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  • Writer's pictureSarah Whiteford

Jones Act decision and new SOV, contracts, Rosneft bp collaboration

It’s Good News Monday!

This Monday we talk about:

  1. U.S. Customs and Border Protection Expressly Applies Jones Act to Offshore Wind Projects in U.S. Waters

  2. Norwegian owners win contracts in North Sea oil and renewables

  3. New Jones Act SOV Design Unveiled

  4. Tullow Picks Maersk Drillship for Ghana Offshore Drilling Campaign

  5. Rosneft and bp agree to cooperate on carbon management and sustainability

United States flag and wind turbine. Image Credit: gCaptain

Holland & Knight Law Firm reports U.S. Customs and Border Protection (CBP) found the Jones Act applies to offshore wind projects on the U.S. Outer Continental Shelf. “The ruling expressly found that the Jones Act applies to transportation of merchandise from a U.S. port to a location on the outer continental shelf for the purpose of the development and production of wind energy.” This ended any ambiguity on whether it applied to devices attached to the outer continental shelf.

Eidesvik PSV Viking Prince. Image Credit: Riviera.

Eidesvik Offshore will supply the Viking Prince for a time charter to Aker BP for drilling in the Norwegian sector starting in April 2021 for at least 120 days.

Siem Offshore will be sending the Siem Stingray for a six month contract in the offshore renewables sector. “It claims to be a leading actor within this segment as it has completed more than 200,000 personnel transfers to offshore windfarms to date, deploying its versatile vessels on projects run by operators such as GE Renewable Energy, Siem Offshore said.”

Solstad Offshore will be completing more offshore renewables work for MHI Vestas with the Normand Fortress. It will support walk-to-work operations starting in March 2021 for at least 140 days.

Jones Act SOV render. Image Credit: Offshore Engineer.

With the United States’ new offshore wind industry, plenty of Jones Act vessels will be needed to build and service these new facilities. Technology Associates, Inc. (TIA), in New Orleans is developing new service operation vessels, or SOVs using diesel-electric hybrid propulsion, called EnviroMax. They will have twin azimuth power and be offered in three sizes: small, medium, and large. The DP2 vessels have over 30 days of endurance and can reach 27 meters above sea level. Larger vessels have a hospital, gym, and helicopter landing pad.

Maersk Venturer drillship. Image Credit: Offshore Engineer.

Maersk Drilling has received a conditional letter of award from Tullow for work at the TEN and Jubilee offshore oil fields in Ghana. Work is expected to start in Q2 2021 with a total contract value of $370 million. After 18 months, the contract will shift to a day-rate structure. According to Jørn Madsen, Maersk Drilling CEO, "We’re delighted to get this opportunity to secure a long-term contract for Maersk Venturer, as Tullow once again shows confidence in Maersk Drilling’s ability to deliver stable and highly efficient operations to their major development projects in Ghana. This also means that we will be able to continue our work with the Ghanaian community and local suppliers who have previously contributed to our West African operations.”

Image Credit: bp.

A Strategic Collaboration Agreement has been signed by Rosneft Oil Company and bp to support carbon management and sustainability at both companies. With goals to deliver more energy with less carbon, both companies have formalized the agreement to work together to identify new low carbon solutions to support their goals. “Rosneft and bp will also jointly evaluate new projects envisaging the use of renewables, ‎opportunities for carbon capture, utilisation and storage (CCUS), as well as developments for ‎hydrogen.

The companies intend to work together on opportunities for low carbon solutions in downstream ‎businesses, including the development of advanced fuel as well as evaluate the potential for the ‎development of natural forest sinks and trading of forest carbon-offsets credits. The companies will ‎cooperate in sustainable development and social investment, including biodiversity.”

Image Credit:

Amanda Lefton will be the director of the Bureau of Ocean Energy Management. The agency handles offshore wind development. "New York Offshore Wind Alliance executive director Joe Martens said: 'As a key advisor to Governor Cuomo, Ms Lefton was instrumental in the development and passage of two nation-leading laws: the Climate Leadership and Community Protection Act (CLCPA) and the Renewable Energy Growth and Community Benefit Act.'"

Smile, it’s Good News Monday! :-)


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