Ending the zero-sum game in offshore drilling

Re-establishing long-term profitability calls for bold steps to tackle the structural oversupply of active rigs. Stormy waters are nothing new for offshore drilling. Boom and bust cycles figure regularly in its long and volatile history. But the convergence of the global pandemic with the acceleration of the energy transition presents a unique challenge to an industry with unwieldy economics. Many drillers are considering restructuring their organizations or redeploying capital elsewhere, but another, more radical, option is worth considering: transforming offshore drilling into a more attractive business.