As futures prices continue to reside south of $3, the U.S. Gulf of Mexico offshore rig market continues to worsen in terms of both rig utilization and day rates, according to the latest ODS-Petrodata Group Offshore Rig Day Rate Indices. However, even while the Gulf remains in decline, other rig market segments remain strong, the company’s data shows.

According to Thomas E. Marsh, ODS-Petrodata Group associate publisher, fleet utilization for Gulf of Mexico 250-to-300-foot rated jackup drilling rigs has fallen to 51%, its lowest level in nine years.

“Jackup day rates have followed the rig count down, and the ODS-Petrodata Group Gulf of Mexico Competitive 250-foot to 300-foot Jackup Day Rate Index now stands at 113,” Marsh said. “The near-term outlook is not encouraging; rig demand in the region is expected to continue to decline.”

Despite the current U.S. Gulf situation, The group said North Sea jackup utilization has remained stable at about 95% over the last two months. Day rates for the North Sea competitive non-harsh environment jackup fleet has improved. ODS-Petrodata Group’s North Sea Competitive Jackup Day Rate Index, which stands at 317 this month.

Commenting on the North Sea data, Marsh said, “This is the index’s highest level since late 1998. Based on current known contract commitments and potential contract options, this group of jackup rigs should enjoy relatively stable utilization at least into the first quarter of next year.”

ODS-Petrodata said worldwide deepwater rig demand remains strong. Every available deepwater rig in the competitive fleet is under contract or committed, and fleet utilization is 100%. The ODS-Petrodata Group Worldwide Competitive 5,001+-foot Floating Rig Day Rate Index is on the rise, and as of Wednesday, stands at 261.

For more information on the company’s day rate indices charts, visit www.ods-petrodata.com.

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