V.Ships Awarded Sakhalin Tankers Contract

Primorsk Shipping Corporation of Nakhodka (PRISCO) has awarded V.Ships a contract for the full technical management of three ice-class tankers. These vessels will be on long-term time charter to the Sakhalin-1 Consortium for operations in Phase 1 of the Sakhalin-1 Project, operated by Exxon Neftegas Limited, a subsidiary of ExxonMobil.

Following a call for tenders from Exxon Neftegas Limited in November 2002, for a series of five new building ice-class shuttle tankers, V.Ships Consulting was hired by PRISCO to assist them in it’s bid to build these aframax size vessels. This assistance included development of the vessel specifications and assistance in reviewing the shipyard offers. It is understood that over 20 bidders were considered initially by Exxon Neftegas Limited

In April 2003, PRISCO was confirmed as having won three of the five new building charters, with Sovcomflot, the State-owned shipping company having won the remaining two contracts.

Subsequently, V.Ships Consulting has been assisting both owners with negotiations at the preferred shipyard, Hyundai Heavy Industries, and in monitoring the ice trials of a scale model of the tanker at a special facility in Hamburg. All five vessels, which are based on an ice performance optimised 105,000 tonne deadweight HHI “Aframax“ design, with a number of further special features to meet ExxonMobil’s exacting requirements, especially the harsh climatic conditions of the region, are scheduled to be operational by the season starting in the year 2006. V.Ships Consulting will be undertaking drawing approvals for the vessel design, and will have a team in the shipyard in Korea to undertake new building supervision alongside the owners’ technical teams. When delivered, V.Ships Asia, based in Singapore, will provide technical management for the Prisco vessels. Martin Stafford, Managing Director of V.Ships Consulting comments:” We are delighted to have made a contribution across the board for this important owner. It demonstrates the way in which a large marine services company, like V.Ships, can support owners from project conception right through to operations.” Editors note: - The Sakhalin-1 Project includes the Chayvo, Odoptu and Arkutun Dagi fields, located off the northeast coast of the Sakhalin Island in the Russian Far East. Total recoverable reserves from the Sakhalin-1 Project are quoted as being 2.3 billion barrels of oil and 485 billion cubic metres of natural gas.