Transocean Ltd (NYSE: RIG) is a top offshore contract drilling services provider for gas and oil wells. The company owns or has interests in and runs a 37 mobile offshore fleet of drilling units with 27 ultra-deepwater and ten harsh floaters. The company entered an agreement with Jurong Shipyard Pte Ltd, a subsidiary of Sembcorp Marine. The agreement is on the delayed delivery of Deepwater Titana and Deepwater Atlas ultra-deepwater drillships.
The two drillships are the first 8th generation ultra-deepwater drillships and only rigs featuring a 3,000,000 pound hook load. Deepwater Atlas is now anticipated to be December 2021, upon which Transocean will pay $50 million to Jurong Shipyard, with the rest of the $370 million remaining payables over five years. Delivery of Deepwater Titan will be May 2022, after which Transocean will settle 80% of the amount owed to Jurong, with the remaining 20% payable over five years.
Transocean Ltd (NYSE: RIG) won $116 million drilling rig contacts for two of its harsh environment drillships. Transocean Barents win a contract to drill two ells in Norway expected to commence February 2022. The contract will last around 200 days and add $60 million to the company’s contract backlog. Equally, Transocean Norge has received a four-well contract with five one-well options in Norway. Drilling will commence in March 2022, with the contract lasting 200 days and adding around $56 to the company’s backlog.
Exxon Mobil Corporation’s (NYSE: XOM) bid to dismiss Massachusetts Attorney General Maura Healey’s lawsuit accusing the company of misleading investors and consumers about its climate change role has been rejected but a state judge. Superior Court Justice Karen Green said that the company failed to demonstrate that the October 2019 suit sought to silence climate change views, including Attorney General Healey’s. According to the company’s spokesperson, Exxon will consider the next legal steps as the case lacks merit.
Exxon Mobil Corporation’s (NYSE: XOM) Beaumont, Texas refinery has had a two-month lockout, and there is no proposal to end the lockout with 650 United Steelworkers union members. Although lead investigators met on Wednesday, they didn’t exchange any proposals. The oil company locked out employees on May 1, 2021, citing a potential strike. According to the Union, Exxon’s last proposal requires members to give up seniority and create separate workers’ contact in a lube plant from that in the refinery.
Piper Sandler’s Craig Johnson says it is not too late to buy gas and oil stocks, but if it is for the long term, he will go for Energy Select Sector SPDR Fund over Invesco Solar ETF. He recommended buying ETFs or investing in stocks such as Exxon Mobil Corporation’s (NYSE: XOM) and natural gas major Range resources.