Farstad Shipping, the listed Norwegian offshore services vessel owner, is to lay up five ships in an anticipation of further weakening of the market.
A company statement said Farstad planned to lay up two platform supply vessels (PSVs) and three anchor handling tug supply (AHTS) vessels in Norway due to an expected further weakening of the offshore market. About 100 offshore employees, mostly Norwegian, will be laid off, it said.
Farstad, which has a fleet of 63 vessels, had previously laid up two vessels in Norway and two in Asia.
“To lay up vessels and lay off our employees is a painful measure, especially for those of our employees who are personally affected,” said CEO Karl-Johan Bakken. “This is deeply regrettable, but necessary due to the current market situation.
“Even if it looks dark now, we know there will be better times. We have been through heavy storms before. My number-one target is to see us return to a strengthen position with our vessels and employees back in business,” Bakken added.