Transocean Inc. Fifth-Generation Semisubmersible Rig Deepwater Nautilus Receives Two-Year Contract Extension
HOUSTON--(BUSINESS WIRE)--Dec. 15, 2005--Transocean Inc. (NYSE:RIG) today announced that a subsidiary of Royal Dutch Shell (NYSE:RDS) (Shell) has awarded a two-year contract extension for the company's Fifth-Generation moored semisubmersible rig Deepwater Nautilus. The two-year contract extension is expected to commence in December 2006, in direct continuation of the rig's current contract. Revenues of approximately $310 million could be generated over the two-year extension period, excluding revenues for mobilization, demobilization and client reimbursables.
The Deepwater Nautilus is currently operating for Shell Exploration and Production in the U.S. Gulf of Mexico. The rig recently returned to Shell's Pathfinder project in Green Canyon Block 390, where the rig was moored prior to the arrival of Hurricane Katrina, following the successful retrieval of the portion of its subsea well control system lost during the storm. The Deepwater Nautilus is expected to continue drilling operations for the remainder of 2005 and into 2006 before requiring an estimated 60 days of out-of-service time during 2006 to complete repairs of all remaining storm-related damage, which pertains mainly to the rig's mooring system.
The Deepwater Nautilus is one of 32 High-Specification Floaters in the Transocean Inc. fleet, 13 of which are Fifth-Generation Deepwater Floaters. The rig, which entered service in 2000 following its construction in Ulsan, South Korea, is capable of operating in water depths of up to 8,000 feet.
Statements regarding contract duration, contract commencement date, revenues, timing, duration and extent of repairs, 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 revenues 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 90 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), 23 Other Floaters, 25 Jackups and other assets utilized in the support of offshore drilling activities worldwide. With a current equity market capitalization in excess of $22 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.