Offshore rig economics rating continues upward trend

Houston-based offshore drilling contractor Global Marine Inc. reports its worldwide Summary of Current Offshore Rig Economics (SCORE) for February increased 7.1% over January�the eighteenth consecutive month of increases in the rating.


HOUSTON, Mar. 19�Houston-based offshore drilling contractor Global Marine Inc. reports its worldwide Summary of Current Offshore Rig Economics (SCORE) for February increased 7.1% over January�the eighteenth consecutive month of increases in the rating.

Global Marine Chairman, President and CEO Bob Rose said, "While semisubmersibles enjoyed a strong gain this month, the big news is that the SCORE for offshore jack up rigs now stands at double the level of a year ago."

SCORE compares the profitability of current mobile offshore drilling rig rates with the profitability of rates at the 1980-81 offshore drilling cycle peak, when speculative rig construction was common. Global Marine's SCORE then averaged 100%, and new contract day rates equaled the sum of daily cash operating costs plus $700/day/$1 million invested. SCORE reflects current rig day rates as a percentage of the estimated rate required to justify building rigs on speculation.

The worldwide SCORE for February is 45.1, up 74.3% from a year ago and down 8.3% from 5 years ago.

In the Gulf of Mexico, the February rating rose 8.2% from January to 50.5. The gulf rating is up 76.6% from 1 year ago and up 19.6% from 5 years ago.

In the North Sea, the February SCORE was 36.4, up 6.4% over last month and up 87.4% over last year, but down 36.9% from 5 years ago.

Off West Africa, the rating was 47.6, up 6.6% over last month, up 43.8% over 1 year ago, and up 5.9% over 5 years ago.

Off Southeast Asia, the February SCORE was 39.7, down 5.6% from January. The rating was up 42.4% from February 2000 but down 20.3% from 5 years ago.

The February SCORE for jack ups was 56.8, up 6% over January, up 99.9% from 1 year ago, and up 16.6% from 5 years ago.

The semisubmersible rating was 31.8, up 8.9% over January and up 37.9% from 1 year ago, but down 35.9% from 5 years ago.

More in Drilling & Completion