Global rig utilization at record low levels, U.S. land activity will rebound in 2017

摘要

This years NOV Annual Rig Census gave us an opportunity to analyze the composition of the global drilling fleet just as the North American land rig markets began to rebound. Land rig utilization during this census period was historically low, at 22% and 15% for the U.S. and Canada, respectively. Around the world, overall land rig demand continues to drift lower, perhaps showing signs of an inflection point in 2017, as oil prices stabilize. Offshore rig markets continue to be challenged by low E&P activity as a large number of new-builds are expected to be delivered over the next three years. In response, rig owners have accelerated both the retirement of aged and obsolete assets, as well as the cold-stacking of rigs with lower opportunities of getting work in this competitive environment. For the first time in years, the number of scrapped rigs and new cold-stackings combined, was able to offset the 30 new-builds that the market absorbed in the last 12 months.