Transocean lands $1 billion in Brazil, Norway offshore rig contracts

(WO) — Transocean has secured approximately $1 billion in new offshore drilling work, driven by deepwater contract extensions in Brazil and a new harsh-environment rig award in Norway.

The company added the backlog through a mix of new awards and extensions covering three rigs, reinforcing demand across both ultra-deepwater and harsh-environment markets.

In Norway, the Transocean Barents semisubmersible was awarded a 1,095-day contract with Vår Energi, with work expected to begin in mid-2027. The contract is projected to contribute about $490 million in backlog and includes options that could extend operations into 2034.

In Brazil, Petrobras extended contracts for two ultra-deepwater drillships. The Deepwater Orion received a three-year extension through March 2030, adding approximately $420 million in backlog. The Deepwater Aquila secured a one-year extension through June 2028, contributing about $160 million.

The awards highlight continued strength in Brazil’s deepwater market, where long-term developments are sustaining high utilization for modern drillships.

Separately, Transocean said it has retired $358 million in senior secured notes due 2028, using cash on hand and funds from a debt service reserve account. The move is expected to reduce interest expense by about $39 million over the remaining life of the notes.

The company said it expects to retire a total of approximately $750 million in debt during 2026, as part of its broader effort to reduce leverage and improve its balance sheet.