Helix Energy Solutions Group, Inc. Ÿ 400 N. Sam Houston Parkway E., Suite 400 Ÿ Houston, TX 77060-3500 Ÿ 281-618-0400 Ÿ fax: 281-618-0505

For Immediate Release		06-015
	Contact:	Wade Pursell
Date: May 2, 2006	Title:	Chief Financial Officer

Helix Reports First Quarter Results Doubling Last Year’s First
Quarter Earnings

HOUSTON, TX –Helix Energy Solutions (Nasdaq: HELX) reported first quarter net income of $55.4 million, or $0.67 per diluted share. This represents more than two times last year’s first quarter results.

Included in the earnings was a $20.7 million pre-tax charge ($0.16 per share) for the write-off of the total estimated cost to Helix for a mechanical failure in the drilling of a well at the Tulane prospect. In late March, mechanical difficulties were experienced drilling this well and, after further review and analysis, we determined the wellbore would be plugged and abandoned. Therefore, under the Company’s successful efforts method of accounting, the total estimated drilling costs to the Company were charged to earnings in the first quarter.

Despite this first quarter charge, due primarily to the continued strengthening of the contracting services markets, the Company raises the lower end of its earnings guidance estimates for 2006 to a range of $2.70 — $3.30 per diluted share.

Summary of Results

(in thousands, except per share amounts and percentages)

	First Quarter						Fourth Quarter
	2006			2005			2005
Revenues	$	291,648		$	159,575		$	264,028
Gross Profit		102,266			51,873			95,852
		35	%		33	%		36	%
Net Income		55,389			25,411			56,006
		19	%		16	%		21	%
Diluted Earnings Per Share		0.67			0.32			0.69

Owen Kratz, Chairman and Chief Executive Officer of Helix, stated, “We had a first quarter to be very proud of, except for the unexpected setback in drilling the Tulane prospect. The decision to abandon the well was a difficult one given that it was a mechanical failure as opposed to a dry hole (the reservoir could still be there). This was one of the deals closed in early 2005 in which we participated as a non-operator through a promote. It is the risk of this kind of negative impact that gave rise to the realization that we needed to be in more control and on the operator side of these arrangements. This event clearly highlights the strategic rationale for the pending acquisition of Remington Oil and Gas.

It is a testament to the strengths of our overall business model that we came close to eclipsing our record earnings of Q4/05 despite the Tulane charge. “

Financial Highlights

v	Revenues: The $132.1 million increase in year-over-year first quarter revenues was driven primarily by significant improvements in Contracting Services revenues due to the introduction of newly acquired assets and much better market conditions.
v	Margins: 35% is two points better than the year ago quarter despite the $20.7 million pre-tax charge (Tulane) taken in the first quarter of 2006. Without this charge, margins would have been 42% driven by the improved market conditions for Contracting Services.
v	SG&A: $21.0 million increased $8.2 million from the same period a year ago due primarily to increased overhead to support the Company’s growth. This level of SG&A was 7% of first quarter revenues, compared to 8% in the year ago quarter.
v	Equity in Earnings: $6.2 million reflects our share of Deepwater Gateway, L.L.C.’s earnings for the quarter relating to the Marco Polo facility as well as our share of Offshore Technology Solutions Limited’s earnings which is the Trinidadian company to which we contributed the Witch Queen.
v	Income Tax Provision: The Company’s effective tax rate for the quarter was 34.1% which is less than the 36% rate in last year’s first quarter due primarily to the Company’s ability to realize foreign tax credits due to improved profitability both domestically and in foreign jurisdictions.
v	Balance Sheet: Total debt as of March 31, 2006 was $445 million. This represents 37% debt to book capitalization and with $425 million of EBITDA during the last twelve months, this represents 1.0 times trailing twelve month EBITDA.

Further details are provided in the presentation for Helix’s quarterly conference call (see the Investor Relations page of www.HelixESG.com). The call, scheduled for 9:00 a.m. Central Daylight Time on Wednesday, May 3, 2006, will be webcast live. A replay will be available from the Audio Archives page.

Helix Energy Solutions, headquartered in Houston, Texas, is an energy services company that provides innovative solutions to the oil and gas industry worldwide for marginal field development, alternative development plans, field life extension and abandonment, with service lines including diving services, shelf and deepwater construction, robotics, well operations, well engineering and subsurface consulting services, platform ownership and oil and gas production.

FORWARD-LOOKING STATEMENTS

This press release and attached presentation contain forward-looking statements that involve risks, uncertainties and assumptions that could cause our results to differ materially from those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are statements that could be deemed “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, any projections of revenue, gross margin, expenses, earnings or losses from operations, or other financial items; future production volumes, results of exploration, exploitation, development, acquisition and operations expenditures, and prospective reserve levels of property or wells; any statements of the plans, strategies and objectives of management for future operations; any statement concerning developments, performance or industry rankings relating to services; any statements regarding future economic conditions or performance; any statements of expectation or belief; any statements regarding the proposed merger of Remington Oil and Gas Corporation into a wholly owned subsidiary of Helix or the anticipated results (financial or otherwise) thereof; and any statements of assumptions underlying any of the foregoing. The risks, uncertainties and assumptions referred to above include the performance of contracts by suppliers, customers and partners; employee management issues; complexities of global political and economic developments, geologic risks and other risks described from time to time in our reports filed with the Securities and Exchange Commission (“SEC”), including the Company’s Annual Report on Form 10-K

