S&P Ratings: Offshore rig rates to remain low till-2021

ocean-rig-664x417-1.jpg

In a recent report, S&P said that after a peak floater utilization of than 80% in 2013, this has dropped to around 50% in 2017, “and we expect levels to remain essentially flat until 2020.”

“Although tenders and bidding activity for ultra-deepwater and deepwater floaters have recently picked up, we expect any new fixtures to essentially offset contracts that are rolling off over the next 12 months.”

“Meanwhile, utilization for jack-ups has increased from around 50% in 2015 to nearly 65%, given the lower breakeven costs and shorter payment periods associated with shallow water wells.

Continue reading

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Powered by WordPress.com.

Up ↑

Discover more from

Subscribe now to keep reading and get access to the full archive.

Continue reading