Competitive utilisation rates surged in January to above 80%, which is a level that was not seen before 2018. This is also despite the fact that the number of active rigs increased by 8% y-o-y, Loh points out.
UOB Kay Hian analyst Adrian Loh is expecting 2023 to be a good year for the offshore & marine (O&M) sector.
“In 2023, we expect the global rig market to continue the strength seen in 2022 with higher utilisation and day rates,” he writes in his Jan 31 report, keeping his “overweight” rating on the sector.
