===============================================================================


                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                    Form 8-K

                                 CURRENT REPORT

                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934


Date of report (Date of earliest event reported):    February 24, 2005


                             Nabors Industries Ltd.
             (Exact name of registrant as specified in its charter)




<TABLE>

<CAPTION>

<S>                                          <C>                                       <C>
Bermuda                                              000-49887                                   980363970
(State or other jurisdiction of              (Commission File Number)                     (I.R.S. Employer
incorporation or organization)                                                         Identification No.)

</TABLE>

                      2nd Fl. International Trading Centre
                                     Warrens
                                   PO Box 905E
                              St. Michael, Barbados
                         (Address of principal executive
                               offices) (zip code)


Registrant's telephone number, including area code:  (246) 421-9471

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:

  [ ]  Written communications pursuant to Rule 425 under the Securities
       Act (17 CFR 230.425)

  [ ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act
       (17 CFR 240.14a-12)

  [ ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the
       Exchange Act (17 CFR 240.14d-2(b))

  [ ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the
       Exchange Act (17 CFR 240.13e-4(c))



<PAGE>



Item 1.01 Entry Into a Material Definitive Agreement.

On February 24, 2005, the Compensation Committee of the Board of Directors of
Nabors Industries Ltd. (the "Company") granted restricted stock awards and
options to purchase the Company's common shares to certain of the Company's
named executive officers (as defined in Item 402(a)(3) of Regulation S-K), as
follows:

<TABLE>

<CAPTION>


<S>                                      <C>                                    <C>
---------------------------------------- -------------------------------------- --------------------------------------
Executive Officer                        Number of Restricted Shares            Number of Option Shares
---------------------------------------- -------------------------------------- --------------------------------------
Eugene M. Isenberg*                      100,000                                350,000
---------------------------------------- -------------------------------------- --------------------------------------
Anthony G. Petrello*                     50,000                                 175,000
---------------------------------------- -------------------------------------- --------------------------------------
Bruce P. Koch**                          1,626                                  5,000
---------------------------------------- -------------------------------------- --------------------------------------
Daniel McLachlin**                       325                                    1,000
---------------------------------------- -------------------------------------- --------------------------------------

</TABLE>


------------------------

*    Restricted stock award shares vest in three equal installments beginning on
     the first anniversary date of the grant. All options to purchase common
     shares vest on June 1, 2005.

**   Restricted stock award shares vest in four equal installments beginning on
     the first anniversary date of the grant. All options to purchase common
     shares vest on June 1, 2005.

The options to purchase the Company's common shares expire ten years from the
date of the grant, vest on the schedule set forth above (or, if earlier,
immediately prior to a change of control of the Company) and have an exercise
price of $57.65, the closing price of the Company's common shares on the
American Stock Exchange on the date of the grant. The restricted stock awards
and the options to purchase common shares are subject to the terms of the
various plans under which they were granted and the individual restricted stock
award and stock option agreements, forms of which are attached as Exhibits 10.01
through 10.04 and incorporated by reference herein. The Company intends to use
such forms of restricted stock award and stock option agreements from time to
time in connection with future awards to its named executive officers and others
under all equity compensation plans adopted and maintained by the Company.

Item 9.01 Financial Statements and Exhibits.

Exhibit 10.01    Form of Restricted Stock Award--Isenberg/Petrello

Exhibit 10.02    Form of Restricted Stock Award--Others

Exhibit 10.03    Form of Stock Option Agreement--Isenberg/Petrello

Exhibit 10.04    Form of Stock Option Agreement--Others




                                       2
<PAGE>



                                   SIGNATURES



Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                    NABORS INDUSTRIES LTD.



Date:  March 2, 2005                By:   /s/ Daniel McLachlin
                                       ------------------------------------
                                       Daniel McLachlin
                                       Vice President-Administration & Secretary






                                       3

<PAGE>


                                  Exhibit Index


Exhibit 10.01    Form of Restricted Stock Award--Isenberg/Petrello

Exhibit 10.02    Form of Restricted Stock Award--Others

Exhibit 10.03    Form of Stock Option Agreement--Isenberg/Petrello

Exhibit 10.04    Form of Stock Option Agreement--Others




                                       4
[{"type": "8-K", "sequence": "1", "filename": "was5219.txt", "description": "FORM 8-K", "secsgml_size_bytes": 6418}]
{"company-data": {"conformed-name": "NABORS INDUSTRIES LTD", "cik": "0001163739", "assigned-sic": "1381", "irs-number": "980363970", "state-of-incorporation": "D0", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-49887", "film-number": "05655167"}, "business-address": {"street1": "2ND FLOOR INT'L TRADING CENTER", "street2": "WARRENS, P.O. BOX 905E", "city": "ST. MICHAEL BARBADOS", "state": "D0", "zip": "0000", "phone": "2464219471"}, "mail-address": {"street1": "2ND FLOOR INT'L TRADING CENTER", "street2": "WARRENS, P.O. BOX 905E", "city": "ST. MICHAEL BARBADOS", "state": "D0", "zip": "0000"}}
===============================================================================

