Rig demand in the deep-water US Gulf of Mexico is expected to remain largely flat for the rest of 2018, potentially shedding a few units, analysts and data indicate.

However, there is excitement about new deep-water activity south of the border in the Mexican sector of the Gulf, though rig demand is expected to be modest there to start.

A total of 21 to 23 rigs are under contract in the US Gulf for 2018, according to data from the US Bureau of Safety & Environmental Enforcement, Clarksons and Wood Mackenzie.