Transocean Ltd. announced that Transocean Inc. closed a $1 billion, five-year, senior secured revolving credit facility, with Transocean Ltd. and certain of its subsidiaries as guarantors thereunder. The new RCF includes an accordion feature that permits an increase in capacity to $1.5 billion, subject to additional lender commitments, and replaces the company’s existing revolving credit facility.

“We have further extended our liquidity runway with our new revolving credit facility and the additional private offering of secured debt separately announced today, proceeds of which are to be used to partially refinance indebtedness associated with the Songa acquisition,” said Mark Mey, Executive Vice President and Chief Financial Officer. “Additionally, these latest transactions enable us to maintain significant financial flexibility and strategic optionality as the offshore market recovers.”

Certain intermediate holding companies of Transocean Ltd. that own interests in the company’s fleet of rigs have guaranteed the obligations under the new RCF. In addition, two of the company’s harsh environment semisubmersibles, Transocean Spitsbergen and Transocean Barents, and three of the company’s ultra-deepwater drillships, Deepwater Asgard, Deepwater Invictus, and Discoverer Inspiration, and related assets are pledged as collateral.

Citibank, N.A. is acting as Administrative Agent, and Wells Fargo Securities, LLC, acted as Syndication Agent, for the new RCF.