Atlantic Offshore orders new vessel

New contracts with Shell Norway, Shell UK and ADTI UK amount to approx. NOK 500 million, of which NOK 300 million is related to firm periods and 200 million to optional periods for the charterers. Two of the contracts commence in March 2013.

Based upon the contract awarded by Shell UK, the company has decided to build yet another HY 820 Field Support Vessel designed in collaboration with Havyard. The newbuilding will be completed in 2015 and will operate for Shell UK at the Fram field in the North Sea.

In the last three years, Atlantic Offshore has invested in 9 vessels; PSV and FSV, with a total investment cost of NOK 2.5 billion. The investments are related to the company's strategy of modernising the fleet. CEO Roy Wareberg is very pleased that Shell both sign new agreements with the company, and also extends the existing contracts by exercising options.

- We have been close partners for many years, and consider it as a vote of confidence that Shell choose to expand the cooperation, says Wareberg. The new ship will be the third HY 820 vessel ordered. Two similar vessels are currently under construction at the Spanish shipyard Astilleros Zamakona in San Sebastian.

- We have not yet decided where the next ship will be built. This will be assessed during the next few weeks, says Wareberg. He confirms that market activity is high. During a few months last summer Atlantic Offshore won contracts and options with a value of NOK 2 billion.

- With the new contracts from Shell and ADTI, and long-term contracts on existing tonnage, we are pleased with the commencement of 2013. We have made significant investments to meet new requirements and demands from the oil producers. With the newbuildings, we are well positioned in markets outside Norway, says Wareberg.