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    Clarksons Register shows large numbers of PSVs/supply vessels still to be delivered

    Publications // August 14, 2015

    Clarkson Research Services Ltd (CRSL) says the large orderbook in the PSV/supply sector is expected to result in relatively high numbers of deliveries in the near term.

    In the latest issue of its Supply Vessel Register, Fifth Edition, 2015, CRSL says there are still 273 vessels of this type on order.

    "This has the effect of compounding the problem of low vessel demand the fleet is currently experiencing. The combination of lower demand and a relatively high pace of new deliveries leaves a challenging outlook for utilisation in the fleet," said CRSL.

    As it noted, attempts to halt the decline of utilisation have been made by vessel owners. Initially, some owners have sought to delay vessels currently on the orderbook, preventing them from being delivered and increasing the size of the fleet further.

    In some cases orders which are at an early stage of construction have been cancelled outright, but some owners will have already made too many vessel payments to cancel the delivery of a vessel altogether.

    "The price of oil, which has fallen dramatically over the last 12 months, has reduced spending amongst oil companies and demand for PSVs has fallen significantly as a result," said CRSL. "The level of newbuild ordering for PSVs, particularly larger units, has been relatively high in the recent years prior to 2015. As a result the current PSV orderbook is large and the delivery rate of units throughout 2015 and 2016 is expected to remain relatively strong albeit some delays and cancellations at shipyards are expected."

    The register can be ordered from CRSL's online store:

    http://www.crsl.com/

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