Offshore accommodation provider Prosafe has laid up another vessel as business remains slow for the oilfield services firm.
The fleet utilization rate in the second quarter of 2017 was 38.5%, with more than half of the fleet out of action.
The 461 bed, 16000 tonne Safe Concordia has just completed operations with Petrobas and is to Curacao for lay-up.
In addition the Safe Zephyrus, Regalia, Safe Bristolia and Safe Astoria were idle in the quarter.
Safe Zephyrus, Regalia and Safe Bristolia are laid up in Norway, while Safe Astoria is laid up in Indonesia.
In mid-June 2017, Safe Regency was sold for recycling to Aliaga Turkey for $1.25 million.
Following this, Prosafe has scrapped five vessels as part of its strategy to high grade the fleet and protect cash-flow.
The Safe Scandinavia Tender Support Vessel (TSV) was fully contracted in the quarter with Statoil.
The TSV contract has a firm period until end June 2018.
Safe Notos commenced a three-year and 222-day contract for Petrobras on December 7, 2016, and was on contract throughout the second quarter.
From July 1 Safe Notos was off-hire to allow preventive maintenance and repair of the gangway. Safe Notos recommenced operations with Petrobras earlier this month.
Safe Boreas continued the Repsol Sinopec contract in the UK at market adjusted rates through 24 April 2017.
After preparation and mobilisation the Safe Boreas commenced the 13-month firm period with Statoil at the Mariner installation in the UK in early-August.
Safe Caledonia commenced a 134-day plus 30-day option contract with Total in UK in mid-May 2017.
Meanwhile the Safe Eurus is in a “preserved, strategic stacking mode” with COSCO (Qidong) Offshore Co Ltd. (COSCO) in China.
Prosafe remains in negotiations with COSCO and related parties for a workable commercial solution for newbuilds Safe Nova and Safe Vega.
If no agreement is reached, Prosafe has the right to claim cancellation of the newbuilding contracts due to delay, and claim repayment of the installment paid including interest of approx. $60 million secured by a refund guarantee from Bank of China.