Document:

Rig Sale Agreement

 Exhibit 10.12 
  
 RIG SALE AGREEMENT 
  
 This Rig Sale Agreement (the “Agreement”) is entered into as of the 13th day of May, 2005 by and between Transocean Offshore Deepwater Drilling Inc., a Delaware
corporation (“Seller”), and Hercules Offshore LLC, a Delaware limited liability company (“Buyer”). 
  
 WHEREAS, Seller is the owner of the Rig (as defined below) currently located at Ajman Port, United Arab Emirates; and 
  
 WHEREAS, Buyer wishes to purchase, and Seller wishes to sell, the Rig on the terms and
conditions set forth below. 
  
 NOW, THEREFORE, for and in consideration of the
premises and the mutual agreements contained herein, Buyer and Seller hereby agree as follows: 
  

	1.	DEFINITIONS 

  

	1.1.	The following terms shall have the meaning ascribed thereto when used throughout this Agreement and the Exhibits hereto: 

  

	 	(a)	“Affiliate” shall mean with respect to one of the parties hereto, any other company or legal entity which (i) is controlled by such party, (ii) controls such party, or
(iii) is under common control as such party. As used in the preceding sentence, “control” shall mean the right or ability, through the ownership of equity interests or otherwise, to control more than fifty percent (50%) of the voting
rights of a company or entity. 

  

	 	(b)	“Business Day” shall mean a day on which banks are open for business in New York and the Panama ship registry is open for business. 

  

	 	(c)	“Certificate of Acceptance” shall mean the Certificate of Acceptance of Delivery in the form of Exhibit “A” to be delivered at the Closing in respect of the Rig.

  

	 	(d)	“Closing” shall mean the consummation of the purchase and sale of the Rig. 

  

	 	(e)	“Closing Date” shall mean the date of the Closing with respect to the Rig in accordance with Article 7.1, provided that it shall be a Business Day.

  

	 	(f)	“Closing Time” shall mean the day and time specified on the Certificate of Acceptance. 

  

	 	(g)	“Lien” shall mean a lien, mortgage, security interest, pledge or other charge or encumbrance. 

  

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	 	(h)	“Permitted Lien” shall mean Liens (including Liens for Taxes (as defined below), inchoate mechanic and materialmen Liens for construction in progress, workers’ or
unemployment compensation Liens and other Liens under the social security laws or regulations arising in the ordinary course of business and inchoate workmen, maritime, repairmen, warehousemen, customer, employee and carriers Liens arising in the
ordinary course of business) with respect to obligations or claims which are either not delinquent or are being contested in good faith and which are not material in amount and would not interfere with the ownership, operation or financing of the
Rig by Buyer. 

  

	 	(i)	“Rig” shall mean that certain jackup known as the Transocean Jupiter being of Panamanian registry, Patente No. 1922690F, together with the items identified on
Schedule A hereto and any other machinery, engines, equipment, anchors, cable, pumps, supplies, tools, stores, furniture, and electrical, mechanical, chemical, hydraulic and other systems actually located thereon, incorporated therein or attached
thereto as of the date hereof, as well as the spud cans belonging to the Rig currently located onshore at Ajman Port (the “Shore-Based Items”). The Rig shall not include (i) any other item which is not expressly described above, (ii) any
form of business management and preventive maintenance software or any other software the license to which does not allow transfer without the licensor’s consent, or (iii) equipment that belongs to a third party which is identified on Schedule
A-1 attached hereto. 

  

	 	(j)	“Tax” means any tax, fee, levy, duty or charge, including income, capital gains, sales, value added, transfer, customs, stamp, registration and any other tax, fee, levy,
duty or charge, that is assessed by any country or any other governmental authority and any fines, penalties or interest with respect to the foregoing tax, fee, levy, duty or charge. 

  

	2.	SALE AND PURCHASE 

  
 Seller hereby agrees to sell the Rig to Buyer, and Buyer hereby agrees to purchase the Rig from Seller, upon the terms and conditions set forth in this
Agreement. 
  

	3.	CONSIDERATION 

  

	3.1.	Sale Price. Subject to the terms hereof, the aggregate purchase price (the “Sale Price”) to be paid by Buyer to Seller for the Rig is Twenty Million United States
Dollars (US$ 20,000,000). 

  

	3.2.	Deposit. Within three (3) Business Days of the execution of this Agreement, Buyer shall pay to the account of Seller a deposit of Two Million United States Dollars (US$
2,000,000) (the 

  

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 “Deposit”). If Buyer fails to purchase the Rig (other than pursuant to a valid Rejection under
Article 5.3) and, as a result of such failure, Buyer is in breach of this Agreement, Seller shall be entitled, without prejudice to any rights of Seller hereunder, to retain the Deposit plus interest and apply any portion thereof against any damages
to which Seller may be entitled. If Seller reasonably believes that such a breach may have occurred, the Deposit may be so retained without cost or liability until such time as all such damages may be agreed to or determined by a final, binding
judgment, after which Seller shall apply the Deposit against such damages and then return the remaining portion of the Deposit, if any, to Buyer. Seller shall also be entitled to retain that portion of the Deposit described in Article 5.3. In the
event Seller is not entitled to retain the Deposit as contemplated under this Agreement, Seller shall promptly refund the Deposit in whole or in part, as the case may be, plus interest, if any, actually accrued on the portion being refunded (but, in
any case, less any applicable withholding taxes on the interest being transferred to Buyer, if any), to Buyer. Seller shall not be obligated to invest the Deposit in an interest bearing account. Notwithstanding anything to the contrary set forth
herein and regardless of any breach or alleged breach of this Agreement by Buyer, in the event of a valid Rejection pursuant to Article 5.3, Seller shall pay the Refundable Portion of the Deposit to Buyer as specified in Article 5.3. 
  

	3.3.	Closing Payment. At Closing and subject to any applicable Sale Price reduction pursuant to Article 10 and the other provisions of this Agreement, (i) Buyer shall pay Eighteen
Million United States Dollars (US$ 18,000,000) (“Closing Payment”), and (ii) Seller shall retain the Deposit to be applied towards the Sale Price. 

  

	3.4.	Wire Instructions. All payments to Seller hereunder are to be made in US Dollars in immediately available funds wired to the following bank account: 

 

			
	Account Name:	  	Transocean Offshore Deepwater Drilling Inc.
	Bank:	  	Wells Fargo NA
	ABA Code:	  	121000248
	Account Code:	  	4806999975

  

	4.	REPRESENTATIONS AND WARRANTIES 

  

	4.1.	Disclaimer of Other Warranties. Except as may be otherwise expressly stated in Article 4.3 below, Buyer hereby acknowledges that the sale and purchase of the Rig is on an
“AS IS, WHERE IS” basis, with all faults accepted by Buyer, and that this sale and purchase of the Rig is WITHOUT ANY REPRESENTATION, WARRANTY, GUARANTY OR CONDITION, EXPRESSED OR IMPLIED, BY SELLER, AND THAT SELLER DOES NOT MAKE ANY
WARRANTY, GUARANTY, OR REPRESENTATION OF ANY KIND, EITHER EXPRESS OR IMPLIED, STATUTORY OR OTHERWISE, WITH REGARD TO THE RIG, INCLUDING, BUT NOT LIMITED TO AS TO SEAWORTHINESS, VALUE, DESIGN, OPERATION, MERCHANTABILITY, FITNESS FOR USE OR PARTICULAR
PURPOSE OF THE RIG OR AS TO THE ELIGIBILITY OF THE RIG FOR ANY PARTICULAR TRADE, AND BUYER HEREBY WAIVES AS 

  

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 AGAINST SELLER AND ITS AFFILIATES ALL WARRANTIES OR REMEDIES OR LIABILITIES WITH RESPECT TO SUCH
WARRANTIES, ARISING BY LAW OR OTHERWISE WITH RESPECT TO THE RIG. As between Seller and Buyer, the execution by Buyer of the Certificate of Acceptance shall be conclusive proof that the Rig is in full and complete compliance with all requirements of
this Agreement other than as stated in Article 4.3. 
  

	4.2.	Buyer hereby represents, covenants and warrants to Seller the following: 

  

	 	(a)	All necessary corporate action has been taken duly to authorize the transactions contemplated by this Agreement, including without limitation, approval by Buyer’s Managers;

  

	 	(b)	Buyer is duly formed and validly existing under the laws of its country of incorporation and has full legal right, power and authority to enter into this Agreement and to perform
its obligations hereunder; 

  

	 	(c)	The execution or delivery of this Agreement and completion of all transactions contemplated hereby, will not either now, or after notice or lapse of time, or both:

  

	 	1.	conflict with, violate, result in a breach or right of termination or acceleration under or require any consent or authorization under any of the terms, conditions or provisions of
any mortgage, indenture, agreement, loan, guarantee, note, bond, permit, license, lease, grant, patent, or other undertaking or authorization, written or oral, to or by which Buyer is a party or is bound; 

  

	 	2.	conflict with, result in a breach of or require any consent under any of the terms, conditions or provisions of Buyer’s certificate of incorporation, bylaws or equivalent
governing instruments; or 

  

	 	3.	result in a violation by Buyer of any judgment, decree, order (including an executive order), award, writ, injunction or decree applicable to, or binding upon, Buyer;

  

	 	(d)	Except for Bassoe Offshore, and any fees owed thereto, which shall be the sole responsibility of Buyer, Buyer has not, directly or indirectly, employed any broker, finder or
intermediary that might be entitled to an brokerage, finders’ or similar fee or commission in connection with the transactions contemplated by this Agreement; and 

  

	 	(e)	Buyer acknowledges that the Rig is not in operational condition and, without limiting the generality or application of Article 4.1, no representations or warranties are being made
hereunder by Seller with respect to the condition, capability or any classification or certification of the Rig except to the extent expressly set forth in Article 4.3. 

  

	4.3.	Seller hereby represents, covenants and warrants to Buyer the following: 

  

	 	(a)	Seller is the legal and beneficial owner of the Rig; 

  

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	 	(b)	On Closing, the Rig will be free of Liens other than Permitted Liens; 

  

	 	(c)	All necessary corporate action has, or by Closing will have, been duly taken to authorize the transactions contemplated by this Agreement including without limitation the approval
by the board of directors of Seller; 

  

	 	(d)	Seller is duly incorporated and validly existing under the laws of its country of incorporation and has full legal right, power and authority to enter into this Agreement, and to
perform its obligations hereunder; 

  

	 	(e)	Seller has not, directly or indirectly, employed any broker, finder or intermediary that might be entitled to an brokerage, finders’ or similar fee or commission in connection
with the transactions contemplated by this Agreement; and 

  

	 	(f)	The execution or delivery of this Agreement and completion of all transactions contemplated hereby, will not either now, or after notice or lapse of time, or both:

  

	 	1.	conflict with, violate, result in a breach or right of termination or acceleration under or require any consent or authorization under any of the terms, conditions or provisions of
any mortgage, indenture, agreement, loan, guarantee, note, bond, permit, license, lease, grant, patent, or other undertaking or authorization, written or oral, to or by which Seller is a party or is bound; 

  

	 	2.	conflict with, result in a breach of or require any consent under any of the terms, conditions or provisions of Seller’s certificate of incorporation, bylaws or equivalent
governing instruments; or 

  

	 	3.	result in a violation by Seller of any judgment, decree, order (including an executive order), award, writ, injunction or decree applicable to, or binding upon, Seller.

