Fifty years ago, when the offshore oil and gas industry first exhibited in Aberdeen, there was already growing appreciation of the role and potential of Lerwick and Shetland as a far-north support centre.
Seismic vessels entered the harbour in 1965, a first rig was seen in Breiwick in 1971, the same year as the-then Lerwick Harbour Trust was developing expansion plans.
Mud and chemical companies arrived in the early 1970s. Rig servicing started at Greenhead Base in August 1973.
Work began on services bases including BP and Shell at Holmsgarth in July 1973, and rig support at Greenhead Base the following month.
Lerwick – a port in transition
And so it continues, with the evolution of the deep-water harbour ongoing to meet the changing requirements of the offshore industry, new opportunities and the demands of the 21st Century environment.
Lerwick Port Authority chief executive Captain Calum Grains said: “In 1973, few would have thought the industry would still be operational in 2023, far less that we would be now into a second energy revolution with the development of wind power, onshore and offshore. It means we have had to refine our proactive approach to meet the new challenges.”
Trend-setting features include:
· Advancing the project for a unique Ultra-Deep-Water Quay (UDWQ) at Dales Voe, enhancing both UK capability and competitiveness in oil and gas decommissioning and in supporting offshore wind developments.
· Expanding and strengthening the local supply chain.
· Pursuing positive discussions with wind farm developers.
· Stepping up efforts to reduce carbon emissions, both in port operations and co-operation with third parties to meet net-zero goals.
· Resumed networking post-Covid including exhibiting at All-Energy, Offshore Europe and, for the first time, Floating Offshore Wind.
Captain Grains said: “We are planning for the future with increasing confidence, given the port’s recovery from Covid and return to pre-pandemic levels of activity, with more vessels and tonnage coming through.
“Diversity of sectors has always been a hallmark of operations at the port and renewables are adding another strand, expanding our contribution to the UK’s energy mix. There is clear potential for the port to have a major role in the development of the NE1 wind farm sites to the east on Shetland’s doorstep.”
The renewables market is also expected to eventually deliver decommissioning projects for Lerwick, which has an established reputation for dismantling and recycling oil and gas structures.
More than 130,000 tonnes of material have already been processed through the Dales Voe and Greenhead bases with the international partnership of Veolia and Peterson in the lead role.
Captain Grains commented: “The renewable industry’s interest is a further boost for our UDWQ project for which the Scottish Government has awarded £9 million towards costs through the UK/Scottish Governments’ Islands Growth Deal.”
The 100-metre quay will have an initial water depth of 21m alongside, with an option to dredge to 24-25m, plus additional laydown.
The UDWQ supports the ambitions of the Shetland Islands Council-led ORION project to transform Shetland into a world-leading green energy island. The port authority joined as a strategic partner in early 2023.
Lerwick’s decommissioning capabilities are being enhanced by newcomer Phoenix Decom which has expanded from the Scottish mainland with a purpose-built, fully licensed facility for the handling of subsea decommissioning waste at Greenhead.
GAC UK’s local ship agency team recently supported Phoenix Decom by providing various vessels involved in an offshore decommissioning project. It was also appointed by the main turbine contractor to support vessels delivering components to Lerwick for the onshore Viking Energy Wind Farm (VEWF).
The 103 Vestas turbines for the £580m VEWF, owned by SSE Renewables, arrived earlier this year in 21 shipments via Greenhead Base with its quayside working areas and adjacent laydown. Consignments were handled by Peterson.
Recognising the scale of challenges, four leading firms in the local supply chain have joined forces as NORN Shetland Engineering Alliance to provide cost-effective partnering for engineering, fabrication and logistics support on large projects.
*Lerwick Port Authority’s latest Energy bulletin on activities will be available on its stand 3G30 at Offshore Europe, stand
A57 at Floating Offshore Wind in October, both Aberdeen, and online at
lerwick-harbour.co.uk/bulletins