Statoil - Terminating Rig Tender Process

Wednesday, December 24, 2008

StatoilHydro is terminating its procurement process for rig hire for operations on the Norwegian continental shelf due to high rig rates.

”We focus on reducing costs and making strict priorities,” says Anders Opedal, head of procurements in StatoilHydro.

The invitation to submit tenders for rig hire was distributed during the summer of 2008, and covered both semi-submersible mobile rigs and jack-up drilling rigs with contract start at the end of 2012.

When the deadline for submitting tenders expired on 25 August StatoilHydro had received tenders for a total of 28 rigs from 15 suppliers.

The rig rates have risen considerably the last years in a period of high oil price. From the invitation to tender was distributed and up to the present, the financial crisis has led to higher insecurity in the world economy, which has made the oil price drop by more than 60%.

Based on changed framework conditions StatoilHydro decided to ask for updated tenders from the suppliers to be submitted by 1 December. The updated tenders included reduced rig rates.

“Despite the reduction in the prices offered, there is still a considerable gap between the tenders and the expectations we have concerning the rates,” says Mr Opedal. “We have therefore decided to terminate the procurement process.”

Maritime Reporter July 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

Odfjell Drilling in Tighter 2Q North Sea Market

Odfjell Drilling reports second quarter 2014 financial results showing a profit of US$29-million. Profit & loss Q2 2014 Operating revenue for Q2 2014 was USD 272 million (USD 289 million),

Brazil AHTS Contract Breakthrough for Havyard

Havyard says it is to deliver the ship design and equipment for four anchor handling tug supply (AHTS) vessels that are to be built and operated by the Brazilian

EOC Takes Full Ownership of OSVs

On 26 August 2014, EOC Limited agreed to acquire 50% of the entire issued share capital of Lewek Antares Shipping Pte. Ltd. (the "Target") , a company incorporated under the laws of Singapore,

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Navigation Pod Propulsion Port Authority Salvage Ship Electronics Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0734 sec (14 req/sec)