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Scan faces wait as newbuild vessels hit by delay



By Upstream staff 

NORWEGIAN seismic specialist Scan Geophysical will take delivery of a trio of newbuild seismic vessels three months later than originally planned, writes Iain Esau.

Based on updated schedules from ABG Shipyard in India, the three vessels will now be delivered on 30 June 2008, 30 September 2008 and in February 2009.

Scan said that during the third quarter, the Gujarat-based shipyard has been hit by capacity problems and increased lead times from its suppliers. The yard previously told its client that the slippages would be clawed back but it cannot provide any such guarantees now.

Scan, which reported a net profit for the third quarter of Nkr17.9 million ($3.3 million), said the delays have been caused by scarce engineering capacity and the late delivery of some technical drawings and equipment parts.

The three vessels will each be designed to handle up to eight 10-kilometre streamers. Scan operates a single 2D vessel, currently working off Pakistan for BP, and one 3D unit, operating for PDVSA in Venezuela.

It is also due to take delivery of its harsh environment Scan Stigandi vessel.

Commenting on the market outlook, Scan’s board said this week that the backlog is strong for its current fleet and the market is showing significant interest in its new vessels.

“The seismic industry is experiencing increasing rates and industry analysts expect these to continue to increase throughout 2008, a view shared by Scan,” the company said.

It said crew costs are likely to increase in the next 12 to 18 months based on new vessels being delivered to the market.

In addition, high demand will maintain or increase the price of seismic equipment while ongoing consolidation in the seismic industry “is considered positive for the market rates”.


Friday, 23 November, 2007, 06:24 GMT  | last updated: Friday, 23 November, 2007, 06:24 GMT

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