  

	5.	CERTAIN COVENANTS 

  

	5.1.	Condition of Rig for Purposes of Closing. Seller agrees that, solely for purposes of determining whether Buyer shall have the obligation to close, the Rig is to be, at the
Closing Time, (i) jacked-up in the same manner as at the Re-inspection (as defined in Article 5.3 below), (ii) in substantially the same overall condition as at the time of the Re-inspection fair wear and tear excepted and subject to De Minimis
Damage (as defined in Article 10.2(b) below) and the other provisions of Article 10 (“Re-inspection Condition”), and (iii) comprised of the jackup and the other items described in the definition of “Rig” herein (collectively,
such items are referred to herein as the “Required Components”). If Buyer fails 

  

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 to notify Seller prior to the Closing Time that the Rig is not in such Re-inspection Condition and/or
does not have the Required Components, the Rig will at the Closing Time for all purposes of this Agreement be conclusively presumed to be in Re-inspection Condition and to have all of the Required Components and all other items required hereunder
and Buyer shall have no further rights hereunder in connection with the actual condition or composition of the Rig. Buyer shall have the right to have a representative on board the Rig three (3) days prior to the Closing to confirm that the Rig is
in the Re-inspection Condition and that the Required Components are present. Buyer shall provide notice to Seller prior to the Closing in the event Buyer believes that the Rig is not in the Re-inspection Condition or that the Required Components are
not present. Any notice given in accordance with this Article 5.1 shall specifically list the deficiencies claimed by Buyer and must be subject to reasonable verification by Seller (with any actual deficiencies referred to herein as
“Deficiencies”). In the event Buyer notifies Seller of Deficiencies, such Deficiencies shall be subject to the provisions of Article 10.2. Under no circumstances shall Seller be liable or obligated after the Closing Time to Buyer with
regard to the physical condition or the composition of the Rig as a result of this Agreement, and Buyer hereby agrees that all rights it may otherwise have in connection therewith shall be automatically and irrevocably waived from and after Closing
without any further act of Buyer or Seller. 
  

	5.2.	MARAD. Seller and Buyer shall take all actions necessary to obtain the approval of the U.S. Maritime Administration (“MARAD”) for the purchase of the Rig, including
without limitation the provision of any pertinent information or documentation requested by MARAD, the execution by Buyer of the required MARAD contract, the provision by Buyer of required corporate documents and legal opinions and the provision by
Buyer of any bond or similar security required by MARAD (collectively referred to as the “MARAD Approval”). 

  

	5.3.	Re-inspection. Buyer acknowledges having previously inspected the Rig on or about February 27, 2005. Buyer shall have the right to re-inspect (the “Re-inspection”)
the Rig as set forth herein. Buyer may conduct the inspection directly or through a third party inspector selected by, and for the account of, Buyer. Buyer shall for a period of twenty-one (21) days from the date hereof (the “Re-inspection
Period”) have the right to reject the Rig for any reason, in Buyer’s sole discretion, to the extent Buyer strictly conforms to the notice and timing provisions set forth in this Article 5.3. If Buyer decides to reject the Rig (a
“Rejection”), Buyer must so notify Seller by the end of the Re-inspection Period. Buyer shall be deemed to have accepted the Rig if Buyer fails to so provide notice of the Rejection. If Buyer delivers a Rejection, (i) the sale of the Rig
shall terminate immediately, (ii) Seller shall be entitled to retain Two Hundred Fifty Thousand U.S. Dollars (US $250,000) of the Deposit (the “Non-Refundable Portion”) and shall promptly refund to Buyer the remaining One Million Seven
Hundred Fifty Thousand United States Dollars (US $1,750,000) (the “Refundable Portion”), (iii) Seller shall retain interest actually accrued, if any, on the Non-Refundable Portion, and Buyer shall be entitled to interest actually accrued,
if any, on the Refundable Portion, and (iv) neither party shall have any further obligation hereunder, except for those indemnity and other obligations that expressly survive the termination hereof. 

  

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	5.4.	Removal or Substitution of Equipment. Seller shall not remove, replace or substitute any of the Required Components. 

  

	6.	CONDITIONS PRECEDENT 

  

	6.1.	Buyer’s Conditions Precedent. The obligations of Buyer to consummate the transactions to be performed by it in connection with the Closing are, in all respects, subject
to satisfaction or waiver by Buyer of the below-listed conditions precedent: 

  

	 	(a)	The Rig shall be jacked-up in the same manner as at the Re-inspection and in the condition required pursuant to Article 5.1, and the Rig shall be free from Liens other than
Permitted Liens; 

  

	 	(b)	The representations and warranties of Seller set forth in Article 4.3 shall be true and correct in all material respects as of the Closing Date with the same force and effect as if
such representations and warranties had been made at and as of the Closing Date and Seller shall have complied with all material covenants and agreements of Seller contained herein through the Closing Date; and 

  

	 	(c)	The obtainment of any authorization, license, or approval required under applicable laws to consummate the transaction contemplated by this Agreement, including without limitation
the MARAD Approval. 

  

	6.2.	Seller’s Conditions Precedent. The obligations of Seller to consummate the transactions to be performed by it in connection with the Closing are, in all respects,
subject to satisfaction or waiver by Seller of the below-listed conditions precedent: 

  

	 	(a)	The representations and warranties of Buyer set forth in Article 4.2 shall be true and correct in all material respects as of the Closing Date with the same force and effect as if
such representations and warranties had been made at and as of the Closing Date and Buyer shall have complied with all material covenants and agreements of Buyer contained herein through the Closing Date; and 

  

	 	(b)	The obtainment of any authorization, license, or approval required under applicable laws to consummate the transaction contemplated by this Agreement, including without limitation
the MARAD Approval. 

  

	7.	CLOSING 

  

	7.1	Closing. Subject to the other terms and conditions of this Agreement, Seller shall sell and Buyer shall purchase the Rig, and the Closing shall be held at 9 a.m., local time
at the offices of Seller in Houston. The Closing shall take place three (3) Business Days after the satisfaction or appropriate waiver of all of the closing conditions set forth in Article 6 but in 

  

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 any event not later than July 31, 2005 (“Outside Date”); provided that, subject to the
provisions of Article 10, if a Partial Loss (as defined therein) has occurred with respect to the Rig and Seller has elected to make repairs pursuant to Article 10.2, the Closing shall take place on the third Business Day following the date of
completion of the pertinent repairs. In the event the Closing has not occurred by the Outside Date or the date described in the preceding sentence regarding repairs, Seller or Buyer may terminate this Agreement by providing notice to the other;
provided, that such termination shall be without prejudice and in no way affect, or act as a bar to or wavier of, any rights which any party may have hereunder; and provided further, that the party attempting to terminate this Agreement may not be
in breach of any of its material representations, warranties, covenants or agreements contained herein. 
  

	7.2	Documents to be Delivered by Seller and Buyer. On the Closing Date, representatives of Seller and Buyer shall meet as contemplated above for the purpose of completing the
sale and purchase of the Rig. 

  

	 	(a)	Seller’s Deliveries. Simultaneously with Closing Payment and delivery of the items described in Article 7.2(b) below, Seller shall deliver to Buyer the following with
respect to the Rig: 

  

	 	1.	A notarized bill of sale for the Rig sufficient to transfer title to Buyer pursuant to the requirements of the Panamanian Registry and substantially in the form attached hereto as
Exhibit “B” (the “Bill of Sale”). 

  

	 	2.	Any technical or regulatory documentation pertaining to the Rig which Seller may have in their possession and which is not already aboard the Rig, including, without limitation, ABS
certificates, loadline certificates, radio licenses, and engineering drawings; provided, however, that Seller does not represent that it has in its possession any such documentation, does not represent that any documentation that they do have is
current, valid or correct, and does not represent that the Rig is capable of obtaining any needed documentation. Buyer shall also be entitled to retain a hard copy of any of the Rig’s historical preventive maintenance records that are onboard
the Rig. 

  

	 	3.	A certified copy of the resolutions of Seller’s board of directors authorizing the sale of the Rig for the Sale Price and the other transactions contemplated herein and
authorizing the issuance of a power of attorney in favor of Seller’s representatives and authorizing such representative(s) to sign all necessary documents relating to such transactions. 

  

	 	4.	A fax copy or original of a Transcript of Registry dated on the Closing Date showing the Rig to be free from registered Liens or other registered encumbrances.

  

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	 	(b)	Buyer’s Deliveries. Simultaneously with delivery of the Rig as contemplated herein and the items set forth in Article 7.2(a) above, Buyer shall pay and deliver to Seller
in full and free of bank charges the following with respect to the Rig: 

  

	 	1.	The Closing Payment. 

  

	 	2.	A certified copy of the resolutions of Buyer’s board of directors and shareholders authorizing the purchase of the Rig for the Sale Price and the other transactions
contemplated herein and authorizing the issuance of a power of attorney in favor of the representatives of Buyer and authorizing such representative(s) to sign all necessary documents relating to such transactions. 

  

	 	3.	A Certificate of Good Standing of Buyer dated within three (3) Business Days of the Closing Date. 

  

	 	(c)	Other Actions to be Taken at Closing. The parties shall take the following actions at Closing: 

  

	 	1.	Seller and Buyer shall execute and deliver the Certificate of Acceptance as contemplated in Article 8 below. 

  

	8.	DELIVERY 

  
 Concurrently with the delivery of the Bill of Sale, (i) Seller shall deliver to Buyer, and Buyer shall accept from Seller, the Rig, and (ii) each party
shall acknowledge such delivery and acceptance by executing and delivering the Certificate of Acceptance. The Rig shall be delivered at its current location in Ajman Port, UAE, it being understood that the Shore-Based Items comprising part of the
Rig shall be delivered in their current on-shore location in Ajman Port. The risk of loss, and title to the Rig, shall pass to Buyer as of the Closing Time. In respect of that property, if any, forming part of the Rig which does not fall within the
Bill of Sale, Seller and Buyer hereby agree that title shall be deemed to pass as at the Closing Time without further documentation or action by either party. 
  

	9.	[Not Used] 

  

	10.	INTERIM PERIOD 

  

	10.1	Total Loss. If during the period between the date hereof and the Closing Time (the “Interim Period”), there is an actual total casualty loss, constructive total
casualty loss or compromised total casualty loss, including, without limitation, by governmental or private seizure or arrest, forced sale or other involuntary transfer (collectively, a “Total Loss”) of the Rig, this Agreement shall
terminate and the Deposit shall be returned to Buyer, which shall be Seller’s sole obligation. 

  

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	10.2	Partial Loss. 

  

	 	(a)	If during the period between the date hereof and Closing Time, the Rig suffers loss or damage which is not a Total Loss (a “Partial Loss”), then the terms of this Article
10.2 shall apply. In such event, Seller shall provide notice to Buyer of such Partial Loss and: 

  

	 	1.	If Seller reasonably believes it can complete the work necessary to cause the Rig to meet the Rig condition standards specified herein (“Repair Work”) prior to the Outside
Date, Seller shall either (i) notify Buyer that Seller will perform the Repair Work, in which case the Closing shall be delayed for that period of time required to complete the Repair Work, or (ii) notify Buyer that Seller does not intend to perform
the Repair Work, in which case the provisions of 10.2(a)(2) and (3) shall apply; 

  

	 	2.	If Seller reasonably believes that it cannot complete the Repair Work prior to the Outside Date or if Seller notifies Buyer that it does not intend to perform the Repair Work, and
the parties are able to agree in writing on the costs of such Work or other acceptable Sale Price reduction within 15 Business Days of Buyer’s receipt of notice pursuant to this Article 10.2(a), the Sale Price shall be reduced by such agreed
amount and the sale shall be completed as soon as reasonably practicable; or 

  

	 	3.	If Seller reasonably believes it cannot complete the Repair Work prior to the Outside Date or if Seller notifies Buyer that it does not intend to perform such Work, and the parties
are unable to agree in writing on the costs of the Repair Work or other acceptable Sale Price reduction within time period specified in Article 10.2(a)(2), then the Rig shall be treated as having suffered a Total Loss and the provisions of Article
10.1 shall apply. 

