Dhirubhai Deepwater KG2 drillship will operate in a 910-day contract in deep waters in the national territory. The new deal with a backlog of US$392 million expands Transocean's presence in the Brazilian offshore drilling market.

The multinational drilling company Transocean announced on Tuesday (31/01) another major acquisition for its business portfolio. she is with a new contract with an order backlog of US$ 392 million in the national offshore sector. The agreement provides for the charter for 910 days of the Dhirubhai Deepwater KG2 drillship, which will operate in deep water regions of the national territory.

See the Dhirubhai Deepwater KG1 in the Santos Basin

New Transocean contract for the charter of an offshore drilling rig is expected to start in the third quarter of 2023

Looking at potential business for the Brazilian market in 2023, Transocean has just announced a new contract with a national company.

It has an agreement to charter the drillship Dhirubhai Deepwater KG2 to a Brazilian oil company. The contract provides for a period of 910 days to carry out offshore drilling operations in ultra-deep water regions of the Brazil.

According to Transocean, the drillship has secured an offshore drilling contract with an estimated order backlog of US$392 million. Thus, the daily fee for chartering the vessel is around US$ 430.000.

The deal marks yet another important undertaking by the company for the Brazilian oil and gas market over the next few years.

In addition, the company said that the figure of US$ 392 million does not consider the mobilization fee of “90 times the daily rate of the contract”, which would be around US$ 38,7 million.

The charter of the offshore drilling drillship is scheduled to start in the third quarter of 2023, for the start of its operations in the national territory.

In July 2021, this drillship was awarded a one-well, plus two one-well options contract with Shell in Brunei.

The deal was scheduled to begin and end in December 2021 at a daily rate of $190.000.

The Dhirubhai Deepwater KG2 drillship has been idle since January 2022, but will now operate in the ultra-deep waters of the national offshore sector with the new Transocean contract.

2023 will be a busy year for the offshore drilling business. Transocean should take advantage of the scenario with its fleet of drillships

Dhirubhai Deepwater KG2 drillship, chartered for offshore drilling operations in Brazil, was built in 2010 in an audacious project.

It has a maximum operating depth of 12.000 feet (3.657,6 meters) and its maximum drilling depth is 35.000 feet (10.668 meters).

After spending a year idle since its last operation, the Transocean drillship is preparing to operate in the market Brazilian offshore from the third quarter of this year.

In a recently released extensive offshore drilling market status report, Westwood Global Energy offshore drilling market analyst Terry Childs commented on the industry in 2023. He believes the year will be busy for rig charter companies drilling all over the world.

“The current trajectory of daily rates will continue on its upward path,” he said of the projections for the year.

Thus, Transocean's new contract for the charter of its drillship marks just the beginning of a long year in the offshore drilling sector.