Transocean Offshore Deepwater Drilling, Inc. (TODDI) has filed a motion for summary judgment in the U.S. Eastern District Court in Louisiana requesting the court to force BP to honor its contractual obligation to defend, indemnify and hold harmless Transocean for damages associated with BP’s failure to contain flow from its Macondo well in 2010. Transocean says BP has refused to honor its contractual obligations despite what Transocean says is the industry-standard reciprocal indemnity provisions contained in the drilling contract. The original contract was signed in 1998 and extended several times up to and including in 2009. Language in the contract says BP will “defend, release, protect, indemnify and hold harmless” Transocean for any and all fines, penalties and damages associated with environmental pollution originating from the well “without limit and without regard to the cause or causes” including negligence, “whether such negligence be sole, joint, active, passive or gross.” The motion also asserts that after months of discovery and over 200 witness dispositions, it was clear that no evidence of gross negligence by Transocean existed. BP filed suit against Transocean on the one-year anniversary of the incident, alleging that Transocean personnel had willful and callous disregard for the welfare of ...

Hercules Offshore has received a new contract from Apache to take jackup Hercules 214, with the rig now under tow to location in Main Pass Block 68. Upon completion, the jackup will enter a yet-to-be-named shipyard for a 45-day ABS inspection. Jackup Hercules 150 completed a contract with Hilcorp Energy late last week, and the rig has just arrived on location in Eugene Island Block 28 for the start of a one-well contract with Rooster Petroleum. Work is scheduled to last around 25 days, making the rig next available in the second half of September.

Operations for ENI US Operating with semi ENSCO 8500 in Green Canyon Block 517 have ended, and the rig is now in East Breaks Block 602, where it is undergoing BOP modifications. Work is expected to take about 60 days, after which the rig will remain in the block for two wells with Anadarko Petroleum in the Nansen field. The rig is operating under a five-year rig sharing agreement between ENI and Anadarko that runs to August 2013. Reports continue to circulate that newbuild drillship ENSCO DS-3 will have a sublet contract signed shortly that will take it out of the US Gulf of ...

Transocean Services AS, a wholly owned subsidiary of Transocean, Ltd., has announced an all-cash, voluntary offer for all Aker Drilling ASA shares for NOK 26.50 per share. Aker Drilling’s board unanimously recommended that shareholders accept the offer. The offer price indicates an equity market capitalization of about NOK 7.93 billion, or $1.43 billion, assuming an exchange rate of NOK 5.53 to U.S. $1.00. This represents a 62% premium to Aker Drilling’s 30-day average price of NOK 16.39 per share. Additionally, Aker Drilling has net debt of $0.80 billion. Aker Drilling operates two harsh-environment, ultra-deepwater, sixth-generation semisubmersible rigs currently on long-term contract to Statoil ASA and Det Norske Oljeselskap ASA in Norway. Aker Drilling currently is expected to take delivery in 2013 of two sixth-generation drillships currently under construction at the DSME shipyard in South Korea.

ENSCO has signed contract extensions for two of its Gulf of Mexico jackups. First, Apache Corporation will keep the ENSCO 86 for another 120 days from the end of August. The rig is currently working in South Marsh Island Block 281 under the current term, which began May 1. Arena Energy has agreed to keep the ENSCO 90 for an additional two wells in ...

In the wake of the Deepwater Horizon tragedy, the Bureau of Ocean Energy Management, Regulation and Enforcement (BOEMRE) reported it has issued 67 new shallow water well permits since new standards were put in place during June 2010. Permits have averaged more than six per month over the past eight months. In addition, the agency has approved deepwater permits for 26 unique wells since mid-February, with 19 permits pending, and 26 permits returned to operators requiring additional information.

BP has exercised its six-month option on the contract of Transocean drillship Discoverer Enterprise, and the operator further agreed to an additional one-year extension for the rig. The six-month extension, which keeps the day rate at $435,000, will begin August 1, 2012, with the one-year term beginning January 2012 at a rate of $492,000. The rig, which recently underwent a deep cleaning and decontamination process after completing work at the Macondo oil spill site in Mississippi Canyon Block 252, is currently on standby for BP in Grand Isle Block 61.

Diamond Offshore semi Ocean Saratoga has completed its sublet contract for Nexen Petroleum in Green Canyon Block 50. The rig’s contract with Taylor Energy is now completed and the rig ...

Market reports are that Noble Drilling could take two semis out of the U.S. Gulf of Mexico area for international work. Rumors have been circulating that the Noble Paul Romano will move to Egypt for a four-well contract with Gujarat State Petroleum Corporation, Ltd. starting in November; it is understood the final contract details are still being worked out. The rig has been idle in the gulf since late May 2010. Also, reports are that the Noble Amos Runner may also depart the Gulf of Mexico. While few details are known, it is believed the rig could be headed to South America. Further information will be published if and when a final contract is in place.

Diamond Offshore jackup Ocean Titan has moved onto location in South Timbalier Block 264 for the start of a newly awarded, three-well, 45-day contract with Magnum Hunter Resources Corp. The rig had been stacked since mid-June prior to receiving the new contract. Upon completion in the first half of September, the rig will begin 50 days of shipyard preparation for a contract with Pemex. The contract term, originally slated for 872 days starting August 13, will now run for 777 days from mid-November ...

Total mobile rig utilization in the Gulf of Mexico increased this week. Currently, 60 of 124 rigs are under contract or committed for work, for utilization of 48.4%. Marketed utilization, which excludes cold stacked and other non-marketed U.S. Gulf of Mexico rigs, rose to 83.3%, with 60 of 72 rigs under contract.

Within the jackup fleet, overall fleet utilization is 38.8%, with 33 of 85 units under contract or committed for work. One Noble Drilling unit entered the fleet but is not marketed in the area, and one previously idle Diamond Offshore jackup received a contract. Marketed utilization is higher at 75%, with 33 of 44 units contracted.

Floating rig utilization also rose slightly with the mobilization of Transocean Offshore drillship Discoverer India to the area. Currently, 27 of 33 rigs are under contract, for utilization of 81.8%, while marketed utilization is 96.4%, with 27 of 28 rigs under contract.

Total Platform rig fleet utilization is unchanged from last week. Currently, 23 of 52 units are under contract, for utilization of 44.2%. Marketed utilization stands at 63.9%, with 23 of 36 units under contract or committed for work.

Inland barge utilization is currently 55.9%, with 33 ...