Transocean Inc. Awarded Contracts for Four High-Specification Rigs
HOUSTON--(BUSINESS WIRE)--April 4, 2005--Transocean Inc. (NYSE:RIG) today announced that it has been awarded contracts for four of the company's High-Specification semisubmersible rigs, the Sedco Energy, Deepwater Discovery, Transocean Leader, and Sedco 709.
The Fifth-Generation deepwater semisubmersible Sedco Energy has been awarded a 730-day contract in West Africa. The contract is expected to commence in October 2005, following the completion of the rig's current drilling program and an estimated 100-day period for rig modifications in a shipyard in Las Palmas and mobilization to the location. Revenues of approximately $148 million could be generated over the 730-day contract period.
Nexen has awarded the Fifth-Generation drillship Deepwater Discovery a one well, estimated 25-day contract for drilling operations offshore Equatorial Guinea. The contract is expected to commence during May 2005, in direct continuation of the rig's current contract. Revenues of approximately $8 million could be generated over the 25-day contract period.
The Sedco Energy and Deepwater Discovery are dynamically positioned, ultra-deepwater rigs capable of working in water depths of up to 7,500 and 10,000 feet, respectively. The Sedco Energy, which entered service in 2001 following its construction in Brest, France, is currently operating offshore Nigeria for ChevronTexaco. The Deepwater Discovery, which began operations in 2000 following its construction in Ulsan, Korea, is currently operating offshore Ivory Coast for Vanco.
In addition, Statoil has awarded the deepwater rig Transocean Leader an estimated 345-day contract for drilling operations offshore Norway. The program is expected to commence in February 2006, in direct continuation of the rigs current contract. Revenues of approximately $84 million could be generated over the 345-day contract period.
Finally, Amerada Hess has awarded the deepwater rig Sedco 709 a two-well, estimated 60-day contract for drilling operations offshore Gabon. The contract is expected to commence in April 2005, in direct continuation of the rig's current contract. Revenues of approximately $10 million could be generated over the 60-day contract period.
The Transocean Leader and Sedco 709 are two deepwater semisubmersible rigs capable of working in water depths of 4,500 feet and 5,000 feet, respectively. The Transocean Leader is currently operating for Statoil offshore Norway, while the Sedco 709 is operating for CNR offshore Ivory Coast.
Estimated revenues for each contract are exclusive of revenues for mobilization, demobilization, rig modifications and client reimburseables.
The Sedco Energy, Deepwater Discovery, Transocean Leader and Sedco 709 represent four of the 32 High-Specification Floaters in the Transocean fleet, 13 of which are Fifth-Generation rigs capable of drilling in water depths of 7,500 feet or greater.
Statements regarding contract duration, contract commencement date, contract revenues, as well as any other statements that are not historical facts, are forward-looking statements that involve certain risks, uncertainties and assumptions. These include but are not limited to operating hazards and delays, actions by customers and other third parties, the future price of oil and gas, the actual dayrate earned and other factors detailed in the company's most recent Form 10-K and other filings with the Securities and Exchange Commission (SEC), which are available free of charge on the SEC's website at www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated.
Transocean Inc. is the world's largest offshore drilling contractor with a fleet of 93 mobile offshore drilling units. The company's mobile offshore drilling fleet, consisting of a large number of high-specification deepwater and harsh environment drilling units, is considered one of the most modern and versatile in the world due to its emphasis on technically demanding segments of the offshore drilling business. The company's fleet consists of 32 High-Specification Floaters (semisubmersibles and drillships), 24 Other Floaters, 26 Jackup Rigs and other assets utilized in the support of offshore drilling activities worldwide. With a current equity market capitalization in excess of $17 billion, Transocean Inc.'s ordinary shares are traded on the New York Stock Exchange under the symbol "RIG."
Transocean Inc., Houston
Analyst Contact: Jeffrey L. Chastain, 713-232-7551
Media Contact: Guy A. Cantwell, 713-232-7647
SOURCE: Transocean Inc.