Transocean Inc. Awarded Contracts for Three High-Specification Deepwater Floaters
HOUSTON--(BUSINESS WIRE)--Feb. 13, 2006--Transocean Inc. (NYSE:RIG) today announced that three of the company's High-SpecificationDeepwater Floaters, the Transocean Marianas, Jack Bates and Sedco 709have been awarded contracts of two to three years in duration fordrilling operations in the U.S. Gulf of Mexico and West Africa.
The semisubmersible rig Transocean Marianas has been awarded athree-year contract from BP (NYSE: BP). The contract is expected tocommence in approximately December 2006, in direct continuation of therig's current contract, also with BP. Revenues of $476 million arepossible over the three-year period. The Transocean Marianas ispresently in a shipyard in Brownsville, Texas repairing damagesustained during Hurricane Rita. The rig is expected to exit theshipyard by the end of the first quarter of 2006, at which time therig should resume operations in the U.S. Gulf of Mexico under thecurrent contract from BP. An additional 30 days of out-of-service timeis expected during 2006 to complete rig repairs and anticipatedupgrades.
The semisubmersible rig Jack Bates has been awarded a two-yearcontract from Woodside Energy (USA), with an expected commencementdate in the U.S. Gulf of Mexico of approximately November 2006,following an estimated 60-day period for mobilization from Australia,maintenance and contract preparation projects. Revenues of $248million are possible over the contract period. The Jack Bates ispresently drilling at the Woodside-operated Enfield field developmentprogram offshore Australia until approximately April 2006. Followingthe Woodside program, the rig is expected to commence a contract withChevron (NYSE: CVX) on Chevron's Greater Gorgon project and shouldconclude the assignment in July 2006. The rig's mobilization fromAustralia to the U.S. Gulf of Mexico could commence as late asSeptember 2006, depending on the arrival of a designated dry towvessel.
The semisubmersible rig Sedco 709 has been awarded a two-yearcontract from Shell Nigeria Exploration and Production Company(SNEPCO) for drilling on SNEPCO's Bonga field development programoffshore Nigeria. The contracted is expected to commence inapproximately September 2006, following the estimated completion inMarch 2006 of an existing contract with ExxonMobil (NYSE: XOM)offshore Angola, and an estimated 150 days of out-of-service time formobilization, maintenance and contract preparation. Revenues totaling$150 million are possible over the two-year contract.
Estimated contract revenues exclude revenues for mobilization,demobilization, contract preparation and client reimbursables.
The Transocean Marianas, Jack Bates and Sedco 709 are three ofTransocean's 32 High-Specification Deepwater Floaters, each capable ofoperating in water depths of 4,500 feet and greater.
Statements regarding contract durations, contract commencementdates, revenues, timing and duration of mobilizations, upgrade,repair, maintenance and contract preparation projects, as well as anyother statements 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, factors affecting theduration of contracts including well-in-progress provisions, theactual amount of downtime, factors resulting in reduced applicabledayrates, the future price of oil and gas and other factors detailedin the company's most recent Form 10-K and other filings with theSecurities and Exchange Commission (SEC), which are available free ofcharge on the SEC's website at www.sec.gov. Should one or more ofthese risks or uncertainties materialize, or should underlyingassumptions prove incorrect, actual results may vary materially fromthose indicated.
Transocean Inc. is the world's largest offshore drillingcontractor with a fleet of 90 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), 23Other Floaters, 25 Jackups and other assets utilized in the support ofoffshore drilling activities worldwide. With a current equity marketcapitalization in excess of $25 billion, Transocean Inc.'s ordinaryshares are traded on the New York Stock Exchange under the symbol\"RIG.\"
CONTACT: Transocean Inc. Analysts: Jeffrey L. Chastain, 713-232-7551 or Media: Guy A. Cantwell, 713-232-7647 SOURCE: Transocean Inc.