  

	 	(b)	The parties agree that a partial loss or damage which would reasonably be expected to cost less than One Hundred Thousand United States Dollars (US$100,000) to repair (“De
Minimis Damage”) shall not be considered a Partial Loss and shall not require any correction or remediation on the part of Seller hereunder, whether pursuant to Articles 5.1 or 10 or otherwise. 

  

	 	(c)	In the event (i) a Deficiency exists that is the result of missing Required Components, (ii) such Deficiency is not a Partial Loss, and (iii) the cost to replace all of the missing
Required Components is reasonably expected to be greater than One Hundred Thousand United States Dollars (US$100,000), then Seller shall be obligated to deliver the Required Components or substantially equivalent items that are reasonably acceptable
to Buyer. In the event (i) a Deficiency exists that is the result of missing Required Components, (ii) such Deficiency is not a Partial Loss, and (iii) the cost to replace all of the missing Required Components is not reasonably expected to be
greater than One Hundred Thousand United States Dollars 

  

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 (US$100,000), then Seller shall not be obligated to deliver the missing Required Components (whether
pursuant to Articles 5.1 or 10 or otherwise) and the parties will be obligated to continue with the sale hereunder. 
  

	11.	INDEMNITY AND LIABILITY 

  

	11.1.	Buyer’s Personnel and Property. Buyer shall defend, release, indemnify and hold harmless Seller, its Affiliates, subcontractors and the respective officers, directors,
agents, employees of any of the foregoing, from and against all liens, claims, demands, causes of action, liability, damages, costs, expenses or losses (including, but not limited to, attorneys’ fees) (collectively, “Damages”)
attributable to, or for or on account of injury to or illness or death of employees, invitees and/or agents of Buyer and its Affiliates and contractors, or loss of or damage to property of Buyer, its Affiliates and contractors (including the Rig on
or after the Closing Time) which arise from, are incident to or result directly or indirectly from the presence of employees, contractors, invitees and/or agents of Buyer or its Affiliates on the Rig. 

  

	11.2.	Seller’s Personnel and Property. Seller shall defend, release, indemnify and hold harmless Buyer, its Affiliates and their respective officers, directors, employees and
agents, from and against all Damages attributable to, for or on account of injury to or illness or death of employees, invitees and/or agents of Seller, their Affiliates and contractors or loss of or damage to property of Seller (including the Rig
prior to the Closing Time), its Affiliates and contractors which arise from, are incident to or result directly or indirectly from the presence of employees, contractors, invitees and/or agents of Seller on the Rig. 

  

	11.3.	Seller’s Other Indemnities. Subject to Articles 11.1 and 11.2 above, the other provisions of this Agreement, including without limitation Article 13, Seller shall
release, indemnify, defend and hold Buyer harmless from and against any Damages arising out of or in connection with: 

  

	 	(a)	the Rig or the operation of the Rig to the extent the alleged event giving rise to such claim occurred prior to the Closing Time; 

  

	 	(b)	any breach of any of the representations or warranties made by Sellers in Article 4.3 or any breach by Seller of any of the covenants or agreements set forth in this Agreement; and

  

	 	(c)	any Permitted Lien. 

  

	11.4.	Buyer’s Other Indemnities. Buyer shall release, indemnify, defend and hold Seller harmless from and against any Damages arising out of or in connection with:

  

	 	(a)	the Rig or the operation of the Rig to the extent the alleged event giving rise to such claim occurred on or after the Closing Time (provided that, for the avoidance of

  

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 doubt, the indemnity described in this Article 11.4(a) shall in no way relieve Seller of its obligations
set forth in Article 11.3(c) and shall be subject to such indemnity of Seller); and 
  

	 	(b)	any breach of any of the representations or warranties made by Buyer in Article 4.2 or any breach by Buyer of any of the covenants or agreements set forth in this Agreement.

  

	11.5.	Indemnification Notices for Non-Third Party Claims. If any party claiming indemnification (an “Indemnified Party”) is seeking indemnification under this Agreement
with respect to Damages other than a Third-Party Claim (as defined in Article 11.6 below) from a party owing a duty of indemnification hereunder (the “Indemnifying Party”), the Indemnified Party must give notice of the claim to the
Indemnifying Party describing in reasonable detail the nature of the claim, an estimate of the loss or damages attributable to the claim (which estimate will not be conclusive or binding) and the basis for the Indemnified Party’s request for
indemnification hereunder. If the Indemnifying Party does not respond within a 30 calendar day period, the Indemnifying Party will be deemed to have rejected such claim in which event the Indemnified Party will be free to pursue such remedies as may
be available to the Indemnified Party under this Agreement. Any indemnity claims pursuant to Articles 11.3(b) and 11.4(b) must be made prior to the end of the applicable survival period, if any. 

  

	11.6.	Third Party Claims. All claims for indemnification under this Agreement with respect to Damages claimed or asserted by a third party against an Indemnified Party (that
third-party claim or assertion, a “Third-Party Claim”) shall be asserted and resolved as this Article 11.6 provides. 

  

	 	(a)	An Indemnified Party claiming indemnification in respect of a Third-Party Claim must promptly (i) notify the Indemnifying Party of any Third-Party Claim asserted against the
Indemnified Party that could reasonably give rise to a right of indemnification under this Agreement and (ii) transmit to the Indemnifying Party a notice (a “Claim Notice”) describing in reasonable detail the nature of the Third-Party
Claim, an estimate of the amount of damages attributable to that claim to the extent feasible (which estimate will not be conclusive or binding) and the basis for the Indemnified Party’s request for indemnification under this Agreement. The
failure to promptly deliver a Claim Notice will not relieve the Indemnifying Party of its obligations to the Indemnified Party with respect to the related Third-Party Claim, except to the extent that the resulting delay is materially prejudicial to
the defense of that claim. Within 30 days after receipt of any Claim Notice (the “Election Period”), the Indemnifying Party must notify the Indemnified Party (i) whether the Indemnifying Party disputes its potential liability to the
Indemnified Party under this Article 11 with respect to that Third-Party Claim and (ii) if the Indemnifying Party does not dispute its potential liability to the Indemnified Party with respect to that Third-Party Claim, whether the Indemnifying
Party elects, at the sole cost and expense of the Indemnifying Party, to defend the Indemnified Party against that Third-Party Claim. 

  

 12 

	 	(b)	If the Indemnifying Party does not dispute its potential liability to the Indemnified Party and notifies the Indemnified Party within the Election Period that the Indemnifying Party
elects to assume the defense of the Third-Party Claim, then the Indemnifying Party will have the right to defend, at its sole cost and expense, that Third-Party Claim by all appropriate proceedings, which proceedings the Indemnifying Party must
prosecute diligently to a final conclusion or settle at its discretion in accordance with this Article 11.6, and the Indemnified Party will furnish the Indemnifying Party with all information in its possession with respect to that Third-Party Claim
and otherwise cooperate with the Indemnifying Party in the defense of that Third-Party Claim; provided, however, that the Indemnifying Party will not enter into any settlement with respect to any Third-Party Claim that purports to
limit the activities of, or otherwise restricts in any way, any Indemnified Party or any Affiliate of any Indemnified Party without the prior consent of that Indemnified Party (which consent shall not be unreasonably withheld). The Indemnified Party
is hereby authorized, at the sole cost and expense of the Indemnifying Party, to file, during the Election Period, any motion, answer or other pleadings that the Indemnified Party deems necessary or appropriate to protect its interests or those of
the Indemnifying Party. The Indemnified Party may participate in, but not control, any defense or settlement of any Third-Party Claim the Indemnifying Party controls under this Article 11.6 and will bear its own costs and expenses with respect to
that participation; provided, however, that if the named parties to any such action (including any impleaded parties) include both the Indemnifying Party and the Indemnified Party, and the Indemnified Party has been advised by counsel
that there may be one or more legal defenses available to it that are different from or additional to those available to the Indemnifying Party, then the Indemnified Party may employ separate counsel at its sole cost and expense and, on its receipt
of written notification of that employment, the Indemnifying Party will not have the right to assume or continue the defense of that action on behalf of the Indemnified Party. 

  

	 	(c)	If the Indemnifying Party (i) within the Election Period (A) disputes its potential liability to the Indemnified Party under this Article 11, (B) elects not to defend the
Indemnified Party under Article 11.6(a), or (C) fails to notify the Indemnified Party that the Indemnifying Party elects to defend the Indemnified Party under Article 11.6(a), or (ii) elects to defend the Indemnified Party under Article 11.6(a), but
fails diligently and promptly to prosecute or settle the Third-Party Claim, then the Indemnified Party will have the right to defend, at the sole cost and expense of the Indemnifying Party (if the Indemnified Party is entitled to indemnification
hereunder), the Third-Party Claim by all appropriate proceedings, which proceedings the Indemnified Party must promptly and vigorously prosecute to a final conclusion or settle. The Indemnified Party will have full control of such defense and
proceedings. Notwithstanding the foregoing, if the Indemnifying Party has delivered a written notice to the Indemnified Party to the effect that the Indemnifying Party disputes its potential liability to the Indemnified Party under this Article 11
and if that dispute is resolved in favor of the Indemnifying Party, the Indemnifying Party 

  

 13 

 will not be required to bear the costs and expenses of the Indemnified Party’s defense under this
Article 11 or of the Indemnifying Party’s participation therein at the Indemnified Party’s request, and the Indemnified Party will reimburse the Indemnifying Party in full for all reasonable costs and expenses of that litigation. The
Indemnifying Party may participate in, but not control, any defense or settlement the Indemnified Party controls under this Article 11.6(c), and the Indemnifying Party will bear its own costs and expenses with respect to that participation.

  

	 	(d)	Payments of all amounts owing by an Indemnifying Party under this Article 11 relating to a Third-Party Claim will be made within 30 days after the latest of (i) the settlement of
that Third-Party Claim, (ii) the expiration of the period for appeal of a final adjudication of that Third-Party Claim or (iii) the expiration of the period for appeal of a final adjudication of the Indemnifying Party’s liability to the
Indemnified Party under this Agreement in respect of that Third-Party Claim. 

  

	11.7.	General Indemnity and Liability Provisions. 

  

	 	(a)	Application of Indemnities. All of the indemnities and allocations of risk contained in this Article 11 or elsewhere in this Agreement shall apply (to the extent permitted
by law) notwithstanding the negligence, gross negligence or willful misconduct of any person or party, strict liability, liability imposed by statute, or any other breach of obligation of any person or any other event or condition. Indemnitees shall
be entitled to reasonable attorneys’ fees incurred in asserting or enforcing the indemnities granted herein. 

  

	 	(b)	Consequential Damages. In no event shall either Seller, on the one hand, and Buyer, on the other, be liable to the other for loss of profit, business, or use, business
interruptions or any special, indirect or consequential damages suffered by the other party resulting from or arising out of this Agreement, however same may be caused. The foregoing shall not affect the indemnity obligations for Third-Party Claims
set forth in this Article 11. 

