Drilling Fleet (Tables)

12 Months Ended

Dec. 31, 2011

Drilling Fleet

Actual capital expenditures and other capital additions, including capitalized interest

	Years ended December 31,
	2011		2010		2009		2008 - 2006		Total
Ultra-Deepwater Floater TBN1 (a)	$	138	$	—	$	—	$	—	$	138
Ultra-Deepwater Floater TBN2 (a)	137		—		—		—		137
Transocean Honor (b)	119		97		—		—		216
Transocean Siam Driller (c)	110		9		—		—		119
Transocean Andaman (c)	110		9		—		—		119
Transocean Ao Thai (d)	79		—		—		—		79
Deepwater Champion (e) (f)	43		206		263		264		776
Discoverer Luanda (f) (g)	12		174		220		315		721
Discoverer India (f)	6		203		291		250		750
Dhirubhai Deepwater KG2 (f) (h)	—		36		371		270		677
Development Driller III (e) (f)	—		24		117		483		624
Discoverer Inspiration (f)	—		12		224		443		679
Discoverer Americas (f)	—		6		148		478		632
Discoverer Clear Leader (f)	—		6		115		516		637
Petrobras 10000 (f) (i)	—		6		735		—		741
Dhirubhai Deepwater KG1 (f) (h)	—		—		295		384		679
Sedco 700-series upgrades (f)	—		—		71		520		591
Capitalized interest	39		89		182		240		550
Mobilization costs	20		89		155		—		264
Total	$	813	$	966	$	3,187	$	4,163	$	9,129

(a)The costs for Ultra-Deepwater Floater TBN1 and Ultra-Deepwater Floater TBN2 include our initial investments of $136 million and $136 million, respectively, representing the estimated fair values of the rigs at the time of our acquisition of Aker Drilling in October 2011.  The fair values of our initial investments are preliminary and subject to change.  See Note 4—Business Combination.

(b)In November 2010, we purchased Transocean Honor, a PPL Pacific Class 400 design jackup, which is under construction at PPL Shipyard Pte Ltd. in Singapore and is expected for delivery in the first quarter of 2012.

(c)In December 2010, we purchased Transocean Siam Driller and Transocean Andaman, two Keppel FELS Super B class design jackups, which are under construction at Keppel FELS’ yard in Singapore and are expected for delivery in the first quarter of 2013.

(d)In June 2011, we purchased Transocean Ao Thai, a Keppel FELS Super B class design jackup, which is under construction at Keppel FELS’ yard in Singapore and is expected for delivery in the third quarter of 2013.

(e)The costs for Deepwater Champion and Development Driller III include our initial investments of $109 million and $350 million, respectively, representing the estimated fair values of the rigs at the time of our merger with GlobalSantaFe Corporation (“GlobalSantaFe”) in November 2007.

(f)The accumulated construction costs of these rigs are no longer included in construction work in progress, as their construction projects had been completed as of December 31, 2011.

(g)The costs for Discoverer Luanda represent 100 percent of expenditures incurred since inception.  ADDCL is responsible for all of these costs.  We hold a 65 percent interest in the ADDCL joint venture, and Angco Cayman Limited, a Cayman Islands company (“Angco Cayman”), holds the remaining 35 percent interest.

 (h)The costs for Dhirubhai Deepwater KG1 and Dhirubhai Deepwater KG2 represent 100 percent of TPDI’s expenditures, including those incurred prior to our investment in the joint venture.  TPDI is responsible for all of these costs.  We hold a 50 percent interest in the TPDI joint venture, and Quantum Pacific Management Limited, a Cypriot company and successor in interest to Pacific Drilling Limited (“Quantum”), holds the remaining 50 percent interest.

(i)In June 2008, we reached an agreement with a joint venture formed by subsidiaries of Petrobras and Mitsui to acquire Petrobras 10000 under a capital lease contract.  In connection with the agreement, we agreed to provide assistance and advisory services for the construction of the rig and operating management services once the rig commenced operations.  On August 4, 2009, we accepted delivery of Petrobras 10000 and recorded non-cash additions of $716 million to property and equipment, net, along with a corresponding increase to long-term debt.  Total capital additions include $716 million in capital costs incurred by Petrobras and Mitsui for the construction of the drillship and $19 million of other capital expenditures.  The capital lease agreement has a 20-year term, after which we will have the right and obligation to acquire the drillship for one dollar.  See Note 12—Debt and Note 15—Commitments and Contingencies.