Transocean Inc. Awarded Contracts for High-Specification Rigs Transocean Arctic and Polar Pioneer
HOUSTON--(BUSINESS WIRE)--Aug. 30, 2005--Transocean Inc.(NYSE:RIG) today announced that Statoil on behalf of a consortiumconsisting of Statoil, Eni, Norsk Hydro and Shell has awardedmulti-year contracts valued at an estimated $700 million in revenuesfor the company's High-Specification semisubmersible rigs TransoceanArctic and Polar Pioneer.
The Transocean Arctic has been awarded an estimated 50-monthcontract for drilling, completion and intervention work on theNorwegian Continental Shelf. The contract is expected to commence inthe third quarter of 2006 following completion of the rig's currentcontract offshore Norway, also with Statoil. Revenues of approximately$395 million could be generated over the estimated 50-month contractperiod.
The Polar Pioneer has been awarded an estimated 36-month contractfor exploration drilling, including high-pressure and high-temperaturewells and Barents Sea operations, as well as field developmentdrilling on the Norwegian Continental Shelf. The estimated 36-monthcontract is expected to commence in April 2006 following thecompletion of the rig's current contract with Statoil, also offshoreNorway. Revenues of approximately $306 million could be generated overthe estimated 36-month contract period.
Estimated revenues associated with each contract are exclusive ofrevenues for client reimbursables. A portion of the revenues are to bepaid in local currency, and these estimates are based upon currentexchange rates.
The semisubmersible rigs Transocean Arctic and Polar Pioneer aretwo of 32 High-Specification Floaters in the Transocean Inc. fleet.The rigs are primarily utilized for drilling operations in harshenvironments like Norway where both units have operated since enteringactive service in 1987 and 1986, respectively.
Statements regarding estimated contract duration, contractrevenues and future contract commencement dates and locations, as wellas any other statements that are not historical facts in the report,are forward-looking statements that involve certain risks,uncertainties and assumptions. These include but are not limited tooperating hazards and delays, risks associated with internationaloperations, actions by customers and other third parties, the futureprices of oil and gas and other factors detailed in the company's mostrecent Form 10-K and other filings with the Securities and ExchangeCommission. Should one or more of these risks or uncertaintiesmaterialize, or should underlying assumptions prove incorrect, actualresults may vary materially from those indicated.
Transocean Inc. is the world's largest offshore drillingcontractor with a fleet of 92 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, 25 Jackup Rigs and other assets utilized in thesupport of offshore drilling activities worldwide. With a currentequity market capitalization in excess of $18 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 or Media Contact: Guy A. Cantwell, 713-232-7647 SOURCE: Transocean Inc.