Published on 8 Jun 2022 on Zacks via Yahoo Finance
Transocean (RIG) Secures Contract Extension, Shares Jump
Shares of Vernier, Switzerland-based American offshore driller, Transocean Ltd. RIG, surged 13.7% yesterday after stating that a unit of the energy major, Equinor ASA, has awarded a surplus of nine wells plus two, one-well options to the contract for harsh environment semisubmersible Transocean Spitsbergen for its work in offshore Norway.With a projected backlog of $181 million, the major part of the contract extension is anticipated to commence in October 2023 and finish by April 2025.The estimated firm backlog does not include revenues related to performance incentives, additional services and option periods given as part of the contract.Transocean, which reported a first-quarter adjusted loss of 28 cents per share on revenues of $615 million last month, has experienced a 74.6% year-to-date stock price rise. However, during the past year, RIG stock has rallied just 16.2%.
