Island Offshore secures more well intervention work with Equinor

Norwegian offshore shipping company Island Offshore and TIOS will continue as suppliers of light well intervention services (LWI) for Equinor, with a new agreement signed for the use of Island Wellserver vessel.

Island Wellserver vessel. Source: Island Offshore

The vessel has been working for Equinor, former Statoil, since April 2009, and by starting the new contract in 2020 Island Wellserver will be into its twelfth year for the same client, the vessel owner said on Monday.

The new agreement implies that Equinor extends the existing contract with one year, with options for 3×1 additional years. This will give Island Wellserver continuous work for a minimum of 200 days a year, equivalent to today’s contract.

“The last few years have really put us to the test, but as owner and operator within light well intervention we have asserted that this segment is viable. This contract proves that our services are needed,” states Managing Director of Island Offshore Management, Håvard Ulstein.

“We are very pleased to obtain renewed trust with Equinor, and we are confident that we will keep the vessel in operation for more than 200 days a year on the Norwegian continental shelf.”

In 2018, Island Offshore and TechnipFMC entered into a strategic collaboration agreement to deliver RLWI services on a worldwide basis. At the same time TechnipFMC acquired a 51% stake in Island Offshore’s wholly owned subsidiary, Island Offshore Subsea. This company is now named TIOS and is the contracting party with Equinor, while Island Offshore is the supplier of vessel with maritime crew.

Vessels for light well intervention, also called mobile offshore units (MOU), are important tools to increase the recovery from oil wells in service. According to Island Offshore, not only are they safer, but they are also more efficient and cost-effective than conventional rigs. Since the start-up Island Wellserver has carried out more than 250 well interventions.