Statoil Abusing COSL Fatality Claim Norwegian Unions

Published at 10:56AM - 08/03/16

Statoil abusing COSL fatality claim norwegian unions, as their strongly worded statement stokes the escalating row between COSL Drilling and Statoil.

The argument stems from a notice Statoil handed COSL Drilling stating the termination of the long-term contract for the COSLInnovator rig 4 years and 8 months early without any further financial payment.

The notice also stated that a further long-term contract for the COSLPromoter rig had been suspended with 5 years and 1 month left to run.

Statoil vice president for drilling, Geir Tungesvik, has since stated: “The conditions for terminating the contract signed with COSL Offshore Management AS have in our opinion been met, and we therefore choose to use our contractual right to terminate the contract,”

However COSL Drilling have also released a statement refuting Statoil’s claims saying that they will proceed with legal action if necessary to protect the company.

Unions Join COSL – Statoil Row

The Norwegian union for offshore and petroleum workers ‘Industri Energi’, along with the Norwegian maritime union ‘DSO’, have now laid out their position in the matter in a strongly worded statement.

The unions have also requested an urgent meeting with the Norwegian Ministry of Industry and Petroleum and Energy to discuss the situation.

A spokesman for Industri Energi said: “This is yet another example of how Statoil [are] acting in violation of the Petroleum Act’s objective for the Norwegian oil industry,”

“It’s a behaviour we cannot tolerate,” adding that they will take the matter to the Norwegian authorities in a meeting “we expect will be scheduled quickly.”

“The unions find it incomprehensible that the group [Statoil] concludes contracts with rigs that everyone has delivered absolutely top class [service, inline with] Statoil’s own criteria, in terms of operations, production and safety.”

“These rigs are not involved with exploration, but with well maintenance and production drilling. This is work needs to be done but now Statoil, apparently to save money, are throwing out a company that has delivered very well in their contracts.”

Job Losses

On the resulting job losses, Industri Energi pointed out that the current ‘suspension’ of the COSLPioneer could evolve further- exacerbating the situation.

The union said: “If the termination of COSL Innovator is completed and the suspension of COSL Promoter ends in termination, it will mean that nearly 600 people losing their jobs in the company.”

“It may in fact mean the end for COSL as a drilling company on the Norwegian shelf.”

“In addition, many who are employed by other companies within maintenance, well services and catering on the rigs are left without jobs. It will also affect jobs at subcontractors on land.”

Abusing Fatality

The union concluded, with a strongly worded statement, leaving the industry in no doubt of their feelings behind Statoil’s actions.

Industri Energi said: “It may look like Statoil are now abusing the accident on the Troll field in December 2015, when a rogue wave hit the accommodation module of the COSL Innovator and one person died.”

“The reason is that Statoil has too many rigs in their portfolio.”

Last updated on 10:29AM - 14/03/16