Transocean to lay off 110 workers as contracts dry up

Offshore driller Transocean is planning to lay off up to 110 workers as it is unable to secure a new contract for one of its drillships.

The company told Texas Workforce Commission that it would lay off 75 to 110 employees working its drillship Discoverer Inspiration from September 15 after its current contract ends. The affected workers will receive severance.

“In the event that Transocean obtains a contract for additional work utilizing the Discoverer Inspiration, the company may recall a percentage of the employees who were released from the Discoverer Inspiration; however, Transocean considers the layoffs to be permanent,” Transocean said in a letter to the commission.

Offshore oil and gas exploration activities have been significantly interrupted by the outbreak of coronavirus and lower oil prices, forcing offshore drillers to cut down costs while they fight for survival. In April, drilling rig operator Diamond Offshore filed for chapter 11 bankruptcy.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
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