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 consortium consisting of Statoil, Eni, Norsk Hydro and Shell has awarded multi-year contracts valued at an estimated $700 million in revenues for the company's High-Specification semisubmersible rigs Transocean Arctic and Polar Pioneer.
The Transocean Arctic has been awarded an estimated 50-month contract for drilling, completion and intervention work on the Norwegian Continental Shelf. The contract is expected to commence in the third quarter of 2006 following completion of the rig's current contract offshore Norway, also with Statoil. Revenues of approximately $395 million could be generated over the estimated 50-month contract period.
The Polar Pioneer has been awarded an estimated 36-month contract for exploration drilling, including high-pressure and high-temperature wells and Barents Sea operations, as well as field development drilling on the Norwegian Continental Shelf. The estimated 36-month contract is expected to commence in April 2006 following the completion of the rig's current contract with Statoil, also offshore Norway. Revenues of approximately $306 million could be generated over the estimated 36-month contract period.
Estimated revenues associated with each contract are exclusive of revenues for client reimbursables. A portion of the revenues are to be paid in local currency, and these estimates are based upon current exchange rates.
The semisubmersible rigs Transocean Arctic and Polar Pioneer are two of 32 High-Specification Floaters in the Transocean Inc. fleet. The rigs are primarily utilized for drilling operations in harsh environments like Norway where both units have operated since entering active service in 1987 and 1986, respectively.
Statements regarding estimated contract duration, contract revenues and future contract commencement dates and locations, as well as 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 to operating hazards and delays, risks associated with international operations, actions by customers and other third parties, the future prices of oil and gas and other factors detailed in the company's most recent Form 10-K and other filings with the Securities and Exchange Commission. 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 92 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, 25 Jackup Rigs and other assets utilized in the support of offshore drilling activities worldwide. With a current equity market capitalization in excess of $18 billion, Transocean Inc.'s ordinary shares are traded on the New York Stock Exchange under the 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.