One in four floater rigs could end up as scrap following the pandemic

One fourth of the global fleet of floating drilling rigs are potential scrapping candidates, as the coronavirus has accelerated the restructuring of the offshore sector, notes new analysis.

Photo: Ariel Schalit/AP/Ritzau Scanpix

One fourth of the global fleet of floating drilling rigs, so-called floaters, could end up as scrap, as the coronavirus pandemic has accelerated the restructuring taking place in the offshore sector, writes Rystad Energy in a new analysis.

The firm estimates that 59 out of 213 rigs are potential scrapping candidates. This is because the coronavirus pandemic is expected to put a damper on demand up until 2022. Furthermore, 25 newbuilds are expected to be delivered ahead of 2023.

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