Solstad Inks LOI with Saipem for Four Platform Supply Vessels

Solstad Offshore has received a letter of intent with Saipem UK for provision of four platform supply vessels (PSV) to support pipe-laying operations (pipe transportation) for the period 2008 to 2012.

Through the agreement, Saipem will utilize the Normand Aurora, Normand Carrier and Normand Flipper for pipe transport in the Mediterranean, estimated to start summer 2008.

For 2009, 2010, 2011 and 2012 the Normand Aurora, Normand Carrier, Normand Flipper and Normand Vester will operate in the Baltic Sea and the North Sea. Over the period the agreement represents approximately 3500 days firm, plus options to extend with another 1500 days.

The commercial terms between the parties are confidential, but it gives SOFF an acceptable return.