**and the shell N.Sea contract goes to...
Thread Starter
Joined: Nov 2000
Posts: 423
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From: Scotland
**and the shell N.Sea contract goes to...
BRISTOW!
7 year contract (2 years + 5 year extension depending on introduction of new fleet, then another 3x1 year extensions), assures the work in Aberdeen, Norwich and Den Helder. New aircraft will eventually take over, in Aberdeen EC225, and for one gas it will be EC155b1.
7 year contract (2 years + 5 year extension depending on introduction of new fleet, then another 3x1 year extensions), assures the work in Aberdeen, Norwich and Den Helder. New aircraft will eventually take over, in Aberdeen EC225, and for one gas it will be EC155b1.
Last edited by simfly; 20th January 2005 at 14:30.
Thread Starter
Joined: Nov 2000
Posts: 423
Likes: 13
From: Scotland
212man, have you done a shell flight out of Aberdeen recently... "err, change of plan, no longer single stop, can you route a,b,c,d,e and if time, f & g?", but yeah, at least they'll have nicer kit to do it in even if limited to shell flights only- for the moment 
Tightgit
Joined: Dec 2003
Posts: 806
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From: The artist formerly known as john du'pruyting
212man, have you done a shell flight out of Aberdeen recently... "err, change of plan, no longer single stop, can you route a,b,c,d,e and if time, f & g?",
So, what's changed. It was like that 10 years ago when I was last there
Joined: Jan 2005
Posts: 33
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From: North Sea
Yeah well Bristow won the Shell contract, not really a major surprise and also not quite what it seems.
The contract itself is not really that important anymore. Shell are no longer the player they were on the North Sea. They are a pain in the arse to work for, interfere on every detail and have a level of arrogance that outstrips George W Bush.
As the contract goes on the number of aircraft will reduce as Shell do a BP and sell off assets. Norwich and Den Helder will go down to 1 or 2 aircraft each and slowly decline.
Don't get me wrong, I pleased for the guys at Bristow but the reality of it is not all that rosy.
The most important contract to win is the Talisman one. They are now the 3rd largest operator in the North Sea, spending millions on investment and are offering a 10 year contract.
Now whoever wins the Talisman contract are the ones who really have something to celebrate.
The contract itself is not really that important anymore. Shell are no longer the player they were on the North Sea. They are a pain in the arse to work for, interfere on every detail and have a level of arrogance that outstrips George W Bush.
As the contract goes on the number of aircraft will reduce as Shell do a BP and sell off assets. Norwich and Den Helder will go down to 1 or 2 aircraft each and slowly decline.
Don't get me wrong, I pleased for the guys at Bristow but the reality of it is not all that rosy.
The most important contract to win is the Talisman one. They are now the 3rd largest operator in the North Sea, spending millions on investment and are offering a 10 year contract.
Now whoever wins the Talisman contract are the ones who really have something to celebrate.
Joined: Jan 2005
Posts: 95
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From: Canada
Return to Sender - he who speaks of arrogance and then continues to question the value of other’s achievements must surely suffer a little from that disease themselves?
For sure the Shell volume may not be what it was in the past - but I’m sure Bristow aren’t complaining – in these times a customer is a customer!
Seven years is a long time and with the Middle East in a state of seemingly long term turmoil and industrial relations in the GOM perhaps not what they might be, $40+ a barrel might be around for a while...and that might just have an effect on Shell’s plans me thinks!
For certain the world does not stop at the far end of the runway at Dyce!
For sure the Shell volume may not be what it was in the past - but I’m sure Bristow aren’t complaining – in these times a customer is a customer!
Seven years is a long time and with the Middle East in a state of seemingly long term turmoil and industrial relations in the GOM perhaps not what they might be, $40+ a barrel might be around for a while...and that might just have an effect on Shell’s plans me thinks!
For certain the world does not stop at the far end of the runway at Dyce!
Nigerian In Law
Joined: May 2004
Posts: 1,199
Likes: 92
From: The stool at the end of the bar
Scots,
You are right, but so is return to sender, Shell are a s**t company if you are a contractor, believe me, after the end of the runway at Dyce they are intrusive, picky and generally arrogant and annoying. Why hire a contractor if you don't trust them to do the job you are paying them for ?
