Essar Shipping provides end-to-end sea transportation and contract drilling services.
The company has structured its operations under two verticals:
- Sea transportation business
- Oilfield services
The company’s sea transportation business division offers integrated transportation management and logistics solutions to global oil majors and the energy, steel and power industries. It provides crude oil transportation, transportation management services and integrated dry bulk transportation services.
In the energy transportation segment, Essar Shipping has the credentials of serving all global oil majors based in the Americas, the Middle East, Europe and Asia. In dry bulk commodity transportation, the company’s clientele includes the world’s leading players in the manufacturing and minerals sectors. The company was the first Indian shipping company to obtain the International Safety Management (ISM) code for bulkers and tankers. The company is ISO 9001:2008, 14001:2004, 18001:2007 certified and has received several awards for safety and quality.
The current fleet strength of 12 ships includes double-hull, double-bottom VLCC, six mini Capesize vessels, two Supramax vessels, one Panamax vessel and two handysize bulk carriers with a combined capacity of 1.12 million DWT.
Essar Shipping has 4 Supramax vessels (54,000 DWT each) on order, with delivery scheduled in 2020. The company is looking to add a Panamax vessel and MR Tanker to its fleet in FY2018-19, which will increase its total tonnage to 1.25 million DWT. The plan is also to diversify its fleet to bring more balance between bulk and liquid cargo
The company adopts the policy of entering into long-term , medium –term and spot market contracts with reputed global oil and industrial majors, thereby ensuring assured cash flows and long-term profitability of the company, as well as hedging the company against spot market volatility and industrial cyclicality.
Essar Shipping, through its subsidiaries Essar Oilfields Services Ltd (EOSL) and Essar Oilfield Services (India) Ltd. (EOSIL), provides quality onshore and offshore drilling services to international clients. The company owns and operates a fleet of 16 rigs, which includes one offshore semi-submersible rig, the Essar Wildcat, and 15 onshore rigs.
Essar Wildcat is a third-generation semi-submersible offshore rig, which is rated to work in water depths up to 1650 feet and has a drilling capacity of 25,000 feet. Equipped with 18-3/4 inch 15K BOP, it can drill High Pressure High Temperature (HPHT) wells, with a crane capacity of 75 MT, while accommodating 135 persons.
The company’s contracted revenue is based on long-term contracts with domestic and international clientele, catered to by a diversified mix of assets. The onshore rig fleet comprises mobile rigs and land rigs; with capacities varying from 250 HP to 2,000 HP.
Essar Oilfield Services (India) Ltd (EOSIL) has entered into a contract with ABG Shipyard, Dahej (Gujarat), for the construction of two new jack-up rigs. The JU-2000A rigs are state-of-the-art rigs and have been designed by Freide & Goldman Limited, USA, one of the world’s leading designers of mobile offshore drilling and production units in the world.
The rigs will be built in accordance with the stringent rules and standards set by the American Bureau of Shipping (ABS) relating to the safety of life and property at sea. The rigs are designed to operate around the year and across the globe.
These rigs will have the capacity to operate at depths up to 350 feet, drill into the seabed up to 30,000 feet and be able to withstand harsh conditions. The main features of the design include increased storm criteria, extended cantilever reach, and a lightweight and efficient drilling package.