With crude oil prices languishing just above the $30 a barrel range since the beginning of 2016, market watchers expect drilling companies to scrap more offshore rigs this year. Drilling companies are expected to scrap more offshore rigs this year amid poor utilization arising from an oversupplied market as well as a cutback in global capital spending for upstream projects due to the prolonged downturn in the oil industry, speakers at an industry event in Singapore said Thursday. “Last two years have (seen) more rigs (scrapped) than in earlier years. The scrapping is (now) moving towards deeper water rigs … (while scrapping of) jackups has been slow,” Manav Kumar, director at Dynamic Drilling Pte Ltd. told participants at the 4th Annual Singapore Offshore Finance Forum. He added that the rigs that have been cold stacked are unlikely to return for drilling because of the slump in global crude oil […]