OREANDA-NEWS. Eurasia Drilling Company Limited (“EDC” or the“Company” - LSE: EDCL), the leading onshore & offshore drilling service provider in the CIS, has been advised that an arbitration tribunal on March 7,2014 rendered a decision before the Stockholm Chamber of Commerce between China Petrochemical International Company Limited (CPIC) and Cypress Oilfield Holdings Limited (COHL), a subsidiary of the Company. The arbitration involved a contract for the purchase of five drilling rigs from CPIC which COHL terminated for failure to deliver the rigs on time and in accordance with specifications. The arbitration tribunal found against COHL and awarded CPIC USD 29,713,991 in damages, USD 1,306,347 for additional work, USD 119,361 in lost profits, USD 987,741 as penalty and reimbursement of a USD 6,173,381 performance bond from CPIC which COHL had exercised, with accrued interest (at a commercial rate determined by the tribunal) and certain other costs. The Company is considering a challenge to this decision. The Company will take acharge to earnings in 2013 as a result of this finding.

EDC is the largest provider of onshore drilling services in Russia, as measured by the number of metres drilled, providing onshore integrated well construction services and workover services. The Company also provides offshore drilling services in the Caspian Sea and is the largest provider of such services in the sectors where it operates based on the number of jack-up drilling rigs. The Company offers its onshore integrated well construction services and workover services to local and international oil and gas companies primarily in Russia and its offshore drilling services to Russian and international oil and gas companies in the Russian, Kazakh and Turkmen sectors of the Caspian Sea. In addition, the Company provides onshore drilling services in Iraq. The Company is traded on the London Stock Exchange under the symbol“EDCL”.