Transocean Granted Purchase Option Rights for Jackup Rigs

Transocean Inc. has entered into agreements with PetroJack ASA of Norway (PetroJack) providing Transocean with the exclusive marketing rights in respect of three PetroJack jackup rigs under construction, PetroJack I, II and III, as well as options to purchase each unit. The three Baker Marine Pacific Class 375 deep drilling jackup rigs are currently under construction in Singapore with expected delivery dates in 2007 and 2008. The exclusive marketing rights and options granted to Transocean by PetroJack will terminate on March 15, 2006, but can be extended by 30 days. Transocean anticipates exercising its purchase right on each unit once it has secured a contract of sufficient duration and value, although Transocean is not obligated to purchase any of the jackup rigs. The average purchase price for the three units will be approximately $180 million, subject to certain adjustments. Should Transocean exercise its right to purchase either of the jackup rigs PetroJack II and III, the sale is subject to PetroJack ASA shareholder approval.