  

	 	(c)	Recouped Amount. If, after an indemnity payment is made under this Article 11 by an Indemnifying Party (an “Indemnity Payment”) to an Indemnified Party, any
Indemnified Party receives, directly or indirectly, any refund, rebate, credit, settlement or other payment or amount from any person relating to such Indemnity Payment (a “Recouped Amount”) which was not included in the Indemnifying
Party’s favor when calculating the Indemnity Payment, the Indemnified Party shall promptly inform the Indemnifying Party and pay an amount equal to the Recouped Amount to the Indemnifying Party. In addition, if any Indemnified Party becomes
aware of circumstances that could reasonably give rise to a Recouped Amount, the Indemnified Party shall promptly so notify the Indemnifying Party and shall use commercially reasonable efforts to collect and obtain such potential Recouped Amount.

  

 14 

	12.	ASSIGNMENT 

  
 This Agreement may not be assigned by any party without the prior written consent of the other parties; provided, however, that Buyer shall be entitled to
assign this Agreement to an Affiliate (“Buyer Assignee”) of Buyer (“Permitted Assignment”) in the manner and under the terms set forth herein. Buyer shall notify Seller on or prior to the date of any Permitted Assignment. In the
event of the Permitted Assignment, Buyer shall remain directly responsible for all obligations of Buyer hereunder and further cause Buyer Assignee to fully comply with the terms hereof, it being the understanding and agreement of the parties that
Buyer shall in no way be relieved of any liability or responsibility hereunder. 
  

	13.	TAXES AND FEES 

  
 Seller shall bear (i) all Taxes that relate to the ownership, operation or storage of the Rig prior to the Closing Time and (ii) all Taxes assessed
against Seller on account of the sale or transfer of the Rig to Buyer. Buyer shall bear (i) all Taxes that relate to the ownership, operation or storage of the Rig after the Closing Time and (ii) all Taxes assessed against Buyer on account of the
sale or transfer of the Rig to Buyer. Each party shall defend, indemnify and hold the other party harmless from and against all such Taxes for which the indemnifying party is responsible under this Article 13. Notwithstanding the foregoing, any
Taxes, fees and expenses in connection with the registration under Buyer’s flag shall be for Buyer’s account, whereas similar charges in connection with the closing of the Seller’s registry shall be for Seller’s account.

  

	14.	CHOICE OF LAW 

  
 The parties agree that this Agreement shall be governed by and construed in accordance with general maritime laws of the United States, and, to the extent
such maritime laws cannot be applied, the laws of the State of Texas. 
  

	15.	BROKERAGE 

  
 Seller, on the one hand, and Buyer, on the other hand, each agree to indemnify the other from and against all loss, cost, damage, or expense arising out
of claims for any other fees or commissions of brokers or agents, if any, employed or alleged to have been employed in connection with the sale and purchase provided for herein by the Indemnifying Party. 
  

 15 

	16.	COST OF THE TRANSACTION 

  
 Whether or not the transactions contemplated hereby shall be consummated, the parties agree that each party will pay the fees, expenses and disbursements
of such party and its agents, representatives, and counsel incurred in connection with the subject matter of this Agreement. Without limiting the generality of the foregoing, Buyer shall bear the costs incurred by it in carrying out any of its
inspections including without limitation the Re-inspection. 
  

	17.	NOTICES 

  
 Any notice, demand or communication required, permitted or desired to be given hereunder must be given in writing and shall be deemed effectively given
upon receipt and shall be personally delivered, telecopied or mailed by prepaid certified mail, return receipt requested, addressed as follows: 
  

			
	Seller	  	Transocean Offshore Deepwater Drilling Inc.
	 	  	Attn: General Counsel
	 	  	Four Greenway Plaza
	 	  	Houston, Texas 77046, U.S.A.
		
	 	  	Telecopy: (713) 232-7600
		
	Buyer	  	Hercules Offshore LLC
	 	  	Attn: Steven Manz, Chief Financial Officer
	 	  	2929 Briar Park Drive, Suite 435
	 	  	Houston, Texas 77042
		
	 	  	Telecopy: (713) 952-4342

  
 or to such other
address, and to the attention of such other person or officer, as any party may designate by notice. 
  

	18.	ENTIRE AGREEMENT/AMENDMENT 

  
 This Agreement supersedes all previous agreements, and constitutes the entire agreement of whatsoever kind or nature existing between or among the parties
respecting the sale of the Rig. As between or among the parties, no oral statements, prior correspondence, schedules, lists, brochures, drawings or written material of any kind not specifically incorporated herein shall be of any force and effect,
and shall not be relied upon by the other party. All prior representations or agreements, whether written or verbal, not expressly incorporated herein, are superseded and no changes in or additions to this Agreement may be made by either party
except in a writing signed by both parties hereto. 
  

 16 

	19.	MARKINGS 

  
 Buyer shall ensure that any markings on the outer part of the Rig bearing the flag name or registration number of the Rig shall be removed or deleted as
soon as possible but no later than 120 days from the Closing Date, but in no event later than the first date on which the Rig undertakes any activities pursuant to any drilling contract. 
  

	20.	GENERAL 

  

	20.1	The invalidity, illegality or unenforceability of any provision or any part of any provision of this Agreement shall not affect the continuation in force of such other part or the
remainder of this Agreement. 

  

	20.2	No amendment or variation to this Agreement shall be valid unless agreed in writing by each of the parties hereto. 

  

	20.3	This Agreement may be executed in any number of counterparts by the parties hereto on separate counterparts, each of which when executed and delivered shall constitute an original,
but all of which shall together constitute one and the same instrument. 

  

	20.4	All representations and warranties contained in this Agreement shall survive the Closing, provided that no representation or warranty of either Seller or Buyer shall be valid after
one (1) year following the Closing, except in the case of fraud in which case such a representation or warranty shall survive indefinitely. 

  

	20.5	The provisions of Article 11 and any other provision which, due to their nature should reasonably be expected to survive, shall survive any termination of the Agreement.

  

	20.6	Neither Party shall be in breach of its obligations (other than its obligation to pay money) to the extent it is prevented or hindered by Force Majeure. “Force Majeure”
shall be any condition which is beyond the reasonable control of a party and not reasonably foreseeable at the time of the signature of this Agreement, and shall include (but not be limited to) acts of war, acts of God, strikes but shall not include
mere financial distress or inability to pay on the part of either party. When, due to termination of such Force Majeure, such performance is no longer impossible, the party affected thereby shall immediately resume such performance under this
Agreement; provided, however, if such event of Force Majeure shall continue for thirty days beyond the Outside Date or, if a Partial Loss has occurred which will be repaired by Seller, the date estimated by Seller on which such repairs will be
completed, either party shall have the right to terminate this Agreement by providing notice to the other party. In the event this Agreement is terminated pursuant to this paragraph, each party shall be released from its obligations hereunder (but
without prejudice to any rights accrued prior to the date of termination) and the Deposit, together with any interest actually accrued thereon, if any, shall be returned to Buyer. 

  

 17 

	20.7	Buyer may, at its option and expense, place a reasonable number of representatives on board the Rig at any time and from time to time during the term of this Agreement. Buyer shall
coordinate with Seller with regard to the timing and method of travel to the Rig. All such representatives shall be subject to any and all safety and other rules in effect on the Rig. Without affecting the indemnity obligations or liabilities of
Buyer hereunder, in the event any such representatives are placed on board the Rig, Buyer shall at Buyer’s expense furnish Seller with a certificate of insurance evidencing insurance to cover the indemnity given to Seller in Article 11.1 prior
to the first of any such representatives boarding the Rig. 

  
 [Remainder of Page Intentionally Left Blank] 
  

 18 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in multiple originals by
their duly authorized officers, all as of the day and year first above written. 
  

							
	TRANSOCEAN OFFSHORE	 	HERCULES OFFSHORE LLC
	DEEPWATER DRILLING INC.	 	 	 	 
				
	By:	 	 /s/ Robert Saltiel

	 	By:	 	 /s/ Randall D. Stilley

	Name:	 	Robert Saltiel	 	Name:	 	Randall D. Stilley
	Title:	 	Vice President, Marketing & Planning	 	Title:	 	Manager

  
  

 EXHIBIT “A” 
  
 Certificate of Acceptance of Delivery 
  
 We, the undersigned, Transocean Offshore Deepwater Drilling Inc., a Delaware corporation (“Seller”), declare to
have delivered, and we, the undersigned, Hercules Offshore LLC, a Delaware limited liability company (“Buyer”), declare to have accepted, in accordance with the terms and conditions of the Rig Sale Agreement dated
                     (“Agreement”), the jackup known as the Transocean Jupiter being of Panamanian registry, Patente No.
1922690F, together with all equipment and spare parts related thereto, all as more particularly described in the Agreement at Ajman Port, U.A.E. at
                     a.m./p.m. Houston, Texas time, on this      day of
                    , 2005. 
  

							
	TRANSOCEAN OFFSHORE	 	HERCULES OFFSHORE LLC
	DEEPWATER DRILLING INC.	 	 	 	 
				
	By:	 	  

	 	By:	 	  

	Name:	 	  

	 	Name:	 	  

	Title:	 	  

	 	Title:	 	  

  
  

 20 

 EXHIBIT “B” 
  
 Form of Bill of Sale 
  
 BILL OF SALE 
  

			
	Vessel Name:	  	Transocean Jupiter
	Port of Registry:	  	Panama
	Patente No.:	  	1922690F
	Type of the Vessel:	  	Self Elevating MODU
	Gross Tons:	  	5,425

  
 We, Transocean Offshore Deepwater
Drilling Inc., a Delaware corporation (hereinafter called “the transferors”), in consideration of the sum of One United States Dollar (US$ 1) and other good and valuable consideration paid to us by Hercules Offshore LLC, a Delaware limited
liability company (hereinafter called “the transferee”), the receipt whereof is hereby acknowledged, hereby sell, transfer and convey the Vessel above particularly described, and in her appurtenances, to the said transferee. 
  
 Further, we, the said transferors for ourselves and our successors covenant with the said
transferee and its assigns, that we have power to transfer in the manner aforesaid the premises hereinbefore expressed to be transferred, and that the same are free from all encumbrances, mortgages, maritime liens and any other debts whatsoever
except for Permitted Liens, as described in that certain Rig Sale Agreement dated                     , 2005 between the transferors and the
transferee. 
  
 IN WITNESS WHEREOF we have hereunto set our hand this
     day of                      2005. 
  
 TRANSOCEAN OFFSHORE DEEPWATER DRILLING INC. 
  