for the year ending December 31, 2005; and, with respect to the proposed Remington merger, actual results could differ materially from Helix’s expectations depending on factors such as the combined company’s cost of capital, the ability of the combined company to identify and implement cost savings, synergies and efficiencies in the time frame needed to achieve these expectations, prior contractual commitments of the combined companies and their ability to terminate these commitments or amend, renegotiate or settle the same, the combined company’s actual capital needs, the absence of any material incident of property damage or other hazard that could affect the need to effect capital expenditures, any unforeseen merger or acquisition opportunities that could affect capital needs, the costs incurred in implementing synergies and the factors that generally affect both Helix’s and Remington’s respective businesses as further outlined in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in each of the companies’ respective Annual Reports on Form 10-K for the year ended December 31, 2005. Actual actions that the combined company may take may differ from time to time as the combined company may deem necessary or advisable in the best interest of the combined company and its shareholders to attempt to achieve the successful integration of the companies, the synergies needed to make the transaction a financial success and to react to the economy and the combined company’s market for its exploration and production. We assume no obligation and do not intend to update these forward-looking statements.

ADDITIONAL INFORMATION

Helix and Remington have filed a proxy statement/prospectus and other relevant documents concerning the proposed merger transaction with the SEC. Investors are urged to read the proxy statement/prospectus and any other relevant documents filed with the SEC because they contain important information. You can obtain the documents free of charge at the website maintained by the SEC at www.sec.gov. In addition, you may obtain documents filed with the SEC by Helix free of charge by requesting them in writing from Helix or by telephone at (281) 618-0400. You may obtain documents filed with the SEC by Remington free of charge by requesting them in writing from Remington or by telephone at (214) 210-2650. Helix and Remington, and their respective directors and executive officers, may be deemed to be participants in the solicitation of proxies from the stockholders of Remington in connection with the merger. Information about the directors and executive officers of Helix and their ownership of Helix stock is set forth in the proxy statement for Helix’s 2005 Annual Meeting of Shareholders. Information about the directors and executive officers of Remington and their ownership of Remington stock is set forth in the Annual Report on Form 10-K for the year ended December 31, 2005, as amended by Form 10-K/A. Investors may obtain additional information regarding the interests of such participants by reading the proxy statement/prospectus.

HELIX ENERGY SOLUTIONS GROUP, INC.

Comparative Condensed Consolidated Statements of Operations

	Three Months Ended Mar. 31,
(000’s omitted, except per share data)	2006		2005
	(unaudited)
Net Revenues	$	291,648	$	159,575
Cost of Sales		189,382		107,702
Gross Profit		102,266		51,873
Gain on Sale of Assets, net		267		—
Selling and Administrative		21,028		12,837
Income from Operations		81,505		39,036
Equity in Earnings of Investments		6,236		1,729
Interest Expense, net & Other		2,457		264
Income Before Income Taxes		85,284		40,501
Income Tax Provision		29,091		14,540
Net Income		56,193		25,961
Preferred Stock Dividends		804		550
Net Income Applicable to Common Shareholders	$	55,389	$	25,411
Other Financial Data:
Net income applicable to common shareholders	$	55,389	$	25,411
Dividends on preferred stock		804		550
Income tax provision		29,091		14,540
Net interest expense and other		2,457		264
Depreciation and amortization		53,972		26,723
Share of Equity Investments:
Depreciation		1,240		1,010
Interest expense, net		99		1,383
EBITDA(1)	$	143,052	$	69,881
Weighted Avg. Shares Outstanding:
Basic		77,969		77,143
Diluted		83,803		81,739
Earnings Per Share:
Basic	$	0.71	$	0.33
Diluted	$	0.67	$	0.32

(1) The Company calculates EBITDA as earnings before net interest expense, taxes, depreciation and amortization (which includes non-cash asset impairments) and the Company’s share of depreciation, net interest expense and taxes from its equity investments. EBITDA and EBITDA margin (defined as EBITDA divided by net revenue) are supplemental non-GAAP financial measurements used by the Company and investors in the energy industry in the evaluation of its business due to the measurements being similar to income from operations.

Comparative Condensed Consolidated Balance Sheets

(000’s omitted)	Mar. 31, 2006		Dec. 31, 2005
	(unaudited)
ASSETS
Current Assets:
Cash and equivalents	$	37,833	$	91,080
Accounts receivable		233,880		228,058
Other current assets		59,478		52,915
Total Current Assets		331,191		372,053
Net Property & Equipment:
Marine Contracting		618,759		524,890
Oil and Gas Production		401,066		391,472
Equity Investments		193,735		179,556
Goodwill		106,251		101,731
Other assets, net		91,849		91,162
Total Assets	$	1,742,851	$	1,660,864
LIABILITIES & SHAREHOLDERS’ EQUITY
Current Liabilities:
Accounts payable	$	115,314	$	99,445
Accrued liabilities		126,879		145,752
Current mat of L-T debt (2)		6,438		6,468
Total Current Liabilities		248,631		251,665
Long-term debt (2)		438,256		440,703
Deferred income taxes		178,015		167,295
Decommissioning liabilities		108,875		106,317
Other long-term liabilities		9,121		10,584
Convertible preferred stock (2)		55,000		55,000
Shareholders’ equity (2)		704,953		629,300
Total Liabilities & Equity	$	1,742,851	$	1,660,864

(2) Debt to book capitalization — 37% at March 31, 2006. Calculated as total debt ($444,694) divided by sum of total debt, convertible preferred stock and shareholders’ equity ($1,204,647).