Offshore drilling contractor Transocean has successfully secured a series of new contracts and extensions across various locations, including Mexico, Australia, Norway, Lebanon, and the East Mediterranean Sea, for six rigs in its fleet. This has propelled its total contract backlog to an impressive $9.2 billion.

The company's fleet status report, released on 19 July 2023, revealed that the new deals and extensions contributed approximately $1.2 billion to the backlog. Assuming all contract options are exercised, there is potential for an additional $480 million to $500 million in incremental backlog.

Notably, Transocean obtained a long-term contract with an undisclosed operator for a high-specification seventh-generation, ultra-deepwater drillship. The drillship, among three contenders (Deepwater Invictus, Deepwater Thalassa, and Deepwater Proteus), is slated to work in the Gulf of Mexico, offshore Mexico. The contract comes with a day rate of $480,000 and is expected to contribute approximately $518 million in backlog.

In addition, five semi-submersible rigs secured new work. The Transocean Equinox rig landed a five-well contract, along with a 16-well binding award in Australia, at rates ranging from $455,000 to $540,000. Transocean's Transocean Endurance rig received a two-well contract in Norway at $385,000, and the Transocean Barents rig booked a one-well contract in Lebanon at $365,000, with options for three more wells in the East Mediterranean Sea.

Furthermore, the Transocean Encourage rig had six one-well options exercised in Norway at a rate of $464,000. Additionally, the Transocean Norge rig secured one-well options in Norway at rates of $365,000 and $420,000.

Transocean's recent success in securing these contracts reflects the ongoing upswing in the offshore drilling market, leading to higher day rates for rig owners. With the demand for rigs rising, the company continues to benefit from the tightening market and flourishing opportunities in the offshore drilling sector.