Rig Utilization Rate

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Dictionary Says

Definition of 'Rig Utilization Rate'

A ratio used in the oil services industry that measures the amount of rigs being used as a total percentage of a company's entire fleet. A company's rig utilization rate often speaks volumes about both a company's current prospects and the global economic landscape as well. Quite often during times of economic deflation or recession, rig utilization rates will be quite low, due to a decreased demand for oil.
Investopedia Says

Investopedia explains 'Rig Utilization Rate'

In most cases, the higher the rig utilization rate, the higher the revenues for a firm. During periods of growth where the demand for oil is high, rig utilization rates often run into the 90th percentile and even up to 100%. It's important to note, however, that companies that have high utlization rates are running at capacity, limiting the company's short-term capabilities to increase production and revenues should demand increase. 
Search results for

'Rig Utilization Rate'

  • Noble Optimistic On Recovery

    http://stocks.investopedia.com/stock-analysis/2011/Noble-Optimistic-On-Recovery-NE-DO-RIG0728.aspx
    ... This utilization rate varied by type of rig, with the company's semi-submersible
    fleet at 85% utilization, while jack up rigs were reported at a 71 ...

  • Land Rig Recovery Soldiers On

    http://stocks.investopedia.com/stock-analysis/2010/Land-Rig-Recovery-Soldiers-On-PTEN-HP-NBR-UNT0514.aspx
    ... Unit Corporation (NYSE:UNT) owns a contract drilling business and reported an average
    rig utilization rate of 40% in the first quarter of 2010. ...

  • Rig Count Still In Free Fall

    http://stocks.investopedia.com/stock-analysis/2009/Rig-Count-Still-In-Free-Fall-NBR-PTEN-HP0407.aspx
    ... these, such a low utilization rate does not bode well for earnings over the next
    year. As a contrast to the land drillers, Transocean (NYSE:RIG), the largest ...

  • A Primer On Offshore Drilling

    http://www.investopedia.com/articles/fundamental-analysis/10/a-primer-on-offshore-drilling.asp
    ... though some do have powered systems that can help keep the rig on target. ... offshore
    drilling revenue is a function of day rates and utilization rate, with day ...

  • A Look At Helmerich And Payne

    http://stocks.investopedia.com/stock-analysis/2011/A-Look-At-Helmerich-And-Payne-HP-NBR-UNT-CHK-BHI0613.aspx
    ... In the US land segment, rig utilization is at 87%, a large increase over the 51%
    utilization that the ... and Payne to command a higher leasing rate for these ...

  • A Business Review Of Rowan Companies

    http://stocks.investopedia.com/stock-analysis/2011/A-Business-Review-Of-Rowan-Companies-RDC-SDRL-JOYG-TTI-GSJK0617.aspx
    ... The average age of Rowan's jack-up rig fleet is 17 years, and the company reported
    rig utilization of 65% and an average day rate of $136,400 in the first ...

  • Land Rig Count Moves Slowly Upward

    http://stocks.investopedia.com/stock-analysis/2011/Land-Rig-Count-Moves-Slowly-Upward--NBR-PTEN-KEG-PDC0304.aspx
    ... Key Energy Services reported fleet utilization of 62% in ... The Bottom Line The land
    rig count in the ... Rate this Article: Your Rating: Overall Rating: Vote Now! ...

  • Oil Stocks On The Mend

    http://stocks.investopedia.com/stock-analysis/2009/Oil-Stocks-On-The-Mend-XTO-DVN-RIG-BHI1102.aspx
    ... basis due to a decline in rig utilization across all rig ... these other oil and gas
    companies, RIG's long term ... Filed Under: Stock Analysis,Stocks. Rate this Article ...

  • A Look At Key Energy Services

    http://stocks.investopedia.com/stock-analysis/2011/A-Look-At-Key-Energy-Services-KEG0708.aspx
    ... Rig Services Rig Services is the largest oil services line for Key Energy Services ...
    average of 490 rigs working in the United States, or a utilization rate of 62 ...

  • North American Energy Cycle Picks Up Steam

    http://stocks.investopedia.com/stock-analysis/2010/North-American-Energy-Cycle-Picks-Up-Steam-SII-PTEN-BHI-HK0205.aspx
    ... And as this demand expands and leads to improved capacity utilization, we will ... Demand
    for oil services is tied to the rig count and will see a ... Rate this Article ...

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