Jack-up vessel operator Seajacks has said it would like to order three new units this year – a move which would double its fleet.
The firm, based in Norfolk, is already due to take delivery of its third vessel, Zaratan, from its Dubai construction yard in May. It will then go to work on the Meerwind offshore wind project in German waters.
Seajacks’ first vessel, Kraken, has just been contracted for a long-term well services project in the Dutch North Sea for Shell and its sister, Leviathan, has been contracted to work on the Sheringham Shoal offshore windfarm off Norfolk – a project which had fallen behind schedule.
Blair Ainslie, managing director of Seajacks, said some project time frames in offshore wind construction – including cable installation and commissioning – had been under-estimated, but that meant there was still plenty of work to be had.
Germany was looking buoyant through to 2015, he said, with the UK remaining active at Greater Gabbard, Sheringham Shoal, Lincs Offshore Windfarm and the London Array running through to 2013.
Looking forward, as well as installation and piling work, the operations and maintenance market would also increase in demand.
“We do not see any slack in demand for equipment,” he said. “There is still going to be lots of work. Leviathan was contracted to Sheringham Shoal to help them catch up with problems they have had.
“We’re going to see a lot of that to 2013. The industry is still new, it is still at an early stage.”
He said he hopes the firm, founded in 2006, could order three new vessels this year. Two would mirror Leviathan and Kraken, while the third would be a larger windfarm installation vessel. Estimated cost of the three would be in the region of $400-450million. Ainslie also hopes the firm can pick up more turnkey work, like its contract on the Meerwind project.
As projects were starting to come through via project finance, instead of utility firms’ balance sheets, there was more demand for turnkey services, he said.
But as well as offshore wind the firm still sees a strong position for itself in oil and gas. In fact, Kraken would now likely spend the rest of its life in oil and gas, predominantly in the Southern North Sea, including in German, Danish and Dutch waters, with Leviathan working in both sectors.
“We are an offshore contractor in both sectors, that was always the plan,” said Ainslie.
Seajacks was out by energy-focused private equity firm Riverstone Holdings in 2009 and turns over close to £100million, before delivery of Zaratan, which loaded out from Lamprell’s quayside last week.