRIBUTION, PURCHASE AND SALE AGREEMENT 

 SCHEDULE B 
  

					
	 Rig Name
	 	 Registered Flag
	 	 Classification Society

	West Auriga	 	Panama	 	American Bureau of Shipping

 SCHEDULE B TO 

CONTRIBUTION, PURCHASE AND SALE AGREEMENT

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