COSL safely evacuated all its crew in Libya

China Oilfield Services Limited COSL or the Company said it had safely evacuated its 77 crew members in three batches from the Libya territory at 02 30 on 28 February 2011 Beijing time.

In the light of the rapid deterioration of the situation in Libya, the Company initiated its emergency safety procedures to arrange orderly evacuation of the crew members from the country in order to ensure their safety. The first batch of 6 crew members arrived at the Beijing International Airport at 13 05 on 27 February 2011, followed by the second batch of 57 crew members at 07 35 Beijing time on 27 February 2011 in Paris from Tripoli. The 57 crew members escorted to stay in a designated hotel and are scheduled to return to China by flights from various airlines. The last batch of 14 crew members is scheduled to return to China at 02:30 today from Tripoli via Dubai. Thanks to the concerted efforts from all parties, all crew members were safely evacuated with no one got hurt during the process. The evacuated crew members are all in good physical and mental health at the moment.

COSL withdrew the emergency procedures at 02 26 Beijing time on 28 February 2011, officially concluding its 8-day evacuation effort.

Mr. Li Yong, COSL s CEO and President, said We insist on our people based principle and rank crew members safety very high in our priorities. We initiated our emergency procedures timely immediately after the deterioration of the situation in Libya. The crew members based in the country were all evacuated safely, thanks to our partners in Libya, the China Embassy there, the relevant government departments there, cooperation and support from our controlling shareholder China National Offshore Oil Company Limited. On behalf of the Company and all of our staff, I would like to extend our sincerest appreciation to the support from our partner and the relevant government departments, the care from the society.

The Company's assets in Libya and business scale in Libya constitute only a small proportion of the total. A temporary suspension of our Libya operations will not inflict significant impact on the Company. We have initiated efforts to preserve our assets in Libya according to preset procedures, targeting to minimize losses, if any, to our properties there. Moreover, this incident in Libya proves that the Company's emergency procedures are effective. As the Company continues its overseas expansion and deepens its internationalization, it will be faced with more and more risks of similar nature. The Company will review this incident systematically, revamp its emergency procedures, upgrade the responsiveness of its emergency systems, getting better prepared for emergency situations to ensure safety of its staff and properties, Mr. Li added.