Page 46: of Marine News Magazine (May 2016)

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OSV TRENDS

Good News from the

Oil Patch (really)

The versatility of Offshore Service Vessels of all types is lending itself to a new, niche market, created largely by the collapse of global energy prices.

By Joseph Keefe s oil industry stakeholders mull the current state Compounding factors include historically low oil prices, of affairs, especially where it impacts the offshore halted exploration projects and reduced production. This marine and support sector, no one really knows vicious circle is completed by a substantial drop in support

A whether the bottom in terms of oil prices have already been vessel day rates.

plumbed and/or whether we are on our way to recovery. The Dutch company’s solution involves converting idle

With OSV utilization rates in the U.S. Gulf plummeting, PSVs and OSVs into vessels capable of taking on roles in al- that’s a lot of tonnage to support, pay for and maintain, ternative sectors such as aquaculture, shipping and defense. especially when it isn’t earning any money. Some operators It shouldn’t come as any surprise that the shipyard group may be in a ? nancial position to outlast the bad times, who made famous the concept of stacking proven stock many will not and still others will look for other opportu- hull forms in order to produce quality tonnage in a quicker nities for their vessels. Globally, research shows that hun- fashion might apply some of those same innovations to an- dreds of offshore support vessels are now idled. other thorny issue. In fact, Damen’s answer to reduced oil

For those looking for a creative solution to the current prices lies in what they refer to as “conversion support.” crisis, Netherlands-based Damen Shipyards Group has de- Damen intends to leverage the collective power of their veloped a response to the increasing number of laid up Shipyards Group which operates 32 shipbuilding and re-

Platform Supply (PSV) and oil support (OSV) vessels. pair yards, employing 9,000 people worldwide. With more

The situation that the offshore oil and gas industry is ex- than 6,000 vessels delivered across more than 100 coun- periencing is having serious consequences throughout the tries, Damen’s unique, standardized ship-design concept sector. Across the pond, and based in Damen’s Stavanger provides consistent, proven quality. For example, the U.S. of? ce, Norway Sales Manager Remko Hottentot looks Coast Guard ultimately trusts the Damen hull form for out the window and sees ports dotted with laid up PSVs. its Fast Response Cutter, which is based on Damen’s Stan

May 2016

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