Scorpion Offshore Ltd. (OSL:SCORE) Secures Financing For The Offshore Freedom And Refinances The Semi Bridge Loan

Scorpion Offshore Ltd. (OSL:SCORE) HAMILTON, BERMUDA - 14 January 2009

Scorpion Offshore Ltd. ("Scorpion" or the "Company") through its subsidiary companies, Scorpion Freedom Ltd. and Scorpion Deepwater Ltd. ("Deepwater"), has secured financing for its remaining construction payments on the Offshore Freedom and refinancing the amounts drawn under the Semisubmersible Bridge loan ("Bridge") with Bayererische Hypo-und Vereinsbank AG ("HVB") in a new credit facility totaling $169 million.

HVB is the Sole Arranger and Underwriter in this new credit facility. The credit facility consists of two tranches amortizing over an average period of 4 years.

The Offshore Freedom is being constructed by Lamprell Energy Limited in Sharjah and due for delivery in mid-April 2009.

Referencing Scorpion's press release dated 8 Janaury 2009, Deepwater has reached agreement with Keppel FELS and Third Party Vendors to amicably terminate the construction contract and equipment orders on mutually acceptable terms.

Scorpion Offshore Ltd. is a Bermuda based corporation founded in 2005 to own and operate state-of-the-art offshore drilling rigs.

Contacts:

Jon Cole, President and CEO (713) 728-6100 Mark Mey, SVP and CFO (713) 728-6100 www.scorpionoffshore.com

This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.

Scorpion Offshore Ltd.

http://www.scorpionoffshore.com

ISIN: BMG786761061

Stock Identifier: XOSL.SCORE