Transocean Ltd. announced that it has been awarded 10-year contracts for four newbuild dynamically positioned ultra-deepwater drillships by Royal Dutch Shell (Shell).
Shipyard delivery for the first drillship is scheduled for mid-2015. The remaining three drillships are expected to be delivered from the shipyard at approximately six-month intervals thereafter. After customer acceptance, the contracts are expected to commence in 2015 and 2016, contributing an estimated revenue backlog of USD 7.6B, excluding mobilization. The aggregate capital investment for the four newbuild rigs is an estimated USD 3.0B, excluding capitalized interest.
All four drillships have advanced capabilities: each is designed to operate in water depths of up to 12,000ft and drill wells to 40,000ft. Featuring state-of-the-art equipment, including Transocean’s patented dual-activity drilling technology, the newbuild drillships will possess industry-leading hoisting capacity. The drillships will also have a variable deckload capacity of 23,000 metric tons and feature enhanced well completion capabilities. In addition, each newbuild rig will be outfitted with two 15,000 psi blowout preventers (BOPs), which are expected to reduce customer non-productive time between wells. The four newbuild drillships will be able to accommodate a future upgrade to a 20,000 psi BOP, when it becomes available. The rigs will also feature diesel engines configured to comply with anticipated Tier III International Maritime Organization emissions standards.