Back to top

Image: Bigstock

Transocean Boosts Backlog Growth With New Contracts and Extensions

Read MoreHide Full Article

Key Takeaways

  • RIG added $199M in new contracts and extensions to its backlog during the second quarter of 2025.
  • Transocean secured work from Equinor, Murphy Oil, Petrobras, and other clients across key offshore regions.
  • The company's total backlog reached $7.2B as of July 16, reflecting strong demand for its advanced fleet.

Transocean, Inc. (RIG - Free Report) , an offshore drilling contractor, announced that it added approximately $199 million to its contract backlog in the second quarter of 2025. The company secured four new contracts and contract extensions with multiple customers during the quarter.

Extension for Transocean Spitsbergen

Transocean’s semi-submersible drilling rig Transocean Spitsbergen has secured a contract extension with Equinor, a Norwegian integrated energy company. The work associated with the contract extension will take place offshore Norway, prolonging the rig’s stay in the region. The dayrate for the contract extension was stated to be $395,000. The Transocean Spitsbergen rig has been working with Equinor for several years.

Transocean Equinox Secures Work in Australia

Another undisclosed client has extended its contract for Transocean’s semi-submersible rig in Australia. The client has exercised a one-well option for the Transocean Equinox semi-submersible drilling rig, with a dayrate of $540,000. The rig is scheduled to begin its drilling assignment for ConocoPhillips in September 2025. The contract involves drilling two wells — Essington-1 and Charlemont-1 — in the Otway Basin. The drilling assignment is slated to be completed before year-end 2025.

New Contract for Deepwater Skyros

RIG has secured a new contract for the Deepwater Skyros drillship with Murphy Oil. The contract involves drilling three wells for Murphy Oil in Ivory Coast, along with a one-well option. The dayrate for the contract is fixed at $361,000. The Deepwater Skyros drillship has a maximum drilling depth of up to 40,000 feet. It can accommodate approximately 215 people. The contract with Murphy Oil is scheduled to start in December 2025.

Deepwater Mykonos’ Extension With Petrobras

Additionally, Transocean has also secured an extension for its Deepwater Mykonos drillship. The Deepwater Mykonos drillship has received a 60-day contract extension with Petrobras, a Brazilian state-owned energy firm. The agreement also includes an option to further extend the contract by another 120 days in addition to the confirmed extension.

Backlog Growth

Per Transocean’s fleet status report, its total contract backlog stood at approximately $7.2 billion as of July 16, 2025. The new contracts and contract extensions underscore the strong demand for the company’s advanced fleet and drilling management services offerings.

RIG’s Zacks Rank & Key Picks

Currently, RIG carries a Zacks Rank #4 (Sell).

Some better-ranked stocks from the energy sector are MPLX LP (MPLX - Free Report) , Venture Global Inc. (VG - Free Report) and W&T Offshore (WTI - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

MPLX LP owns and operates a wide range of midstream assets. The partnership's midstream assets include oil and natural gas gathering systems and transportation pipelines for crude, natural gas and refined petroleum products. MPLX is least exposed to commodity price fluctuations as it generates stable fee-based revenues. Furthermore, it surpasses its industry peers in terms of distribution yield, reflecting its commitment to returning capital to its unitholders.

Venture Global is primarily involved in the production and export of liquefied natural gas, sourced from the abundant gas basins in North America. It is the second-largest exporter of natural gas in the United States. The company is well-positioned to capitalize on the rise in LNG demand, partly driven by the growth of data centers and the global shift toward the use of lower-emission fuels.

W&T Offshore benefits from its prolific Gulf of America assets, which offer low decline rates, strong permeability and significant untapped reserves. The company’s recent acquisition of six shallow-water fields in the Gulf of America boosts its production prospects, which is expected to significantly benefit WTI.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Transocean Ltd. (RIG) - free report >>

W&T Offshore, Inc. (WTI) - free report >>

MPLX LP (MPLX) - free report >>

Venture Global, Inc. (VG) - free report >>

Published in