Based on Westwood Global’s data, the fall in local rig count appears in tandem with the massive downgrade in local jack-up rig demand by Petronas’ Activity Outlook from 16 to 10 for 2021. The new outlook expects seven and 10 local jack-up rigs for 2022 and 2023, respectively.
PETALING JAYA: Velesto Energy Bhd
is anticipated to secure several short-term contracts from the second quarter of 2021, which will help offset potential weak results for the jack-up rig service provider.
UOBKayHian said in a report that Velesto is expected to report losses for the fourth quarter of 2020 and first quarter of 2021, due to falling utilisation as its existing contracts are set to expire.
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