Norsk Hydro Enters Agreements for Three Supply Boats

Hydro has entered into agreements with shipping companies DOF, Havila and Farstad, to lease three supply ships to join Hydro's supply services in the Norwegian offshore sector.

All three contracts entail that the shipping companies build three new vessels. Two of the contracts, DOF and Havila, have a fixed duration of 10 years. The contract with Farstad has a five-year duration. Options are included.

"We strengthen our supply services in the North Sea with these agreements for three large, modern vessels. We look forward to good cooperation with the shipping companies and to secure and efficient supply to our production platforms and drilling rigs," says Hydro O&E Operations chief, Oystein Michelsen.

The three vessels will join Hydro's supply pool based at Mongstad that serves the company's nine production platforms and leased drilling rigs in the area. The supply boats will also deliver provisions to Shell's nine platforms in the UK offshore sector, as part of Hydro's supply services.

The award of the three contracts took place during an electronic auction held on Monday, Dec. 19. All qualified shipping companies with relevant vessels meet Hydro's demands for health, safety and environment, together with technical specifications and functional requirements.

All the new builds will have newly developed gear to off-load bulk deliveries with remote-controlled hose equipment. The vessels will also automatically secure deck cargo. This will lessen the risk incurred by deckhands working with potentially hazardous activities on the cargo deck.

The three new builds are equipped with modern catalyzer technology to minimize emissions of NOx.

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