Relocating a drillship requires careful planning and execution, according to Richard Wells, International Logistics Manager at Stena Drilling, who provided insight into this complex process.
“When I first joined Stena Drilling, it was made very clear to me that we must remember that we are guests in a country and must respect and support the countries we work in. I am often the first person people meet from Stena Drilling, and first impressions count,” he said.
The process begins with a tender phase, where commercial, financial, and operational teams evaluate the potential location. This includes assessing legal and financial risks, regulations, taxes, and insurance. If Stena Drilling secures the contract, an Operations Engineer is assigned as the liaison, and Richard travels to assess local infrastructure and logistical needs.
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Setting up operations in a new country requires vetting local suppliers to ensure they align with Stena Drilling’s standards. This process includes background checks and contract agreements, emphasizing anti-bribery and corruption policies to ensure ethical compliance.
The importation of the drillship can take varying amounts of time depending on the country. In nations with strict regulations like Canada and Ghana, the process can take six to nine months. Countries with less developed regulatory frameworks may complete the process in 60 to 90 days, though challenges may arise from inconsistent regulations. The physical import of the rig may involve helicopter transfers for customs, immigration, and environmental officers to ensure smooth entry.
Multiple departments are involved in the rig relocation. The finance team manages taxation and corporate setup, while operations handle drilling needs and permitting. Human Resources oversees international and local employment, and marine teams manage the vessel’s physical movement. Security and environmental teams ensure compliance with legal and safety requirements.
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Moving a rig across international borders requires careful navigation of environmental and legal regulations. In Israel, for example, hull cleaning is required before entry, while other countries have strict waste disposal rules. Stena Drilling works closely with clients, agents, and local authorities to ensure full compliance.
Each relocation presents unique challenges, from unfamiliar regulatory landscapes to cost-effective logistics. Richard, who has completed around 50 relocations, finds the job rewarding despite its challenges. “I am unlikely to meet the Secretary of Energy in the UK or the U.S., but in many of the countries we operate in, I get to meet and work with some very interesting people, which can be challenging but always insightful.
