Stay Connected

Local content issue could affect strong floater market

Offshore staff

ANTWERP, Belgium – FSO provider Euronav says big challenges lay ahead for the floating production sector.

Fields in deepwater and remote regions require ever-more advanced technologies, with FSO and FPSO demand driven largely by countries in Latin America and West Africa.

Local content requirements in those areas can be strict, with construction companies under increasingly pressure to create employment opportunities for the local workforce. Over the short-to-medium term, Euronav says, this may impact capital cost and timescales for FSO and FPSO developments.

Despite these factors, the floating platform market is set to remain one of the strongest offshore sectors through to the end of the decade. Plus, with an increasing amount of floating production investment being directed away from the traditional Latin America and West Africa markets, Euronav adds, there could be an interesting change in dynamics within the sector.

The company is a participant in TI Africa, owner of FSO Africa, which was granted a new five-year contract by Maersk Oil to continue supporting operations on the Al Shaheen field offshore Qatar.

The contract, which started last October, includes an option for a one- or two-year extension. It also extends to Maersk Oil use of the vessel’s full capacity and functionality against an increase of the daily hire earned in each contract year, equal to the daily hire rate currently earned on the same field by sister vessel FSO Asia.

3/22/2013

Related Articles

Kosmos to drill deepwater Eagle offshore Morocco

Nov 21, 2013

Kosmos Energy has provided an update on its plans for the Foum Assaka permit offshore Morocco following its recent farm-out agreement with BP.

Mad Dog Platform. Photo courtesy BP

BP adds two drilling rigs in deepwater Gulf of Mexico

Nov 20, 2013

BP has added two drilling rigs to the deepwater Gulf of Mexico, bringing its fleet there to a company record of nine rigs.

Trending News

OTC 2014: Distinguished Achievement Award recipients announced

Apr 23, 2014

The Offshore Technology Conference has revealed the recipients of this year’s Distinguished Achievement Awards.

North Sea Hejre jacket loaded out

Apr 23, 2014

Heerema Fabrication Group has skidded the 8,500-ton launch jacket for DONG Energy’s Hejre field platform onto a barge at the quayside in Vlissingen.

Southeastern Barents Sea FTG survey under way

Apr 23, 2014

ARKeX has restarted acquisition of a multi-client full tensor gravity gradiometry (FTG) survey over the southeastern Barents Sea offshore Norway.

Prysmian to engineer offshore Zakum subsea power conversion

Apr 23, 2014

Emirates Holding has awarded Prysmian Group a $41.4-million contract for ADMA-OPCO’s Zakum oil field offshore Abu Dhabi.

Atkins to assist Maersk in North Sea IRM campaign

Apr 23, 2014

Maersk Oil UK has awarded Atkins an engineering support contract for three floaters in the North Sea.

  Offshore
Digital Magazine
Look Inside
Cover
Current Issue

Oil & Gas Jobs

View more Job Listings >>