Equinor Awards $235,6M in Offshore Vessel Deals
Equinor, a Norwegian oil company, said on Friday that it had recently awarded six offshore vessel contracts to five shipowners. The total value of the contracts, including options, is estimated to be more than NOK 2.5 billion ($235,6 million).
The six platform supply vessels will be managed by Simon Møkster Shipping AS (Stril Luna & Stril Mar vessels), Island Offshore Management AS (Island Crusader vessel), Eidesvik AS (Viking Avant vessel), Remøy Shipping AS (Rem Hrist vessel) and P/F Skansi Offshore (Kongsborg vessel).
The contracts will take effect before the end of 2022, and have a three-year firm period and three one-year options.
The vessels will support Equinor’s activities on the Norwegian Continental Shelf.
Mette H. Ottøy, chief procurement officer, said:"We are pleased to secure contracts with suppliers which have a solid safety culture, and the necessary capabilities to ensure safe and efficient operations for Equinor. Long-term commitments are mutually beneficial to Equinor and our suppliers. They ensure predictability and form the foundation for innovative solutions to improve on all aspects of our collaboration, including reduction of emissions from our operations.
In addition, Equinor has extended a contract with Island Offshore Shipholding LP for four years, for the Island Clipper vessel, which is a combined platform supply vessel and walk-to-work vessel.
Island Clipper has supported the Oseberg field in the past and is scheduled to also work on the Hywind Tampen offshore wind farm.
As part of the agreement, there is a joint commitment to pursue possibilities to modify the Island Crusader and Kongsborg vessels to be powered by ammonia fuel, Equinor said.
This will be carried out in two separate projects involving a number of sub-suppliers throughout the maritime industry. The overall goal is to reduce the CO2 emissions by up to 90 percent by use of ammonia fuel.
All six vessels either have, or will get, a battery installed for hybrid operations. The agreements include a requirement for the vessels to employ one cadet or ordinary seaman for each shift, as a recruitment contribution to the maritime industry.
“We are dependent on supply vessels like these to support our more than 40 fields in operation on the Norwegian Continental Shelf (NCS), and we look forward to collaborating with the ship owners and crews for many years to come." I am especially pleased that we are jointly investigating opportunities for further CO2 reductions,” says Ørjan Kvelvane, Equinor's senior vice president for Joint operations support.
According to Equinor, at any time, around 30 supply vessels from a long range of ship owners are in service to supply Equinor’s installations and rigs. Standby vessels and anchor handling vessels are additional.
Around 900 people are working on supply vessels in service for Equinor. In 2021, the vessels transported almost two million tonnes of cargo to and from the installations. Most of the vessels are on longer-term contracts (3 years +), but there are also several vessels on shorter-term contracts and from the spot market.