Drilling major Transocean took a setback in the third quarter during which one-time expenses and contract expirations pulled down the results. CEO is optimistic, however, particularly due to rising oil prices.
Transocean reports a decline in the third quarter during which one-time expenses and rigs dragged down the results.
The US-based drilling major achieved a revenue of USD 626 million, down USD 30 million from USD 656 million in the second quarter of the year, shows the interim report.
The bottom line shows a net deficit of USD 130 million against a deficit of USD 103 million in the previous quarter.
The company’s weaker results were primarily the result of two rigs going idle in the third quarter as well as expenses tied to a rig that was sent to a shipyard for maintenance in the quarter.
CEO Jeremy Thigpen is therefore still optimistic as to the outlook on the drilling market, which has been strained for a number of years.
“We grow increasingly encouraged as we observe continuously improving market fundamentals and the resulting strength exhibited in oil prices,” he writes in the quarterly report and points to the steadily increasing daily rates for rigs working in rough environments and ultra-deep waters.
