Tesco Corporation has entered into an equipment placement agreement with ENSCO Offshore Company to provide TESCO's proprietary Casing Drive System(TM) (CDS(TM)) onto ENSCO's offshore rigs. Under terms of the agreement TESCO and ENSCO will cooperate in placing CDS(TM) tools aboard rigs for use by ENSCO's operating customers.

As part of the agreement, TESCO will place their CDS(TM) tools on mutually-agreed ENSCO rigs. The parties will work together to provide a value-added service including services and personnel of both companies for delivery of improved technology in running casing at the well site.