Transocean Inc. Announces Contract Awards for Two High-Specification Semisubmersible Rigs
HOUSTON--(BUSINESS WIRE)--April 28, 2005--Transocean Inc.(NYSE:RIG) today announced that BP has awarded contracts for two ofthe company's High-Specification semisubmersible rigs, the DeepwaterHorizon and the Transocean Marianas.
The Fifth-Generation, dynamically positioned semisubmersible rigDeepwater Horizon has been awarded a five-year contract for drillingoperations in the U.S. Gulf of Mexico. The five-year contract isexpected to commence during September 2005, in direct continuation ofthe rig's current contract, also with BP in the U.S. Gulf of Mexico.The initial two years of the contract could generate revenues ofapproximately $200 million. The dayrate for the final three years ofthe contract will generally be set using a quarterly average of thestated contract dayrates on the company's other Fifth-Generation,dynamically positioned rigs operating in the U.S. Gulf of Mexico.
The Transocean Marianas has been awarded an estimated 340-daycontract for drilling operations in the U.S. Gulf of Mexico, where therig is currently operating. The contract is expected to commence inJanuary 2006. Revenues of approximately $85 million could be generatedover the estimated 340-day contract period.
The Deepwater Horizon and Transocean Marianas are two of 32High-Specification rigs in the Transocean Inc. fleet, 13 of which areFifth-Generation units. The Deepwater Horizon entered active servicein September 2001, following its construction in Ulsan, South Korea,and it is capable of working in water depths of up to 10,000 feet. Therig currently holds the world water depth drilling record for asemisubmersible rig at 9,576 feet. The Transocean Marianas, which wasupgraded to its current specifications in 1998, is a mooredsemisubmersible rig capable of operating in water depths of up to7,000 feet.
Statements regarding contract duration, contract commencementdate, contract revenues, contract dayrates, as well as any otherstatements that are not historical facts, are forward-lookingstatements 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 oiland gas, the actual dayrate earned and other factors detailed in thecompany's most recent Form 10-K and other filings with the Securitiesand Exchange Commission (SEC), which are available free of charge onthe SEC's website at www.sec.gov. Should one or more of these risks oruncertainties materialize, or should underlying assumptions proveincorrect, actual results may vary materially from those indicated.
Transocean Inc. is the world's largest offshore drillingcontractor with a fleet of 93 mobile offshore drilling units. Thecompany's mobile offshore drilling fleet, consisting of a large numberof high-specification deepwater and harsh environment drilling units,is considered one of the most modern and versatile in the world due toits emphasis on technically demanding segments of the offshoredrilling business. The company's fleet consists of 32High-Specification Floaters (semisubmersibles and drillships), 24Other Floaters, 26 Jackup Rigs and other assets utilized in thesupport of offshore drilling activities worldwide. With a currentequity market capitalization in excess of $15 billion, TransoceanInc.'s ordinary shares are traded on the New York Stock Exchange underthe symbol \"RIG.\"
CONTACT: Transocean Inc., Houston
Analyst Contact: Jeffrey L. Chastain, 713-232-7551
Media Contact: Guy A. Cantwell, 713-232-7647
SOURCE: Transocean Inc.