Knutsen NYK Offshore Tankers orders two DP-2 shuttle tankers

Offshore staff

ABERDEEN, Scotland -- Knutsen NYK Offshore Tankers has entered new long-term charters with a subsidiary of BG Group to provide shuttle tanker services in Brazil. The contract with BG will be serviced by two newbuild Suezmax-size DP-2 shuttle tanker to be constructed by Hyundai Heavy Industries in South Korea.

Upon delivery in 2016, the vessels will operate under long-term time-charters. If BG declares all extension options, the vessels could operate under the charters for up to a maximum of 20 years.

For a period of one year BG will also have the option to increase the number of shuttle tankers to three or four in total at similar terms. Pursuant to the omnibus agreement between Knutsen and KNOT Offshore Partners LP requiring KNOT to offer to KNOP vessels with contracts longer than five years, KNOP will have the option to acquire the vessels at fair market value from Knutsen following the charterer’s acceptance of the vessels.


Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...