Offshore driller Transocean is set to retire six of its ultra-deepwater floating rigs.
The rigs in question are GSF Jack Ryan, Sedco Energy, Sedco Express, Cajun Express, and Deepwater Pathfinder, and the deepwater floater Transocean Marianas.
The rigs will be classified as held for sale and will be recycled in an environmentally responsible manner, Transocean said. All six rigs were previously cold stacked.
The company will recognize an impairment charge of approximately $1.4 billion during the third quarter of 2017 associated with these actions.
“We continue to enhance the quality of our fleet through the addition of new, high-specification assets, and the retirement of older, less competitive rigs,” said Jeremy Thigpen, President and Chief Executive Officer.
“We remain committed to providing our customers with the most technically capable and highest quality ultra-deepwater and harsh environment assets in the industry, and will continue to objectively evaluate our rigs and high-grade our fleet as the market evolves.”