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                    Form 8-K

                                 CURRENT REPORT

                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported):    February 24, 2005

                             Nabors Industries Ltd.
             (Exact name of registrant as specified in its charter)
Bermuda                                              000-49887                                   980363970
(State or other jurisdiction of              (Commission File Number)                     (I.R.S. Employer
incorporation or organization)                                                         Identification No.)
2nd Fl. International Trading Centre
                                     Warrens
                                   PO Box 905E
                              St. Michael, Barbados
                         (Address of principal executive
                               offices) (zip code)

Registrant's telephone number, including area code:  (246) 421-9471

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:

  [ ]  Written communications pursuant to Rule 425 under the Securities
       Act (17 CFR 230.425)

  [ ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act
       (17 CFR 240.14a-12)

  [ ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the
       Exchange Act (17 CFR 240.14d-2(b))

  [ ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the
       Exchange Act (17 CFR 240.13e-4(c))
Item 1.01 Entry Into a Material Definitive Agreement.

On February 24, 2005, the Compensation Committee of the Board of Directors of
Nabors Industries Ltd. (the "Company") granted restricted stock awards and
options to purchase the Company's common shares to certain of the Company's
named executive officers (as defined in Item 402(a)(3) of Regulation S-K), as
follows:
---------------------------------------- -------------------------------------- --------------------------------------
Executive Officer                        Number of Restricted Shares            Number of Option Shares
---------------------------------------- -------------------------------------- --------------------------------------
Eugene M. Isenberg*                      100,000                                350,000
---------------------------------------- -------------------------------------- --------------------------------------
Anthony G. Petrello*                     50,000                                 175,000
---------------------------------------- -------------------------------------- --------------------------------------
Bruce P. Koch**                          1,626                                  5,000
---------------------------------------- -------------------------------------- --------------------------------------
Daniel McLachlin**                       325                                    1,000
---------------------------------------- -------------------------------------- --------------------------------------
------------------------

*    Restricted stock award shares vest in three equal installments beginning on
     the first anniversary date of the grant. All options to purchase common
     shares vest on June 1, 2005.

**   Restricted stock award shares vest in four equal installments beginning on
     the first anniversary date of the grant. All options to purchase common
     shares vest on June 1, 2005.

The options to purchase the Company's common shares expire ten years from the
date of the grant, vest on the schedule set forth above (or, if earlier,
immediately prior to a change of control of the Company) and have an exercise
price of $57.65, the closing price of the Company's common shares on the
American Stock Exchange on the date of the grant. The restricted stock awards
and the options to purchase common shares are subject to the terms of the
various plans under which they were granted and the individual restricted stock
award and stock option agreements, forms of which are attached as Exhibits 10.01
through 10.04 and incorporated by reference herein. The Company intends to use
such forms of restricted stock award and stock option agreements from time to
time in connection with future awards to its named executive officers and others
under all equity compensation plans adopted and maintained by the Company.

Item 9.01 Financial Statements and Exhibits.

Exhibit 10.01    Form of Restricted Stock Award--Isenberg/Petrello

Exhibit 10.02    Form of Restricted Stock Award--Others

Exhibit 10.03    Form of Stock Option Agreement--Isenberg/Petrello

Exhibit 10.04    Form of Stock Option Agreement--Others

                                       2
SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                    NABORS INDUSTRIES LTD.

Date:  March 2, 2005                By:   /s/ Daniel McLachlin
                                       ------------------------------------
                                       Daniel McLachlin
                                       Vice President-Administration & Secretary

                                       3
Exhibit Index

Exhibit 10.01    Form of Restricted Stock Award--Isenberg/Petrello

Exhibit 10.02    Form of Restricted Stock Award--Others

Exhibit 10.03    Form of Stock Option Agreement--Isenberg/Petrello

Exhibit 10.04    Form of Stock Option Agreement--Others

                                       4