Subsea 7 and Eidesvik Get a Boost from $300 Million Contract Extension

Image via Eidesvik

Since she was delivered from the shipyard in 1999, Eidesvik’s multi-purpose support vessel, Subsea Viking, has been on continual contract with global subsea engineering and construction company, Subsea 7.  On Friday, Subsea 7’s client, BP, announced that they have extended their contract with Subsea 7 for subsea construction and IMR* services in the North Sea, and as part of that contract, Subsea 7 will continue to deploy the Subsea Viking.

The five year contract extension is valued at approximately US$300M and will run until 2017.

Under the terms of this contract the Subsea Viking will be deployed to provide support services primarily for BP’s operations in the Foinaven and Schiehallion fields, west of Shetland, as well as support for BP assets elsewhere in the North Sea.

Trevor Garlick, Regional President BP North Sea, said: “We are continuing to invest heavily in our core North Sea assets and local contractors in the north east of Scotland are playing a vital role supporting this strategy. We look forward to continuing to work with Subsea 7 in safely maintaining our existing and new subsea infrastructure.”

Steph McNeill, Subsea 7’s Vice President UK and Canada, said: “We are delighted with this significant award from BP which will secure 100 UK jobs. Subsea 7 has successfully supported BP’s operations in the very challenging deep water environment west of Shetland since 1998 and today’s announcement will see that relationship continue for at least a further five years.

“This award highlights our proven track record for safely delivering successful specialist Life-of-Field operations in one of the harshest offshore environments. Subsea 7 has accumulated a considerable understanding of the unique challenges of working in this environment enabling us to develop and implement innovative technology.”

The Foinaven and Schiehallion fields lie within 15 kilometers of each other and are located approximately 175km west of Shetland, in water depths of between 350 to 450 meters.

Subsea 7’s contract with Eidesvik for use of the Subsea Viking has been extended for a period of 5 years, starting from 1st of January 2013, and in addition, Subsea 7 has an option for further one 2 years extension of the contract.

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