Norway Oil-Rig Tender Reveals 'Desperate' Drillers in Price Rout
- Det Norske expects ``extremely favorable'' rates in contract
- Rig operators facing slump as producers slash spending
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An unusually high number of rigs are competing for a Det Norske Oljeselskap ASA drilling contract in the North Sea, an illustration of how companies are desperate for business as producers slash spending amid a crude-price slump.
“I’ve tendered for rigs on the Norwegian continental shelf many times, and I’ve never seen a tender with 13 rigs competing for the job,” Det Norske Chief Executive Officer Karl Johnny Hersvik said in an interview Wednesday. “That’s a pretty extraordinary figure.”