Transocean's Norway Rig Contract
Transocean Secures Over $1 Billion Equinor Drilling Deal for Three Norwegian Offshore Rigs
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Key Points
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Backlog value for the agreement is stated as over $1 billion for seven rig years, but the figure excludes additional services, implying potential upside beyond the published backlog.
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The base daily rate is $399,000, but adjustment provisions will take effect before commencement and are expected to push the actual daily rate above $400,000 when the programs begin.
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Transocean shares moved higher on the news, with about a 2.6% rise in post-market trading following the pact with Equinor.
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Transocean owns or has partial ownership interests in a fleet of 27 mobile offshore drilling units, including 20 ultra-deepwater floaters and seven harsh-environment units, underscoring its capacity to support Nordic projects.
Transocean has struck a deal with Equinor worth more than $1 billion to put three of its drilling rigs to work off the coast of Norway, Bloomberg Law reported. The agreement covers seven rig years at a base daily rate of $399,000 — a figure expected to climb past $400,000 by the time the rigs begin operations.
Transocean shares jumped about 2.6% in post-market trading after the deal was announced, according to Bloomberg Government. The pact is conditional on license approvals from Norwegian authorities.
Three Cat D Rigs, Seven Years of Work
The deal involves three so-called "Cat D" semisubmersible rigs — massive floating drill platforms built for harsh, icy conditions. The Transocean Enabler and Transocean Encourage will each begin three-year and two-year programs, respectively, in Q1 2028. The Transocean Endurance starts a two-year program in Q2 2027, after sailing back from Australia, according to Quiver Quant.
The Cat D rigs were originally purpose-built for Equinor — then called Statoil — to operate on the Norwegian continental shelf. Transocean acquired them when it bought Songa Offshore for $3.4 billion in 2018. This new deal extends that long-running relationship between the two companies.
Day Rates Set to Top $400,000 at Commencement
The stated base rate of $399,000 per day is already competitive for this class of rig. But the contract includes adjustment provisions that will push the real daily rate above $400,000 before any rig turns a drill bit, according to Guru Focus. The $1 billion backlog figure also excludes additional services, meaning the true value of the deal could be higher.
Transocean CEO Keelan Adamson called the agreement a testament to the "strength and resilience of Norway's high-specification harsh environment market." He emphasized a continued focus on rig efficiency, cost-effective wells, and safe operations. Adamson took over as CEO in May 2025 after a leadership transition from Jeremy Thigpen.
Norway's Drilling Push Drives Demand for Rigs
The deal lands at a moment when Norway is leaning hard into offshore oil and gas. In May 2026, the Norwegian government launched a new licensing round offering 70 exploration blocks. Prime Minister Jonas Gahr Støre also announced plans to reopen three shuttered North Sea gasfields to help supply energy to Europe. That policy push is creating steady demand for high-spec rigs like Transocean's Cat D units.
Equinor, which is 78% owned by the Norwegian state, has pulled back from its renewable energy ambitions. The company cut its 2030 renewable capacity target and now directs just 10% of capital spending toward its power business, according to the Benzinga report on the deal. Critics from Greenpeace and WWF have protested the shift, calling it a retreat from climate commitments.
Rig Migration From Australia Tightens Global Supply
Moving the Transocean Endurance from Australia to Norway will leave a gap in the Australian offshore market. Analysts expect that vacancy to push day rates higher for the rigs that remain in the region. The shift highlights how tight the global supply of harsh-environment rigs has become.
Transocean owns or holds partial stakes in 27 mobile offshore drilling units in total — 20 ultra-deepwater floaters and 7 harsh-environment units, according to Guru Focus. With seven rig years now locked in on the Norwegian shelf, the company has shored up a meaningful chunk of its future revenue at rates above $400,000 per day.
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