Offshore rig activity has picked up in the Asia Pacific (APAC) region, but not all due to increasing rig demand from operators.
Consultancy Westwood Global Energy reports that although cold stacked and stranded newbuild jackups are being reactivated, the contracts have been concluded outside the region, primarily in the Middle East.
Marketed utilisation of APAC jackups has improved by 12%, approaching 90%, and Westwood estimated the market should see further improvements of up to 95% by the end of the year.
However, six of the 45 marketed rigs in Southeast Asia that are contracted or committed are destined for Saudi Arabia, along with four newbuilds.
“By the end of 2022 or early 2023, 15 jackups will have departed Southeast Asia for contracts with Saudi Aramco,” Westwood Global Energy noted in its latest report.
