Drilling services company Archer enters wind sector with acquisition of Moreld

Drilling and offshore services provider Archer Limited is acquiring 100 percent of the shares in Moreld Ocean Wind AS (MOW), a provider of floating offshore wind solutions, including a minority stake in US-French technology company Ocergy Inc (OCY).

The acquisition is being carried out under an agreement with Remold Invest AS, Archer said in a press release. Financial details were not disclosed.

With around 30 engineers based in Norway, MOW provides project management and engineering for the production and assembly of floating wind turbine substructures. The lightweight floating substructures, developed and designed by OCY, are suitable for series production, as the modules are prefabricated and assembled in ports or shipyards close to the location where the wind farm will operate according to the release.

Archer noted that MOW is currently engaged in a number of studies, front-end designs and engineering contracts on behalf of some of the world’s largest energy companies and has been selected as a preferred supplier by several wind farm developers for future tenders for wind farm projects.

“With this acquisition, we are strengthening our energy services portfolio and supporting our energy customers’ ambitions in the energy transition,” said Archer CEO Dag Skindlo. “Several of our oil and gas customers have commitments and plans for floating offshore wind farms, and it is natural for Archer to position itself in this segment to support our customers’ ambitions. MOW’s existing business and customer portfolio is attractive and provides opportunities for future growth. MOW will also benefit from Archer’s offshore expertise, around 300 engineers and project execution capabilities.”

“The floating offshore wind market is still in its infancy but is expected to grow over the coming decades. This acquisition gives us an attractive entry point to capitalize on these market changes. We have a flexible approach to how we can best structure and grow the business in the future,” Skindlo added.

Extension of P&A agreement with Equinor

Meanwhile, Archer has received a two-year contract extension from Equinor Energy AS in the North Sea.

The contract includes plugs and abandonment, fish catch and mechanical isolation equipment for the well. Based on current activity levels, the additional backlog is estimated at $60 million for the 24-month period that began in June.

“We are pleased to continue our Well Services operations for Equinor in the North Sea. P&A (plugging and abandonment) services are a key part of Archer’s strategy and we look forward to continuing to provide our customers with cost-effective, efficient and innovative P&A solutions in the future,” said Nicholas Pantin, executive vice president of Archer Well Services, in an earlier statement.

Archer, headquartered in Norway, provides drilling and well services to the global energy industry. The 50-year-old company employs 5,000 people worldwide and operates in more than 40 countries, providing sustainable services and innovative technology to optimize its customers’ energy solutions.

Archer drilling teams support production on more than 30 drilling platforms in the North Sea and Brazil, and own two modular drilling platforms. In addition, the company operates more than 60 mobile drilling platforms in Latin America. The company’s comprehensive drilling and workover services include platform services, onshore drilling and well services. Its well services division provides Archer’s state-of-the-art technology for well suspension, shut-in and abandonment, decommissioning, leak detection and well imaging worldwide.

Archer drilling specialists use their experience and the right tools to improve well quality, integrity and performance, extending the productive life of your critical assets.

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