The offshore drilling market has experienced a healthy improvement over the last couple of months. The total number of jackups, semis, and drillships under contract grew by 16 units to 461 rigs from May to June. Meanwhile, the global fleet of rigs remained flat over that period, standing at a total supply of 758. As a result, rig utilization has seen an increase from 58.7% in May to 60.7% in June. At the same time, the number of rigs working has also experienced a robust jump of 16 units recently, rising from 416 in May to 432 in June. It is unlikely that the market will sustain this level of improvement for all that long, but perhaps these levels can set a higher baseline.
– Justin Smith, Petrodata by IHS Markit