Valaris secures nearly $900 million in new contract backlog across fleet

(WO) - Valaris has secured new contracts and extensions totaling nearly $900 million in additional backlog since its last fleet update in October 2025, driven by continued demand for offshore drilling and support services across multiple regions. Total contract backlog has increased to approximately $4.7 billion. 

The contract momentum comes shortly after Transocean announced plans to acquire Valaris in a $5.8-billion all-stock transaction that will create one of the world’s largest offshore drilling contractors. The combined company is expected to have a fleet of 70+ offshore rigs and roughly $10 billion in backlog, positioning it to capitalize on strengthening global offshore activity. Valaris’ recent contract wins highlight continued demand across key deepwater and jackup markets ahead of the proposed merger’s completion.

Recent floater awards include a five-well extension for drillship VALARIS DS-7 with Azule Energy offshore Angola, expected to begin in October 2026 and add about $125 million to backlog, along with an option for additional wells. Drillship VALARIS DS-9 also received a two-year extension with ExxonMobil affiliate Esso Exploration Angola beginning in July 2026, while drillship VALARIS DS-8 secured a multi-year contract with Shell offshore Brazil starting in early 2027, valued at roughly $300 million with additional option periods.

In the jackup segment, Valaris was awarded an eight-well contract for VALARIS 106 with BP offshore Indonesia, expected to start in third-quarter 2026 with an estimated value of $74 million. Additional work includes contract extensions and options for rigs operating offshore Mexico, Trinidad and Australia, as well as a 12-well plug and abandonment program in the UK East Irish Sea with Spirit Energy valued at about $35 million. Several shorter-term extensions for accommodation and support services were also secured in the North Sea and Australia.

Separately, the company said semisubmersible VALARIS DPS-1 has been classified as held for sale with plans for recycling, while jackups VALARIS 102 and VALARIS 145 were sold for recycling in December 2025. The latest awards reflect steady offshore activity across West Africa, Brazil, Southeast Asia, Australia and the North Sea.