Rig-building backlogs come under the spotlight (Amended)

Singapore

The health of the rig-building order books of Singapore's shipyard groups - Keppel Offshore & Marine and Sembcorp Marine - is once again under scrutiny following another announced deferral of the delivery of five jack-up rigs that Transocean placed with Keppel FELS.

The market has been left wondering - under limited disclosures - whether the two yard groups have been covered adequately against deferments and cancellations that have proliferated across all rig-building projects, including those from Transocean and industry stalwarts like Ensco.

With rig utilisation having plummeted along with a drastic decline in contracting activity from deep and shallow-water markets, Transocean and Ensco ha…