Crude’s 100% Jump No Joy for World’s Biggest Rig Makers: ChartBy and
Crude prices doubling since February haven’t eased the pain for the world’s biggest oil-rig makers. Jackup rigs -- structures erected from the ocean floor as a base to search for oil -- are lying unused because of overcapacity and companies aren’t scrapping them fast enough for orders to resume at Keppel Corp. and Sembcorp Marine Ltd., according to UOB-Kay Hian Holdings Ltd. Given the slowdown in orders, the world’s two biggest makers of these rigs will see lower earnings as the “new normal,” the brokerage said.
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