Prosafe foresees slow pick-up in floater demand

Prosafe Production expects to deliver the FPSO Ningaloo Vision to Australia later this month.

Offshore staff

LIMASSOL, Cyprus -- Prosafe Production expects to deliver the FPSO Ningaloo Vision to Australia later this month. The stay at anchorage at Keppel Shipyard has been longer than expected due to issues relating to the steam systems and gas compressors.

Prosafe says that the market for leased FPSOs remains quiet – 2009 will likely be its least active year since 2002. Things should pick up next year, but the number of awards will probably stay well below the average of 20/year experienced during 2005-08.

Also, all major FPSO suppliers are currently completing larger conversion projects, freeing up execution capacity. This means competition will remain strong over the next six to 12 months.

Over the long-term, however, the outlook is better, with increased amounts of oil production in deepwater, harsh environment and remote areas with little infrastructure. In all these cases, the FPSO solution remains competitive, the company claims.

Among the company’s other vessels, Kodeco Energy has extended the contract for the FSO Madura Jaya – owned 50% by Prosafe - by six months through November 2010.

Aban Offshore has extended its charter of the FSO Endeavorby a further 12 months. The vessel has been off-hire since its original contract expired this July, but will resume duty following the completion of repair work.


11/04/2009

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