Page 13: of Offshore Engineer Magazine (Sep/Oct 2022)

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MARKET REPORT JACK-UPS as buying whichever jack-ups are left from contractors in tion/undelivered, and of those, nine (34%) are contracted fnancial diffculties and even building new ones. - mostly to Saudi Aramco. (Note: Data from July 2022).

A few companies are known to have already commenced All contracted units are of the popular models: the Le- dialogue with shipyards regarding the possibility of order- Tourneau Class 116-C, Friede & Goldman JU-2000E, ing newbuilds to meet their long-term demand. Interest- and KFELS B Class designs. There are only two remaining ingly, the only shipyards left that would be willing to build uncontracted rigs of the favored Keppel design. The rest of rigs following the trauma of the last few years are in the the newbuilds are unlikely to be taken for the time being.

Middle East, plus a small number in China. However, construction prices remain high due to infated steel prices.

Day Rates

Others, like QatarEnergy are making sure they secure In the past seven years, jack-up prices had come down to the existing feet in the long term and have started to have an average of $55,000-$75,000 per day for premium rigs discussions with providers on extending rig contracts be- in benign environments but improvement started in 2019, yond 2025. reaching above $80,000. However, that quickly fell back

Due to the increase in awards, 17 jack-ups which had down to average levels during the pandemic downturn.

been idle for a long time are now being reactivated - in- Now, as utilization is improving, day rates have moved cluding 10 for Saudi Aramco. And the number of stranded up, across different jack-up market categories, but main- newbuild jack-ups has also decreased dramatically: only ly for the premium category (JU 361-400 IC), as seen 5% of the total jackup feet is now under construction as in Graph 4, where most fxtures have taken place. Aver- can be seen in Graph 3, with only a handful of favored age day rates for the premium category have surpassed designs left. Twenty-six jack-ups remain under construc- $90,000 and most currently negotiated dates are above

SEPTEMBER/OCTOBER 2022 OFFSHORE ENGINEER 13