Transocean to fight Brazilian injunction

Transocean said today it would fight an injunction from a Brazilian court that could halt the company’s offshore operations there, which has accounted for 11 percent of its revenues in recent periods.

The company, which made several announcements Monday, said a federal court in Rio de Janeiro had issued an injunction to halt its operations off of Brazil’s coast for 30 days from the time of service, but it had not yet served the company the injunction, according to a filing with the U.S. Securities and Exchange Commission.

The injunction is related to a November spill at Chevron’s Frade field project off the coast of Brazil, where Transocean was operating rigs. It was issued against both companies.

Transocean “intends to vigorously pursue the overturning or suspension of this preliminary injunction,” the company said in the SEC filing. “While the company cannot predict or provide assurance as to the final outcome of these proceedings, if the preliminary injunction is upheld, it could have a material adverse effect on the company’s future consolidated statement of financial position, results of operations or cash flows.”

Operations in Brazil accounted for 11 percent of Transocean’s revenues in 2011, and in the six months ended June 30, according to the filing.