			
	By:	 	  

	Name:	 	  

	Title:	 	  

  
 [NOTARIAL ACKNOWLEDGEMENT] 

 
  

 21 

 Schedule A 
  

Major Equipment Items and Systems 
  
  

			
	 Item

	 	     Quantity    

	 1.      Jacking System
	 	1
	 2.      Raw Water System
	 	1
	 3.      Anchor Winches
	 	4
	 4.      Cranes, Revolving
	 	2
	 5.      Air Hoist/Derrick Winches
	 	4
	 6.      Helicopter Landing Deck
	 	1
	 7.      Water Distillation Unit
	 	2
	 8.      Derrick / Mast
	 	1
	 9.      Racking Platform
	 	1
	 10.    Drawworks
	 	Continental Emsco
	 11.    Auxiliary Brake
	 	Elmagco 6032
	 12.    Crown Block
	 	1
	 13.    Traveling Block
	 	1
	 14.    Hook
	 	1
	 15.    Swivel
	 	1
	 16.    Dead Line Anchor
	 	1
	 17.    Diesel Engines
	 	4 Caterpillar D399
	 18.    AC – Generator
	 	3
	 19.    SCR System
	 	4
	 20.    Air Compressors
	 	3
	 21.    Emergency Generator
	 	1 Caterpillar/3306TA
	 22.    Emergency AC - Generator
	 	1
	 23.    Ram Type Preventer
	 	13 5/8 ” Cameron
	 24.    Annular Preventer
	 	13 5/8” Hydril
	 25.    Accumulator Unit
	 	Koomey
	 26.    Choke Manifold
	 	1
	 27.    BOP Hoist System
	 	2
	 28.    Mud Pumps
	 	2 Continental Emsco FB 1600
	 29.    Shale Shakers
	 	3
	 30.    Desander
	 	1
	 31.    Mud Cleaner
	 	1
	 32.    Mud/Gas Separator (Poor Boy)
	 	1
	 33.    Degasser
	 	1
	 34.    Bulk Silos
	 	8
	 35.    Lifeboats
	 	2
	 36.    Liferafts
	 	5
	 37.    Drill Pipe
	 	Quantity Not Known or Guaranteed

  
  

 22 

 Schedule A-1 
  
 Third Party Equipment 
  
 None 
  

 23Vessel Purchase Agreement

 Exhibit 10.13 
  

  
 VESSEL PURCHASE AGREEMENT 
  
 between 
  
 SUPERIOR ENERGY SERVICES, L.L.C. 
  
 and 
  
 HERCULES OFFSHORE LLC 
  
 Dated as of May 19, 2005 
  
  
  

 VESSEL PURCHASE AGREEMENT 
  
 This VESSEL PURCHASE AGREEMENT (this “Agreement”), dated as of May 19, 2005, is by and between Superior Energy
Services, L.L.C., a Louisiana limited liability company (“Superior”), and Hercules Offshore LLC, a Delaware limited liability company (“Hercules”). 
  
 W I T N E S S E T H: 
  
 WHEREAS, Superior is the owner of the liftboats listed on Schedule A, including all of their machinery, cranes, equipment, furnishings and on-board
consumables (each a “Vessel” and, collectively, the “Vessels”); 
  
 WHEREAS, Superior desires to sell the Vessels to Hercules upon the terms and conditions set forth herein; and 
  
 WHEREAS, Hercules desires to acquire the Vessels upon such terms and conditions. 
  
 NOW, THEREFORE, in consideration of the mutual representations, warranties, promises and covenants contained herein, and for
other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Hercules and Superior hereto represent and agree as follows: 
  
 ARTICLE 1 
 SALE AND PURCHASE OF THE VESSELS 
  
 1.1 Sale
of the Vessels. On the Closing Date (as defined below), Superior hereby agrees to sell to Hercules, and Hercules hereby agrees to purchase from Superior, the Vessels, upon the terms and subject to the conditions set forth in this Agreement.
Except for the Vessels and as specifically provided for in this Agreement, Hercules shall acquire no other assets or property, including any goodwill, intangibles or contractual rights, of Superior. In addition, Hercules shall acquire no
distribution systems, customers, operating rights or production techniques of Superior pursuant to this Agreement. 
  
 1.2 Purchase Price. The purchase price of the Vessel shall be $20 million (the “Purchase Price”), of which $19.5 million (the
“Closing Payment”) shall be payable in accordance with Section 2.1 below and of which $0.5 million (the “Holdback Amount”), subject to reduction as set forth in this Section 1.2, shall be payable on or before the 100th day after the Closing Date (the “Holdback Payment Date”); provided, however, that the Holdback Amount shall be
reduced to the extent (and only to the extent) that the costs reasonably incurred by Hercules on or prior to the 90th day after the Closing Date for the minimum repairs required for any Vessel listed on Schedule 1.2 to meet United States Coast Guard requirements for the issuance of a Certificate of Inspection with respect to such Vessel exceed the
budgeted amount set forth across from the name of each such Vessel on Schedule 1.2. If the cost of any repairs described above exceed the budgeted amount listed on Schedule 1.2 with respect to any such Vessel, at least five days prior to the
Holdback Payment Date, Hercules shall provide Superior with a notice setting forth the amount by which Hercules proposes to reduce the Holdback Amount and copies of all invoices or other supporting documentation describing the repairs performed on
each such Vessel and the costs and expenses associated therewith. 
  
 1.3 “As is, Where is” Sale. THE VESSELS ARE BEING SOLD ON AN “AS IS, WHERE IS” BASIS AND HERCULES SHALL ACCEPT DELIVERY OF THE VESSELS FROM SUPERIOR IN SUCH CONDITION. EXCEPT AS SET FORTH IN SECTION 3.4, NO
REPRESENTATIONS OR 
  

 2 

 WARRANTIES, EITHER EXPRESSED OR IMPLIED, ARE MADE WITH RESPECT TO THE MAINTENANCE, REPAIR, CONDITION, DESIGN, OPERATION,
SEAWORTHINESS, VALUE, MARKETABILITY, MERCHANTABILITY, USEFULNESS OR SUITABILITY FOR ANY PURPOSE OF ANY OF THE VESSELS, INCLUDING WITHOUT LIMITATION (A) ANY IMPLIED OR EXPRESSED WARRANTY OF MERCHANTABILITY, (B) ANY IMPLIED OR EXPRESSED WARRANTY FOR
FITNESS FOR A PARTICULAR PURPOSE, AND (C) ANY CLAIM BY BUYER FOR DAMAGES BECAUSE OF OR RELATED TO ANY DEFECTS, WHETHER KNOWN OR UNKNOWN, WITH RESPECT TO THE VESSELS. SUPERIOR DOES NOT WARRANT THAT THE VESSELS ARE FREE FROM REDHIBITORY OR OTHER
LATENT DEFECTS OR VICES. HERCULES HEREBY (I) EXPRESSLY WAIVES ALL RIGHTS IN REDHIBITION AND FOR REDUCTION OF THE PURCHASE PRICE PURSUANT TO LOUISIANA CIVIL CODE ARTICLES 2520 ET SEQ. AND THE WARRANTY IMPOSED BY LOUISIANA CIVIL CODE ARTICLE 2476 AND
(II) RELEASES SUPERIOR FROM ANY LIABILITY FOR REDHIBITORY OR OTHER LATENT DEFECTS OR VICES UNDER LOUISIANA CIVIL CODE ARTICLES 2520 THROUGH 2548. 
  
 1.4 Closing. The consummation of the sale and purchase of the Vessels (the “Closing”) shall take place in accordance with the terms of
this Agreement on a business day to be mutually agreed upon by Hercules and Superior (the “Closing Date”) on or before May 31, 2005 (or such later date as the parties may mutually agree in writing). The Closing shall be effective for all
purposes as of 12:01 a.m. on the Closing Date (the “Effective Time”). On the Closing Date, Hercules shall deliver the Closing Payment to Superior, Superior shall cause the Vessels to be delivered to Hercules free and clear of all
Encumbrances (as defined below) and Hercules and Superior each shall provide the other documents, certificates and instruments required to be delivered pursuant to Article 2. Each of the parties agree that time is of the essence and that it will use
its best efforts to satisfy the conditions to Closing set forth in Article 2 that are within its control and that are capable of being satisfied prior to the Closing Date not later than the second business day in advance of the date the parties
establish as the Closing Date. Upon completion of the Closing, title, ownership and possession of the Vessels shall pass to Hercules and Hercules shall take possession of the Vessels wherever they are located at the Effective Time. 
  
 1.5 Total or Constructive Total Loss of Vessel. If any Vessel shall
suffer an actual or constructive total loss prior to the Closing, including, without limitation, by governmental or private seizure or arrest, forced sale or other involuntary transfer, then the Purchase Price shall be reduced by the amount set
forth on Schedule A across from the name of such Vessel suffering such loss. 
  
 1.6 Other Loss or Damage of Vessel. If between the date of this Agreement and the Effective Time any of the Vessels shall suffer any damage (other than an actual or constructive total loss) to its hull or
material equipment or machinery, then no adjustment shall be made to the Purchase Price and Superior shall be responsible for repairing any such damage at Superior’s sole cost and expense, and Hercules shall make such Vessel available to
Superior after the Closing for the purpose of allowing Superior to perform such repairs; provided, however, that Superior shall not be obligated to repair any such damage if the cost of such repair is not reasonably expected to exceed $25,000.
Superior shall use commercially reasonable efforts to complete any such repairs in as short a time as possible. 
  
 1.7 Allocation of Purchase Price. Schedule A attached hereto sets forth the allocation established by Superior and Hercules of the Purchase Price
among the Vessels. The allocation set forth on Schedule A will be used by Superior and Hercules as the basis for reporting asset values and other items for purposes of all required tax returns, and Superior and Hercules shall not assert in
connection with any audit or other proceeding with respect to taxes, any asset values or other items inconsistent with the allocations set forth in Schedule A. 
  

 3 

 ARTICLE 2 
 CONDITIONS PRECEDENT 
  
 The respective obligations of Superior to sell the Vessel to Hercules and Hercules to pay the Purchase Price for the Vessels are subject to the satisfaction of the following conditions precedent: 
  
 2.1 Deliveries by Hercules. At the Closing, Hercules shall deliver to
Superior the following: 
  
 (a) The Closing Payment by wire
transfer of immediately available funds to an account designated by Superior; 
  
 (b) A protocol of delivery and acceptance with respect to each of the Vessels in the form attached hereto as Exhibit A (the “Protocols of Delivery and Acceptance”), duly executed by Hercules; 
  
 (c) A certificate executed by the Secretary of Hercules certifying the names,
titles and signatures of the officer(s) authorized to execute this Agreement and further certifying that the execution, delivery and performance of this Agreement, the other documents, certificates and instruments contemplated hereby and the
consummation of the transactions contemplated hereby and thereby have been duly authorized and approved by all requisite limited liability company action on the part of Hercules; and 
  
 (d) A certificate, executed by an authorized officer of Hercules, certifying that all representations and warranties of
Hercules are true and correct in all material respects on and as of the time of the Closing with the same effect as though made on and as of such date. 
  
 2.2 Deliveries by Superior. At the Closing, Superior shall deliver to Hercules the following: 
  
 (a) Title to the Vessels, free and clear of all Encumbrances; provided
however, that in the event any of the Vessels is subject to any Encumbrance, Superior shall deliver any mortgage or other lien release documents necessary to establish that the Vessels are or will be upon the filing of such documents, free and clear
of all Encumbrances; 
  
 (b) Bills of sale for each Vessel fully
executed by Superior in a mutually acceptable form for recording with the U.S. Coast Guard National Vessel Documentation Center (the “Bills of Sale”), pursuant to which Superior shall transfer to Hercules all right, title and ownership of
the Vessels sold, transferred, conveyed, assigned and delivered; 
  
 (c) All documentation, certificates and instruments relating to the Vessels as may be in Superior’s possession, including, without limitation, Superior’s technical information, as-built drawings, operations manuals, vessel logs
and documentation of repairs and inspections pertaining to the Vessels and which relate primarily to or are necessary for the operation, consistent with Superior’s past practices, of the Vessels; 
  
 (d) The Protocols of Delivery and Acceptance, duly executed by Superior;

  

 4 

 (e) A certificate executed by the Secretary of Superior certifying the names, titles and signatures of
the officer(s) authorized to execute this Agreement and further certifying that the execution, delivery and performance of this Agreement, the other documents, certificates and instruments contemplated hereby and the consummation of the transactions
contemplated hereby and thereby have been duly authorized and approved by all requisite limited liability company action on the part of Superior; and 
  
 (f) A certificate, executed by an authorized officer of Superior, certifying that all representations and warranties of Superior are true and correct in
all material respects on and as of the time of the Closing with the same effect as though made on and as of such date. 
  
