Would you like to start a free subscription?
Remember me | Forgot password
For full content view: Log in Now!
In July 2008, the deepwater rig market was looking rosy. The rapid run-up in oil and gas prices resulted in a rush of Final Investment Decisions (FIDs) as previously marginal deepwater projects suddenly became economically viable. Although initially tentative, the growth in the rig sector gradually gained momentum as upstream operators jockeyed to contract new-build capacity for their ambitious deepwater drilling campaigns. By September 2008, around 100 new deepwater rigs (semis and drillships) were under construction or planned, a historically unprecedented level of construction.
However, just when $200/bbl looked in sight, the unstoppable finally stopped. Since July, the oil price has fallen over $100/bbl, from its high of $147/bbl, to $40/bbl (December 15, 2008), significantly lower than the current marginal development cost for deepwater and close to the cash cost. Although in the short term this will not unduly concern deepwater operators - primarily because of the long investment horizons required -
This area of the site is restricted.
In order to gain access, please either Log
In, or subscribe to World Oil.
Two options are available to you for creating an account.
1. Get a Free Trial Subscription to World Oil Magazine and gain immediate access to select content on World Oil Online.
Start a Free Trial Subscription and gain immediate access to the complete current issue of World Oil Magazine. Plus, you’ll receive 3 upcoming issues of World Oil Magazine in print or digital format.* You also receive access to the Energy Events Calendar, Industry Statistics and WO Wire’s news and industry coverage.
2. Purchase a subscription to World Oil magazine and gain immediate
and complete access to World Oil Online. As a Total Access subscriber
you will have access to all areas of the site available to registered users and
free subscribers as well as having access to such premium content areas as:
Physical copies of this content may be available for purchase. Visit the Reprints & Back Issues section.
If you are already a paid subscriber and do not have access, please email CustomerService@worldoil.com.
World Oil's specialized upstream Engineering Data Tables featuring the Drill Bit Classifier, Tubing Tables and more. Get Total Access today.
London - March 11-13
Kuala Lumpur - March 25-28
The Woodlands, TX - April 1-3
All material subject to strictly enforced copyright laws.
© 2014 World Oil. © 2014 Gulf Publishing Company.