Transocean rigs fetch $656 million for eight drilling gigs

Based on Transocean’s latest fleet status report, the aggregate incremental backlog associated with two contracts and six extensions, which were obtained in Q2 2024, is approximately $656 million, putting the firm’s total backlog up to around $8.8 billion as of July 24, 2024. While the firm’s previous fleet status report was all about drillship deals, the most recent one shows more work for drillships and semi-submersible rigs.

Assignments for four drillships in Americas

Transocean’s Deepwater Atlas, the world’s first eighth-generation drillship with the 20,000 psi well control system upon delivery, has secured two new multi-well contracts in the U.S. Gulf of Mexico with Beacon Offshore Energy, which recently started production from a two-well oil project tied back to one of the spar platforms operated by Occidental (Oxy), former Anadarko Petroleum Corporation.

While the first deal is a four-well contract at a day rate of $505,000, with contingencies to perform three completions at the same day rate, the second one is a two-well contract for drilling operations at a day rate of $580,000 with contingencies to perform two 20K completions at a day rate of $650,000. This could keep the rig occupied up to January 2027.

With the capacity to accommodate a crew of 220, the 2022-built Deepwater Atlas drillship can work in 12,000 feet of water depth and drill to depths of 40,000 feet. Beacon booked the rig in August 2021 for drilling operations on the Shenandoah project, located 160 miles off the coast of Louisiana in the Walker Ridge area of the Gulf of Mexico, thanks to a $252 million firm contract.

A 365-day contract extension for the Deepwater Asgard drillship will enable the rig to keep working for Hess Corporation in the U.S. Gulf of Mexico under a day rate of $515,000. This will keep the floater busy until June 2026.

The previous contract extension for the 2014-built drillship was disclosed in April 2024 for another 365 days with a day rate of $505,000. With a capacity to accommodate 200 people and a maximum drilling depth of 40,000 ft, the Deepwater Asgard ultra-deepwater dual-activity DSME 12000 drillship can undertake activities in water depths of up to 12,000 ft.

Petrobras has exercised a 279-day option in Brazil at a day rate of $366,000 for the Deepwater Mykonos drillship, which started its new contract with the Brazilian giant in October 2023. The rig’s previous assignment had also been with Petrobras in Brazil. With an Enhanced Samsung 10000 design, the 2011-built Deepwater Mykonos drillship can accommodate 205 people. While the rig’s maximum drilling depth is 35,000 ft, its maximum water depth is 10,000 ft.

The rig owner won a 40-day contract extension with an undisclosed operator for the Deepwater Invictus drillship in the U.S. Gulf of Mexico. The rig has another potential gig lined up in Mexico for 2026, as Transocean may designate by February 1, 2025, one of five drillships to this contract, including Deepwater Invictus, Deepwater Asgard, Deepwater Conqueror, Deepwater Proteus, or Deepwater Thalassa.

The commencement window is from February 1, 2026, to September 1, 2026. The 2014-built Deepwater Invictus DSME 12000 ultra-deepwater drillship can operate at 12,000 feet of water depth and drill to depths of 40,000 feet. This rig can accommodate 200 people.

More work for three semi-subs in Norway and Australia

Transocean Norge, the first semi-submersible rig that secured the Abate (Power+) notation, has obtained a three-well contract extension in Norway at a day rate of $517,000 with Wintershall Dea, which is slated to start in the first quarter of 2028 in direct continuation of the rig’s current program. The 2019-built Transocean Norge sixth-generation Moss Maritime CS60 semi-submersible rig was constructed at Jurong Shipyard in Singapore.

Last year, a one-well extension was also received from Wintershall Dea for the rig, which can accommodate 150 people and its maximum drilling depth is 40,000 ft. Thanks to a 17-well contract, secured in September 2022 with day rates between $350,000 and $430,000, the rig is undertaking operations for two oil and gas companies, Wintershall Dea and OMV.

Indian Register of Shipping and Hindustan Shipyard Ltd successfully complete ONGC Drill Ship Renewal

The rig owner has picked up another three-well contract extension in Norway at a day rate of $483,000 for the Transocean Spitsbergen rig with Equinor, which is expected to begin in October 2025, in direct continuation of the rig’s current program, and end in March 2026.

The 2010-built Transocean Spitsbergen, a sixth-generation dual-derrick winterized semi-submersible rig capable of drilling high-pressure/high-temperature formations, has been in Equinor’s employ for several years.

The Swiss offshore drilling player has got its hands on a one-well option in Australia at a daily rate of $390,000 with Woodside for the Transocean Endurance rig, which is scheduled to commence in October 2025 in direct continuation of the rig’s current program. The semi-sub landed a multi-well plug and abandonment assignment in Australia last year, adding about $91 million to the backlog.

The 2015-built Transocean Endurance semi-submersible CAT D rig of GVA 4000 NCS design can accommodate 130 people. The rig’s maximum drilling depth is 27,887 ft and it was constructed at Hanwha Ocean, former Daewoo Shipbuilding & Marine Engineering, in South Korea.

Transocean has been busy with assignments around the globe. Thanks to one such job, the firm’s newbuild ultra-deepwater drillship, Deepwater Aquila, set the ball rolling on its inaugural drilling assignment with Petrobras in Brazil.