Indian offshore companies Greatship India, Great Offshore and Essar Shipping set sights on emerging

Posted By: Religare
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Indian offshore companies bet on emerging market
Many Indian companies like Great Offshore, Essar Shipping and Global Offshore are investing in emerging oil exploration markets like Brazil by acquiring vessels. While Great Offshore plans to raise its total fleet, which currently stands at 47, Global offshore will buy two global vessels to add to its fleet next year at a cost of INR 5 billion.

Greatship India is another major player and intends to add 9 more vessels to its existing fleet of 19, thus taking the total to 28.

“The demand for vessels in Brazil is as much as 500 in the coming years and there is a market in excess of $30 billion, which can be tapped by Indian companies," said the MD of a leading domestic offshore player.

Greatship India was awarded a five-year contract by Petrobras in collaboration with Fugro, estimated to be worth INR 4500 million.

In another deal, Varun shipping recently signed a four-year contract with Petrobras for three anchor handling towing and supply vessels, valued at INR 6900 million.

While India's offshore oil reserves are comparable to those of Brazil, Brazil leads India in exploration; its scale of operation being 8 times that of India on a relative basis.

Story first published: Tuesday, June 7, 2011, 9:30 [IST]
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