 2.3 Representations, Warranties and Agreements. All representations and warranties made by Hercules and Superior shall be true and correct in all
material respects on and as of the time of the Closing with the same effect as though made on and as of such date, except to the extent waived in its sole discretion by the recipient of the representation and warranty, and Hercules and Superior
shall have performed in all material respects all of their respective obligations required to be performed by them under this Agreement at or prior to the Closing Date; provided, however, that a party who is in breach of its representations and
warranties in this Agreement or who has failed to perform any of its covenants and agreements under this Agreement may not delay the Closing pursuant to this Section 2.3. 
  
 2.4 No Litigation. There shall be no pending or threatened proceedings, nor any action, order decree or judgment
against Superior or Hercules that (a) involves a challenge to, or seeks damages or other relief in connection with any of the transactions contemplated by this Agreement or (b) may have the effect of preventing, delaying, making illegal or otherwise
interfering with any of the transactions contemplated by this Agreement. 
  
 ARTICLE 3 
 REPRESENTATIONS AND WARRANTIES OF SELLER 
  
 Superior hereby represents and warrants to Hercules as of the date hereof and as of the Closing Date as follows: 

 
 3.1 Organization, Existence and Corporate Power. Superior is a
limited liability company duly organized and validly existing and in good standing under the laws of the State of Louisiana and has all requisite limited liability company power and authority to (a) own and operate the Vessels as presently owned and
operated and (b) execute, deliver and perform its obligations under this Agreement and the other documents, certificates and instruments contemplated hereby. Superior has not been and is not engaged in the business of selling tangible personal
property similar to the Vessels and Superior has not and does not hold itself out to be engaged in such business. There is no pending or, to Superior’s knowledge, threatened action for the dissolution, liquidation or insolvency of Superior.

  
 3.2 Authorization and Execution. The execution,
delivery and performance of this Agreement, the other documents, certificates and instruments contemplated hereby and the consummation of the transactions contemplated hereby and thereby have been duly authorized and approved by all requisite
limited liability company action on the part of Superior. This Agreement and, when executed and delivered, each other document, certificate and instrument required to be executed, have been duly executed and delivered by Superior and constitute the
legal, valid and binding obligations of Superior enforceable against Superior in accordance with the respective terms hereof and thereof, subject to bankruptcy, insolvency and similar laws affecting the enforcement of creditors’ rights and
general principles of equity. 
  

 5 

 3.3 Conflict. Neither the execution, delivery or performance by Superior of this Agreement nor the
consummation of the transactions contemplated hereby will violate or contravene Superior’s articles of organization or operating agreement or any judgment, decree, order or award of any court or other governmental agency or any permit, license,
law, rule or regulation applicable to Superior or any of its respective properties or assets or conflict with, result in a breach of or constitute a default under, any agreement, instrument or contractual obligation to which Superior is a party or
by which it or its properties are bound. 
  
 3.4 Title; No
Encumbrance; Vessels. Superior has good, valid and marketable title to the Vessels, and on the Closing Date Superior will deliver any necessary mortgage or lien releases such that, upon filing of same, the Vessels shall be free and clear of all
mortgages, security interests, debts, claims, liens, libels and encumbrances of any kind whatsoever (“Encumbrances”). Superior is a “citizen of the United States” as such term is defined in Section 2 of the Shipping Act of 1916,
as amended, qualified to engage in the trade in which the Vessels have been employed. Except as set forth on Schedule A, the Vessels are duly documented under the laws and flag of the United States and are qualified to engage in the coastwise trade.
The Vessels are duly documented in the name of Superior as owner with the U.S. Coast Guard and, except as indicated on Schedule A, the Vessels have, and as of the Closing Date will have, current certificates of inspection and documentation in effect
with the U.S. Coast Guard, in each case free of reportable exceptions or notations of record. 
  
 3.5 Litigation. There are no legal actions, suits, arbitrations, government investigations or other legal or administrative proceedings, nor any order, decree or judgment pending, or in effect, or threatened
against or relating to the Vessels. In addition, there are no legal actions, suits, arbitrations, government investigations or other legal or administrative proceedings, nor any order, decree or judgment pending, or in effect, or threatened against
or relating to Superior in connection with or relating to the transactions contemplated by this Agreement. 
  
 3.6 Taxes. Superior has duly and timely prepared and filed with the appropriate governmental authorities all returns, reports, information returns
or other documents filed or required to be filed with such governmental authorities and has paid any taxes or other amounts due in respect thereof that if unpaid could result in a claim by any governmental authority against any of the Vessels or
Hercules. 
  
 3.7 Liftboat Operation. Superior has operated
the Vessels so as to comply with all applicable laws and regulations that if breached by Superior could result in a claim by any governmental authority against any of the Vessels or Hercules. 
  
 3.8 Vessel Crew. No member of the Vessel Crew (as defined below) is
presently a member of a collective bargaining unit and, to Superior’s knowledge, there are no threatened or contemplated attempts to organize for collective bargaining purposes any of the members of the Vessel Crew. 
  

 6 

 ARTICLE 4 
 REPRESENTATIONS AND WARRANTIES OF THE BUYER 
  
 Hercules hereby represents and warrants to Superior as of the date hereof and as of the Closing Date as follows: 
  
 4.1 Organization, Existence and Corporate Power. Hercules is a limited liability company duly organized, validly existing and in good standing
under the laws of the State of Delaware, and has all requisite power and authority to (a) own and operate the Vessels as presently owned and operated and (b) execute, deliver and perform its obligations under this Agreement and the other documents,
certificates and instruments contemplated hereby. There is no pending or, to Hercules’s knowledge, threatened action for the dissolution, liquidation or insolvency of Hercules. 
  
 4.2 Authorization and Execution. The execution, delivery and performance of this Agreement, the other documents,
certificates and instruments contemplated hereby and the consummation of the transactions contemplated hereby and thereby have been duly authorized and approved by all requisite limited liability company action of Hercules. This Agreement and the
other documents, certificates and instruments contemplated hereby have been duly executed and delivered by Hercules and constitute the legal, valid and binding obligation of Hercules enforceable against Hercules in accordance with the terms hereof
and thereof, subject to bankruptcy, insolvency and similar laws affecting the enforcement of creditors’ rights and general principles of equity. 
  
 4.3 Conflict. Neither the execution, delivery or performance by Hercules of this Agreement nor the consummation of the transactions contemplated
hereby will violate or contravene Hercules’s organizational documents or any judgment, decree, order or award of any court or other governmental agency or any permit, license, law, rule or regulation applicable to Hercules or its property or
assets or conflict with, result in a breach of or constitute a default under, any agreement, instrument or contractual obligation to which Hercules is a party or by which Hercules or its properties are bound. 
  
 4.4 Litigation. There are no legal actions, suits, arbitrations,
government investigations or other legal or administrative proceedings, nor any order, decree or judgment pending, or in effect, or threatened against Hercules in connection with or relating to the transactions contemplated by this Agreement.

  
 4.5 Financing. Hercules has sufficient funds to pay the
Closing Payment in cash at the Closing and to pay the Holdback Amount on the Holdback Payment Date in accordance with Section 1.2 hereof. The obligations of Hercules to may any payments pursuant to this Agreement shall not be subject to the receipt
of any financing by Hercules. 
  
 4.6 Citizenship. Hercules
is a “citizen of the United States” as such term is defined in Section 2 of the Shipping Act of 1916, as amended, qualified to engage in the trade in which the Vessels are employed. 
  

 7 

 ARTICLE 5 
 CERTAIN AGREEMENTS 
  
 5.1
Further Assurances. From time to time and at any time on or after the Closing, without further consideration, each party agrees to execute and deliver such further instruments of conveyance and transfer as may be reasonably necessary to
transfer and convey to Hercules all right, title and interests to and in the Vessels upon the terms and subject to the conditions set forth in this Agreement. 
  

5.2 Access. Superior agrees that, prior to the Closing Date, Hercules shall be entitled, through its employees and representatives and at its
own risk and expense, to make such investigation of the Vessels as it reasonably requests and deems necessary or appropriate for the purpose of familiarizing itself with the Vessels. Any such investigation shall be conducted at reasonable times and
after reasonable advance notice to Superior and shall not interfere with the scheduled operation of the Vessels. In order that Hercules may have full opportunity to make such investigation of the Vessels as it may reasonably request, Superior shall
cause the its employees, agents and representatives who have knowledge of the Vessels to cooperate fully with Hercules in connection with such examination. 
  
 5.3 Operation of Vessels. 
  
 (a) From and after the execution and delivery of this Agreement until the Closing, Superior shall own, use and operate the Vessels in the ordinary course
of business, consistent with past practices, including maintenance and repair of the Vessels, shall preserve the Vessels in their current condition (ordinary wear and tear excepted), shall not sell, transfer or assign any of the Vessels, shall
continue to purchase on-board consumables and similar items in the ordinary course of business and consistent with past practices, shall comply in all material respects with all applicable laws and regulations in regard to the Vessels, shall not
take any action which would adversely affect the ability of the parties to consummate the transactions contemplated by this Agreement, shall not subject any of the Vessels to any Encumbrance not affecting the Vessels as of the date hereof and shall
not agree to take any action prohibited by this Section 5.3 or anything that would make the representations and warranties of Superior contained in this Agreement untrue or incorrect in any material respect. 
  
 (b) From and after the execution and delivery of this Agreement until the
Closing, Hercules shall not take any action or agree to take any action which would adversely affect the ability of the parties to consummate the transactions contemplated by this Agreement, and shall not take any action or agree to take any action
that would make the representations and warranties of Hercules contained in this Agreement untrue or incorrect in any material respect. 
  
 5.4 Update Information. Each party hereto will promptly disclose to the other any information contained in its representations and warranties that
because of an event occurring after the date hereof is incomplete or no longer correct; provided, however, that none of such disclosures will be deemed to modify, amend, or supplement the representations and warranties of such party, unless the
other party consents to such modification, amendment, or supplement in writing. 
  
 5.5 Employee Matters. 
  
 (a) Immediately prior to the Effective Time, Superior shall terminate its employment of the employees listed on Schedule 5.5(a) (the “Vessel Crew”), each of whom is actively at work and assigned to crew the Vessels, and Superior
shall pay or otherwise satisfy when due all obligations of Superior to 
  

 8 

 the Vessel Crew through the Closing Date. Hercules will employ all of the Vessel Crew effective as of the Effective Time
at base salaries or wages comparable to those paid to similarly situated employees of Hercules. Upon request of Hercules and subject to applicable law, Superior shall provide Hercules access to, and provide data regarding, employment information
concerning the Vessel Crew and such other personnel records as Hercules may reasonably request. 
  
