Transocean says it has a third of deepwater rigs seeking 2014 work

|About: Transocean Ltd. (RIG)|By:, SA News Editor

Transocean (RIG -3.4%) quantifies concerns about near-term slack in the demand for deepwater oil and gas drilling, telling analysts that 14 of its deepwater rigs would be available in 2014 out of a total of 39 industry-wide, both figures unusually high in a deepwater market where contracts can run for five years or more.

Near-term softness in demand for ultra-deepwater rigs is adversely impacting lower capability floaters, RIG says, but it expects excess capacity to be absorbed and maintains a favorable long-term view.

Among rivals, Ensco (ESV -1.7%) will have eight rigs available in 2014 and Seadrill (SDRL -0.2%) five, RIG says.