Restructuring of the OSV business is far from finished


#121

There might not be anything mechanically wrong with the vessels being scrapped, but with the building boom in the last few years charterers can get modern vessels for a cheap price so less advanced vessels are not really attractive.

As Ombugge mentiones on many modern vessels are a lot more fuel efficient so charters save money on fuel, newer PSVs have bigger decks and dry and wet bulk tanks so less ships are needed. Newer AHTs are more fuel efficient, have bigger storage winches for fibre ropes and wires, along with bigger chain lockers for storing chain. They have higher bollard pulls for pre-tensioning anchors to much higher tensions when pre-laying mooring systems, and rail-cranes with manipulators to make deck operations much faster.

Many older OSVs have nothing physically wrong with them, they are just at the end of their economical life as there are so many other vessels that can do the job a lot better for the same price.


#122

class lets you build something for a 10 year life span, add built in asia and they are ready for scrapping in 5 years…
I worked for a company that managed a fleet that was building psv and ahts in asia at the right time.
They all had good equipment but very poor design and very thin, so cracked all the time due to too thin and school boy errors in design.
The financials were such that they could scrap or sell after 5 years and that was the build model.
Day rated dropped just at the end and they said oh well, another 6 months then we are good.
BTW the owner is a well known Norwegian


#123

I don’t know how well known he is outside offshore circles in Singapore/S.E.Asia.


#124

The Norwegian Shipowners Association has issued their Outlook for 2018:


Much of it deals with the Offshore fleet under Norwegian ownership working worldwide.

PS> There is a link to the full report in pdf format in the article for those specially interested and with plenty of time on their hand.


#125

#126

Seems to be a small proliferation of offshore vessels in Little Creek, VA. Brandon Bordelon and several Chouest boats in there now. Anybody know what they’re contracted for?


#127

In my opinion:

Offshore wind projects

OR

A different hole to fill due to all the ones down south being full of orange, blue, and black.


#128

The 2 Chouest boats in Little Creek are chartered to the Navy. 1 has been there for years, the other just added a few months ago. Maybe the Bordelon boat was just added too?


#129

Yep, the Brandon Bordelon is pretty recent as one of my friends just brought it up there around mid April.


#130

Did Tidewater do it right and the Norwegians got it all wrong??
Maybe, but the system is very different and declaring bankruptcy under Chapter 11 is not an option for Norwegian companies, unless they are on NYSX, like Seadrill:


BTW; This article look at AHTS and PSV market only, while the Norwegian companies are heavily into the construction support market.


#131

I was wrong. Apparently it is possible for foreign companies to use Chapter 11 and US courts with much less direct US involvement than stock listing. (“A pepper corn in US is enough”):


#132

The Japanese giants of shipping are getting into the top end of the Construction Support Vessel segment:


#133

Ezra and Bourbon looking vulnerable


#134

Ezra is a complete basket case BUT its engineered itself as too big to fail with over USD$1billion debt to just DBS, plus lots more with other lenders
Have a guess who the biggest shareholder is ( for those familiar with Singapore…)
How Oslo allowed it to be relisted just defies belief


#135

Tidewater and Gulfmark, classic investment banker deal.
TDW back to largest operator in the world I guess?


#136

The Gulfmark saga may not be over yet:
https://splash247.com/harvey-gulf-makes-late-move-for-gulfmark-offshore/


#137

Finally Oslo talking tough…

https://splash247.com/emas-offshore-forced-off-the-oslo-stock-exchange/


#138

Not exactly OSV but related vessel type and business.
Consolidation in the Seismic industry:
https://splash247.com/shearwater-geoservices-to-acquire-marine-seismic-business-from-schlumberger/


#139

Another offshore vessel find a new home with a Navy:


Several similar sales to the Brazil and Australian Navies has taken place lately.


#140

Many commercial ships are constrained by operating at an economical level to remain competitive in business. Multi month shipyard repair periods are another thing the military typically enjoys versus the commercial sector. And finally, the military tends to overspend in order to justify their budgets. It’s apples to oranges in too many ways.