Edda Wind says the offshore wind industry will need more than 250 SOVs by 250, excluding China (source: Edda Wind)
Leading service operation vessel (SOV) owner Edda Wind says it is continuing to experience strong growth and that demand for SOVs has increased significantly in the short time since its Q1 2022 results were announced
Reporting its Q1 results in May 2022, the company said the SOV segment would need more than 200 SOVs by 2030.
Now, reporting results for Q2 2022, Edda Wind raised that estimate saying, “There is a strong demand growth, for an estimated 250+ vessels required by 2030, excluding China. This far exceeds existing tonnage and the orderbook of a total of 49 vessels.”
In a presentation about its Q2 2022 results, Edda Wind said the number of turbines to be installed offshore is the primary driver of demand for SOVs. This number is growing particularly rapidly, but SOV supply is limited, so many more new ships will need to be built.
As Edda Wind also noted, and as highlighted by OWJ on many occasions, the market is increasingly turning to customised, purpose-built newbuilds and vessels with exacting green credentials.
The company said the fast-expanding SOV market and demand growth has further increased the value of the SOVs it already has under construction. It expects rates for SOVs to increase as oil and gas tonnage exits the offshore wind market.
Edda Wind said fleet utilization in Q2 2022 was 99.6%. The Norwegian company has seven vessels under construction of which one was ordered in Q1 2022, bringing its total fleet up to nine purpose-built vessels by mid-2024.
All of its newbuilding orders are at firm and attractive prices with a delivery schedule well-aligned with growing demand.
