Equinor ASA EQNR has awarded a long-term subsea inspection, maintenance and repair (IMR) contract to DeepOcean, a subsea services provider based in Norway, to support its operational activities in the Norwegian Continental Shelf and other parts of Europe. The contract spans eight years, commencing in 2027 and running through 2035.
Details of the IMR Contract
Per the terms of the contract, DeepOcean will deploy a team of subsea engineers to use their knowledge and expertise in subsea operations, alongside a subsea tool pool. The team will also implement remote operations technologies for its tasks. Furthermore, DeepOcean will bring in a new vessel for the contract with EQNR, chartered from Rem Offshore.
Features of the Vessel
The newbuild vessel, named Rem Ocean, shall boast dual-fuel engines, enabling it to run on both bio-methanol and biodiesel. The vessel is equipped with a battery energy storage system and regenerative energy systems for effective utilization of energy. Rem Ocean will also boast a powerful electric crane capable of lifting up to 250 tons and two electric WROVs contained in hangars. The outside deck area in the vessel spans 1,000 square meters, while the hangar area inside the vessel is expected to have an area of 350 square meters. Rem Ocean will also feature an Autonomous Inspection Drone ("AID"). The AID provides advanced subsea asset inspection capabilities to the vessel.
DeepOcean's Commitment to Sustainable IMR Operations
The contract with Equinor marks a milestone for DeepOcean as it shall set a new industry standard for sustainable IMR operations. This long-term contract enables DeepOcean to invest its resources in the next generation of subsea services offered to Equinor.
Speaking of Rem Ocean, DeepOcean mentioned that its environmental impact will be substantially lower compared to the other IMR vessels in use. The vessel is expected to reduce emissions by 90% while operating on bio-methanol and by 30% while operating on other conventional fuels, relative to existing IMR vessels. Additionally, the vessel will also be streamlined for remote operations, reducing the need for offshore project crews.
EQNR’s Zacks Rank and Key Picks
Currently, EQNR carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the energy sector are Smart Sand, Inc. SND, FuelCell Energy FCEL and Nine Energy Service NINE, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Smart Sand is a low-cost producer of high-quality Northern White frac sand, an ideal proppant for hydraulic fracturing and various industrial applications. The company provides proppant and other logistics services for several companies in the oil and gas industry. With sustained oil and gas market demand, SND is expected to see growing demand for its services, providing a positive outlook.
FuelCell Energy is a clean energy company offering low-carbon energy solutions. It produces power using flexible fuel sources such as biogas, natural gas and hydrogen. The company designs fuel cells that generate electricity through an electrochemical process that combines fuel with air, reducing carbon emissions and minimizing the environmental impact of power generation. As such, FCEL is anticipated to play a crucial role in the energy transition by enabling industries and communities to shift from traditional fossil fuels to low-carbon alternatives.
Nine Energy Service provides onshore completion and production services for unconventional oil and gas resource development. The company operates across key prolific basins in the United States, including the Permian, Eagle Ford, MidCon, Barnett, Bakken, Rockies, Marcellus and Utica, as well as throughout Canada. With a sustained demand for oil and gas in the future, the need for NINE’s services is anticipated to increase, which should position the company for growth in the long run.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.1% per year. So be sure to give these hand picked 7 your immediate attention.
FuelCell Energy, Inc. (FCEL) : Free Stock Analysis Report
Smart Sand (SND) : Free Stock Analysis Report
Nine Energy Service, Inc. (NINE) : Free Stock Analysis Report
Equinor ASA (EQNR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
