Transocean continues to innovate to avoid taxes everywhere; forming tax-favored Master Limited Partnership

Transocean owns operates complex offshore oil rigs, including the one that blew out in the Gulf of Mexico back in 2012, killing 11 workers and despoiling the Gulf of Mexico.  There do not appear to be any similar lapses in its continued effort to push its taxes down as close to zero as possible, however.

Oil Drillers Gain Billions from 'Immoral' Tax Break

The two largest offshore drilling companies in the world, Transocation and Noble Corporation, are in reality headquartered in the Houston area but moved their legal domiciles first to the Cayman Islands and then to Switzerland to avoid U.S. tax. Calculations shown below indicate that those maneuvers have reduced their tax bills by more than $2 billion.

Transocean owned and operated the floating, dynamically positioned rig that exploded on April 20, leading to a loss of 11 lives and spilling hundreds of thousands of gallons of crude oil into the Gulf of Mexico.

Transocean: Legally our rig is a ship, so this mess isn't our problem

An article in The Wall Street Journal describes one of what will likely be many interesting gaps in how the US oversees offshore oil and gas drilling operations.  While computer speeds may double roughly every 18 months, the legal rules for core aspects of the country's minerals extraction regimes seem to last centuries.  Hardrock mining is governed by the  Mining Law of 1872, allowing widespread rights to claim public land and pay the government virtually nothing for the m

Subscribe to Transocean