Post by johnny on Apr 7, 2024 10:40:35 GMT -5
stkt.co/81nxJvgX
Tommy Deepwater
@tommydeepwater
$RIG $VAL $NE $SDRL $DO $ODL.OL $TDW $OIH Deepwater Floating Rig Cheat Sheet. Oversimplified summary of deepwater rig fleets. Specifications generally matter more than age on deepwater floaters.
(1) RIG vs VAL vs NE vs SDRL: RIG is deepwater focused with unique exposure to Norwegian eligible HE Semisubs and higher spec 8G/7G+ (20k psi BOP) drillships. VAL and NE derive a lot of their value from their large, modern 7G drillship fleets, along with less cyclical jackup fleets for balance.
Drillships are designed to work in benign water conditions, predominantly US GoM, LatAm (Brazil, Guyana) and West Africa. Harsh Environment Semisubs generally work in the North Sea, Namibia/South Africa, Canada and other areas.
(2) 8G Drillships are capable of 20k psi BOP jobs, whereas all other 7G rigs are only 15k psi. There are only three 8G drillships with this new drilling technology (Titan, Atlas and Stena Evolution). Transocean has six other “7G+” drillships designed for a potential 20k psi BOP upgrade. Upgrading a typical 7G drillship not designed for 20k psi technology it would come at substantially greater cost. The vast majority of jobs in today's market are met by the specifications of a 7G drillship.
(3) Semisubmersible rigs have large variations amongst themselves and it is misleading breaking them into two categories but the goal is to be concise. The Norway-approved harsh environment semisubmersible (“HE Semi”) is quickly becoming an undersupplied market due to emerging demand from the harsh waters of Namibia/South Africa, whereas the 7G Drillship market still is waiting on deepwater activity to eventually pickup in West Africa to work through existing modest sidelined capacity.
(4) Transocean’s Deepwater Asgard (7G Drillship) recently was awarded a ~$500k fixture, while other recent 7G fixtures have been $480k to $499k. Transocean communicated “stay tuned” in a response to a question on its 4Q23 call about a potential fixture on Deepwater Atlas (8G). As evidenced by the recent $500k contract, demand is growing for deepwater rigs but the 7G drillship market still has modest sidelined capacity meaning the 6G drillship market is expected to be weaker in 2024 although likely recovers in 2025 if/when currently sidelined 7G's find long-term work.
7:10 AM · Apr 6, 2024
·
26.2K
Views
Tommy Deepwater
@tommydeepwater
$RIG $VAL $NE $SDRL $DO $ODL.OL $TDW $OIH Deepwater Floating Rig Cheat Sheet. Oversimplified summary of deepwater rig fleets. Specifications generally matter more than age on deepwater floaters.
(1) RIG vs VAL vs NE vs SDRL: RIG is deepwater focused with unique exposure to Norwegian eligible HE Semisubs and higher spec 8G/7G+ (20k psi BOP) drillships. VAL and NE derive a lot of their value from their large, modern 7G drillship fleets, along with less cyclical jackup fleets for balance.
Drillships are designed to work in benign water conditions, predominantly US GoM, LatAm (Brazil, Guyana) and West Africa. Harsh Environment Semisubs generally work in the North Sea, Namibia/South Africa, Canada and other areas.
(2) 8G Drillships are capable of 20k psi BOP jobs, whereas all other 7G rigs are only 15k psi. There are only three 8G drillships with this new drilling technology (Titan, Atlas and Stena Evolution). Transocean has six other “7G+” drillships designed for a potential 20k psi BOP upgrade. Upgrading a typical 7G drillship not designed for 20k psi technology it would come at substantially greater cost. The vast majority of jobs in today's market are met by the specifications of a 7G drillship.
(3) Semisubmersible rigs have large variations amongst themselves and it is misleading breaking them into two categories but the goal is to be concise. The Norway-approved harsh environment semisubmersible (“HE Semi”) is quickly becoming an undersupplied market due to emerging demand from the harsh waters of Namibia/South Africa, whereas the 7G Drillship market still is waiting on deepwater activity to eventually pickup in West Africa to work through existing modest sidelined capacity.
(4) Transocean’s Deepwater Asgard (7G Drillship) recently was awarded a ~$500k fixture, while other recent 7G fixtures have been $480k to $499k. Transocean communicated “stay tuned” in a response to a question on its 4Q23 call about a potential fixture on Deepwater Atlas (8G). As evidenced by the recent $500k contract, demand is growing for deepwater rigs but the 7G drillship market still has modest sidelined capacity meaning the 6G drillship market is expected to be weaker in 2024 although likely recovers in 2025 if/when currently sidelined 7G's find long-term work.
7:10 AM · Apr 6, 2024
·
26.2K
Views
