Expanding its premises to serve forthcoming exploration drillings offshore the Faroe Islands, Atlantic Supply Base is likewise looking to extend its services to West of Shetland and Atlantic Margin operations.
Atlantic Supply Base in Runavík, the only supply base in the Faroe Islands, has been awarded the contract to serve as supply base for forthcoming drilling operations on the Faroese Continental Shelf, the first of which is the seventh drilling to date — the Anne-Marie well — due to start in the summer of 2010.
The company’s performance in connection with past drillings has been praised by operators, one of whom stated in a survey: “ASB performance on the William Well was exemplary in terms of HSE [health, safety, environment] and Operational performance. Zero incidents or rig down time experienced. The entire Faroes Team embraced the... Safety culture with enthusiasm and energy always looking to go, and going the extra mile to satisfy the offshore customer.”
Following transport and logistics provider Faroe Ship’s closure of its Runavík warehouse and offices, Atlantic Supply Base has purchased a large hall at the cargo terminal there to accommodate indoors warehousing as well as office and conference facilities for oil companies, logistics, and rig operators.
A new terminal was built there in 2001, when oil and gas exploration commenced in the Faroes, to accommodate offshore activities with an outdoor storage area and a bulk and mud plant.
Having increased its capacity considerably — as a maritime agent for major rig owners, and with solid experience in supporting offshore oil and gas operations in the Faroe Islands — Atlantic Supply Base is today in a position to offer its services to areas beyond the territorial borders of the Faroes, says managing director Eli Lassen.
“We were certified according to the ISO 9001:2000 quality standard two years ago and we have built a reputation for providing an excellent service to the offshore industry. At the same time, we’re now better equipped than ever in terms of warehousing and office and conference facilities.”
Yet overcapacity has been an issue. In response to this challenge, Atlantic Supply Base is looking to extend its services beyond Faroese territory to the surrounding Atlantic Margin areas.
“Activities in the Faroese Continental Shelf are still very limited,” Mr. Lassen says. “What we should consider, however, is that the Faroes are located strategically in relation to oil and gas fields in the UK Continental Shelf as far as concerns operations West of Shetland and elsewhere in the northern North Atlantic including northeast Iceland.”
‘Several advantages’: Would Atlantic Supply Base be able to handle a serious increase in activities?
“We believe we would,” says Mr. Lassen. “We are now looking to expand our activities into the UK area and with the short sailing distance between our base and West of Shetland, operators can achieve considerable savings in terms of fuel consumption and CO2 emissions. This is further brought into relief with the competitive levels of cost in the Faroe Islands.”
Even as it continues to serve forthcoming activities, Atlantic Supply Base has served all exploration wells drilled until now on the Faroese Continental Shelf. The company was formed in 1999 with the main objective to provide integrated supply base services to oil companies engaged in offshore exploration and production in the North Atlantic.
The scope of the Atlantic Supply Base’s ISO 9001:2000 certificate is: “Supply base service in exploration phase. Receive, store, mix, and ship material (bulk and mud). Receive waste from the exploration area. Handling of gear and tools from the exploration area. Maritime agency.”
Main activities comprise quayside handling, storage, agency services, human resources, and handling of chemicals through subcontractors. The bulk capacity is 510 cubic meters for barite, 320m3 for cement, and 130m3 for bentonite and mud; the brine capacity is 5,000 barrels, and there is a 200-barrel mixing tank.
“We cooperate with other internationally recognized supply bases and service providers and comply with the international standards used in the oil and gas industry. The Port of Runavík is committed to provide the best possible framework for our operations, and part of their commitment is to continuously expand the harbor area as activities on the base increase.”
The Port of Runavík completed the first phase of an expansion program in 2002, when 4,000 square meters of harbor area and 100m of quayside with a minimum depth of 12m alongside were added to existing facilities.
“Runavík has several advantages,” Mr. Lassen says. “We’re located centrally in Faroe, it’s an unmatched natural harbor, and we’re well sheltered in all weather.”
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