ICD announces dayrate progression, progress on rig reactivation

Independence Contract Drilling (ICD) announced that it has signed a contract for the reactivation of its 16th rig which will work in the Permian Basin, with a scheduled start date in mid-October 2021.

After this most recent reactivation, which will be of a 200 series rig, ICD’s future reactivations will focus on the company’s 300 series rigs, said Anthony Gallegos, President and CEO of ICD. The company expects to reactivate at least one additional 300 series rig by year end.

On the dayrate front, Mr Gallegos said rates are continuing to move upward across its fleet, with rates on the company’s most recent awards rating over $3,000 per day higher than its Q2 2021 reported averages.

“With our intentional focus on short term contract tenors to capture continued dayrate growth in an improving market, the vast majority of our rigs are scheduled to reprice at least once during the remainder of the year,” Mr Gallegos said. “This, along with additional repricing opportunities in 2022 and an increasing percentage of our working fleet being comprised of 300 series rigs, sets up nicely for ICD operating results as we move into 2022.”

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