The sector, which has seen dayrates sink on lower utilisation due to a market slump caused by low oil prices, is presently trapped in a “vicious cycle” with a vessel oversupply leading to a price war and lay-up of units that can subsequently be reactivated, chief commercial officer Soren Karas told the Pareto Oil & Offshore conference in Oslo.
However, the idea that the market could rebound anytime soon to absorb laid-up vessels is likely to prove illusory, he said.
“Just
