Offshore drilling giant Transocean Ltd. ( RIG ) reported mixed third quarter 2012 results, reflecting better utilization levels and controlled operating costs, partially offset by a dip in average daily revenue in midwater floaters. The company has business contracts with oil firms such as Eni SpA ( E ), Total SA ( TOT ) and Royal Dutch Shell plc ( RDS.A ). However, operational issues such as fluctuating dayrates and inflationary cost conditions along with the company's high debt have kept us on the sidelines.