Bassoe: Welcome to the real world, where offshore drilling rig values are an enigma

Due to several factors including lack of liquidity (transaction activity), less willingness by investors and banks to finance rig acquisitions, expectations of a prolonged low-dayrate environment, and additional distressed or available supply in the market, offshore rig values have decreased across all segments in Bassoe Analytics.

It should be noted that the sale and purchase market is not functioning well at the moment. Volatile gaps in bid/ask spreads make valuations difficult to predict and unstable, and could prevent certain transactions from clearing apart from cases where assets are distressed or where the buyer has a committed drilling contract.

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