Brazilian offshore drilling activities are faring much better than worldwide operations. Total average utilization for Brazil's mobile offshore drilling fleet is 94 percent, which compares quite favorably to the global average of 80 percent. Similarly, average dayrates are much higher in Brazil than compared to the rest of the world. Currently, rigs (i.e. drillships, jackups, and semisubs combined) are garnering rates in the high-$310s while global average dayrates are in the mid-$230s.
The favorable disparity for both operating efficiency and dayrates is due largely to fleet mix. Most of the rigs operating off the coast of Brazil are exploring for oil in deeper waters. Hence, very little drilling in the region is accomplished using jackups; which typically command the lowest dayrates in the industry.
Brazil's semisub fleet utilization (a regional fleet of 52 competitively marketed rigs) is 98 percent, quite high by industry standards. Its drillship fleet, while much smaller at 17 marketed rigs, will continue to grow as newbuild equipment is delivered into the region. The jackup fleet is the smallest of the mix with just three competitive rigs on lease in the region. All three are currently under contract. Given the vast quantity of Brazil's discoveries, demand for offshore rigs shows only signs of growing as the country looks to further tap its ample reserves.
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