MEXICO CITY, March 9, 2026, 13:29 CST.
Woodside Energy kicked off its Trion drilling campaign in the Gulf of Mexico on Monday, tapping Transocean’s Deepwater Thalassa for the job and marking a key move onto a large Mexican offshore project. Back in an April 2025 fleet report, Transocean had listed this contract as running from March 2026 through March 2029 with the rig set at a $480,000 daily fee.
Timing is critical for Transocean. The offshore driller, now juggling a push for steadier cash flow and efforts to reduce debt, is also working through its $5.8 billion all-stock bid for Valaris. Last month, Transocean reported a contract backlog of about $6.1 billion, with debt principal trimmed to $5.686 billion.
If the Valaris deal gets over the line in the back half of 2026, the merged company would control 73 rigs and roughly $10 billion in backlog, pushing Transocean further into deepwater, harsh-environment, and shallow-water markets. CEO Keelan Adamson, speaking in February, described the deal as positioning the business for a “multi-year offshore drilling upcycle” and accelerating efforts to trim debt. SEC
Woodside has outlined plans for Trion—run jointly with Mexico’s Pemex—that include 24 wells on the seabed, all tied into a floating production vessel rated for around 100,000 barrels a day. The company is sticking with a 2028 target for first oil. According to Woodside, the project could generate over $10 billion in taxes and royalties for Mexico.
Liz Westcott, serving as acting CEO, described the kickoff as “a milestone for the Trion Project.” Woodside’s Stephane Drouaud, vice president for Trion, noted the team was “safely and systematically moving the project forward.” Woodside
Transocean’s February numbers lay out the picture. Adamson pointed to “significant strides” for 2025, with contract drilling revenue at $3.965 billion and free cash flow of $626 million. Interest expense dropped in the fourth quarter as the company pared down debt. Transocean also reported $839 million in new backlog for the year, locking in a weighted average dayrate of $453,000. SEC
Leslie Cook, principal analyst at Wood Mackenzie, called the Valaris deal a move that would lock in Transocean’s position at the top for high-spec deepwater rigs. “Acquiring new backlog makes sense,” she said, given the market leaves little space for organic growth. Wood Mackenzie
Transocean climbed 24 cents to $6.17 in New York trading. Valaris finished higher as well, up $3.58 at $91.09. Noble picked up $1.46 to close at $45.16. Seadrill tacked on $1.22, ending at $43.24.
The picture remains murky. Transocean still faces $5.686 billion in debt, and the Valaris deal hinges on both regulatory and shareholder sign-off. Merger filings caution that some Valaris clients might try to alter or end contracts if control shifts. At the same time, Transocean’s own fleet disclosures note contract timing, dayrates, and revenue are vulnerable to delays, suspensions, or rigs sitting idle.
The fleet report puts the Thalassa wrapping up Shell’s U.S. Gulf of Mexico contract in February 2026, then shifting over to Woodside’s Mexico project starting in March. Monday’s launch officially kicks off that transition.
