We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Transocean Secures $111M Contract Extension From Reliance Industries
Read MoreHide Full Article
Transocean Ltd. (RIG - Free Report) recently announced its $111 million contract extension with India-based Reliance Industries Limited, secured for its deepwater drillship, Dhirubhai Deepwater KG1. The contract lays down a 270-day program that will commence immediately after the existing contract. The immediate continuation of drillship services after the existing contract will minimize the idle time of the rig, enhance operational efficiency, optimize the rig’s utilization and strengthen Transocean’s foothold in the Asia-Pacific region.
An Insight Into RIG’s Original Contract
The original six-well contract between Transocean and Reliance was announced in September this year. The estimated duration of the original contract was 300 days, with operations expected to begin in the second quarter of 2026 and will contribute approximately $123 million to the company’s backlog, excluding additional services.
Long-Term Growth and Stability
Transocean secures operational stability through 2029 via Reliance’s contract extension of the ultra-deepwater drillship project. The contract will add $111 million to the company’s backlog, strengthen its cash flow predictability and position it as a major player in the drillship service-providing industry internationally.
RIG’s Zacks Rank and Key Picks
Switzerland-based Transocean is the world’s largest offshore drilling contractor and leading provider of drilling management services. Currently, RIG has a Zacks Rank #3 (Hold).
Investors interested in the energy sector might look at some better-ranked stocks like Gulfport Energy Corporation (GPOR - Free Report) , ARC Resources Ltd. (AETUF - Free Report) and Flotek Industries, Inc. (FTK - Free Report) . While Gulfport Energy currently sports a Zacks Rank #1 (Strong Buy), ARC Resources and Flotek Industries each carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
U.S.-based Gulfport Energy Corporation is an independent natural gas and oil company focused on the exploration and development of natural gas and oil properties. The Zacks Consensus Estimate for GPOR’s 2024 earnings indicates 108.09% year-over-year growth.
Canada-based ARC Resources is engaged in the exploration, acquisition and development of oil and natural gas properties. AETUF’s expected EPS (earnings per share) growth rate for the next year is 51.59%, which compares favorably with the industry growth rate of 11.70%.
Flotek Industries develops and delivers prescriptive chemistry-based technology, including specialty chemicals, to clients in the energy, consumer industrials and food & beverage industries. The Zacks Consensus Estimate for FTK’s 2024 earnings indicates 125% year-over-year growth.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Transocean Secures $111M Contract Extension From Reliance Industries
Transocean Ltd. (RIG - Free Report) recently announced its $111 million contract extension with India-based Reliance Industries Limited, secured for its deepwater drillship, Dhirubhai Deepwater KG1. The contract lays down a 270-day program that will commence immediately after the existing contract. The immediate continuation of drillship services after the existing contract will minimize the idle time of the rig, enhance operational efficiency, optimize the rig’s utilization and strengthen Transocean’s foothold in the Asia-Pacific region.
An Insight Into RIG’s Original Contract
The original six-well contract between Transocean and Reliance was announced in September this year. The estimated duration of the original contract was 300 days, with operations expected to begin in the second quarter of 2026 and will contribute approximately $123 million to the company’s backlog, excluding additional services.
Long-Term Growth and Stability
Transocean secures operational stability through 2029 via Reliance’s contract extension of the ultra-deepwater drillship project. The contract will add $111 million to the company’s backlog, strengthen its cash flow predictability and position it as a major player in the drillship service-providing industry internationally.
RIG’s Zacks Rank and Key Picks
Switzerland-based Transocean is the world’s largest offshore drilling contractor and leading provider of drilling management services. Currently, RIG has a Zacks Rank #3 (Hold).
Investors interested in the energy sector might look at some better-ranked stocks like Gulfport Energy Corporation (GPOR - Free Report) , ARC Resources Ltd. (AETUF - Free Report) and Flotek Industries, Inc. (FTK - Free Report) . While Gulfport Energy currently sports a Zacks Rank #1 (Strong Buy), ARC Resources and Flotek Industries each carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
U.S.-based Gulfport Energy Corporation is an independent natural gas and oil company focused on the exploration and development of natural gas and oil properties. The Zacks Consensus Estimate for GPOR’s 2024 earnings indicates 108.09% year-over-year growth.
Canada-based ARC Resources is engaged in the exploration, acquisition and development of oil and natural gas properties. AETUF’s expected EPS (earnings per share) growth rate for the next year is 51.59%, which compares favorably with the industry growth rate of 11.70%.
Flotek Industries develops and delivers prescriptive chemistry-based technology, including specialty chemicals, to clients in the energy, consumer industrials and food & beverage industries. The Zacks Consensus Estimate for FTK’s 2024 earnings indicates 125% year-over-year growth.