Norwegian offshore drilling contractor Odfjell Drilling has made an investment in Oceanwind AS with the goal of securing a controlling position in the floating wind power company. According to the Norwegian offshore drilling contractor, the move will support it on a path to zero-emissions drilling through projects that would connect its rigs to floating wind farms.

“Developing solutions to connect our rigs to offshore wind installations is one possible road to zero emission drilling. With ownership in Oceanwind, we are well positioned to make it a reality”, said Per Lund, EVP Technology & Sustainability of Odfjell Drilling. A long-term goal for Oceanwind is “to own and operate harsh environment floating offshore wind turbines” and, according to the two companies’ press release from 27 August, both believe that partnering is a winning combination for further commercialising offshore wind energy. “Our objective is to create value for our shareholders and society by leveraging almost five decades of competence in operating floating assets in harsh environments to develop a solid concept within offshore wind together with Oceanwind’s founders,” commented Simen Lieungh, CEO of Odfjell Drilling AS.

Oceanwind AS has been founded by a team that was part of Sway, a Norwegian technology developer that tested the Sway turbine in 2010/2011. Odfjell’s plan to obtain a majority stake in Oceanwind is subject to the successful completion of the contemplated equity tranches.

REGlobal’s Views: The move reinstates the trend of oilfield service providers diversifying beyond oil and gas development projects and moving increasingly into renewable energy projects. This shift is driven by contractors seeking opportunities outside of exploration and development activities in oil and gas. It is also the result of large budget cuts in the upstream market, which have been greater than midstream market budget cuts, shifting the overall investment profile of the market space.