Island Offshore Secures Several New Contracts

In the last four months Island Offshore has secured new contracts, as well as extensions of existing contracts, worth close to 1 billion NOK (USD 167 million).

“We are very pleased to have secured these new contracts, all with strategically important customers. We have an attractive fleet to offer the market and during 2014 we will take delivery of five new buildings in total. Three of these are already under contract”, says chartering manager Hallgeir Linge Reitan.

Island Pride (UT 737 CD) has been awarded a five month contract with Maersk Oil. Island Pride is still under commissioning and is due for delivery in the end of March from the VARD Brevik yard. Maersk Oil is a new customer to Island Offshore and the vessel will be performing walk-to-work duties.

Island Crown (UT 776 CD) has entered into a walk-to work contract with Trianel Windkraft Borkum Gmbh & Co. KG, with a duration of two months. Prior to winning this contract Island Crown went through an extensive offshore test programme with great success.

“Securing this contract after the test period in the end of 2013 is of high value to us. This shows that Trianel has faith in the vessel and in us as a service supplier, and we see it as a door opener into a market where we want to be, namely the renewable energy market”, says Linge Reitan.

Furthermore Stimwell has extended their contract with Island Patriot (P105) for two more years. Island Patriot was rebuilt in 2010 to be able to perform well stimulation work, and has been in service for Stimwell ever since.

The new building Island Dragon (UT 717 CD), due for delivery in June this year, has been awarded a contract with Lundin Norway for operation in the Edvard Grieg field, more specifically 12 wells in total. Lundin Norway has also got Island Offshore’s rig Island Innovator on contract, as well as the two gas powered platform supply vessels Island Contender (UT 776 CDG) and Island Crusader (UT 776 CDG) to support the rig.

Island Dragon’s sister vessels are heading for warmer climate with contracts for Kosmos Energy and Anadarko. Island Duke (UT 717 CD) has just started a 90 days job in Morocco for Kosmos Energy. Later this spring Island Duchess and Island Dawn will move southwards as well. These contracts are expected to occupy the vessels for about 200 days, with possibilities for further extensions.

“The Rolls-Royce UT 717 CD design has been very well received in the market and all four vessels in the series have secured work. Having three vessels now heading for the African coast is a milestone for us, as we mainly operate in the North Sea”, says Linge Reitan.

Island Offshore, March 14, 2014