 (b) Hercules shall not assume any employee benefit Plan, program or arrangement of Superior. Superior shall have no responsibility for, and the Hercules
shall be responsible for, any and all liabilities, obligations and claims of any kind arising out of employment of the Vessel Crew by Hercules after the Effective Time. Hercules shall have no responsibility for, and Superior shall be responsible
for, any and all liabilities, obligations and claims of any kind arising out of employment of the Vessel Crew by Superior before the Effective Time and the termination of the employment of the Vessel Crew by Superior. For purposes of this Agreement,
“Plan” shall mean any pension, profit sharing, 401(k), disability, medical, dental, severance pay, vacation pay, sick pay, stock purchase, stock option, deferred compensation, incentive compensation, fringe benefit, stay-with bonus, change
of control agreement or other employee benefit plan, program or agreement, including, without limitation, any employee benefit plan as defined in Section 3(3) of the Employee Retirement Income Security Act of 1974, as amended, that is maintained or
contributed to by Superior or any organization that is a member a controlled group of organizations within the meaning of Sections 414(b), (c), (m) or (o) if the Internal Revenue Code of 1986, as amended, of which Superior is a member (the
“Controlled Group”) or under which Superior or any member of the Controlled Group has any liability or contingent liability, and which covers the employees of Superior. 
  
 (c) Notwithstanding anything contained in this Agreement to the contrary, nothing in this Agreement shall cause duplicate
benefits to be paid or provided to or with respect to a member of the Vessel Crew under any employee benefit policies, Plans, arrangements, programs, practices, or agreements of Superior and Hercules. 
  
 5.6 Asbestos Abatement. 
  
 (a) Except as provided in Section 5.6(b), on or prior to the Closing,
Superior shall cause to be removed from the Vessels any asbestos or asbestos-containing materials that require abatement pursuant to applicable laws and regulations. Any such asbestos or asbestos-containing material shall be removed from the Vessels
and disposed of in a good and workmanlike manner and in compliance with all applicable laws and regulations. 
  
 (b) Following the Closing, Hercules shall provide reasonable notice to Superior when the Superior Synergy, Superior Principle and Superior Outlook are
scheduled to return to port. Superior shall arrange with Hercules, but at Superior’s sole cost and expense, to have removed from each such Vessel while it is in port any asbestos or asbestos-containing materials that require abatement pursuant
to applicable laws and regulations. Any such asbestos or asbestos-containing materials shall be removed from each such Vessel and disposed of in a good and workmanlike manner and in compliance with all applicable laws and regulations. Superior and
Hercules shall cooperate with each other to ensure that any required asbestos removal can be accomplished as promptly as practicable during each such Vessel’s time in port in accordance with this Section 5.6(b). 
  
 5.7 Vessel Names, Signage and Company Color Identification. Promptly
following the Closing, but in any event within 60 days after the Closing Date, Hercules shall remove, or cause to be removed, from the Vessels any markings bearing the name “Superior” (including any variations or deviations thereof) or any
trademarks, trade names or logos of Superior or any of its affiliates. 
  

 9 

 5.8 Confidentiality. Superior and Hercules agree that the terms of this Agreement, the amounts
paid or payable hereunder, and the agreements and documents referenced or contemplated herein shall remain strictly confidential and shall not be revealed to any person or entity or published in any manner except as may be required by applicable
rule, regulation, law or stock exchange rule; provided, however, that, if either party is compelled by court order or similar legal process to disclose such information, such party will promptly notify the other party in order to permit such other
party (at its sole expense) to seek a protective order or take other appropriate action with respect to such disclosure. Notwithstanding the foregoing, either party may disclose such information in confidence to its parent companies, affiliates and
subsidiaries, and the directors, officers, employees, attorneys and accountants of such entities, who shall be subject to the same duty of confidentiality as if they were a party hereto. 
  
 5.9 Acquisition Proposals. None of Superior or any of its affiliates nor any director, officer, employee or
representative of any of them shall, directly or indirectly (a) solicit, initiate or knowingly encourage any Acquisition Proposal or (b) engage in discussions or negotiations with any person or entity that is considering making or has made an
Acquisition Proposal, other than to reject any unsolicited proposal or inquiry. Superior shall immediately cease and cause to be terminated any existing activities, discussion or negotiations with any person conducted heretofore with respect to any
Acquisition Proposal. The term “Acquisition Proposal” as used herein shall mean any offer or proposal for, or any indication of interest in, the acquisition of any portion of the Vessels, other than the transactions contemplated by this
Agreement. 
  
 ARTICLE 6 
 TERMINATION 
  
 6.1 Termination. This Agreement may, by written notice given at or prior to the Closing, be terminated: (a) by mutual consent of Superior and
Hercules; (b) by Superior or Hercules if there has been a material breach by the other of any representation, warranty or covenant contained in this Agreement (other than as a result of the failure to obtain or deliver any release of any Encumbrance
affecting any of the Vessels required to be delivered pursuant to Section 2.2(a)) that shall not have been cured or waived by the other party prior to the earlier of ten days following notice of such breach or June 30, 2005; (c) by Superior or
Hercules if the conditions to Closing required by Article 2 shall not have been met or waived by the Closing Date, or the Closing has not occurred by June 30, 2005 (in either case other than as a result of the failure to obtain or deliver any
release of any Encumbrance affecting any of the Vessels required to be delivered pursuant to Section 2.2(a)); or (d) by Superior or Hercules if Superior has been unable after the use of commercially reasonable efforts to obtain and deliver, by June
30, 2005, any release of any Encumbrance affecting any of the Vessels required to be delivered pursuant to Section 2.2(a); provided, however, that the party whose breach of its representations and warranties in this Agreement or whose failure to
perform any of its covenants and agreements under this Agreement has resulted in the failure of a condition to Closing set forth in Article 2 shall not be entitled to terminate this Agreement pursuant to Section 6.1(b) or (c). 
  
 6.2 Effect of Termination; Survival. Upon termination of this
Agreement pursuant to Section 6.1, this Agreement shall be void and of no effect and there shall be no liability by reason of this Agreement or the termination thereof on the part of any party except for any liability arising out of a 
  

 10 

 breach of any covenant in this Agreement prior to the date of termination or any covenant that survives pursuant to this
Section 6.2. The following provisions shall survive any termination of this Agreement: Section 5.8, this Section 6.2 and Article 8. 
  
 ARTICLE 7 
 INDEMNIFICATION

  
 7.1 Indemnification of Hercules by Superior.
Superior hereby agrees to pay and assume liability for, and does hereby agree to indemnify, protect, save and keep harmless Hercules, from and against any and all liabilities, obligations, losses, damages, penalties, claims (including claims by any
employee of Superior or any of its servants, crew or agents), actions, suits and related costs, expenses and disbursements, including reasonable legal fees and expenses, of whatsoever kind and nature (collectively, “Losses”), imposed on,
asserted against or incurred by Hercules, in any way relating to or arising out of or alleged to be attributable to, related to or arising out of (a) any inaccuracy in any representation or warranty of Superior in this Agreement or any breach or
nonfulfillment of any covenant, agreement or other obligation of Superior, (b) Encumbrances affecting the Vessels or arising as a matter of law from events occurring prior to the Closing Date or (c) subject to Section 1.3, any Losses sustained by
Hercules arising out of or related to Superior’s ownership or operation of the Vessels prior to the Closing Date. 
  
 7.2 Indemnification of Superior by Hercules. Hercules hereby agrees to pay and assume liability for, and does hereby agree to indemnify, protect,
save and keep harmless Superior, from and against any and all Losses imposed on, asserted against or incurred by Superior, in any way relating to or arising out of or alleged to be attributable to, related to or arising out of (a) any inaccuracy in
any representation or warranty of Hercules in this Agreement or any breach or nonfulfillment of any covenant, agreement or other obligation of Hercules or (b) any Losses sustained by Superior arising out of or related to the ownership or operation
of the Vessels after the Closing Date. 
  
 7.3 Notice and
Defense of Third Party Claims. If any third party demand, claim, action or proceeding shall be brought or asserted under Section 7.1 or 7.2 against an indemnified party or any successor thereto (the “Indemnified Person”) in respect of
which indemnity may be sought under this Section 7.1 or 7.2 from an indemnifying person or any successor thereto (the “Indemnifying Person”), the Indemnified Person shall give prompt written notice thereof to the Indemnifying Person who
shall have the right to assume its defense, including the hiring of counsel reasonably satisfactory to the Indemnified Person and the payment of all expenses; except that any delay or failure to so notify the Indemnifying Person shall relieve the
Indemnifying Person of its obligations under Section 7.1 or 7.2 only to the extent, if at all, that it is prejudiced by reason of such delay or failure. The Indemnified Person shall have the right to employ separate counsel in any of the foregoing
actions, claims or proceedings and to participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of the Indemnified Person unless both the Indemnified Person and the Indemnifying Person are named as parties
and the Indemnified Person shall in good faith determine that representation by the same counsel is inappropriate. In the event that the Indemnifying Person, within ten days after notice of any such action or claim, does not assume the defense
thereof, the Indemnified Personal shall have the right to undertake the defense, compromise or settlement of such action, claim or proceeding for the account of the Indemnifying Person, subject to the right of the Indemnifying Person to assume the
defense of such action, claim or proceeding with counsel reasonably satisfactory to the Indemnified Person at any time prior to the settlement, compromise or final determination thereof. Anything in this Section 6.3 to the contrary notwithstanding,
the Indemnifying Person shall not, without the Indemnified 
  

 11 

 Person’s prior consent, settle or compromise any action or claim or consent to the entry of any judgment with
respect to any action, claim or proceeding for anything other than money damages paid by the Indemnifying Person. The Indemnifying Person may, without the Indemnified Person’s prior consent, settle or compromise any such action, claim or
proceeding or consent to entry of any judgment with respect to any such action or claim that requires solely the payment of money damages by the Indemnifying Person and that includes as an unconditional term thereof the release by the claimant or
the plaintiff of the Indemnified Person from all liability in respect of such action, claim or proceeding. The Indemnifying Party shall promptly reimburse the Indemnified Party for the amount of any judgment rendered with respect to any third party
demand, claim, action or proceeding and for all damages incurred by the Indemnified Party in connection with the defense of such demand, claim, action or proceedings. 
  
 ARTICLE 8 
 MISCELLANEOUS 
  
 8.1 Expenses. Hercules
and Superior shall each pay their own out-of-pocket fees and expenses, including, without limitation, legal, accounting, advisory or other fees and expenses, arising in connection with any transactions contemplated by this Agreement. The parties
hereto represent and warrant to each other that no broker commissions are due and payable with respect to the transactions contemplated hereby. 
  
 8.2 Ad Valorem Taxes. Hercules and Superior agree that any ad valorem taxes payable in respect of the Vessel for 2005 shall be pro rated between
them based upon the number of days in 2005 that the Vessels are owned by each of them. Hercules agrees to reimburse Superior on such basis promptly upon receipt of evidence that the 2005 ad valorem taxes, if any, have been paid. 
  
 8.3 Dispute Resolution. Any controversy or claim arising out of or
relating to this Agreement or the breach or validity thereof shall be submitted to binding arbitration in New Orleans, Louisiana. The arbitration shall be conducted by three arbitrators, one of whom shall be chosen by Superior, one of whom shall be
chosen by Hercules and one of whom shall be chosen by mutual agreement of the arbitrators chosen by Superior and Hercules. The arbitrators shall have extensive experience in matters involving oilfield service vessels and related marine equipment.
The decision of the arbitrators shall require a majority vote and shall be conclusive and binding upon Hercules and Superior. Any decision of the arbitrators shall be final and conclusive, may be used as a basis for entry of judgment in any court
having jurisdiction thereof. The arbitration shall be conducted in accordance with the rules of the American Arbitration Association then in effect. The costs and expenses of the arbitrators shall be shared equally by Superior and Hercules.

