By OGJ editors
HOUSTON, Nov. 16 -- The worldwide rig count will average 2,595 in 2005, up 8% from its projected level this year, a Merrill Lynch & Co. analyst predicts.
"The Eastern Hemisphere markets are expected to post the strongest growth, particularly in the Middle East and Asia," said Mark Urness, Merrill Lynch director of oil services and drilling research in New York.
Drilling activity in the US and Canada is expected to grow more slowly than elsewhere. Fleet utilization is already high in both countries.
Worldwide offshore rig utilization has moved above 85% and is expected to reach 90% by the second half of 2005, Urness said. Day rates for deepwater rigs have increased, and the jack up market appears ready for similar improvement, he said.
