Prosafe Preps for New Accommodation Vessels

In the company's first half report, Prosafe confirmed that its newbuild projects are progressing well and cost forecasts remain as previously communicated.

Delivery of Safe Boreas, which is being constructed at Jurong Shipyard in Singapore, is scheduled for the fourth quarter of this year. This gives adequate time for mobilization for the first contract commencing in April/May 2015. Its sister vessel Safe Zephyrus will be ready for operations in the North Sea during the summer of 2015.

Construction of the Safe Notos and Safe Eurus at COSCO Quidong in China is progressing as planned. As a result the vessels should be ready for operations during the first and second half of 2016 respectively.

Market Outlook

In summary, the general activity level in the worldwide offshore accommodation market is now lower than experienced one to two years ago. The announcement of budget cuts by oil companies has inevitably resulted in increased uncertainty related to demand over the next couple of years, particularly in the North Sea market. This temporary setback will also force a stronger cost focus within the oil services industry. However, the positive long-term demand outlook remains unaffected with prospects of increasing need for offshore accommodation services related to maintenance and upgrades of an aging production infrastructure, hook-up and commissioning of new facilities and decommissioning of old fields.

Read Prosafe's full second quarter and first half report 2014