  
 8.4 Entire Agreement; Amendments and Waivers. This
Agreement constitutes the entire agreement and understanding of the parties with respect to the subject matter hereof and hereby supersedes any other prior agreement of the parties with respect to the matters set forth herein whether written or
oral. No modification, waiver or amendment of this Agreement shall be effective unless such modification, waiver or amendment shall be in writing and executed by each of the parties hereto. 
  
 8.5 Notices. Except as may otherwise be expressly provided herein, any
notice herein required or permitted to be given shall be in writing, and may be personally served, sent by registered United States mail or by overnight delivery service providing for evidence of receipt or by facsimile transmission with written
confirmation of receipt and shall be deemed to have been given upon receipt 
  

 12 

 by the party notified. For the purposes hereof, the addresses of the parties hereto (until notice of a change thereof is
delivered as provided in this Section 8.5) shall be as set forth opposite each party’s name on the signature page hereof. 
  
 8.6 Survival. All agreements, indemnities, covenants, representations and warranties made herein shall survive the execution and delivery of this
Agreement and the delivery of the Vessels. 
  
 8.7
Severability; Counterparts. In case any provision of or obligation under this Agreement shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or
of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby. This Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed and delivered shall be an
original, but all of such counterparts shall together constitute one and the same instrument. 
  
 8.8 Governing Law. This Agreement shall be construed in accordance with U.S. general maritime law and, to the extent applicable, the substantive laws of the State of Louisiana without regard to conflicts of law
principles. 
  
 8.9 Successors and Assigns. This Agreement
shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and permitted assigns. Neither Hercules nor Superior may assign its rights under this Agreement without the prior written consent of the other
party; provided, however, that Hercules may assign its rights and obligations hereunder to affiliate of Hercules; provided, further, however, that any such assignment shall not relieve Hercules from any of its obligations hereunder. 
  
 [signatures appear on the following page] 
  
  

 13 

 IN WITNESS WHEREOF, the parties have executed this Vessel Purchase Agreement as of the date first above
written. 
  

					
	Hercules’s address is:	 	BUYER:
		
	 2929 Briarpark Dr., Suite 435
 Houston, Texas
77042
 Attn.: Randy Stilley
 Telephone: 713-952-7977

Facsimile: 713-952-7990
	 	HERCULES OFFSHORE LLC
	 	 	 	 
	 	 	 	 
	 	By:	 	 /s/ Randall D. Stilley

	 	Name:	 	Randall D. Stilley
	 	Title:	 	Manager
		
	Superior’s address is:	 	SELLER:
		
	 1105 Peters Road
 Harvey,
Louisiana
 Attn.: Ken Blanchard
 Telephone: (504)
362-4321
 Facsimile: (504) 362-1818
	 	SUPERIOR ENERGY SERVICES, L.L.C.
	 	 	 	 
	 	 	 	 
	 	By:	 	 /s/ Ken Blanchard

	 	Name:	 	Ken Blanchard
	 	Title:	 	Chief Operating Officer

  

 14 

 SCHEDULE A 
  

Vessels 
  

									
	 Vessel Name

	  	Official Number

	  	 Reduction of Purchase
 Price for Actual or
 Constructive Total Loss

	  	 Purchase Price
 Allocation

	 Superior Faith
	  	693612	  	$	1,500,000	  	$	1,500,000
	 Superior Independence
	  	681064	  	$	1,100,000	  	$	1,100,000
	 Superior Reward
	  	623835	  	$	1,600,000	  	$	1,600,000
	 Superior Principle
	  	626741	  	$	1,150,000	  	$	1,150,000
	 Superior Synergy
	  	650777	  	$	1,800,000	  	$	1,800,000
	 Superior Pacesetter
	  	638403	  	$	1,400,000	  	$	1,400,000
	 Superior Outlook
	  	678621	  	$	1,750,000	  	$	1,750,000
	 Superior Honor*
	  	646325	  	$	850,000	  	$	850,000
	 Superior Strategy
	  	576299	  	$	1,300,000	  	$	1,300,000
	 Superior Mission
	  	587423	  	$	1,200,000	  	$	1,200,000
	 Superior Performance
	  	629195	  	$	1,300,000	  	$	1,300,000
	 Superior Culture*
	  	625879	  	$	750,000	  	$	750,000
	 Superior Quality
	  	600343	  	$	1,100,000	  	$	1,100,000
	 Superior Inspiration
	  	573973	  	$	1,300,000	  	$	1,300,000
	 Superior Knowledge
	  	543043	  	$	1,200,000	  	$	1,200,000
	 Superior Confidence*
	  	556463	  	$	500,000	  	$	500,000
	 Superior Respect*
	  	641871	  	$	200,000	  	$	200,000

	*	Indicates a Vessel that does not have a current U.S. Coast Guard certificate of inspection and other required U.S. Coast Guard certifications. 

  

 15 

 SCHEDULE 1.2 
  
 Drydock Budgeted Amounts 
  

				
	 Vessel Name

	  	Budgeted Amount

	 Superior Respect
	  	$	350,000
	 Superior Culture
	  	$	450,000
	 Superior Confidence
	  	$	200,000
	 Superior Honor
	  	$	450,000
	 Superior Performance
	  	$	253,500
	 Superior Reward
	  	$	183,000
	 Superior Principle
	  	$	483,000
	 Superior Independence
	  	$	154,000
	 Superior Outlook
	  	$	520,000
	 Superior Faith
	  	$	158,000
	 Superior Pacesetter
	  	$	153,000
	 Superior Synergy
	  	$	158,000
	 Superior Inspiration
	  	$	400,000

  
  

 16 

 SCHEDULE 5.5(A) 
  
 Vessel Crew 
  

															
	DALTON	  	COMEAUX	  	100 Ton	  	9/19/1995	  	3-Captain	  	Captains	  	18	  	 
	LINCOLN	  	GEDWARD	  	100 Ton	  	12/1/1998	  	3-Captain	  	Mates	  	5	  	 
	MURRAY	  	HEBERT	  	100 Ton	  	7/11/1996	  	3-Captain	  	Able Seaman	  	5	  	 
	DAVID	  	KORZENOWSKI	  	100 Ton	  	11/4/2002	  	3-Captain	  	Ordinary Seaman	  	2	  	 
	BRIAN	  	LABARGE	  	100 Ton	  	3/1/2002	  	3-Captain	  	Cooks	  	8	  	 
	RUSSELL	  	LEMAIRE	  	100 Ton	  	6/2/1993	  	3-Captain	  	Deckhands	  	8	  	 
	DONALD	  	MOCK	  	100 Ton	  	7/11/1996	  	3-Captain	  	 	  	 	  	 
	ROBERT	  	POLOMBO	  	100 Ton	  	8/29/1983	  	3-Captain	  	Total	  	46	  	 
	KENNETH	  	SOILEAU	  	100 Ton	  	8/3/1994	  	3-Captain	  	 	  	 	  	 
	DARREN	  	SOLET	  	100 Ton	  	11/4/2002	  	3-Captain	  	 	  	 	  	 
	JERRY	  	TAYLOR	  	100 Ton	  	7/31/2000	  	3-Captain	  	 	  	 	  	 
	JIMMY	  	VINCENT	  	100 Ton	  	11/1/1999	  	3-Captain	  	 	  	 	  	 
	WILLIAM	  	VOLKER	  	150 Ton	  	2/5/2002	  	3-Captain	  	 	  	 	  	 
	MICHAEL	  	EAGLIN	  	200 Ton	  	8/7/2000	  	3-Captain	  	 	  	 	  	 
	EARNESTO	  	COLEMAN	  	500 Ton	  	6/3/2002	  	3-Captain	  	 	  	 	  	 
	DENNIS	  	DOWNING	  	500 Ton	  	11/27/2000	  	3-Captain	  	 	  	 	  	 
	RANDY	  	FILTER	  	500 Ton	  	9/24/2001	  	3-Captain	  	 	  	 	  	 
	MARCUS	  	AUSTIN	  	200 Ton	  	9/15/1998	  	4-Mate	  	 	  	 	  	 
	CARLTON	  	CARR	  	200 Ton	  	5/12/2003	  	4-Mate	  	 	  	 	  	 
	CHRISTOPHER	  	SIMS	  	200 Ton	  	7/28/1998	  	4-Mate	  	 	  	 	  	 
	DOUGLAS	  	SMITH	  	200 Ton	  	6/25/2004	  	4-Mate	  	 	  	 	  	 
	JOHN	  	WELCH	  	200 Ton	  	10/31/2001	  	4-Mate	  	 	  	 	  	 
	CLINT	  	CARR	  	Able Seaman	  	6/2/2003	  	6-Able Seaman	  	 	  	 	  	 
	LIONEL	  	LABEAU	  	Able Seaman	  	9/11/2001	  	6-Able Seaman	  	 	  	 	  	 
	CHARLES	  	RENTHROPE	  	Able Seaman	  	10/13/2003	  	6-Able Seaman	  	 	  	 	  	 
	GARY	  	SITES	  	Able Seaman	  	6/2/2003	  	6-Able Seaman	  	 	  	 	  	 
	SAMUEL	  	VERA	  	Able Seaman	  	8/9/2004	  	6-Able Seaman	  	 	  	 	  	 
	MARQUIS	  	PERSON	  	Ordinary Seaman	  	6/14/2004	  	8-Ordinary Seaman	  	 	  	 	  	 
	JOSEPH	  	PRUDHOMME	  	Ordinary Seaman	  	10/27/2003	  	8-Ordinary Seaman	  	 	  	 	  	 
	CHAD	  	AYCOCK	  	 	  	9/8/2003	  	9-Cook	  	 	  	 	  	 
	J	  	JACKSON	  	 	  	1/16/2004	  	9-Cook	  	 	  	 	  	 
	JEFFERY	  	PAYTON	  	 	  	4/5/1999	  	9-Cook	  	 	  	 	  	 
	RONALD	  	BLANCHARD	  	Able Seaman	  	2/5/2001	  	9-Cook	  	 	  	 	  	 
	JOHN	  	MCLAUGHLIN	  	Able Seaman	  	3/8/2004	  	9-Cook	  	2 weeks on and 4 off
	ERIC	  	DOUGLAS	  	Ordinary Seaman	  	4/16/2001	  	9-Cook	  	 	  	 	  	 
	HENRY	  	KEYS	  	Ordinary Seaman	  	2/5/2001	  	9-Cook	  	 	  	 	  	 
	MARK	  	SPRECKER	  	Ordinary Seaman	  	6/2/2003	  	9-Cook	  	 	  	 	  	 
	PURVIS	  	CORMIER	  	 	  	5/6/2002	  	91-Deckhand	  	 	  	 	  	 
	ALVIN	  	FABRE	  	 	  	1/3/2005	  	91-Deckhand	  	 	  	 	  	 
	BRANDON	  	HIGGINBOTHAM	  	 	  	12/27/2004	  	91-Deckhand	  	 	  	 	  	 
	BYRON	  	JONES	  	 	  	12/13/2004	  	91-Deckhand	  	 	  	 	  	 
	ORLANDUS	  	LEWIS	  	 	  	8/29/2003	  	91-Deckhand	  	 	  	 	  	 
	NELSON	  	PETILLO	  	 	  	12/13/2004	  	91-Deckhand	  	 	  	 	  	 
	CARL	  	SIGLER	  	 	  	11/21/2000	  	91-Deckhand	  	 	  	 	  	 
	HANK	  	SOLET	  	 	  	1/10/2005	  	91-Deckhand	  	 	  	 	  	 

  

 17

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00089-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00089-of-00352.parquet"}]]