Another company is getting ready to announce yet another newbuild by DSME. DSME and Samsung are going to sink that little island with drillship steel at this rate.
[QUOTE=tengineer;65062]Another company is getting ready to announce yet another newbuild by DSME. DSME and Samsung are going to sink that little island with drillship steel at this rate.[/QUOTE]
It continues to amaze me - the rate at which these ships are being ordered. Obviously, the demand is there, and this of course will include the people and how they are paid. The labor market is already tight, and some people that are being promoted shouldn’t be, but companies are doing the best they can. You just cannot teach experience. I just hope this recipe doesn’t lead to a disaster down the road.
Good grief! I completely missed this one but like you I am shocked that the drillships continue to be ordered. I am convinced that the industry is convinced that there is some upcoming demand to justify all these newbuildings. Why though are all these ships being ordered without firm contracts in hand? You’d thnik the investors in this industry would be wondering?
[QUOTE=c.captain;65095]Good grief! I completely missed this one but like you I am shocked that the drillships continue to be ordered. I am convinced that the industry is convinced that there is some upcoming demand to justify all these newbuildings. Why though are all these ships being ordered without firm contracts in hand? You’d thnik the investors in this industry would be wondering?[/QUOTE]
I do not think the investors are worried, but it is curious how contracts are being signed, or not till the very last minute. Seadrill says rate will surpass $600,000/day this year. The majors are waiting and waiting, but at the same time they have 2.5 year backlogs of drilling needs. I was just talking to a project team leader the other day for one of the majors and they have more work than rigs right now. How that transitions up the chain to contracts is not in his responsibility, but plans are being made to 2017 with very capable rigs not currently under contract.
[QUOTE=c.captain;65095]Good grief! I completely missed this one but like you I am shocked that the drillships continue to be ordered. I am convinced that the industry is convinced that there is some upcoming demand to justify all these newbuildings. Why though are all these ships being ordered without firm contracts in hand? You’d thnik the investors in this industry would be wondering?[/QUOTE]
I do not think the investors are worried, but it is curious how contracts are being signed, or not till the very last minute. Seadrill says rate will surpass $600,000/day this year. The majors are waiting and waiting, but at the same time they have 2.5 year backlogs of drilling needs. I was just talking to a project team leader the other day for one of the majors and they have more work than rigs right now. How that transitions up the chain to contracts is not in his responsibility, but plans are being made to 2017 with very capable rigs not currently under contract.