Velesto rig utilisation rate likely to drop

HLIB Research said the company’s JU rig fleet utilisation rate would likely slump to about 50% compared with 88% in 2Q23 – below the breakeven point of 70%.

PETALING JAYA: Velesto Energy Bhd will likely dip into the red in the third quarter of 2023 (3Q23) before bouncing back in the following quarter as its jack-up (JU) rigs are anticipated to run at full steam.

Hong Leong Investment Bank (HLIB) Research said the company’s JU rig fleet utilisation rate would likely slump to about 50% compared with 88% in 2Q23 – below the breakeven point of 70%.