Deepwater Horizon Commences Contract with BP

Transocean Sedco Forex Inc. announced that its newly constructed ultra-deepwater semisubmersible rig, Deepwater Horizon, has completed acceptance testing and commenced a 36-month contract with BP in the U.S. Gulf of Mexico. Revenues to be generated over the 36-month contract period are approximately $219 million. The rig, which is designed to operate in water depths of up to 10,000 feet, is currently on location at Mississippi Canyon block 587.

The Deepwater Horizon is one of 15 newly constructed or converted ultra-deepwater semisubmersibles and drillships added to the Transocean Sedco Forex fleet since 1998. Delivery of the rig completes a capital expansion program begun by the company in 1996.