Equinor’s charter of Remøy vessel includes potential upgrade to run on ammonia

Norway’s energy giant Equinor has inked a long-term deal with Remøy Shipping for one of its platform supply vessels (PSVs), leaving room for a potential upgrade of the vessel to operate on ammonia, in a bid to help the state-owned player lower its carbon footprint and reach its emission reduction goals.

Remøy Shipping informed last Friday that it had been awarded a five-year charter with additional three one-year options by Equinor for the PSV Rem Eir. This vessel has been on successive term contracts with the Norwegian giant since delivery in 2014. The vessel owner explains that this charter – for operations in the North Sea – will start in direct continuation of the current contract, on 28 May 2022.

Karl-Johan Bakken, CEO of Remøy Shipping, remarked: “This new contract is the result of the hard work and dedication from our crews and employees over many years. We are pleased to see that Equinor recognize our long-term commitment for improving safety of our operations and reducing the environmental footprint.”

According to Remøy Shipping, the PSV Rem Eir is one of the most efficient and environmentally friendly vessels currently operating in the North Sea. It is equipped with LNG dual-fuel engines and a hybrid-electric system.

“This new contract will contribute to Equinor’s goal to reduce carbon emission from maritime operations by 50 per cent within 2030 and includes a potential conversion of REM EIR’s machinery to operate on ammonia. As such, the close cooperation between Equinor, Remøy Shipping and Wärtsilä pave the way for further developing new zero-emission technologies for offshore vessels and we appreciate the opportunity to take part in this exciting journey,” added Bakken.

Back in 2021, the company signed a collaboration agreement with Wärtsilä for the purpose of developing zero-emission solutions for the vessel’s power system and the new Equinor charter includes a potential upgrade of the vessel’s machinery to use ammonia as fuel, based on the firm’s statement. Remøy Shipping sees this as an important step towards reducing emissions from maritime operations.

“Quality operations and assets are a key part of our service offering. Our PSVs are amongst the most modern and environmentally friendly in the North Sea,” concluded Bakken.

Remøy Shipping’s fleet consists of a navy vessel Magnus Lagab∅te and three PSVs: Rem Hrist, Rem Mist, and Rem Eir. The firm claims that these PSVs were built according to Equinor’s specifications and have been chartered to the energy major since their delivery, while the navy vessel is chartered to the Norwegian Navy.

When it comes to Equinor’s latest activities, it is worth noting that the state-owned giant and the country’s government this week worked out a plan to maintain high gas exports to Europe and meet the demand amid supply concerns exacerbated by the Ukrainian crisis.

In a statement on Wednesday, the Norwegian player explained that increased production permits allow the high gas production from three fields to be maintained through the summer months.