UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549

SCHEDULE 13D
Under the Securities Exchange Act of 1934

Amendment No.:   1

Name of Issuer:  Diamond Offshore Drilling, Inc.

Title of Class of Securities: Common Stock, par value $.01 per
share

CUSIP Number: 252 71C 102

          (Name, Address and Telephone Number of Person
       Authorized To Receive Notices and Communications)  

  Gary J. Wolfe, Esq., Seward & Kissel, One Battery Park Plaza,
                New York, NY 10004; (212) 574-1200

     (Date of Event which Requires Filing of this Statement)

                          May 24, 1996

If the filing person has previously filed a statement on Schedule
13G to report the acquisition which is the subject of this
Schedule 13D, and is filing this schedule because of
Rule 13d-1(b)(3) or (4), check the following box [   ].

Check the following line if a fee is being paid with this
statement.  (A fee is not required only if the filing person:
(1) has a previous statement on file reporting beneficial
ownership of more than five percent of the class of securities
described in Item 1; and (2) has filed no amendment subsequent
thereto reporting beneficial ownership of five percent or less of
class.  See Rule 13d-7).

*The remainder of this cover page shall be filled out for a
reporting person's initial filing on this form with respect to
the subject class of securities, and for any subsequent amendment
containing information which would alter the disclosures provided
in a prior cover page.

The information required in the remainder of this cover page
shall not be deemed to be "filed" for the purpose of Section 18
of the Securities Exchange Act of 1934 ("Act") or otherwise
subject to the liabilities of that section of the Act but shall





be subject to all other provisions of the Act (however, see the
Notes).





CUSIP No. 252 71C 102

1.  Name of Reporting Person
    S.S. or I.R.S. Identification No. of Above Person

         Forvaltnings AB Ratos

2.  Check the Appropriate Box if a Member of a Group

         a.   
         b.   X

3.  SEC Use Only

4.  Source of Funds

         OO

5.  Check box if Disclosure of Legal Proceedings is Required
    Pursuant to Items 2(d) or 2(e)

6.  Citizenship or Place of Organization

         Sweden

Number of Shares Beneficially Owned by Each Reporting Person
With:

7.  Sole Voting Power:

         378,838

8.  Shared Voting Power:


9.  Sole Dispositive Power:

         378,838

10. Shared Dispositive Power:


11. Aggregate Amount Beneficially Owned by Each Reporting Person

         378,838

12. Check Box if the Aggregate Amount in Row (11) Excludes
    Certain Shares







13. Percent of Class Represented by Amount in Row (11)

         0.6%

14. Type of Reporting Person

         CO





The purpose of this Amendment No. 1 is to amend the Schedule 13D
filed on May 9, 1996 (the "Schedule") by Forvaltnings AB Ratos
("Ratos") relating to the ownership of the Common Stock, $0.01
par value, of Diamond Offshore Drilling, Inc., a Delaware
corporation ("Diamond").  All capitalized terms used in this
Amendment and not otherwise defined herein have the meaning set
forth in the Schedule.

Item 1.  Security and Issuer

         No change

Item 2.  Identity and Background

         No change

Item 3.  Source and Amount of Funds or Other Consideration

         No change

Item 4.  Purpose of Transaction

         The Offering described in the Schedule was completed on
May 24, 1996.  328,838 shares of Common Stock owned by Ratos
remain subject to an over-allotment option in favor of the
Underwriters and the International Managers (as defined in Item 5
below).  Subject to this over-allotment option, 378,838 shares of
Common Stock are held by Ratos for investment purposes.

Item 5.  Interest in Securities of the Issuer

         Ratos is deemed to be the beneficial owner of 378,838
shares of Common Stock representing approximately 0.6% of the
outstanding Common Stock, based on Diamond's most recent filing
with the Commission.

         To the best of Ratos' knowledge, Alphee S.A. ("Alphee"),
a Luxembourg corporation, whose principal place of business is
located at 11 Avenue De La Gare, Grand Duchy of Luxembourg, owns
an aggregate of 473,477 shares of Common Stock on the date
hereof, representing 0.7% of the outstanding Common Stock.

         Ratos sold 3,288,369 shares of Common Stock on May 24,
1996 in an underwritten secondary offering pursuant to (i) the
Registration Statement and as further described in the prospectus
supplement, dated May 20, 1996 to the prospectus contained in the
Registration Statement, (ii) the U.S. Purchase Agreement dated as
of May 20, 1996 (the "U.S. Purchase Agreement"), by and among
Diamond, Ratos, Alphee (Alphee, together with Ratos, the "Selling
Stockholders") and Merrill, Lynch, Pierce, Fenner & Smith
Incorporated, CS First Boston Corporation and Salomon Brothers





Inc (the "Underwriters") and (iii) the International Purchase
Agreement dated as of May 20, 1996 (the "International Purchase
Agreement, and together with the U.S. Purchase Agreement, the
"Purchase Agreements") by and among Diamond, the Selling
Stockholders, Merrill Lynch International, CS First Boston
Limited and Salomon Brothers International Limited (the
"International Managers").

         Ratos ceased to be the beneficial owner of more than
five percent of the shares of Common Stock on May 24, 1996.  As a
result, this is the final amendment to this Schedule.

Item 6.  Contracts, Arrangements, Understandings or
         Relationships with Respect to Securities
         of the Issuer

         In addition to the Shareholders' Agreement described in
Item 6 of the Schedule, Ratos, together with Alphee, is a party
to the Purchase Agreements relating to the sale by Ratos and
Alphee of 3,288,369 and 4,234,771 shares of Common Stock,
respectively, to the Underwriters and the International Managers
and the offer of such shares to the public under the Registration
Statement.  Forms of the U.S. Purchase Agreement and the
International Purchase Agreement have been filed as Exhibit Nos.
1.1 and 1.2, respectively, to Post-Effective Amendment No. 1 to
the Registration Statement.  Pursuant to the Purchase Agreements,
328,838 shares of Common Stock owned by Ratos remain subject to
an over-allotment option in favor of the Underwriters and the
International Managers.

Item 7.  Exhibits.

         None.





Signature

After reasonable inquiry and to the best of my knowledge and
belief, I certify that the information set forth in this
statement is true complete and accurate.



                                  FORVALTNINGS AB RATOS


                                  By:     /s/ Gary J. Wolfe        
Date:  May 30, 1996                 Name:  Gary J. Wolfe
                                    Title: Attorney-in-Fact







































01179001.AI9