Friday 1 September 2023

Much has been written in recent months about the increase in offshore rig utilisation and dayrates. With key segments of the fleet at 95% utilisation or higher, dayrates for non-harsh environment jackup fixtures have surpassed $150,000, while floating rigs have been secured for contracts at or above $475,000. Right on cue, the talk of new rig orders has surfaced, but will it actually happen?

A lot has occurred since the last newbuilding cycle took place and there are several reasons why Westwood believes new rig construction will not happen anytime soon.

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