But having said that you are correct in that any job is better than no job. SAS has a point too, I wonder who will go from Bristow for under negotiating the terms ?
You are right, but so is return to sender, Shell are a s**t company if you are a contractor, believe me, after the end of the runway at Dyce they are intrusive, picky and generally arrogant and annoying. Why hire a contractor if you don't trust them to do the job you are paying them for ?
But having said that you are correct in that any job is better than no job. SAS has a point too, I wonder who will go from Bristow for under negotiating the terms ?
Joined: Aug 2003
Posts: 320
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From: In my house
ATPMBA
Bristow are the incumbent contractor. The bid only allowed the bidder to use EC equipment, EC225 and EC155. The S92 was not allowed.
SAS
I don't imagine that Bristow would have left much on the table with this one. There are few secrets with rates in the NS and also being the incumbent, they would have a good idea of Shell "thinking" and where the market is going for new equipment.
They did leave some on the table with the current contract and continually tried to raise the rates.
NEO
There are so few management left that it would be difficult to let anyone go right now!!
HH
Bristow are the incumbent contractor. The bid only allowed the bidder to use EC equipment, EC225 and EC155. The S92 was not allowed.
SAS
I don't imagine that Bristow would have left much on the table with this one. There are few secrets with rates in the NS and also being the incumbent, they would have a good idea of Shell "thinking" and where the market is going for new equipment.
They did leave some on the table with the current contract and continually tried to raise the rates.
NEO
There are so few management left that it would be difficult to let anyone go right now!!
HH
Joined: Jan 2005
Posts: 33
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From: North Sea
Interesting that Talisman wanted to wait until the Shell announcement. Makes you think that they don't want to work with Shell! Looks like Scotia will keep that one.
Talisman have the 40's, Montrose, Arbroath, Tartan and others...
Talisman have the 40's, Montrose, Arbroath, Tartan and others...
Joined: Apr 2002
Posts: 687
Likes: 1
From: Up north
R to S
Your info is erroneous.
40s - Apache
Mon/Arb - Paladin - Petrofac
Claymore/Tartan/Piper B and I think Buchan - Talisman.
The Oil companies will want to keep 3 Helicopter companies in the ring so don't expect massive contract changes unless a company comes in with a very cheap or too expensive tender.
HF
Your info is erroneous.
40s - Apache
Mon/Arb - Paladin - Petrofac
Claymore/Tartan/Piper B and I think Buchan - Talisman.
The Oil companies will want to keep 3 Helicopter companies in the ring so don't expect massive contract changes unless a company comes in with a very cheap or too expensive tender.
HF
Guest
Posts: n/a
CHC management are evidently amazed that Bristow have kept the Shell contract as they evidently went in with a very low bid to snatch away the work, even to the extent that it would be at a loss to them. Comments have evidently been made that as CHC were so low, how the heck did BHL get below them?!
BHL's new management have been saying for a while that they will only bid at a price where they can make a profit, and that if they lostg Shell, then it wouldn't be too big a deal as there will be a lot of work in the North Sea for the next 2-3 years.
Could it be that Shell didn't go for the lowest cost operator in this case, taking in to account that the lowest isn't necessarily the best value on such a long term contract? Look what happened the last time Shell went to the lowest cost, BHL had to renegotiate its rates a couple of years later, as I think CHC had to with some of its contracts.
Don't know what happened with the "Ebay" system that Shell have used this time, but could it be that the lowest bid didn't win?
BHL's new management have been saying for a while that they will only bid at a price where they can make a profit, and that if they lostg Shell, then it wouldn't be too big a deal as there will be a lot of work in the North Sea for the next 2-3 years.
Could it be that Shell didn't go for the lowest cost operator in this case, taking in to account that the lowest isn't necessarily the best value on such a long term contract? Look what happened the last time Shell went to the lowest cost, BHL had to renegotiate its rates a couple of years later, as I think CHC had to with some of its contracts.
Don't know what happened with the "Ebay" system that Shell have used this time, but could it be that the lowest bid didn't win?