Singapore: OSV veteran Amandeep Singh is convinced the downturn has been beneficial for quality owners, as it has by default initiated the process of forcing lots of old tonnage out of the market.
The managing director and ceo of Marine Delivery (MDPL), a seven-year-old Singapore offshore firm, notes that many oil companies across the world have now started to demand for quality specifications and newer vessels as they have the upper hand.
“This is helping in phasing out the older tonnage,” Singh says, “and we can already see a lot of owners who have been holding on to them for long are now gradually moving to scrap them.”
He reckons this will have a gradual positive impact on the OSV markets.
Given this changed paradigm Singh warns: “All owners will have to be cautious on the specification and age of their fleet for survival.”
Singh, a master mariner with some 24 years experience in shipping, worked for a number of offshore support firms when he came ashore before founding Marine Delivery in 2007. He also serves on the board of CS Offshore.
Marine Delivery owns and charters a very diverse set of offshore support vessels.
On plans to grow, Singh says that the disadvantage of being headquartered in Singapore is that the country is not an oil-bearing country and as an offshore company Marine Delivery does not enjoy any cabotage rights compared to a number of other competitors.
“We need to step out and establish various new establishments in such countries with local partners,” he says, while adding that he intends to spend some time coming up with various shipyards and naval architects to ensure the company’s future vessels are well suited as much as possible to absorb any future downturn. [12/09/14]