Junk Rig Bonds Return 22% as Mexico Driller Dodges Industry Woes
- Offshore-drilling rival Oro Negro defaulted on Oct. 16
- Oil prices have tumbled another 10% in the last two weeks
This article is for subscribers only.
Oil-services provider Offshore Drilling Holding SA is sidestepping a default by one of its industry rivals and a deepening swoon in crude prices.
The company’s $950 million of bonds due in 2020 have returned 22 percent this month as of Oct. 23, eight times the emerging-market average and the biggest advance in Mexico.