Owners have hailed another positive sign in the North Sea offshore support vessel (OSV) sector as charterers moved to take ships on longer-term deals.
At least 25 platform supply vessels (PSVs) have been booked over the last few weeks, with start dates ranging from this month to November, brokers said.
Norwegian oil major Equinor fixed eight ships alone last month, all for eight months firm, with four two-month options.
Domestic owner Island Offshore said this week it had signed period deals for six PSVs.
“We have not seen contracts of equivalent duration for quite some time now, which makes it extra pleasant," said its managing director Tommy Walaunet.
"This provides predictability for all our employees as well as a stable income for these vessels.”
Island's two 4,750-dwt LNG-fuelled PSVs Island Crusader and Island Contender (both built 2012), as well as the 4,100-dwt Island Commander (built 2009), sealed deals with Lundin in Norway.
The two LNG units were contracted for a period of 600 days and 400 days respectively, while Island Commander can look forward to three years of work.
Extension options are attached for all three.
The work will commence between April and August this year for the two LNG vessels, while Island Commander will take on its new contract in November, in direct continuation from an existing contract.
Island Crusader will be supporting the rig West Bollsta for ten wells, while Island Contender will be supporting Rowan Viking in drilling seven wells. Island Commander will continue supporting drilling activity by Edvard Grieg.
"Long-term customer relationships are important to us," said Walaunet.
"All three vessels have been on term contracts for Lundin before, hence they know our vessels well. It pleases us to see that they are increasing their activity and have a long-term needs for our vessel."
Deals stretched
Island also secured a one-year extension for the 4,100-dwt Island Champion (built 2007) working out of Aberdeen.
A long-term relationship with charterer Team Marine started back in 2007, it said.
Two more PSVs have also secured long-term contracts with an unnamed charterer.
"These contracts provide a significant contribution to our order book and secures work places to our competent crew," Walaunet added.
Another Norwegian owner, Siem Offshore, had said in its fourth quarter results that it had identified positivity within the large PSV sector, noting that "demand for high-end PSVs will increase... with more requirements... than we have seen in previous years".
Brokers also reported Eidesvik Offshore's 5,900-dwt large PSV -dwt Viking Lady (built 2008) fixed for six months by Aker BP.
Premier Oil took another four ships for well work over 100 to 125 days.
PSV utilisation was at 75% on Thursday.
There were still plenty of spot ships available, with rates unspectacular at £7,000 ($8,966) per day.
