Valaris Market Overview and Strategic Positioning
Global Floater Market
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Total Utilization1
90%
80%
70%
60%
50%
40%
2013
2014
2015
2016
2017
2018
Avg Spot
Day Rates
439
392
258
202
178
205
$ Thousand
150
100
50
60
New Contracts²
0
2013
2014
2015
2016
Rig Years (L Axis)
VALARIS
2017
2018
2019
2019A³
20
20
15
55
10
10
•
Utilization for the global
floater fleet has gradually
increased since early 2017
due to a higher number of
rig years awarded for new
contracts, leading to slight
improvement in average
spot day rates
With contract durations
remaining relatively flat during
this time period, the increase in
rig years is driven by the
number of new contracts
increasing
⚫Further increases in day
rates require either a
greater number of new
contracts or longer average
durations for new contracts
Average Contract Duration (R Axis, Months)
Source: IHS Markit RigPoint as of July 2019
1Total utilization reflects rigs currently under contract and contracted for future work as a percentage of the global floater fleet; includes benign &
harsh-environment rigs
2Fixtures data includes New Mutual contracts only
3Year-to-date 2019 annualized
8View entire presentation