Page 32: of Maritime Reporter Magazine (November 2019)

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DEMEREST TIDE: Tide- water vessel now working

Eastern Mediterranean

Photos: Iain Cameron ering longer term sentiments. A reckon- Tidewater units are oper- to point to actual demand seeing dayrates just above $40,500, ing in an early September 2019 confer- ating, its slide deck points drivers when they are more than double those of a year earlier. ence presentation by Tidewater (NYSE: to a near doubling of day coming in, the companies As contrast, Seacor pegged its Q2 ? eet

TDW) reveals a total industry supply of rates for large PSV’s from $7,400/day that we service are making announce- utilization in the U.S. Gulf at 34%, well 3,419 vessels, roughly evenly divided up to nearly $14,500/day (with similar, ments that they are doing new projects. “ below its overall measure- at 72%. between anchor handlers and platform though less dramatic upticks in the U.S. Tidewater’s activity in West Africa The tide may be turning, with the supply boats. Gulf and in West African waters). encompassed 50 units (more than the statistics beginning to bear out the op-

Within these ? eets, roughly 1,000 are Large peers have faced rough currents. 15 operating in the U.S. GOM). Mexi- timism of Todd Hornbeck and others. classi? ed as “stacked” with a little under The parent company of Bourbon Marine co, where Hornbeck Offshore Services Evercore ISI’s James West, a long-time 300 described as “idle”. More telling are Logistics, second in the vessel count (NYSE: HOS) has a large ? eet working analyst of listed companies, explained the approximately 650 (in the stacked with approximately 175 OSVs (part of a the Bay of Campeche, also saw Tide- to investors in the rigs which drive de- category) laid up for more than two much larger ? eet of nearly 500 vessels), water operating 13 vessels. Brokers mand for OSVs, in a late September years. Within these, 360 units are more had ? led for “reorganization” in late Bassoe had noted that (in contrast to the brie? ng, “We believe 2020 will be the than 15 years old. July, after lengthy efforts to reach ac- U.S. trend), “Mexico has become a key ‘Year of Acceleration’ for offshore rig

Financiers also note the overhang of commodations with its lenders. Its daily region for jack-ups again.” utilization and dayrates. The marketed older oil service vessels in the market- business will continue while discussions Privately held Edison Chouest, ac- utilization for both jackups and ? oaters place. Speaking at Capital Link’s Ship are underway to re-jigger its debt obliga- tive in the GOM (working closely with has climbed above 80%, and jackup day-

Finance Forum at London International tions and payments; it will continue to multiple oil “majors”), also maintains rates are moving solidly higher across all

Shipping Week, Kevin O’Hara, from implement a bold strategic plan dubbed a large presence in Brazil, another area regions. The acceleration, if that’s what

AMA Capital Partners said that “…off- BOURBONINMOTION, where smart pegged for a possible rebound. Guyana happens, will ? ow through to workboats shore is in much worse shape…” than technology deployment will ultimately has attracted attention as exploration has serving those rigs. The gradual drift of other segments of shipping. We have not lead to manpower savings. The reorgani- ramped up in the face of recent discover- oil production to deeper waters gives rise seen the amount of assets reduce at all zation is a moving target; in early Octo- ies; active in the area since 2016 (with to higher demand for service vessels; in … we’ve seen sales of ? eets … when ber, the group said that it had received a nearly a dozen vessels working), Edison a presentation at Pareto Securities’ Off- the vessels are sold, none of them go for purchase offer from a “company owned Chouest, working for Exxon Mobil, es- shore Conference, Tidewater noted: “In scrap.” For Tidewater (with a clean bal- by a group of French banks.” tablished an of? ce there late last year. general, production support represents ance sheet following its mid-2017 emer- The pickup in areas identi? ed by McK- Beyond the Americas, operators in the 45-55% of the demand for OSV’s. OSV gence from bankruptcy, and an industry insey may bene? t the U.S. out? ts. North Sea are seeing a stronger market. intensity for production likely to in- topping ? eet of 198 OSVs following Todd Hornbeck, on his company’s Q2 Seabrokers (with of? ces in Stavanger, crease due to complexity of ? eld devel- its subsequent acquisition of GulfMark conference call, brought the high level Aberdeen and Brazil), in their October opments and distance from shore.” Todd

International), its prospects are bright- focus down to speci? cs, describing fresh market report, point to average utiliza- Hornbeck summed up the dynamic: “We ening. Its presentation notes that 57% activity “…not just in the Gulf of Mex- tion in the North Sea of 78% for large have to get stabilization through utiliza- of revenues are derived from deepwater ico, Brazil, the whole Northern Coast Platform Supply vessels, 66% for me- tion ? rst. You got to have the utilization units, and that dayrates for high spec of South America, Mexico, this whole dium size Anchor Handlers, and 61% and then we can start trending to higher

OSVs are rising. In North Sea, where 21 hemisphere is really starting to be able for large Anchor Handlers, which were rates.” For now, it’s still a waiting game.

32 Maritime Reporter & Engineering News • NOVEMBER 2019

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