Transocean Plans to Sell Off Five Stacked Rigs to Streamline Fleet

Transocean Inc. RIG, an offshore drilling contractor based in Switzerland, announced plans to offload five stacked rigs as part of its efforts to optimize its rig fleet. The rigs to be retired include four ultra-deepwater drillships and one semi-submersible rig, which is suited for harsh environments. The company also mentioned that certain associated assets will be offloaded along with these rigs.Details of the Rigs The four drillships included in the sale are the Discoverer Clear Leader, Discoverer Americas, Deepwater Champion and Discoverer India. Built in 2009, the Discoverer Clear Leader has a maximum drilling depth of up to 40,000 feet and can accommodate 200 people. It has been stacked since June 2019.The Discoverer Americas, an ultra-deepwater dual activity drillship, has been stacked since April 2016. It can operate in water depths of 12,000 feet and boasts a maximum drilling depth of up to 40,000 feet. Discoverer India, an ultra-deepwater drillship, was brought into service in 2010. The rig can accommodate up to 220 people and can operate in water depths of 12,000 feet. It has been stacked since July 2020. The Deepwater Champion drillship, built in 2011, has been stacked since February 2016. Along with these ultra-deepwater drillships, the company also plans to sell the Henry Goodrich semi-submersible rig, which has been stacked since March 2020.Financial Impact: $1.9 Billion Non-Cash ChargeThe company anticipates incurring a non-cash charge of $1.9 billion (likely impairment charges) associated with the disposal of these rigs in the third quarter of 2025. Transocean is working on streamlining its rig fleet and focusing on high-specification assets. This should enable the company to efficiently manage its fleet and support long-term profitability.RIG’s Zacks Rank & Key PicksCurrently, RIG carries a Zacks Rank #3 (Hold).Some better-ranked stocks from the energy sector are Repsol S.A. REPYY, Antero Midstream Corporation AM and Galp Energia SGPS SA GLPEY. While Repsol and Antero Midstream sport a Zacks Rank #1 (Strong Buy) each, Galp Energia carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.Repsol is a global multi-energy company, involved in exploration and production activities as well as refining and marketing petroleum products. The company is also actively involved in transitioning toward cleaner and more sustainable energy solutions. This suggests that Repsol is positioning itself in line with global energy transition needs.Antero Midstream generates stable cash flow by providing midstream services under long-term contracts with Antero Resources. The company’s higher dividend yield compared to its sub-industry peers makes it an attractive choice for investors who seek consistent returns.Galp Energia is a Portuguese energy company engaged in exploration and production activities. The company’s oil exploration efforts have yielded positive results, particularly the Mopane discovery in the Orange Basin, offshore Namibia. After the initial exploration phase, Galp estimated that the Mopane prospect could hold nearly 10 billion barrels of oil. This discovery allows Galp to diversify its global presence, with the potential to become a significant oil producer in the region.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They includeStock #1: A Disruptive Force with Notable Growth and ResilienceStock #2: Bullish Signs Signaling to Buy the DipStock #3: One of the Most Compelling Investments in the MarketStock #4: Leader In a Red-Hot Industry Poised for GrowthStock #5: Modern Omni-Channel Platform Coiled to SpringMost of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.Download Atomic Opportunity: Nuclear Energy's Comeback free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Transocean Ltd. (RIG): Free Stock Analysis Report Antero Midstream Corporation (AM): Free Stock Analysis Report Repsol SA (REPYY): Free Stock Analysis Report Galp Energia SGPS SA (GLPEY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks