The theme for 2017 was perseverance. For 2018, it’s adaptation.
Our offshore rig market outlook for 2018 is based on 1) an oil price which could move within a range over $80 and down to $50 and 2) modest, but increasing, drilling activity.
Overall, the market this year will see a continuation of the themes of 2017, with more rig owner consolidation, an increase in competitive rig supply as newbuilds enter the market, more scrapping, and low dayrates.
Here’s a summary of some of the main trends for 2018.