Viking Supply Ships Sells Three Icebreaking AHTS

barents sea drilling
The Tor Viking working the Polar Pioneer drilling rig at the Johan Castberg field in 2011. File photo: Harald Pettersen/Equinor

Viking Supply Ships announced Friday it has sold three icebreaking AHTS Tor Viking, Balder Viking and Vidar Viking to the monarchy of Canada as the weak offshore market continued in the first half of 2018.

Adding to its woes, Viking Supply Ships also revealed that it will report a first half-year net loss of $40 million from a $12 million loss from the sale of three PSV’s , a write down of book values on the remaining two PSV’s of $8 million and an operating loss of $20 million.

In addition, Viking expects to book a loss of approximately $18 million in relation to the planned sale of the AHTS Odin Viking, which is expected to be booked in third or fourth quarter, although a contract has not yet been entered into.

“The offshore supply market was very disappointing throughout the first half year, and the very weak market has caused both fixture rates and utilization to remain on unsatisfactory levels,” the company said in a statement.

Following the sale of the three AHTS’ to Her Majesty the Queen in Right of Canada, Viking’s fleet will consist of three Ice-1A and one Ice-1A Super classed AHTS, one regular AHTS (Odin Viking) and two PSVs. Viking notes, however, that Odin Viking and the two PSVs are being actively marketed for sale. 

“VSS will maintain its core competence operating in harsh environment, and through the contract with The Swedish Maritime Authority, VSS will also maintain its icebreaking competence,” the company said.